SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
(Rule 13d-101)
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 1)
Coastal Physician Group, Inc.
(Name of Issuer)
Common Stock, par value $.01 per share
(Title of Class of Securities)
19049510
(CUSIP Number)
Steven M. Scott, M.D.
3711 Stoneybrook Drive
Durham, North Carolina 27705
(919) 383-0355
(Name, Address and Telephone Number of Person Authorized
to Receive Notices and Communications)
With a copy to:
Daniel E. Stoller, Esq.
Skadden, Arps, Slate, Meagher & Flom LLP
919 Third Avenue
New York, New York 10022
(212) 735-3000
October 23, 1997
(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule
13G to report the acquisition 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 ( ).
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 sent.
The information required in 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, as amended (the "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).
13D
CUSIP NO. 19049510
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Steven M. Scott, M.D.
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
17,765,136 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 654,909 Common Shares
EACH ----------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 17,765,136 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
654,909 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
18,420,045 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
51.0%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Scott Medical Partners, LLC
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Tennessee
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
5,434,977 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 0 Common Shares
EACH ----------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 5,434,977 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
0 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
5,434,977 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
15.0%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
The Signal Fund, L.P.
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITiZENSHIP OR PLACE OF ORGANIZATION
Tennessee
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
815,000 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 0 Common Shares
EACH ----------------------------------------------
REPORTING
PERSON 9 SOLE DISPOSITIVE POWER
WITH
815,000 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
0 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
815,000 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.3%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
The Steven M. Scott Family Limited Partnership
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Tennessee
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
535,766 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 0 Common Shares
EACH ----------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 535,766 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
0 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
535,766 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.5%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Century American Insurance Company
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Tennessee
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
303,334 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 0 Common Shares
EACH ----------------------------------------------
REPORTING
PERSON 9 SOLE DISPOSITIVE POWER
WITH
303,334 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
0 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
303,334 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.8%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
The Scott Family Foundation, Inc.
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Florida
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
39,110 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 0 Common Shares
EACH ----------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 39,110 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
0 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
39,110 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.1%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
S&WLP
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) (X)
(b) ( )
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS
OO
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS ( )
REQUIRED PURSUANT TO ITEM 2(d) OR 2(e)
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
Tennessee
- ---------------------------------------------------------------------------
7 SOLE VOTING POWER
119,143 Common Shares
NUMBER OF ----------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY 0 Common Shares
EACH ----------------------------------------------
REPORTING 9 SOLE DISPOSITIVE POWER
PERSON
WITH 119,143 Common Shares
----------------------------------------------
10 SHARED DISPOSITIVE POWER
0 Common Shares
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
119,143 Common Shares
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* ( )
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.3%
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
This statement amends and supplements the Schedule 13D
relating to the beneficial ownership of Common Stock, par value
$.01 per share (the "Common Stock") of Coastal Physician Group,
Inc., a Delaware corporation (the "Issuer"), filed jointly with
the Securities and Exchange Commission by and on behalf of Steven
M. Scott, M.D., an individual ("Dr. Scott"); Scott Medical
Partners, LLC, a limited liability company of which Dr. Scott is
a Member; The Signal Fund, L.P., a limited partnership for
which Dr. Scott holds investment power through Scott Medical
Partners, LLC; The Steven M. Scott Family Limited Partnership,
a limited partnership of which Dr. Scott is the General Partner;
Century American Insurance Company, a corporation of which Dr.
Scott is the sole owner; The Scott Family Foundation, Inc., a
private foundation of which Dr. Scott is the sole trustee; and
S&WLP, a limited partnership of which Dr. Scott is the sole
Limited Partner. A Joint Filing Agreement is attached hereto as
Exhibit 1 with respect to the filing parties. Except as
disclosed herein there has been no change in the information
previously reported on Schedule 13D.
ITEM 2. IDENTITY AND BACKGROUND
David B. Plyler is no longer the General Partner of The
Signal Fund, L.P. The sole General Partner of The Signal Fund,
L.P. is Bertram E. Walls, M.D. Certain information concerning
Dr. Walls is included in Schedule A previously filed with this
Schedule 13D.
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
Dr. Scott currently may be deemed to be the beneficial owner
of 18,420,045 shares, or 51.0%, of the Issuer's Common Stock.
Such percentage ownership has been calculated by Dr.Scott as
follows: Dr. Scott understands that the Issuer currently has
outstanding 36,119,073 shares of Common Stock after giving effect
to the conversions of shares of Convertible Preferred Stock as
described below in this Item 3. The Issuer previously issued to
Dr. Scott an aggregate of 1,159,654 shares of Convertible
Preferred Stock, each of which was generally entitled to ten
votes per share and, subject to prior shareholder approval, was
convertible into ten shares of Common Stock, or an aggregate of
11,637,550 shares of Common Stock. In addition, the Company
issued to Dr. Walls 4,101 shares of Convertible Preferred Stock
which Dr. Scott purchased from Dr. Walls.
On August 29, 1997 at the 1997 Annual Meeting of
Shareholders of the Issuer, the shareholders voted to approve the
issuance of Common Stock of the Issuer upon the conversion of the
Series B Convertible Preferred Stock, par value $.01 per share
(the "Series B Shares"), the conversion of the Series A
Convertible Preferred Stock, par value $.01 per share (the
"Series A Shares") and the conversion of the Series C Convertible
Preferred Stock, par value $.01 per share (the "Series C
Shares"). On October 23, 1997, the 32,739 shares of the Issuer's
Series B Shares were converted into 327,390 shares of Common
Stock of the Issuer, the 46,033 shares of the Issuer's Series A
Shares were converted into 460,330 shares of Common Stock of the
Issuer, and the 1,084,983 shares of the Issuer's Series C Shares
were converted into 10,849,830 shares of Common Stock of the
Issuer.
Of the shares of Common Stock beneficially owned by Dr.
Scott, all shares were acquired by Dr. Scott from the time he
founded the Issuer in 1977 to the Issuer's initial public
offering in 1991 through the use of personal funds, except that
100 shares were acquired by Dr. Scott following the Issuer's
initial public offering via open market purchases through the use
of personal funds, 10,849,830 shares were acquired as a result of
the conversion of the Series C Shares described above, an
aggregate of 466,690 shares were acquired directly from the
Issuer in two transactions previously described in this Item 3 of
Schedule 13D, and 2,392 shares are subject to option and
exercisable within 60 days.
ITEM 4. PURPOSE OF TRANSACTION.
Item 4 of this Schedule 13D is revised by restating the
first sentence of the last paragraph thereof to read as follows:
Notwithstanding the foregoing, Dr. Scott reserves the right
to purchase or dispose of additional shares of the Issuer's
securities in the future and to adopt at some future date the
plans and proposals described above in paragraphs (a) - (j) of
this Item 4.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER.
(a) As discussed above in Item 3, Dr. Scott currently may
be deemed to be the beneficial owner of 18,420,045
shares, or 51.0%, of the Issuer's Common Stock. Such
shares are the aggregate number of shares included in
the Schedule 13D, and are held as set forth below:
Name of Person/Entity Shares Owned Percent of Outstanding
Dr. Scott 11,172,715 30.9%
Scott Medical 5,434,977 15.0%
The Signal Fund, L.P. 815,000 2.3%
The Steven M. Scott 535,766 1.5%
Family Limited
Partnership
Century American 303,334 0.8%
The Scott Family 39,110 0.1%
Foundation, Inc.
S&WLP 119,143 0.3%
(b) Of the 18,420,045 shares of Common Stock beneficially
owned by Dr. Scott, Dr. Scott (i) has sole voting power
over 17,765,136 shares, (ii) shares voting power over
654,909 shares with Dr. Walls, (iii) has sole
dispositive power over 17,765,136 shares, and (iv)
shares dispositive power over 654,909 shares with Dr.
Walls.
(c) Except for the conversion of the Series C Shares as
described in Item 3 above, during the past 60 days Dr.
Scott has not engaged in any transactions in the
Issuer's securities.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.
Exhibit 1: Joint Filing Agreement of Steven M.
Scott, M.D., Scott Medical Partners,
LLC, The Signal Fund, L.P., The Steven
M. Scott Family Limited Partnership,
Century American Insurance Company, The
Scott Family Foundation, Inc. and S&WLP,
pursuant to Rule 13d-1(f).
SIGNATURE
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.
October 30, 1997
/s/ Steven M. Scott, M.D.
____________________________________
Steven M. Scott, M.D.
SCOTT MEDICAL PARTNERS, LLC
By: /s/ Bertram E. Walls, M.D.
_________________________________
Name: Bertram E. Walls, M.D.
Title: Manager
THE SIGNAL FUND, L.P.
By: /s/ Bertram E. Walls, M.D.
_________________________________
Name: Bertram E. Walls, M.D.
Title: General Partner
THE STEVEN M. SCOTT FAMILY LIMITED PARTNERSHIP
By: /s/ Steven M. Scott, M.D.
_________________________________
Name: Steven M. Scott, M.D.
Title: General Partner
CENTURY AMERICAN INSURANCE COMPANY
By: /s/ Bertram E. Walls, M.D.
_________________________________
Name: Bertram E. Walls, M.D.
Title: Chairman of the Board of Directors
THE SCOTT FAMILY FOUNDATION, INC.
By: /s/ Steven M. Scott, M.D.
__________________________________
Name: Steven M. Scott, M.D.
Title: President
S&WLP
By: /s/ Bertram E. Walls, M.D.
__________________________________
Name: Bertram E. Walls, M.D.
Title: General Partner
Exhibit 1
Joint Filing Agreement
In accordance with Rule 13d-1(f) under the Securities
Exchange Act of 1934, as amended, the persons named below agree
to the joint filing on behalf of each of them of Amendment No.1
to Schedule 13D (including any amendments thereto) with respect
to the common stock, par value $.01 per share, of Coastal
Physician Group, Inc., a Delaware corporation, and further agree
that this Joint Filing Agreement be included as an exhibit to
such joint filings. In evidence thereof, the undersigned
parties, each being duly authorized, hereby execute this
Agreement on the 30th day of October, 1997.
/s/ Steven M. Scott, M.D.
___________________________________
Steven M. Scott, M.D.
SCOTT MEDICAL PARTNERS, LLC
By: /s/ Bertram E. Walls, M.D.
______________________________
Name: Bertram E. Walls, M.D.
Title: Manager
THE SIGNAL FUND, L.P.
By: /s/ Bertram E. Walls, M.D.
_______________________________
Name: Bertram E. Walls, M.D.
Title: General Partner
THE STEVEN M. SCOTT FAMILY LIMITED PARTNERSHIP
By: /s/ Steven M. Scott, M.D.
_____________________________
Name: Steven M. Scott, M.D.
Title: General Partner
CENTURY AMERICAN INSURANCE COMPANY
By: /s/ Bertram E. Walls, M.D.
__________________________________
Name: Bertram E. Walls, M.D.
Title: Chairman of the Board of Directors
THE SCOTT FAMILY FOUNDATION, INC.
By: /s/ Steven M. Scott, M.D.
___________________________________
Name: Steven M. Scott, M.D.
Title: President
S&WLP
By: /s/ Bertram E. Walls, M.D.
__________________________________
Name: Bertram E. Walls, M.D.
Title: General Partner
