SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
S C H E D U L E 13D
Under the Securities Exchange Act of 1934
(Amendment No. )*
GRANITE BROADCASTING CORP.
- --------------------------------------------------------------------------------
(Name of Issuer)
COMMON STOCK, $0.01 PAR VALUE
- --------------------------------------------------------------------------------
(Title of Class of Securities)
387241102
---------
(CUSIP Number)
Copy to:
Mr. Edward Grinacoff
Sandler Capital Management Morrison Cohen Singer & Weinstein, LLP
767 Fifth Avenue, 45th Floor 750 Lexington Avenue
New York, New York 10153 New York, New York 10022
Telephone (212) 754-8100 Telephone (212) 735-8600
- --------------------------------------------------------------------------------
(Name, Address and Telephone Number of Persons
Authorized to Receive Notices and Communications)
February 11, 1998
- --------------------------------------------------------------------------------
(Date of Event which Requires Filing this Statement)
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 space ___.
NOTE: Six copies of this statement, 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).
(Continued on following page(s))
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<PAGE>
CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
Sandler Associates
================================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization New York
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7 Sole Voting Power
Number of 155,000 shares 1.8%
Shares ==================================================================
Beneficially 8 Shared Voting Power
Owned By 0 shares 0%
Each ==================================================================
Reporting 9 Sole Dispositive Power
Person 155,000 shares 1.8%
With ==================================================================
10 Shared Dispositive Power
0 shares 0%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
155,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11)
1.8%
================================================================================
14 Type of Reporting Person*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
2 of 18
<PAGE>
CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
Sandler Capital Management
================================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC,00
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization New York
================================================================================
7 Sole Voting Power
Number of 0 shares 0%
Shares ==================================================================
Beneficially 8 Shared Voting Power
Owned By 300,000 shares 3.4%
Each ==================================================================
Reporting 9 Sole Dispositive Power
Person 0 shares 0%
With ==================================================================
10 Shared Dispositive Power
300,000 shares 3.4%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
300,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11) 3.4%
================================================================================
14 Type of Reporting Person*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
3 of 18
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CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
Michael J. Marocco
================================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization United States
================================================================================
7 Sole Voting Power
Number of 0 shares 0%
Shares ==================================================================
Beneficially 8 Shared Voting Power
Owned By 455,000 shares 5.1%
Each ==================================================================
Reporting 9 Sole Dispositive Power
Person 0 shares 0%
With ==================================================================
10 Shared Dispositive Power
455,000 shares 5.1%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
455,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11)
5.1%
================================================================================
14 Type of Reporting Person*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
4 of 18
<PAGE>
CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
John Kornreich
================================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization United States
================================================================================
7 Sole Voting Power
Number of 0 shares 0%
Shares ==================================================================
Beneficially 8 Shared Voting Power
Owned By 505,000 shares 5.7%
Each ==================================================================
Reporting 9 Sole Dispositive Power
Person 0 shares 0%
With ==================================================================
10 Shared Dispositive Power
505,000 shares 5.7%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
505,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11)
5.7%
================================================================================
14 Type of Reporting Person*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
5 of 18
<PAGE>
CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
Harvey Sandler
================================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization United States
================================================================================
7 Sole Voting Power
Number of 0 shares 0%
Shares ==================================================================
Beneficially 8 Shared Voting Power
Owned By 455,000 shares 5.1%
Each ==================================================================
Reporting 9 Sole Dispositive Power
Person 0 shares 0%
With ==================================================================
10 Shared Dispositive Power
455,000 shares 5.1%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
455,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11)
5.1%
================================================================================
14 Type of Reporting Person*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
6 of 18
<PAGE>
CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
Andrew Sandler
================================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization United States
================================================================================
7 Sole Voting Power
Number of 0 shares 0%
Shares ==================================================================
Beneficially 8 Shared Voting Power
Owned By 455,000 shares 5.1%
Each ==================================================================
Reporting 9 Sole Dispositive Power
Person 0 shares 0%
With ==================================================================
10 Shared Dispositive Power
455,000 shares 5.1%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
455,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11)
5.1%
================================================================================
14 Type of Reporting Person*
IN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
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<PAGE>
CUSIP
No. 387241102 13D
================================================================================
1 Name of Reporting Person
S.S. or I.R.S. Identification No. of Above Person
J.K. Media, L.P.
===============================================================================
2 Check the Appropriate Box if a Member of a Group* (a) [ ]
(b) [ ]
================================================================================
3 SEC Use Only
================================================================================
4 Source of Funds* WC
================================================================================
5 Check Box if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
================================================================================
6 Citizenship or Place of Organization New York
================================================================================
7 Sole Voting Power
Number of 50,000 shares 0.6%
Shares ==================================================================
Beneficially 8 Shared Voting Power
0 shares 0%
Owned By ==================================================================
Each 9 Sole Dispositive Power
Reporting 50,000 shares 0.6%
Person ==================================================================
With 10 Shared Dispositive Power
0 shares 0%
================================================================================
11 Aggregate Amount Beneficially Owned By Each Reporting Person
50,000 shares
================================================================================
12 Check Box if the Aggregate Amount in Row (11) excludes Certain Shares* [ ]
================================================================================
13 Percent of Class Represented by Amount in Row (11)
0.6%
================================================================================
14 Type of Reporting Person*
PN
================================================================================
*SEE INSTRUCTIONS BEFORE FILLING OUT!
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<PAGE>
This statement, dated February 11, 1998, relates to the reporting persons'
acquisition of shares of common stock of Granite Broadcasting Corp.
(the "Issuer").
ITEM 1. Security and Issuer.
(a) Common Stock, $0.01 par value per share (the "Common Stock")
(CUSIP No. 387241102).
(c) Granite Broadcasting Corp.
One Dag Hammarskjold Plaza
New York, New York 10017
ITEM 2. Identity and Background
The reporting persons include, among others, Sandler Capital Management, a
registered investment adviser and a New York general partnership ("SCM"), and
Harvey Sandler, John Kornreich, Michael Marocco and Andrew Sandler, (each, an
"Individual", and collectively, the "Individuals"). SCM holds securities on
behalf of certain managed accounts with respect to which SCM exercises
investment and voting discretion. Each Individual, through a Delaware or New
York corporation that is controlled by such Individual and that serves as a
general partner of SCM, may be deemed to be a beneficial owner of the securities
held by the partnership and such managed accounts. Each of Sandler Associates, a
New York limited partnership and J. K. Media, L.P., a New York limited
partnership, owns shares of Common Stock. Each Individual is a general partner
of Sandler Associates.
1. (a) Sandler Capital Management, a registered investment adviser and a
general partnership organized under the laws of the State of New York.
(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Occupation: Investments.
(d) No.
(e) No.
Harvey Sandler, John Kornreich and Andrew Sandler each control a
Delaware corporation and Michael Marocco controls a New York corporation. Each
of the corporations is a the general partner of SCM.
2. (a) Sandler Associates, a limited partnership organized under
the laws of the State of New York.
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(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Occupation: Investments.
(d) No.
(e) No.
Harvey Sandler, John Kornreich, Michael Marocco and Andrew
Sandler are the general partners of Sandler Associates. The limited partners of
Sandler Associates include certain other investors.
3. (a) Michael J. Marocco, is the sole shareholder of MJDM Corp.
(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Business: General Partner of partnerships and
limited partnerships engaged in the investment business.
(d) No.
(e) No.
(f) Citizenship: United States.
MJDM Corp. is a general partner of SCM.
4. (a) John Kornreich is the majority shareholder of Four JK
Corp. and a general partner of J.K. Media, L.P.
(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Business: General Partner of partnerships and
limited partnerships engaged in the investment business.
(d) No.
(e) No.
(f) Citizenship: United States.
Four JK Corp. is a general partner of SCM.
5. (a) Harvey Sandler is the sole shareholder of ARH Corp.
(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Occupation: General Partner of partnerships
and limited partnerships engaged in the investment business.
(d) No.
(e) No.
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<PAGE>
(f) Citizenship: United States.
ARH Corp. is a general partner of SCM. Harvey Sandler is the
father of Andrew Sandler.
6. (a) Andrew Sandler is the majority member of ALSI, LLC.
(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Occupation: General Partner of partnerships
and limited partnerships engaged in the investment business.
(d) No.
(e) No.
(f) Citizenship: United States.
ALSI, LLC is a general partner of SCM. Andrew Sandler is the
son of Harvey Sandler.
7. (a) J.K. Media, L.P., a limited partnership organized under
the laws of the State of New York ("J.K. Media").
(b) Address:
767 Fifth Avenue, 45th Floor
New York, New York 10153
(c) Principal Occupation: Investments.
(d) No.
(e) No.
John Kornreich is the general partner of J.K. Media.
ITEM 3. Source and Amount of Funds or Other Consideration.
The source of funds for the acquisition of the securities was the
general working capital of the various managed accounts, the general working
capital of Sandler Associates, and the general working capital of J.K. Media.
The amount of funds used in acquiring the shares of Common Stock is
set forth below:
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<PAGE>
Number of Purchase
Shares Price
------------ ------------
Accounts Managed by SCM 300,000 $3,389,155
Sandler Associates 155,000 $2,200,890
J.K. Media 50,000 $ 616,438
ITEM 4. Purpose of Transaction.
The reporting persons acquired their securities for the purposes of
investment.
The reporting persons do not have any plans or proposals which relate to
or would result in any of the actions set forth in subparagraphs (a) through (j)
of Item 4 of Schedule 13D.
ITEM 5. Interests in Securities of the Issuer.
(a) The following list sets forth the aggregate number and
percentage (based on 8,845,657 shares of Common Stock outstanding as reported by
the Issuer to the reporting persons as of February 12, 1998) of outstanding
shares of Common Stock owned beneficially by each reporting person named in Item
2, as of February 12, 1998:
Shares of Percentage of Shares
Common Stock of Common Stock
Name Beneficially Owned Beneficially Owned
- ---- ------------------ ------------------
Sandler Capital Management 300,000(1) 3.4%
Sandler Associates 155,000(2) 1.8%
Michael J. Marocco 455,000(1,2,3) 5.1%
John Kornreich 505,000(1,2,3,4) 5.7%
Harvey Sandler 455,000(1,2,3) 5.1%
Andrew Sandler 455,000(1,2,3) 5.1%
J.K. Media 50,000(4) .6%
(b) By virtue of being the manager of certain accounts owning shares
of Common Stock with respect to which SCM exercises investment discretion, SCM
may be deemed to have shared power to vote and to dispose of 300,000 shares of
Common Stock, representing approximately 3.4% of the outstanding Common Stock.
- --------
(1) Includes 300,000 shares of Common Stock held in accounts managed by SCM.
(2) Includes 155,000 shares of Common Stock owned by Sandler Associates.
(3) The reporting person disclaims beneficial ownership of these securities,
except to the extent of his/her/its equity interest therein.
(4) Includes 50,000 shares of Common Stock owned by J.K. Media.
12 of 18
<PAGE>
By virtue of being the sole shareholder of MJ DM Corp. and a
general partner of Sandler Associates, Michael J. Marocco may be deemed to have
shared power to vote and to dispose of 455,000 shares of Common Stock,
representing approximately 5.1% of the outstanding Common Stock.
By virtue of being the sole shareholder of Four JK Corp. and a
general partner of Sandler Associates and J.K. Media, John Kornreich may be
deemed to have shared power to vote and to dispose of 505,000 shares of Common
Stock, representing approximately 5.7% of the outstanding Common Stock.
By virtue of being the sole shareholder of ARH Corp. and a
general partner of Sandler Associates, Harvey Sandler may be deemed to have
shared power to vote and to dispose of 455,000 shares of Common Stock,
representing approximately 5.1% of the outstanding Common Stock.
By virtue of being a majority member of ALSI, LLC and a
general partner of Sandler Associates, Andrew Sandler may be deemed to have
shared power to vote and to dispose of 455,000 shares of Common Stock,
representing approximately 5.1% of the outstanding Common Stock.
(c) The following is a description of all transactions in the shares
of Common Stock by the persons identified in Item 2 of this Schedule 13D
effected from December 9, 1997 through February 12, 1998, inclusive:
Number of Shares
Purchase or of Common Stock Purchase or
Name of Shareholder Sale Date Purchased or (Sold) Sale Price
- ------------------- --------- ------------------- ----------
Sandler Associates 1/6/98 50,000 $9.625
2/10/98 4,500 $11.5938
2/10/98 500 $11.6399
2/11/98 45,000 $12.1005
2/12/98 5,000 $11.625
Accounts Managed by
Sandler Capital Management 12/9/97 2,500 $9.00
12/22/97 15,500 $9.246
1/13/98 10,000 $9.8125
1/22/98 2,000 $10.50
1/23/98 15,000 $10.75
2/10/98 15,500 $11.5938
2/10/98 5,000 $11.6399
2/11/98 54,500 $12.1005
2/11/98 115,000 $12.1573
J.K. Media 12/31/97 10,000 $9.069
2/10/98 5,000 $11.6399
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<PAGE>
All purchases of Common Stock were effected in open market
transactions in the the over-the-counter market.
(d) No other person has the right to receive or the power to direct
the receipt of dividends from, or the proceeds from the sale of such securities.
(e) Not applicable.
ITEM 6. Contracts, Arrangements, Understandings or
Relationships with Respect to Securities
of the Issuer
Not Applicable.
ITEM 7. Material to be filed as Exhibits.
Exhibit 7.01 Agreement, effective as of February 11, 1998, among
the reporting persons by which they have agreed to
file this Schedule 13D and all necessary amendments,
as required by Rule 13d-1(f).
14 of 18
<PAGE>
Signature
After reasonable inquiry and to the best of their knowledge and
belief, each of the undersigned hereby certifies that the information set forth
in this Schedule is true, complete, and correct.
Date: March 23, 1998
SANDLER ASSOCIATES
By: /s/ Andrew Sandler
-------------------------
Name: Andrew Sandler
Title: General Partner
/s/ Michael J. Marocco
-------------------------
Michael J. Marocco
/s/ John Kornreich
-------------------------
John Kornreich
/s/ Harvey Sandler
-------------------------
Harvey Sandler
/s/ Andrew Sandler
-------------------------
Andrew Sandler
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<PAGE>
SANDLER CAPITAL MANAGEMENT
By: ARH Corp.
By: /s/ Edward Grinacoff
-------------------------------
Name: Edward Grinacoff
Title: Secretary and Treasurer
J.K. MEDIA, L.P.
By: /s/ John Kornreich
-------------------------------
Name: John Kornreich
Title: General Partner
ATTENTION: INTENTIONAL MISSTATEMENTS OR OMISSIONS OF FACT CONSTITUTE FEDERAL
CRIMINAL VIOLATIONS (SEE 18 U.S.C. 1001).
16 of 18
Exhibit 7.01
JOINT FILING AGREEMENT
In accordance with Rule 13d-1(f) under the Securities Exchange Act, as
amended, the undersigned hereby agree to the joint filing on behalf of each of
them on a statement on Schedule 13D (including amendments thereto) with respect
to the Common Stock, par value $.01 per share, of Granite Broadcasting Corp. and
that this Agreement be included as an Exhibit to such joint filing.
IN WITNESS WHEREOF, the undersigned hereby execute this Agreement
effective as of the 11th day of February, 1998.
SANDLER ASSOCIATES
By: /s/ Andrew Sandler
----------------------------------
Name: Andrew Sandler
Title: General Partner
/s/ Michael J. Marocco
------------------------------
Michael J. Marocco
/s/ John Kornreich
------------------------------
John Kornreich
/s/ Harvey Sandler
------------------------------
Harvey Sandler
/s/ Andrew Sandler
------------------------------
Andrew Sandler
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<PAGE>
SANDLER CAPITAL MANAGEMENT
By: ARH Corp.
By: /s/ Edward Grinacoff
-------------------------------
Name: Edward Grinacoff
Title: Secretary and Treasurer
J.K. MEDIA, L.P.
By: /s/ John Kornreich
-------------------------------
Name: John Kornreich
Title: General Partner
ATTENTION: INTENTIONAL MISSTATEMENTS OR OMISSIONS OF FACT CONSTITUTE FEDERAL
CRIMINAL VIOLATIONS (SEE 18 U.S.C. 1001).
18 of 18
