-----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, G1vjKTGFV9k6hEZE93lC5SB4YzWP3nyfwE10xpqIDcxhj1dRkzWNBs+MIgakBuyA 56hWuqLC2QV/tOPnJ97UKA== 0000004977-01-500072.txt : 20010620 0000004977-01-500072.hdr.sgml : 20010620 ACCESSION NUMBER: 0000004977-01-500072 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20001231 FILED AS OF DATE: 20010619 FILER: COMPANY DATA: COMPANY CONFORMED NAME: AFLAC INC CENTRAL INDEX KEY: 0000004977 STANDARD INDUSTRIAL CLASSIFICATION: ACCIDENT & HEALTH INSURANCE [6321] IRS NUMBER: 581167100 STATE OF INCORPORATION: GA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 11-K SEC ACT: SEC FILE NUMBER: 001-07434 FILM NUMBER: 1663154 BUSINESS ADDRESS: STREET 1: 1932 WYNNTON RD CITY: COLUMBUS STATE: GA ZIP: 31999 BUSINESS PHONE: 7063233431 FORMER COMPANY: FORMER CONFORMED NAME: AMERICAN FAMILY CORP DATE OF NAME CHANGE: 19920306 11-K 1 elevenk00.txt 401(K) SAVINGS & PROFIT SHARING PLAN FOR 2000 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 For the year ended December 31, 2000 AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN 1932 Wynnton Road Columbus, Georgia 31999 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 report to be signed on its behalf by the undersigned hereunto duly authorized. AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN Date: June 19, 2001 By: /s/ Peter T. Adams, CPA ---------------------------------- Peter T. Adams, CPA Vice President, Human Resources - Support AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN Table of Contents ----------------- Page ---- Independent Auditors' Report 1 Statements of Net Assets Available for Plan Benefits 2 Statements of Changes in Net Assets Available for Plan Benefits 3 Notes to Financial Statements 4-7 Schedule of Assets Held for Investment Purposes 8 Exhibit 23 - Independent Auditors' Consent 9 i INDEPENDENT AUDITORS' REPORT The Pension Committee AFLAC Incorporated 401(k) Savings and Profit Sharing Plan: We have audited the accompanying statements of net assets available for plan benefits of the AFLAC Incorporated 401(k) Savings and Profit Sharing Plan (the Plan) as of December 31, 2000 and 1999, and the related statements of changes in net assets available for plan benefits 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 auditing standards generally accepted in the United States of America. 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 plan benefits of the AFLAC Incorporated 401(k) Savings and Profit Sharing Plan at December 31, 2000 and 1999, and the changes in net assets available for plan benefits for the years then ended in conformity with accounting principles generally accepted in the United States of America. Our audits were performed for the purpose of forming an opinion on the basic financial statements of the AFLAC Incorporated 401(k) Savings and Profit Sharing Plan taken as a whole. The supplementary information included in Schedule 1 is presented for the purpose of additional analysis and is not a required part of the basic financial statements but is 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. This supplemental schedule is the responsibility of the Plan's management. Such information has been subjected to the auditing procedures applied in the audits of the basic financial statements and, in our opinion, is fairly stated in all material respects in relation to the basic financial statements taken as a whole. KPMG LLP June 8, 2001 Atlanta, Georgia 1 AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN Statements of Net Assets Available for Plan Benefits December 31, 2000 1999 ---------- ---------- Assets: Investments (Note 5) $ 87,195,546 $ 62,249,962 Cash 342,023 832,824 ----------- ----------- Total assets 87,537,569 63,082,786 ----------- ----------- Liabilities: Excess employee contributions payable 70,576 20,258 Other 285,143 221,831 ----------- ----------- Total liabilities 355,719 242,089 ----------- ----------- Net assets available for plan benefits $ 87,181,850 $ 62,840,697 =========== =========== See accompanying Notes to Financial Statements. 2 AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN Statements of Changes in Net Assets Available for Plan Benefits Years ended December 31, 2000 1999 ---------- ---------- Contributions: Participant withholdings $ 4,855,022 $ 4,494,860 Participant transfers from other plans 462,320 636,852 Employer matching 2,098,263 1,860,937 ----------- ----------- Total contributions 7,415,605 6,992,649 Interest and dividend income 4,211,306 2,012,276 Net appreciation in fair value of investments (Note 5) 16,093,754 4,055,148 Distributions to participants (3,239,583) (2,961,928) Forfeitures (139,929) (22,642) ----------- ----------- Increase in net assets 24,341,153 10,075,503 Net assets available for plan benefits: Beginning of year 62,840,697 52,765,194 ----------- ----------- End of year $ 87,181,850 $ 62,840,697 =========== =========== See accompanying Notes to Financial Statements. 3 AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN Notes to Financial Statements December 31, 2000 and 1999 (1) DESCRIPTION OF THE PLAN The AFLAC Incorporated 401(k) Savings and Profit Sharing Plan (the Plan) was established for the benefit of the employees of AFLAC Incorporated and related companies, American Family Life Assurance Company of Columbus (excluding Japan Branch employees), American Family Life Assurance Company of New York, AFLAC International, Inc., and Communicorp, Inc. (collectively "the Company"). The following description provides only general information. Participants should refer to the Plan agreement for a more complete description of the Plan's provisions. (a) GENERAL. The Plan is subject to certain provisions of the Employee Retirement Income Security Act of 1974 (ERISA). Eligible employees may voluntarily participate in the Plan on the first day of the month which coincides with or next follows the completion of thirty days of employment. The Plan is administered by a plan administrator appointed by AFLAC Incorporated's Board of Directors. All Plan expenses are paid by the Company. (b) CONTRIBUTIONS. Contributions to the Plan are made by both participants and the Company. For the years 2000 and 1999, participants could contribute through payroll deductions from 1% to 22% of their aggregate compensation, subject to certain limitations. The first 1% to 6% of participants' compensation contributed may be subject to a percentage matching contribution by the Company. For the years ended December 31, 2000 and 1999, subject to certain limitations, the Company's matching contribution was 50% of the portion of the participants' contributions, which were not in excess of 6% of the participants'compensation. (c) PARTICIPANT ACCOUNTS. An account is maintained for each participant and is credited with participant contributions and investment earnings/losses thereon. Contributions may be invested in one or more of the investment funds available under the Plan at the direction of the participant. A separate account is maintained with respect to each participant's interest in the Company's matching contributions. Amounts in this account are apportioned and invested in the same manner as the participant's account. 4 (d) VESTING. Participants are 100% vested in their contributions plus actual investment earnings/losses thereon. Participants become vested in the Company's contribution according to the following schedule. Years of Service Vested Percentage ---------------- ----------------- Less than 1 0% 1 20% 2 40% 3 60% 4 80% 5 or more 100% A participant's interest in the Company's contributions is also vested upon termination either because of death or disability or after attaining his/her early retirement date or normal retirement age. Participants forfeit the portion of their interest which is not vested upon termination of employment. These forfeitures are available to reduce the Company's future matching contribution. (e) DISTRIBUTIONS. Participants may receive a distribution equal to the vested value of their account upon death, disability, retirement, or termination of either the participant's employment or the Plan. Distributions may only be made in the form of a lump-sum cash payment and/or AFLAC Incorporated common stock. The Plan permits in-service withdrawals for a participant who is 100% vested in the Company's contribution and has attained age 60. (f) LOANS Participants are allowed to borrow from their accounts. The minimum amount of any loan is $1,000. The maximum amount of any loan is such that when the amount of the loan is added to the outstanding balance of all other loans made to the participant from the Plan (and any other plans maintained by the employer or any related companies) the total does not exceed the lesser of: a. 50% of the participant's vested accrued benefit (as defined in the Plan); or b. $50,000, reduced by the amount, if any, of the highest balance of all outstanding loans to the participant during the one-year period ending on the day prior to the day on which the loan is made. 5 (g) AGREEMENTS WITH TRUSTEE. The assets of the Plan are held in a trust maintained by Charles Schwab Trust Company. (2) SUMMARY OF ACCOUNTING POLICIES (a) BASIS OF PRESENTATION. The accompanying statements of net assets available for plan benefits and changes in net assets available for plan benefits have been prepared on the accrual basis of accounting. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of net assets available for plan benefits and changes therein. Actual results could differ from those estimates. (b) INVESTMENTS. Investments are stated at fair value based upon quotations obtained from national security exchanges or the value as determined by the managers of the money market and mutual funds. Securities transactions are accounted for on the trade date (the date the order to buy or sell is executed). Realized gains and losses on the sale of investments are calculated based on the difference between selling price and cost on an average cost basis. (3) FEDERAL INCOME TAXES The Internal Revenue Service has determined and informed the Company by letter dated August 7, 1997, that the Plan and related trust are in accordance with applicable sections of the Internal Revenue Code. Participants in the Plan are not subject to federal income taxes on their contributions, on amounts contributed by the employer, or on earnings or appreciation of investments held by the Plan until withdrawn by the participant or distributed to the participant's named beneficiary in the event of death. (4) PLAN TERMINATION Although it has not expressed any intent to do so, the Company has the right to terminate the Plan at any time subject to the provisions of ERISA. In the event of Plan termination, participants would become 100% vested in their accounts. 6 (5) INVESTMENT FUNDS The following table presents the fair value of individual investments which exceed 5% of the Plan's net assets: 2000 1999 ---------- ---------- Mutual Funds: Davis New York Venture A Fund $ 7,190,006 $ 5,984,681 Dodge & Cox Balanced Fund 5,661,243 4,348,347 Dodge & Cox Stock Fund 9,355,355 8,083,217 Alliance Premier Growth Fund 3,736,813 3,516,749 AFLAC Incorporated common stock 51,887,855 33,671,538 During 2000 and 1999, the Plan's investments (including gains and losses on investments bought and sold, as well as held during the year) appreciated (depreciated) in value as follows: 2000 1999 ---------- ---------- Mutual Funds $(2,085,397) $ 1,921,751 Common Stock 18,179,151 2,133,397 ---------- ---------- Total Investments $16,093,754 $ 4,055,148 ========== ========== 7 Schedule 1 AFLAC INCORPORATED 401(k) SAVINGS AND PROFIT SHARING PLAN Schedule of Assets Held for Investment Purposes December 31, 2000 Description Current Value - --------------- ------------- Money Market Funds - ------------------ Schwab Institutional Advantage Money Fund* $ 3,086,039 ----------- Mutual Funds - ------------ Alliance Premier Growth Fund 3,736,813 Columbia Fixed Income Securities Fund 770,103 Davis New York Venture A Fund 7,190,006 Dodge & Cox Balanced Fund 5,661,243 Dodge & Cox Stock Fund 9,355,355 Invesco Dynamics Fund 397,267 Julius Baer International Equity A Fund 954,509 Rydex Series Trust OTC Inv Fund 443,660 Schwab S&P 500 Investors Fund* 617,571 ----------- Total Mutual Funds 29,126,527 ----------- AFLAC Incorporated common stock* 51,887,855 Participant loans receivable (with varying interest rates and maturity dates) 3,095,125 ----------- Total Investments $ 87,195,546 =========== * Indicates party-in-interest per ERISA Section 406. 8 EX-23 2 exh2311k00.txt AUDITOR'S CONSENT 401(K) EXHIBIT 23 INDEPENDENT AUDITORS' CONSENT The Pension Committee AFLAC Incorporated 401(k) Savings and Profit Sharing Plan: We consent to incorporation by reference in Registration Statement No. 33-41552 on Form S-8 of AFLAC Incorporated of our report dated June 8, 2001, relating to the statements of net assets available for plan benefits of the AFLAC Incorporated 401(k) Savings and Profit Sharing Plan as of December 31, 2000 and 1999, and the related statements of changes in net assets available for plan benefits for the years then ended, and the related schedule, which report appears in the December 31, 2000 annual report on Form 11-K of AFLAC Incorporated. KPMG LLP June 8, 2001 Atlanta, Georgia 9 -----END PRIVACY-ENHANCED MESSAGE-----