-----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, KWbnT0e76V4c+cVuayM9noS/O34ZPBvoWvlET4mpcdINXBYUuVW3NEuUQStadWaE nkIfvJHmo71i2ipF/GEBWg== 0000927946-99-000098.txt : 19990630 0000927946-99-000098.hdr.sgml : 19990630 ACCESSION NUMBER: 0000927946-99-000098 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19981231 FILED AS OF DATE: 19990629 FILER: COMPANY DATA: COMPANY CONFORMED NAME: DELCO REMY INTERNATIONAL INC CENTRAL INDEX KEY: 0001046859 STANDARD INDUSTRIAL CLASSIFICATION: MOTOR VEHICLE PARTS & ACCESSORIES [3714] IRS NUMBER: 351909253 STATE OF INCORPORATION: DE FISCAL YEAR END: 0731 FILING VALUES: FORM TYPE: 11-K SEC ACT: SEC FILE NUMBER: 001-13683 FILM NUMBER: 99654900 BUSINESS ADDRESS: STREET 1: 2902 ENTERPRISE DRIVE CITY: ANDERSON STATE: IN ZIP: 46013 BUSINESS PHONE: 7657786499 MAIL ADDRESS: STREET 1: 2902 ENTERPRISE DRIVE CITY: ANDERSON STATE: IN ZIP: 46013 11-K 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form 11-K Annual Report 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 [X] Transitional report pursuant to Section 15(d) of the Securities Exchange Act of 1934 For the transition period from August 1, 1998 to December 31, 1998 Commission file number: 333-69713 A. Full title of the plan and the address of the plan, if different from that of the issuer named below: Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States(1) B. Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: Delco Remy International, Inc. 2902 Enterprise Drive Anderson, Indiana 46013 (1) Effective as of August 1, 1998, the "Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States" changed from a fiscal plan year ending July 31 to a calendar plan year ending December 31. Because the initial Form 11-K filing was filed concurrently with the Form S-8 Registration Statement for the Plan on or about December 23, 1998, this transitional report was required for the short plan year ending December 31, 1998. REQUIRED INFORMATION A. Financial Statements and Schedules: Report of Independent Auditors Statement of Net Assets Available for Benefits Statement of Changes in Net Assets Available for Benefits Notes to Financial Statements Schedule of Assets Held for Investment Purposes Schedule of Reportable Transactions B. Exhibits Consent of Independent Auditors SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees (or other persons who administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned hereto duly authorized. Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States(2) (Name of Plan) Date June 29, 1999 Delco Remy America, Inc., Administrator By: /s/ Roderick English ----------------------------------------- Roderick English, Senior Vice President Human Resources and Communications (2) See footnote 1, above. Financial Statements and Schedules The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States Five months ended December 31, 1998 and years ended July 31, 1998 and 1997 with Report of Independent Auditors The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States Financial Statements and Schedules Five months ended December 31, 1998 and years ended July 31, 1998 and 1997 Contents Report of Independent Auditors .......................................1 Financial Statements Statements of Net Assets Available for Benefits.......................2 Statements of Changes in Net Assets Available for Benefits............4 Notes to Financial Statements.........................................7 Schedules Schedule of Assets Held for Investment Purposes......................13 Schedule of Reportable Transactions..................................14 Report of Independent Auditors Plan Administrator The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States We have audited the accompanying statements of net assets available for benefits of the Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States as of December 31, 1998 and July 31, 1998 and 1997, and the related statements of changes in net assets available for benefits for the five months ended December 31, 1998 and the years ended July 31, 1998 and 1997. 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 net assets available for benefits of the Plan at December 31, 1998 and July 31, 1998 and 1997 and the changes in its net assets available for benefits for the five months ended December 31, 1998 and the years ended July 31, 1998 and 1997, in conformity with generally accepted accounting principles. Our audits were performed for the purpose of forming an opinion on the financial statements taken as a whole. The accompanying supplemental schedules of assets held for investment purposes as of December 31, 1998 and reportable transactions for the five months then ended, are presented for purposes of additional analysis and are not a required part of the financial statements but are supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. These supplemental schedules are the responsibility of the Plan's management. The Fund Information in the statements of net assets available for benefits and the statements of changes in net assets available for benefits is presented for purposes of additional analysis rather than to present the net assets available for benefits and changes in net assets available for benefits for each fund. The supplemental schedules and Fund Information have been subjected to the auditing procedures applied in our audits of the financial statements and, in our opinion, are fairly stated in all material respects in relation to the financial statements taken as a whole. /s/ Ernst & Young LLP May 21, 1999 The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States
Statement of Net Assets Available for Benefits, with Fund Information December 31, 1998 Fund Information ------------------------------------------------------------------------------------------------------------- Vanguard Vanguard Money Fixed Market Income Prime Securities Fidelity Portfolio Short-Term Fidelity Vanguard Emerging Fidelity Templeton Reserves, Corporate Balanced Index 500 Growth Contra Foreign Inc. Portfolio Fund Trust Fund Fund Fund Loan Fund Total ------------------------------------------------------------------------------------------------------------- Assets: Investments, at fair value: $2,697,652 $376,212 $1,482,791 $3,695,901 $2,687,978 $401,079 $112,225 $508,941 $11,962,779 Net assets available ------------------------------------------------------------------------------------------------------------- for benefits $2,697,652 $376,212 $1,482,791 $3,695,901 $2,687,978 $401,079 $112,225 $508,941 $11,962,779 ============================================================================================================= See accompanying notes.
The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States
Statement of Net Assets Available for Benefits, with Fund Information July 31, 1998 Fund Information ------------------------------------------------------------------------------------- Vanguard Vanguard Fixed Money Income Market Securities Prime Short-Term Fidelity Vanguard Fidelity Fidelity Portfolio Corporate Balanced Index 500 Emerging Contra Reserves, Inc. Portfolio Fund Trust Growth Fund Fund ------------------------------------------------------------------------------------- Assets: Investments, at fair value: $2,561,671 $319,475 $1,382,429 $3,614,451 $2,383,541 $ 352,011 Participant contribution receivable - - - - - - ------------------------------------------------------------------------------------- Net assets available for benefits $2,561,671 $319,475 $1,382,429 $3,614,451 $2,383,541 $ 352,011 ===================================================================================== Templeton Foreign Temporary Fund Loan Fund Fund Total ------------------------------------------------------------ Assets: Investments, at fair value: $ 124,383 $ 434,227 $ - $11,172,188 Participant contribution receivable - - 74,713 74,713 ------------------------------------------------------------ Net assets available for benefits $ 124,383 $ 434,227 $ 74,713 $11,246,901 ============================================================
July 31, 1997 Fund Information ------------------------------------------------------------------------------------- Vanguard Vanguard Fixed Money Income Market Securities Prime Short-Term Fidelity Vanguard Fidelity Fidelity Portfolio Corporate Balanced Index 500 Emerging Contra Reserves, Inc. Portfolio Fund Trust Growth Fund Fund ------------------------------------------------------------------------------------- Assets: Investments, at fair value: $2,791,887 $252,244 $963,126 $2,274,089 $ 1,537,641 $ 206,182 Participant contribution receivable - - - - - - ------------------------------------------------------------------------------------- 2,791,887 252,244 963,126 2,274,089 1,537,641 206,182 Liabilities: Refund of participant contributions payable - - - - - - ------------------------------------------------------------------------------------- Net assets available for benefits $2,791,887 $252,244 $963,126 $2,274,089 $ 1,537,641 $ 206,182 ===================================================================================== Templeton Foreign Temporary Fund Loan Fund Fund Total ---------------------------------------------------------------- Assets: $ 117,754 $ 274,381 $ - $ 8,417,304 Investments, at fair value: - - 74,713 74,713 Participant contribution receivable ---------------------------------------------------------------- 117,754 274,381 74,713 8,492,017 Liabilities: Refund of participant contributions payable - - (68,129) (68,129) Net assets available for benefits ---------------------------------------------------------------- $ 117,754 $ 274,381 $ 6,584 $ 8,423,888 ================================================================ See accompanying notes.
Statement of Changes in Net Assets Available for Benefits, with Fund Information Five months ended December 31, 1998 Fund Information ------------------------------------------------------------------------------------- Vanguard Vanguard Fixed Money Income Market Securities Prime Short-Term Fidelity Vanguard Fidelity Fidelity Portfolio Corporate Balanced Index 500 Emerging Contra Reserves, Inc. Portfolio Fund Trust Growth Fund Fund ------------------------------------------------------------------------------------- Additions: Employee voluntary contributions $ 182,984 $ 35,302 $ 118,850 $ 233,110 $ 152,275 $ 38,399 Rollover Contributions - - 2,149 14,732 14,732 - Interest and dividends 55,776 8,813 118,381 35,367 157,416 8 ------------------------------------------------------------------------------------- Total additions 238,760 44,115 239,380 283,209 324,423 38,407 Deductions: Benefits paid to participants 235,409 22,731 148,611 272,681 234,171 26,120 Administrative expenses 3,256 438 1,707 4,305 2,818 - ------------------------------------------------------------------------------------- Total deductions 238,665 23,169 150,318 276,986 236,989 26,120 ------------------------------------------------------------------------------------- 95 20,946 89,062 6,223 87,434 12,287 Interfund transfers 135,886 35,299 18,165 (223,517) 37,556 (3,026) Net appreciation (depreciation) in fair value of investments - 492 (6,865) 298,744 179,447 39,807 ------------------------------------------------------------------------------------- Net increase (decrease) 135,981 56,737 100,362 81,450 304,437 49,068 Net assets available for benefits: Beginning of period 2,561,671 319,475 1,382,429 3,614,451 2,383,541 352,011 ------------------------------------------------------------------------------------- End of period $2,697,652 $ 376,212 $1,482,791 $3,695,901 $2,687,978 $401,079 ===================================================================================== Templeton Foreign Temporary Fund Loan Fund Fund Total ------------------------------------------------------------ Additions: $ 21,639 $ - $ - $ 782,559 Employee voluntary contributions 7,010 - - 38,623 Rollover Contributions 12,416 14,272 - 402,449 Interest and dividends ------------------------------------------------------------ 41,065 14,272 - 1,223,631 Total additions Deductions: 5,071 41,770 - 986,564 Benefits paid to participants - - - 12,524 Administrative expenses ------------------------------------------------------------ 5,071 41,770 - 999,088 Total deductions ------------------------------------------------------------ 35,994 (27,498) - 224,543 (27,862) 102,212 (74,713) - Interfund transfers Net appreciation (depreciation) in fair (20,290) - 491,335 value of investments ------------------------------------------------------------ (12,158) 74,714 (74,713) 715,878 Net increase (decrease) Net assets available for benefits: 124,383 434,227 74,713 11,246,901 Beginning of period ------------------------------------------------------------ End of period $ 112,225 $508,941 $ - $11,962,779 ============================================================ See accompanying notes
The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States
Statement of Changes in Net Assets Available for Benefits, with Fund Information Year ended July 31, 1998 Fund Information ------------------------------------------------------------------------------------- Vanguard Vanguard Fixed Money Income Market Securities Prime Short-Term Fidelity Vanguard Fidelity Fidelity Portfolio Corporate Balanced Index 500 Emerging Contra Reserves, Inc. Portfolio Fund Trust Growth Fund Fund ------------------------------------------------------------------------------------- Additions: Employee voluntary contributions $ 770,617 $ 136,548 $ 393,933 $ 848,076 $ 546,101 $119,650 Rollover Contributions 24,409 730 10,903 14,595 13,444 622 Interest and dividends 144,204 19,191 129,058 58,853 358,283 304 ------------------------------------------------------------------------------------- Total additions 939,230 156,469 533,894 921,524 917,828 120,576 Deductions: Benefits paid to participants 698,314 122,743 114,191 311,813 159,133 75,888 Administrative expenses 6,612 709 2,818 6,896 4,574 - ------------------------------------------------------------------------------------- Total deductions 704,926 123,452 117,009 318,709 163,707 75,888 ------------------------------------------------------------------------------------- 234,304 33,017 416,885 602,815 754,121 44,688 Interfund transfers (464,520) 34,264 (29,441) 279,754 7,990 51,700 Net appreciation (depreciation) in fair value of investments - (50) 31,859 457,793 83,789 49,441 ------------------------------------------------------------------------------------- Net increase (decrease) (230,216) 67,231 419,303 1,340,362 845,900 145,829 Net assets available for benefits: Beginning of year 2,791,887 252,244 963,126 2,274,089 1,537,641 206,182 ------------------------------------------------------------------------------------- End of year $2,561,671 $ 319,475 $1,382,429 $3,614,451 $2,383,541 $352,011 ===================================================================================== Templeton Foreign Temporary Fund Loan Fund Fund Total ------------------------------------------------------------ Additions: Employee voluntary contributions $ 78,306 $ - $ 74,713 $ 2,967,944 Rollover Contributions 2,118 - - 66,821 Interest and dividends 12,298 26,878 - 749,069 ------------------------------------------------------------ Total additions 92,722 26,878 74,713 3,783,834 Deductions: Benefits paid to participants 28,368 33,221 - 1,543,671 Administrative expenses - - - 21,609 ------------------------------------------------------------ Total deductions 28,368 33,221 - 1,565,280 ------------------------------------------------------------ 64,354 (6,343) 74,713 2,218,554 Interfund transfers (39,352) 166,189 (6,584) - Net appreciation (depreciation) in fair value of investments (18,373) - - 604,459 ------------------------------------------------------------ Net increase (decrease) 6,629 159,846 68,129 2,823,013 Net assets available for benefits: Beginning of year 117,754 274,381 6,584 8,423,888 ------------------------------------------------------------ End of year $ 124,383 $434,227 $ 74,713 $ 11,246,901 ============================================================ See accompanying notes
The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States
Statement of Changes in Net Assets Available for Benefits, with Fund Information Year ended July 31, 1997 Fund Information ------------------------------------------------------------------------------------- Vanguard Vanguard Fixed Money Income Market Securities Prime Short-Term Fidelity Vanguard Fidelity Fidelity Portfolio Corporate Balanced Index 500 Emerging Contra Reserves, Inc. Portfolio Fund Trust Growth Fund Fund ------------------------------------------------------------------------------------- Additions: Employee voluntary contributions $ 890,551 $ 112,693 $ 305,739 $ 571,002 $ 492,978 $ 68,293 Rollover Contributions 525,325 31,000 52,952 196,130 135,901 19,206 Interest and dividends 148,535 11,495 33,225 31,681 3,556 286 ------------------------------------------------------------------------------------- Total additions 1,564,411 155,188 391,916 798,813 632,435 87,785 Deductions: Benefits paid to participants 1,025,173 35,626 168,340 211,030 171,321 19,938 Administrative expenses 6,171 443 1,540 3,188 2,628 - Participant contribution refunds - - - - - - ------------------------------------------------------------------------------------- Total deductions 1,031,344 36,069 169,880 214,218 173,949 19,938 ------------------------------------------------------------------------------------- 533,067 119,119 222,036 584,595 458,486 67,847 Interfund transfers (423,470) (24,050) (29,201) 282,666 (153,998) 103,524 Net appreciation in fair value of investments - 3,027 182,616 596,913 367,412 34,811 ------------------------------------------------------------------------------------- Net increase 109,597 98,096 375,451 1,464,174 671,900 206,182 Net assets available for benefits: Beginning of year 2,682,290 154,148 587,675 809,915 865,741 - ------------------------------------------------------------------------------------- End of year $2,791,887 $ 252,244 $ 963,126 $2,274,089 $1,537,641 $ 206,182 ===================================================================================== Templeton Foreign Temporary Fund Loan Fund Fund Total ----------------------------------------------------------- Additions: Employee voluntary contributions $ 49,042 $ - $ 74,713 $2,565,011 Rollover Contributions 19,276 - - 979,790 Interest and dividends 532 17,876 - 247,186 ----------------------------------------------------------- Total additions 68,850 17,876 74,713 3,791,987 Deductions: Benefits paid to participants 14,710 49,625 - 1,695,763 Administrative expenses - - - 13,970 Participant contribution refunds - - 68,129 68,129 ----------------------------------------------------------- Total deductions 14,710 49,625 68,129 1,777,862 ----------------------------------------------------------- 54,140 (31,749) 6,584 2,014,125 Interfund transfers 50,037 194,492 - - Net appreciation in fair value of investments 13,577 - - 1,198,356 ----------------------------------------------------------- Net increase 117,754 162,743 6,584 3,212,481 Net assets available for benefits: Beginning of year - 111,638 - 5,211,407 ----------------------------------------------------------- End of year $ 117,754 $ 274,381 $ 6,584 $8,423,888 =========================================================== See accompanying notes
The Delco Remy American Personal Savings Plan for Hourly-Rate Employees in the United States Notes to Financial Statements December 31, 1998 1. Significant Accounting Policies Investments Investments are maintained at Keycorp Investment Management and Trust Services ("Trustee"). Investments in mutual funds are valued at fair value based on the quoted market price as of the most recent valuation date at the end of the plan year. Participant loans are valued at fair value which is estimated. Dividends on mutual funds are recorded as investment income on the date received. Investment options, which invest in mutual funds as described below, are available to participants as follows: o Vanguard Money Market Prime Portfolio Reserves - This fund invests in Treasury Bills, commercial paper, certificates of deposit and other short-term securities with an average maturity of less than four months. o Vanguard Fixed Income Securities Short-Term Corporate Portfolio Fund - This fund invests in high quality, short-term bonds with an average maturity between one and three years. o Fidelity Balanced Fund - This fund invests in common stocks and corporate, government and agency bonds. o Vanguard Index 500 Trust - This fund invests in common stocks of large companies. o Fidelity Emerging Growth Fund - This fund invests primarily in stocks of developing companies that have demonstrated or are expected to achieve rapid growth in earnings and/or revenues. The Delco Remy American Personal Savings Plan for Hourly-Rate Employees in the United States Notes to Financial Statements (continued) 1. Significant Accounting Policies (continued) o Fidelity Contra Fund - This fund invests primarily in stocks of smaller companies that are undervalued. o Templeton Foreign Fund - This fund invests primarily in stocks of international companies consistency of bonds and other long-term debt instruments. The Temporary Fund serves an administrative function that temporarily holds funds received into the Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States (Plan) but not yet specifically allocated into the appropriate investment fund due to timing. Interest earned in this fund is allocated back to the other funds. Administrative Expenses Cash management fees are paid by the Plan. All other administrative expenses are paid by Delco Remy America, Inc. ("Company"). Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. 2. Description of Plan The Plan is a defined contribution plan which was established effective August 1, 1994 to provide retirement and other benefits to participants. The Plan covers substantially all hourly employees of the Company, who have attained seniority, which is defined in the applicable collective bargaining agreement. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA). Employees may make voluntary contributions to their account through periodic payroll deductions at rates from 1% to 25% of gross pay. In addition, participants may elect to contribute from 1% to 100% of their share of the Company profit sharing distribution. The profit sharing contribution and payroll deductions combined cannot exceed the maximum contribution limitations established annually by the Internal Revenue Service. 2. Description of Plan (continued) Participants may designate that their contributions be deposited in any of seven investment options designated by the Plan administrator. Participant contributions vest immediately. A participant may make a complete or partial hardship withdrawal of amounts held in his or her account. The withdrawal must be necessary in light of immediate and heavy financial needs of the participant. During the twelve months following a withdrawal, employee contributions are suspended. Participants may borrow from their accounts a minimum of $1,000 up to a maximum of the lesser of $50,000 or one-half of the vested account balance. Loans bear interest at the Plan Trustee's prime rate. Payments on the outstanding loans must be made at least quarterly and the repayment period can range from twelve months to five years, unless the loan is for the purchase or construction of the participant's principle residence, in which case the repayment period is ten years. The Company has the right to amend or terminate the Plan. More detailed information concerning the Plan may be found by consulting the Summary Plan Description which is available from the Plan Administrator. 3. Investments During the five months ended December 31, 1998 and the years ended July 31, 1998 and 1997, the Plan's investments in the various funds (including investments purchased, sold, as well as held during the year) appreciated (depreciated) in fair value as presented in the following table. The fair value of individual investments that represent 5% of more of plan assets are separately identified.
Net Appreciation (Depreciation) in Fair Value During Fair Value at Period End of Period ------------------------------------------------- Five months ended December 31, 1998: Fair value as determined by quoted market prices: Mutual funds: Vanguard Money Market Prime Portfolio Reserves, Inc. $ - $ 2,697,652 Vanguard Index 500 Trust 298,744 3,695,901 Fidelity Emerging Growth Fund 179,447 2,687,978 Fidelity Balanced Fund (6,865) 1,482,791 Fidelity Contra Fund 39,807 401,079 Templeton Foreign Fund (20,290) 112,225 Vanguard Fixed Income Securities Short-Term Corporate Portfolio 492 376,212 Fair value estimated: Participant loans - 508,941 ------------------------------------------------- $ 491,335 $ 11,962,779 ================================================= Year ended July 31, 1998: Fair value as determined by quoted market prices: Mutual funds: Vanguard Money Market Prime Portfolio Reserves, Inc. $ - $ 2,561,671 Vanguard Index 500 Trust 457,793 3,614,451 Fidelity Emerging Growth Fund 83,789 2,383,541 Fidelity Balanced Fund 31,859 1,382,429 Fidelity Contra Fund 49,441 352,011 Templeton Foreign Fund (18,373) 124,383 Vanguard Fixed Income Securities Short-Term Corporate Portfolio (50) 319,475 Fair value estimated: Participant loans - 434,227 ------------------------------------------------- $ 604,459 $ 11,172,188 =================================================
3. Investments (continued)
Net Appreciation (Depreciation) in Fair Value During Fair Value at Period End of Period ----------------------------------------------- Year ended July 31, 1997: Fair value as determined by quoted market prices: Mutual funds: Vanguard Money Market Prime Portfolio Reserves, Inc. $ - $ 2,791,887 Vanguard Index 500 Trust 596,913 2,274,089 Fidelity Emerging Growth Fund 367,412 1,537,641 Fidelity Balanced Fund 182,616 963,126 Fidelity Contra Fund 34,811 206,182 Templeton Foreign Fund 13,577 117,754 Vanguard Fixed Income Securities Short-Term Corporate Portfolio 3,027 252,244 Fair value estimated: Participant loans - 274,381 =============================================== $ 1,198,356 $ 8,417,304 ===============================================
4. Income Tax Status The Plan has received a determination letter from the Internal Revenue Service dated May 21, 1998 stating that the Plan is qualified under section 401(a) of the Internal Revenue Code (the "Code") and, therefore, the related trust is exempt from taxation. Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. The Plan Sponsor has indicated that it will take the necessary steps, if any, to maintain the Plan's qualified status. 5. Year 2000 (unaudited) The Plan Sponsor has determined that it will be necessary to take certain steps in order to ensure that the Plan's information systems are prepared to handle year 2000 dates. The Plan Sponsor is taking a two phase approach. The first phase addresses internal systems that must be modified or replaced to function properly. Both internal and external resources are being utilized to replace or modify existing software applications, and test the software and equipment for the year 2000 modifications. The Plan Sponsor anticipates substantially completing this phase of the project by June 1999. Costs associated with modifying software and equipment are not estimated to be significant and will be paid by the Plan Sponsor. 5. Year 2000 (unaudited) (continued) For the second phase of the project, Plan management established formal communications with its third party service providers to determine that they have developed plans to address their own year 2000 problems as they relate to the Plan's operations. All third party service providers have indicated that they will be year 2000 compliant by mid 1999. If modification of data processing systems of either the Plan, the Plan Sponsor, or its service providers are not completed timely, the year 2000 problem could have a material impact on the operations of the Plan. Plan management has not developed a contingency plan, because they are confident that all systems will be year 2000 ready. 6. Subsequent Event The Plan has elected to change the trustee effective January 1, 1999. Schedules The Delco Remy America Personal Savings Plan for Hourly-Rate Employees in the United States
Line 27a - Schedule of Assets Held for Investment Purposes December 31, 1998 EIN: 35-1909405 Plan Number: 002 (b) (c) (d) (e) Description of Investment Including Maturity Date, Rate of Identity of Issue, Borrower, Interest, Par or Current Lessor, or Similar Party Maturity Value Cost Value - ------------------------------------------------------------------------------------------------------- Mutual Funds: Vanguard Money Market Prime Portfolio Reserves, Inc. 2,697,652 units $ 2,697,652 $ 2,697,652 Vanguard Index 500 Trust 32,435 units 2,693,919 3,695,901 Fidelity Emerging Growth Fund 84,607 units 2,195,227 2,687,978 Fidelity Balanced Fund 90,635 units 1,340,498 1,482,791 Fidelity Contra Fund 20,447 units 297,902 401,079 Templeton Foreign Fund 13,376 units 133,105 112,225 Vanguard Fixed Income Securities Short-Term Corporate Portfolio 34,706 units 375,075 376,212 ------------------------------- 9,733,379 11,453,838 Participant loans Terms from 1 to 5 years with interest rates ranging from 9.25% to 10% - 508,941 ------------------------------- $ 9,733,379 $11,962,779 ===============================
The Delco Remy America Personal Savings Plan for Hourly Rate Employees in the United States
Line 27d - Schedule of Reportable Transactions Five months ended December 31, 1998 EIN: 35-1909405 Columns (e) and (f) not used as they are not applicable. Plan Number: 002 (h) Current Value (c) (d) (g) of Asset on (i) (a) (b) Purchase Selling Cost Transaction Net Identity of Party Involved Description of Asset Price Price of Asset Date Gain (Loss) - ------------------------------------------------------------------------------------------------------------------------------------ Category (iii) Vanguard Money Market Prime Mutual fund Portfolio Reserves, Inc. Purchases $ 685,921 $ - $ 685,921 $ 685,921 $ - Sales - 559,351 559,351 559,351 - Vanguard Index 500 Trust Mutual fund Purchases 417,909 - 417,909 417,909 - Sales - 635,698 523,387 635,698 112,311 Fidelity Emerging Growth Fund Mutual fund Purchases 556,152 - 556,152 556,152 - Sales - 432,125 388,834 432,125 43,291 Category: (i) Single transactions in excess of 5% of plan assets. (ii) Series of transactions other than securities transactions. (iii) Series of securities transactions. (iv) Transactions with or in conjunction with a person if any single transaction with that person was in excess of 5%. Note: There were no category (i), (ii), or (iv) transactions.
EX-23.1 2 CONSENT OF INDEPENDENT AUDITORS We consent to the incorporation by reference in Registration Statement (Form S-8) pertaining to The Delco Remy America Savings Plan for Hourly-Rate Employees in the United States of our report dated May 21, 1999 with respect to the financial statements of The Delco Remy America Savings Plan for Hourly-Rate Employees in the United States included in this Annual Report (Form 11-K) for the year ended December 31, 1998. /s/ Ernst & Young LLP Indianapolis, Indiana June 25, 1999 -----END PRIVACY-ENHANCED MESSAGE-----