-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, Q1KuuBGsxEG/LF5254lrRgqPegTzTsxqUY67D5DFVpUMTXjjx6ncjj2NCsJZi4aq 2fOVuT5jS489qpdhnG5xbw== /in/edgar/work/20000627/0000102710-00-000012/0000102710-00-000012.txt : 20000920 0000102710-00-000012.hdr.sgml : 20000920 ACCESSION NUMBER: 0000102710-00-000012 CONFORMED SUBMISSION TYPE: 10-K/A PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19990831 FILED AS OF DATE: 20000627 FILER: COMPANY DATA: COMPANY CONFORMED NAME: VALLEY RESOURCES INC /RI/ CENTRAL INDEX KEY: 0000102710 STANDARD INDUSTRIAL CLASSIFICATION: [4924 ] IRS NUMBER: 050384723 STATE OF INCORPORATION: RI FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: 10-K/A SEC ACT: SEC FILE NUMBER: 001-07924 FILM NUMBER: 661719 BUSINESS ADDRESS: STREET 1: 1595 MENDON RD CITY: CUMBERLAND STATE: RI ZIP: 02864 BUSINESS PHONE: 4012729191 MAIL ADDRESS: STREET 1: PO BOX 7900 CITY: CUMBERLAND STATE: RI ZIP: 02864-7900 10-K/A 1 0001.txt UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 F O R M 10K/A AMENDMENT TO ANNUAL REPORT Filed pursuant to Section 12, 13 or 15(d) of THE SECURITIES EXCHANGE ACT OF 1934 COMMISSION FILE NUMBER 1-7924 VALLEY RESOURCES, INC. _____________________________________________________________ (Exact name of registrant as specified in charter) AMENDMENT TO 2 The undersigned registrant hereby amends the following items, financial statements, exhibits or other portions of its Annual Report for the fiscal year ended August 31, 1999 on Form 10-K/A as set forth in the pages attached hereto. Item 14 Exhibits, Financial Statement Schedules and Reports on Form 8-K (a) 3. Exhibits 28. Additional Exhibits Annual Report on Form 11-K of Valley Resources, Inc. 401-K Employee Stock Ownership Plan for the plan year ended December 31, 1999. Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this amendment to be signed on its behalf by the undersigned thereunto duly authorized. VALLEY RESOURCES, INC. Date June 27, 2000 By S/S. Partridge ----------------------------------- S. Partridge Vice President, Chief Financial Officer, Secretary and Treasurer FORM 11-K FOR ANNUAL REPORTS OF EMPLOYEE STOCK PURCHASE, SAVINGS AND SIMILAR PLANS PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (Mark One) ( ) ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (FEE REQUIRED) For the fiscal year ended______________________________________________________ OR (X) TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (NO FEE REQUIRED) For the transition period from January 1, 1999 to December 31, 1999 --------------- ----------------- Commission file number 1-7924 VALLEY RESOURCES, INC. 401-K EMPLOYEE STOCK OWNERSHIP PLAN ___________________________________ (Full Title of Plan) VALLEY RESOURCES, INC. __________________________________________________________ (Name of Issuer of the Securities held Pursuant to the Plan) 1595 Mendon Road Cumberland, Rhode Island 02864 ____________________________________ (Address of Principal Executive Officer) Financial Statements and Exhibits - --------------------------------- a) Financial Statements: Page Number ----------- Report of Independent Certified Public Accountants F-1 Statements of Financial Condition as of December 31, 1999 and 1998 F-2 - F-5 Statements of Income and Changes in Plan Equity for the years ended December 31, 1999, 1998 and 1997 F-6 - F-11 Notes to Financial Statements F-12 - F-22 Schedules: Schedules I, II and III have been omitted because the required information is shown in the financial statements b) Exhibits: 24d) Consent of Independent Certified Public Accountants Report of Independent Certified Public Accountants -------------------------------------------------- Administrator of the Valley Resources, Inc. 401(k) Employee Stock Ownership Plan We have audited the accompanying statements of financial condition of Valley Resources, Inc. 401(k) Employee Stock Ownership Plan as of December 31, 1999 and 1998, and the related statements of income and changes in plan equity for each of the three years in the period ended December 31, 1999. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the financial condition of the Valley Resources, Inc. 401(k) Employee Stock Ownership Plan as of December 31, 1999 and 1998, and the income and changes in plan equity for each of the three years in the period ended December 31, 1999, in conformity with generally accepted accounting principles. S/Grant Thornton LLP -------------------- GRANT THORNTON LLP Boston, Massachusetts June 9, 2000 F-1 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF FINANCIAL CONDITION December 31, 1999
AMERICAN EURO INDEXED AMERICAN FUNDAMENTAL PACIFIC MEMBER LASALLE BOND BALANCED INVESTORS MFS GROWTH ASSETS LOANS FUND FUND FUND FUND FUND FUND - ------ -------------------------------------------------------------------------------------------------- Investments (Note A) Common Stock of Valley Resources, Inc. at Market Value 865,698.15 Shares (Cost $9,754,797.37) Other Investments (Note C) $324,413.56 $384,748.55 $216,392.82 $1,129,270.71 $2,173,122.96 $525,684.63 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Investments 0.00 324,413.56 384,748.55 216,392.82 1,129,270.71 2,173,122.96 525,684.63 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Money Market Fund 0.00 179,038.01 32.81 5.98 29.73 150.82 31.78 Contributions Receivable 0.00 22,627.54 0.00 0.00 0.00 0.00 0.00 Dividend Receivable Member Loan Receivable 53,090.00 0.00 0.00 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Assets $53,090.00 $526,079.11 $384,781.36 $216,398.80 $1,129,300.44 $2,173,273.78 $525,716.41 ========== =========== =========== =========== ============= ============= =========== LIABILITIES AND EQUITY - ---------------------- Acquisition Indebtedness (Note D) $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Interest Payable Plan Equity - Including Net Unrealized Appreciation of Investments (Note A) 53,090.00 526,079.11 384,781.36 216,398.80 1,129,300.44 2,173,273.78 525,716.41 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Net Assets Available for Benefits 53,090.00 526,079.11 384,781.36 216,398.80 1,129,300.44 2,173,273.78 525,716.41 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Plan Equity & Liabilities $53,090.00 $526,079.11 $384,781.36 $216,398.80 $1,129,300.44 $2,173,273.78 $525,716.41 ========== =========== =========== =========== ============= ============= ===========
F-2 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF FINANCIAL CONDITION - CONTINUED December 31, 1999
VRI ESOP ENTERPRISE PUTNAM PUTNAM PUTNAM EMPLOYEE & ER SUSPENSE GROWTH BALANCED CONSERVATIVE GROWTH ASSETS STOCK FUND FUND FUND FUND FUND FUND TOTAL - ------ ------------------------------------------------------------------------------------------------- Investments (Note A) Common Stock of Valley Resources, Inc. at Market Value 865,698.15 Shares (Cost $9,754,797.37) $14,587,681.83 $4,674,102.00 $19,261,783.83 Other Investments (Note C) $64,764.10 $4,768.33 $136.91 $17,992.65 4,841,295.22 -------------- ------------- ---------- --------- ------- ---------- -------------- Total Investments 14,587,681.83 4,674,102.00 64,764.10 4,768.33 136.91 17,992.65 24,103,079.05 -------------- ------------- ---------- --------- ------- ---------- -------------- Money Market Fund 3,452.21 127,959.21 0.00 0.00 0.00 0.00 310,700.55 Contributions Receivable 0.00 0.00 0.00 0.00 0.00 0.00 22,627.54 Dividend Receivable 122,476.16 39,864.19 0.00 0.00 0.00 0.00 162,340.35 Member Loan Receivable 0.00 0.00 0.00 0.00 0.00 0.00 53,090.00 -------------- ------------- ---------- --------- ------- ---------- -------------- Total Assets $14,713,610.20 $4,841,925.40 $64,764.10 $4,768.33 $136.91 $17,992.65 $24,651,837.49 ============== ============= ========== ========= ======= ========== ============== LIABILITIES AND EQUITY - ---------------------- Acquisition Indebtedness (Note D) $ 0.00 $2,712,356.51 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 2,712,356.51 Interest Payable 159,202.07 0.00 0.00 0.00 0.00 159,202.07 Plan Equity - Including Net Unrealized Appreciation of Investments (Note A) 14,713,610.20 1,970,366.82 64,764.10 4,768.33 136.91 17,992.65 21,780,278.91 -------------- ------------- ---------- --------- ------- ---------- -------------- Net Assets Available for Benefits 14,713,610.20 1,970,366.82 64,764.10 4,768.33 136.91 17,992.65 21,780,278.91 -------------- ------------- ---------- --------- ------- ---------- -------------- Total Plan Equity & Liabilities $14,713,610.20 $4,841,925.40 $64,764.10 $4,768.33 $136.91 $17,992.65 $24,651,837.49 ============== ============= ========== ========= ======= ========== ==============
The accompanying Notes are an integral part of these statements. F-3 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF FINANCIAL CONDITION December 31, 1998
AMERICAN INDEXED AMERICAN FUNDAMENTAL MEMBER LASALLE BOND BALANCED INVESTORS ASSETS LOANS FUND FUND FUND FUND - ------ -------------------------------------------------------------------------- Investments (Note A) Common Stock of Valley Resources, Inc. at Market Value 836,321.57 Shares (Cost $9,294,464.46) Other Investments (Note C) $293,263.85 $435,548.88 $ 87,529.67 $ 645,920.53 ----------- ----------- ----------- ----------- ------------- Total Investments 0.00 293,263.85 435,548.88 87,529.67 645,920.53 ---------- ----------- ----------- ----------- ------------- Money Market Fund 0.00 186,077.22 (2.15) 0.00 0.72 Contributions Receivable 0.00 8,336.07 0.00 0.00 0.00 Dividend Receivable Member Loan Receivable 29,194.84 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ------------- Total Assets $29,194.84 $487,677.14 $435,546.73 $ 87,529.67 $ 645,921.25 ========== =========== =========== =========== ============= LIABILITIES AND EQUITY - ---------------------- Acquisition Indebtedness (Note D) $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Interest Payable Plan Equity - Including Net Unrealized Depreciation or Appreciation of Investments (Note A) 29,194.84 487,677.14 435,546.73 87,529.67 645,921.25 ---------- ----------- ----------- ----------- ------------- Net Assets Available for Benefits 29,194.84 487,677.14 435,546.73 87,529.67 645,921.25 ---------- ----------- ----------- ----------- ------------- Total Plan Equity & Liabilities $29,194.84 $487,677.14 $435,546.73 $ 87,529.67 $ 645,921.25 ========== =========== =========== =========== =============
The accompanying Notes are an integral part of these statements. F-4 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF FINANCIAL CONDITION - CONTINUED December 31, 1998
EURO PACIFIC VRI ESOP MFS GROWTH EMPLOYEE & ER SUSPENSE ASSETS FUND FUND STOCK FUND FUND TOTAL - ------ ---------------------------------------------------------------------------- Investments (Note A) Common Stock of Valley Resources, Inc. at Market Value 836,321.57 Shares (Cost $9,294,464.46) $7,617,082.49 $2,824,300.00 $10,441,382.49 Other Investments (Note C) $2,447,477.24 $180,291.29 4,090,031.46 ------------- ----------- ------------- ------------- -------------- Total Investments 2,447,477.24 180,291.29 7,617,082.49 2,824,300.00 14,531,413.95 ------------- ----------- ------------- ------------- -------------- Money Market Fund 1.33 0.00 6,808.50 197,105.89 389,991.51 Contributions Receivable 0.00 0.00 15,669.07 0.00 24,005.14 Dividend Receivable 114,420.72 42,364.50 156,785.22 Member Loan Receivable 0.00 0.00 0.00 0.00 29,194.84 ------------- ----------- ------------- ------------- -------------- Total Assets $2,447,478.57 $180,291.29 $7,753,980.78 $3,063,770.39 $15,131,390.66 ============= =========== ============= ============= ============== LIABILITIES AND EQUITY - ---------------------- Acquisition Indebtedness (Note D) $ 0.00 $ 0.00 $ 0.00 $2,712,356.51 $ 2,712,356.51 Interest Payable 242,533.99 242,533.99 Plan Equity - Including Net Unrealized Depreciation or Appreciation of Investments (Note A) 2,447,478.57 180,291.29 7,753,980.78 108,879.89 12,176,500.16 ------------- ----------- ------------- ------------- -------------- Net Assets Available for Benefits 2,447,478.57 180,291.29 7,753,980.78 108,879.89 12,176,500.16 ------------- ----------- ------------- ------------- -------------- Total Plan Equity & Liabilities $2,447,478.57 $180,291.29 $7,753,980.78 $3,063,770.39 $15,131,390.66 ============= =========== ============= ============= ==============
The accompanying Notes are an integral part of these statements. F-5 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE PLAN YEAR ENDED DECEMBER 31, 1999
AMERICAN EURO INDEXED AMERICAN FUNDAMENTAL PACIFIC MEMBER LASALLE BOND BALANCED INVESTORS MFS GROWTH LOANS FUND FUND FUND FUND FUND FUND ------------------------------------------------------------------------------------------------- INVESTMENT INCOME: Interest Income $ 0.00 $ 8,108.74 $ 31,987.68 $ 5.89 $ 22.38 $ 144.94 $ 29.59 Dividend Income 0.00 20,596.80 0.00 22,985.61 92,335.25 153,320.55 17,054.01 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Investment Income 0.00 28,705.54 31,987.68 22,991.50 92,357.63 153,465.49 17,083.60 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Net Realized Gain/(Loss) on Disposition of Investments (Note F) 0.00 0.00 (11,665.63) (940.42) 16,349.84 197,294.91 12,430.08 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Unrealized Appreciation (Depreciation) of Investments (Notes A and E) 0.00 8.15 (10,789.08) (17,942.70) 87,558.18 124,449.65 108,238.77 ---------- ----------- ----------- ----------- ------------- ------------- ----------- CONTRIBUTIONS (NOTE A): Participants 0.00 29,738.52 44,857.14 69,254.91 222,974.49 166,777.96 68,755.68 Valley Gas Company 0.00 0.00 0.00 0.00 0.00 0.00 0.00 Loan Repayments (8,897.04) 0.00 257.69 99.80 1,511.27 1,264.54 970.59 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Contributions (8,897.04) 29,738.52 45,114.83 69,354.71 224,485.76 168,042.50 69,726.27 ---------- ----------- ----------- ----------- ------------- ------------- ----------- OTHER 4,017.20 2,683.07 0.14 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Net Additions (4,879.84) 61,135.28 54,647.94 73,463.09 420,751.41 643,252.55 207,478.72 ---------- ----------- ----------- ----------- ------------- ------------- ----------- WITHDRAWALS: Member Distributions 0.00 (2,643.98) (19,926.13) (665.85) (9,850.81) (136,563.76) (3,665.67) Participant Loans 28,775.00 0.00 (464.89) (1,273.11) (2,580.99) (2,191.73) (1,174.08) Interest Expense 0.00 0.00 0.00 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Total Deductions 28,775.00 (2,643.98) (20,391.02) (1,938.96) (12,431.80) (138,755.49) (4,839.75) ---------- ----------- ----------- ----------- ------------- ------------- ----------- Net Increase 23,895.16 58,491.30 34,256.92 71,524.13 408,319.61 504,497.06 202,638.97 PLAN EQUITY: Net Assets Available for Benefits Beginning of Year (Note A) 29,194.84 487,677.14 435,546.73 87,529.67 645,921.25 2,447,478.57 180,291.29 Inter-Plan Transfers (20,089.33) (85,022.29) 57,345.00 75,059.58 (778,701.85) 142,786.15 ---------- ----------- ----------- ----------- ------------- ------------- ----------- Net Assets Available for Benefits End of Year $53,090.00 $526,079.11 $384,781.36 $216,398.80 $1,129,300.44 $2,173,273.78 $525,716.41 ========== =========== =========== =========== ============= ============= ===========
The accompanying Notes are an integral part of these statements. F-6 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONTINUED FOR THE PLAN YEAR ENDED DECEMBER 31, 1999
VRI ESOP ENTERPRISE PUTNAM PUTNAM PUTNAM EMPLOYEE & ER SUSPENSE GROWTH BALANCED CONSERVATIVE GROWTH STOCK FUND FUND FUND FUND FUND FUND TOTAL ------------------------------------------------------------------------------------------------- INVESTMENT INCOME: Interest Income $ 519.06 $ 8,010.25 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 48,828.53 Dividend Income 476,005.24 162,876.75 2,716.59 346.68 0.00 1,807.37 950,044.85 -------------- ------------- ---------- --------- ------- ---------- -------------- Total Investment Income 476,524.30 170,887.00 2,716.59 346.68 0.00 1,807.37 998,873.38 Net Realized Gain/(Loss) on Disposition of Investments (Note F) 29,194.08 0.00 1,012.68 0.00 0.00 0.00 243,675.54 -------------- ------------- ---------- --------- ------- ---------- -------------- Unrealized Appreciation (Depreciation) of Investments (Notes A and E) 5,748,000.89 2,030,620.90 (625.84) (91.27) 0.93 (616.38) 8,068,812.20 -------------- ------------- ---------- --------- ------- ---------- -------------- CONTRIBUTIONS (NOTE A): Participants 86,527.88 0.00 5,182.84 104.72 135.98 231.39 694,541.51 Valley Gas Company 190,484.42 0.00 0.00 0.00 0.00 0.00 190,484.42 Loan Repayments 4,793.15 0.00 0.00 0.00 0.00 0.00 0.00 -------------- ------------- ---------- --------- ------- ---------- -------------- Total Contributions 281,805.45 0.00 5,182.84 104.72 135.98 231.39 885,025.93 -------------- ------------- ---------- --------- ------- ---------- -------------- OTHER 0.00 0.00 0.00 0.00 0.00 0.00 6,700.41 -------------- ------------- ---------- --------- ------- ---------- -------------- Total Net Additions 6,535,524.72 2,201,507.90 8,286.27 360.13 136.91 1,422.38 10,203,087.46 -------------- ------------- ---------- --------- ------- ---------- -------------- WITHDRAWALS: Member Distributions (183,458.52) 0.00 0.00 0.00 0.00 0.00 (356,774.72) Participant Loans (21,090.20) 0.00 0.00 0.00 0.00 0.00 0.00 Interest Expense 0.00 (242,533.99) 0.00 0.00 0.00 0.00 (242,533.99) -------------- ------------- ---------- --------- ------- ---------- -------------- Total Deductions (204,548.72) (242,533.99) 0.00 0.00 0.00 0.00 (599,308.71) -------------- ------------- ---------- --------- ------- ---------- -------------- Net Increase 6,330,976.00 1,958,973.91 8,286.27 360.13 136.91 1,422.38 9,603,778.75 PLAN EQUITY: Net Assets Available for Benefits Beginning of Year (Note A) 7,753,980.78 108,879.89 0.00 0.00 0.00 0.00 12,176,500.16 Inter-Plan Transfers 628,653.42 (97,486.98) 56,477.83 4,408.20 0.00 16,570.27 0.00 -------------- ------------- ---------- --------- ------- ---------- -------------- Net Assets Available for Benefits End of Year $14,713,610.20 $1,970,366.82 $64,764.10 $4,768.33 $136.91 $17,992.65 $21,780,278.91 ============== ============= ========== ========= ======= ========== ==============
The accompanying Notes are an integral part of these statements. F-7 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE PLAN YEAR ENDED DECEMBER 31, 1998
AMERICAN INDEXED AMERICAN FUNDAMENTAL MEMBER LASALLE BOND BALANCED INVESTORS LOANS FUND FUND FUND FUND -------------------------------------------------------------------------- INVESTMENT INCOME: Interest Income $ 0.00 $ 11,593.95 $ 0.00 $ 0.00 $ 0.72 Short-Term Capital Gains 0.00 0.00 4,263.03 4,912.11 52,114.22 Long-Term Capital Gains 0.00 0.00 0.00 0.00 0.00 Dividend Income 0.00 15,313.38 27,844.93 1,446.11 6,700.92 ----------- ----------- ----------- ---------- ----------- Total Investment Income 0.00 26,907.33 32,107.96 6,358.22 58,815.86 ---------- ----------- ----------- ---------- ----------- Net Realized Gain/(Loss) on Disposition of Investments (Note F) 0.00 0.00 (450.04) 95.93 (3,648.03) ---------- ----------- ----------- ---------- ----------- Unrealized Appreciation (Depreciation) of Investments (Notes A and E) 0.00 0.00 (13,417.81) (1,526.69) 16,001.18 ---------- ----------- ----------- ----------- ----------- CONTRIBUTIONS (NOTE A): Participants 0.00 25,770.61 50,094.22 67,552.95 219,960.61 Valley Gas Company 0.00 0.00 0.00 0.00 0.00 Loan Repayments (2,506.35) 0.00 262.57 0.00 657.78 ---------- ----------- ----------- ----------- ----------- Total Contributions (2,506.35) 25,770.61 50,356.79 67,552.95 220,618.39 ---------- ----------- ----------- ----------- ----------- OTHER 1,236.19 (1,452.70) 0.01 0.04 0.00 ---------- ----------- ----------- ----------- ----------- Total Net Additions (1,270.16) 51,225.24 68,596.91 72,480.45 291,787.40 ---------- ----------- ----------- ----------- ----------- WITHDRAWALS: Member Distributions 0.00 (574.68) (21,110.89) (1,738.41) (1,327.07) Participant Loans 18,965.00 0.00 0.00 0.00 (77.06) Interest Expense 0.00 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ----------- Total Deductions 18,965.00 (574.68) (21,110.89) (1,738.41) (1,404.13) ---------- ----------- ----------- ----------- ----------- Net Increase 17,694.84 50,650.56 47,486.02 70,742.04 290,383.27 PLAN EQUITY: Net Assets Available for Benefits Beginning of Year (Note A) 11,500.00 352,136.27 388,145.50 0.00 330,285.61 Inter-Plan Transfers 0.00 84,890.31 (84.79) 16,787.63 25,252.37 ---------- ----------- ----------- ----------- ----------- Net Assets Available for Benefits End of Year $29,194.84 $487,677.14 $435,546.73 $ 87,529.67 $645,921.25 ========== =========== =========== =========== ===========
The accompanying Notes are an integral part of these statements. F-8 Valley Resources, Inc. 401(K) Employee Stock Ownership Plan STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONTINUED FOR THE PLAN YEAR ENDED DECEMBER 31, 1998
EURO PACIFIC VRI ESOP MFS GROWTH EMPLOYEE & ER SUSPENSE FUND FUND STOCK FUND FUND TOTAL ------------------------------------------------------------------------------- INVESTMENT INCOME: Interest Income $ 1.33 $ 0.00 $ 6,251.79 $ 9,285.53 $ 27,133.32 Short-Term Capital Gains 88,835.45 6,773.46 0.00 0.00 156,898.27 Long-Term Capital Gains 0.00 0.00 0.00 0.00 0.00 Dividend Income 0.00 1,773.13 440,753.73 173,491.91 667,324.11 ------------- ----------- ------------- ------------ -------------- Total Investment Income 88,836.78 8,546.59 447,005.52 182,777.44 851,355.70 Net Realized Gain/(Loss) on Disposition of Investments (Note F) (620.11) (187.25) (37,364.40) 0.12 (42,173.78) ------------- ----------- ------------- ------------ -------------- Unrealized Appreciation (Depreciation) of Investments (Notes A and E) 339,151.89 7,055.56 364,249.56 187,800.45 899,314.14 ------------- ----------- ------------- ------------ -------------- CONTRIBUTIONS (NOTE A): Participants 177,761.08 72,788.55 99,544.27 0.00 713,472.29 Valley Gas Company 0.00 0.00 172,894.28 0.00 172,894.28 Loan Repayments 131.05 263.50 1,191.45 0.00 0.00 ------------- ----------- ------------- ------------ -------------- Total Contributions 177,892.13 73,052.05 273,630.00 0.00 886,366.57 ------------- ----------- ------------- ------------ -------------- OTHER 341.07 0.00 318.76 158.88 602.25 ------------- ----------- ------------- ------------ -------------- Total Net Additions 605,601.76 88,466.95 1,047,839.44 370,736.89 2,595,464.88 ------------- ----------- ------------- ------------ -------------- WITHDRAWALS: Member Distributions (81,034.78) 0.00 (177,552.09) 0.00 (283,337.92) Participant Loans (645.49) (1,193.10) (17,049.35) 0.00 0.00 Interest Expense 0.00 0.00 0.00 (378,980.39) (378,980.39) ------------- ----------- ------------- ------------ -------------- Total Deductions (81,680.27) (1,193.10) (194,601.44) (378,980.39) (662,318.31) ------------- ----------- ------------- ------------ -------------- Net Increase (Decrease) 523,921.49 87,273.85 853,238.00 (8,243.50) 1,933,146.57 PLAN EQUITY: Net Assets Available for Benefits Beginning of Year (Note A) 1,924,426.14 74,806.73 7,044,929.95 117,123.39 10,243,353.59 Inter-Plan Transfers (869.06) 18,210.71 (144,187.17) 0.00 0.00 ------------- ----------- ------------- ------------ -------------- Net Assets Available for Benefits End of Year $2,447,478.57 $180,291.29 $7,753,980.78 $ 108,879.89 $12,176,500.16 ============= =========== ============= ============ ==============
The accompanying Notes are an integral part of these statements. F-9 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE PLAN YEAR ENDED DECEMBER 31, 1997
STABLE INDEXED INDEXED VALUE MEMBER VALUE BOND EQUITY EQUITY LOANS OPTION FUND FUND FUND ----------------------------------------------------------------------------------- Investment Income: Interest Income $ 0.00 $ 18,053.76 $ 0.00 $ 0.00 $ 0.00 Short-Term Capital Gains 0.00 0.00 0.00 459.63 65,199.61 Long-Term Capital Gains 0.00 0.00 0.00 5,284.68 219,119.49 Dividend Reinvestment 0.00 0.00 24,552.60 3,938.93 23,328.87 ---------- ----------- ----------- ----------- ------------- Total Investment Income 0.00 18,053.76 24,552.60 9,683.24 307,647.97 ---------- ----------- ----------- ----------- ------------- Net Realized Gain/(Loss) on Disposition of Investments (Note F) 0.00 0.00 6,750.79 537.97 50,298.52 ---------- ----------- ----------- ----------- ------------- Unrealized Appreciation of Investments (Notes A and E) 0.00 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ------------- CONTRIBUTIONS (NOTE A): Participants 0.00 90,626.88 52,423.00 17,937.13 259,363.52 Valley Gas Company 0.00 0.00 33.08 132.36 99.28 ---------- ----------- ----------- ----------- ------------- Total Contributions 0.00 90,626.88 52,456.08 18,069.49 259,462.80 ---------- ----------- ----------- ----------- ------------- Other 0.00 7,314.74 6,713.92 (124.00) (60,499.63) ---------- ----------- ----------- ----------- ------------- Total Net Additions 0.00 115,995.38 90,473.39 28,166.70 556,909.66 ---------- ----------- ----------- ----------- ------------- Withdrawals: Member Distributions 0.00 (15,472.56) (3,404.64) 0.00 (44,973.99) Participant Loans 11,500.00 0.00 (1,647.90) (4,053.77) (1,603.87) Interest Expense 0.00 0.00 0.00 0.00 0.00 ---------- ----------- ----------- ----------- ------------- Total Deductions 11,500.00 (15,472.56) (5,052.54) (4,053.77) (46,577.86) ---------- ----------- ----------- ----------- ------------- Net Increase 11,500.00 100,522.82 85,420.85 24,112.93 510,331.80 ---------- ----------- ----------- ----------- ------------- PLAN EQUITY: Net Assets Available for Benefits Beginning of Year (Note A) 0.00 297,004.57 335,647.65 0.00 1,479,599.46 Inter-Plan Transfers 0.00 (45,391.13) (32,922.97) 306,172.71 (65,505.17) ---------- ----------- ----------- ----------- ------------- Net Assets Available for Benefits End of Year $11,500.00 $352,136.26 $388,145.53 $330,285.64 $1,924,426.09 ========== =========== =========== =========== =============
The accompanying Notes are an integral part of these statements. F-10 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - CONTINUED FOR THE PLAN YEAR ENDED DECEMBER 31, 1997
INTERNATNL VRI ESOP EQUITY EMPLOYEE & ER SUSPENSE FUND STOCK FUND FUND TOTAL ------------------------------------------------------------------------ INVESTMENT INCOME: Interest Income $ 0.00 $ 22,164.04 $ 14,417.57 $ 54,635.37 Short-Term Capital Gains 2,328.38 0.00 0.00 67,987.62 Long-Term Capital Gains 6,744.38 0.00 0.00 231,148.55 Dividend Reinvestment 1,028.08 425,731.00 182,671.00 661,250.48 ----------- ------------- ------------- -------------- Total Investment Income 10,100.84 447,895.04 197,088.57 1,015,022.02 ----------- ------------- ------------- -------------- Net Realized Gain/(Loss) on Disposition of Investments (Note F) (21,212.37) (12,305.44) 44,245.26 68,314.73 ----------- ------------- ------------- -------------- Unrealized Appreciation of Investments (Notes A and E) 0.00 438,632.15 156,235.87 594,868.02 ----------- ------------- ------------- -------------- CONTRIBUTIONS (NOTE A): Participants 6,248.76 175,304.63 0.00 601,903.92 Valley Gas Company 33.10 268,780.46 0.00 269,078.28 ----------- ------------- ------------- -------------- Total Contributions 6,281.86 444,085.09 0.00 870,982.20 ----------- ------------- ------------- -------------- Other 0.00 0.00 (3,698.49) (50,293.46) ----------- ------------- ------------- -------------- Total Net Additions (4,829.67) 1,318,306.84 393,871.21 2,498,893.51 ----------- ------------- ------------- -------------- WITHDRAWALS: Member Distributions 0.00 (445,532.53) 0.00 (509,383.72) Participant Loans (694.46) (3,500.00) 0.00 0.00 Interest Expense 0.00 0.00 (395,733.56) (395,733.56) ----------- ------------- ------------ -------------- Total Deductions (694.46) (449,032.53) (395,733.56) (905,117.28) ----------- ------------- ------------ -------------- Net Increase (5,524.13) 869,274.31 (1,862.35) 1,593,776.23 ----------- ------------- ------------ -------------- PLAN EQUITY: Net Assets Available for Benefits Beginning of Year (Note A) 0.00 6,418,339.94 118,985.74 8,649,577.36 Inter-Plan Transfers 80,330.86 (242,684.30) 0.00 0.00 ----------- ------------- ------------- -------------- Net Assets Available for Benefits End of Year $ 74,806.73 $7,044,929.95 $ 117,123.39 $10,243,353.59 =========== ============= ============= ==============
The accompanying Notes are an integral part of these statements. F-11 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS December 31, 1999, 1998 and 1997 NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES On January 1, 1997, the Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan (the "Plan") was formed through a merger of the Employees Savings Plan and the Union Employees Saving Plan. The Plan was offered to all eligible employees of Valley Resources, Inc. and its subsidiaries. Net assets of $4,980,043 were transferred into the Plan from the terminated plans. The financial statements of the Plan, have been prepared in accordance with generally accepted accounting principles as applied to Employee Benefit Plans. The following description of The Plan provides only general information. Participants should refer to the Plan agreement for a more complete description of the Plan's provisions. General - ------- The plan is a defined contribution plan covering all employees of Valley Resources, Inc. and its subsidiaries who satisfy the eligibility requirements. Contributions - Employee - ------------------------ A member may authorize a Basic Employee Contribution from 1% to the maximum amount permitted under the Internal Revenue Code ("IRC"), subject to the Compensation Deferral Limit, if applicable. Contributions - Employer Matches - -------------------------------- For each Plan Year, the Employer shall contribute to the Trust Fund an amount equal to fifty percent (50%) of Compensation Deferral Contributions up to four percent (4%) of Compensation as shall be determined by such Employer in its discretion and communicated to Employees prior to the beginning of such Plan Year. If the Plan acquires common stock of the Company with the proceeds of an Employer Securities Acquisition Loan, the Employer's obligation to make Matching Contributions with respect to Compensation Deferral Contributions invested in the Employer Stock Fund may be satisfied by crediting a Participant's Employer Account with Employer Securities equal in value to the Participant's Compensation Deferral Contributions. Contributions - Discretionary (ESOP) - ------------------------------------ The Employer may make discretionary contributions to the Trust Fund for each respective Plan year such amount as its Board of Directors shall determine; provided however, that such contribution for any year shall not exceed the greater of (i) fifteen percent (15%) of the aggregate compensation paid or accrued in such year to all Participants, or (ii) the maximum amount deductible from the Employer's income for such year under Section 404 of the Code. The Employer shall not have any obligation to make any contribution to the Plan with respect to any year for which the Board of Directors determines that it would not be in the Employer's best interest to contribute. If the Plan borrows money to acquire Employer Securities, the Employer shall contribute cash to the Plan at such times and such amounts as are necessary to enable the Plan to meet its obligations under any such loan; provided, however, that if dividends are paid on the Employer Securities, such dividends shall also be applied to such payments. F-12 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Participant Accounts - -------------------- A separate Account for each Participant shall be established in the Trust Fund consisting of the following subaccounts: (i) "Compensation Deferral Contribution Account" -- the portion of the Total Account attributable to Compensation Deferral Contributions. (ii) "Matching Contribution Account" -- the portion of the Total Account attributable to Matching Contributions, if any. (iii) "Employer Contribution Account" -- the portion of the Total Account attributable to Employer Contributions, if any. (iv) "Rollover Account" -- the portion of the Total Account attributable to Rollover Contributions, if any. Vesting - ------- Each Participant shall be fully vested in his Compensation Deferral Contribution Account and Rollover Account and any investment growth thereon at all times. Each Participant who was a participant in the Valley Gas Employee Stock Ownership Plan on December 31, 1996 shall be fully vested in the amount in his Employer Contribution Account. A Participant shall have a nonforfeitable and vested right to a percentage of the value of his Matching Contribution Account and Employer Contribution Account (collectively the "Employer Accounts") on and after the Effective Date determined in accordance with the following schedule: Years of Service % Vested ---------------- -------- Less than 1 year -0-% 1 10 2 20 3 30 4 40 5 60 6 80 7 100 A member will become fully vested in the Company's matching contribution as a result of disability, death or retirement. Participant Loans Receivable - ---------------------------- An eligible Participant may apply for a loan under hardship conditions in accordance with Internal Revenue Services rules and regulations and in accordance with procedures established by the Plan Administrator. The amount of a loan (when added to the Participant's outstanding indebtedness to the Plan, if any) may not exceed the lesser of (A) Fifty Thousand Dollars ($50,000) reduced by the excess (if any) of the Participant's highest outstanding balance of loans from the Plan during the twelve (12) month period ending on the day before the date on which the loan was made over the Participant's outstanding loan balance on the date of the loan, or (B) fifty percent (50%) of his vested Total Account. F-13 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Interest on any loan shall be a rate commercially reasonable at the time the loan is made. The interest rate shall remain unchanged for the duration of the loan. A loan shall be secured by the Participant's vested Account. A loan shall only be made in situations of financial need, as determined by the Plan Administrator. In applying for a loan, the Participant shall agree to repay the loan plus interest over a period not to exceed five (5) years, except that for a loan used to acquire any dwelling to be used within a reasonable time from the date of the loan as a principal residence of the Participant, the term of the loan may not exceed twenty (20) years. Payments of Benefits - -------------------- On termination of service due to disability, death or retirement, a participant may elect to receive either a lump sum payment equal to the value of the participants vested interest in his account, or equal quarterly or annual installments over a period not to exceed the life expectancy of the member or joint life expectancy of the member and spouse or other beneficiary. Valuation of Investments - ------------------------ Investments are held by a bank-administered trust fund and are stated at their approximate current market value. The difference between current market value and the cost of investments are reflected in the statement of income and changes in plan equity as unrealized appreciation or (depreciation) of fair value of investments. F-14 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE A - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (continued) Management Estimates - -------------------- In preparing the financial statements in conformity to GAAP (Generally Accepted Accounting Principles), management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities at the date of the financial statements and revenues and expenses during the reporting period. Actual results could differ from those estimates. NOTE B - SUMMARY OF PLAN PROVISIONS Effective Date: January 1, 1997. Plan Year: January 1 through December 31. Valuation Date: The Trustee will value the Fund on the last day of each quarter of each Plan year. Plan Administrator: Valley Resources, Inc. is the Plan's Administrator and will determine the benefits payable. Basis of Accounting: The financial statements of the Plan are prepared under the accrual method of accounting. Eligibility: Employees are eligible for membership quarterly on either January 1, Apri1 1, July 1 or October 1 of each Plan year following the date on which they have attained the age of 21 and completion of one year of service. Normal Retirement Date: The normal retirement age or date will be a member's 65th birthday. Forfeitures: A member who terminates his employment prior to becoming eligible for benefits and does not have a 100% vested right to Employer contributions forfeits the amounts not vested. Forfeitures of discretionary employer contributions will be used to reduce matching employee contributions thereafter required to be made by the employer. Plan Terminations: The Employer may terminate the Plan at any time. Although it has not expressed any intent to do so, the Plan has no definite termination date. In the event of termination of the Plan by the Employer all amounts credited to participants accounts will vest. F-15 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE C - INVESTMENTS Investments Investments are comprised of the following funding options available to participants of the Plan: I. LaSalle Income Plus Fund The fund investment objective is to obtain competitive fixed income returns in different interest rate environments. The fund has been developed to preserve principal, maximize income and provide a high degree of liquidity without sacrificing credit quality. II. American Indexed Bond Fund The fund's investment objective is to provide as high a level of current income as is consistent with the preservation of capital. Normally, the fund invests the majority of its assets in bonds and debt securities rated A and above, including securities issued by the U.S. and other governments and securities backed by mortgages and other assets. The fund may also invest significantly in high-yield, high-risk bonds. III. American Balanced Fund The investment objectives of the fund are: (1) conservation of capital, (2) current income, and (3) long-term growth of capital and income. The fund approaches the management of its investments as if they constituted the complete investment program of the prudent investor. The fund invests primarily in a broad range of securities, including stocks and bonds (rated Baa or BBB or better by Moody's Investors Service, Inc. or Standard & Poor's Corporation). The fund also invests in securities issued and guaranteed by the U.S. government. Normally, the fund will maintain at least 50% of the value of its assets in common stocks and at least 25% of the value of its assets in debt securities. The fund may also invest in cash or cash equivalents of any issuer to any extent deemed appropriate. The extent of the fund's cash position will depend on market conditions, fund purchases and redemptions, and other factors. F-16 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 Notes C - INVESTMENTS (continued) IV. Fundamental Investors Fund The fund's investment objective is to achieve long-term growth of capital and income. It invests primarily in common stocks or securities convertible into common stocks. The fund may also invest in cash or cash equivalents of any issuer to any extent deemed appropriate. the extent of the fund's cash position will depend on market conditions, fund purchases and redemptions, and other factors. For example, in response to abnormal market conditions, the fund may invest substantially in cash or cash equivalents. This may detract form the achievement of the fund's objective over the short term, or may protect the fund during a market downturn. V. MFS Fund The fund's investment objective is to provide long-term growth of capital and future income. Any investment involves risk and there can be no assurance that the Fund will achieve its investment objective. The portfolio securities of the Fund are selected by a committee of investment research analysts. This committee includes investment analysts employed not only by the Adviser but also by MFS International (U.K.) Limited, a wholly owned subsidiary of MFS. The Fund's assets are allocated among industries by the analysts acting together as a group. Individual analysts are then responsible for selecting what they view as the securities best suited to meet the Fund's investment objective within their assigned industry responsibility. VI. Euro-Pacific Growth Fund The fund's investment objective is to achieve long-term growth of capital by investing in securities of issuers domiciled outside the U.S. Normally, the fund seeks to achieve this investment objective by investing primarily in equity securities of issuers domiciled in Europe or the Pacific Basin. VII. Valley Resources, Inc. Employee Stock Fund The Valley Resources Employee Stock Fund is not a mutual fund. The Fund is invested primarily in shares of common stock of Valley Resources, Inc. ("Valley Resources Common Stock"). The Fund will also invest a portion of its assets in cash and cash equivalents for liquidity purposes only. VIII. Enterprise Growth Fund The fund's investment objective is to achieve growth of principle by investing predominately in stocks of giant U.S. corporations which are experiencing above average growth of revenues and earnings and are expected to continue to do so in the future. Income is not an objective. F-17 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 Notes C - INVESTMENTS (continued) IX. Putnam Asset Allocation Fund: Conservative The fund's investment objective is conservative asset allocation with income as the primary objective (approximately 80% bonds and cash equivalents and 20% stocks). This fund invests in a combination of large company U.S. and non-U.S. stocks, U.S. Treasury and corporate bonds, and cash equivalents. X. Putnam Asset Allocation Fund: Balanced The fund's investment objective is balanced asset allocation with income and growth of principal as dual objectives (approximately 55% stocks and 45% bonds and cash equivalents). This fund invests in a combination of large company U.S. and non-U.S. stocks, U.S. Treasury and corporate bonds and cash equivalents. XI. Putnam Asset Allocation Fund: Growth The fund's investment objective is growth-oriented asset allocation with growth of principal as the primary objective (approximately 80% stocks and 20% bonds and cash equivalents). This fund invests in a combination of large company U.S. and non-U.S. stocks, U.S. Treasury and corporate bonds, and cash equivalents. A member shall direct the Trustee with respect to the investment of his account in each fund. The Plan administrator has investment discretion attributable to employer contributions. Employer contributions are invested in the Valley Resources stock fund. Dividends, interest and contributions that have yet to be invested in that particular fund's assets are temporarily invested in money market accounts. F-18 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE C - INVESTMENTS (continued) The number of participants in each fund was as follows:
December 31, 1999 ----------------- LaSalle Fund 53 American Indexed Bond Fund 89 American Balanced Fund 85 Fundamental Investor Fund 152 MFS Fund 157 Euro-Pacific Growth Fund 104 Valley Resources, Inc. Employee Stock Fund 157 Enterprise Growth Fund 13 Putnam Asset Allocation: Conservative 2 Putnam Asset Allocation: Balanced 1 Putnam Asset Allocation: Growth 5
December 31, 1998 ----------------- LaSalle Fund 58 American Indexed Bond Fund 97 American Balanced Fund 84 Fundamental Investor Fund 151 MFS Fund 175 Euro-Pacific Growth Fund 102 Valley Resources, Inc. Employee Stock Fund 155
December 31, 1997 ----------------- MainStay Stable Value 46 MainStay Institutional Indexed Bond Fund 78 MainStay Institutional Indexed Equity Fund 38 MainStay Institutional Value Equity Fund 152 Warburg Pincus International Fund 26 Valley Resources, Inc. Employee Stock Fund 134
The total number of participants in the Plan was less than the sum of the number of participants shown above because many were participating in more than one fund. Amounts contributed to the participants' accounts by the Company are taxable to the participants in the year of distribution. Contributions made by participants are deductible for Federal income tax purposes up to specified limits. F-19 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE D - ACQUISITION INDEBTEDNESS The Plan may direct the Trustee to incur acquisition loans to finance the acquisition of Valley Resources, Inc. securities or to repay a prior acquisition loan. If the Plan borrows money, the loan and any related interest shall be paid first from interest and dividends received from unallocated assets and secondly from additional cash contributions from the Company. At December 31, 1999 and 1998, the Plan had outstanding borrowings of $2,712,357, from Valley Resources, Inc. that were used to finance the acquisition of Valley Resources, Inc. securities. These borrowings are directly related to bank-financed line credit held by Valley Resources, Inc. which has been refinanced and is due March 31, 2007. The Plan is responsible for repayment of principal and interest at a fixed rate which is the Cost of Funds Rate plus three quarter percent per annum. Unallocated assets have been pledged as collateral against acquisition indebtedness. The borrowings mature as follows: year end March 31, 1999 through March 31, 2006, $150,000 per year with a final installment March 31, 2007, $1,792,200. Shares released from unallocated to allocated status are based upon a ratio of interest and principal paid in the current year over interest and principal paid plus amounts to be paid in the future or in proportion to principal payments on such loan if the Acquisition loan allows for annual payments that are not less rapid at any time than level annual payments of such amounts for ten years. NOTE E - NET UNREALIZED APPRECIATION (DEPRECIATION) OF PLAN ASSETS
AMERICAN EURO INDEXED AMERICAN FUNDAMENTAL PACIFIC VRI LASALLE BOND BALANCED INVESTORS MFS GROWTH EMPLOYEE & ER FUND FUND FUND FUND FUND FUND STOCK FUND ------------------------------------------------------------------------------------------ Balance at Jan. 1, 1997 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Change for the year 1997 0.00 0.00 0.00 0.00 0.00 0.00 438,632.15 ----------- ----------- ----------- ----------- ----------- ----------- ------------- Balance at Dec. 31, 1997 0.00 0.00 0.00 0.00 0.00 0.00 438,632.15 Change for the year 1998 0.00 (13,417.81) (1,526.69) 16,001.18 339,151.89 7,055.56 364,249.56 ----------- ----------- ----------- ----------- ----------- ----------- ------------- Balance at Dec. 31, 1998 0.00 (13,417.81) (1,526.69) 16,001.18 339,151.89 7,055.56 802,881.71 Change for the year 1999 8.15 (10,789.08) (17,942.70) 87,558.18 124,449.65 108,238.77 5,748,000.89 ----------- ----------- ----------- ----------- ----------- ----------- ------------- Balance at Dec. 31, 1999 $ 8.15 $(24,206.89) $(19,469.39) $103,559.36 $463,601.54 $115,294.33 $6,550,882.60 =========== =========== =========== =========== =========== =========== =============
ESOP ENTERPRISE PUTNAM PUTNAM PUTNAM SUSPENSE GROWTH BALANCED CONSERVATIVE GROWTH FUND FUND FUND FUND FUND TOTAL ------------------------------------------------------------------------------- Balance at Jan. 1, 1997 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 $ 0.00 Change for the year 1997 156,235.87 0.00 0.00 0.00 0.00 594,868.02 ----------- --------- -------- ------- -------- ------------- Balance at Dec. 31, 1997 156,235.87 0.00 0.00 0.00 0.00 594,868.02 Change for the year 1998 187,800.45 0.00 0.00 0.00 0.00 899,314.14 ------------- --------- -------- ------- -------- ------------- Balance at Dec. 31, 1998 344,036.32 0.00 0.00 0.00 0.00 1,494,182.16 Change for the year 1999 2,030,620.90 (625.84) (91.27) 0.93 (616.38) 8,068,812.20 ------------- --------- -------- ------- -------- ------------- Balance at Dec. 31, 1999 $2,374,657.22 $ (625.84) $ (91.27) $ 0.93 $(616.38) $9,562,994.36 ============= ========= ======== ======= ======== =============
F-20 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE F - NET REALIZED GAIN (LOSS) ON DISPOSITION OF PLAN ASSETS
YEAR ENDED DECEMBER 31, 1999 -------------------------------------------------------------------------------------------------------- AMERICAN EURO INDEXED AMERICAN FUNDAMENTAL PACIFIC VRI ENTERPRISE BOND BALANCED INVESTORS MFS GROWTH EMPLOYEE & ER GROWTH FUND FUND FUND FUND FUND STOCK FUND FUND TOTAL -------------------------------------------------------------------------------------------------------- Amount Realized $220,901.60 $28,444.48 $149,089.22 $1,061,858.97 $70,618.73 $380,826.28 $16,185.01 $1,927,924.29 Cost at Carrying Value 232,567.23 29,384.90 132,739.38 864,564.06 58,188.65 351,632.20 15,172.33 1,684,248.75 ----------- ---------- ----------- ------------- ---------- ----------- ---------- ------------- Net Realized Gain(Loss) $(11,665.63) $ (940.42) $ 16,349.84 $ 197,294.91 $12,430.08 $ 29,194.08 $ 1,012.68 $ 243,675.54 =========== ========== =========== ============= ========== =========== ========== =============
YEAR ENDED DECEMBER 31, 1998 -------------------------------------------------------------------------------------------------------- AMERICAN EURO INDEXED AMERICAN FUNDAMENTAL PACIFIC VRI ESOP BOND BALANCED INVESTORS MFS GROWTH EMPLOYEE & ER SUSPENSE FUND FUND FUND FUND FUND STOCK FUND FUND TOTAL -------------------------------------------------------------------------------------------------------- Amount Realized $33,547.64 $11,194.76 $ 97,413.17 $159,401.98 $4,543.77 $240,234.41 $0.75 $546,336.48 Cost at Carrying Value 33,997.68 11,098.83 101,061.20 160,022.09 4,731.02 277,598.81 0.63 588,510.26 ----------- ---------- ----------- ----------- --------- ----------- ----- ----------- Net Realized Gain(Loss) $ (450.04) $ 95.93 $ (3,648.03) $ (620.11) $ (187.25) $(37,364.40) $0.12 $(42,173.78) =========== ========== =========== =========== ========= =========== ===== ===========
YEAR ENDED DECEMBER 31, 1997 ------------------------------------------------------------------------------------------------ INDEXED INDEXED VALUE INTERNATNL VRI ESOP BOND EQUITY EQUITY EQUITY EMPLOYEE & ER SUSPENSE FUND FUND FUND FUND STOCK FUND FUND TOTAL ------------------------------------------------------------------------------------------------ Amount Realized $517,097.34 $349,860.85 $2,130,563.97 $ 78,499.51 $751,161.50 $261,942.00 $4,089,125.17 Cost at Carrying Value 510,346.55 349,322.88 2,080,265.45 99,711.88 763,466.94 217,696.74 4,020,810.44 ----------- ----------- ------------- ----------- ----------- ----------- ------------- Net Realized Gain (Loss) $ 6,750.79 $ 537.97 $ 50,298.52 $(21,212.37) $(12,305.44) $ 44,245.26 $ 68,314.73 =========== =========== ============= =========== =========== =========== =============
F-21 Valley Resources, Inc. 401-(k) Employee Stock Ownership Plan NOTES TO FINANCIAL STATEMENTS - CONTINUED December 31, 1999, 1998 and 1997 NOTE G - TAX STATUS OF PLAN The Internal Revenue Service has determined and informed the Company by a letter dated July 28, 1998 and management believes that the Plan and related trust are currently designed and being operated in accordance with applicable sections of the Internal Revenue Code. NOTE H - TRANSFER OF PLAN ASSETS On December 31, 1997, the Plan Administrator directed the sale of all plan assets to be transferred via wire to the Wilmington Trust Company. Prior to the transfer, these investments were converted to cash. These funds were all received by Wilmington Trust Company on January 1, 1998. This transfer was made as a result of a change in custodianship of assets. All assets were placed into like/kind funds. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. VALLEY RESOURCES 401-(k) EMPLOYEE STOCK OWNERSHIP PLAN S/S. PARTRIDGE ----------------------------------------- S. Partridge Vice President, Chief Financial Officer, Secretary and Treasurer June 27, 2000 F-22 Exhibit 24d ----------- Consent of Independent Certified Public Accountants --------------------------------------------------- We have issued our report dated June 9, 2000, accompanying the financial statements of Valley Resources, Inc. 401(k)Employee Stock Ownership Plan contained in the Annual Report on Form 11-K for the year ended December 31, 1999. We hereby consent to the incorporation by reference of said report in the Valley Resources, Inc. 401(k) Employee Stock Ownership Plan Registration Statement on Form S-8/S-3 (File No. 33-19259). S/Grant Thornton LLP ----------------------------- GRANT THORNTON LLP Boston, Massachusetts June 26, 2000 -----END PRIVACY-ENHANCED MESSAGE-----