SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
(Rule 13d-101)
(Amendment No. 15)
Under the Securities Exchange Act of 1934
TALLEY INDUSTRIES, INC.
_______________________
(Name of Issuer)
COMMON STOCK
_____________
(Title of Class of Securities)
874687106
__________
(CUSIP Number)
David J. Levenson, Esq.
Venable, Baetjer, Howard & Civiletti, LLP
1201 New York Avenue, N.W., Suite 1000
Washington, DC 20005
(202) 962-4831
______________
(Name, Address and Telephone Number
of Person Authorized to Receive Notices
and Communications)
April 16, 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 / /.
(Page 1 of 17 Pages)
<PAGE>
CUSIP No. 874687106 Page 2 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Saad A. Alissa
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
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): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
Kingdom of Saudi Arabia
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
8. SHARED VOTING POWER
1,121,000
9. SOLE DISPOSITIVE POWER
10. SHARED DISPOSITIVE POWER
1,121,000
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
1,121,000
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
7.85%
14. TYPE OF REPORTING PERSON:
IN
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CUSIP No. 874687106 Page 3 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Financial Investors Limited
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
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): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
Cayman Islands
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
8. SHARED VOTING POWER
721,100
9. SOLE DISPOSITIVE POWER
10. SHARED DISPOSITIVE POWER
721,100
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
721,100
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
5.05%
14. TYPE OF REPORTING PERSON:
OO
<PAGE>
CUSIP No. 874687106 Page 4 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Abdullatif Ali Alissa Est.
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
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): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
Kingdom of Saudi Arabia
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
8. SHARED VOTING POWER
721,100
9. SOLE DISPOSITIVE POWER
10. SHARED DISPOSITIVE POWER
721,100
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
721,100
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
5.05%
14. TYPE OF REPORTING PERSON:
OO
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CUSIP No. 874687106 Page 5 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
General Investors Limited
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
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): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
Cayman Islands
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
8. SHARED VOTING POWER
365,900
9. SOLE DISPOSITIVE POWER
10. SHARED DISPOSITIVE POWER
365,900
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
365,900
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
2.56%
14. TYPE OF REPORTING PERSON:
OO
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CUSIP No. 874687106 Page 6 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Ralph A. Rockow
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
3. SEC USE ONLY
4. SOURCE OF FUNDS:
PF
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) or 2(e): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
United States
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
350,000
8. SHARED VOTING POWER
9. SOLE DISPOSITIVE POWER
350,000
10. SHARED DISPOSITIVE POWER
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
350,000
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
2.45%
14. TYPE OF REPORTING PERSON:
IN
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CUSIP No. 874687106 Page 7 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
Robert T. Craig
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
3. SEC USE ONLY
4. SOURCE OF FUNDS:
PF
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) or 2(e): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
United States
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
1,000
8. SHARED VOTING POWER
9. SOLE DISPOSITIVE POWER
1,000
10. SHARED DISPOSITIVE POWER
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
1,000
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
.007%
14. TYPE OF REPORTING PERSON:
IN
<PAGE>
CUSIP No. 874687106 Page 8 of 17
1. NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
William B. Danzell
2. CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) /X/
(b) / /
3. SEC USE ONLY
4. SOURCE OF FUNDS:
PF
5. CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) or 2(e): / /
N/A
6. CITIZENSHIP OR PLACE OF ORGANIZATION:
United States
NUMBER OF SHARES BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH:
7. SOLE VOTING POWER
4,950
8. SHARED VOTING POWER
9. SOLE DISPOSITIVE POWER
4,950
10. SHARED DISPOSITIVE POWER
11. AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
12. CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN
SHARES: / /
13. PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
.035%
14. TYPE OF REPORTING PERSON:
IN
<PAGE>
CUSIP No. 874687106 Page 9 of 17
SCHEDULE 13D
(Amendment No. 15)
NOTE: All capitalized terms used in this Amendment No. 15
and not defined herein shall have the same meaning as in the
statement of Saad A. Alissa on Schedule 13D dated August 31,
1994, as amended through the date hereof. Except as expressly
stated below, there have been no material changes in the
information contained in such Schedule 13D, as amended.
Item 2. Identity and Background
The persons filing this statement (collectively
referred to as the "Filing Persons") are:
1) Abdullatif Ali Alissa Est., a sole proprietorship
organized under the laws of the Kingdom of Saudi Arabia (the
"Establishment"). The Establishment's principal business is
importing and operating a dealership for General Motors and Isuzu
Motors automobiles, spare parts and accessories. The
Establishment's executive officers and directors are Abdullatif
Ali Alissa - Chairman; Saad A. Alissa - President; and
Abdulmohsen Abdullatif Ali Alissa - Vice President. The
principal business address and principal office address of the
Establishment and each of its officers and directors is P.O. Box
192, Alkhobar 31952, Saudi Arabia.
2) Saad A. Alissa an individual whose business
address is P.O. Box 192, Alkhobar 31952, Saudi Arabia.
Mr. Alissa's principal occupation is President of the
Establishment.
3) General Investors Limited, a Cayman Islands
corporation ("GIL") of which Mr. Alissa is the sole shareholder.
GIL's principal business address and principal office address is
c/o Saad A. Alissa, P.O. Box 1111, West Wind Building, 2nd Floor,
Grand Cayman, Cayman Islands, BWI. Mr. Alissa is the sole
director and Secretary and The Secretary Ltd.("TSL"), a company
organized in the Cayman Islands, is the Assistant Secretary of
GIL.
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CUSIP No. 874687106 Page 10 of 17
4) Financial Investors Limited, a Cayman Islands
corporation ("FIL") of which the Establishment is the sole
shareholder. FIL's principal business address and principal
office address is c/o Saad A. Alissa, P.O. Box 1111, West Wind
Building, 2nd Floor, Grand Cayman, Cayman Islands, BWI. Mr.
Alissa is the sole director and Secretary and TSL is the
Assistant Secretary of FIL.
5) Ralph A. Rockow, an individual whose business
address is 8433 N. Black Canyon Highway, Phoenix, Arizona 85021.
Mr. Rockow's principal occupation is (i) President of Exodyne,
Inc., a holding company, (ii) President and Chairman of the Board
of Dynamic Science, Inc., a company whose principal business is
government service contracting, (iii) President and Chairman of
the Board of Exodyne Properties, Inc., a company whose principal
business is real estate investment, (iv) Chairman of the Board of
Dynamic Educational Systems, Inc., a company whose principal
business is educational contracting with the Department of Labor
and (v) Chairman of the Board of Exodyne Electric Motors, Inc., a
company whose principal business is manufacturing submersible
motors. The business address of all of such entities is 8433 N.
Black Canyon Highway, Phoenix, Arizona 85021.
6) Robert T. Craig, an individual whose residence
address is 14 Spotted Sandpiper Road, Hilton Head, South
Carolina. Mr. Craig retired in 1987, after 15 years in various
senior executive positions with TRW, Inc.
7) William B. Danzell, an individual whose business
address is 18 Pope Avenue, Executive Park Road, # 3, Hilton Head
Island, South Carolina 29928. Mr. Danzell's principal occupation
is President of Danzell Investment Management, Ltd., a registered
investment adviser whose principal business is providing
investment supervisory services and whose principal address is 18
Pope Avenue, Executive Park Road, # 3, Hilton Head Island, South
Carolina 29928.
None of Mr. Alissa, the Establishment, FIL, GIL, Mr. Rockow,
Mr. Craig or Mr. Danzell or the executive officers or directors
of the Establishment, FIL or GIL during the past five years, has
been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors), or was a party to a civil
proceeding of a judicial or administrative body resulting
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CUSIP No. 874687106 Page 11 of 17
in a judgment, decree or final order enjoining future violations
of, or prohibiting or mandating activities subject to, federal or
state securities laws, or finding any violation with respect to
such laws.
Item 4. Purpose of Transaction
Ralph A. Rockow, Robert T. Craig and William B. Danzell have
each agreed to act with each other and Saad A. Alissa as members
of the Shareholders' Committee to Remove Entrenched and Arrogant
Management ("SCREAM") for the purpose of soliciting proxies to be
used in connection with the Company's forthcoming 1997 annual
meeting of shareholders (the "Annual Meeting").
By letter dated February 5, 1997 (the "Stockholder Notice"),
Mr. Alissa, on behalf of SCREAM, indicated his intention to
nominate Ralph A. Rockow, Robert T. Craig and Albert H. Cox, Jr.,
in opposition to management's slate, to revitalize the Board of
Directors. By means of that Stockholder Notice, Mr. Alissa, on
behalf of SCREAM, indicated his intention to submit for
stockholder action proposals recommending that the Board of
Directors eliminate certain provision of the Company's
certificate of incorporation and bylaws that inhibit stockholder
action; eliminate the "poison pill" plan first adopted and then
extended without stockholder action; and retain an independent
investment banker.
Subsequent to submission of the Stockholder Notice, Dr. Cox
withdrew as a SCREAM Nominee in favor of George W. Sawyer.
Through his attorney, by letter addressed to the Company dated
February 25, 1997, Mr. Alissa indicated his intention to nominate
Mr. Sawyer for election to the Company's Board of Directors in
substitution for Dr. Cox. SCREAM's SEC filings were amended
accordingly.
By letter dated March 25, 1997, delivered to Mr. Alissa
contemporaneously with the Company's initial filing of proxy
materials with the Securities and Exchange Commission (the
"SEC"), the Company indicated that the substitution did "not
satisfy the Talley By-law provision for nominations." The
Company's letter also indicated that "in the absence of any
explanation by Mr. Alissa of the relevant facts and circumstances
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CUSIP No. 874687106 Page 12 of 17
surrounding the claimed substitution" the Company would reserve
the right to treat Mr. Sawyer's nomination as invalid.
SCREAM provided the requested explanation by letter dated
March 31, indicating, among other things, that (1) Mr. Alissa
took only exploratory steps toward the possible future
solicitation of proxies for use at the Annual Meeting prior to
January 14, 1997_the date on which William Mallender, the
Company's chairman and CEO, dismissed Mr. Alissa's various
proposals to enhance shareholder value; (2) Mr. Sawyer's name
came to SCREAM's attention relatively late in the search process
and close to the end of the 30-day period provided by the Bylaws
for shareholder nominations; and (3) Dr. Cox stepped aside in the
interests of Talley's shareholders once Mr. Sawyer had indicated
his willingness to serve as a SCREAM nominee and Mr. Alissa and
other members of SCREAM had concluded that Mr. Sawyer was an
outstanding candidate who, by virtue of his experience and
management philosophy, would serve the interests of Talley's
shareholders capably and effectively. The SCREAM letter also
noted that the Annual Meeting was delayed by the Board, so that
information concerning Mr. Sawyer will have been in front of the
Company for a longer period than if Mr. Sawyer had been included
in the initial notice of nominations and the meeting had been
held as originally scheduled. The letter also noted that,
because Talley received notice of the substitution a full month
before filing its preliminary proxy materials, the substitution
would not reduce the time during which information concerning Mr.
Sawyer would be available to the shareholders.
As of April 14, 1997, SCREAM has received no notice from the
Company as to its final decision on the matter of Mr. Sawyer's
nomination. Therefore, it appears that the Company may prohibit
SCREAM's nomination of Mr. Sawyer_a highly skilled and competent
designee_on the basis of a procedural technicality.
In light of the Company's failure to inform SCREAM of its
resolution regarding Mr. Sawyer's nomination, in light of the
Company's refusal to permit election of a shareholder nominee to
come to a vote of the shareholders at the 1996 annual meeting,
and in order to maximize the possibility that William Mallender
one of the three director-nominees designated by management, will
not be re-elected at the upcoming 1997 Annual Meeting, SCREAM has
elected to withdraw its third nominee and to seek proxies in
<PAGE>
CUSIP No. 874687106 Page 13 of 17
support of Paul L. Foster one of the director-nominees designated
by management, as permitted pursuant to the rules of the SEC.
The Company's proxy materials, as filed with the SEC, for
the first time indicate that management has retained J.P. Morgan
Securities, Inc. for the purposes contemplated by the SCREAM
proposal regarding retention of an independent investment banker.
Because SCREAM believes that, so long as the Company continues to
employ J.P. Morgan, and to respond to its advice in a manner
consistent with shareholder interest, management has, finally,
responded to SCREAM's concerns. Therefore, SCREAM does not
expect to introduce its proposal regarding retention of an
independent investment banker at the upcoming annual meeting.
Each member of SCREAM has agreed to vote his shares at the
Annual Meeting in accordance with SCREAM's recommendations and to
solicit proxies for that purpose, and, therefore the members or
SCREAM may be deemed to have formed a group for purposes of
Section 13(d) of the Securities Exchange Act of 1934 and the
rules thereunder. There is no written agreement between/among any
of them except that Mr. Alissa has agreed to indemnify, defend
and hold harmless each of the nominees (whether or not members of
SCREAM) against losses, liabilities and costs arising out of,
based on or with respect to the solicitation.
Notwithstanding paragraph (b)(1) of Rule 13d-5, which
provides in pertinent part that a group shall be deemed the
beneficial owner of all equity securities beneficially owned by
any person who agrees to act to form a group, each member of
SCREAM and each nominee of SCREAM expressly disclaims beneficial
ownership of any securities other than his own.
Except for the foregoing developments, the Filing Persons do
not have any current plan or proposal which relates to or would
result in any of the following actions, however, the Filing
Persons will continue to evaluate the Company's business
prospects and financial condition, the market for the Company's
Common Stock, other opportunities available to the Filing
Persons, general economic conditions and other factors, and may
formulate plans or proposals which could relate to or result in
one or more such actions, which consist of the following:
<PAGE>
CUSIP No. 874687106 Page 14 of 17
(a) the acquisition by any person of additional
securities of the Company, or the disposition of securities of
the Company, except as otherwise contemplated by this Schedule
13D, as amended;
(b) an extraordinary corporate transaction, such as a
merger, reorganization or liquidation, involving the Company or
any of its subsidiaries;
(c) a sale or transfer of a material amount of the
assets of the Company or of any of its subsidiaries;
(d) any change in the present Board of Directors or
management of the Company, including plans or proposals to change
the number or term of directors or to fill any existing vacancies
on the Board;
(e) any material change in the present capitalization
or dividend policy of the Company;
(f) any other material change in the Company's
business or corporate structure;
(g) changes in the Company's Charter, Bylaws or
instruments corresponding thereto or other actions which may
impede the acquisition of control of the Company by any person;
(h) causing a class of securities of the Company to be
delisted from a national securities exchange or to cease to be
authorized to be quoted in an inter-dealer quotation system of a
registered national securities association;
(i) a class of equity securities of the Company becoming
eligible for termination of registration pursuant to Section 12(g)(4)
of the Securities Exchange Act of 1934; or
(j) any action similar to any of those enumerated
above.
Item 5. Interest in Securities of the Issuer
There has been no change in the beneficial ownership of the
Company's securities by Mr. Alissa, the Establishment, GIL or FIL
since the last
<PAGE>
CUSIP No. 874687106 Page 15 of 17
transaction reported in Amendment No. 8 to this Schedule 13D. There
has been no change in the beneficial ownership of the Company's
securities by Messrs. Rockow, Craig or Danzell since the filing of
Amendment No. 14 to this Schedule 13D.
<PAGE>
CUSIP No. 874687106 Page 16 of 17
SIGNATURES
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.
ABDULLATIF ALI ALISSA EST.
Dated: April 21, 1997 By: /s/ Saad A. Alissa
___________________________
Saad A. Alissa
Dated: April 21, 1997 /s/ Saad A. Alissa
___________________________
Saad A. Alissa
FINANCIAL INVESTORS LIMITED
Dated: April 21, 1997 By: /s/ Saad A. Alissa
Saad A. Alissa, Secretary
GENERAL INVESTORS LIMITED
Dated: April 21, 1997 By: /s/ Saad A. Alissa
Saad A. Alissa, Secretary
Dated: April 21, 1997 /s/ Ralph Rockow
Ralph Rockow
Dated: April 21, 1997 /s/ Robert Craig
Robert Craig
Dated: April 21, 1997 /s/ William B. Danzell
William B. Danzell
<PAGE>
CUSIP No. 874687106 Page 17 of 17
STATEMENT REQUIRED BY RULE 13d-1(f)
The foregoing amendment to Schedule 13D and any further
amendments thereto with respect to the Common Stock of Talley
Industries, Inc. is a joint filing on behalf of the persons named
below pursuant to the provisions of Rule 13d-1(f) of the
Securities Exchange Act of 1934.
ABDULLATIF ALI ALISSA EST.
Dated: April 21, 1997 By: /s/Saad A. Alissa
Saad A. Alissa
Dated: April 21, 1997 /s/Saad A. Alissa
Saad A. Alissa
FINANCIAL INVESTORS LIMITED
Dated: April 21, 1997 By: /s/Saad A. Alissa
Saad A. Alissa, Secretary
GENERAL INVESTORS LIMITED
Dated: April 21, 1997 By: /s/Saad A. Alissa
Saad A. Alissa, Secretary
Dated: April 21, 1997 /s/ Ralph Rockow
Ralph Rockow
Dated: April 21, 1997 /s/ Robert Craig
Robert Craig
Dated: April 21, 1997 /s/William B. Danzell
William B. Danzell
DC1DOCS1.50812
