-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, DFrdhFKWMd02NABDCPsd797OGU69q2xI+0/L5F2ARDzVKX+8Mq9buKqewsCQ7rWJ nst+fJ27fDeJcpBgcc51oQ== 0000950123-94-001106.txt : 19940707 0000950123-94-001106.hdr.sgml : 19940707 ACCESSION NUMBER: 0000950123-94-001106 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19931231 FILED AS OF DATE: 19940629 FILER: COMPANY DATA: COMPANY CONFORMED NAME: TERRA INDUSTRIES INC CENTRAL INDEX KEY: 0000722079 STANDARD INDUSTRIAL CLASSIFICATION: 5190 IRS NUMBER: 521145429 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 11-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-08520 FILM NUMBER: 94536679 BUSINESS ADDRESS: STREET 1: TERRA CENTRE 600 4TH ST STREET 2: P.O. BOX 6000 CITY: SIOUX CITY STATE: IA ZIP: 51102-6000 BUSINESS PHONE: 7122771340 MAIL ADDRESS: STREET 1: TERRA CENTER STREET 2: 600 4TH ST P O BOX 6000 CITY: SIOUX CITY STATE: IA ZIP: 51102-6000 FORMER COMPANY: FORMER CONFORMED NAME: INSPIRATION RESOURCES CORP DATE OF NAME CHANGE: 19920517 11-K 1 TERRA INDUSTRIES FORM 11-K 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 11-K (Mark One) / X / ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (FEE REQUIRED) For the Year Ended December 31, 1993 OR / / TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (NO FEE REQUIRED) For the Transition Period From to Commission File Number I-8520 A. Full title of the Plan and the address of the Plan, if different from that of the issuer named below: TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN B. Name of issuer of the securities held pursuant to the Plan and the address of its principal executive office: TERRA INDUSTRIES INC. TERRA CENTRE 600 FOURTH STREET P.O. BOX 6000 SIOUX CITY, IOWA 51102-6000 2 REQUIRED INFORMATION Plan financial statements and schedules are prepared in accordance with the financial reporting requirements of ERISA and are included therein as listed in the table of contents below. Table of Contents (a) Financial Statements Pages Independent Auditors' Report 3 Statements of Net Assets Available for Benefits at December 31, 1993 and 1992 4-5 Statements of Changes in Net Assets Available for Benefits for the Years Ended December 31, 1993 and 1992 6-7 Notes to Financial Statements 8-11 (b) Supplemental Schedules Schedule of Assets Held for Investment Purposes 12 Schedule of Reportable Transactions 13-14 (c) Exhibits Exhibit E - Independent Auditors' Consent 15 3 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the members of the Terra Industries Inc. Employee Benefit Committee have duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN Date: June 29, 1994 By /S/ GEORGE H. VALENTINE ---------------- ------------------------------- George H. Valentine Vice President, General Counsel and Corporate Secretary 4 [DELOITTE & TOUCHE LETTERHEAD] INDEPENDENT AUDITORS' REPORT To the Participants and Administrator of the Terra Industries Inc. Employees' Savings and Investment Plan We have audited the accompanying statements of net assets available for benefits of the Terra Industries Inc. Employees' Savings and Investment Plan as of December 31, 1993 and 1992, and the related statements of changes in net assets available for 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 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, such financial statements present fairly, in all material respects, the net assets available for benefits of the Terra Industries Inc. Employees' Savings and Investment Plan as of December 31, 1993 and 1992, and the changes in net assets available for benefits for the years then ended in conformity with generally accepted accounting principles. Our audits were conducted for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental schedules of (1) assets held for investment purposes as of December 31, 1993, and (2) reportable transactions for the year ended December 31, 1993, are presented for purposes 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. These schedules are the responsibility of the Plan's management. Such schedules have been subjected to our auditing procedures applied on the audit of the 1993 basic financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. /S/ DELOITTE & TOUCHE - - ------------------------- DELOITTE & TOUCHE Omaha, Nebraska April 15, 1994 5 TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS DECEMBER 31, 1993
- - -------------------------------------------------------------------------------------------------------------------- Employer Directed Participant Directed -------- ----------------------------------------------- Terra Terra Industries Industries Inc. Inc. Voluntary Equity Common Stock Common Stock Income Intermediate Fund Fund Fund Fund ASSETS: Investments, at fair value: Terra Industries Inc. Common Stock $10,196,188 $1,666,955 $ - $ - Vista Growth and Income Fund - - 6,906,992 - Vista U.S. Government Income Fund - - - 4,846,417 Fidelity Magellan Fund - - - - Vista U.S. Government Money Market Fund - - - - Chase Bank Domestic Liquidity Fund 51,766 232 - - ---------- ---------- ---------- ---------- Total investments at fair value 10,247,954 1,667,187 6,906,992 4,846,417 Loans to participants - - - - ---------- ---------- ---------- ---------- Total investments 10,247,954 1,667,187 6,906,992 4,846,417 Employer contributions receivable 22,349 - - - Participant contributions receivable - 10,661 44,166 28,936 Cash 4 27 8 13 ---------- ---------- ---------- ---------- Total assets 10,270,307 1,677,875 6,951,166 4,875,366 LIABILITIES: Accrued administrative expenses - - 12,766 9,571 ---------- ---------- ---------- ---------- Total liabilities - - 12,766 9,571 ---------- ---------- ---------- ---------- Net assets available for benefits $10,270,307 $1,677,875 $6,938,400 $4,865,795 ========== ========== ========== ==========
See notes to financial statements.
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS DECEMBER 31, 1993 - - ------------------------------------------------------------------------------------------------------------------------- Participant Directed ------------------------------------------------------------------- Money Stock Market Participant Fund Fund Loans Total ASSETS: Investments, at fair value: Terra Industries Inc. Common Stock $ - $ - $ - $11,863,143 Vista Growth and Income Fund - - - 6,906,992 Vista U.S. Government Income Fund - - - 4,846,417 Fidelity Magellan Fund 9,217,006 - - 9,217,006 Vista U.S. Government Money Market Fund - 2,786,381 - 2,786,381 Chase Bank Domestic Liquidity Fund - - - 51,998 ---------- ---------- ---------- ---------- Total investments at fair value 9,217,006 2,786,381 - 35,671,937 Loans to participants - - 1,116,198 1,116,198 ---------- ---------- ---------- ---------- Total investments 9,217,006 2,786,381 1,116,198 36,788,135 Employer contributions receivable - - - 22,349 Participant contributions receivable 47,212 21,321 - 152,296 Cash 1 6,563 - 6,616 ---------- ---------- ---------- ---------- Total assets 9,264,219 2,814,265 1,116,198 36,969,396 LIABILITIES: Accrued administrative expenses 16,974 5,552 - 44,863 ---------- ---------- ---------- ---------- Total liabilities 16,974 5,552 - 44,863 ---------- ---------- ---------- ---------- Net assets available for benefits $9,247,245 $2,808,713 $1,116,198 $36,924,533 ========== ========== ========== ==========
See notes to financial statements. -4- 6 TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS DECEMBER 31, 1992 - - -------------------------------------------------------------------------------------------------------------- Employer Directed Participant Directed -------------- ----------------------------------------------- Terra Terra Industries Industries Inc. Inc. Voluntary Equity Common Stock Common Stock Income Intermediate Fund Fund Fund Fund ASSETS: Investments, at fair value: Terra Industries Inc. Common Stock $5,299,269 $480,683 $ - $ - Fidelity Equity Income Fund - - 4,944,269 - Fidelity Intermediate Fund - - - 4,926,796 Fidelity Magellan Fund - - - - Fidelity Cash Reserves Fund - - - - Chase Bank Domestic Liquidity Fund 89,288 236 - - ---------- -------- ---------- ---------- Total investments at fair value 5,388,557 480,919 4,944,269 4,926,796 Loans to participants - - - - ---------- -------- ---------- ---------- Total investments 5,388,557 480,919 4,944,269 4,926,796 Employer contributions receivable 60,409 - - - Participant contributions receivable - - 33,644 33,644 Cash - 18 - - ---------- -------- ---------- ---------- Total assets 5,448,966 480,937 4,977,913 4,960,440 LIABILITIES: Accrued administrative expenses - - 13,877 14,310 ---------- -------- ---------- ---------- Total liabilities - - 13,877 14,310 ---------- -------- ---------- ---------- Net assets available for benefits $5,448,966 $480,937 $4,964,036 $4,946,130 ========== ======== ========== ==========
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS DECEMBER 31, 1992 - - ----------------------------------------------------------------------------------------------------------------- Participant Directed ------------------------------------------------------------- Money Stock Market Participant Fund Fund Loans Total ASSETS: Investments, at fair value: Terra Industries Inc. Common Stock $ - $ - $ - $5,779,952 Fidelity Equity Income Fund - - - 4,944,269 Fidelity Intermediate Fund - - - 4,926,796 Fidelity Magellan Fund 6,907,256 - - 6,907,256 Fidelity Cash Reserves Fund - 3,095,490 - 3,095,490 Chase Bank Domestic Liquidity Fund - 19,150 - 108,674 ---------- ---------- ---------- ----------- Total investments at fair value 6,907,256 3,114,640 - 25,762,437 Loans to participants - - 1,015,784 1,015,784 ---------- ---------- ---------- ---------- Total investments 6,907,256 3,114,640 1,015,784 26,778,221 Employer contributions receivable - - - 60,409 Participant contributions receivable 43,456 29,438 - 140,182 Cash - - - 18 ---------- ---------- ---------- ----------- Total assets 6,950,712 3,144,078 1,015,784 26,978,830 LIABILITIES: Accrued administrative expenses 19,633 8,986 - 56,806 ---------- ---------- ---------- ----------- Total liabilities 19,633 8,986 - 56,806 ---------- ---------- ---------- ----------- Net assets available for benefits $6,931,079 $3,135,092 $1,015,784 $26,922,024 ========== ========== ========== ===========
See notes to financial statements. -5- 7 TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE YEAR ENDED DECEMBER 31, 1993 - - ----------------------------------------------------------------------------------------------------------- Employer Directed Participant Directed ------------ --------------------------------------- Terra Terra Industries Industries Inc. Inc. Voluntary Equity Common Stock Common Stock Income Intermediate Fund Fund Fund Fund Investment income: Dividend, interest, and other income $27,362 $4,671 $56,029 $267,222 Net appreciation in fair value of investments 3,873,921 675,736 582,470 132,226 ----------- ---------- ---------- ---------- Total investment income 3,901,283 680,407 638,499 399,448 Employer contributions 1,319,912 - - - Participant contributions - 282,350 1,030,059 697,542 ----------- ---------- ---------- ---------- Total additions 5,221,195 962,757 1,668,558 1,096,990 Deductions: Benefit payments 399,579 10,004 458,586 457,736 Administrative expenses - - 27,926 21,798 Interfund transfers/net loans 275 (244,185) (792,318) 697,791 ----------- ---------- ---------- ---------- Total deductions 399,854 (234,181) (305,806) 1,177,325 ----------- ---------- ---------- ---------- Net increase (decrease) 4,821,341 1,196,938 1,974,364 (80,335) Assets available for benefits: Beginning of year 5,448,966 480,937 4,964,036 4,946,130 ----------- ---------- ---------- ---------- End of year $10,270,307 $1,677,875 $6,938,400 $4,865,795 =========== ========== ========== ==========
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE YEAR ENDED DECEMBER 31, 1993 - - ------------------------------------------------------------------------------------------------ Participant Directed -------------------------------------------------------- Money Stock Market Participant Fund Fund Loans Total Investment income: Dividend, interest, and other income $642,871 $76,970 $59,277 $1,134,402 Net appreciation in fair value of investments 1,066,860 - - 6,331,213 ---------- ---------- ---------- ----------- Total investment income 1,709,731 76,970 59,277 7,465,615 Employer contributions - - - 1,319,912 Participant contributions 1,097,071 543,010 - 3,650,032 ---------- ---------- ---------- ----------- Total additions 2,806,802 619,980 59,277 12,435,559 Deductions: Benefit payments 346,496 632,316 31,328 2,336,045 Administrative expenses 35,105 12,176 - 97,005 Interfund transfers/net loans 109,035 301,867 (72,465) - ---------- ---------- ---------- ----------- Total deductions 490,636 946,359 (41,137) 2,433,050 ---------- ---------- ---------- ----------- Net increase (decrease) 2,316,166 (326,379) 100,414 10,002,509 Assets available for benefits: Beginning of year 6,931,079 3,135,092 1,015,784 26,922,024 ---------- ---------- ---------- ----------- End of year $9,247,245 $2,808,713 $1,116,198 $36,924,533 ========== ========== ========== ===========
See notes to financial statements. -6- 8 TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE YEAR ENDED DECEMBER 31, 1992 - - ------------------------------------------------------------------------------ Employer Directed Participant Directed ------------ ------------------------------------ Terra Terra Industries Industries Inc. Inc. Voluntary Equity Common Stock Common Stock Income Intermediate Fund Fund Fund Fund Investment income: Dividend, interest, and other income $1,854 $537 $175,293 $371,561 Net appreciation (depreciation) in fair value of investments (234,634) (55,423) 444,331 (83,676) ---------- -------- ---------- ---------- Total investment income (232,780) (54,886) 619,624 287,885 Employer contributions 1,232,859 - - - Participant contributions - 15,222 794,277 777,215 ---------- -------- ---------- ---------- Total additions 1,000,079 (39,664) 1,413,901 1,065,100 Deductions: Benefit payments 515,580 4,564 397,869 618,248 Administrative expenses - - 37,348 39,432 Interfund transfers/net loans - (525,165) 112,505 (19,596) ---------- -------- ---------- ---------- Total deductions 515,580 (520,601) 547,722 638,084 ---------- -------- ---------- ---------- Net increase (decrease) 484,499 480,937 866,179 427,016 Assets available for benefits: Beginning of year 4,964,467 - 4,097,857 4,519,114 ---------- -------- ---------- ---------- End of year $5,448,966 $480,937 $4,964,036 $4,946,130 ========== ======== ========== ==========
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS FOR THE YEAR ENDED DECEMBER 31, 1992 - - ------------------------------------------------------------------------------ Participant Directed ------------------------------------------------ Money Stock Market Participant Fund Fund Loans Total Investment income: Dividend, interest, and other income $745,208 $122,372 $109,945 $1,526,770 Net appreciation (depreciation) in fair value of investments (300,423) - - (229,825) ---------- ---------- ---------- ----------- Total investment income 444,785 122,372 109,945 1,296,945 Employer contributions - - - 1,232,859 Participant contributions 1,082,660 767,045 - 3,436,419 ---------- ---------- ---------- ----------- Total additions 1,527,445 889,417 109,945 5,966,223 Deductions: Benefit payments 506,989 524,671 48,171 2,616,092 Administrative expenses 53,129 24,762 - 154,671 Interfund transfers/net loans (400,940) 912,409 (79,213) - ---------- ---------- ---------- ----------- Total deductions 159,178 1,461,842 (31,042) 2,770,763 ---------- ---------- ---------- ----------- Net increase (decrease) 1,368,267 (572,425) 140,987 3,195,460 Assets available for benefits: Beginning of year 5,562,812 3,707,517 874,797 23,726,564 ---------- ---------- ---------- ----------- End of year $6,931,079 $3,135,092 $1,015,784 $26,922,024 ========== ========== ========== ===========
See notes to financial statements. -7- 9 TERRA INDUSTRIES INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN NOTES TO FINANCIAL STATEMENTS YEARS ENDED DECEMBER 31, 1993 AND 1992 A. DESCRIPTION OF PLAN The following brief description of the Terra Industries Inc. Employees' Savings and Investment Plan (the Plan) is provided for general information only. Participants should refer to the Plan Agreement for more complete information. GENERAL - The Plan, established as of January 1, 1984, is a defined contribution plan covering eligible employees of Terra Industries Inc. and eligible subsidiaries and affiliates (collectively, the Company). The Plan is subject to the Employee Retirement Income Security Act of 1974 (ERISA) and is administered by the Employee Benefit Committee (the Committee) of the Company. The assets of the Plan are held by the Chase Manhattan Bank, N.A., the trustee of the Plan. PARTICIPATION - All active employees of the Company are eligible for Plan participation on the first day of the month following the date their employment commenced. Participation in the Plan is voluntary. PARTICIPANTS' ACCOUNTS - Each participant's account is credited with the participant's contributions, the employer's matching contributions and an allocation of fund earnings. A participant's benefit is limited to the amount that can be provided from the participant's account, subject to the applicable vesting requirements. CONTRIBUTIONS - Participants earning $64,245 and $62,345 or less annually in 1993 and 1992, respectively, could elect to contribute up to 10% of their annual compensation on a pretax basis and 10% on an after-tax basis. Participants earning more than $64,245 and $62,345 in 1993 and 1992, respectively, could contribute up to 6% of their annual compensation on a combined pretax and after-tax basis. The maximum participant pretax contribution was $8,994 in 1993 and $8,728 in 1992. Participants may elect to invest their contributions in one or more of the five available participant directed investment options. EMPLOYER - The Company contributes an amount determined by its Board of Directors, currently equal to one half of the participants' contributions up to 6% of their annual compensation for both 1993 and 1992. The contributions made by the Company must be invested in the Terra Industries Inc. Common Stock Fund. The Company may elect to make an additional contribution, subject to certain limitations as defined in the Plan, in such amount as its Board of Directors shall determine. No such additional contributions were made in 1993 or 1992. Employer contributions are reduced by the amount of any participant forfeitures during the period. Participant forfeitures amounted to $34,819 and $47,493 in 1993 and 1992, respectively. - 8 - 10 MAXIMUM CONTRIBUTIONS PER PARTICIPANT - The sum of a participant's contribution and employer matching contribution cannot exceed the lesser of $30,000 or 25% of net compensation of the participant. Net compensation is defined as total participant compensation less any pretax contributions made by the participant. Eligible compensation was limited to $235,840 and $228,860 per year 1993 and 1992, respectively. VESTING - Participants are immediately fully vested in their contributions and earnings on their voluntary contributions. Employer contributions vest at a rate of 20% per year, until fully vested after five years of service. PARTICIPANT LOANS - Participants may borrow from the vested balance of their individual contribution accounts subject to maximum limitations as defined in the Plan. Loan repayments are reinvested in the funds in accordance with the participant's investment election at the time of repayment. BENEFITS - Participants or their beneficiaries are eligible to receive the value of their vested account balance upon the occurrence of one of the following: early or normal retirement; termination of employment; death or total disability. B. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES VALUATION OF INVESTMENTS - Investments, except for loans to participants, are reported at fair value, which is determined, in the case of Terra Industries Inc.'s Common Stock, from the latest available market quotations and, in the case of investments in mutual funds, at quoted net asset value. Dividend income is recorded on the ex-dividend date. Participant loans are reported at the outstanding balance. The Plan has investments in six funds. The net assets and net investment income of the funds are allocated to the participants in the Plan based upon each participant's participation relative to the total participation in each of the six investment funds. A summary description of each investment fund follows: TERRA INDUSTRIES INC. COMMON STOCK FUND (EMPLOYER DIRECTED) - A fund invested primarily in Terra Industries Inc. Common Stock which is limited to employer contributions only. TERRA INDUSTRIES INC. VOLUNTARY COMMON STOCK FUND (PARTICIPANT DIRECTED) - A fund invested primarily in Terra Industries Inc. Common Stock. EQUITY INCOME FUND (PARTICIPANT DIRECTED) - A fund invested primarily in shares of Vista Growth and Income Fund, which is comprised primarily of income producing equity securities and securities convertible into such equity securities. INTERMEDIATE FUND (PARTICIPANT DIRECTED) - A fund invested primarily in shares of Vista U.S. Government Income Fund, which is comprised primarily of debt obligations backed by the full faith and credit of the U.S. Government. STOCK FUND (PARTICIPANT DIRECTED) - A fund invested primarily in shares of Fidelity Magellan Fund, which is comprised primarily of common stocks and which seeks long- term capital appreciation. MONEY MARKET FUND (PARTICIPANT DIRECTED) - A fund invested primarily in shares of Vista U.S. Government Money Market Fund so as to preserve capital and maintain a high degree of liquidity. - 9 - 11 BENEFITS PAYABLE - The Plan's policy is to record benefit payments upon distribution of balances to participants. Benefits due and unpaid to retired and terminated participants were $603,825 and $563,842 at December 31, 1993 and 1992, respectively. ADMINISTRATIVE EXPENSES - Administrative expenses are comprised of charges relating to routine services provided by the Plan's trustee and recordkeeping agent and fees associated with the annual audit of the Plan's financial statements. Administrative expenses are allocated to the investment funds, other than the Terra Industries Inc. Common Stock Fund and the Terra Industries Inc. Voluntary Common Stock Fund, based upon the fair value of each fund's investment relative to the total fair value of all investment funds to which expenses are allocated. C. INVESTMENTS The fair value of the Plan's investments, other than loans to participants, by basis of valuation, are presented in the following tables. Investments that represent 5% or more of the Plan's investments are separately identified.
December 31, 1993 Number of Shares or Principal Amount Fair Value Investments at Fair Value as Determined by Quoted Market Price: Terra Industries Inc. Common Stock 1,555,822 $11,863,143 Vista Growth and Income Fund 225,350 6,906,992 Vista U.S. Government Income Fund 414,578 4,846,417 Fidelity Magellan Fund 130,092 9,217,006 Vista U.S. Government Money Market Fund 2,786,381 2,786,381 Chase Bank Domestic Liquidity Fund 51,998 51,998 ----------- $35,671,937 ===========
- 10 - 12
December 31, 1992 Number of Shares or Principal Amount Fair Value Investments at Fair Value as Determined by Quoted Market Price: Terra Industries Inc. Common Stock 1,216,832 $ 5,779,952 Fidelity Equity Income Fund 170,433 4,944,269 Fidelity Intermediate Bond Fund 473,275 4,926,796 Fidelity Magellan Fund 109,622 6,907,256 Fidelity Cash Reserves Fund 3,095,490 3,095,490 Chase Bank Domestic Liquidity Fund 108,674 108,674 ----------- $25,762,437 ===========
D. PLAN TERMINATION The Company specifically reserves the right to amend or terminate the Plan or to discontinue contributions at any time. Upon termination, a participant's entire account will become fully vested and the assets shall be administered in the manner provided for in the Plan. E. FEDERAL INCOME TAX STATUS The Internal Revenue Service (IRS) has ruled that the Plan, as established on January 1, 1984, meets the requirements of Section 401 (a) of the Internal Revenue Code (the Code) and is exempt from federal income taxes under Section 501 (a) of the Code. A determination letter to this effect has been received from the Internal Revenue Service, dated March, 1986. The Plan administrator believes that the Plan, as amended January 1, 1993, is in compliance with current regulations. Therefore, no provision for income taxes has been included in the Plan's financial statements. Plan income, participant pretax contributions and employer contributions represent taxable income to the participating employees at the time of distribution in accordance with IRS regulations currently in effect. - 11 - 13 TERRA INDUSTRIES, INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN PN 333 EIN #52-1145429
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES December 31, 1993 - - ------------------------------------------------------------------------------------------------------------------------ Column B Column C Column D Column E Description of investment Identity of issue, including collateral, rate borrower, lessor or of interest, maturity date, Current similar party par or maturity value Cost Value Common Stock: - - ------------- * Terra Industries, Inc. 1,555,822 shares $7,809,225 $11,863,143 Mutual Funds: - - ------------- * Vista Growth and Income Fund 225,350 shares 6,351,262 6,906,992 * Vista U.S. Government Income Fund 414,578 shares 4,783,498 4,846,417 Fidelity Magellan Fund 130,092 shares 8,098,760 9,217,006 * Vista U.S. Government Money Market Fund 2,786,381 shares 2,786,381 2,786,381 Other Investments: - - ------------------ * Chase Bank Domestic Liquidity Fund 51,998 shares 51,998 51,998 * Loans to Participants Principal balance of $1,116,198 bearing interest at rates ranging from 8% to 14% and maturing from January 1994 to November 2022 - 1,116,198 * Party-In-Interest
-12- 14 TERRA INDUSTRIES, INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN PN 333 EIN #52-1145429
ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS FOR THE YEAR ENDED DECEMBER 31, 1993 - - ------------------------------------------------------------------------------------------------------------------------ Column A Column B Column C Column D Identity of Purchase Selling Party Involved Description of Asset Price Price Single Transactions: - - -------------------- Fidelity Institutional Fidelity Equity Income Retirement Services Company Fund $ - $4,928,930 Fidelity Institutional Fidelity Intermediate Retirement Services Company Bond Fund - 4,955,858 Fidelity Institutional Fidelity Cash Reserves Retirement Services Company Fund - 3,096,940 * Chase Manhattan Bank, Vista Growth and N.A. Income Fund 4,929,484 - * Chase Manhattan Bank, Vista U.S. Government N.A. Income Fund 4,956,965 - * Chase Manhattan Bank, Vista U.S. Government N.A. Money Market Fund 3,098,047 - * Party-In-Interest
ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS FOR THE YEAR ENDED DECEMBER 31, 1993 - - ----------------------------------------------------------------------------------------------------------------- Column A Column G Column H Column I Current Value Identity of Cost of on Transaction Net Gain Party Involved Asset Date or (Loss) Single Transactions: - - -------------------- Fidelity Institutional Retirement Services Company $4,337,639 $4,928,930 $591,291 Fidelity Institutional Retirement Services Company 4,808,753 4,955,858 147,105 Fidelity Institutional Retirement Services Company 3,096,940 3,096,940 - * Chase Manhattan Bank, N.A. 4,929,484 4,929,484 - * Chase Manhattan Bank, N.A. 4,956,965 4,956,965 - * Chase Manhattan Bank, N.A. 3,098,047 3,098,047 - * Party-In-Interest
-13- 15 TERRA INDUSTRIES, INC. EMPLOYEES' SAVINGS AND INVESTMENT PLAN PN 333 EIN #52-1145429
ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS FOR THE YEAR ENDED DECEMBER 31, 1993 - - ------------------------------------------------------------------------------------------------------------------------ Column A Column B Column C Column D Identity of Number of Number of Party Involved Description of Asset Purchases Sales Series of Transactions: * Terra Industries, Inc. Common Stock 58 26 Fidelity Institutional Retirement Services Company Fidelity Magellan Fund 62 40 Fidelity Institutional Fidelity Equity Income Retirement Services Company Fund - 1 Fidelity Institutional Fidelity Intermediate Retirement Services Company Bond Fund 1 1 Fidelity Institutional Fidelity Cash Retirement Services Company Reserves Fund 1 1 * Chase Manhattan Bank, N.A. Vista Growth and Income Fund 55 33 * Chase Manhattan Bank, N.A. Vista U.S. Government Income Fund 53 42 * Chase Manhattan Bank, N.A. Vista U.S. Government Money Market Fund 61 46 * Chase Manhattan Bank, N.A. Chase Bank Domestic Liquidity Fund 264 180 * Party-In-Interest
ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS FOR THE YEAR ENDED DECEMBER 31, 1993 - - --------------------------------------------------------------------------------------------------------------- Column A Column E Column F Column G Total Dollar Total Dollar Identity of Value of Value of Net Gain Party Involved Purchases Sales or (Loss) Series of Transactions: * Terra Industries, Inc. $1,751,807 $218,272 ($38,347) Fidelity Institutional Retirement Services Company 2,392,695 1,149,804 317,747 Fidelity Institutional Retirement Services Company - 4,928,930 591,291 Fidelity Institutional Retirement Services Company 5,397 4,955,858 147,105 Fidelity Institutional Retirement Services Company 1,450 3,096,940 - * Chase Manhattan Bank, N.A. 6,881,297 572,114 42,079 * Chase Manhattan Bank, N.A. 6,049,423 1,311,567 45,642 * Chase Manhattan Bank, N.A. 4,072,154 1,285,773 - * Chase Manhattan Bank, N.A. 13,451,718 13,508,394 - * Party-In-Interest
-14- 16 INDEPENDENT AUDITORS' CONSENT We consent to the incorporation by reference in Registration Statement 33-46734 on Form S-8 of our report dated April 15, 1994, appearing in this Annual Report on Form 11-K of the Terra Industries Inc. Employees' Savings and Investment Plan for the year ended December 31, 1993. /S/ DELOITTE & TOUCHE - - --------------------- DELOITTE & TOUCHE Omaha, Nebraska June 17, 1994 -15- -----END PRIVACY-ENHANCED MESSAGE-----