FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
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 21, 1996.
DCI Telecommunications, Inc.
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(Exact name of registrant as specified in its charter)
Colorado 2-96976-D 84-1155-41
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(State or other (Commission File (IRS Employer
jurisdiction of Number) Identification
incorporation) Number)
P.O. Box 320334, Fairfield, CT 06432
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(Address of principal executive offices)
Registrant's telephone number, including area code: (203) 259-7713
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(Former name or former address, if changed since last report.)
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Item 5. Other Events
On November 5, the Company and P.L. Bettencourt and Associates (PLB) executed
an agreement providing for the acquisition of PLB, a sales management and
marketing firm, by the Company.
The acquisition will be accounted for as an asset purchase with DCI exchanging
6,787 shares of common stock based on the fair value of Bettencourt assets,
estimated at $10,000. The agreement calls for additional shares and options to
be issued based on PLB's contribution to earnings.
Item 5. Other Events
On October 21, 1996, the Company announced that it entered into a new
incentive agreement with Franklin Telecommunications Corp. (FTEL), of
Westlake Village, California. The agreement, which is financial in nature,
replaces a prior agreement between FTEL and the Company and provides DCI the
right to acquire an ownership interest in FNet based upon the amount of
capital raised by DCI for FNet (a wholly owned subsidiary of FTEL) during
the next 90 days. Under the terms of the new non-exclusive agreement, DCI
will receive compensation of 10% of the cash raised in cash or 20% of the
cash raised in FNet common stock for capital which DCI is able to generate
for FNet. In conjunction with the new agreement, Joseph J. Murphy was offered
a seat on the Board of Directors of FNet.
FTEL and DCI confirm that the Privilege Card and all other DCI products and
concepts are the sole property of DCI. Also, as DCI's sole function for FTEL
under the new agreement is to raise capital, all joint ventures or other
agreements between the two companies have been canceled.
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SIGNATURES
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
DCI Telecommunications, Inc.
Joseph J. Murphy
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Joseph J. Murphy
President
Date: November 13, 1996
