SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(AMENDMENT NO. 4)
GENERAL ACCEPTANCE CORPORATION
- --------------------------------------------------------------------------------
(Name of Issuer)
Common Stock
- --------------------------------------------------------------------------------
(Title of Class of Securities)
368749107
- --------------------------------------------------------------------------------
(CUSIP Number)
John J. Sabl
11825 N. Pennsylvania Street
Carmel, Indiana 46032
(317) 817-6708
- --------------------------------------------------------------------------------
(Name, Address, Telephone Number of Persons Authorized to Receive
Notices and Communications)
April 20, 1998
- --------------------------------------------------------------------------------
(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 Statement and is filing this
Statement because of Rule 13d-1(b)(3) or (4), check the following box.
[ ]
<PAGE>
CUSIP No. . . . . . . . . . . . . . . . . . . . . . . . . . . . 368749107
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSON . . . . . . . . . . . . . . . . . . Conseco, Inc.
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON . . . . . . 35-1468632
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [ ] (b) [ X ]
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS . . . . . . . . . . . . . . . . . . . . . . . . . . . . NA
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [ ]
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION Indiana
- --------------------------------------------------------------------------------
Number of 7. SOLE VOTING POWER 0
Shares -------------------------------------------------------------------------
Beneficially 8. SHARED VOTING POWER 73,314,000
Owned By -----------------------------------------------------------------------
Each 9. SOLE DISPOSITIVE POWER 0
Reporting ----------------------------------------------------------------------
Person With 10. SHARED DISPOSITIVE POWER 73,314,000
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
73,314,000
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES SHARES
[ ]
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
97.1%
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON HC
2
<PAGE>
CUSIP No. . . . . . .. . . . . . . . . . . . . . . . . . . . . 368749107
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSON . . . . . . . . . . . . . . . CIHC, Incorporated
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 51-0356511
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [ ] (b) [ X ]
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS N/A
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [ ]
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- --------------------------------------------------------------------------------
Number of 7. SOLE VOTING POWER 20,314,000
Shares --------------------------------------------------------------
Beneficially 8. SHARED VOTING POWER 53,000,000
Owned By --------------------------------------------------------------
Each 9. SOLE DISPOSITIVE POWER 20,314,000
Reporting --------------------------------------------------------------
Person With 10. SHARED DISPOSITIVE POWER 53,000,000
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
73,314,000
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES SHARES
[ ]
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
97.1%
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON HC
3
<PAGE>
CUSIP No. . . . . . . . . . . . . . . . . . . . . . . . . . . 368749107
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSON . . . . . Capitol American Life Insurance Company
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 34-1083130
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [ ] (b) [ X ]
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS WC
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [ ]
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION Arizona
- --------------------------------------------------------------------------------
Number of 7. SOLE VOTING POWER 40,000,000
Shares --------------------------------------------------------------
Beneficially 8. SHARED VOTING POWER 0
--------------------------------------------------------------
Owned By
Each 9. SOLE DISPOSITIVE POWER 40,000,000
Reporting --------------------------------------------------------------
Person With 10. SHARED DISPOSITIVE POWER 0
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
40,000,000
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES SHARES
[ ]
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
64.0%
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON IC
4
<PAGE>
CUSIP No. . . . . . . . . . . . . . . . . . . . . . . . . . . . 368749107
- --------------------------------------------------------------------------------
1. NAME OF REPORTING PERSON . . .. . Great American Reserve Insurance Company
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON 75-0300900
- --------------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) [ ] (b) [ X ]
- --------------------------------------------------------------------------------
3. SEC USE ONLY
- --------------------------------------------------------------------------------
4. SOURCE OF FUNDS WC
- --------------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(d) or 2(e) [ ]
- --------------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION Texas
- --------------------------------------------------------------------------------
Number of 7. SOLE VOTING POWER 13,000,000
Shares --------------------------------------------------------------
Beneficially 8. SHARED VOTING POWER 0
Owned By --------------------------------------------------------------
Each 9. SOLE DISPOSITIVE POWER 13,000,000
Reporting --------------------------------------------------------------
Person With 10. SHARED DISPOSITIVE POWER 0
- --------------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
13,000,000
- --------------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES SHARES
[ ]
- --------------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
36.6%
- --------------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON IC
5
<PAGE>
Item 1. Security and Issuer.
This Amendment No. 4 to Schedule 13D is being filed by Capitol American
Life Insurance Company ("Capitol American"), Conseco, Inc. ("Conseco"), CIHC,
Incorporated, ("CIHC") and Great American Reserve Insurance Company ("Great
American") relating to the Common Stock, no par value (the "Common Stock"), of
General Acceptance Corporation, an Indiana corporation (the "Company"). Great
American and Capitol American are wholly-owned subsidiaries of CIHC. CIHC is a
wholly-owned subsidiary of Conseco.
The Company's principal executive offices are located at 1025 Acuff
Road, Bloomington, Indiana 47404.
Item 2. Identity and Background.
The information previously filed pursuant to Item 2 of this Schedule
13D, as amended, is unchanged.
Item 3. Source and Amount of Funds or Other Consideration.
On April 20, 1998, the reporting persons completed the transactions
disclosed in Amendment No. 3 to Schedule 13D, dated March 12, 1998. Effective
April 27, 1998, Conseco exercised its warrant to purchase 500,000 shares of
Common Stock for $125,000 and immediately transferred such shares to CIHC as a
capital contribution. Otherwise, the information previously filed pursuant to
Item 3 of this Schedule 13D, as amended, is unchanged.
Item 4. Purpose of Transaction.
Pursuant to the closing of the transactions previously reported as
pending and the exercise of a warrant to purchase 500,000 shares of Common
Stock, CIHC now owns in excess of 90% of the shares of Common Stock currently
outstanding. Such ownership would permit CIHC to conduct a short form merger of
the Company thereby acquiring the shares CIHC does not own. Conseco is currently
exploring its alternatives with respect to its investment in the Company which
may involve a short form merger although there can be no assurance that any such
transaction will ever occur nor can there be any assurance as to what price
would be paid pursuant to any such transaction, if it ever occurred. Conseco did
pay $.30 per share to members of the Algood family for their shares of Common
Stock. Additionally, pursuant to the terms of the
6
<PAGE>
Securities Purchase Agreement between CIHC and the Algoods, Conseco has
requested that Russell Algood and Malvin Algood resign from the Board of
Directors of the Company. Conseco also believes that the other non-Conseco
members of the Board of Directors will soon resign from the Board. At this time
Conseco has no plans for filling any vacancies created by such resignations.
Item 5. Interest in Securities of the Issuer.
(a) As a result of Capitol American's ownership of $10,000,000 of the
Debentures, Capitol American beneficially owns 40,000,000 shares of the
Common Stock representing approximately 64.0% of the shares of Common Stock
deemed to be outstanding. Such beneficial ownership is based upon the
conversion of the Debentures at a conversion price of $.25 per share for
$10,000,000 of Debentures.
As a result of Great American's acquisition of $3,250,000 of the Algood
Notes, Great American beneficially owns 13,000,000 shares of the Common
Stock representing approximately 36.6% of the shares of Common Stock deemed
to be outstanding. Such beneficial ownership is based upon the conversion
of the Algood Notes at a conversion price of $.25 per share for $3,250,000
of Algood Notes.
As a result of CIHC's acquisition of 16,000,000 shares of Common Stock
from the Company, purchase of 3,814,000 shares of Common Stock from the
Algoods and contribution by Conseco of 500,000 shares of Common Stock
pursuant to the exercise of the Warrant, CIHC beneficially owns, directly,
20,514,000 shares of Common Stock representing 90.2% of the shares of
Common Stock deemed to be outstanding. As a result of the beneficial
ownership of Capitol American and Great American, CIHC, directly and
indirectly, beneficially owns 73,314,000 shares of Common Stock
representing 97.1% of the deemed outstanding shares of Common Stock.
As a result of the ownership of Common Stock by CIHC, Capitol American
and Great American, Conseco, directly and indirectly, beneficially owns
73,314,000 shares of Common Stock representing approximately 97.1% of the
deemed outstanding shares of Common Stock.
(b) Upon conversion of the Debentures, Capitol American will have the
sole power to vote or to direct the vote and the
7
<PAGE>
sole power to dispose or to direct the disposition of 40,000,000 shares of
Common Stock. Upon conversion of the Algood Notes, Great American will have
the sole power to vote or to direct the vote and the sole power to dispose
or to direct the disposition of 13,000,000 shares of Common Stock. Upon
purchase of the Common Stock by CIHC as described above, CIHC has the sole
power to vote or to direct the vote and the sole power to dispose or to
direct the disposition of 20,314,000 shares of Common Stock. Through its
ownership of Capitol American and Great American, CIHC may be deemed to
share the power to direct the vote or disposition of the 53,000,000 shares
of Common Stock beneficially owned by Capitol American and Great American.
Pursuant to Rule 13d-4 under the Securities Exchange Act of 1934, CIHC
expressly disclaims beneficial ownership of such shares and declares that
the filing of this statement shall not be construed as an admission of any
such beneficial ownership. Through its ownership of CIHC, Capitol American
and Great American, Conseco may be deemed to share the power to direct the
vote or disposition of the 73,314,000 shares of Common Stock beneficially
owned by CIHC, Capitol American and Great American. Pursuant to Rule 13d-4
under the Securities Exchange Act of 1934, Conseco expressly disclaims
beneficial ownership of the shares beneficially owned by Capitol American
and Great American and declares that the filing of this statement shall not
be construed as an admission of any such beneficial ownership.
(c) The only transactions involving the Common Stock effected during
the past 90 days by Capitol American, Great American, Conseco or CIHC are
as described in this Schedule 13D, as amended hereby.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to
Securities of the Issuer.
Other than the occurrence of the closing of the transactions previously
reported as pending, the information previously filed pursuant to Item 6 of the
Schedule 13D, as amended, is unchanged.
Item 7. Material to Be Filed as Exhibits.
*(1) Securities Purchase Agreement, dated as of April 11, 1997, between
the Company and Capitol American.
8
<PAGE>
*(2) 12% Subordinated Convertible Note, dated April 11, 1997, in the
principal amount of $10,000,000 issued to Capitol American.
*(3) Stockholders' Agreement, dated as of April 11, 1997, among the
Company, Conseco, Capitol American and the stockholders named therein.
*(4) Registration Rights Agreement, dated as of April 11, 1997, between
the Company and Capitol American.
(5) Joint Filing Agreement, dated as of April 29, 1998, between Capitol
American, Great American, Conseco and CIHC.
**(6) Agreement, dated as of September 16, 1997, between the Company
and Conseco.
**(7) Guaranty, dated September 16, 1997, issued by Conseco for the
benefit of General Electric Capital Corporation.
**(8) Warrant, dated as of September 16, 1997, issued by the Company to
Conseco.
**(9) 12% Subordinated Convertible Note, dated as of September 16,
1997, issued by the Company to Conseco.
**(10) Amendment No. 1 to Securities Purchase Agreement, dated as of
September 16, 1997, between the Company and Capitol American.
**(11) Amendment No. 1 to Stockholders' Agreement, dated as of
September 16, 1997, among the Company, Conseco, Capitol American and the
stockholders named therein.
**(l2) Registration Rights Agreement, dated as of September 16, 1997,
between the Company and Conseco.
**(13) Conseco Subordination Agreement, dated as of September 16, 1997,
among the Company, Capitol American, Conseco and the stockholders named
therein.
**(14) Algood Subordination Agreement, dated as of
9
<PAGE>
September 16, 1997, among the Company, Capitol American and the
stockholders named therein.
***(15) Securities Purchase Agreement, dated as of March 12, 1998,
between the Company and CIHC.
***(16) Securities Purchase Agreement, dated as of March 12, 1998,
among CIHC and the stockholders named therein.
***(17) Assignment, dated March 24, 1998, between CIHC and Great
American.
*(18) 12% Subordinated Convertible Note, dated April 11, 1997, payable
by General Acceptance Corporation to Malvin J. Algood.
*(19) 12% Subordinated Convertible Note, dated April 11, 1997, payable
by General Acceptance Corporation to Russell E. Algood.
----------
* Incorporated by reference from the Form 10-K filed by the Company on
April 15, 1997.
** Incorporated by reference from the Schedule 13D filed by Capitol
American, Conseco and CIHC on September 29, 1997.
***Incorporated by reference from the Schedule 13D of Capitol American,
Great American, Conseco and CIHC dated March 12, 1998.
10
<PAGE>
SIGNATURES
After reasonable Inquiry and to the best of our knowledge and belief,
the undersigned certify that the information set forth in this statement is
true, complete and correct.
Date: April 29, 1998
Capitol American Life Insurance
Company
By:/s/Rollin M. Dick
--------------------------------
Name: Rollin M. Dick
Title: Executive Vice President
Conseco, Inc.
By:/s/Rollin M. Dick
--------------------------------
Name: Rollin M. Dick
Title: Executive Vice President
CIHC, Incorporated
By:/s/William T. Devanney, Jr.
--------------------------------
Name: William T. Devanney, Jr.
Title: Vice President
Great American Reserve Insurance
Company
By:/s/Rollin M. Dick
--------------------------------
Name: Rollin M. Dick
Title: Executive Vice President
11
JOINT FILING AGREEMENT
This will confirm the agreement by and among all the undersigned that
the Schedule 13D filed on or about this date with respect to the beneficial
ownership of the undersigned of shares of the Common Stock of General Acceptance
Corporation is being filed on behalf of each of the undersigned. This agreement
may be executed in two or more counterparts, each of which shall be deemed an
original, but all of which together shall constitute one and the same
instrument.
Dated: April 29, 1998 CONSECO, INC.
By:/s/Rollin M. Dick
--------------------------------
Rollin M. Dick,
Executive Vice President
CAPITAL AMERICAN LIFE INSURANCE
COMPANY
By:/s/Rollin M. Dick
--------------------------------
Rollin M. Dick,
Executive Vice President
CIHC, INCORPORATED
By:/s/William T. Devanney, Jr.
--------------------------------
William T. Devanney, Jr.,
Vice President
GREAT AMERICAN RESERVE INSURANCE
COMPANY
By:/s/Rollin M. Dick
--------------------------------
Rollin M. Dick,
Executive Vice President
