BOCA RATON, Fla., Oct 17, 2006 (BUSINESS WIRE) -- Bluegreen Corporation (NYSE:BXG) announced today that it has
settled pending litigation with David A. Siegel, David A. Siegel
Revocable Trust and Central Florida Investments over the acquisition
by these shareholders of approximately 32% of the outstanding stock of
Bluegreen. Central Florida Investments is the parent company of
Westgate Resorts, a timeshare company that is a competitor of
Under the terms of the settlement, the Siegel shareholders must
reduce their holdings by at least 5.4 million shares within one year,
and fully divest their holdings within two years. Pending their sale,
all Bluegreen shares owned by the Siegel shareholders will be voted in
accordance with the recommendations of Bluegreen's Board of Directors.
The Siegel shareholders have also agreed not to pursue any takeover or
other extraordinary transaction with the Company or to seek to control
or influence Bluegreen's management.
The Company also amended its rights plan today, as agreed in the
settlement. As amended, the rights plan will give the Siegel
shareholders additional time to sell their shares, consistent with the
schedule set by the settlement. If the Siegel shareholders comply with
the schedule and all other terms of the settlement, the fact that they
hold more than 15% of Bluegreen's common stock will not trigger the
rights and the resulting dilution of the Siegel shareholders'
ABOUT BLUEGREEN CORPORATION
Bluegreen Corporation (NYSE:BXG) is a leading provider of Colorful
Places to Live and Play(R) through two principal operating
divisions. With over 150,000 owners, Bluegreen Resorts markets a
flexible, real estate-based vacation ownership plan that provides
access to over 40 resorts, an exchange network of over 3,700 resorts
and other vacation experiences such as cruises and hotel stays.
Bluegreen Communities has sold over 51,000 planned residential and
golf community homesites in 32 states since 1985. Founded in 1966,
Bluegreen is headquartered in Boca Raton, Fla., and employs over 5,000
associates. In 2005, Bluegreen ranked No. 57 on Forbes' list of The
200 Best Small Companies and No. 48 on FORTUNE's list of America's 100
Fastest Growing Companies. More information about Bluegreen is
available at www.bluegreencorp.com.
Statements in this release may constitute forward-looking
statements and are made pursuant to the Safe Harbor Provision of the
Private Securities and Litigation Reform Act of 1995. Use of words
such as "plan", "plans", "expects", "will," and other forward-looking
statements are based largely on expectations and are subject to a
number of risks and uncertainties including but not limited to the
risks and uncertainties associated with economic, competitive and
other factors affecting the Company and its operations, markets,
products and services, and the risk factors and other issues detailed
in the Company's SEC filings, including its most recent Annual Report
on Form 10-K filed on March 16, 2006, and the Quarterly Report on Form
10-Q filed on August 9, 2006.
SOURCE: Bluegreen Corporation
Tony Puleo, Chief Financial Officer, 561-912-8270
Investor Relations Counsel:
The Equity Group Inc.
Devin Sullivan, 212-836-9608
Adam Prior, 212-836-9606