UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13G
Under the Securities Exchange Act of 1934
(Amendment No. 1)*
Highlands Insurance Group, Inc.
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(Name of Issuer)
Common Stock, $.01 par value per share
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(Title of Class of Securities)
431032101
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(CUSIP Number)
December 31, 1999
------------------------------------------------------------------
(Date of Event Which Requires Filing of this Statement)
Check the appropriate box to designate the rule pursuant to which this
Schedule is filed:
[ ] Rule 13d-1(b)
[X] Rule 13d-1(c)
[ ] Rule 13d-1(d)
*The remainder of this cover page shall be filled out for a reporting
person's initial filing on this form with respect to the subject class of
securities, and for any subsequent amendment containing information which
would alter the disclosures provided in a prior cover page.
The information required in the remainder of this cover page shall not be
deemed to be "filed" for the purpose of Section 18 of the Securities
Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of
that section of the Act but shall be subject to all other provisions of the
Act (however, see the Notes).
Page 1 of 11 pages
<PAGE>
CUSIP No. 431032101 13G Page 2 of 11 Pages
- ------------------------ ------------------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
Waveland Partners, L.P.
- -------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [ ]
- -------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Illinois
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5 SOLE VOTING POWER
1,383,700 shares of Common Stock
------------------------------------------------------
NUMBER OF 6 SHARED VOTING POWER
SHARES
BENEFICIALLY -0- shares of Common Stock
OWNED BY ------------------------------------------------------
EACH 7 SOLE DISPOSITIVE POWER
REPORTING
PERSON 1,383,700 shares of Common Stock
WITH ------------------------------------------------------
8 SHARED DISPOSITIVE POWER
-0- shares of Common Stock
- -------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,383,700 shares of Common Stock
- -------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
9.9% of the Common Stock
- -------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON*
PN
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
Page 2 of 11 pages
<PAGE>
CUSIP No. 431032101 13G Page 3 of 11 Pages
- ------------------------ ------------------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
Waveland Capital Management L.P.
- -------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [ ]
- -------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Illinois
- -------------------------------------------------------------------------------
5 SOLE VOTING POWER
1,383,700 shares of Common Stock
------------------------------------------------------
NUMBER OF 6 SHARED VOTING POWER
SHARES
BENEFICIALLY -0- shares of Common Stock
OWNED BY ------------------------------------------------------
EACH 7 SOLE DISPOSITIVE POWER
REPORTING
PERSON 1,383,700 shares of Common Stock
WITH ------------------------------------------------------
8 SHARED DISPOSITIVE POWER
-0- shares of Common Stock
- -------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,383,700 shares of Common Stock
- -------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
9.9% of the Common Stock
- -------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON*
PN
- -------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
Page 3 of 11 pages
<PAGE>
CUSIP No. 431032101 13G Page 4 of 11 Pages
- ------------------------ ------------------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
Clincher Capital Corporation
- -------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [ ]
- -------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Illinois
- -------------------------------------------------------------------------------
5 SOLE VOTING POWER
1,383,700 shares of Common Stock
------------------------------------------------------
NUMBER OF 6 SHARED VOTING POWER
SHARES
BENEFICIALLY -0- shares of Common Stock
OWNED BY ------------------------------------------------------
EACH 7 SOLE DISPOSITIVE POWER
REPORTING
PERSON 1,383,700 shares of Common Stock
WITH ------------------------------------------------------
8 SHARED DISPOSITIVE POWER
-0- shares of Common Stock
- -------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,383,700 shares of Common Stock
- -------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
9.9% of the Common Stock
- -------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON*
CO
- -------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
Page 4 of 11 Pages
<PAGE>
CUSIP No. 431032101 13G Page 5 of 11 Pages
- ------------------------ ------------------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
Waveland Capital Management, LLC
- -------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [ ]
- -------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Illinois
- -------------------------------------------------------------------------------
5 SOLE VOTING POWER
1,383,700 shares of Common Stock
------------------------------------------------------
NUMBER OF 6 SHARED VOTING POWER
SHARES
BENEFICIALLY -0- shares of Common Stock
OWNED BY ------------------------------------------------------
EACH 7 SOLE DISPOSITIVE POWER
REPORTING
PERSON 1,383,700 shares of Common Stock
WITH ------------------------------------------------------
8 SHARED DISPOSITIVE POWER
-0- shares of Common Stock
- -------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,383,700 shares of Common Stock
- -------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
9.9% of the Common Stock
- -------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON*
OO
- -------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
Page 5 of 11 pages
<PAGE>
CUSIP No. 431032101 13G Page 6 of 11 Pages
- ------------------------ ------------------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
Waveland Partners, Ltd.
- -------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [ ]
- -------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Cayman Islands
- -------------------------------------------------------------------------------
5 SOLE VOTING POWER
1,383,700 shares of Common Stock
------------------------------------------------------
NUMBER OF 6 SHARED VOTING POWER
SHARES
BENEFICIALLY -0- shares of Common Stock
OWNED BY ------------------------------------------------------
EACH 7 SOLE DISPOSITIVE POWER
REPORTING
PERSON 1,383,700 shares of Common Stock
WITH ------------------------------------------------------
8 SHARED DISPOSITIVE POWER
-0- shares of Common Stock
- -------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,383,700 shares of Common Stock
- -------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
9.9% of the Common Stock
- -------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON*
OO
- -------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
Page 6 of 11 pages
<PAGE>
CUSIP No. 431032101 13G Page 7 of 11 Pages
- ------------------------ ------------------
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
Waveland International, Ltd.
- -------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*
(a) [ ]
(b) [ ]
- -------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Cayman Islands
- -------------------------------------------------------------------------------
5 SOLE VOTING POWER
1,383,700 shares of Common Stock
------------------------------------------------------
NUMBER OF 6 SHARED VOTING POWER
SHARES
BENEFICIALLY -0- shares of Common Stock
OWNED BY ------------------------------------------------------
EACH 7 SOLE DISPOSITIVE POWER
REPORTING
PERSON 1,383,700 shares of Common Stock
WITH ------------------------------------------------------
8 SHARED DISPOSITIVE POWER
-0- shares of Common Stock
- -------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,383,700 shares of Common Stock
- -------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW 9
9.9% of the Common Stock
- -------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON*
OO
- -------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
Page 7 of 11 pages
<PAGE>
Item 1(a). Name of Issuer:
Highlands Insurance Group, Inc.
(b). Address of Issuer's Principal Executive Offices:
1000 Lenox Drive, Lawrenceville, New Jersey 08648
Item 2(a). Name of Person Filing:
This statement is being filed by Waveland International,
Ltd, a Cayman Islands exempted company ("Waveland
International"), Waveland Partners L.P., an Illinois limited
partnership ("Waveland"), Waveland Capital Management, L.P.,
an Illinois limited partnership ("Waveland Capital"), Clincher
Capital Corporation, an Illinois corporation ("Clincher"),
Waveland Capital Management, LLC, an Illinois limited
liability company ("Waveland LLC") and Waveland Partners,
Ltd., a Cayman Islands exempted company ("Partners Ltd." and
together with Waveland International, Waveland, Waveland
Capital, Clincher and Waveland LLC, the "reporting persons").
(b). Address of Principal Business Office or, if None, Residence:
227 W. Monroe, Suite 4800, Chicago, Illinois 60606
(c). Citizenship:
Waveland International, Ltd. Cayman Islands
Waveland Partners, L.P. Illinois
Waveland Capital Management, L.P. Illinois
Clincher Corporation Illinois
Waveland Capital Management, LLC Illinois
Waveland Partners, Ltd. Cayman Islands
(d). Title of Class of Securities:
Common Stock, $.01 par value per share ("Common Stock")
(e). CUSIP Number:
431032101
Item 3. If this statement is filed pursuant to Rule 13d-1(b), or
13d-2(b) or (c), check whether the person filing is a:
(a) [ ] Broker or dealer registered under Section 15 of the
Exchange Act (15 U.S.C. 78o);
(b) [ ] Bank as defined in Section 3(a)(6) of the Exchange Act
(15 U.S.C. 78c);
(c) [ ] Insurance company as defined in Section 3(a)(19) of the
Exchange Act (15 U.S.C. 78c);
Page 8 of 11 pages
<PAGE>
(d) [ ] Investment company registered under Section 8
of the Investment Company Act of 1940 (15 U.S.C.
80a-8);
(e) [ ] An investment adviser in accordance with Rule
13d-1(b)(1)(ii)(E); (f) o An employee benefit plan or
endowment fund in accordance with Rule 13d-
1(b)(1)(ii)(F);
(g) [ ] A parent holding company or control person in accordance
with Rule 13d-(b)(1)(ii)(G);
(h) [ ] A savings association as defined in Section 3(b) of the
Federal Deposit Insurance Act (12 U.S.C. 1813);
(i) [ ] A church plan that is excluded from the
definition of an investment company under
Section 3(c)(14) of the Investment Company Act
(15 U.S.C. 80a-3);
(j) [ ] Group, in accordance with Rule 13d-1(b)(1)(ii)(J).
Item 4. Ownership.
(a). Amount Beneficially Owned:
Waveland International has acquired 1,383,700 shares of
Common Stock. Each of the other reporting persons may be
deemed to share beneficial ownership of the Common Stock
acquired by Waveland International.
(b). Percent of Class:
9.9% of the Common Stock determined in accordance with
the provisions of Rule 13d-1 promulgated under the Act.
(c). Number of shares as to which such person has:
(i). Sole power to vote or to direct the vote:
The reporting persons have the sole power to
vote or direct the vote of 1,383,700 shares of
Common Stock.
(ii). Shared power to vote or to direct the vote:
None.
(iii). Sole power to dispose or to direct the disposition of:
The reporting persons have the sole power to
dispose or to direct the disposition of
1,383,700 shares of Common Stock.
(iv). Shared power to dispose or to direct the disposition of:
None.
Page 9 of 11 pages
<PAGE>
Item 5. Ownership of Five Percent or Less of a Class.
If this statement is being filed to report the fact that
as of the date hereof the reporting person has ceased to
be the beneficial owner of more than five percent of the
class of securities, check the following [ ].
Item 6. Ownership of More than Five Percent on Behalf of Another Person.
Not applicable.
Item 7. Identification and Classification of the Subsidiary Which Acquired the
Security Being Reported on By the Parent Holding Company.
Not applicable.
Item 8. Identification and Classification of Members of the Group.
Not applicable.
Item 9. Notice of Dissolution of Group.
Not applicable.
Item 10. Certification.
By signing below I certify that, to the best of my knowledge and
belief, the securities referred to above were not acquired and are not held
for the purpose of or with the effect of changing or influencing the
control of the issuer of the securities and were not acquired and are not
held in connection with or as a participant in any transaction having that
purpose or effect.
SIGNATURE
After reasonable inquiry and to the best of my knowledge and
belief, I certify that the information set forth in this statement is true,
complete and correct.
Date: February 8, 2000
WAVELAND PARTNERS, L.P.
By: Waveland Capital Management, L.P.
Its: General Partner
By: Clincher Capital Corporation
Its: General Partner
/s/ David S. Richter
By:----------------------------------
David S. Richter, President
Page 10 of 11 pages
<PAGE>
WAVELAND CAPITAL MANAGEMENT, L.P.
By: Clincher Capital Corporation
Its: General Partner
/s/ David S. Richter
By: ------------------------------------
David S. Richter, President
CLINCHER CAPITAL CORPORATION
/s/ David S. Richter
By: -----------------------------------------
David S. Richter, President
WAVELAND CAPITAL MANAGEMENT, LLC
/s/ David S. Richter
By:------------------------------------------
David S. Richter, Manager
WAVELAND PARTNERS, LTD.
/s/ David S.Richter
By: ----------------------------------------
David S. Richter, Director
WAVELAND INTERNATIONAL, LTD.
/s/ David S. Richter
By: ---------------------------------------
David S. Richter, Director
Page 11 of 11 pages
