SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
ANNUAL REPORT TO SECTION 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1997
Commission file number: 1-11793
A. Full title of the Plan and address of the Plan, if different from that of
the issuer named below:
The Dial Corporation 401(k) Plan for Hourly Employees
B. Name of issuer of the securities held pursuant to the Plan and the
address of its principal executive office:
THE DIAL CORPORATION
15501 NORTH DIAL BOULEVARD
SCOTTSDALE, ARIZONA 85260-1619
SIGNATURE
The Plan. Pursuant to the requirements of the Securities Exchange Act of 1934,
The Dial Corporation 401(k) Plan for Hourly Employees has duly caused this
annual report to be signed on its behalf by the undersigned thereunto duly
authorized.
THE DIAL CORPORATION
401(k) PLAN FOR HOURLY EMPLOYEES
By \s\ Susan J. Riley
Susan J. Riley
Senior Vice President Chief Financial Officer
DATE: June 24, 1998
<PAGE>
THE DIAL CORPORATION 401(k) PLAN
FOR HOURLY EMPLOYEES
Financial Statements for the Years Ended December 31, 1997
and 1996, Supplemental Schedules for the Year Ended
December 31, 1997, and Independent Auditors' Report
<PAGE>
THE DIAL CORPORATION
401(K) PLAN FOR HOURLY EMPLOYEES
TABLE OF CONTENTS
- -------------------
Page
INDEPENDENT AUDITORS' REPORT 1
FINANCIAL STATEMENTS AS OF DECEMBER 31, 1997 AND 1996
AND FOR THE THREE YEARS ENDED DECEMBER 31, 1997:
Net Assets Available for Benefits 2
Changes in Net Assets Available for Benefits 3
Notes to Financial Statements 4-12
SUPPLEMENTAL SCHEDULES AS OF
DECEMBER 31, 1997 AND FOR THE YEAR THEN ENDED:
Assets Held for Investment Purposes 13
Reportable Transactions 14
EXHIBIT 24 - INDEPENDENT AUDITORS' CONSENT 15
<PAGE>
INDEPENDENT AUDITORS' REPORT
Plan Administrator and
Plan Participants of
The Dial Corporation 401(k) Plan for Hourly Employees
Phoenix, Arizona
We have audited the accompanying statements of net assets available for benefits
of The Dial Corporation 401(k) Plan for Hourly Employees (the "Plan"), formerly
The Dial Consumer Products Group 401(k) Plan for Hourly Employees of Fort
Madison and Aurora, as of December 31, 1997 and 1996, and the related statements
of changes in net assets available for benefits for each of the years three
years in the period ended December 31, 1997. 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, such financial statements present fairly, in all material
respects, the net assets available for benefits of the Plan as of December 31,
1997 and 1996, and the changes in net assets available for benefits for each of
the three years in the period ended December 31, 1997 in conformity with
generally accepted accounting principles.
Our audits were conducted for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules for the year
ended December 31, 1997 on pages 13 and 14 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. These schedules are the responsibility
of the Plan's management. Such schedules have been subjected to the auditing
procedures applied in our audit of the basic 1997 financial statements and, in
our opinion, are fairly stated, in all material respects when considered in
relation to the basic financial statements taken as a whole.
\s\ Deloitte & Touche LLP
Deloitte & Touche LLP
Phoenix, Arizona
June 5, 1998
<TABLE>
<CAPTION>
THE DIAL CORPORATION
401(K) PLAN FOR HOURLY EMPLOYEES
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
DECEMBER 31, 1997 AND 1996
- ------------------------------
<S> <C> <C>
ASSETS . . . . . . . . . . . . . . . . . . . 1997 1996
INVESTMENTS AT FAIR VALUE:
Shares of registered investment companies:
Vanguard Windsor II Fund . . . . . . . . $10,105,300 $ 6,957,048
T. Rowe Price Stable Value Fund. . . . . 3,823,135 3,312,154
Vanguard GMA Fund. . . . . . . . . . . . 1,371,815 1,146,238
Common stock:
The Dial Corporation Common Stock Fund . 2,059,598 1,088,706
FINOVA Group Inc. Common Stock Fund. . . 160,746 107,308
Viad Corp Common Stock Fund. . . . . . . 1,119,115 1,013,058
Participant notes receivable . . . . . . . 381,284 354,374
----------- -----------
Total investments at fair value 19,020,993 13,978,886
DIVIDENDS RECEIVABLE . . . . . . . . . . . . 13,018 10,806
CONTRIBUTIONS RECEIVABLE . . . . . . . . . . 42,430 27,108
----------- -----------
NET ASSETS AVAILABLE FOR BENEFITS. . . . . . $19,076,441 $14,016,800
=========== ===========
</TABLE>
See notes to financial statements.
<TABLE>
THE DIAL CORPORATION
401(K) PLAN FOR HOURLY EMPLOYEES
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
YEARS ENDED DECEMBER 31, 1997, 1996 AND 1995
- ---------------------------------------------------
<CAPTION>
<S> <C> <C> <C>
1997 1996 1995
ADDITIONS:
Contributions:
Employer. . . . . . . . . . . . . . . . . . . $ 175,374 $ 154,467 $ 119,283
Employee pre-tax. . . . . . . . . . . . . . . 1,783,376 1,661,313 1,296,899
Employee after-tax. . . . . . . . . . . . . . 102,709 85,118 59,932
----------- ----------- -----------
Total contributions. . . . . . . . . . . 2,061,459 1,900,898 1,476,114
----------- ----------- -----------
Investment income:
Dividends . . . . . . . . . . . . . . . . . . 1,043,962 610,129 370,891
Interest. . . . . . . . . . . . . . . . . . . 242,322 205,813 177,633
Net appreciation in fair value of investments 2,286,385 934,868 1,557,968
----------- ----------- -----------
Total investment income . . . . . . . . . 3,572,669 1,750,810 2,106,492
----------- ----------- -----------
Transfer of assets. . . . . . . . . . . . . . . - 7,669 1,151,904
----------- ----------- -----------
Total additions . . . . . . . . . . . . . 5,634,128 3,659,377 4,734,510
DEDUCTIONS - Benefits paid to participants. . . . 574,487 535,272 666,518
----------- ----------- -----------
NET INCREASE. . . . . . . . . . . . . . . . . . . 5,059,641 3,124,105 4,067,992
NET ASSETS AVAILABLE FOR BENEFITS,
BEGINNING OF YEAR. . . . . . . . . . . . . . . . 14,016,800 10,892,695 6,824,703
----------- ----------- -----------
NET ASSETS AVAILABLE FOR BENEFITS,
END OF YEAR. . . . . . . . . . . . . . . . . . . $19,076,441 $14,016,800 $10,892,695
=========== =========== ===========
See notes to financial statements.
</TABLE>
THE DIAL CORPORATION
401(K) PLAN FOR HOURLY EMPLOYEES
NOTES TO FINANCIAL STATEMENTS
YEARS ENDED DECEMBER 31, 1997 AND 1996
- --------------------------------------------
1. DESCRIPTION OF THE PLAN
The following brief description of The Dial Corporation 401(k) Plan for
Hourly Employees (the "Plan"), formerly The Dial Consumer Products Group 401(k)
Plan for Hourly Employees at Fort Madison and Aurora, is provided for general
information purposes only. Participants should refer to the Plan agreement for
more complete information.
The Plan, commonly known as the Planning Retirement Income Management
Earnings Plan ("PRIME"), was established October 1, 1991. Employees of certain
facilities of The Dial Corporation (the "Company") who are covered by a
collective bargaining agreement are eligible to participate in the Plan after
completing at least 1,000 hours of service in a twelve consecutive month period.
Employees are able to contribute to the Plan by reducing their wages on a
pre-tax basis, and make after-tax contributions, subject to certain limitations.
The Plan is subject to various regulations, particularly those under
Internal Revenue Code Section 401(k) and the Employee Retirement Income Security
Act of 1974 ("ERISA").
a. Investment Programs - Contributions to the Plan are invested by the
Plan's trustee, T. Rowe Price, at the designation of the participants. The Plan
has offered participants the following funds in which to invest pre-tax,
after-tax and rollover deposits.
1) VANGUARD WINDSOR II FUND - This fund invests in the common stock of
selected companies. The fair value of the fund is dependent upon the market
value of the stocks. Any dividends received are reinvested.
2) T. ROWE PRICE STABLE VALUE FUND - This fund invests in a diversified
portfolio of Guaranteed Investment Contracts ("GIC") issued by insurance
companies, bank investment contracts issued by financial institutions, and
strategic investment contracts issued by insurance companies, financial
institutions and other entities. Income is earned based upon a blended interest
rate determined by the various investments and is reinvested. The fair value of
the fund approximates contract value which includes contributions made, plus
interest at blended rates, less withdrawals by participants. Crediting interest
rates for the fund's underlying GICs ranged from 4.77% to 8.41% for 1997 and
4.75% to 8.41% for 1996, allowing for a blended rate of return for the fund of
6.64% and 6.41%, for 1997 and 1996, respectively.
3) VANGUARD GMA FUND - This fund invests primarily in Government National
Mortgage Association ("GNMA") certificates. These securities represent ownership
in pools of approved mortgage loans which provide a yield based on the ratios of
return of the GNMA holdings that comprise the portfolio. The fair value of the
fund is dependent upon fluctuations in market conditions.
4) THE DIAL CORP COMMON STOCK FUND - This fund invested in the common stock
of The Dial Corp, and any dividends paid on the stock were reinvested in the
fund. On August 15, 1996, The Dial Corporation ("Dial") was spun off from Viad
Corp ("Viad") formerly The Dial Corp. Effective August 15, 1996, participants
in this fund received an equal number of shares or partial shares of The Dial
Corporation Common Stock and Viad Corp Common Stock for every share or partial
share of The Dial Corp stock they held in their accounts. As of August 15,
1996, this fund was closed and all assets were transferred to the Dial and Viad
Common Stock Funds.
5) THE DIAL CORPORATION COMMON STOCK FUND - This fund invests in the common
stock of Dial, and any dividends paid on the stock are reinvested in the fund.
The fair value of this fund is dependent upon the fluctuations in the market
value of Dial stock.
6) FINOVA GROUP INC. ("FINOVA") COMMON STOCK FUND - This fund invests in the
common stock of FINOVA. Due to this fund being closed to additional
contributions, any dividends paid on the stock are reinvested according to the
participant's contribution mix. The fair value of this fund is dependent upon
the fluctuation in the market value of FINOVA stock.
7) VIAD CORP COMMON STOCK FUND - This fund invests in the common stock of
Viad. Due to this fund being closed to additional contributions, any dividends
paid on the stock are reinvested according to the participant's contribution
mix. The fair value of this fund is dependent upon the fluctuation in the market
value of Viad stock.
b. Contributions - Voluntary wage reductions may be elected by the employee.
These pre-tax reductions are contributed to the Plan and may range from 1% to
12% of compensation. Company matching contributions will be 25% of wage
reductions up to a certain maximum contribution per week. Each employee may
elect an after-tax contribution of between 1% and 10% of compensation. No
Company matching contributions are made based on after-tax contributions. All
contributions are limited to the applicable amounts as prescribed by the
Internal Revenue Code. Company matching contributions are invested by T. Rowe
Price pursuant to the investment elections of the participant.
c. Payment of Benefits - Benefits are paid to participants upon termination
from the Company, disablement, retirement or death.
d. Participant Loans and Hardship Withdrawals - Effective September 1, 1995,
the Plan was amended to allow participants covered by the collective bargaining
agreements at Fort Madison and Aurora to borrow against their 401(k) account
balances in an amount not to exceed the lesser of 50% of their vested balance or
$50,000. The applicable interest rate is determined by the committee responsible
for administering the Plan and shall be equal to the prime rate in effect the
first business day of the preceding month for the subsequent quarter. Loans
shall be repaid in equal installments over a period of up to five years, except
for loans for purchasing a home which can be repaid over a maximum of 15 years.
Withdrawals of employee wage reduction contributions, after-tax contributions
and rollover deposits, may be made by the participant in the event of a
qualified financial hardship, subject to certain tax penalties. Such withdrawals
will only be considered necessary to satisfy a financial hardship if all
nontaxable loans available under the Plan have already been obtained.
e. Vesting - All contributions to the Plan are 100% vested and
nonforfeitable at all times.
f. Participant Accounts - For each participant, various accounts are
maintained to record wage reduction contributions, Company matching
contributions, after-tax contributions, participant rollover deposits
transferred to the Plan, dividend and interest income and the net
appreciation/depreciation in the fair value of Plan investments. The benefit to
which a participant is entitled is the total benefit which can be provided from
the combined amount of these participant accounts less participant loans.
g. Plan Administration - The Plan is administered by the Retirement
Committee comprised of at least three persons appointed by the Board of
Directors. Expenses incidental to the operation of the Plan may be paid by the
Plan or directly by the Company. For the years ended December 31, 1997, 1996,
and 1995, Plan expenses were paid directly by the Company.
h. Plan Termination - While it is the Company's intention to continue the
Plan, the Company has the right to terminate the Plan provided that any employer
contributions due at the termination date have been paid.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Significant accounting policies are as follows:
a. Basis of Accounting - The financial statements of the Plan are prepared
under the accrual method of accounting.
b. Investment Valuation and Income Recognition - The Plan's investments are
stated at fair value. Shares of registered investment companies are valued at
quoted market prices which represent the net asset value of shares held by the
Plan at year-end. Common stock is valued at its quoted market price. Purchases
and sales of securities are recorded on a trade-date basis. Interest income is
recorded on the accrual basis. Dividends are recorded on the ex-dividend date.
c. Payment of Benefits - Benefits are recorded when paid.
d. Use of Estimates - 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 disclosures 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. NET ASSETS BY FUND
The following tables present the net assets of the Plan by fund as of December
31, 1997 and 1996:
<TABLE>
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INFORMATION
DECEMBER 31, 1997
<CAPTION>
<S> <C> <C> <C> <C>
T. ROWE THE DIAL
PRICE FIXED CORPORATION
VANGUARD STABLE VANGUARD COMMON
WINDSOR VALUE GMA STOCK
II FUND FUND FUND FUND
----------- ---------- ------------ ----------
ASSETS
Investments at fair value:
Shares of registered
investment companies:
Vanguard Windsor II Fund. . . . $10,105,300
T. Rowe Price Stable Value Fund $3,823,135
Vanguard GMA Fund . . . . . . . $ 1,371,815
Common stock:
The Dial Corporation. . . . . . $ 2,059,598
FINOVA Group Inc. . . . . . .
Viad Corp. . . . . . . . . . . .
Participant notes receivable. . .
Dividends receivable. . . . . . . . 7,823
Contributions receivable. . . . . . 19,943 7,963 4,540 9,984
----------- ---------- ------------ ----------
NET ASSETS AVAILABLE
FOR BENEFITS $10,125,243 $3,831,098 $ 1,376,355 $2,077,405
=========== ========== ============ ==========
<S> <C> <C> <C> <C>
FINOVA VIAD
GROUP INC. CORP
COMMON COMMON PARTICIPANT
STOCK STOCK NOTES
FUND FUND RECEIVABLE TOTAL
---------- ---------- ----------- -----------
ASSETS
Investments at fair value:
Shares of registered
investment companies:
Vanguard Windsor II Fund. . . . $10,105,300
T. Rowe Price Stable Value Fund 3,823,135
Vanguard GMA Fund . . . . . . . 1,371,815
Common stock:
The Dial Corporation. . . . . . 2,059,598
FINOVA Group Inc. . . . . . . $ 160,746 160,746
Viad Corp . . . . . . . . . . . $1,119,115 1,119,115
Participant notes receivable. . . $ 381,284 381,284
Dividends receivable. . . . . . . . 455 4,740 13,018
Contributions receivable. . . . . . 42,430
NET ASSETS AVAILABLE ---------- ---------- --------- -----------
FOR BENEFITS $ 161,201 $1,123,855 $ 381,284 $19,076,441
========== ========== ========= ===========
</TABLE>
<TABLE>
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS WITH FUND INFORMATION
DECEMBER 31, 1996
<CAPTION>
<S> <C> <C> <C> <C>
T. ROWE THE DIAL
PRICE FIXED CORPORATION
VANGUARD STABLE VANGUARD COMMON
WINDSOR VALUE GMA STOCK
II FUND FUND FUND FUND
---------- ---------- ------------ -----------
ASSETS
Investments at fair value:
Shares of registered
investment companies:
Vanguard Windsor II Fund. . . . $6,957,048
T. Rowe Price Stable Value Fund $3,312,154
Vanguard GMA Fund . . . . . . . $ 1,146,238
Common stock:
The Dial Corporation. . . . . . $1,088,706
FINOVA Group Inc. . . . . . .
Viad Corp . . . . . . . . . . .
Participant notes receivable. . .
Dividends receivable. . . . . . . . 5,705
Contributions receivable. . . . . . 11,832 6,004 3,439 5,833
---------- ---------- ------------ ----------
NET ASSETS AVAILABLE
FOR BENEFITS. . . . . . . . . . . $6,968,880 $3,318,158 $ 1,149,677 $1,100,244
========== ========== ============ ==========
<S> <C> <C> <C> <C>
FINOVA VIAD
GROUP INC. CORP
COMMON COMMON PARTICIPANT
STOCK STOCK NOTES
FUND FUND RECEIVABLE TOTAL
----------- ----------- ----------- -----------
ASSETS
Investments at fair value:
Shares of registered
investment companies:
Vanguard Windsor II Fund. . . . $ 6,957,048
T. Rowe Price Stable Value Fund 3,312,154
Vanguard GMA Fund . . . . . . . 1,146,238
Common stock:
The Dial Corporation. . . . . . 1,088,706
FINOVA Group Inc. . . . . . . 107,308 107,308
Viad Corp . . . . . . . . . . . $1,013,058 1,013,058
Participant notes receivable. . . $ 354,374 354,374
Dividends receivable. . . . . . . . 134 4,967 10,806
Contributions receivable. . . . . . 27,108
---------- ---------- ---------- -----------
NET ASSETS AVAILABLE
FOR BENEFITS $ 107,442 $1,018,025 $ 354,374 $14,016,800
========== ========== ========== ===========
</TABLE>
4. FUND INFORMATION
Employer contributions, employee pre-tax contributions, employee after-tax
contributions, dividend income, interest income, net appreciation (depreciation)
in fair value of investments, transfer of assets and benefits paid to
participants are as follows for the years ended December 31, 1997, 1996 and
1995:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
Employer contributions: . . . . . . . . . . . 1997 1996 1995
---------- ----------- ----------
Vanguard Windsor II Fund . . . . . . . . . . $ 77,872 $ 63,331 $ 45,229
T. Rowe Price Stable Value Fund. . . . . . . 42,938 42,028 37,039
Vanguard GMA Fund. . . . . . . . . . . . . . 20,085 19,449 16,458
The Dial Corp Common Stock Fund. . . . . . . - 16,595 20,557
The Dial Corporation Common Stock Fund . . . 34,479 12,383 -
Viad Corp Common Stock Fund. . . . . . . . . - 681 -
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $ 175,374 $ 154,467 $ 119,283
========== =========== ==========
Employee pre-tax contributions
Vanguard Windsor II Fund . . . . . . . . . . $ 836,103 $ 725,506 $ 530,474
T. Rowe Price Stable Value Fund. . . . . . . 414,011 421,163 391,125
Vanguard GMA Fund. . . . . . . . . . . . . . 190,559 195,008 162,908
The Dial Corp Common Stock Fund. . . . . . . - 171,946 212,392
The Dial Corporation Common Stock Fund . . . 342,703 140,195 -
Viad Corp Common Stock Fund. . . . . . . . . - 7,495 -
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $1,783,376 $1,661,313 $1,296,899
========== =========== ==========
Employee after-tax contributions:
Vanguard Windsor II Fund . . . . . . . . . . $ 58,068 $ 41,800 $ 23,855
T. Rowe Price Stable Value Fund. . . . . . . 23,393 21,467 19,173
Vanguard GMA Fund. . . . . . . . . . . . . . 7,406 6,845 5,416
The Dial Corp Common Stock Fund. . . . . . . - 8,600 11,488
The Dial Corporation Common Stock Fund . . . 13,842 6,024 -
Viad Corp Common Stock Fund. . . . . . . . . - 382 -
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $ 102,709 $ 85,118 $ 59,932
========== =========== ==========
Dividend income:
Vanguard Windsor II Fund . . . . . . . . . . $ 906,870 $ 486,473 $ 283,668
Vanguard GMA Fund. . . . . . . . . . . . . . 86,783 76,222 64,432
The Dial Corp Common Stock Fund. . . . . . . - 24,954 21,470
The Dial Corporation Common Stock Fund . . . 28,832 10,696 -
FINOVA Group Inc. Common
Stock Fund . . . . . . . . . . . . . . . . 1,978 1,693 1,321
Viad Corp Common Stock Fund. . . . . . . . . 19,499 10,091 -
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $1,043,962 $ 610,129 $ 370,891
========== =========== ==========
Interest income:
T. Rowe Price Stable Value Fund . . . . . . $ 215,002 $ 185,415 $ 177,109
Participant Notes Receivable. . . . . . . . 27,320 20,398 524
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $ 242,322 $ 205,813 $ 177,633
========== =========== ==========
Net appreciation (depreciation) in fair value
of investments:
Vanguard Windsor II Fund . . . . . . . . . . $1,462,064 $ 809,756 $1,053,674
Vanguard GMA Fund. . . . . . . . . . . . . . 26,127 (21,098) 79,179
The Dial Corp Common Stock Fund. . . . . . . - (435,098) 394,433
The Dial Corporation Common Stock Fund . . . 561,755 246,081 -
FINOVA Group Inc. Common
Stock Fund . . . . . . . . . . . . . . . . 57,575 27,426 30,682
Viad Corp Common Stock Fund. . . . . . . . . 178,864 307,801 -
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $2,286,385 $ 934,868 $1,557,968
========== =========== ==========
Transfer of assets:
Vanguard Windsor II Fund . . . . . . . . . . $ - $ 5,673 $ 526,192
T. Rowe Price Stable Value Fund. . . . . . . - 802 207,113
Vanguard GMA Fund. . . . . . . . . . . . . . - - 131,545
The Dial Corp Common Stock Fund. . . . . . . - - 275,367
The Dial Corporation Common Stock Fund . . . - 1,194 -
FINOVA Group Inc. Common
Stock Fund . . . . . . . . . . . . . . . . - - 11,687
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $ - $ 7,669 $1,151,904
========== =========== ==========
Benefits paid to participants:
Vanguard Windsor II Fund . . . . . . . . . . $ 309,448 $ 213,085 $ 145,237
T. Rowe Price Stable Value Fund. . . . . . . 152,729 190,568 389,827
Vanguard GMA Fund. . . . . . . . . . . . . . 42,180 40,995 74,250
The Dial Corp Common Stock Fund. . . . . . . - 43,286 55,200
The Dial Corporation Common Stock Fund . . . 41,198 20,687 -
FINOVA Group Inc. Common
Stock Fund . . . . . . . . . . . . . . . . 2,227 5,088 2,004
Viad Corp Common Stock Fund. . . . . . . . . 23,455 21,563 -
Participant Notes Receivable . . . . . . . . 3,250 - -
---------- ----------- ----------
Total . . . . . . . . . . . . . . . . . . $ 574,487 $ 535,272 $ 666,518
========== =========== ==========
</TABLE>
<PAGE>
5. RELATED PARTY TRANSACTIONS
Plan investments include shares of the T. Rowe Price Stable Value Fund managed
by T. Rowe Price. T. Rowe Price is the trustee as defined by the Plan and,
therefore, these transactions qualify as party-in-interest.
6. FEDERAL INCOME TAX STATUS
The Plan obtained its latest determination letter on March 12, 1996, 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. Therefore, no provision for income taxes has been
included in the Plan's financial statements.
<PAGE>
<TABLE>
THE DIAL CORPORATION
401(K) PLAN FOR HOURLY EMPLOYEES
SUPPLEMENTAL SCHEDULE
DECEMBER 31, 1997
- -------------------
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
<CAPTION>
<S> <C> <C> <C>
COLUMN B COLUMN C COLUMN D COLUMN E
- -------------------------------- ---------------------------------- ----------- -----------
Description of Investment
Identity of Issue, . . . . . Including Collateral, Rate of
Borrower, Lessor or . . . . . . Interest, Maturity Date, Current
Similar Party . . . . . . . Par or Maturity Value Cost Value
- -------------------------------- ---------------------------------- ----------- -----------
Vanguard Windsor II Fund . . . . Mutual Fund (353,085 shares) $ 7,091,050 $10,105,300
T. Rowe Price Stable Value Fund. GIC Fund (3,823,135 shares) 3,823,135 3,823,135
Vanguard GMA Fund. . . . . . . . Mutual Fund (131,526 shares) 1,339,730 1,371,815
The Dial Corporation . . . . . . Common Stock (98,960 shares) 1,294,341 2,059,598
FINOVA Group Inc.. . . . . . . . Common Stock (3,235 shares) 22,029 160,746
Viad Corp. . . . . . . . . . . . Common Stock (57,948 shares) 667,769 1,119,115
Participant Notes Receivable . . Participant loans
(Interest at 8.25% to 9.00%,
maturing from 1998 to 2012). 381,284 381,284
----------- -----------
Total . . . . . . . . . . . . Total assets held for investment
purposes . . . . . . . . . . $14,619,338 $19,020,993
=========== ===========
</TABLE>
<PAGE>
<TABLE>
THE DIAL CORPORATION
401 (K) PLAN FOR HOURLY EMPLOYEES
SUPPLEMENTAL SCHEDULE
YEAR ENDED DECEMBER 31, 1997
ITEM 27D - SCHEDULE OF REPORTABLE TRANSACTIONS
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
COLUMN A . . . . . . COLUMN B COLUMN C COLUMN D COLUMN G COLUMN H COLUMN I
IDENTITY . . . . . DESCRIPTION PURCHASE SELLING COST OF CURRENT
OF . . . . . . OF PRICE PRICE ASSET VALUE OF NET
PARTY . . . . . . ASSET ASSET ON GAIN
INVOLVED. . . . . . TRANSACTION OR
DATE (LOSS)
SINGLE TRANSACTIONS
- ------------------------
Vanguard Windsor II Fund Mutual Fund $ 845,225 $ 845,225 $ 845,225
SERIES OF TRANSACTIONS
- ------------------------
Vanguard Windsor II Fund Mutual Fund 2,140,645 2,140,645 2,140,645
Vanguard Windsor II Fund Mutual Fund $ 453,518 296,656 453,518 $ 156,862
T. Rowe Price
Stable Value Fund. . . GIC Fund 795,310 795,310 795,310
T. Rowe Price
Stable Value Fund. . . GIC Fund 284,330 284,330 284,330
</TABLE>
NOTE: REPORTABLE TRANSACTIONS ARE THOSE TRANSACTIONS WHICH EITHER SINGULARLY
OR IN SERIES OF COMBINED PURCHASES AND SALES DURING THE YEAR EXCEEDED 5% OF THE
FAIR VALUE OF THE PLAN'S ASSETS AT THE BEGINNING OF THE YEAR.
