Prepared by MerrillDirect
FORM 4 UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
OMB APPROVAL
  STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP  
o Check this box if no longer
subject to Section 16.  Form 4
or Form 5 obligations may
continue.  See Instruction 1(b).
Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934,
Section 17(a) of the Public Utility Holding Company Act of 1935
or Section 30(f) of the Investment Company Act of 1940
OMB Number:    3235-0287
Expires: December 31, 2001
Estimated average burden
hours per response. . . . . 0.5
     
1.  Name and Address of Reporting Person* 2. Issuer Name and Ticker 4. Statement for 6. Relationship of Reporting Person(s) to Issuer
      or Trading Symbol   (Month/Year)   (Check all applicable)
Parks, J. Michael   Alliance Data Systems Corporation ADS   September 2001   ___X___ Director  ______ 10% Owner
___X___ Officer    ______ Other

 

 

   
(Last) (First) (Middle)       Officer/Other Description       Chairman of the Board, Chief Executive Officer
           

17655 Waterview Parkway

3. I.R.S. Identification Number of Reporting Person, if an entity (voluntary) 5. If Amendment,
Date of Original
(Month/Year)
7. Individual or Joint/Group
Filing (Check Applicable Line)


  Chairman of the Board, Chief Executive Officer        X  Form filed by One Reporting Person
      Form filed by More than One Reporting Person
(Street)            
Dallas, TX 75252-8012            

           
(City) (State) (Zip)        
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1. Title of Security
(Instr. 3)
2. Transaction Date
(Month/Day/Year)
3. Transaction Code and Voluntary Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D) Of
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned at End of Month
(Instr. 3 and 4)
6. Ownership
Form: Direct (D)
or Indirect (I)
(Instr. 4)
7. Nature of Indirect
Beneficial Ownership
(Instr. 4)
         
 
           
          Code   |   V   Amount   |   A/ D   |   Price            
  Common   9/25/2001   J   |   3,500(1)   |   A   |   $14.00   124,500 (2)   D    
                           
                           
Reminder:  Report on a separate line for each class of securities beneficially owned directly or indirectly.
* If the form is filed by more than one reporting person, see Instruction 4(b)(v).

 

Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)
 
   
  1. Title of Derivative Security
(Instr. 3)
2. Conversion or
Exercise Price
of Deivative
Security
3. Transaction
Date
(Month/Day/
Year)
4. Transaction Code
and Voluntary (V)
Code (Instr. 8)
5. Number of
Derivative
Securities
Acquired (A) or
isposed (D) Of
(Instr. 3, 4 and 5)
6. Date Exercisable(DE) and
Expiration Date(ED)
(Month/Day/Year)
               
     
                Code   |   V   (A) (D)   Date
Exercisable
Expiration
Date
    Employee Stock Option (right to buy)   $9.00               Varies (3) (4) (5) 03/09/2007
                         
    Employee Stock Option (right to buy)   $9.90               Varies (6) 05/06/2009
                         
    Employee Stock Option (right to buy)   $15.00               Varies (7) 08/31/2010
                         
    Employee Stock Option (right to buy)   $12.00               Varies (8) 06/08/2011
                         

 

7. Title and Amount of
Underlying Securities
(Instr. 3 and 4)
8. Price of Derivative
Security  (Instr. 5)
9. Number of Derivative
Securities Beneficially
Owned at End of
Month (Instr. 4)
10. Ownership Form of
Derivative Security:
Direct (D) or
Indirect (I)
11. Nature of Indirect Beneficial
Ownership (Instr. 4)
 
                     
                     
  Common 333,332       333,332   D      
                     
  Common 83,333       83,333   D      
                     
  Common 230,000       230,000   D      
                     
  Common 109,388       109,388   D      
                     
  Explanation of Responses:
See attached statement
       
** Intentional misstatements or omissions of facts constitute Federal Criminal Violations.
         See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
/s/ Kellie J. Watts
9/26/2001  
  ** Signature of Reporting Person Date  
  Attorney-in-Fact for
J. Michael Parks
   
       
Note: File three copies of this Form, one of which must be manually signed.  If space is insufficient,
See Instruction 6 for procedure.
   
       
Potential persons who are to respond to the collection of information contained in this form are not required to respond unless the form displays a currently valid OMB number.      
       

Alliance Data Systems Corporation  ADS

   
  Form 4 - September 2001
J. Michael Parks
17655 Waterview Parkway
Dallas, TX 75252-8012
 
   
Explanation of responses:  
   
(1) Purchase pursuant to SEC Release No. 44791 dated September 14, 2001, and extended with Release No. 44827 dated September 21, 2001.
(2) Total beneficial ownership includes 96,000 unvested shares of common stock pursuant to a restricted stock grant.
(3) The 44,444 option is exercisable for 11,111 shares on each of 1/31/98, 1/31/99, 1/31/00 and 1/31/01.
(4) The 177,777 option is exercisable for 16,666 shares on 1/31/98, 58,333 shares on 1/31/99, 58,333 shares on 1/31/00, and 44,445 shares on 1/31/01.
(5) The 111,111 option is exercisable on 1/31/99.
(6) This option is exercisable for 20,833 shares on each of 1/31/00, and 1/31/01, and 1/31/02, and for 20,834 shares on 1/31/03.
(7) This option is exercisable for 75,900 shares on each of 8/31/01, and 8/31/02, and for 78,200 shares on 8/31/03.
(8) The option is exercisable for 33% of the underlying shares on each of 6/7/02 and 6/7/03, and for 34% on 6/7/04.