-----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, IJMG07/Z8eTk1QHXzTAMvsaAOMScqByjrQWnecYSWREydTNaUbpUDS7mutVzZBRx eQwUezw8vcYtvMqA73KyiA== 0000935836-96-000009.txt : 19960416 0000935836-96-000009.hdr.sgml : 19960416 ACCESSION NUMBER: 0000935836-96-000009 CONFORMED SUBMISSION TYPE: SC 13G/A PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 19960412 SROS: NASD SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: FAILURE GROUP INC CENTRAL INDEX KEY: 0000851520 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MANAGEMENT CONSULTING SERVICES [8742] IRS NUMBER: 770218904 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: SC 13G/A SEC ACT: 1934 Act SEC FILE NUMBER: 005-45711 FILM NUMBER: 96546689 BUSINESS ADDRESS: STREET 1: 149 COMMONWEALTH DR CITY: MENLO PARK STATE: CA ZIP: 94025 BUSINESS PHONE: 4153269400 FILED BY: COMPANY DATA: COMPANY CONFORMED NAME: PALO ALTO INVESTORS CENTRAL INDEX KEY: 0001012084 STANDARD INDUSTRIAL CLASSIFICATION: [] FILING VALUES: FORM TYPE: SC 13G/A BUSINESS ADDRESS: STREET 1: 431 FLORENCE ST STREET 2: STE 200 CITY: PALO ALTO STATE: CA ZIP: 94301 MAIL ADDRESS: STREET 1: 431 FLORENCE ST STREET 2: STE 200 CITY: PALO ALTO STATE: CA ZIP: 94301 SC 13G/A 1 OMB APPROVAL OMB Number:3235-0145 Expires:October 31, 1994 Estimated average burden hours per form 14.90 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 SCHEDULE 13G Under the Securities Exchange Act of 1934 (Amendment No. 1) Failure Group, Inc. (Name of Issuer) Common Stock - --------------------------------------------------------------------------- (Title of Class of Securities) 303132-10-4 (CUSIP Number) Check the following box if a fee is being paid with the statement / /. (A fee is not required only if the reporting person: (1) has a previous statement on file reporting beneficial ownership of more than five percent of the class of securities described in Item 1; and (2) has filed no amendment subsequent thereto reporting beneficial ownership of five percent or less of such class.) (See Rule 13d-7.) * The remainder of this cover page shall be filled out for a reporting person's initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page. The information required on the remainder of this cover page shall not be deemed to be "filed" for the purpose of Section 18 of the Securities Exchange Act of 1934 ("Act") or otherwise subject to the liabilities of that section of the Act but shall be subject to all other provisions of the Act (however, see the Notes). SEC 1746 (2-92) SCHEDULE 13G CUSIP No. 303132-10-4 Page 2 of 7 Pages - --------------------------------------------------------------------------- 1 NAME OF REPORTING PERSON SS OR IRS IDENTIFICATION NO. OF ABOVE PERSON Palo Alto Investors IRS No.: 94-3088699 - --------------------------------------------------------------------------- 2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP*(a)/ / (b)/X/ - --------------------------------------------------------------------------- 3 SEC USE ONLY - --------------------------------------------------------------------------- 4 CITIZENSHIP OR PLACE OF ORGANIZATION * - --------------------------------------------------------------------------- NUMBER OF 5 SOLE VOTING POWER SHARES -0- BENEFICIALLY -------------------------------------------------- OWNED BY 6 SHARED VOTING POWER EACH 498,700 REPORTING -------------------------------------------------- PERSON 7 SOLE DISPOSITIVE POWER WITH -0- -------------------------------------------------- 8 SHARED DISPOSITIVE POWER 498,700 - --------------------------------------------------------------------------- 9 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON 498,700 - --------------------------------------------------------------------------- 12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES* / / - --------------------------------------------------------------------------- 13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9) 7.5% - --------------------------------------------------------------------------- 14 TYPE OF REPORTING PERSON* IA - --------------------------------------------------------------------------- *SEE INSTRUCTIONS BEFORE FILLING OUT! SCHEDULE 13G CUSIP No. 303132-10-4 Page 3 of 7 Pages ITEM 1. (a) The name of the issuer is Failure Group, Inc. (b) The principal executive office of Failure Group, Inc. is located at 149 Commonwealth Drive, Menlo Park, CA 94025. ITEM 2. (a) The name of the person filing this statement is Palo Alto Investors. (b) The principal business office of Palo Alto Investors is located at 431 Florence Street, Suite 200, Palo Alto, CA 94301. (c) Palo Alto Investors is a California corporation. (d) This statement relates to shares of Common Stock of Failure Group, Inc. (the "Stock"). (e) The CUSIP number of the Stock is 303132-10-4. SCHEDULE 13G CUSIP No. 303132-10-4 Page 4 of 7 Pages ITEM 3. IF THIS STATEMENT IS FILED PURSUANT TO RULE 13D-1(B), OR 13D-2(B), CHECK WHETHER THE PERSON FILING IS A: (a) / / Broker or Dealer registered under Section 15 of the Act. (b) / / Bank as defined in section 3(a)(6) of the Act. (c) / / Insurance Company as defined in section 3(a)(19) of the Act. (d) / / Investment Company registered under section 8 of the Investment Company Act. (e) /XX/ Investment Adviser registered under section 203 of the Investment Advisers Act of 1940. (f) / / Employee Benefit Plan, Pension Fund which is subject to the provisions of the Employee Retirement Income Security Act of 1974 or Endowment Fund; see section 240.13d-1(b)(1)(ii)(F). (g) / / Parent Holding Company, in accordance with section 240.13d- 1(b)(1)(ii)(F) (h) Group, in accordance with section 240.13d-1(b)(1)(ii)(H) ITEM 4. OWNERSHIP. (a) Palo Alto Investors beneficially owns 498,700 shares of the Stock. (b) Palo Alto Investors beneficially owns 7.5% of the Stock outstanding. (c) (i) Palo Alto Investors has the sole power to vote or to direct the vote of 0 shares of the Stock. (ii) Palo Alto Investors has the shared power to vote or to direct the vote of 498,700 shares of the Stock. (iii) Palo Alto Investors has the sole power to dispose or to direct the disposition of 0 shares of the Stock. (iv) Palo Alto Investors has the shared power to dispose or to direct the disposition of 498,700 shares of the Stock. SCHEDULE 13G CUSIP No. 303132-10-4 Page 5 of 7 Pages ITEM 5. OWNERSHIP OF FIVE PERCENT OR LESS OF A CLASS If this statement is being filed to report the fact that as of the date hereof the reporting person has ceased to be the beneficial owner of more than five percent of the class of securities, check the following / /. Instruction: Dissolution of a group requires a response to this item. SCHEDULE 13G CUSIP No. 303132-10-4 Page 6 of 7 Pages ITEM. 6. OWNERSHIP OF MORE THAN FIVE PERCENT ON BEHALF OF ANOTHER PERSON Palo Alto Investors is a registered investment adviser whose clients have the right to receive or the power to direct the receipt of dividends from, or the proceeds from the sale of the Stock. No individual client's holdings of the Stock are more than 5 percent of the class. SCHEDULE 13G CUSIP No. 303132-10-4 Page 7 of 7 Pages ITEM 7. IDENTIFICATION AND CLASSIFICATION OF THE SUBSIDIARY WHICH ACQUIRED THE SECURITY BEING REPORTED ON BY THE PARENT HOLDING COMPANY Not applicable. ITEM 8. IDENTIFICATION AND CLASSIFICATION OF MEMBERS OF THE GROUP Not applicable. ITEM 9. NOTICE OF DISSOLUTION OF GROUP Not applicable. ITEM 10. CERTIFICATION By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were acquired in the ordinary course of business and were not acquired for the purpose of and do not have the effect of changing or influencing the control of the issuer of such securities and were not acquired in connection with or as a participant in any transaction having such purposes or effect. SIGNATURES After reasonable inquiry and to the best of my knowledge, I certify that the information set forth in this amended statement is true, complete and correct. DATED: _________________, 1996 Palo Alto Investors By: /s/ William L. Edwards William L. Edwards, President C:\DMS\4325\002\0159052.WP -----END PRIVACY-ENHANCED MESSAGE-----