==============================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
------------------------
SCHEDULE 13D
Under the Securities Exchange Act of 1934
------------------------
BLOUNT INTERNATIONAL, INC.
(Name of Issuer)
COMMON STOCK, PAR VALUE $.01 PER SHARE
(Title of Class of Securities)
095180-10-5
(CUSIP Number of Class of Securities)
JENNIFER MARRE
SECRETARY
LEHMAN BROTHERS HOLDINGS INC.
3 WORLD FINANCIAL CENTER, 24TH FLOOR
NEW YORK, NY 10285
(212) 526-1936
(Name, Address and Telephone Number of Persons Authorized
to Receive Notices and Communications)
------------------------
August 19, 1999
(Date of Event which required 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(b)(3) or (4), check the following box [ ]
Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See Rule 13d-7(b) for other
parties to whom copies are to be sent.
*The remainder of this cover page shall be filled out for a reporting person's
initial filing on this form with respect to the subject class of securities,
and for any subsequent amendment containing information which would alter
disclosures provided in a prior cover page.
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 (however, see
the Notes).
==============================================================================
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Holdings Inc.
13-3216325
- -------------------------------------------------------------------------------
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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 26,928,777
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 26,928,777
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
26,928,777
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 87%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
HC/CO
- -------------------------------------------------------------------------------
2
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
LB Blount Investment SPV LLC
- -------------------------------------------------------------------------------
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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 26,928,777
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 26,928,777
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
26,928,777
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 87%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
- -------------------------------------------------------------------------------
3
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Inc.
13-2518466
- -------------------------------------------------------------------------------
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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 7,321,460
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 7,321,460
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
7,321,460
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 24%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
HC/CO
- -------------------------------------------------------------------------------
4
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Merchant Banking Partners II 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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 11,102,215
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 11,102,215
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
11,102,215
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 36%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------------------------------------------------------------------------------
5
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Offshore Investment Partners II 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
Bermuda
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 7,233,896
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 7,233,896
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
7,233,896
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 23.5%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------------------------------------------------------------------------------
6
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Capital Partners III, 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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 1,271,206
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 1,271,206
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,271,206
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 4%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------------------------------------------------------------------------------
7
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Capital Partners IV, 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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 3,517,210
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 3,517,210
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
3,517,210
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 11%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- -------------------------------------------------------------------------------
8
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
LB I Group Inc.
13-2741778
- -------------------------------------------------------------------------------
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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 7,321,460
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 7,321,460
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
7,321,460
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 24%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
HC/CO
- -------------------------------------------------------------------------------
9
<PAGE>
CUSIP No. 095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Offshore Partners II Ltd.
- -------------------------------------------------------------------------------
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
Bermuda
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 7,233,896
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 7,233,896
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
7,233,896
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 23.5%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
HC/CO
- -------------------------------------------------------------------------------
10
<PAGE>
CUSIP No.095180-10-5
- -------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Lehman Brothers Merchant Banking Partners II Inc.
- -------------------------------------------------------------------------------
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
- -------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES 18,336,111
BENEFICIALLY -------------------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH -0-
REPORTING -------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 18,336,111
-------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- -------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
18,336,111
- -------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
[ ]
- -------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
Approximately 60%
- -------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
HC/CO
- -------------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
11
<PAGE>
ITEM 1. SECURITY AND ISSUER
This statement relates to the Common Stock, par value $0.01 (the "Common
Stock"), of Blount International, Inc., a Delaware corporation ("Blount"). The
address of the principal executive offices of Blount is 4520 Executive Park
Drive, Montgomery, AL 36116.
ITEM 2. IDENTITY AND BACKGROUND
This statement is filed on behalf of the following entities:
Lehman Brothers Holdings Inc., a Delaware corporation ("Holdings"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
Holdings through its domestic and foreign subsidiaries is a full-time
securities firm and is General Partner of Lehman Brothers Capital
Partners III, L.P. and the direct Parent Company of Lehman Brothers Inc.,
Lehman Brothers Merchant Banking Partners II Inc. and Lehman Brothers
Offshore Partners II Ltd.
LB Blount Investment SPV LLC, a Delaware limited liability company
("LB Blount SPV")
3 World Financial Center 200 Vesey Street
New York, NY 10285
All the shares of Blount owned by the Lehman Entities (as defined below)
will be directly owned by LB Blount SPV. Lehman Brothers Merchant Banking
Partners II L.P. owns approximately 41% of the outstanding equity
interests of LB Blount SPV. Lehman Brothers Offshore Investment Partners
II L.P. owns approximately 27% of the outstanding equity interests of LB
Blount SPV. Lehman Brothers Capital Partners III, L.P. owns approximately
4.7% of the outstanding equity interests of LB Blount SPV. Lehman
Brothers Capital Partners IV, L.P. owns approximately 13% of the
outstanding equity interests of LB Blount SPV. LB I Group Inc. owns
approximately 27% of the outstanding equity interests of LB Blount SPV.
Lehman Brothers Inc., a Delaware corporation ("LBI"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
LBI is a wholly owned subsidiary of Holdings and the direct Parent
Company of LBI Group Inc.
Lehman Brothers Merchant Banking Partners II L.P., a Delaware limited
partnership ("LB MBP II"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
LB MBP II is a limited partnership, the general partner of which is
Lehman Brothers Merchant Banking Partners II Inc. LB MBP II also owns
approximately 41% of the outstanding equity interests of LB Blount SPV
and, accordingly, beneficially owns approximately 36% of Blount.
Lehman Brothers Offshore Investment Partners II L.P., a Bermuda limited
partnership ("LB OIP II"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
LB OIP II is a limited partnership, the general partners of which are
Lehman Brothers Offshore Partners II Ltd. and Lehman Brothers Merchant
Banking Partners II Inc. LB OIP II owns approximately 27% of the
outstanding equity interests of LB Blount SPV and, accordingly,
beneficially owns approximately 23.5% of Blount.
Lehman Brothers Capital Partners III, L.P., a Delaware limited
partnership ("Capital Partners III"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
Capital Partners III is a limited partnership, the general partner of
which is Holdings. Capital Partners III owns approximately 4.7% of the
outstanding equity interests of LB Blount SPV and, accordingly,
beneficially owns approximately 4% of Blount.
12
<PAGE>
Lehman Brothers Capital Partners IV, L.P., a Delaware limited partnership
("Capital Partners IV"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
Capital Partners IV is a limited partnership, the general partner of
which is LB I Group Inc. Capital Partners IV owns approximately 13% of
the outstanding equity interests of LB Blount SPV and, accordingly,
beneficially owns approximately 11% of Blount.
LB I Group Inc., a Delaware corporation ("LB I Group"),
3 World Financial Center
200 Vesey Street
New York, NY 10285
LB I Group is a wholly owned subsidiary of LBI and is the General Partner
of Capital Partners IV. LBI Group owns approximately 27% of the
outstanding equity interests of LB Blount SPV and, accordingly,
beneficially owns approximately 24% of Blount.
Lehman Brothers Offshore Partners II Ltd., a Bermuda corporation ("LB
Offshore II Ltd."),
3 World Financial Center
200 Vesey Street
New York, NY 10285
LB Offshore II Ltd. is a wholly owned subsidiary of Holdings and a
General Partner of LB OIP II.
Lehman Brothers Merchant Banking Partners II Inc., a Delaware corporation
("LB MBP II Inc."),
3 World Financial Center
200 Vesey Street
New York, NY 10285
LB MBP II Inc. is a wholly owned subsidiary of Holdings and the General
Partner of LB MBP II and a General Partner of LB OIP II.
The names, residence or business address, citizenships and present
principal occupations or employment of the senior executive officers and
directors of the Reporting Persons are set forth in Appendix A hereto.
Neither the Reporting Persons nor to the best knowledge of the Reporting
Persons nor any of the persons listed in Appendix A hereto have during
the last five years (i) been convicted in a criminal proceeding
(excluding traffic violations or similar misdemeanors) or (ii) except as
set forth in Appendix B attached hereto and incorporated herein by
reference has been party to a civil proceeding of a judicial or
administrative body of a 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 mandating activities subject to,
federal or state securities laws or finding any violation with respect to
such laws.
ITEM 3. SOURCE OF FUNDS OR OTHER CONSIDERATION
See Item 4.
ITEM 4. PURPOSE OF TRANSACTION
On April 18, 1999, Blount and Red Dog Acquisition, Corp., a newly formed
indirect wholly owned subsidiary of Holdings ("Newco"), entered into an
Agreement and Plan of Merger and Recapitalization. On August 19, 1999, Newco
merged with and into Blount (the "Merger"), pursuant to which Blount was the
surviving corporation. Following the Merger, Holdings indirectly through LB
MBP II, LB OIP II, Capital Partners III, Capital Partners IV and LB I Group
(collectively, the "Lehman Entities") became the majority owner of Blount. In
the aggregate, the Lehman Entities own approximately 87% of Blount.
As a result of the Merger, the Common Stock was listed on the New York
Stock Exchange, while Blount's Class A Common Stock, par value $.01 per share,
and Class B Common Stock, par value $.01 per share, each of which was
outstanding prior to the Merger, were delisted from the New York Stock
Exchange. The Class A Common Stock and Class B Common Stock similarly became
eligible for termination pursuant to Rule 12(g)(4) of the Securities Exchange
Act of 1934.
In connection with the Merger, Blount has entered into a Credit Agreement
providing for at least $400 million of bank borrowings in accordance with a
group of lenders arranged and syndicated by LBI and another Lehman affiliated
entity. Also in connection with the Merger, Blount has entered into a Purchase
Agreement providing for approximately $325 million in senior subordinated
notes to be placed by LBI as Initial Purchaser. In connection with these
agreements, LBI received customary and usual compensation from Blount.
13
<PAGE>
Because of the Merger, the Reporting Persons have voting control of
Blount. Currently, three out of five directors of Blount are Lehman designees.
The Reporting Persons intend to evaluate continually Blount business,
prospects, financial condition, the market for shares of Common Stock, other
opportunities available to the Reporting Persons, general economic conditions,
money and stock market conditions and other factors and future developments
which the Reporting Persons may deem relevant from time to time. Depending on
these factors, the Reporting Persons may decide to sell all or part of the
shares of Blount that they hold. Any such acquisition or disposition of Shares
may be effected through privately negotiated transactions or otherwise.
Except as set forth in this Item 4, the Reporting Persons do not have any
specific plans or proposals that relate to or would result in any of the
actions specified in clauses (a) through (j) of Item 4 of Schedule 13D.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER
(a) See Item 4.
(b) The Reporting Persons have sole power to vote and dispose of all the
shares of Common Stock.
(c) Not Applicable.
(d) Neither the Reporting Persons nor to the best knowledge of the
Reporting Persons nor any of the persons listed in Appendix A hereto
know of any other person who has the right to receive or the power
to direct the receipt of dividends from, or the proceeds from the
sale of, any shares of Common stock beneficially owned by the
Reporting Persons, other than customers of Lehman Brothers over
whose shares Lehman Brothers may have investment discretion.
(e) Not Applicable.
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH
RESPECT TO SECURITIES OF THE ISSUER.
See Item 4.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS
Agreement and Plan of Merger and Recapitalization dated as of April 18,
1999 between Red Dog Acquisition, Corp. and Blount International, Inc. (filed
as Annex I to the Joint Proxy Statement/Prospectus dated July 15, 1999
included in Blount's Registration Statement on Form S-4, Registration No.
333-82973, and incorporated herein by reference)
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Dated: August 20, 1999
LEHMAN BROTHERS HOLDINGS INC.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Vice President and Secretary
BLOUNT INVESTMENT SPV LLC.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Vice President and Secretary
14
<PAGE>
LEHMAN BROTHERS INC.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Vice President and Secretary
LEHMAN BROTHERS MERCHANT BANKING
PARTNERS II L.P.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Authorized Signatory
LEHMAN BROTHERS OFFSHORE INVESTMENT
PARTNERS II L.P.,
bY: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Authorized Signatory
LEHMAN BROTHERS CAPITAL
PARTNERS III, L.P.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Authorized Signatory
LEHMAN BROTHERS CAPITAL
PARTNERS IV, L.P.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Authorized Signatory
LB I GROUP INC.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Secretary
LEHMAN BROTHERS OFFSHORE
PARTNERS II LTD.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Authorized Signatory
LEHMAN BROTHERS MERCHANT BANKING
PARTNERS II INC.,
By: /s/ Jennifer Marre
---------------------------------
Name: Jennifer Marre
Title: Vice President and Secretary
15
<PAGE>
APPENDIX A
LEHMAN BROTHERS HOLDINGS INC.
BOARD OF DIRECTORS
NAME/TITLE BUSINESS ADDRESS
MICHAEL L. AINSLIE Lehman Brothers Holdings Inc.
Private Investor and former 3 World Financial Center
President and Chief Executive New York, NY 10285
JOHN F. AKERS Lehman Brothers Holdings Inc.
Retired Chairman of 3 World Financial Center
International Business New York, NY 10285
Machines Corporation
ROGER S. BERLIND Lehman Brothers Holdings Inc.
Theatrical Producer 3 World Financial Center
New York, NY 10285
THOMAS H. CRUIKSHANK Lehman Brothers Holdings Inc.
Retired Chairman and Chief 3 World Financial Center
Executive Officer of New York, NY 10285
Halliburton Company
RICHARD S. FULD, JR. Lehman Brothers Holdings Inc.
Chairman and Chief Executive 3 World Financial Center
Officer of Lehman Brothers New York, NY 10285
Holdings Inc.
HENRY KAUFMAN Lehman Brothers Holdings Inc.
President of Henry Kaufman 3 World Financial Center
& Company, Inc. New York, NY 10285
HIDEICHIRO KOBAYASHI* Lehman Brothers Holdings Inc.
General Manager for the 3 World Financial Center
Americas Nippon Life New York, NY 10285
Insurance Co.
JOHN D. MACOMBER Lehman Brothers Holdings Inc.
Principal of JDM Investment 3 World Financial Center
Group New York, NY 10285
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<PAGE>
DINA MERRILL Lehman Brothers Holdings Inc.
Actress and Director and Vice 3 World Financial Center
Chairman of RKO Pictures, New York, NY 10285
Inc.
- -----
All above individuals are citizens of the United States except those
individuals with an * who are citizens of Japan.
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<PAGE>
LEHMAN BROTHERS HOLDINGS INC.
EXECUTIVE OFFICERS
NAME/TITLE BUSINESS ADDRESS
RICHARD S. FULD, JR. Lehman Brothers Holdings Inc.
Chairman and Chief Executive Officer 3 World Financial Center
of Lehman Brothers Holdings Inc. New York, NY 10285
JOHN L. CECIL Lehman Brothers Holdings Inc.
Chief Administrative 3 World Financial Center
and Financial Officer New York, NY 10285
THOMAS A. RUSSO Lehman Brothers Holdings Inc.
Chief Legal Officer 3 World Financial Center
New York, NY 10285
- -----
All above individuals are citizens of the United States
18
<PAGE>
LEHMAN BROTHERS INC.
BOARD OF DIRECTORS
NAME/TITLE BUSINESS ADDRESS
ROGER S. BERLIND Lehman Brothers Holdings Inc.
Theatrical Producer 3 World Financial Center
New York, NY 10285
HOWARD L. CLARK, JR. Lehman Brothers Holdings Inc.
Vice Chairman 3 World Financial Center
New York, NY 10285
FREDERICK FRANK Lehman Brothers Holdings Inc.
Vice Chairman 3 World Financial Center
New York, NY 10285
RICHARD S. FULD, JR. Lehman Brothers Holdings Inc.
Chairman and Chief Executive Officer of 3 World Financial Center
Lehman Brothers Holdings Inc. New York, NY 10285
HARVEY M. KRUEGER Lehman Brothers Holdings Inc.
Vice Chairman 3 World Financial Center
New York, NY 10285
BRUCE R. LAKEFIELD Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
SHERMAN R. LEWIS, JR. Lehman Brothers Holdings Inc.
Vice Chairman 3 World Financial Center
New York, NY 10285
- -----
Above individuals are citizens of the United States except those individuals
with an * who are citizens of the United Kingdom.
19
<PAGE>
LEHMAN BROTHERS INC.
EXECUTIVE OFFICERS
NAME/TITLE BUSINESS ADDRESS
RICHARD S. FULD, JR. Lehman Brothers Holdings Inc.
Chairman and Chief Executive Officer 3 World Financial Center
of Lehman Brothers Holdings Inc. New York, NY 10285
JOHN L. CECIL Lehman Brothers Holdings Inc.
Chief Administrative Officer 3 World Financial Center
New York, NY 10285
THOMAS A. RUSSO Lehman Brothers Holdings Inc.
Chief Legal Officer 3 World Financial Center
New York, NY 10285
DAVID GOLDFARB Lehman Brothers Holdings Inc.
Chief Financial Officer 3 World Financial Center
New York, NY 10285
KEVIN J. MCGILLOWAY Lehman Brothers Holdings Inc.
Chief Information Officer 3 World Financial Center
New York, NY 10285
MARK RUFEH Lehman Brothers Holdings Inc.
Chief Operations Officer 3 World Financial Center
New York, NY 10285
- ------
All above individuals are citizens of the United States.
20
<PAGE>
NAME/TITLE BUSINESS ADDRESS
ELIOT M. FRIED Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
DAVID GOLDFARB Lehman Brothers Holdings Inc.
Controller 3 World Financial Center
New York, NY 10285
ALLAN S. KAPLAN Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
ROCCO F. ANDRIOLA Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
- -----
Above individuals are citizens of the United States.
21
<PAGE>
LEHMAN BROTHERS MERCHANT BANKING PARTNERS II INC.
BOARD OF DIRECTORS
NAME/TITLE BUSINESS ADDRESS
ELIOT M. FRIED Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
ALLAN S. KAPLAN Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
ALAN WASHKOWITZ Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
- -----
Above individuals are citizens of the United States.
22
<PAGE>
LEHMAN BROTHERS OFFSHORE PARTNERS II LTD.
BOARD OF DIRECTORS
NAME/TITLE BUSINESS ADDRESS
ALAN WASHKOWITZ Lehman Brothers Holdings Inc.
Managing Director 3 World Financial Center
New York, NY 10285
- -----
Above individuals are citizens of the United States.
23
<PAGE>
APPENDIX B
Lehman Brothers has been involved in a number of civil proceedings which
concern matters arising in connection with the conduct of its business.
Certain of such proceedings have resulted in findings of violation of federal
or state securities laws. Each of these proceedings was settled by Lehman
Brothers consenting to the entry of an order without admitting or denying the
allegations in the complaint. All of such proceedings are reported and
summarized in the Schedule D to Lehman Brother's Form BD filed with the
Securities and Exchange Commission, which descriptions are hereby incorporated
by reference.
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