Proxy Fight Cuts into Tix Income

Legal expenses connected with an attempted shareholder takeover ate into the second quarter net income of discount ticker seller Tix Corp. Baker Street Capital LP, the largest shareholder in the Studio-City based company, said it intends to run a slate of directors for the Tix board at the next annual meeting. The date of that meeting has not been set. Expenses related to dealing with the Baker Street situation cost Tix about $835,000 in the second quarter. A proxy fight would cost an additional $1 million, the company estimated in its earning statement released July 14. For the quarter ending June 30, Tix Corp. reported net income of $1.5 million, or $0.06 per diluted share, on revenues of $10 million. For the same period in 2010, the company reported a net loss of $1.3 million, or $0.03 per diluted share, on revenues of $6.9 million. Without the $835,000 in Baker Street expenses, Tix would have reported a net income of $2.4 million, the company said. Tix sells discounted tickets to shows in Las Vegas and has a merchandising arm to set up retail shops in connection with traveling museum exhibits.