<PAGE> 1
OMB APPROVAL
---------------------------
OMB NUMBER 3235-0145
EXPIRES: DECEMBER 31, 1997
ESTIMATED AVERAGE BURDEN
HOURS PER FORM. . . . 14.90
---------------------------
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 3)*
MEDIA ARTS GROUP, INC.
- -------------------------------------------------------------------------------
(Name of Issuer)
Common Stock, $.01 Par Value Per Share
- -------------------------------------------------------------------------------
(Title of Class of Securities)
58439c 10 2
- -------------------------------------------------------------------------------
(CUSIP Number)
Arthur E. Levine with a copy to:
President James W. Loss, Esq.
Levine Leichtman Capital Partners, Inc. Riordan & McKinzie
345 North Maple Drive, Suite 304 695 Town Center Drive, Suite 1500
Beverly Hills, California 90025 Costa Mesa, California 92626
(310) 275-5335 (714) 433-2626
- -------------------------------------------------------------------------------
(Name, Address and Telephone Number of Person Authorized to Receive
Notices and Communications)
October 21, 1997
- -------------------------------------------------------------------------------
(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 copes 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).
Page 1 of 9
<PAGE> 2
SCHEDULE 13D
CUSIP NO. 58439c 10 2 PAGE 2 OF 9 PAGES
- --------------------- -----------------
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR IRS. IDENTIFICATION NO. OF ABOVE PERSON
Levine Leichtman Capital Partners, L.P.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (A) [ ]
(B) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
00 (SEE ITEM 3)
- --------------------------------------------------------------------------------
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
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
-0-
SHARES -----------------------------------------------------------------
8 SHARED VOTING POWER
BENEFICIALLY
1,018,693 (SEE ITEM 5)
OWNED BY -----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
EACH
-0-
REPORTING -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
PERSON WITH
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.2%
- --------------------------------------------------------------------------------
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> 3
SCHEDULE 13D
CUSIP NO. 58439c 10 2 PAGE 3 OF 9 PAGES
- --------------------- -----------------
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR IRS. IDENTIFICATION NO. OF ABOVE PERSON
LLCP California Equity Partners, L.P.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (A) [ ]
(B) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
00 (SEE ITEM 3)
- --------------------------------------------------------------------------------
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
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
-0-
SHARES -----------------------------------------------------------------
8 SHARED VOTING POWER
BENEFICIALLY
1,018,693 (SEE ITEM 5)
OWNED BY -----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
EACH
-0-
REPORTING -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
PERSON WITH
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.2%
- --------------------------------------------------------------------------------
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> 4
SCHEDULE 13D
CUSIP NO. 58439c 10 2 PAGE 4 OF 9 PAGES
- --------------------- -----------------
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR IRS. IDENTIFICATION NO. OF ABOVE PERSON
Levine Leichtman Capital Partners, Inc.
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (A) [ ]
(B) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
00 (SEE ITEM 3)
- --------------------------------------------------------------------------------
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
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
-0-
SHARES -----------------------------------------------------------------
8 SHARED VOTING POWER
BENEFICIALLY
1,018,693 (SEE ITEM 5)
OWNED BY -----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
EACH
-0-
REPORTING -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
PERSON WITH
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.2%
- --------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON*
CO
- --------------------------------------------------------------------------------
*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> 5
SCHEDULE 13D
CUSIP NO. 58439c 10 2 PAGE 5 OF 9 PAGES
- --------------------- -----------------
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR IRS. IDENTIFICATION NO. OF ABOVE PERSON
Arthur E. Levine
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (A) [ ]
(B) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
00 (SEE ITEM 3)
- --------------------------------------------------------------------------------
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 OF AMERICA
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
-0-
SHARES -----------------------------------------------------------------
8 SHARED VOTING POWER
BENEFICIALLY
1,018,693 (SEE ITEM 5)
OWNED BY -----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
EACH
-0-
REPORTING -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
PERSON WITH
1,018,693
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.2%
- --------------------------------------------------------------------------------
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> 6
SCHEDULE 13D
CUSIP NO. 58439c 10 2 PAGE 6 OF 9 PAGES
- --------------------- -----------------
- --------------------------------------------------------------------------------
1 NAME OF REPORTING PERSON
S.S. OR IRS. IDENTIFICATION NO. OF ABOVE PERSON
Lauren B. Leichtman
- --------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP* (A) [ ]
(B) [ ]
- --------------------------------------------------------------------------------
3 SEC USE ONLY
- --------------------------------------------------------------------------------
4 SOURCE OF FUNDS*
00 (SEE ITEM 3)
- --------------------------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT
TO ITEMS 2(D) OR 2(E) [ ]
- --------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
- --------------------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF
-0-
SHARES -----------------------------------------------------------------
8 SHARED VOTING POWER
BENEFICIALLY
1,018,693 (SEE ITEM 5)
OWNED BY -----------------------------------------------------------------
9 SOLE DISPOSITIVE POWER
EACH
-0-
REPORTING -----------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
PERSON WITH
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,018,693 (SEE ITEM 5)
- --------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES* [ ]
- --------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.2%
- --------------------------------------------------------------------------------
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> 7
This Amendment No. 3 to Schedule 13D (this "Amendment No. 3") relates
to the common stock, $.01 par value per share, CUSIP No. 58439c 10 2 (the
"Common Stock"), of Media Arts Group, Inc., a Delaware corporation (the
"Issuer") and amends the Schedule 13D, dated July 26, 1995 (the "Original
Filing"), as amended by Amendment No. 1 to Schedule 13D dated March 12, 1996
("Amendment No. 1"), as amended by Amendment No. 2 to Schedule 13D dated
February 21, 1997 ("Amendment No. 2"), and is filed pursuant to the Joint
Reporting Agreement previously filed as Exhibit 1 to the Original Filing on
behalf of Levine Leichtman Capital Partners, L.P., a California limited
partnership ("LLCP"), LLCP California Equity Partners, L.P., a California
limited partnership (the "General Partner"), Levine Leichtman Capital Partners,
Inc., a California corporation ("LLCP, Inc."), Arthur E. Levine ("Levine") and
Lauren B. Leichtman ("Leichtman", and together with LLCP, the General Partner,
LLCP, Inc. and Levine, the "Filing Persons").
As of February 21, 1997, the Filing Persons beneficially owned an
aggregate of 1,148,693 shares of the Common Stock. Between June 16, 1997 and
October 22, 1997, LLCP sold an aggregate of 130,000 shares of the Common Stock
in a series of open market transactions which resulted in a disposition by the
Filing Persons of more than 1% of the Common Stock outstanding as of July 31,
1997. As of October 22, 1997, the Filing Persons beneficially owned an aggregate
of 1,018,693 shares of the Common Stock (the "Shares").
Accordingly, pursuant to Rule 13d-2(a), the Filing Persons hereby amend
Amendment No. 2 as follows:
Item 5. Interest in Securities of The Issuer.
-------------------------------------
(a) Based on the number of outstanding shares of the Common Stock
reported by the Issuer on its quarterly report on Form 10-Q, for the quarter
ended July 31, 1997, the Shares represent approximately 9.2% of the outstanding
Common Stock (including the Shares as computed in accordance with Rule
13d-3(d)(1)). As of the date hereof, each of the Filing Persons may be deemed to
be the beneficial owner of the Shares within the meaning of Rule 13d-3.
(b) By virtue of being the sole general partner of LLCP, the General
Partner may be deemed to have shared voting and dispositive power with LLCP with
respect to the Shares, which are directly owned by LLCP. LLCP, Inc. may be
deemed to have shared voting and dispositive power with the General Partner and
LLCP with respect to the Shares by virtue of being the sole general partner of
the General Partner. Levine and Leichtman may be deemed to have shared voting
and dispositive power with LLCP, the General Partner and LLCP, Inc. with respect
to the Shares by virtue of being the sole executive officers, directors and
shareholders of LLCP, Inc.
(c) Between June 16, 1997 and October 22, 1997, LLCP sold an aggregate
of 130,000 shares of the Common Stock in a series of open market transactions,
which resulted in a disposition by the Filing Persons of more than 1% of the
Common Stock outstanding as of July 31, 1997. As required to be disclosed by
Item 5(c) of the Instructions to Schedule 13D, the following is a complete list
of the sales of the Common Stock made by LLCP within the last 60 days. Each of
the sales was conducted in an open market transaction.
<TABLE>
<CAPTION>
Date No. of Shares Sold Sale Price
- ---- ------------------ ----------
<S> <C> <C>
Oct. 7 5,000 $9.06
Oct. 15 2,000 $9.13
Oct. 15 4,000 $9.19
Oct. 15 9,000 $9.25
Oct. 15 2,000 $9.31
Oct. 15 5,000 $9.38
</TABLE>
Page 7 of 9
<PAGE> 8
<TABLE>
<CAPTION>
Date No. of Shares Sold Sale Price
- ---- ------------------ ----------
<S> <C> <C>
Oct. 7 5,000 $9.06
Oct. 15 2,000 $9.13
Oct. 15 4,000 $9.19
Oct. 15 1,000 $9.50
Oct. 16 9,000 $9.31
Oct. 16 7,000 $9.38
Oct. 16 4,000 $9.44
Oct. 16 2,000 $9.50
Oct. 20 6,000 $9.44
Oct. 21 6,000 $9.44
Oct. 21 8,000 $9.50
Oct. 21 2,000 $9.63
Oct. 22 10,000 $9.38
</TABLE>
No other transactions by any of the Filing Persons with respect to the
Common Stock were effected during the past 60 days.
(d) Not applicable.
(e) Not applicable.
Page 8 of 9
<PAGE> 9
SIGNATURE
---------
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
Dated: October 23, 1997
LEVINE LEICHTMAN CAPITAL PARTNERS, L.P.,
a California limited partnership
By: LLCP California Equity Partners, L.P.,
Its: General Partner
By: Levine Leichtman Capital Partners, Inc.,
Its: General Partner
By: /s/ Arthur E. Levine
----------------------------------------
Arthur E. Levine, President
LLCP CALIFORNIA EQUITY PARTNERS, L.P.,
a California limited partnership
By: Levine Leichtman Capital Partners, Inc.
Its: General Partner
By: /s/ Arthur E. Levine
----------------------------------------
Arthur E. Levine, President
LEVINE LEICHTMAN CAPITAL PARTNERS, INC.,
a California corporation
By: /s/ Arthur E. Levine
---------------------------------------------
Arthur E. Levine, President
/s/ Arthur E. Levine
--------------------------------------------------
ARTHUR E. LEVINE
/s/ Lauren B. Leichtman
--------------------------------------------------
LAUREN B. LEICHTMAN
Page 9 of 9
