-----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, TKdFZNQUqy7+zEMEFZ+buMCFrjAL/UK21lclu0QG44/BhgBiysnk8NHml8c5UDzP WXpL7GPZ98kgEsZ6dWVY5Q== 0000950137-96-001001.txt : 19960625 0000950137-96-001001.hdr.sgml : 19960625 ACCESSION NUMBER: 0000950137-96-001001 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19951231 FILED AS OF DATE: 19960624 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: PERRIGO CO CENTRAL INDEX KEY: 0000820096 STANDARD INDUSTRIAL CLASSIFICATION: PHARMACEUTICAL PREPARATIONS [2834] IRS NUMBER: 382799573 STATE OF INCORPORATION: MI FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 11-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-19725 FILM NUMBER: 96584583 BUSINESS ADDRESS: STREET 1: 117 WATER ST CITY: ALLEGAN STATE: MI ZIP: 49010 BUSINESS PHONE: 6166738451 MAIL ADDRESS: STREET 1: 117 WATER STREET CITY: ALLEGAN STATE: MI ZIP: 49010 11-K 1 CUMBERLAND-SWAN RETIREMENT INCOME SAVINGS PLAN 1 ================================================================================ FORM 11-K SECURITIES AND EXCHANGE COMMISSION WASHINGTON D.C. 20549 ________________ (Mark One) [X] ANNUAL REPORT PURSUANT TO SECTION 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED] For the fiscal year ended: December 31, 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 0-19725 -------------------- A. Full title of the plan and the address of the plan, if different from that of the issuer named below: Cumberland-Swan, Inc. Retirement Income Savings Plan One Swan Drive Smyrna, Tennessee 37167 B. Name of the issuer of the securities held pursuant to the plan and the address of its principal executive office: Perrigo Company 117 Water Street Allegan, MI 49010 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. Cumberland-Swan, Inc. Retirement Income Savings Plan ----------------------------------------------------- (Name of Plan) Date: June 19, 1996 /s/Steven M. Neil - --------------------- ----------------------------------------------------- Steven M. Neil Vice President - Finance, Treasurer and Chief Financial Officer Perrigo Company ================================================================================ 2 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN FINANCIAL STATEMENTS AND SCHEDULES YEARS ENDED DECEMBER 31, 1995 AND 1994 3 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN CONTENTS INDEPENDENT AUDITORS' REPORT 3 FINANCIAL STATEMENTS Statements of Net Assets Available for Benefits - December 31, 1995 and 1994 4 Statements of Changes in Net Assets Available for Benefits - Years Ended December 31, 1995 and 1994 5-6 Notes to Financial Statements 7-10 SUPPLEMENTAL SCHEDULES Assets Held for Investment Purposes - December 31, 1995 11 Reportable Transactions - Year Ended December 31, 1995 12 2 4 [BDO SEIDMAN LETTERHEAD] INDEPENDENT AUDITORS' REPORT Administrator of Cumberland-Swan, Inc. Retirement Income Savings Plan Smyrna, Tennessee We have audited the accompanying statements of net assets available for benefits of Cumberland-Swan, Inc. Retirement Income Savings Plan as of December 31, 1995 and 1994, and the related statements of changes in net assets available for benefits for the years then ended. These financial statements are the responsibility of the Plan's administrator. 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 Cumberland-Swan, Inc. Retirement Income Savings Plan as of December 31, 1995 and 1994, and the changes in net assets available for 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 financial statements taken as a whole. The 1995 supplemental schedules of assets held for investment purposes and reportable transactions 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 and the statements of changes in net assets available for benefits is presented for purposes of additional analysis rather than to present net assets available for benefits and changes in net assets available for benefits for 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. /s/ BDO Seidman, LLP May 1, 1996 3 5 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
- ------------------------------------------------------------------------------------------------------------------------ Perrigo Fixed Equity Balanced Stock December 31, 1995 Fund Fund Fund Fund Total - ------------------------------------------------------------------------------------------------------------------------ ASSETS Cash and equivalents $ 51,050 $ 40,164 $ 70,005 $ 4,000 $ 165,219 Investments, at fair value (Notes 2, 4 and 5): Collective investment funds 5,114,596 2,346,013 717,460 - 8,178,069 Common stock of Perrigo Company - - - 318,238 318,238 Contributions receivable from employer 292,419 127,684 53,090 31,068 504,261 Contributions receivable from employee 511 (373) 71 238 447 Accrued interest receivable 480 249 350 52 1,131 - ------------------------------------------------------------------------------------------------------------------------ Total assets 5,459,056 2,513,737 840,976 353,596 9,167,365 Transfers in progress (91,700) 79,344 16,588 (4,232) - - ------------------------------------------------------------------------------------------------------------------------ NET ASSETS AVAILABLE FOR BENEFITS $ 5,367,356 $ 2,593,081 $ 857,564 $ 349,364 $ 9,167,365 - ------------------------------------------------------------------------------------------------------------------------ December 31, 1994 Fixed Equity Balanced Perrigo Total Fund Fund Fund Stock Fund - ------------------------------------------------------------------------------------------------------------------------ ASSETS Cash and equivalents $ 282,544 $ 96,928 $ 40,775 $ 64,647 $ 484,894 Investments, at fair value (Notes 2, 4 and 5): Collective investment funds 4,304,788 1,962,659 459,662 - 6,727,109 Common stock of Perrigo Company - - - 224,963 224,963 Contributions receivable from employer 301,882 137,133 38,252 47,947 525,214 Accrued interest receivable 1,258 275 233 223 1,989 - ------------------------------------------------------------------------------------------------------------------------ NET ASSETS AVAILABLE FOR BENEFITS $ 4,890,472 $ 2,196,995 $ 538,922 $ 337,780 $ 7,964,169 - ------------------------------------------------------------------------------------------------------------------------
See accompanying notes to financial statements. 4 6 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
- ------------------------------------------------------------------------------------------------------------------------ Perrigo Fixed Equity Balanced Stock Year ended December 31, 1995 Fund Fund Fund Fund Total - ------------------------------------------------------------------------------------------------------------------------ ADDITIONS Employer contributions $ 447,872 $ 207,739 $ 86,760 $ 55,826 $ 798,197 Employee contributions 529,776 315,971 139,049 86,626 1,071,422 Interest 15,595 4,858 4,006 1,932 26,391 Net gain from collective funds (Note 4) 310,536 585,035 114,982 - 1,010,553 Net loss from Perrigo Company common stock (Note 4) - - - (12,790) (12,790) - ------------------------------------------------------------------------------------------------------------------------ Total additions 1,303,779 1,113,603 344,797 131,594 2,893,773 Distributions to participants (770,379) (683,603) (173,957) (62,638) (1,690,577) - ------------------------------------------------------------------------------------------------------------------------ Net increase 533,400 430,000 170,840 68,956 1,203,196 INTERFUND TRANSFERS (56,516) (33,914) 147,802 (57,372) - NET ASSETS AVAILABLE FOR BENEFITS, beginning of year 4,890,472 2,196,995 538,922 337,780 7,964,169 - ------------------------------------------------------------------------------------------------------------------------ NET ASSETS AVAILABLE FOR BENEFITS end of year $ 5,367,356 $ 2,593,081 $ 857,564 $ 349,364 $ 9,167,365 - ------------------------------------------------------------------------------------------------------------------------
5 7 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS - ------------------------------------------------------------------------------------------------------------------------ Perrigo Fixed Equity Balanced Stock Year ended December 31, 1994 Fund Fund Fund Fund Total - ------------------------------------------------------------------------------------------------------------------------ ADDITIONS Employer contributions $ 451,226 $ 212,267 $ 77,238 $ 71,521 $ 812,252 Employee contributions 447,373 288,652 107,413 100,522 943,960 Interest 7,954 3,417 1,860 1,268 14,499 Net gain from collective funds (Note 4) 238,300 (138,477) (5,301) - 94,522 Net loss from Perrigo Company common stock (Note 4) - - - (244,505) (244,505) - ------------------------------------------------------------------------------------------------------------------------ Total additions 1,144,853 365,859 181,210 (71,194) 1,620,728 Distributions to participants (274,710) (115,923) (21,043) (20,163) (431,839) - ------------------------------------------------------------------------------------------------------------------------ Net increase (decrease) 870,143 249,936 160,167 (91,357) 1,188,889 INTERFUND TRANSFERS 45,984 (183,300) 31,335 105,981 - NET ASSETS AVAILABLE FOR BENEFITS, beginning of year 3,974,345 2,130,359 347,420 323,156 6,775,280 - ------------------------------------------------------------------------------------------------------------------------ NET ASSETS AVAILABLE FOR BENEFITS, end of year $ 4,890,472 $ 2,196,995 $ 538,922 $ 337,780 $ 7,964,169 - ------------------------------------------------------------------------------------------------------------------------
See accompanying notes to financial statements. 6 8 CUMBERLAND-SWAN,INC. RETIREMENT INCOME SAVINGS PLAN Notes to Financial Statements - -------------------------------------------------------------------------------- 1. DESCRIPTION OF PLAN The following brief description of the Cumberland-Swan, Inc. Retirement Income Savings Plan (Plan) is provided for general information purposes only. Participants should refer to the Plan document for more complete information. GENERAL The Plan is a defined contribution profit-sharing plan, funded primarily by discretionary participant and employer contributions. The Plan covers substantially all qualified employees of Perrigo Company of Tennessee (Employer) and Cumberland Freight Lines, Inc. It is subject to the provisions of the Employee Retirement Income Security Act of 1974. The purpose of the Plan is to provide the benefits of a qualified employee retirement and savings plan to participants and their beneficiaries. All employees are eligible to participate in the Plan after reaching age 21 and completing three months of service. The Plan is administered by an Administrative Committee (Committee). Administrative expenses were paid by the Employer for the years ended December 31, 1995 and 1994. CONTRIBUTIONS Employer contribution and supplemental contribution accounts are maintained for each active participant. Contributions are allocated annually to the respective accounts of active participants as of each December 31 valuation date. Active participants are required to have at least 1,000 hours of credited service each Plan year, and must either be employed on the valuation date or have terminated employment due to death or retirement. At its discretion, each Plan year, the Company may contribute an amount for the Plan year which bears a specific relationship to each participant's elective deferral. This contribution, as well as a discretionary supplemental profit-sharing contribution, are determined by the Board of Directors and allocated based on eligible compensation (as defined in the Plan). The Plan provides that each eligible participant may make an elective contribution by entering into a salary reduction agreement with the Employer which designates a contribution of any whole percentage up to 15% of compensation during a Plan year. 7 9 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN NOTES TO FINANCIAL STATEMENTS - -------------------------------------------------------------------------------- The aggregate amount of employee and Employer contributions permitted for each participant is limited to the lesser of $30,000 or 25% of the participant's total nondeferred compensation. PARTICIPANT ACCOUNTS Participants' Employer, supplemental and elective employee contributions are increased or decreased on a pro rata basis, based on certain formulas provided by the Plan, to reflect respective shares of earnings or losses on investments, expenses or charges incurred and the unrealized appreciation or depreciation in the fair value of investments. VESTING Participants are 100% vested in their Employer contribution accounts and employee elective contribution accounts. Employer matching and supplemental contribution accounts become 50% vested after the completion of three years credited service, 75% vested after four years and 100% vested after five years. A year of service for vesting purposes is any Plan year in which an employee completes at least 1,000 hours of service commencing on the date the employee first performs one hour of service for the Employer. Participant accounts also become fully vested in the event of termination of the Plan, termination of employment due to death or disability or when an employee reaches eligible retirement age. Normal retirement age is 65. BENEFIT DISTRIBUTIONS Benefit distributions equal to vested benefits are payable to participants or their beneficiaries upon retirement, death, disability or termination of employment, except in the case of vested benefits equal to or greater than $3,500 payable to terminated participants, in which case the distribution shall not be made prior to normal retirement without the participant's written consent. Benefits shall begin to be paid no later than April 1 following either the calendar year in which a participant attains age 70-1/2 or, if the participant is other than a 8 10 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN NOTES TO FINANCIAL STATEMENTS =============================================================================== 5% owner of the outstanding stock of the Employer, the calendar year in which the participant retires. The method of distribution shall be determined by the Committee in accordance with the provisions of the Plan. WITHDRAWALS A participant may elect to withdraw up to an amount equal to the balance in the participant's elective contribution account on the allocation date coinciding with or immediately preceding the date of withdrawal, provided the Committee determines that: (1) the purpose of the withdrawal is to meet immediate and heavy financial need of the participant; (2) the amount of the withdrawal does not exceed such financial need and (3) the amount of the withdrawal is not reasonably available from other resources of the participant. FORFEITURES Forfeitures, resulting from termination of employment under circumstances which do not entitle the participant to be fully vested in his Employer matching and supplemental contribution accounts, are applied to reduce the Employer contribution for the Plan year in which they occur. 2. SUMMARY OF The financial statements of the Plan have been SIGNIFICANT prepared on the accrual basis of accounting. ACCOUNTING Investments are stated at fair value, as reported POLICIES by the trustee for collective investment funds, and by market quote for common stock. The fair value of money market and cash funds is considered equal to cost. Gains or losses realized from the disposition of investments are reported based on sale proceeds compared with the original cost when acquired. 3. TRUSTEE Under the terms of the trust agreement with SunTrust Bank, the trustee manages the trust fund on behalf of the Plan. Suntrust Bank has discretionary authority over the investments for the trust fund except for the investments in the common stock of Perrigo Company. 9 11 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN NOTES TO FINANCIAL STATEMENTS ================================================================================ 4. NET APPRECIATION The plan's investments (including investments (DEPRECIATION) OF bought, sold and held during the year) appreciated INVESTMENTS (depreciated) in fair value as follows:
Year ended December 31, 1995 1994 --------------------------------------------------------------------------------------- SunTrust Employee Benefit Stable Asset Fund $ 314,053 $ 245,020 SunTrust Corporate Equity Fund 660,163 (154,264) SunTrust Retirement Intermediate Bond Fund - 2,254 SunTrust Retirement Fixed Income Fund 21,443 1,512 SunTrust Retirement Short-Term Fund 14,894 - Perrigo Company common stock (12,790) (244,505) --------------------------------------------------------------------------------------- $ 997,763 $ (149,983) =======================================================================================
5. INVESTMENTS Investments that represent 5% or more of total Plan assets are as follows:
December 31, 1995 1994 --------------------------------------------------------------------------------------- SunTrust Employee Benefit Stable Asset Fund $ 5,185,381 $ 435,315 SunTrust Corporate Equity Fund 2,693,388 2,180,214 SunTrust Retirement Reserve Fund - 475,350 =======================================================================================
6. INCOME TAX STATUS The Plan obtained its latest determination letter on March 1992, in which the Internal Revenue Service stated that the Plan, as then designed, was in compliance with the applicable requirements of the Internal Revenue Code. The Plan has been amended since receiving the determination letter. However, the Plan administrator and the Plan's tax counsel believe that the Plan is currently designed and being operated in compliance with the applicable requirements of the Internal Revenue Code. 10 12 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN LINE 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES - ------------------------------------------------------------------------------- EIN: 62-0634170 Plan Number: 002
December 31, 1995 - -------------------------------------------------------------------------------------------------- Current Description of investment Shares Cost value - -------------------------------------------------------------------------------------------------- FIXED FUND SunTrust Employee Benefit Stable Asset Fund 235,262 $ 3,914,741 $ 5,114,596 EQUITY FUND SunTrust Employee Benefit Stable Asset Fund 346 7,491 7,522 SunTrust Corporate Equity Fund 18,687 1,503,831 2,338,491 BALANCED FUND SunTrust Employee Benefit Stable Asset Fund 2,910 57,428 63,263 SunTrust Retirement Fixed Income Fund 2,343 131,132 152,445 SunTrust Retirement Bond Fund 2,315 131,050 146,854 SunTrust Corporate Equity Fund 2,836 282,350 354,898 PERRIGO STOCK FUND Common stock of Perrigo Company 26,799 463,156 318,238 - -------------------------------------------------------------------------------------------------- TOTAL INVESTMENTS $ 6,491,179 $ 8,496,307 - -------------------------------------------------------------------------------------------------- SUNTRUST RETIREMENT RESERVE FUND (included in cash and equivalents) 181,992 $ 181,992 $ 181,992 - --------------------------------------------------------------------------------------------------
11 13 CUMBERLAND-SWAN, INC. RETIREMENT INCOME SAVINGS PLAN LINE 27D - SCHEDULE OF REPORTABLE TRANSACTIONS ================================================================================ EIN: 62-0634170 Plan Number: 002
Year ended December 31, 1995 - ------------------------------------------------------------------------------------------------------------ Purchases Sales ------------------------- -------------------------------------------------------- Description of asset Shares Purchase Shares Selling Cost of Realized purchased price (a) sold price (a) asset (a) gain - ------------------------------------------------------------------------------------------------------------ SunTrust Retirement Reserve Fund 3,745,662 $ 3,745,662 4,039,020 $ 4,039,020 $ 4,039,020 $ - SunTrust Employee Benefit Stable Asset Fund 38,832 813,385 13,704 295,214 228,478 66,736 SunTrust Corporate Equity Fund 4,274 472,879 5,650 619,836 435,276 184,560 - ------------------------------------------------------------------------------------------------------------
(a) Fair value at date of transaction. 12 -----END PRIVACY-ENHANCED MESSAGE-----