Ogden Announces Agreement To Sell Aviation Catering Business

Business Wire, May 4, 1998

NEW YORK--(BUSINESS WIRE)--May 4, 1998--Ogden Corporation (Ogden) today announced that it has signed a definitive agreement to sell its Aviation catering business to SC International Services, the parent of Sky Chefs and Caterair International for $84.8 million. SC International is a subsidiary of Onex Corporation.

Ogden stated that the transaction is subject to customary government and regulatory approvals, and anticipates a closing in the second quarter. As a result, Ogden said it would report a gain in the second quarter. Further, Ogden stated that the proceeds from the sale would be invested in the continued growth of our Aviation, Entertainment and Energy groups.

R. Richard Ablon, Chairman and Chief Executive Officer of Ogden said, "After lengthy and careful consideration, we have concluded that the growth prospects for our long-standing airline catering business do not meet the levels of return and potential currently being demonstrated by our global aviation network. Consequently, we have elected to monetize our catering asset, which is purely a domestic U.S. activity. We will continue to focus on building our airport infrastructure and service activities around the world."

Ogden Corporation (NYSE: OG), a global c and location-based attractions; food and bever