SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
(Rule 13d-101)
INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO 13d-
1(a) AND AMENDMENTS THERETO FILED PURSUANT TO 13d-2(a)
(Amendment No. 1)
KTI, Inc.
----------------------------------------------------------------------------
(Name of Issuer)
Common Stock, no par value
----------------------------------------------------------------------------
(Title of Class and Securities)
482689205
----------------------------------------------------------------------------
(CUSIP Number of Class of Securities)
Howard E. Sullivan III, Esq.
411 West Putnam Avenue, Suite 125
Greenwich, Connecticut 06830
(203) 862-7400
----------------------------------------------------------------------------
(Name, Address and Telephone Number of Person Authorized to Receive Notices
and Communications)
Copy to:
Randall Doud, Esq.
Skadden, Arps, Slate, Meagher & Flom LLP
919 Third Avenue
New York, New York 10022
(212) 735-3000
October 2, 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 Statement
because of Rule 13d-1(b)(3) or (4), check the following: |_|
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.
- --------------------------------
CUSIP No. 482689205 13D
- --------------------------------
- ----------------------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON.
Wexford KTI LLC
- ----------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |X|
- ----------------------------------------------------------------------------
3. SEC USE ONLY
- ----------------------------------------------------------------------------
4. SOURCE OF FUNDS
N/A
- ----------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSU
ANT TO ITEMS 2(d) or 2(e) |-|
- ----------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
- ----------------------------------------------------------------------------
NUMBER OF 7. SOLE VOTING POWER -0-
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY -0-
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON -0-
WITH -------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- ----------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
-0-
- ----------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES
|-|
- ----------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
-0-%
- ----------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON
OO
- ----------------------------------------------------------------------------
CUSIP No. 482689205 13D
- --------------------------------
- ----------------------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON.
Wexford Management LLC
- ----------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a)|_|
(b)|X|
- ----------------------------------------------------------------------------
3. SEC USE ONLY
- ----------------------------------------------------------------------------
4. SOURCE OF FUNDS
N/A
- ----------------------------------------------------------------------------
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) or 2(e)
|-|
- ----------------------------------------------------------------------------
6. CITIZENSHIP OR PLACE OF ORGANIZATION
Connecticut
- ----------------------------------------------------------------------------
NUMBER OF 7. SOLE VOTING POWER
SHARES -0-
BENEFICIALLY ------------------------------------------------------
OWNED BY 8. SHARED VOTING POWER
EACH -0-
REPORTING ------------------------------------------------------
PERSON 9. SOLE DISPOSITIVE POWER
WITH -0-
------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- ----------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
-0-
- ----------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES
|-|
- ----------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
-0-%
- ----------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON
OO
- ----------------------------------------------------------------------------
CUSIP No. 482689205 13D
- --------------------------------
- ----------------------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON.
Joseph M. Jacobs
- ----------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a)|_|
(b)|X|
- ----------------------------------------------------------------------------
3. SEC USE ONLY
- ----------------------------------------------------------------------------
4. SOURCE OF FUNDS
N/A
- ----------------------------------------------------------------------------
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
- ----------------------------------------------------------------------------
NUMBER OF 7. SOLE VOTING POWER -0-
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY -0-
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON -0-
WITH -------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- ----------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
-0-
- ----------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES
|-|
- ----------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
-0-%
- ----------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON
IN
- ----------------------------------------------------------------------------
- --------------------------------
CUSIP No. 482689205 13D
- --------------------------------
- ----------------------------------------------------------------------------
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON.
Charles E. Davidson
- ----------------------------------------------------------------------------
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a)|_|
(b)|X|
- ----------------------------------------------------------------------------
3. SEC USE ONLY
- ----------------------------------------------------------------------------
4. SOURCE OF FUNDS
N/A
- ----------------------------------------------------------------------------
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
- ----------------------------------------------------------------------------
NUMBER OF 7. SOLE VOTING POWER -0-
SHARES -------------------------------------------------------
BENEFICIALLY 8. SHARED VOTING POWER
OWNED BY -0-
EACH -------------------------------------------------------
REPORTING 9. SOLE DISPOSITIVE POWER
PERSON -0-
WITH -------------------------------------------------------
10 SHARED DISPOSITIVE POWER
-0-
- ----------------------------------------------------------------------------
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING
PERSON
-0-
- ----------------------------------------------------------------------------
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES
|-|
- ----------------------------------------------------------------------------
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
-0-%
- ----------------------------------------------------------------------------
14. TYPE OF REPORTING PERSON
IN
- ----------------------------------------------------------------------------
Item 1. Security and Issuer.
This statement relates to the shares of common stock, no par
value (the "Common Stock"), of KTI, Inc., a New Jersey corpora tion (the
"Company"). The Company has its principal executive offices at 7000
Boulevard East, Guttenberg, New Jersey 07093.
Item 2. Identity and Background.
(a) This statement is being filed by (i) Wexford KTI
LLC, a limited liability company organized under the
laws of the State of Delaware ("Wexford KTI"), (ii)
Wexford Management LLC, a Connecticut limited lia
bility company ("Wexford Management"), (iii) Charles
E. Davidson and (iv) Joseph M. Jacobs (the individu
als and entities referred to above, collectively,
the "Reporting Persons") with respect to shares of
Common Stock beneficially owned by the Reporting
Persons.
(b) The principal business and office address for the
Reporting Persons is c/o Wexford Management LLC, 411
West Putnam Avenue, Greenwich, Connecticut 06830.
(c) Wexford KTI is a Delaware limited liability company, the
members of which are private investment funds. Wexford
KTI was organized for the purpose of invest ing in the
Debenture (as defined in item 4 below).
Wexford Management is the manager of Wexford KTI. Wexford
Management also serves as investment manager or
sub-advisor to the members of Wexford KTI.
Charles E. Davidson is chairman and a controlling member
of Wexford Management. Mr. Davidson also is a
controlling person or an investor in a number of private
companies, including certain members of Wexford KTI and
their controlling persons.
Joseph M. Jacobs is president, managing member and a
controlling member of Wexford Management. Mr. Ja cobs
also is a controlling person or an investor in a number
of private companies, including certain members of
Wexford KTI and their controlling per sons.
(d) None of the Reporting Persons has during the last five
years been convicted in a criminal proceeding
(excluding traffic violations or similar misdemeanors).
(e) None of the Reporting Persons was a party to a civil
proceeding of a judicial or administrative body of
competent jurisdiction and as a result of such pro
ceeding was or is subject to a judgment, decree or
final order enjoining future violations of, or pro
hibiting or mandating activities subject to, federal
of state securities laws or finding any violation
with respect to such laws.
(f) Mr. Davidson and Mr. Jacobs are United States citizens.
Item 3. Source and Amount of Funds or Other Consideration.
Not applicable. The Reporting Persons are disposing of
the securities.
Item 4. Purpose of Transaction.
Wexford KTI purchased from the Company, in a private transaction
on October 23, 1996 for $5,000,000, an 8% Convertible Subordinated Note
due October 31, 2002 of the Company in the principal amount of $5,000,000
(the "Debenture"). On October 3, 1997, Wexford KTI converted the Debenture
into 617,665.376 shares of Common Stock. In addition, Wexford KTI received
an additional 943.624 shares of Common Stock as interest payments due on
the Debenture.
The Reporting Persons disposed of all of their shares of Common
Stock of the Company through a series of transactions that took place
during the period from September 11, 1997 through and including October
17, 1997. All sales of Common Stock made by Wexford KTI prior to and on
October 3, 1997 were short sales as Wexford KTI had not yet converted the
Debenture into Common Stock. Subsequent to the conversion of the Debenture
into Common Stock on October 3, 1997, Wexford KTI disposed of the
remainder of their interest in the Company via open market sales of the
Common Stock. By the close of business on October 17, 1997, the Reporting
Persons had disposed of their entire interest in the Company.
Although the Reporting Persons have not formulated any definite
plans, they may from time to time acquire, or dispose of, Common Stock
and/or other securities of the Company if and when they deem it
appropriate. The Reporting Persons may formulate other purposes, plans or
proposals relating to any of such securi ties of the Company to the extent
deemed advisable in light of market conditions, investment policies or
other factors.
Item 5. Interest in Securities of the Issuer.
(a) The Reporting Persons have disposed of their entire
beneficial interest in the Common Stock.
(b) Not applicable.
(c) Other than the transactions described in Item 4 of this
Amendment No.1 to Schedule 13D, there were no transactions by
the Reporting Persons during the past 60 days.
(d) Not applicable.
(e) The Reporting Persons ceased to be beneficial owners of
more than five percent of the Common Stock on October 3,
1997 (on the basis of 6,920,799 shares of Common Stock
of the Company issued and outstanding, which, based upon
certain publicly available infor mation, is the number
of shares outstanding as of August 12, 1997).
Item 6. Contracts, Arrangements, Understandings or Relationships
With Respect to Securities of the Issuer.
See Items 2, 3, 4, and 5 above.
Except as described above, there are no contracts, arrangements,
understandings or relationships (legal or otherwise) among the persons
named in Item 2 or between such persons and any other person with respect
to any securities of the Company, includ ing but not limited to, transfer
or voting of any such securities, finder's fees, joint ventures, loan or
option arrangements, puts or calls, guarantees of profits, division of
profits or loss, or the giving or withholding of proxies.
Item 7. Material to be Filed as Exhibits.
Exhibit I -- Agreement pursuant to Rule 13d-1(f)
filed herewith
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.
Date: November 19, 1997
WEXFORD KTI LLC
By: /s/ Arthur H. Amron
Name: Arthur H. Amron
Title: Vice President
WEXFORD MANAGEMENT LLC
By: /s/ Arthur H. Amron
Name: Arthur H. Amron
Title: Senior Vice President
/s/ Charles E. Davidson
/s/ Joseph M. Jacobs
1
EXHIBIT I: Agreement pursuant to Rule 13d-1(f) filed herewith
Pursuant to Rule 13d-1(f) of Regulation 13D-G of the General
Rules and Regulations of the Securities and Exchange Commission under the
Securities Exchange Act of 1934, as amended, the under signed agree that
the statement to which this Exhibit is attached is filed on behalf of each
of them in the capacities set forth below.
WEXFORD KTI LLC
By: /s/ Arthur H. Amron
Name: Arthur H. Amron
Title: Vice President
WEXFORD MANAGEMENT LLC
By: /s/ Arthur H. Amron
Name: Arthur H. Amron
Title: Senior Vice President
/s/ Charles E. Davidson
/s/ Joseph M. Jacobs
