UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
Silicon Graphics, Inc.
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(Name of Issuer)
Common Stock, par value $0.01 per share
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(Title of Class of Securities)
827056300
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(CUSIP Number)
Whippoorwill Associates, Inc.
11 Martine Avenue
White Plains, New York 10606
(914) 683-1002
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(Name, Address and Telephone Number of Person
Authorized to Receive Notices and Communications)
March 27, 2008
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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 ss.ss. 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g),
check the following box |X|.
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.
*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).
CUSIP NO.: 827056300
1 NAMES OF REPORTING PERSONS
Whippoorwill Associates, Incorporated
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S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
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CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |X|
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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 ITEM 2(d) or 2(e) |_|
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6 CITIZENSHIP OR PLACE OF ORGANIZATION
Delaware
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7 SOLE VOTING POWER
NUMBER OF 0
SHARES ------------------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
EACH 1,129,582
REPORTING ------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
0
------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
1,129,582
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11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,129,582
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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)
9.8%
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14 TYPE OF REPORTING PERSON
IA; CO
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CUSIP NO.: 827056300
1 NAMES OF REPORTING PERSONS
Shelley F. Greenhaus
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S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
--------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |X|
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3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS
AF
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5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) |_|
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
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7 SOLE VOTING POWER
NUMBER OF 0
SHARES ------------------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
EACH 1,129,582
REPORTING ------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
0
------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
1,129,582
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,129,582
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES |_|
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.8%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN; HC
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CUSIP NO.: 827056300
1 NAMES OF REPORTING PERSONS
David A. Strumwasser
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S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
--------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |X|
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS
AF
--------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) |_|
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
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7 SOLE VOTING POWER
NUMBER OF 0
SHARES ------------------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
EACH 1,129,582
REPORTING ------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
0
------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
1,129,582
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,129,582
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES |_|
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.8%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN; HC
--------------------------------------------------------------------------------
CUSIP NO.: 827056300
1 NAMES OF REPORTING PERSONS
Steven K. Gendal
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S.S. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON:
--------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) |_|
(b) |X|
--------------------------------------------------------------------------------
3 SEC USE ONLY
--------------------------------------------------------------------------------
4 SOURCE OF FUNDS
AF
--------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED
PURSUANT TO ITEM 2(d) or 2(e) |_|
--------------------------------------------------------------------------------
6 CITIZENSHIP OR PLACE OF ORGANIZATION
United States
--------------------------------------------------------------------------------
7 SOLE VOTING POWER
NUMBER OF 0
SHARES ------------------------------------------------------------
BENEFICIALLY 8 SHARED VOTING POWER
OWNED BY
EACH 1,129,582
REPORTING ------------------------------------------------------------
PERSON 9 SOLE DISPOSITIVE POWER
0
------------------------------------------------------------
10 SHARED DISPOSITIVE POWER
1,129,582
--------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
1,129,582
--------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (11) EXCLUDES
CERTAIN SHARES |_|
--------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (11)
9.8%
--------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN; HC
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Item 1. Security and Issuer.
This statement on Schedule 13D relates to the shares of Common Stock,
$0.01 par value per share (the "Common Stock") of Silicon Graphics, Inc. (the
"Company"). The principal executive offices of the Company are located at 1140
East Arques Avenue, Sunnyvale, California 94085.
Item 2. Identity and Background.
This statement on Schedule 13D is being filed by Whippoorwill Associates,
Incorporated ("Whippoorwill"), Shelley F. Greenhaus, David A. Strumwasser and
Steven K. Gendal (together, the "Reporting Persons").
Whippoorwill is a Delaware corporation having its principal place of
business at 11 Martine Avenue, White Plains, New York 10606.
Shelley F. Greenhaus is Principal and President of Whippoorwill having his
principal business address c/o Whippoorwill at 11 Martine Avenue, White Plains,
New York 10606. Mr. Greenhaus is a citizen of the United States.
David A. Strumwasser is Principal of Whippoorwill having his principal
business address c/o Whippoorwill at 11 Martine Avenue, White Plains, New York
10606. Mr. Strumwasser is a citizen of the United States.
Steven K. Gendal is Principal of Whippoorwill having his principal
business address c/o Whippoorwill at 11 Martine Avenue, White Plains, New York
10606. Mr. Gendal is a citizen of the United States.
The principal business of each Reporting Person is to provide
discretionary investment advisory services and any business related thereto or
useful in connection therewith.
None of the Reporting Persons has, during the past five years, (i) been
convicted in any 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 shares of Common Stock covered by this statement were purchased in the
ordinary course of business by the Accounts (as defined below) for an aggregate
purchase price of $20,046,208.65. The source of funds for the purchases was
assets of the Accounts available for investment.
Item 4. Purpose of Transaction.
Whippoorwill believes that the large concentration of ownership in
relatively few hands (the top seven holders own 77% of the Company's shares)(1)
has resulted in a stock price which
does not fully reflect the Company's intrinsic value or the substantial
operating progress achieved over the past year. Whippoorwill intends to enter
into discussions with the Board of Directors and other large shareholders
regarding options for unlocking the Company's true value including, among other
things, the possibility of a going private transaction.
(1) Per Bloomberg based on the latest publicly available information.
Item 5. Interest in Securities of the Issuer.
(a) Based upon information provided by the Company to the Reporting Persons,
there were 11,580,449 shares of Common Stock outstanding as of March 14,
2008.
As of the date hereof, Whippoorwill may be deemed to be the beneficial
owner of 1,129,582 shares of Common Stock, or 9.8% of the Company's
outstanding Common Stock, held for the account of various funds and
separate accounts (the "Accounts") for which Whippoorwill has
discretionary authority and acts as general partner or investment manager.
Mr. Greenhaus, as the President and a Principal of Whippoorwill, may be
deemed to be the beneficial owner of the 1,129,582 shares of Common Stock,
or 9.8% of the Company's outstanding Common Stock, deemed to be
beneficially owned by Whippoorwill as referred to above. Each of Messrs.
Strumwasser and Gendal, as Principals of Whippoorwill, may also be deemed
to be the beneficial owner of the foregoing shares of Common Stock.
(b) See Items 7 through 10 of the cover page for each Reporting Person.
(c) The transactions in the Company's securities by the Reporting Persons
during the sixty days prior to the obligation to file this statement on
Schedule 13D are listed as Exhibit A attached hereto and incorporated
herein by reference. The transactions were effected through one or more
brokers in the market.
(d) The Accounts have the right to receive or the power to direct the receipt
of dividends from, or the proceeds from the sale of, the shares of Common
Stock reported as beneficially owned by Whippoorwill. None of the Accounts
holds more than 5% of the Company's outstanding Common Stock.
(e) Not applicable.
Item 6. Contracts, Arrangements, Understandings or Relationships with Respect
to Securities of the Issuer.
1. On March 27, 2008, Whippoorwill, Mr. Greenhaus, Mr. Strumwasser and Mr.
Gendal entered into a Joint Filing Agreement (the "Joint Filing Agreement"). A
copy of the Joint Filing Agreement is filed herewith as Exhibit B and
incorporated herein by reference.
Item 7. Material to be filed as Exhibits.
Exhibit A Transactions in the Company's securities by the Reporting
Persons in the sixty days prior to the obligation to file this
statement on Schedule 13D
Exhibit B Joint Filing Agreement, dated March 27, 2008, by and among
Whippoorwill Associates, Incorporated, Shelley F. Greenhaus,
David A. Strumwasser and Steven K. Gendal
SIGNATURE
After reasonable inquiry and to the best of each of the undersigned's
knowledge and belief, each of the undersigned certifies that the information set
forth in this statement is true, complete and correct.
WHIPPOORWILL ASSOCIATES, INCORPORATED
By: /s/ Shelley F. Greenhaus
------------------------------------
Name: Shelley F. Greenhaus
Title: President
SHELLEY F. GREENHAUS
By: /s/ Shelley F. Greenhaus
------------------------------------
Name: Shelley F. Greenhaus
DAVID A. STRUMWASSER
By: /s/ David A. Strumwasser
------------------------------------
Name: David A. Strumwasser
STEVEN K. GENDAL
By: /s/ Steven K. Gendal
------------------------------------
Name: Steven K. Gendal
Dated: March 27, 2008
[Signature Page to Schedule 13D - Silicon Graphics, Inc.]
EXHIBIT A
TRANSASCTIONS IN THE COMPANY'S SECURITIES
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Number of
Shares Average
Transaction Date Purchased Price Per Share
------------------ -------------- -------------------
1/28/2008 1,800.00 19.3361
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1/30/2008 3,500.00 19.0276
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1/31/2008 3,126.00 19.6583
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2/5/2008 2,500.00 19.2790
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2/6/2008 10,000.00 17.1635
------------------ -------------- -------------------
2/7/2008 1,385.00 16.9798
------------------ -------------- -------------------
2/8/2008 4,997.00 17.0528
------------------ -------------- -------------------
2/11/2008 5,400.00 17.0529
------------------ -------------- -------------------
2/12/2008 3,600.00 17.1265
------------------ -------------- -------------------
2/13/2008 3,059.00 17.7898
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2/14/2008 2,229.00 17.1184
------------------ -------------- -------------------
2/15/2008 2,710.00 17.0553
------------------ -------------- -------------------
2/19/2008 3,500.00 17.3475
------------------ -------------- -------------------
2/20/2008 4,000.00 16.9785
------------------ -------------- -------------------
2/21/2008 3,507.00 17.0886
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2/22/2008 4,900.00 15.9727
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2/25/2008 1,815.00 15.4744
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2/27/2008 555.00 15.6891
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2/28/2008 1,690.00 15.6040
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2/29/2008 9,738.00 15.4573
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3/3/2008 4,020.00 15.1715
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3/4/2008 4,921.00 15.0433
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3/5/2008 667.00 14.9533
------------------ -------------- -------------------
3/6/2008 4,261.00 14.8455
------------------ -------------- -------------------
3/7/2008 3,035.00 14.5582
------------------ -------------- -------------------
3/10/2008 3,240.00 14.1983
------------------ -------------- -------------------
3/12/2008 18,500.00 14.2203
------------------ -------------- -------------------
3/13/2008 25,000.00 14.1325
------------------ -------------- -------------------
3/17/2008 7,125.00 12.0129
------------------ -------------- -------------------
3/18/2008 3,029.00 11.5493
------------------ -------------- -------------------
3/19/2008 5,000.00 10.2587
------------------ -------------- -------------------
EXHIBIT B
SCHEDULE 13D JOINT FILING AGREEMENT
The undersigned and each other person executing this joint filing
agreement (this "Agreement") agree as follows:
(i) The undersigned and each other person executing this Agreement are
individually eligible to use the Schedule 13D to which this Exhibit is attached
and such Schedule 13D is filed on behalf of the undersigned and each other
person executing this Agreement; and
(ii) The undersigned and each other person executing this Agreement are
responsible for the timely filing of such Schedule 13D and any amendments
thereto, and for the completeness and accuracy of the information concerning
such person contained therein; but none of the undersigned or any other person
executing this Agreement is responsible for the completeness or accuracy of the
information statement concerning any other persons making the filing, unless
such person knows or has reason to believe that such information is inaccurate.
This Agreement may be executed in any number of counterparts, each of
which shall be deemed to be an original, but all of which, taken together, shall
constitute one and the same instrument.
WHIPPOORWILL ASSOCIATES, INCORPORATED
By: /s/ Shelley F. Greenhaus
------------------------------------
Name: Shelley F. Greenhaus
Title: President
SHELLEY F. GREENHAUS
By: /s/ Shelley F. Greenhaus
------------------------------------
Name: Shelley F. Greenhaus
DAVID A. STRUMWASSER
By: /s/ David A. Strumwasser
------------------------------------
Name: David A. Strumwasser
STEVEN K. GENDAL
By: /s/ Steven K. Gendal
------------------------------------
Name: Steven K. Gendal
Dated: March 27, 2008
[Signature Page to Schedule 13D - Silicon Graphics, Inc.]