-----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, Gq6Su3MZ7TfoQs1eA8nO/8tE1A9BIMkNFUTmGZxjHq30knXfnJ2nDCBNxWfi8RVL nvMIzLN25Ukb+6uF0ZVc/g== 0001047469-98-025813.txt : 19980630 0001047469-98-025813.hdr.sgml : 19980630 ACCESSION NUMBER: 0001047469-98-025813 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19971231 FILED AS OF DATE: 19980629 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: PENN TRAFFIC CO CENTRAL INDEX KEY: 0000077155 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-GROCERY STORES [5411] IRS NUMBER: 250716800 STATE OF INCORPORATION: PA FISCAL YEAR END: 0131 FILING VALUES: FORM TYPE: 11-K SEC ACT: SEC FILE NUMBER: 001-09930 FILM NUMBER: 98656840 BUSINESS ADDRESS: STREET 1: 1200 STATE FAIR BLVD CITY: SRYACUSE STATE: NY ZIP: 13221-4737 BUSINESS PHONE: 8145369900 MAIL ADDRESS: STREET 1: 1200 STATE FAIR BLVD CITY: SYRACUSE STATE: NY ZIP: 13221-4737 11-K 1 FORM 11-K 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, 1997 (A) Full title of the plan and the address of the plan, if different from that of the issuer named below: The Penn Traffic Company 401(k) Savings Plan (B) Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: The Penn Traffic Company 1200 State Fair Boulevard Syracuse, NY 13209 The Penn Traffic Company 401(k) Savings Plan Financial Statements December 31, 1997 and 1996 THE PENN TRAFFIC COMPANY 401(k) SAVINGS PLAN INDEX TO FINANCIAL STATEMENTS AND SCHEDULES
Page ---- Report of Independent Accountants..................................... 1 Financial Statements: Statement of Net Assets Available for Plan Benefits at December 31, 1997 and 1996................................... 2 Statement of Changes in Net Assets Available for Plan Benefits for the years ended December 31, 1997 and 1996......... 3 Notes to Financial Statements.................................... 4 Supplemental Schedules: * Schedule of Assets Held for Investment at December 31, 1997 (Schedule I).................................. 13 Schedule of Reportable 5% Transactions for the Year Ended December 31, 1997 (Schedule II)...................... 14
* Other supplemental schedules required by Section 2520.103-10 of the Department of Labor Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974 have been omitted because they are not applicable. REPORT OF INDEPENDENT ACCOUNTANTS June 12, 1998 To the Participants and Administrator of The Penn Traffic Company 401(k) Savings Plan In our opinion, the accompanying statements of net assets available for plan benefits and the related statements of changes in net assets available for plan benefits present fairly, in all material respects, the net assets available for plan benefits of The Penn Traffic Company 401(k) Savings Plan (the "Plan") at December 31, 1997 and 1996, and the changes in net assets available for plan benefits for the years then ended, in conformity with generally accepted accounting principles. 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 of these statements in accordance with generally accepted auditing standards which 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, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for the opinion expressed above. Our audit was performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The additional information included in Schedules I and II is presented for purposes of additional analysis and is not a required part of the basic financial statements but is additional information required by the Employee Retirement Income Security Act of 1974. Such information has been subjected to the auditing procedures applied in the audit 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. The Penn Traffic Company 401(k) Savings Plan Statement of Net Assets Available for Plan Benefits - -------------------------------------------------------------------------------
December 31, 1997 1996 ------------- ------------ Assets Investments at market (cost of $90,890,395 in 1997 and $83,405,851 in 1996)..................... $ 99,844,697 $ 88,554,674 ------------- ------------ Receivables: Due for securities sold...................... 1,341,631 - Accrued income............................... 6,038,938 840,215 Employee contributions....................... 179,551 - ------------- ------------ Total receivables.......... 7,560,120 840,215 ------------- ------------ Due for securities purchased................................... (16,212) - ------------- ------------ Net assets available for plan benefits......................... $ 107,388,605 $ 89,394,889 ------------- ------------ ------------- ------------
The accompanying notes are an integral part of these financial statements. 2 The Penn Traffic Company 401(k) Savings Plan Statement of Changes in Net Assets Available for Plan Benefits - -------------------------------------------------------------------------------
Year Ended December 31, 1997 1996 ------------- ------------- Additions to net assets Investment income: Interest and dividends.................................. $ 3,053,677 $ 2,460,626 Net appreciation in market value of investments 3,594,496 1,251,116 Net gain on sale of investments......................... 9,437,535 5,493,746 ------------- ------------- Total investment income ....................... 16,085,708 9,205,488 Participant contributions ................................. 9,848,152 10,266,948 ------------- ------------- Total additions ............................... 25,933,860 19,472,436 ------------- ------------- Deductions from net assets Payments to participants................................... (7,808,992) (6,435,142) Payment of individual insurance contract premiums.......... (81,697) (79,624) Administrative expenses.................................... (49,455) (60,970) ------------- ------------- Total deductions............................... (7,940,144) (6,575,736) ------------- ------------- Increase in net assets 17,993,716 12,896,700 Asset transfer from The Penn Traffic Company Insalaco Markets Division Profit Sharing Retirement Plan (Note 11)................................ -- 3,119,095 ------------- ------------- Net assets available for plan benefits Beginning of year ........................................ 89,394,889 73,379,094 ------------- ------------- End of year .............................................. $ 107,388,605 $ 89,394,889 ------------- -------------
The accompanying notes are an integral part of the financial statements. 3 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 and 1996 - ------------------------------------------------------------------------------- 1. Description of the Plan General The following brief description of The Penn Traffic Company 401(k) Savings Plan (the "Plan") sponsored by The Penn Traffic Company (the "Company") is provided for general information purposes only. Participants should refer to the Plan agreement for more complete information. The Plan is a defined contribution plan established by the Company on July 9, 1987. The Plan is designed to provide benefits to all Company employees who have attained age twenty-one and have completed at least one year of service. As part of the Plan, the Company has entered into a trust agreement with the US Bancorp Trust Company (the "Bank"), under which the Bank, as trustee, transfers contributions to a separate trust fund in the Bank's trust department. The assets of the Plan are held by the Bank's trust department in a fiduciary capacity and as such are not assets of the Bank. The Plan's trust fund is administered by the Administrative Committee of the Plan, which has retained Coopers & Lybrand LLP to provide certain recordkeeping services. Contributions Employees in the Plan ("participants") may contribute from 1% to 15% of gross compensation as specified in writing and may change such election once per plan quarter. The Company does not contribute to the Plan. Participants are always 100% vested in the Plan. Investments Participants have five options to which they can direct their contributions. These options are a stable income fund, two diversified equity funds, one balanced fund and one Company stock fund. The stable income fund consists of a mix of guaranteed investment contracts and three actively managed mutual funds. One of the diversified equity funds, the MAS Equity Fund, invests primarily in large blue chip companies with similar financial characteristics and above-average dividend yields. The other diversified equity fund, the Acorn Fund, is aggressively managed with a higher degree of risk. The balanced fund, the Delaware Fund, invests in stocks, bonds and money market instruments. The Penn Traffic Common Stock Fund allows employees the opportunity to purchase Company stock with pre-tax dollars. A life insurance plan which allows employees to elect to purchase life insurance for themselves and their spouses and children is still effective for those employees purchasing such insurance before January 1, 1989 (Note 3). Loans Participants may obtain loans of not less than $500 but not more than the lesser of $50,000 or 50% of the participant's individual investment account balance. Generally, the term of the loans may not exceed five years. 4 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 and 1996 - ------------------------------------------------------------------------------- Distributions Each participant is entitled to a retirement benefit equal to 100% of the participant's accrued benefit as of the valuation date. In the event of the death of a participant before actual retirement, 100% of the participant's accrued benefit on the valuation date following their death will constitute their death benefit and will be distributed to the participant's designated beneficiary or beneficiaries. If a participant terminates employment, they will receive 100% of their accrued benefit on the valuation date following their separation. A participant attaining the age of 59 1/2 has the right to withdraw all or a portion of their Plan assets. An in-service distribution to a participant will only occur if the participant can prove financial hardship to a committee formed by the Company. Income Net investment fund income is allocated quarterly to each participant's investment account in the ratio of their individual investment account to the investment fund in total. Reclassifications Certain prior year amounts have been reclassified for comparitive purposes. 2. Basis of Accounting The financial statements of the Plan are prepared on the accrual basis of accounting. Interest and dividend income are recognized as earned and expenses are recognized when the related obligation is incurred. Investments, excluding guaranteed investment contracts, are recorded at the closing market prices on December 31, 1997 and 1996. Guaranteed investment contracts are stated at contract value. The preparation of financial statements in conformity with generally accepted accounting principles requires the Administrative Committee of the Plan to make estimates and assumptions that affect the reported amounts of net assets at the date of the financial statements and the reported amounts of additions to and deductions from net assets during the reporting period. Actual results could differ from those estimates. 3. Insurance Plan Participants of the Plan are permitted to have a portion of their contributions directed towards the purchase of individual life insurance contracts for themselves, their spouse and their children, for those employees electing this option before January 1, 1989. As a result of these elections, the Plan disburses funds periodically to the First Colony Life Insurance Company for the payment of life insurance premiums. These insurance contracts are allocated on an individual participant basis and, as such, are excluded from Plan assets. 5 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 and 1996 - ------------------------------------------------------------------------------- 4. Investments Investments which exceed 5% of the Plan's net assets at December 31, 1997 include:
Market/ Contract Cost Value ------------- ------------- The Acorn Fund....................................... $ 29,358,860 $ 39,127,364 Delaware Balanced Fund............................... 8,123,344 8,948,689 Miller Anderson Sherrard Fixed Income Fund........... 5,825,414 5,926,045 Miller Anderson Sherrard Equity Fund................. 13,405,970 11,933,773 Institutional Investors Stable Asset Fund............ 9,175,260 10,055,735 John Hancock Guaranteed Investment Contract, guaranteed effective annual interest rate of 8.14%, maturity date of 12/31/99.................... 5,020,652 5,020,652
5. Guaranteed Investment Contracts The following aggregate amounts apply to fully benefit-responsive guaranteed investment contracts reported at contract value and held by the Plan in its Stable Value Asset Fund at December 31, 1997 and 1996:
December 31, 1997 1996 ------------- ------------- Average yearly yield...................... 6.72% 6.90% Crediting interest rate................... 8.03% 6.73% Fair market value......................... $ 13,732,446 $ 15,422,496
Under certain situations specified in the various contracts, the issuer of the contract may elect to limit its guarantee and distribute funds at either contract value or fair market value, whichever is lower. These situations include premature withdrawals related to cancellation of the contract by the Plan prior to maturity, plant closings, layoffs, Plan termination, sponsor bankruptcy and certain early retirement incentives. 6 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 and 1996 - ------------------------------------------------------------------------------- 6. Benefit Distributions Payable At December 31, 1997 and 1996, the amount allocated to participant accounts who have elected to withdraw from the Plan but have not yet been paid was $2,901,027 and $1,352,000, respectively. 7. Administrative Costs Expenses incurred by the Bank in connection with investment transactions and payments to participants are paid by the Plan. Bank, professional and administrative fees and other expenses of the Plan are paid by the Company. Personnel and facilities of the Company are used by the Plan for its accounting and other activities at no charge to the Plan. 8. Tax Status The Company received a favorable Internal Revenue Service ("IRS") determination letter dated August 14, 1995 stating that the Plan meets the requirements of Sections 401(a) and 401(k) of the IRS code and that the Plan is exempt from taxation under Section 501(a) of the IRS code. Under present federal income tax laws, a participant will not be subject to federal income taxes on the contributions by the participant or on interest or profits on the sale of securities held by the Plan until the participant's assets are distributed. 9. Plan Termination The Company expressly reserves the right to terminate the Plan. In the event of termination, all Plan objectives will be satisfied. All unallocated assets will then be allocated to the accrued benefits of the participants' accounts at the date of termination at which time the participants are fully vested. 10. Transactions with Parties-in-Interest As of December 31, 1997 and 1996, the Plan held the following:
December 31, 1997 December 31, 1996 ------------------------------------------- ---------------------------------------- Number of Market Number of Market Shares Cost Value Shares Cost Value Company common stock................ 211,509 $2,930,792 $1,744,949 99,535 $2,189,603 $360,815
7 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 and 1996 - ------------------------------------------------------------------------------- 11. Transfer of Assets into Plan On January 31, 1996, The Penn Traffic Company Insalaco Markets Division Profit Sharing Retirement Plan (the "Insalaco Plan") was merged into the Plan. On that date, assets totaling $3,119,095 were transferred into the Plan. This asset transfer is presented in the statement of changes in net assets available for Plan benefits for the year ended December 31, 1996. 12. Subsequent Event In January 1998, the Plan sponsor sold their Dairy Manufacturing Division (the "Dairy") to Dean Foods. In connection with this sale, the Plan distributed approximately $2.9 million of Plan assets to Dean Foods for those Dairy participants who were covered by the Plan. 8 The Penn Traffic Company 401(k) Savings Plan Notes to the Financial Statements December 31, 1997 - ------------------------------------------------------------------------------- 13. Net Assets Available for Plan Benefits by Investment Fund at December 31, 1997
Stable Penn Traffic MAS 401(k) Income Acorn Common Equity Delaware Loan Fund Fund Stock Fund Fund Fund Insurance Total ----------- ----------- ---------- ----------- ---------- ---------- ------- ---------- Assets Investments at market: Cash and equivalents.... $ 67,381 $ 98,263 $ - $ 47,966 $ 26,045 $ 128 $ - $ 239,783 Mutual funds (cost of $68,001,561)............ 18,131,880 39,127,364 - 11,933,773 8,948,689 - - 78,141,706 Equities (cost of $2,930,792)............. - - 1,744,949 - - - - 1,744,949 Participants' loans (cost of $5,790,087).... - - - - - 5,790,087 - 5,790,087 18,199,261 39,225,627 1,744,949 11,981,739 8,974,734 5,790,215 - 85,916,525 ----------- ----------- ---------- ----------- ---------- ---------- ------- ------------ Investments at contract value: Guaranteed investment contracts............... 13,928,172 - - - - - - 13,928,172 ----------- ----------- ---------- ----------- ---------- ---------- ------- ------------ Total investments....... 32,127,433 39,225,627 1,744,949 11,981,739 8,974,734 5,790,215 - 99,844,697 ----------- ----------- ---------- ----------- ---------- ---------- ------- ------------ Receivables: Securities sold.......... 1,341,631 - - - - - - 1,341,631 Accrued income........... 325,193 - - 4,549,267 1,144,654 19,824 - 6,038,938 Employee contribution.... 51,878 67,744 5,456 34,076 20,397 - - 179,551 ----------- ----------- ---------- ----------- ---------- ---------- ------- ------------ Total receivables....... 1,718,702 67,744 5,456 4,583,343 1,165,051 19,824 - 7,560,120 ----------- ----------- ---------- ----------- ---------- ---------- ------- ------------ Securities purchased.... - - (16,212) - - - - (16,212) Net assets available for plan benefits....... $33,846,135 $39,293,371 $1,734,193 $16,565,082 $10,139,785 $5,810,039 $ - $107,388,605 ----------- ----------- ---------- ----------- ---------- ---------- ------- ------------
9 14. Changes in Net Assets Available for Plan Benefits by Investment Fund for the Year Ended December 31, 1997
Stable Penn Traffic MAS 401(k) Income Acorn Common Equity Delaware Loan Fund Fund Stock Fund Fund Fund Insurance Total ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Investment income: Interest and dividends... $ 1,725,768 $ 343,631 $ 927 $ 182,730 $ 252,407 $ 548,214 $ - $ 3,053,677 Net appreciation (depreciation) in market value of investments............. 444,631 3,674,264 637,914 (1,666,672) 504,359 - - 3,594,496 Net gain on sale of investments.......... 150,011 3,664,927 12,249 4,541,967 1,068,381 - - 9,437,535 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total investment income.................. 2,320,410 7,682,822 651,090 3,058,025 1,825,147 548,214 - 16,085,708 Participant contributions........... 2,867,068 3,773,977 231,398 1,745,371 1,148,641 - 81,697 9,848,152 Loan activity............ 1,368,342 1,217,879 82,933 491,364 260,399 (3,420,917) - - Fund transfer activity................ (1,886,732) (413,779) 466,518 1,254,556 579,437 - - - ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total additions.......... 4,669,088 12,260,899 1,431,939 6,549,316 3,813,624 (2,872,703) 81,697 25,933,860 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Payments to participants............ (3,482,011) (2,284,654) (43,835) (1,027,877) (561,679) (408,936) - (7,808,992) Payment of individual insurance contract premiums................ - - - - - - (81,697) (81,697) Administrative expenses................ (18,300) (17,577) (1,755) (7,287) (4,536) - - (49,455) Loans to participants.... (1,787,817) (1,292,197) (23,396) (500,811) (211,512) 3,815,733 - - ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total deductions......... (5,288,128) (3,594,428) (68,986) (1,535,975) (777,727) 3,406,797 (81,697) (7,940,144) ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Net increase............. (619,040) 8,666,471 1,362,953 5,013,341 3,035,897 534,094 - 17,993,716 Net assets available for plan benefits Beginning of year........ 34,465,175 30,626,900 371,240 11,551,741 7,103,888 5,275,945 - 89,394,889 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ End of year.............. $33,846,135 $39,293,371 $1,734,193 $16,565,082 $10,139,785 $5,810,039 $ - $107,388,605 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------
10 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 - ------------------------------------------------------------------------------- 15. Net Assets Available for Plan Benefits by Investment Fund at December 31, 1996
Stable Penn Traffic MAS 401(k) Income Acorn Common Equity Delaware Loan Fund Fund Stock Fund Fund Fund Insurance Total ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Investments at market: Cash and equivalents $ 1,543,901 $ 273,590 $ 10,425 $ 123,740 $ 79,232 $ 810 $ - $ 2,031,698 Mutual funds (cost of $58,229,368)........ 17,093,673 30,353,310 - 11,428,001 6,331,995 - - 65,206,979 Equities (cost of $2,189,603)............. - - 360,815 - - - - 360,815 Participants' loans (cost of $5,275,135)... - - - - - 5,275,135 - 5,275,135 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ 18,637,574 30,626,900 371,240 11,551,741 6,411,227 5,275,945 - 72,874,627 Investments at contract value: Guaranteed investment contracts............... 15,680,047 - - - - - - 15,680,047 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total investments....... 34,317,621 30,626,900 371,240 11,551,741 6,411,227 5,275,945 - 88,554,674 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Receivables: Accrued income.......... 147,554 - - - 692,661 - - 840,215 Employee contribution... - - - - - - - - ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total receivables....... 147,554 - - - 692,661 - - 840,215 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Net assets available for plan benefits...... $34,465,175 $30,626,900 $371,240 $11,551,741 $7,103,888 $5,275,945 $ - $89,394,889 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------
11 The Penn Traffic Company 401(k) Savings Plan Notes to Financial Statements December 31, 1997 - ------------------------------------------------------------------------------- 16. Changes in Net Assets Available for Plan Benefits by Investment Fund for the Year Ended December 31, 1996
Stable Penn Traffic MAS 401(k) Income Acorn Common Equity Delaware Loan Fund Fund Stock Fund Fund Fund Insurance Total ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Investment income: Interest and dividends... $ 1,856,870 $ 195,200 $ - $ 193,217 $ 215,339 $ - $ - $ 2,460,626 Net appreciation (depreciation) in market value of investments............. 174,464 2,213,127 (932,143) (195,500) (8,832) - - 1,251,116 Net gain on sale of investments.......... 102,350 2,961,719 - 1,807,842 621,835 - - 5,493,746 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total investment income.................. 2,133,684 5,370,046 (932,143) 1,805,559 828,342 - - 9,205,488 Participant contributions........... 3,519,872 3,741,334 252,372 1,548,514 1,125,232 - 79,624 10,266,948 Transfer of assets from The Penn Traffic Company Insalaco Division Profit Sharing Retire ment Plan (Note 11).......... 2,680,156 175,068 10,491 85,912 156,276 11,192 - 3,119,095 Loan activity............ 1,087,509 846,877 58,925 289,699 169,464 (2,452,474) - - Fund transfer activity... (2,547,416) 452,628 162,983 1,374,149 557,656 - - - ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total additions.......... 6,873,805 10,585,953 (447,372) 5,103,833 2,836,970 (2,441,282) 79,624 22,591,531 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Payments to participants............ (3,074,550) (1,998,218) (38,303) (662,442) (314,396) (347,233) - (6,435,142) Payment of individual insurance contract premiums................ - - - - - - (79,624) (79,624) Administrative expenses................ (24,998) (22,188) (268) (8,367) (5,149) - - (60,970) Loans to participants.... (1,946,662) (1,086,375) (11,410) (346,825) (241,348) 3,632,620 - - ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Total deductions......... (5,046,210) (3,106,781) (49,981) (1,017,634) (560,893) 3,285,387 (79,624) (6,575,736) ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ Net increase............. 1,827,595 7,479,172 (497,353) 4,086,199 2,276,077 844,105 - 16,015,795 Net assets available for plan benefits Beginning of year........ 32,637,580 23,147,728 868,593 7,465,542 4,827,811 4,431,840 - 73,379,094 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------ End of year.............. $34,465,175 $30,626,900 $371,240 $11,551,741 $7,103,888 $5,275,945 $ - $89,394,889 ----------- ----------- ---------- ----------- ---------- ---------- --------- ------------
12 The Penn Traffic Company SCHEDULE I 401(k) Savings Plan Schedule of Assets Held for Investment December 31, 1997 - -------------------------------------------------------------------------------
December 31, 1997 ------------------------ Number of Fair Shares Cost Value - ---------- ------ ------- Stable Income Fund: 3,114,400 Aetna Guaranteed Investment Contract, guaranteed effective $3,114,400 $3,114,400 annual interest rate of 5.79%, maturity date of 12/31/98 1,281,564 Allstate Guaranteed Investment Contract, guaranteed effective 1,281,564 1,281,564 annual interest rate of 8.17%, maturity date of 12/31/99 5,020,652 John Hancock Guaranteed Investment Contract, guaranteed 5,020,652 5,020,652 effective annual interest rate of 8.14%, maturity date of 12/31/99 3,069,896 ITT Hartford Guaranteed Investment Contract, guaranteed 3,069,896 3,069,896 effective annual interest rate of 5.52%, maturity date of 12/31/98 1,441,660 Principal Mutual Guaranteed Investment Contract, guaranteed 1,441,660 1,441,660 effective annual interest rate of 8.5%, maturity date of 12/31/97 534,453 Institutional Investor Stable Asset Fund 9,175,260 10,055,735 497,151 Miller Anderson Sherrard Fixed Income Fund 5,825,414 5,926,045 209,971 Payden Rygel Global Fixed Income Fund 2,112,713 2,150,100 67,381 Cash and Cash Equivalents 67,381 67,381 ----------- ----------- Total Stable Income Fund 31,108,940 32,127,433 2,304,875 The Acorn Fund 29,358,860 39,127,364 573,188 Miller Anderson Sherrard Equity Fund 13,405,970 11,933,773 413,908 Delaware Balanced Fund 8,123,344 8,948,689 211,509 The Penn Traffic Company Common Stock * 2,930,792 1,744,949 172,402 Cash and cash equivalents 172,402 172,402 2,259 401(k) Participant Loans (interest rates from 9.25% to 9.75%) 5,790,087 5,790,087 ----------- ----------- Total investments $90,890,395 $99,844,697 ----------- -----------
* Represents Party-in-Interest investment. 13 The Penn Traffic Company SCHEDULE II 401(k) Savings Plan Schedule of Reportable 5% Transactions for the Year Ended December 31, 1997 - --------------------------------------------------------------------------------
Number Number Cost of Net of Purchase of Selling Securities Gain/ Purchases Price Sales Price Sold (Loss) --------- -------- ---------- ---------- ---------- ------- Series of Transactions: Acorn Mutual Fund 12 $ 5,677,877 Provident Federal Funds 202 14,216,254 240 14,482,021 14,482,021 -
14 EXHIBITS
Exhibit Number Description - ------- ----------- 23.1 Consent of Independent Public Accountants
SIGNATURES THE PLAN. Pursuant to the requirements of the Securities Exchange Act of 1934, the Plan has duly caused this Annual Report to be signed by the undersigned thereunto duly authorized. THE PENN TRAFFIC COMPANY 401(k) SAVINGS PLAN By: -------------------------------------- Robert J. Davis Chairman Administrative Committee Date: June 12, 1998 15 EXHIBIT INDEX The following exhibit is filed as part of the Annual Report:
Exhibit Number Description Page Number - --------------- ---------------------------------- ----------- 23.1 Consent of Independent Accountants 17
16 EX-23.1 2 EXHIBIT 23.1 Exhibit 23.1 CONSENT OF INDEPENDENT ACCOUNTANTS We hereby consent to the incorporation by reference in the Registration Statements on Form S-8 (Nos. 33- 32307 and 33-44063) of The Penn Traffic Company of our report dated June 12, 1998, appearing on page 1 of this Form 11-K. PRICE WATERHOUSE LLP Syracuse, New York June 12, 1998 17 -----END PRIVACY-ENHANCED MESSAGE-----