FORM 8-K
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) July 5, 1996
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BI Incorporated
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(Exact name of registrant as specified in its charter)
Colorado 0-12410 84-0769926
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(State or other jurisdiction of (Commission (IRS Employer
incorporation) File Number) Identification No.)
6400 Lookout Road, Boulder, Colorado 80301
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(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code (303) 530-2911
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Item 5. Other Events
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On July 5, 1996, BI Incorporated and Community Corrections Corporation (CCC)
signed a letter of intent to merge. CCC will receive 230,769 shares of BI common
stock and $3,000,000. The merger is subject to satisfactory completion of due
diligence by both parties, the approval of the respective Board of Directors and
the execution of a definitive merger agreement. The transactions are expected to
be completed within 90 days. See attached announcement on July 17, 1996.
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 THEREUNTO DULY AUTHORIZED.
BI Incorporated
Date July 17, 1996 By /s/ JACQUELINE A. CHAMBERLIN
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Jacqueline A. Chamberlin
Chief Financial Officer
BI Incorporated Contact: Joanna Manley
6400 Lookout Road Investor Relations Manager
Boulder, CO 80301 (303) 530-2911
BI TO ASSIST PROBATION THROUGH MERGER WITH COMMUNITY CORRECTIONS CORPORATION
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Boulder, CO, July 17, 1996-BI Incorporated (NASDAQ/NNM:BIAC), and privately held
Community Corrections Corporation of Conyers, Georgia, today announced the
signing of a letter of intent to merge Community Corrections Corporation (CCC)
into BI. CCC will receive a combination of 230,769 shares of BI's common stock
and $3,000,000 cash in the deal. BI and CCC expect to sign a definitive merger
agreement within the next 90 days, upon completion of successful due diligence
and approvals by both companies' board of directors.
CCC provides locally-based probation services to approximately 28,000
misdemeanant probationers in Georgia and Tennessee. The probationers report
regularly to CCC personnel to pay court-ordered fines and probation fees.
Additionally, many probationers are required to attend training classes and
treatment programs, which are provided through Lifeline Therapeutics, a separate
service offering within CCC. CCC has generated annual revenues in excess of
$6,000,000 over the last twelve months.
According to the U.S. Bureau of Justice Statistics, there were a total of 3.0
million U.S. adults serving probation sentences on December 31, 1994.
Probation is a sanction which suspends an offender's jail sentence and
substitutes and alternative method of supervision by designated correctional
authorities. Currently, CCC has 185 employees serving 51 counties and 125 courts
in Georgia; 5 counties and 13 courts in Tennessee; and is negotiating with
Alabama, South Carolina, and Florida courts to provide probationary services.
CCC's founder and President, Dr. Richard Longfellow, was Director of Probation
for the state of Georgia from 1971 through 1983. Over the past eight years, CCC
has distinguished itself as the dominant, quality provider of community-based
probation services to state and local government court systems.
Of the upcoming merger, Dr. Longfellow said, "The steady increase of
individuals into the correctional system has placed added burdens on probation
and parole departments that historically handle over 70% of all individuals in
the system. We look forward to our relationship with BI and expanding our
services to the entire U.S. market."
David J. Hunter, BI's President added, "The partnership between BI and CCC
represents a significant diversification effort by BI to assist probation
departments nationwide with community based correctional services. BI is
prepared to put its financial, technological and human resources to work to
help probation departments and the court system in handling their expanded
caseloads. We can think of no better company to assist us in this effort than
CCC."
BI Incorporated is the leading provider of electronic home arrest and jail
management systems to corrections agencies worldwide, in response to the ever
growing demand for corrections systems solutions.