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: July 2, 1997
Date of Earliest Event Reported: June 17, 1997
H&R Block, Inc.
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(Exact name of registrant as specified in its charter)
Missouri
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(State or other jurisdiction of incorporation or organization)
1-6089
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(Commission File Number)
44-0607856
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(I.R.S. Employer Identification No.)
4400 Main Street, Kansas City, Missouri 64111
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(Address of principal executive office, including zip code)
(816) 753-6900
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(Registrant's telephone number, including area code)
ITEM 2. ACQUISITION OR DISPOSITION OF ASSETS
On June 17, 1997, Block Financial Corporation ("BFC"), the financial
services subsidiary of H&R Block, Inc. ("Block"), consummated its previously
announced purchase of all of the stock of Option One Mortgage Corporation
("Option One"), a subsidiary of Fleet Holding Corp. The purchase price was
$218.1 million in cash, consisting of $28.1 million in stockholders' equity and
a premium of $190 million. In addition, BFC made a cash payment of $456 million
to Fleet Financial Group, Inc. to eliminate intercompany loans made to Option
One to finance Option One's mortgage loan business. Both payments are subject to
post-closing adjustments based upon a closing date balance sheet currently being
prepared. Option One engages in the nationwide origination, purchase,
securitization, sale and servicing of one-to-four family residential mortgage
loans and mortgage-backed securities made primarily to sub-prime borrowers who
do not qualify for loans which conform to FNMA or FHLMC guidelines. BFC obtained
the funds for the purchase from sales in the commercial paper market of
short-term notes issued by BFC and guaranteed by Block.
ITEM 7. FINANCIAL STATEMENTS AND EXHIBITS
(a) Financial statements of businesses acquired.
The historical financial statements of Option One required by this
Item will be filed as soon as practicable, but not more than 60 days after
this Current Report on Form 8-K is required to be filed.
(b) Pro forma financial information.
The pro forma financial statements required by this Item will be
filed as soon as practicable, but not more than 60 days after this Current
Report on Form 8-K is required to be filed.
(c) Exhibits.
The Exhibits listed in the Index to Exhibits are filed as part of
this Current Report on Form 8-K.
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SIGNATURES
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.
H&R BLOCK, INC.
By: /s/ Frank L. Salizzoni
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Frank L. Salizzoni
President and Chief Executive Officer
Date: July 2, 1997
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EXHIBIT INDEX
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Exhibit No. Description of Exhibit
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2.1 Stock Purchase Agreement dated April 14, 1997
among Fleet Financial Group, Inc., Fleet Holding
Corp., H&R Block, Inc. and Block Financial
Corporation
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