<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20649
SCHEDULE 13D
Under the Securities Exchange Act of 1934 (Amendment No. 2)
General Communication, Inc.
---------------------------
(Name of Issuer)
Class B Common Stock
--------------------
(Title of Class of Securities)
369385 20 8
-----------
(CUSIP Number)
William P. Glasgow
Prime II Management, Inc.
3000 One American Center
600 Congress Avenue
Austin, Texas 78701
(512) 476-7888
---------------------------
(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
December 5, 1997 and February 12, 1998
(Date of Event Which Requires
Filing of this Report)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition which 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 [ ].
Check the following box if a fee is being paid with this report [ ]. (A fee is
not required only if the reporting person: (1) has a previous statement on file
reporting beneficial ownership of more than five percent of the class of
securities described in item 1; and (2) has filed no amendment subsequent
thereto reporting beneficial ownership of less than five percent of such class.
See Rule 13d-7.)
Note: Six copies of this report, including all exhibits, should be filed with
the Commission. See Rule 13d-1(a) 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> 2
Page 2 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME CABLE GROWTH PARTNERS, L.P.
S.S. or I.R.S. Identification No. of Above Person: 74-2454047
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) PN
- --------------------------------------------------------------------------------
<PAGE> 3
Page 3 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME VENTURE I HOLDING, L.P.
S.S. or I.R.S. Identification No. of Above Person: 74-2547375
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) PN
- --------------------------------------------------------------------------------
<PAGE> 4
Page 4 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME II MANAGEMENT GROUP, INC.
S.S. or I.R.S. Identification No. of Above Person: 74-2538778
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization TEXAS
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) CO
- --------------------------------------------------------------------------------
<PAGE> 5
Page 5 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME VENTURE I, INC.
S.S. or I.R.S. Identification No. of Above Person: 74-2382188
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power 293,702
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person 293,702
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) Less than 1%
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) CO
- --------------------------------------------------------------------------------
<PAGE> 6
Page 6 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME CABLE LIMITED PARTNERSHIP
S.S. or I.R.S. Identification No. of Above Person: 74-2435712
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) PN
- --------------------------------------------------------------------------------
<PAGE> 7
Page 7 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME CABLE GP, INC.
S.S. or I.R.S. Identification No. of Above Person: 74-2518134
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) CO
- --------------------------------------------------------------------------------
<PAGE> 8
Page 8 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME VENTURE II, L.P.
S.S. or I.R.S. Identification No. of Above Person: 74-2536635
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) PN
- --------------------------------------------------------------------------------
<PAGE> 9
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CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME INVESTORS, L.P.
S.S. or I.R.S. Identification No. of Above Person: 74-2536634
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power NONE
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power NONE
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person NONE
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) NOT APPLICABLE
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) PN
- --------------------------------------------------------------------------------
<PAGE> 10
Page 10 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME II MANAGEMENT, L.P.
S.S. or I.R.S. Identification No. of Above Person: 74-2609500
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power 171,783
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power 171,783
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person 171,783
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) Less than 1%
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) PN
- --------------------------------------------------------------------------------
<PAGE> 11
Page 11 of 31
CUSIP No. 369385 20 8
1) Name of Reporting Person: PRIME II MANAGEMENT, INC.
S.S. or I.R.S. Identification No. of Above Person: 74-2351797
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group (See Instructions)
(a)
(b) [X]
- --------------------------------------------------------------------------------
3) SEC Use Only
---------------------------------------
- --------------------------------------------------------------------------------
4) Source of Funds NOT APPLICABLE (See Item 3)
- --------------------------------------------------------------------------------
5) Check if Disclosure of Legal Proceedings is Required Pursuant to
Items 2(d) or 2(e):
NOT APPLICABLE
- --------------------------------------------------------------------------------
6) Citizenship or Place of Organization DELAWARE
- --------------------------------------------------------------------------------
Number of Shares (7) Sole Voting Power NONE
Beneficially Owned (8) Shared Voting Power 171,783
by Each Reporting (9) Sole Dispositive Power NONE
Person With (10) Shared Dispositive Power 171,783
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each Reporting Person 171,783
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes Certain Shares : [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Requested by Amount in Row (11) Less than 1%
- --------------------------------------------------------------------------------
14) Type of Reporting Person (See Instructions) CO
- --------------------------------------------------------------------------------
<PAGE> 12
Page 12 of 31
ITEM 1. SECURITY AND ISSUER
This Statement on Schedule 13D relates to the Class B Common Stock, no
par value (the "Class B Common Stock") of General Communication, Inc. (the
"Company"), which, to the best knowledge of the reporting persons jointly
filing this Statement, has its principal executive office at 2550 Denali
Street, Suite 1000, Anchorage, Alaska 99503.
ITEM 2. IDENTITY AND BACKGROUND
The reporting persons jointly filing this Statement containing the
information required by Schedule 13D with respect to the Class B Common Stock
are Prime Cable Growth Partners, L.P., Prime Venture I Holdings, L.P., Prime II
Management Group, Inc., Prime Venture I, Inc., Prime Cable Limited Partnership,
Prime Cable GP, Inc., Prime Venture II, L.P., Prime Investors, L.P., Prime II
Management, L.P., and Prime II Management, Inc. (collectively, the "Prime
Holders" and, individually, a "Prime Holder").
Prime Cable Growth Partners, L.P. is a Delaware limited partnership
("Prime Growth") of which Prime Venture I Holdings, L.P. and Prime Venture I,
Inc. are the general partners. The principal office and principal business
address of Prime Growth is 3000 One American Center, 600 Congress Avenue,
Austin, Texas 78701. The principal business of Prime Growth is to invest
directly and indirectly in cable television systems.
Prime Venture I Holdings, L.P. is a Delaware limited partnership
("Prime Holdings"), of which Prime II Management Group, Inc. and Prime Venture
I, Inc. are the general partners. The principal office and principal business
address of Prime Holdings is 3000 One American Center, 600 Congress Avenue,
Austin, Texas 78701. The principal business of Prime Holdings is to invest
directly and indirectly in cable television systems.
Prime II Management Group, Inc. is a Texas corporation ("PIIMG"). The
principal office and principal business address of PIIMG is 3000 One American
Center, 600 Congress Avenue, Austin, Texas 78701. The principal business of
PIIMG is to act as general partner of Prime Holdings. PIIMG is controlled by
its board of directors.
Prime Venture I, Inc. is a Delaware corporation ("PVI"). The
principal office and principal business address of PVI is 3000 One American
Center, 600 Congress Avenue, Austin, Texas 78701. The principal business of
PVI is to invest directly and indirectly in cable television systems. PVI is
controlled by its board of directors.
Prime Cable Limited Partnership is a Delaware limited partnership
("PCLP"), of which Prime Cable GP, Inc. is the general partner. The principal
office and principal business address of PCLP is 3000 One American Center, 600
Congress Avenue, Austin, Texas 78701. PCLP is currently in the process of
liquidating its assets and intends to dissolve.
<PAGE> 13
Page 13 of 31
Prime Cable GP, Inc. is a Delaware corporation ("PCGP"). The
principal office and principal business address of PCGP is 3000 One American
Center, 600 Congress Avenue, Austin, Texas 78701. The principal business of
PCGP is to act as general partner of PCLP. PCGP is controlled by its board of
directors.
Prime Venture II, L.P. is a Delaware limited partnership ("PVII"), of
which Prime Investors, L.P. is the general partner. The principal office and
principal business address of PVII is 3000 One American Center, 600 Congress
Avenue, Austin, Texas 78701. The principal business of PVII is to invest
directly and indirectly in cable television systems.
Prime Investors, L.P. is a Delaware limited partnership ("Prime
Investors"), of which Prime II Management, L.P. is the general partner. The
principal office and principal business address of Prime Investors is 3000 One
American Center, 600 Congress Avenue, Austin, Texas 78701. The principal
business of Prime Investors is to act as general partner of PVII.
Prime II Management, L.P. is a Delaware limited partnership ("PIIM"),
of which Prime II Management, Inc. is the general partner. The principal
office and principal business address of PIIM is 3000 One American Center, 600
Congress Avenue, Austin, Texas 78701. The principal business of PIIM is to
manage and make direct and indirect investments in cable television systems.
Prime II Management, Inc. is a Delaware corporation ("PIIMI"). The
principal office and principal business address of PIIMI is 3000 One American
Center, 600 Congress Avenue, Austin, Texas 78701. The principal business of
PIIMI is to act as general partner in PIIM. PIIMI is controlled by its board
of directors.
During the last five years, none of the Prime Holders has been
convicted in a criminal proceeding (excluding traffic violations or similar
misdemeanors), and during the last five years, none of the Prime Holders has
been a party to a civil proceeding of a judicial or administrative body of
competent jurisdiction as the result of which it 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.
Prime Holdings, Prime Growth, PCLP, PVII and PIIM (collectively, the
"Prime Voting Group") were, prior to December 5, 1997, parties to the voting
agreement dated October 31, 1996 (the "New Voting Agreement"), which was
incorporated by reference into the Schedule 13D amended hereby. In addition to
the Prime Voting Group, the other original parties to the New Voting Agreement
were: Austin Ventures, L.P. ("AVLP"), William Blair Venture Partners III
Limited Partnership ("Blair"), Centennial Fund III, L.P. ("CFIII"), BancBoston
Capital, Inc. ("BBCI"), First Chicago Investment Corporation ("First Chicago"),
Madison Dearborn Partners V ("MDP"), MCI Telecommunications Corporation
("MCI"), TCI GCI, Inc. ("TCI"), Ronald A. Duncan ("Duncan") and Robert M. Walp
("Walp") (collectively, together with the Prime Voting Group, the "Voting
Group"). The Voting Agreement governs the voting of the Class B Common Stock
and the Class
<PAGE> 14
Page 14 of 31
A Common Stock, no par value (the "Class A Common Stock") owned by the parties
thereto, which originally consisted of the members of the Voting Group. The
Class B Common Stock is convertible on a share-per-share basis into Class A
Common Stock at any time at the option of the owner of the Class B Common
Stock. As a result of the Class B Common Stock's conversion feature into Class
A Common Stock, and as a result of the New Voting Agreement, the Voting Group
might have been deemed to be the beneficial owner in the aggregate of more than
five percent (5%) of the outstanding Class B Common Stock. Pursuant to that
certain 1997 Amendment No. 1 to Voting Agreement dated as of December 5, 1997,
the members of the Prime Voting Group withdrew as parties to the New Voting
Agreement. TCI had previously withdrawn as a member of the Voting Group. In
addition, on February 12, 1998, Prime Growth, Prime Holdings, PCLP and PVII
(together, the "Original Prime Holders") distributed all of the shares of Class
A Common Stock held by them to their respective partners. As a result of such
withdrawal from the New Voting Agreement, no member of the Prime Voting Group
holds five percent (5%) or more of the outstanding Class B Common Stock. (See
Item 5 for the discussion of the Class A Common Stock owned by the Prime
Holders.)
Each Prime Holder states that the filing of this Statement shall not
be construed as an admission that such Prime Holder is, for the purposes of
Section 13(d) or 13(g) of the Act, the beneficial owner of any securities
covered by this Statement. No Prime Holder has a pecuniary interest in shares
of Class B Common Stock. (See Item 5 for the discussion of the Class A Common
Stock owned by the Prime Holders.)
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION
NOT APPLICABLE
ITEM 4. PURPOSE OF TRANSACTION.
NOT APPLICABLE
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER.
(a) Pursuant to Rule 13d-3, for purposes of Section 13(d) and
13(g) of the Act, a beneficial owner of a security includes any person who,
directly or indirectly, through contract, arrangement, understanding,
relationship or otherwise has or shares: (1) voting power which includes the
power to vote, or direct the voting of, such security; and/or (2) investment
power which includes the power to dispose of, or to direct the disposition of,
such security. As described in Item 2, the following direct or indirect
general partners of the Original Prime Holders, who received shares of Class A
Common Stock in connection with the distribution of shares of Class A Common
Stock by the Original Prime Holders, may be deemed to share voting power and
investment power with respect to the shares of Class A Common Stock held by
them, and may thereby be deemed to be beneficial
<PAGE> 15
Page 15 of 31
owners thereof: PIIM, PVI and PIIMI (the "New Prime Holders"). The New Prime
Holders, as a group, do not own five percent (5%) or more of the outstanding
shares of Class A Common Stock.
Each Prime Holder states that the filing of this Statement shall not
be construed as an admission that each such Prime Holder is, for the purposes
of Section 13(d) or 13(g) of the Act, the beneficial owner of any securities
covered by this Statement. No Prime Holder has a pecuniary interest in shares
of Class B Common Stock.
(b) See Items 7-10 on the cover page with respect to each
reporting person jointly filing this Statement.
(c) A 1997 Amendment No. 1 to Voting Agreement was executed and
delivered on or about December 30, 1997 to be effective as of December 5, 1997
by the Company, MCI, Walp, Duncan and PIIM. Pursuant to such 1997 Amendment
No. 1 to Voting Agreement, the Original Prime Holders and PIIM withdrew as
parties to the New Voting Agreement.
On February 12, 1998 the Original Prime Holders distributed all of
their respective shares of Class A Common Stock to their respective partners.
In addition, Prime Investors, PIIMG and PCGP contemporaneously therewith
distributed the shares of Class A Common Stock received by them in connection
with such distribution to their respective partners and shareholders. The
number of shares of Class A Common Stock so distributed is set forth below:
<PAGE> 16
Page 16 of 31
<TABLE>
<CAPTION>
Number of Shares
Distributed on
Prime Holders February 12, 1998
------------- -----------------
<S> <C>
Prime Venture I Holdings, L.P.(1), (2) 1,498,233
Prime Cable Growth Partners, L.P.(2) 1,731,042
Prime Cable Limited Partnership 1,414,398
Prime Venture II, L.P. 785,778
Prime Investors, L.P.(3) 7,858
Prime II Management, Group, Inc.(4) 406,236
Prime Cable GP, Inc.(5) 14,144
</TABLE>
(d) No person other than the New Prime Holders has the right to
receive or the power to direct the receipt of dividends from, or the proceeds
from the sale of, the securities reported herein.
(e) As a result of the transactions described in Items 2 and 5(c)
above, on February 12, 1998, the Prime Holders ceased to be deemed to be
beneficial owners of more than five percent (5%) of the Class B Common Stock.
As a consequence, the Prime Holders are no longer subject to the filing
requirements of Rule 13d.
- ------------------
(1) Includes shares received in its capacity as a partner of Prime
Cable Growth Partners, L.P.
(2) Includes shares received in its capacity as a partner of Prime
Investors, L.P.
(3) Shares received in its capacity as a partner of Prime Venture II,
L.P.
(4) Shares received in its capacity as a general partner of Prime
Venture I Holdings, L.P.
(5) Shares received in its capacity as a partner of Prime Cable
Limited Partnership
<PAGE> 17
Page 17 of 31
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO SECURITIES OF THE ISSUER.
A 1997 Amendment No. 1 to Voting Agreement was executed and delivered
as of December 5, 1997 by the Company, MCI, Walp, Duncan and PIIM. Pursuant to
such 1997 Amendment No. 1 to Voting Agreement, the Original Prime Holders and
PIIM withdrew as parties to the New Voting Agreement.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.
A true, complete and correct copy of 1997 Amendment No. 1 to Voting
Agreement dated December 5, 1997 is attached hereto as Exhibit A.
The Joint Filing Agreement is hereby filed as Exhibit B to this
Statement and incorporated by reference herein.
SIGNATURE
After reasonable inquiry and to the best of the knowledge and belief
of each of the undersigned, each of the undersigned hereby certify that the
information set forth in this Statement is true, complete and correct.
Dated: February 19, 1998.
PRIME II MANAGEMENT, L.P.
By: Its General Partner
Prime II Management, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME II MANAGEMENT, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
<PAGE> 18
Page 18 of 31
PRIME VENTURE I HOLDINGS, L.P.
By: Its General Partners
Prime Venture I, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
and
Prime II Management Group, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME VENTURE I, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME II MANAGEMENT GROUP, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
<PAGE> 19
Page 19 of 31
PRIME CABLE GROWTH PARTNERS, L.P.
By: Its General Partners
Prime Venture I, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: WILLIAM P. GLASGOW
-------------------------------------
Title: President
------------------------------------
and
Prime Venture I Holdings, L.P.
By: Its General Partners
Prime Venture I, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: WILLIAM P. GLASGOW
-----------------------------
Title: President
----------------------------
and
Prime II Management Group, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: WILLIAM P. GLASGOW
-----------------------------
Title: President
----------------------------
<PAGE> 20
Page 20 of 31
PRIME CABLE LIMITED PARTNERSHIP
By: Its General Partner
Prime Cable GP, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME CABLE GP, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME VENTURE II, L.P.
By: Its General Partner
Prime Investors, L.P.
By: Its General Partner
Prime II Management, L. P.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
By: Its General Partner
Prime II Management, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
<PAGE> 21
Page 21 of 31
PRIME INVESTORS, L.P.
By: Its General Partner
Prime II Management, L. P.
By: Its General Partner
Prime II Management, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
The original report shall be signed by each person on whose behalf the
report is filed or his authorized representative. If the report is signed on
behalf of a person by his authorized representative (other than an executive
officer or general partner of this filing person), evidence of the
representative's authority to sign on behalf of such person shall be filed with
the report, provided, however that a power of attorney for this purpose which
is already on file with the Commission may be incorporated by reference. The
name and any title of each person who signs the report shall be typed or
printed beneath his signature hereby filed as Exhibits to this Statement and
hereby incorporated by reference:
ATTENTION: INTENTIONAL MISSTATEMENTS OR OMISSIONS OF FACT CONSTITUTE
FEDERAL CRIMINAL VIOLATIONS (SEE 18 U.S.C. 1001).
<PAGE> 22
Page 22 of 31
APPENDIX A
DIRECTORS AND EXECUTIVE OFFICERS OF
CERTAIN PRIME HOLDERS
<PAGE> 23
Page 23 of 31
DIRECTORS AND EXECUTIVE OFFICERS OF
PRIME II MANAGEMENT, INC.
<TABLE>
<CAPTION>
NAME RESIDENCE OR PRINCIPAL OCCUPATION NAME AND ADDRESS
BUSINESS ADDRESS OR EMPLOYMENT OF CORPORATION IN WHICH
SUCH EMPLOYMENT IS CONDUCTED
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Robert W. Hughes 3000 One American Center Director and Chairman of the Prime II Management, Inc.
600 Congress Avenue Board of Prime II Management, 3000 One American Center
Austin, Texas 78701 Inc. 600 Congress Avenue
Austin, Texas 78701
Michael Sherwin Mid-West Holdings General Partner of Mid-West Mid-West Holdings Limited Partnership
Limited Partnership Holdings Limited Partnership Corporate Ninety-Suite 370
Corporate Ninety-Suite 370 2550 Som Center Road
2550 Som Center Road Willoughby Hills, OH 44094
Willoughby Hills, OH 44094
Gregory S. Marchbanks 3000 One American Center Director and Chief Executive Officer Prime II Management, Inc.
600 Congress Avenue of Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Paul-Henri Denuit Rue des Deux Eglises 26 Director, Coditel Invest B.V. and Coditel Invest B.V./Coditel U.S., Inc.
Brussels, Belgium 1040 President, Coditel U.S., Inc. Rue des Deux Eglises 26
Brussels, Belgium 1040
Brian Greenspun 800 South Valley View Blvd. Newspaper Publisher & Editor Las Vegas Sun, Inc.
Las Vegas, NV 89107 President, Las Vegas Sun, Inc. 800 South Valley View Blvd.
Las Vegas, NV 89107
William P. Glasgow 3000 One American Center President, Prime II Management, Inc. Prime II Management, Inc.
600 Congress Avenue 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Jerry D. Lindauer 3000 One American Center Senior Vice President Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Allan R. Barnes 3000 One American Center Senior Vice President and Chief Prime II Management, Inc.
600 Congress Avenue Operating Officer, Prime II 3000 One American Center
Austin, Texas 78701 Management, Inc. 600 Congress Avenue
Austin, Texas 78701
Daniel J. Pike 3000 One American Center Senior Vice President Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
</TABLE>
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors) in the last five years.
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been a party to a civil proceeding of a judicial or
administrative body of 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 prohibiting or mandating activities subject to, federal or
state securities laws or finding any violations with respect to such laws.
To the best of each of the Reporting Person's knowledge, all of the above
individuals are United States citizens with the exception of #4 (Paul-Henri
Denuit), who is a citizen of Belgium.
<PAGE> 24
Page 24 of 31
DIRECTORS AND EXECUTIVE OFFICERS OF
PRIME CABLE GP, INC.
<TABLE>
<CAPTION>
NAME RESIDENCE OR PRINCIPAL OCCUPATION NAME AND ADDRESS
BUSINESS ADDRESS OR EMPLOYMENT OF CORPORATION IN WHICH
SUCH EMPLOYMENT IS CONDUCTED
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Robert W. Hughes 3000 One American Center Director and Chairman of Prime II Management, Inc.
600 Congress Avenue the Board of Prime II Management, 3000 One American Center
Austin, Texas 78701 Inc. 600 Congress Avenue
Austin, Texas 78701
Michael Sherwin Mid-West Holdings General Partner of Mid-West Mid-West Holdings Limited Partnership
Limited Partnership Holdings Limited Partnership Corporate Ninety, Suite 370
Corporate Ninety, Suite 370 2550 Som Center Road
2550 Som Center Road Willoughby Hills, OH 44094
Willoughby Hills, OH 44094
John H. Wilson, III 1500 Three Lincoln Center President, U.S. Equity Corp. U.S. Equity Corporation
5430 LBJ Freeway 1500 Three Lincoln Center
Dallas, Texas 75240-2387 5430 LBJ Freeway
Dallas, Texas 75240-2387
Douglas H. Dittrick 1200 East Ridgewood Ave. President, Douglas Communications Douglas Communications
East Wing, Suite 3D Corporation II Corporation II
Ridgewood, NJ 07450 1200 East Ridgewood Ave.
East Wing, Suite 3D
Ridgewood, NJ 07450
Nathan M. Avery Galveston-Houston Co. Chairman, President and CEO of Galveston-Houston Company
P.O. Box 2207 Galveston-Houston Company P.O. Box 2207
Houston, Texas 77252 Houston, Texas 77252
Gregory S. Marchbanks 3000 One American Center Director and Chief Executive Officer Prime II Management, Inc.
600 Congress Avenue of Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
William P. Glasgow 3000 One American Center President, Prime II Management, Inc. Prime II Management, Inc.
600 Congress Avenue 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Jerry D. Lindauer 3000 One American Center Senior Vice President Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Allan R. Barnes 3000 One American Center Senior Vice President and Chief Prime II Management, Inc.
600 Congress Avenue Operating Officer, Prime II 3000 One American Center
Austin, Texas 78701 Management, Inc. 600 Congress Avenue
Austin, Texas 78701
Daniel J. Pike 3000 One American Center Senior Vice President Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
</TABLE>
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors) in the last five years.
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been a party to a civil proceeding of a judicial or
administrative body of 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 prohibiting or mandating activities subject to, federal or
state securities laws or finding any violations with respect to such laws.
To the best of each of the Reporting Person's knowledge, all of the above
individuals are United States citizens.
<PAGE> 25
Page 25 of 31
DIRECTORS AND EXECUTIVE OFFICERS OF
PRIME II MANAGEMENT GROUP, INC.
<TABLE>
<CAPTION>
NAME RESIDENCE OR PRINCIPAL OCCUPATION NAME AND ADDRESS
BUSINESS ADDRESS OR EMPLOYMENT OF CORPORATION IN WHICH
SUCH EMPLOYMENT IS CONDUCTED
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Gregory S. Marchbanks 3000 One American Center Director and Chief Executive Officer Prime II Management, Inc.
600 Congress Avenue of Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
William P. Glasgow 3000 One American Center President, Prime II Management, Inc. Prime II Management, Inc.
600 Congress Avenue 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Jerry D. Lindauer 3000 One American Center Senior Vice President Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Allan R. Barnes 3000 One American Center Senior Vice President and Chief Prime II Management, Inc.
600 Congress Avenue Operating Officer, Prime II 3000 One American Center
Austin, Texas 78701 Management, Inc. 600 Congress Avenue
Austin, Texas 78701
Daniel J. Pike 3000 One American Center Senior Vice President, Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
</TABLE>
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors) in the last five years.
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been a party to a civil proceeding of a judicial or
administrative body of 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 prohibiting or mandating activities subject to, federal or
state securities laws or finding any violations with respect to such laws.
To the best of each of the Reporting Person's knowledge, all of the above
individuals are United States citizens.
<PAGE> 26
Page 26 of 31
DIRECTORS AND EXECUTIVE OFFICERS OF
PRIME VENTURE I, INC.
<TABLE>
<CAPTION>
NAME RESIDENCE OR PRINCIPAL OCCUPATION NAME AND ADDRESS
BUSINESS ADDRESS OR EMPLOYMENT OF CORPORATION IN WHICH
SUCH EMPLOYMENT IS CONDUCTED
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Robert W. Hughes 3000 One American Center Director and Chairman of the Prime II Management, Inc.
600 Congress Avenue the Board of Prime II Management, 3000 One American Center
Austin, Texas 78701 Inc. 600 Congress Avenue
Austin, Texas 78701
J. Michael Bell The Groos Bank North Bldg. Managing General Partner Southwest Venture Partners II
Suite 345 Southwest Venture Partners II The Groos Bank North Building, Ste 345
16414 San Pedro Avenue 16414 San Pedro Avenue
San Antonio, Texas 78232 San Antonio, Texas 78232
Jack Crosby 327 Congress Avenue Chairman of the Board and Tescorp, Inc.
Suite 200 Chief Executive Officer of 327 Congress Avenue, Ste.200
Austin, Texas 78701 Tescorp, Inc. Austin, Texas 78701
Paul-Henri Denuit Rue des Deux Eglises 26 Director, Coditel Invest B.V. and Coditel Invest B.V./Coditel U.S., Inc.
Brussels, Belgium 1040 President, Coditel U.S., Inc. Rue des Deux Eglises 26
Brussels, Belgium 1040
Michael Sherwin Mid-West Holdings General Partner of Mid-West Mid-West Holdings Limited Partnership
Limited Partnership Holdings Limited Partnership Corporate Ninety, Suite 370
Corporate Ninety, Suite 370 2550 Som Center Road
2550 Som Center Road Willoughby Hills, OH 44094
Willoughby Hills, OH 44094
Michael J. Marocco General Motors Bldg. Managing Director, Sandler Sandler Capital Management
767 Fifth Avenue Capital Management 767 Fifth Avenue
New York, NY 10153 New York, NY 10153
Brian Greenspun 800 South Valley View Blvd. Newspaper Publisher & Editor Las Vegas Sun, Inc.
Las Vegas, NV 89107 President, Las Vegas Sun, Inc. 800 South Valley View Blvd.
Las Vegas, NV 89107
Gregory S. Marchbanks 3000 One American Center Director and Chief Executive Officer Prime II Management, Inc.
600 Congress Avenue of Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
William P. Glasgow 3000 One American Center President, Prime II Management, Inc. Prime II Management, Inc.
600 Congress Avenue 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
Allan R. Barnes 3000 One American Center Senior Vice President and Chief Prime II Management, Inc.
600 Congress Avenue Operating Officer, Prime II 3000 One American Center
Austin, Texas 78701 Management, Inc. 600 Congress Avenue
Austin, Texas 78701
Daniel J. Pike 3000 One American Center Senior Vice President Prime II Management, Inc.
600 Congress Avenue Prime II Management, Inc. 3000 One American Center
Austin, Texas 78701 600 Congress Avenue
Austin, Texas 78701
</TABLE>
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors) in the last five years.
To the best of each of the Reporting Person's knowledge, none of the foregoing
individuals has a party to a civil proceeding of a judicial or administrative
body of 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
prohibiting or mandating activities subject to, federal or state securities laws
or finding any violations with respect to such laws.
To the best of each of the Reporting Person's knowledge, all of the above
individuals are United States citizens with the exception of #4 (Paul-Henri
Denuit), who is a citizen of Belgium.
<PAGE> 27
Page 27 of 31
APPENDIX B
AGGREGATE NUMBER OF SHARES
WITH RESPECT TO WHICH
A PRIME HOLDER OF CLASS A COMMON STOCK
HAS AN INVESTMENT POWER OR A PECUNIARY INTEREST
<TABLE>
<CAPTION>
Name Shares of Class A Common Stock
---- ------------------------------
<S> <C>
Prime Cable Growth Partners, L.P. -0-
Prime Venture I Holdings, L.P. -0-
Prime II Management Group, Inc. -0-
Prime Venture I, Inc. 293,702
Prime Cable Limited Partnership -0-
Prime Cable GP, Inc. -0-
Prime Venture II, L.P. -0-
Prime Investors, L.P. -0-
Prime II Management, L.P. 29,119
Prime II Management, Inc. 142,664
</TABLE>
<PAGE> 28
Page 28 of 31
EXHIBIT A
Amendment No. 1 to Voting Agreement
Attached.
<PAGE> 29
1997 Amendment No. 1 to Voting Agreement
This amendment ("Amendment") dated as of December 5, 1997 to that
certain Voting Agreement ("Voting Agreement") entered into effective as of
October 31, 1996 by and among Prime II Management, L.P. ("Prime"), as the
designated agent for the parties named on Annex 1 attached thereto, MCI
Telecommunications Corporation, Ronald A. Duncan, Robert M. Walp, and TCI GCI,
Inc. Terms used herein and not otherwise defined shall have the meanings
ascribed to them in the Voting Agreement.
Background: The Prime Sellers became stockholders of GCI on October 31, 1996
(the "Acquisition Date"), and GCI had agreed to file and keep effective a
registration statement for a period of two years after the Acquisition Date with
respect to the Shares owned by the Prime Sellers. GCI has not maintained the
effectiveness of such registration statement, and in lieu of the registration of
such Shares by GCI at this time, GCI and the parties hereto who currently are
Parties (the "Current Parties") to the Voting Agreement, have agreed to the
withdrawal of Prime and the Prime Sellers as Parties to the Voting Agreement,
all on the terms and conditions set forth herein.
The Current Parties have also agreed to the withdrawal of TCI GCI as a
Party to the Voting Agreement in that it has sold all of the 590,043 shares of
common stock of the Company which constituted the portion of the Shares which
TCI GCI held at the time of execution of the Voting Agreement.
The Current Parties consist of the following:
(1) MCI Telecommunications Corporation;
(2) Ronald A. Duncan; and
(3) Robert M. Walp
In consideration of the mutual covenants and conditions contained in
this Amendment, the Current Parties agree as follows:
1.(a) Clause (1) of Section 1 of the Voting Agreement, which states the
number of Shares held by Prime (i.e., owned by the Prime Sellers) that are
subject to the Voting Agreement, is hereby deleted, and the Shares shown as
having been held by Prime and owned by the Prime Sellers are hereby withdrawn
from the Voting Agreement and Prime and each of the Prime Sellers hereby cease
to be Parties to the Voting Agreement. Prime and Prime Sellers no longer have
any rights or obligations under the Voting Agreement, except as provided in
Paragraphs numbered 2 and 4 below.
1.(b) Clause (5) of Section 1 of the Voting Agreement, which states the
number of Shares held by TCI GCI that are subject to the Voting Agreement is
hereby deleted, and the Shares shown as having been held by TCI GCI are hereby
withdrawn from the Voting Agreement, and TCI GCI hereby ceases to be a Party to
the Voting Agreement. TCI GCI no longer has any rights or obligations under the
Voting Agreement.
<PAGE> 30
2.(a) Clause (C) of Section 2(a)(1) of the Voting Agreement is hereby
deleted in its entirety and left intentionally blank.
2.(b) Clause (D) of Section 2(a)(1) of the Voting Agreement is hereby
amended to read in its entirety as follows: "Prime shall be entitled to
recommend one Nominee for so long as that certain Management Agreement ("Prime
Management Agreement") between Prime and GCI dated October 31, 1996 is in full
force and effect, and not thereafter."
2.(c) Section 2(a)(2) of the Voting Agreement is hereby deleted in its
entirety and left intentionally blank.
3. Section 2(b) of the Voting Agreement is hereby amended so as to
provide that for Nominees allocated to Prime there would be only one Nominee in
Class III, instead of one in Class II and one in Class III. Section 2(b) of the
Voting Agreement is hereby further amended by deleting the last phrase of that
section of the Voting Agreement providing for an allocation of Nominees to TCI
GCI.
4.(a) Section 5(b) of the Voting Agreement is hereby amended by
deleting the subitem (4) relating to shares held by TCI GCI.
4.(b) Section 5(d) of the Voting Agreement is hereby amended to read in
its entirety as follows: "Each Party shall vote for Prime's Nominee pursuant to
Section 2(a)(1) above, for so long as the Prime Management Agreement is in
effect and notwithstanding the fact that such Party ceases to be a Party under
the Voting Agreement.
5. The proviso in the second sentence of Section 6 of the Voting
Agreement is hereby deleted.
6. Section 8 of the Voting Agreement is hereby amended by deleting
reference to Prime and to TCI GCI as Parties to the Voting Agreement.
2
<PAGE> 31
EXECUTED to be effective as of the date first above mentioned.
PRIME II MANAGEMENT, L.P.
BY Prime II Management, Inc.
Its General Partner
By: /s/ WILLIAM P. GLASGOW
--------------------------------------
Its: President
-------------------------------------
MCI TELECOMMUNICATIONS CORPORATION
By: Ronald A. Duncan
-------------------------------------
Its:
-------------------------------------
/s/ RONALD A. DUNCAN
-----------------------------------------
/s/ ROBERT M. WALP
-----------------------------------------
Robert M. Walp
GENERAL COMMUNICATION, INC.
By: /s/ JOHN M. LOWBER
-------------------------------------
John M. Lowber
Its: Senior Vice President
Chief Financial Officer
-------------------------------------
3
<PAGE> 32
Page 29 of 31
EXHIBIT B
JOINT FILING AGREEMENT
---------------------------------------
In accordance with Rule 13d-1(f) under the Securities Exchange Act of
1934, as amended, the undersigned hereby agree to the joint filing on behalf of
each of them of a statement on Schedule 13D (including amendments thereto) with
respect to the Class A Common Stock, no par value, of General Communication,
Inc. and that this Agreement be included as an Exhibit to such joint filing.
IN WITNESS WHEREOF, the parties hereto have duly executed this
Agreement as of the 19th day of February, 1998.
PRIME II MANAGEMENT, L.P.
By: Its General Partner
Prime II Management, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME II MANAGEMENT, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME VENTURE I HOLDINGS, L.P.
By: Its General Partners
Prime Venture I, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
and
Prime II Management Group, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
<PAGE> 33
Page 30 of 31
PRIME VENTURE I, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME II MANAGEMENT GROUP, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME CABLE GROWTH PARTNERS, L.P.
By: Its General Partners
Prime Venture I, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
and
Prime Venture I Holdings, L.P.
By: Its General Partners
Prime Venture I, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
and
Prime II Management Group, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
<PAGE> 34
Page 31 of 31
PRIME CABLE LIMITED PARTNERSHIP
By: Its General Partner
Prime Cable GP, Inc.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME CABLE GP, INC.
By: /s/ WILLIAM P. GLASGOW
---------------------------------------
Name: William P. Glasgow
-------------------------------------
Title: President
------------------------------------
PRIME VENTURE II, L.P.
By: Its General Partner
Prime Investors, L.P.
By: Its General Partner
Prime II Management, L. P.
By: Its General Partner
Prime II Management, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
PRIME INVESTORS, L.P.
By: Its General Partner
Prime II Management, L. P.
By: Its General Partner
Prime II Management, Inc.
By: /s/ WILLIAM P. GLASGOW
-------------------------------
Name: William P. Glasgow
-----------------------------
Title: President
----------------------------
