<PAGE> 1
PROSPECTUS SUPPLEMENT NO. 8 FILED PURSUANT TO RULE 424(b)(3)
TO PROSPECTUS DATED MAY 6, 1998 REGISTRATION NO. 333-51897
$885,500,000
NETWORKS ASSOCIATES, INC. ("NETWORK ASSOCIATES")
ZERO COUPON CONVERTIBLE SUBORDINATED DEBENTURES DUE 2018
This Prospectus Supplement relates to the resale by the holders (the
"Selling Securityholders") of Zero Coupon Convertible Subordinated Debentures
due 2018 (the "Debentures") of Network Associates and the shares of our Common
Stock, par value of $.001 per share (the "Common Stock"), issuable upon the
conversion of the Debentures (the "Conversion Shares").
You should read this Prospectus Supplement in conjunction with the
Prospectus dated May 6, 1998, which was delivered with this Prospectus
Supplement. This Prospectus Supplement No. 8 amends and restates all earlier
Prospectus Supplements to give effect to a 3-for-2 stock split that was effected
by Network Associates on May 12, 1998. All capitalized terms used herein but not
defined in the Prospectus Supplement shall have the meanings given them in the
Prospectus.
The following table sets forth information as of the date hereof
concerning beneficial ownership of the Debentures of the Selling Securityholders
listed below. All information concerning beneficial ownership has been furnished
by the Selling Securityholders.
<TABLE>
<CAPTION>
Principal Amount Percentage of Number of Percentage of
of Notes Notes Conversion Shares Common Stock
Name That May Be Sold Outstanding That May Be Sold (1) Outstanding (2)
---- ---------------- ----------- -------------------- ---------------
<S> <C> <C> <C> <C>
Argent Classic Convertible $10,000,000 1.1% 85,380 *
Arbitrage Fund (Bermuda) L.P.
Associated Electric & Gas $ 2,000,000 * 17,076 *
Insurance Services Limited
Bankers Trust Trustee for $ 5,300,000 * 45,251 *
Chrysler Corp. Emp. #1 Pension
Plan dated 4/1/89
Boston College $ 205,000 * 1,750 *
BS Debt Income Fund - Class A $ 20,000 * 170 *
BT Alex. Brown Incorporated $ 8,500,000 * 72,573 *
BZW Securities Limited $17,500,000 2% 149,415 *
Calamos Convertible Fund $ 2,400,000 * 20,491 *
California Public $14,500,000 1.6% 123,801 *
Employees' Retirement
System
Champion International $ 2,100,000 * 17,929 *
Corporation Master Retirement Trust
</TABLE>
<PAGE> 2
<TABLE>
<CAPTION>
Principal Amount Percentage of Number of Percentage of
of Notes Notes Conversion Shares Common Stock
Name That May Be Sold Outstanding That May Be Sold (1) Outstanding (2)
---- ---------------- ----------- -------------------- ---------------
<S> <C> <C> <C> <C>
Chase Manhattan NA Trustee for $ 9,030,000 1% 77,098 *
IBM Retirement Plan
Chrysler Corporation $ 8,625,000 * 73,640 *
Master Retirement Trust
Credit Suisse First Boston $ 3,000,000 * 25,614 *
Corporation
Delta Airlines Master Trust $ 3,500,000 * 29,883 *
Delta Air Lines Master Trust $ 6,000,000 * 51,228 *
Deutsche Bank Securities Inc. $25,040,000 2.8% 213,791 *
The Dow Chemical Company $ 3,600,000 * 30,736 *
Employees' Retirement Plan
Fiduciary Trust Co. International $ 1,000,000 * 8,538 *
The Fondren Foundation $ 140,000 * 1,195 *
Franklin and Marshall College $ 410,000 * 3,500 *
GPZ Trading LLC $ 3,000,000 * 25,614 *
JP Morgan Securities Inc. $ 8,120,000 * 69,328 *
Kettering Medical Center $ 165,000 * 1,408 *
Funded Depreciation Account
MainStay Convertible Fund 0 * 0 *
MainStay VP Convertible Portfolio 0 * 0 *
McMahan Securities Company, L.P. $ 100,000 * 853 *
McMahan Securities Company, L.P. $ 220,000 * 1,878 *
Merrill Lynch Pierce Fenner & $18,000,000 2.0% 153,684 *
Smith Inc.
The Minnesota Mutual Life $ 4,500,000 * 38,421 *
Insurance Company
Morgan Stanley Dean Witter $28,835,000 3.2% 246,193 *
</TABLE>
<PAGE> 3
<TABLE>
<CAPTION>
Principal Amount Percentage of Number of Percentage of
of Notes Notes Conversion Shares Common Stock
Name That May Be Sold Outstanding That May Be Sold (1) Outstanding (2)
---- ---------------- ----------- -------------------- ---------------
<S> <C> <C> <C> <C>
NationsBanc Montgomery $17,750,000 * 151,549 *
Securities LLC
New Hampshire Retirement $ 1,100,000 * 9,391 *
System
New York Life Insurance Company $28,000,000 3.1% 239,064 *
New York Life Insurance & $ 8,500,000 * 72,573 *
Annuity Corporation
OCM Convertible Trust $12,575,000 1.4% 107,365 *
Parker-Hannifin $ 280,000 * 2,390 *
Corporation
Partner Reinsurance Company $ 895,000 * 7,641 *
Port Authority of Allegheny $ 2,500,000 * 21,345 *
County Retirement and
Disability Allowance Plan for
the Employees Represented by
Local 85 of the Amalgamated
Transit Union
ProMutual $ 950,000 * 8,111 *
Putnum Balanced $ 500,000 * 4,269 *
Retirement Fund
Putnam Convertible $ 9,500,000 1% 81,111 *
Income-Growth Trust
Putnum Convertible $500,00 * 4,269 *
Opportunities and
Income Trust
Putnum Funds Trust - $ 90,000 * 768 *
Putnum High Yield Total
Return Fund
Raytheon Company Master $ 4,315,000 * 36,841 *
Pension Trust
Rhone-Poulene Rorer $ 280,000 * 2,390 *
Pension Plan
RJR Nabisco, Inc. Defined $ 1,500,000 * 12,807 *
Benefit Master Trust
SBC Warburg Dillon Read Inc. $ 7,000,000 * 59,766 *
</TABLE>
<PAGE> 4
<TABLE>
<CAPTION>
Principal Amount Percentage of Number of Percentage of
of Notes Notes Conversion Shares Common Stock
Name That May Be Sold Outstanding That May Be Sold (1) Outstanding (2)
---- ---------------- ----------- -------------------- ---------------
<S> <C> <C> <C> <C>
Societe Generale Securities $ 1,000,000 * 8,538 *
Corp.
SPT $700,00 * 5,976 *
State Employees Retirement $ 3,015,000 * 25,742 *
Plan of the State of Delaware
State of Connecticut Combined $10,810,000 1.2% 92,295 *
Investment Funds
State Street Bank Custodian $ 2,810,000 * 23,991 *
for GE Pension Trust
Strong Total Return Fund, Inc. $ 7,500,000 * 64,035 *
Swiss Bank Corporation-London $20,000,000 2.2% 170,760 *
Branch
Toronto Dominion (New York), $12,500,000 * 106,725 *
Inc.
TQA Leverage Fund, L.P. $ 1,500,000 * 12,807 *
TQA Vantage Fund, Ltd. $ 6,000,000 * 51,228 *
TQA Vantage Plus Fund, Ltd. $ 750,000 * 6,403 *
Unifi, Inc. Profit Sharing $ 335,000 * 2,860 *
Plan and Trust
United Food and Commercial $ 900,000 * 7,684 *
Workers Local 1262 and
Employees Pension Fund
Univar Corporation $ 660,000 * 5,635 *
University of Rochester $ 220,000 * 1,878 *
Vanguard Convertible $ 7,765,000 * 66,297 *
Securities Fund, Inc.
Warburg Dillon Read LLC $15,000,000 1.6% 128,070 *
Weyerhauser Convertible $ 5,200,000 * 44,397 *
Arbitrage Fund
</TABLE>
- ------------
* Less than 1%
(1) Assumes conversion of the full amount of Debentures held by such holder at
the adjusted conversion rate of 8.538 shares of Common Stock per $1000
principal amount of Debentures. This conversion rate was adjusted for the
3-for-2 stock split on May 12, 1998, and remains subject to adjustment as
described under
<PAGE> 5
"Description of Debentures -- Conversion of Debentures." Accordingly, the
number of shares of Common Stock issuable upon conversion of the Notes may
increase or decrease from time to time. Under the terms of the Indenture,
fractional shares will not be issued upon conversion of the Notes; cash
will be paid in lieu of fractional shares, if any.
(2) Computed in accordance with Rule 13d-3(d)(i) promulgated under the
Exchange Act and based upon 134,962,261 shares of Common Stock outstanding
as of October 31, 1998, treating as outstanding the number of Conversion
Shares shown as being issuable upon the assumed conversion by the named
holder of the full amount of such holder's Debentures but not assuming the
conversion of the Debentures of any other holder.
------------------------
INVESTING IN NETWORK ASSOCIATES DEBENTURES INVOLVES RISKS. SEE "RISK FACTORS"
BEGINNING ON PAGE 7 OF THE PROSPECTUS.
------------------------
THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE
SECURITIES AND EXCHANGE COMMISSION NOR HAS THE SECURITIES
AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMIS-
SION PASSED UPON THE ACCURACY OR ADEQUACY OF THIS
PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY
IS A CRIMINAL OFFENSE.
------------------------
The date of this Prospectus Supplement is November 12, 1998.
