-----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, J7DyFsBgaFcdJXH0h4P55CpDDAeKVjvhZssnE8yjIFdZtNWb6S1mJ45SA913X+p6 SHa47uEvaHJ4jktPCClE4w== 0000769993-98-000286.txt : 19981207 0000769993-98-000286.hdr.sgml : 19981207 ACCESSION NUMBER: 0000769993-98-000286 CONFORMED SUBMISSION TYPE: 3 PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19981204 FILED AS OF DATE: 19981204 SUBJECT COMPANY: COMPANY DATA: COMPANY CONFORMED NAME: USTEL INC CENTRAL INDEX KEY: 0000919274 STANDARD INDUSTRIAL CLASSIFICATION: TELEPHONE COMMUNICATIONS (NO RADIO TELEPHONE) [4813] IRS NUMBER: 954362330 STATE OF INCORPORATION: MN FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 3 SEC ACT: SEC FILE NUMBER: 000-24098 FILM NUMBER: 98764359 BUSINESS ADDRESS: STREET 1: 6167 BRISTOL PKWY STREET 2: STE 100 CITY: CULVER CITY STATE: CA ZIP: 90230 BUSINESS PHONE: 3106451770 MAIL ADDRESS: STREET 1: 2775 S RAINBOW BLVD STREET 2: STE A102 CITY: LAS VEGAS STATE: NV ZIP: 89102 COMPANY DATA: COMPANY CONFORMED NAME: GOLDMAN SACHS GROUP LP CENTRAL INDEX KEY: 0000904571 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] OWNER IRS NUMBER: 133501777 STATE OF INCORPORATION: NY FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: 3 BUSINESS ADDRESS: STREET 1: 85 BROAD ST CITY: NEW YORK STATE: NY ZIP: 10004 BUSINESS PHONE: 2129021000 MAIL ADDRESS: STREET 1: 85 BROAD STREET CITY: NEW YORK STATE: NY ZIP: 10004 3 1 INITIAL STATE/BENEFICIAL OWNERSHIP OF SECURITIES UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 3 INITIAL STATEMENT OF BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(f) of the Investment Company Act of 1940 ================================================================================ 1. Name and Address of Reporting Person* The Goldman Sachs Group, L.P. - -------------------------------------------------------------------------------- (Last) (First) (Middle) 85 Broad Street - -------------------------------------------------------------------------------- (Street) New York, New York 10004 - -------------------------------------------------------------------------------- (City) (State) (Zip) ================================================================================ 2. Date of Event Requiring Statement (Month/Day/Year) 01 ================================================================================ 3. I.R.S. Identification Number of Reporting Person, if an entity (voluntary) ================================================================================ 4. Issuer Name and Ticker or Trading Symbol UStel, Inc. (USTL) ================================================================================ 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) [ ] Director [ X ] 10% Owner [ ] Officer (give title below) [ ] Other (specify below) -------------------------------------------------------------------- ================================================================================ 6. If Amendment, Date of Original (Month/Year) ================================================================================ 7. Individual or Joint/Group Filing (Check applicable line) [ ] Form Filed by One Reporting Person [ X ] Form Filed by More than One Reporting Person ================================================================================
==================================================================================================================================== Table I -- Non-Derivative Securities Beneficially Owned | ==================================================================================================================================== | | | | | | | | | | 3. Ownership Form: | | | 2. Amount of Securities | Direct (D) or | | 1. Title of Security | Beneficially Owned | Indirect (I) | 4. Nature of Indirect Beneficial Ownership | (Instr. 4) | (Instr. 4) | (Instr. 5) | (Instr.5) | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | ====================================================================================================================================
Reminder: Report on a separate line for each class of securities beneficially owned directly or indirectly. *If the form is filed by more than one Reporting Person, see Instruction 5(b)(v). FORM 3 (continued)
==================================================================================================================================== Table II -- Derivative Securities Beneficially Owned | (e.g., puts, calls, warrants, options, convertible securities) | ==================================================================================================================================== | | | | | | | | | | 5. Owner- | | | | 3. Title and Amount of Securities | | ship | | | | Underlying Derivative Security | | Form of | | |2. Date Exercisable | (Instr. 4) | | Derivative | | | and Expiration Date | --------------------------------- | 4. Conver- | Security: | | | (Month/Day/Year) | | Amount | sion or | Direct |6.Nature of | |---------------------- | | or | Exercise | (D) or | Indirect | |Date |Expira- | | Number | Price of | Indirect | Beneficial| 1. Title of Derivative |Exer- |tion | | of | Derivative| (I) | Ownership | Security (Instr. 4) |cisable |Date | Title | Shares | Security | (Instr.5) | (Instr. 5)| - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | Common Stock Warrants | 01 | 6/25/2003 | Common Stock | 7,891,106 | $1.00 | 02 | 02 | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | Common Stock Warrants | 01 | 6/25/2003 | Common Stock | 901,841 | $1.50 | 02 | 02 | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | Common Stock Warrants | 01 | 6/25/2003 | Common Stock | 1,803,681 | $3.00 | 02 | 02 | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | Common Stock Warrants | 01 | 6/25/2003 | Common Stock | 1,803,681 | $5.00 | 02 | 02 | - ------------------------------------------------------------------------------------------------------------------------------------ | | | | | | | | | | | | | | | | ====================================================================================================================================
Instruction 5(b)(v) list of other Reporting Persons: This statement is being filed by The Goldman Sachs Group, L.P. ("GS Group") and Goldman, Sachs & Co. ("Goldman Sachs", and together with GS Group, the "Reporting Persons"). The principal business address of GS Group and Goldman Sachs is 85 Broad Street, New York, New York 10004. Explanation of Responses: 01: UStel, Inc. (the "Company") issued the Warrant to Goldman Sachs in connection with the execution of a Loan and Security Agreement (the "Loan Agreement"), dated as of June 25, 1998, by and among the Company, its subsidiary Arcada Communications, Inc., Coast Business Credit, a division of Southern Pacific Bank ("Coast"), and Goldman Sachs Credit Partners, L.P. ("GS Credit Partners"). GS Group is the 99% owner of Goldman Sachs Global Holdings L.L.C. ("GS Global Holdings"). GS Global Holdings is the general partner of GS Credit Partners. GS Group is the general partner of and owns a 99% interest in Goldman Sachs. The Warrant gave Goldman Sachs the right to acquire up to 12,400,309 shares (subject to antidilutive and other adjustments) of the Common Stock of the Company on the following terms: (i) 7,891,106 shares at an exercise price of $1.00 per share, (ii) 901,841 shares at an exercise price of $1.50 per share, (iii) 1,803,681 shares at an exercise price of $3.00 per share, and (iv) 1,803,681 shares at an exercise price of $5.00 per share (such exercise prices in each case subject to certain antidilutive and other adjustments). The Warrant was not immediately exercisable, but was exercisable beginning on the earliest to occur of (a) March 25, 1999, (b) the date upon which an Event of Default under the Loan Agreement (as defined in Article 8 of the Loan Agreement) occurred and (c) thirty days prior to the consummation of a merger, sale or similar transaction involving the Company. The Warrant provided for an original term of five years, terminating on June 25, 2003. As a result of adverse changes in the Company's financial condition and various other factors, certain Events of Default occurred under the Loan Agreement. In response to these events, in November 1998 GS Credit Partners and Coast (the "Lenders") agreed with the Company to a restructuring of their obligations and relationship under the Loan Agreement, whereby the Company and the Lenders would enter into an amendment to the Loan Agreement and revise the terms of the Warrant. In addition, the Lenders agreed to waive the Company's Events of Default under the Loan Agreement as to which the Lenders had actual knowledge. In connection with the restructuring, effective November 25, 1998 the Company amended and restated the Warrant, revising the number of shares subject to the Warrant and the applicable exercise prices, and providing for immediate exercisability of the Warrant. The Reporting Persons intend to file with the Commission, shortly after filing this Form 3, a Statement on Form 4 reporting the amendment of the Warrant. 02: Goldman Sachs may be deemed to own beneficially and directly and GS Group may be deemed to own beneficially and indirectly up to 12,400,309 shares of Common Stock of the Company because of Goldman Sachs' beneficial ownership of the Warrant to purchase i) 7,891,106 shares of Common Stock at an exercise price of $1.00 per share, (ii) 901,841 shares of Common Stock at an exercise price of $1.50 per share, (iii) 1,803,681 shares of Common Stock at an exercise price of $3.00 per share, and (iv) 1,803,681 shares of Common Stock at an exercise price of $5.00 per share (such exercise prices in each case subject to certain antidilutive and other adjustments). GS Group is the general partner of and owns a 99% interest in Goldman Sachs. GS Group disclaims beneficial ownership of the securities reported herein as indirectly owned except to the extent of its pecuniary interest therein. Signatures: THE GOLDMAN SACHS GROUP, L.P. By: s/ Hans-Linhard Reich ---------------------- Name: Hans-Linhard Reich Title: Attorney-in-fact GOLDMAN, SACHS & CO. By: s/ Hans-Linhard Reich --------------------- Name: Hans-Linhard Reich Title: Attorney-in-fact Date: December 4, 1998 ** Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a). Note: File three copies of this Form, one of which must be manually signed. If space provided is insufficient, See Instruction 6 for procedure. Alternatively, this form is permitted to be submitted to the Commission in electronic format at the option of the reporting person pursuant to Rule 101(b)(4) of Regulation S-T. -----END PRIVACY-ENHANCED MESSAGE-----