<PAGE> 1
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 4)*
Harcourt General, Inc.
----------------------------------------------------------------
(Name of Issuer)
Common Stock, par value $1.00 per share
----------------------------------------------------------------
(Title of Class of Securities)
369352-10-9
-----------------------------
(CUSIP Number)
Richard A. Smith
27 Boylston Street
Chestnut Hill, Massachusetts 02167
-------------------------------------------------------------------------------
(Name, Address and Telephone Number of Person Authorized to Receive Notices and
Communications)
May 23, 1996
------------------------------------------------------
(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box / /
Check the following box if a fee is being paid with the statement / / (A fee is
not required only if the reporting person: (1) has a previous statement on file
reporting beneficial ownership of more than five percent of the class of
securities described in Item 1; and (2) has filed no amendment subsequent
thereto reporting beneficial ownership of five percent or less of such class.)
(See Rule 13d-7.)
NOTE: Six copies of this statement, including all exhibits, should be filed with
the Commission. See Rule 13d-1(a) for other parties to whom copies are to be
sent.
*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities, and
for any subsequent amendment containing information which would alter
disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
<PAGE> 2
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 2 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Richard A. Smith
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 2,092,087
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 13,615,289
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 100,727
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
15,606,649
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
15,707,376
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
23.2
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 3
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 3 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Nancy L. Marks
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 2,645,502
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 7,662,104
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 78,550
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
10,229,056
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
10,307,606
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
16.5
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 4
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 4 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Susan F. Smith
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 4,060,230
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
4,060,230
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
4,060,230
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
7.2
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 5
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 5 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Amy Smith Berylson
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 219,324
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 720,436
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 125,185
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
814,575
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
939,760
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.8
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 6
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 6 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Robert A. Smith
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 42,724
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 703,353
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 41,724
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
704,353
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
746,077
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.4
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 7
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 7 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Debra Smith Knez
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 129,025
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 601,738
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 15,486
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
715,277
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
730,763
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.4
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 8
- --------------------- --------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 8 of [93] Pages
- --------------------- --------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Jeffrey R. Lurie
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 10,653
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 78,424
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 10,653
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
78,424
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
89,077
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.2
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 9
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 9 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Cathy J. Lurie
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 2,626
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 78,424
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 1,626
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
79,424
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
81,050
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.2
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 10
- --------------------- ----------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 10 of [93] Pages
- --------------------- ----------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Harry L. Marks
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 78,424
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
78,424
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
78,424
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.2
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 11
- --------------------- ----------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 11 of [93] Pages
- --------------------- ----------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
John G. Berylson
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 560,436
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
560,436
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
560,436
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.1
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 12
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 12 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Dana A. Weiss
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 543,353
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
543,353
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
543,353
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.0
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 13
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 13 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Brian J. Knez
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 441,738
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
441,738
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
441,738
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.8
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 14
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 14 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Mark D. Balk
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 2,048,053
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
2,048,053
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
2,048,053
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
3.8
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 15
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 15 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Darline M. Lewis
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
U.S.A.
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 1,038,424
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
1,038,424
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,038,424
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.0
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
IN
- --------------------------------------------------------------------------------
<PAGE> 16
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 16 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Smith Management Company
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
DE
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 629,840
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
629,840
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
629,840
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.2
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
CO
- --------------------------------------------------------------------------------
<PAGE> 17
- --------------------- ---------------------
CUSIP NO. 369352-10-9 SCHEDULE 13D Page 17 of [93] Pages
- --------------------- ---------------------
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSONS
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSONS
Marian Realty Company
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) /X/
(b) / /
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS*
OO
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) / /
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
MA
- --------------------------------------------------------------------------------
7. SOLE VOTING POWER
NUMBER OF 0
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY 288,720
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON 0
WITH -------------------------------------------------------
10. SHARED DISPOSITIVE POWER
288,720
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
288,720
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES* / /
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.6
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON*
CO
- --------------------------------------------------------------------------------
<PAGE> 18
Item 1. SECURITY ISSUER.
The class of equity securities to which this Statement on Schedule 13D (the
"Statement") relates is the Common Stock, par value $1.00 per share (the "Common
Stock") of Harcourt General, Inc., a Delaware corporation (the "Company"). The
principal executive offices of the Company are located at 27 Boylston Street,
Chestnut Hill, Massachusetts 02167.
The individuals and corporations set forth in Item 2 of this Statement are
the beneficial owners of certain shares of Class B Stock, $1.00 par value (the
"Class B Stock"), of the Company some of which are subject to restrictions on
transfer and disposition pursuant to the terms of the Smith-Lurie/Marks Family
Stockholders' Agreement dated December 29, 1986, as amended from time to time
(the "Stockholders' Agreement"), as well as certain shares of Common Stock,
$1.00 par value, of the Company (the "Common Stock"). While Class B stock is not
an "equity security" within the meaning of Regulation 13d-1(d), shares of Class
B Stock are convertible at any time, on a share-for-share basis, into Common
Stock, and therefore beneficial owners of Class B Stock are deemed to be the
beneficial owners of the Common Stock into which the Class B Stock is
convertible.
This Statement amends and supplements the Statement on Schedule 13D dated
January 13, 1987, as amended prior hereto.
Item 2. IDENTITY AND BACKGROUND.
This Amendment No. 4 to the Statement is being filed by a group consisting
of Richard A. Smith and his wife, Susan F. Smith; Nancy L. Marks (the sister of
Richard A. Smith) and her husband, Harry L. Marks; the children of Richard A.
Smith and Susan F. Smith, namely Amy Smith Berylson, Robert A. Smith and Debra
Smith Knez, and their spouses, John G. Berylson, Dana A. Weiss and Brian J.
Knez; two of the children of Nancy L. Marks, namely Cathy J. Lurie and Jeffrey
R. Lurie; Mark D. Balk and Darline M. Lewis, who are family attorneys and
trustees of family trusts and foundations; and two family corporations, Smith
Management Company and Marian Realty Company (collectively, the "Smith Family
Group").
Richard A. Smith's business address is c/o Harcourt General, Inc., 27
Boylston Street, Chestnut Hill, Massachusetts 02167. Mr. Smith is Chairman and a
director of the Company. The address for Susan F. Smith, Nancy L. Marks, Harry
L. Marks, Amy Smith Berylson, John G. Berylson, Robert A. Smith, Dana A. Weiss,
Debra Smith Knez, Brian J. Knez, Cathy J. Lurie and Jeffrey R. Lurie is c/o
Richard A. Smith, Harcourt General, Inc., 27 Boylston Street, Chestnut Hill,
Massachusetts 02167. Robert A. Smith is a Group Vice President and a director of
the Company. Jeffrey R. Lurie is a director of the Company, and is a business
executive with Chestnut Hill Productions, Inc., a company involved in the
production of motion pictures, and is the Chief Executive Officer of
Philadelphia Eagles, Inc., a National
Page 18 of 93 pages
<PAGE> 19
Football League franchise. Dana A. Weiss is the Director of Operations of the
Boys and Girls Club of Greater Boston. John G. Berylson is Senior Vice President
and Chief Investment Officer of GC Companies, Inc. which operates a leading
motion picture exhibition circuit in the United States operating under the name
General Cinema Theatres, and also manages a pool of capital used for
investments. Brian J. Knez is a director of the Company and is President and
Chief Executive Officer of Harcourt Brace & Company, a publishing subsidiary of
the Company. Mark D. Balk and Darline M. Lewis are attorneys with the firm of
Goulston & Storrs. Their address is c/o Goulston & Storrs, 400 Atlantic Avenue,
Boston, Massachusetts 02110. Smith Management Company is a Delaware corporation
whose principal assets are securities of the Company and GC Companies, Inc. Its
principal business and office address is c/o Richard A. Smith, 27 Boylston
Street, Chestnut Hill, Massachusetts 02167. Marian Realty Company is a
Massachusetts corporation whose principal assets are securities of the Company
and GC Companies, Inc. Its principal business and office address is c/o Richard
A. Smith, 27 Boylston Street, Chestnut Hill, Massachusetts 02167.
During the five years prior to the date hereof, none of the individuals or
corporations listed above has been convicted in a criminal proceeding (excluding
traffic violations or similar misdemeanors), nor were any of them a party to a
civil proceeding of a judicial or administrative body of competent jurisdiction
and as a result of such proceeding were or are subject to a judgement, decree or
final order enjoining future violations of, or prohibiting or mandating
activities subject to, Federal or State securities laws or finding any violation
with respect to such laws.
All of the individuals listed above are citizens of the United States of
America.
Item 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
Not applicable.
Item 4. PURPOSE OF TRANSACTION.
The members of the Smith Family Group own, in the aggregate 18,987,125
shares of Class B Stock that is subject to the Stockholders' Agreement. The
Stockholders' Agreement was entered into to permit the retention of the Class B
Stock by the Smith Family Group. The Stockholders' Agreement provides that no
stockholder that is a party to the Stockholders' Agreement (a "Stockholder")
shall (i) convert the Class B Stock subject to the Stockholders' Agreement into
Common Stock, without affording the other Stockholders the right to purchase the
Class B Stock otherwise to be converted, or (ii) transfer such Class B Stock
without requiring the transferee, immediate or remote, to afford such right of
purchase with respect to the stock so transferred to the other parties to the
Stockholders' Agreement prior to any such conversion.
Page 19 of 93 pages
<PAGE> 20
This Amendment No. 4 is being filed to reflect certain dispositions of
Class B Stock by certain members of the Smith Family Group and certain
acquisitions and dispositions of Class B Stock among members of the Smith Family
Group.
Item 5. INTEREST IN SECURITIES OF THE COMPANY.
(a) The aggregate number and percentage of Common Stock and Class B Stock
owned by the Smith Family Group and each member thereof is set forth in the
attached Table 5(a). The percentages have been calculated using the number of
shares outstanding as of May 22, 1996: 52,133,267 shares of Common Stock;
20,801,244 shares of Class B Stock; and 1,168,077 shares of Series A Stock.
Pursuant to Rule 13d-5, the Smith Family Group is deemed to have beneficial
ownership, for purposes of Section 13(d), of all equity securities of the
Company beneficially owned by any member of the Smith Family Group. Accordingly,
while 18,987,125 shares of Class B Stock are subject to the terms of the
Stockholders' Agreement, the total number of shares held by or for the benefit
of the Smith Family Group and as to which the Smith Family Group is deemed to be
the beneficial owner is 20,016,398 shares of Class B Stock and 229,244 shares of
Common Stock.
(b) Table 5(b) sets forth the required information with respect to voting
power and investment power.
(c) The following transactions have been effected during the past 60 days:
1. Transfer by Robert A. Smith, individually, of 1,570 shares of
Class B Stock to Dana A. Weiss and Mark D. Balk, as Trustees of
the Trust f/b/o Ryan A. Smith under Robert Smith and Dana Weiss
1994 Children's Trust u/d/t dated December 1, 1994, on May 13,
1995.
2. Conversion by Amy Smith Berylson, individually, of 150,000 shares
of Class B Stock into Common Stock, and the sale to a market
maker in the Company's Common Stock at $50.50 per share on May
23, 1996.
3. Conversion by Debra Smith Knez, individually, of 150,000 shares
of Class B Stock into Common Stock, and the sale to a market
maker in the Company's Common Stock at $50.50 per share on May
23, 1996.
4. Conversion by Robert A. Smith, individually, of 140,000 shares of
Class B Stock into Common Stock, and the sale to a market maker
in the Company's Common Stock at $50.50 per share on May 23,
1996.
Page 20 of 93 pages
<PAGE> 21
5. Conversion by Susan F. Smith and Mark D. Balk, as Trustees of the
ADR Trust u/i/t dated February 9, 1967 f/b/o Robert A. Smith, of
10,000 shares of Class B Stock into Common Stock, and the sale to
a market maker in the Company's Common Stock at $50.50 per share
on May 23, 1996.
6. Conversion by Richard A. Smith, as Trustee of the CJP Trust
u/i/t dated December 10, 1973 f/b/o Cathy J. Lurie, of 150,000
shares of Class B Stock into Common Stock, and the sale to a
market maker in the Company's Common Stock at $50.50 per share on
May 23, 1996.
7. Conversion by Richard A. Smith, as Trustee of the CJP Trust u/i/t
dated December 10, 1973 f/b/o Peter J. Lurie, of 150,000 shares
of Class B Stock into Common Stock, and the sale to a market
maker in the Company's Common Stock at $50.50 per share on May
23, 1996.
(d) Not applicable.
(e) Not applicable.
Item 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO SECURITIES OF THE COMPANY.
Except for (a) the Stockholders' Agreement, (b) various Smith family trusts
and foundations which own securities of the Company and which have been included
in the beneficial ownership figures under Item 5, (c) attorney-client
relationships between Smith family attorneys Mark D. Balk and Darline M. Lewis
and members of the Smith family, (d) a pledge of Class B Stock by Nancy L.
Marks, individually, as collateral for certain obligations of Jeffrey R. Lurie
and entities controlled by him to The First National Bank of Boston as agent for
itself and certain other lenders pursuant to a loan agreement dated as of May
13, 1994, as amended, and (e) a pledge of Class B Stock by Nancy L. Marks and
Richard A. Smith, as Trustees under the Trust under the will of Philip Smith
f/b/o Nancy L. Marks as collateral for its obligations as co-borrower with an
entity controlled by Jeffrey R. Lurie to The First National Bank of Boston as
agent for itself and certain other lenders pursuant to a loan agreement dated as
of May 13, 1994, as amended, there are no contracts, arrangements,
understandings or relationships (legal or otherwise) among the Smith Family
Group or between members of the Smith Family Group and any other person with
respect to securities of the Company.
Item 7. MATERIAL TO BE FILED AS EXHIBITS.
Exhibit 1 Agreement and Power of Attorney
Exhibit 2 Modification and Consent Agreement
Exhibit 3 First Release of Shares Pursuant to Smith-Lurie/Marks Family
Stockholders' Agreement
Page 21 of 93 pages
<PAGE> 22
Exhibit 4 Second Release of Shares Pursuant to Smith-Lurie/Marks Family
Stockholders' Agreement
Exhibit 5 Third Release of Shares Pursuant to Smith-Lurie/Marks Family
Stockholders' Agreement
Exhibit 6 Supplement No. 16 to Smith-Lurie/Marks Family Stockholders'
Agreement
Page 22 of 93 pages
<PAGE> 23
SIGNATURES
After reasonable inquiry and to the best of our knowledge and belief, we
certify that the information set forth in this statement is true, complete and
correct.
Dated: May 24, 1996
By: /s/ Richard A. Smith
-----------------------------
Richard A. Smith, individually and as
attorney-in-fact for each of
Nancy L. Marks,
Susan F. Smith,
Amy Smith Berylson,
Robert A. Smith,
Debra Smith Knez,
Jeffrey R. Lurie,
Cathy J. Lurie,
Harry L. Marks,
John G. Berylson,
Dana A. Weiss,
Brian J. Knez,
Mark D. Balk,
Darline M. Lewis,
Smith Management Company and
Marian Realty Company
<PAGE> 24
<TABLE>
<CAPTION>
TABLE 5(a) - BENEFICIAL OWNERSHIP OF SHARES AND PERCENT OF CLASS OF STOCK (1)
% of Common
% of % of % of Common assuming assuming conversion of
Common(2) Common Class B(2) Class B conversion of Class B(3) Series A and Class B(4)
<S> <C> <C> <C> <C> <C> <C>
Smith Family Group 229,244 0.4 20,016,398 96.2 28.1 27.6
Richard A. Smith (5,9,10,11,14) 78,727 0.2 15,628,649 75.1 23.2 22.8
Nancy L. Marks (6,10,12) 78,424 0.2 10,229,182 49.2 16.5 16.2
Susan F. Smith (11,12,14) 78,000 0.1 3,982,230 19.1 7.2 7.1
Amy Smith Berylson (7,11) 78,320 0.2 861,440 4.1 1.8 1.7
Robert A. Smith (11,17) 110,704 0.2 635,373 3.1 1.4 1.4
Debra Smith Knez (8,11) 105,390 0.2 625,373 3.0 1.4 1.4
Jeffrey R. Lurie (12) 89,077 0.2 0 0.0 0.2 0.2
Cathy J. Lurie (12,13) 79,450 0.2 1,600 * 0.2 0.2
Harry L. Marks (12) 78,424 0.2 0 0.0 0.2 0.1
John G. Berylson (11) 78,320 0.2 482,116 2.3 1.1 1.0
Brian J. Knez (11) 105,390 0.2 336,348 1.6 0.8 0.8
Mark D. Balk (9,10,15) 78,424 0.2 1,969,629 9.5 3.8 3.7
Darline M. Lewis (16) 78,424 0.2 960,000 4.6 2.0 1.9
Smith Management Co.(9) 0 0.0 629,840 3.0 1.2 1.2
Marian Realty Co. (10) 0 0.0 288,720 1.4 0.6 0.5
Dana A. Weiss (11,17) 78,000 0.1 465,353 2.2 1.0 1.0
<FN>
- --------------------
* Less than 0.1%
(1) Certain of the shares included in the table above have been counted more than once because of certain rules of the
Securities and Exchange Commission.
(2) For information on the calculation of beneficial ownership for the Smith Family Group and each of its members, see
Table 5(b).
(3) Assumes conversion only of beneficial owner's shares of Class B Stock, and no other Class B shares.
(4) Assumes conversion into Common Stock of all shares of Series A Cumulative Convertible Stock, $1.00 par value, of
the Company ("Series A Stock") on a share-for-share basis, and assuming conversion only of beneficial owner's shares
of Class B Stock. No member of the Smith Family Group owns any shares of Series A Stock.
(5) The beneficial ownership figures for Richard A. Smith include the securities of the Company beneficially owned by his
wife, Susan F. Smith, and by Smith Management Company and Marian Realty Company.
(6) The beneficial ownership figures for Nancy L. Marks include the securities of the Company beneficially owned by her
husband, Harry L. Marks, and by Marian Realty Company. Nancy L. Marks disclaims beneficial ownership of 480,000 shares.
(7) The beneficial ownership figures for Amy Smith Berylson include the securities of the Company beneficially owned by
her husband, John G. Berylson. Amy Smith Berylson disclaims ownership of 17,055 of such shares.
(8) The beneficial ownership figures for Debra Smith Knez include the securities of the Company beneficially owned by
her husband, Brian J. Knez. Debra Smith Knez disclaims beneficial ownership of 12,820 of such shares.
(9) The shares beneficially owned by Smith Management Company have been included in the calculation of beneficial
ownership of Richard A. Smith and have not been included in the calculation of beneficial ownership of
its other director, Mark D. Balk.
(10) The shares beneficially owned by Marian Realty Company have been included in the calculation of beneficial ownership
of Richard A. Smith and Nancy L. Marks and have not been included in the calculation of beneficial ownership of its
other director, Mark D. Balk.
(11) Richard A. Smith, Susan F. Smith, Amy Smith Berylson, Robert A. Smith, Debra Smith Knez, Brian J. Knez, John G.
Berylson and Dana A. Weiss each disclaim beneficial ownership of 78,000 shares.
(12) Nancy L. Marks, Harry L. Marks, Cathy J. Lurie and Jeffrey R. Lurie each disclaim beneficial ownership of 78,424
shares.
</TABLE>
Page 24 of 93 pages
<PAGE> 25
(13) Cathy J. Lurie disclaims beneficial ownership of 1,026 shares.
(14) Richard A. Smith and Susan F. Smith each disclaim beneficial ownership
of 1,474,480 shares.
(15) Mark D. Balk disclaims beneficial ownership of all shares.
(16) Darline M. Lewis disclaims beneficial ownership of all shares.
(17) Robert A. Smith and Dana A. Weiss each disclaim beneficial ownership of
3,140 shares.
<TABLE>
TABLE 5(b) - BENEFICIAL OWNERSHIP OF COMMON STOCK (1)
(assumes conversion of Class B Stock into Common Stock)
(includes both Class B and Common Stock, for breakdown of ownership, see Table 5(a))
<CAPTION>
VOTING DISPOSITIVE BENEFICIAL
SOLE SHARED SOLE SHARED OWNERSHIP
<S> <C> <C> <C> <C> <C>
Smith Family Group 0 20,245,642(a) 0 20,245,642(a) 20,245,642(a)
Richard A. Smith (2)(6)(7)(8)(11) 2,092,087(b) 13,615,289(c) 100,727(b) 15,606,649(c) 15,707,376(b)(c)
Nancy L. Marks (3)(7)(9) 2,645,502 7,662,104(d) 78,550 10,229,056(d) 10,307,606(d)
Susan F. Smith (8)(9)(11) 0 4,060,230(c) 0 4,060,230(c) 4,060,230(c)
Amy Smith Berylson (4)(8) 219,324 720,436(c)(e) 125,185 814,575(c)(e) 939,760(c)(e)
Robert A. Smith (8)(14) 42,724(f) 703,353(c) 41,724(f) 704,353(c) 746,077(c)(f)
Debra Smith Knez (5)(8) 129,025 601,738(c)(g) 15,486 715,277(c)(g) 730,763(c)(g)
Jeffrey R. Lurie (9) 10,653(h) 78,424(d) 10,653(h) 78,424(d) 89,077(d)(h)
Cathy J. Lurie (9)(10) 2,626 78,424(d)(i) 1,626 79,424(d)(i) 81,050(d)(i)
Harry L. Marks (9) 0 78,424(d) 0 78,424(d) 78,424(d)
John G. Berylson (8) 0 560,436(c)(e) 0 560,436(c)(e) 560,436(c)(e)
Brian J. Knez (8) 0 441,738(c)(g) 0 441,738(c)(g) 441,738(c)(g)
Mark D. Balk (6)(7)(12) 0 2,048,053(d) 0 2,048,053(d) 2,048,053(d)
Darline M. Lewis (13) 0 1,038,424(d) 0 1,038,424(d) 1,038,424(d)
Smith Management Co. (6) 0 629,840 0 629,840 629,840
Marian Realty Co. (7) 0 288,720 0 288,720 288,720
Dana A. Weiss (8)(14) 0 543,353(c) 0 543,353 543,353(c)
<FN>
- --------------------
(a) Includes 229,244 shares of Common Stock, including options to acquire 57,783 shares of Common Stock.
(b) Includes 727 shares of Common Stock.
(c) Includes 78,000 shares of Common Stock.
(d) Includes 78,424 shares of Common Stock.
(e) Includes 320 shares of Common Stock.
(f) Includes 32,704 shares of Common Stock, including options to acquire 31,272 shares of Common Stock.
(g) Includes 27,390 shares of Common Stock, including options to acquire 26,511 shares of Common Stock.
(h) Includes 10,653 shares of Common Stock.
(i) Includes 1,026 shares of Common Stock.
(1) Each share of Class B Stock is convertible at any time into one share of Common Stock. Unless otherwise indicated,
the shares set forth in the table represent shares of Class B Stock. Certain of the shares included in the table have been
counted more than once because of certain rules and regulations of the
Securities and Exchange Commission.
(2) The beneficial ownership figures for Richard A. Smith include the securities of the Company beneficially owned by his
wife, Susan F. Smith, and by Smith Management Company and Marian Realty Company.
(3) The beneficial ownership figures for Nancy L. Marks include the securities of the Company beneficially owned by her
husband, Harry L. Marks, and by Marian Realty Company. Nancy L. Marks disclaims beneficial ownership of 480,000 shares.
</TABLE>
Page 25 of 93 pages
<PAGE> 26
<TABLE>
<S> <C>
(4) The beneficial ownership figures for Amy Smith Berylson include the securities of the Company beneficially owned by
her husband, John G. Berylson. Amy Smith Berylson disclaims ownership of 17,055 of such shares.
(5) The beneficial ownership figures for Debra Smith Knez include the securities of the Company beneficially owned by
her husband, Brian J. Knez. Debra Smith Knez disclaims beneficial ownership of 12,820 of such shares.
(6) The shares beneficially owned by Smith Management Company have been included in the calculation of beneficial
ownership of Richard A. Smith and have not been included in the calculation of beneficial ownership of its other
director, Mark D. Balk.
(7) The shares beneficially owned by Marian Realty Company have been included in the calculation of beneficial ownership
of Richard A. Smith and Nancy L. Marks and have not been included in the calculation of beneficial ownership of its
other director, Mark D. Balk.
(8) Richard A. Smith, Susan F. Smith, Amy Smith Berylson, Robert A. Smith, Debra Smith Knez, Brian J. Knez, John G.
Berylson and Dana A. Weiss each disclaim beneficial ownership of 78,000 shares.
(9) Nancy L. Marks, Harry L. Marks, Cathy J. Lurie and Jeffrey R. Lurie each disclaim beneficial ownership of 78,424
shares.
(10) Cathy J. Lurie disclaims beneficial ownership of 1,026 shares.
(11) Richard A. Smith and Susan F. Smith each disclaim beneficial ownership of 1,474,480 shares.
(12) Mark D. Balk disclaims beneficial ownership of all shares.
(13) Darline M. Lewis disclaims beneficial ownership of all shares.
(14) Robert A. Smith and Dana A. Weiss each disclaim beneficial ownership of 3,140 shares.
</TABLE>
Page 26 of 93 pages
<PAGE> 27
EXHIBIT INDEX
Exhibit Page
- ------- ----
1 Agreement and Power of Attorney
2 Modification and Consent Agreement
3 First Release of Shares Pursuant to Smith-
Lurie/Marks Family Stockholders' Agreement
4 Second Release of Shares Pursuant to Smith-
Lurie/Marks Family Stockholders' Agreement
5 Third Release of Shares Pursuant to Smith-
Lurie/Marks Family Stockholders' Agreement
6 Supplement No. 16 to Smith-Lurie/ Marks Family
Stockholders' Agreement
Page 27 of 93 pages
<PAGE> 1
AGREEMENT AND POWER OF ATTORNEY
-------------------------------
WHEREAS, the undersigned are beneficial owners, as determined pursuant to
Rule 13d-3 of the General Rules and Regulations of the Securities Exchange Act
of 1934, as amended, of certain shares of Class B Stock of Harcourt General,
Inc. ("Class B Stock"), that are covered by the Smith-Lurie/Marks Family
Stockholders' Agreement dated as of December 29, 1986, as amended (the
"Stockholders' Agreement").
WHEREAS, pursuant to the terms of the Stockholders' Agreement, certain
individuals, trustees and corporations, including the undersigned (collectively,
the "Smith Family Group"), have agreed to act together for certain purposes,
including acquiring, holding and disposing of Class B Stock.
NOW, THEREFORE, the undersigned agree that:
1. A joint statement containing the information required by Schedule 13D
shall be filed with the Securities and Exchange Commission on behalf of each of
the members of the Smith Family Group.
2. The undersigned hereby severally constitute and appoint Richard A.
Smith, Nancy L. Marks, and Mark D. Balk and each of them singly, our true and
lawful attorneys, with full power to them, and each of them, to sign for us in
our names the Schedule 13D relating to the shares of Class B Stock covered by
the Stockholders' Agreement and any other shares required to be reported on such
Schedule 13D, and any and all amendments thereto filed or to be filed with the
Securities and Exchange Commission, hereby ratifying and
-1-
Page 28 of 93 pages
<PAGE> 2
confirming our signatures as they may be signed by our said attorneys to said
Schedule 13D and any and all amendments thereto.
-------------------------------
John G. Berylson
-------------------------------
Brian J. Knez
-------------------------------
Dana A. Weiss
-------------------------------
Darline M. Lewis
-2-
Page 29 of 93 pages
<PAGE> 1
MODIFICATION AND CONSENT EXECUTED
IN CONNECTION WITH
SMITH-LURIE/MARKS FAMILY STOCKHOLDERS' AGREEMENT
[RE HARCOURT GENERAL, INC.]
THIS AGREEMENT, dated as of the _____ day of May, 1994 is among those
certain holders of the issued and outstanding Class B Stock of Harcourt
General, Inc., a Delaware corporation (the "COMPANY") listed on the signature
pages hereto (collectively referred to herein as the "STOCKHOLDERS") and The
First National Bank of Boston ("BANK OF BOSTON"), as agent (in such capacity,
the "AGENT") for the Secured Parties (as defined below).
Reference is hereby made to:
(i) the Loan Agreement, dated as of May __, 1994 (the "LOAN AGREEMENT"),
among Philadelphia Eagles Holdings, L.P. ("HOLDINGS"), Philadelphia Eagles, Inc.
("TEAM GP"), Nancy Lurie Marks and Richard A. Smith, not in their individual
capacities but solely in their capacities as Trustees (the "TRUSTEES") under the
trust established f/b/o Nancy Lurie Marks under Article VIII of the will, dated
December 24, 1959, of Philip Smith (such Trustees as trustees of such trust
hereinafter referred to as the "TRUST") (Holdings, the Team GP and the Trust are
collectively referred to herein as the "BORROWERS"), the financial institutions
which are now, or hereafter become, parties thereto as lenders (the "LENDERS")
and Bank of Boston as Agent for the Lenders;
(ii) the Pledge Agreement, dated as of May __, 1994 (the "NON-TEAM PLEDGE
AGREEMENT"), among Jeffrey R. Lurie ("LURIE"), Nancy Lurie Marks ("MARKS"),
Marian Realty Company ("MRC"), the Team GP and Bank of Boston, as Agent for the
Secured Parties specified therein (the "SECURED PARTIES");
(iii) the Pledge Agreement, dated as of May __, 1994 (the "TRUST PLEDGE
AGREEMENT") between the Trust and Bank of Boston, as Agent for the Secured
Parties (the Non-Team Pledge Agreement and the Trust Pledge Agreement are
collectively referred to herein as the "PLEDGE AGREEMENTS"); and
(iv) the Smith-Lurie/Marks Family Stockholders' Agreement [Re Harcourt
General, Inc.], dated as of December 29, 1986 (as supplemented by (A) the First
Supplement to Stockholders' Agreement, dated as of January 8, 1988, as executed
by Amy S. Berylson, (B) the Second Supplement to Stockholders' Agreement, dated
as of December 5, 1988, as executed by Amy S. Berylson, (C) the Third Supplement
to Stockholders' Agreement, dated as of April 29, 1989, as executed by Robert
Smith and (D) the Fourth Supplement to Stockholders' Agreement, dated as of
December 5, 1990, as executed by Debra S. Knez) (as so supplemented and in
effect on the date hereof, the "STOCKHOLDERS AGREEMENT"), among the
Stockholders.
<PAGE> 2
W I T N E S S E T H :
- - - - - - - - - - -
WHEREAS, pursuant to the Pledge Agreements, Lurie, Marks, MRC and the Trust
have agreed to pledge to the Agent for the benefit of the Secured Parties
certain shares of Class B Stock issued by the Company and owned by such
Stockholders (the "PLEDGED STOCK") to secure the obligations of the Borrowers to
the Lenders under the Loan Agreement and the related loan documents;
WHEREAS, pursuant to the Stockholders Agreement the transfer and sale of
the Pledged Stock is subject to certain restrictions and limitations as more
specifically set forth therein;
WHEREAS, Lurie, Marks, MRC and the Trust have requested that the other
Stockholders agree to certain modifications to the Stockholders Agreement; and
WHEREAS, it is a condition precedent to the making of loans by the Lenders
under the Loan Agreement that (i) certain restrictions or limitations on the
transfer or sale of the Pledged Stock be modified during the term of the Loan
Agreement and (ii) that the Stockholders execute and deliver to the Agent a
modification and consent agreement substantially in the form hereof in order to
satisfy such condition; and
WHEREAS, the Stockholders are willing to agree to such modifications as
described herein;
NOW, THEREFORE, each of the undersigned parties agrees as follows:
SECTION 1. DEFINITIONS. Unless otherwise defined herein or the context
otherwise requires, terms used in this Agreement that are defined in the
Stockholders Agreement shall have the meanings given to such terms in the
Stockholders Agreement.
SECTION 2. MODIFICATION AND CONSENT. Each Stockholder hereby agrees that,
so long as any Obligation is outstanding under and as defined in the Loan
Agreement, with respect to any Pledged Stock the terms, provisions and
conditions of the Stockholders Agreement shall be modified as set forth below:
(a) Paragraph 2(b) of the Stockholders Agreement shall be restated in its
entirety as follows:
Each Stockholder (other than the Selling Stockholder) may elect
to purchase all or any portion of the Offered Shares by written
notice to the Selling Stockholder (the "ACCEPTANCE") given within
ten (10) business days after receipt of the Offer; and each such
Stockholder so electing is herein referred to as a "PURCHASING
STOCKHOLDER". The Acceptance shall
-2-
Page 31 of 93 pages
<PAGE> 3
specify (i) the number of Offered Shares to be purchased by such
Stockholder (the "ACCEPTED SHARES"), and (ii) the Purchase Price
(hereinafter defined) for such number of Accepted Shares to be
purchased as computed by the Purchasing Stockholder.
(b) Paragraph 2(c) of the Stockholders Agreement shall be modified and
restated in its entirety as follows:
The Purchase Price for any Accepted Shares shall be the
arithmetic mean average of the Closing Prices (as hereinafter
defined) of the Common Stock on each business day during the
period beginning on the date the Offer relating to such Accepted
Shares is given and ending on the fifth (5th) business day
thereafter (the "AVERAGE CLOSING PRICE"), MULTIPLIED by the
number of Accepted Shares.
(c) Paragraph 2(d) of the Stockholders Agreement shall be modified as
follows:
(i) The first subparagraph of Paragraph 2(d) shall be modified by
deleting the words "as of the Trade Date" at the end of such
subparagraph.
(ii) The second subparagraph of Paragraph 2(d) shall be restated in
its entirety as follows:
Furthermore, if the Average Closing Price of the Common Stock
relating to any Accepted Shares shall be less than ninety
percent (90%) of both (i) the Closing Price of the Common Stock
on the date of the Offer relating to such Accepted Shares, and
(ii) the arithmetic mean average of the Closing Prices of the
Common Stock for the twenty (20) consecutive business days
immediately preceding the date of such Offer, the Selling
Stockholder may, by written notice to all Purchasing
Stockholders given within four (4) business days after receipt
of the latest Acceptance which shall have been timely given to
the Selling Stockholder, elect to rescind such Offer, in which
event, upon the giving of such notice, such Offer shall be
treated with the same force and effect as if it had never been
given and this Agreement shall continue in full force and effect
with respect to the Offered Shares.
(iii) The last subparagraph of Paragraph 2(d) shall be modified by
adding to the end of such last paragraph the words "as it
appears in the WALL STREET JOURNAL."
-3-
Page 32 of 93 pages
<PAGE> 4
(d) The first sentence of Paragraph 2(e) of the Stockholders Agreement
shall be restated in its entirety as follows:
The Purchase Price for any Accepted Shares shall be paid (in
immediately available Federal Funds) by the Purchasing
Stockholder to each Selling Stockholder on the seventh (7th)
business day after receipt of the Acceptance relating to such
Accepted Shares (the "CLOSING DATE"), at the Executive Offices of
the Company, against delivery by such Selling Stockholder of
stock certificates and instruments of conveyance sufficient to
transfer such Accepted Shares to the Purchasing Stockholder free
and clear of all liens and encumbrances; and in such event such
Selling Stockholder shall deliver the stock certificates and
instruments of conveyance sufficient to effect such transfer at
such time concurrently with receipt of the Purchase Price.
(e) Paragraph 2(f) of the Stockholders Agreement shall be modified
by deleting each reference to "Offered Shares" contained in such
Paragraph 2(f) and substituting the words "Accepted Shares"
therefor.
(f) Paragraph 2(h) of the Stockholders Agreement shall be modified by:
(i) deleting the words "Trade Date to a date not more than" contained
in subparagraph A of such Paragraph 2(h) and substituting the
words "date the Acceptance is given to a date" therefor; and
(ii) deleting each reference to "OFFERED SHARES" contained in such
Paragraph 2(h) and substituting the words "ACCEPTED SHARES"
therefor.
(g) Paragraph 2(j) of the Stockholders Agreement shall be modified by:
(i) deleting the words "and, accordingly, the Trade Date and the
Purchase Price with respect to each such transaction shall be as
set forth in the Acceptance given by each Purchasing
Stockholder" contained in the first sentence of such
Paragraph 2(j);
(ii) deleting the words "the Trade Date," contained in the second
sentence of such Paragraph 2(j); and
(iii) deleting each reference to "Offered Shares" contained in the
last sentence of such Paragraph 2(j) and substituting the words
"Accepted Shares" therefor.
-4-
Page 33 of 93 pages
<PAGE> 5
(h) Paragraph 2(l) of the Stockholders Agreement shall be modified as
follows:
(i) The first subparagraph of such Paragraph 2(l) shall be restated
in its entirety as follows:
If no Stockholder shall elect to purchase the Offered Shares by
sending an Acceptance within ten (10) business days after the
Offer has been given, the Selling Stockholder may convert the
Offered Shares into Common Stock as hereinafter provided. If an
Acceptance shall have been sent and a Purchasing Stockholder
shall have defaulted in the performance of its obligations to
purchase the Accepted Shares described in the Acceptance given by
such defaulting Purchasing Stockholder, the Selling Stockholder
shall have no obligation to sell the Accepted Shares subscribed
for by the defaulting Stockholder to other Stockholders and may
convert such Accepted Shares into Common Stock as hereinafter
provided. Whenever a Selling Stockholder is permitted to convert
Class B Stock into Common Stock pursuant to this Agreement, such
conversion shall be permitted only if such conversion is effected
within forty-five (45) days after delivery to the Stockholders of
the Offer or within thirty (30) days after the Closing Date if
the right to effect such conversion shall result from a default
by a Purchasing Stockholder.
(ii) The remaining subparagraphs of such Paragraph 2(l) shall be
deleted in their entirety.
(i) Paragraph 2 of the Stockholders Agreement shall be further modified by
adding the following new paragraph (m) at the end of such Paragraph 2:
(m) Any Pledged Stock transferred or sold by Marks, MRC or the
Trust, the proceeds of which would be used solely for repayment
of the Obligations under and as defined in the Loan Agreement, or
by the Agent to other than an existing Stockholder or its
successors and assigns, upon such transfer or sale shall no
longer be subject to this Agreement and such transferee shall not
constitute a Stockholder hereunder.
(j) Paragraph 3 of the Stockholders Agreement shall be deleted in its
entirety.
(k) Paragraph 4 of the Stockholders Agreement shall be modified by
inserting at the end of the first sentence of the first subparagraph
of such Paragraph 4 the words "as from time to time modified and in
effect."
SECTION 3. COVENANTS. Each Stockholder hereby acknowledges and agrees that:
-5-
Page 34 of 93 pages
<PAGE> 6
(a) the pledge of the Pledged Stock to the Agent for the benefit of the
Secured Parties and the exercise by the Agent of its rights under the
Pledge Agreements is, in each case, permitted under the terms of the
Stockholders Agreement as modified by this Agreement;
(b) in the event that the Agent exercises its rights under the Pledge
Agreements after an event of default under the Loan Agreement, the
Agent will be entitled to exercise all rights of a Class B Stockholder
(but shall not be included in the definition of "Stockholder" for
purposes of the Stockholders Agreement) under the Stockholders
Agreement (but not in derogation of any rights to purchase the Pledged
Stock that other Stockholders may have); and
(c) pursuant to Paragraph 5 of the Stockholders Agreement, upon conversion
of the Pledged Stock to Common Stock of the Company, all restrictions
on the Pledged Stock under the Stockholders Agreement shall
automatically terminate.
SECTION 4. AGENT AS PLEDGEE. The Agent on behalf of the Lenders as pledgee
of the Pledged Stock agrees to be bound by all of the terms and conditions of
the Stockholders Agreement applicable to a Stockholder of the Pledged Stock in
exercising any rights with respect to such Pledged Stock, as such terms and
conditions shall be modified by this Agreement.
SECTION 5. MISCELLANEOUS. This Agreement and the Stockholders Agreement
shall be read as and construed as a single agreement. All references to "this
Agreement" contained in the Stockholders Agreements shall hereafter (unless
terminated pursuant to Section 6 of this Agreement) refer to the Stockholders
Agreement as amended hereby. This Agreement may be executed in several
counterparts and by each party on a separate counterpart, each of which when so
executed and delivered shall be an original, and all of which together shall
constitute one instrument. In proving this Agreement, it shall not be necessary
to produce or account for more than on such counterpart signed by the party
against which enforcement is sought. This Agreement shall be binding upon the
heirs, successors and assigns of the Stockholders and shall inure to the benefit
of the Agent and the Lenders and the Agent's and each Lender's successors and
assigns.
SECTION 6. TERMINATION OF MODIFICATION AND CONSENT; ETC. This Agreement
shall continue in full force and effect and the agreements of each Stockholder
shall continue to be fully operative until all of the Obligations (as defined in
the Loan Agreement) have been paid and satisfied in full. Notwithstanding the
foregoing, this Agreement shall apply only to those shares of Restricted Stock
which are subject to the Pledge Agreements.
SECTION 7. GOVERNING LAW. THIS AGREEMENT SHALL BE GOVERNED BY AND
INTERPRETED IN ACCORDANCE WITH THE LAWS OF THE
-6-
Page 35 of 93 pages
<PAGE> 7
COMMONWEALTH OF MASSACHUSETTS AND SHALL BE A SEALED INSTRUMENT UNDER SUCH LAWS.
[REMAINDER OF PAGE LEFT INTENTIONALLY BLANK]
-7-
Page 36 of 93 pages
<PAGE> 8
WITNESS THE EXECUTION HEREOF, under seal as of the day and year first above
written.
--------------------------------------------
Richard A. Smith
--------------------------------------------
Susan F. Smith
--------------------------------------------
Nancy L. Marks
TRUST U/W/O PHILIP SMITH F/B/O
RICHARD A. SMITH
By:
-----------------------------------------
Nancy L. Marks, as Trustee and not
individually
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
TRUST U/W/O PHILIP SMITH F/B/O
NANCY L. MARKS
By:
-----------------------------------------
Nancy L. Marks, as Trustee and not
individually
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
-8-
Page 37 of 93 pages
<PAGE> 9
A-D-R TRUST F/B/O AMY SMITH
BERYLSON U/I/T dated 2/9/67
By:
-----------------------------------------
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
-----------------------------------------
Mark D. Balk, as Trustee and not
individually
A-D-R TRUST F/B/O ROBERT A. SMITH
U/I/T dated 2/9/67
By:
-----------------------------------------
Susan F. Smith a/k/a Susan M. Smith, as
Trustee and not individually
By:
-----------------------------------------
Mark D. Balk, as Trustee and not
individually
A-D-R TRUST F/B/O DEBRA SMITH KNEZ
U/I/T dated 2/9/67
By:
-----------------------------------------
Susan F. Smith a/k/a Susan M. Smith, as
Trustee and not individually
By:
-----------------------------------------
Mark D. Balk, as Trustee and not
individually
-9-
Page 38 of 93 pages
<PAGE> 10
C-J-P TRUST F/B/O CATHY LURIE U/I/T
dated 12/10/73
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
C-J-P TRUST F/B/O JEFFREY LURIE U/I/T
dated 12/10/73
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
C-J-P TRUST F/B/O PETER LURIE U/I/T
dated 12/10/73
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
RICHARD A. SMITH 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
-----------------------------------------
Susan F. Smith a/k/a/ Susan M. Smith,
as Trustee and not individually
MARIAN SMITH D-R-A 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
-----------------------------------------
Susan F. Smith a/k/a/ Susan M. Smith,
-10-
Page 39 of 93 pages
<PAGE> 11
as Trustee and not individually
NANCY LURIE MARKS 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
-----------------------------------------
Darline M. Lewis, as Trustee and not
individually
By:
-----------------------------------------
Mark D. Balk, as Trustee and not
individually
MARIAN SMITH J-C-P 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
-----------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST
U/W/O MARIAN J. SMITH F/B/O DEBRA
SMITH KNEZ
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
By:
-----------------------------------------
Nancy L. Marks, as Trustee and not
individually
-11-
Page 40 of 93 pages
<PAGE> 12
RICHARD A. SMITH FAMILY TRUST
U/W/O MARIAN J. SMITH F/B/O
ROBERT A. SMITH
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
By:
-----------------------------------------
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST
U/W/O MARIAN J. SMITH F/B/O AMY S.
BERYLSON
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
By:
-----------------------------------------
Nancy L. Marks, as Trustee and not
individually
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH F/B/O CATHY J. LURIE
By:
-----------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
-12-
Page 41 of 93 pages
<PAGE> 13
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH F/B/O JEFFREY R.
LURIE
By:
-----------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
PETER A. LURIE TRUST U/W/O MARIAN J.
SMITH
By:
-----------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
By:
-----------------------------------------
Richard A. Smith, as Trustee and not
individually
A-D-R CHARITABLE FOUNDATION AND
TRUST U/I/T dated 11/1/68
By:
-----------------------------------------
Susan F. Smith a/k/a Susan M. Smith, as
Trustee and not individually
By:
-----------------------------------------
Mark D. Balk, as Trustee and not
individually
-13-
Page 42 of 93 pages
<PAGE> 14
MORRIS J. LURIE FAMILY TRUST U/I/T
dated 4/15/58 F/B/O CATHY J. LURIE, ET AL
By: ________________________________
Nancy L. Marks, as Trustee and not
individually
By: ________________________________
Richard A. Smith, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T
dated 4/15/58 F/B/O JEFFREY R. LURIE, ET
AL
By: ________________________________
Nancy L. Marks, as Trustee and not
individually
By: _______________________________
Richard A. Smith, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T
dated 4/15/58 F/B/O PETER A. LURIE, ET AL
By: ________________________________
Nancy L. Marks, as Trustee and not
individually
By: ________________________________
Richard A. Smith, as Trustee and not
individually
-14-
Page 43 of 93 pages
<PAGE> 15
SMITH MANAGEMENT COMPANY
By:
-------------------------------------------
Its
Hereunto duly authorized
MARIAN REALTY COMPANY
By:
-------------------------------------------
Its
Hereunto duly authorized
-------------------------------------------
Amy S. Berylson
-------------------------------------------
Robert A. Smith
-------------------------------------------
Debra S. Knez
-------------------------------------------
Jeffrey R. Lurie
-------------------------------------------
Cathy J. Lurie
Accepted and Agreed to this ____ day of May, 1994
THE FIRST NATIONAL BANK OF BOSTON,
as Agent
-15-
Page 44 of 93 pages
<PAGE> 16
By:
------------------------
Its
Hereunto duly authorized
Receipt of a counterpart execution copy of this First Release of Shares is
acknowledged this ____ day of May, 1994.
HARCOURT GENERAL, INC.
By:
------------------------
Its
Hereunto duly authorized
-16-
Page 45 of 93 pages
<PAGE> 1
FIRST RELEASE OF SHARES
PURSUANT TO
SMITH-LURIE/MARKS FAMILY STOCKHOLDERS' AGREEMENT
THIS INSTRUMENT entered into as of the day of , 1992.
W I T N E S S E T H :
- - - - - - - - - - -
The following sets forth the background of this instrument:
A. By Agreement dated as of December 29, 1986, the "Smith-Lurie/Marks
Family Stockholders' Agreement" (the "Stockholders' Agreement") was entered into
among certain holders of the issued and outstanding Class B Stock of General
Cinema Corporation, a Delaware Corporation (individually a "Stockholder" and
collectively the "Stockholders"), to assure that Class B Stock subject to the
Stockholders' Agreement cannot be converted into Common Stock by any Stockholder
without affording the other Stockholders a right to purchase the Class B Stock
otherwise to be converted.
B. By the First, Second, Third and Fourth Supplements to the Stockholders'
Agreement (dated, respectively, as of January 8, 1988, December 5, 1988, April
29, 1989 and December 5, 1990), each of Amy Smith Berylson, Robert A. Smith and
Debra Smith Knez confirmed that certain shares of Class B Stock which had been
distributed to them from certain trusts for their benefit remained subject to
the terms, provisions and conditions of the Stockholders' Agreement.
C. Paragraph 13 of the Stockholders' Agreement provides as follows:
"13. This Agreement may not be changed orally, but only by a
agreement executed by all of the record holders of the Class B Stock
which is outstanding and subject to the terms of this Agreement at the
time of such amendment. However, any shares of Class B Stock may be
released from the terms of this Agreement by a written instrument
executed by all of the holders of record of the remaining Class B
Stock which is then outstanding and subject to the terms of this
Agreement."
D. Richard A. Smith has requested that one hundred thousand (100,000)
shares of Class B Stock owned by him be released from the terms of the
Stockholders' Agreement; and all of the undersigned parties, constituting all of
the holders of record of the Class B Stock which is now outstanding and subject
to the terms of the Stockholders' Agreement, wish to release said 100,000 shares
of Class B Stock from the terms of the Stockholders' Agreement.
-1-
Page 46 of 93 pages
<PAGE> 2
E. Annexed hereto, made a part hereof and hereby incorporated herein by
reference is a revised Schedule of Stockholders which sets forth the Class B
Stock subject to the Stockholders' Agreement which will be owned by each of the
Stockholders after reflecting the release of said 100,000 shares.
NOW, THEREFORE, each of the undersigned parties agrees as follows:
1. One hundred thousand (100,000) shares of Class B Stock which are owned
by Richard A. Smith (evidenced by stock certificate number 007) and which, prior
to the execution of this Instrument, were subject to the terms of the
Stockholders' Agreement, are hereby released from the terms of the Stockholders'
Agreement.
2. Richard A. Smith shall be authorized to take all necessary or
appropriate action to reflect the release from the restrictions of the
Stockholders' Agreement of the 100,000 shares of Class B stock evidenced by
stock certificate number 007, and all parties shall be fully protected in
relying upon this instrument (or a copy thereof) to establish that the shares
presently evidenced by stock certificate number 007 are not subject to the
Stockholders' Agreement.
3. Except for said 100,000 shares of Class B Stock hereby so released, all
other shares of Class B Stock which were heretofore subject to the terms of the
Stockholders' Agreement and which are owned by Richard A. Smith or any other
undersigned party shall remain subject to the terms of the Stockholders'
Agreement, which shall continue in full force and effect with respect to all
shares remaining subject to such agreement.
4. All of the terms, provisions and conditions of this instrument shall be
binding upon and inure to the benefit of each and all of undersigned parties and
their respective legal representatives, successors and assigns in the same
manner as the Stockholders' Agreement.
WITNESS THE EXECUTION HEREOF, under seal, in any number of counterpart
copies, as of the day and year first above written.
Richard A. Smith
Susan F. Smith
Nancy L. Marks
-2-
Page 47 of 93 pages
<PAGE> 3
TRUST U/W/O PHILIP SMITH F/B/O RICHARD
A. SMITH
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
TRUST U/W/O PHILIP SMITH F/B/O NANCY
L. MARKS
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
A-D-R TRUST F/B/O AMY SMITH BERYLSON
U/I/T dated 2/9/67
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Jay E. Orlin, as Trustee and not
individually
-3-
Page 48 of 93 pages
<PAGE> 4
A-D-R TRUST F/B/O ROBERT A. SMITH U/I/T
dated 2/9/67
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Jay E. Orlin, as Trustee and not
individually
A-D-R TRUST F/B/O DEBRA SMITH KNEZ
U/I/T dated 2/9/67
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Jay E. Orlin, as Trustee and not
individually
C-J-P TRUST F/B/O CATHY LURIE U/I/T dated
12/10/73
By:
Richard A. Smith, as Trustee and not
individually
C-J-P TRUST F/B/O JEFFREY LURIE U/I/T
dated 12/10/73
By:
Richard A. Smith, as Trustee and not
individually
-4-
Page 49 of 93 pages
<PAGE> 5
C-J-P TRUST F/B/O PETER LURIE U/I/T dated
12/10/73
By:
Richard A. Smith, as Trustee and not
individually
RICHARD A. SMITH 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
MARIAN SMITH D-R-A 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
NANCY LURIE MARKS 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Jay E. Orlin, as Trustee and not
individually
By:
Mark D. Balk, as Trustee and not
individually
MARIAN SMITH J-C-P 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Nancy Lurie Marks, as Trustee and not
individually
-5-
Page 50 of 93 pages
<PAGE> 6
RICHARD A. SMITH FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o DEBRA SMITH KNEZ
By:
Richard A. Smith, as Trustee and not
individually
By:
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o ROBERT A. SMITH
By:
Richard A. Smith, as Trustee and not
individually
By:
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o AMY S. BERYLSON
By:
Richard A. Smith, as Trustee and not
individually
By:
Nancy L. Marks, as Trustee and not
individually
-6-
Page 51 of 93 pages
<PAGE> 7
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o CATHY J. LURIE
By:
Nancy Lurie Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o JEFFREY R. LURIE
By:
Nancy Lurie Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
PETER A. LURIE TRUST U/W/O MARIAN J.
SMITH
By:
Nancy Lurie Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
-7-
Page 52 of 93 pages
<PAGE> 8
A-D-R CHARITABLE FOUNDATION AND
TRUST U/D/T dated 11/1/68
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Jay E. Orlin, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T dated
4/15/58 F/B/O CATHY J. LURIE, ET AL
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T dated
4/15/58 F/B/O JEFFREY R. LURIE, ET AL
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
-8-
Page 53 of 93 pages
<PAGE> 9
MORRIS J. LURIE FAMILY TRUST U/I/T dated
4/15/58 F/B/O PETER A. LURIE, ET AL
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
SMITH MANAGEMENT COMPANY
By:
Its
Hereunto duly authorized
MARIAN REALTY COMPANY
By:
Its
Hereunto duly authorized
Amy S. Berylson
Robert A. Smith
Debra S. Knez
Jeffrey R. Lurie
-9-
Page 54 of 93 pages
<PAGE> 10
Cathy J. Lurie
Receipt of a counterpart execution copy of this First Release of Shares is
acknowledged this day of , 1992.
GENERAL CINEMA CORPORATION
By:
Its
Hereunto duly authorized
-10-
Page 55 of 93 pages
<PAGE> 11
, 1992
SCHEDULE OF STOCKHOLDERS
No. of Shares
Class B. Stock
General Cinema Address Stock-
Corp. Subject for holder
Stockholder to Agreement Notices Family
----------- -------------- ------- ------
Richard A. Smith (exclusive of
Certificate No. 001, 007 and 430) 2,571,360 1 Smith
Susan F. Smith (exclusive of
Certificates No. 45,56,47 & 386) 300,000 2 Smith
Nancy L. Marks (exclusive of
Certificate No. 021 and 431) 2,086,952 3 Lurie/Marks
Trust u/w/o Philip Smith f/b/o
Richard A. Smith 3,233,104 1 Smith
Trust u/w/o Philip Smith f/b/o
Nancy L. Marks 3,233,104 1 Lurie/Marks
A-D-R Trust f/b/o Amy Smith
Berylson U/I/T dtd. 2/9/67 237,682 4 Smith
A-D-R Trust f/b/o Robert A. Smith
U/I/T/ dtd. 2/9/67 472,134 4 Smith
A-D-R Trust f/b/o Debra Smith Knez
U/I/T/ dtd. 2/9/67 472,134 4 Smith
C-J-P Trust f/b/o Cathy Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
C-J-P Trust f/b/o Jeffrey Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
C-J-P Trust f/b/o Peter Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
Richard A. Smith 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Smith
-11-
Page 56 of 93 pages
<PAGE> 12
Marian Smith D-R-A 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Smith
Nancy Lurie Marks 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Lurie/Marks
Marian Smith J-C-P 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Lurie/Marks
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Debra Smith Knez 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Amy Smith Berylson 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Robert A. Smith 66,572 1 Smith
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Cathy J. Lurie 66,570 1 Lurie/Marks
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Jeffrey R. Lurie 66,570 1 Lurie/Marks
Peter A. Lurie Trust u/w/o
Marian J. Smith 99,816 1 Lurie/Marks
A-D-R Charitable Foundation
and Trust U/I/T dtd. 11/1/68 34,480 4 Smith
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Cathy J. Lurie, et al 198,040 1 Lurie/Marks
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Jeffrey R. Lurie, et al 198,040 1 Lurie/Marks
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Peter A. Lurie, et al 198,040 1 Lurie/Marks
Smith Management Company 629,840 1 Smith
-12-
Page 57 of 93 pages
<PAGE> 13
Marian Realty Company 288,720 1 N/A
Robert A Smith
(Certificates 340, 388 and 455) 237,066 5 Smith
Debra S. Knez
(Certificates 342, 392 and 477) 237,066 6 Smith
Amy S. Berylson
(Certificates 345, 390, 432
and 453) 471,518 7 Smith
Jeffrey R. Lurie
(Certificates 336 & 394) 1,000 4 Lurie
Cathy J. Lurie
(Certificates 338 & 395 1,000 3 Lurie
-----
TOTAL 20,693,952
********************************************************************************
ADDRESSES FOR NOTICE
1. Redacted
2. Redacted
3. Redacted
4. Redacted
5. Redacted
6. Redacted
7. Redacted
-13-
Page 58 of 93 pages
<PAGE> 1
SECOND RELEASE OF SHARES
PURSUANT TO
SMITH-LURIE/MARKS FAMILY STOCKHOLDERS' AGREEMENT
THIS INSTRUMENT entered into as of the day of , 1994.
W I T N E S S E T H :
- - - - - - - - - - -
The following sets forth the background of this instrument:
A. By Agreement dated as of December 29, 1986, the "Smith-Lurie/Marks
Family Stockholders' Agreement" (the "Stockholders' Agreement") was entered into
among certain holders of the issued and outstanding Class B Stock of General
Cinema Corporation, a Delaware Corporation, now known as Harcourt General, Inc.
(individually a "Stockholder" and collectively the "Stockholders"), to assure
that Class B Stock subject to the Stockholders' Agreement cannot be converted
into Common Stock by any Stockholder without affording the other Stockholders a
right to purchase the Class B Stock otherwise to be converted.
B. By the First, Second, Third and Fourth Supplements to the Stockholders'
Agreement (dated, respectively, as of January 8, 1988, December 5, 1988, April
29, 1989 and December 5, 1990), each of Amy Smith Berylson, Robert A. Smith and
Debra Smith Knez confirmed that certain shares of Class B Stock which had been
distributed to them from certain trusts for their benefit remained subject to
the terms, provisions and conditions of the Stockholders' Agreement. By a First
Release of Shares pursuant to the Stockholders' Agreement, dated as of October
1, 1992, certain shares of Class B Stock owned by Richard A. Smith were released
from the terms of the Stockholders' Agreement.
C. Paragraph 13 of the Stockholders' Agreement provides as follows:
"13. This Agreement may not be changed orally, but only by a
agreement executed by all of the record holders of the Class B Stock
which is outstanding and subject to the terms of this Agreement at the
time of such amendment. However, any shares of Class B Stock may be
released from the terms of this Agreement by a written instrument
executed by all of the holders of record of the remaining Class B
Stock which is then outstanding and subject to the terms of this
Agreement."
D. It is desired that all of the shares of Class B Stock presently owned by
(i) Jeffrey R. Lurie, individually ("Jeffrey"), (ii) the C-J-P Trust f/b/o
Jeffrey Lurie u/i/t dated December 10, 1973, and (iii) the Morris J. Lurie
Family Trust u/i/t dated April 15, 1958 f/b/o Jeffrey Lurie et al (the trusts
described in clauses (ii) and (iii) together being referred to as the "Trusts"),
be released from the terms of the Stockholders' Agreement; and all of the
undersigned parties, constituting all of the holders of record of the Class B
Stock which is now outstanding and
-1-
Page 59 of 93 pages
<PAGE> 2
subject to the terms of the Stockholders' Agreement, wish to release all such
shares of Class B Stock owned by Jeffrey and the Trusts from the terms of the
Stockholders' Agreement.
E. Annexed hereto, made a part hereof and hereby incorporated herein by
reference is a revised Schedule of Stockholders which sets forth the Class B
Stock subject to the Stockholders' Agreement which will be owned by each of the
Stockholders after reflecting the release of such shares.
NOW, THEREFORE, each of the undersigned parties agrees as follows:
1. All of the shares of Class B Stock owned by Jeffrey and the Trusts, and
which, prior to the execution of this Instrument, were subject to the terms of
the Stockholders' Agreement, are hereby released from the terms of the
Stockholders' Agreement.
2. Jeffrey and the Trustees of the Trusts (or their successors or
distributee(s)) shall be authorized to take all necessary or appropriate action
to reflect the release from the restrictions of the Stockholders' Agreement of
all of the shares of Class B Stock owned by Jeffrey or the Trusts, and all
parties shall be fully protected in relying upon this instrument (or a copy
thereof) to establish that the shares presently owned by Jeffrey or the Trusts
are not subject to the Stockholders' Agreement.
3. Except for said shares of Class B Stock owned by Jeffrey and the Trusts
which are hereby so released, all other shares of Class B Stock which were
heretofore subject to the terms of the Stockholders' Agreement and which are
owned by any undersigned party shall remain subject to the terms of the
Stockholders' Agreement, which shall continue in full force and effect with
respect to all shares remaining subject to such agreement. Furthermore, this
Release of Shares shall apply only to such shares of Class B Stock as are
presently owned by Jeffrey and the Trusts and shall not apply to any shares
acquired or received by them subject to the Stockholders' Agreement in the
future.
4. All of the terms, provisions and conditions of this instrument shall be
binding upon and inure to the benefit of each and all of undersigned parties and
their respective legal representatives, successors and assigns in the same
manner as the Stockholders' Agreement.
WITNESS THE EXECUTION HEREOF, under seal, in any number of counterpart
copies, as of the day and year first above written.
Richard A. Smith
Susan F. Smith
Nancy L. Marks
-2-
Page 60 of 93 pages
<PAGE> 3
TRUST U/W/O PHILIP SMITH F/B/O RICHARD
A. SMITH
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
TRUST U/W/O PHILIP SMITH F/B/O NANCY
L. MARKS
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
A-D-R TRUST F/B/O AMY SMITH BERYLSON
U/I/T dated 2/9/67
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Mark D. Balk, as Trustee and not
individually
-3-
Page 61 of 93 pages
<PAGE> 4
A-D-R TRUST F/B/O ROBERT A. SMITH U/I/T
dated 2/9/67
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Mark D. Balk, as Trustee and not
individually
A-D-R TRUST F/B/O DEBRA SMITH KNEZ
U/I/T dated 2/9/67
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Mark D. Balk, as Trustee and not
individually
C-J-P TRUST F/B/O CATHY LURIE U/I/T dated
12/10/73
By:
Richard A. Smith, as Trustee and not
individually
C-J-P TRUST F/B/O JEFFREY LURIE U/I/T
dated 12/10/73
By:
Richard A. Smith, as Trustee and not
individually
-4-
Page 62 of 93 pages
<PAGE> 5
C-J-P TRUST F/B/O PETER LURIE U/I/T dated
12/10/73
By:
Richard A. Smith, as Trustee and not
individually
RICHARD A. SMITH 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
MARIAN SMITH D-R-A 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
NANCY LURIE MARKS 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Mark D. Balk, as Trustee and not
individually
By:
Darline M. Lewis, as Trustee and not
individually
MARIAN SMITH J-C-P 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
Nancy Lurie Marks, as Trustee and not
individually
-5-
Page 63 of 93 pages
<PAGE> 6
RICHARD A. SMITH FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o DEBRA SMITH KNEZ
By:
Richard A. Smith, as Trustee and not
individually
By:
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o ROBERT A. SMITH
By:
Richard A. Smith, as Trustee and not
individually
By:
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o AMY S. BERYLSON
By:
Richard A. Smith, as Trustee and not
individually
By:
Nancy L. Marks, as Trustee and not
individually
-6-
Page 64 of 93 pages
<PAGE> 7
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o CATHY J. LURIE
By:
Nancy Lurie Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o JEFFREY R. LURIE
By:
Nancy Lurie Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
PETER A. LURIE TRUST U/W/O MARIAN J.
SMITH
By:
Nancy Lurie Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
-7-
Page 65 of 93 pages
<PAGE> 8
A-D-R CHARITABLE FOUNDATION AND
TRUST U/D/T dated 11/1/68
By:
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
Mark D. Balk, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T dated
4/15/58 F/B/O CATHY J. LURIE, ET AL
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T dated
4/15/58 F/B/O JEFFREY R. LURIE, ET AL
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
-8-
Page 66 of 93 pages
<PAGE> 9
MORRIS J. LURIE FAMILY TRUST U/I/T dated
4/15/58 F/B/O PETER A. LURIE, ET AL
By:
Nancy L. Marks, as Trustee and not
individually
By:
Richard A. Smith, as Trustee and not
individually
SMITH MANAGEMENT COMPANY
By:
Its
Hereunto duly authorized
MARIAN REALTY COMPANY
By:
Its
Hereunto duly authorized
Amy S. Berylson
Robert A. Smith
Debra S. Knez
Jeffrey R. Lurie
-9-
Page 67 of 93 pages
<PAGE> 10
Cathy J. Lurie
Receipt of a counterpart execution copy of this Second Release of Shares
is acknowledged this day of , 1994.
HARCOURT GENERAL, INC.
By:
Its
Hereunto duly authorized
-10-
Page 68 of 93 pages
<PAGE> 11
, 1994
SCHEDULE OF STOCKHOLDERS
No. of Shares
Class B. Stock
General Cinema Address Stock-
Corp. Subject for holder
Stockholder to Agreement Notices Family
----------- ------------ ------- ------
Richard A. Smith (exclusive of
Certificate No. 001, 007 and 430) 2,571,360 1 Smith
Susan F. Smith (exclusive of
Certificates No. 45, 56, 47 & 386) 300,000 2 Smith
Nancy L. Marks (exclusive of
Certificate No. 021 and 431) 2,086,952 3 Lurie/Marks
Trust u/w/o Philip Smith f/b/o
Richard A. Smith 3,233,104 1 Smith
Trust u/w/o Philip Smith f/b/o
Nancy L. Marks 3,233,104 1 Lurie/Marks
A-D-R Trust f/b/o Amy Smith
Berylson U/I/T dtd. 2/9/67 237,682 4 Smith
A-D-R Trust f/b/o Robert A. Smith
U/I/T/ dtd. 2/9/67 472,134 4 Smith
A-D-R Trust f/b/o Debra Smith Knez
U/I/T/ dtd. 2/9/67 472,134 4 Smith
C-J-P Trust f/b/o Cathy Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
C-J-P Trust f/b/o Peter Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
Richard A. Smith 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Smith
Marian Smith D-R-A 1976
-11-
Page 69 of 93 pages
<PAGE> 12
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Smith
Nancy Lurie Marks 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Lurie/Marks
Marian Smith J-C-P 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Lurie/Marks
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Debra Smith Knez 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Amy Smith Berylson 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Robert A. Smith 66,572 1 Smith
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Cathy J. Lurie 66,570 1 Lurie/Marks
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Jeffrey R. Lurie 66,570 1 Lurie/Marks
Peter A. Lurie Trust u/w/o
Marian J. Smith 99,816 1 Lurie/Marks
A-D-R Charitable Foundation
and Trust U/I/T dtd. 11/1/68 34,480 4 Smith
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Cathy J. Lurie, et al 198,040 1 Lurie/Marks
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Peter A. Lurie, et al 198,040 1 Lurie/Marks
Smith Management Company 629,840 1 Smith
Marian Realty Company 288,720 1 N/A
Robert A Smith
(Certificates 340, 388 and 455) 237,066 1 Smith
-12-
Page 70 of 93 pages
<PAGE> 13
Debra S. Knez
(Certificates 342, 392 and 477) 237,066 5 Smith
Amy S. Berylson
(Certificates 345, 390, 432
and 453) 471,518 6 Smith
Cathy J. Lurie
(Certificates 338 & 395) 1,000 3 Lurie
-----
TOTAL 19,734,912
********************************************************************************
ADDRESSES FOR NOTICE
1. Redacted
2. Redacted
3. Redacted
4. Redacted
5. Redacted
6. Redacted
-13-
Page 71 of 93 pages
<PAGE> 1
THIRD RELEASE OF SHARES
PURSUANT TO
SMITH-LURIE/MARKS FAMILY STOCKHOLDERS' AGREEMENT
THIS INSTRUMENT entered into as of the 21st day of May, 1996.
W I T N E S S E T H :
- - - - - - - - - - -
The following sets forth the background of this instrument:
A. By Agreement dated as of December 29, 1986, the "Smith-Lurie/Marks
Family Stockholders' Agreement" (the "Stockholders' Agreement") was entered into
among certain holders of the issued and outstanding Class B Stock of General
Cinema Corporation, a Delaware Corporation, now known as Harcourt General, Inc.
(individually a "Stockholder" and collectively the "Stockholders"), to ensure
that Class B Stock subject to the Stockholders' Agreement cannot be converted
into Common Stock by any Stockholder without affording the other Stockholders a
right to purchase the Class B Stock otherwise to be converted.
B. By the First through Sixteenth Supplements to the Stockholders'
Agreement, various transferees confirmed that certain shares of Class B Stock
which had been transferred to them remained subject to the terms, provisions and
conditions of the Stockholders' Agreement. By a First Release of Shares pursuant
to the Stockholders' Agreement, dated as of October 1, 1992, and a Second
Release of Shares pursuant to the Stockholders' Agreement, dated as of May 12,
1994, certain shares of Class B Stock owned by Richard A. Smith and Jeffrey R.
Lurie (respectively) were released from the terms of the Stockholders'
Agreement.
C. Paragraph 13 of the Stockholders' Agreement provides as follows:
"13. This Agreement may not be changed orally, but only by an
agreement executed by all of the record holders of the Class B Stock which
is outstanding and subject to the terms of this Agreement at the time of
such amendment. However, any shares of Class B Stock may be released from
the terms of this Agreement by a written instrument executed by all of the
holders of record of the remaining Class B Stock which is then outstanding
and subject to the terms of this Agreement."
D. It is desired that certain shares of Class B Stock presently owned by
(i) Amy S. Berylson, (ii) Debra S. Knez, (iii) Robert A. Smith, (iv) the A-D-R
Trust F/B/O Robert A. Smith u/i/t dated 2/9/67, (v) the C-J-P Trust F/B/O Cathy
Lurie u/i/t dated 12/10/73, (vi) the C-J-P Trust F/B/O Peter Lurie u/i/t dated
12/10/73, and (vii) Richard A. Smith, be released from the terms of the
Stockholders' Agreement; and all of the undersigned parties, constituting all of
the holders of record of the Class B Stock which is now outstanding and subject
to the terms of the
-1-
Page 72 of 93 pages
<PAGE> 2
Stockholders' Agreement, wish to release such shares of Class B Stock from the
terms of the Stockholders' Agreement.
E. Annexed hereto, made a part hereof and hereby incorporated herein by
reference is a revised Schedule of Stockholders which sets forth the Class B
Stock subject to the Stockholders' Agreement which will be owned by each of the
Stockholders after reflecting the release of such shares.
NOW, THEREFORE, each of the undersigned parties agrees as follows:
1. 150,000 shares of Class B Stock which are owned by Amy S. Berylson --
evidenced by Certificate number 2157 -- and which, prior to the execution of
this instrument, were subject to the terms of the Stockholders' Agreement, are
hereby released from the terms of the Stockholders' Agreement. Certificate
number 2157 evidences a total of 208,200 of such shares, with the result that
58,200 of such shares shall remain subject to the terms of the Stockholders'
Agreement.
2. 150,000 shares of Class B Stock which are owned by Debra S. Knez --
evidenced by Certificate number 2223 -- and which, prior to the execution of
this instrument, were subject to the terms of the Stockholders' Agreement, are
hereby released from the terms of the Stockholders' Agreement. Certificate
number 2223 evidences a total of 236,067 of such shares, with the result that
86,067 of such shares shall remain subject to the terms of the Stockholders'
Agreement.
3. 37,787 shares of Class B Stock which are owned by Robert A. Smith --
evidenced by Certificate number 2218 -- and which, prior to the execution of
this instrument, were subject to the terms of the Stockholders' Agreement, are
hereby released from the terms of the Stockholders' Agreement. Said shares
represent the entirety of the shares evidenced by Certificate number 2218.
4. 10,000 shares of Class B Stock which are owned by the A-D-R Trust F/B/O
Robert A. Smith -- evidenced by Certificate number 2132 -- and which, prior to
the execution of this instrument, were subject to the terms of the Stockholders'
Agreement, are hereby released from the terms of the Stockholders' Agreement.
Certificate number 2132 evidences a total of 118,034 of such shares, with the
result that 108,034 of such shares shall remain subject to the terms of the
Stockholders' Agreement.
5. 150,000 shares of Class B Stock which are owned by the C-J-P Trust F/B/O
Cathy Lurie -- evidenced by Certificate numbers 219 through 224 inclusive -- and
which, prior to the execution of this instrument, were subject to the terms of
the Stockholders' Agreement, are hereby released from the terms of the
Stockholders' Agreement. Said shares represent the entirety of the shares
evidenced by Certificate numbers 219 through 224.
6. 150,000 shares of Class B Stock which are owned by the C-J-P Trust F/B/O
Peter Lurie -- evidenced by Certificate numbers 230 through 235 inclusive -- and
which, prior to the execution of this instrument, were subject to the terms of
the Stockholders' Agreement, are hereby released from the terms of the
Stockholders' Agreement. Said shares represent the entirety of the shares
evidenced by Certificate numbers 230 through 235.
-2-
Page 73 of 93 pages
<PAGE> 3
7. 100,000 shares of Class B Stock which are owned by Richard A. Smith --
evidenced by Certificate number 5 -- and which, prior to the execution of this
instrument, were subject to the terms of the Stockholders' Agreement, are hereby
released from the terms of the Stockholders' Agreement. Said shares represent
the entirety of the shares evidenced by Certificate number 5.
8. Each of the parties whose shares set forth in Paragraphs 1 through 7
above are being released from the terms of the Stockholders' Agreement shall be
authorized to take all necessary or appropriate action to reflect the release
from the restrictions of the Stockholders' Agreement of all of the shares of
Class B Stock specified as being released in said Paragraphs 1 through 7, and
all parties shall be fully protected in relying upon this instrument (or a copy
thereof) to establish that such shares of Class B Stock are not subject to the
Stockholders' Agreement.
9. Except for said shares of Class B Stock so specified in said Paragraphs
1 through 7 which are hereby so released, all other shares of Class B Stock
which were heretofore subject to the terms of the Stockholders' Agreement and
which are owned by any undersigned party shall remain subject to the terms of
the Stockholders' Agreement, which shall continue in full force and effect with
respect to all shares remaining subject to such agreement.
10. All of the terms, provisions and conditions of this instrument shall be
binding upon and inure to the benefit of each and all of undersigned parties and
their respective legal representatives, successors and assigns in the same
manner as the Stockholders' Agreement.
WITNESS THE EXECUTION HEREOF, under seal, in any number of counterpart
copies, as of the day and year first above written.
---------------------------------------
Richard A. Smith
---------------------------------------
Susan F. Smith
---------------------------------------
Nancy L. Marks
SUSAN F. SMITH GRANTOR RETAINED
ANNUITY TRUST -- 15 YEARS
By:
------------------------------------
Susan F. Smith, as Trustee and not
individually
-3-
Page 74 of 93 pages
<PAGE> 4
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
-4-
Page 75 of 93 pages
<PAGE> 5
SUSAN F. SMITH GRANTOR RETAINED
ANNUITY TRUST -- 7 YEARS
By:
------------------------------------
Susan F. Smith, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
AMY SMITH BERYLSON GRANTOR
RETAINED ANNUITY TRUST
By:
------------------------------------
Amy Smith Berylson, as Trustee and not
individually
By:
------------------------------------
John G. Berylson, as Trustee and not
individually
ROBERT A. SMITH GRANTOR RETAINED
ANNUITY TRUST
By:
------------------------------------
Robert A. Smith, as Trustee and not
individually
By:
------------------------------------
Dana A. Weiss, as Trustee and not
individually
-5-
Page 76 of 93 pages
<PAGE> 6
DEBRA SMITH KNEZ GRANTOR
RETAINED ANNUITY TRUST
By:
------------------------------------
Debra Smith Knez, as Trustee and not
individually
By:
------------------------------------
Brian J. Knez, as Trustee and not
individually
TRUST U/W/O PHILIP SMITH F/B/O
RICHARD A. SMITH
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
TRUST U/W/O PHILIP SMITH F/B/O
NANCY L. MARKS
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
-6-
Page 77 of 93 pages
<PAGE> 7
A-D-R TRUST F/B/O ROBERT A. SMITH
U/I/T dated 2/9/67
By:
------------------------------------
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
------------------------------------
Mark D. Balk, as Trustee and not
individually
A-D-R TRUST F/B/O DEBRA SMITH KNEZ
U/I/T dated 2/9/67
By:
------------------------------------
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
------------------------------------
Mark D. Balk, as Trustee and not
individually
C-J-P TRUST F/B/O CATHY LURIE U/I/T
dated 12/10/73
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
C-J-P TRUST F/B/O PETER LURIE U/I/T
dated 12/10/73
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
-7-
Page 78 of 93 pages
<PAGE> 8
RICHARD A. SMITH 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
------------------------------------
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
MARIAN SMITH D-R-A 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
------------------------------------
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
NANCY LURIE MARKS 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
------------------------------------
Mark D. Balk, as Trustee and not
individually
By:
------------------------------------
Darline M. Lewis, as Trustee and not
individually
MARIAN SMITH J-C-P 1976 CHARITABLE
TRUST U/D/T dated 12/16/76
By:
------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
-8-
Page 79 of 93 pages
<PAGE> 9
RICHARD A. SMITH FAMILY TRUST
U/W/O MARIAN J. SMITH f/b/o DEBRA
SMITH KNEZ
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST
U/W/O MARIAN J. SMITH f/b/o ROBERT A.
SMITH
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
RICHARD A. SMITH FAMILY TRUST
U/W/O MARIAN J. SMITH f/b/o AMY S.
BERYLSON
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
-9-
Page 80 of 93 pages
<PAGE> 10
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o CATHY J. LURIE
By:
------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
NANCY S. LURIE FAMILY TRUST U/W/O
MARIAN J. SMITH f/b/o JEFFREY R. LURIE
By:
------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
PETER A. LURIE TRUST U/W/O MARIAN J.
SMITH
By:
------------------------------------
Nancy Lurie Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
-10-
Page 81 of 93 pages
<PAGE> 11
A-D-R CHARITABLE FOUNDATION AND
TRUST U/D/T dated 11/1/68
By:
------------------------------------
Susan F. Smith a/k/a Susan M. Smith,
as Trustee and not individually
By:
------------------------------------
Mark D. Balk, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T
dated 4/15/58 F/B/O CATHY J. LURIE, ET AL
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
MORRIS J. LURIE FAMILY TRUST U/I/T
dated 4/15/58 F/B/O PETER A. LURIE, ET AL
By:
------------------------------------
Nancy L. Marks, as Trustee and not
individually
By:
------------------------------------
Richard A. Smith, as Trustee and not
individually
SMITH MANAGEMENT COMPANY
By:
------------------------------------
Its
Hereunto duly authorized
-11-
Page 82 of 93 pages
<PAGE> 12
MARIAN REALTY COMPANY
By:
------------------------------------
Its
Hereunto duly authorized
---------------------------------------
Amy S. Berylson
---------------------------------------
Robert A. Smith
---------------------------------------
Debra S. Knez
---------------------------------------
Cathy J. Lurie
Receipt of a counterpart execution copy of this Third Release of Shares is
acknowledged this day of , 1996.
HARCOURT GENERAL, INC.
By:
------------------------------
Its
Hereunto duly authorized
-12-
Page 83 of 93 pages
<PAGE> 13
, 1996
SCHEDULE OF STOCKHOLDERS
No. of Shares
Class B Stock
Harcourt General, Address Stock-
Inc. Subject for holder
Stockholder to Agreement Notices Family
----------- ------------ ------- ------
Richard A. Smith (exclusive of
Certificate ____) 771,360 1 Smith
Susan F. Smith (exclusive of
Certificates No. 45, 46, 47
and 386) 658,461 2 Smith
Nancy L. Marks (exclusive of
Certificate No. 2100,
and ) 2,086,952 3 Lurie/Marks
Susan F. Smith Grantor Retained
Annuity Trust--15 YEARS 690,981 4 Smith
Susan F. Smith Grantor Retained
Annuity Trust--7 YEARS 650,558 4 Smith
Amy Smith Berylson Grantor Retained
Annuity Trust 465,061 4 Smith
Robert A. Smith Grantor Retained
Annuity Trust (exclusive of
Certificate 2160) 434,346 4 Smith
Debra Smith Knez Grantor Retained
Annuity Trust (exclusive of
Certificate 2163) 209,594 4 Smith
Trust u/w/o Philip Smith f/b/o
Richard A. Smith 3,233,104 1 Smith
Trust u/w/o Philip Smith f/b/o
Nancy L. Marks 3,233,104 1 Lurie/Marks
A-D-R Trust f/b/o Robert A. Smith
U/I/T/ dtd. 2/9/67 226,067 4 Smith
-13-
Page 84 of 93 pages
<PAGE> 14
A-D-R Trust f/b/o Debra Smith Knez
U/I/T/ dtd. 2/9/67 236,067 4 Smith
C-J-P Trust f/b/o Cathy Lurie
U/I/T/ dtd. 12/10/73 610,000 4 Lurie/Marks
C-J-P Trust f/b/o Peter Lurie
U/I/T/ dtd. 12/10/73 610,000 4 Lurie/Marks
Richard A. Smith 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Smith
Marian Smith D-R-A 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Smith
Nancy Lurie Marks 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Lurie/Marks
Marian Smith J-C-P 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Lurie/Marks
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Debra Smith Knez 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Amy Smith Berylson 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Robert A. Smith 66,572 1 Smith
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Cathy J. Lurie 66,570 1 Lurie/Marks
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Jeffrey R. Lurie 66,570 1 Lurie/Marks
Peter A. Lurie Trust u/w/o
Marian J. Smith 99,816 1 Lurie/Marks
A-D-R Charitable Foundation
and Trust U/I/T dtd. 11/1/68 34,480 4 Smith
-14-
Page 85 of 93 pages
<PAGE> 15
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Cathy J. Lurie, et al 198,040 1 Lurie/Marks
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Peter A. Lurie, et al 198,040 1 Lurie/Marks
Smith Management Company 629,840 1 Smith
Marian Realty Company 288,720 1 N/A
Robert A Smith
(Certificates 340 and 388) 1,000 5 Smith
Debra S. Knez
(Certificates 342, 392 and 2216) 113,539 6 Smith
Amy S. Berylson
(Certificates 345, 390, and 2214) 94,139 7 Smith
Cathy J. Lurie
(Certificates 338 and 395) 1,000 3 Lurie
-----
TOTAL 18,987,125
*******************************************************************************
ADDRESSES FOR NOTICE
1. Redacted
2. Redacted
3. Redacted
4. Redacted
5. Redacted
6. Redacted
-15-
Page 86 of 93 pages
<PAGE> 1
SIXTEENTH SUPPLEMENT
TO
SMITH-LURIE/MARKS FAMILY STOCKHOLDERS' AGREEMENT
THIS INSTRUMENT entered into as of the 20th day of November, 1995.
W I T N E S S E T H :
- - - - - - - - - - -
The following sets forth the background of this instrument:
A. By Agreement dated as of December 29, 1986, the "Smith-Lurie/Marks
Family Stockholders' Agreement" (the "Stockholders' Agreement") was entered into
among certain holders of the issued and outstanding Class B Stock of General
Cinema Corporation, a Delaware Corporation, now known as Harcourt General, Inc.
(individually a "Stockholder" and collectively the "Stockholders"), to assure
that Class B Stock subject to the Stockholders' Agreement cannot be converted
into Common Stock by any Stockholder without affording the other Stockholders a
right to purchase the Class B Stock otherwise to be converted.
B. The Stockholders' Agreement requires that the transferee of any Class B
Stock subject to the Stockholders' Agreement confirm, by written instrument,
that the shares so transferred remain subject to the terms, provisions and
conditions of the Stockholders' Agreement.
C. Amy S. Berylson has executed a First Supplement to the Stockholders'
Agreement dated as of January 8, 1988, with respect to 232,836 shares of Class B
Stock transferred to her by the Trustees of the A-D-R Trust F/B/O Amy S.
Berylson U/I/T dated 2/9/67, a Second Supplement to the Stockholders' Agreement
dated as of December 5, 1988, with respect to 237,682 shares of said Class B
Stock transferred to her by such Trustees and a Fifth Supplement to the
Stockholders' Agreement dated as of May 20, 1994, with respect to 237,682 shares
of said Class B Stock transferred to her by such Trustees. Said First, Second
and Fifth Supplements confirm that the shares of Class B Stock transferred to
her are subject to the terms, provisions and conditions of the Stockholders'
Agreement.
D. Robert A. Smith has executed a Third Supplement to the Stockholders'
Agreement dated as of April 29, 1989, with respect to 236,066 shares of Class B
Stock transferred to him by the Trustees of the A-D-R Trust F/B/O Robert A.
Smith U/I/T dated 2/9/67 and a Sixth Supplement to the Stockholders' Agreement
dated as of May 23, 1994, with respect to 236,067 shares of said Class B Stock
transferred to him by such Trustees. Said Third and Sixth Supplements confirm
that the shares of Class B Stock transferred to him are subject to the terms,
provisions and conditions of the Stockholders' Agreement.
E. Debra S. Knez has executed a Fourth Supplement to the Stockholders'
Agreement dated as of December 5, 1990, confirming that 236,066 shares of Class
B Stock transferred to her by the Trustees of the A-D-R Trust F/B/O Debra S.
Knez U/I/T dated 2/9/67 are subject to the terms, provisions and conditions of
the Stockholders' Agreement.
-1-
Page 87 of 93 pages
<PAGE> 2
F. Susan F. Smith has executed a Seventh Supplement to the Stockholders'
Agreement dated as of July 26, 1994, confirming that 1,700,000 shares of Class B
stock transferred to her by Richard A. Smith are subject to the terms,
provisions and conditions of the Stockholders' Agreement.
G. Susan F. Smith and Richard A. Smith, as Trustees of the SUSAN F. SMITH
GRANTOR RETAINED ANNUITY TRUST--15 YEARS, u/d/t dated 8/10/94, and the SUSAN F.
SMITH GRANTOR RETAINED ANNUITY TRUST--7 YEARS, u/d/t dated 8/10/94, have
executed an Eighth Supplement to the Stockholders' Agreement dated as of August
10, 1994, confirming that 1,500,000 shares of Class B stock transferred to them
by Susan F. Smith are subject to the terms, provisions and conditions of the
Stockholders' Agreement.
H. Amy Smith Berylson and John G. Berylson, as Trustees of the AMY SMITH
BERYLSON GRANTOR RETAINED ANNUITY TRUST, u/d/t dated 10/25/94, have executed a
Ninth Supplement to the Stockholders' Agreement dated as of October 25, 1994,
confirming that 500,000 shares of Class B stock transferred to them by Amy Smith
Berylson are subject to the terms, provisions and conditions of the
Stockholders' Agreement.
I. Robert A. Smith and Dana A. Weiss, as Trustees of the ROBERT A. SMITH
GRANTOR RETAINED ANNUITY TRUST, u/d/t dated 10/27/94, have executed a Tenth
Supplement to the Stockholders' Agreement dated as of October 27, 1994,
confirming that 472,133 shares of Class B stock transferred to them by Robert A.
Smith are subject to the terms, provisions and conditions of the Stockholders'
Agreement.
J. Debra Smith Knez and Brian J. Knez, as Trustees of the DEBRA SMITH KNEZ
GRANTOR RETAINED ANNUITY TRUST, u/d/t dated 10/27/94, have executed a Eleventh
Supplement to the Stockholders' Agreement dated as of October 27, 1994,
confirming that 236,066 shares of Class B stock transferred to them by Debra
Smith Knez are subject to the terms, provisions and conditions of the
Stockholders' Agreement.
K. Susan F. Smith has executed a Twelfth Supplement to the Stockholders'
Agreement dated as of August 10, 1995, confirming that 59,019 shares of Class B
stock transferred to her by Susan F. Smith and Richard A. Smith, as Trustees of
the SUSAN F. SMITH GRANTOR RETAINED ANNUITY TRUST--15 YEARS, and 99, 442 shares
of Class B stock transferred to her by Susan F. Smith and Richard A. Smith, as
Trustees of the SUSAN F. SMITH GRANTOR RETAINED ANNUITY TRUST--7 YEARS, are
subject to the terms, provisions and conditions of the Stockholders' Agreement.
L. Amy Smith Berylson has executed a Thirteenth Supplement to the
Stockholders' Agreement dated as of October 25, 1995, confirming that 34,939
shares of Class B stock transferred to her by Amy Smith Berylson and John G.
Berylson, as Trustees of the AMY SMITH BERYLSON GRANTOR RETAINED ANNUITY TRUST,
are subject to the terms, provisions and conditions of the Stockholders'
Agreement.
M. Robert A. Smith has executed a Fourteenth Supplement to the
Stockholders' Agreement dated as of October 27, 1995, confirming that 37,787
shares of Class B stock transferred to him by Robert A. Smith and Dana A. Weiss,
as Trustees of the ROBERT A.
-2-
Page 88 of 93 pages
<PAGE> 3
SMITH GRANTOR RETAINED ANNUITY TRUST, are subject to the terms, provisions and
conditions of the Stockholders' Agreement.
N. Debra Smith Knez has executed a Fifteenth Supplement to the
Stockholders' Agreement dated as of October 27, 1995, confirming that 26,472
shares of Class B stock transferred to her by Debra Smith Knez and Brian J.
Knez, as Trustees of the DEBRA SMITH KNEZ GRANTOR RETAINED ANNUITY TRUST, are
subject to the terms, provisions and conditions of the Stockholders' Agreement.
O. All of the parties to the Stockholders' Agreement have executed a First
Release of Shares dated as of October 1, 1992, and a Second Release of Shares
dated as of May 12, 1994, releasing certain shares of Class B Stock from the
terms, provisions and conditions of the Stockholders' Agreement.
P. All of the parties to the Stockholders' Agreement have executed a
Modification and Consent dated as of May 13, 1994, modifying the provisions of
the Stockholders' Agreement as it applies to certain shares of Class B Stock
being pledged as collateral by certain parties to the Stockholders' Agreement.
Q. By reason of having attained the age of thirty-five (35) years, Debra
Smith Knez is now entitled to receive a distribution from the Trustees of the
A-D-R Trust F/B/O Debra Smith Knez U/I/T dated 2/9/67 ("ADR Trustees F/B/O
Debra") of 236,067 shares of Class B Stock which are presently subject to the
terms, provisions and conditions of the Stockholders' Agreement (the
"Transferred Shares").
R. Annexed hereto, made a part hereof and hereby incorporated herein by
reference is a revised Schedule of Stockholders which sets forth the Class B
Stock subject to the Stockholders' Agreement owned by each of the Stockholders
after reflecting the re-registration of the Transferred Shares in the name of
Debra Smith Knez.
NOW, THEREFORE, the undersigned, Debra Smith Knez, to induce the ADR
Trustees F/B/O Debra to transfer the Transferred Shares to her and to cause
re-registration of such Shares into her name agrees to and with such Trustees,
and with the other Stockholders, as follows:
1. Each of the Transferred Shares has been, or will be, transferred to her
subject to the terms, provisions and conditions contained in the Stockholders'
Agreement, which Stockholders' Agreement and its terms, provisions and
conditions are hereby incorporated herein by reference as if set forth herein
verbatim.
2. The terms, provisions and conditions of the Stockholders' Agreement
shall continue to apply to the Transferred Shares registered in her name during
such time as the Transferred Shares shall be owned by the undersigned, with the
same force and effect as if the undersigned were the owner of record of the
Transferred Shares at the time of the original execution and delivery of the
Stockholders' Agreement.
3. The undersigned agrees with each other Stockholder to comply with, and
not suffer any violation of, the Stockholders' Agreement with respect to the
Transferred Shares registered in her name.
-3-
Page 89 of 93 pages
<PAGE> 4
4. The undersigned agrees that she will not make, or suffer to be made, any
transfer of the Transferred Shares except upon compliance with the provisions of
the Stockholders' Agreement.
WITNESS THE EXECUTION HEREOF, under seal, in any number of counterpart
copies, as of the day and year first above written.
-------------------------------------
Debra Smith Knez
-4-
Page 90 of 93 pages
<PAGE> 5
November 20, 1995
SCHEDULE OF STOCKHOLDERS
No. of Shares
Class B Stock
Harcourt General, Address Stock-
Inc. Subject for holder
Stockholder to Agreement Notices Family
- ----------- ----------------- ------- ------
Richard A. Smith 871,360 1 Smith
Susan F. Smith (exclusive of
Certificates No. 45, 46, 47
and 386) 658,461 2 Smith
Nancy L. Marks (exclusive of
Certificate No. 2100,
and ) 2,086,952 3 Lurie/Marks
Susan F. Smith Grantor Retained
Annuity Trust--15 YEARS 690,981 4 Smith
Susan F. Smith Grantor Retained
Annuity Trust--7 YEARS 650,558 4 Smith
Amy Smith Berylson Grantor Retained
Annuity Trust 465,061 4 Smith
Robert A. Smith Grantor Retained
Annuity Trust (exclusive of
Certificate 2160) 434,346 4 Smith
Debra Smith Knez Grantor Retained
Annuity Trust (exclusive of
Certificate 2163) 209,594 4 Smith
Trust u/w/o Philip Smith f/b/o
Richard A. Smith 3,233,104 1 Smith
Trust u/w/o Philip Smith f/b/o
Nancy L. Marks 3,233,104 1 Lurie/Marks
A-D-R Trust f/b/o Robert A. Smith
U/I/T/ dtd. 2/9/67 236,067 4 Smith
-5-
Page 91 of 93 pages
<PAGE> 6
A-D-R Trust f/b/o Debra Smith Knez
U/I/T/ dtd. 2/9/67 236,067 4 Smith
C-J-P Trust f/b/o Cathy Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
C-J-P Trust f/b/o Peter Lurie
U/I/T/ dtd. 12/10/73 760,000 4 Lurie/Marks
Richard A. Smith 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Smith
Marian Smith D-R-A 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Smith
Nancy Lurie Marks 1976 Charitable
Trust U/D/T dtd. 12/16/76 960,000 1 Lurie/Marks
Marian Smith J-C-P 1976
Charitable Trust U/D/T dtd. 12/16/76 480,000 1 Lurie/Marks
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Debra Smith Knez 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Amy Smith Berylson 66,572 1 Smith
Richard A. Smith Family Trust u/w/o
Marian J. Smith f/b/o
Robert A. Smith 66,572 1 Smith
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Cathy J. Lurie 66,570 1 Lurie/Marks
Nancy S. Lurie Family Trust u/w/o
Marian J. Smith f/b/o
Jeffrey R. Lurie 66,570 1 Lurie/Marks
Peter A. Lurie Trust u/w/o
Marian J. Smith 99,816 1 Lurie/Marks
A-D-R Charitable Foundation
and Trust U/I/T dtd. 11/1/68 34,480 4 Smith
Morris J. Lurie Family Trust U/I/T
-6-
Page 92 of 93 pages
<PAGE> 7
dtd. 4/15/58 f/b/o
Cathy J. Lurie, et al 198,040 1 Lurie/Marks
Morris J. Lurie Family Trust U/I/T
dtd. 4/15/58 f/b/o
Peter A. Lurie, et al 198,040 1 Lurie/Marks
Smith Management Company 629,840 1 Smith
Marian Realty Company 288,720 1 N/A
Robert A Smith
(Certificates 340, 388 and
2218) 38,787 5 Smith
Debra S. Knez
(Certificates 342, 392, 2216
and 2223) 263,539 6 Smith
Amy S. Berylson
(Certificates 345, 390, 2157
and 2214) 244,139 7 Smith
Cathy J. Lurie
(Certificates 338 and 395) 1,000 3 Lurie
-----
TOTAL 19,734,912
******************************************************************************
ADDRESSES FOR NOTICE
1. Redacted
2. Redacted
3. Redacted
4. Redacted
5. Redacted
6. Redacted
7. Redacted
-7-
Page 93 of 93 pages
