UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K/A
CURRENT REPORT
Pursuant to Section 13 or 15(d) of The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): January 3, 2001
KANEB SERVICES, INC.
(Exact name of registrant as specified in charter)
Delaware 001-05083 74-1191271
(State of Organization) (Commission File No.) (I.R.S. Employer
Identification No.)
2435 North Central Expressway
Richardson, Texas 75080
(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (972) 699-4000
Item 2. Acquisition or Disposition of Assets.
On January 3, 2001, the Registrant , through its wholly-owned
subsidiary, Kaneb Pipe Line Company, as general partner for and on behalf of
Kaneb Pipe Line Partners, L.P. ("KPP"), completed the acquisition of Shore
Terminals LLC. Shore Terminals owns seven terminals, four in California (three
in the San Francisco Bay area and one in Los Angeles) and one each in Tacoma,
Washington, Portland, Oregon and Reno, Nevada, with a total tankage capacity of
7.8 million barrels. All of the terminals handle petroleum products and, with
the exception of the Nevada terminal, have deep water access. The purchase price
was approximately $107,000,000 in cash and 1,975,090 units of limited
partnership interest of KPP. The acquisition, which will become a part of the ST
Services terminaling operations of KPP, will significantly increase ST Services'
presence on the West Coast. Financing for the cash portion of the purchase price
was supplied under KPP's $275,000,000 unsecured revolving credit with a bank
group headed by SunTrust Bank.
On November 27, 2000, the Registrant announced a plan to distribute its
pipeline, terminaling and product marketing businesses to its stockholders in
the form of a new limited liability company. Following the announcement of the
anticipated distribution, the Registrant began accounting for these businesses
as "Discontinued Operations". Since the acquisition of Shore Terminals was made
by an entity classified as discontinued operations by the Registrant, pro forma
financial information for the Registrant with respect to the acquisition has
been omitted. Pro forma condensed consolidated financial information for KPP is
included in its Current Report on Form 8-K/A filed March 19, 2001.
Item 7. Financial Statements and Exhibits.
(a) Audited financial statements of acquired business.
Independent Auditors' Report.
Shore Terminals LLC Financial Statements
Balance Sheets - December 31, 2000 and 1999 (As Restated)
Statements of Operations - Years ended
December 31, 2000 and 1999 (As restated)
Statements of Members Equity - Years ended
December 31, 2000 and 1999 (As Restated)
Statements of Cash Flows - Years ended
December 31, 2000 and 1999 (As Restated)
Notes to Financial Statements
filed with KPP's Current Report on Form 8-K/A, filed March 19,
2001, which exhibit is hereby incorporated by reference.
(c) Exhibit 23 - Consent of Deloitte & Touche LLP; filed herewith.
SIGNATURES
KANEB SERVICES, INC.
Date: March 19, 2001 By: //s//
Name: Michael R. Bakke
Title: Controller
EXHIBIT INDEX
Exhibit No. Description
23 Consent of Deloitte & Touche LLP