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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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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) July 12, 2000
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GATX Corporation
(Exact Name of Registrant as Specified in its Charter)
New York 1-2328 36-1124040
(State or other jurisdiction of (Commission file number) (I.R.S. employer
incorporation) identification number)
500 West Monroe Street,
Chicago, Illinois 60661-3676
(Address of principal executive offices)
Registrant's telephone number, including area code (312) 621-6200
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ITEM 5. OTHER EVENTS
On July 11, 2000, GATX Corporation issued the following press release:
GATX Corporation (NYSE: GMT) announced today that it intends to sell
GATX Terminals Corporation, its wholly-owned subsidiary specializing in the
storage and distribution of bulk petroleum and chemical products.
"Ronald H. Zech, chairman of GATX Corporation, said, `GATX Corporation
is aggressively pursuing growth opportunities in its two high-return finance and
service businesses, GATX Rail and GATX Capital. Our success in these businesses
is based on our unsurpassed asset expertise, market knowledge, service
capabilities, partnership relationships, and structuring experience. By
reallocating capital to these businesses and focusing our management resources,
we believe we can drive greater value for our shareholders.'
"GATX Terminals has been a leading provider of storage and distribution
services to petroleum and chemical customers worldwide for more than 70 years.
With assets totaling approximately $1.0 billion in book value, encompassing 17
wholly-owned terminaling facilities, ownership or interest in four refined
product pipelines, and 11 joint ventures, GATX Terminals represents a valuable
franchise. We believe we can maximize this franchise value by aligning GATX
Terminals with an owner that is focused specifically on the chemical and
petroleum storage and distribution markets."
"GATX Terminals generated $294 million of gross income and $26 million
of net income in 1999. The company has approximately 1,000 employees.
"Mr. Zech concluded, `We hope to secure a buyer who recognizes the link
between the value and expertise GATX Terminals' employees bring to bear and the
success GATX Terminals has enjoyed in recent years. We are committed to
maintaining quality service and strong customer
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and partner relationships during the sale process. Although the successful
completion and timing of a potential sale are subject to many variables, we
anticipate reaching agreement with a purchaser during the second half of this
year.'
"GATX Corporation has retained Salomon Smith Barney Inc. and JP Morgan
& Co. to serve as advisors in the sale process. Questions regarding the sale
should be directed to the Salomon Smith Barney contact listed herein.
"GATX Corporation is a unique finance and services company that uses
asset knowledge, structuring expertise, and partnering skills to serve targeted
industries including rail, air, technology, telecommunications, and marine."
Contact Information
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Investors and Analysts: Robert C. Lyons
Director - Investor Relations
GATX Corporation
Phone: 312-621-6633
Media: George S. Lowman
Managing Director - Communications
GATX Corporation
Phone: 312-621-6599
Investment Banking
Contact: James Peterkin
Salomon Smith Barney Inc.
Phone: 212-816-0127
"This press release includes statements which may constitute
forward-looking statements made pursuant to the safe harbor provisions of the
Private Securities Litigation Reform Act of 1995. Such statements include
statements about the proposed timing and effect of the proposed transaction.
This information may involve risks and uncertainties that could cause actual
results to differ materially from the forward-looking statements. Although the
company believes that the expectations reflected in such forward-looking
statements are based on reasonable assumptions, such statements are subject to
risks and uncertainties that could cause the results to differ materially from
those projected (including, for example, the execution risks and delays normally
attendant to transactions of the type discussed and other factors (including the
possible need to obtain foreign and domestic governmental approvals) beyond the
company's control)."
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SIGNATURE
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, thereunto duly authorized.
GATX CORPORATION
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(Registrant)
/s/ Ralph L. O'Hara
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Ralph L. O'Hara
Controller and
Chief Accounting Officer
(Duly Authorized Officer)
Date: July 12, 2000
