October 26, 2010 (FinancialWire) (http://www.financialwire.net/) –  Pre-Paid Legal Services, Inc. (NYSE: PPD) said that it is evaluating strategic alternatives, including a possible sale of the company and alternatives that do not involve a sale.

The company’s board of directors has established a special committee comprised of independent directors to lead the process.

As part of the process, the special committee has been evaluating an offer Pre-Paid said it received from a private equity firm to acquire all of the outstanding shares of the company's common stock in a merger at a price of $60 cash per share.

Among other terms, the proposal allows for the offeror to pay a to-be-determined amount to the company as the offeror's sole recourse in the event that it is not able to obtain financing to complete the transaction.

The special committee has not set a definitive timetable for completion of its evaluation of strategic alternatives.

Oklahoma-based Pre-Paid Legal offers plans that provide for legal service benefits provided through a network of independent law firms across the U.S. and Canada, and include unlimited attorney consultation, will preparation, traffic violation defense, automobile-related criminal charges defense, letter writing, document preparation and review and a general trial defense benefit.

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