SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
AMENDMENT NO. 1 TO
SCHEDULE 13D
Under the Securities Exchange Act of 1934
Dynegy Inc.
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(Name of Issuer)
Common Stock, $0.01 par value per share
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(Title of Class of Securities)
26816L 10 2
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(CUSIP Number)
Lydia I. Beebe Terry M. Kee
Chevron U.S.A. Inc. Pillsbury Madison & Sutro
575 Market Street P.O. Box 7880
San Francisco, CA 94105 San Francisco, CA 94120
(415) 894-7700 (415) 983-1000
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(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
June 14, 1999
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(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 which is the subject of this Schedule 13D, and is filing this
schedule because of ss.ss. 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box.
Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See ss. 240.13d-7(b) for other
parties to whom copies are to be sent.
*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).
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CUSIP No. 26816L 10 2
1) Names of Reporting Persons
I.R.S. Identification Nos. of Above Persons (entities)
Chevron U.S.A. Inc.
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2) Check the Appropriate Box if a Member of a Group
(See Instructions) (a) [ ]
(b) [X]
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3) SEC Use Only
- --------------------------------------------------------------------------------
4) Source of Funds (See Instructions)
00
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5) Check if Disclosure of Legal Proceedings is
Required Pursuant to Items 2(d) or 2(e) [ ]
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6) Citizenship or Place of Organization
Pennsylvania
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7) Sole Voting Power
38,789,876
Number of Shares ---------------------------------------------------------
Beneficially
Owned by Each 8) Shared Voting Power
Reporting
Person With 0
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9) Sole Dispositive Power
38,789,876
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10) Shared Dispositive Power
0
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11) Aggregate Amount Beneficially Owned by Each Reporting
Person
38,789,876
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12) Check if the Aggregate Amount in Row (11) Excludes Certain
Shares (See Instructions) [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Represented by Amount in Row (11)
25.4%
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14) Type of Reporting Person (See Instructions)
CO
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CUSIP No. 26816L 10 2
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1) Names of Reporting Persons
I.R.S. Identification Nos. of Above Persons
(entities only)
Chevron Corporation
- --------------------------------------------------------------------------------
2) Check the Appropriate Box if a Member of a Group
(See Instructions) (a) [ ]
(b) [X]
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3) SEC Use Only
- --------------------------------------------------------------------------------
4) Source of Funds (See Instructions)
00
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5) Check if Disclosure of Legal Proceedings is Required
Pursuant to Items 2(d) or 2(e) [ ]
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6) Citizenship or Place of Organization
Delaware
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7) Sole Voting Power
0
Number of Shares ---------------------------------------------------------
Beneficially 8) Shared Voting Power
Owned by Each
Reporting 38,789,876
Person With ---------------------------------------------------------
9) Sole Dispositive Power
0
---------------------------------------------------------
10) Shared Dispositive Power
38,789,876
- --------------------------------------------------------------------------------
11) Aggregate Amount Beneficially Owned by Each
Reporting Person
38,789,876
- --------------------------------------------------------------------------------
12) Check if the Aggregate Amount in Row (11) Excludes
Certain Shares (See Instructions [ ]
- --------------------------------------------------------------------------------
13) Percent of Class Represented by Amount in Row (11)
25.4%
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14) Type of Reporting Person (See Instructions)
CO
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Chevron Corporation, a Delaware corporation ("Chevron") and its wholly
owned subsidiary, Chevron U.S.A. Inc., a Pennsylvania corporation (the
"Reporting Person"), hereby amend and supplement their Schedule 13D, originally
filed on September 10, 1996 for Dynegy Inc., a Delaware corporation (the
"Issuer") when it was formerly known as NGC Corporation. With respect to each
contract, agreement or other document referred to herein and filed with the
Securities and Exchange Commission as an exhibit to this report, reference is
made to the exhibit for a more complete description of the matter involved, and
each such statement shall be deemed qualified in its entirety by such reference.
Item 1. Security and Issuer.
This Statement relates to the Common Stock, $0.01 par value per share
(the "Common Stock") and the Series A Participating Preferred Stock, $.01 par
value per share (the "Preferred Stock") of the Issuer (collectively, the "Issuer
Stock"), whose principal executive offices are located at 1000 Louisiana, Suite
5800, Houston, Texas 77002.
Item 2. Identity and Background.
The response to Item 2 is hereby amended and supplemented as follows:
Schedules I and II which are attached hereto and incorporated herein
in their entirety by reference, set forth the name, residence or business
address, citizenship and certain employment information of each of the executive
officers and directors of the Reporting Person and Chevron.
Item 3. Source and Amount of Funds or Other Consideration.
The shares of Issuer Stock owned by the Reporting Person will be
exchanged for shares of a different issuer pursuant to the merger described in
Item 4 below. Also, the Reporting Person has agreed, subject to completion of
such merger, to purchase for cash additional equity from the resulting entity
for an aggregate purchase price of $200,000,000 to $240,000,000 as described in
Item 4. The funds for this purchase will come from the working capital of the
Reporting Person.
Item 4. Purpose of Transaction.
Pursuant to an Agreement and Plan of Merger dated as of June 14, 1999
(the "Merger Agreement"), the Issuer and Illinova Corporation, an Illinois
corporation ("Illinova"), agreed to enter into a transaction in which each of
the Issuer and Illinova will become wholly owned subsidiaries of Energy
Convergence Holding Company, a newly formed Illinois corporation ("Newco").
Dynegy Acquisition Corporation, a Delaware corporation ("DAC") and a wholly
owned subsidiary of Newco, will be merged with and into the Issuer, and Energy
Convergence Acquisition Corporation, an Illinois corporation and a wholly owned
subsidiary of Newco, will be merged with and into Illinova. A copy of the Merger
Agreement is filed as Exhibit 1 to this amendment to this Schedule 13D and is
incorporated herein by reference to filings made by the Issuer.
Under the Merger Agreement, each share of Issuer Stock will be
converted into the right to receive either $16.50 in cash or 0.69 of a share of
Newco Class A Common Stock pursuant to an election process. Holders of Illinova
common stock will exchange one share of Newco for each Illinova share currently
owned. The Reporting Person will receive Newco Class B Common Stock, no par
value, in the exchange. The Reporting Person will be entitled to board
representation of the Reporting Person, certain rights and limitations with
respect to purchases and sales of Newco securities and other "blocking rights"
with respect to large transactions by Newco. In addition, the terms require that
should the ownership interest of the Reporting Person ever exceed 40% of Newco's
equity securities, the Reporting Person will offer to purchase the remaining
equity securities of Newco in accordance with certain specified procedures.
In connection with the Merger Agreement, the Reporting Person entered
into a Voting Agreement with
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Illinova dated as of June 14, 1999 whereby the Reporting Person has agreed to
vote its shares of Issuer Stock in favor of the Merger Agreement and the
transactions contemplated thereby. A copy of the Voting Agreement is filed as
Exhibit 2 to this amendment to this Schedule 13D and is incorporated herein by
reference to filings made by the Issuer.
On June 14, 1999, the Reporting Person also entered into a
Subscription Agreement with Newco, whereby the Reporting Person agreed to
purchase additional shares of Newco Class B Common Stock for an aggregate
purchase price of $200,000,000 to $240,000,000 upon the closing date of the
mergers contemplated by the Merger Agreement. A copy of the Subscription
Agreement is filed as Exhibit 3 to this amendment to this Schedule 13D and is
incorporated herein by reference to filings made by the Issuer.
In connection with the formation of Newco, the Reporting Person also
entered into a Shareholder Agreement with Newco which will govern the
relationship between Newco and the Reporting Person upon the closing date of the
merger of DAC with and into the Issuer. A copy of the Shareholder Agreement
is filed as Exhibit 4 to this amendment to this Schedule 13D and is incorporated
herein by reference to filings made by the Issuer.
Finally, the Reporting Person has been granted registration rights
with respect to the Newco Class B Common Stock pursuant to a Registration Rights
Agreement with Newco, also dated as of June 14, 1999. A copy of the Registration
Rights Agreement is filed as Exhibit 5 to this amendment to this Schedule 13D
and is incorporated herein by reference to filings made by the Issuer.
Item 5. Interest in Securities of the Issuer.
The response to Item 5 is hereby amended and supplemented as follows:
(a) The aggregate number of shares of Common Stock of the Issuer
beneficially owned by the Reporting Person is 38,789,876 shares. The shares of
Common Stock owned by the Reporting Person represent approximately 25.4% of the
outstanding shares of Common Stock of the Issuer (based on the April 20, 1999
Proxy Statement of the Issuer, in which 152,604,464 shares of Common Stock were
reported as expected to be outstanding as of March 25, 1999).
The Reporting Person additionally owns 7,815,363 shares of the
Preferred Stock of the Issuer, which is convertible into shares of Common Stock
on a one-for-one basis upon the occurrence of certain events set forth in the
Issuer's Certificate of Incorporation. If all the shares of Preferred Stock
owned by the Reporting Person were converted into shares of Common Stock, the
Reporting Person would own approximately 29.1% of the shares of Common Stock
outstanding.
Chevron does not own any shares of the Issuer directly, but may be
deemed to share beneficial ownership of all the shares of Common Stock owned by
the Reporting Person by virtue of the ownership relationship described in Item
2.
(b) Subject to its obligations under the agreements described in this
Schedule 13D, the Reporting Person has the sole power to vote and dispose of the
38,789,876 shares of Common Stock owned directly by it. Although the Reporting
Person has sole voting and dispositive rights, Chevron may be deemed to share
voting and dispositive power with regard to such shares by virtue of its
ownership of 100% of the voting shares of the Reporting Person. Pursuant to the
Voting Agreement described in Item 4 above, the Reporting Person has agreed to
vote its shares of Issuer Stock in favor of the merger described in Item 4.
(c) Not applicable.
(d) Except as described above, no other person is known to have the
right to receive or the power to direct the receipt of dividends from or the
proceeds from the sale of such shares of Common Stock beneficially owned by the
Reporting Person or Chevron.
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(e) Not applicable.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect
to Securities of the Issuer.
The response to Item 6 is hereby amended and supplemented as follows:
An Agreement and Plan of Merger was entered into as of June 14, 1999
by and among Newco, Issuer, Dynegy Acquisition Corporation, Illinova and Energy
Convergence Acquisition Corporation. Although the Reporting Person is not a
party to the Merger Agreement, the terms of the Merger Agreement affect the
Reporting Person and its relationship to Issuer. (See Item 4, which is
incorporated by reference.)
On June 14, 1999, the Reporting Person and Illinova entered into the
Voting Agreement by which the Reporting Person has agreed to vote its shares of
the Issuer's Common Stock in favor of the Merger Agreement. (See Item 4.)
On June 14, 1999, the Reporting Person also entered into the
Subscription Agreement, the Shareholder Agreement, and the Registration Rights
Agreement with Newco. (See Item 4.)
Copies of these agreements are filed as Exhibits to this amendment to
this Schedule 13D and are incorporated herein by reference to filings made by
the Issuer.
At present, there are no other contracts, arrangements,
understandings, or relationships with respect to securities of the Issuer
involving the Reporting Person.
Item 7. Material to be Filed as Exhibits.
1. Agreement and Plan of Merger by and among Newco, the Issuer, Dynegy
Acquisition Corporation, Illinova and Energy Convergence Acquisition Corporation
(to be incorporated by reference to Exhibit 2.1 of the Issuer's Current Report
on Form 8-K dated June 14, 1999).
2. Voting Agreement between Illinova and the Reporting Person
(incorporated by reference to Exhibit 10.5 to the Issuer's Current Report on
Form 8-K dated June 14, 1999).
3. Subscription Agreement between Energy Convergence Holding Company
and the Reporting Person (incorporated by reference to Exhibit 10.1 to the
Issuer's Current Report on Form 8-K dated June 14, 1999).
4. Shareholder Agreement of Energy Convergence Holding Company with the
Reporting Person (incorporated by reference to Exhibit 10.6 to the Issuer's
Current Report on Form 8-K dated June 14, 1999).
5. Registration Rights Agreement (incorporated by reference to Exhibit
10.8 of the Issuer's Current Report on Form 8-K dated June 14, 1999).
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SIGNATURE
After reasonable inquiry and to the best of their knowledge and belief, the
undersigned certifies that the information set forth in this Statement is true,
complete and correct.
Date: June 15, 1999 CHEVRON U.S.A. INC.
By /s/ Lydia I. Beebe
--------------------------------
Lydia I. Beebe, Vice President
and Secretary
CHEVRON CORPORATION
By /s/ Lydia I. Beebe
---------------------------------
Lydia I. Beebe, Secretary
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SCHEDULE I
The following table sets for the name, residence or business address,
citizenship, present principal occupation or employment, and the name, principal
business and address of any corporation in which such employment is conducted,
of each executive officer and director of Chevron U.S.A. Inc. ("CUSA").
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Name Citizenship Employment Information
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Occupation Business Address Business of Employer
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P. A. Woertz U.S. President of CUSA 575 Market Street See Item 2
San Francisco, CA 94105
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P. J. Robertson U.S. Executive Vice President of 575 Market Street See Item 2
CUSA San Francisco, CA 94105
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L. I. Beebe U.S. Vice President, Secretary of 575 Market Street See Item 2
CUSA San Francisco, CA 94105
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D. P. Smay U.S. Vice President and Assistant 575 Market Street See Item 2
Secretary of CUSA San Francisco, CA 94105
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H. P. Walker U.S. Vice President and Assistant 575 Market Street See Item 2
Secretary of CUSA San Francisco, CA 94105
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M. A. Humphrey U.S. Vice President of CUSA 575 Market Street See Item 2
San Francisco, CA 94105
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B. J. Koc U.S. Vice President of CUSA 575 Market Street See Item 2
San Francisco, CA 94105
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R. H. Matzke U.S. President of Chevron 575 Market Street See Item 2
Overseas Petroleum, a San Francisco, CA 94105
CUSA division
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SCHEDULE II
The following table sets forth the name, residence or business address,
citizenship, present principal occupation or employment, and the name, principal
business and address of any corporation in which such employment is conducted,
of each executive officer and director of Chevron Corporation ("Chevron").
====================================================================================================================================
Name Citizenship Employment Information
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Occupation Business Address Business of Employer
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K. T. Derr U.S. Chairman and Chief 575 Market Street See Item 2
Executive Officer of San Francisco, CA 94105
Chevron
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J. N. Sullivan U.S. Vice Chairman of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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D. J. O'Reilly U.S. Vice Chairman of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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M. R. Klitten U.S. Vice President and Chief 575 Market Street See Item 2
Financial Officer of San Francisco, CA 94105
Chevron
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D.W. Callahan U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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H. D. Hinman U.S. Vice President and General 575 Market Street See Item 2
Counsel of Chevron San Francisco, CA 94105
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G. K. Carter U.S. Vice-President and 575 Market Street See Item 2
Treasurer of Chevron San Francisco, CA 94105
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A. M. Caccamo U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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L. E. Elkins Jr. U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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G. Matiuk U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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R. H. Matzke U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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D. L. Paul U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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P. J. Robertson U.K. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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J. S. Watson U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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P. A. Woertz U.S. Vice President of Chevron 575 Market Street See Item 2
San Francisco, CA 94105
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S. H. Armacost U.S. Chairman, SRI International 333 Ravenwood Ave. Consulting
Menlo Park, CA 94025
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====================================================================================================================================
Name Citizenship Employment Information
---------------------------------------------------------------------------------------------
Occupation Business Address Business of Employer
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S. Ginn U.S. Chairman and C.E.O. of One California Street Wireless
AirTouch Communications, San Francisco, CA 94111 telecommunications
Inc.
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C. A. Hills U.S. Chairman and C.E.O. of 1200 19th Street, N.W. Consulting
Hills & Company #201 Washington, DC
International Consultants 20036
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J.B. Johnston U.S. Chief Executive Officer, 1455 Pennsylvania Ave. Consulting
Johnston & Associates NW, Washington, DC
20004
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C. M. Pigott U.S. Chairman Emeritus of P.O. Box 1518 Transportation
PACCAR Inc Bellevue, WA 98009 equipment
manufacture
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C. Rice U.S. Provost and Vice President Building 10, Higher education
of Stanford University Stanford University
Stanford, CA 94305
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F.A. Shrontz U.S. Retired as Chairman of the 7755 E. Marginal Way S. Manufacture of
Board and CEO of the Seattle, WA 98108 aircraft
Boeing Company
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J. A. Young U.S. Vice-Chairman of Novell, 3200 Hillview Ave. Software
Inc. Palo Alto, CA 94304
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C-L Tien U.S. NEC Distinguished 6101 Etcheverey Hall Education
Professor of Engineering, Berkeley, CA 94720
University of California
====================================================================================================================================
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EXHIBIT INDEX
1. Agreement and Plan of Merger by and among Newco, the Issuer, Dynegy
Acquisition Corporation, Illinova and Energy Convergence Acquisition Corporation
(to be incorporated by reference to Exhibit 2.1 of the Issuer's Current Report
on Form 8-K dated June 14, 1999).
2. Voting Agreement between Illinova and the Reporting Person
(incorporated by reference to Exhibit 10.5 to the Issuer's Current Report on
Form 8-K dated June 14, 1999).
3. Subscription Agreement between Energy Convergence Holding Company
and the Reporting Person (incorporated by reference to Exhibit 10.1 to the
Issuer's Current Report on Form 8-K dated June 14, 1999).
4. Shareholder Agreement of Energy Convergence Holding Company with
the Reporting Person (incorporated by reference to Exhibit 10.6 to the Issuer's
Current Report on Form 8-K dated June 14, 1999).
5. Registration Rights Agreement (incorporated by reference to Exhibit
10.8 of the Issuer's Current Report on Form 8-K dated June 14, 1999).
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