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SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D
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(Rule 13d-101)
(Amendment No. 10)
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TELECOM ITALIA S.p.A.
(Name of Issuer)
Ordinary Shares of euro 0.55 par value each 87927W10
(Title of class of securities) (CUSIP number)
Alexander Rosenzweig, Esq.
Vice President and Chief Legal Officer
Pirelli North America, Inc.
246 Stoneridge Drive
Suite 400
Columbia, South Carolina 29210
(803) 951-1040
With a copy to:
Ellen J. Odoner, Esq.
Weil, Gotshal & Manges LLP
767 Fifth Avenue
New York, New York 10153
(212) 310-8000
(Name, address and telephone number of person authorized
to receive notices and communications)
February 13, 2002
(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 Rule 13d-1(e), 13d-1(f) or 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 Rule 13d-7
for other parties to whom copies are to be sent.
(Continued on following pages)
(Page 1 of 7 Pages)
NY2:\1125993\02\_4TL02!.DOC\67793.0060
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CUSIP No. 87927W10 13D Page 2 of 7
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1 NAME OF REPORTING PERSON PIRELLI S.p.A.
I.R.S. IDENTIFICATION NO. Not Applicable
OF ABOVE PERSON
------------------------ --------------------------------------------------------------------------------------------------------
2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [X]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS: BK, WC
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e): [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION: Italy
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7 SOLE VOTING POWER: 0
NUMBER OF
SHARES ------------------- --------------------------------------------------------------------------------
8 SHARED VOTING POWER: 2,891,656,682
BENEFICIALLY (See Item 5)
OWNED BY ------------------- --------------------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER: 0
EACH
REPORTING ------------------- --------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER: 2,891,656,682
PERSON WITH (See Item 5)
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON: 2,891,656,682
(See Item 5)
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12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ]
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13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): 54.96%
(See Item 5)
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14 TYPE OF REPORTING PERSON: CO
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CUSIP No. 87927W10 13D Page 3 of 7
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1 NAME OF REPORTING PERSON Olimpia S.p.A.
I.R.S. IDENTIFICATION NO. Not Applicable
OF ABOVE PERSON
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2 CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP: (a) [X]
(b) [ ]
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3 SEC USE ONLY
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4 SOURCE OF FUNDS: WC
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5 CHECK BOX IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEM 2(d) OR 2(e): [ ]
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6 CITIZENSHIP OR PLACE OF ORGANIZATION: Italy
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7 SOLE VOTING POWER: 0
NUMBER OF
SHARES ------------------- --------------------------------------------------------------------------------
8 SHARED VOTING POWER: See Item 5
BENEFICIALLY
OWNED BY ------------------- --------------------------------------------------------------------------------
9 SOLE DISPOSITIVE POWER: 0
EACH
REPORTING ------------------- --------------------------------------------------------------------------------
10 SHARED DISPOSITIVE POWER: See Item 5
PERSON WITH
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY REPORTING PERSON: See Item 5
------------------------ --------------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES CERTAIN SHARES: [ ]
------------------------ --------------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11): See Item 5
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14 TYPE OF REPORTING PERSON: CO
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This Amendment No. 10 amends the Statement on Schedule 13D dated
August 9, 2001, as amended (as previously amended, the "Statement on Schedule
13D"), filed by Pirelli S.p.A., a company incorporated under the laws of the
Republic of Italy ("Pirelli"), and, commencing with Amendment No. 1 thereto,
Olimpia S.p.A., a company incorporated under the laws of the Republic of Italy
(the "Purchaser"), with respect to the ordinary shares, euro 0.55 par value per
share, of Telecom Italia S.p.A., a company incorporated under the laws of the
Republic of Italy. Capitalized terms used in this Amendment without definition
have the meanings ascribed to them in the Statement on Schedule 13D.
Pirelli, the Purchaser, Edizione Holding, UCI and BCI are members of
a group with respect to the Telecom Italia Shares. This Amendment constitutes a
separate filing on Schedule 13D by Pirelli and the Purchaser in accordance with
Rule 13d-1(k)(2) under the Securities Exchange Act of 1934. Pirelli and the
Purchaser are responsible solely for the information contained in their separate
filing, except that information contained in the Statement on Schedule 13D
concerning any director or officer of the Purchaser nominated by Edizione
Holding, UCI or BCI has been provided by the nominating person.
ITEM 4. PURPOSE OF TRANSACTION
On February 14, 2002, Telecom Italia issued a press release outlining
its industrial and financial plan. A copy of the press release is filed as
Exhibit 34.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER
On February 8, 2002, Pirelli Finance (Luxembourg) S.A. ("PFL"), a
wholly-owned subsidiary of Pirelli, entered into an equity swap transaction with
JPMorgan Chase Bank ("JPMorgan"), pursuant to which JPMorgan agreed to pay to
PFL an amount equal to any increase, and PFL agreed to pay to JPMorgan an amount
equal to any decrease, above or below a reference price of euro 1.4213 per
security in the average official market price of 100,000,000 Olivetti Shares
(any or all of which may, at PFL's election, be replaced with Olivetti
Convertible Bonds on a one-for-one basis) (the "JPMorgan Swap Securities") over
the period of 10 trading days commencing on December 1, 2006. PFL has the right
to terminate the swap transaction at any time prior to the third business day
preceding December 1, 2006. If PFL does so, it may elect to settle the swap
transaction by physical delivery, in which case PFL has the right to receive the
JPMorgan Swap Securities upon payment to JPMorgan of an amount equal to the sum
of euro 142,130,000 and a termination fee calculated by reference to a formula.
During the term of the transaction, PFL is required to pay an annual fee to
JPMorgan, and JPMorgan is required to pay to PFL (i) the gross amount of all
dividends paid on any Olivetti Shares comprising the JPMorgan Swap Securities
and (ii) all interest payments (net of any applicable withholding taxes)
received on any Olivetti Convertible Bonds comprising the JPMorgan Swap
Securities. A copy of a letter agreement setting forth the principal terms of
the transaction is filed as Exhibit 35.
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ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT
TO SECURITIES OF THE ISSUER
SECOND AMENDMENT TO SHAREHOLDERS AGREEMENT
On February 13, 2002, Pirelli, Edizione Holding and Edizione Finance
International S.A. ("Edizione Finance") entered into an amendment to the
Shareholders Agreement (the "Shareholders Agreement Amendment No. 2"), a copy of
which is filed as Exhibit 36. The Shareholders Agreement Amendment No. 2 imposes
a general prohibition against acquisitions by the parties of Olivetti Shares (or
other securities that are exercisable for, or convertible into, Olivetti
Shares), but permits the parties to acquire Olivetti Convertible Bonds, subject
to certain restrictions (including restrictions on the conversion of such
securities into Olivetti Shares). The Shareholders Agreement Amendment No. 2
also provides that the Purchaser is prohibited from acquiring Olivetti Shares
(including through the conversion of Olivetti Convertible Bonds or the exercise
of Olivetti Warrants) if doing so would cause the Purchaser's proportional
shareholding of Olivetti to exceed the 30% threshold that, under Italian law,
would require the Purchaser to make a public offer for Olivetti Shares.
ITEM 7. MATERIAL TO BE FILED AS EXHIBITS
34. Press release, dated as of February 14, 2002, issued by
Telecom Italia.
35. Letter Agreement, dated as of February 8, 2002, between PFL
and JPMorgan.
36. Shareholders Agreement Amendment No. 2, dated as of February
13, 2002, by and among Pirelli, Edizione Holding and Edizione
Finance. [English translation]
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SIGNATURE
After reasonable inquiry and to the best knowledge and belief of the
undersigned, the undersigned certifies that the information set forth in this
statement is true, complete and correct.
Date: February 21, 2002
PIRELLI S.p.A.
By: /s/ Anna Chiara Svelto
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Name: Anna Chiara Svelto
Title: Attorney-in-fact
OLIMPIA S.p.A.
By: /s/ Luciano Gobbi
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Name: Luciano Gobbi
Title: Director and Attorney-in-fact
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EXHIBIT INDEX
34. Press release, dated February 14, 2002, issued by Telecom Italia.
35. Letter Agreement, dated as of February 8, 2002, between PFL and
JPMorgan.
36. Shareholders Agreement Amendment No. 2, dated as of February 13,
2002, by and among Pirelli, Edizione Holding and Edizione Finance.
[English translation]
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