UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
SCHEDULE 13D/A
UNDER THE SECURITIES EXCHANGE ACT OF 1934
(AMENDMENT NO. 11)*
Central European Media Enterprises Ltd.
(Name of Issuer)
Class A Common Stock, par value $0.08 per share
(Title of Class of Securities)
G20045103
(CUSIP Number)
Ronald S. Lauder
767 Fifth Avenue, Suite 4200
New York, New York 10153
(212) 572-4090
(Name, Address and Telephone Number of Person Authorized to
Receive Notices and Communications)
September 1, 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 Sections 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 Section 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 the 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.
SEC 1746 (3-06)
Page 1 of 12 Pages
CUSIP NO. G20045103
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1. Names of Reporting Persons.................................Ronald S. Lauder
I.R.S. Identification Nos. of above persons (entities only).
--------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a).....................................................................[ ]
(b).....................................................................[X]
--------------------------------------------------------------------------------
3. SEC Use Only...............................................................
--------------------------------------------------------------------------------
4. Source of Funds (See Instructions).......................................PF
--------------------------------------------------------------------------------
5. Check if Disclosure of Legal Proceedings is Required Pursuant to Items 2(d)
or 2(e).................................................................[ ]
--------------------------------------------------------------------------------
6. Citizenship or Place of Organization..........................United States
--------------------------------------------------------------------------------
Number 7. Sole Voting Power.....................................41,900
of
Shares -----------------------------------------------------------------
Beneficially 8. Shared Voting Power................................6,372,839
Owned
by -----------------------------------------------------------------
Each 9. Sole Dispositive Power................................41,900
Reporting
Person -----------------------------------------------------------------
With 10. Shared Dispositive Power...........................6,372,839
--------------------------------------------------------------------------------
11. Aggregate Amount Beneficially Owned by Each Reporting Person......6,414,739
--------------------------------------------------------------------------------
12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See
Instructions)...........................................................[ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11)....................15.7%
--------------------------------------------------------------------------------
14. Type of Reporting Person (See Instructions)..............................IN
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Page 2 of 12 Pages
CUSIP NO. G20045103
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1. Names of Reporting Persons......................RSL Investments Corporation
I.R.S. Identification Nos. of above persons (entities only)......13-3649460
--------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a).....................................................................[ ]
(b).....................................................................[X]
--------------------------------------------------------------------------------
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).................................................................[ ]
--------------------------------------------------------------------------------
6. Citizenship or Place of Organization...............................Delaware
--------------------------------------------------------------------------------
Number 7. Sole Voting Power..........................................0
of
Shares -----------------------------------------------------------------
Beneficially 8. Shared Voting Power................................6,372,839
Owned
by -----------------------------------------------------------------
Each 9. Sole Dispositive Power.....................................0
Reporting
Person -----------------------------------------------------------------
With 10. Shared Dispositive Power...........................6,372,839
--------------------------------------------------------------------------------
11. Aggregate Amount Beneficially Owned by Each Reporting Person......6,372,839
--------------------------------------------------------------------------------
12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See
Instructions)...........................................................[ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11)....................15.7%
--------------------------------------------------------------------------------
14. Type of Reporting Person (See Instructions)..............................CO
--------------------------------------------------------------------------------
Page 3 of 12 Pages
CUSIP NO. G20045103
--------------------------------------------------------------------------------
1. Names of Reporting Persons...............................RSL Investment LLC
I.R.S. Identification Nos. of above persons (entities only)......20-5434339
--------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a).....................................................................[ ]
(b).....................................................................[X]
--------------------------------------------------------------------------------
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).................................................................[ ]
--------------------------------------------------------------------------------
6. Citizenship or Place of Organization...............................Delaware
--------------------------------------------------------------------------------
Number 7. Sole Voting Power..........................................0
of
Shares -----------------------------------------------------------------
Beneficially 8. Shared Voting Power................................6,372,839
Owned
by -----------------------------------------------------------------
Each 9. Sole Dispositive Power.....................................0
Reporting
Person -----------------------------------------------------------------
With 10. Shared Dispositive Power...........................6,372,839
--------------------------------------------------------------------------------
11. Aggregate Amount Beneficially Owned by Each Reporting Person......6,372,839
--------------------------------------------------------------------------------
12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See
Instructions)...........................................................[ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11)....................15.7%
--------------------------------------------------------------------------------
14. Type of Reporting Person (See Instructions)..............................OO
--------------------------------------------------------------------------------
Page 4 of 12 Pages
CUSIP NO. G20045103
--------------------------------------------------------------------------------
1. Names of Reporting Persons..................................CME Holdco L.P.
I.R.S. Identification Nos. of above persons (entities only)......98-0506328
--------------------------------------------------------------------------------
2. Check the Appropriate Box if a Member of a Group (See Instructions)
(a).....................................................................[ ]
(b).....................................................................[X]
--------------------------------------------------------------------------------
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).................................................................[ ]
--------------------------------------------------------------------------------
6. Citizenship or Place of Organization.........................Cayman Islands
--------------------------------------------------------------------------------
Number 7. Sole Voting Power..................................6,372,839
of
Shares -----------------------------------------------------------------
Beneficially 8. Shared Voting Power........................................0
Owned
by -----------------------------------------------------------------
Each 9. Sole Dispositive Power.............................6,372,839
Reporting
Person -----------------------------------------------------------------
With 10. Shared Dispositive Power...................................0
--------------------------------------------------------------------------------
11. Aggregate Amount Beneficially Owned by Each Reporting Person......6,372,839
--------------------------------------------------------------------------------
12. Check if the Aggregate Amount in Row (11) Excludes Certain Shares (See
Instructions)...........................................................[ ]
--------------------------------------------------------------------------------
13. Percent of Class Represented by Amount in Row (11)....................15.7%
--------------------------------------------------------------------------------
14. Type of Reporting Person (See Instructions)..............................PN
--------------------------------------------------------------------------------
Page 5 of 12 Pages
CUSIP NO. G20045103
This Amendment No. 11 to Statement on Schedule 13D amends and supplements the
Statement on Schedule 13D filed by Ronald S. Lauder ("RSL") with the U.S.
Securities and Exchange Commission on November 21, 1995, as amended from time to
time, most recently by Amendment No. 10, filed on August 29, 2006 (the "SCHEDULE
13D"), with respect to the Class A Common Stock, par value $0.08 per share
("CLASS A COMMON STOCK"), of Central European Media Enterprises, Ltd. (the
"ISSUER"). Each Item below amends and supplements the information disclosed in
the corresponding Item of the Schedule 13D.
ITEM 2. IDENTITY AND BACKGROUND
This Schedule 13D is being filed on behalf of:
(i) RSL;
(ii) RSL Investments Corporation, a Delaware corporation ("RIC");
(iii) RSL Investment LLC, a Delaware limited liability company ("RIL"); and
(iv) CME Holdco, L.P., a Cayman Islands limited partnership ("CME HOLDCO"
and, together with RSL, RIC and RIL, the "REPORTING PERSONS").
The principal business of RIC is to serve as holding company for various
investments of RSL. The address of the principal office of RIC is 767 Fifth
Avenue, Suite 4200, New York, New York, 10153. RSL is the sole shareholder of
RIC. RSL is the sole Director and Chairman of RIC and Jacob Z. Schuster is
President, Secretary and Treasurer of RIC. Mr. Schuster's business address is
767 Fifth Avenue, Suite 4200, New York, New York, 10153. His present principal
occupation is investment advisor. Mr. Schuster is a citizen of the United States
of America.
The principal business of RIL is to serve as sole general partner of CME Holdco.
The address of the principal office of RIL is c/o RSL Investments Corporation,
767 Fifth Avenue, Suite 4200, New York, New York, 10153. RIC is the sole member
of RIL. RSL is President of RIL and Jacob Z. Schuster is Executive Vice
President of RIL.
The principal business of CME Holdco is to acquire, hold and dispose of shares
of Class A Common Stock and Class B Common Stock, par value $0.08 per share
("CLASS B COMMON STOCK"), of the Issuer. The address of the principal office of
CME Holdco is c/o RSL Investments Corporation, 767 Fifth Avenue, Suite 4200, New
York, New York, 10153. RIL is the general partner of CME Holdco.
During the last five years, neither any of the Reporting Persons nor Mr.
Schuster has been (i) convicted in a criminal proceeding (excluding traffic
violations or similar misdemeanors), or (ii) a party to a civil proceeding of a
judicial or administrative body of competent jurisdiction and as a result of
such proceeding were or are 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.
Page 6 of 12 Pages
CUSIP NO. G20045103
ITEM 3. SOURCE AND AMOUNT OF FUNDS
On August 28, 2006, RSL, RIC, RIL and certain other persons entered into a
Purchase Agreement (the "PURCHASE AGREEMENT") with a Guernsey limited
partnership, Adele (Guernsey) L.P. ("APAX SPV"), that is wholly owned by
investment funds affiliated with Apax Partners. Upon the terms and subject to
the conditions contained in the Purchase Agreement, RSL, RIC, RIL and such other
persons contributed to CME Holdco a total of 6,312,839 shares of Class B Common
Stock and 60,000 shares of Class A Common Stock in exchange for 100% of the
partnership interests of CME Holdco. Promptly following such contribution, RSL
and such other persons sold limited partnership interests to APAX SPV
aggregating approximately 49.72% of the total partnership interests of CME
Holdco. As a result of such transaction, RSL owns, indirectly through RIC, RIL
and RAJ Family Partners, a Georgia limited partnership of which RSL holds
directly and indirectly an aggregate 52.2% of the general and limited
partnership interests ("RAJ"), partnership interests aggregating 46.93% of the
total partnership interests of CME Holdco. The remaining interests in CME Holdco
not held by RIC, RIL or APAX SPV are held by persons constituting "Permitted
Transferees" under Section 3(5) of the bye-laws of CME Holdco. RIL, a
newly-formed Delaware limited liability company that is indirectly and wholly
owned by RSL, is the general partner of CME Holdco (the "GENERAL PARTNER").
Under the terms of CME Holdco's amended and restated limited partnership
agreement (the "LIMITED PARTNERSHIP AGREEMENT"), APAX SPV has certain consent
rights with respect to the voting and disposition of the shares of Class B
Common Stock and Class A Common Stock held by CME Holdco. At the closing of the
transaction on September 1, 2006, RSL received aggregate proceeds of
$171,000,000. The Purchase Agreement and the Limited Partnership Agreement are
filed as exhibits hereto and the foregoing description is qualified by reference
to such exhibits.
ITEM 4. PURPOSE OF TRANSACTION
The purpose of the transaction described in Item 3 was to monetize a portion of
RSL's investment in the Issuer. In connection with the transaction, two nominees
of APAX SPV have been elected to the board of directors of the Issuer. The
Reporting Persons do not have any present plans or intentions that relate to or
would result in any of the matters described in subsections (a) - (j) of Item 4
of Schedule 13D that are separate from the Issuer or have not been publicly
disclosed by the Issuer in its filings with the Securities and Exchange
Commission or in the Issuer's press releases other than contained herein.
ITEM 5. INTEREST IN SECURITIES OF THE ISSUER
(A) At September 7, 2006, RSL beneficially owns 6,414,739 shares of Class A
Common Stock, and the other Reporting Persons beneficially own 6,372,839
shares of Class A Common Stock, as follows: (i) RSL beneficially owns
41,900 shares of Class B Common Stock underlying currently exercisable
stock options held directly by RSL, and (ii) RSL and the other Reporting
Persons beneficially own (x) 6,312,839 shares of Class B Common Stock held
directly by CME Holdco and (y) 60,000 shares of Class A Common Stock held
directly by CME Holdco.
Page 7 of 12 Pages
CUSIP NO. G20045103
Each share of Class B Common Stock is convertible into one share of Class A
Common Stock at any time at the option of the holder. Assuming conversion
of all shares of Class B Common Stock beneficially owned by RSL (including
shares underlying exercisable stock options), RSL would beneficially own
6,414,739 shares of Class A Common Stock, which would represent 15.7% of
the number of shares of Class A Common Stock outstanding. Assuming
conversion of all shares of Class B Common Stock beneficially owned by the
other Reporting Persons, such Reporting Persons would beneficially own
6,372,839 shares of Class A Common Stock, which would represent 15.7% of
the number of shares of Class A Common Stock outstanding.
Each share of Class A Common Stock entitles the holder to one vote on each
matter submitted to a vote of the Issuer's stockholders and each share of
Class B Common Stock entitles the holder to ten votes on each such matter,
including the election of directors of the Issuer. Assuming no conversion
of any of the outstanding shares of Class B Common Stock, (i) the 6,354,739
shares of Class B Common Stock and 60,000 shares of Class A Common Stock
for which RSL has voting power (including shares underlying exercisable
stock options) constitute 64.9% of the aggregate voting power of the
Issuer, and (ii) the 6,312,839 shares of Class B Common Stock and 60,000
shares of Class A Common Stock for which the other Reporting Persons have
voting power constitute 64.8% of the aggregate voting power of the Issuer.
(B) The Reporting Persons have the power to vote, or direct the vote of
("VOTING POWER"), and the power to dispose, or direct the disposition of
("DISPOSITIVE POWER"), shares of Class A Common Stock as follows:
(I) RSL has sole Voting Power and sole Dispositive Power with respect
to 41,900 shares of Class B Common Stock underlying currently
exercisable stock options held directly by RSL.
(II) The Reporting Persons have shared Voting Power and shared
Dispositive Power with respect to the 6,312,839 shares of Class B
Common Stock and 60,000 shares of Class A Common Stock held
directly by CME Holdco. Such Voting Power and Dispositive Power
is shared with APAX SPV under the terms of Purchase Agreement and
Limited Partnership Agreement.
(C) Since Amendment No. 10, the following transactions have affected the
Reporting Persons' beneficial ownership of Class A Common Stock:
(I) On August 28, 2006, RSL exercised options to purchase 100,000
shares of Class B Common Stock, which he held directly, at an
exercise price of $23.927 per share, for an aggregate purchase
price of $2,392,700.
(II) On August 29, 2006, RSL received Class B Shares in distributions
for no consideration from entities directly or indirectly
wholly-owned by him as follows: (i) 499,712 shares from RIC; (ii)
577,788 shares from TVH Inc., which shares were distributed by TV
Holdings Ltd. to TVH Inc.
Page 8 of 12 Pages
CUSIP NO. G20045103
immediately prior to the distribution to RSL and (iii) 1,672,500
shares from RSL Capital LLC.
(III) On August 29, 2006, RIC contributed 63,729 shares of Class B
Common Stock to RIL in exchange for 100.0% of the limited
liability company interests in RIL.
(IV) On August 30, 2006, the Reporting Persons and certain other
persons constituting "Permitted Transferees" under Section 3(5)
of the bye-laws of CME Holdco entered into a Contribution
Agreement pursuant to which (w) RSL contributed 2,850,000 shares
of Class B Common Stock to CME Holdco in exchange for a 44.72104%
limited partnership interest in CME Holdco, (x) RIC contributed
2,821,976 shares of Class B Common Stock to CME Holdco in
exchange for a 43.28131% limited partnership interest in CME
Holdco, (y) RIL contributed 63,729 shares of Class B Common Stock
to CME Holdco in exchange for a 1.0% general partnership interest
in CME Holdco and (z) RAJ contributed 210,461 shares of Class B
Common Stock to CME Holdco in exchange for a 3.30247% limited
partnership interest in CME Holdco.
(V) On September 1, 2006, the Reporting Persons consummated the
transactions contemplated by the Purchase Agreement, as described
in item 3 above, and RIC, RIL, APAX SPV, Mr. Richard Rich, RAJ,
Mr. Leonard A. Lauder and LWG Family Partners, L.P. entered into
the Amended and Restated Limited Partnership Agreement of CME
Holdco. Under the terms of the Limited Partnership Agreement, the
ownership percentages of CME Holdco are allocated as follows:
RIL, as general partner 1.0%
APAX SPV, as limited partner 49.71987%
RIC, as limited partner 44.28131%
LWG Family Partners, L.P., as limited partner 2.20807%
RAJ, as limited partner 1.65123%
Mr. Leonard A. Lauder, as limited partner 1.13952%
Mr. Richard Rich, as limited partner 0.00001%
(D) The General Partner and the limited partners of CME Holdco have the right
to receive or the power to direct the receipt of dividends from, or the
proceeds from the sale of, the Class A Common Stock and Class B Common
Stock held by CME Holdco. The only such persons for which such interest
relates to more than 5% of the Issuer's Class A Common Stock are RIC and
APAX SPV.
(E) Not applicable.
Page 9 of 12 Pages
CUSIP NO. G20045103
ITEM 6. CONTRACTS, ARRANGEMENTS, UNDERSTANDINGS OR RELATIONSHIPS WITH RESPECT TO
SECURITIES OF THE ISSUER
On August 28, 2006, the Reporting Persons entered into a Purchase Agreement with
APAX SPV and certain other persons, which is described in Item 3 above. Also on
August 28, 2006, the Reporting Persons entered into a Side Letter Agreement with
(i)APAX SPV and (ii) Apax Europe VI-A, L.P. and Apax Europe VI-1, L.P. ("APAX"),
pursuant to which Apax agreed not to transfer any interest in APAX SPV, and to
cause such interest not to be transferred, to any person other than to a APAX
Permitted Transferee (as such term is defined in the Limited Partnership
Agreement).
On September 1, 2006, RSL, RIC and RIL entered into the Amended and Restated
Limited Partnership Agreement of CME Holdco with Adele (Guernsey) L.P., Mr.
Richard Rich, RAJ, Leonard A. Lauder and LWG Family Partners, L.P., which is
described in Item 3 and Item 5 above.
ITEM 7. MATERIALS TO BE FILED AS EXHIBITS
The Exhibit Index is incorporated herein by reference.
Page 10 of 12 Pages
CUSIP NO. G20045103
SIGNATURES
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.
Date: September 8, 2006
RONALD S. LAUDER
By /s/ Jacob Z. Schuster
-------------------------------------
Name: Jacob Z. Schuster, as Attorney-in-
fact
RSL INVESTMENTS CORPORATION
By /s/ Jacob Z. Schuster
-------------------------------------
Name: Jacob Z. Schuster
Title: President, Secretary and
Treasurer
CME HOLDCO, L.P.
By /s/ Jacob Z. Schuster
-------------------------------------
Jacob Z. Schuster, Executive Vice
President, RSL Investment LLC,
its General Partner
RSL INVESTMENT LLC
By /s/ Jacob Z. Schuster
-------------------------------------
Name: Jacob Z. Schuster
Title: Executive Vice President
Page 11 of 12 Pages
EXHIBIT INDEX
EXHIBIT DESCRIPTION PAGE
------- ----------- ----
99.1 Purchase Agreement, dated as of August 28, 2006 among
Ronald S. Lauder, RSL Investments Corp., RSL
Investment LLC, RAJ Family Partners, Leonard A.
Lauder, LWG Family Partners, L.P. and Adele (Guernsey)
L.P.*
99.2 Side Letter Agreement, dated as of August 25, 2006
among Apax Europe VI-A, L.P., Apax Europe VI-1, L.P.,
Adele (Guernsey) L.P., Ronald S. Lauder, RSL
Investment LLC, RSL Investments Corporation, RAJ
Family Partners, L.P, Leonard A. Lauder and LWG Family
Partners, L.P.*
99.3 Amended and Restated Limited Partnership Agreement of
CME Holdco, L.P., dated September 1, 2006 among RSL
Investment LLC, Adele Guernsey L.P., Mr. Richard Rich,
RSL Investments Corporation, RAJ Family Partners, L.P,
Leonard A. Lauder and LWG Family Partners, L.P.
99.4 Contribution Agreement, dated as of August 30, 2006,
among Ronald S. Lauder, RSL Investments Corporation,
RSL Investment LLC, RAJ Family Partners, L.P, Leonard
A. Lauder and LWG Family Partners, L.P.
99.5 Joint Filing Agreement dated as of September 7, 2006
among Ronald S. Lauder, RSL Investments Corporation,
CME Holdco L.P. and RSL Investment LLC.
* Previously filed with Amendment No. 10 to Statement on Schedule 13D on
August 29, 2006.
Page 12 of 12 Pages