-----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, FFE9Fow9DEH+KZcYOqEyOCJWkfVY/SMZ3GOd9+3ntPDCCNOGQsnAEZr7iPwgvtFG 295S3G7kN9fUGVhrUkvlNQ== 0000009892-99-000022.txt : 19990629 0000009892-99-000022.hdr.sgml : 19990629 ACCESSION NUMBER: 0000009892-99-000022 CONFORMED SUBMISSION TYPE: 10-K/A PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 19981231 FILED AS OF DATE: 19990628 FILER: COMPANY DATA: COMPANY CONFORMED NAME: BARD C R INC /NJ/ CENTRAL INDEX KEY: 0000009892 STANDARD INDUSTRIAL CLASSIFICATION: SURGICAL & MEDICAL INSTRUMENTS & APPARATUS [3841] IRS NUMBER: 221454160 STATE OF INCORPORATION: NJ FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-K/A SEC ACT: SEC FILE NUMBER: 001-06926 FILM NUMBER: 99653810 BUSINESS ADDRESS: STREET 1: 730 CENTRAL AVE CITY: MURRAY HILL STATE: NJ ZIP: 07974 BUSINESS PHONE: 9082778000 MAIL ADDRESS: STREET 1: 730 CENTRAL AVENUE CITY: MURRAY HILL STATE: NJ ZIP: 07974 10-K/A 1 SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-K/A AMENDMENT #1 ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 1998 Commission File Number 1-6926 C. R. BARD, INC. (Exact name of registrant as specified in its charter) New Jersey 22-1454160 (State of incorporation) (I.R.S. Employer Identification No.) 730 Central Avenue Murray Hill, NJ 07974 (Address of principal executive offices) Registrant's telephone number, including area code: (908) 277-8000 The undersigned registrant hereby amends the following items, financial statements, exhibits or other portions of its Annual Report on Form 10-K for the year ended December 31, 1998 as set forth in the pages attached hereto. Item 14 Exhibits, Financial Statement Schedules and Reports on Form 8-K. The following financial statements with respect to the Bard Employees' Savings Trust 401(K) Plan (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) (the "Retirement Savings Plan") are filed herewith as Exhibit 99(a) pursuant to Rule 15d-21 under the Securities Exchange Act of 1934, in lieu of filing on Form 11-K: (a) Report of Independent Public Accountants (b) Statements of Net Assets Applicable to Participants' Equity as of December 31, 1998 and 1997 (c) Statement of Changes in Net Assets Applicable to Participants' Equity for the Year Ended December 31, 1998 (d) Notes to Financial Statements Exhibit 23(a) Consent of Arthur Andersen LLP The Bard Employees' Savings Trust 401(K) Plan is subject to the Employee Retirement Income Security Act of 1974, as amended, and the foregoing financial statements are filed in lieu of the financial statements required by Items 1, 2 and 3 of Form 11-K. Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this amendment to be signed on its behalf by the undersigned, thereto duly authorized. C. R. BARD, INC. (Registrant) By: Charles P. Slacik /s/ Charles P. Slacik Senior Vice President and Chief Financial Officer June 28, 1999 EX-23 2 EXHIBIT 23(a) CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS As independent public accountants, we hereby consent to the incorporation by reference of our report dated May 27, 1999, included in this Form 10-K/A, into C. R. Bard, Inc.'s previously filed Registration Statements (i) on Form S-8 for the Employees' Retirement Savings Plan of C. R. Bard, Inc., Registration No. 333-30217, (ii) on Form S-3 Registration No. 333-05997, (iii) the 1990 Employee Stock Option Plan, as amended, Registration No. 333-35544, (iv) the C. R. Bard, Inc. 1988 Directors Stock Award Plan, as amended, Registration No.'s 333-64874 and 333-51793, (v) the 1993 Long-term Incentive Plan of C. R. Bard, Inc., as amended, Registration No.'s 33-64874, 333-07189 and 333-51793, (vi) the 1998 Employee Stock Purchase Plan of C. R. Bard, Inc., Registration No. 333-51793, (vii) the C. R. Bard, Inc. Management Stock Purchase Plan, Registration No. 333-69857 and, (viii) the MedChem Products, Inc. 1994 Stock Option Plan, MedChem Products, Inc. 1993 Stock Option Plan, MedChem Products, Inc., 1993 Spin-off Stock Option Plan, MedChem Products, Inc. 1993 Director Stock Option Plan, MedChem Products, Inc. amended and restated Stock Option Plan, all formerly maintained by MedChem Products, Inc., Registration No. 33-63147. Roseland, New Jersey June 25, 1999 EX-99 3 EXHIBIT 99(a) Bard Employees' Savings Trust 401(K) Plan (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) Financial Statements As Of December 31, 1998 And 1997 Together With Report of Independent Public Accountants Bard Employees' Savings Trust 401(k) Plan (formerly Employee's Retirement Savings Plan of C. R. Bard, Inc.) INDEX REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS FINANCIAL STATEMENTS: Statements of Net Assets Applicable to Participants' Equity as of December 31, 1998 and 1997 Statement of Changes in Net Assets Applicable to Participants' Equity for the Year Ended December 31, 1998 Notes to Financial Statements SUPPLEMENTAL SCHEDULES: I - Item 27a - Schedule of Assets Held for Investment Purposes as of December 31, 1998 II - Item 27d - Schedule of Reportable Transactions for the Year Ended December 31, 1998 REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS To the Retirement Committee of the Bard Employees' Savings Trust 401(K)Plan: We have audited the accompanying statements of net assets applicable to participants' equity of the Bard Employees' Savings Trust 401(k) Plan as of December 31, 1998 and 1997, and the related statement of changes in net assets applicable to participants' equity for the year ended December 31, 1998. These financial statements and the schedules referred to below 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 applicable to participants' equity as of December 31, 1998 and 1997, and the changes in net assets applicable to participants' equity for the year ended December 31, 1998, 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 of assets held for investment purposes as of December 31, 1998 and reportable transactions for the year ended December 31, 1998, 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 statement of changes in net assets applicable to participants' equity is presented for purposes of additional analysis rather than to present the changes in net assets applicable to participants' equity of each fund. The supplemental schedules and fund information have been subjected to the auditing procedures applied in the audit 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. Roseland, New Jersey May 27, 1999 BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) STATEMENTS OF NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY AS OF DECEMBER 31, 1998 AND 1997 1998 1997 ASSETS: Investments, at fair value - Bard Common Stock Fund $ 57,329,829 $ 39,286,361 Bard Stock Cash Dividend Fund --- --- Investment Contracts Fund 19,348,376 22,262,337 Vanguard 500 Index Fund 69,300,667 57,806,053 Vanguard International Growth Fund 906,599 --- Vanguard LifeStrategy Conservative Growth Fund 327,757 --- Vanguard LifeStrategy Growth Fund 1,334,099 --- Vanguard LifeStrategy Moderate Growth Fund 1,146,616 --- Vanguard Prime Money Market Fund 5,875,286 3,144,800 Vanguard PRIMECAP Fund 3,868,430 --- Vanguard Total Bond Market Index Fund 3,315,453 3,424,922 Vanguard Wellington Fund 1,623,650 --- Participant Loans 4,253,481 2,080,005 Total investments 168,630,243 128,004,478 Accrued interest and dividends receivable --- 139,726 Participants' contributions receivable 475,382 --- Total assets $169,105,625 $128,144,204 LIABILITIES: Due to broker --- 758,316 Net assets applicable to participants' equity $169,105,625 $127,385,888 The accompanying notes to financial statements are an integral part of these statements. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) STATEMENT OF CHANGES IN NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY FOR THE YEAR ENDED DECEMBER 31, 1998
Bard Common Bard Stock Investment Stock Cash Dividend Contracts Fund Fund Fund NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, beginning of year $39,286,361 $ --- $22,262,337 ADDITIONS: Employer contributions (net of forfeitures) $ 3,852,718 $ --- $ --- Employee contributions 1,687,320 --- 1,516,841 Interest and dividend income 235,519 669,140 1,264,900 Net appreciation and realized gain on sale of investments 21,844,656 --- --- Loans advanced, net of repayments (818,672) --- (378,013) 26,801,541 669,140 2,403,728 DEDUCTIONS: Disbursements to participants 4,277,884 592 2,580,369 Net depreciation and realized loss on sale of investments --- --- --- 4,277,884 592 2,580,369 NET TRANSFERS BETWEEN FUNDS (4,480,189) (668,548) (2,737,320) NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, end of year $57,329,829 $ --- $19,348,376
The accompanying notes to financial statements are an integral part of this statement. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) STATEMENT OF CHANGES IN NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
Vanguard Vanguard Vanguard LifeStrategy 500 Index International Conservative Fund Growth Fund Growth Fund NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, beginning of year $57,806,053 $ --- $ --- ADDITIONS: Employer contributions (net of forfeitures) --- --- --- Employee contributions 7,380,811 196,753 37,861 Interest and dividend income 1,075,206 19,002 14,970 Net appreciation and realized gain on sale of investments 14,865,858 27,622 9,623 Loans advanced, net of repayments (877,594) 1,115 (786) 22,444,281 244,532 61,668 DEDUCTIONS: Disbursements to participants 7,480,582 112,065 13,682 Net depreciation and realized loss on sale of investments --- 4,038 6,751 7,480,582 116,103 20,433 NET TRANSFERS BETWEEN FUNDS (3,469,085) 778,170 286,522 NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, end of year $69,300,667 $ 906,599 $ 327,757
The accompanying notes to financial statements are an integral part of this statement. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) STATEMENT OF CHANGES IN NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
Vanguard Vanguard LifeStrategy Vanguard LifeStrategy Moderate Prime Money Growth Fund Growth Fund Market Fund NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, beginning of year $ --- $ --- $ 3,144,800 ADDITIONS: Employer contributions (net of forfeitures) --- --- --- Employee contributions 280,420 122,624 557,025 Interest and dividend income 46,442 42,211 194,412 Net appreciation and realized gain on sale of investments 80,901 40,743 --- Loans advanced, net of repayments (7,423) 919 (76,851) 400,340 206,497 674,586 DEDUCTIONS: Disbursements to participants 95,899 80,434 783,198 Net depreciation and realized loss on sale of investments 43,794 --- --- 139,693 80,434 783,198 NET TRANSFERS BETWEEN FUNDS 1,073,452 1,020,553 2,839,098 NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, end of year $ 1,334,099 $ 1,146,616 $ 5,875,286
The accompanying notes to financial statements are an integral part of this statement. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) STATEMENT OF CHANGES IN NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
Vanguard Vanguard Total Vanguard PRIMECAP Bond Market Wellington Fund Index Fund Fund NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, beginning of year $ --- $ 3,424,922 $ --- ADDITIONS: Employer contributions (net of forfeitures) --- --- --- Employee contributions 814,169 438,842 278,425 Interest and dividend income 146,781 209,225 164,931 Net appreciation and realized gain on sale of investments 369,567 54,888 --- Loans advanced, net of repayments 11,492 (45,449) (3,934) 1,342,009 657,506 439,422 DEDUCTIONS: Disbursements to participants 1,451,562 647,355 153,558 Net depreciation and realized loss on sale of investments 68,584 --- 92,614 1,520,146 647,355 246,172 NET TRANSFERS BETWEEN FUNDS 4,046,567 (119,620) 1,430,400 NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, end of year $ 3,868,430 $ 3,315,453 $ 1,623,650
The accompanying notes to financial statements are an integral part of this statement. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) STATEMENT OF CHANGES IN NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
Accrued Interest & Participant Contributions Dividends Loans Receivable Receivable NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, beginning of year $ 2,080,005 $ --- $ 139,726 ADDITIONS: Employer contributions (net of forfeitures) --- 475,382 --- Employee contributions 276,419 --- (139,726) Interest and dividend income --- --- --- Net appreciation and realized gain on sale of investments --- --- --- Loans advanced, net of repayments 2,195,196 --- --- 2,471,615 475,382 (139,726) DEDUCTIONS: Disbursements to participants 298,139 --- --- Net depreciation and realized loss on sale of investments --- --- --- 298,139 --- --- NET TRANSFERS BETWEEN FUNDS --- --- --- NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, end of year $ 4,253,481 $ 475,382 ---
The accompanying notes to financial statements are an integral part of this statement. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) STATEMENT OF CHANGES IN NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
Due to Broker Total NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, beginning of year $ (758,316) $127,385,888 ADDITIONS: Employer contributions (net of forfeitures) --- 3,852,718 Employee contributions --- 13,786,473 Interest and dividend income --- 4,219,432 Net appreciation and realized gain on sale of investments --- 37,293,898 Loans advanced, net of repayments --- --- --- 59,152,521 DEDUCTIONS: Disbursements to participants (758,316) 17,217,003 Net depreciation and realized loss on sale of investments --- 215,781 (758,316) 17,432,784 NET TRANSFERS BETWEEN FUNDS --- --- NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY, end of year $ --- $169,105,625
The accompanying notes to financial statements are an integral part of this statement. BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) NOTES TO FINANCIAL STATEMENTS (1) PLAN DESCRIPTION: The following description of the Bard Employees' Savings Trust 401(K) Plan (the "Plan"), formerly the Employees' Retirement Savings Plan of C. R. Bard, Inc., is provided for general information purposes. Participants of the Plan should refer to the Plan document for more detailed and complete information. General- The Plan is a defined contribution profit sharing plan for which contributions are made by C. R. Bard, Inc. (the "Company") and Plan participants. Effective January 1, 1998 employer matching contributions were designated as an employee stock ownership plan within the meaning of section 4975(e)(7) of the Code. This portion of the plan invests primarily in qualifying employer securities. All domestic employees of the Company, not covered by a collective bargaining agreement, who have completed 1,000 hours of service and have attained the age of 21, are eligible to participate in the Plan. Contributions- Plan participants may elect to make tax deferred contributions through payroll deductions equal to 1% to 15% of their compensation. Salespersons' commissions are also eligible for contributions to the Plan. The Company matches 100% of participants' contributions up to the first 2% of their compensation and 25% of contributions between 2% and 4% of their compensation. The Company may elect, at its discretion, to make additional matching contributions. However, matching contributions (when aggregated with elective deferral contributions) are not to exceed the maximum tax deductible amount per current Federal tax regulations. As of December 31, 1998, participants may direct their contributions to be invested in one of the following types of investment funds: Bard Common Stock Fund - The fund invests in C. R. Bard, Inc. Common Stock. Bard Stock Cash Dividend Fund - Reinvests dividends earned within the Bard Common Stock Fund. Investment Contracts Fund - The fund invests in a diversified portfolio of investment contracts issued by insurance companies and other financial institutions. - 1 - Vanguard 500 Index Fund - The fund holds all of the 500 stocks that make up the Standard & Poor's 500 Composite Stock Price Index in proportion to their weighting in the Index. Vanguard International Growth Fund - The fund invests in stocks of high-quality, seasoned companies based outside the United States. Vanguard LifeStrategy Conservative Growth Fund - The fund invests in selected Vanguard funds to achieve a targeted allocation of assets to U.S. stocks, international stocks, bonds, and short-term reserves. Vanguard LifeStrategy Growth Fund - The fund invests in selected Vanguard funds to achieve a targeted allocation of assets to U.S. stocks, international stocks, bonds, and short-term reserves. Vanguard LifeStrategy Moderate Growth Fund - The fund invests in selected Vanguard funds to achieve a targeted allocation of assets to U.S. stocks, international stocks, bonds, and short-term reserves. Vanguard Prime Money Market Fund - The fund invests in short-term, high-quality money market instruments issued by financial institutions, nonfinancial corporations, the U.S. government, and federal agencies. Vanguard PRIMECAP Fund - The fund invests in stocks of companies with above-average prospects for continued earnings growth, strong industry positions, and skilled management teams. Vanguard Total Bond Market Index Fund - The fund attempts to match the performance of the Lehman Brothers Aggregate Bond Index. Vanguard Wellington Fund - the fund seeks to provide income and long-term growth by investing in stocks and bonds. Vesting- All employee contributions are fully vested and nonforfeitable. Participants' may transfer or redirect employee contributions each day the New York Stock Exchange is open for business. Company contributions are invested solely in the Bard Common Stock Fund and may be made in cash or Company stock. - 2 - Participants are vested in the Company's matching contribution as follows: Years Participated in Plan % Vested Under 2 0 2 but < 3 25% 3 but < 4 50% 4 but < 5 75% 5 or more 100% Forfeitures- At December 31, 1998, forfeited nonvested accounts totaled approximately $270,936. These accounts will be used to reduce future Company matching contributions. In 1998, employer contributions were reduced by $269,516 from forfeited nonvested accounts. Loans- A participant may borrow up to one-half of their vested account balance, limited to $50,000. The loan shall be repaid pursuant to a fixed payment schedule not to exceed five years from the date of the loan (unless such loan is for the purchase of a primary residence, in which case the loan may be repaid within fifteen years). Income Allocations- Investment income for an accounting period shall be allocated to participants' accounts in proportion to the total of their respective account balances at the beginning of such accounting period plus any contributions or loan repayments credited to the account during the period. Distributions- Participants will receive the full amount of their vested account balance when one of the following events occurs: normal retirement, termination of service, death or disability. Early withdrawals are permitted at the participant's request after attainment of age 59-1/2. Certain hardship withdrawals are also permitted. Distributions may be made in a lump sum payment or in a series of installments over three to ten years. (2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES: Estimates in the Preparation of Financial Statements- The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of additions and deductions during the reporting period. Actual results could differ from those estimates. - 3 - Valuation of Investments- Investments in the Bard Common Stock Fund, the Vanguard 500 Index Fund, the Vanguard International Growth Fund, the Vanguard LifeStrategy Conservative Growth Fund, the Vanguard LifeStrategy Growth Fund, the Vanguard LifeStrategy Moderate Growth Fund, the Vanguard Prime Money Market Fund, the Vanguard PRIMECAP Fund, the Vanguard Total Bond Market Index Fund, and the Vanguard Wellington Fund are in the form of units of participation within the account with the unit value of each account calculated periodically by the Trustee reflecting transaction gains and losses, appreciation or depreciation of the market value of the account investments, interest and dividends. The Investment Contracts Fund (the "Fund") is a pooled fund which is reported on the financial statements at contract value, which approximates fair value, as determined by the Trustee. The average yields of the Fund for the years ended December 31, 1998 and 1997 were 6.21% and 6.53%, respectively. The crediting interest rate was 6.28% and 6.48% as of December 31, 1998 and 1997, respectively. This rate is determined periodically by the Trustee based on the Fund's holdings. As of December 31, 1998 and 1997, there were no valuation reserves needed within the Fund, however, it did hold a Guaranteed Investment Contract in rehabilitation (See Note 5). Plan Administration- Under a trust agreement dated October 1, 1983, United States Trust Company of New York was appointed Trustee of the Plan and administers the Plan's assets together with the income therefrom. In 1995, United States Trust Company of New York merged with Chase Manhattan Bank, N.A. Effective December 31, 1997, all assets of the Plan were transferred to The Vanguard Group pursuant to a trust agreement dated January 1, 1998. Under the new trust agreement dated January 1, 1998, Vanguard Fiduciary Trust Company is the appointed Trustee of the Plan and administers the Plan's assets together with the income therefrom. All expenses incurred for the Plan by the Trustee and the Company may be either paid by the Company or from the assets of the Plan. Substantially all expenses of the Plan were paid by the Company during 1998. Accounting records maintained by the Trustee are on the accrual basis of accounting. Investment transactions are recorded on a trade date basis. The Plan had no assets not having a readily determinable market value as of December 31, 1998 and 1997. - 4 - Tax Status- The Internal Revenue Service has determined and informed the Company by a letter dated February 28, 1996, that the Plan is designed in accordance with applicable sections of the Internal Revenue Code of 1986 (the "Code"). The Plan has been amended since receiving the determination letter. However, the Plan administrator and the Plan's legal counsel believe that the Plan is currently designed and being operated in compliance with the applicable requirements of the Code. Therefore, they believe that the Plan was qualified and the related trust was tax-exempt as of the financial statement date. (3) RELATED PARTY TRANSACTIONS: As of December 31, 1998 and 1997, the Plan holds 1,158,178 and 1,262,151 shares of C. R. Bard, Inc. common stock, respectively, with a market value of $57,329,829 at December 31, 1998 and $39,286,361 at December 31, 1997. During the year ended December 31, 1998, 141,400 shares of such common stock were acquired at a cost of $5,231,727; 275,800 shares were sold with an original cost basis of $7,617,433 and 18,918 shares were delivered to Plan participants with an original cost basis of $517,165. (4) PLAN TERMINATION Although it has not expressed any intent to do so, the Company has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of Employee Retirement Income Security Act of 1974. In the event of plan termination, participants will become fully vested in their account balances. (5) FIXED INCOME OBLIGATIONS IN REHABILITATION Included in the Plan's assets is a Guaranteed Investment Contract from Confederation Life Insurance Co., which is in rehabilitation. It has been determined by the Trustee that the balance of $16,079 is collectable with payment expected in 1999. - 5 - SCHEDULE I BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc) EIN #22-1454160, PLAN #003 ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES AS OF DECEMBER 31, 1998
(c) Description of investment (b) Identity of issue, including maturity date, borrower, lessor or rate of interest, collateral, (e) Current (a) similar party par or maturity value (d) Cost Value BARD COMMON STOCK FUND * The Vanguard Group Units of participation in Bard $ 33,317,366 $ 57,329,829 Common Stock Fund, 3,642,302 units, $15.74 per unit. INVESTMENT CONTRACTS FUND The Vanguard Group Units of participation in Investment 19,348,376 19,348,376 Contracts Fund, 19,348,376 units, $1.00 per unit. VANGUARD 500 INDEX FUND The Vanguard Group Units of participation in Vanguard 56,096,075 69,300,667 500 Index Fund, 608,167 units, $113.95 per unit. VANGUARD INTERNATIONAL GROWTH FUND The Vanguard Group Units of participation in Vanguard 878,937 906,599 International Growth Fund, 48,300 units, $18.77 per unit. VANGUARD LIFESTRATEGY CONSERVATIVE GROWTH FUND The Vanguard Group Units of participation in Vanguard 318,134 327,757 LifeStrategy Conservative Growth Fund, 22,281 units, $14.71 per unit. VANGUARD LIFESTRATEGY GROWTH FUND The Vanguard Group Units of participation in Vanguard 1,253,198 1,334,099 LifeStrategy Growth Fund, 71,001 units, $18.79 per unit.
The accompanying notes to financial statements are an integral part of this schedule. * Represents a party in interest to the plan
SCHEDULE I (continued) (c) Description of investment (b) Identity of issue, including maturity date, borrower, lessor or rate of interest, collateral, (e) Current (a) similar party par or maturity value (d) Cost Value VANGUARD LIFESTRATEGY MODERATE GROWTH FUND The Vanguard Group Units of participation in Vanguard $ 1,106,078 $ 1,146,616 LifeStrategy Moderate Growth Fund, 68,008 units, $16.86 per unit. VANGUARD PRIME MONEY MARKET FUND The Vanguard Group Units of participation in Vanguard 5,875,286 5,875,286 Prime Money Market Fund, 5,875,286 units, $1.00 per unit. VANGUARD PRIMECAP FUND The Vanguard Group Units of participation in Vanguard 3,498,863 3,868,430 PRIMECAP Fund, 81,167 units, $47.66 per unit. VANGUARD TOTAL BOND MARKET INDEX FUND The Vanguard Group Units of participation in Vanguard 3,270,825 3,315,453 Total Bond Market Index Fund, 322,829 units, $10.27 per unit. VANGUARD WELLINGTON FUND The Vanguard Group Units of participation in Vanguard 1,712,915 1,623,650 Wellington Fund, 55,320 units, $29.35 per unit. OTHER Participant Loans With interest rates ranging from 4,253,481 4,253,481 7.24% to 9.6% and maturing through 2013. $130,929,534 $168,630,243
The accompanying notes to financial statements are an integral part of this schedule. * Represents a party in interest to the plan. SCHEDULE II BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) EIN #22-1454160, PLAN #003 ITEM 27d-SCHEDULE OF REPORTABLE TRANSACTIONS (A) FOR THE YEAR ENDED DECEMBER 31, 1998
(b) Description of asset (a) Identity of (include interest rate and (c) Number of (d) Purchase (e) Selling party involved maturity in case of a loan) transactions price price The Vanguard Group Vanguard 500 Index Fund Purchases 190 $14,234,946.78 The Vanguard Group Vanguard 500 Index Fund Sales 210 $17,231,869.64 The Vanguard Group Vanguard Prime Money Mkt Purchases 180 5,194,004.71 The Vanguard Group Vanguard Prime Money Mkt Sales 172 2,412,717.54 The Vanguard Group Vanguard PRIMECAP Fund Purchases 149 6,077,701.09 The Vanguard Group Vanguard PRIMECAP Fund Sales 115 2,510,253.34 The Vanguard Group Investment Contracts Fund Purchases 203 5,421,037.52 The Vanguard Group Investment Contracts Fund Sales 199 8,357,280.15 *The Vanguard Group Bard Common Stock Fund Purchases 189 8,532,021.71 *The Vanguard Group Bard Common Stock Fund Sales 209 12,116,309.91
(A) Reportable transactions are those purchases and sales of the same security which, individually or in the aggregate, exceed 5% of Plan assets at January 1, 1998. The accompanying notes to financial statements are an integral part of this schedule. * Represents a party in interest to the plan. SCHEDULE II (continued) BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) EIN #22-1454160, PLAN #003 ITEM 27d-SCHEDULE OF REPORTABLE TRANSACTIONS (A) FOR THE YEAR ENDED DECEMBER 31, 1998
(b) Description of asset (a) Identity of (include interest rate and (f) Cost of (g) Current value of asset party involved maturity in case of a loan) asset on transaction date The Vanguard Group Vanguard 500 Index Fund $14,234,946.78 The Vanguard Group Vanguard 500 Index Fund $15,586,613.87 17,231,869.64 The Vanguard Group Vanguard Prime Money Mkt 5,194,004.71 The Vanguard Group Vanguard Prime Money Mkt 2,412,717.54 2,412,717.54 The Vanguard Group Vanguard PRIMECAP Fund 6,077,701.09 The Vanguard Group Vanguard PRIMECAP Fund 2,578,811.45 2,510,253.34 The Vanguard Group Investment Contracts Fund 5,421,037.52 The Vanguard Group Investment Contracts Fund 8,357,280.15 8,357,280.15 *The Vanguard Group Bard Common Stock Fund 8,532,021.71 *The Vanguard Group Bard Common Stock Fund 8,686,832.18 12,116,309.91
(A) Reportable transactions are those purchases and sales of the same security which, individually or in the aggregate, exceed 5% of Plan assets at January 1, 1998. The accompanying notes to financial statements are an integral part of this schedule. * Represents a party in interest to the plan. SCHEDULE II (continued) BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN (formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.) EIN #22-1454160, PLAN #003 ITEM 27d-SCHEDULE OF REPORTABLE TRANSACTIONS (A) FOR THE YEAR ENDED DECEMBER 31, 1998
(b) Description of asset (a) Identity of (include interest rate and (h) Net gain party involved maturity in case of a loan) or (loss) The Vanguard Group Vanguard 500 Index Fund The Vanguard Group Vanguard 500 Index Fund $ 1,645,255.77 The Vanguard Group Vanguard Prime Money Mkt The Vanguard Group Vanguard Prime Money Mkt The Vanguard Group Vanguard PRIMECAP Fund The Vanguard Group Vanguard PRIMECAP Fund (68,558.11) The Vanguard Group Investment Contracts Fund The Vanguard Group Investment Contracts Fund *The Vanguard Group Bard Common Stock Fund *The Vanguard Group Bard Common Stock Fund 3,429,477.73
(A) Reportable transactions are those purchases and sales of the same security which, individually or in the aggregate, exceed 5% of Plan assets at January 1, 1998. The accompanying notes to financial statements are an integral part of this schedule. * Represents a party in interest to the plan. -----END PRIVACY-ENHANCED MESSAGE-----