-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, mJ2iwOZ5oYJii2FzTjSKMTbKclEa+Z27JtDHQ/sMh3bjtcFgTm5qKCuyD7TSj0m3 Qf80kdvqQeKWTx3e6//BSg== 0000950144-95-001808.txt : 199506290000950144-95-001808.hdr.sgml : 19950629 ACCESSION NUMBER: 0000950144-95-001808 CONFORMED SUBMISSION TYPE: 11-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19941231 FILED AS OF DATE: 19950628 SROS: CSX SROS: NYSE SROS: PSE FILER: COMPANY DATA: COMPANY CONFORMED NAME: RYDER SYSTEM INC CENTRAL INDEX KEY: 0000085961 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-AUTO RENTAL & LEASING (NO DRIVERS) [7510] IRS NUMBER: 590739250 STATE OF INCORPORATION: FL FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 11-K SEC ACT: 1934 Act SEC FILE NUMBER: 001-04364 FILM NUMBER: 95549928 BUSINESS ADDRESS: STREET 1: 3600 NW 82ND AVE CITY: MIAMI STATE: FL ZIP: 33166 BUSINESS PHONE: 3055933726 MAIL ADDRESS: STREET 1: 3600 NW 82 AVENUE CITY: MIAMI STATE: FL ZIP: 33166 11-K 1 RYDER SYSTEM FORM 11-K (PLAN A) 12-31-94 1 FORM 11-K (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, 1994 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 #33-4333 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A Ryder System, Inc. 3600 N.W. 82 Avenue Miami, Florida 33166 2 Independent Auditors' Report The Participants and Administrator Ryder System, Inc. Employee Savings Plan A: We have audited the accompanying statements of financial position with fund information of Ryder System, Inc. Employee Savings Plan A as of December 31, 1994 and 1993, and the related statements of income and changes in plan equity with fund information for each of the years in the three-year period ended December 31, 1994. 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, 1994 and 1993 and the changes in net assets available for benefits for each of the years in the three-year period ended December 31, 1994, in conformity with generally accepted accounting principles. Our audits were made for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental Schedules of Investments and Schedule of 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 financial position with fund information and statements of income and changes in plan equity with fund information are presented for purposes of additional analysis rather than to present the financial position and changes in plan equity 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. KPMG Peat Marwick LLP Miami, Florida June 12, 1995 3 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A STATEMENT OF FINANCIAL POSITION WITH FUND INFORMATION DECEMBER 31, 1994
Fund A Fund B Fund C Fund D Fund E Fund F ----------- ---------- --------- --------- ---------- --------- Assets Investments: Fixed income investments, at cost $ 105,922 104,786 39,450 24,800 18,281 34,734 Group annuity insurance contracts, at contract value 44,617,908 Pooled investment funds (cost, $34,562,341) 3,996,749 8,219,400 17,071,757 5,121,906 Securities of participating employer (cost, $12,290,134) 10,005,573 Other Securities (cost, $1,517,770) Participant loans receivable ----------- ---------- --------- --------- ---------- --------- Total investments 10,111,495 44,722,694 4,036,199 8,244,200 17,090,038 5,156,640 Dividends and interest receivable 198 264,844 232 75 34 76 Contributions receivable and other 763,897 1,706,844 219,926 60,619 698,808 104,543 Interfund transfers receivable (payable) (194,188) (141,838) (61,461) (13,898) (172,227) 46,802 ----------- ---------- --------- --------- ---------- --------- Total assets $10,681,402 46,552,544 4,194,896 8,290,996 17,616,653 5,308,061 =========== ========== ========= ========= ========== ========= Liabilities and Plan Equity Other liabilities $ 101,398 24,522 1,036 20,589 4,118 5,763 Plan equity 10,580,004 46,528,022 4,193,860 8,270,407 17,612,535 5,302,298 ----------- ---------- --------- --------- ---------- --------- Total liabilities and plan equity $10,681,402 46,552,544 4,194,896 8,290,996 17,616,653 5,308,061 =========== ========== ========= ========= ========== ========= Number of units 151,560 4,537,925 205,385 273,420 436,832 89,393 =========== ========== ========= ========= ========== ========= Plan equity per unit $ 69.81 10.25 20.42 30.25 40.32 59.31 =========== ========== ========= ========= ========== ========= Fund G Fund H Loan Fund Total --------- ------- --------- ----------- Assets Investments: Fixed income investments, at cost 54,633 714 383,320 Group annuity insurance contracts, at contract value 44,617,908 Pooled investment funds (cost, $34,562,341) 4,296,659 38,706,471 Securities of participating employer (cost, $12,290,134) 10,005,573 Other Securities (cost, $1,517,770) 683,945 683,945 Participant loans receivable 7,033,949 7,033,949 --------- ------- --------- ----------- Total investments 4,351,292 684,659 7,033,949 101,431,166 Dividends and interest receivable 83 10,702 94,620 370,864 Contributions receivable and other 115,275 3,669,912 Interfund transfers receivable (payable) 108,589 (2,885) 431,106 0 --------- ------- --------- ----------- Total assets 4,575,239 692,476 7,559,675 105,471,942 ========= ======= ========= =========== Liabilities and Plan Equity Other liabilities 16,548 7,721 380,243 561,938 Plan equity 4,558,691 684,755 7,179,432 104,910,004 --------- ------- --------- ----------- Total liabilities and plan equity 4,575,239 692,476 7,559,675 105,471,942 ========= ======= ========= =========== Number of units 94,823 13,007 ========= ======= Plan equity per unit 48.08 52.65 ========= =======
See accompanying note to financial statements. 4 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A STATEMENT OF FINANCIAL POSITION WITH FUND INFORMATION DECEMBER 31, 1993
Fund A Fund B Fund C Fund D Fund E Fund F ----------- ---------- --------- --------- ---------- --------- Assets Investments: Fixed income investments, at cost $ 87,019 100,673 33,622 38,611 17,967 Group annuity insurance contracts, at contract value 37,992,114 Pooled investment funds (cost, $27,141,548) 3,550,153 7,172,703 15,734,448 3,639,562 Securities of participating employer (cost, $11,443,532) 11,019,753 Other Securities (cost, $1,688,959) Participant loans receivable ----------- ---------- --------- --------- ---------- --------- Total investments 11,106,772 38,092,787 3,550,153 7,206,325 15,773,059 3,657,529 Dividends and interest receivable 208 516,479 7,871 27,099 574,615 339,161 Contributions receivable and other 42,818 193,195 24,380 31,497 67,579 12,987 Interfund transfers receivable (payable) 18,587 (204,637) (31,931) (2,066) 20,584 11,666 ----------- ---------- --------- --------- ---------- --------- Total assets $11,168,385 38,597,824 3,550,473 7,262,855 16,435,837 4,021,343 =========== ========== ========= ========= ========== ========= Liabilities and Plan Equity Other liabilities $ 146,051 955,622 47,532 85,841 714,087 370,791 Plan equity 11,022,334 37,642,202 3,502,941 7,177,014 15,721,750 3,650,552 ----------- ---------- --------- --------- ---------- --------- Total liabilities and plan equity $11,168,385 38,597,824 3,550,473 7,262,855 16,435,837 4,021,343 =========== ========== ========= ========= ========== ========= Number of units 4,799,428 24,322,241 1,916,938 2,053,299 3,072,642 2,070,460 =========== ========== ========= ========= ========== ========= Plan equity per unit $ 2.30 1.55 1.83 3.50 5.12 1.76 =========== ========== ========= ========= ========== ========= Fund G Fund H Loan Fund Total --------- --------- --------- ---------- Assets Investments: Fixed income investments, at cost 8,700 286,592 Group annuity insurance contracts, at contract value 37,992,114 Pooled investment funds (cost, $27,141,548) 2,878,836 32,975,702 Securities of participating employer (cost, $11,443,532) 11,019,753 Other Securities (cost, $1,688,959) 1,603,189 1,603,189 Participant loans receivable 6,093,261 6,093,261 --------- --------- --------- ---------- Total investments 2,887,536 1,603,189 6,093,261 89,970,611 Dividends and interest receivable 4,157 1,469,590 Contributions receivable and other 10,522 32,297 415,275 Interfund transfers receivable (payable) 110,739 (22,728) 99,786 0 --------- --------- --------- ---------- Total assets 3,012,954 1,580,461 6,225,344 91,855,476 ========= ========= ========= ========== Liabilities and Plan Equity Other liabilities 51,273 21,838 25,554 2,418,589 Plan equity 2,961,681 1,558,623 6,199,790 89,436,887 --------- --------- --------- ---------- Total liabilities and plan equity 3,012,954 1,580,461 6,225,344 91,855,476 ========= ========= ========= ========== Number of units 1,750,584 789,329 ========= ========= Plan equity per unit 1.69 1.97 ========= =========
See accompanying note to financial statements. 5 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A STATEMENT OF INCOME AND CHANGES IN PLAN EQUITY WITH FUND INFORMATION FOR THE YEAR ENDED DECEMBER 31, 1994
Fund A Fund B Fund C Fund D Fund E Fund F ----------- ---------- --------- --------- ---------- --------- Net investment income: Dividends $ 259,268 794,935 693,616 322,434 Interest 5,058 2,937,306 139,108 2,170 5,196 1,775 ----------- ---------- --------- --------- ---------- --------- Net investment income 264,326 2,937,306 139,108 797,105 698,812 324,209 Realized gains 7,893 3,582 78,376 3,516 Net change in unrealized appreciation/ (depreciation) on investments (1,860,782) (483,257) (671,473) (77,332) Contributions: Employer contributions 574,525 2,413,019 254,847 301,174 665,209 273,974 Employee contributions 1,696,328 6,498,667 774,635 1,087,719 2,488,260 1,085,586 ----------- ---------- --------- --------- ---------- --------- Total contributions 2,270,853 8,911,686 1,029,482 1,388,893 3,153,469 1,359,560 Participant loan repayments 301,137 1,501,643 149,594 298,431 649,632 193,254 Distributions and other (492,982) (2,133,890) (220,386) (367,266) (638,485) (197,744) Transfer from (to) plan B (1,088,554) 176,128 (17,065) 286,196 (35,467) (38,180) Plan fees and expenses (17,625) (78,291) (8,816) (11,336) (21,087) (6,269) Loans to participants (334,971) (1,988,969) (250,768) (349,950) (751,363) (232,074) Interfund transfers 508,375 (439,793) (130,230) (469,005) (571,629) 322,806 ----------- ---------- --------- --------- ---------- --------- Net changes in plan equity (442,330) 8,885,820 690,919 1,093,393 1,890,785 1,651,746 Plan equity at beginning of period 11,022,334 37,642,202 3,502,941 7,177,014 15,721,750 3,650,552 ----------- ---------- --------- --------- ---------- --------- Plan equity at end of period $10,580,004 46,528,022 4,193,860 8,270,407 17,612,535 5,302,298 =========== ========== ========= ========= ========== ========= Fund G Fund H Loan Fund Total --------- --------- ---------- ----------- Net investment income: Dividends 463,990 3,714 2,537,957 Interest 5,028 (2,341) 367,412 3,460,712 --------- --------- ---------- ----------- Net investment income 469,018 1,373 367,412 5,998,669 Realized gains 47 61,314 154,728 Net change in unrealized appreciation/ (depreciation) on investments (457,963) (748,055) (4,298,862) Contributions: Employer contributions 264,811 (820) 4,746,739 Employee contributions 1,005,997 14,637,192 --------- --------- ---------- ----------- Total contributions 1,270,808 (820) 19,383,931 Participant loan repayments 143,787 1,514 (3,238,992) 0 Distributions and other (159,881) (41,907) (19,564) (4,272,105) Transfer from (to) plan B (411,225) 15,566 (227,174) (1,339,775) Plan fees and expenses (5,723) (4,322) (153,469) Loans to participants (157,831) (33,020) 4,098,946 0 Interfund transfers 905,973 (125,511) (986) 0 --------- --------- ---------- ----------- Net changes in plan equity 1,597,010 (873,868) 979,642 15,473,117 Plan equity at beginning of period 2,961,681 1,558,623 6,199,790 89,436,887 --------- --------- ---------- ----------- Plan equity at end of period 4,558,691 684,755 7,179,432 104,910,004 ========= ========= ========== ===========
See accompanying note to financial statements. 6 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A STATEMENT OF INCOME AND CHANGES IN PLAN EQUITY WITH FUND INFORMATION FOR THE YEAR ENDED DECEMBER 31, 1993
Fund A Fund B Fund C Fund D Fund E Fund F ------------ ----------- ---------- ----------- ----------- ---------- Net investment income: Dividends $ 248,296 588,220 521,963 288,719 Interest 2,190 2,623,034 98,840 1,555 2,924 1,375 ------------ ----------- ---------- ----------- ----------- ---------- Net investment income 250,486 2,623,034 98,840 589,775 524,887 290,094 Realized gains 434,375 31,651 498,594 183,925 Net change in unrealized appreciation/ (depreciation) on investments 740,128 185,220 1,354,915 102,716 Contributions: Employer contributions 445,059 2,424,407 241,222 257,610 565,478 158,610 Employee contributions 1,123,867 5,611,608 630,263 883,386 1,942,571 610,970 ------------ ----------- ---------- ----------- ----------- ---------- Total contributions 1,568,926 8,036,015 871,485 1,140,996 2,508,049 769,580 Participant loan repayments 274,494 1,312,672 142,951 263,280 537,845 116,988 Distributions and other (742,399) (2,192,949) (257,189) (416,114) (869,533) (137,845) Plan fees and expenses (20,771) (54,235) (9,570) (12,051) (21,366) (5,483) Loans to participants (425,449) (1,824,033) (196,712) (345,974) (719,156) (154,165) Transfer from (to) Plan B (20,647,725) (49,771,601) (2,887,754) (13,031,525) (26,577,146) (7,967,404) Equity Transfer to fund H (1,623,097) Interfund transfers (1,014,817) 280,893 (203,870) (174,374) (417,029) 865,992 ------------ ----------- ---------- ----------- ----------- ---------- Net changes in plan equity (21,205,849) (41,590,204) (2,441,819) (11,769,116) (23,179,940) (5,935,602) Plan equity at beginning of period 32,228,183 79,232,406 5,944,760 18,946,130 38,901,690 9,586,154 ------------ ----------- ---------- ----------- ----------- ---------- Plan equity at end of period $ 11,022,334 37,642,202 3,502,941 7,177,014 15,721,750 3,650,552 ============ =========== ========== =========== =========== ========== Fund G Fund H Loan Fund Total ---------- --------- ---------- ------------ Net investment income: Dividends 263,794 1,910,992 Interest 969 402,540 3,133,427 ---------- --------- ---------- ------------ Net investment income 264,763 402,540 5,044,419 Realized gains 17,207 1,165,752 Net change in unrealized appreciation/ (depreciation) on investments 363,458 (85,770) 2,660,667 Contributions: Employer contributions 114,858 4,207,244 Employee contributions 391,051 11,193,716 ---------- --------- ---------- ------------ Total contributions 505,909 15,400,960 Participant loan repayments 83,623 (2,731,853) 0 Distributions and other (131,285) (18,152) 5,142 (4,760,324) Plan fees and expenses (4,730) (128,206) Loans to participants (100,223) (469) 3,766,181 0 Transfer from (to) Plan B (5,656,267) 61,549 (8,214,929) (134,692,802) Equity Transfer to fund H 1,623,097 0 Interfund transfers 683,951 (21,632) 886 0 ---------- --------- ---------- ------------ Net changes in plan equity (3,973,594) 1,558,623 (6,772,033) (115,309,534) Plan equity at beginning of period 6,935,275 0 12,971,823 204,746,421 ---------- --------- ---------- ------------ Plan equity at end of period 2,961,681 1,558,623 6,199,790 89,436,887 ========== ========= ========== ============
See accompanying note to financial statements. 7 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A STATEMENT OF INCOME AND CHANGES IN PLAN EQUITY WITH FUND INFORMATION FOR THE YEAR ENDED DECEMBER 31, 1992
Fund A Fund B Fund C Fund D Fund E Fund F ----------- ---------- --------- ---------- ---------- --------- Net investment income: Dividends $ 709,430 1,768,553 1,785,612 522,517 Interest 7,693 6,041,971 203,007 5,239 14,101 4,091 ----------- ---------- --------- ---------- ---------- --------- Net investment income 717,123 6,041,971 203,007 1,773,792 1,799,713 526,608 Realized gains/(losses) 501,896 3,696 125,294 15,985 Net change in unrealized appreciation/ (depreciation) on investments 8,164,538 228,966 1,570,611 1,018,016 Contributions: Employer contributions 296,184 2,024,418 205,996 248,934 556,785 132,868 Employee contributions 2,070,474 10,835,266 1,165,468 2,273,185 5,266,153 1,473,662 ----------- ---------- --------- ---------- ---------- --------- Total contributions 2,366,658 12,859,684 1,371,464 2,522,119 5,822,938 1,606,530 Participant loan repayments 574,762 2,716,768 299,825 530,388 1,177,743 272,016 Distributions and other (1,947,384) (6,101,957) (705,483) (1,113,263) (2,002,431) (470,969) Plan fees and expenses (54,114) (126,810) (17,670) (33,864) (57,985) (17,486) Loans to participants (898,715) (3,486,508) (341,921) (759,888) (1,624,379) (326,301) Interfund transfers (1,532,566) 512,683 (555,645) 428,001 826,648 490,497 ----------- ---------- --------- ---------- ---------- --------- Net changes in plan equity 7,892,198 12,415,831 253,577 3,579,947 7,638,152 3,114,896 Plan equity at beginning of period 24,335,985 66,816,575 5,691,183 15,366,183 31,263,538 6,471,258 ----------- ---------- --------- ---------- ---------- --------- Plan equity at end of period $32,228,183 79,232,406 5,944,760 18,946,130 38,901,690 9,586,154 =========== ========== ========= ========== ========== ========= Fund G Loan Fund Total --------- ---------- ----------- Net investment income: Dividends 774,680 5,560,792 Interest 3,180 875,466 7,154,748 --------- ---------- ----------- Net investment income 777,860 875,466 12,715,540 Realized gains/(losses) (11,203) 635,668 Net change in unrealized appreciation/ (depreciation) on investments (555,449) 10,426,682 Contributions: Employer contributions 132,032 3,597,217 Employee contributions 1,348,957 24,433,165 --------- ---------- ----------- Total contributions 1,480,989 28,030,382 Participant loan repayments 287,161 (5,858,663) 0 Distributions and other (531,174) (23,949) (12,896,610) Plan fees and expenses (16,191) (324,120) Loans to participants (322,593) 7,760,305 0 Interfund transfers (169,618) 0 --------- ---------- ----------- Net changes in plan equity 939,782 2,753,159 38,587,542 Plan equity at beginning of period 5,995,493 10,218,664 166,158,879 --------- ---------- ----------- Plan equity at end of period 6,935,275 12,971,823 204,746,421 ========= ========== ===========
See accompanying note to financial statements. 8 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A NOTE TO FINANCIAL STATEMENTS DECEMBER 31, 1994 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND OTHER MATTERS A. BASIS OF ACCOUNTING The financial statements of the Ryder System, Inc. Employee Savings Plan A ("the Plan") are prepared on the accrual basis of accounting. Plan assets, except for participant loan receivables and group annuity insurance contracts which are valued at contract value, are stated at market value (quoted market prices) as determined by the Plan's trustee. Purchases and sales of securities are recorded on a trade date basis. Cost is determined based on historical average cost. B. THE PLAN The following description of the Plan reflects all plan amendments through December 31, 1994, and is provided for general purposes only. As of January 1, 1993, active salaried employees were excluded from participation in the Ryder System, Inc. Employee Savings Plan A. Such employees and their participating account balances were transfered to the Ryder System, Inc. Employee Savings Plan B. Effective January 1, 1995, hourly field employees of Ryder Dedicated Logistics, Inc. and full time hourly employees of Ryder Driver Leasing, Inc. became eligible for Plan B. Any existing account balances in the Ryder System, Inc. Employee Savings Plan A were transferred to the Ryder System, Inc. Employee Savings Plan B. Participants should refer to the Plan document for more complete information. The Plan is a defined contribution plan and, as such, is subject to some, but not all, of the provisions of the Employee Retirement Income Security Act of 1974 ("ERISA"). It is excluded from coverage under Title IV of ERISA, which generally provides for guaranty and insurance of retirement benefits; and it is not subject to the funding requirements of Title I of ERISA. The plan is, however, subject to those provisions of Title I and II of ERISA which, among other things, require that each participant be furnished with an annual financial report and a comprehensive description of the participant's rights under the Plan, set minimum standards of responsibility applicable to fiduciaries of the Plan, and establish minimum standards for participation and vesting. Participation in the Plan is voluntary. However, to participate in the Plan, an employee must meet certain eligibility requirements related to employment date, age and service hours. In general, non-salaried employees of the company and participating affiliates are eligible to participate in the Plan, however, an employee who is in a unit of employees represented by a collective bargaining agent is excluded from participation in the Plan unless the unit has negotiated coverage under the Plan. In addition, employees eligible to participate under another company sponsored qualified savings plan, will be excluded from participation in the Plan. 9 The number of participants' accounts in each of the funds at December 31, 1994 is as follows: Fund A - 4,884 Fund B - 8,445 Fund C - 1,839 Fund D - 2,675 Fund E - 6,896 Fund F - 2,225 Fund G - 2,174 Fund H - 3,805 Loans - 2,143
C. PLAN INVESTMENT FUNDS The Plan's trustee, State Street Bank & Trust Company, maintains Plan assets in separate investment funds. Participants may elect to contribute to, or transfer among, any of the funds. Earnings are allocated monthly based on units of investment. Effective April 17, 1995 earnings are allocated daily. Investment Fund A ("Fund A") - Fund A is invested in Ryder System, Inc. common stock, which is purchased on a regular and continuous basis. Dividends are automatically reinvested in the common stock. Investment Fund B ("Fund B") - Fund B consists of funding accounts established by contracts with various insurance companies. Participants' accounts are credited with interest based on a pooling of the returns of the various funding accounts. Funding accounts generally continue for a period of two to five years after their inception. During 1994, 1993 and 1992, the yield on open funding contracts ranged from 4.89% to 9.05%, 4.89% to 9.3% and 6.4% to 9.3%, respectively. Investment Fund C ("Fund C") - Fund C consists of a funding account established with the Ryder System Federal Credit Union. Effective April 1, 1995, the assets of this fund will be merged into Fund B and this fund will be discontinued as an Investment Fund under the Plan. Investment Fund D ("Fund D") - Fund D may normally be invested in a variety of common, preferred or capital stocks, but may include investments in bonds or securities convertible into common or capital stocks, similar types of equity investments and bonds. Since Plan inception, this fund has been invested solely in shares of the Lord, Abbett Affiliated Fund. Investment Fund E ("Fund E") - Fund E may be invested primarily in common or capital stocks, though it may invest in other types of securities, including convertible bonds, convertible preferred stock, warrants, preferred stock or debt securities. Since Plan inception, this fund has been invested solely in shares of the Putnam Voyager Fund. 10 Investment Fund F ("Fund F") - Fund F may be invested in securities issued by U.S. based companies that are selling below book value. Up to 50% of the fund's portfolio may consist of securities of companies involved in prospective mergers, consolidations, liquidations and reorganizations. The fund may also engage in covered call option writing. The primary objective of the fund is capital appreciation and not necessarily the attainment of a balanced investment program. Since 1989, following adoption by the Plan, this fund has been invested solely in shares of the Mutual Series Fund, Inc., Qualified Income Fund. Investment Fund G ("Fund G") - Fund G may be invested in all types of securities, including stocks and debt securities of companies and governments of all nations. The fund's investment objective is long-term capital growth. Since 1989, following adoption by the Plan, this fund has been invested solely in shares of the Templeton World Fund. Effective April 1, 1995, assets in this Fund will be transferred to the Templeton Foreign Fund. All investments in the Templeton World Fund will be discontinued. Investment Fund H ("Fund H") - Fund H is invested in Aviall, Inc. Common stock and is a frozen fund. Participants cannot contribute to nor transfer into that fund. Participants can transfer assets from Fund H to any other investment fund of the Plan. Monies remaining in that fund at December 31, 1995 will be liquidated and reinvested in Fund A. Effective April 1, 1995, three asset allocation funds will be added as investment options in the Plan. Asset allocation funds are professionally-managed combinations of investment vehicles designed to achieve a specific investment goal. The three asset allocation funds will be Life Solutions-Income & Growth, Life Solutions-Balanced Growth and Life Solutions-Growth. D. CONTRIBUTIONS Participants may elect to contribute to the Plan by having their compensation reduced by a minimum of 1% of compensation up to a maximum of the lesser of a) 10% or 15% of compensation, depending on an individual's annual salary level, b) $9,240, or c) such other amount as shall be determined by the Company's Retirement Committee from time to time. The Company matches 50% of the employee's annual contribution up to $200 or $400 per person based on certain requirements. Some eligible employees receive company contributions that include $400 of basic fully vested contribution, plus 100% match to the first $300 of employee fully vested contribution and 50% match to the next $400 or $800 of employee contribution. Participants are fully vested in the earnings of their individual contributions to the Plan and vest 25% per year in the Company contributions and the earnings attributable to such contributions. Upon participant's distribution, related, non-vested Company contributions are forfeited and are used to offset future company contributions. Effective April 1, 1995, the company matching contribution schedule for some employees was amended to provide a 50% match of employee contributions to the greater of $1,200 or 3% of eligible compensation. 11 E. DISTRIBUTIONS On termination of service, if a participant's account balance is greater than $3,500, a participant's account is distributed to the participant in the form of a single lump-sum payment upon receipt of participant's consent. Terminated participants whose account balance is less than $3,500 receive automatic distributions. The 1994 Plan Equity on the Statement of Financial Position includes the following amounts allocated to accounts of terminated persons who have not yet been paid.
1994 ---- Fund A $ 161,573 Fund B 634,078 Fund C 61,981 Fund D 76,034 Fund E 126,626 Fund F 32,917 Fund G 52,648 Fund H 11,293 Loan Fund 61,689 ---------- Total $1,218,839 ==========
F. WITHDRAWALS A participant may request a withdrawal of all or a portion of his elective contribution account balance if he can demonstrate financial hardship. The Plan Administrator must approve the request, and the amount withdrawn cannot be subsequently repaid to the Plan. Such amounts will be considered distributions to the participant for tax purposes. G. DISTRIBUTIONS TO OTHER PLAN On December 7, 1993, Ryder System, Inc. completed the spin-off of its Aviation Division, Aviall, Inc. ("Aviall"). Under the terms of the spin-off, the Company distributed to its holders of common stock one share of Aviall, Inc. common stock for each four shares of Ryder System, Inc. common stock held. Participants in the Savings Plan who were invested in the Ryder System, Inc. common stock fund on this date received the equivalent of one share of Aviall common stock for each four shares of Ryder System, Inc. common stock held. As a result of the spin-off a new "Fund H" was created. The investment fund balances of Aviall employees in the Plan at December 7, 1993 were transferred to a newly established plan for employees of Aviall. 12 H. PARTICIPANT LOANS Plan participants are able to request loans against their Plan account balances subject to certain limitations as to amount and repayment term. Loans accrue interest at a rate which is comparable to those of most major lending institutions and all principal and interest payments are allocated to the Plan's investment funds based on the participant's investment elections at the time of payment. Loans which are granted and repaid in compliance with the Plan provisions will not be considered distributions to the participant for tax purposes. I. TERMINATION While it has not expressed any intention to do so, the Company may amend or terminate the Plan at any time. In the event of termination, Plan assets are payable to each participant in a lump sum equal to the balance in the participant's account. J. FEDERAL INCOME TAX EFFECTS OF THE PLAN The Plan qualifies as a profit sharing plan under Section 401(a) of the Internal Revenue Code of 1986, as amended, (the "Code") and also qualifies as a cash or deferred arrangement under Section 401(k) of the Code and, therefore, is exempt from federal income taxes under Section 501(a) of the Code. The last favorable tax determination letter obtained was dated August 21, 1986. Under a plan qualified pursuant to Sections 401(a) and (k) of the Code, participants generally will not be taxed on contributions or matching contributions, or earnings thereon, until such amounts are distributed to participants or their beneficiaries under the Plan. The tax-deferred contributions and matching contributions are deductible by the company for tax purposes when those contributions are made, subject to certain limitations set forth in Section 404 of the Code. Participants or their beneficiaries will be taxed, at ordinary income tax rates, on the amount they receive as a distribution from the Plan at the time they receive the distribution. However, if the participant or beneficiary receives a lump sum payment of the balance under the Plan in a single taxable year, and the distribution is made by reason of death, disability or termination of employment of the participant, or after the participant has attained age 59 1/2, then certain special tax rules may be applicable. K. PLAN FEES AND EXPENSES Generally, Plan fees and expenses are paid by the Plan. At its discretion, the Company may elect to pay some administrative and marketing expenses. 13 L. NET REALIZED GAINS OR LOSSES Net realized gains or losses on investments covering the last three years are as follows:
FOR THE YEAR ENDED DECEMBER 31, 1994: NET AGGREGATE AGGREGATE REALIZED PROCEEDS COST GAIN/(LOSS) ---------- --------- ----------- Fund A $2,272,477 2,264,584 7,893 Fund D 1,348,709 1,345,127 3,582 Fund E 2,848,003 2,769,627 78,376 Fund F 1,091,260 1,087,744 3,516 Fund G 1,362,617 1,362,570 47 Fund H 455,281 393,967 61,314 ---------- --------- ------- $9,378,347 9,223,619 154,728 ========== ========= =======
FOR THE YEAR ENDED DECEMBER 31, 1993: NET AGGREGATE AGGREGATE REALIZED PROCEEDS COST GAIN/(LOSS) ---------- --------- ----------- Fund A $ 2,677,817 2,243,442 434,375 Fund D 1,711,091 1,679,440 31,651 Fund E 3,473,588 2,974,994 498,594 Fund F 1,572,016 1,388,091 183,925 Fund G 925,010 907,803 17,207 ----------- --------- --------- $10,359,522 9,193,770 1,165,752 =========== ========= =========
FOR THE YEAR ENDED DECEMBER 31, 1992: NET AGGREGATE AGGREGATE REALIZED PROCEEDS COST GAIN/(LOSS) ---------- --------- ----------- Fund A $ 8,875,863 8,373,967 501,896 Fund D 3,019,097 3,015,401 3,696 Fund E 9,159,810 9,034,516 125,294 Fund F 2,667,113 2,651,128 15,985 Fund G 2,109,251 2,120,454 (11,203) ----------- ---------- ------- $25,831,134 25,195,466 635,668 =========== ========== =======
14 M. SUBSEQUENT EVENTS The change in net unrealized gains or losses arising in the various funds of the Plan after December 31, 1994 and prior to June 1, 1995 are as follows:
UNREALIZED UNREALIZED NET CHANGE IN GAINS/(LOSSES) GAINS/(LOSSES) UNREALIZED AT DECEMBER 31, 1994 AT MAY 31, 1995 GAINS/(LOSSES) -------------------- --------------- -------------- Fund A $(2,284,561) (814,689) 1,469,872 Fund B 0 0 0 Fund C 0 0 0 Fund D (99,928) 980,134 1,080,062 Fund E 4,195,239 5,879,855 1,684,616 Fund F 323,943 1,003,919 679,976 Fund G (275,124) 243,581 518,705 Fund H (833,825) (745,860) 87,965 Loan Fund $ 0 0 0
15 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A SCHEDULE I SCHEDULE OF INVESTMENTS ----------
NUMBER OF SHARES, UNITS UNREALIZED OR PRINCIPAL MARKET APPRECIATION AMOUNTS COST VALUE (DEPRECIATION) ------------- ------------ ----------- -------------- AT DECEMBER 31, 1994 Directed Account Short-Term Investment Fund 383,320 $ 383,320 383,320 Fund A 467,793 12,290,134 10,005,573 (2,284,561) Fund B 44,617,908 44,617,908 44,617,908 Fund C 3,996,749 3,996,749 3,996,749 Fund D 799,255 8,319,328 8,219,400 (99,928) Fund E 1,438,337 12,876,518 17,071,757 4,195,239 Fund F 186,046 4,797,963 5,121,906 323,943 Fund G 303,222 4,571,783 4,296,659 (275,124) Fund H 87,398 1,517,770 683,945 (833,825) Loan Fund 7,033,949 7,033,949 7,033,949 ------------ ----------- ---------- $100,405,422 101,431,166 1,025,744 ------------ ----------- ---------- At December 31, 1993 Directed Account Short-Term Investment Fund 286,592 $ 286,592 286,592 Fund A 418,321 11,443,532 11,019,753 (423,779) Fund B 37,992,114 37,992,114 37,992,114 Fund C 3,550,153 3,550,153 3,550,153 Fund D 672,231 6,789,374 7,172,703 383,329 Fund E 1,312,298 10,867,736 15,734,448 4,866,712 Fund F 134,799 3,238,287 3,639,562 401,275 Fund G 183,249 2,695,997 2,878,836 182,839 Fund H 105,127 1,688,959 1,603,189 (85,770) Loan Fund 6,093,261 6,093,261 6,093,261 ------------ ----------- ---------- $ 84,646,005 89,970,611 5,324,606 ------------ ----------- ---------- Net appreciation/(depreciation) included in Statement of Income and Changes in Plan Equity for the Year Ended December 31, 1994 $(4,298,862) ===========
16 RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A SCHEDULE II SCHEDULE OF REPORTABLE TRANSACTIONS ----------- FOR THE YEAR ENDED DECEMBER 31, 1994
PROCEEDS -------- Employee Contributions to Fund B: Interest Income Fund $6,498,667
17 Independent Auditors' Consent ----------------------------- The Participants and Administrator Ryder System, Inc. Employee Savings Plan A: We consent to incorporation by reference in the Registration Statement (No. 33-4333) on Form S-8 of Ryder System, Inc. covering the Ryder System, Inc. Employee Savings Plan A, of our report dated June 12, 1995, relating to the statements of financial position with fund information of the Ryder System, Inc. Employee Savings Plan A as of December 31, 1994 and 1993, and the related statements of income and changes in plan equity with fund information for each of the years in the three-year period ended December 31, 1994, and related schedules of investments as of December 31, 1994 and 1993, and schedule of reportable transactions for the year ended December 31, 1994, which report appears in the December 31, 1994 annual report on Form 11-K of the Ryder System, Inc. Employee Savings Plan A filed by Ryder System, Inc. KPMG Peat Marwick LLP Miami, Florida June 26, 1995 18 REQUIRED INFORMATION Financial Statements Independent Auditors' Report Statement of Financial Position, with Fund Information, as of December 31, 1994 and 1993 Statement of Income & Changes in Plan Equity, with Fund Information, for the years ending December 31, 1994, 1993, and 1992 Notes to Financial Statements Exhibits Schedule I - Schedule of Investments as of December 31, 1994 and 1993 Schedule II - Schedule of Reportable Transactions Independent Auditors' Consent SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the Ryder System, Inc. Retirement Committee has duly caused this annual report to be signed by the undersigned thereunto duly authorized. RYDER SYSTEM, INC. EMPLOYEE SAVINGS PLAN A ------------------------------------------ Date: June 27, 1995 By /s/ Thomas E. McKinnon ------------------------------------------- Thomas E. McKinnon Chairman, Ryder System, Inc. Retirement Committee Executive Vice President, Human Resources Ryder System, Inc. -----END PRIVACY-ENHANCED MESSAGE-----