---------- UNITED STATES SECURITIES AND EXCHANGE COMMISSION -------------------------------
FORM 5 WASHINGTON, DC 20549 OMB APPROVAL
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ANNUAL STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OMB NUMBER: 3235-0362
[X] Check box if no longer EXPIRES: January 31, 2005
subject to Section 16. Filed pursuant to Section 16(a) of the Securities ESTIMATED AVERAGE BURDEN
Form 4 or Form 5 Exchange Act of 1934, Section 17(a) of the HOURS PER RESPONSE.........1.0
obligations may continue. Public Utility Holding Company Act of 1935 --------------------------------
See Instruction 1(b). or Section 30(f) of the
[ ] Form 3 Holdings Reported Investment Company Act of 1940
[ ] Form 4 Transactions
Reported
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1. Name and Address of Reporting Person* 2. Issuer Name and Ticker or Trading Symbol 6. Relationship of Reporting Person(s)
to Issuer (Check all applicable)
Raye David M. MERCATOR SOFTWARE, INC. (MCTR)
--------------------------------------------- ---------------------------------------------- Director 10% Owner
(Last) (First) (Middle) 3. IRS Identification 4. Statement for --- ---
c/o Mercator Software, Inc. Number of Reporting Month/Year
45 Danbury Road Person, if an entity x Officer Other
--------------------------------------------- (Voluntary) 12/31/2002 --- (give title --- (Specify title
(Street) ------------------- below) below)
5. If Amendment, Sr. VP, Customer Care
Wilton CT 06897 -------------------- Date of --------------------------------------
--------------------------------------------- Original 7. Individual or Joint/Group Reporting
(City) (State) (Zip) (Month/Year) (Check Applicable Line)
X Form filed by One Reporting
--- Person
Form filed by more than
--- One Reporting Person
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TABLE 1 -- NON-DERIVATIVE SECURITIES ACQUIRED, DISPOSED OF, OR BENEFICIALLY OWNED
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1. Title of Security 2.Trans- 2A.Deem- 3. Trans- 4. Securities Acquired (A) 5. Amount of 6. Ownership 7. Nature of
(Instr. 3) action ed Ex- action or Disposed of (D) Securities Form: Indirect
Date ecution Code (Instr. 3, 4 and 5) Beneficially Direct (D) Beneficial
Date, if (Instr. 8) Owned at End or Ownership
any ----------------------- of Fiscal Year Indirect (I) (Instr. 4)
(Month/ (Month/ (Instr. 3 and 4) (Instr. 4)
Day/ Day/ (A) or
Year) Year) Amount (D) Price
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Common Stock 22,347** D
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** Includes 3,373 shares acquired under the Issuer's Employee Stock Purchase Plan.
*If the Form is filed by more than one Reporting Person, see Instruction 4(b)(v). SEC 2270 (9-02)
FORM 5 (CONTINUED) TABLE II -- DERIVATIVE SECURITIES ACQUIRED, DISPOSED OF, OR BENEFICIALLY OWNED
(E.G., PUTS, CALLS, WARRANTS, OPTIONS, CONVERTIBLE SECURITIES)
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1. Title of Derivative 2. Conver- 3. Trans- 3A. Dee- 4. Transaction 5. Number of 6. Date Exer- 7. Title and
Security sion or action med Ex- Code Derivative cisable and Amount of
(Instr. 3) Exercise Date ecution (Instr. 8) Securities Expiration Underlying
Price of (Month/ if any Acquired (A) Date Securities
Derivative Day/ (Month/ or Disposed of (Month/Day/ (Instr.
Security Year) Day/ (D) (Instr. 3, Year) 3 and 4)
Year) 4, and 5) ---------------- --------------------
Date Expira- Amount or
---------------- Exer- tion Number of
(A) (D) cisable Date Title Shares
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Stock Option $0.165 See Note 5/7/03 Common Stock 36,000
(right to buy) per share 1
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Stock Option $6.8516 See Note 2/8/03 Common Stock 30,000
(right to buy) per share 1
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Stock Option $19.25 See Note 2/8/03 Common Stock 25,000
(right to buy) per share 1
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Stock Option $30.50 See Note 2/8/03 Common Stock 20,000
(right to buy) per share 1
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Stock Option $16.50 See Note 2/8/03 Common Stock 10,000
(right to buy) per share 1
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Stock Option $5.063 See Note 2/8/03 Common Stock 10,000
(right to buy) per share 1
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Stock Option $1.15 See Note 5/7/03 Common Stock 27,500
(right to buy) per share 1
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Stock Option $8.89 See Note 2/8/03 Common Stock 24,000
(right to buy) per share 1
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1. Title of Derivative 8. Price of 9. Number of 10. Ownership of 11. Nature of
Security Derivative Derivative Derivative Indirect
(Instr. 3) Security Securities Security: Beneficial
(Instr. 5) Beneficially Direct (D) Ownership
Owned at End or Indirect (I) (Instr. 4)
of Year (Instr. 4)
(Instr. 4)
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Stock Option
(right to buy) 20,500 D
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Stock Option
(right to buy) 19,750 D
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Stock Option
(right to buy) 18,750 D
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Stock Option
(right to buy) 10,000 D
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Stock Option
(right to buy) 2,500 D
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Stock Option
(right to buy) 10,000 D
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Stock Option
(right to buy) 13,747 D
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Stock Option
(right to buy) 9,375 D
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Explanation of Responses:
1. Employee's employment was terminated on 11/8/2002 as part of a reduction in force. The $1.15 per share grant was
accelerated by 6,872 shares. All other unvested shares were cancelled on 11/8/2002. Expiration dates on the
$0.165 and $1.15 grants were extended to 5/7/03. All other vested shares expire on 2/8/03.
/s/ DAVID M. RAYE 1/9/2003
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**Signature of Date
Reporting Person
DAVID M. RAYE
**Intentional misstatements or omissions of facts constitute Federal Criminal
Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
Note: File three copies of this Form, one of which must be manually signed. Page 2
If space provided 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.