-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, RWFloQVd3XpFMej3lHypJq0pauISM9rCWvWl4YiltpMpHMO4GpeETob/kokBRr4B aQuqj/glr+i/NRjfCYbS4w== 0000927016-02-005921.txt : 20021216 0000927016-02-005921.hdr.sgml : 20021216 20021216145613 ACCESSION NUMBER: 0000927016-02-005921 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 2 FILED AS OF DATE: 20021216 GROUP MEMBERS: HIGHFIELDS CAPITAL LTD GROUP MEMBERS: HIGHFIELDS GP LLC GROUP MEMBERS: JONATHON S. JACOBSON GROUP MEMBERS: RICHARD L. GRUBMAN FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: HIGHFIELDS CAPITAL MANAGEMENT LP CENTRAL INDEX KEY: 0001079563 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 200 CLARENDON STREET 51ST FLOOR CITY: BOSTON STATE: MA ZIP: 02117 BUSINESS PHONE: 6178507500 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: STILWELL FINANCIAL INC CENTRAL INDEX KEY: 0001065865 STANDARD INDUSTRIAL CLASSIFICATION: FINANCE SERVICES [6199] IRS NUMBER: 431804048 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-60963 FILM NUMBER: 02858512 BUSINESS ADDRESS: STREET 1: 920 MAIN STREET 21ST FLOOR CITY: KANSAS CITY STATE: MO ZIP: 64105 BUSINESS PHONE: 8162182400 MAIL ADDRESS: STREET 1: 920 MAIN STREET 21ST FLOOR CITY: KANSAS CITY STATE: MO ZIP: 64105 FORMER COMPANY: FORMER CONFORMED NAME: FAM HOLDINGS INC DATE OF NAME CHANGE: 19980710 SC 13D/A 1 dsc13da.txt AMENDMENT #4 TO SCHEDULE 13-D UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 SCHEDULE 13D/A (Amendment No. 4) Under the Securities Exchange Act of 1934 STILWELL FINANCIAL, INC. (Name of issuer) Common Stock, $0.01 Par Value Per Share (Title of class of securities) 860831106 ---------- (CUSIP number) Joseph F. Mazzella, General Counsel Louis Goodman, Esquire Highfields Capital Management LP Skadden, Arps, Slate, Meagher & Flom LLP 200 Clarendon Street One Beacon Street Boston, MA 02116 Boston, MA 02108 (617) 850-7500 (617) 573-4800 (Name, address and telephone number of person authorized to receive notices and communications) December 16, 2002 ------------------ (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 that is the subject of this Schedule 13D, and is filing this schedule because of Rule 13d-1(e), 13d-1(f) or 13d-1(g), check the following box [_]. (Continued on the following pages) (Page 1 of 9 Pages) * 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 or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act. - ------------------------ ------------------------ CUSIP No. 860831106 13D/A Page 2 of 9 pages - ------------------------ ------------------------ - -------------------------------------------------------------------------------- NAMES OF REPORTING PERSONS 1 S.S. OR I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS. Highfields Capital Management LP - -------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP 2 (a) [_] (b) [_] - -------------------------------------------------------------------------------- SEC USE ONLY 3 - -------------------------------------------------------------------------------- SOURCE OF FUNDS 4 AF - -------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] 5 - -------------------------------------------------------------------------------- CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - -------------------------------------------------------------------------------- SOLE VOTING POWER 7 NUMBER OF 17,847,587 SHARES ------------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 OWNED BY None ------------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 17,847,587 PERSON ------------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 None - -------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 17,847,587 - -------------------------------------------------------------------------------- CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 12 [_] - -------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 8.0% - -------------------------------------------------------------------------------- TYPE OF REPORTING PERSON 14 PN - -------------------------------------------------------------------------------- - ------------------------ ------------------------ CUSIP No. 860831106 13D/A Page 3 of 9 pages - ------------------------ ------------------------ - -------------------------------------------------------------------------------- NAMES OF REPORTING PERSONS 1 S.S. OR I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS. Highfields GP LLC - -------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP 2 (a) [_] (b) [_] - -------------------------------------------------------------------------------- SEC USE ONLY 3 - -------------------------------------------------------------------------------- SOURCE OF FUNDS 4 AF - -------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] 5 - -------------------------------------------------------------------------------- CITIZENSHIP OR PLACE OF ORGANIZATION 6 Delaware - -------------------------------------------------------------------------------- SOLE VOTING POWER 7 NUMBER OF 17,847,587 SHARES ------------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 OWNED BY None ------------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 17,847,587 PERSON ------------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 None - -------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 17,847,587 - -------------------------------------------------------------------------------- CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 12 [_] - -------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 8.0% - -------------------------------------------------------------------------------- TYPE OF REPORTING PERSON 14 OO - -------------------------------------------------------------------------------- - ------------------------ ------------------------ CUSIP No. 860831106 13D/A Page 4 of 9 pages - ------------------------ ------------------------ - ------------------------------------------------------------------------------- NAMES OF REPORTING PERSONS 1 S.S. OR I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS. Highfields Capital Ltd. - -------------------------------------------------------------------------------- CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP 2 (a) [_] (b) [_] - -------------------------------------------------------------------------------- SEC USE ONLY 3 - -------------------------------------------------------------------------------- SOURCE OF FUNDS 4 WC - -------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] 5 - -------------------------------------------------------------------------------- CITIZENSHIP OR PLACE OF ORGANIZATION 6 Cayman Islands, B.W.I. - -------------------------------------------------------------------------------- SOLE VOTING POWER 7 NUMBER OF 11,237,139 SHARES ------------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 OWNED BY None ------------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 11,237,139 PERSON ------------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 None - -------------------------------------------------------------------------------- AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 11,237,139 - -------------------------------------------------------------------------------- CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 12 [-] - -------------------------------------------------------------------------------- PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 5.1% - -------------------------------------------------------------------------------- TYPE OF REPORTING PERSON 14 CO - -------------------------------------------------------------------------------- - ------------------------ ------------------------ CUSIP No. 860831106 13D/A Page 5 of 9 pages - ------------------------ ------------------------ - ------------------------------------------------------------------------------ NAMES OF REPORTING PERSONS 1 S.S. OR I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS. Jonathon S. Jacobson - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP 2 (a) [_] (b) [_] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS 4 AF - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] 5 - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 United States - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 17,847,587 SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 OWNED BY None ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 17,847,587 PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 None - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 17,847,587 - ------------------------------------------------------------------------------ CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 12 [_] - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 8.0% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON 14 IN - ------------------------------------------------------------------------------ - ------------------------ ------------------------ CUSIP No. 860831106 13D/A Page 6 of 9 pages - ------------------------ ------------------------ - ------------------------------------------------------------------------------ NAMES OF REPORTING PERSONS 1 S.S. OR I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS. Richard L. Grubman - ------------------------------------------------------------------------------ CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP 2 (a) [_] (b) [_] - ------------------------------------------------------------------------------ SEC USE ONLY 3 - ------------------------------------------------------------------------------ SOURCE OF FUNDS 4 AF - ------------------------------------------------------------------------------ CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) or 2(e) [_] 5 - ------------------------------------------------------------------------------ CITIZENSHIP OR PLACE OF ORGANIZATION 6 United States - ------------------------------------------------------------------------------ SOLE VOTING POWER 7 NUMBER OF 17,847,587 SHARES ----------------------------------------------------------- SHARED VOTING POWER BENEFICIALLY 8 OWNED BY None ----------------------------------------------------------- EACH SOLE DISPOSITIVE POWER 9 REPORTING 17,847,587 PERSON ----------------------------------------------------------- SHARED DISPOSITIVE POWER WITH 10 None - ------------------------------------------------------------------------------ AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 11 17,847,587 - ------------------------------------------------------------------------------ CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES 12 [_] - ------------------------------------------------------------------------------ PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 13 8.0% - ------------------------------------------------------------------------------ TYPE OF REPORTING PERSON 14 IN - ------------------------------------------------------------------------------ - ------------------------ ------------------------ CUSIP No. 860831106 13D/A Page 7 of 9 pages - ------------------------ ------------------------ This Amendment No. 4 to Schedule 13D ("Amendment No. 4") amends and supplements the Statement on Schedule 13D, filed on November 7, 2002, by Highfields Capital Management LP, Highfields GP LLC, Highfields Capital Ltd., Jonathon S. Jacobson and Richard L. Grubman, as amended on November 25, 2002, December 2, 2002 and December 13, 2002 (the "Schedule 13D"). This Amendment No. 4 is being filed to supplement Item 4 hereof. Except as herein supplemented or amended, all other information in the Schedule 13D is as set forth therein. All capitalized terms used herein and not otherwise defined shall have the meanings ascribed thereto in the Schedule 13D. Item 4. Purpose of the Transaction -------------------------- Attached to this Schedule 13D as Exhibit 99.1 is the form of letter sent to Landon Rowland, Chairman of the Board of Stilwell Financial, Inc. on December 16, 2002. ---------------------- ------------------------ CUSIP No. 860831106 13D/A Page 8 of 9 pages - ------------------------ ------------------------ Item 7. Material to be Filed as Exhibits. The following documents are filed as exhibits to this Schedule 13D. Exhibit 99.1 Letter from Highfields to Stilwell Financial, Inc. dated December 16, 2002. ----------------------- ------------------------ CUSIP No. 860831106 13D/A Page 9 of 9 pages - ------------------------ ------------------------ SIGNATURES After reasonable inquiry and to the best of his, her or its knowledge and belief, each of the persons signing below certifies that the information set forth in this statement is true, complete and correct. Date: December 16, 2002 HIGHFIELDS CAPITAL MANAGEMENT LP By: Highfields GP LLC, its General Partner /s/ Kenneth H. Colburn --------------------------------------------- Signature Kenneth H. Colburn, Authorized Signatory --------------------------------------------- Name/Title HIGHFIELDS GP LLC /s/ Kenneth H. Colburn --------------------------------------------- Signature Kenneth H. Colburn, Authorized Signatory --------------------------------------------- Name/Title HIGHFIELDS CAPITAL LTD. By: Highfields Capital Management LP, its Investment Manager By: Highfields GP LLC, its General Partner /s/ Kenneth H. Colburn --------------------------------------------- Signature Kenneth H. Colburn, Authorized Signatory --------------------------------------------- Name/Title JONATHON S. JACOBSON /s/ Kenneth H. Colburn --------------------------------------------- Signature Kenneth H. Colburn, Attorney-in-fact --------------------------------------------- Name/Title RICHARD L. GRUBMAN /s/ Kenneth H. Colburn --------------------------------------------- Signature Kenneth H. Colburn, Attorney-in-fact --------------------------------------------- Name/Title EX-99.1 3 dex991.txt LETTER FROM HIGHFIELDS, TO STILWELL FINANCIAL, INC Exhibit 99.1 [HIGHFIELDS CAPITAL LOGO] December 16, 2002 Mr. Landon H. Rowland Chairman and CEO Stilwell Financial Inc. 920 Main St.--21st Floor Kansas City, MO 64105 Dear Landon: Since we first spoke last month, there has been considerable speculation in the marketplace as to what Highfields' intentions are. Additionally, in the past few weeks, the Janus management has openly acknowledged that the current level of compensation is a problem that it intends to address, and in discussions has allowed that disposing of the DST Systems, Inc. stake in a fully-taxable transaction would be value-destroying. We want to commend you and Mark Whiston for undertaking both this broad reevaluation of alternatives for DST and the compensation and employment arrangements originally contemplated in the proposed reorganization. Clearly, these are steps in the right direction. As we communicated to you in our prior discussions, we do not believe that your current debt level is excessive, and bringing total compensation expense in line with industry norms will only improve Stilwell's coverage ratios. Your recent Form 8-K filing demonstrated that the range of alternative transactions is broad and the task of redesigning compensation arrangements is substantial. The shareholders' interest lies in allowing adequate time for alternatives of any kind to be explored and in the Board having time to receive, deliberate and take action on them. In this era of heightened scrutiny on issues relating to good corporate governance, we believe that these initiatives, particularly the compensation restructuring, should be undertaken prior to the completion of the reorganization, and if this causes the reorganization to be pushed into next year, so be it. Furthermore, pursuant to Janus management's representations that the "new Janus" will be more transparent, it would be helpful if Stilwell publicly disclosed the Janus employment contracts now while the issue is on the table rather than waiting until the next proxy when the reorganization will presumably have been completed. We appreciate your efforts, and that of your fellow Board members to both preserve the valuable Janus franchise, and to position it for future growth. We are confident that your decision to be open to alternatives will reward shareholders, as well as Janus management, employees and clients. Sincerely, Jonathon S. Jacobson Richard Grubman Cc: Mark B. Whiston Highfields Capital Management LP 200 Clarendon Street o Boston o Massachusetts 02116 Telephone 617-850-7500 o -----END PRIVACY-ENHANCED MESSAGE-----