SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 0R 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): September 30, 1999
INSO CORPORATION
(Exact name of registrant as specified in its charter)
Delaware 000-23384 04-3216243
(State or other (Commission File (I.R.S. Employer
jurisdiction of Number) Identification No.)
incorporation or
organization)
31 St. James Avenue
Boston, Massachusetts 02116-4101
(Address of principal executive offices) (Zip code)
(617) 753-6500
(Registrant's telephone number, including area code)
N/A
(Former name or former address, if changed since last report)
ITEM 5. OTHER EVENTS
The Registrant's press release dated September 30, 1999, which is
filed as Exhibit 99.1 to this Current Report on Form 8-K, is
incorporated herein by reference.
ITEM 7. FINANCIAL STATEMENTS, PRO FORMA FINANCIAL
INFORMATION AND EXHIBITS
(a) Financial Statements of Business Acquired.
Not Applicable.
(b) Pro Forma Financial Information.
Not Applicable.
(c) Exhibits.
See Exhibit Index attached hereto.
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 hereunto duly authorized this 13th day of October, 1999.
Inso Corporation
By /s/ Jonathan P. Levitt
Jonathan P. Levitt
Secretary
EXHIBIT INDEX
Exhibit
No. Exhibit Description
99.1 Press release, dated September 30, 1999 (filed herewith)
Exhibit 99.1
INSO PRESS CONTACT:
Bruce G. Hill
Vice President, Business Development
Telephone: 617/753-6542
E-mail: [email protected]
For Immediate Release
Inso Corporation Removes Shareholder Litigation Liability
PURCHASES INSURANCE COVERAGE ENSURING THAT CLASS ACTION LITIGATION
PRESENTS NO MATERIAL ADVERSE FINANCIAL RISK TO THE COMPANY
BOSTON, MA, September 30, 1999 - Inso Corporation (NASDAQ: INSO) announced
today that it has entered into an insurance agreement with a major AAA-rated
insurance carrier pursuant to which the insurance carrier will assume
complete financial responsibility for the defense and
ultimate resolution of the securities class action litigation initially
filed in February 1999 on behalf of certain purchasers of the Company's
common stock.
Stephen O. Jaeger, Chief Executive Officer and Chairman of the Board of Inso
Corporation, said: "This is an important development for Inso. We can
move forward with the certainty that the class action litigation no
longer presents a material adverse financial risk to the Company. Equally
significant is the removal of the distraction from this litigation on our
business continuity."
The Company expects to take a net charge against earnings of approximately
$14,000,000 in the third fiscal quarter ending October 31, 1999. This charge
includes professional fees, other expenses incurred to date in connection
with the class action litigation, and premium costs for the
insurance agreement, less recovery under the Company's existing insurance
policy. The Company expects that all future costs to defend and resolve
the class action litigation will be covered by the insurance agreement.
About Inso Corporation
Inso Corporation is a leading provider of solutions for the management,
exchange and dynamic delivery of critical business information. Inso's
award-winning technology enables large corporations to manage, exchange
and publish all types of information, from the simplest memo to
the most complex multimedia document. For more information, visit the
Inso Web site at http://www.inso.com.
This release contains forward-looking statements contemplated under the
Private Securities Litigation Reform Act of 1995. Such forward looking
statements involve numerous assumptions, known and unknown risks,
uncertainties and other factors which may cause the Company's actual
results to differ materially from those forecasted or projected in such
forward-looking statements. A discussion of a number of these
assumptions, risks and factors is contained in the Company's
Annual Report on Form 10-K for the fiscal year ended December 31, 1998, and
in the Company's other filings with the Securities and Exchange Commission.
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Inso is a trademark or registered trademark of Inso Corporation in the
United States and/or other countries.
