UNITED STATES SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 4
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
( ) Check this box if no longer subject to Section 16.
Form 4 or Form 5 obligations may continue. See Instructions 1(b).
1. Name and Address of Reporting Person
Centennial Fund IV,, L.P.
1428 Fifteenth Street
Denver, CO 80202-1318
USA
2. Issuer Name and Ticker or Trading Symbol
Preferred Networks, Inc.
PFNT
3. IRS or Social Security Number of Reporting Person (Voluntary)
4. Statement for Month/Year
March, 2000
5. If Amendment, Date of Original (Month/Year)
6. Relationship of Reporting Person(s) to Issuer (Check all applicable)
( ) Director (X) 10% Owner ( ) Officer (give title below) ( ) Other
(specify below)
7. Individual or Joint/Group Filing (Check Applicable Line)
( ) Form filed by One Reporting Person
(X) 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 |
| | | | Beneficially |(D)or | |
| | | | | A/| | Owned at |Indir | |
| Date |Code|V| Amount | D | Price | End of Month |ect(I)| |
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<S> <C> <C> <C><C> <C> <C> <C> <C> <C>
Common Stock |3/01/0|S | |135,000 |D |$2.6875 | |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
Common Stock |3/02/0|S | |65,000 |D |$2.6587 | |D(1) | |
|0 | | | | | | | | |
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Common Stock |3/06/0|S | |25,000 |D |$2.2750 | |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
Common Stock |3/07/0|S | |25,000 |D |$2.25 | |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
Common Stock |3/09/0|S | |10,000 |D |$2.50 | |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
Common Stock |3/20/0|S | |5,000 |D |$2.00 | |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
Common Stock |3/28/0|S | |5,000 |D |$2.00 | |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
Common Stock |3/31/0|S | |7,500 |D |$2.00 |159,502 |D(1) | |
|0 | | | | | | | | |
- -----------------------------------------------------------------------------------------------------------------------------------|
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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 | | | rities Acqui |Expiration | Securities |vative |tive |ect|Beneficial |
|cise | | | red(A) or Dis |Date(Month/| |Secu |Securities |(D)|Ownership |
|Price 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 |Date |Code|V| Amount | |ble | | | |Month |(I)| |
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<S> <C> <C> <C> <C><C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
| | | | | | | | | | | | | | |
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</TABLE>
Explanation of Responses:
(1) Centennial Holdings IV, L.P., a Delaware limited partnership ("Holdings
IV"), is the sole
general partner of the Reporting Person, Centennial Fund IV, L.P. ("Fund IV").
By virtue of the
relationship described above, Holdings IV may be deemed to control Fund IV and
possess indirect
beneficial ownership of the securities of the Issuer directly beneficially held
by Fund IV. Steven C.
Halstedt, Jeffrey H. Schutz, Adam Goldman, Donald H. Parsons, Jr. and David C.
Hull, Jr. are the sole
general partners of Holdings IV (the "Individual Partners"). By virtue of the
relationship described
above and their roles with Fund IV and Holdings IV, each of the Individual
Partners may be deemed
to control Holdings IV and Fund IV and may be deemed to possess indirect
beneficial ownership of
the Issuer securities held by Fund IV. However, none of the Individual
Partners, acting alone, has
voting or investment power with respect to the Issuer securities directly
beneficially held by Fund IV,
and, as a result, each Individual Partner disclaims beneficial ownership of the
Issuer securities directly
beneficially owned by Fund IV. Each of the Individual Partners disclaims any
pecuniary interest in any
Issuer securities, other than to the extent of such Individual Partner's
indirect proportionate interest in
Fund IV.
(2) This form is executed by Jeffrey H. Schutz, General Partner of Holdings
IV, the sole General Partner of Fund IV.
SIGNATURE OF REPORTING PERSON
/s/Jeffrey H. Schutz(2)
DATE
April 10, 2000
