Sandler Communications Inc. Organizes Successful Acquisition of Reality Racing Inc. in Response to Shareholder Activism
02 Oktober 2007 - 4:03PM
PR Newswire (US)
HOUSTON, Oct. 2 /PRNewswire/ -- Sandler Communications Inc. has
confirmed that its investor group has taken controlling interest in
Reality Racing Inc. (Pink Sheets: RRGI), following the successful
transfer of 61,000,000 shares of Reality Racing Inc. stock and
letters of resignation from the Company's former principals Patrick
& Lee Schaefer and Craig Leitner. Sandler Communications CEO
Gabe Sandler, who received the letters and shares late last night,
organized the purchase directly from the three Reality Racing
founders in response to what he described as "shareholder activism
and undying enthusiasm for the show's core concept". Sandler joins
the Company's Board of Directors as Vice President and Secretary.
Reality Racing, Inc. debuted May 19, 2007 on Spike TV, where it
ranked first amongst male audiences aged 18 to 49, according to
Spike's parent company Viacom. The show was described by one
journalist as "NASCAR meets American Idol," but failed to achieve
its first season advertising sales performance targets, leaving
much to be desired by investors and fans alike. Gabe Sandler served
as the company's investor relations officer (IRO) from June
2006-2007, during which time he and his firm were given $36,000
total in compensation and budget from Reality Racing. He was also
given 4.2 million restricted shares as a partial settlement for
unpaid services from December 2006 - June 2007. Sandler
Communications Inc. has contributed these 4.2 million shares to its
investor group, such that 65.2 million shares are actually owned in
full. Gabe Sandler also personally owns 790,000 shares, which he
purchased in the market at various prices during the past year. The
group's position makes them the majority owner of the company's
issued and outstanding share count, which was last reported as
130,242,000. The company also reports approximately 30 million
shares that are restricted and unregistered, which would make them
outstanding but not issued, and thus subject to a due diligence
review by the Company's Audit Committee before they are issued with
voting rights. The company currently maintains a list of
approximately 2700 shareholders of record. For more information
about Reality Racing, visit the company webpage at:
http://www.realityracingtv.com/ About Sandler Communications Inc.
Sandler Communications is headquartered in Houston, TX, with
satellite offices in New York, California, Florida, Canada and the
UK. The firm is an investor relations and financial public
relations firm, specializing in ESI, electronic discovery,
Sarbanes-Oxley compliance, and the creation of XBRL-enabled
streaming-data management systems for automation of electronic
disclosure. Although the firm is primarily dedicated to servicing
the investor relations needs of its clients, it also focuses on
public relations and financial consulting. Sandler Communications
is a proud member of NIRI, ACG, PRSA, XBRL US, SBA, GTS, SCIA, ACN,
PRMIA, NYSSA, TexChange, AAWC, and the BBB. The firm promotes
careful study of securities laws and professional risk management,
and has made a strong commitment to help enhance investor education
and awareness worldwide, particularly amongst the over-the-counter
markets where investors face the highest likelihood of corporate
fraud and fiduciary irresponsibility damaging their equity. For
more information about Sandler Communications, visit the company
webpage at http://www.sandlercommunications.com/ Or contact: Gabe
Sandler Sandler Communications, Inc. 866-772-0118 Safe Harbor:
Forward-looking statements made in this release are made pursuant
to the "safe harbor" provision of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements made by Reality
Racing Incorporated are not a guarantee of future performance. This
news release includes forward-looking statements, including with
respect to the future level of business for the parties. These
statements are necessarily subject to risk and uncertainty. Actual
results could differ materially from those projected in these
forward- looking statements as a result of certain risk factors
that could cause results to differ materially from estimated
results. Management cautions that all statements as to future
results of operations are necessarily subject to risks,
uncertainties and events that may be beyond the control of Reality
Racing Incorporated and no assurance can be given that such results
will be achieved. Potential risks and uncertainties include, but
are not limited to, the ability to procure, properly price, retain
and successfully complete projects, and changes in products and
competition. Section 17(b) of the Securities Act of 1933, requires
public disclosure by any publicist of the amount of compensation
received from Reality Racing, Inc. (the "Company"), whose shares
are publicly traded. Sandler Communications, Inc., ("SCI") has
received the following compensation from the Company: $36,000 in
cash; 4,200,000 of Common Shares (restricted under Rule 144);
$240,000 as a Promissory Note; to disseminate corporate information
to the public. Further, SCI has or expects to receive compensation
either in the form of cash, equity shares or both for publicity
services which it has rendered, or may render to, or on behalf of,
the public Company. Sandler Communications, Inc., is the holder
(directly or indirectly as beneficiary) of 65,200,000 shares of
common stock of the Company which it previously received,
purchased, agreed to purchase, or purchased in accordance with
others. Gabriel P. Sandler, a Principal of SCI, is an officer
and/or director of the Company. DATASOURCE: Sandler Communications
Inc. CONTACT: Gabe Sandler of Sandler Communications, Inc.,
+1-866-772-0118, Web site: http://www.sandlercommunications.com/
http://www.realityracingtv.com/
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