UNITED STATES
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)
May 20, 1996
MERIT STUDIOS, INC.
(Exact name of Registrant as specified in charter)
DELAWARE 1 - 12516
75-2231432
(State of incorporation) (Commission File Number)
(IRS Employer Identification Number)
13707 Gamma Road
Dallas, Texas 75244
(Address of principal executive office)
Registrant's telephone number, including area code: (214)
385 2353
Item 1. Changes in Control of Registrant.
Not applicable.
Item 2. Acquisition or Disposition of Assets.
Not applicable.
Item 3. Bankruptcy or Receivership.
Not applicable.
Item 4. Changes in Registrant's Certifying Accountant.
Not applicable.
Item 5. Other Events.
Registrant has elected to defer, and not declare and
pay, the quarterly cash dividend on Registrant's 4%
Cumulative Convertible Preferred Stock which pursuant to the
Designation, Preferences, Rights and Limitations of the 4%
Cumulative Convertible Preferred Stock otherwise would have
been declared at $0.04 per share payable on June 15, 1996 to
stockholders of record on May 31, 1996. The quarterly cash
dividend was deferred for purposes of conserving working
capital. The quarterly cash dividend will accumulate
pursuant to the terms of the Designation, Preferences,
Rights and Limitations of the 4% Cumulative Convertible
Preferred Stock.
Item 6. Resignations of Registrant's Directors.
Not applicable.
Item 7. Financial Statements and Exhibits.
Not applicable.
Item 8. Change in Fiscal Year.
Not applicable.
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 thereunto duly
authorized.
MERIT STUDIOS, INC.
/S/ W. D. HOLLON
By:
W. D. Hollon
Vice President,
Finance andChief
Financial Officer
May 20, 1996
