UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             WASHINGTON, D.C. 20549



                                    Form 8-K
                                 Current Report

                    Pursuant to Section 13 or 15 (d) of the
                        Securities Exchange Act of 1934

Date of Report:                                   Commission File Number
August 27, 1997                                           1-8319


                            GATX CAPITAL CORPORATION


Incorporated in the                       IRS Employer Identification Number
 State of Delaware                                      94-1661392

                            Four Embarcadero Center
                            San Francisco, CA 94111
                                 (415) 955-3200



Item 5.   Other Events

The following  press release was issued on August 21, 1997:
   
     GATX  Capital  today  entered into  agreements  to invest in a $1.2 billion
portfolio of leased assets  currently owned by Pitney Bowes Financial  Services.
GATX Capital is the financial services unit of GATX Corporation (NYSE:GMT).

     Under the terms of the  agreements,  GATX Capital's  total cash  investment
will be approximately $460 million.  This investment  includes a direct purchase
of  assets  from  Pitney  Bowes,  as well as an equity  investment  in a limited
liability  company to be owned  jointly by GATX Capital and Pitney  Bowes.  This
limited liability company, with almost $1 billion in assets, will be capitalized
with  nearly  $200  million  of  equity  from each of the  partners,  as well as
approximately $600 million of nonrecourse debt.

     According  to Joseph C.  Lane,  president  and CEO of GATX  Capital,  "This
transaction  with Pitney Bowes will represent the largest  single  investment in
our history. GATX Capital's investment in these high quality assets which are on
lease  primarily  to  investment  grade  credits,  provides  us with  additional
portfolio  diversification,  attractive  risk-adjusted  returns,  and a  growing
investment  base. In addition,  this  transaction  demonstrates  GATX  Capital's
continued  strategy of growth through joint  ventures and further  evidences our
success in lease portfolio acquisitions.  By combining each company's respective
strengths and core business  activities,  this transaction  allows both GATX and
Pitney Bowes to maximize their companies' shareholder value."

     Pitney Bowes'  chairman and CEO,  Michael J. Critelli said, "The signing of
the GATX Capital  agreement unveils our latest actions to maximize the return on
our stockholders'  investment in Pitney Bowes. The transaction with GATX Capital
will maximize the cash return on the assets,  while also significantly  reducing
our large-ticket external finance portfolio and related debt."

     GATX  Capital,  a  wholly-owned  subsidiary  of  GATX  Corporation,   is  a
diversified  international financial services company which provides asset-based
financing for transportation,  industrial and information  technology equipment.
GATX  Capital's  owned and managed  portfolios  consist of assets whose original
cost exceeds $10 billion.  GATX  Corporation  provides  service-enhanced  assets
primarily  used to help  its  customers  transport,  store or  distribute  their
products and information.

     Pitney Bowes Financial  Services provides leasing and financing services to
help  businesses - ranging from small to large - acquire  Pitney Bowes and other
mission  critical  equipment and services  while  preserving  cash flow.  Pitney
Bowes,  Inc.  (NYSE:PBI)  is a premier  provider of products and  services  that
support preparation and management of documents,  packages and other messages in
physical or electronic form.





Signatures
- ----------
Pursuant  to the  requirements  of the  Securities  Exchange  Act of  1934,  the
registrant  has duly  caused  this  report  to be  signed  on its  behalf by the
undersigned hereunto duly authorized.
                                   
                                    GATX CAPITAL CORPORATION


                                    /s/ Michael E. Cromar
                                    ---------------------
                                      Michael E. Cromar
                                     Vice President and
                                   Chief Financial Officer



August 27, 1997