UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 5
ANNUAL STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
( ) Check box if no longer subject to Section 16.
Form 4 or Form 5 obligations may continue. See Instructions 1(b).
( ) Form 3 Holdings Reported
( ) Form 4 Transactions Reported
1. Name and Address of Reporting Person
Mehall,, J. Robert
P.O. Box 696000
San Antonio, Texas 78269-6000
2. Issuer Name and Ticker or Trading Symbol
Ultramar Diamond Shamrock Corporation
(UDS)
3. IRS or Social Security Number of Reporting Person (Voluntary)
###-##-####
4. Statement for Month/Year
December 31, 1996
5. If Amendment, Date of Original (Month/Year)
6. Relationship of Reporting Person(s) to Issuer (Check all applicable)
( ) Director ( ) 10% Owner (X) Officer (give title below) ( ) Other
(specify below)
Executive Vice President/Corporate Development, Petrochemicals/NGL's, and Crude
Oil Supply
7. Individual or Joint/Group Reporting (Check Applicable Line)
(X) Form filed by One Reporting Person
( ) Form filed by More than One Reporting Person
<TABLE>
<CAPTION>
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Table I -- Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned |
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1. Title of Security |2. |3. |4.Securities Acquired (A) |5.Amount of |6.Dir |7.Nature of Indirect |
|Transaction| or Disposed of (D) | Securities |ect | Beneficial Ownership |
|Date |Code| | Beneficially |(D)or | |
| | | | A/| | Owned at |Indir | |
| | | Amount | D | Price | End of Year |ect(I)| |
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<S> <C> <C> <C> <C> <C> <C> <C> <C>
Common Stock |12/03/|F |256 |D |$31.86 | |D | |
|96 | | | | | | | |
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Common Stock |12/03/|A |567(e) |A |$32.2304 |26,552(b) |D | |
|96 | | | | | | | |
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Common Stock | | | | | |6,032(d) |I |(d) |
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<CAPTION>
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Table II -- Derivative Securitites Acquired, Disposed of, or Beneficially Owned |
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1.Title of Derivative |2.Con |3. |4. |5.Number of De |6.Date Exer|7.Title and Amount |8.Price|9.Number |10.|11.Nature of|
Security |version |Transaction rivative Secu |cisable and| of Underlying |of Deri|of Deriva |Dir|Indirect |
|or Exer |Date |Code| rities Acqui |Expiration | Securities |vative |tive |ect|Beneficial |
|cise Pr | | | red(A) or Dis |Date(Month/| |Secu |Securities |(D)|Ownership |
|ice of | | | posed of(D) |Day/Year) | |rity |Benefi |or | |
|Deriva | | | |Date |Expir| | |ficially |Ind| |
|tive | | | | A/|Exer-|ation| Title and Number | |Owned at |ire| |
|Secu | | | | D |cisa-|Date | of Shares | |End of |ct | |
|rity | | | Amount | |ble | | | |Year |(I)| |
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<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Employee Stock Option (r|$30.125 |12/19|A |67,000 |A |(aa) |12/19|Common Stock|67,000 |$30.125| |D | |
ight to buy)(g) | |/96 | | | | |/04 | | | | | | |
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Employee Stock Option (r|$30.125 |12/19|A |100,000 |A |(bb) |12/19|Common Stock|100,000|$30.125| |D | |
ight to buy)(g) | |/96 | | | | |/01 | | | | | | |
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Cash Only Securities | | | | | |(hh) | |Common Stock|2,140 | |230,247 |D | |
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</TABLE>
Explanation of Responses:
(b) 2,391 of such shares were issued pursuant to Long-Term Incentive Plan and
remain subject to forfeiture as of
December 31,
1996.
(d) Held by Trustee of the Company's Employee Stock Ownership
Plans.
(e) These shares represent shares that were issued upon termination and payout
of Diamond Shamrock, Inc.'s
Performance Units issued under the Company's Long Term Incentive Plans. The
right to such shares accrued
effective December 3, 1996 and they were delivered effective January 15,
1997.
(g) Employee Stock Option granted under Ultramar Diamond Shamrock
Corporation's 1996 Long Term Incentive
Plan.
(aa) Option granted to reporting person under Long Term Incentive Plan exempt
under Rule 16b-3. The option
becomes exercisable in 30%, 30% and 40% increments on December 19, 1997,
December 19, 1998 and December
19, 1999,
respectively.
(bb) Option granted to reporting person under Long Term Incentive Plan exempt
under Rule 16b-3. The option
automatically vests in four and one-half years. The option will vest 50% if
Ultramar Diamond Shamrock Corporation
common stock has a value of $36.00 or more on the New York Stock Exchange for
30 consecutive trading days.
The option will vest 100% if Ultramar Diamond Shamrock Corporation common stock
has a value of $45.00 or more
on the New York Stock Exchange for 30 consecutive trading
days.
(hh) Cash only securities denominated in Ultramar Diamond Shamrock Corporation
stock held in the Company's
Excess ESOP Plan for Mr. Mehall's account at December 31,
1996.
SIGNATURE OF REPORTING PERSON
/s/ J. ROBERT MEHALL (Power of Attorney)
DATE
February 10, 1997
