AMCON DISTRIBUTING CO — Major Shareholding Notification 2006

Mar 10, 2006

SC 13D 1 c03284sc13d.htm SCHEDULE 13D sc13d PAGEBREAK

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UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SCHEDULE 13D

Under the Securities Exchange Act of 1934 (Amendment No. )*

AMCON Distributing Company

(Name of Issuer)

Common Stock, par value $0.01 per share

(Title of Class of Securities)

02341Q106

(CUSIP Number)

Jerry J. Burgdoerfer, Esq. Jenner & Block LLP One IBM Plaza Chicago, IL 60611

(Name, Address and Telephone Number of Person Authorized to Receive Notices and Communications)

March 7, 2006

(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 §§240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the following box. o

Note: Schedules filed in paper format shall include a signed original and five copies of the schedule, including all exhibits. See §240.13d-7 for other parties to whom copies are to be sent.

• The remainder of this cover page shall be filled out for a reporting person’s initial filing on this form with respect to the subject class of securities, and for any subsequent amendment containing information which would alter disclosures provided in a prior cover page.

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).

Persons who respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB control number.

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CUSIP No. 02341Q106 Page 2 of 14

1	NAMES OF REPORTING PERSONS: Draupnir Capital, LLC
	I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY):
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS):
	(a) o
	(b) þ
3	SEC USE ONLY:
4	SOURCE OF FUNDS (SEE INSTRUCTIONS):
	AF
5	CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e):
	o
6	CITIZENSHIP OR PLACE OF ORGANIZATION:
	Delaware
	7	SOLE VOTING POWER:
NUMBER OF		146,842 1
SHARES	8	SHARED VOTING POWER:
BENEFICIALLY
OWNED BY		0
EACH	9	SOLE DISPOSITIVE POWER:
REPORTING
PERSON		146,842 1
WITH	10	SHARED DISPOSITIVE POWER:
		0
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
	146,842 1
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS):
	o
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
	21.8% 2
14	TYPE OF REPORTING PERSON (SEE INSTRUCTIONS):
	OO

| 1 | Includes 146,842 shares of Common Stock
of AMCON Distributing Company that would be issued upon conversion of 80,000
shares of Series C Convertible Stock at a price of $13.62 per share. |
| --- | --- |
| 2 | The percentage reported in row (13) is
calculated based upon 673,904 shares of Common Stock of AMCON Distributing
Company issued and outstanding, including 527,062 shares of Common Stock of
AMCON Distributing Company issued and outstanding as of January 17, 2005 and
the 146,842 shares of Common Stock issuable upon conversion of the Reporting
Person’s Series A and Series C Convertible Preferred Stock. |

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CUSIP No. 02341Q106 Page 3 of 14

1	NAMES OF REPORTING PERSONS: Draupnir, LLC
	I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY):
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS):
	(a) o
	(b) þ
3	SEC USE ONLY:
4	SOURCE OF FUNDS (SEE INSTRUCTIONS):
	BK
5	CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e):
	o
6	CITIZENSHIP OR PLACE OF ORGANIZATION:
	Delaware
	7	SOLE VOTING POWER:
NUMBER OF		196,330 1
SHARES	8	SHARED VOTING POWER:
BENEFICIALLY
OWNED BY		0
EACH	9	SOLE DISPOSITIVE POWER:
REPORTING
PERSON		196,330 1
WITH	10	SHARED DISPOSITIVE POWER:
		0
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
	196,330 1
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS):
	o
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
	27.1% 2
14	TYPE OF REPORTING PERSON (SEE INSTRUCTIONS):
	OO

| 1 | Includes 146,842 shares of Common Stock
of AMCON Distributing Company that would be issued upon conversion of 80,000
shares of Series C Convertible Stock, held by its subsidiary, at a price of
$13.62 per share and 49,488 shares of Common Stock of AMCON Distributing
Company that would be issued upon conversion of 60,000 shares of Series A
Convertible Stock at a price of $30.31 per share. |
| --- | --- |
| 2 | The percentage reported in row (13) is
calculated based upon 723,392 shares of Common Stock of AMCON Distributing
Company issued and outstanding, including 527,062 shares of Common Stock of
AMCON Distributing Company issued and outstanding as of January 17, 2005 and
the 196,330 shares of Common Stock issuable upon conversion of the Reporting
Person’s Series A and Series C Convertible Preferred Stock. |

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CUSIP No. 02341Q106 Page 4 of 14

1	NAMES OF REPORTING PERSONS: The Lifeboat Foundation
	I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY):
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS):
	(a) o
	(b) þ
3	SEC USE ONLY:
4	SOURCE OF FUNDS (SEE INSTRUCTIONS):
	N/A
5	CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e):
	o
6	CITIZENSHIP OR PLACE OF ORGANIZATION:
	Illinois
	7	SOLE VOTING POWER:
NUMBER OF		37,849
SHARES	8	SHARED VOTING POWER:
BENEFICIALLY
OWNED BY		0
EACH	9	SOLE DISPOSITIVE POWER:
REPORTING
PERSON		37,849
WITH	10	SHARED DISPOSITIVE POWER:
		0
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
	37,849
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS):
	o
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
	7.2% 1
14	TYPE OF REPORTING PERSON (SEE INSTRUCTIONS):
	CO

1 The percentage reported in row (13) is calculated based upon 527,062 shares of Common Stock of AMCON Distributing Company issued and outstanding as of January 17, 2005.

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CUSIP No. 02341Q106 Page 5 of 14

1	NAMES OF REPORTING PERSONS: Allen D. Petersen
	I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY):
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS):
	(a) o
	(b) þ
3	SEC USE ONLY:
4	SOURCE OF FUNDS (SEE INSTRUCTIONS):
	N/A
5	CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e):
	o
6	CITIZENSHIP OR PLACE OF ORGANIZATION:
	USA
	7	SOLE VOTING POWER:
NUMBER OF		201,687 1
SHARES	8	SHARED VOTING POWER:
BENEFICIALLY
OWNED BY		0
EACH	9	SOLE DISPOSITIVE POWER:
REPORTING
PERSON		201,687 1
WITH	10	SHARED DISPOSITIVE POWER:
		0
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
	201,687 1
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS):
	o
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
	27.8% 2
14	TYPE OF REPORTING PERSON (SEE INSTRUCTIONS):
	IN

| 1 | Includes 146,842 shares of Common Stock of
AMCON Distributing Company that would be issued upon conversion of 80,000
shares of Series C Convertible Stock, held by Draupnir Capital, LLC (controlled
by the Reporting Person), at a price of $13.62 per share and 49,488 shares of
Common Stock of AMCON Distributing Company that would be issued upon conversion
of 60,000 shares of Series A Convertible Stock, held by Draupnir, LLC
(controlled by the Reporting Person), at a price of $30.31 per share, for which
the Reporting Person has sole dispositive and voting power, 3,117 shares of
Common Stock for full exercise of all options held by the Reporting Person and
2,240 shares of Common Stock held by the 2003 Allen D. Petersen Irrevocable
Trust, over which Mr. Petersen has sole voting power as sole trustee. |
| --- | --- |
| 2 | The percentage reported in row (13) is
calculated based upon 726,509 shares of Common Stock of AMCON Distributing
Company issued and outstanding, including 527,062 shares of Common Stock of
AMCON Distributing Company issued and outstanding as of January 17, 2005,
196,330 shares of Common Stock issuable upon conversion of Series A and Series
C Convertible Preferred Stock deemed to be beneficially owned by the Reporting
Person and 3,117 shares of Common Stock issuable on full exercise of all
options held by the Reporting Person. |

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CUSIP No. 02341Q106 Page 6 of 14

1	NAMES OF REPORTING PERSONS: 2003 Allen D. Petersen Irrevocable Trust
	I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (ENTITIES ONLY):
2	CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (SEE INSTRUCTIONS):
	(a) o
	(b) þ
3	SEC USE ONLY:
4	SOURCE OF FUNDS (SEE INSTRUCTIONS):
	N/A
5	CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(d) OR 2(e):
	o
6	CITIZENSHIP OR PLACE OF ORGANIZATION:
	USA
	7	SOLE VOTING POWER:
NUMBER OF		2,240
SHARES	8	SHARED VOTING POWER:
BENEFICIALLY
OWNED BY		0
EACH	9	SOLE DISPOSITIVE POWER:
REPORTING
PERSON		2,240
WITH	10	SHARED DISPOSITIVE POWER:
		0
11	AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON:
	2,240
12	CHECK IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES (SEE INSTRUCTIONS):
	o
13	PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11):
	0.4% 1
14	TYPE OF REPORTING PERSON (SEE INSTRUCTIONS):
	OO

1 The percentage reported in row (13) is calculated based upon 527,062 shares of Common Stock of AMCON Distributing Company issued and outstanding as of January 17, 2005.

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Item 1. Security and Issuer.

This statement on Schedule 13D (this “Statement”) relates to shares of common stock that would be received upon conversion of Series C Convertible Preferred Stock, par value $0.01 per share, of AMCON Distributing Company, a Delaware corporation (“AMCON”). 1 The Preferred Stock is convertible into shares of the AMCON common stock, par value $0.01 per share (the “Common Stock”) at a conversion price of $13.62 per share, subject to customary anti-dilution adjustments. AMCON’s principal offices are located at 7405 Irvington Road, Omaha, NE 68122.

Item 2. Identity and Background.

This Statement is being filed on behalf of Draupnir, LLC, a Delaware limited liability company (“Draupnir”), Draupnir Capital, LLC, a Delaware limited liability company and wholly owned subsidiary of Draupnir (“DCL”), The Lifeboat Foundation, an Illinois not-for-profit corporation (“Lifeboat”) and Allen D. Petersen (“Mr. Petersen”) (each a “Reporting Person” and collectively, the “Reporting Persons”). The principal occupation for Mr. Petersen is that of Chairman, member and manager of Draupnir. The business address and the address where the principal occupation of Mr. Petersen is conducted is 515 North State Street, Suite 2650, Chicago, IL 60610. Mr. Petersen is a citizen of the United States of America.

The (i) name, (ii) business address, (iii) present principal occupation or employment, (iv) name, principal business and address of any corporation or other organization in which such employment is conducted, and (v) citizenship of each director and executive officer of Draupnir, DCL and Lifeboat are set forth on Schedule I hereto and incorporated herein by reference.

During the last five years, none of the Reporting Persons or the persons listed on Schedule I has either: (i) been convicted in a criminal proceeding (excluding traffic violations or similar misdemeanors) or (ii) been a party to a civil proceeding of a judicial or administrative body of competent jurisdiction and as a result of such proceeding was or is subject to a 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.

Item 3. Source and Amount of Funds or Other Consideration.

The Reporting Persons are filing this Statement because DCL acquired 80,000 shares of Series C Convertible Preferred Stock on March 7, 2006, at a price of $25.00 per share, pursuant to a Stock Purchase Agreement, dated as of March 3, 2006, by and between DCL and AMCON (the “Agreement”). These shares are convertible into 146,842 shares of Common Stock. The purchase price was funded by borrowings under Draupnir’s existing credit line with JPMorgan Chase Bank N.A., pursuant to the GRID Demand Promissory Note, dated June 13, 2005, by and between JP Morgan Chase Bank, N.A. and Draupnir, LLC.

1 Prior to this Statement, each Reporting Person, other than Draupnir Capital, LLC, previously filed a Schedule 13G relating to other shares of AMCON Common Stock acquired or deemed to be acquired by such Reporting Person. This Statement is required due to the change of Reporting Persons from passive investors, as more fully described in Item 4, and the increase in deemed beneficial interests above the 20% threshold.

Page 7 of 14

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Item 4. Purpose of Transaction.

The Reporting Persons have acquired and continue to hold the shares reported herein for investment purposes. Depending on market conditions and other factors that the Reporting Persons may deem material to their respective investment decisions, the Reporting Persons may purchase additional shares in the open market or in private transactions. Depending on these same factors, the Reporting Persons may sell all or a portion of the shares on the open market or in private transactions.

Mr. Petersen is currently a member of the Board of Directors of AMCON. As more fully described in the Agreement: (i) Jeremy W. Hobbs (“Mr. Hobbs”), Chief Executive Officer, member and manager of Draupnir, will become a member of the Board of Directors of AMCON on March 21, 2006; (ii) Christopher H. Atayan (“Mr. Atayan”), an executive consultant to Draupnir and member of the Board of Directors of AMCON, has been appointed as Vice Chairman of AMCON; (iii) AMCON has created an “Office of the Chairman” to which AMCON’s senior management will report; (iv) the Office of the Chairman is comprised of the Chairman, the Vice Chairman (Mr. Atayan) and the Chief Financial Officer; (v) DCL has the authority to designate the Chief Financial Officer; (vi) the Office of the Chairman will be located at the offices of Draupnir in Chicago, Illinois; (vii) DCL will provide management services to Hawaiian Natural Water Co., Inc., a subsidiary of AMCON, on terms and conditions to be agreed upon at a later time, and (viii) AMCON will establish a holding company structure whereby AMCON will be operated as a holding company overseeing its operating subsidiaries. In connection with the foregoing, the Reporting Persons will have a certain degree of control over the management and policies of AMCON and may, from time to time, initiate, consider and vote upon plans or proposals relating to those events described below in clauses (a) — (j) of this Item 4. Notwithstanding the terms of the Agreement, nothing in the Agreement will give any Reporting Person the ability to limit the discretion of the Board of Directors of AMCON to elect or remove officers (or their successors), to amend the By-laws of AMCON or to otherwise manage the business and affairs of AMCON.

The Reporting Persons reserve the right to purchase additional shares of the Common Stock or dispose of shares from time to time as conditions appear advantageous for doing so. In addition, Messrs. Petersen, Atayan and Hobbs may also may acquire options or purchase shares of the Common Stock in their capacities as directors and/or officers of AMCON.

Except as set forth above, none of the Reporting Persons currently has any plans or proposals that relate to or would result in:

| (a) | The acquisition by any person of additional securities of AMCON, or the
disposition of securities of AMCON; |
| --- | --- |
| (b) | An extraordinary corporate transaction, such as a merger, reorganization or
liquidation, involving AMCON or any of its subsidiaries; |
| (c) | A sale or transfer of a material amount of assets of AMCON or any of its
subsidiaries; |
| (d) | Any change in the present board of directors or management of AMCON, including
any plans or proposals to change the number or term of directors or to fill any
existing vacancies on the board; |
| (e) | Any material change in the present capitalization or dividend policy of AMCON; |

Page 8 of 14

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(f)	Any other material change in AMCON’s business or corporate structure;
(g)	Changes in AMCON’s charter, bylaws or instruments corresponding thereto or
other actions which may impede the acquisition of control of AMCON by any person;
(h)	Causing a class of securities of AMCON to be delisted from a national
securities exchange or to cease to be authorized to be quoted in an inter-dealer
quotation system of a registered national securities association;
(i)	A class of equity securities of AMCON becoming eligible for termination of
registration pursuant to Section 12(g)(4) of the Act; or
(j)	Any action similar to any of those enumerated above.

Item 5. Interest in Securities of the Issuer.

| (a) |
| --- |
| Draupnir is deemed the beneficial owner of 196,330 shares of Common Stock, or 27.1%
of the Common Stock (assuming 527,062 shares of Common Stock outstanding as of
January 17, 2005 and full conversion of all DCL Series C Convertible Stock and
Draupnir Series A Convertible Stock), 146,842 of which result from being the sole
member of DCL and 49,488 of which result from its separate ownership of 60,000
shares of Series A Convertible Preferred Stock, which are convertible into shares of
Common Stock at a price of $30.31 per share at the option of the holder. |
| Lifeboat is the beneficial owner of 37,849 shares of Common Stock, or 7.2% of
the Common Stock (assuming 527,062 shares of Common Stock outstanding as of January
17, 2005). |
| Mr. Petersen, a member of the Board of Directors of AMCON and a member and
managing director of Draupnir, is deemed the beneficial owner of 201,687 shares of
Common Stock, or 27.8% of the Common Stock (assuming 527,062 shares of Common Stock
outstanding as of January 17, 2005, full conversion of all DCL Series C Convertible
Stock and Draupnir Series A Convertible Stock and exercise of all options deemed
held by Mr. Petersen and full exercise of options held by Mr. Petersen for the
purchase of 3,118 shares of Common Stock), 146,842 of which are held by DCL, 49,488
of which are held by Draupnir 1 , options to purchase 3,118 shares of
Common Stock at an average exercise price of $25.83 per share which may be exercised
currently, and 2,240 of which are held by the 2003 Allen D. Petersen Irrevocable
Trust, for which Mr. Petersen is the sole trustee. |
| The 2003 Allen D. Petersen Irrevocable Trust is the beneficial owner of 2,240 shares
of Common Stock, or 0.4% of the Common Stock (assuming 527,062 shares of Common
Stock outstanding as of January 17, 2005). |
| Mr. Hobbs, who will become a member of the Board of Directors of AMCON on March
21, 2006 and the Chief Executive Officer, member and managing director of Draupnir,
is |

Page 9 of 14

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| | the beneficial owner of 128 shares of Common Stock, or
<0.1% of the Common Stock
(assuming 527,062 shares of Common Stock outstanding as of January 17, 2005). |
| --- | --- |
| | Timothy R. Pestotnik (“Mr. Pestotnik”), a member of the Board of Directors of AMCON
and a member of the Board of Directors of Lifeboat, is the beneficial owner of 2,200
shares of Common Stock, or 0.4% of the Common Stock (assuming 527,062 shares of
Common Stock outstanding as of January 17, 2005 and full exercise of options held by
Mr. Pestotnik for the purchase of 1,284 shares of Common Stock), which includes
options to purchase 1,284 shares of common stock at an average exercise price of
$40.33 per share which may be exercised currently. 2 |
| | Mr. Atayan, a member of the Board of Directors of AMCON and an executive consultant
to Draupnir, is the beneficial owner of 8,168 shares of Common Stock, or 1.5% of the
Common Stock (assuming 527,062 shares of Common Stock outstanding as of January 17,
2005 and full conversion of convertible preferred stock held by Mr. Atayan for 8,114
shares of Common Stock), which includes shares of convertible preferred stock which
can be converted at any time into 8,114 shares of Common Stock at the option of the
holder. 3 |
| | To the knowledge of the Reporting Persons, except as set forth above, no other
person listed on Schedule I is a beneficial owner of any other shares of Common
Stock. |
| (b) | DCL is deemed to have sole voting and dispositive power over 146,842 shares of
Common Stock, as a result of its ownership of 80,000 shares of Series C Convertible
Stock, which are convertible into shares of Common Stock at a price of $13.62 per share
at the holder’s option. DCL does not have shared voting or dispositive power over any
other shares of Common Stock. |
| | Draupnir is deemed to have sole voting and dispositive power over 196,330 shares of
Common Stock, 146,842 of which result from being the sole member of DCL and 49,488
of which result from its separate ownership of 60,000 shares of Series A Convertible
Preferred Stock, which are convertible into shares of Common Stock at a price of
$30.31 per share at the holder’s option. Draupnir does not have shared voting or
dispositive power over any other shares of Common Stock. |
| | Lifeboat has sole voting and dispositive power over 37,849 shares of Common
Stock. Lifeboat does not have shared voting or dispositive power over any other
shares of Common Stock. Lifeboat’s Board of Directors is currently composed of Mr.
Petersen, Mr. Hobbs and Mr. Pestotnik. |
| | Mr. Petersen is deemed to have sole voting and dispositive power over 201,687
shares of Common Stock, 146,842 of which are held by DCL, 49,488 of which are held
by Draupnir and 2,240 of which are held by the 2003 Allen D. Petersen Irrevocable
Trust. Mr. Petersen does not have shared voting or dispositive power over any other
shares of |

| 2 | Information obtained from Amendment No. 1 to
Definitive Proxy Statement of AMCON, as filed with the SEC on February 4, 2005. |
| --- | --- |
| 3 | Information obtained from Amendment No. 1 to
Definitive Proxy Statement of AMCON, as filed with the SEC on February 4, 2005. |

Page 10 of 14

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| | Common Stock. 4 Mr. Petersen is also a member of the Board of Directors
of Lifeboat, but does not individually possess voting or dispositive power over any
shares held by Lifeboat. |
| --- | --- |
| | The 2003 Allen D. Petersen Irrevocable Trust has sole voting and dispositive power
over 2,240 shares of Common Stock. The 2003 Allen D. Petersen Irrevocable Trust
does not have shared voting or dispositive power over any other shares of Common
Stock. |
| | Mr. Hobbs is deemed have sole voting and dispositive power over 128 shares of
Common Stock. Mr. Hobbs does not have shared voting or dispositive power over any
other shares of Common Stock. Mr. Hobbs is also a member of the Board of Directors
of Lifeboat, but does not individually possess voting or dispositive power over any
shares held by Lifeboat. |
| | Mr. Pestotnik is deemed to have sole voting and dispositive power over 2,200 shares
of Common Stock. Mr. Pestotnik does not have shared voting or dispositive power
over any other shares of Common Stock. Mr. Pestotnik is also a member of the Board
of Directors of Lifeboat, but does not individually possess voting or dispositive
power over any shares held by Lifeboat. |
| | Mr. Atayan is deemed to have sole voting and dispositive power over 8,168 shares of
Common Stock. Mr. Atayan does not have shared voting or dispositive power over any
other shares of Common Stock. |
| | To the knowledge of the Reporting Persons, except as set forth above, no other
person listed on Schedule I has sole or shared voting or dispositive power with
respect to any other shares of Common Stock. |
| (c) | Except for the transaction effected by the Agreement and described in Item 3
above, there have been no other transactions in the securities of AMCON effected by any
Reporting Person in the last 60 days. |
| (d) | No person, other than the Reporting Persons, has the right to receive, or the
power to direct the receipt of, dividends from and proceeds from the sale of such
shares. |
| (e) | Inapplicable. |

Item 6. Contracts, Arrangements, Understandings or Relationships with Respect to Securities of the Issuer.

Pursuant to the transactions effected by the Agreement, DCL is entitled to nominate one director for so long as it (together with its affiliates) holds 5% or more of the outstanding shares of the Common Stock, assuming conversion of all shares of preferred stock. Mr. Hobbs has been designated as such director nominee. Additionally, pursuant to the Agreement, the Company is obligated to continue to nominate Messrs. Petersen and Atayan to the Board of Directors. As the holder of the majority voting interest in Draupnir, Mr. Petersen has the sole power to vote and/or dispose of all shares held by Draupnir or DCL. In addition, as the sole trustee of the 2003

4 As the controlling member of Draupnir, Mr. Petersen has the sole power to vote and direct the disposition of all 196,330 shares of Common Stock deemed held by Draupnir and DCL upon conversion.

Page 11 of 14

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Irrevocable Allen D. Petersen Trust, Mr. Petersen has the sole power to vote and/or dispose of all shares held by the trust.

Except for the agreements described above, there are no contracts, arrangements, understandings or relationships (legal or otherwise) between any Reporting Person and any other person with respect to any securities of AMCON, including, but not limited to, transfer or voting of any of the securities, finder’s fees, joint ventures, loan or option agreements, puts or calls, guarantees of profits, divisions of profits or loss, or the giving or withholding of proxies.

Item 7. Material to be filed as Exhibits.

| Exhibit 1 | Securities Purchase Agreement, dated as of March 3, 2006, by and between AMCON
Distributing Company and Draupnir Capital, LLC |
| --- | --- |
| Exhibit 2 | GRID Demand Promissory Note, dated June 13, 2005, by and between JPMorgan Chase
Bank, N.A. and Draupnir, LLC |
| Exhibit 3 | Letter from JPMorgan Chase Bank, N.A., to Draupnir, LLC, dated June 13, 2005 |
| Exhibit 4 | Securities Purchase Agreement dated June 17, 2004 between AMCON Distributing
Company, William F. Wright and Draupnir, LLC * |

• Incorporated by reference from Exhibit 4.3 to the Form 10-Q filed by AMCON Distributing Company with the Securities and Exchange Commission on Aug. 9, 2004.

Page 12 of 14

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SIGNATURES

After reasonable inquiry and to the best of each of the undersigned’s knowledge and belief, the undersigned certifies that the information set forth in this Statement is true, complete and correct.

Date: March 10, 2006

DRAUPNIR CAPITAL, LLC
By:	/s/ Jeremy W. Hobbs
	Jeremy W. Hobbs
	Chief Executive Officer
DRAUPNIR, LLC
By:	/s/ Jeremy W. Hobbs
	Jeremy W. Hobbs
	Chief Executive Officer
THE LIFEBOAT FOUNDATION
By:	/s/ Allen D. Petersen
	Allen D. Petersen
	Director
ALLEN D. PETERSEN
/s/ Allen D. Petersen
THE 2003 ALLEN D. PETERSEN IRREVOCABLE TRUST
By:	/s/ Allen D. Petersen
	Allen D. Petersen
	Trustee

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SCHEDULE I

Executive Officers and Directors of Draupnir Capital, LLC:

Name	Business Address & Address of Principal Place of — Employment	Principal Occupation	Citizenship
Allen D. Petersen	Draupnir, LLC 515 North State Street, Suite 2650 Chicago, IL 60610	Chairman	USA
Jeremy W. Hobbs	Draupnir, LLC 515 North State Street, Suite 2650 Chicago, IL 60610	Chief Executive Officer	USA

Executive Officers and Directors of Draupnir, LLC:

Name	Business Address & Address of Principal Place of — Employment	Principal Occupation	Citizenship
Allen D. Petersen	Draupnir, LLC 515 North State
Street, Suite 2650
Chicago, IL 60610	Chairman	USA
Jeremy W. Hobbs	Draupnir, LLC 515 North State
Street, Suite 2650
Chicago, IL 60610	Chief Executive Officer Executive	USA
Christopher H. Atayan	Draupnir, LLC 515 North State
Street, Suite 2650
Chicago, IL 60610	Consultant -Finance, Strategy & Investments	USA

Executive Officers and Directors of The Lifeboat Foundation:

Name	Business Address & Address of Principal Place of — Employment	Principal Occupation	Citizenship
Allen D. Petersen	Draupnir, LLC 515 North State Street, Suite 2650 Chicago, IL 60610	Chairman	USA
Jeremy W. Hobbs	Draupnir, LLC 515 North State Street, Suite 2650 Chicago, IL 60610	Chief Executive Officer	USA
Timothy R. Pestotnik	Luce, Forward, Hamilton & Scripps LLP 600 West Broadway, Suite 2600 San Diego, CA 92101-3372	Attorney	USA
Grant Hiroshima	The Lifeboat Foundation 515 North State Street, Suite 2650 Chicago, IL 60610	Executive Director	USA

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