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):
March 15, 1999
THE PITTSTON COMPANY
(Exact Name of registrant as specified in its charter)
Virginia 1-9148 54-1317776
(State or other (Commission (I.R.S. Employer
jurisdiction File Number) Identification No.)
of Incorporation)
1000 Virginia Center Parkway
P. O. Box 4229
Glen Allen, VA 23058-4229
(Address of principal (Zip Code)
executive offices)
(804)553-3600
(Registrant's telephone number, including area code)
Item 5. Other Events
The Registrant reports that, on March 15, 1999, it purchased 839,200 depositary
shares of its Series C Cumulative Convertible Preferred Stock for $21 million.
The Registrant also reports that the recent financial performance of the
Minerals Group and the purchase of the Cumulative Convertible Preferred Stock is
expected to significantly reduce or eliminate the ability to pay dividends on
Minerals Group Common Stock. The Registrant's press release is attached as an
exhibit to this report and incorporated herein by reference.
EXHIBITS
99(a) Registrant's press release dated March 15, 1999.
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 hereunto duly authorized.
THE PITTSTON COMPANY
(Registrant)
By /s/ James B. Hartough
Vice President - Corporate
Finance and Treasurer
Dated: March 16, 1999
EXHIBITS
Exhibit Description
99(a) Registrant's press release dated March 15, 1999.
Exhibit 99(a)
[PITTSTON LOGO] The Pittston Company
1000 Virginia Center Parkway
PRESS RELEASE P. O. Box 4229
Glen Allen, VA 23058-4229
Tel 804.553.3600
Fax 804.553.3760
Contact:
Investor Relations IMMEDIATE RELEASE
804.553.3708
Pittston Repurchases Series C Convertible Preferred Stock
Richmond, VA - March 15, 1999. The Pittston Company announced today that it
has purchased 839,200 depositary shares of its Series C Convertible Preferred
Stock for $21 million. The Series C Convertible Preferred Stock is convertible
into Pittston Minerals Group Common Stock and has an annual dividend rate of
$3.125 per depositary share. As a result of this transaction, Pittston's
preferred stock dividends, which are attributed to the Pittston Minerals Group,
will be reduced by $2.6 million annually.
On March 12, 1999, Pittston's Board of Directors increased the remaining
authority to purchase Series C Convertible Preferred Stock by $4.3 million.
The recent financial performance of the Minerals Group and the purchase of the
Convertible Preferred Stock is expected to significantly reduce or eliminate
the ability to pay dividends on Minerals Group Common Stock.
In announcing the purchase, Michael Dan, Chairman, President and Chief Executive
Officer of The Pittston Company, said, "Today's purchase is another step in our
continuing efforts to improve the cash flow and operating performance of our
minerals business and to improve returns to our common shareholders. By
substituting lower cost debt for the preferred stock, we expect to reduce our
after tax cost of financing Pittston Minerals Group by approximately $1.8
million annually at current interest rates. We are pleased to have been able
to conclude this transaction."
* * *
Pittston Minerals Group Common Stock (NYSE-PZM), Pittston Brink's Group Common
Stock (NYSE-PZB) and Pittston BAX Group Common Stock (NYSE-PZX) represent the
three classes of common stock of The Pittston Company, a diversified company
with interests in mining and minerals exploration through Pittston Coal Company
and Pittston Mineral Ventures (Pittston Minerals Group), security services
through Brink's, Incorporated and Brink's Home Security, Inc. (Pittston Brink's
Group) and global freight transportation and logistics management services
through BAX Global Inc. (Pittston BAX Group).