<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D/A-2
Under the Securities Exchange Act of 1934
(Amendment No. 2)
Champion Healthcare Corporation
-------------------------------
(Name of Issuer)
Common Stock, par value $.01 per share
--------------------------------------
(Title of Class of Securities)
15850B104
--------------
(CUSIP Number)
Laura Pearl Copy to:
Frontenac Company
135 S. LaSalle Street Sonnenschein Nath & Rosenthal
38th Floor 8000 Sears Tower
Chicago, Illinois 60604 Chicago, Illinois 60606
(312) 368-0044 (312) 876-8000
-------------------------------------------------
(Name, Address and Telephone Number of Persons
Authorized to Receive Notices and Communications)
December 31, 1995
-----------------
(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 this statement [X].
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.
<PAGE> 2
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Frontenac VI Limited Partnership
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 1,186,466
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 1,186,466
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
1,186,466
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 9.3%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 3
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Frontenac Company
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Illinois
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 1,708,048
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 1,708,048
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
1,708,048
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 12.4%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 4
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Frontenac VI Partners, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 5
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Frontenac Diversified III Limited Partnership
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Illinois
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 521,582
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 521,582
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
521,582
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.2%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 6
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Olympus Private Placement Fund, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 2,077,292
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 2,077,292
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
2,077,292
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.7%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 7
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON OGP Partners, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 2,077,292
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 2,077,292
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
2,077,292
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.7%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 8
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON James A. Conroy
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 2,077,292
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 2,077,292
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
2,077,292
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.7%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 9
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Robert S. Morris
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 2,077,292
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 2,077,292
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
2,077,292
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 16.7%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 10
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Baker, Fentress & Company
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 535,443
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 535,443
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
535,443
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.4%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 11
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Virginia Retirement System
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* [WC]
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Virginia
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 1,700,040
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 1,700,040
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
1,700,040
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13.6%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON EP
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 12
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Philip Greer
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 767,212
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 767,212
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
767,212
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.3%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 13
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Steven N. Hutchinson
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 767,212
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 767,212
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
767,212
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.3%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 14
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Wesley W. Lang
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC & PF
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 3,016
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 767,212
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 3,016
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 767,212
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
770,228
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.3%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 15
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON WPG Corporate Development Associates III, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 632,942
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 632,942
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
632,942
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.2%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 16
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON WPG CDA III, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 632,942
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 632,942
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
632,942
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.2%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 17
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON WPG Corporate Development
Associates III (Overseas), Ltd.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Cayman Islands
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 134,270
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 134,270
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
134,270
- -------------------------------------------------------------------------------------------------------------------------
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 CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 18
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON WPG CDA III Overseas, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 134,270
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 134,270
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
134,270
- -------------------------------------------------------------------------------------------------------------------------
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 PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 19
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON RFE Capital Partners, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 237,782
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 237,782
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
237,782
- -------------------------------------------------------------------------------------------------------------------------
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 PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 20
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Norcon Associates
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Connecticut
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 237,782
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 237,782
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
237,782
- -------------------------------------------------------------------------------------------------------------------------
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% See Item 5
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 21
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON RFE Investment Partners IV, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 494,191
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 494,191
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
494,191
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 22
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON RFE Associates IV, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 494,191
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 494,191
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
494,191
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 23
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON RFE Management Corp.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 731,973
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 731,973
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
731,973
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 24
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Robert M. Williams
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC & PF
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 10,000.21
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 731,973
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 10,000.21
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 731,973
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
741,973.21
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 6.0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 25
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Howard C. Landis
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 731,973
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 731,973
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
731,973
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 26
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON James A. Parsons
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 731,973
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 731,973
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
731,973
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 27
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Michael J. Foster
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC & PF
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 1,753.28
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 494,191
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 1,753.28
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 494,191
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
495,944.28
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.1%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 28
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON A. Dean Davis
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 494,191
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 494,191
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
494,191
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 29
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Hancock Venture Partners III, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 678,455
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 678,455
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
678,455
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.6%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 30
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON John Hancock Venture Capital Fund Limited Partnership II
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 355,443
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 355,443
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
355,443
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 31
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Back Bay Partners V L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 678,455
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 678,455
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
678,455
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 5.6%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 32
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Back Bay Partners L.P. II
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 355,443
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 355,443
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
355,443
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 33
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Hancock Venture Partners Inc.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 1,033,898
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 1,033,898
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
1,033,898
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 8.3%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 34
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON John Hancock Subsidiaries, Inc.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
0
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 35
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON John Hancock Mutual Life Insurance Company
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Massachusetts
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
0
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 0.0%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IC
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 36
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Equus II Incorporated
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 1,263,058
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 1,263,058
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
1,263,058
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 10.5%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 37
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Equus Capital Partners, L.P.
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 338,249
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 0
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 338,249
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 0
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
338,249
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON PN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 38
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Equus Capital Corporation
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 338,249
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 338,249
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
338,249
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 39
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Equus Capital Management Corporation
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 338,249
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 338,249
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
338,249
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 40
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Equus Corporation International
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e) [ ]
- -------------------------------------------------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION Delaware
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 338,249
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 338,249
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
338,249
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON CO
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 41
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Douglass Trust FBO Brooke
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 338,249
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 338,249
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
338,249
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON Other -- See Item 2
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 42
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Douglass Trust FBO Preston
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 0
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 338,249
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 0
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 338,249
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
338,249
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 2.9%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON Other -- See Item 2
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 43
<TABLE>
- -------------------------------------------------------------------------------------------------------------------------
<S> <C>
1 NAME OF REPORTING PERSON Nolan Lehmann
- -------------------------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX (a) [ ]
IF A MEMBER OF A GROUP (b) [X]
- -------------------------------------------------------------------------------------------------------------------------
3 SEC USE ONLY
- -------------------------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS* WC & PF
- -------------------------------------------------------------------------------------------------------------------------
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.
- -------------------------------------------------------------------------------------------------------------------------
7 SOLE VOTING POWER 2,016
-----------------------------------------------------------------------------------------------
NUMBER OF SHARES 8 SHARED VOTING POWER 1,601,307
BENEFICIALLY OWNED -----------------------------------------------------------------------------------------------
BY EACH REPORTING 9 SOLE DISPOSITIVE POWER 2,016
PERSON WITH -----------------------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER 1,601,307
- -------------------------------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON See Item 5
1,603,323
- -------------------------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ]
- -------------------------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13.4%
- -------------------------------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON IN
- -------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 44
This Amended and Restated Schedule 13D (the "Schedule 13D") is being
filed on behalf of each of the undersigned to amend and restate the following
Schedule 13D's related to the common stock, par value $.01 per share (the
"Common Stock") of Champion Healthcare Corporation, a Delaware corporation (the
"Company") filed by the following persons on the following dates (the "Prior
Filings"):
1) Frontenac Company and certain related entities on December
19, 1994 (as previously amended);
2) Olympus Private Placement Fund, L.P and certain related
entities on December 22, 1994 (as previously amended)
3) Baker, Fentress & Company on December 16, 1994 (as previously
amended)
4) Virginia Retirement System on December 22, 1994 (as
previously amended)
5) WPG Corporate Development Associates III, L.P. and certain
related persons and entities on December 19, 1994 (as previously amended)
6) RFE Investment Partners IV, L.P. and certain related persons
and entities on December 19, 1994 (as previously amended);
7) Hancock Venture Partners III, L.P. and certain related
entities on December 19, 1994 (as previously amended); and
8) Equus II Incorporated and certain related persons and
entities on December 19, 1994 (as previously amended).
This Schedule 13D amends and restates the Prior Filings in their entirety as
required pursuant to Item 101(a)(2)(ii) of Regulation S-T under the Securities
Exchange Act of 1934, as amended.
ITEM 1. SECURITY AND ISSUER
This statement relates to the Common Stock, $.01 par value
("Common Stock"), of Champion Healthcare Corporation, a Delaware corporation
(the "Company"). The Company's principal executive offices are located at
14340 Torrey Chase, Suite 320, Houston, Texas, 77014. The Company is the
surviving corporation in the merger (the "AmeriHealth Merger") of Champion
Healthcare Corporation, a Texas corporation ("Old Champion"), with and into
AmeriHealth, Inc. ("AmeriHealth").
ITEM 2. IDENTITY AND BACKGROUND
Pursuant to Rules 13d-1(f)(1) and (2) promulgated under the
Securities Exchange Act of 1934, as amended (the "Act"), this statement is
filed by each of the following persons and entities because they, along with
others, may be deemed to constitute a "group" within the meaning of Section
13(d)(3) of the Act, although neither the fact of this filing nor
<PAGE> 45
anything contained herein shall be deemed to be an admission by any of such
persons and entities that such a "group" exists.
A. Frontenac. This Schedule 13D is filed by Frontenac VI Limited
Partnership, a Delaware Limited Partnership ("Frontenac VI"), Frontenac
Diversified III Limited Partnership, an Illinois Limited Partnership
("Frontenac III"), Frontenac Company, an Illinois General Partnership
("Frontenac Company"), and Frontenac VI Partners, L.P., a Delaware Limited
Partnership ("Frontenac Partners"). Frontenac VI, Frontenac III, Frontenac
Company and Frontenac Partners are sometimes collectively referred to herein as
the "Frontenac Reporting Persons."
The principal business of Frontenac VI is private equity
investments. The principal business of Frontenac III is private equity and
debt investments. Frontenac Company is the managing general partner of both
Frontenac VI and Frontenac III. Frontenac Partners is a non-managing general
partner of Frontenac VI; and exerts virtually no control over that partnership.
Further information responsive to Items 2(a), 2(b) and 2(c) of
Schedule 13D in respect of Frontenac VI, Frontenac III, Frontenac Company and
Frontenac Partners is set forth in Annex I to this Schedule 13D and is
incorporated herein by reference.
During the last five years, none of the Frontenac Reporting
Persons nor any of the persons listed on Annex I hereto has been convicted in
any criminal proceeding (excluding traffic violations or similar misdemeanors).
During the last five years, none of the Frontenac Reporting
Persons nor any of the persons listed on Annex I hereto has been a party to any
civil proceeding of a judicial or administrative body of competent jurisdiction
and as a result of such proceeding was or is subject to a judgment, decree or
final order enjoining future violations of, or prohibiting or mandating
activities subject to, federal or state securities laws or any violation with
respect to such laws.
Each of Frontenac VI, Frontenac III, Frontenac Company and
Frontenac Partners and each of the persons listed on Annex I hereto is a
citizen of the United States of America except that Darcy Moore is a citizen of
Canada.
B. Olympus. This Schedule 13D is also filed by Olympus Private
Placement Fund, L.P., a Delaware limited partnership ("Olympus"), OGP Partners,
L.P., a Delaware limited partnership ("OPG"), Robert S. Morris ("Morris") and
James A. Conroy ("Conroy"). The foregoing persons are sometimes hereinafter
referred to collectively as the "Olympus Reporting Persons". The principal
business address of each of the Olympus Reporting Persons is Metro Center, One
Station Place, Stamford, CT 06902.
Morris' present principal occupation or employment is as managing
general partner in OPG and as the general partner of OGP II, L.P., the general
partner of Olympus Growth Fund II, L.P. Conroy's present principal occupation
or employment is as a general
-2-
<PAGE> 46
partner in OPG and as the general partner of OGP II, L.P., the general partner
of Olympus Growth Fund II, L.P. Conroy also serves as a director of the
Company.
Olympus is a Delaware limited partnership whose principal
business is that of a private investment partnership. The sole general partner
of Olympus is OPG. Pursuant to Instruction C to Schedule 13D under the Act,
the general partners of Olympus and OPG and their respective business addresses
and principal occupations are listed on Annex II hereto.
OPG is a Delaware limited partnership. The principal business of
OPG is serving as the sole general partner of Olympus. The general partners of
OPG are Morris, Conroy and Odyssey Zeus, Inc., a Delaware corporation, Odyssey
Zeus is a non-voting general partner of OPG, and exerts virtually no control
over it.
None of the entities or persons identified in Part B of this Item
2 and on Annex II has, during the last five years, been convicted in a criminal
proceeding (excluding traffic violations or similar misdemeanors).
None of the entities or persons identified in Part B of this Item
2 and on Annex II has during the last five years been a party to a civil
proceeding of a judicial or administrative body of competent jurisdiction and
as a result of such proceeding was or is subject to a judgment, 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 persons identified in Part B of this Item 2 and on
Annex II are citizens of the United States of America.
C. Baker, Fentress & Company. This Schedule 13D is also filed by
Baker, Fentress & Company, a Delaware corporation ("BKF"). BKF's principal
business is that of an investment company registered under Section 8 of the
Investment Company Act of 1940. Its principal executive offices are located at
200 West Madison Street, Suite 3510, Chicago, Illinois 60606. The name,
business address and present principal occupation of each of the directors and
executive officers of BKF are set forth in Annex III, which is attached hereto
and incorporated herein by reference.
During the last five years, neither BKF nor any of the persons
listed on Annex III has been convicted in any criminal proceeding (excluding
traffic violations or similar misdemeanors).
During the last five years, neither BKF nor any of the persons
listed on Annex III has been a party to any civil proceeding of a judicial or
administrative body of competent jurisdiction and as a result of such
proceeding was or is subject to a judgment, decree or final order enjoining
future violations of, or prohibiting or mandating activities subject to,
federal or state securities laws or any violation with respect to such laws.
All of the persons identified on Annex III are citizens of the
United States of America.
-3-
<PAGE> 47
D. Virginia Retirement System. This Schedule 13D also is filed by
Virginia Retirement System ("VRS"), which has a principal address of 1200 E.
Main Street, Richmond, VA 23219. VRS is an employee pension fund of the
Commonwealth of Virginia, and its principal business is pension fund
management. The Trustees of VRS are described on Annex IV attached hereto.
During the last five years, neither the Trustees nor VRS has been
convicted in any criminal proceeding (excluding traffic violations or similar
misdemeanors).
During the last five years, none of the Trustees nor VRS has been
a party to any civil proceeding of a judicial or administrative body of
competent jurisdiction and as a result of such proceeding was or is subject to
a judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, federal or state securities
laws or any violation with respect to such laws.
VRS and each of the Trustees are citizens of the United States of
America.
E. WPG. This Schedule 13D also is filed by Philip Greer ("Mr.
Greer"), Wesley W. Lang, Jr. ("Mr. Lang"), Steven N. Hutchinson ("Mr.
Hutchinson"), WPG Corporate Development Associates III, L.P., a Delaware
limited partnership ("CDA III"), WPG CDA III, L.P., a Delaware limited
partnership ("WPG CDA III"), WPG Corporate Development Associates III
(Overseas), Ltd., a Cayman Islands corporation ("CDA III Overseas"), and WPG
CDA III (Overseas), L.P., a Delaware limited partnership ("WPG CDA III
Overseas"). The foregoing persons are sometimes hereinafter referred to
collectively as the "WPG Reporting Persons".
Mr. Greer's business address is One New York Plaza, New York, New
York 10004, and his present principal occupation or employment at such address
is as a principal of Weiss, Peck & Greer, L.L.C. ("WPG"), and he also is a
managing partner in WPG CDA III and WPG CDA III Overseas.
Mr. Hutchinson's business address is One New York Plaza, New
York, New York 10004, and his present principal occupation or employment at
such address is as a principal of WPG, and he also is a managing partner in WPG
CDA III and WPG CDA III Overseas.
Mr. Lang's business address is One New York Plaza, New York, New
York 10004, and his present principal occupation or employment at such address
is as a principal of WPG, and he also is a managing partner in WPG CDA III and
WPG CDA III Overseas.
CDA III is a Delaware limited partnership whose principal
business is that of a private investment partnership. CDA III's principal
business address (which also serves as its principal office) is One New York
Plaza, New York, New York 10004. The sole general partner of CDA III is WPG
CDA III. Pursuant to Instruction C to Schedule 13D under the Act, the general
partners of WPG CDA III and their respective business addresses and principal
occupations are set forth on Annex V hereto, which is incorporated by reference
herein.
-4-
<PAGE> 48
WPG CDA III is a Delaware limited partnership. The principal
business of WPG CDA III is serving as the sole general partner of CDA III. WPG
CDA III's principal business address (which also serves as its principal
office) is One New York Plaza, New York, New York 10004. The managing general
partners of WPG CDA III are Mr. Greer, Mr. Hutchinson and Mr. Lang. Pursuant
to Instruction C to Schedule 13D under the Act, the general partners of WPG CDA
III and their respective business addresses and present principal occupations
are as set forth on Annex V hereto which is incorporated by reference herein.
CDA III Overseas is a Cayman Islands corporation. The principal
business of CDA III Overseas is that of a private investment company. CDA III
Overseas' principal business address (which also serves as its principal
office) is c/o W.S. Walker & Company, Caledonian House, Grand Cayman, Cayman
Islands, British West Indies. Pursuant to Instruction C to Schedule 13D under
the Act, the directors and executive officers of CDA III Overseas and their
respective business addresses and present principal occupations are as set
forth on Annex V hereto, which is incorporated by reference herein.
WPG CDA III Overseas is a Delaware limited partnership. The
principal business of WPG CDA III Overseas is serving as an advisor to CDA III
Overseas. WPG CDA III Overseas' business address (which also serves as its
principal office) is One New York Plaza, New York, New York 10004. Pursuant to
Instruction C to Schedule 13D under the Act, the general partners of WPG CDA
III Overseas and their respective business addresses and present principal
occupations are as set forth in Annex V hereto which is incorporated by
reference herein.
None of the entities or persons identified in this Part E of this
Item 2 or in Annex V hereto has, during the last five years, been convicted in
a criminal proceeding (excluding traffic violations or similar misdemeanors).
None of the entities or persons identified in this Part E of this
Item 2 or in Annex V hereto has, during the last five years been a party to a
civil proceeding of a judicial or administrative body of competent jurisdiction
and as a result of such proceeding was or is subject to a judgment, 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 persons identified in this Part E of this Item 2 or in
Annex V hereto are citizens of the United States of America, except for Robert
Rayne, and Robin L. Jarvis who are citizens of the United Kingdom, and except
for Brent Thomas, who is a citizen of New Zealand.
F. RFE Investment Partners. This Schedule 13D also is filed by RFE
Capital Partners, L.P., a Delaware limited partnership ("RFE Capital"), RFE
Investment Partners IV, L.P., a Delaware limited partnership ("RFE
Investments"), Norcon Associates, a Connecticut general partnership ("Norcon"),
RFE Associates, IV, L.P., a Delaware limited partnership ("RFE Associates") RFE
Management Corp., a Delaware corporation ("RFE Management"), and Robert M.
Williams ("Williams"), Michael J. Foster ("Foster"),
-5-
<PAGE> 49
James A. Parsons ("Parsons"), Howard C. Landis ("Landis"), and A. Dean Davis
("Davis"), all natural persons residing in Connecticut. RFE Capital, RFE
Investments, Norcon, RFE Associates, RFE Management, Williams, Foster, Parsons,
Landis and Davis are sometimes collectively referred to herein as the "RFE
Reporting Persons." The principal business address of each of the Reporting
Persons is 36 Grove Street, New Canaan, Connecticut 06840.
The principal business of each of RFE Capital and RFE Investments
is that of a partnership making venture capital and related investments. The
principal business of Norcon is acting as sole general partner of RFE Capital.
The principal business of RFE Associates is acting as sole general partner of
RFE Investments. RFE Management acts as investment manager of both RFE Capital
and RFE Investments. Williams, Landis and Parsons are general partners of each
of Norcon and RFE Associates, and Foster and Davis are general partners of RFE
Associates.
Further information responsive to Items 2(a), 2(b) and 2(c) of
Schedule 13D in respect of the Reporting Persons is set forth in Annex VI to
this Schedule 13D and is incorporated herein by reference.
During the last five years, none of the RFE Reporting Persons nor
any of the person and entities listed on Annex VI to this Schedule 13D has been
convicted in any criminal proceeding (excluding traffic violations or similar
misdemeanors).
During the last five years, none of the RFE Reporting Persons nor
any of the persons and entities listed on Annex VI to this Schedule 13D has
been a party to any civil proceeding of a judicial or administrative body of
competent jurisdiction and as a result of such proceeding was or is subject to
a judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, federal or state securities
laws or any violation with respect to such laws.
Each of the RFE Reporting Persons and persons listed on Annex VI
to this Schedule 13D is a citizen of the United States of America.
G. John Hancock. This statement is filed by Hancock Venture Partners
III, L.P., a Delaware limited partnership ("Hancock III"), John Hancock Venture
Capital Fund Limited Partnership II, a Delaware limited partnership ("Hancock
II"), Back Bay Partners V L.P., a Delaware limited partnership ("Back Bay V"),
Back Bay Partners L.P. II, a Delaware limited partnership ("Back Bay II"),
Hancock Venture Partners, Inc., a Delaware Corporation ("Venture Partners"),
John Hancock Subsidiaries, Inc., a Delaware corporation ("JHSI") and John
Hancock Mutual Life Insurance Company, a Massachusetts mutual life insurance
company ("JHMLICO"). Hancock III, Hancock II, Back Bay V, Back Bay II, Venture
Partners, JHSI and JHMLICO are sometimes collectively referred to herein as the
"Hancock Reporting Persons." The address of the principal business and
principal office address of each of the Hancock Reporting Persons (other than
JHMLICO and JHSI) is One Financial Center, 44th Floor, Boston, Massachusetts
02111, and the principal business and principal office address of JHMLICO and
JHSI is John Hancock Place, Boston, Massachusetts 02117.
-6-
<PAGE> 50
JHMLICO is a life insurance company in the United States offering
a wide variety of individual and group life and health insurance policies,
individual annuities and group pension products and other financial services.
JHSI is a wholly-owned subsidiary of JHMLICO and owns various subsidiaries of
JHMLICO. Venture Partners is a wholly-owned subsidiary of JHSI and is a
registered investment adviser. Venture Partners is the managing general
partner of each of Back Bay V and Back Bay II. Back Bay V is the sole general
partner of Hancock III. Back Bay II is the sole general partner of Hancock II.
The principal business of each of Hancock III and Hancock II is
that of a partnership engaged in making venture capital and related
investments. The principal business of Back Bay V is acting as general partner
of Hancock II. The principal business of Back Bay II is acting as general
partner of Hancock II. The principal business of Venture Partners is managing
Venture Capital and related investments including acting as manager of each of
Back Bay V and Back Bay II. The principal business of JHSI is the ownership of
various operating subsidiaries of JHMLICO.
Further information responsive to Items 2(a), 2(b) and 2(c) of
Schedule 13D in respect of Hancock III, Hancock II, Back Bay V, Back Bay II,
Venture Partners, JHSI and JHMLICO is set forth in Annex VII to this Schedule
13D and is incorporated herein by reference.
During the last five years, none of the Hancock Reporting Persons
or any of the persons listed on Annex VII hereto has been convicted in any
criminal proceeding (excluding traffic violations or similar misdemeanors).
During the last five years, none of the Hancock Reporting Persons
or any of the persons listed on Annex VII hereto has been a party to any civil
proceeding of a judicial or administrative body of competent jurisdiction and
as a result of such proceeding was or is subject to a judgment, decree or final
order enjoining future violations of, or prohibiting or mandating activities
subject to, federal or state securities laws or any violation with respect to
such laws.
Each of Hancock III, Hancock II, Back Bay V, Back Bay II, Venture
Partners, JHSI and JHMLICO and each of the persons listed on Annex VII hereto
is a citizen of the United States of America.
H. Equus Capital. This statement also is filed by Equus II
Incorporated, a Delaware corporation ("Equus II"), Equus Capital Partners,
L.P., a Delaware limited partnership ("Equus Capital"), Equus Capital
Corporation, a Delaware corporation ("Equus Capital Corp."), Equus Capital
Management Corporation, a Delaware corporation ("Equus Management"), Equus
Corporation International, a Delaware corporation ("Equus International"),
Douglass Trust IV FBO Brooke ("Brooke Trust") and Douglass Trust IV FBO Preston
("Preston Trust") and Nolan Lehmann ("Lehmann"). Equus II, Equus Capital,
Equus Capital Corp., Equus Management, Equus International, Brooke Trust and
Preston Trust are sometimes collectively referred to herein as the "Equus
Reporting Persons."
-7-
<PAGE> 51
The principal business of Equus II and Equus Capital is private
equity and debt investments. Equus Capital Corp. holds less than 1% of the
stock of Equus II and the managing general partner of Equus Capital. Equus
Management is the investment advisor of Equus II and Equus Capital, and owns a
100% interest in Equus Capital Corp., and Equus International owns an 80%
interest in Equus Management. Brooke Trust and Preston Trust each owns 50% of
Equus International. Sam P. Douglass is the Trustee of both Brooke Trust and
Preston Trust. Lehmann is the President of Equus Capital Corp., Equus
Management and Equus II.
Further information responsive to Items 2(a), 2(b) and 2(c) of
Schedule 13D in respect of the Equus Reporting Persons is set forth in Annex
VIII to this Schedule 13D and is incorporated herein by reference.
During the last five years, none of the Equus Reporting Persons
has been convicted in any criminal proceeding (excluding traffic violations or
similar misdemeanors).
During the last five years, none of the Equus Reporting Persons
has been a party to any civil proceeding of a judicial or administrative body
of competent jurisdiction and as a result of such proceeding was or is subject
to a judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, federal or state securities
laws or any violation with respect to such laws.
Each of the Equus Reporting Persons is a citizen of the United
States of America.
The Frontenac Reporting Persons, the Olympus Reporting Persons,
BKF, VRS, the WPG Reporting Persons, the RFE Reporting Persons, the Hancock
Reporting Persons and the Equus Reporting Persons are sometimes referred to
herein collectively as the "Reporting Persons".
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION
Pursuant to a Preferred Stock Purchase Agreement (the "A Purchase
Agreement") and two Warrant Purchase Agreements (the "A Warrant Purchase
Agreements"), each dated as of December 31, 1990, Equus II purchased from Old
Champion 1,286,000 shares of Old Champion's Series A Convertible Preferred
Stock, par value $.10 per share ("Old Champion Series A") for an aggregate
purchase price of $1,286,000 and Equus Capital purchased from Old Champion
464,000 shares of Old Champion Series A for an aggregate purchase price of
$464,000. In addition, Equus II and Equus Capital each acquired Warrants (the
"1990 Warrants") to purchase shares of common Stock, no par value, of Old
Champion ("Old Champion Common Stock"). Subsequently, in 1991, Equus II and
Equus Capital acquired from Old Champion an additional 1,017,380 and 367,177
shares, respectively, of Old Champion Series A for $1 per share. The A
Purchase Agreement and the two Warrant Purchase Agreements were previously
filed by the Company as Exhibits 10.20, 10.20(a) and 10.20(b) to the Company's
Form 10-K filed with the Commission on March 31, 1995, and are incorporated by
reference herein in their entirety.
-8-
<PAGE> 52
Pursuant to a Note and Stock Purchase Agreement dated May 27, 1992 (the
"B Purchase Agreement"), the following Reporting Persons purchased from Old
Champion (a) notes payable in the following amounts (the "B Notes") for the
face value of such notes and (b) the following number of shares of Series B
Cumulative Convertible Preferred Stock, par value $.10 per share, of Old
Champion ("Old Champion Series B") and warrants to purchase Old Champion Common
Stock (the "BB Warrants") from Old Champion for the following equity
consideration:
<TABLE>
<CAPTION>
Old Champion Equity
Reporting Person Notes Series B B Warrants Consideration
---------------- ----- ---------------- ---------- -------------
<S> <C> <C> <C> <C>
Olympus $3,600,000 457,629 151,200 $5,400,000
Equus II 124,916 20,549 5,246 242,484
Equus Capital 45,084 7,416 1,894 87,516
VRS 6,000,000 254,237 252,000 3,000,000
CDA III 542,768 89,289 22,796 1,053,608
CDA III Overseas 115,132 18,940 4,836 223,492
RFE Capital 2,000,000 -- 134,102 --
Hancock III 510,000 83,899 21,420 990,000
Lang 5,100 839 216 2,537
</TABLE>
The B Purchase Agreement and the form of BB Warrants were previously
filed by the Company as Exhibit 10.21 and part of Exhibit 10.23(c),
respectively, to the Company's Form 10-K filed with the Commission on March 31,
1995 and are incorporated by reference herein in their entirety.
On April 29, 1993, in connection with bridge loan made to Old Champion
by certain lenders, such lenders where issued warrants ("Bridge Warrants")
exercisable to issue an aggregate of 78,516 shares of Old Champion Common
Stock. Such lenders included the following Reporting Persons, which were
granted the Bridge Warrants for the number of shares of Old Champion Common
Stock listed to the right of such Reporting Person's name:
<TABLE>
<CAPTION>
Reporting Person Bridge Warrant Shares
---------------- ---------------------
<S> <C>
RFE Capital 3,530
CDA III 4,706
CDA III Overseas 1,006
Hancock III 4,428
</TABLE>
The form of Bridge Warrants was previously filed by the Company as
Exhibit 10.23(d) to the Company's Form 10-K filed with the Commission on March
31, 1995 and is incorporated by reference herein in its entirety.
In connection with Amendment No. 5 to the 1992 Purchase agreement dated
December 2, 1993 ("Amendment No. 5"), all of the promissory notes purchased by
the following Reporting Persons pursuant to the B Purchase Agreement were
repaid. As part of such repayment each of the Reporting Persons listed below
acquired the number of shares of Old
-9-
<PAGE> 53
Champion Series B listed below upon the tender of the principal amount of notes
listed below:
<TABLE>
<CAPTION>
Reporting Person Series B Acquired Principal Amount of Notes
---------------- ----------------- -------------------------
<S> <C> <C>
Olympus 75,600 $ 892,080
Equus II 8,653 102,105
Equus Capital 3,122 36,840
VRS 126,000 1,486,800
CDA III 11,398 134,496
CDA III Overseas 2,418 28,532
RFE Capital 16,949 200,000
Hancock III 10,710 126,378
Lang 107 1,263
</TABLE>
Pursuant to a Series C Stock Purchase Agreement (the "C Purchase
Agreement") dated December 2, 1993, the following Reporting Persons acquired
the following number of shares of Series C Preferred Stock of Old Champion
("Old Champion Series C") for a price of $18 per share.
<TABLE>
<CAPTION>
Reporting Person Series C Acquired
---------------- -----------------
<S> <C>
Equus Capital 1,300
Equus II 3,601
Olympus 103,773
VRS 172,956
CDA III 20,738
CDA III Overseas 4,399
Hancock III 20,874
Frontenac VI 55,556
Lang 147
</TABLE>
The C Purchase Agreement was previously filed by the Company as Exhibit
10.22 to the Company's Form 10-K filed with the Commission on March 31, 1995
and is incorporated by reference herein in its entirety.
Simultaneous with the transactions contemplated by the Series C Purchase
Agreement, VRS, in connection with certain agreements regarding loans made by
VRS to Old Champion, was issued a warrant (the "VRS Warrant") to purchase
25,000 shares of Champion Common Stock at an exercise price of $.01 per share.
The form of VRS Warrant was previously filed by the Company as Exhibit 10.23(e)
to the Company's Form 10-K filed with the Commission on March 31, 1995 and is
incorporated by reference herein in its entirety.
Pursuant to a Series D Note and Stock Purchase Agreement dated December
31, 1993 (the "D Purchase Agreement"), the following Reporting Persons acquired
(a) promissory notes ("D Notes") in the following principal amount in
consideration for payment of the face amount thereof and (b) the following
number of shares of Series D Preferred Stock of Old
-10-
<PAGE> 54
Champion ("Old Champion Series D") and warrants (the "D Warrants") to purchase
the following number of shares of Old Champion Common Stock for the equity
consideration set forth below:
<TABLE>
<CAPTION>
Old Champion Equity
Reporting Person D Notes Series D D Warrants Consideration
---------------- ------- --------------- ---------- -------------
<S> <C> <C> <C> <C>
BKF $3,275,000 75,015 98,250 $4,625,270
Equus II 983,000 56,261 29,490 1,995,698
Frontenac III 6,551,000 56,262 196,530 7,563,716
Frontenac VI -- 262,554 -- 4,725,972
Hancock III 1,310,000 75,016 39,300 2,660,228
Hancock II 1,310,000 75,016 39,300 2,660,228
Olympus 982,000 56,262 29,460 1,994,716
RFE Capital 2,000,000 -- 60,000 --
CDA III 1,081,000 61,888 32,430 2,194,984
CDA III Overseas 229,000 13,128 6,870 465,304
</TABLE>
RFE Capital paid the purchase price for its D Notes and D Warrants by the
delivery and cancellation of a subordinated note in the original principal
amount of $2,000,000 dated December 2, 1993. The D Purchase Agreement and the
form of D Warrants were previously filed by the Company as Exhibit 10.5 to the
Company's Form 8-K filed with the Commission on December 7, 1994 and Exhibit
10.23(f) to the Company's Form 10-K filed with the Commission on March 31,
1995, respectively, and are incorporated by reference herein in their entirety.
In connection with the merger (the "PHC Merger") of Psychiatric Hospital
Corp. ("PHC") with and into Old Champion, which merger was affected on October
21, 1994, RFE Investments (a PHC stockholder) received 123,657 shares of Old
Champion Series D, D Warrants exercisable to acquire 100,110 shares of Old
Champion Common Stock and D Notes in the aggregate outstanding principal amount
of $3,337,000. In addition, Messrs. Williams and Foster acquired 4,383.21 and
1,753.28 shares of Old Champion Common Stock in connection with the PHC Merger.
RFE Investments subsequently received an additional 24,756 shares of D Stock
(as defined below) in connection with the PHC Merger. The merger agreement
with respect to the PHC Merger was previously filed by the Company as Exhibit
10.25 to the Company's Form 10-K filed with the Commission on March 31, 1995
and is incorporated by reference herein in its entirety.
On December 6, 1994, Old Champion was merged with and into AmeriHealth.
The terms of the AmeriHealth Merger are more specifically described in Item 4
hereof, and that description is incorporated by reference into this Item 3, in
its entirety. At the Effective Time, the following Reporting Persons acquired
the following securities:
<TABLE>
<CAPTION>
Reporting Person Securities
- ---------------- ----------
<S> <C>
Frontenac VI 55,556 shares of Series C Cumulative Convertible
Preferred Stock, par value of $.01 per
share ("C Stock")
</TABLE>
-11-
<PAGE> 55
<TABLE>
<S> <C>
262,554 shares of Series D Cumulative Convertible
Preferred Stock, par value of $.01 per
share ("D Stock")
Frontenac III 56,222 shares of D Stock
D Warrants exercisable to purchase 196,530 shares
of Common Stock
Olympus Warrants exercisable to purchase 206,244 shares of
Common Stock
533,229 shares of Series BB Cumulative Convertible
Preferred Stock, par value of $.01 per
share ("BB Stock")
103,773 shares of C Stock
56,262 shares of D Stock
BKF D Warrants exercisable to purchase 157,200 shares
of Common Stock
75,015 shares of D Stock
VRS 380,237 shares of BB Stock
172,956 shares of C Stock
VRS Warrants exercisable to purchase 25,000 shares
of Common Stock
BB Warrants exercisable to purchase 252,000 shares
of Common Stock
RFE Investments 123,657 shares of D Stock
D Warrants exercisable to purchase 100,110 shares
of Common Stock
RFE Capital 16,949 shares of BB Stock
Bridge Warrants exercisable to purchase 3,530
shares of Common Stock
BB Warrants exercisable to purchase 134,102 shares
of Common Stock
D Warrants exercisable to purchase 60,000 shares
of Common Stock
CDA III 100,687 shares of BB Stock
20,738 shares of C Stock
61,888 shares of D Stock
BB Warrants exercisable to purchase 22,796 shares
of Common Stock
D Warrants exercisable to purchase 32,430 shares
of Common Stock
Bridge Warrants exercisable to purchase 4,706
shares of Common Stock
CDA III 21,358 shares of BB Stock
4,399 shares of C Stock
13,128 shares of D Stock
</TABLE>
-12-
<PAGE> 56
<TABLE>
<S> <C>
BB Warrants exercisable to purchase 4,816 shares
of Common Stock
D Warrants exercisable to purchase 6,870 shares
of Common Stock
Bridge Warrants exercisable to purchase 1,006
shares of Common Stock
Hancock III 94,609 shares of BB Stock
20,874 shares of C Stock
75,016 shares of D Stock
BB Warrants exercisable to purchase 21,420 shares
of Common Stock
D Warrants exercisable to purchase 39,300 shares
of Common Stock
Bridge Warrants exercisable to purchase 4,428
shares of Common Stock
Hancock II 75,016 shares of D Stock
D Warrants exercisable to purchase 39,300 shares
of Common Stock
Equus II 205,292 shares of Common Stock
1,286,000 shares of Series A Convertible Preferred
Stock, par value of $.01 per share ("A
Stock")
1,017,380 shares of Series A-1 Convertible
Preferred Stock, par value of $.01 per
share ("A-1 Stock")
29,202 shares of BB Stock
3,601 shares of C Stock
56,261 shares of D Stock
BB Warrants exercisable to purchase 5,246 shares
of Common Stock
D Warrants exercisable to purchase 29,490 shares
of Common Stock
Equus Capital 52,752 shares of Common Stock
464,000 shares of A Stock
367,177 shares of A Stock
10,538 shares of BB Stock
1,300 shares of C Stock
BB Warrants exercisable to purchase 1,894 shares
of Common Stock
Lang 946 shares of BB Stock
147 shares of C Stock
BB Warrants exercisable to purchase 216 shares of
Common Stock
</TABLE>
On November 30, 1994, Old Champion exercised its right under the D
Purchase Agreement to require purchasers who agreed to purchase in the
aggregate 623,453 shares of D Stock and 573,990 D Warrants to purchase
additional securities on December 30, 1994 (the "Second Closing"). On December
30, 1994, the Second Closing was consummated and the following Reporting
Persons acquired (a) D Notes in the following principal amount in consideration
for payment of the face amount thereof and (b) the following number of shares
of D Preferred and D Warrants to purchase the following number of shares of
Common Stock for the equity consideration set forth below:
-13-
<PAGE> 57
<TABLE>
<CAPTION>
Old Champion Equity
Reporting Person Notes Series D D Warrants Consideration
---------------- ----- --------------- ---------- -------------
<S> <C> <C> <C> <C>
BKF $2,760,000 39,096 82,800 $3,409,728
Equus II 517,000 27,702 15,510 1,995,698
Frontenac III 3,449,000 27,071 103,470 3,936,278
Frontenac VI -- 126,335 -- 2,274,030
Hancock III 690,000 36,095 20,700 1,339,710
Hancock II 690,000 36,095 20,700 1,339,710
Olympus 518,000 27,072 15,540 1,339,728
CDA III 569,000 29,778 17,070 1,105,004
CDA III Overseas 121,000 6,317 3,630 234,706
</TABLE>
On December 31, 1995, the Company consummated the recapitalization
transaction (the "Recapitalization") contemplated by that certain
Recapitalization Agreement (the "Recapitalization Agreement") dated as of
December 31, 1995 by and between the Company and the stockholders named
therein. The terms and affect of the Recapitalization Agreement are described
in Item 4 hereto, and such description is incorporated by reference into the
response to this Item 3 in its entirety. Pursuant to the Recapitalization, the
following Reporting Persons received the following number of shares of Common
Stock on account of (i) conversion of A, A-1 and BB Stock, (ii) waiver of
accrued dividends and certain future dividends on outstanding A, A-1 and BB
Stock and (iii) waiver of accrued dividends and certain future dividends on
outstanding C and D Stock, respectively:
<TABLE>
<CAPTION>
A, A-1 and B C and D
Reporting Person Conversion Shares Dividend Shares Dividend Shares
- ---------------- ----------------- --------------- ---------------
<S> <C> <C> <C>
Equus Capital 238,785 41,253 965
Equus II 661,731 114,329 57,592
Hancock III 189,218 50,681 88,738
Hancock II -- -- 73,221
Lang 1,892 506 108
Olympus 1,066,458 282,782 132,054
RFE Capital 33,898 6,252 --
RFE Investments -- -- 77,275
VRS 760,474 188,090 128,564
CDA III 42,716 11,441 75,821
CDA III Overseas 201,374 53,937 16,083
BKF -- -- 73,221
Frontenac VI -- -- 297,576
Frontenac III -- -- 54,916
</TABLE>
On January 19, 1996 Robert Williams acquired in open market
purchases 5,617 shares of Common Stock for an aggregate purchase price of
$34,654.
ITEM 4. PURPOSE OF TRANSACTION
Except as set forth in this Item 4, the Reporting Persons have no
present plans or proposals that relate to or that could result in any of the
actions specified in clauses (a)
-14-
<PAGE> 58
through (j) of Item 4 of Schedule 13D. The responses to Items 3 and 6 of this
Schedule 13D are hereby incorporated by reference into the response to Item 4.
A. General.
Each of the Reporting Persons acquired the shares reported in this
Schedule 13D as beneficially owned directly by such person for investment
purposes. In addition, depending on market and other considerations one or
more of the Reporting Persons may acquire additional Company securities if such
securities become available at prices that are attractive to such persons. On
the other hand, depending on market and other conditions, any one or more of
the Reporting Persons may dispose of all or a portion of the Company securities
that they now own or other securities of the Company that they may hereafter
acquire.
B. The AmeriHealth Merger.
On December 6, 1994 (the "Effective Time"), the AmeriHealth Merger was
consummated. Pursuant to the AmeriHealth Merger, (a) AmeriHealth, a publicly
traded corporation, was the surviving corporation in the merger, (b) the name
of the surviving corporation was changed to Champion Healthcare Corporation,
(c) the Company's certificate of incorporation was amended, (d) all outstanding
shares of AmeriHealth common stock were converted into the right to receive
Common Stock based on the exchange ratio of 5.70358 shares of AmeriHealth
common stock per share of Common Stock, (e) all outstanding shares of
AmeriHealth Series B preferred stock were converted into the right to receive
cash in an amount equal to the redemption price of such stock, (f) each
outstanding share of Old Champion Common Stock was converted into the right to
receive one share of Common Stock, (g) each outstanding share of Old Champion
preferred stock was converted into the right to receive (i) as to the Old
Champion Series A Preferred Stock, one share of either A or A-1 Stock, (ii) as
to the Old Champion Series B Preferred Stock, one share of BB, (iii) as to the
Old Champion Series C Preferred Stock, one share of C Stock, and (iv) as to the
Old Champion Series D, one share of D Stock, (h) all Old Champion options,
warrants and subscription rights. As a result of the Merger, holders of
Champion equity securities became holders of substantially similar securities
of the Company. The Plan of Merger, as amended, was previously filed as
Exhibits 10 and 10.1 to the Schedule 8-K filed by the Company on December 12,
1994, and are incorporated herein by reference.
C. The Recapitalization.
Effective December 31, 1995 the Company consummated the transactions
contemplated by the Recapitalization Agreement with all of its preferred
stockholders and warrant holders for the primary purpose of enhancing common
stockholder value through reducing the complexity of the Company's capital
structure and eliminating a $5,736,650 preferred dividend deduction from net
income in calculating earning per share beginning in 1996 and thereafter. The
principal provisions of the Recapitalization affecting the Reporting Persons
were:
(i) all A, A-1 and BB Stock was converted to Common Stock in
accordance with the terms of the Company's Certificate of Incorporation;
-15-
<PAGE> 59
(ii) Holders of C and D Stock waived future dividends accruing after
December 31, 1995;
(iii) Accrued dividends on all five series of preferred stock were paid
through December 31, 1995 by issuing Common Stock at a price of $7 per share;
(iv) Holders of A, A-1 and BB Stock were paid future dividends for
approximately the 9 months following the Recapitalization and Holders of C and
D Stock were paid future dividends for approximately the 21 months following
the Recapitalization by the Company issuing them Common Stock at a price of $8
per share;
(v) The exercise price of the D Warrants was temporarily reduced
until 90 days after the Company's stockholders approve ("Stockholder Approval")
an amendment to the Company's Certificate of Incorporation with respect to the
Recapitalization (the "Proposed Amendment") from $9.00 to $7.00;
(vi) The exercise price of the BB Warrants was temporarily reduced
until 90 days after Stockholder Approval of the Proposed Amendment from $5.90
to $5.25;
(vii) Waiver of all applicable anti-dilution adjustments in connection
with the issuance of Common Stock and warrant exercise price reduction pursuant
to the Recapitalization; and
(viii) The holders of all of the outstanding preferred stock of
the Company agreed to vote in favor of the Proposed Amendment, the effect of
which would be to:
(a) Decrease the number of total shares authorized from
40,400,000 to 27,700,000 and eliminating the A, A-1 and BB Stock (all of
which has been converted pursuant to the Recapitalization);
(b) Eliminate the right of the holders of C and D Stock to
receive and/or accrue dividends except that holders of C and D Stock
will participate in any dividends declared on Common Stock on an as
converted basis;
(c) Permit the Company to require conversion of all outstanding
shares of C and D Stock upon the completion of a public offering of
Common Stock for net proceeds of not less than $25,000,000 at a per
share offering price of at least $10; currently the per share offering
price required for a mandatory conversion is based upon a formula which
yields mandatory conversion prices well in excess of $10;
(d) Elimination of required redemption of the C and D Stock
except on the redemption date, June 1, 2000;
(e) Change the provisions for election of additional directors
following a "Default Event" as defined in the Company's Certificate of
Incorporation so that the Holders of C and D Stock will have the right
to elect 6 additional directors if the then existing board of directors
is eleven or less, and one additional director for each director by
which the entire board then exceeds eleven directors;
-16-
<PAGE> 60
(f) Elimination of certain anti-dilution provisions, regarding
the issuance of securities at less than the then applicable conversion
price, with respect to the C and D Stock.
Because of the agreement of the parties to the Recapitalization Agreement to
vote in favor of the Proposed Amendment, and assuming that all such parties
perform their obligations thereunder, there should be sufficient votes, without
any actions by an additional stockholders, to approve the Proposed Amendment.
As a result of the Recapitalization, and based upon information contained in
the Company's Schedule 8-K filed on January 4, 1996, the number of shares of
Common Stock outstanding increased from 4,262,388 to 11,868,230. The
Recapitalization Agreement was previously filed as Exhibits 10.1 to the
Schedule 8-K filed by the Company on January 4, 1996, and is incorporated
herein by reference in its entirety. The Proposed Amendment was previously
filed as Attachment II to the Preliminary Proxy Statement filed on Schedule 14A
by the Company on January 4, 1996, and is incorporated herein by reference in
its entirety.
D. Rights and Preferences of Securities.
The rights and preferences of the securities in the Company held by one
or more of the Reporting Persons are as follows (assuming adoption of the
Proposed Amendment, and giving affect to the Recapitalization), and all
information regarding the number of shares and/or warrants issued and
outstanding is based solely upon information provided by the Company:
Series C Cumulative Convertible Preferred Stock and Series D Cumulative
Convertible Preferred Stock. The Company has authority to issue (a) 500,000
shares of C Stock of which 448,811 shares were issued and outstanding as of
January 4, 1996 and (b) 2,200,000 shares of D Stock of which 1,481,805 shares
were issued and outstanding as of January 4, 1996.
1) Dividend Rights. The C and D Stock has the right to
receive dividends on an as converted basis when and if dividends are declared
on the Common Stock.
2) Terms of Conversion. Each share of C and D Stock is
convertible, at the option of the holder, any time into Company Common Stock.
Each share of C and D Stock is currently convertible into two shares of Common
Stock, although such amount is subject to adjustment upon the occurrence of any
stock split, dividend, combination, recapitalization or other similar event.
The Company has the option and right to require conversion of all the
outstanding C Stock upon: (a) prior written notice at least 30 days preceding;
(b) the anticipated completion of a public offering of Company Common Stock for
"net proceeds" of not less than $25,000,000 and (c) at a per share offering
price of at least $10 per share. Upon conversion, no fractional common shares
will be issued and in lieu thereof, the holder will receive cash in the amount
of the market price of such fractional shares. The Company may only compel the
conversion of the D Stock if all of the then outstanding shares of C Stock are
also required to be converted.
-17-
<PAGE> 61
3) Redemption Provisions. The C and D Stock shall be redeemed
by the Company no later than June 1, 2000. The redemption price will be $18.00
per share. If all the outstanding C Stock and D Stock cannot be redeemed at
the same time, then no C Stock shall be redeemed prior to the redemption of 80%
of the D Stock, after which 80% of the C Stock shall be redeemed, after which
the remaining 20% of the outstanding D Stock shall be redeemed, after which the
remaining 20% of the C Stock shall be redeemed.
4) Liquidation Rights. Upon liquidation, each share of C and
D Stock shall be entitled to receive liquidation payments equal to $18.00 per
share. If the Company is unable to pay fully the liquidation preference with
respect to the C and D Stock, then the first payment shall be distributed to
the holders of D Stock in an amount equal to 80% of the aggregate liquidation
preference of all outstanding shares of Series D Preferred, next to the holders
of C Stock in an amount equal to 80% of the aggregate liquidation preference of
all outstanding shares of D Stock, thereafter to the holders of the Series D
Preferred in an amount equal to the remaining liquidation preference of the
Series C Preferred, and finally to the holders of C Stock in an amount equal to
the remaining liquidation preference of the C Stock; in each instance among
such holders on a pro rata basis.
5) Voting Rights. The C and D Stock has the right to vote on
all matters according to the number of common shares into which such preferred
is convertible at the time of any shareholders' vote. In addition, both the C
and D Stock have class voting rights (requiring super-majority approval) with
respect to (i) the Company's issuance or authorization of stock with rights or
obligations which are senior, superior or in parity with such class of
preferred stock; (ii) the reissuance of shares of that series which have been
reissued or repurchased and (iii) changes to the Company's Certificate of
Incorporation which would change the rights, powers or preferences of such
series of preferred stock, or otherwise materially adversely affect the rights
of holders of stock of that series. In addition, upon the occurrence of a
Default Event, the holders of C and D Stock, voting together as one class have
a right to elect (i) six additional directors to the Company's board of
directors for the first eleven members of the Board at the time of the
occurrence of such Default Event and (ii) one additional director for each
director by which the Company's Board of Directors exceeded eleven at such
time. Under the Company's Certificate of Incorporation (after giving effect to
the Proposed Amendment), a "Default Event" will be deemed to have occurred if,
among other things, any of the following shall occur:
(a) The Company fails to make a required redemption in full or
otherwise breaches certain voting right obligations of the holders of
preferred stock;
(b) Any payment default on any material indebtedness of the
Company;
(c) The acceleration of any indebtedness of any material
indebtedness of the Company;
(d) A Change of Control;
-18-
<PAGE> 62
(e) An event of default under the Company's loan agreement with
Banque Paribas exists and continues uncured for 15 days and the lender
takes any remedy available to it;
(f) Commencement of a bankruptcy or similar proceeding by the
Company.
The D Warrants. Each warrant grants the holder the right to purchase
one share of Champion Common Stock for an exercise price of $9.00 per share,
although such exercise price has been temporarily decreased until 90 days after
Stockholder Approval of the Proposed Amendment, as discussed above. These
warrants expire at 5:00 p.m., Central Standard Time, on December 31, 2003. The
exercise price and the number of shares of Common Stock issuable upon exercise
of each Warrant issued in connection with the D Stock Purchase Agreement are
subject to antidilution protection triggered by the occurrence of certain stock
dividends or distributions, stock splits, reverse stock splits or stock
reclassifications, certain issuances or rights, options, warrants or securities
directly or indirectly convertible into Common Stock to all holders of Common
Stock entitling them to purchase shares of Common Stock at a price per share
less than the greater of the current market price or the exercise price per
share on the date of such issue, certain extraordinary dividends or
distributions to all holders of Common Stock, as well as certain issuances of
Common Stock for a consideration per share less than the greater of the current
market price or conversion price per share on the date of such issue, and
certain other corporate events.
The BB Warrants. Each BB Warrant grants the holder the right to
purchase one share of the Common Stock for an exercise price of $5.90 per
share, although such exercise price has been temporarily decreased until 90
days after Stockholder Approval of the Proposed Amendment, as discussed above.
These warrants expire at 5:00 p.m., Eastern time, on June 1, 1999 and enjoy
antidilution protection with respect to issuances of Common Stock (or
equivalents) for a price less than the then applicable exercise price of such
warrant or the per share market price of the Common Stock.
The VRS Warrants. Each VRS warrant grants the holder the right to
purchase one share of Common Stock at an exercise price of $.01 per share.
These warrants expire at 5:00 p.m., New York time, on December 1, 2000 and
enjoy antidilution protection with respect to issuances of Common Stock (or
equivalents) for a price less than the then applicable exercise price of such
warrant or the per share market price of the Common Stock.
The Bridge Warrants. The Bridge Warrants grant the holder the right to
purchase one share of Common Stock at an exercise price of $.01 per share.
These warrants expire at 5:00 p.m., New York time, on April 30, 2000 and enjoy
antidilution protection with certain specified securities issued by Champion
excepted from the antidilution adjustments to the exercise price. The Bridge
Warrants include certain registration rights, exercisable by holders of Bridge
Warrants exercisable to purchase 50% of the Common Stock issuable upon exercise
of the Bridge Warrants. Such registration rights shall not be exercisable
until the Company has a public offering yielding minimum gross proceeds of
$10,000,000, or in certain other circumstances. Holders of Bridge Warrants
also have piggy-back rights.
-19-
<PAGE> 63
E. Stockholders Agreement.
The Company, the Reporting Persons listed on Annex IX and the other
parties listed thereon are parties to that certain D Stockholders Agreement,
dated as of December 31 1993 (as amended the "Stockholders Agreements")
pursuant to which, among other things, the parties have agreed to vote for
certain nominees to the Company's board of directors. The terms of the
Stockholders Agreement are more fully described in Item 6 hereof, and such
description is incorporated by reference into the response to this Item 4.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER
By reason of the provisions of Rule 13d-5 under the Securities Exchange
Act of 1934, as amended (the "Act"), the Reporting Entities and every party to
the D Stockholders Agreement and the Recapitalization Agreement may be deemed
to be a "group." By reason of the provisions of Rule 13d-5 under the Act, the
group consisting of these entities may be deemed to own all securities in the
Company beneficially owned by each of the other parties thereto. None of the
Reporting Entities affirms the existence of such a group, and each of them
disclaims beneficial ownership of the securities held by any other party to the
D Stockholders Agreement or the Recapitalization Agreement, except that each
Reporting Entity does not disclaim beneficial ownership as to those securities
owned by the other Reporting Entities.
The percentages used in this Item 5 are calculated based upon the
11,849,491 shares of Common Stock issued and outstanding at the close of
business on January 4, 1996. Such information has been provided to the
Reporting Entities by the Company. Pursuant to Rule 13d-3(d)(1)(i), shares of
Common Stock which are not outstanding which are subject to convertible
securities are deemed to be outstanding for the purpose of computing the
percentage of outstanding securities of the shares of Common Stock owned by the
person holding such convertible securities, but are not deemed to be
outstanding for purposes of computing the percentage of such shares owned by
any other person.
A. Frontenac
(a) As of the date of this Report, Frontenac VI is the beneficial
owner of 1,186,466 shares of Common Stock through its direct ownership of (i)
297,576 shares of Common Stock, (ii) 55,556 shares of C Stock, which may be
converted at any time at the option of the holder into 111,112 shares of Common
Stock and (ii) 388,889 shares of D Stock, which may be converted at any time at
the option of the holder into 777,778 shares of Common Stock. Such shares of
Common and Preferred Stock represent approximately 9.3% of the outstanding
shares of Common Stock calculated in accordance with Rule 13d-3(d)(1)(i) in the
manner described above. By reason of the provisions of Rule 13d-3, Frontenac
Company may be deemed to beneficially own the shares of Common Stock
beneficially owned by Frontenac VI.
As of the date of this Report, Frontenac III is the beneficial owner of
521,582 shares of Common Stock through its direct ownership of (i) 54,916
shares of Common Stock, (ii) 300,000 shares of Common Stock that may be
acquired within 60 days upon the exercise of
-20-
<PAGE> 64
warrants and (iii) 83,333 shares of D Stock, which may be converted at any time
at the option of the holder into 166,666 shares of Common Stock. Such shares
of Common and Preferred Stock represent approximately 4.2% of the shares of
Common Stock calculated in accordance with Rule 13d-3(d)(1)(i) in the manner
described above. By reason of the provisions of Rule 13d-3, Frontenac Company
and Frontenac Partners may be deemed to beneficially own the shares of Common
Stock beneficially owned by Frontenac III.
(b) The Frontenac Reporting Persons (except for Frontenac III) share
the power to vote or to direct to vote, and share the power to dispose of to
direct the disposition of the shares of Preferred Stock held by Frontenac VI.
The Frontenac Company and Frontenac III share the power to vote or to direct to
vote, and share the power to dispose of to direct the disposition of the shares
of Preferred Stock held by Frontenac III.
(c) Except in connection with the transactions described herein, none
of the Frontenac Reporting Persons not, to the best of their knowledge, any
person listed in Annex I hereto, has effected any transactions in the
securities of the Company during the preceding 60 days.
B. John Hancock
(a) By reason of Rule 13d-5, each of the Hancock Reporting Persons
may be deemed to own beneficially the shares of Common Stock beneficially owned
by Hancock II and Hancock III. As of the date of this Report, Hancock III is
the beneficial owner of 678,455 shares of Common Stock through its direct
ownership of (i) 328,637 shares of Common Stock, (ii) 85,848 shares of Common
Stock that may be acquired within 60 days upon the exercise of warrants, (iii)
20,874 shares of C Stock, which may be converted at any time at the option of
the holder into 41,748 shares of Common Stock, and (iv) 111,111 shares of D
Stock, which may be converted at any time at the option of the holder into
222,222 shares of Common Stock. Such shares of Common and Preferred Stock
represent approximately 5.6% of the outstanding shares of Common Stock
calculated in accordance with Rule 13d-3(d)(1)(i) in the manner described
above. By reason of the provisions of Rule 13d-3, Back Bay V, Back Bay II,
Venture Partners, JHSI and JHMLICO may be deemed to beneficially own the shares
of Common Stock beneficially owned by Hancock III.
As of the date of this Report, Hancock II is the beneficial owner of
355,443 shares of Common Stock through its direct ownership of (i) 73,221
shares of Common Stock, (ii) 60,000 shares of Common Stock that may be acquired
within 60 days upon the exercise of warrants and (iii) 111,111 shares of D
Stock, which may be converted at any time at the option of the holder into
222,222 shares of Common Stock. Such shares of Common and Preferred Stock
represent approximately 2.9% of the shares of Common Stock calculated in
accordance with Rule 13d-3(d)(1)(i) in the manner described above. By reason
of the provisions of Rule 13d-3, Back Bay V, Back Bay II, Venture Partners,
JHSI and JHMLICO may be deemed to beneficially own the shares of Common Stock
beneficially owned by Hancock II.
(b) The Hancock Reporting Persons (except for Hancock II, Back Bay
II, JHSI and JHMLICO) share the power to vote or to direct to vote, and share
the power to dispose of to direct the
-21-
<PAGE> 65
disposition of the shares of Preferred Stock held by Hancock III. The Hancock
Reporting Persons (except for Hancock III, Back Bay V, JHSI and JHMLICO) share
the power to vote or to direct to vote, and share the power to dispose of to
direct the disposition of the shares of Preferred Stock held by Hancock II.
(c) Except in connection with the transactions described herein, none
of the Hancock Reporting Persons not, to the best of their knowledge, any
person listed in Annex VII hereto, has effected any transactions in the
securities of the Company during the preceding 60 days.
C. BKF
(a) As of the date of this Report, BKF is the beneficial owner of
535,443 shares of Common Stock through its direct ownership of (i) 73,221
shares of Common Stock, (ii) 240,000 shares of Common Stock that may be
acquired within 60 days upon the exercise of Warrants and (iii) 111,111 shares
of D Stock, which may be converted at any time at the option of the holder into
222,222 shares of Common Stock. Such shares of Common and Preferred Stock
represent approximately 4.4% of the shares of Common Stock calculated in
accordance with Rule 13d-3(d)(1)(i) in the manner described above.
(b) Except in connection with the transactions described herein,
neither BKF nor, to the best of its knowledge, any person listed in Annex III
hereto, has effected any transactions in the securities of the Company during
the preceding 60 days.
D. WPG
(a) By reason of Rule 13d-5, each of the WPG Reporting Persons may be
deemed to own beneficially the shares of Common Stock beneficially owned by CDA
III and CDA III Overseas.
As of the date of this Schedule 13D, CDA III is the beneficial owner of
632,942 shares of Common Stock through its direct ownership of (i) 331,132
shares of Common Stock, (ii) 77,002 shares of Common Stock that may be acquired
within 60 days upon the exercise of warrants, (iii) 20,738 shares of C Stock,
which may be converted at any time at the option of the holder into 41,476
shares of Common Stock, and (iv) 91,666 shares of D Stock, which may be
converted at any time at the option of the holder into 183,332 shares of Common
Stock. Such shares of Common and Preferred Stock represent approximately 5.2%
of the outstanding shares of Common Stock calculated in accordance with Rule
13d-3(d)(1)(i) in the manner described above. By reason of the provisions of
Rule 13d-3, the WPG Reporting Persons may be deemed to beneficially own the
shares of Common Stock beneficially owned by CDA III.
As of the date of this Schedule 13D, CDA III Overseas is the beneficial
owner of 134,270 shares of Common Stock through its direct ownership of (i)
70,240 shares of Common Stock, (ii) 16,342 shares of Common Stock that may be
acquired within 60 days upon the exercise of warrants, (iii) 4,399 shares of C
Stock, which may be converted at any time at the option of the holder into
8,798 shares of Common Stock, and (iv) 19,445 shares of D Stock, which may be
converted at any time at the option of the holder into 38,890
-22-
<PAGE> 66
shares of Common Stock. Such shares of Common and Preferred Stock represent
approximately 1.1% of the shares of Common Stock calculated in accordance with
Rule 13d-3(d)(1)(i) in the manner described below. By reason of the provisions
of Rule 13d-3, the WPG Reporting Persons may be deemed to beneficially own the
shares of Common Stock beneficially owned by CDA III Overseas.
WPG CDA III, as the sole general partner of CDA III, may be
deemed, pursuant to Rule 13d-3 promulgated under the Act, to own beneficially
the 632,942 Shares held by CDA III, constituting approximately 5.2% of the
Shares outstanding.
WPG CDA III Overseas as the sole investment advisor of CDA
III Overseas may be deemed, pursuant to Rule 13d-3 promulgated under the Act,
to own beneficially the 134,270 Shares owned by CDA III Overseas, constituting
approximately 1.1% of the Shares outstanding. WPG CDA III Overseas disclaims
beneficial ownership of all such Shares.
By reason of his status as a managing general partner of
WPG CDA III, which is the sole general partner of CDA III, Mr. Greer may be
deemed to be the beneficial owner, within the meaning of Rule 13d-3 promulgated
under the Act, of the 632,942 shares held by CDA III, constituting
approximately 5.2% of the shares outstanding as reported in the Proxy
Statement. By reason of his status as a managing general partner of WPG CDA
III Overseas, which is the sole independent investment advisor to CDA III
Overseas, Mr. Greer may also, within the meaning of Rule 13d-3 promulgated
under the Act, be deemed to be the beneficial owner of the 134,270 shares held
by CDA III Overseas, constituting approximately 1.1% of the shares outstanding.
Accordingly, Mr. Greer may be deemed to be the beneficial owner of 767,212
shares, constituting approximately 6.3% of the shares outstanding as reported
in the Proxy Statement. Mr. Greer disclaims beneficial ownership of all shares
beneficially owned by CDA III and CDA III Overseas, except to the extent of his
indirect beneficial interest as a managing general partner of WPG CDA III in
Shares held by CDA III.
By reason of his status as a managing partner of WPG CDA
III, which is the sole general partner of CDA III, Mr. Hutchinson may be deemed
to be the beneficial owner, within the meaning of Rule 13d-3 promulgated under
the Act, of the 632,942 shares held by CDA III, constituting approximately 5.2%
of the shares outstanding. By reason of his status as a managing general
partner of WPG CDA III Overseas, which is the sole independent investment
advisor to CDA III Overseas, Mr. Hutchinson may also, within the meaning of
Rule 13d-3 promulgated under the Act, be deemed to be the beneficial owner of
the 134,270 shares held by CDA III Overseas, constituting approximately 1.1% of
the shares outstanding. Accordingly, Mr. Hutchinson may be deemed to be the
beneficial owner of 767,212 shares in the aggregate, constituting approximately
6.3% of the shares outstanding. Mr. Hutchinson disclaims beneficial ownership
of the shares beneficially owned by CDA III and CDA III Overseas, except to the
extent of his indirect beneficial interest as a managing general partner of WPG
CDA III in shares held by CDA III.
By reason of his status as a managing general partner of
WPG CDA III, which is the sole general partner of CDA III, Mr. Lang may be
deemed to be the beneficial
-23-
<PAGE> 67
owner, within the meaning of Rule 13d-3 promulgated under the Act, of the
632,942 shares held by CDA III, constituting approximately 5.2% of the shares
outstanding. By reason of his status as a managing general partner of WPG CDA
III Overseas, which is the sole independent investment advisor to CDA III
Overseas, Mr. Lang may also, within the meaning of Rule 13d-3 promulgated under
the Act, be deemed to be the beneficial owner of the 134,270 shares held by CDA
III Overseas, constituting approximately 1.1% of the Shares outstanding as
reported in the Proxy Statement. In addition, Mr. Lang is the beneficial owner
in his individual capacity of 3,016 shares through his direct ownership of (i)
2,506 shares of Common Stock, (ii) 147 shares of C Stock, which may be
converted at the option of the holder into 294 shares of Common Stock and (iii)
216 shares of Common Stock which may be acquired in the next 60 days upon the
exercise of warrants. Accordingly, Mr. Lang may be deemed to be the beneficial
owner of 770,228 shares in the aggregate, constituting approximately 6.3% of
the Shares outstanding. Mr. Lang disclaims beneficial ownership of the 767,212
shares beneficially owned by CDA III and CDA III Overseas, except to the extent
of his indirect beneficial interest as a managing general partner of WPG CDA
III in shares held by CDA III.
(b) The WPG Reporting Persons (except for CDA III Overseas and WPG
CDA III Overseas) share the power to vote or to direct to vote, and share the
power to dispose of to direct the disposition of the shares of Common Stock,
Preferred Stock held by CDA III. The WPG Reporting Persons (except for CDA III
and WPG CDA III) share the power to vote or to direct to vote, and share the
power to dispose of to direct the disposition of the shares of Preferred Stock
held by CDA Overseas. Mr. Lang has the sole power to vote and dispose of the
shares of which he has direct ownership.
(c) Except in connection with the transactions described herein, none
of the WPG Reporting Persons nor, to the best of their knowledge, any person
listed in Annex VII hereto, has effected any transactions in the securities of
the Company during the preceding 60 days.
E. VRS
(a) As of the date of this Report, VRS is the beneficial owner of
1,700,040 shares of Common Stock through its direct ownership of (i) 1,077,128
shares of Common Stock, (ii) 172,956 shares of C Stock, which may be converted
at any time at the option of the holder into 345,912 shares of Common Stock,
and (iii) 277,000 shares of Common Stock that may be acquired within 60 days
upon the exercise of warrants. Such shares of Common and Preferred Stock
represent approximately 13.6% of the outstanding shares of Common Stock
calculated in accordance with Rule 13d-3(d)(1)(i) in the manner described
above.
(b) Except in connection with the transactions described herein, none
of the VRS Reporting Person to the best of their knowledge, has effected any
transactions in the securities of the Company during the preceding 60 days.
-24-
<PAGE> 68
F. Olympus
(a) As of the date of this Report, Olympus is the beneficial owner of
2,077,292 shares of Common Stock through its direct ownership of (i) 1,481,294
shares of Common Stock, (ii) 221,784 shares of Common Stock that may be
acquired within 60 days upon the exercise of warrants, (iii) 103,773 shares of
C Stock, which may be converted at any time at the option of the holder into
207,546 shares of Common Stock, and (iv) 83,334 shares of D Stock, which may be
converted at any time at the option of the holder into 166,668 shares of Common
Stock. Such shares of Common and Preferred Stock represent approximately 16.7%
of the outstanding shares of Common Stock calculated in accordance with Rule
13d- 3(d)(1)(i) in the manner described below. By reason of the provisions of
Rule 13d-3, the Olympus Reporting Persons may be deemed to beneficially own the
shares of Common Stock beneficially owned by Olympus.
(b) The Olympus Reporting Persons share the power to vote or to
direct to vote, and share the power to dispose of to direct the disposition of
the Company securities held by Olympus.
(c) Except in connection with the transactions described herein, none
of the Olympus Reporting Persons, to the best of their knowledge, any person
listed in Annex II hereto, has effected any transactions in the securities of
the Company during the preceding 60 days.
G. Equus
(a) As of the date hereof, Equus II is the beneficial owner of
1,263,058 shares of Common Stock through its direct ownership of (i) 1,038,944
shares of Common Stock, (ii) 50,246 shares of Common Stock that may be acquired
within 60 days upon the exercise of warrants, (iii) 3,601 shares of C Stock,
which may be converted at any time at the option of the holder into 7,202
shares of Common Stock, and (iv) 83,333 shares of D Stock, which may be
converted at any time at the option of the holder into 166,666 shares of Common
Stock. Such shares of Common and Preferred Stock represent approximately 10.5%
of the outstanding shares of Common Stock calculated in accordance with Rule
13d-3(d)(1)(i) in the manner described above.
As of the date of this Report, Equus Capital is the beneficial owner of
338,249 shares of Common Stock through its direct ownership of (i) 333,755
shares of Common Stock, (ii) 1,894 shares of Common Stock that may be acquired
within 60 days upon the exercise of warrants, and (iii) 1,300 shares of C
Stock, which may be converted at any time at the option of the holder into
2,600 shares of Common Stock. Such shares of Common and Preferred Stock
represent approximately 2.9% of the shares of Common Stock calculated in
accordance with Rule 13d-3(d)(1)(i) in the manner described above. By reason
of the provisions of Rule 13d-3, Equus Capital Corp., Equus Management, Equus
International, Brooke Trust and Preston Trust may be deemed to beneficially own
the shares of Common Stock beneficially owned by Equus Capital.
By reason of his status as President of Equus Capital Corp., which is
the managing general partner of Equus Capital Lehmann may be deemed to be the
beneficial owner within
-25-
<PAGE> 69
the meaning of Rule 13d-3 of the 338,249 shares held by Equus Capital and the
1,263,057 shares held by Equus II. In addition, Lehmann beneficially owns
2,016 shares of Common Stock in his own capacity. Accordingly, Lehmann may be
deemed to be the beneficial owner of 1,603,323 shares in the aggregate,
constituting approximately 13.4% of the shares outstanding as reported in the
Proxy Statement. Lehmann disclaims beneficial ownership of the 1,601,307
shares beneficially owned by the Equus Capital and Equus II, except to the
extent of his indirect beneficial interest as President of Equus Capital Corp.
and Equus II.
(b) The Equus Reporting Persons (except for Equus II) share the power
to vote or to direct to vote, and share the power to dispose of to direct the
disposition of the shares of Preferred Stock held by Equus Capital.
(c) Except in connection with the transactions described herein, none
of the Equus Reporting Persons nor, to the best of their knowledge, any person
listed in Annex VIII hereto, has effected any transactions in the securities of
the Company during the preceding 60 days.
H. RFE
(a) As of the date of this Report, RFE Capital is the beneficial
owner of 237,782 shares of Common Stock through its direct ownership of (i)
197,632 shares of Common Stock that may be acquired within 60 days upon the
exercise of warrants and (ii) 40,150 shares of Common Stock. Such shares of
Common and Preferred Stock represent approximately 2.0% of the outstanding
shares of Common Stock calculated in accordance with Rule 13d-3(d)(1)(i) in the
manner described above. By reason of the provisions of Rule 13d-3, the RFE
Reporting Persons, except for Davis and Foster, may be deemed to beneficially
own the shares of Common Stock beneficially owned by RFE Capital.
As of the date of this Report, RFE Investments is the beneficial owner
of 494,191 shares of Common Stock through its direct ownership of (i) 77,275
shares of Common Stock, (ii) 120,090 shares of Common Stock that may be
acquired within 60 days upon the exercise of warrants into 120,090 shares of
Common Stock and (iii) 148,413 shares of D Stock, which may be converted at any
time at the option of the holder into 296,826 shares of Common Stock. Such
shares of Common and Preferred Stock represent approximately 4.0% of the shares
of Common Stock calculated in accordance with Rule 13d-3(d)(1)(i) in the manner
described above. By reason of the provisions of Rule 13d-3, the RFE Reporting
Persons may be deemed to beneficially own the shares of Common Stock
beneficially owned by RFE Investments.
Each of the RFE Reporting Persons hereby expressly disclaims beneficial
ownership of all shares except for which they have sole or dispositive power.
As of the date of this report, Williams is the beneficial owner of
741,973.21 shares of Common Stock through his direct ownership of 10,000.21
shares of Common Stock and his indirect interest, if any, in the Company
securities owned by RFE Capital and RFE Investments. Such shares of Common
Stock represent approximately 6.0% of the shares of
-26-
<PAGE> 70
Common Stock calculated in accordance with Rule 13d-3(d)(1)(i) in the manner
described below.
As of the date of this report, Foster is the beneficial owner of
495,944.28 shares of Common Stock through his direct ownership of 1,753.28
shares of Common Stock and his indirect interest, if any, in Company securities
owned by RFE Investments. Such shares of Common Stock represent approximately
2.0% of the shares of Common Stock calculated in accordance with Rule
13d-3(d)(1)(i) in the manner described below.
(b) The RFE Reporting Persons (except for RFE Capital and Norcon)
share the power to vote or to direct to vote, and share the power to dispose of
to direct the disposition of the shares of securities held by RFE Investments.
The RFE Reporting Persons (except for RFE Investments, RFE Associates, and
Foster and Davis) share the power to vote or to direct to vote, and share the
power to dispose of to direct the disposition of the shares of Preferred Stock
held by RFE Capital.
(c) Except in connection with the transactions described herein, none
of the RFE Reporting Persons nor, to the best of their knowledge, any person
listed in Annex VI hereto, has effected any transactions in the securities of
the Company during the preceding 60 days.
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH
RESPECT TO SECURITIES OF THE ISSUER
The responses to Item 4 of this Schedule 13D are hereby incorporated by
reference into the response to Item 6.
STOCKHOLDERS AGREEMENT
The holders of the Old Champion Common Stock and all classes of the old
Champion Preferred Stock executed on December 31, 1993 the Stockholders
Agreement in connection with and as required by the D Stock Purchase Agreement.
The Stockholders Agreement contains a voting agreement, restrictions on
transfers of stock, and limited preemptive rights to future Common Stock issues
or sales. The Stockholders Agreement was previously filed by the Company as
Exhibit 10.6 to the Company's Form 8-K filed with the Commission on December 7,
1994 and is incorporated by reference herein in its entirety.
The Stockholders Agreement requires that the Champion Board of Directors
consist of not more than eleven persons with nominee designation rights (and
agreed voting) for eight of these positions granted to certain shareholders and
shareholder groups. This schedule also states the incumbent director nominated
by each of these shareholders.
-27-
<PAGE> 71
<TABLE>
<CAPTION>
Current Director
Stockholder Representative
----------- --------------
<S> <C>
Olympus Private Placement Fund, L.P. (1) James A. Conroy
Series B and C Preferred Stockholders, as a group(2) Manuel M. Ferris
Equus(3) Nolan Lehmann
Sprout(4) Paul B. Queally
Frontenac VI Limited Partnership; Frontenac Diversified III Limited Part.(5) Currently Vacant
Charles R. Miller, James G. VanDevender(6) Charles R. Miller
James G. VanDevender
David S. Spencer
</TABLE>
The voting agreement within the D Stockholder Agreement requires the
stockholders to vote their shares for the election of the nominees made by the
shareholders listed above, subject to the conditions stated in the D
Stockholder Agreement. The voting agreement will
____________________
(1) Olympus must hold at least one-third of the "Common Equivalent Stock"
(outstanding common stock and common stock issuable upon the exercise of
all classes of outstanding preferred stock and warrants, as defined in
the D Agreement), held by Olympus on December 31, 1993 to maintain this
nomination right. If Olympus no longer owns one-third of the Common
Equivalent Stock it owned on December 31, 1993, then the holders of
Series BB and C Preferred Stock exercise the same right, voting together
as a class by a two-thirds vote, so long as the Series BB and C
stockholders own one-third of the Proforma Conversion Stock
purchased by them pursuant to the Purchase Agreement.
(2) The right exists so long as the holders collectively of Series BB
and C Preferred Stock hold one-third of the Proforma Conversion Stock
initially purchased by them, provided the nominee is not an Affiliate of
any Series BB or Series C stockholder and the nominee is approved in
writing by a majority of the directors who are also Champion's senior
management. Olympus Private Placement Fund, L.P. owns some Series C;
Equus and Sprout also own some Series BB and C; and Frontenac owns some
Series C.
(3) Equus Capital Partners and Equus II Incorporated ("Equus"). The
right exists so long as Equus is the holder of one-third of the Common
Equivalent Stock held by it on December 31, 1993 or purchased pursuant to
the Purchase Agreement.
(4) Sprout Growth L.P., Sprout Capital, VI L.P., DLJ Venture Capital
Fund II, L.P, DLJ Capital Corporation, Sprout Growth II L.P.
(collectively, "Sprout"). The right exists so long as Sprout is the
holder of one-third of the Common Equivalent Stock held by it on December
31, 1993 as purchased pursuant to the Purchase Agreement.
(5) The right exists so long as these two holders of Series D Preferred
Stock hold at least one-third of the stock initially purchased
by them, provided the nominee is a general partner in Frontenac
Company.
(6) The right exists so long as Miller and VanDevender (also known as
the "Management Shareholders" in the D Agreement) are holders of at least
50% of the Common Equivalent Stock held by them on December 31, 1993 for
the nomination of two directors; and for the nomination of one director
subject to the written approval of Equus and Sprout, provided that if the
Management Shareholders do not continue to hold at least 50% of the
Common Equivalent Stock held on December 31, 1993 and Miller ceases to
devote full time efforts to Champion, this nomination right for one
director becomes the joint right of Equus and Sprout, collectively,
provided they still hold at least one-third of the Common
Equivalent Stock held by them on December 31, 1993.
-28-
<PAGE> 72
terminate no later than June 1, 2000 unless extended by mutual agreement of
stockholders at the time of the extension agreement which holds not less than a
majority of the Common Equivalent Stock, then existing.
The Management Stockholders, with two other stockholders (the
"Restricted Stockholders"), are restricted in the sale of their stock to third
parties by the D Stockholder Agreement so that Champion first and the other
stockholders second have the right to purchase the Restricted Stockholders'
shares offered to a third party. All parties to the D Stockholder Agreement
are restricted from selling shares prior to December 31, 1995 to any competitor
or person who owns a controlling interest in any competitor of Champion.
Charles R. Miller has stock transfer restrictions prior to the second
anniversary of the closing date of a Successful Public Offering. If parties to
the D Stockholder Agreement holding 75% of the Common Equivalent Stock
("Selling Group") agree to sell such stock to a non-affiliate of any member of
the Selling Group is a bona fide third party transaction then if (a) such sale
is before December 31, 1996 and the price per Common Equivalent Share is at
least $24.00 per share of D Stock (if before December 31, 1994) or $28.00 per
share of D Stock (if before December 31, 1996) or (b) such sale is after
December 31, 1996 and regardless of the price, the Selling Group shall have the
option to acquire or require the buyer to purchase all other common Equivalent
Stock held by the non-Selling Group parties to the D Stockholder Agreement. If
such option by the Selling Group is not exercised or is unavailable to be
exercised, then the non-Selling Group parties shall have the right to require
the Selling Group to purchase their Common Equivalent Stock at the price the
Selling Group has agreed to sell.
All stockholders have a limited preemptive right to purchase shares
issued by Champion to a New Purchaser, as defined in the D Stockholder
Agreement. The limited preemptive right does not apply to certain exempted
transactions, to public offerings, and to mergers, acquisitions, or similar
transactions.
REGISTRATION AGREEMENTS
The Company has agreed with certain of the Reporting Persons, and
others, to provide certain demand and piggy- back registration rights.
Pursuant to that certain Stock Registration Agreement dated December 31, 1990
(the "A Registration Agreement"), as amended, Old Champion granted the holders
of Old Champion Series A Preferred Stock certain registration rights. Pursuant
to that certain Series B and C Stock Registration Agreement dated December 2,
1993 (the "B and C Registration Agreement"), Old Champion granted the holders
of Old Champion Series B and Series C Preferred Stock and BB Warrants certain
registration rights. Pursuant to that certain Series D Stock Registration
Agreement dated December 31, 1993 (the "D Registration Agreement," and
collectively with the A Registration Agreement and the B and C Registration
Agreement, the "Registration Agreements"), Old Champion granted the holders of
Old Champion Series C Preferred and D Warrants certain registration rights.
The Registration Agreements were assumed by the Company pursuant to the Merger.
The A Registration Agreement, the B and C Registration Agreement, and the D
Registration Agreement were filed as Exhibits 10.24(a), 10.24(b) and 10.24(c),
respectively, to the Company's Form 10-K filed with the Commission on March 31,
1995 and are incorporated by reference herein in their entirety.
-29-
<PAGE> 73
Furthermore, in connection with obtaining the consent of the D
Stockholders to the Merger, the Company has committed to file, and keep
effective for two years, a shelf registration statement with respect to the
securities held by the former stockholders of Champion. Such registration will
not effect any rights under the D Registration Agreement.
D NOTES
The following Reporting Persons hold D Notes in the following principal
amount as of the date of this Schedule 13D:
<TABLE>
<CAPTION>
Reporting Person D Note Principal Amount
---------------- -----------------------
<S> <C>
BKF $ 8,000,000
Equus II 1,500,000
Frontenac III 10,000,000
Hancock III 2,000,000
Hancock II 2,000,000
Olympus 1,500,000
RFE Capital 2,000,000
RFE Investment 4,003,000
CDA III 1,650,000
CDA III Overseas 350,000
</TABLE>
The D Notes bear interest at an annual fixed rate of 11% and mature on
December 31, 2003, with interest payable quarterly. The Notes are subject to
redemption on or after December 31, 1995 at the Company's option at prices
declining from 112.5% of the principal amount at December 31, 1995 to par on
December 31, 2002. Additionally, there is a requirement to repurchase all
outstanding D Notes in the event of a change of control of the Company, at the
holder's option, based on the declining redemption premium ranging from 112.5%
to 103% of principal. The D Notes are uncollateralized obligations and are
subordinated in right of payment to all existing and future senior indebtedness
of the Company.
THE D STOCK PURCHASE AGREEMENT: CERTAIN COVENANTS AND EVENTS OF DEFAULT.
(1) The D Stock Purchase Agreement contains certain covenants:
(a) so long as any D Note is outstanding, the Company, on a
consolidated basis and subject to certain provisions, will not permit (i) as at
the end of the most recent fiscal quarter of the Company, the ratio of EBITDA
to "Total Debt Service" (defined as the sum of (i) interest expense on all
Indebtedness and (ii) all principal payment due on all Indebtedness of the
Company computed with respect to the Company and its Subsidiaries on a
consolidated basis, in accordance with GAAP) to be less than 1.5 to 1.0, (ii)
the ratio of consolidated Indebtedness to Stockholders' Equity to be greater
than 4.0 to 1.0, or (iii) the Consolidated Net Worth to be less than:
$42,500,000;
-30-
<PAGE> 74
(b) so long as any D Note or Series D Preferred Stock is
outstanding the Company, on a consolidated basis, will (i) have Permanent
Capital of not less than (A) $75,000,000 through December 31, 1994, (B)
$80,000,000 from January 1, 1995 through December 31, 1995, and (C) $85,000,000
thereafter, (ii) not incur "Funded Indebtedness" (defined as liabilities for
borrowed money, liabilities secured by any lien and obligations other than
current indebtedness of any Person as obligor, guarantor or otherwise under (A)
any lease of real or personal property, (B) under any arrangement with respect
to liabilities for borrowed money, and (C) certain other obligations) in an
amount greater than $20,000,000 (other than certain indebtedness), and (iii)
not sell, transfer, lease or otherwise dispose of any assets in excess of
$5,000,000 or five percent or more of the consolidated total assets of the
Company and its subsidiaries, or merge with or into any Person, or permit any
Person other than a subsidiary to merge with or into it, provided that such a
merger or sale of all or substantially all of the Company's assets may be
permitted upon the vote or written consent of both (x) 80% of the outstanding
shares of Series A Preferred Stock, B Stock, C Stock and D Stock, treated as
one class, with each share entitling the holder thereof to cast a number of
votes equal to the number of shares of Common Stock into which it is then
convertible and (y) the vote or written consent of the holders of 75% of the
outstanding shares of D Stock; and
(c) so long as any Note or D Stock shall remain outstanding,
the Company will not make or authorize certain "Restricted Investments"
(defined generally as any investment made by the Company in any person or
property, any loan or any advance, except for investments to wholly owned
Subsidiaries, investments in property and equipment used by the Company,
investments in obligations guaranteed by the United States of America or in
certificates of deposit, commercial paper, money market funds, or investments
made in the ordinary course of business).
(2) Events of Default under the D Stock Purchase Agreement include:
(a) A default in the payment of any principal or interest on
the Notes;
(b) A default in the making of any required purchase of any
Note pursuant to the D Stock Purchase Agreement;
(c) A default in any payment of principal or interest on any
other obligation for borrowed money if such obligation is for an amount
in excess of $1,000,000;
(d) A final judgment, decree or order for the payment of money
in excess of $1,000,000 is rendered against the Company;
(e) Any representation or warranty made by the Company is false
in any material respect; and
(f) A default in the performance of certain agreements and
covenants, voluntary or involuntary bankruptcy or receivership of the
Company.
-31-
<PAGE> 75
Upon an Event of Default with respect to failure of the Company to make a
principal payment, interest payment or a required purchase, holders of 43% in
aggregate principal amount of the D Notes may declare such holders' D Notes to
be due and payable. Upon any other Event of Default, holders of 51% in
aggregate principal amount of the D Notes may declare all of the D Notes to be
due and payable, except that, with respect to Events of Default relating to
Bankruptcy of the Company, all D Notes shall immediately mature and become due
and payable.
-32-
<PAGE> 76
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS
1. Joint Filing Agreement Pursuant to Rule 13d-1(f)(1) dated as of
January 30, 1996, among the Reporting Persons.
2. Agreement and Plan of Merger dated August 17, 1994, filed with
the Commission as Exhibit 10 to the Company's Form 8-K (File No.
0-11851) dated December 6, 1994, is incorporated herein by
reference.
3. Amendment #1 to Agreement and Plan of Merger, dated October 20,
1994, filed with the Commission as Exhibit 10.1 to the Company's
Form 8-K (File No. 0-11851) dated December 6, 1994, is
incorporated herein by reference.
4. Series D Note and Stock Purchase Agreement, dated December 31,
1993, among the Company and the Parties listed therein, as
amended, filed with the Commission as Exhibit 10.5 to the
Company's Form 8-K (File No. 0-11851) dated December 6, 1994, is
incorporated herein by reference.
5. D Stockholders Agreement, dated December 31, 1993, among the
Company and the Parties listed therein, as amended, filed with
the Commission as Exhibit 10.6 to the Company's Form 8-K (File
No. 0-11851) dated December 6, 1994, is incorporated herein by
reference.
6. Preferred Stock Purchase Agreement dated as of December 31, 1990,
as amended, among Charles R. Miller, James G. VanDevender, Equus
Investments II, L.P., Sprout Growth L.P., Sprout Capital VI, L.P.
and DLJ Venture Capital Fund II L.P. and the Company, filed with
the Commission as Exhibit 10.20 to the Company's Form 10-K filed
March 31, 1995, is incorporated herein by reference.
7. Note and Stock Purchase Agreement dated May 27, 1992, as amended,
among the Company and the parties listed therein, filed with the
Commission as Exhibit 10.21 to the Company's Form 10-K filed
March 31, 1995, is incorporated herein by reference.
8. Series C Preferred Stock Purchase Agreement dated December 2,
1993, among the Company and the parties listed therein, filed
with the Commission as Exhibit 10.22 to the Company's Form 10-K
filed March 31, 1995, is incorporated herein by reference.
9. Warrant Purchase Agreement dated December 31, 1990, between
Charles Miller, Equus Investments II, L.P. and the Company, as
amended, filed with the Commission as Exhibit 10.23(a) to the
Company's Form 10-K filed March 31, 1995 is incorporated herein
by reference.
10. Warrant Purchase Agreement dated December 31, 1990, between Equus
Investments II, L.P., Sprout Growth, L.P. and the Company, as
amended, filed
-33-
<PAGE> 77
with the Commission as Exhibit 10.23(b) to the Company's Form
10-K filed March 31, 1995, is incorporated herein by reference.
11. Agreement to Exchange and Amend Warrants dated April 29, 1993, by
the registrant and holders of warrants issued pursuant to the
Note and Stock Purchase Agreement dated May 27, 1993, with
attached Form of Warrant, filed with the Commission as Exhibit
10.23(c) to the Company's Form 10-K filed March 31, 1995, is
incorporated herein by reference.
12. Form of Warrant issued pursuant to Bridge Loan Agreement dated
April 29, 1993, filed with the Commission as Exhibit 10.23(d) to
the Company's Form 10-K filed March 31, 1995, is incorporated
herein by reference.
13. Form of Warrant issued December 2, 1993 to VRS, pursuant to Fifth
Amendment to Note and Stock Purchase Agreement dated May 27,
1992, filed with the Commission as Exhibit 10.23(e) to the
Company's Form 10-K filed March 31, 1995, is incorporated herein
by reference.
14. Form of Warrant issued pursuant to Series D Note and Stock
Purchase Agreement dated December 31, 1993, as amended, filed
with the Commission as Exhibit 10.23(f) to the Company's Form
10-K filed March 31, 1995, is incorporated herein by reference.
15. Stock Registration Agreement dated December 31, 1990, as amended,
entered into by the Company in connection with the Stock Purchase
Agreement dated December 31, 1990, filed with the Commission as
Exhibit 10.24(a) to the Company's Form 10-K filed March 31, 1995,
is incorporated herein by reference.
16. Series B and Series C Stock Registration Agreement dated December
2, 1993 entered into by the Company in connection with the Fifth
Amendment to Note and Stock Purchase Agreement dated May 27, 1992
and the Series C Stock Purchase Agreement, filed with the
Commission as Exhibit 10.24(b) to the Company's Form 10-K filed
March 31, 1995, is incorporated herein by reference.
17. Series D Stock Registration Agreement dated December 31, 1993
entered into by the Company in connection with the Series D Note
and Stock Purchase Agreement, filed with the Commission as
Exhibit 10.24(c) to the Company's Form 10-K filed March 31, 1995,
is incorporated herein by reference.
18. Agreement and Plan of Merger dated October 21, 1994, among
Psychiatric Healthcare Corporation, CHC/Psychiatric Healthcare
Corporation and the Company, filed with the Commission as Exhibit
10.25 to the Company's Form 10-K filed March 31, 1995, is
incorporated herein by reference.
-34-
<PAGE> 78
19. 1995 Recapitalization Agreement dated as of December 31, 1995
among the Company and the parties listed therein, filed with the
Commission as Exhibit 10.1 to the Company's Form 8-K dated
January 4, 1996, is incorporated herein by reference.
20. Attachment II to the Company's Preliminary Proxy Statement on
Schedule 14A filed with the Commission on January 4, 1996,
containing the proposed Restated Certificate of Incorporation, is
incorporated herein by reference.
-35-
<PAGE> 79
SIGNATURE
After reasonable inquiry and to the best of my knowledge and belief,
each of the undersigned certifies that the information set forth in this
statement is true, complete and correct.
Dated: February 7, 1996
FRONTENAC VI LIMITED PARTNERSHIP
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
FRONTENAC DIVERSIFIED III
LIMITED PARTNERSHIP
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
FRONTENAC VI PARTNERS, L.P.
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
FRONTENAC COMPANY
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
OLYMPUS PRIVATE PLACEMENT FUND, L.P.
By: OPG Partners, L.P., its sole
general partner
By: /s/ Robert S. Morris
-----------------------------------
Robert S. Morris, its
Managing Partner
-36-
<PAGE> 80
OGP PARTNERS, L.P.
By: /s/ Robert S. Morris
-----------------------------------
Robert S. Morris, its
Managing Partner
ROBERT S. MORRIS
/s/ Robert S. Morris
-----------------------------------
JAMES A. CONROY
/s/ James A. Conroy
-----------------------------------
BAKER, FENTRESS & COMPANY
By: /s/ Scott E. Smith
-----------------------------------
Vice President
THE VIRGINIA RETIREMENT SYSTEM
By: /s/ Irwin H. Will, Jr.
-----------------------------------
Irwin H. Will, Jr.,
Chief Investment Officer
WPG CORPORATE DEVELOPMENT ASSOCIATES
III, L.P.
By: WPG CDA III, L.P.
its sole general partner
By: /s/ Wesley W. Lang, Jr.,
-----------------------------------
Managing General Partner
WPG CDA III (OVERSEAS), L.P.
By: /s/ Wesley W. Lang, Jr.,
-----------------------------------
Managing General Partner
-37-
<PAGE> 81
STEVEN N. HUTCHINSON
/s/ Steven N. Hutchinson
---------------------------------------
WESLEY W. LANG, JR.
/s/ Wesley W. Lang, Jr.
---------------------------------------
PHILIP GREER
/s/ Philip Greer
---------------------------------------
WPG CDA III, L.P.
By: /s/ Wesley W. Lang, Jr.,
-----------------------------------
Managing General Partner
WPG CORPORATE DEVELOPMENT ASSOCIATES III
(OVERSEAS), LTD.
By: /s/ Brent Thomas,
-----------------------------------
Director
RFE CAPITAL PARTNERS, L.P.
By: Norcon Associates, its General
Partner
By: /s/ Robert M. Williams,
-----------------------------------
a General Partner
RFE INVESTMENT PARTNERS IV, L.P.
By: RFE Associates IV, L.P., its
General Partner
By: /s/ Robert M. Williams,
-----------------------------------
its General Partner
-38-
<PAGE> 82
NORCON ASSOCIATES
By: /s/ Robert M. Williams,
-----------------------------------
its General Partner
RFE ASSOCIATES IV, L.P.
By: /s/ Robert M. Williams,
-----------------------------------
a General Partner
RFE MANAGEMENT CORP.
By: /s/ Robert M. Williams,
-----------------------------------
President
MICHAEL J. FOSTER
/s/ Michael J. Foster
---------------------------------------
ROBERT M. WILLIAMS
/s/ Robert M. Williams
---------------------------------------
JAMES A. PARSONS
/s/ James A. Parsons
---------------------------------------
A. DEAN DAVIS
/s/ A. Dean Davis
---------------------------------------
HOWARD C. LANDIS
/s/ Howard C. Landis
---------------------------------------
-39-
<PAGE> 83
JOHN HANCOCK MUTUAL LIFE
INSURANCE COMPANY
By: /s/ John T. Faraday
-----------------------------------
John T. Faraday
Senior Vice President
and Treasurer
JOHN HANCOCK SUBSIDIARIES, INC.
By: /s/ John T. Faraday
-----------------------------------
John T. Faraday
Senior Vice President
and Treasurer
HANCOCK VENTURE PARTNERS, INC.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
BACK BAY PARTNERS L.P. II
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
BACK BAY PARTNERS V L.P.
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
JOHN HANCOCK VENTURE CAPITAL FUND
LIMITED PARTNERSHIP II
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
-40-
<PAGE> 84
HANCOCK VENTURE PARTNERS III L.P.
By Its General Partner,
Back Bay Partners V L.P.,
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
NOLAN LEHMANN
By: /s/Nolan Lehmann
---------------------------------------
EQUUS II INCORPORATED
By: /s/ Nolan Lehmann
-----------------------------------
President
EQUUS CAPITAL PARTNERS, L.P.
BY: EQUUS CAPITAL CORPORATION MANAGING
GENERAL PARTNER
/s/ Nolan Lehmann
-----------------------------------
President
-41-
<PAGE> 85
EXHIBIT 1
AGREEMENT RE JOINT FILING OF
SCHEDULE 13D (RULE 13d-1 (f)(1))
Each of the undersigned agrees as follows:
(i) The Schedule 13D to which this Exhibit is attached is filed on
behalf of each of the undersigned.
(ii) Each of the undersigned is responsible for the timely filing of
such Schedule 13D and any amendments thereto, and for the completeness and
accuracy of the information concerning such entities contained therein; but
each if such entities is not responsible for the completeness or accuracy of
the information concerning the other entities making the filing, unless such
entity knows or has reason to believe that such information is inaccurate.
This Agreement may be executed in one or more counterparts.
Dated: February 7, 1996.
FRONTENAC VI LIMITED PARTNERSHIP
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
FRONTENAC DIVERSIFIED III
LIMITED PARTNERSHIP
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
FRONTENAC VI PARTNERS, L.P.
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
FRONTENAC COMPANY
By: /s/ Rodney L. Goldstein
-----------------------------------
General Partner
-42-
<PAGE> 86
OLYMPUS PRIVATE PLACEMENT FUND, L.P.
By: OPG Partners, L.P., its sole
general partner
By: /s/ Robert S. Morris
-----------------------------------
Robert S. Morris, its Managing
Partner
OGP PARTNERS, L.P.
By: /s/ Robert S. Morris
-----------------------------------
Robert S. Morris, its Managing
Partner
ROBERT S. MORRIS
/s/ Robert S. Morris
---------------------------------------
JAMES A. CONROY
/s/ James A. Conroy
---------------------------------------
BAKER, FENTRESS & COMPANY
By: /s/ Scott E. Smith
-----------------------------------
Vice President
THE VIRGINIA RETIREMENT SYSTEM
By: /s/ Irwin H. Will, Jr.
-----------------------------------
Irwin H. Will, Jr.,
Chief Investment Officer
-43-
<PAGE> 87
WPG CORPORATE DEVELOPMENT ASSOCIATES
III, L.P.
By: WPG CDA III, L.P.,
-----------------------------------
its sole general partner
By: /s/ Wesley W. Lang, Jr.,
-----------------------------------
Managing General Partner
WPG CDA III (OVERSEAS), L.P.
By: /s/ Wesley W. Lang, Jr.,
-----------------------------------
Managing General Partner
STEVEN N. HUTCHINSON
/s/ Steven N. Hutchinson
---------------------------------------
WESLEY W. LANG, JR.
/s/ Wesley W. Lang, Jr.
---------------------------------------
PHILIP GREER
/s/ Philip Greer
---------------------------------------
WPG CDA III, L.P.
By: /s/ Wesley W. Lang, Jr.,
-----------------------------------
Managing General Partner
WPG CORPORATE DEVELOPMENT ASSOCIATES III
(OVERSEAS), LTD.
By: /s/ Brent Thomas,
-----------------------------------
Director
-44-
<PAGE> 88
RFE CAPITAL PARTNERS, L.P.
By: Norcon Associates, its General
Partner
By: /s/ Robert M. Williams,
-----------------------------------
a General Partner
RFE INVESTMENT PARTNERS IV, L.P.
By: RFE Associates IV, L.P., its
General Partner
By: /s/ Robert M. Williams,
-----------------------------------
its General Partner
NORCON ASSOCIATES
By: /s/ Robert M. Williams,
-----------------------------------
its General Partner
RFE ASSOCIATES IV, L.P.
By: /s/ Robert M. Williams,
-----------------------------------
a General Partner
RFE MANAGEMENT CORP.
By: /s/ Robert M. Williams,
-----------------------------------
President
MICHAEL J. FOSTER
/s/ Michael J. Foster
---------------------------------------
ROBERT M. WILLIAMS
/s/ Robert M. Williams
---------------------------------------
-45-
<PAGE> 89
JAMES A. PARSONS
/s/ James A. Parsons
---------------------------------------
A. DEAN DAVIS
/s/ A. Dean Davis
---------------------------------------
HOWARD C. LANDIS
/s/ Howard C. Landis
---------------------------------------
JOHN HANCOCK MUTUAL LIFE
INSURANCE COMPANY
By: /s/ John T. Faraday
-----------------------------------
John T. Faraday
Senior Vice President
and Treasurer
JOHN HANCOCK SUBSIDIARIES, INC.
By: /s/ John T. Faraday
-----------------------------------
John T. Faraday
Senior Vice President
and Treasurer
HANCOCK VENTURE PARTNERS, INC.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
BACK BAY PARTNERS L.P. II
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
-46-
<PAGE> 90
BACK BAY PARTNERS V L.P.
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
JOHN HANCOCK VENTURE CAPITAL FUND
LIMITED PARTNERSHIP II
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
HANCOCK VENTURE PARTNERS III L.P.
By Its General Partner,
Back Bay Partners V L.P.,
By One of Its General Partners:
Hancock Venture Partners, Inc.
By: /s/ Martha D. Vorlicek
-----------------------------------
Martha Vorlicek
Vice President and Treasurer
NOLAN LEHMANN
By: /s/Nolan Lehmann
-----------------------------------
EQUUS II INCORPORATED
By: /s/ Nolan Lehmann
-----------------------------------
President
-47-
<PAGE> 91
EQUUS CAPITAL PARTNERS, L.P.
BY: EQUUS CAPITAL CORPORATION MANAGING
GENERAL PARTNER
/s/ Nolan Lehmann
-----------------------------------
President
-48-
<PAGE> 92
ANNEX I
<TABLE>
<CAPTION>
POSITION WITH FRONTENAC VI
LIMITED PARTNERSHIP
BUSINESS OR AND FRONTENAC DIVERSIFIED III
NAME RESIDENTIAL ADDRESS LIMITED PARTNERSHIP
<S> <C> <C>
Frontenac Company 135 S. LaSalle Street Managing General Partner
38th Fl.
Chicago, IL 60604
Frontenac VI, L.P. " Non-Managing General Partner
POSITION WITH FRONTENAC COMPANY
Paul D. Carbery 135 S. LaSalle Street General Partner
38th Fl.
Chicago, IL 60604
James E. Cowie " General Partner
James E. Crawford, III " General Partner
Rodney L. Goldstein " General Partner
Martin S. Koldyke " General Partner
M. Laird Koldyke " General Partner
Roger S. McEniry " General Partner
Darcy J. Moore " General Partner
Laura P. Pearl " General Partner
POSITION WITH FRONTENAC VI
PARTNERS L.P.
Martin S. Koldyke 135 S. LaSalle Street General Partner
38 Fl.
Chicago, IL 60604
Rodney L. Goldstein " General Partner
</TABLE>
<PAGE> 93
ANNEX II
<TABLE>
<CAPTION>
Name Business or Residential Address Position
- ---- ------------------------------- --------
<S> <C> <C>
Metro Center
OPG Partners, L.P. One Station Place Sole general partner of Olympus
Stamford, CT 06902 Private Placement Fund, L.P.
Robert S. Morris Metro Center General Partner of OGP Partners,
One Station Place L.P.
Stamford, CT 06902
James A. Conroy Metro Center General Partner of OGP Partners,
One Station Place L.P.
Stamford, CT 06902
Odyssey Zeus, Inc. Odyssey Partners, L.P. General Partner of OGP Partners,
31 West 52nd Street L.P. (Non-Voting)
17th Floor
New York, NY 10019
</TABLE>
<PAGE> 94
ANNEX III
Set forth below are the names and present principal occupation or
employment of each director and executive officer of BKF. Except for the
person whose business address is set forth below following their occupations,
the business address of each of the persons listed below is the same as that
set forth in Item 2 for BKF.
<TABLE>
<CAPTION>
Position with BKF and Present Principal
Name Occupation and Business Address
- --------------------- ------------------------------------------------
<S> <C>
Frederick S. Addy Director of BKF; retired; 5300 Arbertum Cove, Austin, TX
78746.
Bob D. Allen Director of BKF; President, chief executive officer and
director of Consolidated-Tomoka Land Co.; 149 South Ridgewood
Avenue, Daytona Beach, FL 32124.
J. Barton Goodwin Director of BKF; General partner of Bridge Investors II and
Teaneck Associates and managing director of BCI Advisors,
Inc.; Glenpointe Centre West, Teaneck, NJ 07666.
James P. Gorter Director of BKF; Chairman of the board of BKF; limited
general partner of Goldman, Sachs & Co.
David D. Grumhaus Director of BKF; President of Casey Travel Corporation; 10
South Riverside Plaza, Room 1404; Chicago, IL 60606.
Richard M. Jones Director of BKF; retired; 1205 Burr Ridge Club Drive, Burr
Ridge, IL 60521.
Burton G. Malkiel Director of BKF; Professor of Economics, Princeton
University; Economics Department, Fischer Hall, Prospect
Avenue, Princeton, NJ 08544.
David D. Peterson Director of BKF; President and Chief executive officer of
BKF.
</TABLE>
<PAGE> 95
<TABLE>
<S> <C>
William H. Springer Director of BKF; retired; 701 Morningside Drive, Lake Forest,
IL 60045.
Steven C. Carhart Vice President of BKF.
George V. Carracio, Jr. Vice President of BKF.
James P. Koeneman Vice President and Secretary of BKF.
Scott E. Smith Vice President of BKF.
Janet Sandona Jones Treasurer and Assistant Secretary of BKF.
</TABLE>
<PAGE> 96
ANNEX IV
VIRGINIA RETIREMENT SYSTEM BOARD OF TRUSTEES
<TABLE>
<CAPTION>
BUSINESS OR
NAME RESIDENTIAL ADDRESS
<S> <C>
James C. Wheat, III Riverfront Partners
901 E. Byrd Street, Suite 1360
Richmond, Virginia 23219
R. William Bayliss, III Wheat First Securities
P.O. Box 437
Winchester, Virginia 22604
Joseph L. Boyd Dean, School of Business
Norfolk State University
Norfolk, Virginia 23504
Edwin T. Burton, III Route 1, Box 192
Earlysville, Virginia 22936
Donald L. Cahill 9319 Moseby Street
Manassas, Virginia 22110
Stuart W. Connock 205 South Erlwood Court
Richmond, Virginia 23229
Clifford A. Cutchins, III 5906 Ocean Front
Virginia Beach, Virginia 23451
Elise Lindbloom Emanuel 110 Willow Drive
Williamsburg, Virginia 23185
Charles B. Walker Ethyl Corporation
330 S. Fourth Street
Richmond, Virginia 23219
</TABLE>
<PAGE> 97
ANNEX V
WPG CDA III, L.P.
<TABLE>
<CAPTION>
General Partners Address Occupation
---------------- ------- ----------
<S> <C> <C>
Philip Greer One New York Plaza Principal, WPG
New York, NY 10004
Steven N. Hutchinson One New York Plaza Principal, WPG
New York, NY 10004
Wesley W. Lang, Jr. One New York Plaza Principal, WPG
New York, NY 10004
Peter B. Pfister One New York Plaza Principal, WPG
New York, NY 10004
Craig S. Whiting One New York Plaza General Partner, WPG-CDA III
New York, NY 10004
</TABLE>
<PAGE> 98
WPG CORPORATE DEVELOPMENT ASSOCIATES III (OVERSEAS), LTD.
<TABLE>
<CAPTION>
Directors Address Occupation
--------- ------- ----------
<S> <C> <C>
Philip Greer One New York Plaza Principal, WPG
New York, NY 10004
Robert Rayne 33 Robert Adam Street Executive Director of LMS Services
London W1M 5AH Limited PLC
United Kingdom
Michael Carney P.O. Box 1092, Vice President and Manager of
George Town Trust and Private Banking of
Grand Cayman, BankAmerica Cayman
Cayman Islands
British West Indies
Brent Thomas P.O. Box 1092, Trust Officer of Mutual Funds
George Town
Grand Cayman,
Cayman Islands
British West Indies
Robin L. Jarvis P.O. Box 1092, Manager of Mutual Funds for
George Town BankAmerica Cayman
Grand Cayman,
Cayman Islands
British West Indies
Officers Address Occupation
-------- ------- ----------
BankAmerica Trust & BankAmerica House Secretary
Banking Corporation Fort Street,
(Cayman) Limited George Town
Grand Cayman Island
Cayman Islands
British West Indies
</TABLE>
<PAGE> 99
WPG CDA III (OVERSEAS), L.P.
<TABLE>
<CAPTION>
General Partners Address Occupation
---------------- ------- ----------
<S> <C> <C>
Philip Greer One New York Plaza Principal, WPG
New York, NY 10004
Steven N. Hutchinson One New York Plaza Principal, WPG
New York, NY 10004
Wesley W. Lang, Jr. One New York Plaza Principal, WPG
New York, NY 10004
Peter B. Pfister One New York Plaza Principal, WPG
New York, NY 10004
Craig S. Whiting One New York Plaza General Partner, WPG-CDA III
New York, NY 10004 Overseas
</TABLE>
<PAGE> 100
ANNEX VI
<TABLE>
<CAPTION>
NAME ADDRESS POSITION
<S> <C> <C> <C>
RFE Management Corp. 36 Grove Street Investment Manager of RFE
New Canaan, CT 06840 Capital Partners, L.P. and RFE
Investment Partners IV, L.P.
Norcon Associates 36 Grove Street General Partner of RFE Capital
New Canaan, CT 06840 Partners, L.P.
RFE Associates IV, L.P. 36 Grove Street General Partner of RFE
New Canaan, CT 06840 Investment Partners IV, L.P.
Robert M. Williams 36 Grove Street General Partner of Norcon
New Canaan, CT 06840 Associates and RFE Associates
IV, L.P.
Howard C. Landis 36 Grove Street General Partner of Norcon
New Canaan, CT 06840 Associates and RFE Associates
IV, L.P.
James A. Parsons 36 Grove Street General Partner of Norcon
New Canaan, CT 06840 Associates and RFE Associates
IV, L.P.
Michael J. Foster 36 Grove Street General Partner of RFE
New Canaan, CT 06840 Associates IV, L.P.
A. Dean Davis 36 Grove Street General Partner of RFE
New Canaan, CT 06840 Associates IV, L.P.
</TABLE>
<PAGE> 101
ANNEX VII
JOHN HANCOCK MUTUAL LIFE INSURANCE COMPANY
<TABLE>
<CAPTION>
POSITION WITH JOHN
HANCOCK MUTUAL LIFE
INSURANCE COMPANY AND PRESENT
BUSINESS OR PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Foster L. Aborn John Hancock Place Vice Chairman of John Hancock
P.O. Box 111 Mutual Life Insurance Company
Boston, MA 02117
Samuel W. Bodman 75 State Street Director of John Hancock Mutual
Boston, MA 02109-1806 Life Insurance Company; Chairman
and Chief Executive Officer of
Cabot Corporation
Joan T. Bok 25 Research Drive Director of John Hancock Mutual
Westborough, MA 01581 Life Insurance Company; Chairman
of the Board of New England
Electric System
MacAllister Booth 549 Technology Square Director of John Hancock Mutual
Cambridge, MA 02139 Life Insurance Company; Chairman,
President and Chief Executive
Officer of Polaroid Corporation
Dr. Randolph W. Bromery 263 Alden Street Director of John Hancock Mutual
Springfield, MA 01109 Life Insurance Company; President
of Springfield College
William L. Boyan John Hancock Place Director, President and Chief
P.O. Box 111 Operations Officer of John
Boston, MA 02117 Hancock Mutual Life Insurance
Company, Inc.
Stephen L. Brown John Hancock Place Chairman of the Board and Chief
P.O. Box 111 Executive Officer of John Hancock
Boston, MA 02117 Mutual Life Insurance Company,
Inc.
John M. Connors, Jr. 200 Clarendon Street Director of John Hancock Mutual
Boston, MA 02116 Life Insurance Company;
President, CEO and Director of
Hill, Holliday, Connors,
Consmopulos, Inc.
</TABLE>
<PAGE> 102
<TABLE>
<CAPTION>
POSITION WITH JOHN
HANCOCK MUTUAL LIFE
INSURANCE COMPANY AND PRESENT
BUSINESS OR PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
David F. D'Alessandro John Hancock Place Director and Senior Executive
P.O. Box 111 Vice President of John Hancock
Boston, MA 02117 Mutual Life Insurance Company,
Inc.
Robert E. Fast, Esq. 60 State Street Director of John Hancock Mutual
Boston, MA 02109 Life Insurance Company; Senior
Partner of Hale and Dorr
Dr. Kathleen Foley Feldstein 147 Clifton Street Director of John Hancock Mutual
Belmont, MA 02178 Life Insurance Company; President
of Economics Studies, Inc.
Lawrence K. Fish One Citizens Plaza Director of John Hancock Mutual
Providence, RI 02903-1339 Life Insurance Company; Chairman,
President and CEO of Citizens
Financial Group, Inc.
Nelson S. Gifford 50 Federal Street - Ste. 900 Director of John Hancock Mutual
Boston, MA 02110-2509 Life Insurance Company; Former
Chairman and CEO of Dennison Mfg.
Corporation
John F. Magee Acorn Park Director of John Hancock Mutual
Cambridge, MA 02140-2390 Life Insurance Company; Chairman
of Arthur D. Little, Inc.
E. James Morton 1st Floor, Clarendon Bldg. Director of John Hancock Mutual
P.O. Box 111 Life Insurance Company; Former
Boston, MA 02117 Chairman and CEO of John Hancock
Mutual Life Insurance Company
Thomas L. Phillips 141 Spring Street Director of John Hancock Mutual
Lexington, MA 02173 Life Insurance Company; Director
of Raytheon Company
</TABLE>
<PAGE> 103
<TABLE>
<CAPTION>
POSITION WITH JOHN
HANCOCK MUTUAL LIFE
INSURANCE COMPANY AND PRESENT
BUSINESS OR PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Bruce Skrine John Hancock Place Vice President, Counsel and
P.O. Box 111 Secretary of John Hancock Mutual
Boston, MA 02117 Life Insurance Company, Inc.
Delbert C. Staley 1095 Avenue of the America Director of John Hancock Mutual
Room 2938 Life Insurance Company; Former
New York, NY 10036 Chairman of the Board and CEO of
NYNEX Corporation
Richard F. Syron 86 Trinity Place Director of John Hancock Mutual
New York, NY 10016 Life Insurance Company; Chairman
and Chief Executive Officer of
American Stock Exchange
C. Vincent Vappi 240 Sidney Street Director of John Hancock Mutual
Cambridge, MA 02139 Life Insurance Company; Former
Chairman and Chief Executive
Officer of Vappi & Company, Inc.
</TABLE>
<PAGE> 104
JOHN HANCOCK SUBSIDIARIES, INC.
<TABLE>
<CAPTION>
POSITION WITH JOHN
HANCOCK SUBSIDIARIES,
BUSINESS OR INC. AND PRESENT PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Foster L. Aborn John Hancock Place Director of John Hancock
P.O. Box 111 Subsidiaries, Inc.; Vice Chairman of
Boston, MA 02117 John Hancock Mutual Life Insurance
Company
William L. Boyan John Hancock Place Director and President of John
P.O. Box 111 Hancock Subsidiaries, Inc.; President
Boston, MA 02117 and Chief Operations Officer of John
Hancock Mutual Life Insurance Company
Stephen L. Brown John Hancock Place Director and Chairman of John Hancock
P.O. Box 111 Subsidiaries, Inc.; Chairman and
Boston, MA 02117 Chief Executive Officer of John
Hancock Mutual Life Insurance Company
Diane M. Capstaff John Hancock Place Director of John Hancock
P.O. Box 111 Subsidiaries, Inc.; Executive Vice
Boston, MA 02117 President of John Hancock Mutual Life
Insurance Company
David F. D'Alessandro John Hancock Place Director of John Hancock
P.O. Box 111 Subsidiaries, Inc.; Senior Executive
Boston, MA 02117 Vice President of John Hancock Mutual
Life Insurance Company
Thomas E. Moloney John Hancock Place Director of John Hancock
P.O. Box 111 Subsidiaries, Inc.; Chief Financial
Boston, MA 02117 Officer of John Hancock Mutual Life
Insurance Company
George F. Miller John Hancock Place Director of John Hancock
P.O. Box 111 Subsidiaries, Inc.; Senior Executive
Boston, MA 02117 Vice President of John Hancock Mutual
Life Insurance Company
</TABLE>
<PAGE> 105
JOHN HANCOCK SUBSIDIARIES, INC.
(CONTINUED)
<TABLE>
<CAPTION>
POSITION WITH JOHN
HANCOCK SUBSIDIARIES,
BUSINESS OR INC. AND PRESENT PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Richard S. Scipione John Hancock Place Director of John Hancock
P.O. Box 111 Subsidiaries, Inc.; General Counsel
Boston, MA 02117 of John Hancock Mutual Life Insurance
Company
</TABLE>
<PAGE> 106
HANCOCK VENTURE PARTNERS, INC.
<TABLE>
<CAPTION>
POSITION WITH HANCOCK
VENTURE PARTNERS, INC.
BUSINESS OR AND PRESENT PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Foster L. Aborn One Financial Center Chairman of the Board of Hancock
44th Floor Venture Partners, Inc.; Vice
Boston, MA 02111 Chairman of John Hancock Mutual
Life Insurance Company
Michael J. Allan One Financial Center Director of Hancock Venture
44th Floor Partners, Inc.; Vice President of
Boston, MA 02111 John Hancock Mutual Life
Insurance Company
Edward W. Kane One Financial Center Director and Managing Director of
44th Floor Hancock Venture Partners, Inc.
Boston, MA 02111
D. Brooks Zug One Financial Center Director and Managing Director of
44th Floor Hancock Venture Partners, Inc.
Boston, MA 02111
Diane M. Capstaff John Hancock Place Director of Hancock Venture
P.O. Box 111 Partners, Inc.; Executive Vice
Boston, MA 02117 President of John Hancock Mutual
Life Insurance Company
Gregory P. Winn John Hancock Place Director of Hancock Venture
P.O. Box 111 Partners, Inc.; Director of
Boston, MA 02117 Business Planning and Financial
Analysis
</TABLE>
* Resigned subsequent to the Merger, which occurred December 6, 1994.
<PAGE> 107
JOHN HANCOCK VENTURE CAPITAL FUND LIMITED PARTNERSHIP II
<TABLE>
<CAPTION>
POSITION WITH JOHN HANCOCK
VENTURE CAPITAL FUND LIMITED
BUSINESS OR PARTNERSHIP II AND PRESENT
NAME RESIDENTIAL ADDRESS PRINCIPAL OCCUPATION
<S> <C> <C>
Back Bay Partners L.P. II One Financial Center General Partner
44th Floor
Boston, MA 02111
</TABLE>
<PAGE> 108
BACK BAY PARTNERS L.P. II
<TABLE>
<CAPTION>
POSITION WITH BACK BAY PARTNERS
BUSINESS OR L.P. II AND PRESENT PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Edward W. Kane One Financial Center General Partner
44th Floor
Boston, MA 02111
D. Brooks Zug One Financial Center General Partner
44th Floor
Boston, MA 02111
William A. Johnston One Financial Center General Partner
44th Floor
Boston, MA 02111
</TABLE>
<PAGE> 109
HANCOCK VENTURE PARTNERS III L.P.
<TABLE>
<CAPTION>
POSITION WITH HANCOCK VENTURE
BUSINESS OR PARTNERS III, L.P. AND PRESENT
NAME RESIDENTIAL ADDRESS PRINCIPAL OCCUPATION
<S> <C> <C>
Back Bay Partners V L.P. One Financial Center General Partner
44th Floor
Boston, MA 02111
</TABLE>
<PAGE> 110
BACK BAY PARTNERS V L.P.
<TABLE>
<CAPTION>
POSITION WITH BACK BAY PARTNERS
BUSINESS OR III L.P. AND PRESENT PRINCIPAL
NAME RESIDENTIAL ADDRESS OCCUPATION
<S> <C> <C>
Edward W. Kane One Financial Center General Partner
44th Floor
Boston, MA 02111
D. Brooks Zug One Financial Center General Partner
44th Floor
Boston, MA 02111
William A. Johnston One Financial Center General Partner
44th Floor
Boston, MA 02111
Laurie J. Thomsen One Financial Center General Partner
44th Floor
Boston, MA 02111
Frederick C. Maynard One Financial Center General Partner
44th Floor
Boston, MA 02111
Ofer Nemirovsky One Financial Center General Partner
44th Floor
Boston, MA 02111
Robert M. Wadsworth One Financial Center General Partner
44th Floor
Boston, MA 02111
Kevin S. Delbridge One Financial Center General Partner
44th Floor
Boston, MA 02111
</TABLE>
<PAGE> 111
ANNEX VIII
<TABLE>
<CAPTION>
BUSINESS OR POSITION WITH EQUUS II
NAME RESIDENTIAL ADDRESS INCORPORATED
<S> <C> <C>
Sam P. Douglass 2929 Allen Parkway CEO & Chairman
Suite 2500
Houston, TX 77019
Gregory J. Flanagan " Director
Robert L. Knauss " Director
Nolan Lehmann " President & Director
Gary Peterson " Director
John W. Storms " Director
Dr. Francis D. Tuggle " Director
Dr. Edward E. Williams " Director
POSITION WITH EQUUS CAPITAL
PARTNERS, L.P.
Equus Capital Corporation 2929 Allen Parkway Managing General Partner
Suite 2500
Houston, TX 77019
POSITION WITH EQUUS CAPITAL
CORPORATION
Sam P. Douglass 2929 Allen Parkway CEO & Director
Suite 2500
Houston, TX 77019
Nolan Lehmann " President & Director
POSITION WITH EQUUS CAPITAL
MANAGEMENT CORP.
Sam P. Douglass 2929 Allen Parkway CEO & Chairman
Suite 2500
Houston, TX 77019
Nolan Lehmann " President & Director
Paula T. Douglass " Director
S. Preston Douglass, Jr. " Director
</TABLE>
<PAGE> 112
<TABLE>
<S> <C> <C>
POSITION WITH EQUUS CORPORATION
INTERNATIONAL
Sam P. Douglass 2929 Allen Parkway CEO, President & Chairman
Suite 2500
Houston, TX 77019
Paula T. Douglass " Vice President & Director
S. Preston Douglass, Jr. " Director
POSITION WITH DOUGLAS TRUST FBO
BROOKE
Sam P. Douglass 2929 Allen Parkway Trustee
Suite 2500
Houston, TX 77019
POSITION WITH DOUGLASS TRUST FBO
PRESTON
Sam P. Douglass 2929 Allen Parkway Trustee
Suite 2500
Houston, TX 77019
</TABLE>
<PAGE> 113
ANNEX IX
PARTIES TO D STOCKHOLDERS AGREEMENT
Champion Healthcare Corporation
Bahrain International Bank E.C.
Baker, Fentress & Company
Bank of America Illinois
Christopher J. Perry
Robert F. Perille
M. Ann O'Brien
Ford S. Bartholow
Jeffrey M. Mann
Matthew W. Clary
Thomas E. Van Pelt, Jr.
Kelly E.Curry, Trustee of the Kelly E. Curry Living Trust
dtd 12/09/93
Sprout Growth II, L.P.
Sprout Capital VI, L.P.
Sprout Growth, L.P.
DLJ First ESC L.L.C.
DLJ Capital Corporation
DLJ Securities Corporation
DLJ Venture Capital Fund II, L.P.
Donaldson, Lufkin & Jenrette, Inc.
First Interstate Bank of California, as Voting Trustee
Equity-Linked Investors - II
Equity-Linked Investors, L.P.
Equus Capital Partners, L.P.
Equus II Incorporated
Frontenac Diversified III
Limited Partnership
Frontenac VI Limited Partnership
Hancock Venture Partners III, L.P.
<PAGE> 114
John Hancock Venture Capital
Fund Limited Partnership II
Oracle Partners, L.P.
RFE Capital Partners, L.P.
RFE Investment Partners IV
Limited Partnership
Virginia Retirement System
William Blair Venture Partners III
WPG Corporate Development Associates III, L.P.
WPG Corporate Development
Associates III, (Oversees), Limited
William F. Geiger
Rapheal A. Luccasen, Jr.
C. David Rhoton
Thomas M. Rodgers, Jr.
Venturtech II, L.P.
Charles R. Miller
James G. VanDevender
Michael Brooks
Ronald R. Patterson
Wesley W. Lang, Jr.
Matthew M. Meehan
Richard E. Ragsdale
David L. Steffy
Theodore Stolberg
Ralph J. Watts
David Wertheimer
Kathy A. Connor
<PAGE> 115
Robert E. Diemar, Jr.
W. Patrick McMullan
Vanessa J. Burgess
Stephen J. Ketchum
Evan B. Ratner
Kenneth A. Tucker
James D. Hann & Bonnie J. Hann JT Ten
Hoyt Davidson
Howard S. Rimerman
Matthew Sirovich
Nicole Sinek Arnaboldi & Leo Peter Arnaboldi III
Paul B. Queally
Sabin C. Streeter
John J. Veatch, Jr.
Keith B. Geeslin
Jon Stone
Janet H. Tague
Robert Finzi
J. Kent Sweezey
Larry E. Reeder
Warren C. Woo
Michael K. Hooks
Sean Deson
David L. Dennis
James T. Sington
Colin R. Knudsen
J. Brian Mullen & Elizabeth H. Mullen JT Ten
Ralph L. DeGroff, Jr.
Thomas G. McGonagle
The Lincoln National Life Insurance Company
Security-Connecticut Life Insurance Company
Lincoln National Income Fund, Inc.
The Northwestern Mutual Life Insurance Company
Indosuez Capital Funding I, Limited
Indosuez High Yield Partners
Obie & Co.
