EXHIBIT 99.1
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[TRIARC LOGO OMITTED] [DEERFIELD LOGO OMITTED]
Triarc Companies, Inc. Deerfield & Company LLC
280 Park Avenue 8700 West Bryn Mawr, 12 Floor
New York, NY 10017 Chicago, IL 60631
Tel 212-451-3000 Tel 773-380-1600
FOR IMMEDIATE RELEASE
CONTACT: ANNE A. TARBELL
TRIARC COMPANIES, INC.
(212) 451-3030
WWW.TRIARC.COM
TRIARC COMPLETES ACQUISITION OF CONTROLLING INTEREST
IN DEERFIELD & COMPANY LLC FOR APPROXIMATELY $86.5 MILLION
o $100 MILLION CAPITAL COMMITMENT TO SEED NEW DEERFIELD MULTI-STRATEGY
HEDGE FUND IS PLANNED
o DEERFIELD SENIOR TEAM TO REMAIN IN CURRENT ROLES
NEW YORK, NY, AND CHICAGO, IL, JULY 22, 2004 - Triarc Companies, Inc.
(NYSE: TRY; TRY.B) and Deerfield & Company LLC ("Deerfield") announced today
that Triarc has completed its acquisition from certain owners of Deerfield of an
approximate 64% economic interest in Deerfield, representing in excess of 90% of
the outstanding voting interests, for a cash purchase price of approximately
$86.5 million. The remainder of the economic and voting interests in Deerfield
will be retained or owned by senior management of Deerfield. The purchase price
reflects an enterprise value for Deerfield of approximately $145 million.
In connection with the acquisition, Triarc has also committed to invest
$100 million to seed a new multi-strategy hedge fund to be managed by Deerfield.
Deerfield's senior management, including its Chairman and Chief
Executive Officer, Gregory Sachs, its President, Scott Roberts, and its Chief
Investment Officer, Jonathan Trutter, will remain in their current roles, and
Deerfield's portfolio management teams will remain intact. Deerfield currently
has approximately 75 employees, including over 30 investment professionals.
Deerfield, a Chicago-based alternative asset manager, offers a diverse
range of fixed income strategies to institutional investors. Founded in 1993,
Deerfield specializes through DCM in managing government securities, investment
grade debt, asset-backed securities, bank loan portfolios and other fixed income
asset classes. DCM manages these assets in the form of collateralized debt
obligations ("CDOs"), single strategy hedge funds and separate managed accounts.
The CDOs invest in bank loans, investment grade corporate bonds, and
asset-backed securities. The hedge funds engage in relative value trading of
fixed income securities and related instruments. The separate accounts utilize
core fixed-income and duration management strategies.
As of July 1, 2004, DCM had over $8.1 billion in assets under
management composed of approximately $7.2 billion in CDOs, approximately $700
million in fixed income arbitrage hedge funds and approximately $250 million in
separately managed accounts. For the 12 months ended December 31, 2003,
Deerfield generated revenues of approximately $36.9 million.
Commenting on the Deerfield acquisition, Triarc's Chairman and Chief
Executive Officer, Nelson Peltz, said: "We are delighted to welcome Gregory
Sachs and the entire Deerfield team to the Triarc family of companies. We look
forward to working with them in growing their valuable investment advisory
brand, both organically and through extensions of its existing platform."
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Triarc and Deerfield previously formed an investment adviser, TDM
Advisors LLC ("TDM"), to manage the assets of Triarc Deerfield Investment
Corporation ("Triarc Deerfield"), a newly-formed business development company
that, as previously announced, filed a registration statement with the
Securities and Exchange Commission relating to a proposed $500 million initial
public offering of its common stock. As a result of the acquisition, TDM is now
a wholly-owned subsidiary of Deerfield and an indirect subsidiary of Triarc.
Triarc is a holding company and, through its subsidiaries, the
franchisor of the Arby's(R) restaurant system and the operator of approximately
235 restaurants located in the United States.
Deerfield Capital Management LLC is a Chicago-based alternative asset
manager offering a diverse range of fixed income strategies to institutional
investors.
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Notes To Follow
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NOTES TO PRESS RELEASE
1. There can be no assurance that we will be able to successfully
integrate Deerfield into our existing operations. The description of
the acquisition contained herein is only a summary and is qualified in
its entirety by reference to the definitive agreements relating to the
acquisition, copies of which have been or will be filed by us with the
Securities and Exchange Commission as exhibits to Current Reports on
Form 8-K.
2. There can be no assurance that the initial public offering of common
stock of Triarc Deerfield will be completed or, if completed, that the
terms of such offering will not change from those described in the
Registration Statement previously filed with the Securities and
Exchange Commission.
3. A registration statement relating to the securities to be issued by
Triarc Deerfield Investment Corporation has been filed with the
Securities and Exchange Commission but has not yet become effective.
These securities may not be sold nor may offers to buy be accepted
prior to the time the registration statement becomes effective. This
press release is not an offer to sell or the solicitation of an offer
to buy nor shall there be any sale of these securities in any State in
which such offer, solicitation or sale would be unlawful prior to
registration or qualification under the securities laws of any such
State. Investors should consider the investment objectives, risks,
charges and expenses of Triarc Deerfield carefully before investing.
This and other information about Triarc Deerfield will be contained in
a preliminary prospectus, which may be obtained, once available, from
Triarc Deerfield. The preliminary prospectus should be read carefully
before investing. The information in the registration statement filed
with the Securities and Exchange Commission, in any preliminary
prospectus and in this press release is not complete and may be
changed.
4. There can be no assurance that we or Deerfield will be able to identify
appropriate future acquisition targets or that we or Deerfield will be
able to successfully integrate any future acquisitions into our or
Deerfield's existing operations.
5. The statements in this press release that are not historical facts,
including, most importantly, information concerning possible or assumed
future results of operations of Triarc Companies, Inc. and its
subsidiaries (collectively, "Triarc" or the "Company") and statements
preceded by, followed by, or that include the words "may," "believes,"
"expects," "anticipates" or the negation thereof, or similar
expressions, constitute "forward-looking statements" within the meaning
of the Private Securities Litigation Reform Act of 1995 (the "Reform
Act"). All statements that address operating performance, events or
developments that are expected or anticipated to occur in the future,
including statements relating to revenue growth, earnings per share
growth or statements expressing general optimism about future operating
results, are forward-looking statements within the meaning of the
Reform Act. These forward-looking
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statements are based on our current expectations, speak only as of the
date of this press release and are susceptible to a number of risks,
uncertainties and other factors. Our actual results, performance and
achievements may differ materially from any future results, performance
or achievements expressed or implied by such forward-looking
statements. For those statements, we claim the protection of the safe
harbor for forward-looking statements contained in the Reform Act. Many
important factors could affect our future results and could cause those
results to differ materially from those expressed in the
forward-looking statements contained herein. Such factors include, but
are not limited to, those risks and uncertainties affecting the Company
detailed in the Company's Form 10-K for the fiscal year ended December
28, 2003 (see especially "Item 1. Business-Risk Factors" and "Item 7.
Management's Discussion and Analysis of Financial Condition and Results
of Operations") and in our other current and periodic filings with the
Securities and Exchange Commission, all of which are difficult or
impossible to predict accurately and many of which are beyond our
control. We will not undertake and specifically decline any obligation
to publicly release the results of any revisions that may be made to
any forward-looking statements to reflect events or circumstances after
the date of such statements or to reflect the occurrence of anticipated
or unanticipated events. In addition, it is our policy generally not to
make any specific projections as to future earnings, and we do not
endorse any projections regarding future performance that may be made
by third parties.
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