SC 13D: General Statement of Acquisition of Beneficial Ownership
Published on June 10, 2002
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
UNDER THE SECURITIES EXCHANGE ACT OF 1934
HARRIS AND HARRIS GROUP, INC.
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(Name of Issuer)
Common Stock, par value $.01 per share
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(Title of Class of Securities)
413833104
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(CUSIP Number)
Jonathan E. Rothschild
c/o Arterio, Inc.
1061-B Shary Circle
Concord, CA 94518
(925) 827-2636
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(Name, Address and Telephone Number of Persons
Authorized to Receive Notices and Communications)
October 10, 2001
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(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 which is the subject of this Schedule 13D, and is filing this
schedule because of Rule 13d-1(b)(3) or (4), check the following box [_].
Note: Six copies of this statement, including all exhibits, should be filed with
the Commission. See Rule 13d-1(a) for other parties to whom copies are to be
sent.
The information required on the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act (however, see the
Notes).
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CUSIP No. 413833104 PAGE 2 OF 9 PAGES
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1 NAME OF REPORTING PERSON
S.S. or I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
Jonathan E. Rothschild
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a)[_]
(b)[_]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS
PF + AF (See Item 3)
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5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [_]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States of America
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7 SOLE VOTING POWER
570,243 (includes 158,400 shares owned indirectly through a
wholly owned corporation and 66,400 shares owned indirectly
through a profit sharing plan of that corporation)
NUMBER OF ----- -----------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY EACH 0
REPORTING ----- -----------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH 570,243 (includes 158,400 shares owned indirectly through a
wholly owned corporation and 66,400 shares owned indirectly
through a profit sharing plan of that corporation)
----- -----------------------------------------------------------
10 SHARED DISPOSITIVE POWER
0
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
570,243 (includes 158,400 shares owned indirectly through a wholly owned
corporation and 66,400 shares owned indirectly through a profit sharing
plan of that corporation)
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12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(See Instructions) [_]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
6.4%
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14 TYPE OF REPORTING PERSON
IN
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CUSIP No. 413833104 PAGE 3 OF 9 PAGES
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1 NAME OF REPORTING PERSON
S.S. or I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
Arterio, Inc.
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a)[_]
(b)[_]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS
WC
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5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [_]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
California
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7 SOLE VOTING POWER
158,400
NUMBER OF ----- -----------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY EACH 0
REPORTING ----- -----------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH
158,400
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10 SHARED DISPOSITIVE POWER
0
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
158,400
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12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(See Instructions) [_]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
1.8%
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14 TYPE OF REPORTING PERSON
CO
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CUSIP No. 413833104 PAGE 4 OF 9 PAGES
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1 NAME OF REPORTING PERSON
S.S. or I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS
Arterio, Inc. Profit Sharing Plan
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a)[_]
(b)[_]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS
00
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5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO
ITEMS 2(d) OR 2(e) [_]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
California
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7 SOLE VOTING POWER
66,400
NUMBER OF ----- -----------------------------------------------------------
SHARES 8 SHARED VOTING POWER
BENEFICIALLY
OWNED BY EACH 0
REPORTING ----- -----------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
WITH
66,400
----- -----------------------------------------------------------
10 SHARED DISPOSITIVE POWER
0
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
66,400
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12 CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES
(See Instructions) [_]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
0.7%
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14 TYPE OF REPORTING PERSON
EP
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CUSIP No. 413833104 PAGE 5 OF 9 PAGES
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Item 1. Security and Issuer:
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Common Stock, par value $.01 per share
Harris and Harris Group, Inc.
One Rockefeller Plaza
Rockefeller Center
New York, NY 10020
Item 2. Identity and Background:
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(a) This statement is filed on behalf of Mr. Jonathan E. Rothschild,
Arterio, Inc., and Arterio, Inc. Profit Sharing Plan (collectively, the
"Reporting Parties").
(b) Mr. Rothschild's address is 111 Briney Avenue, #2509, Pompano
Beach, FL 33062 and the address for Arterio, Inc., and Arterio, Inc. Profit
Sharing Plan is 1061-B Shary Circle, Concord, CA 94518.
(c) Mr. Rothschild is a private investor and president and sole owner
of Arterio, Inc.1, a California corporation. Arterio, Inc. is a distributor of
nutritional supplements.
(d) The Reporting Parties, and their respective officers, directors,
investment managers, or trustees have not, during the five years prior to the
date hereof, been convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors).
(e) The Reporting Parties, and their respective officers, directors,
investment managers, or trustees have not been, during the five years prior to
the date hereof, parties to a civil proceeding of a judicial or administrative
body of competent jurisdiction, as a result of which such person was or is
subject to judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, Federal or State securities laws
or finding any violation with respect to such laws.
(f) Mr. Rothschild is a citizen of the United States.
Item 3. Source and Amount of Funds or Other Consideration
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Mr. Rothschild used his personal funds to purchase 345,443 shares for
an aggregate purchase price of approximately $1,689,216. Arterio, Inc. used
working capital to purchase 158,400 shares for an aggregate purchase price of
approximately $774,576. Arterio, Inc. Profit Sharing Plan used its general funds
to purchase 66,400 shares for an aggregate purchase of approximately $324,696.
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(1) Mr. Rothschild is the sole owner, director and executive officer of
Arterio, Inc. and the trustee of the Arterio, Inc. Profit Sharing Plan, and in
such capacities has full control over such Reporting Persons.
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CUSIP No. 413833104 PAGE 6 OF 9 PAGES
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Item 4. Purpose of Transaction:
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The Reporting Parties acquired the shares of Common Stock of the Issuer
as an investment in the Issuer.
On April 26, 2002, the Issuer filed a Form N-2 Registration Statement
under the Securities Act of 1933 for a rights offering to be made by the Issuer
pursuant to which the Issuer will allow its existing shareholders to subscribe
for one share of Common Stock of the Issuer for each three shares owned by the
shareholders on June 14, 2002, at a purchase price of $2.25 per share (the
"Rights Offering"). The Reporting Parties presently intend to exercise their
rights to purchase a portion of the shares to be offered to them pursuant to the
Rights Offering, after the Rights Offering commences. The exact number of shares
to be purchased by the Reporting Persons in the Rights Offering is undetermined
at this date.
Although the Reporting Parties have not formulated any further
definitive plans, they may from time to time acquire, or dispose of, Common
Stock and/or other securities of the Issuer if and when they deem it
appropriate.
Except as indicated in this Schedule 13D, the Reporting Parties
currently have no plans or proposals that relate to or would result in any of
the matters described in subparagraphs (a) through (j) of Item 4 of Schedule
13D.
Item 5. Interest in Securities of the Issuer:
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(a) As of June 7, 2002, the Reporting Parties beneficially owned
570,243 shares or 6.4% of the Issuer's outstanding common stock as follows:
Amount
Beneficially
Owned Percent
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Mr. Rothschild 570,243 shares 6.4%
Arterio, Inc. 158,400 shares 1.8%
Arterio, Inc. Profit Sharing Plan 66,400 shares 0.7%
(b) Mr. Rothschild holds the power to vote or to direct the vote, and
to dispose or to direct the disposition of all of the shares reported on this
Schedule 13D owned by himself and each of Arterio, Inc. and Arterio, Inc. Profit
Sharing Plan.
(c) On April 29, 2002, Mr. Rothschild purchased 300 shares in an open
market transaction at a price of $3.41 per share. The following sales were made
in open market transactions by Mr. Rothschild during the sixty days prior to
June 7, 2002:
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CUSIP No. 413833104 PAGE 7 OF 9 PAGES
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Date No. of Shares Sold Price Per Share
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4/9/02 300 $4.60
4/10/02 800 $4.41
4/11/02 900 $4.26
4/12/02 300 $4.10
4/15/02 300 $4.18
4/16/02 400 $4.32
4/18/02 800 $4.46
4/19/02 300 $4.73
4/22/02 600 $4.68
4/23/02 300 $4.34
4/24/02 1000 $4.16
4/25/02 400 $4.06
4/26/02 1300 $3.81
5/10/02 900 $3.89
5/13/02 100 $3.93
5/16/02 600 $3.83
5/20/02 700 $3.96
5/21/02 600 $4.21
5/22/02 600 $4.02
5/23/02 300 $4.09
5/24/02 700 $4.03
5/28/02 300 $3.90
On April 29, 2002, Arterio, Inc. purchased 300 shares in an open market
transaction at a price of $3.33 per share. The following sales were made in open
market transactions by Arterio, Inc., during the sixty days prior to June 7,
2002:
Date No. of Shares Sold Price Per Share
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4/10/02 800 $4.41
4/11/02 900 $4.25
4/12/02 300 $4.11
4/15/02 300 $4.08
4/16/02 700 $4.38
4/18/02 400 $4.50
4/19/02 700 $4.74
4/22/02 300 $4.67
4/23/02 300 $4.40
4/24/02 500 $4.09
4/25/02 600 $4.08
4/26/02 1000 $3.70
5/10/02 2500 $3.97
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CUSIP No. 413833104 PAGE 8 OF 9 PAGES
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5/16/02 300 $3.79
5/20/02 700 $3.92
5/21/02 600 $4.21
5/22/02 600 $4.02
5/24/02 600 $4.03
5/28/02 300 $3.90
5/29/02 300 $3.80
On April 29, 2002, Arterio, Inc. Profit Sharing Plan purchased 800
shares in an open market transaction at a price of $3.29 per share. The
following sales were made in open market transactions by Arterio, Inc. Profit
Sharing Plan during the sixty days prior to June 7, 2002:
Date No. of Shares Sold Price Per Share
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4/10/02 400 $4.43
4/11/02 900 $4.25
4/12/02 300 $4.11
4/16/02 400 $4.32
4/18/02 300 $4.46
4/19/02 600 $4.74
4/22/02 300 $4.67
4/23/02 300 $4.41
4/25/02 400 $4.06
4/26/02 1000 $3.72
5/10/02 1200 $3.93
5/16/02 300 $3.86
5/20/02 300 $3.95
5/21/02 300 $4.23
5/22/02 200 $4.14
5/24/02 300 $4.02
5/28/02 300 $3.90
(d) Not applicable.
(e) Not applicable.
Item 6. Contracts, Arrangements, Understandings or Relationships With Respect
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to Securities of the Issuer:
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None.
Item 7. Material to be Filed as Exhibits
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Not applicable.
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CUSIP No. 413833104 PAGE 9 OF 9 PAGES
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SIGNATURES
After reasonable inquiry and to the best knowledge and belief of each
of the undersigned, the undersigned certify that the information set forth in
this statement is true, complete and correct, and the undersigned each agree
that this Schedule 13D is filed on behalf of each of them.
Date: June 10, 2002 /s/ Jonathan E. Rothschild
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Jonathan E. Rothschild
ARTERIO, INC.
By: /s/ Jonathan E. Rothschild
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Name: Jonathan E. Rothschild
Title: President
/s/ Jonathan E. Rothschild
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Jonathan E. Rothschild, Trustee
Arterio, Inc. Profit Sharing Plan