S3.DOC As filed with the Securities and Exchange Commission on March 6, 1998 Registration No. 333 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ______________ FORM S3 REGISTRATION STATEMENT Under The Securities Act of 1933 ______________ CFC INTERNATIONAL, INC. (exact name of Registrant as specified in its charter) ______________ Delaware 363434526 (State or other jurisdiction of (I.R.S. Employer incorporation or organization) Identification No.) 500 State Street Chicago Heights, Illinois 604114086 (708) 8913456 (Name, address, including zip code, and telephone number, including area code, of Registrants principal executive offices) ______________ Roger F. Hruby Chairman of the Board, Chief Executive Officer, and President CFC International, Inc. 500 State Street Chicago Heights, Illinois 60411 4086 (708) 8913456 (Name, address, including zip code, and telephone number, including area code, of agent for service) Copy to: D. Mark McMillan, Esq. Bell, Boyd & Lloyd 70 West Madison Street Chicago, Illinois 60602 (312) 372 1121 ______________ Approximate date of commencement of proposed sale to the public: From time to time after this Registration Statement becomes effective. If the only securities being registered on this Form are being offered pursuant to dividend or interest reinvestment plans, please check the following box. If any of the securities being registered on this Form are to be offered on a delayed or continuous basis pursuant to Rule 415 under the Securities Act of 1933, other than securities offered only in connection with dividend or interest reinvestment plans, check the following box. If this Form is filed to register additional securities for an offering pursuant to Rule 462(b) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. If this Form is a posteffective amendment filed pursuant to Rule 462(c) under the Securities Act, check the following box and list the Securities Act registration statement number of the earlier effective registration statement for the same offering. If delivery of the prospectus is expected to be made pursuant to Rule 434, please check the following box. ______________ CALCULATION OF REGISTRATION FEE Proposed Proposed Maximum Maximum Title of Each Amount to Offering Aggregate Amount of Class of be Price Offering Registrati Securities to be Registered Per Share Price (1) on Fee (1) Registered (1) Common Stock, 214,286 $14.00 $3,000,000 $885.00 $.01 par value (1) Calculated in accordance with Rule 457(g) based on the conversion price of the common stock to be issued upon conversion of the Note. ______________ The Registrant hereby amends this Registration Statement on such date or dates as may be necessary to delay its effective date until the Registrant shall file a further amendment which specifically states that this Registration Statement shall thereafter become effective in accordance with Section 8(a) of the Securities Act of 1933 or until the Registration Statement shall become effective on such date as the Commission, acting pursuant to said Section 8(a), may determine. Subject to Completion, Dated March 6, 1998 PROSPECTUS 214,286 Shares CFC INTERNATIONAL, INC. Common Stock ______________ This Prospectus covers 214,286 shares (the Shares) of common stock, par value $.01 per share (the Common Stock), of CFC International, Inc. (the Company), issuable to the Selling Stockholder upon the conversion of a 6% Convertible Subordinated Note due 2006 (the Note). The Common Stock issuable upon the conversion of the Note may be offered and sold from time to time for the account of the person identified herein under the heading Selling Stockholder and any other person who obtains the right to sell the Shares hereunder (the Selling Stockholder). See Selling Stockholder and Plan of Distribution. The Company will receive no part of the proceeds of any sales of the Shares. The distribution of the Shares by the Selling Stockholder may be effected from time to time in one or more transactions on the National Market tier of The Nasdaq Stock Market (Nasdaq) (which may involve block transactions), in special offerings, in negotiated transactions, or otherwise, and at market prices prevailing at the time of sale, at prices related to such prevailing market prices, or at negotiated prices. The Selling Stockholder may engage one or more brokers to act as principal or agent in making sales, who may receive discounts or commissions from the Selling Stockholder in amounts to be negotiated. The Selling Stockholder and any such brokers may be deemed underwriters under the Securities Act of 1933, as amended (the Securities Act), of the Shares sold. The Common Stock is traded on Nasdaq under the symbol CFCI. On March 4, 1998, the closing sale price of the Common Stock on Nasdaq, as reported in The Wall Street Journal, was $11.00 per share. See Risk Factors at page 4 of this Prospectus for a discussion of certain factors that should be considered by prospective investors in the Common Stock. ______________ No person has been authorized to give any information or to make any representation not contained in this Prospectus and, if given or made, such information or representation must not be relied upon as having been authorized by the Company. This Prospectus does not constitute an offer of any securities other than the registered securities to which it relates or an offer to any person in any jurisdiction where such offer would be unlawful. The delivery of this Prospectus at any time does not imply that information herein is correct as of any time subsequent to its date. ______________ THESE SECURITIES HAVE NOT BEEN APPROVED OR DISAPPROVED BY THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION NOR HAS THE SECURITIES AND EXCHANGE COMMISSION OR ANY STATE SECURITIES COMMISSION PASSED UPON THE ACCURACY OR ADEQUACY OF THIS PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE. The date of this Prospectus is March _____, 1998 TABLE OF CONTENTS Page Available Information 2 The Company 3 Recent Developments of the Company 4 Risk Factors 4 Selling Stockholder 7 Plan of Distribution 7 Experts 8 Documents Incorporated by Reference 8 AVAILABLE INFORMATION The Company is subject to the informational requirements of the Securities Exchange Act of 1934, as amended (the Exchange Act), and, in accordance therewith, files reports, proxy statements and other information with the Securities and Exchange Commission (the Commission). Reports, registration statements, proxy statements and other information filed by the Company with the Commission can be inspected and copied at the public reference facilities maintained by the Commission at Judiciary Plaza, 450 Fifth Street, N.W., Room 1024, Washington, D.C. 20549, and at the Commissions Regional Offices, 500 West Madison Street, Suite 1400, Chicago, Illinois 60661, and 7 World Trade Center, New York, New York 10048. The Commission maintains a Web site (http://www.sec.gov) that contains reports, proxy and information statements, and other information regarding registrants, such as the Company, that file electronically with the Commission The Company has filed a registration statement on Form S3 (the Registration Statement) with the Commission under the Securities Act in respect of the Shares of Common Stock offered hereby. For purposes hereof, the term Registration Statement means the initial Registration Statement and any and all amendments thereto. This Prospectus omits certain information contained in the Registration Statement as permitted by the rules and regulations of the Commission. For further information with respect to the Company and the Shares of Common Stock offered hereby, reference is made to the Registration Statement, including the exhibits thereto. Statements herein concerning the contents of any contract or other document are not necessarily complete, and in each instance reference is made to such contract or other document filed with the Commission as an exhibit to the Registration Statement, or otherwise, each such statement being qualified by, and subject to, such reference in all respects. The Registration Statement and the exhibits thereto can be inspected and copied at the Commissions public reference facilities referred to above. Unless the context otherwise requires, references in this Prospectus to the Company means CFC International, Inc. and its consolidated subsidiaries. The Company The Company formulates, manufactures, and sells chemicallycomplex, multilayered functional coatings which provide superior performance under a wide range of operating conditions. The Company applies its proprietary coatings to rolls of plastic film from which its customers transfer the coatings to their products for protective and informative purposes. The Company produces five primary types of coating products: printed coatings such as simulated wood grains for furniture; pigmented coatings used on pharmaceutical products such as intravenous solution bags; security products such as magnetic stripes and signature panels for credit cards; other pigmented and simulated metal coatings used on products such as beverage cases and cosmetics; and holographic products such as authentication seals. The Company utilizes its patented computergenerated dot matrix process to create unique and costeffective holographic art origination and to produce holograms used principally to certify and protect the authenticity of proprietary products and documents susceptible to counterfeiting or tampering. The Company is a leading supplier in many of the worldwide markets it serves. The Companys coatings are produced by milling pigments, solvents, and resins into proprietary formulations which combine multiple layers of custom inks designed to react with each other to create a composite solid coating that is applied to customers products. The coatings are produced with a wide range of physical and chemical characteristics and in a broad array of colors, patterns, and surface finishes which are designed to meet specific customer functional requirements. The Companys research and development capabilities enable it to create products specially tailored to meet the unique requirements of particular customers, such as resistance to specific chemicals or abrasion, and to satisfy exacting design criteria, such as sophisticated overt and covert (conspicuous and hidden) holograms and simulated woodgrain and other patterns. Through the use of the Companys products, its customers are also able to address many of the problems manufacturers confront in complying with increasingly restrictive environmental laws and regulations because it avoids the use of liquid solvents and adhesives otherwise needed to apply coatings to their products. A principal market that the Company serves is printed coatings for engineered wood products (Engineered Board) used to produce readytoassemble (RTA) furniture, kitchen cabinets, mobile home interiors, valuepriced furniture, and picture frames. The Companys coatings are designed to match or improve on the appearance, texture, durability, and scratch, moisture, and stain resistance of natural or painted wood. The Company is one of only two significant suppliers of printed coatings for the Engineered Board market. This market is growing rapidly throughout the world as the environmental problems associated with paints and stains and the cost and environmental consequences of using solid wood are becoming more significant. Sales of products in this market represented approximately 38.0% of the Companys net sales in 1997. Another significant market for the Companys products is heat transfer printing for intravenous solution bags and other medical supplies. The Companys products provide the pharmaceutical industry with a reliable, environmentally safe method of conveying crucial medical information on surfaces on which printing is difficult. The Companys coatings for this market are used on FDA approved products and are able to survive the sterilization process without degradation. The Company is one of the most significant suppliers to this stable and growing market and is the sole supplier to Baxter Healthcare Corporation for these products. Sales of products in this market represented approximately 19.1% of the Companys net sales in 1997. The Company is also focusing its efforts on the market for security products for transaction cards, which include credit cards, debit cards, identification cards, and ATM cards. The Company manufactures chemically reactive signature panels and multicoercivity magnetic stripes for transaction cards and other documents and abrasion resistant tipping foils used to highlight the embossed lettering of transaction cards. The Companys products are used by customers, such as MasterCard, VISA, and Diners Club International, to enhance the security and processing speed of transaction cards. Through its acquisition of Northern Bank Note Company in September 1997, the Company has entered the financial security printing business. The Company is now able to manufacture stock certificates, gift certificates, and other intaglia printed security documents. Sales of security products represented approximately 16.0% of the Companys net sales in 1997. The Company is one of the leading designers and producers of holograms, which are used to protect and authenticate brand name software and merchandise, transportation and event tickets, and other similar applications requiring protection against unauthorized copying or counterfeiting. The Company, together with its joint venture partner, is one of only a few companies worldwide with the ability to serve all stages of the hologram production process, from design to manufacturing, and is the sole supplier to Intel Corporation (Intel) of holograms used to authenticate all Intel products, including the Pentiumr microprocessor computer chip. Sales of products in this market represented approximately 13.4% of the Companys net sales in 1997. The Company also serves a variety of other consumer and industrial markets that take advantage of the special functional capabilities of the Companys coatings. These markets include the automobile battery and cosmetics markets, which require acid and solvent resistant markings, and the consumer electronics and appliances markets, which require special surface durability and resistance to ultraviolet light degradation. The Companys products are sold to more than 5,000 customers worldwide. The Company generated approximately 30.7% of its 1997 revenues from sales outside the United States and has sales, warehousing, and finishing operations in The United Kingdom and Japan. The Companys margins and operating income result from the Companys proprietary technologies and from the Companys focus on quality. The Company received the International Standards Organization (ISO) 9001 registration in June 1995, which provides assurance to the Companys customers that the Companys quality systems are consistently capable of providing products that meet the customers requirements. The Company successfully completed its first ISO 9001 surveillance audit in May 1996. The Company has demonstrated its commitment to quality by providing zerodefect products to its largest single customer, Baxter Healthcare Corporation, since successful institution by the Company in 1989 of the Phillip Crosby Total Quality Management (TQM) Program. The Companys executive offices are located at 500 State Street, Chicago Heights, Illinois 60411 and its telephone number is (708) 8913456. Recent Developments of the Company On September 3, 1997, the Company, through its wholly owned subsidiary CFCNorthern Bank Note Company, L.L.C., acquired substantially all of the assets and assumed substantially all of the liabilities of Northern Bank Note Company, an Illinois corporation (NBN). NBN was a leading financial security printer of stock certificates and intanglia printed documents. As consideration for this acquisition, the Company issued 17,000 shares of its Common Stock, issued the Note, issued a shortterm note in the principal amount of $1,500,000 which was paid in full on September 4, 1997 and paid $258,300 in cash. RISK FACTORS In addition to the other information in this Prospectus, the following factors should be considered carefully in evaluating an investment in the Shares of Common Stock offered by this Prospectus. Reliance on Significant Customers. The Company and its predecessor have provided transferable coatings to Baxter Healthcare Corporation and its predecessors since 1976 and the Company is currently the exclusive provider of transferable coatings to Baxter pursuant to an agreement which expires in February, 2001. That agreement requires the Company to supply all of Baxters needs for transferable coatings at specified prices which may be adjusted to reflect changes in certain of the Companys costs. For the years ended December 31, 1995, 1996, and 1997, sales to Baxter accounted for 13.3%, 12.4%, and 12.9%, respectively, of the Companys net sales. Most of the Companys sales, including sales to other significant customers, are not made pursuant to longterm contracts. The Company is the exclusive provider to Sauder Woodworking (Sauder) of simulated woodgrain and other printed transferable coatings for use on Engineered Board products. Sales to Sauder are also made on a purchase order basis and, consistent with Sauders policies, the Company does not have a longterm supply or exclusive provider agreement with Sauder. For the years ended December 31, 1995, 1996, and 1997, sales to Sauder accounted for 3.3%, 3.0%, and 3.5% of the Companys net sales, respectively. The loss of either of the above customers could have a material adverse effect on the Companys results of operations. Reliance on New Product Development. As technological advancements are made in the product requirements of the Companys customers, the Company must continue to develop new products to keep pace with such advancements. The Company must also keep pace with the abilities of its competitors and counterfeiters of the Companys products and those of its customers. The inability of the Company to develop new products may impair not only the Companys growth, but also its ability to continue to service existing accounts. There can be no assurance that the Company will be able to develop such products on a timely basis, or at all, or that the Company will have the financial resources needed to adequately fund new product research. Dependence on Proprietary Technology. The Companys success is heavily dependent upon proprietary formulas and technology that the Company has developed, in addition to patents that have been issued to the Company. While the Company has adopted procedures to maintain the trade secrecy of such know how, including employee nondisclosure agreements, there can be no assurance that the Companys competitors will not be able to develop similar or better technology, that the Company will be able to maintain its trade secrets, nor that such employee nondisclosure agreements will be enforceable or will effectively prevent disclosure of the Companys confidential information. Competition. The specialty transferable coatings business in which the Company competes is highly competitive and can be expected to remain that way. The Company competes with several firms in each of its market niches, although no one firm competes directly in all markets in which the Company has focused its efforts. Competing firms vary in size and in geographical coverage. Furthermore, many of the Companys competitors have greater financial and management resources than the Company. There can be no assurance that the Company will be able to continue to compete successfully in its markets. Risks Associated with Acquisitions. To date, the operations of NBN have been successfully integrated with the Company; however, the Selling Shareholder, who was the president of NBN, has been instrumental in this integration and is bound by an employment agreement with the Company which will terminate on September 3, 1998. There can be no assurance that the Company will be able to acquire other companies on terms favorable to the Company. The Company encounters various risks associated with acquisitions, including possible environmental and other regulatory costs, goodwill amortization, diversion of managements attention, and unanticipated problems or liabilities, some or all of which could have a material adverse effect on the Companys operations and financial performance. Reliance on Key Personnel. The Company believes that its continued success will depend to a significant extent upon the efforts and abilities of certain senior management, in particular those of Roger F. Hruby, Chairman of the Board of Directors, Chief Executive Officer, and President and Dennis W. Lakomy, Vice President and Chief Financial Officer. The Company does not have employment agreements with either of these individuals nor does the Company maintain any key man life insurance policies. The loss of the services of either of these individuals could have a material adverse effect upon the Company. Impact of Environmental Regulations. The Companys operations are subject to federal, state, and local environmental laws and regulations that impose limitations on the discharge of pollutants into the air and water and establish standards for the treatment, storage, and disposal of solid and hazardous wastes. While the Company has installed equipment and procedures which result in controls the Company believes are substantially in excess of those required for full compliance with such laws and regulations, environmental standards are continually evolving, including retroactively, and there can be no assurance that the Companys environmental controls will continue to meet new standards, that the Company will not become subject to liability for environmental remediation expenses, or that the Company will have available to it the financial resources needed to address any of such issues. Exchange Rate Fluctuations and Foreign Sales. Approximately 30.2% of the Companys net sales for the fiscal year ended December 31, 1997, were made to European, Pacific Rim, and other customers outside of the United States and were made at prices based either on U.S. dollars or foreign currencies. As a result, exchange rate fluctuations can have a material effect on the total level of foreign sales and the profitability of those sales. Foreign sales are also subject to certain other risks over which the Company has no control, including tariffs, governmental policies, and import restrictions. Control by Principal Stockholder. As of December 30, 1997, Roger F. Hruby, Chairman of the Board of Directors, Chief Executive Officer, and President, beneficially owned 54.3% of the Companys outstanding shares of Common Stock, including approximately 518,170 shares of nonvoting Class B Common Stock (the Class B Stock). In addition, Mr. Hruby owns an option to purchase 534 shares (subject to antidilution adjustments) of Voting Preferred Stock, par value $.01 per share (Voting Preferred Stock), which is entitled to 1,000 votes per share. If Mr. Hruby were to exercise this option, he would be entitled to cast approximately 54.4% of the votes entitled to be cast by the stockholders of the Company. Mr. Hruby currently also has an irrevocable proxy from certain of the Companys other current holders of Common Stock to vote certain outstanding shares of Common Stock which collectively represent 11.7% of the outstanding Common Stock. As a result, Mr. Hruby is able to elect all of the members of the Companys Board of Directors and exercise a controlling influence over the business and affairs of the Company, including any determinations with respect to mergers or other business combinations, the acquisition or disposition of assets, the incurrence of indebtedness, the issuance of additional Common Stock or other equity securities, and the payment of dividends with respect to the Common Stock. By virtue of his controlling ownership, Mr. Hruby also has the power to approve all matters submitted to a vote of the Companys stockholders without the consent of the Companys other stockholders. Shares Eligible for Future Sale. Approximately 4,542,428 shares of Common Stock, including 518,170 shares issuable upon conversion of the outstanding Class B Stock but excluding the Shares offered hereby, are eligible for sale in the public market, subject to compliance with an exemption from the registration requirements of the Securities Act, such as Rule 144 or Rule 144A. No predictions can be made as to the effect, if any, that market sales of such shares or the availability of such shares for sale will have on the market price for shares of Common Stock prevailing from time to time. Sales of substantial amounts of shares of Common Stock in the public market could adversely affect the market price of the Common Stock and could impair the Companys future ability to raise capital through an offering of equity securities. Reliance on Single Manufacturing Facility. All of the processes involved in the manufacturing of the Companys products, other than holographic art origination, security printing of stock certificates, and certain finishing operations, are performed at the Companys facility in Chicago Heights, Illinois. While the Company maintains property and business interruption insurance, significant damage to or destruction of that facility from fire, flood, or other calamity could have a material adverse impact on the operations of the Company and the income provided thereby. Absence of Dividends. The Company intends to retain its earnings to finance its growth and for general corporate purposes and therefore does not anticipate paying any cash dividends in the foreseeable future. In addition, the Companys revolving credit facility prohibits the payment of cash dividends. SELLING STOCKHOLDER The following table sets forth certain information regarding the ownership of Common Stock as of December 31, 1997 by the Selling Stockholder. Because the Selling Stockholder beneficially owns shares of Common Stock in addition to the Shares and because such other shares of Common Stock may be sold at any time and from time to time after the date hereof, the total number of shares of Common Stock to be owned by the Selling Stockholder after completion of this offering assumes that none of such other shares of Common Stock are sold or otherwise transferred. Prior to After Offering Offering Shares Numb Numbe Offered er Name r Perce Hereby of Perc of nt Shar ent Share es s Peter A. 237,2 5.9% 214,286 23,0 * Whiteside 86 00 __________________ *Represents less than 1%. The name of the Selling Stockholder is set forth above. This Prospectus may also be used by transferees, assignees, distributees, and pledgees of the Selling Stockholder. Peter Whiteside was formerly the President and a Director of NBN and is currently employed by a whollyowned subsidiary of the Company. PLAN OF DISTRIBUTION An aggregate of up to 214,286 Shares may be offered pursuant to this Prospectus. The Selling Stockholder may sell or distribute some or all of the Shares from time to time through underwriters, dealers, or brokers, or other agents or directly to one or more purchasers in transactions (which may involve crosses and block transactions) on Nasdaq, in privately negotiated transactions, in the overthecounter market, or in a combination of such transactions. Such transactions may be effected by the Selling Stockholder at market prices prevailing at the time of sale, at prices related to such prevailing market prices, at negotiated prices, or at fixed prices, which may changed. Brokers, dealers, agents, or underwriters participating in such transactions as agent may receive compensation in the form of discounts, concessions, or commissions from the Selling Stockholder (and, if they act as agent for the purchaser of such Shares, from such purchaser). Such discounts, concessions, or commissions as to a particular broker, dealer, agent, or underwriter might be in excess of those customary in the type of transaction involved. This Prospectus also may be used, with the Companys consent, by other persons acquiring Shares and who wish to offer and sell such Shares under circumstances requiring or making desirable its use. The Selling Stockholder and any such underwriters, brokers, dealers, or agents that participate in such distribution may be deemed to be underwriters within the meaning of the Securities Act, and any discounts, commissions, or concessions received by any such underwriters, brokers, dealers, or agents might be deemed to be underwriting discounts and commissions under the Securities Act. Neither the Company nor the Selling Stockholder can presently estimate the amount of such compensation. The Company knows of no existing arrangements between the Selling Stockholder and any underwriter, broker, dealer, or other agent relating to the sale or distribution of the Shares. The Company will pay all expenses of filing the Registration Statement and preparing and reproducing this Prospectus. The Selling Stockholder will pay any selling expenses, including brokerage commissions, incurred in connection with its sale of any Shares covered by this Prospectus. The Selling Stockholder may indemnify any broker, dealer, agent, or underwriter that participates in transactions involving sales of the Shares against certain liabilities, including liabilities arising under the Securities Act. EXPERTS The financial statements incorporated in this Prospectus by reference to the Annual Report on Form 10K of CFC International, Inc. for the year ended December 31, 1996 have been so incorporated in reliance on the report of Price Waterhouse LLP, independent accountants, given on the authority of said firm as experts in auditing and accounting. DOCUMENTS INCORPORATED BY REFERENCE The following documents and information heretofore filed by the Company with the Commission are incorporated herein by reference: The Companys Annual Report on Form 10K for the year ended December 31, 1996 (as amended on Form 10K/A dated April 29, 1997) (Commission File No. 027360). The Companys Current Report on Form 8K dated September 25, 1997. The Companys Quarterly Report on Form 10Q for the quarters ended March 31, 1997 (as amended on Form 10Q/A dated May 8, 1997), June 30, 1997, and September 30, 1997. The description of the Companys Common Stock set forth under the caption Description of Capital Stock_Common Stock in the prospectus included is the Companys registration statement on Form S1 (Reg. No. 3396110), which description is incorporated by reference in the Companys registration statement on Form 8A dated November 6, 1995 for the registration of the Common Stock under Section 12(g) of the Exchange Act. Each document filed by the Company pursuant to Section 13(a), 13(c), 14 or 15(d) of the Exchange Act subsequent to the date of this Prospectus and prior to the termination of the offering of the Common Stock pursuant hereto shall be deemed to be incorporated by reference in this Prospectus and to be a part of this Prospectus from the date of filing of such document. Any statement contained in this Prospectus or in a document incorporated or deemed to be incorporated by reference in this Prospectus shall be deemed to be modified or superseded for purposes of the Registration Statement and this Prospectus to the extent that a statement contained in this Prospectus or in any subsequently filed document that also is or is deemed to be incorporated by reference in this Prospectus modifies or supersedes such statement. Any such statement so modified or superseded shall not be deemed, except as so modified or superseded, to constitute a part of the Registration Statement or this Prospectus. The Company will provide without charge to each person to whom this Prospectus is delivered, upon the written or oral request of any such person, a copy of any or all of the documents that are incorporated by reference in this Prospectus, other than exhibits to such documents (unless such exhibits are specifically incorporated by reference into such documents). Requests should be directed to CFC International, Inc., 500 State Street, Chicago Heights, Illinois 60411, Attention: Secretary, telephone (708) 8913456. PART II INFORMATION NOT REQUIRED IN THE PROSPECTUS Item 14. Other Expenses of Issuance and Distribution. The following table sets forth the estimated expenses, all of which are to be borne by the Company, in connection with the registration, issuance and distribution of the securities being registered hereby. All amounts are estimates except the Commission registration fee. Commission registration fee $$885.00 Legal fees and expenses $10,000.00 Accounting fees and expenses $5,000.00 Miscellaneous $4,115.00 Total $$20,000 .00 Item 15. Indemnification of Directors and Officers. Section 145 of the General Corporation Law of Delaware authorizes the Company to indemnify its directors and officers under specified circumstances. The Restated Certificate of Incorporation and Bylaws of the Company provide that the Company shall indemnify, to the extent permitted by Delaware law, its directors and officers (and may indemnify its employees and agents) against liabilities (including expenses, judgments, and settlements) incurred by them in connection with any actual or threatened action, suit, or proceeding to which they are or may become parties and which arises out of their status as directors, officers, or employees. The Company has entered into an agreement with each of its directors which requires the Company to indemnify the director to the extent permitted by Delaware law. The Companys Restated Certificate of Incorporation and Bylaws eliminate, to the fullest extent permitted by Delaware law, liability of a director to the Company or its stockholders for monetary damages for a breach of such directors fiduciary duty of care except for liability where a director (a) breaches his or her duty of loyalty to the Company or its stockholders, (b) fails to act in good faith or engages in intentional misconduct or knowing violation of law, (c) authorizes payment of an illegal dividend or stock repurchase, or (d) obtains an improper personal benefit. While liability for monetary damages has been eliminated, equitable remedies such as injunctive relief or rescission remain available. In addition, a director is not relieved of his responsibilities under any other law, including the federal securities laws. The directors and officers of the Company are insured within the limits and subject to the limitations of the policies, against certain expenses in connection with the defense of actions, suits, or proceedings and certain liabilities which might be imposed as a result of such actions, suits, or proceedings, to which they are parties by reason of being or having been such directors or officers. Insofar as indemnification by the Company for liabilities arising under the Securities Act may be permitted to directors, officers, and controlling persons of the Company pursuant to the foregoing provisions, the Company has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Securities Act and is therefore unenforceable. Item 16. Exhibits A list of exhibits included as part of this registration statement is set forth in the Exhibit Index appearing elsewhere herein and is incorporated by this reference. Item 17. Undertakings. (a) The undersigned Registrant hereby undertakes: (1) To file, during any period in which offers or sales are being made, a posteffective amendment to this registration statement: (i) To include any prospectus required by Section 10(a)(3) of the Securities Act; (ii) To reflect in the prospectus any facts or events arising after the effective date of the registration statement (or the most recent posteffective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set forth in the registration statement. Notwithstanding the foregoing, any increase or decrease in volume of securities offered (if the total dollar value of securities offered would not exceed that which was registered) and any deviation from the low or high end of the estimated maximum offering range may be reflected in the form of prospectus filed with the Commission pursuant to Rule 424(b) if, in the aggregate, the changes in volume and price represent no more than a 20 percent change in the maximum aggregate offering price set forth in the Calculation of Registration Fee table in the effective registration statement; and (iii) To include any material information with respect to the plan of distribution not previously disclosed in the registration statement or any material change to such information in the registration statement; provided, however, that paragraphs (a)(1)(i) and (a)(1)(ii) of this section do not apply if the information required to be included in a post effective amendment by those paragraphs is contained in periodic reports filed with or furnished to the Commission by the Registrant pursuant to Section 13 or Section 15(d) of the Exchange Act that are incorporated by reference in the Registration Statement. (2) That, for the purpose of determining any liability under the Securities Act, each such post effective amendment shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof. (3) To remove from registration by means of a posteffective amendment any of the securities being registered which remain unsold at the termination of the offering. (b) The undersigned Registrant hereby undertakes that, for purposes of determining any liability under the Securities Act, each filing of the Registrants annual report pursuant to Section 13(a) or Section 15(d) of the Exchange Act that is incorporated by reference in this registration statement shall be deemed to be a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof. (h) Insofar as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons of the Registrant pursuant to the foregoing provisions, or otherwise, the Registrant has been advised that in the opinion of the Securities and Exchange Commission such indemnification is against public policy as expressed in the Securities Act and is, therefore, unenforceable. In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred or paid by a director, officer or controlling person of the Registrant in the successful defense of any action, suit or proceeding) is asserted by such director, officer or controlling person in connection with the securities being registered, the Registrant will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate jurisdiction the question whether such indemnification by it is against public policy as expressed in the Act and will be governed by the final adjudication of such issue. Signatures Pursuant to the requirements of the Securities Act of 1933, the Registrant certifies that it has reasonable grounds to believe that it meets all of the requirements for filing on Form S3 and has duly caused this registration statement to be signed on its behalf by the undersigned, thereunto duly authorized, in the City of Chicago Heights, State of Illinois, on March 6, 1998. CFC INTERNATIONAL, INC. By:/s/ Roger F. Hruby Roger F. Hruby Chairman of the Board of Directors, Chief Executive Officer and President Power of Attorney Each person whose signature appears below hereby appoints Roger F. Hruby and Dennis W. Lakomy, and each of them severally, acting alone and without the other, his or her true and lawful attorneyinfact with authority to execute in the name of each such person and to file with the Securities and Exchange Commission, together with any exhibits thereto and other documents therewith, any and all amendments (including post effective amendments) to this registration statement necessary or advisable to enable the Registrant to comply with the Securities Act of 1933, as amended, and any rules, regulations, and requirements of the Securities and Exchange Commission in respect thereof, which amendments may make such other changes in the registration statement as the aforesaid attorneyin fact executing the same deems appropriate. Pursuant to the requirements of the Securities Act of 1933, this Registration Statement has been signed by the following persons in the capacities indicated on March 6, 1998. Signature Title Principal Executive Officer: /s/ Roger F. Chairman of the Board of Hruby Directors, Chief Executive Roger F. Hruby Officer, and President Principal Financial Officer: /s/ Dennis W. Vice President, Chief Financial Lakomy Officer Dennis W. Lakomy Secretary, Treasurer, and Director Principal Accounting Officer: Controller /s/ Jeffrey E. Norby Jeffrey E. Norby Signature Title A Majority of the Directors: /s/ Roger F. Director Hruby Roger F. Hruby /s/ William G. Director Brown William G. Brown /s/ Dennis W. Director Lakomy Dennis W. Lakomy /s/ Richard Director Pierce Richard Pierce /s/ David D. Director Wesselink David D. Wesselink /s/ Robert Director Covalt Robert Covalt EXHIBIT INDEX Exhibit Numbers 3.1 Restated Certificate of Incorporation of the Company (incorporated by reference to Exhibit 3.1 to the Companys Registration Statement on Form S1, Registration No. 3396110). 3.2 Amended and Restated Bylaws of the Company (incorporated by reference to Exhibit 3.2 to the Companys Registration Statement on Form S1, Registration No. 3396110). 4.1 Specimen Certificate Representing Shares of Common Stock (incorporated by reference to Exhibit 4.1 to the Companys Registration Statement on Form S1, Registration No. 3396110). 5.1 Opinion of Bell, Boyd & Lloyd as to legality of the common stock. 23.1 Consent of Price Waterhouse LLP. 23.2 Consent of Bell, Boyd & Lloyd (included in Exhibit 5.1). 24.1 Powers of Attorney (included on the signature page of this Registration Statement). EXHIBIT 23.1 [LETTERHEAD OF PRICE WATERHOUSE LLP] CONSENT OF INDEPENDENT ACCOUNTANTS We hereby consent to the incorporation by reference in the Prospectus constituting part of this Registration Statement on Form S3 of our report dated February 7, 1997 appearing on page 23 of CFC International, Inc.s Annual Report on Form 10K for the year ended December 31, 1996. We also consent to the reference to us under the heading Experts in such Prospectus. PRICE WATERHOUSE LLP Chicago, Illinois March 6, 1998 EXHIBIT 5.1 [LETTERHEAD OF BELL, BOYD & LLOYD] March 6, 1998 CFC International, Inc. 500 State Street Chicago Heights, Illinois 60411 Registration Statement on Form S3 Ladies and Gentlemen: We have represented CFC International, Inc., a Delaware corporation (the Company), in connection with the preparation of a registration statement on Form S3 (the Registration Statement) filed under the Securities Act of 1933, as amended (the Act), for the purpose of registering under the Act 214,287 shares of common stock, par value $.01 per share (the Common Stock), of the Company (the Shares). In this connection, we have examined originals, or copies certified or otherwise identified to our satisfaction, of such documents, corporate and other records, certificates and other papers, including the Registration Statement and pertinent resolutions of the board of directors of the Company, as we deemed it necessary to examine for the purpose of this opinion. Based upon such examination, it is our opinion that the Shares are legally issued, fully paid, and nonassessable shares of Common Stock of the Company. We consent to the filing of this opinion as an exhibit to the Registration Statement. In giving this consent, we do not admit that we are within the category of persons whose consent is required by Section 7 of the Act. Very truly yours, /s/ Bell, Boyd & Lloyd Bell, Boyd & Lloyd Prepared by: Naima K. Walker Approved by: D. Mark McMillan Second Partner Approval by: Kevin J. McCarthy