-----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, JBVS2JSaJkL0C9AUzR3oKk/coqgerVLZ8djovgmKVm3zZo00srhwQcpmuTi1QujN Yhl6xw3EcRg9AxvHEfkGBg== /in/edgar/work/0000950123-00-009275/0000950123-00-009275.txt : 20001012 0000950123-00-009275.hdr.sgml : 20001012 ACCESSION NUMBER: 0000950123-00-009275 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20001011 ITEM INFORMATION: ITEM INFORMATION: FILED AS OF DATE: 20001011 FILER: COMPANY DATA: COMPANY CONFORMED NAME: PAINE WEBBER GROUP INC CENTRAL INDEX KEY: 0000075754 STANDARD INDUSTRIAL CLASSIFICATION: [6211 ] IRS NUMBER: 132760086 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 001-07367 FILM NUMBER: 738269 BUSINESS ADDRESS: STREET 1: 1285 AVE OF THE AMERICAS CITY: NEW YORK STATE: NY ZIP: 10019 BUSINESS PHONE: 2127132000 MAIL ADDRESS: STREET 1: 1285 AVENUE OF THE AMERICAS CITY: NEW YORK STATE: NY ZIP: 10019 FORMER COMPANY: FORMER CONFORMED NAME: PAINE WEBBER INC DATE OF NAME CHANGE: 19840523 8-K 1 y41253e8-k.txt PAINE WEBBER GROUP INC. 1 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 (Date of earliest event reported): October 11, 2000 PAINE WEBBER GROUP INC. (Exact Name of Registrant as specified in its charter) DELAWARE NO. 1-7367 NO. 13-2760086 --------- ---------- ----------------- (State or other (Commission (IRS Employer jurisdiction of File Number) Identification No.) incorporation) 1285 AVENUE OF THE AMERICAS NEW YORK, NEW YORK 10019 - ----------------------------- --------- (Address of principal (Zip code) executive offices) Registrant's telephone number, including area code: (212) 713-2000 2 Item 5. Other Events. On October 11, 2000, the Registrant released financial information with respect to the three and nine month periods ending September 30, 2000. A copy of the press release containing such financial information is included herein as Exhibit 99.1 to this report. Item 7. Financial Statements. Pro Forma Financial Information And Exhibits (c) Exhibits 99.1 Copy of Registrant's press release which, among other things, reported results for the three and nine month periods ending September 30, 2000. 3 SIGNATURE 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 thereunto duly authorized. PAINE WEBBER GROUP INC. By: /s/ Jerome T. Fadden ------------------------------ Name: Jerome T. Fadden Title: Senior Vice President and Chief Financial Officer Dated: October 11, 2000 4 EXHIBIT INDEX ITEM NO. DESCRIPTION 99.1 Copy of Registrant's press release which, among other things, reported results for the three and nine month periods ending September 30, 2000. EX-99.1 2 y41253ex99-1.txt COPY OF REGISTRANT'S PRESS RELEASE 1 [PAINE WEBBER LOGO] CORPORATE COMMUNICATIONS Paine Webber Group Inc. 1285 Avenue of the Americas, 14th fl. New York, NY 10019-6028 (212) 713-8391 N E W S R E L E A S E Contact: David P. Walker FOR IMMEDIATE RELEASE Paine Webber Group Inc. 212-713-8502 PAINE WEBBER GROUP REPORTS THIRD QUARTER RESULTS --THIRD QUARTER EARNINGS PER SHARE IS $0.85-- -- MERGER WITH UBS AG CONTINUES ON SCHEDULE -- NEW YORK, October 11, 2000 -- Paine Webber Group Inc. reported today financial results for the third quarter of 2000. Net income totaled $135.8 million, or $0.85 per diluted share, for the quarter ended September 30, 2000, compared with net income of $138.2 million, or $0.86 per diluted share in the corresponding period a year ago. Revenues, including net interest, for the third quarter of 2000 were $1.443 billion, an increase of 16.6 percent, compared to $1.237 billion in the third quarter of 1999. For the nine month period ended September 30, 2000, the firm earned net income of $439.6 million or $2.83 per diluted share compared to $462.3 million or $2.88 in the earlier nine month period. Nine month revenues were a record totaling $4.451 billion, an increase of 14.1 percent from the corresponding nine month period. "We are pleased with our third quarter earnings and the successful completion of the conversion of J. C. Bradford & Co. into PaineWebber, while simultaneously preparing for our merger with UBS AG," said Donald B. Marron, PaineWebber's chairman and chief executive officer. "Looking ahead, we are excited about the expanded capabilities of PaineWebber to deliver global services and enhanced product offerings to our financial advisors and their clients through our proposed partnership with UBS." Paine Webber Group Inc., together with its subsidiaries, serves the investment and capital needs of a worldwide client base. The firm employs 22,855 people in 383 offices. This news release and more information about Paine Webber Group Inc. can be found on our corporate site on the World Wide Web, www.painewebber.com. -- Two tables to follow -- 2 PAINE WEBBER GROUP INC. CONSOLIDATED STATEMENTS OF INCOME (IN THOUSANDS EXCEPT SHARE AND PER SHARE AMOUNTS) (UNAUDITED)
For the Quarter Ended September 30, For the Nine Months Ended September 30, 2000 1999 2000 1999 ------------ ------------ ------------ ------------ REVENUES Commissions $ 528,948 $ 451,341 $ 1,765,630 $ 1,419,092 Principal Transactions 287,931 235,914 778,648 829,968 Asset Management 314,083 235,712 893,076 666,250 Investment Banking 107,502 134,235 385,329 420,321 Interest 1,167,415 762,205 3,223,170 2,289,636 Other 39,367 40,785 120,940 129,213 ------------ ------------ ------------ ------------ TOTAL REVENUES 2,445,246 1,860,192 7,166,793 5,754,480 Interest Expense 1,002,567 623,025 2,715,837 1,854,515 ------------ ------------ ------------ ------------ NET REVENUES 1,442,679 1,237,167 4,450,956 3,899,965 ------------ ------------ ------------ ------------ NON-INTEREST EXPENSES Compensation and Benefits 875,012 711,783 2,664,401 2,260,575 Office & Equipment 111,933 89,159 308,220 259,941 Communications 49,408 42,331 140,338 127,179 Business Development 34,172 30,861 114,849 83,262 Brokerage, Clearing & Exchange Fees 16,203 23,391 63,806 71,268 Professional Services 42,215 33,469 142,096 96,318 Other Expenses 93,536 80,188 294,757 240,751 ------------ ------------ ------------ ------------ TOTAL NON-INTEREST EXPENSES 1,222,479 1,011,182 3,728,467 3,139,294 ------------ ------------ ------------ ------------ INCOME BEFORE INCOME TAXES & MINORITY INTEREST 220,200 225,985 722,489 760,671 Provision for Income Taxes 76,370 79,722 258,682 274,183 ------------ ------------ ------------ ------------ INCOME BEFORE MINORITY INTEREST 143,830 146,263 463,807 486,488 Minority Interest 8,061 8,061 24,183 24,183 ------------ ------------ ------------ ------------ NET INCOME $ 135,769 $ 138,202 $ 439,624 $ 462,305 ============ ============ ============ ============ NET INCOME APPLICABLE TO COMMON SHARES $ 135,769 $ 132,253 $ 439,624 $ 444,458 EARNINGS PER SHARE BASIC $ 0.92 $ 0.91 $ 3.01 $ 3.05 DILUTED $ 0.85 $ 0.86 $ 2.83 $ 2.88 WEIGHTED AVERAGE COMMON SHARES BASIC 148,019,000 145,634,000 146,143,000 145,583,000 DILUTED 159,911,000 153,858,000 155,100,000 154,107,000
3 PAINE WEBBER GROUP INC. QUARTERLY STATISTICAL SUPPLEMENT - OPERATING RESULTS [UNAUDITED]
3Q 00 2Q 00 1Q 00 4Q 99 3Q 99 ROE Common (Annualized) 16.6% 18.9% * 23.8% 22.9% ** 19.2% Income Before Taxes & Minority Interest as a Percentage of Net Revenues 15.3% 17.2% * 18.2% 19.7% 18.3% - ------------------------------------------------------------------------------------------------------------------------------- E.P.S. [Diluted] $ 0.85 $ 0.95 * $ 1.16 $ 1.07 ** $ 0.86 Diluted Shares [Millions] 159.9 154.6 152.3 150.7 153.9 Dividends Paid Per Common Share $ 0.12 $ 0.12 $ 0.12 $ 0.11 $ 0.11 Book Value Per Common Share $ 22.77 $ 21.74 $ 20.95 $ 20.04 $ 19.36 Common Shares Outstanding [Millions] 149.0 146.7 145.1 145.6 145.2 - ------------------------------------------------------------------------------------------------------------------------------- Total Capital [$Billions] $ 8.73 $ 8.80 $ 8.55 $ 8.53 $ 8.36 Total Shareholders' Equity [$Billions] $ 3.39 $ 3.19 $ 3.04 $ 2.92 $ 2.81 - ------------------------------------------------------------------------------------------------------------------------------- Client Assets [$Billions] $ 490.0 $ 484.3 $ 452.4 $ 423.0 $ 377.2 Assets Under Management [$Billions] $ 75.9 $ 73.1 $ 73.4 $ 68.8 $ 59.5 Money Market Funds 42.2 39.6 39.0 34.5 33.5 Long Term Mutual Funds 16.0 16.3 17.1 17.4 14.2 Institutional and Other 17.7 17.2 17.3 16.9 11.8 Wrap Fee Assets [$Billions] $ 61.2 $ 58.5 $ 53.9 $ 47.0 $ 37.5 - ------------------------------------------------------------------------------------------------------------------------------- Client Assets on "The Edge" [$Billions]*** $ 225.8 $ 183.7 $ 165.5 $ 140.2 $ 99.4 Households on "The Edge" *** 312,000 248,800 208,300 175,600 124,000 RMA Accounts **** 770,400 752,400 669,500 625,000 591,900 - ------------------------------------------------------------------------------------------------------------------------------- Recurring Fees (YTD Annualized) $ 1,477 $ 1,435 $ 1,372 $ 1,148 $ 1,124 [$Millions] Recurring Fees (Incl. Margin Interest)- As a % of Fixed Costs 110% 115% 109% 102% 100% - ------------------------------------------------------------------------------------------------------------------------------- Employees 22,855 23,175 20,008 19,620 18,988 Financial Advisors 8,688 8,554 7,608 7,576 7,249 Sales Offices 383 385 318 315 309
* Excludes Bradford merger-related costs of $18.8 million after taxes ** Excludes the effect of the unamortized discount of $59.9 million charged to equity resulting from the redemption of preferred stock *** Paine Webber's client on-line service **** Paine Webber and J.C. Bradford central asset accounts -----END PRIVACY-ENHANCED MESSAGE-----