<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
(RULE 13d-101)
INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT
TO RULE 13d-1(A) AND AMENDMENTS THERETO FILED PURSUANT TO
RULE 13d-2(A)
(AMENDMENT NO. 1)
PEMCO AVIATION GROUP, INC.
--------------------------------------------------------------------------------
(Name of Issuer)
COMMON STOCK, PAR VALUE $0.0001 PER SHARE
--------------------------------------------------------------------------------
(Title of Class of Securities)
706444 106
--------------------------------------------------------------------------------
(CUSIP Number)
TENNENBAUM & CO., LLC
11100 SANTA MONICA BOULEVARD, SUITE 210
LOS ANGELES, CALIFORNIA 90025
(310) 566-1000
--------------------------------------------------------------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
NOVEMBER 2, 2000
--------------------------------------------------------------------------------
(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 that is the subject of this Schedule 13D, and is filing
this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the
following box:[ ].
(Continued on the following pages)
Page 1 of 16 Pages
<PAGE> 2
CUSIP No. 706444106 SCHEDULE 13D Page 2 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
TCO/PSI, LLC.
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
WC
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 1,429,352 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
1,429,352 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
1,429,352 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
35.6%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
OO
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO AVIATION GROUP, INC. ("PEMCO") COMMON
STOCK OUTSTANDING AS OF JULY 28, 2000, AS REPORTED IN PEMCO'S QUARTERLY
REPORT ON FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2000 (FILE NO.
0-13829), FILED WITH THE SEC ON JULY 31, 2000, AND INCLUDES 3,844 SHARES
ISSUABLE TO MICHAEL E. TENNENBAUM UPON THE EXERCISE OF OUTSTANDING STOCK
OPTIONS THAT ARE EXERCISABLE WITHIN 60 DAYS OF NOVEMBER 7, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 3
CUSIP No. 706444106 SCHEDULE 13D Page 3 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
Tennenbaum & Co., LLC. IRS ID # 95-4587347
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
WC
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 1,429,352 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
1,429,352 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
1,429,352 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
35.6%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
OO
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO AVIATION GROUP, INC. ("PEMCO") COMMON
STOCK OUTSTANDING AS OF JULY 28, 2000, AS REPORTED IN PEMCO'S QUARTERLY
REPORT ON FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2000 (FILE NO.
0-13829), FILED WITH THE SEC ON JULY 31, 2000, AND INCLUDES 3,844 SHARES
ISSUABLE TO MICHAEL E. TENNENBAUM UPON THE EXERCISE OF OUTSTANDING STOCK
OPTIONS THAT ARE EXERCISABLE WITHIN 60 DAYS OF NOVEMBER 7, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 4
CUSIP No. 706444106 SCHEDULE 13D Page 4 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
Special Value Bond Fund, LLC. IRS ID # 95-4758920
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
WC
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 1,429,352 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
1,429,352 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
1,429,352 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
35.6%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
OO
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO AVIATION GROUP, INC. ("PEMCO") COMMON
STOCK OUTSTANDING AS OF JULY 28, 2000, AS REPORTED IN PEMCO'S QUARTERLY
REPORT ON FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2000 (FILE NO.
0-13829), FILED WITH THE SEC ON JULY 31, 2000, AND INCLUDES 3,844 SHARES
ISSUABLE TO MICHAEL E. TENNENBAUM UPON THE EXERCISE OF OUTSTANDING STOCK
OPTIONS THAT ARE EXERCISABLE WITHIN 60 DAYS OF NOVEMBER 7, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 5
CUSIP No. 706444106 SCHEDULE 13D Page 5 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
SVTM/MSM, LLC. IRS ID# 95-4760193
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
WC
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 1,429,352 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
1,429,352 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
1,429,352 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
35.6%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
OO
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO AVIATION GROUP, INC. ("PEMCO") COMMON
STOCK OUTSTANDING AS OF JULY 28, 2000, AS REPORTED IN PEMCO'S QUARTERLY
REPORT ON FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2000 (FILE NO.
0-13829), FILED WITH THE SEC ON JULY 31, 2000, AND INCLUDES 3,844 SHARES
ISSUABLE TO MICHAEL E. TENNENBAUM UPON THE EXERCISE OF OUTSTANDING STOCK
OPTIONS THAT ARE EXERCISABLE WITHIN 60 DAYS OF NOVEMBER 7, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 6
CUSIP No. 706444106 SCHEDULE 13D Page 6 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
Special Value Investment Management, LLC. IRS ID# 95-4759860
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
WC
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 1,429,352 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
1,429,352 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
1,429,352 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
35.6%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
OO
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO AVIATION GROUP, INC. ("PEMCO") COMMON
STOCK OUTSTANDING AS OF JULY 28, 2000, AS REPORTED IN PEMCO'S QUARTERLY
REPORT ON FORM 10-Q FOR THE QUARTER ENDED JUNE 30, 2000 (FILE NO.
0-13829), FILED WITH THE SEC ON JULY 31, 2000, AND INCLUDES 3,844 SHARES
ISSUABLE TO MICHAEL E. TENNENBAUM UPON THE EXERCISE OF OUTSTANDING STOCK
OPTIONS THAT ARE EXERCISABLE WITHIN 60 DAYS OF NOVEMBER 7, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 7
CUSIP No. 706444106 SCHEDULE 13D Page 7 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
Rustic Canyon Ventures, L.P. (formerly TMCT Ventures L.P.)
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
OO
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 300,000 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 0 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 300,000 shares
--------------------------------------------------------
(10) Shared Dispositive Power
0 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
300,000 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
7.5%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
PN
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO COMMON STOCK OUTSTANDING AS OF JULY
28, 2000, AS REPORTED IN PEMCO'S QUARTERLY REPORT ON FORM 10-Q FOR THE
QUARTER ENDED JUNE 30, 2000 (FILE NO. 0-13829), FILED WITH THE SEC ON
JULY 31, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 8
CUSIP No. 706444106 SCHEDULE 13D Page 8 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
Massachusetts Mutual Life Insurance Company
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
PF
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Massachusetts
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 300,000 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
300,000 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
300,000 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
7.5%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
IC
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO COMMON STOCK OUTSTANDING AS OF JULY
28, 2000, AS REPORTED IN PEMCO'S QUARTERLY REPORT ON FORM 10-Q FOR THE
QUARTER ENDED JUNE 30, 2000 (FILE NO. 0-13829), FILED WITH THE SEC ON
JULY 31, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 9
CUSIP No. 706444106 SCHEDULE 13D Page 9 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
MassMutual High Yield Partners II, LLC.
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
PF
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
Delaware
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 300,000 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
300,000 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
300,000 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
7.5%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
OO
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO COMMON STOCK OUTSTANDING AS OF JULY
28, 2000, AS REPORTED IN PEMCO'S QUARTERLY REPORT ON FORM 10-Q FOR THE
QUARTER ENDED JUNE 30, 2000 (FILE NO. 0-13829), FILED WITH THE SEC ON
JULY 31, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 10
CUSIP No. 706444106 SCHEDULE 13D Page 10 of 16 Pages
--------------------- -------- --------
(1) Names of Reporting Persons
S.S. or I.R.S. Identification Nos. of Above Persons
Michael E. Tennenbaum. S.S.# ###-##-####
---------------------------------------------------------------------
(2) Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
---------------------------------------------------------------------
(3) SEC Use Only
---------------------------------------------------------------------
(4) SOURCE OF FUNDS*
OO
---------------------------------------------------------------------
(5) CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS
IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ]
---------------------------------------------------------------------
(6) Citizenship or Place of Organization
United States
---------------------------------------------------------------------
(7) Sole Voting Power
Number of 0 shares
Shares --------------------------------------------------------
Beneficially (8) Shared Voting Power
Owned by 1,429,352 shares
Each --------------------------------------------------------
Reporting (9) Sole Dispositive Power
Person With 0 shares
--------------------------------------------------------
(10) Shared Dispositive Power
1,429,352 shares
--------------------------------------------------------
(11) Aggregate Amount Beneficially Owned by Each Reporting Person
1,429,352 shares
---------------------------------------------------------------------
(12) Check Box if Aggregate Amount in Row (11) Excludes Certain
Shares* [ ]
---------------------------------------------------------------------
(13) Percent of Class Represented by Amount in Row (11)
35.6%(1)
---------------------------------------------------------------------
(14) Type of Reporting Person*
IN
---------------------------------------------------------------------
(1) BASED ON 4,015,815 SHARES OF PEMCO COMMON STOCK OUTSTANDING AS OF JULY
28, 2000, AS REPORTED IN PEMCO'S QUARTERLY REPORT ON FORM 10-Q FOR THE
QUARTER ENDED JUNE 30, 2000 (FILE NO. 0-13829), FILED WITH THE SEC ON
JULY 31, 2000, AND INCLUDES 3,844 SHARES ISSUABLE TO MICHAEL E.
TENNENBAUM UPON THE EXERCISE OF OUTSTANDING STOCK OPTIONS THAT ARE
EXERCISABLE WITHIN 60 DAYS OF NOVEMBER 7, 2000.
*SEE INSTRUCTIONS BEFORE FILLING OUT!
<PAGE> 11
PAGE 11 OF 16
This Amendment No. 1 to Schedule 13D relating to Pemco Aviation
Group, Inc., a Delaware corporation ("Pemco"), is being filed on behalf of the
undersigned to amend the Schedule 13D filed with the SEC on September 17, 1999
(the "Schedule 13D"). Capitalized terms not otherwise defined herein have the
meanings given them in the Schedule 13D.
ITEM 1. SECURITY AND ISSUER.
The information in Item 1 is hereby amended and restated as
follows:
This statement relates to the beneficial ownership of 2,029,352
shares of common stock, par value $0.0001 per share (the "Common Stock"), of
Pemco. The principal executive offices of Pemco are located at 1943 North 50th
Street, Birmingham, Alabama 35212.
ITEM 2. IDENTITY AND BACKGROUND.
The information in Item 2 is hereby amended and restated as
follows:
(a)-(c) and (f) This Statement on Schedule 13D is being filed by
TCO/PSI, LLC, a Delaware limited liability company ("TCO/PSI"), Tennenbaum &
Co., LLC, a Delaware limited liability company ("Tennenbaum LLC"), Special Value
Bond Fund, LLC, a Delaware limited liability company ("Special Value"),
SVIM/MSM, LLC, a Delaware limited liability company ("SVIM/MSM"), Special Value
Investment Management, LLC, a Delaware limited liability company ("SVIM"),
Rustic Canyon Ventures, L.P. (formerly TMCT Ventures, L.P.), a Delaware limited
partnership ("Rustic"), Massachusetts Mutual Life Insurance Company, a
Commonwealth of Massachusetts insurance company ("Massachusetts Mutual Life"),
MassMutual High Yield Partners II, LLC, a Delaware limited liability company
("MassMutual High Yield") and Mr. Michael E. Tennenbaum ("Mr. Tennenbaum"), the
managing member of Tennenbaum LLC. TCO/PSI, Tennenbaum LLC, Special Value,
SVIM/MSM, SVIM, Rustic, Massachusetts Mutual Life, MassMutual High Yield and Mr.
Tennenbaum (together, the "Reporting Persons") are filing this statement
jointly, pursuant to the provisions of Rule 13d-1(k)(1) under the Securities
Exchange Act of 1934, as amended, and not as separate persons.
TCO/PSI is a limited liability company of which Tennenbaum LLC
and Mr. Matthew Gold ("Mr. Gold") are managing members. The principal business
of TCO/PSI is owning, holding, voting and seeking to maximize the value of the
Common Stock. Its principal office is located at 1943 North 50th Street,
Birmingham, Alabama 35212.
Tennenbaum LLC is a private investment firm of which Mr.
Tennenbaum is the managing member. The principal business of Tennenbaum LLC is
making investments and managing assets. Its principal office is located at 11100
Santa Monica Boulevard, Suite 210, Los Angeles, California 90025.
Special Value is a fund which Tennenbaum LLC manages. The
principal business of Special Value is making investments and managing assets.
Its principal office is located at 11100 Santa Monica Boulevard, Suite 210, Los
Angeles, California 90025. The managing member of Special Value is SVIM/MSM. The
investment advisor to Special Value is SVIM. The managing member of each of
SVIM/MSM and SVIM is Tennenbaum LLC.
<PAGE> 12
PAGE 12 OF 16
Rustic is a private equity investment fund. Its offices are
located at 2425 Olympic Boulevard, Suite 6050 West, Santa Monica, California
90404.
Massachusetts Mutual Life provides investment advice to
MassMutual High Yield. Its offices are located at 1295 State Street,
Springfield, Massachusetts 01111-0001.
MassMutual High Yield is a private investment fund which invests
in high yield securities, syndicated bank loans and other investments. Its
offices are located at 1295 State Street, Springfield, Massachusetts 01111-0001.
Mr. Tennenbaum is the managing member of Tennenbaum LLC. His
business address is 11100 Santa Monica Boulevard, Suite 210, Los Angeles,
California 90025. Mr. Tennenbaum's principal occupation is serving as managing
member of Tennenbaum LLC. Mr. Tennenbaum is a citizen of the United States of
America.
(d)-(e) No Reporting Person, nor to the best knowledge of each
Reporting Person, any of the persons identified in this Item 2 has, during the
last five years, been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors) or was a party to a civil proceeding of a
judicial or administrative body of competent jurisdiction as a result of which
any such person 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.
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
The information in Item 3 is hereby amended and restated as
follows:
Since April 27, 2000, Special Value has purchased a total of
63,600 shares of Common Stock for a total purchase price of $823,794, including,
most recently, 30,900 shares of Common Stock purchased on November 2, 2000 for a
total purchase price of $402,936. The sole source of funds used in purchasing
all 63,600 shares of Common Stock was the working capital of Special Value.
On September 7, 1999, Mr. Gold and TMG Fund LLP, a Colorado
limited liability partnership that is wholly owned by Mr. Gold, sold 800,000
shares and 200,000 shares, respectively, of Common Stock to Tennenbaum LLC,
Massachusetts Mutual Life, MassMutual High Yield, Rustic, Special Value, and
certain other investors. This sale was pursuant to a Stock Purchase Agreement
dated the same date (the "Stock Purchase Agreement"). The purchase price for
these shares was $10,000,000 (or $10 per share). The purchases were consummated
using personal funds and working capital of the respective Reporting Persons.
ITEM 4. PURPOSES OF TRANSACTION.
The information in Item 4 is hereby amended and restated as
follows:
The Reporting Persons acquired the Common Stock for investment
purposes. They intend to monitor and evaluate the investment on a continuing
basis. Except as set forth herein, the Reporting Persons have no plans or
proposals that relate to or would result in any of the matters referred to in
paragraphs (a) through (j), inclusive, of Item 4 of Schedule 13D. The Reporting
Persons, however, may at any time and from time to time, review or reconsider
their position with respect to any of such matters.
<PAGE> 13
Page 13 of 16
Also on September 7, 1999, in related transactions, (1) Mr. Gold,
Tennenbaum LLC and certain other persons formed TCO/PSI of which Mr. Gold and
Tennenbaum LLC are managing members and (2) Mr. Gold contributed 1,026,908
shares of Common Stock to TCO/PSI pursuant to the Limited Liability Company
Agreement of TCO/PSI dated the same date (the "TCO/PSI Agreement"). The TCO/PSI
Agreement provides that (i) TCO/PSI shall vote the contributed shares for the
election of a slate of directors of Pemco consisting of two Tennenbaum LLC
nominees, two Gold nominees, and such other nominees as Mr. Gold and Tennenbaum
LLC select, and (ii) TCO/PSI shall vote the contributed shares in favor of any
matter recommended by a majority of Pemco's board of directors, on condition
that all of the Tennenbaum LLC and Gold nominees were then serving and voted or
abstained from voting. In the event that a matter is submitted for stockholder
approval without a recommendation from Pemco's board of directors, TCO/PSI shall
vote the contributed shares as directed by Mr. Gold and Tennenbaum LLC, or, if
Mr. Gold and Tennenbaum LLC do not agree as to how the contributed shares should
be voted on that matter, TCO/PSI shall vote 50% of the contributed shares as
directed by Mr. Gold and the other 50% as directed by Tennenbaum LLC.
In connection with these transactions, Mr. Tennenbaum and Mr.
Mark K. Holdsworth, a principal of Tennenbaum LLC, were appointed to Pemco's
board of directors, with Mr. Tennenbaum being named Chairman of the Board, and
two members of Pemco's board of directors resigned.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER.
The information in Item 5 is hereby amended and restated as
follows:
(a)-(b) The following table sets forth the aggregate number and
percentage of Common Stock of Pemco beneficially owned by each Reporting Person.
The percentages of Common Stock were calculated based on the 4,015,815 shares
reported to be outstanding on July 28, 2000 in Pemco's Quarterly Report on Form
10-Q for the quarter ended June 30, 2000. Except as noted below, each Reporting
Person has sole voting and dispositive power with respect to the shares
indicated.
<TABLE>
<CAPTION>
Number of Shares
Stockholder Beneficially Owned Percentage
----------- ------------------ ----------
<S> <C> <C>
TCO/PSI, LLC 1,429,352(1) 35.6%
Tennenbaum & Co., LLC 1,429,352(1) 35.6%
Special Value Bond Fund, LLC 1,429,352(1) 35.6%
SVIM/MSM, LLC 1,429,352(1) 35.6%
Special Value Investment Management, LLC 1,429,352(1) 35.6%
Rustic Canyon Ventures, L.P. 300,000 7.5%
Massachusetts Mutual Life Insurance Company 300,000(2) 7.5%
MassMutual High Yield Partners II, LLC 300,000(2) 7.5%
Michael E. Tennenbaum 1,429,352(1) 35.6%
</TABLE>
--------------------
(1) Includes shares owned by Tennenbaum LLC (85,000), Special Value
(313,600) and TCO/PSI (1,026,908). Also includes 3,844 shares issuable
to Michael E. Tennenbaum upon the exercise of outstanding stock options
that are exercisable within 60 days of November 7, 2000. By reason of
(i) Mr. Tennenbaum's position as managing member of Tennenbaum LLC, (ii)
Tennenbaum LLC's position as managing member of SVIM/MSM, SVIM and
TCO/PSI, (iii) SVIM/MSM's position as managing member of Special Value
and (iv) SVIM's position as
<PAGE> 14
Page 14 of 16
investment advisor to Special Value, each of Mr. Tennenbaum, Tennenbaum
LLC, TCO/PSI, Special Value, SVIM/MSM and SVIM may be deemed to share
voting and dispositive power over such shares.
(2) Includes shares reported separately herein as owned by MassMutual High
Yield as to which Massachusetts Mutual Life shares voting and
dispositive power and disclaims beneficial ownership. Massachusetts
Mutual Life provides investment advice to MassMutual High Yield.
(c) The following transactions in Common Stock of Pemco were open
market purchases on the Nasdaq SmallCap Market effected by Special Value.
<TABLE>
<CAPTION>
Number of shares
Date of Common Stock Price Per Share
---- ---------------- ---------------
<S> <C> <C>
11/01/00 1,800 $13.10
11/02/00 30,900 $13.04
</TABLE>
Except as described herein, during the last 60 days none of the
Reporting Persons has effected any transaction in the Common Stock.
(d)-(e) Not applicable.
ITEM 7. INTEREST IN SECURITIES OF THE ISSUER.
The information in Item 7 is hereby amended and restated as
follows:
Exhibit A Joint Filing Agreement.
Exhibit B Stock Purchase Agreement by and among Tennenbaum
& Co., LLC and the other parties listed under the
heading "Buyer" on the signature pages thereto and
Matthew L. Gold and the other parties listed under
the heading "Seller" on the signature pages thereto
dated September 7, 1999 (attached as an exhibit to
the Schedule 13D).
Exhibit C Limited Liability Company Agreement of TCO/PSI,
LLC dated September 7, 1999 (attached as an exhibit
to the Schedule 13D).
<PAGE> 15
Page 15 of 16
SIGNATURE
After reasonable inquiry and to the best of my knowledge and
belief, the undersigned certifies that the information set forth in this
statement is true, complete and correct.
Dated: November 7, 2000 TCO/PSI, LLC
By: /s/ Michael E. Tennenbaum
-------------------------------------
Michael E. Tennenbaum,
its Managing Member
TENNENBAUM & CO., LLC
By: /s/ Michael E. Tennenbaum
-------------------------------------
Michael E. Tennenbaum,
its Managing Member
SPECIAL VALUE BOND FUND, LLC
By: SVIM/MSM, LLC, its Managing Member
By: Tennenbaum & Co., LLC, its
Managing Member
By: /s/ Michael E. Tennenbaum
-----------------------------
Michael E. Tennenbaum,
its Managing Member
SVIM/MSM, LLC
By: Tennenbaum & Co., LLC, its
Managing Member
By: /s/ Michael E. Tennenbaum
---------------------------------
Michael E. Tennenbaum,
its Managing Member
SPECIAL VALUE INVESTMENT MANAGEMENT, LLC
By: Tennenbaum & Co., LLC, its
Managing Member
By: /s/ Michael E. Tennenbaum
---------------------------------
Michael E. Tennenbaum,
its Managing Member
<PAGE> 16
Page 16 of 16
/s/ Michael E. Tennenbaum
-----------------------------------------
MICHAEL E. TENNENBAUM
MASSACHUSETTS MUTUAL LIFE
INSURANCE COMPANY
By: /s/ Kathleen Lynch
-----------------------------
Name: Kathleen Lynch
Title: a Managing Director
MASSMUTUAL HIGH YIELD PARTNERS II, LLC
By: HYP MANAGEMENT INC., as
Managing Member
By: /s/ Kathleen Lynch
----------------------------
Name: Kathleen Lynch
Title: Vice President
RUSTIC CANYON VENTURES, L.P.
By: Rustic Canyon Partners, LLC, as
General Partner
By: /s/ Thomas Unterman
-----------------------------
Name: Thomas Unterman
Title: Managing Member
<PAGE> 17
EXHIBIT INDEX
Exhibit A Joint Filing Agreement.
Exhibit B Stock Purchase Agreement by and among Tennenbaum
& Co., LLC and the other parties listed under the
heading "Buyer" on the signature pages thereto and
Matthew L. Gold and the other parties listed under
the heading "Seller" on the signature pages thereto
dated September 7, 1999 (attached as an exhibit to
the Schedule 13D).
Exhibit C Limited Liability Company Agreement of TCO/PSI,
LLC dated September 7, 1999 (attached as an exhibit
to the Schedule 13D).
<PAGE> 18
Exhibit A
JOINT FILING AGREEMENT
In accordance with Rule 13d-1(k) of the Securities Exchange Act
of 1934, as amended, the undersigned agree to the joint filing on behalf of each
of them of a Statement on Schedule 13D (including any and all amendments
thereto) with respect to the Common Stock, par value $0.0001 per share, of Pemco
Aviation Group, Inc., and further agree that this Agreement shall be included as
an Exhibit to such joint filing.
The undersigned further agree that each party hereto is
responsible for timely filing of such statement on Schedule 13D and any
amendments thereto, and for the completeness and accuracy of the information
concerning such party contained therein; provided that no party is responsible
for the completeness or accuracy of the information concerning the other
parties, unless such party knows or has reason to believe that such information
is inaccurate.
This Agreement may be executed in one or more counterparts, each
of which shall be deemed to be an original instrument, but all of such
counterparts together shall constitute but one agreement.
In evidence thereof the undersigned, being duly authorized,
hereby execute this Agreement this 7th day of November, 2000.
TCO/PSI, LLC
By: /s/ Michael E. Tennenbaum
-------------------------------------
Michael E. Tennenbaum,
its Managing Member
TENNENBAUM & CO., LLC
By: /s/ Michael E. Tennenbaum
-------------------------------------
Michael E. Tennenbaum,
its Managing Member
SPECIAL VALUE BOND FUND, LLC
By: SVIM/MSM, LLC, its Managing Member
By: Tennenbaum & Co., LLC, its
Managing Member
By: /s/ Michael E. Tennenbaum
----------------------------
Michael E. Tennenbaum,
its Managing Member
A-1
<PAGE> 19
SVIM/MSM, LLC
By: Tennenbaum & Co., LLC, its Managing
Member
By: /s/ Michael E. Tennenbaum
---------------------------------
Michael E. Tennenbaum,
its Managing Member
SPECIAL VALUE INVESTMENT
MANAGEMENT, LLC
By: Tennenbaum & Co., LLC, its Managing
Member
By: /s/ Michael E. Tennenbaum
---------------------------------
Michael E. Tennenbaum,
its Managing Member
/s/ Michael E. Tennenbaum
-----------------------------------------
MICHAEL E. TENNENBAUM
MASSACHUSETTS MUTUAL LIFE
INSURANCE COMPANY
By: /s/ Kathleen Lynch
-------------------------------------
Name: Kathleen Lynch
Title: a Managing Director
MASSMUTUAL HIGH YIELD
PARTNERS II, LLC
By: HYP MANAGEMENT INC.,
as Managing Member
By: /s/ Kathleen Lynch
--------------------------------
Name: Kathleen Lynch
Title: Vice President
RUSTIC CANYON VENTURES, L.P.
By: Rustic Canyon Partners, LLC, as
General Partner
By: /s/ Thomas Unterman
-------------------------------
Name: Thomas Unterman
Title: Managing Member
A-2
