SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 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): April 3, 1998
JOHNSTOWN AMERICA INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
Delaware 0-21830 25-1672791
(State or other jurisdiction (Commission File Number) (IRS Employer
of incorporation) Identification Number)
980 North Michigan Avenue
Suite 1000
Chicago, Illinois 60611
(Address of principal executive offices) (Zip Code)
(312) 280-8844
(Registrant's telephone number, including area code)
Page 1 of 5 consecutively numbered pages;
Exhibit Index appears on page 4
Page 1 of 5
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ITEM 5. OTHER EVENTS
Reference is made to the press release of Johnstown America
Industries, Inc. filed as Exhibit 99.1 attached hereto and
incorporated by reference herein (the "Press Release").
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
Financial Statements: None
(a)Pro Forma Financial Information: None
(b)Exhibits:
EXHIBIT NO. DOCUMENT
99.1 Press Release, dated April 3, 1998
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SIGNATURE
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.
JOHNSTOWN AMERICA INDUSTRIES, INC.
By: /s/ ANDREW M. WELLER
----------------------------------
Andrew M. Weller
Executive Vice President and Chief
Financial Officer (Duly Authorized
Officer and Principal Financial Officer)
April 3, 1998
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EXHIBIT INDEX
EXHIBIT NO. DOCUMENT PAGE
99.1 Press Release, dated April 3, 1998 5
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Exhibit 99.1
JOHNSTOWN AMERICA SETTLES PATENT INFRINGEMENT
LITIGATION WITH TRINITY INDUSTRIES, INC.
CHICAGO, April 3, 1998 -- Johnstown America Industries, Inc. (NASDAQ: JAII)
announced today that it has settled its patent infringement litigation against
Trinity Industries, Inc. (Trinity). Pursuant to the settlement agreement,
Trinity paid to the Company $16.75 million in cash as damages for Trinity's
infringement. In addition, the settlement agreement provides that Trinity will
not market, manufacture, use, sell or lease its infringing Aluminator II freight
car through the expiration of the patent in November 1999. The settlement
agreement further provides that the Company will covenant not to sue Trinity in
connection with Trinity's marketing, manufacturing, using, selling or leasing
its single tub coal gondola freight car as presently designed and manufactured.
The $16.75 million settlement will result in pre-tax income of $16.75
million and net income of approximately $10.0 million, or $1.00 per share, and
will be reflected in the quarter ended March 31, 1998. The net proceeds of the
settlement will be used to repay senior bank indebtedness of the Company.
The patent infringement lawsuit, which was commenced in 1992, was
scheduled for a trial in mid-1998 to determine the damages to be received by the
Company and whether Trinity's infringement was willful.
Johnstown America Industries, Inc. headquartered in Chicago, IL, has three
operating groups: truck components and assemblies operations, a leading supplier
of wheel-end components, seating, steerable drive axles and gear boxes for the
heavy-duty truck industry; iron castings operations, a major producer of complex
iron castings for a wide range of industries; and freight car operations, a
leading manufacturer and lessor of new and rebuilt freight cars used for hauling
coal, intermodal containers, highway trailers, agricultural and mining products.
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