EXHIBIT 99
July 31, 2002
TO: THE LIMITED PARTNERS OF PLM EQUIPMENT GROWTH FUND VI ("PLM EGF VI")
RE: MINI-TENDER OFFER BY PEACHTREE PARTNERS
We, the Managing General Partner of PLM EGF VI, have recently received
notice that Peachtree Partners ("Peachtree") is making a mini-tender offer (an
offer to purchase up to 4.9% of PLM EGF VI's units) for a price of $1.00 per
unit less a $30.00 fixed transfer fee. WE RECOMMEND YOU REJECT THIS OFFER
BECAUSE WE BELIEVE THE OFFERED PRICE IS LOWER THAN THE RECENT PUBLISHED
SECONDARY MARKET PRICES FOR THE UNITS. PLEASE NOTE THE FOLLOWING:
1. Peachtree's offer of only $1.00 per unit will be reduced by $30.00.
Therefore, if you own 30 or fewer units you will receive NO PAYMENT FOR YOUR
INVESTMENT.
2. According to the First Quarter 2002 and Second Quarter 2002 editions of
the STANGER REPORT: A GUIDE TO PARTNERSHIP INVESTING, during the six-month
period ending June 30, 2002, there were approximately 57,949 units sold
privately between independent buyers and sellers. The reported sales prices for
the six-month period ended June 30, 2002 were between $2.25 and $4.01 per unit.
For more information on private sales and exchanges of units and PLM EGF
VI's financial condition, please refer to the quarterly and annual reports
mailed to you. To help you further evaluate the Peachtree offer, we are
enclosing excerpts from a tip sheet prepared by the Securities and Exchange
Commission for investors solicited in mini-tender offers like this one by
Peachtree. You can access the entire tip sheet through
http://www.sec.gov/investor/pubs/minitend.htm.
AS STATED ABOVE, WE BELIEVE YOU SHOULD REJECT THE PEACHTREE OFFER SINCE THE
OFFER IS LOWER THAN THE RECENT SALE PRICES OF THE UNITS IN THE SECONDARY MARKET.
WE STRONGLY URGE YOU TO CAREFULLY CONSIDER ANY DECISION TO SELL OR REDEEM YOUR
UNITS. Additionally, we suggest that you consult with your registered
representative and financial and tax advisors to explore other liquidity options
prior to making any such decision regarding the Peachtree mini-tender offer or
any other future offerings. Should you have any questions regarding your
investment, please contact our Investor Relations Department at (800) 626-7549.
PLM FINANCIAL SERVICES, INC.
MINI-TENDER OFFERS
TIPS FOR INVESTORS
"Mini-tender" offers - tender offers for less than five percent of a company's
stock - have been increasingly used to catch investors off guard. Many
investors who hear about mini-tender offers surrender their securities without
investigating the offer, assuming that the price offered includes the premium
usually present in larger, traditional tender offers. But they later learn that
they cannot withdraw from the offer and may end up selling their securities at
below-market prices.
If you've been asked to tender your securities, find out first whether the offer
is a mini-tender offer. And remember that mini-tender offers typically do not
provide the same disclosure and procedural protections that larger, traditional
tender offers provide. For example, when a bidder - the person or group of
people behind the offer - makes a tender offer for more than five percent of the
company's shares, all of the SEC's tender offer rules apply.
These rules require bidders to:
- - Disclose important information about themselves;
- - Disclose the terms of the offer;
- - File their offering documents with the SEC; and
- - Provide the target company and any competing bidders with information
about the tender offer.
The rules also give investors important protections, including the right to:
- - Change their minds and withdraw from the transaction while the offer
remains open;
- - Have their shares accepted on a "pro rata" basis (if the offer is for less
than all of the company's outstanding shares and investors tender too many
shares); and
- - Be treated equally by the bidder.
But none of the rules listed above apply to mini-tender offers. Instead, the
only rules that encompass mini-tender offers - Section 14(e) of the Securities
Exchange Act and Regulation 14E - provide that bidders must:
- - Not engage in fraud or deceptive practices;
- - Hold open tender offers for minimum time periods; and
- - Make prompt payment to investors after the offer closes.
Regulation 14E also requires the target company to state its position about the
offer by recommending that investors accept or reject the offer. But because
bidders in mini-tender offers don't have to notify the target, the target may
not even know about the offer.
Investors need to scrutinize mini-tender offers carefully. Some bidders make
mini-tender offers at below-market prices, hoping that they will catch investors
off guard if the investors do not compare the offer price to the current market
price. With most mini-tender offers, investors typically feel pressured to
tender their shares quickly without having solid information about the offer or
the people behind it. And they've been shocked to learn that they generally
cannot withdraw from mini-tender offers.
Here are the steps you should take if you are asked to sell your stock, bonds,
limited partnership interests, or other securities through a mini-tender offer:
- - FIND OUT WHETHER THE OFFER IS A MINI-TENDER OFFER. Most bidders won't use
the term "mini-tender offer" to describe their offer to buy your shares.
Instead, they may call it a "Solicitation to Purchase Shares of XYZ
Corporation." Ask the bidder - or your broker - what percentage of the company
the bidder seeks to purchase. If the answer is less than five percent, you're
dealing with a mini-tender offer, and you should proceed with caution.
- - GET A COPY OF THE OFFERING DOCUMENT. And be sure to read the disclosure
carefully. Do not make an investment decision until you see the disclosure
about the offer.
- - DETERMINE WHETHER THE BIDDER HAS ADEQUATE FINANCING. Some bidders make
mini-tender offers because they can do so at virtually no cost. These
individuals often do not have the financing necessary to purchase the shares in
the offer. Before you surrender your securities in a mini-tender offer, ask
tough questions - and demand answers - about the bidder's ability to pay once
the offer closes.
- - IDENTIFY THE CURRENT MARKET PRICE FOR YOUR SECURITIES. For stock, you can
easily get price information in many newspapers, on-line, or from your broker or
investment adviser. For bonds and limited partnerships, you may need to talk
with your broker or investment adviser because these prices may be hard to find.
For limited partnerships, contact the general partner to get a list of firms
that buy and sell the limited partnership, or ask your broker or investment
adviser.
- - FIND OUT THE "FINAL" TENDER OFFER PRICE AFTER ALL DEDUCTIONS ARE TAKEN.
In some tender offers, you may get a lower price because deductions are taken
from the tender offer price for dividend payments. Also, some bidders in
mini-tender offers fail to disclose clearly that certain fees or expenses may
also be deducted from the offer price.
- - ASK WHEN YOU'LL BE PAID FOR THE SHARES YOU TENDER. Bidders in mini-tender
offers sometimes fail to provide prompt payment, sometimes delaying for weeks or
months. Before you tender your shares, be sure to find out when the bidder will
pay you for your shares.
- - CONSULT WITH YOUR BROKER OR OTHER FINANCIAL ADVISER. Make sure you
understand the terms of the tender offer before tendering your shares. Ask for
any additional written information that may be available.
- - IF YOU WANT TO SELL YOUR SHARES, DETERMINE WHERE YOU CAN GET YOUR BEST
PRICE. Check all your alternatives for selling your securities. For instance,
compare how much you will receive if you sell through your broker versus the
tender offer.
- - REMEMBER THAT ONCE YOU AGREE TO A MINI-TENDER OFFER, YOU ARE PROBABLY
LOCKED IN. If the tender offer is for less than five percent of the company's
stock, exercise extreme caution. Unlike other tender offers, you generally
cannot change your mind after you have tendered your shares in a mini-tender
offer. In addition, the bidder can extend the tender offer without giving you
the right to withdraw your shares. And in the meantime, you've lost control
over the securities you tendered.
Contact the SEC's Office of Investor Education and Assistance for help:
U.S. Securities & Exchange Commission
Office of Investor Education and Assistance
450 5th Street, NW
Washington, D.C. 20549-0213
Fax: (202) 942-9634
Excerpt from tip sheet prepared by the Securities and Exchange Commission
concerning mini-tender offers. For the complete document please see
HTTP://WWW.SEC.GOV/INVESTOR/PUBS/MINITEND.HTM.