WEST CHESTER, Pa., Oct. 10, 2013 /PRNewswire/ -- Liberty
Interactive Corporation ("Liberty") (Nasdaq: LINTA, LINTB, LVNTA,
LVNTB) announced today that it plans to create a QVC Group tracking
stock as part of a recapitalization of the Liberty Interactive
Group tracking stock.
The QVC Group class of common stock will track the value of QVC,
Inc. and Liberty's approximate 38% interest in HSN, Inc., along
with cash and certain liabilities. The QVC Group tracking stock is
intended to provide greater clarity regarding QVC's strong
operating metrics, such as its leadership in mobile commerce and
pioneering efforts in establishing social shopping platforms for
its customers. The other assets and liabilities that
currently comprise the Liberty Interactive tracking stock,
including Liberty's e-commerce companies (such as Provide Commerce,
Backcountry.com and Bodybuilding.com), will be attributed to a new
Liberty Digital Commerce tracking stock. In the
recapitalization, holders of Liberty Interactive Group tracking
stock will receive a distribution of the new Liberty Digital
Commerce tracking stock, and the name of the Liberty Interactive
Group tracking stock will be changed to the QVC Group tracking
stock. The recapitalization is subject to customary closing
conditions, including the receipt of the requisite stockholder
approvals and certain tax opinions.
"As the global leader in video and e-commerce retail, QVC is
defining the future of retail at a time of significant industry
change," said Mike George, President
& CEO of QVC, Inc. "Our leading e-commerce and mobile platforms
enable us to deepen relationships with our customers, who are among
the most loyal in retail, while engaging new customers as
well. Our ability to connect with customers across multiple
platforms and around the world enables us to deliver positive and
consistent financial results."
According to the just-released 2014 "Internet Retailer Mobile
500," QVC is the third largest mobile commerce player (up from
number five on the 2013 list) and is number two among all
multi-category retailers, behind only Amazon.com.
"QVC maintains industry-leading margins and executes disciplined
capital spending to help further drive bottom-line growth," said
George. "As we continue to execute on our growth initiatives,
this new tracking stock will offer investors increased visibility
into QVC's performance, and allow QVC to more directly create value
for our shareholders."
Mike George will present at
Liberty's Annual Investor Conference today, and will provide an
update on the company's recent business activity, operational
highlights and financial performance. A live audio cast of the
presentation will be available to the public on the Liberty
Interactive Corporation IR site:
http://ir.libertyinteractive.com/events.cfm.
ABOUT QVC
QVC, Inc., a wholly owned subsidiary of
Liberty Interactive Corporation (NASDAQ:LINTA, LINTB), is the
world's leading video and ecommerce retailer. QVC is committed to
providing its customers with thousands of the most innovative and
contemporary beauty, fashion, jewelry and home products. Its
programming is distributed to approximately 290 million homes
worldwide through operations in the U.S., Japan, Germany, United
Kingdom, Italy and a joint venture in China. West Chester,
Pa.-based QVC has shipped more than a billion packages in
its 26-year history and the company's website, QVC.com, is ranked
among the top general merchant Internet sites. QVC, Q, and the Q
Ribbon Logo are registered service marks of ER Marks, Inc.
ABOUT LIBERTY INTERACTIVE CORPORATION
Liberty
Interactive Corporation operates and owns interests in a broad
range of digital commerce businesses. Those interests are currently
attributed to two tracking stock groups: Liberty Interactive Group
and Liberty Ventures Group. The Liberty Interactive Group (Nasdaq:
LINTA, LINTB) is primarily focused on digital commerce and consists
of Liberty Interactive Corporation's subsidiaries QVC, Provide
Commerce, Backcountry.com, Bodybuilding.com, Celebrate Interactive,
CommerceHub and its interest in HSN. The businesses and assets
attributed to the Liberty Ventures Group (Nasdaq: LVNTA, LVNTB)
consists of all of Liberty Interactive Corporation's businesses and
assets other than those attributed to the Liberty Interactive Group
and include its subsidiary TripAdvisor, its interest in Expedia,
and minority interests in Time Warner and Time Warner Cable.
FORWARD-LOOKING STATEMENTS
This press release includes
certain forward-looking statements within the meaning of the
Private Securities Litigation Reform Act of 1995, including
statements about the proposed recapitalization of the Liberty
Interactive Group tracking stock and other matters that are not
historical facts. These forward-looking statements involve many
risks and uncertainties that could cause actual results to differ
materially from those expressed or implied by such statements,
including, without limitation, the satisfaction of conditions to
the proposed new tracking stock. These forward looking statements
speak only as of the date of this press release, and Liberty
expressly disclaims any obligation or undertaking to disseminate
any updates or revisions to any forward-looking statement contained
herein to reflect any change in Liberty's expectations with regard
thereto or any change in events, conditions or circumstances on
which any such statement is based. Please refer to the publicly
filed documents of Liberty, including the most recent Form 10-K and
Forms 10-Q, for additional information about Liberty and about the
risks and uncertainties related to Liberty's business which may
affect the statements made in this press release.
Additional Information
Nothing in this press release
shall constitute a solicitation to buy or an offer to sell shares
of Liberty's common stock in the recapitalization or otherwise. The
offer and sale of shares of the proposed tracking stock will only
be made pursuant to an effective registration statement. Liberty
stockholders and other investors are urged to read the registration
statement to be filed with the SEC, including the proxy
statement/prospectus to be contained therein, because they will
contain important information about the issuance of shares of the
proposed tracking stock in the recapitalization. Copies of
Liberty's SEC filings are available free of charge at the SEC's
website (http://www.sec.gov). Copies of the filings together with
the materials incorporated by reference therein will also be
available, without charge, by directing a request to Liberty
Interactive Corporation, 12300 Liberty Boulevard, Englewood, Colorado 80112, Attention: Investor
Relations, Telephone: (720) 875-5408.
Participants in a Solicitation
The directors and
executive officers of Liberty and other persons may be deemed to be
participants in the solicitation of proxies in respect of proposals
relating to the approval of the recapitalization. Information
regarding the directors and executive officers of Liberty and other
participants in the proxy solicitation and a description of their
respective direct and indirect interests, by security holdings or
otherwise, will be available in the proxy materials to be filed
with the SEC.
SOURCE QVC, Inc.