AUTOINFO INC
10-K/A, 1995-09-28
COMMUNICATIONS SERVICES, NEC
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                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                 ---------------

                                   FORM 10-K/A

                                 ---------------

                ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                       THE SECURITIES EXCHANGE ACT OF 1934

For the Fiscal Year Ended                                  Commission
        May 31, 1995                                       File No. 0-14786

                                 AUTOINFO, INC.
             (Exact name of Registrant as specified in its charter)

         Delaware                                          13-2867481
         (State or Other Jurisdiction of                   (I.R.S. Employer 
         Incorporation or Organization)                    Identification No.)

         1600 Route 208, Fair Lawn, New Jersey             07410
         (Address of Principal Executive Offices)          (Zip Code)

(Registrant's telephone number, including area code) (201) 703-0500

Securities registered under Section 12(b) of the Act:

                                      NONE

Securities registered pursuant to Section 12(g) of the Act:

                          Common Stock, $.01 par value
                          ----------------------------
                                (Title of Class)

     Indicate  by check mark  whether the  Registrant  (1) has filed all reports
required to be filed by Section 13 or 15(d) of the  Securities  Exchange  Act of
1934  during  the  preceding  12 months  (or for such  shorter  period  that the
Registrant was required to file such reports),  and (2) has been subject to such
filing requirements for the past 90 days.

                               Yes  [X]     No  [ ]

     This Form 10-K/A amends Part III,  Items 10, 11, 12 and 13 of Form 10-K for
the Fiscal Year ended May 31, 1995.


<PAGE>



                                    PART III

                        DIRECTORS AND EXECUTIVE OFFICERS

     ANDREW  GASPAR,  age 47, was named Chairman of the Board on March 29, 1995.
Mr. Gaspar has, since March 1991,  been President of the general partner of R.S.
Lauder,  Gaspar & Co. and  Vice-Chairman  of The  Central  European  Development
Corporation,  venture capital firms conducting business in the United States and
Eastern  Europe.  Prior  thereto,  Mr.  Gaspar was a Managing  Director  of E.M.
Warburg Pincus & Co., a venture banking and investment advisory firm, a position
he held from 1982  through  March 1991.  He holds a B.S.  degree  from  Columbia
University,  an M.S. degree from  Northeastern  University and an M.B.A.  degree
from Harvard Business School. He has been a director of the Company since 1978.

     JASON  BACHER,  age 57,  has  been a  director  of the  Company  since  its
inception in 1976.  For its  inception in 1976 through March 29, 1995 Mr. Bacher
was Chairman of the Board and the Chief  Executive  Officer of the Company.  Mr.
Bacher has been associated with the automobile  salvage industry since 1961 as a
principal of Bacher Tire Company,  Inc., an automobile  recycler  located in the
New York  metropolitan  area.  In  connection  with the sale by the Company of a
principal  portion of its business to ADP Solutions on April 1, 1995, Mr. Bacher
joined ADP Solutions.

     SCOTT ZECHER, age 36, joined the Company in January 1984, and was named its
President  and Chief  Operating  Officer  in  January  1993.  Prior to  becoming
President,  he held the position of Executive Vice President and Chief Financial
Officer.  He became a director of the Company in 1989. From 1980 to 1984, he was
with the accounting firm of KPMG Peat Marwick.  Mr. Zecher is a Certified Public
Accountant  with a B.A.  degree  in  Accounting  and  Economics  from  the  City
University of New York at Queens College.

     ROBERT  FAGENSON,  age 46, has been an officer  and  director of Fagenson &
Co., Inc., a registered broker-dealer, for more than five years. Mr. Fagenson is
a member of the Board of Directors of the New York Stock  Exchange.  Since April
1983,  Mr.  Fagenson  has also served as the  Secretary  and a director of Starr
Securities,  Inc., a registered broker-dealer,  which was the underwriter of the
Company's  initial public offering in May 1986. Mr. Fagenson has been a director
of the  Company  since June 1986.  Mr.  Fagenson  is also a director  of Healthy
Planets Products,  Inc.,  Microtel  Franchise and Development Corp. and Rentway,
Inc. Mr.  Fagenson has a B.S.  degree in Business  Administration  from Syracuse
University.

     HOWARD  NUSBAUM,  age 47,  has  been a  director  of the  Company  from its
inception in 1976. Mr. Nusbaum,  who earned a B.A. degree from Brooklyn College,
has been a consultant to the automobile recycling industry since 1976.

     JEROME  STENGEL,  age 58, has been a Vice  President,  Treasurer  and Chief
Financial  Officer of Genovese  Drug Stores,  Inc., an American  Stock  Exchange
company,  for more than five years. Mr. Stengel is a Certified Public Accountant
with a B.B.A.  degree  from  the  City  University  of New  York.  He has been a
director of the Company since 1987.

     WILLIAM WUNDERLICH,  age 47, joined the Company in October 1992 as its Vice
President-Finance  and became Chief Financial Officer in January 1993. From 1990
to 1992,  he served as Vice  President of Goldstein  Affiliates,  Inc., a public
insurance  adjusting  company.  From 1981 to 1990 he served  as  Executive  Vice
President,  Chief  Financial  Officer  and a  Director  of Novo  Corporation,  a
manufacturer  of  consumer  products.  Mr.  Wunderlich  is  a  Certified  Public
Accountant  with a B.A.  degree  in  Accounting  and  Economics  from  the  City
University of New York at Queens College.


<PAGE>


                           BOARD OF DIRECTOR MEETINGS

     During the year ended May 31, 1995, the Board held five  meetings.  Each of
the current members of the Board attended at least 75% of such meetings.

                          BOARD OF DIRECTOR COMMITTEES

     The Board  maintains  an Audit  Committee  comprised  of Messrs.  Fagenson,
Gaspar and Stengel and a Compensation Committee composed of Messrs. Fagenson and
Stengel. Each Committee member is a non-employee  director.  The Audit Committee
approves the  selection of the Company's  auditors and meets and interacts  with
the  auditors  to  discuss  questions  in  regard  to  the  Company's  financial
reporting. The Compensation Committee evaluates the performance of the Company's
executive  employees and determines the salaries and other compensation  payable
to such persons.  Each such Committee met twice during the last full fiscal year
with all members present.

                COMPENSATION OF DIRECTORS AND EXECUTIVE OFFICERS

     The Summary Compensation Table below includes, for each of the fiscal years
ended May 31, 1995, 1994 and 1993,  individual  compensation for services to the
Company and its subsidiaries paid to: (1) the Chief Executive  Officer,  and (2)
the other most highly paid  executive  officers of the Company during the fiscal
year ended May 31, 1995 whose salary and bonus exceeded $100,000 (together,  the
"Named Executives").
<TABLE>
<CAPTION>

                                                                            Long-Term          All
                                                Annual Compensation       Compensation        Other
Name and Principal Position         Year         Salary      Bonus           Options       Compensation

<S>                                 <C>        <C>        <C>                <C>              <C>   
Jason Bacher (2)                    1995       $125,000   $ 182,854(3)                        $4,300
    Chairman of the Board           1994       $135,417   $  45,000          75,000           $4,063
    and Chief Executive Officer     1993       $125,000   $  18,166             -             $3,750

Scott Zecher                        1995       $145,000   $ 235,000(3)       80,000           $4,230
    President and                   1994       $144,000   $   5,000             -             $3,240
    Chief Operating Officer         1993       $125,000   $  18,166         100,000           $2,690

William Wunderlich                  1995       $103,333   $  80,000(3)       40,000           $5,500
    Treasurer and Chief             1994       $ 91,250   $  19,000          35,000           $3,068
    Financial Officer               1993       $ 55,624   $   2,000          50,000           $1,063
</TABLE>

- --------

(1)  Represents amounts contributed to the Company's 401(k) deferred
     compensation plan.

(2)  Mr. Bacher resigned as Chairman of the Board and Chief Executive Officer on
     March 29, 1995.

(3)  Includes a one-time bonus relating to the ADP transaction in the amount of
     $100,000 to Jason Bacher, $150,000 to Scott Zecher and $50,000 to William
     Wunderlich .


Employment Agreements

     Messrs.  Zecher and  Wunderlich  are  employed by the  Company  pursuant to
employment  agreements which expire in April 1998 and April 1997,  respectively.
These  agreements  provide  for minimum  annual  compensation  of  $150,000  and
$120,000, respectively, and provide for annual review by the Board of Directors.

     The  Company has  entered  into  supplemental  employment  agreements  (the
"Supplemental  Employment  Agreements") with Messrs.  Zecher and Wunderlich (the
"Covered Executives"), which provide that if there is a Change in Control of the
Company (as defined therein) during the Protected Period (described  below), the
terms of the  Supplemental  Employment  Agreements  will  supersede  the Covered
Executives'  existing  employment  agreements  and will  govern the terms of the
Covered Executives'  employment following the Change in Control for a three-year
term,  in the  case of Mr.  Zecher,  and a  two-year  term,  in the  case of Mr.
Wunderlich (the "Employment Term"). For these purposes,  the Protected Period is
a  three-year  period  which  commenced  on April 10, 1995 and is  automatically

<PAGE>

extended for one year on April 10, 1996 and each April 10 thereafter, unless the
Company otherwise notifies the Covered Executive at least 90 days prior thereto.
The Supplemental  Employment  Agreements provide that during the Employment Term
the Covered Executives will remain employed in their capacities with the Company
as of the Change in Control and will  continue to receive an annual  salary (the
"Base  Salary") and benefits at least equal to that which they received prior to
the  Change  in  Control  and an  annual  bonus  at least  equal to the  Covered
Executive's  average  annual bonus during the three years prior to the Change in
Control.  The  Supplemental  Employment  Agreements  provide that if, during the
Employment Term, the Covered Executive's employment is terminated by the Company
other than for Cause or Disability or by the Executive either for Good Reason or
during the 60-day Window Period  commencing on the  anniversary of the Change in
Control  (as  each  of  the  foregoing  terms  are  defined  in  the  applicable
Supplemental  Employment  Agreement),  the  Covered  Executive  would  receive a
severance  payment  equal to the sum of his Base  Salary  and the  higher of his
annual  bonus for the then most recent year or his average  annual  bonus during
the three years  preceding  the Change in Control (the "Highest  Annual  Bonus")
multiplied by two, in the case of Mr. Zecher, and one and one-half,  in the case
of Mr. Wunderlich.  In addition, the restrictions on any stock-related incentive
awards  held by the  Covered  Executive  would lapse and he would be entitled to
continued coverage under the Company's life, health and disability  benefits for
two years  following  termination of his employment  (three years in the case of
Mr. Zecher) or until he receives  similar  benefits from a new employer.  If Mr.
Zecher's  employment is terminated (as described above) prior to April 10, 1996,
he would  receive  severance  equal to three  (rather  than two)  times his Base
Salary and Highest Annual Bonus.  If Mr.  Wunderlich's  employment is terminated
(as described above) prior to October 10, 1995, he would receive severance equal
to two (rather than one and one-half)  times his Base Salary and Highest  Annual
Bonus. Mr. Zecher's  Supplemental  Employment Agreement also provides that if he
is subject to excise taxes under  Section  4999 of the Internal  Revenue Code on
any payments or benefits  triggered by a Change in Control,  he will be entitled
to receive an  additional  amount such that after the payment of all  applicable
taxes he will retain an amount equal to that which he would have retained absent
the excise taxes.

     The Supplemental Employment Agreements were entered into on April 10, 1995,
after Steel acquired 14.9% of the Company's  Common Stock. In the opinion of the
Board, it was necessary and desirable to enter into the Supplemental  Employment
Agreements so that the Covered  Executives would concentrate on performing their
duties and  promoting  the best  interests  of the Company and its  stockholders
without being  concerned  about the  possibility of a Change in Control.  In the
opinion of the Board of Directors, the provisions of the Supplemental Employment
Agreements  would not have any significant  impact on the decision of any person
or entity  relating  to whether or not to acquire the Company or effect a Change
in Control.

Restricted Stock Grants

     In  November  1987,  the  Company  issued  410,000  shares of Common  Stock
pursuant to  restricted  stock bonus  grants to key  executives,  directors  and
consultants.  In January 1994,  the Company issued 15,000 shares of Common Stock
pursuant to a  restricted  stock bonus grant to a  non-employee  director.  Such
shares vest ratably over a period of 30 years.  The unvested portion is subject,
upon the  occurrence of certain  events,  to either  forfeiture  or  accelerated
vesting.

401(k) Cash or Deferred Compensation

     The Company maintains a tax-qualified 401(k) cash or deferred  compensation
plan that covers all  employees  who have  completed 30 days of service with the
Company  and have  attained  age 21.  Participants  are  permitted,  within  the
limitations imposed by the Internal Revenue Code, to make pre-tax  contributions
to the plan  pursuant to salary  reduction  agreements.  The Company makes a 50%
matching  cash  contribution  on up to a 6%  contribution  by the  employee.  In
addition, the Company may, in its discretion,  make additional  contributions as

<PAGE>

permitted by the Internal  Revenue Code. The  contributions  of the participants
and the Company are held in separate accounts.  Participants'  contributions are
always fully vested.  The Company's  contributions  vest  proportionally  over a
five-year period commencing on the employee's date of employment.

Stock Option Plans

     In February  1986,  the Company's  stockholders  approved the AutoInfo 1985
Stock  Option  Plan (the "1985  Plan")  which  provides  that a total of 555,000
shares of Common Stock are subject to options  granted  thereunder.  In November
1986,  the Company's  stockholders  approved the AutoInfo 1986 Stock Option Plan
(the "1986 Plan") which  provides that a total of 637,500 shares of Common Stock
are  subject to options  granted  thereunder.  In October  1989,  the  Company's
stockholders  approved  the  AutoInfo  1989 Stock Plan (the "1989  Plan")  which
provides  that a total of 300,000  shares of Common Stock are subject to options
granted thereunder.  In November 1992, the Company's  stockholders  approved the
AutoInfo 1992 Stock Option Plan (the "1992 Plan") which provides that a total of
350,000 shares of Common Stock are subject to options granted  thereunder.  (The
1985  Plan,  1986  Plan,  1989  Plan and 1992  Plan are  sometimes  collectively
referred to herein as the "Option Plans".)

     Under the Option Plans,  the Company may grant  options to purchase  Common
Stock to its officers,  key employees,  directors,  and, in the case of the 1985
and 1992 Plans, to non-employees performing services for the Company. Payment of
the option  exercise price is to be made (i) in cash, (ii) by delivery of Common
Stock already owned by and in the possession of the option  holder,  or (iii) if
so  provided  for in the  option  being  exercised,  by  delivery  of the option
holder's  promissory note in favor of the Company. If an option granted under an
Option Plan expires,  terminates or is canceled without being exercised in full,
the  unpurchased  shares  subject to such  option  will again be  available  for
options to be granted  under  such Plan.  Options  may be granted in the form of
incentive  stock options  ("Incentive  Options") or options which do not qualify
for the  favorable  tax  treatment  of  Incentive  Options  which  are  known as
non-qualified options.

     The Option Plans are  administered by a committee of the Board of Directors
consisting  of Messrs.  Fagenson,  Gaspar and  Stengel,  who are  ineligible  to
participate in the Option Plans.

     No options may be exercised more than ten years from the date of grant, and
no options may be granted after December 16, 1996,  December 31, 1996,  December
31, 1999 and December 31, 2002 under the 1985 Plan,  1986 Plan,  1989 Plan,  and
1992 Plan, respectively.

     The option price of each  Incentive  Option  granted under the Option Plans
shall be not less than 100% of the fair market  value of the Common  Stock as of
the date the option is granted (110% of the fair market value if the grant is to
an employee  holding 10% or more of the  Company's  outstanding  Common  Stock).
Options  other than  Incentive  Options may be granted at an  exercise  price as
determined by the Board. The exercise prices of such non-qualified  options must
be at least  85% of the fair  market  value of the  underlying  shares of Common
Stock at the date of grant. Options granted are not transferable and are subject
to various other  conditions and  restrictions.  All Incentive  Options  granted
before  December  31,  1986 must be  exercised  in the order in which  they were
granted regardless of the difference in the execise prices.

Option Grants in Fiscal Year 1995

     Shown  below is  information  on grants of stock  options  pursuant  to the
Company's  Stock Option Plans during the fiscal year ended May 31, 1995,  to the
Named Executives who are reflected in the Summary Compensation Table.


<PAGE>


                         Individual Gains in Fiscal 1995

                    ----------------------------------------

<TABLE>
<CAPTION>


Name                    Options    Percentage of Total   Exercise        Expiration Date     Potential Realized Values at
                        Granted     Options Granted to   Price Per                          Assumed Annual Rates of Stock
                                   Employees in Fiscal   Share (1)                          Price Appreciation for Option
                                           Year                                                        Term (1)
<S>                     <C>               <C>                <C>             <C>              <C>              <C>     

                                                                                                 5%               10%

Jason Bacher               0                0                _____            _____             _____            _____

Scott Zecher            80,000            29.63%             $4.125          4/10/05          $158.668         $448,123

William Wunderlich      40,000            14.81%             $4.125          4/10/05          $ 79,334         $224,081
</TABLE>

- --------

(1)  Based on 110% of the closing price on NASDAQ/NMS on the date.


Aggregate  Options  Exercised  in Fiscal  Year 1995 and Fiscal  Year-End  Option
Values

Shown below is  information  with respect to (i) options  exercised by the Named
Executives pursuant to the Option Plans during Fiscal 1995; and (ii) unexercised
options  granted in Fiscal 1995 and prior  years  under the Option  Plans to the
Named Executives and held by them at May 31, 1995.

<TABLE>
<CAPTION>

Name                            Shares      Value Realized       Number of Unexercised            Values of Unexercised
                              Acquired on                          Options at 5/31/95            In-the-Money Options at
                               Exercise                        Exercisable/Unexercisable               5/31/95(1)
                                                                                                Exercisable/Unexercisable
<S>                             <C>            <C>                     <C>                              <C>     

Jason Bacher                       0              0                    0/75,000                           $0/$0

Scott Zecher                    216,799        330,480                 0/113,333                        $0/$4167

William Wunderlich                 0              0                  45,000/80,000                   $16,667/$8,333

</TABLE>

- --------

(1)  Based on the closing price as quoted on NASDAQ/NMS on the date.

Director Compensation

     The Company pays each non-employee  director a fee of $750 for each meeting
attended by such director.

Compensation Committee Interlocks and Insider Participation

     During the Company's last fiscal year, Messrs.  Fagenson and Stengel served
on the Compensation Committee of the Board of Directors.  Mr. Gaspar also served
on the Committee  until his  appointment as Chairman of the Board in March 1995.
Other than in their  capacities  as directors  of the  Company,  none of Messrs.
Fagenson, Gaspar or Stengel were employed by the Company during such times.

Board Compensation Committee Report on Executive Compensation

TO THE BOARD OF DIRECTORS:

     Compensation Policies Applicable to Executive Officers

     The purpose of the Company's executive  compensation program is to attract,
retain and motivate  qualified  executives to manage the business of the Company
so as to maximize profits and shareholder value.  Executive  compensation in the
aggregate is made up principally of the executive's  annual base salary, a bonus
which may be  awarded  by the  Company's  Compensation  Committee  and awards of
Company  stock or stock options  under the  Company's  Stock Option  Plans.  The
Company's Compensation Committee annually considers and makes recommendations to
the Board of Directors as to executive  compensation  including  changes in base
salary, bonuses and awards of Company stock or stock options.

<PAGE>

     Consistent  with the  above-noted  purpose  of the  executive  compensation
program,  it is the policy of the  Compensation  Committee,  in recommending the
aggregate  annual  compensation  of the  executive  officers of the Company,  to
consider overall performance of the Company,  the performance of the division of
the  Company  for which the  executive  has  responsibility  and the  individual
contribution  and  performance of the executive.  The performance of the Company
and of the division for which the executive has  responsibility  are significant
factors in determining aggregate  compensation although they are not necessarily
determinative.  While  shareholders' total return is important and is considered
by the  Compensation  Committee,  it is  subject to the  vagaries  of the public
market place and the  Company's  compensation  program  focuses on the Company's
strategic plans,  corporate performance  measures,  and specific corporate goals
which should lead to a favorable stock price. The corporate performance measures
which the Compensation  Committee considers include sales,  earnings,  return on
equity and comparisons of sales and earnings with prior years and with budgets.

     The Compensation  Committee does not rely on any fixed formulae or specific
numerical  criteria in  determining an executive's  aggregate  compensation.  It
considers  both  corporate  and  personal  performance   criteria,   competitive
compensation  levels, the economic environment and changes in the cost of living
as well as the  recommendations of management.  The Compensation  Committee then
exercises  business  judgment based on all of these criteria and the purposes of
the executive compensation program.

     Compensation of the Chief Executive Officer

     Mr.  Bacher's  base  salary  of  $125,000  for 1995  (which  constituted  a
ten-month  proration of his $150,000 base salary) was based  principally  on his
rights under his four-year  employment  agreement with the Company dated January
1,  1995  which  was  terminated  on March 29,  1995 in  connectin  with the ADP
transaction.  In addition,  Mr.  Bacher  received a bonus of $182,854  which the
Committee  granted to him in  recognition  of the Company's  performance in 1995
under  his  leadership,   including  his  role  in  consummating  the  Company's
transaction with ADP Solutions.

                                           Respectfully submitted,


                                           AutoInfo, Inc. Compensation Committee
                                           (Robert Fagenson and Jerome Stengel)

Certain Relationships and Related Transactions

     On April 28, 1995 the Company  entered into a Promissory  Note and Security
and Pledge Agreement with Scott Zecher,  its President,  Chief Operating Officer
and a Director,  pursuant to which the Company  lent to Mr.  Zecher,  consistent
with the Company's past practice, the sum of $466,796.64, in connection with Mr.
Zecher's  exercise of options to acquire 216,799 shares of the Company's  Common
Stock (the "Shares")  under the Company's 1985 and 1986 Stock Option Plans.  The
Note, which is non-interest  bearing, is secured by the Shares and is payable on
the earlier of May 31, 1996 or out of the proceeds of the underlying collateral.
As a result of such exercise,  the  percentage of  outstanding  shares of common
stock owned by executive  officers and directors of the Company  increased  from
approximately  8.9% to approximately  11.7%.  This increase may discourage Steel
and/or any other  interested  party from  instituting  a take-over  attempt with
regard to the Company. The purpose of the Company granting an interest free loan
for the  purpose of  exercising  in-the-money  stock  options is the same as the
purpose of the Company for granting stock options to key employees and officers;
namely,  to encourage  such key  employees  and officers to acquire an increased
personal  interest in the success and progress of the  Company.  The granting of
the stock  options  provides the key  employee or officer with the  potential to
benefit  from the success and growth of the Company and the  interest  free loan

<PAGE>

enables  such key  employee or officer to actually  realize the benefit when the
stock option becomes in-the-money.

Total Return Comparison

     The following graph sets forth a five-year comparison of total returns for:
(1)  the  Company;  (2)  a  Company  selected  Peer  Group  (comprised  of  Data
Transmission Network Corp., INCOMNET, Inc., Triad Systems Corporation and Policy
Management  Systems  Corporation);  and (3) the NASDAQ -- US CRSP  Total  Return
Index.

     The following table is represented as a graph in the printed copy:

                       AUTOINFO       PEER GROUP     NASDAQ US

         5/90            100             100            100
         5/91            119             126            114
         5/92             92             160            133
         5/93             81             109            160
         5/94             86             120            168
         5/95             78             162            201

<PAGE>


                      BENEFICIAL OWNERSHIP OF COMMON STOCK

     Section 16(a) of the Securities Exchange Act of 1934 requires the Company's
officers  and  directors,  and  persons  who own  more  than  ten  percent  of a
registered  class  of the  Company's  equity  securities,  to  file  reports  of
ownership and changes in ownership with the  Securities and Exchange  Commission
("SEC").  Officers,  directors  and greater than  ten-percent  shareholders  are
required by SEC  regulation  to furnish  the Company  with copies of all Section
16(a) forms they file.

     Based  solely on  review  of the  copies  of such  forms  furnished  to the
Company, or written  representations that no Forms 5 were required,  the Company
believes that all Section 16(a) filing  requirements  applicable to its officers
and directors were complied with.

     The following table, together with the accompanying  footnotes,  sets forth
information,  as of May 31, 1995, regarding stock ownership of all persons known
by the  Company  to own  beneficially  5% or more of the  Company's  outstanding
Common Stock, all directors and nominees,  and all directors and officers of the
Company as a group.

<TABLE>
<CAPTION>
                                                                           Shares of
                     Name of                                             Common Stock           Percentage
                Beneficial Owner                                    Beneficially Owned (1)     of Ownership
                ----------------                                    ----------------------     ------------
<S>                                                                        <C>                   <C>
(i)  Directors:

     Jason Bacher ................................................         331,272(2)             4.3%(5)

     Robert Fagenson .............................................          30,750(3)               * (5)

     Andrew Gaspar ...............................................          45,000                  *

     Howard Nusbaum ..............................................         171,531                2.2%

     Jerome Stengel ..............................................          30,000                  *

     Scott Zecher ................................................         331,746                4.3%

     All executive officers and directors
       as a group (7 persons).....................................         985,299(4)            12.6%(6)


(ii) 5% Stockholders:

     Ashford Capital Management, Inc. (7)
       P.O. Box 4172
       Greenville, DE 19807 ......................................         403,200                5.2%

     Dimensional Fund Advisors, Inc. (7)
       1299 Ocean Avenue
       Santa Monica, CA 90401.....................................         391,100                5.1%

     Irving B. Harris (7)
       2 North LaSalle Street
       Suite 505
       Chicago, IL 60602..........................................         568,333(8)             7.4%

     Ryback Management Corporation (7)
       7711 Corondelet Ave.
       St. Louis, MO 63105........................................       1,142,850               14.8%

     Steel Partners II L.P. (9)
       750 Lexington Ave.
       New York, NY 10022.........................................       1,100,000               14.2%
</TABLE>

- --------

 *    Less than 1%

(1)  Unless otherwise indicated below, each director, executive officer and each
     5% stockholder has sole voting and investment power with respect to all
     shares beneficially owned.

(2)  Includes 25,000 shares subject to currently exercisable options.

(3)  Includes (i) 1,500 shares owned by the Fagenson & Co. Profit Sharing Plan
     and Employee Pension Plan, of which Mr. Fagenson is a trustee, and (ii)
     29,250 shares issuable upon exercise of a Common Stock purchase warrant
     held by Mr. Fagenson which is currently exercisable.
<PAGE>


(4)  Includes 99,250 shares subject to currently exercisable options or
     warrants.

(5)  Assumes that all currently exercisable options or warrants owned by this
     individual have been exercised.

(6)  Assumes that all currently exercisable options or warrants owned by members
     of the group have been exercised.

(7)  Information with respect to this stockholder has been derived from the
     Schedule 13G filed by such stockholder with the SEC.

(8)  Includes 273,333 shares subject to currently exercisable warrants.

(9)  Information with respect to this stockholder has been derived from the
     Schedule 13D filed by such stockholder with the SEC.



<PAGE>


SIGNATURES

     Pursuant to the  requirements of hte Securities Act of 1934, the registrant
has duly  caused  this  report on Form  10K/A to be signed on its  behalf by the
undersigned thereunto authorized.


                                    AUTOINFO, INC.
                                    (Registrant)


                                    /s/ Scott Zecher
                                    --------------------------------------
                                    Scott Zecher,
                                     President and Chief
                                      Operating Officer

Date: September 22, 1995

                                   /s/ William I. Wunderlich
                                   ---------------------------------------
                                   William I. Wunderlich,
                                    Treasurer, Secretary and
                                     Financial Officer



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