<PAGE> 1
ELOYALTY CORPORATION- SC 13G - Statement of Beneficial Ownership
Date Filed: 6/5/00
--------------------------------------------------------------------------------
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No.29015110 Page 1 of 18 pages
-------------------------------------------------------------------------------
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13G
Under the Securities Exchange Act of 1934
(Amendment No. ___ )*
eLoyalty Corporation
-------------------------------------------------------------------------------
(Name of Issuer)
Common Stock
-------------------------------------------------------------------------------
(Title of Class of Securities)
29015110
--------------------------------
(CUSIP Number)
May 26, 2000 and June 1, 2000
--------------------------------
(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> 2
SCHEDULE 13G
--------------------------------------------------------------------------------
CUSIP No. 29015110 Page 2 of 18 pages
--------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TCV III (GP)
See Item 2 for identification of General Partner
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 13,061(A)
SHARES ----------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH ----------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 13,061(A)
WITH ----------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
13,061(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
0.0%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 3,685,679 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 3
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 3 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TCV III, L.P.
See Item 2 for identification of General Partner
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 62,040(A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 62,040(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
62,040(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
0.1%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 3,636,700 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 4
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 4 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TCV III (Q), L.P.
See Item 2 for identification of General Partner
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 1,648,964(A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 1,648,964(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,648,964(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
3.5%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 2,049,776 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 5
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 5 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TCV III Strategic Partners, L.P.
See Item 2 for identification of General Partner
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 74,675(A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 74,675(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
74,675(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
0.2%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 3,624,065 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 6
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 6 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER MANAGEMENT III, L.L.C.
See Item 2 for a list of Managing General Partners
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 1,798,740(A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 1,798,740(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,798,740(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
3.8%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
OO
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 1,900,000 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 7
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 7 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TCV IV, L.P.
See Item 2 for identification of General Partner
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 1,830,516(A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 1,830,516(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,830,516(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
3.9%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 1,868,224 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 8
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 8 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TCV IV Strategic Partners, L.P.
See Item 2 for identification of General Partner
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 69,484(A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 69,484(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0(A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
69,484(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
.1%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
PN
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 3,629,256 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 9
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 9 of 18 pages
-------------------------------------------------------------------------------
-------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON TECHNOLOGY CROSSOVER MANAGEMENT IV, L.L.C.
See Item 2 for a list of Managing Members
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 1,900,000 (A)
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 0 (A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 1,900,000 (A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0 (A)
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,900,000 (A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [X]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
4.0%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
OO
--------------------------------------------------------------------------------
(A) Excludes an aggregate of 1,798,740 shares owned beneficially by the other
reporting persons indicated in this Schedule 13G, as to which this
reporting person disclaims beneficial ownership. Please see item 4.
<PAGE> 10
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 10 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON Jay C. Hoag
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
U.S. Citizen
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 0
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 3,698,740(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 3,698,740(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
3,698,740(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [_]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
7.8%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------------------------------------------------------------------------------
(A) Reporting Person disclaims beneficial ownership of such securities except to
the extent of its pecuniary interest therein. Please see item 4.
<PAGE> 11
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 11 of 18 pages
-------------------------------------------------------------------------------
--------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON Richard H. Kimball
I.R.S. IDENTIFICATION NO. OF ABOVE PERSON (ENTITIES ONLY)
--------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS) (a) [_]
(b) [X]
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 CITIZENSHIP OR PLACE OF ORGANIZATION
U.S. Citizen
--------------------------------------------------------------------------------
5 SOLE VOTING POWER
NUMBER OF 0
SHARES --------------------------------------------------------------
BENEFICIALLY 6 SHARED VOTING POWER
OWNED BY 3,698,740(A)
EACH --------------------------------------------------------------
REPORTING 7 SOLE DISPOSITIVE POWER
PERSON 3,698,740(A)
WITH --------------------------------------------------------------
8 SHARED DISPOSITIVE POWER
0
--------------------------------------------------------------------------------
9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
3,698,740(A)
--------------------------------------------------------------------------------
10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [_]
(SEE INSTRUCTIONS)
--------------------------------------------------------------------------------
11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
7.8%
--------------------------------------------------------------------------------
12 TYPE OF REPORTING PERSON (SEE INSTRUCTIONS)
IN
--------------------------------------------------------------------------------
(A) Reporting Person disclaims beneficial ownership of such securities except to
the extent of its pecuniary interest therein. Please see item 4.
<PAGE> 12
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 12 of 18 pages
-------------------------------------------------------------------------------
Item 1.
(a) NAME OF ISSUER: eLoyalty Corporation (the "Company")
(b) ADDRESS OF ISSUER'S PRINCIPAL EXECUTIVE OFFICES: 150 Field Drive,
Suite 350 Lake Forest, IL 60045.
Item 2.
Set forth below is the following information with respect to each of the
persons filing this Schedule 13G (together, the "Filing Persons"): (a) name; (b)
address of principal offices (if entity) or residence or business address (if
individual); (c) citizenship (if individual) or jurisdiction of organization (if
entity); (d) title of class of securities and (e) CUSIP number.
I.
(a) TCV III (GP), a Delaware limited partnership. The General Partner
of TCV III (GP)is Technology Crossover Management III, L.L.C., a
Delaware limited liability company ("TCM III"). The sole Managing
Members of TCM III are Jay C. Hoag ("Hoag") and Richard H.
Kimball ("Kimball").
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
II.
(a) TCV III, L.P., a Delaware limited partnership. The General
Partner of TCV III, L.P. is TCM III.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
III.
(a) TCV III (Q), L.P., a Delaware limited partnership. The General
Partner of TCV III (Q), L.P. is TCM III.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
IV.
(a) TCV III Strategic Partners, L.P., a Delaware limited partnership.
The General Partner of TCV III Strategic Partners, L.P. is TCM
III.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
<PAGE> 13
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 13 of 18 pages
-------------------------------------------------------------------------------
V.
(a) TECHNOLOGY CROSSOVER MANAGEMENT III, L.L.C., a Delaware limited
liability company.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
VI.
(a) TCV IV, L.P., a Delaware limited partnership. The General Partner
of TCV IV, L.P. is Technology Crossover Management IV, L.L.C., a
Delaware limited liability company ("TCM IV"). The sole Managing
Members of TCM IV are Hoag and Kimball.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
VII.
(a) TCV IV Strategic Partners, L.P., a Delaware limited Partnership.
The General Partner of TCV IV Strategic Partners, L.P. is TCM IV.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
VIII.
(a) TECHNOLOGY CROSSOVER MANAGEMENT IV, L.L.C., a Delaware limited
liability company.
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) Delaware
(d) Common Stock
(e) 29015110
IX.
(a) Jay C. Hoag
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) U.S. citizen
(d) Common Stock
(e) 29015110
X.
(a) Richard H. Kimball
(b) 575 High Street, Suite 400, Palo Alto, CA 94301
(c) U.S. citizen
(d) Common Stock
(e) 29015110
Item 3.
Not Applicable
<PAGE> 14
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 14 of 18 pages
-------------------------------------------------------------------------------
Item 4.
(a), (b) and (c) This Schedule 13G shall not be construed as an
admission that any Filing Person is, either for purposes of Section 13(d) or
13(g) of the Act or for other purposes, the beneficial owner of any Common Stock
disclosed in this Schedule 13G. The aggregate number and percentage of the class
of securities identified pursuant to Item 1 of this Schedule 13G that, pursuant
to Rule 13d-3, may be deemed to be beneficially owned by each Filing Person are
as follows:
<TABLE>
<CAPTION>
Common Stock
------------
Beneficially Voting Dispositive
Filing Person Owned % of Class(1) Power Power
------------- ------------ ------------- ------ -----------
<S> <C> <C> <C> <C>
TCV III (GP)(2) 13,061 0.0% sole sole
TCV III, L.P.(2) 62,040 0.1% sole sole
TCV III (Q), L.P.(2) 1,648,964 3.5% sole sole
TCV III Strategic Partners,
L.P.(2) 74,675 0.2% sole sole
TECHNOLOGY CROSSOVER MANAGEMENT
III, L.L.C 1,798,740 3.8% sole sole
TCV IV, L.P.(3) 1,830,516 3.9% sole sole
TCV IV Strategic Partners, L.P.(3) 69,484 0.1% sole sole
TECHNOLOGY CROSSOVER MANAGEMENT
IV, L.L.C. 1,900,000 4.0% sole sole
Hoag(4) 3,698,740 7.8% shared sole
Kimball(4) 3,698,740 7.8% shared sole
</TABLE>
------------------------------------
(1) All percentages in this table are based on the 47,148,847 shares
of Common Stock of the Company outstanding, as reported in the
Company's most recent 10Q filed with the Securities and Exchange
Commission on May 15, 2000.
(2) Each noted entity (together, the "TCV III Funds") is the holder
of record of the securities set forth opposite the name of such
entity and has sole voting and investment power with respect to
such securities. TCM III, as sole General Partner of TCV III
(GP), TCV III, L.P., TCV III (Q), L.P. and TCV III Strategic
Partners, L.P. and may also be deemed to have sole voting and
investment power with respect to such securities. TCM III
disclaims beneficial ownership of such securities except to the
extent of its pecuniary interest therein.
(3) Each noted entity (together, the "TCV IV Funds") is the holder of
record of the securities set forth opposite the name of such
entity and has sole voting and investment power with respect to
such securities. TCM IV, as sole General Partner of TCV IV, L.P.
and TCV IV Strategic Partners, L.P. and may also be deemed to
have sole voting and investment power with respect to such
securities. TCM IV disclaims beneficial ownership of such
securities except to the extent of its pecuniary interest
therein.
<PAGE> 15
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 15 of 18 pages
-------------------------------------------------------------------------------
(4) Under the operating agreement of TCM III and TCM IV, Hoag and
Kimball have the independent power to cause the funds managed by
such entity to buy and sell securities of publicly traded
portfolio companies, however, in general, they must act by
unanimous consent with respect to all other matters, including
directing the voting of such securities. As a result, Hoag and
Kimball may also be deemed to have sole dispositive power and
shared voting power with respect to the securities held by the
TCV III Funds and the TCV IV Funds. Hoag and Kimball disclaim
beneficial ownership of such securities except to the extent of
their respective pecuniary interests therein.
Item 5. OWNERSHIP OF FIVE PERCENT OR LESS OF A CLASS
Not Applicable.
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
This Schedule 13G is being filed jointly pursuant to Rule 13d-1(k). As a
result of the relationships among the Filing Persons described herein, some or
all of the Filing Persons may be deemed to comprise a "group" within the meaning
of Section 13 and the Rules promulgated thereunder. However, the Filing Persons
deny such group status.
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.
<PAGE> 16
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 16 of 18 pages
-------------------------------------------------------------------------------
MATERIAL TO BE FILED AS EXHIBITS.
--------------------------------
The following exhibit was filed as Exhibit A to the Schedule 13D
relating to the Common Stock of Digital Generation Systems, Inc. filed by the
undersigned with the Securities and Exchange Commission on September 5, 1997 and
is hereby incorporated herein by reference, as updated by Exhibit B hereto:
Exhibit A - Statement Appointing Designated Filer and Authorized Signer
dated September 5, 1997
The following exhibit was filed as Exhibit B to the Schedule 13G
relating to the Common Stock of PSW Technologies, Inc. filed by the undersigned
with the Securities and Exchange Commission on October 23, 1998 and is hereby
incorporated herein by reference:
Exhibit B - October 23, 1998 Update to Exhibit A to the Designated Filer
Statement
The following exhibit was filed as Exhibit C to the Schedule 13G
relating to the Common Stock of CacheFlow, Inc. filed by the undersigned with
the Securities and Exchange Commission on November 29, 1999 and is hereby
incorporated herein by reference:
Exhibit C - November 29, 1999 Update to Exhibit A to the Designated
Filer Statement
The following exhibit was filed as Exhibit D to the Schedule 13G
relating to the Common Stock of FirePond, Inc. filed by the undersigned with the
Securities and Exchange Commission on February 10, 2000 and is hereby
incorporated herein by reference:
Exhibit D - February 10, 2000 Update to Exhibit A to the Designated
Filer Statement
The following exhibits are attached hereto:
Exhibit E - Statement Appointing Designated Filer and Authorized
Signatories dated February 22, 2000.
Exhibit F - Statement Appointing Designated Filer and Authorized
Signatories dated June 1, 2000.
<PAGE> 17
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 17 of 18 pages
-------------------------------------------------------------------------------
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.
Dated June 5, 2000
TCV III (GP),
a Delaware Limited Partnership
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TCV III, L.P.,
a Delaware Limited Partnership
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TCV III (Q), L.P.,
a Delaware Limited Partnership
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TCV III STRATEGIC PARTNERS, L.P.,
a Delaware Limited Partnership
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TECHNOLOGY CROSSOVER MANAGEMENT III, L.L.C.,
a Delaware Limited Liability Company
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TCV IV, L.P.,
a Delaware Limited Partnership
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TCV IV Strategic Partners, L.P.,
a Delaware Limited Partnership
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
TECHNOLOGY CROSSOVER MANAGEMENT IV, L.L.C.,
a Delaware Limited Liability Company
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
Jay C. Hoag
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
<PAGE> 18
SCHEDULE 13G
-------------------------------------------------------------------------------
CUSIP No. 29015110 Page 18 of 18 pages
-------------------------------------------------------------------------------
Richard H. Kimball
By: /s/ Carla S. Newell
--------------------------------------
Carla S. Newell, Authorized Signatory
<PAGE> 19
STATEMENT APPOINTING DESIGNATED FILER AND AUTHORIZED SIGNATORIES,
FEBRUARY 22, 2000
Each of the undersigned entities and individuals (collectively, the
"Reporting Persons") hereby authorizes and designates Technology Crossover
Management III, L.L.C. or such other person or entity as is designated in
writing by Robert C. Bensky or Carla S. Newell (the "Designated Filer") as the
beneficial owner to prepare and file on behalf of such Reporting Person
individually, or jointly together with other reporting persons, any and all
reports, notices, communications and other documents (including, but not limited
to, reports on Schedule 13D, Schedule 13G, Form 3, Form 4 and Form 5) that such
Reporting Person may be required to file with the United States Securities and
Exchange Commission or with any regulatory body, including United States
federal, state and self-regulatory bodies (collectively, the "Reports"), with
respect to the Reporting Person's ownership of, or transactions in, the
securities of any entity whose securities are beneficially owned (directly or
indirectly) by such Reporting Person (collectively, the "Companies").
Each Reporting Person hereby further authorizes and designates
Robert C. Bensky and Carla S. Newell (each, an "Authorized Signatory") to
execute and file on behalf of such Reporting Person the Reports and to perform
any and all other acts, which in the opinion of the Designated Filer or an
Authorized Signatory may be necessary or incidental to the performance of the
foregoing powers herein granted.
The authority of the Designated Filer and each Authorized Signatory
under this Document with respect to each Reporting Person shall continue until
such Reporting Person is no longer required to file any Reports with respect to
the Reporting Person's ownership of, or transactions in, the securities of the
Companies, unless earlier revoked in writing. Each Reporting Person acknowledges
that the Designated Filer and the Authorized Signatory are not assuming any of
the Reporting Person's responsibilities to comply with any United States federal
or state law or with any regulations promulgated thereto.
IN WITNESS WHEREOF, the undersigned has caused this Statement
Appointing Designated Filer and Authorized Signatories to be effective as of
February 22, 2000.
REPORTING PERSONS:
February 22, 2000 Technology Crossover Ventures, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
<PAGE> 20
February 22, 2000 Technology Crossover Ventures, C.V.,
a Netherlands Antilles Limited Partnership
By: Technology Crossover Management, L.L.C.,
a Delaware Limited Liability Company,
Its Investment General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Technology Crossover Management, L.L.C.,
a Delaware Limited Liability Company,
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 TCV II, V.O.F.,
a Netherlands Antilles General Partnership
By: Technology Crossover Management II, L.L.C.,
a Delaware Limited Liability Company,
Its Investment General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Technology Crossover Ventures II, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management II, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
<PAGE> 21
February 22, 2000 TCV II (Q), L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management II, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 TCV II Strategic Partners, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management II, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Technology Crossover Ventures II, C.V.,
a Netherlands Antilles Limited Partnership
By: Technology Crossover Management II, L.L.C.,
a Delaware Limited Liability Company,
Its Investment General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Technology Crossover Management II, L.L.C.,
a Delaware Limited Liability Company,
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
<PAGE> 22
February 22, 2000 TCV III (GP),
a Delaware General Partnership
By: Technology Crossover Management III, L.L.C.,
a Delaware Limited Liability Company,
Its Managing General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 TCV III, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management III, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 TCV III (Q), L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management III, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
<PAGE> 23
February 22, 2000 TCV III Strategic Partners, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management III, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Technology Crossover Management III, L.L.C.,
a Delaware Limited Liability Company,
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 TCV IV, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management IV, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Technology Crossover Management IV, L.L.C.,
a Delaware Limited Liability Company,
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
<PAGE> 24
February 22, 2000 TCV Franchise Fund, L.P.,
a Delaware Limited Partnership
By: TCVF Management, L.L.C.,
a Delaware Limited Liability Company
Its General Partner
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 TCVF Management, L.L.C.,
a Delaware Limited Liability Company
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Managing Member
February 22, 2000 Mauna Kea Partners,
a Delaware General Partnership,
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Partner
February 22, 2000 Mauna Lani Partners,
a Delaware General Partnership,
By: /s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag, Partner
February 22, 2000
/s/ Jay C. Hoag
-------------------------------------------
Jay C. Hoag
<PAGE> 25
February 22, 2000
/s/ Carla S. Newell
-------------------------------------------
Carla S. Newell
February 22, 2000
/s/ Richard S. Friedman
-------------------------------------------
Richard S. Friedman
February 22, 2000
/s/ A. Brooke Seawell
-------------------------------------------
A. Brooke Seawell
STATEMENT APPOINTING DESIGNATED FILER AND AUTHORIZED SIGNATORIES, JUNE 1, 2000
The undersigned entity and individuals (collectively, the "Reporting
Persons") hereby authorizes and designates Technology Crossover Management III,
L.L.C. or such other person or entity as is designated in writing by Robert C.
Bensky or Carla S. Newell (the "Designated Filer") as the beneficial owner to
prepare and file on behalf of such Reporting Person individually, or jointly
together with other reporting persons, any and all reports, notices,
communications and other documents (including, but not limited to, reports on
Schedule 13D, Schedule 13G, Form 3, Form 4 and Form 5) that such Reporting
Person may be required to file with the United States Securities and Exchange
Commission or with any regulatory body, including United States federal, state
and self-regulatory bodies (collectively, the "Reports"), with respect to the
Reporting Person's ownership of, or transactions in, the securities of any
entity whose securities are beneficially owned (directly or indirectly) by such
Reporting Person (collectively, the "Companies").
Each Reporting Person hereby further authorizes and designates Robert C.
Bensky and Carla S. Newell (each, an "Authorized Signatory") to execute and file
on behalf of such Reporting Person the Reports and to perform any and all other
acts, which in the opinion of the Designated Filer or an Authorized Signatory
may be necessary or incidental to the performance of the foregoing powers herein
granted.
The authority of the Designated Filer and each Authorized Signatory under
this Document with respect to each Reporting Person shall continue until such
Reporting Person is no longer required to file any Reports with respect to the
Reporting Person's ownership of, or transactions in, the securities of the
Companies, unless earlier revoked in writing. Each Reporting Person acknowledges
that the Designated Filer and the Authorized Signatory are not assuming any of
the Reporting Person's responsibilities to comply with any United States federal
or state law or with any regulations promulgated thereto.
In Witness Whereof, the undersigned has caused this Statement Appointing
Designated Filer and Authorized Signatories to be effective as of June 1, 2000.
REPORTING PERSONS:
June 1, 2000 TCV IV Strategic Partners, L.P.,
a Delaware Limited Partnership
By: Technology Crossover Management IV, L.L.C.,
a Delaware Limited Liability Company,
Its General Partner
By: /s/ Jay C. Hoag
--------------------------------------------
Jay C. Hoag, Managing Member
