-----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, NVMEDM/cHMOVvf/fMoVJVVYeyogQhD31sZ1ev4ktzaDPY7byEGIWl0BpEE2yYSfB yOJFIBlj15stJuOHYBTXTw== 0000909518-03-000017.txt : 20030115 0000909518-03-000017.hdr.sgml : 20030115 20030115165001 ACCESSION NUMBER: 0000909518-03-000017 CONFORMED SUBMISSION TYPE: SC 13D PUBLIC DOCUMENT COUNT: 2 FILED AS OF DATE: 20030115 GROUP MEMBERS: BAY HARBOUR 98-1, LTD. GROUP MEMBERS: BAY HARBOUR INVESTMENTS, INC. GROUP MEMBERS: BAY HARBOUR PARTNERS, LTD. GROUP MEMBERS: BHB LLC GROUP MEMBERS: DOUGLAS P. TEITELBAUM GROUP MEMBERS: STEVEN A. VAN DYKE GROUP MEMBERS: TOWER INVESTMENT GROUP, INC. GROUP MEMBERS: TROPHY HUNTERS INVESTMENTS, LTD. GROUP MEMBERS: TROPHY HUNTERS, INC. SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: BARNEYS NEW YORK INC CENTRAL INDEX KEY: 0001087414 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-WOMEN'S CLOTHING STORES [5621] IRS NUMBER: 134040818 FILING VALUES: FORM TYPE: SC 13D SEC ACT: 1934 Act SEC FILE NUMBER: 005-58025 FILM NUMBER: 03515223 BUSINESS ADDRESS: STREET 1: 575 FIFTH AVE CITY: NEW YORK STATE: NY ZIP: 10017 BUSINESS PHONE: 2123393300 MAIL ADDRESS: STREET 1: 575 FIFTH AVE CITY: NEW YORK STATE: NY ZIP: 10017 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: BAY HARBOUR MANAGEMENT LC CENTRAL INDEX KEY: 0001049310 IRS NUMBER: 593418243 STATE OF INCORPORATION: FL FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D BUSINESS ADDRESS: STREET 1: 777 SOUTH HARBOUR ISLAND BLVD CITY: TAMPA STATE: FL ZIP: 33602 BUSINESS PHONE: 8132721992 MAIL ADDRESS: STREET 1: 777 SOUTH HARBOUR ISLAND BLVD CITY: TAMPA STATE: FL ZIP: 33602 SC 13D 1 jd1-15_13d.txt ================================================================================ SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ----------------------- SCHEDULE 13D (RULE 13D-101) ----------------------- (AMENDMENT NO. 3) INFORMATION TO BE INCLUDED IN STATEMENTS FILED PURSUANT TO RULE 13D-1(A) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13D-2(A) BARNEYS NEW YORK, INC. - -------------------------------------------------------------------------------- (Name of Issuer) COMMON STOCK, PAR VALUE $.01 PER SHARE 06808T 107 - ----------------------------------------- --------------------------------- (Title of class of securities) (CUSIP number) BAY HARBOUR MANAGEMENT L.C. 885 Third Avenue, 34th Floor New York, New York 10022 (212) 371-2211 BAY HARBOUR PARTNERS, LTD. c/o MeesPierson Montague Sterling Center East Bay Street P.O. Box SS6238 Nassau, Bahamas STEVEN A. VAN DYKE DOUGLAS P. TEITELBAUM c/o Bay Harbour Management L.C. 885 Third Avenue, 34th Floor New York, New York 10022 (212) 371-2211 - -------------------------------------------------------------------------------- (Name, address and telephone number of person authorized to receive notices and communications) WITH A COPY TO: TED S. WAKSMAN, ESQ. Weil, Gotshal & Manges LLP 767 Fifth Avenue New York, New York 10153-0119 (212) 310-8000 December 2, 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 which 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 [ ]. Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See Rule 13d-7(b) for other parties to whom copies are to be sent. (Continued on the following pages) (Page 1 of 17 Pages) ================================================================================
- --------------------------------------------------------------------------- ----------------------------------------- CUSIP No.06808T107 13D Page 2 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Bay Harbour Management L.C. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- ---------------------------------------------- --------------------------------------------------------- 4 SOURCE OF FUNDS: OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Florida, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 5,648,087 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 5,648,087 - --------------------------- -------------------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 5,648,087 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] -- - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 39.8% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: IA - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 3 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Tower Investment Group, Inc. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Florida, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 5,648,087 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 5,648,087 - --------------------------- -------------------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 5,648,087 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 39.8% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: HC - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 4 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Steven A. Van Dyke IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 5 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: United States - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: 30,000 BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 5,648,087 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: 30,000 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 5,648,087 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 5,678,087 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 39.9% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: IN - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 5 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Douglas P. Teitelbaum IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- ---------------------------------------------- --------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- --------------------------------------------------------------------------- ---------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: United States - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: 30,000 BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 5,648,087 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: 30,000 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 5,648,087 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 5,678,087 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 39.9% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: IN - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 6 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Trophy Hunters, Inc. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- ---------------------------------------------- --------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Florida, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 216,011 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 216,011 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 216,011 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.6% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: CO - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 7 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Trophy Hunter Investments, Ltd. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Florida, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 216,011 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 216,011 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 216,011 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.6% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: PN - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 8 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Bay Harbour Investments, Inc. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Florida, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 6,627 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 6,627 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 6,627 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 0.05% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: CO - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 9 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Bay Harbour 98-1, Ltd. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Florida, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 6,627 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 6,627 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 6,627 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 0.05% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: PN - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 10 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: BHB LLC IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware, USA - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 4,935,420 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 4,935,420 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 4,935,420 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 35.5% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: OO - --------------------------- -------------------------------------------------------------------------------------------------------- - --------------------------------------------------------------------------- ----------------------------------------- CUSIP No. 06808T107 13D Page 11 of 17 - --------------------------------------------------------------------------- ----------------------------------------- - --------------------------- -------------------------------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON: Bay Harbour Partners, Ltd. IRS IDENTIFICATION NO. OF ABOVE PERSON: - --------------------------- -------------------------------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [ ] (b) [x] - --------------------------- -------------------------------------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------- -------------------------------------------------------------------------------------------------------- 4 SOURCE OF FUNDS OO - --------------------------- -------------------------------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) or 2(e): [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION: Bahamas - --------------------------- ----------- -------------------------------------------------------------------------------------------- NUMBER OF SHARES 7 SOLE VOTING POWER: -0- BENEFICIALLY OWNED BY EACH REPORTING PERSON WITH - --------------------------- ----------- -------------------------------------------------------------------------------------------- 8 SHARED VOTING POWER: 14,572 - --------------------------- ----------- -------------------------------------------------------------------------------------------- 9 SOLE DISPOSITIVE POWER: -0- - --------------------------- ----------- -------------------------------------------------------------------------------------------- 10 SHARED DISPOSITIVE POWER: 14,572 - --------------------------- -------------------------------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON: 14,572 - --------------------------- -------------------------------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ] - --------------------------- -------------------------------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 0.1% - --------------------------- -------------------------------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON: CO - --------------------------- --------------------------------------------------------------------------------------------------------
This Amendment No. 3 ("Amendment No. 3") amends the statement on Schedule 13D (the "Schedule 13D") filed on March 27, 2000, as amended by Amendment No. 1 filed on September 8, 2000 and Amendment No. 2 filed on October 25, 2000, by and on behalf of Bay Harbour Management L.C. ("Bay Harbour"), Tower Investment Group, Inc. ("Tower"), Steven A. Van Dyke ("Mr. Van Dyke"), Douglas P. Teitelbaum ("Mr. Teitelbaum"), Trophy Hunters, Inc. ("Trophy"), Trophy Hunter Investments, Ltd. ("Trophy Investments"), Bay Harbour Investments, Inc. ("Bay Harbour Investments"), Bay Harbour 98-1, Ltd. ("Bay Harbour 98-1"), BHB LLC ("BHB LLC") and Bay Harbour Partners, Ltd. ("Bay Harbour Partners") (the foregoing being referred to collectively as the "Reporting Persons") with respect to their ownership of common stock, par value $0.01 per share ("Common Stock"), of Barneys New York, Inc., a Delaware corporation (the "Company"). Capitalized terms used herein and not defined herein have the meanings ascribed to them in the Schedule 13D. ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION. Since the filing of Amendment No. 2, each of Messrs. Teitelbaum and Van Dyke were granted options to purchase 25,000 shares of Common Stock under the Company's Stock Option Plan for Non-Employee Directors. In addition, the response to Item 4 hereof is incorporated herein by reference. ITEM 4. PURPOSE OF TRANSACTION. The Reporting Persons acquired the shares of Common Stock for investment purposes. The Reporting Persons may acquire additional securities of the Company or dispose of securities of the Company at any time and from time to time in the open market or otherwise. Bay Harbour and Whippoorwill are parties to a Stockholders Agreement, dated as of November 13, 1998 (as amended from time to time, the "Stockholders Agreement"), which sets forth their agreement with respect to certain matters relating to the shares of Common Stock held by them. Pursuant to the Stockholders Agreement, each of Bay Harbour and Whippoorwill have agreed to (i) grant rights of first offer as well as tag along rights in the event of a transfer of shares, (ii) grant the other the right to participate in an acquisition of additional shares of Common Stock by either of them, and (iii) give the other a right of first refusal to purchase shares of Common Stock which either of them has requested the Company to register pursuant to the Registration Rights Agreement dated January 28, 1999 among Bay Harbour, Whippoorwill and the Company. In addition, Bay Harbour and Whippoorwill have agreed to take all actions necessary to elect the three designees of each, one designee of Isetan Company Ltd., the chief executive officer of the Company and three independent directors, to the Board of Directors of the Company. The Stockholders Agreement also generally prohibits each of Bay Harbour and Whippoorwill from voting the shares of Common Stock held by it in favor of amending the Company's Certificate of Incorporation or Bylaws or a sale of the Company without the consent of the other. The number of shares indicated as being beneficially owned by Bay Harbour does not include the shares of Common Stock held by Whippoorwill which are the subject of the Stockholders Agreement and with respect to which Bay Harbour disclaims beneficial ownership. The Stockholders Agreement may be terminated at any time by either party thereto. Pursuant to a stockholders agreement, dated as of January 8, 2001 (the "Socol Stockholders Agreement"), Bay Harbour, Whippoorwill and Howard Socol ("Mr. Socol") have agreed to provide each other certain co-sale rights in 12 connection with any sales of their Common Stock. Mr. Socol also agreed to vote half of his shares as directed by Bay Harbour and half as directed by Whippoorwill. As of January 14, 2003, Mr. Socol beneficially owned 596,117 shares, 396,117 pursuant to options and 200,000 shares of restricted stock. The Company committed to issue Mr. Socol the restricted shares on January 10, 2003, but the shares will not be issued until February 2, 2003 (the first day of the Company's 2003 fiscal year). Although the foregoing represents the range of activities presently contemplated by the Reporting Persons with respect to the Company, it should be noted that the possible activities of the Reporting Persons are subject to change at any time. Except as set forth above, none of the Reporting Persons has any present plans or proposals which relate to or would result in any of the actions described in subparagraphs (a) through (j) of Item 4 of Schedule 13D. ITEM 5. INTEREST IN SECURITIES OF THE ISSUER. (a) The responses of the Reporting Persons to Rows (11) through (13) of the cover pages of this Schedule 13D are incorporated herein by reference. As of January 14, 2003, the Reporting Persons beneficially owned the number of shares of Common Stock listed below, representing approximately the percentage of the outstanding shares of Common Stock set forth opposite such number (based on the number of shares outstanding as of September 13, 2002 (13,903,227 shares), as reported in the Company's Form 10-Q for the quarterly period ended August 3, 2002), determined in accordance with Rule 13d-3(d)(1): Name Number of Shares Percent of Class - ---- ---------------- ---------------- Bay Harbour Management L.C. 5,648,087 (1) 39.8% Tower Investment Group, Inc. 5,648,087 39.8% Steven A. Van Dyke 5,678,087 (2) 39.9% Douglas P. Teitelbaum 5,678,087 (2) 39.9% Trophy Hunters, Inc. 216,011 (3) 1.6% Trophy Hunter Investments, Ltd. 216,011 (3) 1.6% Bay Harbour Investment, Inc. 6,627 (3) 0.05% Bay Harbour 98-1, Ltd. 6,627 (3) 0.05% BHB LLC 4,935,420 35.5% Bay Harbour Partners, Ltd. 14,572 (3) 0.1% - --------------------- (1) Includes 298,059 shares beneficially owned by Mr. Socol which are the subject of the Socol Stockholders Agreement, pursuant to which Mr. Socol agreed to vote such shares at the direction of Bay Harbour. (2) Includes 30,000 shares issuable upon the exercise of options granted to each of Mr. Van Dyke and Mr. Teitelbaum under the Company's Stock Option Plan for Non-Employee Directors. (3) Does not include any shares beneficially owned by BHB LLC, in which they are members. For purposes of disclosing the number of shares beneficially owned by each of the Reporting Persons, (A) Mr. Van Dyke and Mr. Teitelbaum, as shareholders, officers and directors of Tower, may be deemed to beneficially own 13 all shares of Common Stock that are owned beneficially by Tower and (B) Tower, as the majority shareholder of Bay Harbour, may be deemed to own beneficially (as that term is defined in Rule 13d-3 under the Securities Exchange Act of 1934) all shares of Common Stock that are beneficially owned by Bay Harbour. Each of Mr. Van Dyke and Mr. Teitelbaum disclaim beneficial ownership of such shares for all other purposes. Bay Harbour Investments, as the general partner of Bay Harbour 98-1, may be deemed to own beneficially (as that term is defined in Rule 13d-3 under the Securities Exchange Act of 1934) shares of Common Stock of which Bay Harbour 98-1 may be deemed to possess direct beneficial ownership. Each of Mr. Van Dyke and Mr. Teitelbaum, as shareholders, officers and directors of Bay Harbour Investments, Bay Harbour and Tower may be deemed to beneficially own shares of Common Stock which Bay Harbour 98-1 may be deemed to beneficially own. Each of Mr. Van Dyke and Mr. Teitelbaum disclaims beneficial ownership of such shares for all other purposes. Trophy, as the general partner of Trophy Investments, may be deemed to own beneficially (as that term is defined in Rule 13d-3 under the Securities Exchange Act of 1934) shares of Common Stock of which Trophy Investments may be deemed to possess direct beneficial ownership. Each of Mr. Van Dyke and Mr. Teitelbaum, as shareholders, officers and directors of Trophy, Bay Harbour and Tower may be deemed to beneficially own shares of Common Stock which Trophy Investments may be deemed to beneficially own. Each of Mr. Van Dyke and Mr. Teitelbaum disclaims beneficial ownership of such shares for all other purposes. Bay Harbour, as the investment advisor of Bay Harbour Partners, may be deemed to own beneficially (as that term is defined in Rule 13d-3 under the Securities Exchange Act of 1934) shares of Common Stock of which Bay Harbour Partners may be deemed to possess direct beneficial ownership. Each of Mr. Van Dyke and Mr. Teitelbaum, as shareholders, officers and directors of Bay Harbour and Tower may be deemed to beneficially own shares of Common Stock which Bay Harbour Partners may be deemed to beneficially own. Each of Mr. Van Dyke and Mr. Teitelbaum disclaims beneficial ownership of such shares for all other purposes. Except as disclosed in this Item 5(a), none of the Reporting Persons, nor, to the best of their knowledge, any of their executive officers and directors, beneficially owns any securities of the Company or presently has a right to acquire any securities of the Company. (b) The responses of the Reporting Persons to (i) Rows (7) through (10) of the cover pages of this statement on Schedule 13D and (ii) Item 5(a) hereof are incorporated herein by reference. (c) Not applicable. (d) No other person is known to have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of, the shares of Common Stock, except the dividends from, or proceeds from the sale of shares of Common Stock in each respective account managed by Bay Harbour and the investment partnerships for which Bay Harbour acts as an investment advisor, will be delivered into each such respective account or to such investment partnership, as the case may be. Other than as described in Item 5 hereof, no such individual account, investment partnership or limited partner thereof has an interest in shares of Common Stock reported in this Schedule 13D representing more than five percent of the Common Stock outstanding. (e) Not applicable. 14 ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT TO SECURITIES OF THE ISSUER. The response to Item 4 hereof is incorporated herein by reference. ITEM 7. MATERIAL TO BE FILED AS EXHIBITS. EXHIBIT 1 Stockholders Agreement, dated as of January 8, 2001, among Bay Harbour Management L.C., Whippoorwill Associates, Inc. and Howard Socol. 15 SIGNATURES After reasonable inquiry and to the best knowledge and belief of the undersigned, the undersigned certifies that the information set forth in this statement is true, complete and correct. Dated as of: January 14, 2003 TOWER INVESTMENT GROUP, INC. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: President BAY HARBOUR MANAGEMENT L.C. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: President /s/ Steven A. Van Dyke ------------------------------------------ STEVEN A. VAN DYKE /s/ Douglas P. Teitelbaum ------------------------------------------ DOUGLAS P. TEITELBAUM TROPHY HUNTER INVESTMENTS, LTD. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: Authorized Signatory BAY HARBOUR INVESTMENTS, INC. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: Authorized Signatory 16 BAY HARBOUR 98-1, LTD. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: Authorized Signatory TROPHY HUNTERS, INC. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: Authorized Signatory BAY HARBOUR PARTNERS, LTD. By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: Authorized Signatory BHB LLC By: /s/ Steven A. Van Dyke ------------------------------------------- Name: Steven A. Van Dyke Title: Authorized Signatory 17 EX-99 3 jd1-15_ex1.txt 1 Exhibit 1 STOCKHOLDERS AGREEMENT STOCKHOLDERS AGREEMENT, dated as of January 8, 2001 (this "Agreement"), among Bay Harbour Management L.C. for its managed accounts ("Bay Harbour"), Whippoorwill Associates, Inc. as agent and/or general partner for its discretionary accounts and as investment advisor to Whippoorwill/Barney's Obligations Trust - 1996 ("Whippoorwill" and, together with Bay Harbour, the "Initial Stockholders"), and Howard Socol (collectively with his heirs and testamentary assigns, "Socol", and Socol together with the Initial Stockholders being referred to as the "Stockholders"). W I T N E S S E T H : WHEREAS, each of the Initial Stockholders presently owns shares of Common Stock, $.01 par value (the "Common Stock"), of Barneys New York, Inc., a Delaware corporation ("Barneys"); and WHEREAS, pursuant to an employment agreement (the "Employment Agreement") of even date herewith between Barneys and Socol, Socol has been or will be granted options to purchase shares of Common Stock; and WHEREAS, the Stockholders wish to provide for certain arrangements with respect to the shares of Common Stock now owned or to be acquired in the future by any of them; NOW, THEREFORE, in consideration of the agreements, premises and mutual covenants contained herein, the parties hereto, intending to be legally bound, hereby agree as follows: 1. Disposition of Common Stock. (a) Restriction on Transfer of Shares. Each Initial Stockholder agrees that, except in a transaction (or transactions) permitted by the first sentence of Section 1(b) below or contemplated by Section 2 below, such Initial Stockholder shall not, during the term of this Agreement, without the written consent of Socol, either directly or indirectly, transfer, sell, assign, mortgage, hypothecate, pledge, create a security interest in or lien upon, encumber, donate, contribute, place in trust (including a voting trust), or otherwise voluntarily or involuntarily dispose of (each, a "Transfer") any shares of Common Stock held by such Stockholder. (b) Permitted Dispositions. Each Initial Stockholder shall, without regard to the provisions of Sections 2 and 3 hereof, be entitled to, upon not less than 5 Business Days' written notice to each other Stockholder, (i) directly or indirectly Transfer all or any portion of its shares of Common Stock to any Affiliate of such Initial Stockholder or to the other Initial Stockholder or any of its Affiliates, (ii) in connection with the liquidation, partial liquidation, winding up or termination of any account for which it is agent, general partner or investment advisor in accordance with the terms of such account or pursuant to a direction by the holder or holders of such account, either (A) directly or indirectly Transfer all the shares of Common Stock allocable to such account to the beneficiaries thereof, or (B) sell any or all the shares of Common Stock allocable to such account to a third party, and (iii) in connection with a request for redemption or partial redemption by any account (or the holder or holders of such account) for which it is agent, general partner or investment advisor, either (A) directly or indirectly Transfer that portion of the shares of Common Stock allocable to such account to the beneficiaries thereof, or (B) sell any or all the shares of Common Stock allocable to such account to a third party, in each case, to the extent necessary to satisfy such request; provided, however, that any redemption made pursuant to clause (iii) may only be made to the extent such Initial Stockholder is unable to satisfy such request for redemption by Transferring securities other than shares of Common Stock, using commercially reasonable efforts consistent with such Initial Stockholder's investment diversification policies consistently applied in good faith; and provided further, however, that any Transfer or sale of shares of Common Stock pursuant to clauses (ii) or (iii) above (other than distributions in kind pursuant to clauses (ii)(A) or (iii)(A) above) shall not be made without compliance with Sections 2 or 3 hereof to the extent any such Transfer or sale would result in a Change of Control of Barneys, as such term is defined in the Employment Agreement. No distributions in kind pursuant to clauses (ii)(A) or (iii)(A) above may be made to any person or entity who, as a result of such distribution in kind, would (x) cause the Stockholders and their respective Affiliates to beneficially own, in the aggregate, less than 40% of the Voting Stock (as defined in the Employment Agreement) of the Company, and (y) become the beneficial owner of more than the Voting Stock of the Company beneficially owned, directly or indirectly, by the Stockholders and their respective Affiliates. As used in this Agreement, the terms "beneficially own" and "beneficial owner" are used as defined in Rule 13d-3 of the Securities Exchange Act of 1934, as amended. In addition, each Initial Stockholder shall be entitled to, without regard to the provisions of Section 2 hereof, (A) sell or offer to sell all or any portion of its shares of Common Stock pursuant to a public offering (a "Public Offering") registered under the Securities Act of 1933, as amended (the "Securities Act"), and (B) publicly sell or offer to sell all or any portion of its shares of Common Stock pursuant to Rule 144 of the Securities Act (other than paragraph (h) thereof) provided that Barneys is a reporting company pursuant to the Securities Exchange Act of 1934, as amended. As used in this Agreement, the term (i) "Affiliate" means, with respect to any person or entity, any other person or entity that, within the meaning of Rule 12b-2 promulgated under the Securities Exchange Act of 1934, as amended, "controls," is "controlled by" or is under "common control with" such person or entity, and (ii) "Business Day" means any day other than a Saturday, a Sunday, or any other day on which banking institutions in New York City are required or authorized to close by law or executive order. (c) Condition Precedent to Certain Permitted Dispositions. In the event of any disposition pursuant to Section 1(b)(i) hereof, the transferee (and 2 all subsequent transferees permitted pursuant to Section 1(b)(i)) shall be bound and obligated by, and shall be entitled to the rights and benefits afforded to the Stockholders under the terms and provisions of, this Agreement. As a condition precedent to any disposition by any Initial Stockholder of shares of Common Stock permitted pursuant to Section 1(b)(i) above, each purchaser, transferee or donee (other than a Stockholder who is already a party hereto) shall agree in writing to be bound by all of the provisions and conditions of this Agreement applicable to the transferor and shall become a Stockholder hereunder, and no such purchaser, transferee or donee shall be permitted to effect any transfer, sale or exchange of shares of Common Stock which the Stockholders are not permitted to make under this Agreement. 2. Tag-Along Right. (a) No Initial Stockholder shall Transfer any Common Stock, in a single transaction or related series of transactions, to any third party unless the Transfer is a bona fide sale to a party which is not an Affiliate of Barneys or any Stockholder which was negotiated on an arms-length basis, and the terms and conditions of such sale, (the "Third Party Disposition") to such third party shall contain an offer to Socol to include in such Third Party Disposition such number of shares of Common Stock as is determined in accordance with Section 2(b) below. At least 5 Business Days prior to effecting any Third Party Disposition, such Initial Stockholder (the "Selling Stockholder") shall promptly cause the terms and conditions of the Third Party Disposition to be reduced to a reasonably detailed writing (which writing shall identify the third party purchaser and shall include the offer to Socol to purchase or otherwise acquire his shares of Common Stock, according to the terms and subject to the conditions of this Section 2), and shall deliver, or cause the third party to deliver, written notice (the "Notice") of the terms of such Third Party Disposition to Socol. The Notice shall be accompanied by a true and correct copy of the agreement, if any, embodying the terms and conditions of the proposed Third Party Disposition or such written summary thereof if there is no agreement. At any time after receipt of the Notice (but in no event later than 5 Business Days after receipt), Socol may accept the offer included in the Notice for up to such number of his shares of Common Stock, as determined in accordance with the provisions of Section 2(b) below, by furnishing irrevocable written notice of such acceptance to the Selling Stockholder and to the third party. It is understood, however, that Socol shall not be required to sell his shares if the Third Party Disposition is not consummated by the Selling Stockholder. If either Initial Stockholder is considering a possible Third Party Disposition pursuant to which Socol would have rights under this Section 2, such Initial Stockholder agrees that, as soon as reasonably possible after its receipt of an offer or proposal (other than ordinary broker inquiries) relating to such potential Third Party Disposition, it will forward information relating thereto to Socol. The Initial Stockholders further agree to discuss with and, to the extent in writing and requested by Socol, provide copies of their assessments and evaluations of such potential Third Party Disposition to Socol. Socol agrees that he will not effectuate any sale of his shares of Common Stock to such potential purchaser 3 other than in accordance with the provisions of this Section 2, unless the Initial Stockholders elect not to proceed with such Third Party Disposition. (b) In the event that Socol elects to accept the offer included in the Notice described in Section 2(a) above, Socol shall have the right to sell, transfer or otherwise dispose of such number of his shares of Common Stock pursuant to, and upon consummation of, the Third Party Disposition which is equal to the product of (X) the total number of shares of Common Stock owned by him and (Y) a fraction, the numerator of which shall equal the total number of shares of Common Stock to be sold by the Initial Stockholders to the third party, and the denominator of which shall equal the total number of shares of Common Stock owned by all the Initial Stockholders. If the third party purchaser is not willing to purchase such additional shares, the number of shares to be sold by the Selling Stockholder and Socol shall be proportionately reduced. (c) The purchase of shares of Common Stock pursuant to this Section 2 shall be made on the same terms (including, without limitation, the per share consideration and method of payment, and the date of sale, transfer or other disposition), and subject to the same conditions, if any, as are provided to the Selling Stockholder and stated in the Notice. (d) Upon the consummation of the disposition of shares of Common Stock to the third party pursuant to the Third Party Disposition, the Selling Stockholder shall (i) cause the third party to remit directly to Socol the sales price of its shares of Common Stock disposed of pursuant thereto, and (ii) furnish such other evidence of the completion and time of completion of such disposition and the terms thereof as may reasonably be requested by Socol. (e) If Socol has not delivered to the Selling Stockholder and to the third party written notice of his acceptance of the offer contained in the Notice within 5 Business Days after the receipt of such Notice, he shall be deemed to have waived any and all rights pursuant to this Section 2 with respect to the disposition of his shares of Common Stock described in the Notice, and the Selling Stockholder shall have 30 days (calculated from the first day next succeeding the expiration of the 5 Business Day acceptance period described above), in which to complete the disposition of the aggregate amount of shares of Common Stock described in the Notice to the third party identified in the Notice, on terms not more favorable to the Selling Stockholder than those which were set forth in the Notice. If Socol has delivered irrevocable written notice of acceptance as described in the preceding sentence and, if after 30 days following receipt of the Notice, the Selling Stockholder and the third party shall not have completed the disposition of shares of Common Stock to be sold in connection therewith in accordance with the terms of the Third Party Disposition, all the restrictions on the disposition of shares of Common Stock contained in this Section 2 shall again be in force and effect and Socol shall no longer be required to effectuate such sale. 4 3. Drag-Along Sales. (a) If the Initial Stockholders elect to Transfer at least seventy-five percent (75%) of their shares of Common Stock in a bona-fide arm's-length transaction to any third party which is not an Affiliate of Barneys or any Stockholder (the "Purchaser") other than pursuant to Section 1(b) hereof, then, at the election of both of the Initial Stockholders, Socol shall be required to sell (a "Drag Along Sale") that number of shares of Common Stock equal to the product of (x) a fraction, the numerator of which equals the number of shares of Common Stock to be Transferred by the Initial Stockholders pursuant to this Section 3(a), and the denominator of which equals the total number of shares owned by the Initial Stockholders at the time of such election, and (y) the number of shares of Common Stock then held by Socol ("Drag Along Shares"), for the same consideration, and on the same terms and conditions, upon which the Initial Stockholders propose to dispose of their shares of Common Stock; provided, however, that Socol shall have no obligation pursuant to this Section 3 unless (x) upon the consummation of the Drag Along Sale, Socol shall receive the same forms and amounts of consideration per share as the Initial Stockholders and their Affiliates, or if any Initial Stockholder or any of their Affiliates are given an option as to the form and amount of consideration to be received per share, Socol shall be given the same option and (y) no Initial Stockholder or any of their Affiliates shall receive any other form of disproportionate benefit in connection with such Drag Along Sale. If either Initial Stockholder is considering a possible Transfer pursuant to which Socol would have a Drag Along Sale obligation under this Section 3, such Initial Stockholder agrees that, as soon as reasonably possible after its receipt of an offer or proposal (other than ordinary broker inquiries), relating to such potential Transfer, it will forward information relating thereto to Socol. The Initial Stockholders further agree to discuss with and, to the extent in writing, provide copies of their assessments and evaluations of such potential Transfer to Socol. Socol agrees that he will not effectuate any sale of his shares of Common Stock to such potential purchaser other than in accordance with the provisions of this Section 3, unless the Initial Stockholders elect not to proceed with such Transfer. (b) The Initial Stockholders shall deliver to Socol written notice (the "Drag Along Notice") of any sale to be made pursuant to Section 3(a), which notice shall set forth the consideration to be paid by the Purchaser for each share of Common Stock, the number of shares of Common Stock to be Transferred by each Initial Stockholder, and the other terms and conditions, if any, of such transaction. Within five (5) Business Days after the date of such notice, Socol shall promptly deliver to the Initial Stockholders a limited power-of-attorney authorizing the Initial Stockholders to dispose of such Drag Along Shares to the Purchaser and to execute all other documents required to be executed in connection with such transaction. Pending consummation of the Drag Along Sale, the Initial Stockholders shall promptly notify Socol of any changes in the proposed timing for the Drag Along Sale and any other material developments in connection therewith. (c) If, within thirty (30) days after receipt of the Drag Along Notice by Socol, no sale of the shares of Common Stock owned by the Initial Stockholders in accordance with the provisions of this Section 3 shall have been completed, (i) the Initial Stockholders shall promptly return to Socol any 5 certificates or documents previously delivered by Socol to the Initial Stockholders, and (ii) all of the provisions of this Section 3 shall again be in full force and effect. (d) Simultaneously with the consummation of the sale of shares of Common Stock pursuant to this Section 3, the Initial Stockholders shall cause the Purchaser to remit directly to Socol the consideration with respect to the Drag Along Shares and shall furnish such other evidence of the completion and time of completion of such sale and the terms and conditions, if any, thereof as may reasonably be requested by Socol. The Initial Stockholders shall be primarily liable to Socol for the full amount of such consideration to the extent that such consideration is received by the Initial Stockholders. 4. Voting. On each matter submitted to a vote of the stockholders of Barneys, Socol agrees that he shall vote, direct the vote of, or furnish a consent with respect to, 50% of all shares of Common Stock owned by him in the manner directed by Bay Harbour, and 50% of all shares of Common Stock owned by him in the manner directed by Whippoorwill. Such direction shall in each case be given by Bay Harbour or Whippoorwill, as the case may be, by the delivery of notice to Socol in advance of the vote on each such matter. The provisions of this Section 4 shall terminate on the earlier of (i) the later of January 31, 2003 or the expiration date of the Stockholders Agreement, dated as of November 13, 1998, between Bay Harbour and Whippoorwill, as the same may be amended, restated, supplemented, modified or extended from time to time (the "Initial Stockholders Agreement"), and (ii) a Change of Control (as such term is defined in the Employment Agreement). The Initial Stockholders agree to vote all of their shares of Common Stock in favor of an amendment to Barneys Stock Option Plan to increase the number of authorized shares required in connection with the options granted to Socol pursuant to the Employment Agreement. 5. Equitable Relief. It is hereby acknowledged that irreparable harm would occur in the event that any of the provisions of this Agreement were not performed fully by the parties hereto in accordance with the terms specified herein, and that monetary damages are an inadequate remedy for breach of this Agreement because of the difficulty of ascertaining and quantifying the amount of damage that will be suffered by the parties relying hereon in the event that the undertakings and provisions contained in this Agreement were breached or violated. Accordingly, each party hereto hereby agrees that each other party hereto shall be entitled to an injunction or injunctions to restrain, enjoin and prevent breaches of the undertakings and provisions hereof and to enforce specifically the undertakings and provisions hereof in any court of the United States or any state having jurisdiction over the matter; it being understood that such remedies shall be in addition to, and not in lieu of, any other rights and remedies available at law or in equity. 6 6. Miscellaneous. (a) Notices. Any and all notices, designations, consents, offers, acceptances, or any other communication provided for herein shall be made in writing by personal-delivery, first-class mail (registered or certified, with return receipt requested), telecopier (with "answer back" confirmation), or overnight air courier guaranteeing next day delivery, to the address of such party appearing under its or his name on Annex I hereto (or to such other address as may be designated in writing by any party in accordance with this Section 6(a)). Such notices or communications shall be effective and deemed given upon delivery to said address. (b) Complete Agreement; Amendment. This Agreement constitutes the complete understanding of the parties with respect to its subject matter and supersedes any other agreement or understanding relating thereto, other than the Initial Stockholders Agreement. No amendment, change or modification of this Agreement shall be valid, binding or enforceable, unless the same shall be in writing and signed by each of the Stockholders. (c) Termination. Other than as provided in Section 4 hereof, this Agreement may be terminated (i) at any time by an instrument in writing signed by each of the Stockholders, or (ii) by any Stockholder on the date on which the Initial Stockholders, together with their Affiliates, hold, in the aggregate, less than 10% of the Common Stock then outstanding. (d) Waiver. No failure or delay on the part of any Stockholder in exercising any right, power or privilege hereunder, and no course of dealing among the Stockholders, shall operate as a waiver thereof nor shall any single or partial exercise of any right, power or privilege hereunder preclude the simultaneous or later exercise of any other right, power or privilege. The rights and remedies herein expressly provided are cumulative and not exclusive of any rights and remedies which any Stockholder would otherwise have. (e) Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed to be an original, but all of which together shall constitute but one and the same instrument. (f) Governing Law; Waivers. This Agreement shall be governed by, construed and enforced in accordance with the laws of the State of New York without giving effect to the conflict of laws provisions thereof. Each of the parties hereby submits to personal jurisdiction and waives any objection as to venue in the federal or New York State courts located in the County of New York, State of New York. Service of process on the parties in any action arising out of or relating to this Agreement shall be effective if mailed to the parties in accordance with Section 6(a) hereof. The parties hereto waive all right to trial by jury in any action or proceeding to enforce or defend any rights hereunder. 7 (g) Benefit and Binding Effect. All of the terms and provisions of this Agreement shall inure to the benefit of and be binding upon the parties hereto and their respective successors and assigns including any permitted transferee of their shares of Common Stock pursuant to Section 1(b)(i) hereof. Notwithstanding anything to the contrary contained herein, none of Whippoorwill's rights or obligations hereunder shall apply with respect to any account which is in the process of liquidating, winding up or terminating, which accounts own in the aggregate not more than approximately $4,600,000 in Common Stock. References herein to a Stockholder shall include such Stockholder and any of its successors and assigns pursuant hereto. (h) Severability. Whenever possible, each provision of this Agreement shall be interpreted in such manner as to be effective and valid under applicable law, but if any provision of this Agreement is held to be prohibited by or invalid under applicable law, such provision shall be ineffective only to the extent of such prohibition or invalidity, without invalidating the remainder of this Agreement. (i) After-Acquired Shares. All of the provisions of this Agreement shall apply to all of the shares of capital stock of Barneys now owned either directly or indirectly or which may be issued to or acquired by a Stockholder either directly or indirectly in consequence of any additional issuance (including, without limitation, by exercise of a right, option or warrant), purchase, exchange, conversion or reclassification of stock, corporate reorganization, or any other form of recapitalization, consolidation, merger, stock split or stock dividend, or which are acquired either directly or indirectly by a Stockholder in any other manner and for the purposes hereof the term "Common Stock" shall include any and all such capital stock. 8 IN WITNESS WHEREOF, the parties have duly executed this Agreement as of the date first written above. BAY HARBOUR MANAGEMENT L.C., for its Managed Accounts By: /s/ Douglas Teitelbaum ----------------------------------------------------- Name: Douglas Teitelbaum Title: Principal and Portfolio Manager WHIPPOORWILL ASSOCIATES, INC., as agent and/or general partner for its discretionary accounts and as investment advisor to Whippoorwill/Barney's Obligations Trust - 1996 By: /s/ David Strumwasser ------------------------------------------------------ Name: David Strumwasser Title: Managing Director /s/ Howard Socol ----------------------------------------------------- HOWARD SOCOL 9 ANNEX I ------- Stockholders - ------------ If to Bay Harbour, to it at the following address: Bay Harbour Management L.C. 885 Third Avenue, 34th Floor New York, New York 10022 Attention: Douglas P. Teitelbaum Telecopier: (212) 371-7497 Telephone Confirmation: (212) 371-2211 With a copy to: Weil, Gotshal & Manges LLP 767 Fifth Avenue New York, New York 10153 Attention: Ted S. Waksman, Esq. Telecopier: (212) 310-8007 Telephone Confirmation: (212) 310-8000 If to Whippoorwill, to it at the following address: Whippoorwill Associates, Inc. 11 Martine Avenue White Plains, New York 10606 Attention: David A. Strumwasser Telecopier: (914) 683-1242 Telephone Confirmation: (914) 683-1002 With a copy to: Weil, Gotshal & Manges LLP 767 Fifth Avenue New York, New York 10153 Attention: Ted S. Waksman, Esq. Telecopier: (212) 310-8007 Telephone Confirmation: (212) 310-8000 If to Socol, to him at the following address: Howard Socol 136 Sullivan Street, PH New York, New York 10012 With a copy to: Stephen N. Lipton, LLC 2100 South Ocean lane, Suite 1103 Fort Lauderdale, Florida 33316 Telecopier: (954) 524-8813 or to such other address as any of the parties hereto shall have specified by notice in writing to the others. 10 -----END PRIVACY-ENHANCED MESSAGE-----