formsc13ga.htm
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
 
SCHEDULE 13G
(Rule 13d-102)
 
INFORMATION TO BE INCLUDED IN THE STATEMENTS FILED PURSUANT TO RULES 13d-1(b), (c), AND (d) AND AMENDMENTS THERETO FILED PURSUANT TO RULE 13d-2(b)
 
(Amendment No. 2)*
 
Argyle Security, Inc.
(Name of Issuer)
 
Common Stock, par value $.0001
(Title of Class of Securities)
 
040311102
(CUSIP Number)
 
November 19, 2008
(Date of Event Which Requires Filing of this Statement)

 
Check the appropriate box to designate the rule pursuant to which this Schedule is filed:
 
o
Rule 13d-1(b)

 
x
Rule 13d-1(c)

 
o
Rule 13d-1(d)

*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 in 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).
 
 
 
 

SCHEDULE 13G
CUSIP NO. 040311102
Page 2 of 6

 

 
 
 
1
 
NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (Entities Only)
 
The Pinnacle Fund, L.P., a Texas limited partnership
75-2512784
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
 
 
(a)
o
 
 
(b)
x
 
3
SEC USE ONLY
 
4
CITIZENSHIP OR PLACE OF ORGANIZATION
 
Texas
 
NUMBER OF
 
SHARES
 
BENEFICIALLY
 
OWNED BY EACH
 
REPORTING
 
PERSON WITH
 
5
SOLE VOTING POWER
 
526,203 shares of Common Stock (See Item 4)
 
 
6
SHARED VOTING POWER
 
0
 
 
7
SOLE DISPOSITIVE POWER
 
526,203 shares of Common Stock (See Item 4)
 
 
8
SHARED DISPOSITIVE POWER
 
0
 
 
9
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
 
526,203 shares of Common Stock (See Item 4)
10
 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES
o
 
 
11
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
 
8.5% (See Item 4)
 
 
12
TYPE OF REPORTING PERSON
 
PN
 

 
 
 

SCHEDULE 13G
CUSIP NO. 040311102
Page 3 of 6

 
 
 
1
 
NAMES OF REPORTING PERSONS
I.R.S. IDENTIFICATION NOS. OF ABOVE PERSONS (Entities Only)
 
Barry M. Kitt
 
2
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP
 
 
(a)
o
 
 
(b)
x
 
3
SEC USE ONLY
 
4
CITIZENSHIP OR PLACE OF ORGANIZATION
 
United States of America
 
NUMBER OF
 
SHARES
 
BENEFICIALLY
 
OWNED BY EACH
 
REPORTING
 
PERSON WITH
5
SOLE VOTING POWER
 
526,203 shares of Common Stock (See Item 4)
 
6
SHARED VOTING POWER
 
0
 
7
SOLE DISPOSITIVE POWER
 
526,203 shares of Common Stock (See Item 4)
 
8
SHARED DISPOSITIVE POWER
 
0
 
 
9
AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
 
526,203 shares of Common Stock (See Item 4)
 
10
 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES 
o
 
 
11
PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
 
8.5% (See Item 4)
 
 
12
TYPE OF REPORTING PERSON
 
IN
 

 
 
 

SCHEDULE 13G
CUSIP NO. 040311102
Page 4 of 6

 
Item 1(a).
Name of Issuer:
Argyle Security, Inc. (the “Issuer”)
 
Item 1(b).
Address of Issuer’s Principal Executive Offices:
200 Concord Plaza, Suite 700
San Antonio, TX 78216
 
Items 2(a),
(b) and (c).
Name of Persons Filing,Address of Principal Business Office and Citizenship:
This Amendment No. 2 to Schedule 13G is being filed on behalf of The Pinnacle Fund, L.P. and Barry M. Kitt, as joint filers (collectively, the "Reporting Persons").
 
The Reporting Persons have entered into a Joint Filing Agreement, a copy of which is filed with this Amendment No. 2 to Schedule 13G as Exhibit 1, pursuant to which the Reporting Persons have agreed to file this Amendment No. 2 to Schedule 13G jointly in accordance with the provisions of Rule 13d-1(k) of the Securities Exchange Act of 1934, as amended.
 
The principal business office of the Reporting Persons is 4965 Preston Park Blvd., Suite 240, Plano, TX 75093. For citizenship, see Item 4 of each cover page.
 
Item 2(d).
Title of Class of Securities:
Common Stock, par value $.0001 per share (“Common Stock”)
 
Item 2(e).
CUSIP Number:
040311102
 
Item 3.
If this statement if filed pursuant to rule 13d-1(b), or 13d-2(b) or (c), check whether the person filing is a:
Not applicable
 
Item 4.
Ownership.
 
 
(a)
Amount beneficially owned:

 
526,203 shares of Common Stock*
 
(b)
Percent of class:

 

Based on 5,969,342 shares of Common Stock of the Issuer outstanding as of November 14, 2008 (as set forth in the Issuer’s Form 10-Q report for the quarterly period ended September 30, 2008), and 227,053 shares of Common Stock issuable upon exercise of certain warrants held by the Reporting Persons, the Reporting Persons hold approximately 8.5%* of the Common Stock of the Issuer.

 
 
 

SCHEDULE 13G
CUSIP NO. 040311102
Page 5 of 6

 
 
 (c)
Number of shares to which such person has:

 
(i)
Sole power to vote or direct the vote: 526,203 shares of Common Stock*

 
(ii)
Shared power to vote or direct the vote: 0

 
(iii)
Sole power to dispose or to direct the disposition of: 526,203 shares of Common Stock *

 
(iv)
Shared power to dispose of or direct the disposition of: 0


*This statement is filed on behalf of The Pinnacle Fund, L.P. (“Pinnacle”) and Barry M. Kitt. Pinnacle Advisers, L.P. (“Advisers”) is the general partner of Pinnacle. Pinnacle Fund Management, LLC (“Management”) is the general partner of Advisers. Mr. Kitt is the sole member of Management. Mr. Kitt may be deemed to be the beneficial owner of the shares of Common Stock beneficially owned by Pinnacle. Mr. Kitt expressly disclaims beneficial ownership of all shares of Common Stock beneficially owned by Pinnacle.
 
Item 5.
Ownership of Five Percent or Less of a Class.
Not applicable
 
Item 6.
Ownership of More than Five Percent on Behalf of Another Person.
Not applicable
 
Item 7.
Identification and Classification of the Subsidiary Which Acquired the Security Being Reported By the Parent Holding Company.
Not applicable

Item 8.
Identification and Classification of Members of the Group.
Not applicable
 
Item 9.
Notice of Dissolution of a Group.
Not applicable
 
Item 10.
Certification.
By signing below I certify that, to the best of my knowledge and belief, the securities referred to above were not acquired and are not held for the purpose of or with the effect of changing or influencing the control of the issuer of the securities and were not acquired and are not held in connection with or as a participant in any transaction having that purpose or effect.
 
 
 
 

SCHEDULE 13G
CUSIP NO. 040311102
Page 6 of 6

 
SIGNATURE
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.
Dated:
November 24, 2008

 
 
THE PINNACLE FUND, L.P.
 
By:
Pinnacle Advisers, L.P., its general partner
 
By:
Pinnacle Fund Management, LLC, its general partner
 
 
 
 
By:
/s/ Barry M. Kitt
 
 
Barry M. Kitt, its sole member
 
 
 
 
 
 
 
/s/ Barry M. Kitt
 
Barry M. Kitt