-----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, RpaS8h0hWRRAxMLU+kRnXhQkxHnDRF0GrkC8gYI5tT572sOPVbhwNstPDsapBQG+ s8GW61LIpBFocfObqb534w== 0000898822-04-000005.txt : 20040102 0000898822-04-000005.hdr.sgml : 20040101 20040102172911 ACCESSION NUMBER: 0000898822-04-000005 CONFORMED SUBMISSION TYPE: SC 13D/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20040102 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: KMART HOLDING CORP CENTRAL INDEX KEY: 0001229206 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-VARIETY STORES [5331] IRS NUMBER: 320073116 STATE OF INCORPORATION: DE FISCAL YEAR END: 0131 FILING VALUES: FORM TYPE: SC 13D/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-79034 FILM NUMBER: 04501709 MAIL ADDRESS: STREET 1: 3100 WEST BIG BEAVER ROAD CITY: TROY STATE: MI ZIP: 48084 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: ESL INVESTMENTS INC CENTRAL INDEX KEY: 0001126396 IRS NUMBER: 752435723 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13D/A BUSINESS ADDRESS: STREET 1: 200 GREENWICH AVENUE CITY: GREENWICH STATE: CT ZIP: 06830 BUSINESS PHONE: 2038614600 MAIL ADDRESS: STREET 1: 200 GREENWICH AVENUE CITY: GREENWICH STATE: CT ZIP: 06830 SC 13D/A 1 jan2_esl13da.txt SCHEDULE 13D AMENDMENT NO. 5 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13D UNDER THE SECURITIES EXCHANGE ACT OF 1934 (AMENDMENT NO. 5) KMART HOLDING CORPORATION --------------------------------- (Name of Issuer) COMMON STOCK, PAR VALUE $.01 PER SHARE ---------------------------------------------- (Title of Class of Securities) 498780 10 5 --------------------- (CUSIP Number) ------------------------------------------------------------ DANIEL A. NEFF WACHTELL, LIPTON, ROSEN & KATZ 51 WEST 52ND STREET NEW YORK, NY 10019 ------------------------------------------------------------ (Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications) JANUARY 2, 2004 ------------------------------------------------------------ (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 ss.ss. 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box: [ ]. Page 1 of 16 Pages ================================================================================ - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 2 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS ESL INVESTMENTS, INC. I.R.S. IDENTIFICATION NO: 75-2435723 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 52,524,686* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 52,524,686* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 52,524,686* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 51.4% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON CO - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 3 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS EDWARD S. LAMPERT - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION UNITED STATES - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 53,725,098* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 53,725,098* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 53,725,098* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 52.6% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON IN - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 4 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS CRK PARTNERS, LLC I.R.S. IDENTIFICATION NO: 75-2435723 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 47,999,107* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 47,999,107* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 47,999,107* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 47.0% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 5 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS CRK PARTNERS, LP I.R.S. IDENTIFICATION NO: 74-3026708 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 8,436,758* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 8,436,758* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 8,436,758* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 8.3% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 6 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS CRK PARTNERS II, LP I.R.S. IDENTIFICATION NO: 01-0726617 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 39,562,349* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 39,562,349* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 39,562,349* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 38.7% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 7 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS RBS PARTNERS, LP I.R.S. IDENTIFICATION NO: 75-2241690 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 4,525,579* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 4,525,579* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 4,525,579* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.4% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 8 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS ESL INVESTORS LLC I.R.S. IDENTIFICATION NO: 13-4095958 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 4,525,579* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 4,525,579* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 4,525,579* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 4.4% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 9 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS RBS INVESTMENT MANAGEMENT, LLC I.R.S. IDENTIFICATION NO: 06-1512334 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS AF - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 1,200,412* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 1,200,412* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,200,412* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.2% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON OO - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 10 of 16 Pages - ---------------------------- ---------------------------- - -------------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS ESL INSTITUTIONAL PARTNERS LP I.R.S. IDENTIFICATION NO: 06-1456821 - -------------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [X] (b) [ ] - -------------------------------------------------------------------------------- 3 SEC USE ONLY - -------------------------------------------------------------------------------- 4 SOURCE OF FUNDS WC - -------------------------------------------------------------------------------- 5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e) [ ] - -------------------------------------------------------------------------------- 6 CITIZENSHIP OR PLACE OF ORGANIZATION DELAWARE - -------------------------------------------------------------------------------- 7 SOLE VOTING POWER NUMBER OF 1,200,412* ------------------------------------------------------------------- SHARES 8 SHARED VOTING POWER BENEFICIALLY 0 ------------------------------------------------------------------- OWNED BY 9 SOLE DISPOSITIVE POWER EACH 1,200,412* ------------------------------------------------------------------- REPORTING 10 SHARED DISPOSITIVE POWER PERSON WITH 0 - -------------------------------------------------------------------------------- 11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 1,200,412* - -------------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES [ ] - -------------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11) 1.2% - -------------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON PN - -------------------------------------------------------------------------------- *Excludes shares of common stock, par value $.01 per share, of Kmart Holding Corporation issuable upon conversion of interest accrued on the $60,000,000 in principal amount of 9% Convertible Subordinated Notes of Kmart Holding Corporation. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 11 of 16 Pages - ---------------------------- ---------------------------- This Amendment No. 5 to Schedule 13D originally filed jointly on May 15, 2003, and amended by Amendment No. 1 to Schedule 13D filed on July 2, 2003, Amendment No. 2 to Schedule 13D filed on August 26, 2003, Amendment No. 3 to Schedule 13D filed on October 27, 2003 and Amendment No. 4 to Schedule 13D filed on November 4, 2003, by ESL Investments, Inc., Edward S. Lampert, CRK Partners, LLC, CRK Partners, LP, CRK Partners II, LP, RBS Partners, LP, ESL Investors LLC, RBS Investment Management LLC and ESL Institutional Partners, L.P. ITEM 3. SOURCE AND AMOUNT OF FUNDS OR OTHER CONSIDERATION. Item 3 is amended by adding the following disclosure at the end of such Item: On January 2, 2004, CRK II received 1,188,615 shares of Kmart Common Stock from Kmart on account of trade vendor/lease rejection claims held by CRK II in an amount equal to $646,227,638. Pursuant to the Plan, CRK II has received other shares of Kmart Common Stock in the past (which acquisitions have been reported on the Schedule 13D and Amendments to such Schedule 13D previously filed by the Reporting Persons) and may receive further shares of Kmart Common Stock in the future on account of these same trade vendor/lease rejection claims as Kmart continues to reconcile all trade vendor/lease rejection claims held by all persons. The source of CRK II funds consisted of working capital of CRK II. ITEM 4. PURPOSE OF TRANSACTION. Item 4 is amended by adding the following disclosure at the end of such Item: The Reporting Persons review their investment in the Issuer on a continuing basis. Depending upon, among other things, the factors noted below, the Reporting Persons may acquire additional shares of Kmart Common Stock or acquire beneficial ownership in additional shares of Kmart Common Stock; may sell all or part of their shares of Kmart Common Stock (subject to the restrictions in the Investment Agreement, which restrictions terminate no later than May 6, 2004) pursuant to Rule 144, in privately negotiated transactions, or in sales registered under the 1933 Act; may distribute shares of Kmart Common Stock to various of its partners; or may engage in any combination of the foregoing. Further, the Reporting Persons may, subject to legal limitations, enter into derivative transactions or alternative structures with respect to their ownership of shares of Kmart Common Stock. Any open market or privately negotiated purchases, sales, distributions or other transactions may be made at any time without any additional prior notice. Any alternative that the Reporting Persons may pursue will depend upon a variety of factors, including without limitation, legal and contractual restrictions, current and anticipated future trading prices of the shares of Kmart Common Stock, the financial condition, results of operations and prospects of the Issuer (in each case to the extent publicly disclosed) and general economic, financial, market and industry conditions, other investment and business opportunities available to the Reporting Persons, general stock market and economic conditions, tax considerations and other factors. Although the foregoing reflects activities that from time to time may be contemplated by the Reporting Persons with respect to the Issuer, the foregoing is subject to change at any time, and there can be no assurance that any of the Reporting Persons will take any of the actions set forth above. Except as set forth above, the Reporting Persons have no plans or proposals with respect to any of the matters set forth in paragraphs (a) through (j) of Item 4 of Schedule 13D. ITEM 5. INTEREST IN SECURITIES OF THE ISSUER. Item 5 is amended by amending and restating such Item as follows: (a)-(b) The following table sets forth the aggregate number of shares of Kmart Common Stock and the percentage of outstanding shares of Kmart Common Stock beneficially owned by the Reporting Persons as of January 2, 2004, based on 102,152,894 outstanding shares of Kmart Common Stock as of November 30, 2003 (as described in the Company's Quarterly Report on Form 10-Q, filed December 5, 2003, assuming conversion of all Convertible Notes, excluding accrued interest on the Convertible Notes, and Kmart Options held by the Reporting Persons but not including any securities convertible into Kmart Common Stock held by other parties), indicating the number of shares of Kmart Common Stock for which each Reporting Person has sole or shared power to direct the vote or the disposition of such shares. The Reporting Persons as a group beneficially own an aggregate of 53,725,098 shares of Kmart Common Stock. - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 12 of 16 Pages - ---------------------------- ---------------------------- REPORTING PERSON NUMBER OF PERCENTAGE SOLE VOTING SHARED VOTING SOLE SHARED SHARES OF POWER POWER DISPOSITIVE DISPOSITIVE BENEFICIALLY OUTSTANDING POWER POWER OWNED SHARES Edward S. Lampert 53,725,098 52.6% 53,725,098 0 53,725,098 0 (1)(2)(8) ESL Investments, 52,524,686 51.4% 52,524,686 0 52,524,686 0 Inc. (2)(3)(6) CRK Partners, LLC 47,999,107 47.0% 47,999,107 0 47,999,107 0 (3)(4)(5) CRK Partners, LP 8,436,758 (4) 8.3% 8,436,758 0 8,436,758 0 CRK Partners II, LP 39,562,349 (5) 38.7% 39,562,349 0 39,562,349 0 RBS Partners, LP 4,525,579 4.4% 4,525,579 0 4,525,579 0 (6)(7) ESL Investors LLC 4,525,579 (7) 4.4% 4,525,579 0 4,525,579 0 RBS Investment 1,200,412 1.2% 1,200,412 0 1,200,412 0 Management, LLC (8)(9) ESL Institutional 1,200,412 (9) 1.2% 1,200,412 0 1,200,412 0 Partners LP
(1) Includes 52,524,686 shares of Kmart Common Stock that may be deemed beneficially owned by ESL and 1,200,412 shares of Kmart Common Stock that may be deemed beneficially owned by RBSIM that may be deemed beneficially owned by Mr. Lampert. Mr. Lampert is the sole shareholder, chief executive officer and a director of ESL and the managing member of RBSIM. (2) Includes 47,999,107 shares of Kmart Common Stock that may be deemed beneficially owned by CRK LLC and 4,525,579 shares of Kmart Common Stock that may be deemed beneficially owned by RBS that may be deemed beneficially owned by ESL. ESL is the managing member of CRK LLC and the general partner of RBS. (3) Includes 8,436,758 shares of Kmart Common Stock beneficially owned by CRK I and 39,562,349 shares of Kmart Common Stock beneficially owned by CRK II that may be deemed - ---------------------------- ---------------------------- CUSIP No. 498780 10 5 SCHEDULE 13D/A Page 13 of 16 Pages - ---------------------------- ---------------------------- beneficially owned by CRK LLC. CRK LLC is the general partner of CRK I and CRK II. (4) Includes 925,971 shares of Kmart Common Stock that CRK I has the right to acquire pursuant to the conversion of Convertible Notes (excluding interest accrued thereon) and 999,337 shares of Kmart Common Stock that CRK I has the right to acquire pursuant to the exercise of Kmart Options. (5) Includes 4,443,342 shares of Kmart Common Stock that CRK II has the right to acquire pursuant to the conversion of Convertible Notes (excluding interest accrued thereon) and 4,795,391 shares of Kmart Common Stock that CRK II has the right to acquire pursuant to the exercise of Kmart Options. (6) Includes 4,525,579 shares of Kmart Common Stock beneficially owned by Investors that may be deemed beneficially owned by RBS. RBS is the managing member of Investors. (7) Includes 498,431 shares of Kmart Common Stock that Investors has the right to acquire pursuant to the conversion of Convertible Notes (excluding interest accrued thereon) and 537,922 shares of Kmart Common Stock that Investors has the right to acquire pursuant to the exercise of Kmart Options. (8) Includes 1,200,412 shares of Kmart Common Stock beneficially owned by Institutional that may be deemed beneficially owned by RBSIM. RBSIM is the general partner of Institutional. (9) Includes 132,256 shares of Kmart Common Stock that Institutional has the right to acquire pursuant to the conversion of Convertible Notes (excluding interest accrued thereon) and 142,735 shares of Kmart Common Stock that Institutional has the right to acquire pursuant to the exercise of Kmart Options. (c) The disclosure pursuant to Item 3 of this Schedule 13D is incorporated herein by reference. (d) Not applicable. (e) Not applicable. SIGNATURE --------- After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct. Dated: January 2, 2004 ESL INVESTMENTS, INC. By: /s/ William C. Crowley -------------------------- Name: William C. Crowley Title: President EDWARD S. LAMPERT /s/ Edward S. Lampert - ----------------------------- Edward S. Lampert CRK PARTNERS, LLC By: ESL Investments, Inc., its managing member By:/s/ William C. Crowley --------------------------- Name: William C. Crowley Title: President CRK PARTNERS, LP By: CRK Partners, LLC, its general partner By: ESL Investments, Inc., its managing member By: /s/ William C. Crowley --------------------------- Name: William C. Crowley Title: President CRK PARTNERS II, LP By: CRK Partners, LLC, its general partner By: ESL Investments, Inc., its managing member By: /s/ William C. Crowley --------------------------- Name: William C. Crowley Title: President RBS PARTNERS, LP By: ESL Investments, Inc., its general partner By: /s/ William C. Crowley --------------------------- Name: William C. Crowley Title: President ESL INVESTORS LLC By: RBS Partners, LP, its managing member By: ESL Investments, Inc., its general partner By: /s/ William C. Crowley ---------------------------- Name: William C. Crowley Title: President RBS INVESTMENT MANAGEMENT, LLC By: /s/ William C. Crowley ------------------------------ Name: William C. Crowley Title: Member ESL INSTITUTIONAL PARTNERS, L.P. By: RBS Investment Management, LLC, its general partner By: /s/ William C. Crowley --------------------------- Name: William C. Crowley Title: Member -----END PRIVACY-ENHANCED MESSAGE-----