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NORMAN, OK (February 6) – Boundless Motor Sports Racing, Inc. (OTCBB:BMSR - News; Boundless) today announced that it has completed the purchase of substantially all of the assets of World of Outlaws, Inc. ("WoO"). This transaction was originally structured as a stock purchase but was changed to an asset purchase transaction with a newly-formed subsidiary of Boundless (which will be called "World of Outlaws, Inc." ("New WoO"). Under the terms of the Asset Purchase Agreement, Boundless agreed to pay WoO a total of $5 million, a portion of which is payable pursuant to the terms of a one-year promissory note, which promissory note is secured by the assets of New WoO and is guaranteed by Paul Kruger, Chairman of the Board and Chief Executive Officer of Boundless. Mr. Kruger will be the Chairman of the Board and Chief Executive Officer of the New WoO, and Ted Johnson will be the President of the New WoO until such time as the promissory note has been paid off, at which time, Mr. Johnson will become a consultant to the New WoO. World of Outlaws has held the position as the premier name in Sprint Car Racing for the past 26 years. For 2004, World of Outlaws is scheduled to hold 100 sanctioned races at over 50 dirt tracks in the United States. "We are extremely excited about this acquisition," said Mr. Kruger. "It is the culmination of a long process and a giant step in becoming the leading sanctioning group in dirt motor sports. Boundless has had a tremendous week, starting off with the inaugural race of our newly-formed World of Outlaws Late Model Series at the Volusia Speedway Park in Barberville, Florida, and ending with the acquisition of World of Outlaws. We look forward to carrying on the tradition that Ted Johnson has worked so hard to build at World of Outlaws over the years." "We're pleased to have Boundless as the new owner of World of Outlaws," said Mr. Johnson. "I look forward to working with Paul Kruger and his team as we take the World of Outlaws to a new level. With Boundless' increasing strength in dirt racing, we expect the World of Outlaws to flourish like never before. This change in ownership will accelerate the growth of what we have built at World of Outlaws." |