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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES AND EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported)
January 22, 1997
PCS 2000, L.P.
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(Exact Name of Registrant as Specified in its Charter)
Delaware 0-28362 66-0514434
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(State or Other Jurisdiction (Commission (I.R.S. Employer
of Incorporation) File Number) Identification No.)
640 Broadway
Sonoma, California 95476
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(Address of Principal (Zip Code)
Executive Offices)
Registrant's telephone number, including area code (707) 938-2428
No Change
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(Former Name or Former Address, if Changed Since Last Report)
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Item 5. Other Events
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On January 22, 1997, the Federal Communications Commission (the "FCC")
issued its Memorandum Opinion and Order (the "Order") granting the
applications of PCS 2000, L.P. (the "Partnership") for 15 Broadband Personal
Communicating Services ("PCS") Block C licenses. The FCC also denied the
petitions of WillowRun, L.P., Susan D. Easton and the SDE Trust which urged
the FCC to deny the Partnership its licenses.
The Order granted the Partnership PCS licenses in the following 15 Basic
Trading Areas: San Juan and Mayaguez-Aguadilla, Puerto Rico; Salt Lake City-
Ogden, Logan and Provo-Orem, Utah; Reno, Nevada; Fresno, Bakersfield,
Modesto, Visalia-Porterville, Redding, Merced and Eureka, California; and
Boise-Nampa and Lewiston-Moscow, Idaho.
The Order allows the Partnership to begin implementation of its plans to
build PCS networks to provide PCS services to an estimated 3.6 million
potential subscribers in Puerto Rico and an estimated 6.5 million potential
subscribers in the Western United States.
In a Notice of Apparent Liability for Forfeiture, dated January 22, 1997
(the "Notice"), the FCC imposed a penalty of $1 million on the Partnership
because of the actions of Anthony T. Easton, the former chief executive
officer of Unicom Corporation, the Partnership's former general partner. Mr.
Easton was a registered bidding agent of the Partnership. Mr. Easton
mistakenly caused the Partnership to make a bid for the Norfolk, Virginia
Basic Trading Area of approximately $180 million when he had intended a bid
of approximately $18 million. In the Notice, the FCC concluded that in
connection with the bidding error for the Norfolk, Virginia Basic Trading
Area, although the error was inadvertent, Mr. Easton misrepresented facts to
the FCC, lacked candor before the FCC and otherwise attempted to mislead it.
The FCC imposed the penalty on the Partnership because Mr. Easton was an
officer and director of the Partnership's former general partner at the time
the misrepresentations were made. The FCC concluded, however, that because
the Partnership moved quickly to take adequate remedial steps by removing
from ownership and control positions those responsible for the
misrepresentations, the Partnership should not be disqualified from receiving
its licenses. The Partnership will seek to recover this penalty in a legal
action against Mr. Easton and Romulus Telecommunications, Inc. ("Romulus"), a
company which had been hired by the Partnership to provide bidding services
in the Block C license auction. Mr. Easton is an officer and director of
Romulus and shares in the beneficial ownership of Romulus.
The FCC previously determined also to assess the Partnership a bid
withdrawal penalty of $3,273,374 in connection with the bidding error for the
Norfolk, Virginia Basic Trading Area. The Partnership has asked the FCC to
waive or reduce this bid withdrawal penalty. In addition, the FCC has
assessed the Partnership a bid withdrawal penalty of $1,257,711 in connection
with the Partnership's strategic withdrawal of its bid for the Omaha,
Nebraska Basic Trading Area.
Item 7. Financial Statements; Pro Forma Financial Information and
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Exhibits
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(a) Not applicable.
(b) Not applicable.
(c) Exhibits:
Not applicable.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
PCS 2000, L.P.
By: SuperTel Communications Corp.
By:/s/ Richard Reiss
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Name: Richard Reiss
Title: Chief Executive Officer
Dated: February 20, 1997
INDEX TO EXHIBITS
Exhibit Number Description
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Not applicable
