<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 200549
FORM 8-K
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED) MAY 22, 1997
THE SPORTS CLUB COMPANY, INC.
Delaware 1-13290 95-4479735
(State or other jurisdiction (Commission File Number) (I.R.S. Employer
of incorporation) Identification No.)
11100 Santa Monica Boulevard, Suite 300
Los Angeles, California 90025
(address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (310) 479-5200
(Former name or former address, if changed since last report.) Not applicable
Page 1 of 4.
Index of Exhibits on Page 3.
<PAGE> 2
ITEM 5. OTHER EVENTS.
As previously disclosed in Registrant's Form 10-K for the fiscal year
ended December 31, 1996, and other documents on file with the Securities and
Exchange Commission, Registrant and several of its subsidiaries have been
involved in a dispute with Century Entertainment Center, L.P. ("Century") over
lease obligations relating to the closed Century City Spectrum Club.
On May 22, 1997, Registrant and Century announced the settlement of all
claims related to the dispute in a Press Release attached as an exhibit hereto.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS.
(a) Financial statements of business acquired. Not Applicable
(b) Pro Forma Financial Information. None
(c) Exhibits. Press Release
dated May 22, 1997
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed by the undersigned hereunto
duly authorized.
THE SPORTS CLUB COMPANY, INC.
By: /s/ John M. Gibbons
-------------------------------
John M. Gibbons, President
May 22, 1997
Page 2 of 4.
<PAGE> 3
EXHIBIT INDEX
<TABLE>
<CAPTION>
ITEM DESCRIPTION PAGE
- ---- ----------- ----
<S> <C> <C>
7(c)(1) Press Release dated May 22, 1997 4
</TABLE>
Page 3 of 4.
<PAGE> 1
EXHIBIT 7(c)1
[THE SPORTS CLUB COMPANY LETTERHEAD]
NEWS RELEASE
FOR IMMEDIATE RELEASE CONTACT: JOHN M. GIBBONS
PRESIDENT AND
CHIEF OPERATING OFFICER
(310) 479 - 5200
THE SPORTS CLUB COMPANY ANNOUNCES
RESOLUTION OF PENDING LITIGATION
LOS ANGELES, CA (May 22, 1997) -- The Sports Club Company, Inc. (AMEX:SCY) today
announced that it has agreed to pay Century Entertainment Center, L.P.
$1,950,000 over a 10 month period to settle litigation relating to the Century
City Spectrum Club which was closed in July 1995.
D. Michael Talla, Chairman and Chief Executive Officer, indicated that the
settlement will be paid out of existing working capital. "While we were
disappointed with many of the rulings in this lawsuit, we believe that
resolution of this matter at this time is in the best interests of the Company
and its shareholders. The settlement will be accounted for as an extraordinary
charge to earnings and will not impact operating income. Our operating results
continue to improve and we are aggressively pursuing development projects in
several cities," noted Mr. Talla.
The Sports Club Company operates upscale health and fitness clubs under the
Sports Club and Spectrum club names. The Company currently operates seven clubs
in Southern California and the Reebok Sports Club/NY in New York City and has
scheduled a Summer opening for its new Spectrum Club in Valencia, California.
###
Page 4 of 4.
