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EXHIBIT 99.2
PRESS RELEASE
Showscan Entertainment Inc. Announces Voluntary Petition to Reorganize
LOS ANGELES, CA - (PR NEWSWIRE) - August 15, 2000 -- Showscan Entertainment
(OTC BB: SHOW.OB) today announced that it has filed a voluntary petition to
reorganize under Chapter 11 of the United States Bankruptcy Code. Under Chapter
11, Showscan will continue to operate its businesses under court protection,
while working out a plan for reorganization. The petition was filed in the U.S.
Bankruptcy Court for the Central District of California.
To facilitate the Company's restructuring activities, Showscan's Board of
Directors determined that seeking voluntary reorganization was in the best
interests of the Company and its shareholders. The Company's single largest
creditor, a Swiss financial institution, has formally agreed to work
cooperatively with Showscan's management to assist in future operations.
Dennis Pope, Showscan President and Chief Executive Officer, said, "While the
decision to file was a difficult one, it represents the best alternative for
Showscan at this time. This filing will allow us to minimize the impacts on our
day-to-day operations."
Mr. Pope further noted, "We are very grateful for the support that our
customers, our suppliers and our worldwide business partners have shown for us
during this difficult period. We are especially thankful for the continued
loyalty and support of our dedicated employees."
Mr. Pope added, "We will do our best to ensure that there will be no significant
disruption of our ongoing business activities, including film licensing and
distribution, customer services and technical support, marketing and attraction
sales, or of our ability to serve our customers, both present and future."
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Showscan
2-2-2-2
Showscan is an international leader in production, distribution and exhibition
of exciting movie-based attractions shown in large format theatres worldwide.
Showscan's simulation attractions and special venue theatres are open or under
construction in 24 countries around the globe, located in theme parks, cinema
multiplexes, expos, festivals, world fairs, resorts, shopping centers,
casinos, museums, location based and family entertainment centers, and other
tourist destinations. It is estimated that over 100 million people worldwide
have experienced a Showscan Entertainment attraction. Showscan has created
business alliances and relationships with some of the leading companies in the
entertainment industry worldwide. The Showscan camera system, used by Showscan
in creating the world's premier entertainment attractions and experiences, was
awarded a Scientific and Engineering Achievement Academy Award (TM) in 1993 by
the Academy of Motion Picture Arts and Sciences. For more information, visit
Showscan on the Internet at www.showscan.com.
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This release contains statements that constitute "forward-looking statements"
within the meaning of Section 21E of the Securities Exchange Act and Section 27A
of the Securities Act. Readers are cautioned not to put undue reliance on such
forward-looking statements. Such forward-looking statements are not guarantees
of future performance and involve risks and uncertainties. Certain factors may
cause actual results to differ materially from those contained in forward-
looking statements, including but not limited to: the number and timing of sales
and/or installations of Showscan attractions, the development and/or acceptance
of new products, the impact of competition on the company's products and/or
pricing, the success of the company's software and Showscan's ability to
implement a reorganization plan, including its ability to obtain additional
financing. In addition, readers are urged to carefully review the risk factors
discussed in the documents that the company files from time to time with the
Securities and Exchange Commission.
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