SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D. C. - 20549
_________________________
FORM 8 - K
CURRENT REPORT
PURSUANT TO SECTION 13 or 15(d) of THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): October 20, 1995
GILBERT ASSOCIATES, INC.
(Exact name of registrant as specified in its charter)
Delaware 0-12588 23-2280922
(State of Incorporation) (Commission File No.) (IRS Employer I.D. No.)
P.O. Box 1498, Reading, Pennsylvania 19603
(Mailing address of principal executive offices) (Zip Code)
(610) 775-5900
(Registrant's telephone number, including area code)
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FOR IMMEDIATE RELEASE
October 20, 1995
GILBERT ASSOCIATES, INC. TO APPEAL
ALASKA TRIAL COURT JUDGMENT
Reading, PA. . . Gilbert Associates, Inc. (Nasdaq/NMS:GILBA) today reported
that it will appeal a recent Alaska trial court judgment against the Company
in a pending civil contract dispute. The judgment, in the amount of $12
million, follows a jury trial in a lawsuit brought by Alaska-based Geolar,
Inc. against Gilbert and Gilbert/Commonwealth Inc. of Michigan (at the time in
question, a subsidiary of Gilbert/Commonwealth, Inc.), arising out of a
dispute concerning construction management work performed by
Gilbert/Commonwealth Inc. of Michigan in 1987 for Alaska-based Homer Electric
Association.
As previously reported, in June 1995 Gilbert Associates sold its
Gilbert/Commonwealth subsidiary to The Parsons Corporation. Pursuant to the
Stock Purchase Agreement, Parsons agreed to indemnify, defend and hold
harmless Gilbert Associates against any litigation, claim or judgment brought
or continued against Gilbert Associates, arising out of the actions or
operations of its former Gilbert/Commonwealth subsidiary.
Although there can be no assurance as to the outcome of these proceedings,
Gilbert Associates, Inc. believes that the jury finding regarding its
liability in the case is contrary to established law and that it has
substantial justification for appeal. Gilbert further believes that its
insurance policies should provide coverage for liability arising from this
lawsuit. Both Gilbert Associates and Gilbert/Commonwealth Inc. of Michigan
will appeal the Court's judgment on independent grounds.
Gilbert Associates, Inc. is a holding company whose subsidiaries operate in
the high-growth markets of telecommunications and technical services. Gilbert
also owns a real estate management and development subsidiary. As previously
announced, the Company is awaiting final closing of its recent acquisition of
XEL Corporation, a leading designer, manufacturer and marketer of voice and
transmission equipment used by operators of telecommunications networks.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
GILBERT ASSOCIATES, INC.
(Registrant)
/s/Paul H. Snyder
Paul H. Snyder
Vice President and
Chief Financial Officer
Date: October 25, 1995
