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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. 11)
-----------
VENATOR GROUP, INC.
(formerly named Woolworth Corporation)
(Name of Issuer)
Common Stock, $.01 par value per share 980883 10 2
(Title of class of securities) (CUSIP number)
Gary K. Duberstein, Esq.
Greenway Partners, L.P.
277 Park Avenue, 27th Floor
New York, New York 10172
(212) 350-5100
(Name, address and telephone number of person authorized
to receive notices and communications)
January 19, 2001
(Date of event which requires filing of this statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition that is the subject of this Schedule 13D, and is filing this
schedule because of ss.ss. 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box [_].
Note: Schedules filed in paper format shall include a signed original and five
copies of the schedule, including all exhibits. See ss. 240.13d-7 for other
parties to whom copies are to be sent.
(Continued on following pages)
(Page 1 of 15 pages)
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NY2:\1004252\04\L$VW04!.DOC\56392.0003
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 2 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENWAY PARTNERS, L.P.
S.S. OR I.R.S. IDENTIFICATION NO. 13-3714238
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: WC, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 2,350,000
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 0
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 2,350,000
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 0
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 2,350,000
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.7%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: PN
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 3 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENTREE PARTNERS, L.P.
S.S. OR I.R.S. IDENTIFICATION NO. 13-3752875
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: WC, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 1,500,900
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 0
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 1,500,900
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 0
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 1,500,900
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.1%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: PN
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 4 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENHOUSE PARTNERS, L.P.
S.S. OR I.R.S. IDENTIFICATION NO. 13-3793447
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: WC, AF, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 0
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 2,350,000
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 0
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 2,350,000
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 2,350,000
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.7%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: PN
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 5 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENHUT, L.L.C.
S.S. OR I.R.S. IDENTIFICATION NO. 13-3793450
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: WC, AF, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 0
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 1,500,900
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 0
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 1,500,900
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 1,500,900
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.1%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: OO
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 6 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENBELT CORP.
S.S. OR I.R.S. IDENTIFICATION NO. 13-3791931
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 11,201,322
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 0
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 11,201,322
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 0
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 11,201,322
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 8.1%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: CO
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 7 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENSEA OFFSHORE, L.P.
S.S. OR I.R.S. IDENTIFICATION NO.
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: WC, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Cayman Islands
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 2,250,000
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 0
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 2,250,000
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 0
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 2,250,000
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.6%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: PN
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 8 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GREENHUT OVERSEAS, L.L.C.
S.S. OR I.R.S. IDENTIFICATION NO. 13-3868906
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: WC, AF, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 0
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 2,250,000
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 0
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 2,250,000
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 2,250,000
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 1.6%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: OO
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 9 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON ALFRED D. KINGSLEY
S.S. OR I.R.S. IDENTIFICATION NO.
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: PF, AF, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: United States
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 832,300
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 17,302,222
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 832,300
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 17,302,222
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 18,134,522
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 13.1%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: IN
- ------------------ -------------------------------------------------------------
- ----------------------------------- ----------------------------------
CUSIP No. 980883 10 2 13D Page 10 of 15 Pages
- ----------------------------------- ----------------------------------
- ------------------ -------------------------------------------------------------
1 NAME OF REPORTING PERSON GARY K. DUBERSTEIN
S.S. OR I.R.S. IDENTIFICATION NO.
OF ABOVE PERSON
- ------------------ -------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [x]
(b) [_]
- ------------------ -------------------------------------------------------------
3 SEC USE ONLY
- ------------------ -------------------------------------------------------------
4 SOURCE OF FUNDS: PF, AF, OO
- ------------------ -------------------------------------------------------------
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) OR 2(e): [_]
- ------------------ -------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION: Delaware
- --------------------------------------------------------------------------------
NUMBER OF 7 SOLE VOTING POWER: 0
SHARES
------- --------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER: 17,302,222
OWNED BY
------- --------------------------------------------------
EACH 9 SOLE DISPOSITIVE POWER: 0
REPORTING
------- --------------------------------------------------
PERSON WITH 10 SHARED DISPOSITIVE POWER: 17,302,222
- ------------------ -------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING
PERSON: 17,302,222
- ------------------ -------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES: [_]
- ------------------ -------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 12.5%
- ------------------ -------------------------------------------------------------
14 TYPE OF REPORTING PERSON: IN
- ------------------ -------------------------------------------------------------
This Amendment No. 11 ("Amendment No. 11") amends the
Statement on Schedule 13D (the "Schedule 13D") filed on May 18, 1998, as amended
by Amendment No. 1 filed on June 5, 1998, Amendment No. 2 filed on July 7, 1998,
Amendment No. 3 filed on August 23, 1998, Amendment No. 4 filed on October 2,
1998, Amendment No. 5 filed on December 1, 1998, Amendment No. 6 filed on
January 6, 1999, Amendment No. 7 filed on January 29, 1999, Amendment No. 8
filed on March 12, 1999, Amendment No. 9 filed on March 25, 1999 and Amendment
No. 10 filed on March 13, 2000 and is filed by and on behalf of Greenway
Partners, L.P. ("Greenway"), Greentree Partners, L.P. ("Greentree"), Greenhouse
Partners, L.P. ("Greenhouse"), Greenhut, L.L.C. ("Greenhut"), Greenbelt Corp.
("Greenbelt"), Greensea Offshore, L.P. ("Greensea"), Greenhut Overseas, L.L.C.
("Greenhut Overseas"), Alfred D. Kingsley ("Kingsley") and Gary K. Duberstein
("Duberstein"; the foregoing persons being referred to collectively as the
"Reporting Persons"). Capitalized terms used herein and not defined herein have
the meanings ascribed thereto in the Schedule 13D.
Except as indicated above, the information set forth in
Item 2 of the Schedule 13D remains unchanged.
ITEM 4. PURPOSE OF THE TRANSACTION
On January 19, 2001, Greenway delivered a letter to the
Issuer addressed to Dale N. Hilpert, Chairman of the Board and Chief Executive
Officer (the "January 19 Letter"). The January 19 Letter sets forth, among other
things, recommendations regarding the Issuer's business strategy. A copy of the
January 19 Letter is filed as Exhibit 20 hereto and is incorporated herein by
reference.
Except as indicated above, the information set forth in
Item 4 of the Schedule 13D remains unchanged.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER
(a) As of the date of this Statement, the Reporting Persons
beneficially owned in the aggregate 18,134,522 Shares constituting 13.1% of the
outstanding Shares (the percentage of Shares owned being based upon 138,028,871
Shares outstanding on December 1, 2000, as set forth in the Issuer's quarterly
report on Form 10-Q for the fiscal quarter ended October 28, 2000). The
Reporting Persons may be deemed to have direct beneficial ownership of Shares as
follows:
Approximate
Number of Percentage of
Name Shares Outstanding Shares
---- --------- ------------------
Greenway 2,350,000 1.7%
Greentree 1,500,900 1.1%
Greenbelt 11,201,322 8.1%
Greensea 2,250,000 1.6%
Kingsley 832,300 0.6%
Greenhouse, as the general partner of Greenway, may be
deemed to own beneficially (as that term is defined in Rule 13d-3 under the
Securities Exchange Act of 1934) Shares of which Greenway may be deemed to
possess direct beneficial ownership. Each of Kingsley and Duberstein, as general
partners of Greenhouse, may be deemed to beneficially own Shares which
11
Greenhouse may be deemed to beneficially own. Each of Kingsley and Duberstein
disclaims beneficial ownership of such Shares for all other purposes.
Greenhut, as the general partner of Greentree, may be
deemed to own beneficially (as that term is defined in Rule 13d-3 under the
Securities Exchange Act of 1934) Shares of which Greentree may be deemed to
possess direct beneficial ownership. Each of Kingsley and Duberstein, as members
of Greenhut, may be deemed to beneficially own Shares which Greenhut may be
deemed to beneficially own. Each of Kingsley and Duberstein disclaims beneficial
ownership of such Shares for all other purposes.
Greenhut Overseas, as the investment general partner of
Greensea, may be deemed to own beneficially (as that term is defined in Rule
13d-3 under the Securities Exchange Act of 1934) Shares of which Greensea may be
deemed to possess direct beneficial ownership. Each of Kingsley and Duberstein,
as members of Greenhut Overseas, may be deemed to beneficially own Shares which
Greenhut Overseas may be deemed to beneficially own. Each of Kingsley and
Duberstein disclaims beneficial ownership of such Shares for all other purposes.
Greenbelt has direct beneficial ownership of the Shares in
the accounts that it manages. Each of Kingsley and Duberstein, as executive
officers and directors of Greenbelt, may be deemed to beneficially own Shares
that Greenbelt beneficially owns. Each of Kingsley and Duberstein hereby
disclaims beneficial ownership of such Shares for all other purposes.
(b) Greenway has the sole power to vote or direct the vote
of 2,350,000 Shares and the sole power to dispose or to direct the disposition
of such Shares. Greenhouse and Kingsley and Duberstein may be deemed to share
with Greenway the power to vote or to direct the vote and to dispose or to
direct the disposition of such Shares.
Greentree has the sole power to vote or direct the vote of
1,500,900 Shares and the sole power to dispose or direct the disposition of such
Shares. Greenhut, Kingsley and Duberstein may be deemed to share with Greentree
the power to vote or to direct the vote and to dispose or to direct the
disposition of such Shares.
Greensea has the sole power to vote or direct the vote of
2,250,000 Shares and the sole power to dispose or direct the disposition of such
Shares. Greenhut Overseas, Kingsley and Duberstein may be deemed to share with
Greensea the power to vote or to direct the vote and to dispose or to direct the
disposition of such Shares.
Greenbelt has the sole power to vote or direct the vote of
11,201,322 Shares and the sole power to dispose or direct the disposition of
such Shares. Kingsley and Duberstein may be deemed to share with Greenbelt the
power to vote or to direct the vote and to dispose or to direct the disposition
of such Shares.
Kingsley has the sole power to vote or direct the vote of
832,300 Shares and the sole power to dispose or direct the disposition of such
Shares.
(c) Information concerning transactions in the Shares by
the Reporting Persons during the last sixty days is set forth in Exhibit 21,
attached hereto, which is incorporated herein by reference.
12
(d) No other person is known to have the right to receive
or the power to direct the receipt of dividends from, or the proceeds from the
sale of, the Shares, except the dividends from, or proceeds from the sale of
Shares in each respective account managed by Greenbelt will be delivered into
each such respective account, as the case may be. No such individual account has
an interest in more than five percent of the class of outstanding Shares.
(e) Not applicable.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS
The following Exhibits are filed herewith:
20. January 19 Letter from Greenway to Dale N. Hilpert,
Chairman of the Board and Chief Executive Officer of the Issuer.
21. Information concerning transactions in the Shares
effected by the Reporting Persons during the past sixty days.
[The remainder of this page intentionally left blank.]
13
SIGNATURES
After reasonable inquiry and to the best of their knowledge
and belief, the undersigned certify that the information contained in this
Statement is true, complete and correct.
Dated: January 19, 2001
GREENHOUSE PARTNERS, L.P. GREENTREE PARTNERS, L.P.
By: /s/ Gary K. Duberstein By: Greenhut, L.L.C.
----------------------------- General Partner
Gary K. Duberstein
General Partner By: /s/ Gary K. Duberstein
-------------------------
Gary K. Duberstein
Member
GREENHUT, L.L.C. GREENSEA OFFSHORE, L.P.
By: /s/ Gary K. Duberstein By: Greenhut Overseas, L.L.C.
----------------------------- Investment General Partner
Gary K. Duberstein
Member By: /s/ Gary K. Duberstein
-------------------------
Gary K. Duberstein
Member
GREENHUT OVERSEAS, L.L.C. GREENBELT CORP.
By: /s/ Gary K. Duberstein By: /s/ Alfred D. Kingsley
----------------------------- -----------------------------
Gary K. Duberstein Alfred D. Kingsley
Member President
GREENWAY PARTNERS, L.P.
By: Greenhouse Partners, L.P. /s/ Alfred D. Kingsley
General Partner ---------------------------------
ALFRED D. KINGSLEY
By: /s/ Gary K. Duberstein
-------------------------
Gary K. Duberstein /s/ Gary K. Duberstein
General Partner ---------------------------------
GARY K. DUBERSTEIN
14
EXHIBIT INDEX
EXHIBIT NO. DESCRIPTION
- ----------- -----------
20. January 19 Letter from Greenway to Dale N. Hilpert,
Chairman of the Board and Chief Executive Officer of
the Issuer.
21. Information concerning transactions in the Shares
effected by the Reporting Persons during the past
sixty days.
15
Exhibit 20
[LETTERHEAD OF GREENWAY PARTNERS, L.P.]
January 19, 2001
Mr. Dale W. Hilpert
Chairman of the Board and
Chief Executive Officer
Venator Group, Inc.
112 West 34th Street
New York, NY 10120
Dear Dale:
As long term investors in Venator Group, Inc. with over 18 million
shares, we look back on the year 2000 with some satisfaction. By the beginning
of 2000, with the majority of its peripheral businesses sold or held for sale,
the Company truly focused on its core competence as the leading US seller of
athletic footwear and apparel. And, we believe such focus has paid off
handsomely. Although we are all waiting for final numbers as time winds down to
your January 31 fiscal year end, all available information points to an
extremely strong year for the Athletic Group.
With athletic shoes back in fashion, the Athletic Group posted double
digit comparable store sales numbers for the first three quarters of fiscal year
2000. Foot Locker is clearly the dominant seller of athletic footwear in the
United States, selling we believe over one-third of the marque priced goods and
using its purchasing power to lock-up substantial quantities of high margin
exclusive product. Adding to the excitement has been the tremendous strides made
by Foot Locker in Europe, where the Company has directed a majority of its
capital expenditures and has been rewarded by comparable store sales reports of
over 40% in certain quarters. While Foot Locker may have enough stores in the
United States (and may continue to close marginal performers), it appears that
opportunities for profitable growth abound in barely tapped overseas markets and
through a solid Internet strategy integrated with stores and catalogues.
Similarly, we believe that the Athletic Group's Champs Sports operation with a
revitalized merchandise strategy has enjoyed a turnaround during 2000.
All this has led to improved financial strength for the Company. You
have announced that the Company expects at year end to have no short-term debt
and a $100 million decrease in long-term debt since the prior year end. The
stock price has also responded positively during 2000, more than doubling from
$7 to $15 1/2 per share at year end.
Mr. Dale W. Hilpert
January 19, 2001
Page 2
As we look to 2001, we have the following suggestions for your
consideration:
1. INSTITUTE A CASH DIVIDEND AND BUY BACK SHARES. The Company's
health has improved markedly since it entered into the March 1999 credit
agreement amendments that restricted the payment of dividends and the buy back
of shares. In light of your statements about the Company's superlative debt
reduction achievements, it seems to us the banks should be amenable to allowing
the payment of a dividend and the buy back of shares by the Company. We believe
that the market will take such initiatives as a vote of confidence by the
Company in itself. The reinstatement of a dividend will return the Company to a
proud dividend paying tradition that lasted for 83 years from 1912 to 1995, and
will no doubt be warmly embraced by your many retirees who devoted their working
lives to the Company and still own the stock. Also, as you know, many
institutions are precluded from owning stocks which do not pay dividends. So the
institution of a small cash dividend-- say five cents per quarter--will increase
the universe of potential buyers of the stock.
2. DEAL DECISIVELY WITH THE NORTHERN GROUP. From an operations
perspective, management is left only with the Northern group--representing less
than 10% of sales--as a disappointing performer. Management has made clear that
its goal, at least over the past year, has been to improve results at this last
major non-athletic group holding in preparation for a sale. Possibly the time
has come to accelerate the timetable for the sale of this women's sportswear
operation or, at the very least, to classify it as an asset held for sale.
3. DARE WE ASK AGAIN: "WHAT'S IN A NAME?" Several years have passed
since the Company discarded one of the best known names in the world for one
still apt to be mispronounced. With the Company now rightly focused on its
Athletic Group, why not rename the entire company after the well known flagship
stores that now power its progress? LET THE FOOT LOCKER NAME IDENTIFY THE
COMPANY ON WALL STREET AS WELL AS ON MAIN STREET.
With best regards and hopes for continued success in 2001,
Very truly yours,
/s/ Alfred D. Kingsley
Alfred D. Kingsley
/s/ Gary K. Duberstein
Gary K. Duberstein
2
Exhibit 21
TRANSACTIONS IN SHARES OF THE ISSUER
The Reporting Persons engaged in the following transactions
in Shares of the Issuer during the past 60 days. All such transactions involved
sales of Shares and were effected on The New York Stock Exchange.
Reporting Person With Direct Price per Share (Excluding
Beneficial Ownership Date of Transaction Number of Shares Commissions)
- -------------------------------- --------------------- ------------------ ----------------------------
Greenbelt 11/20/00 (50,000) $13.8155
Greenbelt 11/21/00 (50,000) $13.9000
Greenbelt 12/05/00 (25,000) $14.3750
Greenbelt 12/11/00 (25,000) $14.5000
Greenbelt 12/22/00 (50,000) $14.5066
