SOURCE: Peoples Educational Holdings, Inc.

November 25, 2009 11:30 ET

Peoples Educational Holdings, Inc. Reports Distribution of Shares

SADDLE BROOK, NJ--(Marketwire - November 25, 2009) - Peoples Educational Holdings, Inc. (NASDAQ: PEDH), a leading provider of supplemental educational material for the K-12 school market, today announced that its major shareholder, School Power Limited Partnership, has distributed all of its shares in Peoples Educational Holding, Inc. to its partners and has provided the following information to the Company. The largest recipients of these shares were Adam Smith Fund LLC and Adam Smith Growth Partners, L.P., entities controlled by Tony Christianson, and Adam Smith Management Companies, LLC, which also controlled School Power. Mr. Christianson and the Adam Smith entities are affiliates of Cherry Tree Companies, LLC, Minneapolis, Minnesota. In connection with the distribution, certain other partners in School Power transferred their rights to receive shares to Adam Smith Fund and Adam Smith Growth Partners in exchange for membership or partnership interests in such entities. Such exchanges were made at a negotiated price reflecting an effective transfer price of $2.50 per share of Company stock. Upon the completion of these transactions, Adam Smith Fund and Adam Smith Growth Partners own 727,903 shares and 919,839 shares of the Company, respectively, or 16.3% and 20.7%, respectively, of the Company's non-diluted outstanding shares.

About Peoples Educational Holdings, Inc.

Peoples Educational Holdings, Inc. is a publisher and marketer of print and electronic educational materials for the K-12 school market. The Company focuses its efforts in three market areas:

Test Preparation, Assessment, and Instruction

--  Test Preparation and Assessment: We create and sell state-customized,
    print and electronic, test preparation and assessment materials that help
    teachers prepare students for success in school and for required state
    proficiency tests, grades 1-12.
--  Instruction: We produce and sell proprietary state-customized print
    worktexts and print and web-based delivered assessments, for Grades 1-8.
    These products provide students with in-depth instruction and practice in
    reading, language arts, and mathematics.  In addition, our backlist
    remedial and multicultural products are included in this group.


--  We distribute for three publishers, on an exclusive basis in the
    United States, supplemental literacy materials for grades K-8.  These
    materials include an extensive selection of leveled reading materials, high
    interest engaging resources for striving readers, series that integrate
    reading, science and social studies, and selections and strategies for
    students who are in the process of learning English.

College Preparation

--  We distribute and publish instructional materials that meet the
    required academic standards for high schools honors, college preparation,
    and Advanced Placement courses. We are the exclusive high school
    distributor for two major college publishers.  We also publish our own
    proprietary college preparation supplements and ancillary materials.

The Company's proprietary products are supplemental in nature. They are predominately soft-cover, high gross profit margin titles, that can be sold efficiently through the Company's direct sales force, as well as through catalogs, direct mail, telemarketing, and independent commission sales representatives. Distributed products are both basal and supplemental in nature.

Contact Information

  • Contacts:

    Peoples Education, Inc.
    Saddle Brook, NJ
    Investor Contact: Michael DeMarco
    Press Contact: Michael DeMarco
    Phone: 201-712-0090
    Email Contact