<PAGE>
================================================================================
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
______________________
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): November 5, 1998
BREED Technologies, Inc.
------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 1-11474 22-2767118
- ------------------------ ------- ----------
(State of incorporation) (Commission File Number) (IRS Employer
Identification No.)
5300 Old Tampa Highway
Lakeland, Florida 33811
------------------------------- -----
(Address of principal executive (Zip Code)
offices)
Registrant's telephone number, including area code: (941) 668-6000
-------------------------------------------------------------
(Former name or former address, if changed since last report)
================================================================================
<PAGE>
ITEM 5. OTHER EVENTS
On November 5, 1998, BREED Technologies, Inc. (NYSE:BDT), a worldwide leader
in automotive occupant safety systems, announced that the company expects to
report a net loss between 75 and 80 cents per share in the first quarter ended
September 30, 1998. First quarter results were impacted by several factors,
including, among other things, the annual shutdown of the European automotive
business, a shift in product mix, and, most significantly, the strike at General
Motors, one of BREED's largest global customers, which affected BREED across all
major product lines. In addition, anticipated cost savings from BREED's
repositioning program for the quarter were not realized, due primarily to a
temporary reallocation of resources to support 44 product launches for 12 OEMs
in North America, Europe and Asia.
"The strong recovery we anticipated for September, following the European
shutdown, did not materialize. European sales, which comprised 38 percent of our
annual revenues in 1998, are a significant portion of our business," stated Vice
Chairman, President and Chief Operating Officer Charles J. Speranzella, Jr.
"Nonetheless, the company remains solid. Our cash position at the end of the
quarter was strong and we can meet our current financial responsibilities.
Customer confidence was demonstrated during FY '98, as indicated by BREED's
award rate of over 40 percent on quoted business. Additionally, seat belt
technology developed by BREED contributed to a major US platform earning a
double five-star safety rating in September - the highest rating given to cars
for crash worthiness by the National Highway Transportation Safety
Administration."
BREED will release its full first quarter results on or before November 16,
1998.
CAUTION ON FORWARD-LOOKING STATEMENTS
The press release included certain statements regarding the estimated net
losses for the first quarter ended September 1998, which statements constitute
forward-looking statements within the meaning of the Securities Act of 1933 and
the Securities Exchange Act of 1934. Such statements are subject to certain
risks and uncertainties that could cause actual results to differ materially
from those projected. With respect to the estimated net losses, management has
made certain assumptions in calculating the expected operating losses, which may
change. The statements contained in the press release regarding the Company's
performance in future periods are also subject to risks relating to, among other
things, difficulties in integrating acquired businesses, deterioration of
relationships with material customers, possible significant product liability
claims, decreases in demand for the Company's products, and adverse changes in
general market and industry conditions. Management believes these forward-
looking statements are reasonable; however, undue reliance should not be placed
on such forward-looking statements, which are based on current expectations.
A complete copy of the press release is attached hereto as Exhibit 99.1.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(c) Exhibits
99.1 Text of Press Release of BREED Technologies, Inc. dated
November 5, 1998.
- 2 -
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
Date: November 5, 1998
BREED TECHNOLOGIES, INC.
By: /s/ Frank J. Gnisci
------------------------------------
Frank J. Gnisci
Executive Vice President and
Chief Financial Officer
- 3 -
<PAGE>
INDEX TO EXHIBITS
EXHIBIT NUMBER AND DESCRIPTION PAGE
- ------------------------------ ----
99.1 Text of Press Release for BREED Technologies, Inc. dated
November 5, 1998................................................. 5
- 4 -
<PAGE>
EXHIBIT 99.1
CONTACTS:
MEDIA RELATIONS INVESTOR RELATIONS
Gina McLean Timothy G. Weir
(941) 668-6684 (941) 668-6464
BREED ANTICIPATES FIRST QUARTER LOSS
LAKELAND, Fla. November 5, 1998 - BREED Technologies, Inc. (NYSE: BDT), a
worldwide leader in automotive occupant safety systems, today announced that the
company expects to report a net loss between 75 and 80 cents per share in the
first quarter ended September 30, 1998. First quarter results were impacted by
several factors, including, among other things, the annual shutdown of the
European automotive business, a shift in product mix, and, most significantly,
the strike at General Motors, one of BREED's largest global customers, which
affected BREED across all major product lines. In addition, anticipated cost
savings from BREED's repositioning program for the quarter were not realized,
due primarily to a temporary reallocation of resources to support 44 product
launches for 12 OEMs in North America, Europe and Asia.
"The strong recovery we anticipated for September, following the European
shutdown, did not materialize. European sales, which comprised 38 percent of our
annual revenues in 1998, are a significant portion of our business," stated Vice
Chairman, President and Chief Operating Officer Charles J. Speranzella, Jr.
"Nonetheless, the company remains solid. Our cash position at the end of the
quarter was strong and we can meet our current financial responsibilities.
Customer confidence was demonstrated during FY '98, as indicated by BREED's
award rate of over 40 percent on quoted business. Additionally, seat belt
technology developed by BREED contributed to a major US platform earning a
double five-star safety rating in September - the highest rating given to cars
for crash worthiness by the National Highway Transportation Safety
Administration."
BREED will release its full first quarter results on or before November 16,
1998.
CAUTION ON FORWARD-LOOKING STATEMENTS
Statements herein regarding the estimated net losses for the first quarter
ended September 1998, constitute forward-looking statements within the meaning
of the Securities Act of 1933 and the Securities Exchange Act of 1934. Such
statements are subject to certain risks and uncertainties that could cause
actual results to differ materially from those projected. With respect to the
estimated net losses, management has made certain assumptions in calculating the
expected operating losses, which may change. Statements herein regarding the
Company's performance in future periods are also subject to risks relating to,
among other things, difficulties in integrating acquired businesses,
deterioration of relationships with material customers, possible significant
product liability claims, decreases in demand for the Company's products, and
adverse changes in general market and industry conditions. Management believes
these forward-looking statements are reasonable; however, undue reliance should
not be placed on such forward-looking statements, which are based on current
expectations.
- 5 -
