-----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, VeTB2Ho8dhVk2gUj+RK9eeTbLufmZ4pV9f28Y4/I4hM6h+Ow2eR08B0oV2BihJuK QQeU9R+K4pWFI+CsXoV3Qg== 0000800459-95-000014.txt : 19951222 0000800459-95-000014.hdr.sgml : 19951222 ACCESSION NUMBER: 0000800459-95-000014 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19950630 FILED AS OF DATE: 19951221 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: HARMAN INTERNATIONAL INDUSTRIES INC /DE/ CENTRAL INDEX KEY: 0000800459 STANDARD INDUSTRIAL CLASSIFICATION: HOUSEHOLD AUDIO & VIDEO EQUIPMENT [3651] IRS NUMBER: 112534306 STATE OF INCORPORATION: DE FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 11-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09764 FILM NUMBER: 95603416 BUSINESS ADDRESS: STREET 1: 1101 PENNSYLVANIA AVENUE N W STREET 2: STE 1010 CITY: WASHINGTON STATE: DC ZIP: 20004 BUSINESS PHONE: 2023931101 MAIL ADDRESS: STREET 1: 1101 PENNSYLVANIA AVENUE NW STREET 2: SUITE 1010 CITY: WASHINGTON STATE: DC ZIP: 20004 11-K 1 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 - ------------------------------ FORM 11-K [X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED] For the fiscal year ended June 30, 1995 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 _______________ - ------------------------------- HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN (Full title of the Plan) HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED 1101 PENNSYLVANIA AVENUE, NW WASHINGTON, D.C. 20004 (Name of issuer of the securities held pursuant to the Plan and address of its principal executive office) - ---------------------------------------------------------------------------- - ---------------------------------------------------------------------------- HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Financial Statements and Supplemental Schedules June 30, 1995 and 1994 (With Independent Auditors' Report Thereon) HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Index to Financial Statements and Supplemental Schedules - ------------------------------------------------------------------------ Page ---- Independent Auditors' Report 1 Statement of Net Assets Available for Plan Benefits -- June 30, 1995 2 Statement of Net Assets Available for Plan Benefits -- June 30, 1994 3 Statement of Changes in Net Assets Available for Plan Benefits -- Year ended June 30, 1995 4 Statement of Changes in Net Assets Available for Plan Benefits -- Year ended June 30, 1994 5 Notes to Financial Statements 6 Schedule -------- Investments Held at End of Plan Year -- June 30, 1995 1 Reportable Transactions -- Year ended June 30, 1995 2 All other supplemental schedules omitted are not applicable or are not required, based on disclosure requirements of the Employee Retirement Income Security Act of 1974 and regulations issued by the Department of Labor. INDEPENDENT AUDITORS' REPORT The Administrative Committee of the Board of Directors Harman International Industries, Incorporated: We have audited the accompanying statements of net assets available for Plan benefits of the Harman International Industries, Incorporated Retirement Savings Plan as of June 30, 1995 and 1994 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 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 Plan benefits of the Harman International Industries, Incorporated Retirement Savings Plan as of June 30, 1995 and 1994 and the changes in net assets available for Plan benefits for the years then ended in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental information in Schedules 1 and 2 is presented for the purpose of complying with the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974 and is not a required part of the basic financial statements. The fund information in the statements of net assets available for Plan benefits and the related statements of changes in net assets available for Plan benefits is presented for purposes of additional analysis rather than to present the net assets available for Plan benefits and the changes in net assets available for Plan benefits of each fund. The supplemental schedules and fund information have 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, when considered in relation to the basic financial statements taken as a whole. /s/ KPMG Peat Marwick LLP October 20, 1995 1 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Net Assets Available for Plan Benefits June 30, 1995
THE PUTNAM FIXED FUND FOR GEORGE PUTNAM INCOME GROWTH AND COMPANY FUND ASSETS FUND INCOME STOCK FUND OF BOSTON ---------------- --------------- -------------- -------------- Investments: Guaranteed investment contracts $21,358,372 -- -- -- Pooled equity funds -- 10,822,746 -- 2,202,120 Harman International Industries, Incorporated common stock -- -- 5,857,570 -- Money market funds 1,122,894 -- -- -- Pooled separate accounts -- -- -- -- Participant loans -- -- -- -- ---------------- --------------- -------------- -------------- 22,481,266 10,822,746 5,857,570 2,202,120 Contributions receivable 949,422 742,658 428,512 388,542 ---------------- --------------- -------------- -------------- Total assets 23,430,688 11,565,404 6,286,082 2,590,662 LIABILITIES Other liabilities 14,318 6,416 2,014 1,412 ---------------- --------------- -------------- -------------- Net assets available for Plan benefits $23,416,370 11,558,988 6,284,068 2,589,250 ========= ========= ======== ========
See accompanying notes to financial statements. 2 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Net Assets Available for Plan Benefits June 30, 1995
PUTNAM PARTICIPANT VOYAGER LOAN AETNA ASSETS FUND FUND FUND TOTAL ---------------- --------------- -------------- -------------- Investments: Guaranteed investment contracts -- -- 539,076 21,897,448 Pooled equity funds 6,426,719 -- -- 19,451,585 Harman International Industries, Incorporated common stock -- -- -- 5,857,570 Money market funds -- -- -- 1,122,894 Pooled separate accounts -- -- 400,543 400,543 Participant loans -- 153,539 -- 153,539 ---------------- --------------- -------------- -------------- 6,426,719 153,539 939,619 48,883,579 Contributions receivable 748,516 -- -- 3,257,650 ---------------- --------------- -------------- -------------- Total assets 7,175,235 153,539 939,619 52,141,229 LIABILITIES Other liabilities 3,907 -- -- 28,067 ---------------- --------------- -------------- -------------- Net assets available for Plan benefits 7,171,328 153,539 939,619 52,113,162 ========= ========= ======== ========
See accompanying notes to financial statements. 2 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Net Assets Available for Plan Benefits June 30, 1994
THE PUTNAM FIXED FUND FOR GEORGE PUTNAM INCOME GROWTH AND COMPANY FUND ASSETS FUND INCOME STOCK FUND OF BOSTON ---------------- --------------- -------------- -------------- Investments: Guaranteed investment contracts $18,550,929 -- -- -- Pooled equity funds -- 7,885,317 -- 904,342 Harman International Industries, Incorporated common stock -- -- 3,527,062 -- Participant loans -- -- -- -- ---------------- --------------- -------------- -------------- 18,550,929 7,885,317 3,527,062 904,342 Contributions receivable 748,180 587,479 356,784 293,249 ---------------- --------------- -------------- -------------- Total assets 19,299,109 8,472,796 3,883,846 1,197,591 LIABILITIES Other liabilities 14,835 6,358 2,914 795 ---------------- --------------- -------------- -------------- Net assets available for Plan benefits $19,284,274 8,466,438 3,880,932 1,196,796 ========= ========= ======== ========
See accompanying notes to financial statements. 3 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Net Assets Available for Plan Benefits June 30, 1994
PUTNAM PARTICIPANT VOYAGER LOAN ASSETS FUND FUND TOTAL ---------------- --------------- -------------- Investments: Guaranteed investment contracts -- -- 18,550,929 Pooled equity funds 1,895,421 -- 10,685,080 Harman International Industries, Incorporated common stock -- -- 3,527,062 Participant loans -- 13,314 13,314 ---------------- --------------- -------------- 1,895,421 13,314 32,776,385 Contributions receivable 529,536 -- 2,515,228 ---------------- --------------- -------------- Total assets 2,424,957 13,314 35,291,613 LIABILITIES Other liabilities 1,589 -- 26,491 ---------------- --------------- -------------- Net assets available for Plan benefits 2,423,368 13,314 35,265,122 ========= ========= ========
See accompanying notes to financial statements. 3 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Changes in Net Assets Available for Plan Benefits Year Ended June 30, 1995
THE PUTNAM FIXED FUND FOR GEORGE PUTNAM INCOME GROWTH AND COMPANY FUND FUND INCOME STOCK FUND OF BOSTON ---------------- --------------- -------------- -------------- Employer contributions, net $ 1,315,701 1,001,633 466,068 539,755 Employee contributions 1,283,687 1,231,144 624,908 610,030 Fund transfers, net (853,950) (209,990) (748,420) 62,410 Transfers from related plans 2,927,893 -- -- -- Other additions, net 6,088 12,224 8,538 7,940 ---------------- --------------- -------------- -------------- 4,679,419 2,035,011 351,094 1,220,135 ---------------- --------------- -------------- -------------- Investment income: Interest and dividends 1,258,404 570,199 23,102 99,286 Net appreciation -- 1,257,811 2,303,657 185,957 ---------------- --------------- -------------- -------------- Net investment income 1,258,404 1,828,010 2,326,759 285,243 ---------------- --------------- -------------- -------------- Benefits 1,744,873 742,702 267,891 107,662 Administrative expenses 60,854 27,769 6,826 5,262 ---------------- --------------- -------------- -------------- 1,805,727 770,471 274,717 112,924 ---------------- --------------- -------------- -------------- Net increase 4,132,096 3,092,550 2,403,136 1,392,454 Net assets at beginning of year 19,284,274 8,466,438 3,880,932 1,196,796 ---------------- --------------- -------------- -------------- Net assets at end of year $23,416,370 11,558,988 6,284,068 2,589,250 ========= ========= ======== ========
See accompanying notes to financial statements. 4 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Changes in Net Assets Available for Plan Benefits Year Ended June 30, 1995
PUTNAM PARTICIPANT VOYAGER LOAN AETNA FUND FUND FUND TOTAL ---------------- --------------- -------------- -------------- Employer contributions, net 1,015,676 -- -- 4,338,833 Employee contributions 1,222,689 -- -- 4,972,458 Fund transfers, net 1,749,950 -- -- -- Transfers from related plans -- 135,257 1,017,831 4,080,981 Other additions, net 10,243 -- -- 45,033 ---------------- --------------- -------------- -------------- 3,998,558 135,257 1,017,831 13,437,305 ---------------- --------------- -------------- -------------- Investment income: Interest and dividends 139,900 4,968 16,959 2,112,818 Net appreciation 869,065 -- 45,268 4,661,758 ---------------- --------------- -------------- -------------- Net investment income 1,008,965 4,968 62,227 6,774,576 ---------------- --------------- -------------- -------------- Benefits 246,623 -- 140,439 3,250,190 Administrative expenses 12,940 -- -- 113,651 ---------------- --------------- -------------- -------------- 259,563 -- 140,439 3,363,841 ---------------- --------------- -------------- -------------- Net increase 4,747,960 140,255 939,619 16,848,040 Net assets at beginning of year 2,423,368 13,314 -- 35,265,122 ---------------- --------------- -------------- -------------- Net assets at end of year 7,171,328 153,539 939,619 52,113,162 ========= ========= ======== ========
See accompanying notes to financial statements. 4 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Changes in Net Assets Available for Plan Benefits Year Ended June 30, 1994
THE PUTNAM FIXED FUND FOR GEORGE PUTNAM INCOME GROWTH AND COMPANY FUND FUND INCOME STOCK FUND OF BOSTON ---------------- --------------- -------------- -------------- Employer contributions, net $ 1,294,546 902,353 569,478 448,616 Employee contributions 640,668 921,041 371,761 541,524 Fund transfers, net (507,832) 53,323 (420,425) 175,653 Transfer from related plan 583,373 231,990 -- 65,430 ---------------- --------------- -------------- -------------- 2,010,755 2,108,707 520,814 1,231,223 ---------------- --------------- -------------- -------------- Investment income: Interest and dividends 1,112,962 531,636 606 25,023 Net appreciation (depreciation) -- (308,948) 632,366 (40,836) ---------------- --------------- -------------- -------------- Net investment income 1,112,962 222,688 632,972 (15,813) ---------------- --------------- -------------- -------------- Benefits 1,441,240 775,767 107,588 16,547 Administrative expenses 49,596 7,664 5,094 2,067 ---------------- --------------- -------------- -------------- 1,490,836 783,431 112,682 18,614 ---------------- --------------- -------------- -------------- Net increase 1,632,881 1,547,964 1,041,104 1,196,796 Net assets at beginning of year 17,651,393 6,918,474 2,839,828 -- ---------------- --------------- -------------- -------------- Net assets at end of year $19,284,274 8,466,438 3,880,932 1,196,796 ========= ========= ======== ========
See accompanying notes to financial statements. 5 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Statement of Changes in Net Assets Available for Plan Benefits Year Ended June 30, 1994
PUTNAM PARTICIPANT VOYAGER LOAN ASSETS FUND FUND TOTAL ---------------- --------------- -------------- Employer contributions, net 807,190 -- 4,022,183 Employee contributions 911,927 -- 3,386,921 Fund transfers, net 699,281 -- -- Transfer from related plan 180,581 13,034 1,074,408 ---------------- --------------- -------------- 2,598,979 13,034 8,483,512 ---------------- --------------- -------------- Investment income: Interest and dividends 14,560 280 1,685,067 Net appreciation (depreciation) (158,070) -- 124,512 ---------------- --------------- -------------- Net investment income (143,510) 280 1,809,579 ---------------- --------------- -------------- Benefits 27,835 -- 2,368,977 Administrative expenses 4,266 -- 68,687 ---------------- --------------- -------------- 32,101 -- 2,437,664 ---------------- --------------- -------------- Net increase 2,423,368 13,314 7,855,427 Net assets at beginning of year -- -- 27,409,695 ---------------- --------------- -------------- Net assets at end of year 2,423,368 13,314 35,265,122 ========= ========= ========
See accompanying notes to financial statements. 5 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Notes to Financial Statements June 30, 1995 and 1994 (1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES BASIS OF PRESENTATION The accompanying financial statements of the Harman International Industries, Incorporated Retirement Savings Plan (the Plan) have been presented on an accrual basis and present the net assets available for Plan benefits and changes in those net assets. INVESTMENTS Investments in guaranteed investment contracts (GIC) are reported at contract value. Contract value represents contributions plus interest at the contract rate, less funds used to pay withdrawals and administration expenses. The Plan participates in pooled funds managed by Putnam Management Company, Inc. on behalf of participating employee benefit plans. Each participating employee benefit plan is allocated its proportionate share of the net assets and the net investment income of the pooled funds. The investment in pooled funds is reported at fair value which is based on quotations obtained from national securities exchanges. The Plan also participates in a stock fund to purchase shares of Harman International Industries, Incorporated (the Company) common stock. The fair value of the Company stock is determined based on quotations obtained from national securities exchanges. The Plan also holds investments in a guaranteed investment contract and pooled separate accounts managed by Aetna Life Insurance and Annuity Co. which arose from a transfer from a related plan. Participants may no longer direct that contributions be invested in the Aetna Funds. The assets have not been merged into the available investment funds of the Plan due to high surrender charges. The Plan anticipates withdrawals from these Aetna Funds as the penalty period expires. Securities transactions are recorded principally on the trade-date basis. Net appreciation or depreciation resulting from revaluation of investments to fair value is reflected in the statements of changes in net assets available for Plan benefits and includes investments bought, sold, as well as held during the year. Dividend income is recorded on the ex-dividend date. Investments are principally managed by the Plan's trustee, Putnam Fiduciary Trust Company. PARTICIPANT LOANS The assets of the participant loan fund represent loans to participants of related plans and are carried at outstanding loan balance, which approximates market value. ADMINISTRATIVE EXPENSES Administrative expenses of the Plan are principally paid by the Plan. 6 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Notes to Financial Statements, Continued (2) PLAN DESCRIPTION The Plan agreement amends and restates five preexisting defined contribution and savings plan agreements for plans which were merged into the Plan and extends coverage to all other eligible nonunion domestic employees of Harman International Industries, Incorporated. Effective July 1, 1995, the Plan also extends coverage to hourly collective bargaining unit employees of Harman Motive, Inc. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA). The Plan is a defined contribution, savings and profit sharing plan sponsored by the Company. The Plan covers all eligible employees, as defined by the Plan, provided they have completed six months of consecutive service, have worked 500 hours and are 21 years of age. Plan participants should refer to the Plan agreement for more complete information. Effective January 1, 1994, the Lexicon Retirement Savings Plan was merged into the Plan. The net assets of the related plan were transferred to the Plan effective January 1, 1994. Effective January 1, 1995, the AKG Acoustics, Inc. Salary Savings Plan and the Studer Revox America, Inc. Employee Savings and Profit Sharing Plan Trust were merged into the Plan and the net assets of the related plans were transferred to the Plan. CONTRIBUTIONS Participants in the Plan may contribute on a tax-deferred basis from 1% to 12% of their compensation, as defined by the Plan. Participants may change their deferral percentage as of the first payroll period following the quarterly valuation date. The Company has made annual basic contributions equal to 2% of the compensation paid to all eligible participants active at the end of the Plan year and a matching contribution equal to 50% of the eligible participant's tax-deferred contribution percentage for each payroll period up to a maximum election of 6% per payroll period. In addition, the Company may make profit sharing contributions to the Plan, in an amount which the Company's Board of Directors, acting in its sole discretion, determines to be a proper contribution. Company profit sharing contributions are limited to 15% of the participants' compensation, less the participants' tax-deferred contributions, the Company basic contribution and the Company matching contribution. Total Company and participant contributions may not exceed 15% of total participants' taxable compensation. Total annual additions to a participant's account, exclusive of adjustments to the fair market value of the participants' fund account, may not exceed the lesser of $30,000 or 25% of the participant's taxable compensation. VESTING Participants are 100% vested in their salary deferral, employer's basic contribution and rollover contribution accounts, and become vested in profit sharing and matching contributions at the rate of 25% per year after the completion of three years of service, or 100% after reaching age 65, death or disability. PARTICIPANT ACCOUNT BALANCES Separate accounts are maintained for each participant's salary deferral, rollover, employer profit sharing, basic and matching contribution balances. Earnings of the Plan are allocated to the participant account balances by investment fund on a daily basis according to the number of shares in the participant account balances. Beginning in 1994, participants elect to invest their contributions in one of the following five funds: Fixed Income Fund, the Putnam Fund for Growth 7 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Notes to Financial Statements, Continued and Income, Company Stock Fund, the George Putnam Fund of Boston or the Putnam Voyager Fund. Company profit sharing and basic contributions are allocated based on participant compensation. Company matching contributions are allocated based upon each participant's tax-deferred contribution percentage. PARTICIPANT LOANS The Plan does not allow for any participant loans. The loans discussed in note 1 arose from the mergers of related plans and no further loans will be granted after their repayment is completed. BENEFITS Upon separation from service, retirement at age 65, disability retirement or death, participants or their beneficiaries are entitled to receive their vested balances in a lump sum distribution. However, participants from prior merged plans, whose plans allowed distributions of plan benefits to be made in optional forms, may elect optional forms of payment of the benefit balances that existed prior to the merger. Contributions made subsequent to the merger may only be distributed in a lump sum payment. FORFEITURES Any amount forfeited by any employee terminating from the Plan before he/she is fully vested remains in the Plan until the end of the Plan quarter. Amounts forfeited by Plan participants are applied to reduce the employer contributions. Forfeitures were $282,272 and $54,924 for the years ended June 30, 1995 and 1994, respectively. (3) INVESTMENTS Investments in any single entity which represent 5% or more of the fair value of net assets available for benefits at June 30, 1995 and 1994 are as follows:
DESCRIPTION COST FAIR VALUE ------------------------------------------------------------ -------------- ----------------- 1995: The Putnam Fund for Growth and Income $ 9,894,320 10,822,746 Putnam Voyager Fund 5,721,964 6,426,719 Putnam Stable Value Fund, in contracts with various companies, maturity dates ranging from March 28, 1996 through March 1, 2000 and interest rates ranging from 4.4% to 8.4% 18,853,551 18,853,551 Harman International Industries, Incorporated common stock 3,249,694 5,857,570 ========= ==========
8 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Notes to Financial Statements, Continued
DESCRIPTION COST FAIR VALUE -------------------------------------------------- ---------------- ------------------ 1994: The Putnam Fund for Growth and Income $ 8,201,969 7,885,317 Putnam Voyager Fund 2,045,900 1,895,421 Putnam Fiduciary Trust Company GIC Fund, consisting of contracts with Sun America Life Insurance Company, Connecticut General Life Insurance Company and Metropolitan Life Insurance Company, maturing on July 14, 1994, January 15, 1995 and July 15, 1995, with interest of 8.7%, 8.9% and 6.9%, respectively 3,269,966 3,269,966 Putnam Stable Value Fund, in contracts with various companies, maturity dates ranging from October 7, 1994 through September 1, 1999 and interest rates ranging from 3.8% to 8.4% 15,280,963 15,280,963 Harman International Industries, Incorporated common stock 2,226,871 3,527,062 ========= ==========
(4) FEDERAL INCOME TAXES The Internal Revenue Service has previously issued a determination letter stating that the Plan constitutes a qualified Plan under Sections 401(a) and 401(k) of the Internal Revenue Code and that the Trust is exempt from income tax under Section 501(a) of the Internal Revenue Code. The Plan has been amended in fiscal 1995 and the Plan has filed for a new determination letter. The Company believes the Plan is currently designed and being operated in compliance with the applicable requirements of the Internal Revenue Code. (5) PLAN TERMINATION Although it has not expressed any intent to do so, the Company has the right to terminate the Plan subject to the provision of the Employee Retirement Income Security Act of 1974. Upon Plan termination, all participant accounts become 100% vested. (6) COMMITMENTS AND RECONCILIATION TO FORM 5500 Included in net assets available for Plan benefits in the accompanying financial statements is $690,477 and $95,949 at June 30, 1995 and 1994, respectively, of amounts related to Plan participants and participants who have terminated their service with the Company and requested a lump sum distribution of their account balance. These amounts are shown as liabilities on the Form 5500, Annual Return/Report of Employee Benefit Plans, which is filed with the Internal Revenue Service. 9 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Notes to Financial Statements, Continued (7) ACQUISITIONS In September 1993, the Company acquired a 76% interest in AKG. AKG domestic employees became eligible to participate in the Plan upon acquisition of the majority interest by the Company. The Company subsequently acquired the remaining 24% of AKG in July 1994. Effective January 1994, the Company acquired Studer Revox AG. Effective July 1, 1994, the Studer Revox AG domestic employees became eligible to participate in the Plan. The Company merged the plans of AKG and Studer Revox AG with the Plan in January 1995. Effective September 1994, the Company acquired New Media Ware. New Media Ware employees became eligible to participate in the plan effective April 1, 1995. In February 1995, Becker of North America was acquired. Effective July 1, 1995, Becker employees were eligible to participate in the Plan. 10 Schedule 1 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Investments Held at End of Plan Year June 30, 1995
DESCRIPTION OF INVESTMENT, INCLUDING IDENTITY OF ISSUER, MATURITY DATE, BORROWER OR SIMILAR RATE OF INTEREST, PAR CURRENT PARTY OR MATURITY VALUE COST VALUE - ------------------------------- ----------------------------------- ---------------- --------------- Putnam Fiduciary Trust $2,504,821 in contracts with Company GIC Fund Connecticut Life Insurance Co., Metropolitan Life Insurance Co. and Unum Life Insurance Co. (2) maturing on July 15, 1995, and December 31, 1998 and December 31, 1997 and December 31, 1998 with interest of 8.7%, 6.7%, 8.0% and 6.5%, respectively $ 2,504,821 2,504,821 Putnam Stable Value Fund $18,853,551 in contracts with various companies, maturity dates ranging from March 28, 1996 through March 1, 2000 and interest rates ranging from 4.4% to 8.4% 18,853,551 18,853,551 The George Putnam Fund of Boston 150,315 units at $14.65 per unit 2,052,025 2,202,120 The Putnam Voyager Fund 476,406 units at $13.49 per unit 5,721,964 6,426,719 The Putnam Fund for Growth and Income 727,335 units at $14.88 per unit 9,894,320 10,822,746 *Harman International Industries, Incorporated common stock 144,631 shares at $40.50 per share 3,249,694 5,857,570 Putnam Money Market Fund 1,122,894 units at $1.00 per unit 1,122,894 1,122,894 Participant loans Interest rates ranging from 1.5% to 11% (34) 153,539 153,539 Aetna Fixed Account Guaranteed investment contract 539,075 539,075 Aetna Variable Fund 3,016 units at $99.01 per unit 259,627 298,624 Aetna Variable Encore Fund 2,531 units at $35.27 per unit 87,193 89,274 Aetna Income Shares 8 units at $43.46 per unit 334 369 Aetna Portfolio Securities 975 units at $12.09 per unit 9,922 11,781 Aetna Investment Advisers Fund 31 units at $16.17 per unit 437 496 ---------------- --------------- $44,449,396 48,883,579 ========= =========
* Party-in-interest investment. See accompanying independent auditors' report. Schedule 2 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Reportable Transactions Year ended June 30, 1995
DESCRIPTION OF PURCHASE SELLING DESCRIPTION OF ASSET TRANSACTIONS PRICE PRICE - ----------------------------------------- ------------------------ --------------- ------------- The Putnam Fund for Growth and Income Purchases $ 3,463,653 -- Sales -- 1,786,495 Putnam Voyager Fund Purchases 4,279,660 -- Sales -- 619,549 Putnam GIC Funds Purchases 9,140,045 -- Sales -- 8,124,695 *Investment in Company Stock Purchases 2,451,759 -- Sales -- 2,426,278 ========= ========
* Party-in-interest transaction. See accompanying independent auditors' report. Schedule 2 HARMAN INTERNATIONAL INDUSTRIES, INCORPORATED RETIREMENT SAVINGS PLAN Reportable Transactions Year ended June 30, 1995
CURRENT VALUE OF NET ASSET ON GAIN DESCRIPTION OF COST OF TRADE OR DESCRIPTION OF ASSET TRANSACTIONS ASSET DATE (LOSS) - ----------------------------------------- ------------------------ --------------- ------------- ---------- The Putnam Fund for Growth and Income Purchases 3,463,653 3,463,653 -- Sales 1,771,302 1,786,495 15,193 Putnam Voyager Fund Purchases 4,279,660 4,279,660 -- Sales 603,595 619,549 15,954 Putnam GIC Funds Purchases 9,140,045 9,140,045 -- Sales 8,124,695 8,124,695 -- *Investment in Company Stock Purchases 2,451,759 2,451,759 -- Sales 1,428,936 2,426,278 997,342 ========= ======= ======
* Party-in-interest transaction. See accompanying independent auditors' report. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Administrative Committee of the Harman International Industries, Incorporated Retirement Savings Plan, administrator of the Plan, have duly caused this annual report to be signed by the undersigned thereunder duly authorized. Harman International Industries, Incorporated Retirement Savings Plan DATE: December 21, 1995 BY: /s/ Frank Meredith ----------------------- ---------------------------- Frank Meredith Vice President and General Counsel Harman International Industries, Incorporated -----END PRIVACY-ENHANCED MESSAGE-----