SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
Date of Report: July 14, 1999
Date of Earliest Event Reported: July 9, 1999
TANDYCRAFTS, INC.
A DELAWARE CORPORATION
1-7258 75-1475224
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(Commission File Number) (IRS Employer Identification No.)
1400 Everman Parkway
Fort Worth, Texas 76140
(817) 551-9600
ITEM 5. OTHER EVENTS
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(a) On July 9, 1999, Registrant issued a press release announcing it
welcomed Mexican President Ernesto Zedillo Ponce de Leon and a
host of other dignitaries during an opening celebration at the
Company's new manufacturing facility in Durango, Mexico.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
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(c) Exhibits.
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Exhibit
Number Description
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99 Copy of press release announcing it welcomed
Mexican President Ernesto Zedillo Ponce de Leon
and a host of other dignitaries during an opening
celebration at the Company's new manufacturing
facility in Durango, Mexico.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf of the
undersigned thereunto duly authorized.
TANDYCRAFTS, INC.
Date: July 14, 1999 By:/s/ Michael J. Walsh
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Michael J. Walsh, President
and Chief Executive Officer
Date: July 14, 1999 By:/s/ James D. Allen
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James D. Allen, Executive Vice
President and Chief Financial
Officer
Date: July 14, 1999 By:/s/ Troy A. Huseman
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Troy A. Huseman
Assistant Vice President and
Controller
CONTACT: Jim Allen, Mike Murray
Tandycrafts, Inc. (817) 551-9600
(investor [email protected])
FOR IMMEDIATE RELEASE or
Jeff Lambert, Tara Powers ([email protected])
Lambert, Edwards & Associates, Inc. (616) 233-0500
MEXICAN PRESIDENT ZEDILLO CELEBRATES OPENING OF NEW TANDYCRAFTS FRAMES FACILITY
IN DURANGO
DURANGO, Mexico - July 9, 1999 - Executives of Tandycrafts, Inc. (NYSE:TAC)
today welcomed Mexican President Ernesto Zedillo Ponce de Leon and a host of
other dignitaries during an opening celebration at the Company's new 150,000-
square-foot frames manufacturing facility in Durango, Mexico.
The Fort Worth, Texas-based manufacturer and marketer of products for the home
and office, said President Zedillo and other Mexican dignitaries toured the new
facility with Company officials and spoke to local business leaders and the more
than 180 associates who work at the plant about economic development efforts in
Northern Mexico.
Pinnacle is a leader in the $2 billion market for frames, framed art and
mirrors. Pinnacle's products are sold to mass merchandisers and specialty
retail stores throughout North America under the Magee, Impulse and Hermitage
brand names.
President Zedillo was joined by Durango Governor Angel Sergio Geurrero Mier and
other dignitaries including:
Esteban Moctezuma Barragan, Secretary of Social Development.
Julia Caravias, Secretary of the Environment.
Carlos Ruiz Sacristan, Secretary of Communications and Transportation
Juan Ramon De La Fuente, Secretary of Health
Ismael Hernandez Deras, Mayor of Durango
In welcoming President Zedillo and others, Tandycrafts President Michael Walsh
said: "I would like to thank President Zedillo and the other dignitaries who
are here today. Your support means a great deal to us and is the reason we are
here today. Durango was the ideal location given its proximity to the U.S.
cities of Laredo and El Paso, access to regional timber production, a well-
developed infrastructure and the growth-oriented government on both the local
and national levels. Many thanks to the Mexican government, and to the many
state and local officials who made it possible for us to come to Durango."
Walsh added: "Our frames division is a key component of Tandycrafts growth. We
have every intention of growing beyond this current facility and investing in
more capacity and jobs here in Durango."
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TANDYCRAFTS/PAGE 2
President Zedillo said: "This modern plant shows the confidence of the Company
in the future of Durango. It creates many important jobs and allows the
employees to build a future for their families."
Zedillo added that maquiladoras (light manufacturing businesses) are important
to Mexico and pledged to make infrastructure investments in the Durango area to
support their continued growth.
Tandycrafts commenced production at the Durango plant on May 21. In June,
Tandycrafts announced that it would close its Van Nuys, Calif.-based frame
manufacturing and distribution facility in order to shift production to the
Durango facility. Pinnacle's distribution and other corporate functions --
including research and development, design, sales, and administration -- that
were previously located in California are being centralized at the Company's
Fort Worth headquarters. The shift will mean approximately 800 to 1,000 new
jobs in Mexico.
"We are committed to making Pinnacle the leader in the $2 billion niche market
for frames and wall decor," said Jim Allen, executive vice president and chief
operating officer of Tandycrafts. "The new capacity and capabilities provided
by our Durango plant affords us the opportunity to accelerate our growth in the
frames business."
Tandycrafts, Inc. (www.tandycrafts.com) is a manufacturer, distributor and
retailer of consumer products, including frames and wall decor, office supplies
and gifts. The Company's products are marketed and sold nationwide through
wholesale distribution channels, including mass merchandisers and specialty
retailers, and direct-to-consumer channels through the Company's retail stores,
mail order and the Internet. Tandycrafts is headquartered in Fort Worth, Texas.
This press release includes statements that may constitute "forward-looking"
statements, usually containing the words "believe", "estimate", "project",
"expect" or similar expressions. These statements are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements inherently involve risks and uncertainties that could
cause actual results to differ materially from the forward-looking statements.
Factors that would cause or contribute to such differences include, but are not
limited to, continued acceptance of the Company's products in the marketplace,
competitive factors, dependence upon third-party vendors, and other risks
detailed in the Company's periodic report filings with the Securities and
Exchange Commission. By making these forward-looking statements, the Company
undertakes no obligation to update these statements for revisions or changes
after the date of this release.
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