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Nice Ltd. Major Shareholding Notification 2005

Jun 7, 2005

6950_rns_2005-06-07_e2e93fd2-384c-4fd4-98ef-f281b37c2bcc.pdf

Major Shareholding Notification

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OMB APPROVAL OMB Number: 3235-0145 Expires: December 31, 2005 Estimated average burden hours per response. 15

UNITED STATES SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

SCHEDULE 13D

Under the Securities Exchange Act of 1934 (Amendment No. 5)*

Nice-Systems Ltd. (Name of Issuer)

One Ordinary Share, par value One New Israeli Shekel per share (Title of Class of Securities)

65365610 (CUSIP Number)

Thales SA 45 rue de Villiers 92-200 Neuilly sur Seine France Attention : Olivier Mas, Senior Counsel 33 (0)1 57 77 81 02

June 2, 2005

(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 ☐.

NOTE: Schedules filed in paper format should include a signed original and five copies of the schedule, including all exhibits. See §240.13d-7(b) 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 the disclosures provided in a prior cover page.

The information required on the remainder of this cover 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).


SCHEDULE 13D

CUSIP No 65365610 Page 2 of 12 Pages
1 NAME OF REPORTING PERSON
S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
Thales SA
I.R.S. Identification No.
--- --- ---
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
(a) ☐ (b) ☑
3 SEC USE ONLY
4 SOURCE OF FUNDS
N/A
5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEMS 2(d) or 2(e) ☐
6 CITIZENSHIP OR PLACE OF ORGANIZATION
France
NUMBER OF SHARES 7 SOLE VOTING POWER
878,600 Ordinary Shares
BENEFICIALLY OWNED 8 SHARED VOTING POWER
  • 0 - | | | BY EACH REPORTING | 9 | SOLE DISPOSITIVE POWER 878,600 Ordinary Shares | | | PERSON WITH | 10 | SHARED DISPOSITIVE POWER
  • 0 - | |

SCHEDULE 13D (cont.)

CUSIP No. 65365610 Page 3 of 12 Pages
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
878,600 Ordinary Shares
--- ---
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES ☐
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
4.98% (based on Ordinary Shares outstanding as of September 5, 2004). See Item 5.
14 TYPE OF REPORTING PERSON
CO

Page 4 of 12 Pages

This Amendment No. 5 to Schedule 13D amends and supplements the statement on Schedule 13D relating to the Ordinary Shares, par value one New Israeli Shekel per share (the "Shares") of Nice-Systems Ltd., an Israeli corporation ("Nice"), filed on June 27, 2003 and amended on December 19, 2003, July 21, 2004, November 18, 2004 and November 29, 2004. Each Share is or will be evidenced by an American Depository Receipt ("ADR") and is or will be exchangeable on a one-for-one basis.

Item 1. Security and Issuer

Unchanged.

Item 2. Identity and Background

Unchanged.

Item 3. Source and Amount of Funds or Other Consideration

Unchanged.

Item 4. Purpose of Transaction

Concurrently with the execution of the Sale and Purchase Agreement, Nice and Thales entered into a Registration Rights Agreement (the "Registration Rights Agreement"), dated as of July 30, 2002. Pursuant to the Registration Rights Agreement, Nice has filed a shelf registration statement under the Securities Act on Form F-3 for an offering by Thales of the shares of the Nice Share Consideration covering all of the Registrable Securities (as defined in the Registration Rights Agreement) held by Thales or its permitted transferees on October 17, 2003 and amended the Form F-3 on December 23, 2003, which became effective on January 9, 2004. Nice must use its reasonable commercial best efforts to keep the registration statement continuously effective until the later of (i) the third anniversary of the Completion Date (November 2, 2005) or (ii) the date on which all of the shares are eligible to be sold or distributed pursuant to Rule 144 under the Securities Act. See Section 2.1 of the Registration Rights Agreement.

On May 20, 2005 under Rule 144, Thales filed a Form 144 with the Securities and Exchange Commission to provide notice of the proposed sale of 557,584 Shares on the NASDAQ Stock Market.

Except as provided above, Thales has no present plans or proposals that relate to or would result in the occurrence of any of the events listed in paragraphs (a) through (j) of this Item.


Page 5 of 12 Pages

Item 5. Interest in Securities of the Issuer

(a) Thales is the beneficial owner of 878,600 Nice Ordinary Shares. As of the filing date of this statement, the 878,600 Shares represented approximately 4.98%, based on 17,636,269 Shares outstanding as of September 5, 2004.

(b) Unchanged.

(c) The table below sets forth information concerning sales of Shares by Thales during the past sixty days. All sales were effected in open market transactions through the NASDAQ Stock Market.

Date of Sale Shares Sold Average Price per Share
May 20, 2005 19,050 $39.61
May 23, 2005 37,500 $38.46
May 24, 2005 8,800 $38.61
May 25, 2005 10,000 $38.11
May 26, 2005 12,500 $37.51
May 27, 2005 27,800 $37.32
May 31, 2005 24,000 $36.75
June 1, 2005 45,500 $36.98
June 2, 2005 30,000 $38.34

(d) Not applicable.

(e) Thales ceased to be the beneficial owner of more than five percent of the Nice Ordinary Shares on June 2, 2005 (based on the number of shares outstanding as of September 5, 2004).

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

Unchanged.

Item 7. Material to Be Filed as Exhibits

Unchanged.


Page 6 of 12 Pages

Signature

After reasonable inquiry and to the best of my knowledge and belief, I certify that the information set forth in this statement is true, complete and correct.

Thales SA

By: /s/ Ross McInnes Name: Ross McInnes Title: Senior Vice President-Finance

Date: June 3, 2005

The original statement shall be signed by each person on whose behalf the statement is filed or his authorized representative. If the statement is signed on behalf of a person by his authorized representative (other than an executive officer or general partner of this filing person), evidence of the representative’s authority to sign on behalf of such person shall be filed with the statement, provided, however, that a power of attorney for this purpose which is already on file with the Commission may be incorporated by reference. The name and any title of each person who signs the statement shall be typed or printed beneath his signature.

Attention: Intentional misstatements or omissions of fact constitute Federal criminal violations (See 18 U.S.C. 1001)


Page 7 of 12 Pages

Appendix I

Information Regarding The Instruction C Persons

Thales SA Executive Officers

The following table sets forth the name, business address, title, principal occupation and citizenship of each of the executive officers of Thales SA ("Thales"), excluding executive officers who are also directors of Thales. The business address of each person named below is c/o Thales SA, 45 rue de Villiers, 92-200 Neuilly sur Seine, France. In each case, the principal occupation is represented by the person's title. All Thales executive officers are citizens of France, except for Mr. Dorrian and Mr. Robinson, each of whom is a citizen of the United Kingdom.

Name Title
Yves Barou Senior Vice President- Human Resources
Andrew P. Hibbert Vice President – General Counsel
Alex Dorrian Executive Vice President – International Operations
Sylvie Dumaine Vice President – Communications
Alexandre de Juniac Senior Vice President – Air Systems Division
Jean-Paul Lepeytre Senior Vice President – Services Division
Jean-Georges Malcor Senior Vice President – Naval Division
Ross McInnes Senior Vice President – Finance
Jean-Paul Perrier Executive Vice President and Chief Marketing Officer
Jean-Loup Picard Senior Vice-President – Strategy, Research & Technology
François Quentin Senior Vice President – Aerospace Division

Page 8 of 12 Pages

Name Title
Bruno Rambaud Senior Vice President – Land and Joint Systems Division
Bernard Retat Vice Chairman - External Relations
Timothy Robinson Senior Vice President – Security Division
Reynald Seznec Senior Vice President – Operations

Page 9 of 12 Pages

Directors

The following table sets forth the name, mailing address (business or residence), present principal occupation or employment and citizenship of each of the directors of Thales. All Thales directors are citizens of France, except for Mr. Freeman who is a citizen of the United Kingdom and Mr. Naumann who is a citizen of Germany.

Name Principal Occupation Address (if other than as indicated above)
Denis Ranque* Chairman and Chief Executive Officer
Jean-Paul Barth Senior Executive Vice-President of Alcatel and Chairman and Chief Executive Officer of Alcatel CIT c/o Alcatel
54, rue La Boëtie
75008
Paris, France
François Bujon de l’Estang Ambassadeur de France 9 rue de Bassano
75016
Paris, France
Serge Dassault Chairman and Chief Executive Officer of Groupe Industriel Marcel Dassault (GIMB) c/o GIMD
9 Rond Point des Champs Elysees
Marcel Dassault
75008
Paris, France
Louis Gallois Chairman of SNCF c/o SNCF
34, rue du Commandant René Mouchotte
75014
Paris, France
Pierre LaFourcade Strategy director of the Thales Air Defense Business Group and Vice President of the “Association du Personnel Actionnaire de Thales – APAT” Thales Air Defence
7/9 Rue Des Mathurins
92221
Bagneux, France
Klaus Naumann Chairman of the Supervisory Board of Odenwald Werke Ritters Bach Markweg 5 A
83624
Otterfing, Germany
Roger Norman Freeman Consultant to PricewaterhouseCoopers in the UK 8 Kensington Gate
W8 5NA
London, United Kingdom

Page 10 of 12 Pages

Name Principal Occupation Address (if other than as indicated above)
Henri Proglio Chairman and Chief Executive Officer of Veolia Environment Veolia Environment
38 avenue Kléber
75116
Paris, France
Marcel Roulet Ex Chairman of Thomson SA, Thomson-CSF and France Telecom 21, rue du Bassin
92190
Meudon, France
Denis Samuel Lajeunesse Chief Executive Officer of APE (French State Participation Agency – “Agence des Participations de l’Etat français”) 30 rue Guynemer
75006
Paris, France
Serge Tchuruk Chairman and Chief Executive Officer of Alcatel c/o Alcatel
54 rue La Boëtie
75008
Paris, France
Benoit Tellier Vice President in charge of security matters on behalf of the Chairman and Chief Executive Officer of Alcatel c/o Alcatel
54 rue La Boëtie
75008
Paris, France
Charles Wiener de Croisset International Counsel of Goldman Sachs, Vice President for Europe 31 rue de Bellechasse
75007
Paris, France
Marie-Paule Delpierre Manager in the Naval and Aeronautical Communication business group of Thales Communications SA 1 rue Robert Thomas
95390
Saint-Prix, France
Didier Gladieu Contract Manager in Thales Naval S.A. Thales Naval France
7/9 rue des Mathurins
92221
Bagneux, France
Annie Legendre Wiring fitter at Thales Air Defense S.A. 2A des Boutrie
5 rue Léonard de Vinci
78700
Conflans Sainte-Honorine, France
  • Mr. Ranque is both an executive officer and director of Thales.

None of the executive officers or directors of the Thales has been convicted of a crime or has been the subject of a civil proceeding described in Item 2(d) or 2(e), except that (1) Mr.


Page 11 of 12 Pages

Ranque was found guilty by the Paris Court of Appeals on December 22, 2000 for obstruction in a labor dispute with a union representative and the French “Cour de Cassation” affirmed the conviction on October 16, 2001 and (2) Mr. Dassault was found guilty by the Belgium Cour de Cassation on December 23, 1998 for bribery of public officials and is appealing the decision before the European Court of Human Rights.

On December 24, 2002, John Hughes, a former executive officer of Thales and a director of Nice, was granted options to purchase 10,000 Shares. The exercise price of the options is the higher of $10 or the closing price of Nice’s ADRs on the NASDAQ National Market on December 24, 2002. Twenty-five percent of the options will vest and become exercisable one year after the grant, with an additional 6.25% becoming exercisable at the end of each quarter thereafter. The options are exercisable during Mr. Hughes’ term as a director of Nice, with certain exceptions in the case of his death or disability. In any event, the options expire on December 24, 2008.

On December 24, 2002, Timothy Robinson, an executive officer of Thales and a director of Nice, was granted options to purchase 10,000 Shares. The exercise price of the options is the higher of $10 or the closing price of Nice’s ADRs on the NASDAQ National Market on December 24, 2002. Twenty-five percent of the options will vest and become exercisable one year after the grant, with an additional 6.25% becoming exercisable at the end of each quarter thereafter. The options are exercisable during Mr. Robinson’s term as a director of Nice, with certain exceptions in the case of his death or disability. In any event, the options will expire on December 24, 2008.

The options provided to Mr. Hughes and Mr. Robinson were granted by Nice pursuant to its employee stock option plan and the grant of such options were approved by Nice shareholders at the Nice shareholders meeting held December 24, 2002.


Page 12 of 12 Pages

Control Person

Thomson S.A. is a holding company that is wholly-owned by the French State. Thomson as of December 31, 2002, beneficially owns 31.22% of the Thales’s outstanding shares; no other Thales shareholder owns a greater percentage than Thomson S.A. The business address of Thomson S.A. is 46 Quai Alphonse le Gallo, 92648 Boulogne, France. The French State through Thomson S.A., may be deemed indirectly to control Thales. In addition to its holdings through Thomson S.A., a representative of the French State attends the Thales board meetings as a non-voting representative by virtue of the “Golden Share” arrangement instituted by French Decree No. 97-180, March 4, 1997. The “Golden Share” arrangement provides the French State with the right to (1) have representation on Thales’ board of directors as set forth above, (2) approve the acquisition of more than 10 percent of Thales’ capital shares and (3) approve the sale (or pledge) of a majority of the capital shares of any of Thales’ principal subsidiaries that were owned as of March 4, 1997 and were listed in an Annex to Decree 97-180.