- Expands evaluation to maximize creation of long-term shareholder value
- Defers annual meeting pending completion of strategic evaluation
BOCA RATON, Fla. – June 16, 2008 – Agilysys, Inc. (Nasdaq: AGYS), a leading provider of innovative IT solutions, today announced that its Board of Directors has authorized the company’s management and financial advisors to explore a range of strategic and financial alternatives to enhance shareholder value. These alternatives include, but are not limited to, continued implementation of Agilysys current strategic growth plan, a sale of certain assets or the entire company, formation of joint ventures, and a change to the company’s capital structure. The company has retained JPMorgan as financial advisor in the evaluation process.
The company also announced that it is deferring its Aug. 1, 2008, annual meeting of shareholders pending completion of the strategic evaluation.
Agilysys cautions there can be no assurance that the exploration of alternatives will result in a fundamental change to the company’s current strategic growth plan. The company only intends to disclose developments regarding the process when the Board of Directors has received recommendations from JPMorgan and has completed its consideration of financial and strategic alternatives. Agilysys announced May 13 that it had re-engaged JPMorgan to assist in assessing the ongoing timing and implementation of its strategic growth strategy.
“Given recent developments in our markets and the current macroeconomic environment, we have expanded the process to further evaluate all strategic options available to us to appropriately maximize the creation of long-term shareholder value,” said Arthur Rhein, chairman, president and chief executive officer of Agilysys.
Forward-Looking Language
Portions of this release, particularly the statements made by management and those that are not historical facts, are forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements are based on current assumptions and expectations, and are subject to risks and uncertainties, many of which are beyond the control of Agilysys. Many factors could cause the actual results of Agilysys to differ materially from those anticipated by the forward-looking statements. These factors include those referenced in the Annual Report on Form 10-K or as may be described from time to time in Agilysys subsequent Securities and Exchange Commission (SEC) filings.
Potential factors that could cause actual results to differ materially from those expressed or implied by such statements include, but are not limited to, those relating to Agilysys long-term financial goals, anticipated revenue gains, sales volume, margin improvements, cost savings, capital expenditures, depreciation and amortization, and new product introductions.
Other associated risks include geographic factors, political and economic risks, the actions of Agilysys competitors and vendors, changes in economic or industry conditions in the markets served by Agilysys, the ability to appropriately integrate and derive performance from acquisitions, strategic alliances, and joint ventures, and the ability of the company to identify and complete a strategic transaction.
In addition, this release contains time-sensitive information and reflects management’s best analysis only as of the date of this release. Agilysys does not undertake any obligation to publicly update or revise any forward-looking statements to reflect future events, information or circumstances that arise after the date of this release. Information on the potential factors that could affect Agilysys actual results of operations is included in its filings with the SEC, including, but not limited to, its Annual Report on Form 10-K for the fiscal year ended March 31, 2007. Interested persons can obtain it free at the SEC’s Web site, www.sec.gov.
About Agilysys
Agilysys is a leading provider of innovative IT solutions to corporate and public-sector customers, with special expertise in select markets, including retail and hospitality. The company uses technology – including hardware, software and services – to help customers resolve their most complicated IT needs. The company possesses expertise in enterprise architecture and high availability, infrastructure optimization, storage and resource management, identity management and business continuity; and provides industry-specific software, services and expertise to the retail and hospitality markets. Headquartered in Boca Raton, Fla., Agilysys operates extensively throughout North America, with additional sales offices in the United Kingdom and China. For more information, visit www.agilysys.com.
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Contact:
Martin Ellis
Executive Vice President, Treasurer and Chief Financial Officer
Agilysys, Inc.
561-999-8780
martin.ellis@agilysys.com