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):
December 10, 1999
XEROX CREDIT CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 1-8133 06-1024525
(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification
incorporation) No.)
100 First Stamford Place
P. O. Box 10347
Stamford, Connecticut 06904-2347
(Address of principal executive offices)(Zip Code)
Registrant's telephone number, including area code:
(203) 325-6600
Item 5. Other Events
Xerox Corporation ("Xerox"), ultimate parent of Registrant, announced on
December 10, 1999 that it estimates that fourth quarter earnings per share
could be approximately 40 percent lower than the First Call consensus
estimate.
"Xerox stated that this is a preliminary estimate because December remains the
most important month of the fourth quarter. However, based on results for
October and November, and an outlook of December, there is sufficient
information to confirm the factors that affected the third quarter have
intensified:
1. High-end printing and publishing equipment sales are significantly
constrained because of a focus on Y2K mitigation efforts and customer network
lockdowns, which appear to be intensifying in December.
2. The effects of the U.S. customer administration reorganization have
intensified, resulting in higher than anticipated expenses, including bad
debts. This also continued to impact sales productivity.
3. Profits from the Brazilian operation will be substantially below fourth
quarter expectations as a result of the continuing economic weakness following
the major currency devaluation earlier this year.
4. The strengthening of the U.S. dollar against European currencies thus far
this quarter has unfavorably impacted translation of European revenues and
profits.
Xerox expects the first three of these factors will improve during 2000.
As Xerox approaches the January 1 realignment of its sales organization to an
industry solutions focus, the fourth quarter is also affected by continued
lower sales productivity in the U.S. and Europe. The unfavorable mix in a
number of product segments and competitive pricing pressures, which affected
the third quarter, also continued."
Xerox stated that it plans to announce fourth quarter results on January 25,
2000.
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Forward-Looking Statements
From time to time Xerox Credit Corporation (the Registrant or the Company) and
its representatives may provide information, whether orally or in writing,
including certain statements in this Form 8-K which are deemed to be "forward-
looking" within the meaning of the Private Securities Litigation Reform Act of
1995 ("Litigation Reform Act"). These forward-looking statements and other
information relating to the Company and Xerox are based on the beliefs of
management as well as assumptions made by and information currently available
to management.
The words "anticipate," "believe," "estimate," "expect," "intend," "will," and
similar expressions, as they relate to the Company or Xerox or the Company's
or Xerox' management, are intended to identify forward-looking statements.
Such statements reflect the current views of the Registrant or Xerox with
respect to future events and are subject to certain risks, uncertainties and
assumptions. Should one or more of these risks or uncertainties materialize,
or should underlying assumptions prove incorrect, actual results may vary
materially from those described herein as anticipated, believed, estimated or
expected. Neither the Registrant nor Xerox intends to update these forward-
looking statements.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
Registrant has duly authorized this report to be signed on its behalf by the
undersigned duly authorized.
XEROX CREDIT ORPORATION
/s/ MARTIN S. WAGNER
--------------------------------
By: MARTIN S. WAGNER
Secretary
Dated: December 13, 1999
