sc13d
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. )*
Friendly Ice Cream
Corporation
(Name of Issuer)
Common Stock
(Title of Class of Securities)
358497105
(CUSIP Number)
Jim Black
Orrick Herrington & Sutcliffe LLP
405 Howard Street
San Francisco, CA 94105
(415-773-5700)
(Name, Address and Telephone Number of Person
Authorized to Receive Notices
and Communications)
September 19, 2005
(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
§§240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box.
þ
Note: Schedules filed in paper
format shall include a signed original and five copies of the schedule,
including all exhibits. See §240.13d-7 for other parties to whom copies are
to be sent.
* The remainder of this cover
page shall be filled out for a reporting persons 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).
Persons who respond to the collection
of information contained in this form are not required to respond unless the
form displays a currently valid OMB control number.
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CUSIP No. 358497105 |
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1. |
Name of Reporting Person: Kevin Douglas (1) |
I.R.S. Identification Nos. of above persons (entities
only):
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2. |
Check the Appropriate Box if a Member of a Group (See
Instructions): |
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(a) |
o |
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(b) |
þ |
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3. |
SEC Use Only: |
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4. |
Source of Funds (See Instructions): PF |
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5. |
Check if Disclosure of Legal Proceedings Is Required
Pursuant to Items 2(d) or 2(e): o
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6. |
Citizenship or Place of Organization: United
States |
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Number
of Shares Beneficially Owned by Each Reporting Person
With |
7. |
Sole Voting Power: -0- |
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8. | Shared Voting
Power: 544,951 (1) |
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9. | Sole Dispositive
Power: -0- |
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10. | Shared Dispositive
Power: 840,700 (2) |
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11. | Aggregate Amount Beneficially
Owned by Each Reporting Person: 840,700 |
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12. | Check if the Aggregate Amount in
Row (11) Excludes Certain Shares (See Instructions): o |
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13. | Percent of Class Represented by
Amount in Row (11): 10.8% (3) |
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14. | Type of Reporting Person (See
Instructions): IN |
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(1) |
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Kevin Douglas and his wife, Michelle Douglas, hold 358,146 shares both directly and
jointly. In addition, Kevin Douglas and Michelle Douglas are co-trustees of the James Douglas
and Jean Douglas Irrevocable Descendants Trust, which holds 186,805 shares. |
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(2) |
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Kevin Douglas has dispositive power with respect to 73,445 shares held by James E. Douglas,
III and 222,304 shares held by the Douglas Family Trust. |
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(3) |
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Based on 7,775,173 shares of the Issuers Common Stock outstanding as of July 22, 2005, as
reported in its quarterly report on Form 10-Q for the quarter ended July 3, 2005. |
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CUSIP No. 358497105 |
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1. |
Name of Reporting Person: Michelle Douglas (1) |
I.R.S. Identification Nos. of above persons (entities
only):
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2. |
Check the Appropriate Box if a Member of a Group (See
Instructions): |
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(a) |
o |
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(b) |
þ |
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3. |
SEC Use Only: |
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4. |
Source of Funds (See Instructions): PF |
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5. |
Check if Disclosure of Legal Proceedings Is Required
Pursuant to Items 2(d) or 2(e): o
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6. |
Citizenship or Place of Organization: United
States |
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Number
of Shares Beneficially Owned by Each Reporting Person
With |
7. |
Sole Voting Power: -0- |
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8. | Shared Voting
Power: 544,951 (1) |
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9. | Sole Dispositive
Power: -0- |
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10. | Shared Dispositive
Power: 544,951 (1) |
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11. | Aggregate Amount Beneficially
Owned by Each Reporting Person: 544,951 |
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12. | Check if the Aggregate Amount in
Row (11) Excludes Certain Shares (See Instructions): o |
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13. | Percent of Class Represented by
Amount in Row (11): 7.0% (2) |
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14. | Type of Reporting Person (See
Instructions): IN |
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(1) |
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Michelle Douglas and her husband, Kevin Douglas, hold 358,146 shares both directly and
jointly. In addition, Michelle Douglas and Kevin Douglas are co-trustees of the James Douglas
and Jean Douglas Irrevocable Descendants Trust, which holds 186,805 shares. |
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(2) |
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Based on 7,775,173 shares of the Issuers Common Stock outstanding as of July 22, 2005, as
reported in its quarterly report on Form 10-Q for the quarter ended July 3, 2005. |
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CUSIP No. 358497105 |
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1. |
Name of Reporting Person: James E. Douglas, III |
I.R.S. Identification Nos. of above persons (entities
only):
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2. |
Check the Appropriate Box if a Member of a Group (See
Instructions): |
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(a) |
o |
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(b) |
þ |
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3. |
SEC Use Only: |
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4. |
Source of Funds (See Instructions): PF |
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5. |
Check if Disclosure of Legal Proceedings Is Required
Pursuant to Items 2(d) or 2(e): o
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6. |
Citizenship or Place of Organization: United
States |
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Number
of Shares Beneficially Owned by Each Reporting Person
With |
7. |
Sole Voting Power: 73,445 |
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8. | Shared Voting
Power: -0- |
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9. | Sole Dispositive
Power: -0- |
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10. | Shared Dispositive
Power: 73,445 (1) |
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11. | Aggregate Amount Beneficially
Owned by Each Reporting Person: 73,445 |
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12. | Check if the Aggregate Amount in
Row (11) Excludes Certain Shares (See Instructions): o |
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13. | Percent of Class Represented by
Amount in Row (11): 0.9% (2) |
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14. | Type of Reporting Person (See
Instructions): IN |
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(1) |
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Kevin Douglas has dispositive power with respect to 73,445 shares held by James E. Douglas,
III. |
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(2) |
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Based on 7,775,173 shares of the Issuers Common Stock outstanding as of July 22, 2005, as
reported in its quarterly report on Form 10-Q for the quarter ended July 3, 2005. |
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CUSIP No. 358497105 |
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1. |
Name of Reporting Person: Douglas Family Trust
(1) |
I.R.S. Identification Nos. of above persons (entities
only):
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2. |
Check the Appropriate Box if a Member of a Group (See
Instructions): |
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(a) |
o |
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(b) |
þ |
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3. |
SEC Use Only: |
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4. |
Source of Funds (See Instructions): OO |
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5. |
Check if Disclosure of Legal Proceedings Is Required
Pursuant to Items 2(d) or 2(e): o
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6. |
Citizenship or Place of
Organization: California |
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Number
of Shares Beneficially Owned by Each Reporting Person
With |
7. |
Sole Voting Power: 222,304 |
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8. | Shared Voting
Power: -0- |
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9. | Sole Dispositive
Power: -0- |
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10. | Shared Dispositive
Power: 222,304 (2) |
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11. | Aggregate Amount Beneficially
Owned by Each Reporting Person: 222,304 |
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12. | Check if the Aggregate Amount in
Row (11) Excludes Certain Shares (See Instructions): o |
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13. | Percent of Class Represented by
Amount in Row (11): 2.9% (3) |
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14. | Type of Reporting Person (See
Instructions): OO |
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(1) |
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James E. Douglas, Jr. and Jean A. Douglas, husband and wife, are co-trustees. |
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(2) |
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Kevin Douglas has dispositive power with respect to 222,304 shares held by the Douglas Family
Trust. |
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(3) |
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Based on 7,775,173 shares of the Issuers Common Stock outstanding as of July 22, 2005, as
reported in its quarterly report on Form 10-Q for the quarter ended July 3, 2005. |
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CUSIP No. 358497105 |
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1. |
Name of Reporting Person: James Douglas and Jean
Douglas Irrevocable Descendants' Trust (1) |
I.R.S. Identification Nos. of above persons (entities
only):
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2. |
Check the Appropriate Box if a Member of a Group (See
Instructions): |
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(a) |
o |
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(b) |
þ |
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3. |
SEC Use Only: |
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4. |
Source of Funds (See Instructions): OO |
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5. |
Check if Disclosure of Legal Proceedings Is Required
Pursuant to Items 2(d) or 2(e): o
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6. |
Citizenship or Place of
Organization: California |
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Number
of Shares Beneficially Owned by Each Reporting Person
With |
7. |
Sole Voting Power: 186,805 |
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8. | Shared Voting
Power: -0- |
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9. | Sole Dispositive
Power: 186,805 |
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10. | Shared Dispositive
Power: -0- |
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11. | Aggregate Amount Beneficially
Owned by Each Reporting Person: 186,805 |
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12. | Check if the Aggregate Amount in
Row (11) Excludes Certain Shares (See Instructions): o |
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13. | Percent of Class Represented by
Amount in Row (11): 2.4% (2) |
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14. | Type of Reporting Person (See
Instructions): OO |
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(1) |
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Kevin Douglas and Michelle Douglas, husband and wife, are co-trustees. |
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(2) |
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Based on 7,775,173 shares of the Issuers Common Stock outstanding as of July 22,
2005, as reported in its quarterly report on Form 10-Q for the quarter ended July 3,
2005 |
Item 1. Security and Issuer.
This statement on Schedule 13D (this Statement) relates to shares of the common stock, par
value of $0.01 per share (Common Stock) of Friendly Ice Cream Corporation, a Massachusetts
corporation (the Issuer). The address of the Issuers principal executive office is 1855 Boston
Road, Wilbraham, Massachusetts 01095.
Item 2. Identity and Background.
This Statement is filed jointly on behalf of Kevin Douglas, Michelle Douglas, James E.
Douglas, III, the Douglas Family Trust and the James Douglas and Jean Douglas Irrevocable
Descendants Trust (collectively, the Reporting Persons). The principal business address of the
Reporting Persons is 1101 Fifth Avenue, Suite 360, San Rafael, California 94901.
Kevin Douglas, Michelle Douglas and James E. Douglas, III are citizens of the United States.
Kevin Douglas is currently the Chairman of the Board of Douglas Telecommunications, Inc., an
operator of a cellular property. The business address of Douglas Telecommunications, Inc. is 1101
Fifth Avenue, Suite 360, San Rafael, California 94901. James E. Douglas, III is currently a teacher with the Milpitas Unified
School District, the business address of which is 1331 E. Calaveras Boulevard, Milpitas, California
95035.
During the past five years, none of Kevin Douglas, Michelle Douglas nor James E. Douglas, III
has (i) been convicted in a criminal proceeding (excluding traffic violations or similar
misdeameanors) or (ii) been a party to a civil proceeding of a judicial or administrative body of
competent jurisdiction and as a result of such proceeding, been or is subject to a judgment, decree
or final order enjoining future violations of, or prohibiting or mandating activities subject to,
federal or state securities laws or finding any violation with respect to such laws.
Item 3. Source and Amount of Funds or Other Consideration
The total amount of funds required, in the aggregate, by the Reporting Persons to purchase the
shares covered by this Statement was $6,407,619.01. The Reporting Persons purchased the shares of
the Issuers Common Stock covered by this Statement from their cash on hand and no funds were
borrowed for such purpose.
Item 4. Purpose of Transaction
The Reporting Persons obtained the shares of the Issuers Common Stock covered by this
Statement in open market purchases effected from February 2001 through November 2004, which
purchases were made with investment intent and not for the purpose or effect of changing or
influencing control of the Issuer.
This Statement is being filed as a result of the Reporting Persons dissatisfaction with
the response of the Issuers Board of Directors to various inquiries and allegations made by other
shareholders, including but not limited to those made in connection with the shareholder derivative
litigation filed by S. Prestley Blake in February 2003. Certain of the Reporting Persons and/or
their representatives have, from time to time, engaged in discussions and written communications
with the
Issuer, Mr. Blake and another shareholder of Issuer regarding the Issuers handling of the
Prestley litigation, concerns of the Reporting Persons with respect to the Boards oversight of
managements use of corporate funds and the seeming refusal of the Board to address shareholders
concerns in an open and forthright manner. The Reporting Persons may engage in additional
discussions with the Issuer and with other shareholders of the Issuer in the future with respect to
any or all of these issues.
Any or all of the Reporting Persons may, on their own and/or acting together with one or more
other persons, take various actions with respect to the Issuer that may be intended to or may have
the effect of influencing the activities or policies of the Issuer or its Board of Directors,
including, without limitation, making proposals to the Board of Directors concerning the
replacement of management, seeking alternative board representation and communicating with other
shareholders of the Issuer regarding collective action.
In addition, depending on overall market conditions, other investment opportunities, and the
availability of shares of the Issuers Common Stock at desirable prices, any or all of the
Reporting Persons may acquire additional shares of the Issuers Common Stock in open market or
private transactions on such terms and at such times as they deem appropriate or may sell some or
all of the shares of the Issuers Common Stock over which they, individually or collectively,
exercise dispositive power.
Item 5. Interest in Securities of the Issuer
(a)-(b) Reference is made to Rows 7-11 and 13 of each of the cover pages of this Schedule 13D
and the associated footnotes, which Rows and footnotes are incorporated by reference herein.
As of the date set forth on the cover of this Schedule 13D, the Reporting Persons held
directly the following number of shares of the Issuers Common Stock:
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SHARES OF COMMON STOCK |
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REPORTING PERSON |
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DIRECTLY HELD |
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Michelle and Kevin Douglas (1) |
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358,146 |
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James E. Douglas, III (2) |
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73,445 |
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Douglas Family Trust (3) |
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222,304 |
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James Douglas and Jean Douglas Irrevocable
Descendants Trust (4) |
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186,805 |
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Total |
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840,700 |
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(1) |
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Kevin Douglas has (i) shared voting and shared dispositive power with respect to all
358,146 shares he holds directly and jointly with his wife, Michelle Douglas; (ii) shared
dispositive power with respect to all 73,445 shares held directly by James E. Douglas, III and
all 222,304 shares held directly by the Douglas Family Trust pursuant to written
authorizations; and (iii) shared voting and shared dispositive power, in his capacity as
co-trustee, with respect to all 186,805 shares held directly by the James Douglas and Jean
Douglas Irrevocable Descendants Trust. |
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(2) |
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James E. Douglas, III has sole voting power with respect to all 73,445 shares he holds
directly and has shared dispositive power along with Kevin Douglas with respect to all of such
shares. |
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(3) |
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The Douglas Family Trust has sole voting power with respect to all 222,304 shares it holds
directly and has shared dispositive power with Kevin Douglas with respect to all of such
shares. |
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(4) |
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The James Douglas and Jean Douglas Irrevocable Descendants Trust has sole voting
and sole dispositive power with respect to all 186,805 shares it holds directly. |
Each of the Reporting Persons may be deemed a member of a group within the meaning of
Section 13(d)(3) of the Securities Exchange Act of 1934, as amended (the Exchange Act), or Rule
13d-5 promulgated under the Exchange Act with one or more of the other Reporting Persons. Although
the Reporting Persons are reporting such securities as if they were members of a group, the
filing of this Schedule 13D shall not be construed as an admission by any Reporting Person that
such Reporting Person is a beneficial owner of any securities other than those directly held by
such Reporting Person.
(c) During the 60-day period before the date of filing of this Schedule 13D, the Reporting
Persons had no transactions in the Issuers Common Stock.
(d) Not applicable.
(e) Not applicable.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to
Securities of the Issuer
Kevin Douglas and James E. Douglas, III are siblings; Kevin Douglas and Michelle Douglas are
spouses; and James E. Douglas, Jr. and Jean A. Douglas are the parents of Kevin Douglas and James
E. Douglas, III.
As noted in Item 5(a)-(b) hereof, each of James E. Douglas, III and the Douglas Family Trust,
pursuant to written authorizations in the form attached hereto as Exhibit B, has granted Kevin
Douglas the authority to buy, sell and trade securities, including shares of the Issuers Common
Stock, in the respective brokerage accounts of James E. Douglas, III and the Douglas Family Trust.
In general, these authorizations are effective until revoked by James E. Douglas, III or the
Douglas Family Trust, as the case may be.
Each of the Reporting Persons has executed a power of attorney, a conformed copy of which is
attached hereto as Exhibit C, authorizing each of Tim McGaw, Eileen Davis and Kevin Douglas, acting
either individually or together as the Reporting Persons
attorney-in-fact, to, among other things,
prepare, execute and deliver filings required by Section 13(d) of the Exchange Act with respect to
securities of the Issuer and obtain on the Reporting Persons behalf information regarding
transactions in the Issuers securities.
The Reporting Persons have entered into the Joint Filing Agreement attached hereto as Exhibit
A.
Item 7. Material to be Filed as Exhibits
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Exhibit A:
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Joint Filing Agreement among the Reporting Persons |
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Exhibit B:
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Form of Smith Barney Inc. Security Account Limited Discretionary Authorization |
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Exhibit C:
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(1) Power of Attorney relating to filings required by Section 13(d) of the
Exchange Act with respect to securities of Friendly Ice Cream Corporation for Kevin
Douglas, James E. Douglas, III, the Douglas Family Trust and the James Douglas and
Jean Douglas Irrevocable Descendants Trust* |
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(2) Power of Attorney relating to filings required by Section 13(d) of the
Exchange Act with respect to securities of Friendly Ice Cream Corporation for Michelle
Douglas |
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* |
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Incorporated by reference to the Limited Power of Attorney filed as Exhibit 24 to the
Schedule 13G/A (Amendment No. 1) filed by the
above-referenced Reporting Persons on February 13, 2004. |
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.
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Date: September 29, 2005 |
/s/ Tim McGaw, as Attorney-in-Fact
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Kevin Douglas |
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Date: September 29, 2005 |
/s/ Tim McGaw, as Attorney-in-Fact
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Michelle Douglas |
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Date: September 29, 2005 |
/s/ Tim McGaw, as Attorney-in-Fact
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James E. Douglas, III |
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Date: September 29, 2005 |
DOUGLAS FAMILY TRUST
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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James E. Douglas, Jr. |
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Title: |
Trustee |
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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Jean A. Douglas |
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Title: |
Trustee |
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Date: September 29, 2005 |
JAMES DOUGLAS AND JEAN DOUGLAS IRREVOCABLE DESCENDANTS TRUST
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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Kevin Douglas |
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Title: |
Trustee |
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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Michelle Douglas |
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Title: |
Trustee |
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EXHIBIT A
JOINT FILING AGREEMENT
This Joint Filing Agreement (this Agreement) hereby confirms the agreement by and among all
of the undersigned that the Schedule 13D to which this Agreement is attached as Exhibit A with
respect to the beneficial ownership of the undersigned of shares of Friendly Ice Cream
Corporations Common Stock is being filed on behalf of each of the undersigned. This Agreement may
be executed in two or more counterparts, each of which shall be deemed an original, but all of
which together shall constitute one and the same instrument.
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Date: September 29, 2005 |
/s/ Tim McGaw, as Attorney-in-Fact
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Kevin Douglas |
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Date: September 29, 2005 |
/s/ Tim McGaw, as Attorney-in-Fact
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Michelle Douglas |
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Date: September 29, 2005 |
/s/ Tim McGaw, as Attorney-in-Fact
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James E. Douglas, III |
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Date: September 29, 2005 |
DOUGLAS FAMILY TRUST
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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James E. Douglas, Jr. |
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Title: |
Trustee |
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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Jean A. Douglas |
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Title: |
Trustee |
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Date: September 29, 2005 |
JAMES DOUGLAS AND JEAN DOUGLAS IRREVOCABLE DESCENDANTS TRUST
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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Kevin Douglas |
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Title: |
Trustee |
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By: |
/s/ Tim McGaw, as Attorney-in-Fact
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Michelle Douglas |
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Title: |
Trustee |
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Exhibit B
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SECURITY ACCOUNT
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SALOMON SMITH BARNEY |
LIMITED DISCRETIONARY AUTHORIZATION
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A member of citigroup [LOGO] |
THIS AUTHORIZATION IS A LIMITED DISCRETIONARY AUTHORIZATION. IT DOES NOT EMPOWER
THE AGENT NAMED HEREIN TO WITHDRAW ANY MONEY, SECURITIES OR OTHER PROPERTY
EITHER IN THE NAME OF THE PRINCIPAL(S) OR OTHERWISE.
PLEASE READ CAREFULLY, SIGN AND RETURN TO
SALOMON SMITH BARNEY INC.
New Accounts Department
388 Greenwich Street
New York, NY 10013-2396
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Account Number |
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Branch
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Account
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T
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C
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FC |
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CHECK
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FC
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THIRD PARTY |
ONE:
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o AGENT CODE 64
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o AGENT CODE 74 |
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WARNING
THIS IS AN IMPORTANT LEGAL DOCUMENT. IT CREATES A DURABLE POWER OF
ATTORNEY. BEFORE EXECUTING THIS DOCUMENT, YOU SHOULD KNOW THESE
IMPORTANT FACTS:
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a) |
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THIS DOCUMENT MAY PROVIDE THE PERSON YOU DESIGNATE AS YOUR
ATTORNEY-IN-FACT WITH BROAD POWERS TO DISPOSE, SELL, CONVEY AND
ENCUMBER YOUR PROPERTY. |
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b) |
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THESE POWERS WILL EXIST FOR AN INDEFINITE PERIOD OF TIME AND WILL
CONTINUE TO EXIST NOTWITHSTANDING YOUR SUBSEQUENT DISABILITY,
INCOMPETENCY OR INCAPACITY. |
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c) |
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YOU HAVE THE RIGHT TO REVOKE OR TERMINATE THIS DURABLE POWER OF
ATTORNEY BY GIVING US WRITTEN NOTICE ADDRESSED TO THE BRANCH OFFICE
SERVICING YOUR ACCOUNT. SUCH REVOCATION SHALL NOT AFFECT YOUR
LIABILITY FOR ANY TRANSACTION INITIATED PRIOR TO OUR RECEIPT OF
SAID REVOCATION. |
1. The undersigned Client hereby authorizes (agents name)
(whose signature appears on the reverse) as the undersigneds agent and
attorney-in-fact to buy, sell (including short sales) and trade in stocks,
bonds, options (including uncovered short positions in option contracts or in
the uncovering of any existing short position in option contracts) and any other
securities and/or contracts relating to the same on margin or otherwise in
accordance with your terms and conditions for the undersigneds account and risk
in the undersigneds name, or number on your books, it being further understood
that any such transaction may be effected with you as principal or dealer or
through you as agent or broker, and that any such purchase may involve
securities in the distribution of which you may have an interest as underwriter,
member of selling group, or otherwise. The undersigned hereby agrees to
indemnify and hold you harmless from and to pay you promptly on demand any and
all losses arising therefrom or debit balance due thereon.
2. In all such purchases, sales or trades you are authorized to follow the
instructions of the above-named person in every respect concerning the
undersigneds account with you, and he or she is authorized to act for the
undersigned and in the undersigneds behalf in the same manner and with the same
force and effect as the undersigned might or could do with respect to such
purchases, sales or trades.
3. The undersigned hereby ratifies and confirms any and all transactions with
you heretofore or hereafter made by the aforesaid agent or for the undersigneds
account.
4. This authorization and indemnity is in addition to (and in no way limits or
restricts) any rights which you may have under any other agreement or agreements
between the undersigned and your corporation.
5. To revoke this authorization, the undersigned hereby agrees to submit a
written notice addressed to you and delivered to the branch office serving the
account, but such revocation shall not affect any liability in any way resulting
from transactions initiated prior to such revocation.
6. This agreement shall inure to the benefit of your present corporation and of
any successor corporation(s) or assigns.
7. ARBITRATION.
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ARBITRATION IS FINAL AND BINDING ON THE PARTIES. |
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THE PARTIES ARE WAIVING THEIR RIGHT TO SEEK REMEDIES IN COURT, INCLUDING THE
RIGHT TO JURY TRIAL. |
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PRE-ARBITRATION DISCOVERY IS GENERALLY MORE LIMITED THAN AND DIFFERENT FROM
COURT PROCEEDINGS. |
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THE ARBITRATORS AWARD IS NOT REQUIRED TO INCLUDE FACTUAL FINDINGS OR LEGAL
REASONING AND ANY PARTYS RIGHT TO APPEAL OR TO SEEK MODIFICATION OF RULINGS
BY THE ARBITRATORS IS STRICTLY LIMITED. |
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THE PANEL OF ARBITRATORS WILL TYPICALLY INCLUDE A MINORITY OF ARBITRATORS WHO
WERE OR ARE AFFILIATED WITH THE SECURITIES INDUSTRY. |
I AGREE THAT ALL CLAIMS OR CONTROVERSIES, WHETHER SUCH CLAIMS OR CONTROVERSIES
AROSE PRIOR, ON OR SUBSEQUENT TO THE DATE HEREOF, BETWEEN SALOMON SMITH BARNEY
INC. AND ME AND/OR ANY OF YOUR PRESENT OR FORMER OFFICERS, DIRECTORS, OR
EMPLOYEES CONCERNING OR ARISING FROM (i) ANY ACCOUNT MAINTAINED BY ME WITH
SALOMON SMITH BARNEY INC. INDIVIDUALLY OR JOINTLY WITH OTHERS IN ANY CAPACITY;
(ii) ANY TRANSACTION INVOLVING SALOMON SMITH BARNEY INC. OR ANY PREDECESSOR
FIRMS BY MERGER, ACQUISITION OR OTHER BUSINESS COMBINATION AND ME, WHETHER OR
NOT SUCH TRANSACTION OCCURRED IN SUCH ACCOUNT OR ACCOUNTS; OR (iii) THE
CONSTRUCTION, PERFORMANCE OR BREACH OF THIS OR ANY OTHER AGREEMENT BETWEEN US,
ANY DUTY ARISING FROM THE BUSINESS OF SALOMON SMITH BARNEY INC. OR OTHERWISE,
SHALL BE DETERMINED BY ARBITRATION BEFORE, AND ONLY BEFORE, ANY SELF-REGULATORY
ORGANIZATION OR EXCHANGE OF WHICH SALOMON SMITH BARNEY INC. IS A MEMBER. I MAY
ELECT WHICH OF THESE ARBITRATION FORUMS SHALL HEAR THE MATTER BY SENDING A
REGISTERED LETTER OR TELEGRAM ADDRESSED TO: SALOMON SMITH BARNEY INC., LAW
DEPARTMENT, 388 GREENWICH STREET, NEW YORK, NY 10013-2396. IF I FAIL TO MAKE
SUCH ELECTION BEFORE THE EXPIRATION OF FIVE (5) DAYS AFTER RECEIPT OF A WRITTEN
REQUEST FROM SALOMON SMITH BARNEY INC. TO MAKE SUCH ELECTION, SALOMON SMITH
BARNEY INC. SHALL HAVE THE RIGHT TO CHOOSE THE FORUM.
NO PERSON SHALL BRING A PUTATIVE OR CERTIFIED CLASS ACTION TO ARBITRATION, NOR
SEEK TO ENFORCE ANY PRE-DISPUTE ARBITRATION AGREEMENT AGAINST ANY PERSON WHO HAS
INITIATED IN COURT A PUTATIVE CLASS ACTION; OR WHO IS A MEMBER OF A PUTATIVE
CLASS WHO HAS NOT OPTED OUT OF THE CLASS WITH RESPECT TO ANY CLAIMS ENCOMPASSED
BY THE PUTATIVE CLASS ACTION UNTIL: (i) THE CLASS CERTIFICATION IS DENIED; (ii)
THE CLASS IS DECERTIFIED; OR (iii) THE CUSTOMER IS EXCLUDED FROM THE CLASS BY
THE COURT.
SUCH FORBEARANCE TO ENFORCE AN AGREEMENT TO ARBITRATE SHALL NOT CONSTITUTE A
WAIVER OF ANY RIGHTS UNDER THIS AGREEMENT EXCEPT TO THE EXTENT STATED HEREIN.
8. This authorization shall remain in full force and effect unless revoked by
the undersigned in accordance with the procedures stated above or until you
receive actual notice of my death or other legally mandated causes for
revocation.
9. If any provision of this agreement is or becomes inconsistent with any
applicable present or future law, rule or regulation, that provision will be
deemed rescinded or modified in order to comply with the relevant law, rule or
regulation. All other provisions of this agreement will continue and remain in
full force and effect.
10. THIS AUTHORIZATION SHALL NOT BE AFFECTED BY THE SUBSEQUENT DISABILITY,
INCAPACITY OR INCOMPETENCY OF THE UNDERSIGNED NOR BY A LAPSE OF TIME BETWEEN ITS
EXECUTION AND EXERCISE.
11. I (We) acknowledge receiving a copy of this agreement.
12. This agreement shall be governed and construed in accordance with the laws
of the State of New York without giving effect to principles of conflict of
laws, except that the statute of limitations applicable to claims shall be that
which would be applied by the Federal District Court where the Client resides.
13. THIS SECTION APPLIES ONLY WHEN DISCRETIONARY AUTHORIZATION IS GIVEN TO AN
EMPLOYEE OF SALOMON SMITH BARNEY INC.
I understand and agree that some or all executions for my account may be
aggregated with executions effected for other clients of Salomon Smith Barney
Inc. and be subsequently allocated to my account(s) at an average price, and
that Salomon Smith Barney Inc. may from time to time and at its discretion act
as principal with respect to aggregated orders that result in allocations to my
account(s) at an average price.
I understand that I will receive confirmations of all transactions effected for
my account(s) which will identify when a transaction was effected at an average
price and the average price at which it was effected, and if so, whether Salomon
Smith Barney Inc. acted as principal or agent for the transaction. The
confirmation will also disclose any commissions, markups, markdowns, service
fees, etc., if such are charged me in connection with the execution of the
trade. I also understand that, upon my request to Salomon Smith Barney Inc., the
details of the actual execution of any average price transaction will be
provided to me within a reasonable period of time.
In the event I determine to rescind the Agreement contained in this section, I
agree to do so only by written notification sent to the branch office servicing
my account and that such rescission shall be effective the business day after
receipt of such written notification by Salomon Smith Barney Inc., and shall not
apply to any orders pending or transactions not yet confirmed at the time of
receipt
Complete name
of account
THIS AUTHORIZATION CONTAINS A PRE-DISPUTE ARBITRATION AGREEMENT WHICH BEGINS ON
THE FRONT OF THIS FORM AT PARAGRAPH 7.
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A.
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Clients |
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CLIENTS
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Signature
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SIGNATURE(S) |
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THIS AGREEMENT
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Clients |
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MUST BE SIGNED
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Signature |
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BEFORE A NOTARY |
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PUBLIC |
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State of______________________________) |
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On this______________day of____20______ before me a Notary |
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Public for the County of |
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County of____________________________) |
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_________________________________________________________________ |
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personally appeared__________________________________________________ |
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(SEAL) |
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and______________________________________________________________ , |
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to me known and known to
me to be the individual
(s) described in and who
executed the above
instrument, and
acknowledged to me that
he/she/they executed the
same. |
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SIGNATURE OF NOTARY PUBLIC |
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B.
AGENTS
ACKNOWLEDGMENT
AND AFFIDAVIT |
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By signing below, I the agent for the principal(s) named herein, accept this
appointment and agree to be bound by the terms of this authorization including the provisions for arbitration of
disputes. Being first duly sworn, I do hereby state that this authorization was executed by the principal(s) at a time
when he or she was legally competent to perform such act and that it has not been terminated by any means
including voluntary revocation or death of the principal(s). |
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THIS
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SIGNATURE OF AGENT (individual to
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ACKNOWLEDGMENT
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whom authorization is granted) |
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AND AFFIDAVIT |
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MUST BE SIGNED |
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BEFORE A NOTARY |
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State Of ______________________________) |
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Subscribed and sworn to before me this |
PUBLIC
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County of_____________________________) |
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________________day of________________20___________ |
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(SEAL) |
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SIGNATURE OF NOTARY PUBLIC |
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Approved by Branch Mgr. |
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Regional Director Approval |
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EXHIBIT C(2)
LIMITED POWER OF ATTORNEY FOR
SECTION 13(d) REPORTING OBLIGATIONS
The undersigned hereby makes, constitutes and appoint each of Tim McGaw, Eileen Davis and
Kevin Douglas, acting either individually or together, as the undersigneds true and lawful
attorney-in-fact, with full power and authority as hereinafter described on behalf of and in the
name, place and stead of the undersigned to:
(1) prepare, execute, acknowledge, deliver and file Schedules 13D and 13G (including any amendments
thereto) with respect to the securities of Friendly Ice Cream Corporation (the Company), with the
U.S. Securities and Exchange Commission, any national securities exchanges and the Company, as
considered necessary or advisable under Section 13(d) of the Securities Exchange Act of 1934 and
the rules and regulations promulgated thereunder (including, without limitation, Regulation 13D-G),
as may be amended from time to time (the Exchange Act);
(2) seek or obtain, as the undersigneds representative and on the undersigneds behalf,
information on transactions in the Companys securities from any third party, including brokers,
employee benefit plan administrators and trustees, in connection with the foregoing, and the
undersigned hereby authorizes any such person to release any such information to any of the
attorneys-in-fact and approve and ratify any such release of information; and
(3) perform any and all other acts which in the discretion of such attorney-in-fact are necessary
or desirable for and on behalf of the undersigned in connection with the foregoing.
The undersigned acknowledges that:
(1) this Limited Power of Attorney authorizes, but does not require, each such attorney-in-fact to
act in his or her discretion on information provided to such attorney-in-fact without independent
verification of such information;
(2) any documents prepared and/or executed by any such attorney-in-fact on behalf of the
undersigned pursuant to this Limited Power of Attorney will be in such form and will contain such
information and disclosure as such attorney-in-fact, in his or her discretion, deems necessary or
desirable;
(3) none of such attorneys-in-fact assumes (i) any liability for the undersigneds responsibility
to comply with the requirements of the Exchange Act, or (ii) any liability of the undersigned for
any failure to comply with such requirements; and
(4) this Limited Power of Attorney does not relieve the undersigned from responsibility for
compliance with the undersigneds obligations under the Exchange Act, including without limitation
the reporting requirements under Section 13(d) of the Exchange Act and Regulation 13D-G promulgated
thereunder.
The undersigned hereby gives and grants each of the foregoing attorneys-in-fact full power and
authority to do and perform all and every act and thing whatsoever requisite, necessary,
appropriate or desirable to be done in and about the foregoing matters as fully to all intents and
purposes as the undersigned might or could do if present, hereby ratifying all that each such
attorney-in-fact of, for and on behalf of the undersigned, shall lawfully do or cause to be done by
virtue of this Limited Power of Attorney.
This Limited Power of Attorney shall remain in full force and effect until the undersigned is no
longer required to file Schedules 13D or 13G with respect to the undersigneds holdings of and
transactions in securities issued by the Company, unless earlier revoked by the undersigned in a
signed writing delivered to each such attorney-in-fact.
The undersigned has caused this Limited Power of Attorney to be executed as of this 27th day of
September, 2005.
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/s/ Michelle Douglas
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Michelle Douglas |
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