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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. 2)
Netcom On-Line Communication Services, Inc.
(Name of Issuer)
Common Stock
(Title of Class of Securities)
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641081104
(CUSIP Number)
Christopher J. Rupright, Esq.
Shartsis Friese & Ginsburg
One Maritime Plaza, 18th Floor
San Francisco, CA 94111
(415) 421-6500
- ---------------------------------------------------------------------------
(Name, Address and Telephone Number of Person Authorized to Receive Notices
and Communications)
May 21, 1996
(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to
report the acquisition which is the subject of this Schedule 13D, and is
filing this schedule because of Rule 13d-1(b)(3) or (4), check the following
box / /.
Check the following box if a fee is being paid with the statement / /. (A
fee is not required only if the reporting person: (1) has a previous
statement on file reporting beneficial ownership of more than five percent of
the class of securities described in Item 1; and (2) has filed no amendment
subsequent thereto reporting beneficial ownership of five percent or less of
such class.) (See Rule 13d-7.)
Note: Six copies of this statement, including all exhibits, should be filed
with the Commission. See Rule 13d-1(a) for other parties to whom copies are
to be sent.
* The remainder of this cover page shall be filled out for a reporting
person's initial filing on this form with respect to the subject class of
securities, and for any subsequent amendment containing information which
would alter disclosures provided in a prior cover page.
The information required on the remainder of this cover page shall not be
deemed to be "filed" for the purpose of Section 18 of the Securities Exchange
Act of 1934 ("Act") or otherwise subject to the liabilities of that section
of the Act but shall be subject to all other provisions of the Act (however,
see the Notes).
SEC 1746 (12-91)
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 2 of 12 Pages
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1 NAME OF REPORTING PERSON
SS OR IRS IDENTIFICATION NO. OF ABOVE PERSON
West Highland Capital, Inc.
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / X /
(b) / /
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) or 2(E) / /
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
California
- ---------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES -0-
BENEFICIALLY --------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 364,800
REPORTING --------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH -0-
--------------------------------------------------
10 SHARED DISPOSITIVE POWER
364,800
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
364,800
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
/ /
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
3.2
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
CO and IA
- ---------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7
(INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION.
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 3 of 12 Pages
- ---------------------------------------------------------------------------
1NAME OF REPORTING PERSON
SS OR IRS IDENTIFICATION NO. OF ABOVE PERSON
Estero Partners, LLC
- ---------------------------------------------------------------------------
2CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*(a) / X /
(b) / /
- ---------------------------------------------------------------------------
3SEC USE ONLY
- ---------------------------------------------------------------------------
4SOURCE OF FUNDS*
AF
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) or 2(E) / /
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
California
- ---------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES -0-
BENEFICIALLY --------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 293,031
REPORTING --------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH -0-
--------------------------------------------------
10 SHARED DISPOSITIVE POWER
293,031
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
293,031
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
/ /
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.6
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
OO
- ---------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7
(INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION.
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 4 of 12 Pages
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
SS OR IRS IDENTIFICATION NO. OF ABOVE PERSON
Lang H. Gerhard
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / X /
(b) / /
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS*
AF
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) or 2(E) / /
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
- ---------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES -0-
BENEFICIALLY --------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 293,031
REPORTING --------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH -0-
--------------------------------------------------
10 SHARED DISPOSITIVE POWER
293,031
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
293,031
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
/ /
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.6
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
IN
- ---------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7
(INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION.
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 5 of 12 Pages
- ---------------------------------------------------------------------------
1NAME OF REPORTING PERSON
SS OR IRS IDENTIFICATION NO. OF ABOVE PERSON
West Highland Partners, L.P.
- ---------------------------------------------------------------------------
2CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*(a) / X /
(b) / /
- ---------------------------------------------------------------------------
3SEC USE ONLY
- ---------------------------------------------------------------------------
4SOURCE OF FUNDS*
WC
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) or 2(E) / /
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
California
- ---------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES -0-
BENEFICIALLY --------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 241,613
REPORTING --------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH -0-
--------------------------------------------------
10 SHARED DISPOSITIVE POWER
241,613
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
241,613
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
/ /
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
2.1
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- ---------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7
(INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION.
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 6 of 12 Pages
- ---------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
SS OR IRS IDENTIFICATION NO. OF ABOVE PERSON
Buttonwood Partners, L.P.
- ---------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (a) / X /
(b) / /
- ---------------------------------------------------------------------------
3 SEC USE ONLY
- ---------------------------------------------------------------------------
4 SOURCE OF FUNDS*
WC
- ---------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) or 2(E) / /
- ---------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
California
- ---------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER
SHARES -0-
BENEFICIALLY --------------------------------------------------
OWNED BY 8 SHARED VOTING POWER
EACH 51,418
REPORTING --------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH -0-
--------------------------------------------------
10 SHARED DISPOSITIVE POWER
51,418
- ---------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
51,418
- ---------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES*
/ /
- ---------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.5
- ---------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
PN
- ---------------------------------------------------------------------------
*SEE INSTRUCTIONS BEFORE FILLING OUT!
INCLUDE BOTH SIDES OF THE COVER PAGE, RESPONSES TO ITEMS 1-7
(INCLUDING EXHIBITS) OF THE SCHEDULE, AND THE SIGNATURE ATTESTATION.
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 7 of 12 Pages
ITEM 1. SECURITY AND ISSUER.
This statement relates to shares of Common Stock (the "Stock") of Netcom On-
Line Communication Services, Inc. ("NETC"). The principal executive office
of NETC is located at 3031 Tisch Way, 2nd Floor, San Jose, CA 95128.
ITEM 2. IDENTITY AND BACKGROUND.
The persons filing this statement and the persons enumerated in Instruction
C of Schedule 13D and, where applicable, their respective places of
organization, general partners, directors, executive officers and controlling
persons, and the information regarding them, is as follows:
(a) Lang H. Gerhard ("Gerhard"); West Highland Capital, Inc., a California
corporation ("WHC"); Estero Partners, LLC, a California limited
liability company ("LLC"); West Highland Partners, L.P., a California
limited partnership ("WHP"); Buttonwood Partners, L.P., a California
limited partnership ("BP").
(b) The business address of Gerhard, WHC, LLC, WHP and BP is 300 Drake's
Landing Road, Suite 290, Greenbrae, California 94904.
(c) Gerhard is the sole director and occupies all the executive offices of
WHC, which is an investment adviser. Gerhard is the sole manager of
LLC. WHC, LLC and Gerhard are the general partners of WHP and BP, which
are investment limited partnerships.
(d) During the last five years, none of such persons has been convicted in
a criminal proceeding (excluding traffic violations or similar
misdemeanors).
(e) During the last five years, none of such persons was a party to a civil
proceeding of a judicial or administrative body of competent
jurisdiction and as a result of such proceeding was or is subject to a
judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, federal or state
securities laws or finding any violation with respect to such laws.
(f) Gerhard is a citizen of the United States of America.
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 8 of 12 Pages
ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION.
The source and amount of funds used in purchasing the Stock were as follows:
Purchaser Source of Funds Amount
WHC Funds Under Management(1) $10,372,370
WHP Working Capital $ 6,878,366
BP Working Capital $ 2,025,182
(1) Includes funds invested by WHP and BP in Stock.
ITEM 4. PURPOSE OF TRANSACTION.
The sole purpose of the acquisitions of the Stock reported herein was and is
for investment.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER.
The beneficial ownership of the Stock of the persons named in Item 2 of this
statement is as follows at the date hereof:
Aggregate
Beneficially
Owned Voting Power Dispositive Power
Name Number Percent Sole Shared Sole Shared
WHC 364,800 3.2 -0- 364,800 -0- 364,800
Gerhard 293,031 2.6 -0- 293,031 -0- 293,031
LLC 293,031 2.6 -0- 293,031 -0- 293,031
WHP 241,613 2.1 -0- 241,613 -0- 241,613
BP 51,418 0.5 -0- 51,418 -0- 51,418
The persons filing this statement effected the following transactions in the
Stock on the dates indicated, and such transactions are the only transactions
by the persons filing this statement in the Stock since March 12, 1996:
Purchase Number Price Broker
Name or Sale Date of Shares Per Share Used
WHC S 4-02-96 8,000 25.3125 KALB
BP S 4-02-96 9,000 25.3125 KALB
WHP S 4-02-96 17,000 25.3125 KALB
WHC P 4-30-96 10,200 35.8571 INST
BP P 4-30-96 8,400 35.8571 INST
WHP P 4-30-96 41,400 35.8571 INST
(Table continued on Page 9)<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 9 of 12 Pages
(Table continued from Page 8)
WHC P 4-30-96 6,800 36.4844 ABSB
BP P 4-30-96 5,600 36.4844 ABSB
WHP P 4-30-96 27,600 36.4844 ABSB
WHP S 5-17-96 5,000 41.0000 INST
WHC S 5-17-96 17,850 41.0000 VOLP
BP S 5-17-96 14,700 41.0000 VOLP
WHP S 5-17-96 72,450 41.0000 VOLP
WHC S 5-21-96 15,538 43.0897 WSLS
BP S 5-21-96 12,796 43.0897 WSLS
WHP S 5-21-96 63,066 43.0897 WSLS
WHC P 6-24-96 5,950 28.9107 ABSB
BP P 6-24-96 4,900 28.9107 ABSB
WHP P 6-24-96 24,150 28.9107 ABSB
WHC P 6-25-96 3,400 29.0000 ABSB
BP P 6-25-96 2,800 29.0000 ABSB
WHP P 6-25-96 13,800 29.0000 ABSB
WHP S 6-26-96 24,000 28.1250 KALB
WHC P 6-26-96 24,000 28.1250 KALB
WHC P 6-26-96 2,550 28.8750 ABSB
BP P 6-26-96 2,100 28.8750 ABSB
WHP P 6-26-96 10,350 28.8750 ABSB
WHC P 6-28-96 7,650 26.4166 ABSB
BP P 6-28-96 6,300 26.4166 ABSB
WHP P 6-28-96 31,050 26.4166 ABSB
WHC P 7-01-96 1,785 27.2202 INST
BP P 7-01-96 1,470 27.2202 INST
WHP P 7-01-96 7,245 27.2202 INST
WHC P 7-02-96 765 26.1250 INST
BP P 7-02-96 630 26.1250 INST
WHP P 7-02-96 3,105 26.1250 INST
WHC P 7-18-96 12,000 22.2292 HRZG
BP P 7-18-96 8,400 22.2292 HRZG
WHP P 7-18-96 39,600 22.2292 HRZG
WHC P 7-18-96 1,020 21.7500 INST
BP P 7-18-96 714 21.7500 INST
WHP P 7-18-96 3,366 21.7500 INST
WHC P 7-19-96 900 22.2500 KALB
BP P 7-19-96 5,000 22.2500 KALB
WHP P 7-19-96 4,100 22.2500 KALB
WHC S 7-24-96 12,600 18.2105 INST
BP S 7-24-96 8,190 18.2105 INST
WHP S 7-24-96 42,210 18.2105 INST
WHC S 7-25-96 10,000 18.1250 HRZG
BP S 7-25-96 6,500 18.1250 HRZG
WHP S 7-25-96 33,500 18.1250 HRZG
WHC S 7-25-96 2,600 18.5029 INST
BP S 7-25-96 1,690 18.5029 INST
WHP S 7-25-96 8,710 18.5029 INST
(Table continued on Page 10)<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 10 of 12 Pages
(Table continued from Page 9)
WHC S 7-26-96 10,000 18.0000 HRZG
BP S 7-26-96 6,500 18.0000 HRZG
WHP S 7-26-96 33,500 18.0000 HRZG
WHC S 7-29-96 2,000 17.5000 HRZG
BP S 7-29-96 1,300 17.5000 HRZG
WHP S 7-29-96 6,700 17.5000 HRZG
WHC S 8-15-96 10,000 21.7500 HRZG
WHC S 8-16-96 10,000 19.5000 HRZG
WHC S 8-22-96 4,800 18.3750 HRZG
BP S 8-22-96 4,200 18.3750 HRZG
WHP S 8-22-96 21,000 18.3750 HRZG
WHC S 8-23-96 3,200 18.0000 HRZG
BP S 8-23-96 2,800 18.0000 HRZG
WHP S 8-23-96 14,000 18.0000 HRZG
WHC S 8-26-96 4,000 19.0625 HRZG
BP S 8-26-96 3,500 19.0625 HRZG
WHP S 8-26-96 17,500 19.0625 HRZG
WHC S 8-27-96 16,960 20.7146 HRZG
BP S 8-27-96 14,840 20.7146 HRZG
WHP S 8-27-96 74,200 20.7146 HRZG
WHC S 8-27-96 7,200 20.2318 INST
BP S 8-27-96 6,300 20.2318 INST
WHP S 8-27-96 31,500 20.2318 INST
WHC S 8-28-96 4,800 21.1054 INST
BP S 8-28-96 4,200 21.1054 INST
WHP S 8-28-96 21,000 21.1054 INST
WHC S 8-28-96 16,000 21.0313 ABSB
BP S 8-28-96 14,000 21.0313 ABSB
WHP S 8-28-96 70,000 21.0313 ABSB
WHC S 8-29-96 2,400 20.5000 ABSB
BP S 8-29-96 2,100 20.5000 ABSB
WHP S 8-29-96 10,500 20.5000 ABSB
WHC S 8-29-96 528 20.5795 INST
BP S 8-29-96 462 20.5795 INST
WHP S 8-29-96 2,310 20.5795 INST
WHC S 9-03-96 6,560 19.0563 INST
BP S 9-03-96 5,740 19.0563 INST
WHP S 9-03-96 28,700 19.0563 INST
WHC S 9-03-96 1,440 19.0000 MONT
BP S 9-03-96 1,260 19.0000 MONT
WHP S 9-03-96 6,300 19.0000 MONT
ABSB - Alex Brown & Sons Incorporated
HRZG - Herzog, Heine, Geduld, Inc.
INST - Instinet Corporation
KALB - Kalb Voorhis & Co.
MONT - Montgomery Securities
WSLS - Wessels, Arnold & Henderson, L.P.
VOLP - Volpe Welty & Company<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 11 of 12 Pages
ITEM. 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH
RESPECT TO SECURITIES OF THE ISSUER.
Gerhard, WHC and LLC are the general partners of WHP and BP pursuant to
limited partnership agreements providing to Gerhard, WHC and LLC the
authority, among other things, to invest the funds of WHP and BP in Stock, to
vote and dispose of stock and to file this statement on behalf of WHP and BP.
Pursuant to such limited partnership agreements, the general partners of WHP
and BP are entitled to allocations based on assets under management and
realized and unrealized gains, if certain conditions are met. Pursuant to
investment management agreements, WHC is authorized, among other things, to
invest funds of its various investment advisory clients, and to vote and
dispose of those securities. Such investment management agreements may be
terminated by either party on notice as provided in such agreements and
provide for fees payable to WHC based on assets under management and realized
and unrealized gains.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS.
A. Agreement Regarding Joint Filing of Statement on Schedule 13D or 13G
(including power of attorney).
SIGNATURES
After reasonable inquiry and to the best of my knowledge, I certify that
the information set forth in this statement is true, complete and correct.
DATED: September ___, 1996.
___________________________________ WEST HIGHLAND PARTNERS, L.P.
Lang H. Gerhard
WEST HIGHLAND CAPITAL, INC. By: __________________________
Lang H. Gerhard,
General Partner
By: ______________________________
Lang H. Gerhard, President BUTTONWOOD PARTNERS, L.P.
ESTERO PARTNERS, LLC
By: ___________________________
Lang H. Gerhard,
General Partner
By: ______________________________
Lang H. Gerhard, Manager
<PAGE>
<PAGE>
SCHEDULE 13D
CUSIP No. 641081104 Page 12 of 12 Pages
EXHIBIT A
AGREEMENT REGARDING JOINT FILING
OF STATEMENT ON SCHEDULE 13D OR 13G
The undersigned agree to file jointly with the Securities and Exchange
Commission (the "SEC") any and all statements on Schedule 13D or Schedule 13G
(and any amendments or supplements thereto) required under section 13(d) of
the Securities Exchange Act of 1934, as amended, in connection with purchases
by the undersigned of securities of Netcom On-Line Communication Services,
Inc. For that purpose, the undersigned hereby constitute and appoint West
Highland Capital, Inc., a California corporation, as their true and lawful
agent and attorney-in-fact, with full power and authority for and on behalf
of the undersigned to prepare or cause to be prepared, sign, file with the
SEC and furnish to any other person all certificates, instruments, agreements
and documents necessary to comply with section 13(d) and section 16(a) of the
Securities Exchange Act of 1934, as amended, in connection with said
purchases, and to do and perform every act necessary and proper to be done
incident to the exercise of the foregoing power, as fully as the undersigned
might or could do if personally present.
DATED: March 7, 1996.
/s/ Lang H. Gerhard WEST HIGHLAND PARTNERS, L.P.
Lang H. Gerhard
WEST HIGHLAND CAPITAL, INC. By: /s/ Lang H. Gerhard
Lang H. Gerhard,
General Partner
By: /s/ Lang H. Gerhard
Lang H. Gerhard, President BUTTONWOOD PARTNERS, L.P.
WEST HIGHLAND CAPITAL, LLC
By: /s/ Lang H. Gerhard
Lang H. Gerhard,
General Partner
By: /s/ Lang H. Gerhard
Lang H. Gerhard, Manager
C:\DMS\2463\019\0179145.WP