<PAGE> 1
AS FILED WITH THE SECURITIES AND EXCHANGE COMMISSION ON APRIL 7, 1999
REGISTRATION NO. 333-_____
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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM S-3
REGISTRATION STATEMENT
UNDER
THE SECURITIES ACT OF 1933
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U.S. VISION, INC.
(Exact name of registrant as specified in its charter)
<TABLE>
<S> <C> <C>
DELAWARE 5995 22-3032948
(State or other jurisdiction of (Primary Standard Industrial (I.R.S. Employer
incorporation or organization) Classification Code Number) Identification No.)
</TABLE>
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1 HARMON DRIVE, GLEN OAKS INDUSTRIAL PARK, GLENDORA, NEW JERSEY 08029
(609) 228-1000
(Address, including zip code, and telephone number, including area code, of
registrant's principal executive offices)
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WILLIAM A. SCHWARTZ, JR.
PRESIDENT AND CHIEF EXECUTIVE OFFICER
U.S. VISION, INC.
1 HARMON DRIVE
GLEN OAKS INDUSTRIAL PARK
GLENDORA, NEW JERSEY 08029
(609) 228-1000
(NAME, ADDRESS, INCLUDING ZIP CODE, AND TELEPHONE
NUMBER, INCLUDING AREA CODE, OF AGENT FOR SERVICE)
With a copy to:
BRIAN M. LIDJI
SAYLES & LIDJI
4400 RENAISSANCE TOWER
1201 ELM STREET
DALLAS, TEXAS 75270
(214)939-8700
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Approximate date of commencement of proposed sale to public: From time to time
after this registration statement becomes effective.
If the only securities being registered on this form are to be offered pursuant
to dividend or interest reinvestment plans, please check the following box: [ ]
If any of the securities being registered on this form are to be offered on a
delayed or continuous basis pursuant to Rule 415 under the Securities Act of
1933, other than securities offered only in connection with dividend or interest
reinvestment plans, please check the following box: [X]
If this Form is filed to register additional securities for an offering pursuant
to Rule 462(b) under the Securities Act, please check the following box and list
the Securities Act registration statement number of the earlier effective
registration statement for the same offering. [ ]
If this Form is a post-effective amendment filed pursuant to Rule 462(c) under
the Securities Act, check the following box and list the Securities Act
registration statement number of the earlier effective registration statement
for the same offering. [ ]
If delivery of the prospectus is expected to the made pursuant to Rule 434,
please check the following box. [ ]
<TABLE>
<CAPTION>
CALCULATION OF REGISTRATION FEE
- ------------------------------------------------------------------------------------------------------------
Title of Each Class of Amount to Proposed Maximum Proposed Maximum
Securities to be be Aggregate Aggregate Amount of
Registered Registered Price Per Unit(1) Offering Price(1) Registration Fee
- ----------------------------- ---------------- ----------------- ----------------- ----------------
<S> <C> <C> <C> <C>
Common Stock, $0.01 par value 1,522,931 Shares $4.87 $6,472,457.00 $1,800.
============================= ================ ================= ================= ================
</TABLE>
(1) Estimated pursuant to Rule 457(c) under the Securities Act of 1933 solely
for the purpose of calculating the registration fee.
THE REGISTRANT HEREBY AMENDS THIS REGISTRATION STATEMENT ON SUCH DATE
OR DATES AS MAY BE NECESSARY TO DELAY ITS EFFECTIVE DATE UNTIL THE REGISTRANT
SHALL FILE A FURTHER AMENDMENT WHICH SPECIFICALLY STATES THAT THIS REGISTRATION
STATEMENT SHALL THEREAFTER BECOME EFFECTIVE IN ACCORDANCE WITH SECTION 8(a) OF
THE SECURITIES ACT OF 1933 OR UNTIL THIS REGISTRATION STATEMENT SHALL BECOME
EFFECTIVE ON SUCH DATE AS THE COMMISSION, ACTING PURSUANT TO SAID SECTION 8(a),
MAY DETERMINE.
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<PAGE> 2
PROSPECTUS
THE INFORMATION IN THIS PROSPECTUS IS NOT COMPLETE AND MAY BE CHANGED. THE
SELLING STOCKHOLDER MAY NOT SELL THESE SECURITIES UNTIL THE REGISTRATION
STATEMENT FILED WITH THE SECURITIES AND EXCHANGE COMMISSION IS EFFECTIVE. THIS
PROSPECTUS IS NOT AN OFFER TO SELL THESE SECURITIES AND IS NOT SOLICITING AN
OFFER TO BUY THESE SECURITIES IN ANY STATE WHERE THE OFFER OR SALE IS NOT
PERMITTED.
SUBJECT TO COMPLETION, DATED APRIL 7, 1998
1,522,931 SHARES
U.S. VISION, INC.
COMMON STOCK
The selling stockholder identified in this prospectus is selling up to 1,522,931
shares of common stock of U.S. Vision, Inc. These shares represent approximately
all of the shares of U.S. Vision common stock held by the selling stockholder.
U.S. Vision will not receive any of the proceeds from the sale of shares by the
selling stockholder. The public offering of the 1,522,931 shares by the selling
stockholder is not being underwritten. U.S. Vision's common stock is listed on
the Nasdaq National Market under the symbol "USVI." On April 1, 1999, the
closing sale price of the common stock, as reported on the Nasdaq National
Market, was $4.125 per share.
INVESTING IN THE COMMON STOCK INVOLVES A HIGH DEGREE OF RISK. SEE "RISK
FACTORS," BEGINNING ON PAGE 3.
The U.S. Vision shares offered or sold under this prospectus have not been
approved by the SEC or any state securities commission, nor have these
organizations determined that this prospectus is accurate or complete. Any
representation to the contrary is a criminal offense.
The selling stockholder may sell the shares of common stock described in this
prospectus in public or private transactions, on or off the National Market
System of the Nasdaq Stock Market, at prevailing market prices, or at privately
negotiated prices. The selling stockholder may sell shares directly to
purchasers or through brokers or dealers. Brokers or dealers may receive
compensation in the form of discounts, concessions or commissions from the
selling stockholders. More information is provided in the section titled "Plan
of Distribution" on page 7.
U.S. Vision's address and telephone number is: 1 Harmon Drive, Glen Oaks
Industrial Park, Glendora, New Jersey 08029, (609) 228-1000.
The date of this Prospectus is April___, 1999.
<PAGE> 3
WHERE YOU CAN GET MORE INFORMATION
We are a reporting company and file annual, quarterly and current reports, proxy
statements and other information with the SEC. You may read and copy these
reports, proxy statements and other information at the SEC's public reference
rooms in Washington, DC, New York, NY, and Chicago, IL. You can request copies
of these documents by writing to the SEC and paying a fee for the copying cost.
Please call the SEC at 1-800-SEC-0330 for more information about the operation
of the public reference rooms. Our SEC filings are also available at the SEC's
web site at "http://www.sec.gov." In addition, you can read and copy our SEC
filings at the office of the National Association of Securities Dealers, Inc.,
at 1735 K Street, Washington, DC 20006.
The SEC allows us to "incorporate by reference" information that we file with
them, which means that we can disclose important information to you by referring
you to those documents. The information incorporated by reference is an
important part of this prospectus, and information that we file later with the
SEC will automatically update and supercede this information. We incorporate by
reference the documents listed below and any future filings we will make with
the SEC under Section 13(a), 13(c), 14 or 15(d) of the Securities Exchange Act
of 1934:
o Annual Report on Form 10-K for the year ended January 31,
1998;
o Quarterly Reports on Form 10-Q for the quarters ended April
30, 1998, July 31, 1998, and October 30, 1998; and
o The description of the common stock contained in U.S. Vision's
Registration Statement on Form S-1 (Registration No.
333-35819).
You may request a copy of these filings at no cost, by writing or telephoning us
at the following address:
U.S. Vision, Inc.
Glen Oaks Industrial Park
One Harmon Drive
Glendora, New Jersey 08029
(609) 228-1000
This prospectus is part of the Registration Statement we filed with the SEC. You
should rely only on the information incorporated by reference or provided in
this prospectus. We have not authorized anyone else to provide you with
different information. We are not making an offer of these securities in any
state where the offer is not permitted. You should not assume that the
information in this prospectus is accurate as of any date other than the date on
the front of the document.
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<PAGE> 4
FORWARD-LOOKING STATEMENTS
This prospectus contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934, including statements regarding U.S. Vision's relationship
with host stores and competitors, the growth rate of its revenue and market
share, as well as its expectations and intentions. Forward-looking statements
necessarily involve risks and uncertainties, and U.S. Vision's actual results
could differ materially from those anticipated in the forward-looking
statements, including those set forth below under "Risk Factors" and elsewhere
in this prospectus. The factors set forth below under "Risk Factors" and other
cautionary statements made in this prospectus should be read and understood as
being applicable to all related forward-looking statements whenever they appear
in this prospectus.
RISK FACTORS
Investing in U.S. Vision's common stock is risky. You should be able to bear a
complete loss of your investment. You should carefully consider the following
factors, in addition to the other information in this prospectus.
RISKS RELATING TO HOST STORE RELATIONSHIPS AND SHORT-TERM LEASES
For the year ended January 31, 1998, and for the nine months ended October 31,
1998, 86% and 88%, respectively, of our net sales were derived from sales in
optical centers located within department stores. For the same periods, sales
attributable to optical centers located within J.C. Penney Company, Inc. stores
represented approximately 66% and 67%, respectively of our sales. We are
indirectly dependent on the operations and financial success of our host
department stores. A decline in the sales, customer traffic or overall financial
performance of one or more of our host department stores could have a material
adverse effect on our business. In addition, our future expansion plans depend,
to a large extent, on the expansion or renewal plans of our host department
stores, primarily J.C. Penney. A substantial change in J.C. Penney's expansion
or remodeling plans could have a material adverse effect on our planned growth
strategy and future financial performance and results of operations. We
anticipate that we will continue to rely upon several host stores for a
significant portion of our revenues and as part of our business strategy we
intend to increase the number of leased departments we operate within J.C.
Penney and Sears Roebuck and Co. However, we cannot assure you that we will be
able to maintain our relationships with our host stores on favorable terms, if
at all.
Our optical centers within J.C. Penney stores are subject to a master lease that
expires in December 2003. The master lease may be terminated early, but no more
than 40 of our J.C. Penney optical centers may be closed by J.C. Penney in any
calendar year for any reason. This limitation does not apply, however, if J.C.
Penney closes an entire J.C. Penney department store, either temporarily or
permanently. Each of our retail optical departments within Sears stores is
subject to an individual lease that provides for a year-to-year term. Each of
our leases with Sears may be terminated early by either us or Sears for any
reason, on 30 days prior written notice. One of our principal competitors
operates most of the Sears optical departments. Our retail optical departments
located within other department stores are subject to lease arrangements that
contain short notice lease termination provisions. There can be no assurance
that any lease between us and a host store will not be terminated or its terms
adversely changed. A substantial change in our relationship with one or more of
our host department stores resulting in the termination or change of optical
center leases could have a material adverse effect on our business, financial
condition or results of operations.
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<PAGE> 5
COMPETITION
The optical retail business is highly competitive, and several of our
competitors have more resources than we have. These additional resources may
enable competitors to pursue more aggressive pricing and promotional strategies
at the expense of profits for longer periods of time than we can and may enable
them to pursue these strategies through an extended downturn in the optical
market. We compete with other national, regional, and local retail optical
chains and independent optical retailers. Optical retailers generally serve
individual or local markets and, as a result, competition is fragmented and
varies substantially among locations and geographic areas. The principal
competitive factors affecting our retail operations are merchandise selection,
quality and consistency of products and services, price, location within the
host store, convenience, availability of on-site professional eye examinations
and access to a host store's private label credit card. The retail optical
industry engages in price-related promotional offers as a standard marketing
practice. We cannot assure you that periods of intense price competition
resulting from those offers will not materially affect our profitability.
Additionally, we face competition from advances in vision correction
technologies, including laser surgery and other surgical vision correction
procedures. This could result in decreased demand for eyeglasses and contact
lenses, which could have a material adverse effect on our business, financial
condition or results of operations.
To the extent our customers may not be covered by our eye care benefit plans, we
may compete with other vision care benefit plans and retailers who provide
alternative vision care plans. As the number of national and regional managed
vision care programs increase, competition for customers will intensify among
the various vision care programs.
AGGRESSIVE GROWTH STRATEGY; DEPENDENCE ON HOST STORES FOR GROWTH
We intend to pursue a strategy of growth through internal expansion and
acquisitions as opportunities arise. This strategy is likely to place
significant demands on our capital, operational and management resources and may
expose us to a variety of risks, including the risk that we will be unable to
retain personnel or acquire other resources necessary to adequately service our
growth. Our expansion strategy will be predominantly dependent upon our
expansion within our current host stores, particularly J.C. Penney. Because we
have a strong relationship with our existing host stores and many of our hosts
have numerous locations that do not yet contain optical departments, we believe
a significant portion of our future growth will come from existing host stores.
Although as a part of our growth strategy we anticipate the opening of a
significant number of new retail optical departments, we are under no obligation
to do so and we cannot assure you that we will open these locations. None of our
agreements with our host department stores require the host stores to offer us
additional optical center leases. If we do not open new stores as we anticipate
our future results of operations may be materially and adversely affected.
DEPENDENCE ON SINGLE MANAGED VISION CARE PROVIDER
Since 1991, we have been a national provider of managed vision care through
Vision One. Vision One is a third-party vision care plan owned by Cole National
Corporation. Cole is one of our principal competitors. For the year ended
January 31, 1998, and the nine months ended October 31, 1998, 33% and 35%,
respectively, of our revenues were generated from sales to members of Vision One
and other vision care benefit plans, and we anticipate that this percentage will
increase over the next several years. Our contract with Cole National expires in
2002. Our contract with Cole National may be terminated earlier under certain
circumstances. We cannot assure you that we will be able to maintain our
relationship with Cole National. A substantial change in our relationship with
Cole National could have a material adverse effect on our business, financial
condition or results of operations.
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DEPENDENCE ON KEY PERSONNEL
We are highly dependent on certain members of our management team, particularly
William A. Schwartz, Jr., the Company's Chairman, President and Chief Executive
Officer. The loss of his services could have a material adverse effect on our
business, financial condition and results of operations. Mr. Schwartz's
employment agreement terminates in October 2000, at which time it automatically
renews for one-year periods thereafter unless terminated by us or Mr. Schwartz
on not less than 90 days notice prior to the end of the then current one-year
term.
HISTORY OF LOSSES IN FREESTANDING STORES
As a result of poor financial operations relating to our freestanding stores, we
commenced a program to identify and close unprofitable freestanding stores from
1990 through 1995. During that six-year period, we closed 356 unprofitable
freestanding stores. Since January 31, 1996, our remaining freestanding optical
retail stores generated positive store contribution. We cannot assure you that
this trend will continue. Should certain freestanding locations generate what we
believe to be less than desired operating results, we may decide to close
additional locations. Closing additional freestanding locations could have a
material adverse effect on business, financial condition and results of
operation.
YEAR 2000 COMPLIANCE
We are aware of the issues associated with the programming code in existing
computer systems as the year 2000 approaches. The "year 2000 problem" is
pervasive and complex as virtually every computer operation will be affected in
some way by the rollover of the two digit year value to 00. The issue is whether
computer systems will properly recognize date-sensitive information when the
year changes to 2000. Systems that do not properly recognize such information
could generate erroneous data or fail. We are in the process of implementing a
Year 2000 compliant point of sale and order entry system in our retail
locations. As a result, we do not anticipate having any year 2000 compliance
issues with respect to the information technology systems to be used by our
retail stores. In addition, we are working with its external suppliers and
service providers to ensure that they and their systems will be able to support
our needs and, where necessary, interoperate with our server and networking
hardware and software infrastructure in preparation for the year 2000.
Management does not anticipate that the company will incur significant operating
expenses or be required to invest heavily in computer systems improvements to be
year 2000 compliant. However, significant uncertainty exists concerning the
potential costs and effects associated with any year 2000 compliance. Any year
2000 compliance problems of either ours, our customers or vendors could have a
material adverse effect on our business, results of operations and financial
condition.
RISKS RELATED TO GOVERNMENT REGULATION
The field of optical retailing is regulated by many of the states in which we do
business. Certain states require the presence of licensed opticians in vision
centers where eyeglasses or contact lenses are fitted or dispensed. Any
difficulties or delays in securing the services of such optical professionals
could adversely affect our business and our relationship with our host stores.
We are subject to a variety of federal, state and local laws, rules and
regulations affecting the health care industry and the delivery of health care
services. State and local legal requirements vary widely among jurisdictions and
are subject to change, as are federal legal requirements.
The legality of our relationships with opticians and optometrists in the states
in which we operate may be challenged in the future, and if challenged, we may
be required to alter the manner in which we conduct our business. Any such
alteration could adversely affect our business and our relationships with our
host stores.
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<PAGE> 7
Failure to comply with existing laws and regulations or the adoption of new laws
and regulations could have a material adverse effect on our business, financial
condition and results of operations.
OTHER FACTORS AFFECTING FUTURE OPERATING PERFORMANCE
Our future quarterly results may be materially affected by a variety of factors,
some of which may be beyond our control. Some of these factors include, but are
not limited to:
o our ability to select and stock merchandise attractive to
customers;
o our ability to efficiently fill customer orders;
o the mix of products sold, pricing and other competitive
factors;
o the seasonality of our business;
o weather factors affecting retail operations; and
o general economic cycles affecting consumer spending.
Accordingly, results of operations for any particular quarter may not be
indicative of results of operations for future periods.
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<PAGE> 8
THE COMPANY
U.S. Vision is a leading retailer of optical products and services through
retail optical departments licensed to operate within national and regional
department host stores and through a limited number of freestanding retail
locations. As of March 1, 1999, we operated 620 locations in 48 states,
consisting of 563 licensed departments and 67 freestanding stores. We currently
operate 409 J.C. Penney retail optical departments and are J.C. Penney's primary
optical licensee. In addition, we operate 69 Sears retail optical departments
and 85 retail optical departments in regional department stores. Our
freestanding stores are generally located in malls and shopping centers.
U.S. Vision's retail optical departments are generally full-service retail
vision care stores that offer an extensive selection of designer brands and
private label prescription eyewear, contact lenses, sunglasses and accessories
with an on-premises, independent optometrist who performs complete eye
examinations and prescribes eyeglasses and contact lenses. U.S. Vision's
extensive selection of designer and private label branded eyewear allows us to
tailor our merchandise selection to meet the needs of our host store customers.
Since 1991, U.S. Vision has been a national provider of managed vision care
benefits through its participation in managed vision care programs which offer
comprehensive eyewear benefits to managed care participants. We currently
generate approximately 35% of our revenues from our participation in managed
vision care programs.
USE OF PROCEEDS
U.S. Vision will not receive any proceeds from the sale of the shares of common
stock offered by the selling stockholder.
SELLING STOCKHOLDER
Under a Stockholders' Agreement dated as of December 29, 1995, by and among U.S.
Vision, the selling stockholder and certain other stockholders of U.S. Vision,
we agreed to register the U.S. Vision common stock purchased by the selling
stockholder in a private placement and to use our best efforts to keep the
Registration Statement effective until all of the shares are sold under the
Registration Statement. Our registration of the shares of common stock does not
necessarily mean that the selling stockholder will sell all or any of the
shares.
The shares covered by this prospectus represent all of the shares of U.S. Vision
common stock held by the selling stockholder.
E. Theodore Stolberg, an affiliate of the selling stockholder, is a director of
U.S. Vision. However, Mr. Stolberg has advised U.S. Vision that he intends to
resign as a director at the time the registration statement, of which this
prospectus forms a part, becomes effective with the Securities and Exchange
Commission.
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<PAGE> 9
The following table sets forth certain information regarding the beneficial
ownership of the common stock, as of March 1, 1999, by the selling stockholder.
<TABLE>
<CAPTION>
Shares Shares
Beneficially Numbers Beneficially Owned
Owned of Shares After Offering(1)
Prior to Being ------------------
Name and Address of Beneficial Owner Offering(1) Offered Number Percent
------------------------------------ ------------ --------- -------- ---------
<S> <C> <C> <C> <C>
Stolberg Partners, L.P.(2) 1,522,931 1,522,931 -0- -0-
</TABLE>
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(1) Beneficial ownership is determined in accordance with Rule 13d-3(d)
promulgated by the SEC under the Securities Exchange Act of 1934, as
amended. Shares of common stock issued pursuant to options, warrants and
convertible securities, to the extent such securities are currently
exercisable or convertible within 60 days of January 31, 1999, are treated
as outstanding for computing the percentage of the person holding such
securities but are not treated as outstanding for computing the percentage
of any other person. Unless otherwise noted, each person or group
identified possesses sole voting and investment power with respect to
shares, subject to community property laws where applicable. Shares not
outstanding but deemed beneficially owned by virtue of the right of a
person or group to acquire them within 60 days are treated as outstanding
only for purposes of determining the number of and percent owned by such
person or group.
(2) These securities are held by Stolberg Partners, L.P. The business address
of Stolberg Partners, L.P., is 767 Third Avenue, New York, NY 10017.
Stolberg Meehan and Scano, Inc., is the general partner of SGMS, L.P.,
which is the general partner of Stolberg Partners, L.P. E. Theodore
Stolberg, an officer of Stolberg Meehan and Scano, Inc., has served as a
member of U.S. Vision's board of directors since 1995. Mr. Stolberg intends
to resign from U.S. Vision's board when the registration statement, of
which this prospectus forms a part, become effective.
The information provided in the table above with respect to the selling
stockholder has been obtained from such selling stockholder. Except as otherwise
disclosed above, the selling stockholder has not within the past three years had
any position, office or other material relationship with U.S. Vision. Because
the selling stockholder may sell all or some portion of the shares of common
stock beneficially owned by it, only an estimate (assuming the selling
stockholder sells all of its shares offered hereby) can be given as to the
number of shares of common stock that will be beneficially owned by the selling
stockholder after this offering. In addition, the selling stockholder may have
sold, transferred or otherwise disposed of, or may sell, transfer or otherwise
dispose of, at any time or from time to time since the date on which it provided
the information regarding the shares of common stock beneficially owned by it,
all or a portion of the shares of common stock beneficially owned by it in
transactions exempt from the registration requirements of the Securities Act of
1933.
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<PAGE> 10
PLAN OF DISTRIBUTION
The shares of U.S. Vision common stock covered by this prospectus may be offered
and sold from time to time by the selling stockholder, including donees,
transferees, pledgees or other successors in interest that receive any shares as
a gift, partnership distribution or other non-sale related transfer. The selling
stockholder will act independently of U.S. Vision in making decisions with
respect to the timing, manner and size of each sale. The selling stockholder may
sell the shares covered by this prospectus on the Nasdaq National Market, or
otherwise, at prices and under terms then prevailing or at prices related to the
then current market price or at negotiated prices. The selling stockholder may
offer its shares of common stock in one or more of the following transactions:
o on any national securities exchange or quotation service on
which the common stock may be listed or quoted at the time of
sale, including the Nasdaq National Market;
o a block trade in which the broker-dealer so engaged will
attempt to sell shares as agent, but may position and resell a
portion of the block as principal to facilitate the
transaction;
o through purchases by a broker-dealer as principal and resale
by such broker-dealer for its own account pursuant to this
prospectus;
o through ordinary brokerage transactions and transactions in
which the broker solicits purchasers;
o in the over-the-counter market;
o in private transactions;
o through options;
o by pledge to secure debts and other obligations; or
o a combination of any of the above transactions.
If required, we will distribute a supplement to this prospectus to describe
material changes in the terms of the offering.
The shares of common stock described in this prospectus may be sold from time to
time directly by the selling stockholder. Alternatively, the selling stockholder
may from time to time offer shares of common stock to or through underwriters,
broker/dealers or agents. The selling stockholder and any underwriters,
broker/dealers or agents that participate in the distribution of the shares of
common stock may be deemed to be "underwriters' within the meaning of the
Securities Act of 1933. Any profits on the resale of shares of common stock and
any compensation received by any underwriter, broker/dealer or agent may be
deemed to be underwriting discounts and commissions under the Securities Act of
1933.
Any shares covered by this prospectus which qualify for sale pursuant to Rule
144 under the Securities Act of 1933 may be sold under Rule 144 rather than
pursuant to this prospectus. The selling stockholder may transfer, devise or
gift such shares by other means not described in this prospectus.
To comply with the securities laws of certain jurisdictions, the common stock
must be offered or sold only through registered or licensed brokers or dealers.
In addition, in certain jurisdictions, the common stock may
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<PAGE> 11
not be offered or sold unless they have been registered or qualified for sale or
any exemption is available and complied with.
Under the Securities Exchange Act of 1934, any person engaged in a distribution
of the common stock may not simultaneously engage in market-making activities
with respect to the common stock for five business days prior to the start of
the distribution. In addition, the selling stockholder and any other person
participating in a distribution will be subject to the Securities Exchange Act
of 1934 which may limit the timing of purchases and sales of common stock by the
selling stockholder or any such other person. These factors may affect the
marketability of the common stock and the ability of brokers or dealers to
engage in market-making activities.
All expenses of this registration, estimated at approximately $27,500, will be
paid by U.S. Vision. These expenses include the SEC's filing fees and fees under
state securities or "blue sky" laws. The selling stockholder will pay all
underwriting discounts and selling commissions, if any.
LEGAL MATTERS
Sayles & Lidji, A Professional Corporation, Dallas, Texas, will give its opinion
that the shares offered in this prospectus have been validly issued and are
fully paid and non-assessable.
EXPERTS
The consolidated financial statements of U.S. Vision as of and for the year
ended January 31, 1996, 1997, and 1998, incorporated by reference into this
prospectus and this Registration Statement, have been audited by Ernst & Young
LLP, independent certified public accountants, as indicated in their report with
respect thereto, and are included herein in reliance upon the authority of said
firm as experts in accounting and auditing.
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<PAGE> 12
We have not authorized any dealer, sales person
or other person to give any information or to make
any representations other than those contained in
this prospectus or any prospectus supplement.
You must not rely on any unauthorized information.
This prospectus is not an offer of the securities
in any state where an offer is not permitted. The
information in this prospectus is current as of
April __, 1999. You should not assume that this
prospectus is accurate as of any other date.
------------------------
<TABLE>
<CAPTION>
TABLE OF CONTENTS
Page
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<S> <C>
Where You Can Find More Information ....2
Forward-Looking Statements .............3
Risk Factors ...........................3
The Company ............................7
Use of Proceeds ........................7
Selling Stockholder ....................7
Plan of Distribution ...................9
Legal Matters .........................10
Experts ...............................10
</TABLE>
1,522,931 Shares
U.S. VISION, INC.
Common Stock
($0.01 par value)
Prospectus
Dated April ___, 1999
<PAGE> 13
PART II
INFORMATION NOT REQUIRED IN PROSPECTUS
ITEM 14. OTHER EXPENSES OF ISSUANCE AND DISTRIBUTION.
The following is a list of estimated expenses in connection with the
issuance and distribution of the securities being registered, with the exception
of underwriting discounts and commissions.
<TABLE>
<CAPTION>
<S> <C>
Securities and Exchange Commission registration fee .................. $ 1,800.00
Legal fees and expenses............................................... $15,000.00
Blue Sky fees and expenses (including legal fees) .................... $ 300.00
Printing and engraving expenses ...................................... $ 5,000.00
Accounting fees and expenses ......................................... $ 2,000.00
Miscellaneous ........................................................ $ 3,400.00
Total ........................................... $27,500.00
==========
</TABLE>
All of the above expenses other than the Registration Fee are estimates. All of
the above expenses will be paid by U.S. Vision.
ITEM 15. INDEMNIFICATION OF DIRECTORS AND OFFICERS.
Section 145 of the Delaware General Corporation Law empowers a Delaware
corporation to indemnify its officers and directors and certain other persons to
the extent and under the circumstances set forth therein.
The Certificate of Incorporation of the Company, a copy of which is filed herein
as Exhibit 3.3., provides for advancement of expenses and indemnification of
officers and directors of the Company and certain other persons against
liabilities and expenses incurred by any of them in certain stated proceedings
and under certain stated conditions to the fullest extent permissible under
Delaware law.
The Stockholders' Agreement dated as of December 29, 1995, provides for
indemnification by the Company of the selling stockholder against certain
liabilities under the Securities Act of 1933, the Securities Exchange Act of
11934, state securities laws or otherwise, and provides for indemnification by
the selling stockholder of the Company and its directors, its officer sand
certain control persons against certain liabilities under the Securities Act of
1933, the Securities Exchange Act of 1934, state securities laws or otherwise.
ITEM 16. EXHIBITS
<TABLE>
<CAPTION>
Exhibit
Number Exhibits
------- --------
<S> <C>
3.3* Restated Certificate of Incorporation
4.1* Specimen Common Stock Certificate
5.1 Opinion of Sayles & Lidji, A Professional Corporation
23.1 Consent of Ernst & Young LLP
23.2 Consent of Sayles & Lidji, A Professional Corporation
(Reference is made to Exhibit 5.1)
24.1 Power of Attorney (Reference is made to the signature
page herein)
</TABLE>
II-1
<PAGE> 14
*Incorporated by reference from the Company's Registration Statement on Form S-1
(Registration No. 333-35819).
ITEM 17. UNDERTAKINGS.
The undersigned registrant hereby undertakes:
(1) To file, during any period in which offers or sales are being
made pursuant to this Registration Statement, a post-effective
amendment to this Registration Statement to include any
material information with respect to the plan of distribution
not previously disclosed in this Registration Statement or any
material change to such information in this Registration
Statement;
(2) That, for the purpose of determining any liability under the
Securities Act of 1933, each such post-effective amendment
shall be deemed to be a new Registration Statement relating to
the securities offered therein, and the offering of such
securities at that time shall be deemed to be the initial bona
fide offering thereof; and
(3) To remove from registration by means of a post-effective
amendment any of the securities being registered which remain
unsold at the termination of the offering.
The undersigned registrant hereby undertakes that, for purposes of determining
any liability under the Securities Act of 1933, each filing of the registrant's
annual report pursuant to Section 13(a) or 15(d) of the Securities Exchange Act
of 1934 (and, where applicable, each filing of an employee benefit plan's annual
report pursuant to Section 15(d) of the Securities Exchange Act of 1934,) that
is incorporated by reference in the registration statement shall be deemed to be
a new registration statement relating to the securities offered therein, and the
offering of such securities at that time shall be deemed to be the initial bona
fide offering thereof.
Insofar as indemnification for liabilities arising under the Securities Act of
1933 may be permitted to directors, officers and controlling persons of the
Registrant pursuant to the foregoing provisions described in Item 15 above, or
otherwise, the Registrant has been advised that in the opinion of the Securities
and Exchange Commission such indemnification is against public policy as
expressed in the Securities Act and is, therefore, unenforceable. In the event
that a claim for indemnification against such liabilities (other than the
payment by the Registrant of expenses incurred or paid by a director, officer or
controlling person of the Registrant in the successful defense of any action,
suit or proceeding) is asserted by such director, officer or controlling person
in connection with the securities being registered, the Registrant will, unless
in the opinion of its counsel the matter has been settled by controlling
precedent, submit to a court of appropriate jurisdiction the question whether
such indemnification by it is against public policy as expressed in the
Securities Act and will be governed by the final adjudication of such issue.
II-2
<PAGE> 15
SIGNATURES
Pursuant to the requirements of the Securities Act of 1933, the Registrant has
duly caused this registration statement to be signed on its behalf by the
undersigned, thereunto duly authorized, in the city of Glendora, State of New
Jersey, on March 30, 1999.
U.S. VISION, INC.
By: /s/ William A. Schwartz, Jr.
--------------------------------------
William A. Schwartz, Jr., President
and Chief Executive Officer
POWER OF ATTORNEY
Each individual whose signature appears below hereby designates and appoints
William A. Schwartz, Jr. and Kathy G. Cullen, and each of them, as such person's
true and lawful attorneys-in-fact and agents (the "Attorneys-in-Fact") with full
power of substitution and resubstitution, for such person and in such person's
name, place, and stead, in any and all capacities, to sign any and all
amendments (including post-effective amendments) to this Registration Statement,
which amendments may make such changes in this Registration Statement as either
Attorney-in-Fact deems appropriate and requests to accelerate the effectiveness
of this Registration Statement, to sign any registration statement to be filed
pursuant to Rule 462(b) under the Securities Act of 1933 for the purpose of
registering additional shares of Common Stock for the same offering covered by
this Registration Statement and to file each such amendment and Registration
Statement with all exhibits thereto, and all documents in connection therewith,
with the Securities and Exchange Commission, granting unto such
Attorneys-in-Fact and each of them, full power and authority to do and perform
each and every act and thing requisite and necessary to be done in and about the
premises, as fully to all intents and purposes as such person might or could do
in person, hereby ratifying and confirming all that such Attorneys-in-Fact or
either of them, or their substitute or substitutes, may lawfully do or cause to
be done by virtue hereof.
Pursuant to the requirements of the Securities Act of 1933, this Registration
Statement has been signed below by the following persons on behalf of the
registrant and in the capacities indicated on March 30, 1999.
<TABLE>
<CAPTION>
SIGNATURE CAPACITY
- --------- --------
<S> <C>
/s/ William A. Schwartz, Jr. President, Chief Executive Officer and Director
- ------------------------------------- (Principal Executive Officer)
William A. Schwartz, Jr.
/s/ Kathy G. Cullen Senior Vice President and Chief Financial Officer
- ------------------------------------- (Principal Financial and Accounting Officer)
Kathy G. Cullen
/s/ G. Kenneth Macrae Director
- -------------------------------------
G. Kenneth Macrae
/s/ Richard K. McDonald Director
- -------------------------------------
Richard K. McDonald
/s/ Dennis J. Shaughnessy Director
- -------------------------------------
Dennis J. Shaughnessy
/s/ E. Theodore Stolberg Director
- -------------------------------------
E. Theodore Stolberg
/s/ J. Roger Sullivan, Jr. Director
- -------------------------------------
J. Roger Sullivan, Jr.
Director
- -------------------------------------
David M. Tracy
/s/ Peter M. Troup Director
- -------------------------------------
Peter M. Troup
</TABLE>
II-3
<PAGE> 16
EXHIBIT INDEX
<TABLE>
<CAPTION>
Exhibit
Number Exhibits
------- --------
<S> <C>
3.3* Restated Certificate of Incorporation
4.1* Specimen Common Stock Certificate
5.1 Opinion of Sayles & Lidji, A Professional Corporation
23.1 Consent of Ernst & Young LLP
23.2 Consent of Sayles & Lidji, A Professional Corporation
(Reference is made to Exhibit 5.1)
24.1 Power of Attorney (Reference is made to the signature
page herein)
</TABLE>
*Incorporated by reference from the Company's Registration Statement on From S-1
(Registration No. 333-35819)
<PAGE> 1
EXHIBIT 5.1
[Sayles & Lidji]
April 5, 1999
U.S. Vision, Inc.
1 Harmon Drive
Glen Oaks Industrial Park
Glendora, New Jersey 08029
Re: U.S. Vision, Inc. - Registration Statement on Form S-3
Gentlemen:
We have acted as counsel to U.S. Vision, Inc., a Delaware corporation (the
"Company"), in connection with its filing with the Securities and Exchange
Commission under the Securities Act of 1933, as amended (the "Securities Act"),
of a Registration Statement on Form S-3, including exhibits thereto (the
"Registration Statement"), covering up to 761,465 shares of the Company's common
stock, par value $0.01 per share (the "Shares").
We have examined the originals, or copies certified to our satisfaction, of such
records of the Company, certificates of officers of the Company and of public
officials, and such other documents as we have deemed relevant and necessary as
the basis of the opinion set forth below. In such examination, we have assumed
the genuineness of all signatures, the authenticity of all documents submitted
to us a photostatic or certified copies and the authenticity of the originals of
such copies.
Based upon our examination, consideration of, and reliance on the documents and
other matters described above, and subject to the comments and exceptions noted
below, we are of the opinion that the Shares have been validly authorized and
are legally issued, fully paid and nonassessable.
We express no opinion as to the applicability of, compliance with, or effect of
federal law or the law of any jurisdiction other than the General Corporation
Law of the State of Delaware.
We hereby consent to the use of our opinion as herein set forth as an exhibit to
the Registration Statement and to the use of our name under the caption "Legal
Matters" in the prospectus forming a part of the Registration Statement. This
consent is not to be construed as an admission that we are a person whose
consent is required to be filed with the Registration Statement under the
provisions of the Securities Act.
Sincerely,
SAYLES & LIDJI,
A Professional Corporation
By:
---------------------------------------
Brian M. Lidji
<PAGE> 1
EXHIBIT 23.1
CONSENT OF INDEPENDENT AUDITORS
The Board of Directors
U.S. Vision, Inc.
We consent to the reference to our firm under the caption "Experts" in the
Registration Statement on Form S-3 and related Prospectus of U.S. Vision, Inc.
for the registration of 1,522,931 shares of its common stock and to the
incorporation by reference therein of our report dated March 17, 1998, with
respect to the consolidated financial statements of U.S. Vision, Inc. included
in its Annual Report on Form 10-K for the year ended January 31, 1998.
/s/ Ernst & Young LLP
Philadelphia, Pennsylvania
March 30, 1999
