SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): March 21, 1997
Commission file number 0-6237
THE ZIEGLER COMPANIES, INC.
(Exact name of registrant as specified in its charter)
Wisconsin 39-1148883
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
215 North Main Street, West Bend, Wisconsin 53095
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (414) 334-5521
<PAGE>
Item 5.Other Events.
B. C. Ziegler and Company, a broker-dealer subsidiary of The Ziegler
Companies, Inc., (the "Company"), has been made a party to a lawsuit
involving the underwriting of two bond issues which totaled Eleven Million
Six Hundred Eighty Thousand Dollars ($11,680,000) in May of 1989 (the
"Bonds"). The Bonds were issued to construct a retirement facility. In
1992, there was a default on the Bonds, which resulted in a significant
loss of principal and interest by the bondholders.
Although admitting no liability with respect to the matters alleged
in the lawsuit, the Company has reached a provisional settlement with
attorneys who expect to represent a class of former bondholders. The
Company's management has reached a provisional settlement as the best means
to manage the uncertainty and expense of protracted litigation, and to
limit the diversion of management time. The settlement is in the amount of
$1,400,000, and is conditioned upon judicial certification of a class of
bondholders as plaintiffs, and judicial approval of the settlement. The
settlement amount is expected to be charged against 1997 first quarter
earnings for the Company.
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.
THE ZIEGLER COMPANIES, INC.
Registrant
By: /s/ S. Charles O'Meara
S. Charles O'Meara
Senior Vice President and
General Counsel
Dated: March 21, 1997
