Talk about unlikely ancillary products--a professional basketball team, a professional hockey team, and an arena.
Three UCG partners, Ed Peskowitz, Bruce Levenson and Todd Foreman, have joined a Boston businessman and Ted Turner's son-in-law to acquire the National Basketball Association's Atlanta Hawks and the National Hockey League's Atlanta Thrashers--plus the operating rights to Atlanta's Philips Arena.
The seller, Time Warner, said the purchase price was in excess of $250 million.
UCG founders Levenson and Peskowitz held minority interests in the Washington Wizards, the Capitals and their arena during the 1990s. They had joined with NBA superstar Larry Bird in an unsuccessful attempt to own the Charlotte, N.C., NBA franchise last year.
'Once Ed and I realized we weren't going to make it as professional athletes, we started dreaming of owning a professional sports team,' Levenson said. 'Now we own two and an arena to boot. We're still pinching ourselves.'
The Rockville, Maryland-based United Communications Group is one of the largest, and most profitable, newsletter companies in the world, producing about 120 business-to-business newsletters and other information products.
Asked how the recent acquisition fits with other UCG business lines, Levenson said, 'It's a bit of a stretch, but being the owner of a professional sports team does open some interesting doors.'
Local reaction
Terence Moore, sports columnist at The Atlanta Journal-constitution, wrote of the new ownership group of the Hawks and the Thrashers:
'Earlier this week, during the group's first news conference, nearly every member challenged the unofficial record for giddy looks and clever phrases. That's fine, but now they have to produce championships. They do that by hiring the definitive basketball and hockey people and then getting out of the way.'
Moore continued: 'Yes, Boston's Steve Belkin and Washington's Bruce Levenson threw the most pennies into this mighty pot. While Belkin will oversee the Hawks, Levenson will run the Thrashers. And, yes, Washington's Ed Peskowitz opened his vault enough to operate Philips Arena.'
Not every member of the group is from out of town. Michael Gerson Jr. is the son of 'the strikingly wise business and basketball man who has been associated with the Hawks for nearly three decades,' Moore wrote.
Another owner, Rutherford Seydel, is the son-in-law of Ted Turner, the television tycoon who at one time or another owned the Hawks, the Thrashers, and the Atlanta Braves.
A history of creative achievement
UCG has a rich history of creative achievement:
* The company has won more awards in NEPA's 'excellence in newsletter journalism' competition than any other company--70 of them. It is also alone in being in the winners' circle for the 24th consecutive year of the competition.
* Every five years the company celebrates its anniversary with an all-expenses-paid trip for their employees and guests, to a surprise destination. Last year, in celebration of its 25th anniversary, 700 employees and guests enjoyed a private 15-car passenger train trip to New York's Waldorf Astoria. Earlier trips included chartered flights to Marco Island, Florida, Las Vegas, and the Grand Canyon.
* Years ago, UCG also instituted a program to tutor innercity youths in New York City and the Washington area.
UCG to continue to be primary focus
While Levenson, Peskowitz and Foreman will play major oversight roles in the operations of the Atlanta teams and the arena, they will also continue their hands-on roles at UCG.
'UCG was, is, and will continue to be our primary focus. We continue to pursue excellent opportunities to grow UCG,' Levenson said.
UCG, 11300 Rockville Pike, #1100, Rockville, MD 20852, 301-287-2700, fax 301-816-8945, www.ucg.com
