SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
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FORM 8-KA
CURRENT REPORT
Pursuant to Section 13 or 15(d)of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) June 26, 2000
KINARK CORPORATION
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(Exact name of registrant as specified in its charter)
Delaware 1-3920 71-0268502
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(State or other (Commission File Number) (IRS Employer
jurisdiction of Identification No.)
Incorporation)
2250 East 73rd Street, Suite 300, Tulsa, Oklahoma 74136
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(Address of principal executive offices) (Zip Code)
(918) 494-0964
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(Registrant's telephone number, including area code)
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Item 2. Acquisition or Disposition of Assets
On June 26, 2000, the Company sold all of the common stock of Lake
River Corporation to LRT Holding Company, Inc., pursuant to a stock purchase
agreement dated June 23, 2000, in exchange for cash in the amount of $26,400.
Such amount is subject to adjustment based upon certain accounts receivable
and accounts payable levels as described in the attached stock purchase
agreement.
On June 26, 2000, the Company sold all of the common stock of North
American Warehousing Company to NAWC Holding Company, Inc., pursuant to a
stock purchase agreement dated June 23, 2000, in exchange for cash in the
amount of $166,000. Such amount is subject to adjustment based upon certain
accounts receivable and accounts payable levels as described in the attached
stock purchase agreement.
The Company estimates these transactions resulted in a net loss of
approximately $490,000 and $205,000 for Lake River Corporation and North
American Warehousing Company, respectively, which it expects to report in the
second quarter 2000 as a loss on the disposal of business segments.
Lake River Corporation and North American Warehousing Company, both
located in the Chicago area, represented approximately 15% of the Company's
1999 sales. Lake River Corporation conducts business primarily in the storage
and trans-shipment of bulk liquid chemicals. North American Warehousing
Company is involved in the warehousing and trans-shipment of drummed and dry
chemicals. Both of the acquiring corporations are controlled by members of
the existing management of Lake River Corporation and North American
Warehousing Company.
The attached stock purchase agreements and press release are hereby
incorporated by reference in this Current Report on Form 8-K.
Item 7. Financial Statements and Exhibits.
(b) Pro forma financial information.
It is impractical to provide the required pro forma
financial information at the date of the filing of this
Form 8-K. The required pro forma financial information
will be provided as soon as practicable but not later
than 60 days after the date on which this Form 8-K is filed.
(c) Exhibits:
2.1 Stock Purchase Agreement by and between
Kinark Corporation and LRT Holding Company, Inc.
2.2 Stock Purchase Agreement by and between
Kinark Corporation and NAWC Holding Company, Inc.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
KINARK CORPORATION
(Registrant)
Date: September 7, 2000 By: /s/ Paul R. Chastain
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Paul R. Chastain
Vice President and
Chief Financial Officer
