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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13G
(Rule 13d-102)
INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO RULES 13d-1(b), (c)
AND (d) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13d-2(b)
(AMENDMENT NO. 1)
Aureal Semiconductor Inc.
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(Name of Issuer)
Common Stock, $0.001 par value
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(Title of Class of Securities)
051917102
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(CUSIP Number)
Appaloosa Management L.P.
26 Main Street
Chatham, New Jersey 07928
Attn: Kenneth Maiman, Esq.
Telephone (973) 701-7000
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(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
December 31, 1998
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(Date of Event which Requires
Filing of this Statement)
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Check the appropriate box to designate the rule pursuant to which this
Schedule is filed:
[ ] Rule 13d-1(b)
[X] Rule 13d-1(c)
[ ] Rule 13d-1(d)
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SCHEDULE 13G
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CUSIP NO. 501917102 PAGE 2 OF 5 PAGES
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1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
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Appaloosa Management L.P.
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ]
(b) [X}
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3 SEC USE ONLY
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4 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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5 SOLE VOTING POWER
NUMBER OF
SHARES 5,565,484
BENEFICIALLY ----------------------------------------------------------
OWNED BY 6 SHARED VOTING POWER
EACH
REPORTING 0
PERSON ----------------------------------------------------------
WITH 7 SOLE DISPOSITIVE POWER
5,565,484
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8 SHARED DISPOSITIVE POWER
0
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9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
5,565,484
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10 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* [ ]
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11 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
12.37%
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12 TYPE OF REPORTING PERSON
PN**
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
**See Item 4.
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SCHEDULE 13G
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CUSIP NO. 501917102 PAGE 3 OF 5 PAGES
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13 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
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David A. Tepper
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14 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) [ ]
(b) [X}
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15 SEC USE ONLY
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16 CITIZENSHIP OR PLACE OF ORGANIZATION
United States of America
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17 SOLE VOTING POWER
NUMBER OF
SHARES 5,565,484
BENEFICIALLY ----------------------------------------------------------
OWNED BY 18 SHARED VOTING POWER
EACH
REPORTING 0
PERSON ----------------------------------------------------------
WITH 19 SOLE DISPOSITIVE POWER
5,565,484
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20 SHARED DISPOSITIVE POWER
0
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21 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
5,565,484
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22 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* [ ]
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23 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
12.37%
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24 TYPE OF REPORTING PERSON
IN**
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*SEE INSTRUCTIONS BEFORE FILLING OUT!
**See Item 4.
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Page 4 of 5
Item 1(a). Name of Issuer: Aureal Semiconductor Inc.
Item 1(b). Address of Issuer's Principal Executive Offices:
4245 Technology Drive, Fremont, California 94538
Item 2(a). Name of Person Filing:
Appaloosa Management L.P. and David A. Tepper
Item 2(b). Address of Principal Business Office or, if None, Residence:
Appaloosa Management L.P., 26 Main Street, Chatham, New Jersey 07928
David A. Tepper, c/o Appaloosa Management L.P., 26 Main Street,
Chatham, New Jersey 07928
Item 2(c). Citizenship:
Appaloosa Management L.P. - Delaware
David A. Tepper - United States of America
Item 2(d). Title of Class of Securities:
Common Stock, $0.001 par value
Item 2(e). CUSIP Number: 051917102
Item 3. IF THIS STATEMENT IS FILED PURSUANT TO RULE 13d-1(b) OR 13d-2(b) or
(c), CHECK WHETHER THE PERSON FILING IS A: Not applicable. This
statement is filed pursuant to 13d-1(c).
Item 4. OWNERSHIP:
(a) 5,565,484*
(b) 12.37%
(c) (i) sole voting power: 5,565,484
(ii) shared voting power: 0
(iii) sole dispositive power: 5,565,484
(iv) shared dispositive power: 0
*Appaloosa Management L.P. ("AAMLP") is the general partner of Appaloosa
Investment Limited Partnership I and the investment advisor to Palomino Fund
Ltd, which are the holders of record of the reported securities (2,784,708 and
2,780,776 shares, respectively). David A. Tepper ("ADAT") is the sole
stockholder and president of Appaloosa Partners Inc. ("AAPI"). API is the
general partner of AMLP and DAT owns a majority of the limited partnership
interests of AMLP.
Item 5. OWNERSHIP OF FIVE PERCENT OR LESS OF A CLASS:
Not applicable.
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Page 5 of 5
Item 6. OWNERSHIP OF MORE THAN FIVE PERCENT ON BEHALF OF ANOTHER PERSON:
Persons other than David A. Tepper and Appaloosa Management L.P. have
the right to receive dividends from, or the proceeds from the sale of,
the reported securities. None of these persons has the right to direct
such dividends or proceeds.
Item 7. IDENTIFICATION AND CLASSIFICATION OF THE SUBSIDIARY WHICH ACQUIRED
THE SECURITY BEING REPORTED ON BY THE PARENT HOLDING COMPANY:
Not Applicable.
Item 8. IDENTIFICATION AND CLASSIFICATION OF MEMBERS OF THE GROUP:
Not Applicable.
Item 9. NOTICE OF DISSOLUTION OF GROUP:
Not Applicable.
Item 10. CERTIFICATION:
By signing below I certify that, to the best of my knowledge and belief,
the securities referred to above were not acquired and are not held for the
purpose of or with the effect of changing or influencing the control of the
issuer of the securities and were not acquired and are not held in
connection with or as a participant in any transaction having that purposes
or effect.
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.
January 26, 1999
APPALOOSA MANAGEMENT L.P.
By: Appaloosa Partners Inc.
Its: General Partner
By: /s/ David A. Tepper
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David A. Tepper
President
DAVID A. TEPPER
/s/ David A. Tepper
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