-----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, T2P5JaeYPaO/UQsmRVRRHk4BMxRa0TDIHugw8oQyzO7IbG4GbzUSq64//JmQnQoM uAshC5MZxe5cLTjw0J7+yw== 0000807882-97-000011.txt : 19970701 0000807882-97-000011.hdr.sgml : 19970701 ACCESSION NUMBER: 0000807882-97-000011 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19961231 FILED AS OF DATE: 19970630 SROS: NYSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: FOODMAKER INC /DE/ CENTRAL INDEX KEY: 0000807882 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-EATING PLACES [5812] IRS NUMBER: 952698708 STATE OF INCORPORATION: DE FISCAL YEAR END: 0929 FILING VALUES: FORM TYPE: 11-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-09390 FILM NUMBER: 97633088 BUSINESS ADDRESS: STREET 1: 9330 BALBOA AVE CITY: SAN DIEGO STATE: CA ZIP: 92123-1516 BUSINESS PHONE: 6195712121 MAIL ADDRESS: STREET 1: PO BOX 783 CITY: SAN DIEGO STATE: CA ZIP: 92112-4126 11-K 1 FOODMAKER EASY$AVER PLUS PLAN As filed with the Securities and Exchange Commission on June 30, 1997 SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 ------------------------------ FORM 11-K ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 (Mark One): X ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT --- OF 1934. For the fiscal year ended December 31, 1996 ----------------- OR TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES --- EXCHANGE ACT OF 1934. For the transition period from to --------------------- ----------------------- Commission file number 1-9390 ------------------ ------------------------------ FOODMAKER, INC. EASY$AVER PLUS PLAN (Full title of the Plan) ------------------------------ FOODMAKER, INC. (Name of issuer of the securities held pursuant to the Plan) 9330 Balboa Avenue San Diego, CA 92123 (Address of principal executive offices) FOODMAKER, INC. EASY$AVER PLUS PLAN Financial Statements and Schedules December 31, 1996 and 1995 (With Independent Auditors' Report Thereon) FOODMAKER, INC. EASY$AVER PLUS PLAN December 31, 1996 and 1995 TABLE OF CONTENTS Page number ----------- Independent Auditors' Report 1 Statement of Net Assets Available for Benefits With Fund Information as of December 31, 1996 2 Statement of Net Assets Available for Benefits With Fund Information as of December 31, 1995 4 Statement of Changes in Net Assets Available for Benefits With Fund Information for the year ended December 31, 1996 5 Statement of Changes in Net Assets Available for Benefits With Fund Information for the year ended December 31, 1995 8 Notes to Financial Statements 9 Schedule I - Line 27a - Schedule of Assets Held for Investment Purposes 14 Schedule II - Line 27d - Schedule of Reportable Transactions 16 Independent Auditors' Report ---------------------------- The Participants and the Administrative Committee Foodmaker, Inc. Easy$aver Plus Plan: We have audited the accompanying statements of net assets available for benefits of the Foodmaker, Inc. Easy$aver Plus Plan as of December 31, 1996 and 1995, and the related statements of changes in net assets available for benefits for each of the years in the two-year period ended December 31, 1996. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 1996 and 1995, and the changes in net assets available for benefits for each of the years in the two-year period ended December 31, 1996, in conformity with generally accepted accounting principles. Our audits were performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental schedules I and II are presented for the purpose of additional analysis and are not a required part of the basic financial statements but are supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. The fund information in the statements of net assets available for benefits with fund information and the statements of changes in net assets available for benefits with fund information is presented for purposes of additional analysis rather than to present the net assets available for benefits and changes in net assets available for 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, are fairly stated in all material respects in relation to the basic financial statements taken as a whole. KPMG PEAT MARWICK LLP San Diego, California June 23, 1997 -1- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Net Assets Available for Benefits With Fund Information December 31, 1996 (in thousands)
Dreyfus Certus Dreyfus Dreyfus Dreyfus Lifetime Dreyfus Neuberger Stable Short/Int Disciplined Lifetime Growth & Lifetime & Berman Value Govt Stock Income Income Growth Gaurdian Sub Fund Fund Fund Fund Fund Fund Trust Total ------- ------- ------- ------- ------- ------- ------- ------- Assets Investments, at fair value: Common/collective trust funds $ 41 9 24 4 30 8 8 124 Common stocks - - - - - - - - Mutual funds 3,554 918 5,355 106 8,954 300 396 19,583 Participant notes receivable - - - - - - - - ------- ------- ------- ------- ------- ------- ------- ------- 3,595 927 5,379 110 8,984 308 404 19,707 Investments, at contract value: Guaranteed investment contracts 9,896 - - - - - - 9,896 ------- ------- ------- ------- ------- ------- ------- ------- Total investments 13,491 927 5,379 110 8,984 308 404 29,603 ------- ------- ------- ------- ------- ------- ------- ------- Receivables: Due from broker - 8 43 - 48 1 2 102 Interest 67 - - - - - - 67 ------- ------- ------- ------- ------- ------- ------- ------- 67 8 43 - 48 1 2 169 ------- ------- ------- ------- ------- ------- ------- ------- Total assets 13,558 935 5,422 110 9,032 309 406 29,772 ------- ------- ------- ------- ------- ------- ------- ------- Liabilities Accrued expenses 12 - - - - - - 12 Due to broker - - - - - - - - ------- ------- ------- ------- ------- ------- ------- ------- 12 - - - - - - 12 ------- ------- ------- ------- ------- ------- ------- ------- Net assets available for benefits $13,546 935 5,422 110 9,032 309 406 29,760 ======= ======= ======= ======= ======= ======= ======= ======= (Continued)
-2- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Net Assets Available for Benefits With Fund Information, Continued December 31, 1996 (in thousands)
Warburg Crabbe Crabbe Pincus Foodmaker, Huson Heartland Huson Intl. Inc. Participant Sub Equity Value Special Equity Common Notes Total Fund Fund Fund Fund Stock Receivable Total ------- ------- ------- ------- ------- ------- ---------- ------- Assets Investments, at fair value: Common/collective trust funds $ 124 4 7 2 4 12 - 153 Common stocks - - - - - 2,288 - 2,288 Mutual funds 19,583 169 575 89 222 - - 20,638 Participant notes receivable - - - - - - 3,231 3,231 ------- ------- ------- ------- ------- ------- ------- ------- 19,707 173 582 91 226 2,300 3,231 26,310 Investments, at contract value: Guaranteed investment contracts 9,896 - - - - - - 9,896 ------- ------- ------- ------- ------- ------- ------- ------- Total investments 29,603 173 582 91 226 2,300 3,231 36,206 ------- ------- ------- ------- ------- ------- ------- ------- Receivables: Due from broker 102 2 2 1 - 8 - 115 Interest 67 - - - - - - 67 ------- ------- ------- ------- ------- ------- ------- ------- 169 2 2 1 - 8 - 182 ------- ------- ------- ------- ------- ------- ------- ------- Total assets 29,772 175 584 92 226 2,308 3,231 36,388 ------- ------- ------- ------- ------- ------- ------- ------- Liabilities Accrued expenses 12 - - - - - - 12 Due to broker - - - - - 3 - 3 ------- ------- ------- ------- ------- ------- ------- ------- 12 - - - - 3 - 15 ------- ------- ------- ------- ------- ------- ------- ------- Net assets available for benefits $29,760 175 584 92 226 2,305 3,231 36,373 ======= ======= ======= ======= ======= ======= ======= =======
See accompanying notes to financial statements. -3- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Net Assets Available for Benefits With Fund Information December 31, 1995 (in thousands)
Fidelity Twentieth Foodmaker, Equity Fixed Century Inc. Dreyfus Participant Income Income Select Common Short/Int Notes Fund Fund Fund Stock Govt Fund Receivable Total ------- ------- ------- ------- ------- ------- ------- Assets Investments, at fair value: Common/collective trust funds $ 50 151 25 11 10 - 247 Common stocks - - - 1,364 - - 1,364 Mutual funds 8,843 - 2,948 - 695 - 12,486 Participant notes receivable - - - - - 2,543 2,543 ------- ------- ------- ------- ------- ------- ------- 8,893 151 2,973 1,375 705 2,543 16,640 Investments, at contract value: Guaranteed investment contracts - 14,400 - - - - 14,400 ------- ------- ------- ------- ------- ------- ------- Total investments 8,893 14,551 2,973 1,375 705 2,543 31,040 ------- ------- ------- ------- ------- ------- ------- Receivables: Interest - 76 - - - - 76 Employer's contribution 4 8 3 1 1 - 17 Participants' contributions 15 22 9 4 4 - 54 ------- ------- ------- ------- ------- ------- ------- Total receivables 19 106 12 5 5 - 147 ------- ------- ------- ------- ------- ------- ------- Transfers due from (to) other funds 111 (183) 37 43 (8) - - ------- ------- ------- ------- ------- ------- ------- Net assets available for benefits $ 9,023 14,474 3,022 1,423 702 2,543 31,187 ======= ======= ======= ======= ======= ======= =======
See accompanying notes to financial statements. -4- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Changes in Net Assets Available for Benefits With Fund Information Year ended December 31, 1996 (in thousands)
Fidelity Twentieth Certus Dreyfus Dreyfus Equity Fixed Century Stable Short/Int Disciplined Income Income Select Value Govt Stock Sub Fund Fund Fund Fund Fund Fund Total ------- ------- ------- ------- ------- ------- ------- Additions Additions to net assets attributed to: Investment income: Net appreciation (depreciation) in fair value of investments $ 380 - 139 - (17) 689 1,191 Interest 1 147 1 611 11 - 771 Dividends 179 - - - 38 49 266 ------- ------- ------- ------- ------- ------- ------- 560 147 140 611 32 738 2,228 ------- ------- ------- ------- ------- ------- ------- Contributions: Participants' 174 288 113 753 231 429 1,988 Employer's 52 97 32 259 65 125 630 ------- ------- ------- ------- ------- ------- ------- 226 385 145 1,012 296 554 2,618 ------- ------- ------- ------- ------- ------- ------- Total additions 786 532 285 1,623 328 1,292 4,846 ------- ------- ------- ------- ------- ------- ------- Deductions Deductions in net assets attributed to: Benefits paid to participants (431) (1,025) (246) (634) (47) (164) (2,547) Administrative expenses (7) (37) (6) (47) (8) (8) (113) ------- ------- ------- ------- ------- ------- ------- Total deductions (438) (1,062) (252) (681) (55) (172) (2,660) ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) prior to interfund transfers 348 (530) 33 942 273 1,120 2,186 Interfund transfers (9,371) (13,944) (3,055) 12,604 (40) 4,302 (9,504) ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) (9,023) (14,474) (3,022) 13,546 233 5,422 (7,318) Net assets available for benefits: Beginning of year 9,023 14,474 3,022 - 702 - 27,221 ------- ------- ------- ------- ------- ------- ------- End of year $ - - - 13,546 935 5,422 19,903 ======= ======= ======= ======= ======= ======= ======= (Continued)
-5- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Changes in Net Assets Available for Benefits With Fund Information, Continued Year ended December 31, 1996 (in thousands)
Dreyfus Dreyfus Lifetime Dreyfus Neuberger Crabbe Lifetime Growth & Lifetime & Berman Huson Sub Income Income Growth Guardian Equity Sub Total Fund Fund Fund Trust Fund Total ------- ------- ------- ------- ------- ------- ------- Additions Additions to net assets attributed to: Investment income: Net appreciation (depreciation) in fair value of investments $ 1,191 (1) 667 19 38 14 1,928 Interest 771 - 1 - - - 772 Dividends 266 5 190 5 2 1 469 ------- ------- ------- ------- ------- ------- ------- 2,228 4 858 24 40 15 3,169 ------- ------- ------- ------- ------- ------- ------- Contributions: Participants' 1,988 78 578 159 125 77 3,005 Employer's 630 24 177 46 33 20 930 ------- ------- ------- ------- ------- ------- ------- 2,618 102 755 205 158 97 3,935 ------- ------- ------- ------- ------- ------- ------- Total additions 4,846 106 1,613 229 198 112 7,104 ------- ------- ------- ------- ------- ------- ------- Deductions Deductions in net assets attributed to: Benefits paid to participants (2,547) (6) (440) (10) (2) (2) (3,007) Administrative expenses (113) (1) (12) (1) - - (127) ------- ------- ------- ------- ------- ------- ------- Total deductions (2,660) (7) (452) (11) (2) (2) (3,134) ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) prior to interfund transfers 2,186 99 1,161 218 196 110 3,970 Interfund transfers (9,504) 11 7,871 91 210 65 (1,256) ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) (7,318) 110 9,032 309 406 175 2,714 ------- ------- ------- ------- ------- ------- ------- Net assets available for benefits: Beginning of year 27,221 - - - - - 27,221 ------- ------- ------- ------- ------- ------- ------- End of year $19,903 110 9,032 309 406 175 29,935 ======= ======= ======= ======= ======= ======= ======= (Continued)
-6- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Changes in Net Assets Available for Benefits With Fund Information, Continued Year ended December 31, 1996 (in thousands)
Warburg Crabbe Pincus Foodmaker, Heartland Huson Intl. Inc. Participant Sub Value Special Equity Common Notes Total Fund Fund Fund Stock Receivable Total ------- ------- ------- ------- ------- ---------- ------- Additions Additions to net assets attributed to: Investment income: Net appreciation (depreciation) in fair value of investments $ 1,928 39 4 2 689 - 2,662 Interest 772 - - - 1 228 1,001 Dividends 469 1 1 5 - - 476 ------- ------- ------- ------- ------- ------- ------- 3,169 40 5 7 690 228 4,139 ------- ------- ------- ------- ------- ------- ------- Contributions: Participants' 3,005 125 43 67 275 - 3,515 Employer's 930 31 11 18 78 - 1,068 ------- ------- ------- ------- ------- ------- ------- 3,935 156 54 85 353 - 4,583 ------- ------- ------- ------- ------- ------- ------- Total additions 7,104 196 59 92 1,043 228 8,722 ------- ------- ------- ------- ------- ------- ------- Deductions Deductions in net assets attributed to: Benefits paid to participants (3,007) (2) (1) (1) (163) (233) (3,407) Administrative expenses (127) - - - (2) - (129) ------- ------- ------- ------- ------- ------- ------- Total deductions (3,134) (2) (1) (1) (165) (233) (3,536) ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) prior to interfund transfers 3,970 194 58 91 878 (5) 5,186 Interfund transfers (1,256) 390 34 135 4 693 - ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) 2,714 584 92 226 882 688 5,186 Net assets available for benefits: Beginning of year 27,221 - - - 1,423 2,543 31,187 ------- ------- ------- ------- ------- ------- ------- End of year $29,935 584 92 226 2,305 3,231 36,373 ======= ======= ======= ======= ======= ======= =======
See accompanying notes to financial statements. -7- FOODMAKER, INC. EASY$AVER PLUS PLAN Statement of Changes in Net Assets Available for Benefits With Fund Information Year Ended December 31, 1995 (in thousands)
Fidelity Twentieth Foodmaker, Equity Fixed Century Inc. Dreyfus Participant Income Income Select Common Short/Int Notes Fund Fund Fund Stock Govt Fund Receivable Total ------- ------- ------- ------- --------- ---------- ------- Additions Additions to net assets attributed to: Investment income Net appreciation in fair value of investments $ 1,906 - 507 360 31 - 2,804 Interest - 908 - - 43 233 1,184 Dividends 210 - 20 - - - 230 ------- ------- ------- ------- ------- ------- ------- 2,116 908 527 360 74 233 4,218 ------- ------- ------- ------- ------- ------- ------- Contributions: Employer's 123 251 77 34 31 - 516 Participants' 791 1,448 507 229 199 - 3,174 ------- ------- ------- ------- ------- ------- ------- 914 1,699 584 263 230 - 3,690 ------- ------- ------- ------- ------- ------- ------- Total additions 3,030 2,607 1,111 623 304 233 7,908 ------- ------- ------- ------- ------- ------- ------- Deductions Deductions to net assets attributed to: Benefits paid to participants (897) (1,828) (374) (105) (81) (244) (3,529) Administrative expenses (21) (66) (16) - (10) (113) ------- ------- ------- ------- ------- ------- ------- Total deductions (918) (1,894) (390) (105) (91) (244) (3,642) ------- ------- ------- ------- ------- ------- ------- Net increase (decrease) prior to interfund transfers 2,112 713 721 518 213 (11) 4,266 Interfund transfers 164 (375) 15 122 (37) 111 - ------- ------- ------- ------- ------- ------- ------- Net increase 2,276 338 736 640 176 100 4,266 Net assets available for benefits: Beginning of year 6,747 14,136 2,286 783 526 2,443 26,921 ------- ------- ------- ------- ------- ------- ------- End of year $ 9,023 14,474 3,022 1,423 702 2,543 31,187 ======= ======= ======= ======= ======= ======= =======
See accompanying notes to financial statements. -8- FOODMAKER, INC. EASY$AVER PLUS PLAN Notes to Financial Statements December 31, 1996 and 1995 1. DESCRIPTION OF THE PLAN The following brief description of the Foodmaker, Inc. Easy$aver Plus Plan (the "Plan") is provided for general information purposes only. Participants should refer to the Plan document for a more complete description of the Plan's provisions. a. General: The Plan was established effective April 1, 1983 for the purpose of enabling employees to enhance their long-range financial security through regular savings with the benefit of Foodmaker, Inc. (the "Company") contributions. The benefits provided under the Plan are intended to supplement the retirement benefits provided under other plans sponsored by the Company. The Plan is subject to certain provisions of the Employee Retirement Income Security Act of 1974 ("ERISA"); however, benefits under the Plan are not eligible for plan termination insurance provided by the Pension Benefit Guaranty Corporation under Title IV of ERISA. The Company, as plan sponsor, makes contributions to the Plan and pays a portion of the administrative costs. Subject to certain restrictions, the plan sponsor also has the authority and responsibility for the general administration of the Plan. The Chairperson of the Company's Board of Directors is authorized to appoint the members of the Administrative Committee (the "Committee"). Mellon Bank, N.A. has become successor trustee to Northern Trust Company, and has the authority to hold, manage and protect the assets of the Plan in accordance with the provisions of the Plan. Beginning in April 1996, recordkeeping administrative services are performed by Dreyfus Service Corporation. In connection with this change in recordkeeper, the Plan offers daily investment trading and has increased the number of investment choices to twelve. The Plan covers substantially all regular administrative, clerical, warehouse and distribution employees, and maintenance and equipment technicians of the Company who have completed one year of service, receive regular compensation from a payroll in the United States, and have attained age 21. For employees hired on or after April 1, 1996, the one year of service requirement was changed to one year of service in which the employee is credited with at least 1000 hours of service. Participation by eligible employees is voluntary. -9- FOODMAKER, INC. EASY$AVER PLUS PLAN Notes to Financial Statements December 31, 1996 and 1995 (Continued) 1. DESCRIPTION OF THE PLAN (Continued) b. Contributions: Participants can elect to have the Company contribute to the Plan any amount from 2% to 12% of their compensation in 1% increments through payroll deductions. This deferral is referred to as a pre-tax deferral, i.e., it is not subject to income taxes in the year deferred. Except as described below, the Company has made matching contributions equal to 50% of each participant's first 4% of base compensation deferred. Effective April 3, 1995, the Company temporarily suspended matching contributions. Effective October 2, 1995, the Company reinstated matching contributions. Prior to January 1, 1989, participants who deferred at least 4% of compensation could have elected to contribute an additional 1% to 10% of compensation, in 1% increments, on an after-tax basis. Beginning January 1, 1989, after-tax contributions could have been made whether or not the participant had elected to make any pre-tax deferrals. Effective April 1, 1991, after-tax contributions may no longer be made to the Plan. c. Vesting: Participants have a fully vested interest in their pre- tax deferrals and after-tax contributions plus actual earnings thereon. Company contributions vest at the rate of 25 percent for each year of service by the participant or upon attainment of age sixty-five, disability, death or termination of the Plan. The vested amount in a participant's account normally is distributed upon termination of employment. The amount of the Company's contribution that is not vested with respect to any participant is forfeited upon termination of employment, but is restored if the participant becomes an eligible employee within five years after termination. Forfeitures are used to reduce employer contributions. During the year, no forfeitures were used to reduce employer contributions. As of December 31, 1996, plan assets included $9,867 of unallocated forfeitures. d. Participant Accounts: As of December 31, 1996, the trustee maintains twelve investment funds. Effective March 31, 1996, the Fidelity Equity Income Fund and the Twentieth Century Select Fund were discontinued. Participant balances were reinvested on April 1, 1996 in the Dreyfus Lifetime Growth & Income Fund and the Dreyfus Disciplined Stock Fund, respectively. Also effective April 1, 1996, the Fixed Income Fund was renamed the Certus Stable Value Fund and investment management duties previously performed by State Street Bank are now performed by Certus. Participants may direct their pre-tax deferrals, after-tax and Company matching contributions to be placed in any of the twelve investment funds allocated in multiples of 10% to any combination of these investment funds. Earnings derived from the assets of any investment fund are reinvested in the fund to which they relate. -10- FOODMAKER, INC. EASY$AVER PLUS PLAN Notes to Financial Statements December 31, 1996 and 1995 (Continued) 1. DESCRIPTION OF THE PLAN (Continued) d. Participant Accounts (continued): Participants may elect to transfer all or any multiple of 10% of the value of their accounts among funds on any market trading day. Pending investment of the assets in an investment fund, the trustee may temporarily make certain short-term investments. The Plan permits voluntary withdrawals by participants of their after-tax contributions and related earnings no more than once every six months. Because of certain Internal Revenue Service regulations, participants may, with Committee approval, withdraw pre-tax deferrals (exclusive of earnings for withdrawals after December 31, 1989), Company matching contributions (if the participant is fully vested) and related earnings only in the event of a financial hardship. The Plan permits participants to borrow from the investment funds. Loans are subject to such rules and regulations as the Committee may adopt, including but not limited to the following: (1) the amount of the loan is subject to certain limitations, (2) the loan bears interest at prevailing rates and repayments are to be made through payroll deductions, and (3) the payment of a processing fee is required. Amounts loaned to participants are treated as invested in such loans and, to the extent unpaid, do not generate any earnings other than interest thereon. e. Use of Estimates: The Plan sponsor and administrator have made a number of estimates and assumptions relating to the reporting of net assets available for benefits and changes in net assets available for benefits to prepare the financial statements in conformity with generally accepted accounting principles. Actual results could differ from those estimates. f. Reclassifications: Certain 1995 balances have been reclassified to conform to 1996 presentation. 2. SUMMARY OF ACCOUNTING POLICIES The financial statements of the Plan are prepared using the accrual method of accounting. The Plan's common/collective trust funds are stated at fair value. The Plan's investments in common stocks and mutual funds are stated at fair value, which is determined by quoted market prices. Purchases and sales of securities are recorded on a trade-date basis. All receivables and liabilities are valued at cost, which approximates fair value. -11- FOODMAKER, INC. EASY$AVER PLUS PLAN Notes to Financial Statements December 31, 1996 and 1995 (Continued) 2. SUMMARY OF ACCOUNTING POLICIES (Continued) The Plan's insurance company contracts are valued at contract value. Contract value represents contributions made under the contract, plus interest at the contract rate, less Plan withdrawals and certain expenses (See Note 4). 3. INVESTMENTS Investments consist of the following at December 31, 1996 and 1995:
December 31, 1996 December 31, 1995 ------------------------------ ------------------------------- Contract Fair Contract Fair Description of Investment Cost Value Value Cost Value Value - ------------------------- ------- ------- ------- ------- ------- ------- (in thousands) Northern Trust Collective Short-term Investment Fund $ - - - 198 - 198 State Street Yield Enhanced Short-term Investment Fund - - - 49 - 49 TBC, Inc. Pooled Employee Fund 153 - 153 - - - Fidelity Equity Income Fund, Inc. (net asset value $37.93 in 1995) - - - 7,398 - 8,843 Guaranteed Investment Contracts 9,896 9,896 - 14,400 14,400 - Certus Stable Value Fund (net asset value $1.00 in 1996) 3,554 - 3,554 - - - Twentieth Century Investors, Inc. Select Fund (net asset value $35.62 in 1995) - - - 2,776 - 2,948 Dreyfus Short-Intermediate Government Fund (net asset value $10.87 and $11.10 in 1996 and 1995, respectively) 918 - 918 660 - 695 Dreyfus Disciplined Stock Fund (net asset value $26.40 in 1996) 5,031 - 5,355 - - - Dreyfus Lifetime Income Fund (net asset value $12.78 in 1996) 110 - 106 - - - Dreyfus Lifetime Growth & Income Fund (net asset value $15.51 in 1996) 8,497 - 8,954 - - -
-12- FOODMAKER, INC. EASY$AVER PLUS PLAN Notes to Financial Statements December 31, 1996 and 1995 (Continued) 3. INVESTMENTS (Continued)
December 31, 1996 December 31, 1995 ------------------------------ ------------------------------- Contract Fair Contract Fair Description of Investment Cost Value Value Cost Value Value - ------------------------- ------- ------- ------- ------- ------- ------- (in thousands) Dreyfus Lifetime Growth Fund (net asset value $16.26 in 1996) 302 - 300 - - - Neuberger & Berman Guardian Trust (net asset value $15.87 in 1996) 366 - 396 - - - Crabbe Huson Equity Fund (net asset value $18.85 in 1996) 169 - 169 - - - Heartland Value Fund (net asset value $31.65 in 1996) 569 - 575 - - - Crabbe Huson Special Fund (net asset value $14.33 in 1996) 86 - 89 - - - Warburg Pincus International Equity Fund (net asset value $20.84 in 1996) 223 - 222 - - - Foodmaker, Inc. Common Stock 1,895 - 2,288 996 - 1,364 Participant notes receivable 3,231 - 3,231 2,543 - 2,543 ------- ------- ------- ------- ------- ------- $35,000 9,896 26,310 29,020 14,400 16,640 ======= ======= ======= ======= ======= =======
4. INVESTMENT CONTRACTS WITH INSURANCE COMPANIES The Certus Stable Value Fund includes various guaranteed investment contracts ("GIC") with insurance companies. These GIC's guarantee a fixed rate of interest over a specified period of time. Funds may be withdrawn from any GIC by the Plan, prior to the maturity of the GIC, in order to meet the withdrawal elections by the Plan participants from the Certus Stable Value Fund. The average yield on these contracts was 6.2% and 5.8% for the plan years ended December 31, 1996 and 1995, respectively. The crediting interest rates on these contracts approximated the average yield as of December 31, 1996 and 1995. 5. FEDERAL INCOME TAXES The Internal Revenue Service (IRS) has determined and informed the Company by a letter dated April 1, 1987, that the Plan and related trust are designed in accordance with applicable sections of the Internal Revenue Code. The Plan was amended and restated thereafter effective January 1, 1988 and January 1, 1989. On November 28, 1995, the IRS issued a favorable tax determination letter related to these restatements. The Plan was further restated effective January 1, 1996. The Plan sponsor believes that the Plan continues to qualify and to operate as designed. -13- Schedule I ---------- FOODMAKER, INC. EASY$AVER PLUS PLAN Line 27a-Schedule of Assets Held for Investment Purposes (in thousands) December 31, 1996 December 31, 1995 ---------------------------------- --------------------------------- Number of Current Number of Current Description of Investment Shares/Units Cost Value Shares/Units Cost Value - ------------------------- ------------ ------- ------- ------------ ------- ------- Common/Collective Trust Funds: * Northern Trust Collective Short-term Investment Fund - $ - - 198 198 198 * State Street Yield Enhanced Short-term Investment Fund - - - 49 49 49 * TBC, Inc. Pooled Employee Fund 153 153 153 - - - ------- ------- ------- ------- 153 153 247 247 ------- ------- ------- ------- Guaranteed Investment Contracts: Principal Mutual, 8.55% matures 1/2/96 - - - - 563 563 CIGNA, 8.75% matures 1/2/96 - - - - 715 715 Mass. Mutual, 7.87% matures 6/30/96 - - - - 334 334 CNA, 6.00% matures 6/30/96 & 12/31/96 - - - - 600 600 Principal Mutual, 6.50% matures 1/2/95-6/30/96 - - - - 274 274 Metropolitan, 6.10% matures 6/30/97 - 701 701 - 701 701 NY Life, 5.15% matures 6/30/97 & 98 - 591 591 - 895 895 Principal Mutual, 5.02% matures 7/1/97 & 12/31/97 - 502 502 - 762 762 Hartford, 4.90% matures 12/31/97 - 337 337 - 684 684 Provident, 4.18% matures 6/30/97 - 312 312 - 637 637 Hartford, 4.76% matures 6/30/97 - 550 550 - 1,121 1,121 NY Life, 6.75% matures 12/31/97 & 98 - 524 524 - 782 782 Principal Mutual, 7.08% matures 12/31/97 & 6/30/99 - 1,249 1,249 - 1,238 1,238 Life of VA, 8.04% matures 6/30/98, 6/30/99 & 12/31/99 - 800 800 - 786 786 Hancock, 7.88% matures quarterly through 12/31/99 - 675 675 - 785 785 Transamerica, 5.63% matures 9/30/97 & 98 - 1,262 1,262 - 1,118 1,118 Metropolitan, 7.53% matures 6/30/98 & 12/31/99 - 1,135 1,135 - 1,148 1,148 NY Life, 6.22% matures 9/30/97 & 98 and 12/31/98 - 1,258 1,258 - 1,257 1,257 ------- ------- ------- ------- 9,896 9,896 14,400 14,400 ------- ------- ------- -------
-14- Schedule I (Continued) ---------------------- FOODMAKER, INC. EASY$AVER PLUS PLAN Line 27a-Schedule of Assets Held for Investment Purposes (in thousands) December 31, 1996 December 31, 1995 ---------------------------------- --------------------------------- Number of Current Number of Current Description of Investment Shares/Units Cost Value Shares/Units Cost Value - ------------------------- ------------ ------- ------- ------------ ------- ------- Mutual Funds: Fidelity Equity Income Fund, Inc. (net asset value $37.93 in 1995) - - - 233.14 7,398 8,843 * Certus Stable Value Fund (net asset value $1.00 in 1996) 3,553.76 3,554 3,554 - - - Twentieth Century Investors, Inc. Select Fund (net asset value $35.62 in 1995) - - - 82.77 2,776 2,948 * Dreyfus Short-Intermediate Government Fund (net asset value $10.87 and $11.10 in 1996 and 1995, respectively) 84.45 918 918 62.63 660 695 * Dreyfus Disciplined Stock Fund (net asset value $26.40 in 1996) 202.86 5,031 5,355 - - - * Dreyfus Lifetime Income Fund (net asset value $12.78 in 1996) 8.27 110 106 - - - * Dreyfus Lifetime Growth & Income Fund (net asset value $15.51 in 1996) 577.32 8,497 8,954 - - - * Dreyfus Lifetime Growth Fund (net asset value $16.26 in 1996) 18.48 302 300 - - - Neuberger & Berman Guardian Trust (net asset value $15.87 in 1996) 24.92 366 396 - - - Crabbe Huson Equity Fund (net asset value $18.85 in 1996) 8.97 169 169 - - - Heartland Value Fund (net asset value $31.65 in 1996) 18.16 569 575 - - - Crabbe Huson Special Fund (net asset value $14.33 in 1996) 6.17 86 89 - - - Warburg Pincus International Equity Fund (net asset value $20.84 in 1996) 10.62 223 222 - - - ------- ------- ------- ------- 19,825 20,638 10,834 12,486 * Foodmaker, Inc. Common Stock 257.23 1,895 2,288 227.46 996 1,364 * Participant notes receivable - 3,231 3,231 - 2,543 2,543 ------- ------- ------- ------- $35,000 36,206 29,020 31,040 ======= ======= ======= ======= * Party-in-interest
See accompanying Independent Auditors' Report. -15- Schedule II ----------- FOODMAKER, INC. EASY$AVER PLUS PLAN Line 27d-Schedule of Reportable Transactions Year ended December 31, 1996 (in thousands)
Current Value of Asset Net on Gain Identity of Party Description Purchase Selling Cost of Transaction or Involved of Asset Price Price Asset Date (Loss) ----------------- ----------- ----- ----- ----- ---- ------ Fidelity Investments Fidelity Equity Income 502 - 502 502 - Fund - 9,725 7,344 9,725 2,381 Certus Asset Advisors Certus Stable Value 4,787 - 4,787 4,787 - Fund, Series J - 1,280 1,280 1,280 - Twentieth Century Investors, Inc. Twentieth Century 164 - 164 164 - Select Shares Capital - 3,252 3,292 3,252 (40) Stock Fund The Dreyfus Corporation Dreyfus Lifetime Portfolio 1,048 - 1,048 1,048 - Growth & Income - 1,478 1,442 1,478 36 Income Fund Foodmaker, Inc. Common Stock 833 - 833 833 - - 1,142 1,077 1,142 65 The Boston Company TBC, Inc. Pooled 4,560 - 4,560 4,560 - Employee Fund - 4,364 4,364 4,364 - Northern Trust Company Collective Short-Term 2,862 - 2,862 2,862 - Investment Fund - 3,061 3,061 3,061 - State Street Bank State Street Selection 525 - 525 525 - Fund - 1,265 1,265 1,265 -
-16- EXHIBITS 1. Consent of KPMG Peat Marwick LLP. SIGNATURES The Plan. Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees (or other persons who administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized. FOODMAKER, INC. EASY$AVER PLUS PLAN Date: June 27, 1997 By:LAWRENCE E. SCHAUF ------------------ Lawrence E. Schauf Member, Administrative Committee -17- Exhibit 1 Independent Auditors' Consent ----------------------------- The Board of Directors Foodmaker, Inc.: We consent to incorporation by reference in the registration statement (No. 33-54602) on Form S-8 of Foodmaker, Inc. of our report dated June 23, 1997, relating to the statements of net assets available for benefits of the Foodmaker, Inc. Easy$aver Plus Plan as of December 31, 1996 and 1995, and the related statements of changes in net assets available for benefits for each of the years in the two-year period ended December 31, 1996, and all related schedules, which report appears in the December 31, 1996 annual report on Form 11-K of the Foodmaker, Inc. Easy$aver Plus Plan. KPMG PEAT MARWICK LLP San Diego, California June 27, 1997 -----END PRIVACY-ENHANCED MESSAGE-----