<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
--------------------
FORM 8-K/A-1
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) April 16, 1997
----------------
PEC Israel Economic Corporation
- --------------------------------------------------------------------------------
(Exact Name of Registrant as Specified in Charter)
Maine 1-8707 13-1143528
- --------------------------------------------------------------------------------
(State or Other Jurisdiction (Commission (IRS Employer
of Incorporation) File Number) Identification No.)
511 Fifth Avenue, New York, New York 10017
- --------------------------------------------------------------------------------
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code (212) 687-2400
--------------
- --------------------------------------------------------------------------------
(Former Name or Former Address, if Changed Since Last Report)
Page 1 of 3 pages
<PAGE>
Item 4. Changes in Registrant's Certifying Accountant.
Arthur Andersen LLP and Haft & Gluckman LLP were the Company's
auditors for 1996 and 1995. On April 16, 1997, the Executive Committee of
the Board of Directors, upon the recommendation of the Audit Committee of the
Board of Directors, decided not to reengage Arthur Andersen LLP and selected
Price Waterhouse LLP and Haft & Gluckman to be the Company's auditors for
1997. The report of the Company's auditors on the Company's financial
statements for 1996 and 1995 did not contain an adverse opinion or a
disclaimer of opinion and was not qualified or modified as to uncertainty,
audit scope or accounting principles. During the past two fiscal years and
from January 1, 1997 through April 16, 1997, the Company and Arthur Andersen
LLP did not have any disagreement on any matter of accounting principles or
practices, financial statement disclosure or auditing scope or procedure.
EXHIBITS
Letter dated April 25, 1997 addressed to the Securities and Exchange
Commission from Arthur Andersen LLP which states that Arthur Andersen LLP
agrees with the statements made by PEC Israel Economic Corporation in Item 4
of this Amendment to its Current Report on Form 8-K/A-1.
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 hereunto duly authorized.
PEC Israel Economic Corporation
-------------------------------
(Registrant)
By: /s/ JAMES I. EDELSON
-------------------------------
Date: April 25, 1997 James I. Edelson
Executive Vice President
Page 2 of 3 pages
<PAGE>
Exhibit 16
ARTHUR
ANDERSEN
___________________
Arthur Andersen LLP
April 25, 1997 ___________________________
1345 Avenue of the Americas
New York NY 10105-0032
Office of the Chief Accountant
SECPS Letter File
Securities and Exchange Commission
Mail Stop 9-5
450 Fifth Street, N.W.
Washington, DC 20459
Re: PEC Israel Economic Corporation
Amendment to Form 8-K
Dear Sirs:
This is to state that Arthur Andersen LLP agrees with the statements made by PEC
Israel Economic Corporation in Item 4 of this Amendment to its Current Report
on Form 8-K/A-1 dated April 16, 1997.
Very truly yours,
Arthur Andersen LLP
Page 3 of 3 pages
