-----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, DDAj0vlmaUp8dKYjwwtioUwu13IwoxE1WDnNRWH3/aQEYmdaQUfMFHRjfhI0/4mo 5K5erHn5IVe0r5aiXyKJbw== 0000950128-99-000833.txt : 19990630 0000950128-99-000833.hdr.sgml : 19990630 ACCESSION NUMBER: 0000950128-99-000833 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: CBS CORP CENTRAL INDEX KEY: 0000106413 STANDARD INDUSTRIAL CLASSIFICATION: TELEVISION BROADCASTING STATIONS [4833] IRS NUMBER: 250877540 STATE OF INCORPORATION: PA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 11-K SEC ACT: SEC FILE NUMBER: 001-00977 FILM NUMBER: 99654592 BUSINESS ADDRESS: STREET 1: 51 WEST 52ND STREET CITY: NEW YORK STATE: NY ZIP: 10019 BUSINESS PHONE: 2129754321 MAIL ADDRESS: STREET 1: 51 WEST 52ND STREET CITY: NEW YORK STATE: NY ZIP: 10019 FORMER COMPANY: FORMER CONFORMED NAME: WESTINGHOUSE ELECTRIC CORP DATE OF NAME CHANGE: 19920703 FORMER COMPANY: FORMER CONFORMED NAME: WESTINGHOUSE ELECTRIC & MANUFACTURING CO DATE OF NAME CHANGE: 19710510 11-K 1 CBS EMPLOYEE INVESTMENT FUND 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549-1004 FORM 11-K ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 1998 Commission File Number 1-977 CBS EMPLOYEE INVESTMENT FUND (Full title of the Plan) CBS CORPORATION 51 West 52nd Street New York, New York 10019 (Name of issuer of the securities held pursuant to the Plan and the address of its principal executive office) 2 CBS EMPLOYEE INVESTMENT FUND FINANCIAL STATEMENTS AS OF DECEMBER 31, 1998 AND 1997, AND SCHEDULES AS OF DECEMBER 31, 1998 (WITH INDEPENDENT AUDITORS' REPORT THEREON) 3 CBS EMPLOYEE INVESTMENT FUND TABLE OF CONTENTS
PAGE ---- Independent Auditors' Report 1 FINANCIAL STATEMENTS: Statements Of Net Assets Available For Benefits With Fund Information As of December 31, 1998 and 1997 2-3 Statements Of Changes In Net Assets Available For Benefits With Fund Information For the years ended December 31, 1998 and 1997 4-6 Notes to Financial Statements 7-16 SUPPLEMENTAL SCHEDULES: Item 27a - Schedule of Assets Held for Investment Purposes As of December 31, 1998 S1-S12 Item 27d - Schedule of Reportable Transactions For the year ended December 31, 1998 S13-S14
All other schedules required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974 (ERISA) have been omitted because there is no information to report. 4 INDEPENDENT AUDITORS' REPORT To the Plan Administrator of the CBS Employee Investment Fund We have audited the accompanying statements of net assets available for benefits with fund information of the CBS Employee Investment Fund ("the Plan") as of December 31, 1998 and 1997, and the related statements of changes in net assets available for benefits with fund information for the years then ended. 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 as of December 31, 1998 and 1997, and the changes in net assets available for benefits for the years ended December 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 supplemental schedules of assets held for investment purposes and reportable transactions are presented for the purpose of additional analysis and are not a required part of the basic 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. The supplemental schedules have been subjected to the auditing procedures applied in the audit of the basic financial statements for the year ended December 31, 1998, and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. June 4, 1999 /s/ MITCHELL & TITUS, LLP 5 CBS EMPLOYEE INVESTMENT FUND STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INFORMATION As of December 31, 1998 (in thousands)
S&P Medium Short 500 Stable Company Long Term Term Term Index Value Stock Life Cycle Life Cycle Life Cycle Fund Fund Fund Fund Fund Fund ---- ---- ---- ---- ---- ---- ASSETS ------ Cash $ -- $ -- $ -- $ -- $ -- $ -- Investments, at fair value 468,061 6,281 105,769 10,534 56,423 6,744 Investments, at contract value -- 434,357 -- -- -- -- Loans to participants -- -- -- -- -- -- Interest and dividends receivable -- 104 12 -- -- -- Receivable from brokers for unsettled trades -- -- -- -- -- -- ---------- ---------- ---------- ---------- ---------- ---------- Total assets 468,061 440,742 105,781 10,534 56,423 6,744 ---------- ---------- ---------- ---------- ---------- ---------- LIABILITIES ----------- Payable to brokers for unsettled trades 29 119 -- 10 2 4 Other liabilities 6 63 -- 1 3 1 ---------- ---------- ---------- ---------- ---------- ---------- Total liabilities 35 182 -- 11 5 5 ---------- ---------- ---------- ---------- ---------- ---------- Net assets available for benefits $ 468,026 $ 440,560 $ 105,781 $ 10,523 $ 56,418 $ 6,739 ========== ========== ========== ========== ========== ==========
Value Int'l U.S. Small Cap. Self Equity Loan Equity U.S. Equity Directed Index Provision Fund Fund Account Fund Fund Total ---- ---- ------- ---- ---- ----- ASSETS ------ Cash $ -- $ 1,425 $ -- $ -- $ -- $ 1,425 Investments, at fair value 24,126 15,616 10,859 5,567 6 709,986 Investments, at contract value -- -- -- -- -- 434,357 Loans to participants -- -- -- -- 16,079 16,079 Interest and dividends receivable -- -- -- -- -- 116 Receivable from brokers for unsettled trades -- -- 814 -- -- 814 ---------- ---------- ---------- ---------- ---------- ---------- Total assets 24,126 17,041 11,673 5,567 16,085 1,162,777 ---------- ---------- ---------- ---------- ---------- ---------- LIABILITIES ----------- Payable to brokers for unsettled trades 31 1,755 1,043 2 -- 2,995 Other liabilities -- -- 108 -- 2 184 ---------- ---------- ---------- ---------- ---------- ---------- Total liabilities 31 1,755 1,151 2 2 3,179 ---------- ---------- ---------- ---------- ---------- ---------- Net assets available for benefits $ 24,095 $ 15,286 $ 10,522 $ 5,565 $ 16,083 $1,159,598 ========== ========== ========== ========== ========== ==========
The accompanying notes are an integral part of these financial statements. -2- 6 CBS EMPLOYEE INVESTMENT FUND STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INFORMATION As of December 31, 1997 (in thousands)
Stable Company Loan Equity Value Stock Balanced Provision Fund A Fund Fund Fund E Fund Total ------ ---- ---- ------ ---- ----- ASSETS ------ Cash $ -- $ -- $ -- $ 48 $ -- $ 48 Investments, at fair value 390,411 3,205 51,621 49,928 6 495,171 Investments, at contract value -- 399,099 -- -- -- 399,099 Loans to participants -- -- -- -- 8,642 8,642 Interest and dividends receivable 443 34 15 65 -- 557 Receivable from brokers for unsettled trades -- -- -- 674 -- 674 -------- -------- -------- -------- -------- -------- Total assets 390,854 402,338 51,636 50,715 8,648 904,191 -------- -------- -------- -------- -------- -------- LIABILITIES ----------- Payable to brokers for unsettled trades -- -- 1,712 173 -- 1,885 Other liabilities 2,424 65 -- -- 3 2,492 -------- -------- -------- -------- -------- -------- Total liabilities 2,424 65 1,712 173 3 4,377 -------- -------- -------- -------- -------- -------- Net assets available for benefits $388,430 $402,273 $ 49,924 $ 50,542 $ 8,645 $899,814 ======== ======== ======== ======== ======== ========
The accompanying notes are an integral part of these financial statements. -3- 7 CBS EMPLOYEE INVESTMENT FUND STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INFORMATION For the year ended December 31, 1998 (in thousands)
S&P Medium Short Value 500 Stable Company Long Term Term Term U.S. Index Value Stock Life Cycle Life Cycle Life Cycle Equity Fund Fund Fund Fund Fund Fund Fund ---- ---- ---- ---- ---- ---- ---- ADDITIONS: Contributions: Employer $ -- $ -- $ 9,329 $ -- $ -- $ -- $ -- Employee 17,950 10,234 4,414 789 2,653 350 1,987 --------- --------- --------- -------- -------- ------- -------- 17,950 10,234 13,743 789 2,653 350 1,987 --------- --------- --------- -------- -------- ------- -------- Investment income: Dividends 43 -- 139 208 1,675 226 -- Interest 14 27,826 173 1 29 -- -- Net appreciation (depreciation) of investments 107,302 -- 9,591 1,108 7,155 493 4,409 --------- --------- --------- -------- -------- ------- -------- Investment income, net 107,359 27,826 9,903 1,317 8,859 719 4,409 --------- --------- --------- -------- -------- ------- -------- Transfers in - Group W employees 36,915 47,383 30,833 1,198 1,910 745 -- --------- --------- --------- -------- -------- ------- -------- Total additions 162,224 85,443 54,479 3,304 13,422 1,814 6,396 --------- --------- --------- -------- -------- ------- -------- DEDUCTIONS: Distributions and withdrawals 27,398 49,748 3,756 219 3,826 85 706 --------- --------- --------- -------- -------- ------- -------- Net increase prior to loans to participants and interfund transfers 134,826 35,695 50,723 3,085 9,596 1,729 5,690 Loans to participants (4,273) (3,089) (972) (72) (341) (30) (189) Loan repayments 2,896 1,996 876 98 291 36 181 Net interfund transfers 334,577 3,685 5,230 7,412 46,872 5,004 18,413 --------- --------- --------- -------- -------- ------- -------- Net increase 468,026 38,287 55,857 10,523 56,418 6,739 24,095 Net assets available for benefits, beginning of year -- 402,273 49,924 -- -- -- -- --------- --------- --------- -------- -------- ------- -------- Net assets available for benefits, end of year $ 468,026 $ 440,560 $ 105,781 $ 10,523 $ 56,418 $ 6,739 $ 24,095 ========= ========= ========= ======== ======== ======= ========
-4- (Continued) 8 CBS EMPLOYEE INVESTMENT FUND STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INCORPORATION For the year ended December 31, 1998 (in thousands)
Int'l Small Cap. Self Equity Loan U.S. Equity Directed Index Equity Balanced Provision Fund Account Fund Fund A Fund E Fund Total ---- ------- ---- ------ ------ ---- ----- ADDITIONS: Contributions: Employer $ -- $ -- $ -- $ -- $ -- $ -- $ 9,329 Employee 2,111 -- 615 -- -- -- 41,103 -------- ------- ------- --------- -------- -------- ---------- 2,111 -- 615 -- -- -- 50,432 -------- ------- ------- --------- -------- -------- ---------- Investment income: Dividends 398 77 -- -- -- -- 2,766 Interest -- -- 1 -- -- 1,009 29,053 Net appreciation (depreciation) of investments (1,420) 1,053 773 -- -- -- 130,464 -------- ------- ------- --------- -------- -------- ---------- Investment income, net (1,022) 1,130 774 -- -- 1,009 162,283 -------- ------- ------- --------- -------- -------- ---------- Transfers in - Group W employees 9,554 -- 1,380 -- -- 4,606 134,524 -------- ------- ------- --------- -------- -------- ---------- Total additions 10,643 1,130 2,769 -- -- 5,615 347,239 -------- ------- ------- --------- -------- -------- ---------- DEDUCTIONS: Distributions and withdrawals 742 59 124 -- -- 792 87,455 -------- ------- ------- --------- -------- -------- ---------- Net increase prior to loans to participants and interfund transfers 9,901 1,071 2,645 -- -- 4,823 259,784 Loans to participants (235) -- (103) -- -- 9,304 -- Loan repayments 249 -- 66 -- -- (6,689) -- Net interfund transfers 5,371 9,451 2,957 (388,430) (50,542) -- -- -------- ------- ------- --------- -------- -------- ---------- Net increase (decrease) 15,286 10,522 5,565 (388,430) (50,542) 7,438 259,784 Net assets available for benefits, beginning of year -- -- -- 388,430 50,542 8,645 899,814 -------- ------- ------- --------- -------- -------- ---------- Net assets available for benefits, end of year $ 15,286 $10,522 $ 5,565 $ -- $ -- $ 16,083 $1,159,598 ======== ======= ======= ========= ======== ======== ==========
The accompanying notes are an integral part of these financial statements -5- 9 CBS EMPLOYEE INVESTMENT FUND STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INFORMATION For the year ended December 31, 1997 (in thousands)
Stable Company Loan Equity Value Stock Balanced Provision Fund A Fund Fund Fund E Fund Total ------ ---- ---- ------ ---- ----- ADDITIONS: Contributions: Employer $ -- $ -- $ 8,915 $ -- $ -- $ 8,915 Employee 14,860 8,828 1,305 3,098 -- 28,091 --------- --------- -------- -------- -------- -------- 14,860 8,828 10,220 3,098 -- 37,006 --------- --------- -------- -------- -------- -------- Investment income: Dividends 3,921 -- 144 504 -- 4,569 Interest 750 28,965 67 993 586 31,361 Net appreciation of investments 81,172 -- 9,439 6,803 -- 97,414 Other 2 -- -- -- 177 179 --------- --------- -------- -------- -------- -------- Investment income, net 85,845 28,965 9,650 8,300 763 133,523 --------- --------- -------- -------- -------- -------- Total additions 100,705 37,793 19,870 11,398 763 170,529 --------- --------- -------- -------- -------- -------- DEDUCTIONS: Distributions and withdrawals 27,241 47,288 980 2,527 952 78,988 --------- --------- -------- -------- -------- -------- Net increase (decrease) prior to loans to participants and interfund transfers 73,464 (9,495) 18,890 8,871 (189) 91,541 Loans to participants (2,413) (1,649) (253) (259) 4,574 -- Loan repayments 1,990 1,224 73 227 (3,514) -- Net interfund transfers (20,557) (13,678) 31,214 3,021 -- -- --------- --------- -------- -------- -------- -------- Net Increase (Decrease) 52,484 (23,598) 49,924 11,860 871 91,541 Net assets available for benefits, beginning of year 335,946 425,871 -- 38,682 7,774 808,273 --------- --------- -------- -------- -------- -------- Net assets available for benefits, end of year $ 388,430 $ 402,273 $ 49,924 $ 50,542 $ 8,645 $899,814 ========= ========= ======== ======== ======== ========
The accompanying notes are an integral part of these financial statements. -6- 10 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 1. DESCRIPTION OF THE PLAN: The CBS Employee Investment Fund ("the Plan") was established by CBS Broadcasting Inc. (the "Company" and the "Plan Administrator") (formerly CBS, Inc.) a wholly owned subsidiary of CBS Corporation (the "Corporation") (formerly conducted business as Westinghouse Electric Corporation). The Plan was established to provide a convenient way for employees of the Company to save and invest for retirement. The Plan is considered a defined contribution type of profit sharing plan and, is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA). Beginning January 1, 1998 the Plan's eligibility requirements and investment options were modified as outlined below. Participants should refer to the Plan document for a complete description of the Plan. Eligibility All employees of the Company and certain of its subsidiaries in the United States, as well as U.S. citizens abroad, who are employed on a full-time basis in executive, non-union office and hourly positions, are eligible to participate in the Plan immediately. Employees working on a part-time basis are eligible to participate in the Plan upon the completion of one year of employment, if the employee worked at least 1,000 hours in that year. Other groups designated by the Company or by the terms of a collective bargaining agreement are also eligible to participate in the Plan. Investments Beginning January 1, 1998, the Plan was modified to provide for ten investment options, which are: Stable Value Fund (previously Fund B), Short-Term Life Cycle Fund, Medium-Term Life Cycle Fund, Long Term Life Cycle Fund, S&P 500 Index Fund, Value U.S. Equity Fund, Small Cap U.S. Equity Fund, International Equity Index Fund, Company Stock Fund and Self-Directed Account. -7- 11 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 1. DESCRIPTION OF THE PLAN: (Continued) Additionally the Plan maintains a Loan Provision Fund relating to outstanding participant loans as discussed below. Balances at January 1, 1998 in Equity Fund A and Balanced Fund E were transferred to the S&P 500 Index Fund and the Medium Term Life Cycle Fund, respectively, whereas the Fund B (Stable Value Fund) and the Company Stock Fund remained as investment options. Subsequent to the fund transfers, employees were able to transfer balances among any of the ten fund options (in increments of 1%, rather than 5% as in years prior to January 1, 1998). The Self-Directed Account allows Plan participants to establish an investment account with the trustee and gain access to an expanded number of investment options. A Self-Directed Account can be established if the participant has a Plan balance of at least $5,000 and the minimum initial investment option is $2,500. Additional transfers into the Self-Directed Account must be in $1,000 increments. Fees are charged on transactions in the Self-Directed Account and are charged directly against the participant's Self-Directed Account balance. On January 2, 1998, Group W employees participating in the Westinghouse Saving Plan became participants in the Plan, and accordingly, balances aggregating $134,524,000 were transferred into the Plan. Group W employees are defined as certain employees of the Corporation who were formerly Westinghouse Electric Corporation employees engaged in the business of radio, television or cable broadcasting, or who provided management services in a position relocated to CBS Corporation headquarters The Plan allows employees to request loans from their account without incurring a taxable event. Participants may request loans for a minimum of $1,000, but not to exceed the lesser of $50,000 (reduced by the highest outstanding balance of any loan from the Plan during the prior twelve months) or one half of the market value of the vested portions of all the participant's separate accounts on the date of the loan. No more than one loan may be made per year, and not more than two loans may be outstanding. When a participant has two loans, one of the outstanding loans must be for the purpose of purchasing a primary residence. -8- 12 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 1. DESCRIPTION OF THE PLAN: (Continued) Interest on participants' loans are based on the latest blended rate for the Stable Value Fund, rounded to the nearest quarter percentage point, as of the valuation date of the calendar quarter preceding the loan's effective date. The loans must be repaid within five years, with the exception of a loan used to acquire a primary residence, for which repayment is not to exceed fifteen years. In the event of a default on a loan payment, all remaining payments are considered immediately due and payable. The defaulted portion of any outstanding loan including accrued interest is offset against the remaining balance in the participant's account. NOTE 2. SIGNIFICANT ACCOUNTING POLICIES: Basis of Accounting The financial statements of the Plan have been prepared under the accrual method of accounting. Investment Valuation An individual participant's interest in the funds of the Plan is represented by the dollar value of the participant's individual account. Investments, except for certain guaranteed annuity and investment contracts, are stated at fair value. Investments in securities traded on a national securities exchange are valued at the closing sales price on the last business day of the year; securities traded in the over-the-counter market and listed securities for which no sale was reported on that date are valued at the last reported bid price; participations in pooled trust funds are stated at the Trust's beneficial interest in the aggregate fair value of assets held by the particular fund as reported by the Plan's fund manager. The carrying value of the Plan's investment in the guaranteed annuity contracts and guaranteed investment contracts is cost plus accrued interest. Investment Transactions and Investment Income Purchases and sales of securities are reflected on a trade-date basis. Gain or loss on sales of securities is based on average cost. Dividend income is recorded on the ex-dividend date. Income from other investments is recorded as earned on an accrual basis. -9- 13 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 2. SIGNIFICANT ACCOUNTING POLICIES: (Continued) The net appreciation (depreciation) of investments, consists of the realized gains and losses and the unrealized appreciation (depreciation) on those investments, as reflected in the Statement Of Changes In Net Assets Available for Benefits With Fund Information. Use of Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires the Plan Administrator to make estimates and assumptions that affect the reported amounts and disclosures. Accordingly, actual results could differ from those estimates. Payment of Benefits Benefits are recorded when paid. Reclassification Certain 1997 balances have been reclassified to conform to 1998 presentation. NOTE 3. CONTRIBUTIONS: Contributions from participants and the Company are recorded in the period the Company makes payroll deductions from participants. Employee participation in the Plan is voluntary. Employee contributions can be between 1% and 15% of base annual salary on a before or after-tax basis. Employees may contribute, on a before-tax basis, up to a maximum of $10,000 in 1998 ($9,500 in 1997). Participants may also make additional voluntary lump sum contributions on an after-tax basis. Employee contributions are directed by participants to any combination of funds, as designated by the employee. Subsequent to January 1, 1998, such allocations to the funds may be made in 1 percentage point increments (previously .5% increments). Effective January 1, 1998, the Company match contribution changed from an automatic to a performance based discretionary match on employees' before-tax contributions up to a maximum of 5% of employee contributions. Employer contributions are initially directed to the Company Stock Fund. Employees can subsequently transfer the employer contribution, in increments of 1% to any of the fund options. Company contributions become vested at the rate of 33-1/3% per annum until fully vested after three years of employment. -10- 14 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 3. CONTRIBUTIONS: (Continued) The overall maximum annual contribution to the Plan for a participant, including before-tax, after-tax and Company matching contributions is $30,000 or 25% of an employee's base pay. All employer and employee contributions are subject to specified limitations as described in ERISA and other applicable federal and state laws. NOTE 4. DISTRIBUTIONS: Upon termination, participants have the option of receiving the balance in their accounts in cash or monthly payments over a period of time not to exceed 240 months. For terminated participants who have an account balance in excess of $5,000 an option is available to leave their account balance in the Plan and have it distributed at any valuation date provided however, that payments commence no later than April 1, of the year following the year in which they reach age 70-1/2. Terminated participants with account balances of less than $5,000 receive mandatory lumpsum payment. Non-vested employer contributions are forfeited upon termination and are used to reduce future employer contributions. At December 31, 1998 and 1997, forfeited nonvested amounts were $152,000 and $58,000, respectively. Withdrawals of a participant's after tax contributions are permitted at any time, but are limited to two withdrawals per calendar year. Withdrawals of a participant's tax-deferred contributions are permitted after the participant has reached age 59-1/2, or before reaching such age in the event of hardship, but are limited to two withdrawals per calendar year. The Tax Reform Act of 1986 imposed a 10% penalty on certain withdrawals and distributions made before the participant reaches age 59-1/2. -11- 15 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 5. INVESTMENTS: Investments held by the Plan at December 31, 1998 and 1997 are summarized by their fair and contract values in the following table:
LONG MEDIUM SHORT SMALL S&P TERM TERM TERM VALUE CAP. 500 STABLE COMPANY LIFE LIFE LIFE U.S. U.S. INDEX VALUE STOCK CYCLE CYCLE CYCLE EQUITY EQUITY FUND FUND FUND FUND FUND FUND FUND FUND ------ ------ ------ ------ ------ ------ ------ ------ 1998: (in thousands) Common stocks $ -- $ -- $ 99,963(B) $ -- $ -- $ -- $ -- $ -- Value of interest in unallocated insurance contracts -- 434,357(A)(B) -- -- -- -- -- -- Common Collective Trust 468,061(B) 6,281 5,806 -- -- -- 24,126 -- Registered investment companies -- -- -- 10,534 56,423 6,744 -- 15,616 Participants loans -- -- -- -- -- -- -- -- -------- -------- -------- ------- ------- ------- ------- ------- $468,061 $440,638 $105,769 $10,534 $56,423 $ 6,744 $24,126 $15,616 ======== ======== ======== ======= ======= ======= ======= =======
INT'L SELF EQUITY LOAN DIRECTED INDEX PROVISION ACCOUNT FUND FUND TOTAL ------- ---- ---- ----- 1998: (in thousands) Common stocks $ 7,000 $ -- $ -- $ 106,963 Value of interest in unallocated insurance contracts -- -- -- 434,357 Common Collective Trust 181 5,567 6 510,028 Registered investment companies 3,678 -- -- 92,995 Participants loans -- -- 16,079 16,079 ------- ------- ---------- ---------- $10,859 $ 5,567 $ 16,085 $1,160,422 ======= ======= ========== ==========
STABLE COMPANY LOAN EQUITY VALUE STOCK BALANCED PROVISION FUND A FUND FUND FUND E FUND TOTAL ------ ---- ---- ------ ---- ----- 1997: (in thousands) Common stocks $ -- $ -- $48,081(B) $ -- $ -- $ 48,081 Value of interest unallocated insurance contracts -- 399,099(A)(B) -- -- -- 399,099 Common Collective Trust 390,411(B) 3,205 3,540 49,928(B) 6 447,090 Participant loans -- -- -- -- 8,642 8,642 -------- -------- ------- ------- -------- -------- $390,411 $402,304 $51,621 $49,928 $ 8,648 $902,912 ======== ======== ======= ======= ======== ========
(A) Represents contract value. (B) Represents 5 percent or more of the Plan's net assets -12- 16 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 5. INVESTMENTS: (Continued) For the years ended December 31, 1998 and 1997, the net appreciation (depreciation) in the fair value of investments is summarized as follows:
S&P Medium Short Value 500 Company Long Term Term Term U.S. Index Stock Life Cycle Life Cycle Life Cycle Equity Fund Fund Fund Fund Fund Fund ---- ---- ---- ---- ---- ---- 1998: (in thousands) Common stocks $ -- $9,065 $ -- $ -- $ -- $ -- Common Collective Trust 107,302 526 -- -- -- 4,409 Registered Investment Companies -- -- 1,108 7,155 493 -- -------- ------ ------ ------ ------ ------- $107,302 $9,591 $1,108 $7,155 $ 493 $ 4,409 ======== ====== ====== ====== ====== =======
Int'l Small Cap. Self Equity U.S. Equity Directed Index Fund Account Fund Total ---- ------- ---- ----- 1998: (in thousands) Common stocks -- $ 679 $ -- $ 9,744 Common Collective Trust -- 17 773 113,027 Registered Investment Companies ($1,420) 357 -- 7,693 ------- ------ -------- -------- ($1,420) $1,053 $ 773 $130,464 ======= ====== ======== ========
Company Equity Stock Balanced Fund A Fund Fund E Total ------ ---- ------ ----- 1997: (in thousands) Common stocks $ -- $8,792 $ -- $ 8,792 Common collective Trust 81,172 647 6,803 88,622 -------- ------ -------- -------- $ 81,172 $9,439 $ 6,803 $ 97,414 ======== ====== ======== ========
-13- 17 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 5. INVESTMENTS: (Continued) The Plan has a number of benefit-responsive investment contracts with certain insurance companies. At December 31, 1998 and 1997, the Plan held $434 million and $399 million, respectively, of unallocated insurance contracts. These contracts are recorded at their contract values. The relevant contract and fair value information is summarized below:
1998: (in thousands) Effective Contract Investment Contracts Date Rate Contract Value Fair value -------------------- ---- ---- -------------- ---------- Aetna Life (MBIA Insured) 04/01/98 6.50% $ 89,130 $ 89,906 Allstate Life Ins. Co. 08/16/96 6.67% 10,534 10,793 Allstate Life Ins. Co. 01/08/98 5.99% 54,254 54,923 Jackson National Life 08/23/96 6.46% 11,536 11,563 John Hancock Mutual Life 11/28/95 6.00% 27,772 27,867 John Hancock Mutual Life 06/10/97 4.33% 15,050 15,176 John Hancock Mutual Life 03/05/98 5.35% 26,218 26,511 Monumental Life Ins. Co. 12/01/98 6.61% 60,696 62,370 New York Life Ins. Co. 07/01/92 7.80% 13,567 13,635 New York Life Ins. Co. 07/01/94 7.25% 52,350 52,910 New York Life Ins. Co. 09/08/94 7.35% 7,900 8,436 Prudential (MBIA Insured) 04/01/98 6.26% 35,225 36,079 State Street Bank and Trust 08/19/98 5.33% 30,125 30,511 -------------- --------------- $ 434,357 $ 440,680 ============== =============== 1997: (in thousands) Effective Contract Investment Contracts Date Rate Contract Value Fair value -------------------- ---- ---- -------------- ---------- Aetna Life (MBIA Insured) 10/01/96 6.81% $ 83,549 $ 83,681 Allstate Life Ins. Co. 08/16/96 6.67% 10,532 10,693 Bankers Trust 06/19/91 9.00% 7,624 7,624 John Hancock Mutual Life 11/28/95 6.15% 55,582 55,526 John Hancock Mutual Life 06/10/97 5.71% 11,060 11,061 New York Life Ins. Co. 07/01/92 8.00% 54,013 54,800 New York Life Ins. Co. 07/01/94 7.45% 64,422 66,213 New York Life Ins. Co. 09/08/94 7.55% 15,329 15,793 Jackson National Life 08/23/96 6.46% 10,837 10,900 Prudential (MBIA Insured) 05/16/97 6.63% 33,081 33,104 Peoples Security Life 03/27/97 6.62% 53,070 54,382 -------------- --------------- $ 399,099 $ 403,777 ============== ===============
Certain contracts experienced periodic rate resets during the year. The contract rate is the annual effective yield. -14- 18 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 6. TAX STATUS: The Internal Revenue Service has determined and informed the Company by a letter dated May 13, 1997, that the Plan is designed in accordance with applicable sections of the Internal Revenue Code. Participants will not be subject to income tax on contributions made on their behalf by the Company nor on the plan earnings credited to their account until such time as they withdraw all or any part of their accumulated balance. In the opinion of the Plan Administrator, the Plan has been operated in accordance with ERISA and the applicable sections of the Internal Revenue Code and remains a qualified plan pursuant thereto. NOTE 7. RECONCILIATION OF FINANCIAL STATEMENTS TO FORM 5500: The following is a reconciliation of net assets available for benefits per the financial statements to Form 5500:
DECEMBER 31, -------------------------------------- 1998 1997 ---- ---- (in thousands) Net assets available for benefits per the financial statements $ 1,159,598 $ 899,814 Amounts allocated to withdrawing participants (1,080) (1,083) ----------------- ----------------- Net assets available for benefits per Form 5500 $ 1,158,518 $ 898,731 ================= =================
The following is a reconciliation of benefits paid to participants per the financial statements to Form 5500:
YEAR ENDED DECEMBER 31, --------------------------------- 1998 1997 ---- ---- (in thousands) Benefits paid to Participants per the financial statements $ 87,455 $ 78,988 Add: Amounts allocated to withdrawing participants during the year 1,080 1,083 Less: Amounts allocated to withdrawing participants during the previous year (1,083) -- -------------- --------------- Benefits paid to participants per Form 5500 $ 87,452 $ 80,071 ============== ===============
Amounts allocated to withdrawing participants are recorded on Form 5500 for benefit claims that have been processed and approved for payment prior to December 31 but not yet paid as of that date. -15- 19 CBS EMPLOYEE INVESTMENT FUND NOTES TO FINANCIAL STATEMENTS DECEMBER 31, 1998 AND 1997 NOTE 8. PLAN EXPENSES: Administrative expenses in the amount of $881,000 are borne by the Plan. NOTE 9. PLAN TERMINATION: The Company has not expressed any intent to terminate the Plan. However, it is free to do so at any time, subject to the provisions of ERISA. In the event of termination, participants will become 100% vested and the net assets of the Plan shall be allocated among the participants and their respective beneficiaries of the Plan in the order provided for in ERISA. NOTE 10. SUBSEQUENT EVENT: Effective April 1, 1999, the CBS Employee Investment Fund has added the Infinity Broadcasting Stock Fund (the "Infinity Stock Fund") as an investment option under the Plan. The Infinity Stock Fund will invest in the Class A Common Stock of Infinity Broadcasting Corporation. The addition of the Infinity Stock Fund allows participants in the Plan to invest in a fund comprised solely of Infinity Broadcasting Corporation Class A Common Stock. -16- 20 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ CORPORATE STOCK - COMMON - ------------------------ 30.00 LERNOUT & HAUSPIE SPEECH PRO $ 1,656.50 $ 978.75 326.00 DAIMLER CHRYSLER AG ORD 25,180.77 31,316.38 82.00 IRIDIUM WORLD COMM INC 4,999.40 3,244.13 1,000.00 AMR CORP DEL 77,127.35 59,375.00 1,998.00 ATI TECHNOLOGY INC. 21,849.07 22,759.22 25.00 AT&T CORP 1,893.75 1,893.75 560.00 ABERCROMBIE & FITCH CO CL A 40,101.34 39,620.00 308.00 ADVANCED MICRO DEVICES INC 6,211.45 8,932.00 659.00 AMAZON COM INC 93,488.10 211,703.75 5,853.00 AMERICA ONLINE INC DEL 605,674.52 907,946.63 20.00 AMERICAN EXPRESS CO 1,966.50 2,050.00 1,000.00 AMERICAN MEDIA INC CL A 5,294.89 5,562.50 350.00 AMERITRADE HLDG CORP CL A 11,025.00 11,025.00 100.00 APPLIED MATLS INC 3,401.88 4,268.75 100.00 ASCEND COMMUNCATIONS INC 4,946.50 6,575.00 25.00 ASTEC INDS INC 1,436.50 1,390.63 2,000.00 AUDIO BOOK CLUB INC 27,384.22 23,250.00 300.00 AVID TECHNOLOGY INC 9,534.85 7,012.50 1,000.00 AXYS PHARMACIES INC 7,892.44 5,875.00 500.00 BJ SVCS CO 11,810.41 7,812.50 75.00 BMC SOFTWARE INC 3,852.13 3,342.19 20.00 BANK NEW YORK INC 651.50 805.00 39.00 BANKAMERICA CORP NEW 2,000.35 2,344.88 100.00 BANKBOSTON CORP 5,440.25 3,893.75 500.00 BARNES & NOBLE INC 18,362.13 21,250.00 100.00 BED BATH & BEYOND INC 2,346.50 3,412.50 300.00 BELL CDA INTL INC 2,618.55 3,375.00
-S1- 21 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 20.00 BELL SOUTH CORP 687.13 997.50 3.00 BERKSHIRE HATHAWAY INC DEL 196,666.25 210,000.00 CLA 27.00 BERKSHIRE HATHAWAY INC DEL B 68,483.23 63,450.00 100.00 BERKSHIRE RLTY INC 992.75 950.00 500.00 BIOMIRA INC 8,209.89 1,547.00 550.00 BOEING CO 21,894.22 17,943.75 4,500.00 BOOKS A MILLION 77,180.61 58,500.00 2,000.00 BOSTON CHICKEN INC 2,312.17 620.00 18.00 BRISTOL MYERS SQUIBB CO 2,413.63 2,408.63 100.00 BUFFETS INC 1,186.50 1,193.75 3,052,291.00 CBS CORP 85,557,062.56 99,962,870.69 250.00 CMGI INC 29,591.54 26,625.00 20.00 CABLEVISION SYS CORP CL A 646.92 1,002.50 100.00 CAMPBELL SOUP CO 5,686.97 5,500.00 1,175.00 CANDIE'S INC 5,953.72 4,406.25 500.00 CAPSTAR BROADCASTING 12,625.34 11,437.50 CORP CL A 43.08 CATERPILLAR INC 2,149.59 1,981.68 91.00 CENDANT CORP 1,028.15 1,757.44 100.00 CENTURY TEL ENTERPRISES INC 5,196.50 6,750.00 252.00 CHANCELLOR MEDIA CORP 8,304.91 12,064.50 100.00 CHASE MANHATTAN CORP NEW 5,904.26 7,100.00 30.00 CHEVRON CORP 2,426.85 2,488.13 2,465.00 CISCO SYS INC 176,255.40 228,782.81 726.00 CITIGROUP INC 34,485.42 36,073.13 500.00 CLEAR CHANNEL COMMUNICATIONS 25,345.97 27,250.00 INC 5.00 CLOROX CO 597.13 584.06 118.62 COCA COLA CO 8,630.44 7,947.81
-S2- 22 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 600.00 COMCAST CORP CL A 23,146.75 34,462.50 1,000.00 COMDISCO INC DEL 21,244.31 16,875.00 2,791.06 COMPAQ COMPUTER CORP 85,963.75 117,224.69 250.00 COMPUTER ASSOC INTL INC 9,213.50 10,656.25 2,200.00 CONNECT INC NEW 11,110.15 6,050.00 100.00 CRESCENT REAL ESTATE EQUITIES INC TR TEX RE 3,727.75 2,300.00 975.00 CYBERIAN OUTBOST INC OC 37,290.07 26,812.50 1,000.00 CYPROS PHARMACEUTICAL CORP 3,998.69 3,250.00 6,170.00 DELL COMPUTER CORP 377,829.26 451,566.88 800.00 DETOUR MAGAZINE INC 1,800.00 324.80 1,000.00 DIGITAL COURIER TECH INC 3,062.00 7,125.00 11,369.36 DISNEY WALT CO 397,490.33 341,080.80 33.00 DU PONT E I DE NEMOURS & CO 2,013.13 1,751.06 773.00 EMC CORP MASS 39,211.62 65,705.00 900.00 EARTHWEB INC 64,163.10 34,987.50 39.00 EASTMAN KODAK CO 2,496.25 2,808.00 1,000.00 EGGHEAD.COM INC 25,016.75 20,812.50 67.00 ELAN PLC ADR 4,265.75 4,685.81 100.00 ENRON OIL & GAS CO 1,514.20 1,725.00 100.00 ERICSSON L M TEL CO ADR CL B SEK 10 1,937.98 2,393.75 45.51 EXXON CORP 3,153.20 3,328.21 112.00 FDX CORP 9,059.94 9,989.00 100.00 FEDERAL NATL MTG ASSN 6,084.00 7,400.00 31.80 FIDELITY SELECT PORTFOLIOS 1,878.39 1,937.83 UTILS PORTFOLIO 96.89 FIDELITY VALUE FD SH BEN INT 5,775.90 4,490.76 200.00 FIRST AMERN FINL CORP CALIF 1,471.71 6,425.00 100.00 FIRST UN CORP 5,071.50 6,081.25
-S3- 23 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 300.00 FREDS INC CL A 4,413.25 4,500.00 255.00 GAP INC 9,792.63 14,311.88 287.40 GENERAL ELECTRIC CO 25,695.24 29,314.60 34.00 GENERAL MOTORS CORP 2,344.98 2,433.13 200.00 GENERAL NUTRITION COS INC 3,307.75 3,250.00 300.00 GEOCITIES 11,550.22 10,087.50 1,146.76 GILLETTE CO 55,215.58 54,829.51 325.00 HALLIBURTON CO 9,843.09 9,628.13 100.00 HARRAHS ENTMT INC 1,311.80 1,568.75 3,000.00 HEALTHSPAN INC 6,121.50 8,250.00 1,000.00 HEALTH MGMT SYS INC 9,146.19 7,875.00 11,003.00 HEMISPHERX BIOPHARMA INC 71,822.79 75,645.63 105.00 HEWLETT PACKARD CO 6,084.88 7,172.81 100.00 HILTON HOTELS CORP 1,501.55 1,912.50 320.00 HOME DEPOT INC 10,324.62 19,580.00 1,500.00 I-LINK CORP 10,211.88 3,187.50 1,000.00 ILLINOIS SUPERCONDUCTOR CORP 3,516.91 1,000.00 2,437.00 IMATRON INC 5,939.47 3,350.88 0.24 INDEPENDENCE CMNTY BK CORP 4.40 3.81 6,648.00 INFINITY BROADCASTING NEW CL A 174,543.45 181,989.00 1,286.00 INFOSEEK CORP 37,221.68 63,496.25 200.00 INKTOMI CORP 17,323.51 25,875.00 1,400.00 INSIGHT HEALTH SVCS CORP 17,259.38 8,400.00 2,000.00 INTEGRATED DEVICE TECH INC 14,161.19 12,250.00 498.00 INTEL CORP CALIF 41,251.14 59,044.13 35.00 INTERNATIONAL PAPER CO 1,532.75 1,568.44 5,056.00 IOMEGA CORP 38,387.75 36,972.00 10.00 ISIS PHARMACEUTICALS 147.13 129.38
-S4- 24 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 300.00 JACOR COMMUNICATIONS INC 16,457.38 19,312.50 110.03 JOHNSON & JOHNSON 7,991.75 9,228.85 300.00 K MART CORP 3,932.88 4,593.75 271.00 K TEL INTL INC NEW 6,439.03 2,845.50 8,000.00 KEY ENERGY SERVICES INC 130,812.60 37,500.00 10.00 KING WORLD PRODTNS INC 314.00 294.38 1,500.00 KOO KOO ROO ENTERPRISES INC 5,041.22 843.75 100.00 L-3 COMMUNICATIONS HLDGS INC 4,621.50 4,656.25 1,000.00 LIGHTBRIDGE INC 8,205.88 5,500.00 7,745.80 LUCENT TECHNOLOGIES INC 604,004.79 851,553.45 869.00 MCI WORLDCOM INC 41,330.00 62,350.75 41.12 MFS SER TR II EMERGING GROWTH 1,803.14 1,833.91 FD CL A 500.00 MMC NETWORkS INC 5,086.31 6,625.00 365.00 MANUGISTICS GROUP INC 11,039.35 4,562.50 100.00 MARK IV INDS INC 1,583.78 1,300.00 350.00 MARKET GUIDE INC 2,975.00 1,421.88 350.00 MARKET GUIDE INC 3,521.70 4,156.25 1,000.00 MEDICONSULT COM INC 6,574.00 8,187.50 672.00 MELLON BK CORP 46,599.65 46,200.00 144.03 MERCK & CO INC 21,108.86 21,243.69 1,130.00 MERRILL LYNCH & CO INC 68,313.59 75,427.50 2,174.00 MICROSOFT CORP 213,293.75 301,506.63 100.00 MILACRON INC 1,919.00 1,925.00 600.00 MONSANTO CO 32,363.70 28,500.00 20.00 MORGAN J P & CO INC 2,470.25 2,101.25 72.00 MOTOROLA INC 4,255.21 4,396.50 2,000.00 NAVARRE CORP 20,724.02 20,125.00
-S5- 25 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 876.00 NETSCAPE COMMUNICATIONS 28,584.71 53,217.00 CORP 1,500.00 NEXSTAR PHARMACEUTICALS INC 15,101.50 13,875.00 100.00 NIKE INC CL B 4,790.25 4,056.25 52.00 NOKIA CORP SPON ADR 4,233.81 6,262.75 100.00 NORDSTROM INC WASH 2,509.00 3,468.75 1,204.00 NORTHWEST AIRLS CORP CL A 34,994.35 30,777.25 10.00 ORANGE & ROCKLAND UTILS INC 572.13 570.00 2,000.00 OXFORD HEALTH PLANS INC 28,886.57 29,750.00 200.00 PAPA JOHNS INTL INC 8,193.00 8,825.00 100.00 PARTY CITY CORP 1,211.50 1,443.75 200.00 PAXSON COMMUNICATIONS CORP 1,808.06 1,837.50 271.00 PEAPOD INC 1,371.39 1,846.19 1,400.00 PEOPLESOFT INC 54,924.63 26,512.50 396.80 PFIZER INC 47,143.91 49,600.00 84.00 PHILIP MORRIS COS INC 3,867.15 4,494.00 1,021.00 PIER 1 IMPORTS INC 10,064.95 9,890.94 34,000.00 PLAYERS INTL INC 159,184.06 210,375.00 60.00 PREMIERE TECHNOLOGIES 638.00 442.50 400.00 PREVIEW TRAVEL INC 6,640.60 7,375.00 55.00 PRICE T ROWE & ASSOC INC 2,050.88 1,883.75 57.00 QLOGIC CORP 7,496.38 7,459.88 300.00 QUINENCO S A ADR 2,784.95 2,400.00 61.00 QWEST COMMUNICATIONS INTL 2,520.56 3,050.00 INC 15.00 RAINFOREST CAFE INC 240.88 90.94 55.00 RITE AID CORP 2,522.69 2,736.25 2,750.00 ROCKY MTN INTERNET INC 42,493.92 34,718.75 50.00 SAFESKIN CORP 1,945.88 1,206.25
-S6- 26 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 25.00 SAFEWAY INC NEW 1,530.75 1,523.44 100.00 SAKS INC 1,931.65 3,156.25 220.00 SAP AKTIENGESELLSCHAFT SPONS ADR 10,729.98 7,933.75 125.00 SCHERING PLOUGH CORP 6,962.28 6,906.25 500.00 SCHLUMBERGER LTD 31,098.48 23,187.50 42.00 SCHWAB CHARLES CORP NEW 2,464.63 2,359.88 253.00 SCIENTIFIC ATLANTA INC 5,667.97 5,771.56 1,500.00 SHARPER IMAGE CORP 27,134.00 17,812.50 60.00 SKYMALL INC 2,321.39 1,252.50 200.00 SMURFIT-STONE CONTAINER CORP 2,551.50 3,162.50 10.00 SOURCE MEDIA INC COM NEW 220.69 180.63 25.00 STAPLES INC 1,114.63 1,092.19 201.00 STARBUCKS CORP 9,035.95 11,281.13 3,000.00 STRUCTURAL DYNAMICS REFRESH CORP 45,742.91 59,625.00 500.00 SUNGARD DATA SYS INC 18,738.06 19,843.75 800.00 TEL-SAVE COM INC 9,614.88 13,400.00 23,444.00 TENKE MNG CORP 5,345.23 4,908.44 500.00 TERADYNE INC 20,273.14 21,187.50 100.00 TEXACO INC 5,659.00 5,300.00 100.00 TEXAS INSTRS INC 5,621.50 8,562.50 775.00 3DFX INTERACTIVE INC 20,024.08 9,784.38 200.00 TIFFANY & CO NEW 5,971.00 10,375.00 14.00 TIME WARNER INC 706.31 868.88 100.00 UAL CORP COM PAR $0.01 9,371.50 5,968.75 500.00 USA NETWORKS INC 18,048.84 16,562.50 296.00 UBID INC 22,284.73 31,561.00 11.05 UNION PAC CORP 460.83 497.99 60.00 UNIVISION COMMUNICATIONS INC CL A 1,984.10 2,160.00
-S7- 27 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 2,380.00 USA BANCSHARES INC 25,177.83 21,420.00 205.00 WAL MART STORES INC 13,437.45 16,694.69 5.00 WALGREEN CO 297.44 292.81 440.00 WARNER LAMBERT CORP 31,928.02 33,082.50 339.00 WELLS FARGO & CO NEW 13,108.75 13,538.81 2,000.00 WENDY'S INTL INC 48,186.50 43,625.00 50.00 WESTWOOD ONE INC 1,131.75 1,525.00 2,000.00 WOLVERINE WORLD WIDE INC 25,379.63 26,500.00 2,179.00 YAHOO INC 517,144.87 516,286.81 20.07 YORK GROUP INC 362.30 190.68 246.00 ZIFF DAVIS INC 5,186.98 3,889.88 ---------------- ---------------------- TOTAL CORPORATE STOCK -- COMMON 91,722,541.17 106,962,750.66 ---------------- ---------------------- LOANS TO PARTICIPANTS -- OTHER - ------------------------------ 16,078,770.37 CBS CORP LOANS TO PARTICIPANTS 16,078,770.37 16,078,770.37 ---------------- ---------------------- TOTAL LOANS TO PARTICIPANTS -- OTHER 16,078,770.37 16,078,770.37 ---------------- ----------------------
CONTRACT UNALLOCATED INSURANCE CONTRACTS COST VALUE - ------------------------------- ---- ----- 13,567,194.75 NEW YORK LIFE GAC-06563 13,567,194.75 13,567,194.75 7.80% 04/09/2003 89,129,820.41 AETNA LIFE INS GIC #LT13789 89,129,820.41 89,129,820.41 6.50% 07/01/1999 52,349,827.62 NEW YORK LIFE GAC #GA-06563002 52,349,827.62 52,349,827.62 7.25% 06/30/2000 7,900,419.96 NEW YORK LIFE GIC #GS-06563 7,900,419.96 7,900,419.96 7.35% 06/30/2000 35,225,029.36 PRUDENTIAL GP ANTV GA-8086-211 35,225,029.36 35,225,029.36 6.26% 07/01/2001
-S8- 28 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ CONTRACT PAR VALUE SECURITY DESCRIPTION COST VALUE --------- -------------------- ---- ----- 27,772,242.25 JOHN HANCOCK MUTUAL LIFE #8379 27,772,242.25 27,772,242.25 6.00% 06/30/2001 15,050,026.32 JOHN HANCOCK MUTUAL LIFE #8379-10 15,050,026.32 15,050,026.32 4.33% 06/01/2002 26,218,092.49 JOHN HANCOCK MUTUAL LIFE #9720 26,218,092.49 26,218,092.49 5.35% 06/01/2002 10,533,858.87 ALLSTATE LIFE INS CO 10,533,858.87 10,533,858.87 6.67% 04/11/2001 11,536,646.73 PRIMCO GIC JACKSON NATIONAL 11,536,646.73 11,536,646.73 6.46% 03/15/1999 60,695,813.06 MONUMENTAL SYN CONT BDA00331TR 60,695,813.06 60,695,813.06 6.61% 11/05/2001 54,253,888.90 ALLSTATE LIFE INS CO CONTRACT 54,253,888.90 54,253,888.90 5.99% 08/15/2003 30,124,604.86 STATE STREET BANK & TRUST GIC 30,124,604.86 30,124,604.86 5.33% 8/19/2003 ------------------- ------------------------- TOTAL UNALLOCATED INSURANCE CONTRACTS 434,357,465.58 434,357,465.58 =================== ========================= COMMON/COLLECTIVE TRUST COST MARKET VALUE - ----------------------- ---- ------------ 376.33 OPPENHEIMER STRATEGIC FDS TR 1,886.13 1,723.57 INCOME FD CL A 12,272,691.74 TBC INC POOLED EMPLOYEE FUNDS 12,272,691.74 12,272,691.74 DAILY LIQUIDITY FUND 16.12 CASH HELD AT WELLS FARGO BANK 16.12 16.12 491,358.74 STATE STREET EAFE FUND 5,046,383.87 5,567,585.92 29,642,419.09 BARCLAY EQUITY INDEX FUND F 369,112,457.79 468,060,496.60 1,141,245.18 J P MORGAN LARGE COMPANY FUND 20,110,197.90 24,125,923.00 ------------------- ------------------------- TOTAL COMMON/COLLECTIVE TRUST 406,543,633.55 510,028,436.95 =================== =========================
-S9- 29 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ REGISTERED INVESTMENT COMPANIES - ------------------------------- 1,119.46 ALLIANCE PREMIERE GROWTH FD CL A 28,332.60 33,874.74 821.76 AMERICAN CENTY MUT FDS ULTRA 25,854.81 27,455.07 TWENTIETH CENTY ULTRA FD INV 987.27 BARON ASSET FUND SH BEN INT 50,040.46 49,896.73 1,207,694.90 DFA INVT DIMENSIONS GROUP INC 17,812,905.75 15,615,495.07 U S 6-10 SMALL CO PORTFOLIO 103.20 DELAWARE GROUP DECATUR FD 2,010.40 1,762.60 INC DECATUR II SER 1,753.60 DREYFUS BASIC GNMA FD SBI 26,903.13 26,321.46 2,393,742.80 DREYFUS 100% US TREAS MM FD 2,393,742.80 2,393,742.80 88.25 DREYFUS/LAUREL DISC STK FD R 3,144.55 3,305.70 101.91 DREYFUS NEW LEADERS FUND 4,000.00 4,209.94 636.87 FIDELITY INVT TR EUROPE APPRECIATION FD 12,104.99 11,374.57 357.72 FIDELITY COMWLTH TR LARGE CAP STK FD 5,832.12 6,074.09 526.00 FIDELITY DEVONSHIRE TR UTILS INCOME FD 11,725.00 12,192.66 1,027.61 FIDELITY SECS FD GROWTH & INCOME 44,370.95 47,105.69 PORTFOLIO 295.69 FIDELITY SECS FD DIVIDEND 8,166.16 8,495.03 GROWTH FD 379.66 FIDELITY SELECT PORTFOLIOS 47,536.80 51,926.37 HEALTH CARE PORTFOLIO 323.68 FIDELITY SELECT PORTFOLIOS 14,754.13 13,876.29 REG BKS PORTFOLIO 199.89 FIDELITY SELECT PORTFOLIOS 5,535.01 2,892.38 ENERGY SVC PORTFOLIO 98.10 FIDELITY SELECT PORTFOLIOS 4,819.46 4,843.15 FOOD & AGRICULTURE PORTFOLIO 57.17 FIDELITY SELECT PORTFOLIOS 2,507.37 2,199.29 BROKERAGE &INVT MGMT PORTFOLIO 171.59 FIDELITY SELECT PORTFOLIOS 7,514.98 11,618.02 COMPUTERS PORTFOLIO
-S10- 30 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 110.72 FIDELITY UN STR TR 2,116.34 2,201.19 EXPORT CO FD 7,095.61 59 WALL STR FD INC EURO EQ FD 281,624.93 260,409.03 219.70 INVESCO MULTIPLE ASSET FDS INC 3,153.10 3,517.45 BALANCE FD 267.24 INVESTCO INTL FDS INC EUROPEAN FD 5,127.89 4,775.53 672.04 INVESCO INCOME FDS HIGH YLD FD 5,000.00 4,327.96 2,154.84 JANUS INVT FD SH BEN INT 63,977.82 72,510.23 101.24 JANUS INVT FD GROWTH & INCOME FD 2,697.57 2,945.94 954.47 JANUS INVT FD WORLDWIDE FD 44,898.86 45,203.56 2,018.30 JANUS INVT FD TWENTY FD 80,791.06 107,575.23 7,577.25 KAUFMANN FD INC COM 47,301.58 43,038.78 81.27 MASSACHUSETTS INVS TR SH 1,607.66 1,645.68 BEN INT CL A 3,809.41 NEUBERGER & BERMAN EQUITY 61,737.42 55,007.82 FDS GENESIS FD 811.16 NEUBERGER & BERMAN EQUITY 18,886.58 18,186.23 FDS GUARDIAN FD 753.13 ROWE T PRICE BLUE CHIP GROWTH 21,707.49 23,045.78 FD INC COM 714.24 ROWE T PRICE DIVID GROWTH 15,628.18 15,720.33 FD INC COM 1,341.87 ROWE T PRICE EQUITY INCOME 36,135.13 35,318.02 FD SH BEN INT 326.37 ROWE T PRICE MID CAP GROWTH 10,267.71 11,122.72 FD INC COM 535.67 SCUDDER INTL FD INC GREATER 12,840.90 14,211.19 EUROPE GROWTH FUND 66.77 SELIGMAN COMMUNICATIONS & 1,809.34 2,051.93 INFORMATION FD INC CL A SHS 2,954.33 UAM FDS INC FMA SMALL CO PORTFOLIO 50,226.74 45,733.06 3,346,570.70 VANGUARD STAR FD MODERATE 50,601,476.36 56,423,182.04 GROWTH PORTFOLIO 458,430.53 VANGUARD STAR FD CONSERVATIVE GROWTH PORTFOLIO 6,479,095.52 6,743,513.13
-S11- 31 CBS EMPLOYEE INVESTMENT FUND ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES As of December 31, 1998
SHARES/ PAR VALUE SECURITY DESCRIPTION COST MARKET VALUE --------- -------------------- ---- ------------ 560,633.73 VANGUARD STAR FD GROWTH 9,640,443.06 10,534,307.69 PORTFOLIO 1,074.87 VANGUARD WORLD FD U S GROWTH 36,561.03 40,296.76 PORTFOLIO 1,001.01 VANGUARD GROWTH & INC PTF 30,136.36 30,790.98 726.70 VANGUARD/WINDSOR FD INC II 22,347.12 21,691.97 VANGUARD/WINDSOR II PORTFOLIO 1,442.68 VANGUARD INDEX TR GROWTH PORTFOLIO 40,906.77 45,689.55 1,782.31 WASHINGTON MUT INVS FD INC 59,916.00 58,655.72 ------------------- -------------------- TOTAL REGISTERED INVESTMENT COMPANIES 88,190,219.99 92,995,337.14 ------------------- -------------------- GRAND TOTAL $ 1,036,892,630.66 $ 1,160,422,760.70 ----------- =================== ====================
-S12- 32 CBS EMPLOYEE INVESTMENT FUND ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS For the year ended December 31, 1998
SHARES/ COST OF PROCEEDS COST OF ASSETS PAR VALUE SECURITY DESCRIPTION PURCHASES FROM SALES DISPOSED GAIN/LOSS - --------- -------------------- --------- ---------- -------- --------- 3,473,942.00 VANGUARD STAR FD MODERATE GROWTH PORTFOLIO $ 51,865,954.07 -- -- -- 59,869,442.67 TBC INC POOLED EMPLOYEE FUNDS DAILY LIQUIDITY FUND 59,869,442.67 -- -- -- 49,927,840.98 TBC INC POOLED EMPLOYEE FUNDS DAILY LIQUIDITY FUND -- 49,927,840.98 49,927,840.98 -- 46,346,686.13 TBC INC POOLED EMPLOYEE FUNDS DAILY LIQUIDITY FUND -- 46,346,686.13 46,346,686.13 -- 46,346,686.13 ALLSTATE LIFE INS CO CONTRACT 5.99% 08/15/2003 46,346,686.13 -- -- -- 31,584,730.21 BARCLAY EQUITY INDEX FUND F 389,755,570.83 -- -- -- 2,251,438.00 CBS CORP COM 68,530,935.21 -- -- -- 2,104,183.00 CBS CORP COM -- 64,293,989.43 55,307,156.91 8,986,832.52 4,002,820.55 VANGUARD STAR FD MODERATE GROWTH PORTFOLIO 59,481,280.89 -- -- -- 757,018.88 VANGUARD STAR FD MODERATE GROWTH PORTFOLIO -- 11,889,995.94 11,348,023.49 541,972.45 334,396,859.02 TBC INC POOLED EMPLOYEE FUNDS DAILY LIQUIDITY FUND 334,396,859.0200 -- -- -- 378,802,464.97 TBC INC POOLED EMPLOYEE FUNDS DAILY LIQUIDITY FUND -- 378,802,464.97 378,802,464.97 -- 2,825,831.92 NEW YORK LIFE GAC-06563 7.80% 04/09/2003 2,825,831.92 -- -- --
-S13- 33 CBS EMPLOYEE INVESTMENT FUND ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS For the year ended December 31, 1998
SHARES/ COST OF PROCEEDS COST OF ASSETS PAR VALUE SECURITY DESCRIPTION PURCHASES FROM SALES DISPOSED GAIN/LOSS - --------- -------------------- --------- ---------- -------- --------- 43,408,895.30 NEW YORK LIFE GAC-06563 7.80% 04/09/2003 -- 43,408,895.30 43,408,895.30 -- 34,190,970.24 JOHN HANCOCK MUTUAL LIFE #8379 6.00% 06/30/2001 34,190,970.2400 -- -- -- 31,792,905.28 JOHN HANCOCK MUTUAL LIFE #8379 6.00% 06/30/2001 -- 31,792,905.28 31,792,905.28 -- 63,750,823.55 ALLSTATE LIFE INS CO CONTRACT 5.99% 08/15/2003 63,750,823.55 -- -- -- 9,444,745.34 ALLSTATE LIFE INS CO CONTRACT 5.99% 08/15/2003 -- 9,444,745.34 9,444,745.34 -- 42,124,555.58 STATE STREET BANK & TRUST GIC 5.33% 8/19/2003 42,124,555.5800 -- -- -- 11,999,950.70 STATE STREET BANK & TRUST GIC 5.33% 8/19/2003 - 11,999,950.70 11,999,950.7000 -- 36,556,583.67 BARCLAY EQUITY INDEX FUND F 454,637,394.44 -- -- -- 6,914,164.57 BARCLAY EQUITY INDEX FUND -- 93,283,759.18 85,524,936.65 7,758,822.53
-S14- 34 SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Plan Administrator has duly caused this annual report to be signed on behalf of the Plan by the undersigned thereunto duly authorized. CBS Employee Investment Fund Dated: 6/28/99 By: /s/ A.G. Ambrosio ---------------------------- Name: A. G. Ambrosio Title: Plan Administrator 35 EXHIBIT INDEX Exhibit No. Description 23 Consent of Mitchell & Titus, LLP EX-23 2 CONSENT OF MITCHELL & TITUS, LLP 1 Exhibit 23 CONSENT OF INDEPENDENT ACCOUNTANTS We hereby consent to the incorporation by reference in the Registration Statement on Form S-8 (No. 33-44044) of our report dated June 4, 1999, included in the Annual Report of the CBS Employee Investment Fund on Form 11-K for the year ended December 31, 1998. /s/ Mitchell & Titus, LLP New York, New York June 28, 1999 -----END PRIVACY-ENHANCED MESSAGE-----