<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 11-K
Annual Report Pursuant to Section 15 (d) of the
Securities Exchange Act of 1934
(Mark One)
Annual Report pursuant to Section 15 (d) of the Securities Exchange Act
of 1934
X (No Fee Required)
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For the fiscal year ended December 31, 1999
OR
Transition report pursuant to Section 15 (d) of the Securities
Exchange Act of 1934 (No Fee Required)
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For the transition period from ___________ to ____________
Commission File number 000-21561
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A. Full title of the plan and the address of the plan, if different from that
of the issuer named below:
MIAMI COMPUTER SUPPLY CORPORATION
401 (k) PROFIT SHARING PLAN
B. Name and issuer of the securities held pursuant to the plan and the address
of its principal executive office:
MIAMI COMPUTER SUPPLY CORPORATION
4750 Hempstead Station Drive
Dayton, Ohio 45429
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EXHIBIT INDEX
<TABLE>
<CAPTION>
Exhibit No.
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<S> <C>
23 Consent of PricewaterhouseCoopers LLP
</TABLE>
<PAGE>
MIAMI COMPUTER SUPPLY CORPORATION
401(k) PROFIT SHARING PLAN
TABLE OF CONTENTS
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INDEX TO FINANCIAL STATEMENTS
AND SUPPLEMENTAL SCHEDULES
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<TABLE>
<CAPTION>
PAGE(S)
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<S> <C>
Report of Independent Accountants 2
Financial Statements:
Statement of Net Assets Available for Plan Benefits as of
December 31, 1999 and 1998 3
Statement of Changes in Net Assets Available for Plan Benefits
for the years ended December 31, 1999 and 1998 4
Notes to Financial Statements 5-10
Supplemental Schedules:*
Schedule of Assets Held for Investment Purposes as of
December 31, 1999 Schedule I
Schedule of Reportable Transactions
for the year ended December 31, 1999 Schedule II
</TABLE>
* Other schedules required by Section 2520-103.10 of the Department of Labor's
Rules and Regulations for Reporting and Disclosure under ERISA have been
omitted because they are not applicable.
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
To the Participants and
Administrator of the Miami Computer Supply
Corporation 401(k) Profit Sharing Plan
In our opinion, the accompanying statement of net assets available for plan
benefits and the related statement of changes in net assets available for plan
benefits present fairly, in all material respects, the net assets available for
plan benefits of the Miami Computer Supply Corporation 401(k) Profit Sharing
Plan (the "Plan") at December 31, 1999 and 1998, and the changes in net assets
available for plan benefits for the years ended December 31, 1999 and 1998, in
conformity with accounting principles generally accepted in the United States.
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 of these statements in accordance with
auditing standards generally accepted in the United States, which require that
we plan and perform the audits 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, assessing the accounting principles used and
significant estimates made by management, and evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for the opinion expressed above.
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 and Reportable Transactions are presented for the
purpose of additional analysis and are not a required part of the basic
financial statements but are supplementary information required by the
Department of Labor's Rules and Regulations for Reporting and Disclosure under
the Employee Retirement Income Security Act of 1974 (ERISA). These supplementary
schedules are the responsibility of the Plan's management. The supplemental
schedules 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.
PricewaterhouseCoopers LLP
Cincinnati, Ohio
June 9, 2000
<PAGE>
MIAMI COMPUTER SUPPLY CORPORATION
401(k) PROFIT SHARING PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS
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<TABLE>
<CAPTION>
DECEMBER 31,
ASSETS 1999 1998
------------ -----------
<S> <C> <C>
Investments at fair market value (Note 3) $ 14,935,276 $ 3,424,991
Participant loans 192,263 -
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Total investments and participant loans 15,127,539 3,424,991
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Contributions receivable:
Participants 124,251 50,544
Employer 295,125 140,047
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Total contributions receivable 419,376 190,591
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Cash 143 -
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Total assets 15,547,058 3,615,582
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LIABILITIES
Excess contributions refundable to employees 40,729 -
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Total liabilities 40,729 -
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Net assets available for plan benefits $ 15,506,329 $ 3,615,582
------------ -----------
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</TABLE>
The accompanying notes are an integral part of these financial statements.
3
<PAGE>
MIAMI COMPUTER SUPPLY CORPORATION
401(k) PROFIT SHARING PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS
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<TABLE>
<CAPTION>
YEAR ENDED
DECEMBER 31,
1999 1998
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<S> <C> <C>
SOURCES OF ASSETS
Employee contributions and rollovers $ 9,720,664 $ 732,675
Employer contributions 295,125 145,649
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10,015,789 878,324
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Investment income:
Income from pooled separate accounts - 501,043
Net appreciation in fair market value of investments 2,516,605 24,345
Interest and dividends 613,512 -
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Total investment income 3,130,117 525,388
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Total sources of assets 13,145,906 1,403,712
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APPLICATIONS OF ASSETS
Benefit payments and withdrawals 1,255,159 53,223
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Total applications of assets 1,255,159 53,223
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Increase in net assets available for plan benefits 11,890,747 1,350,489
Net assets available for plan benefits - beginning of year 3,615,582 2,265,093
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Net assets available for plan benefits - end of year $15,506,329 $ 3,615,582
----------- -----------
----------- -----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
4
<PAGE>
MIAMI COMPUTER SUPPLY CORPORATION
401(k) PROFIT SHARING PLAN
NOTES TO FINANCIAL STATEMENTS
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1. DESCRIPTION OF THE PLAN
The following description of the Miami Computer Supply Corporation (MCSC or
the Company) 401(k) Profit Sharing Plan (the Plan) provides only general
information. Participants should refer to the Plan agreement for a more
complete description of the Plan's provisions.
GENERAL
The Plan is a defined contribution plan covering all full-time employees of
the Company who have one year of service and are age twenty-one or older.
The Plan was established January 1, 1987 and is subject to the provisions
of the Employee Retirement Income Security Act of 1974 (ERISA), as amended.
INVESTMENT FUNDS
The Plan allows active participants to elect how their contributions will
be directed among investments options offered by the Plan. As of
December 31, 1999, investment options offered by the Plan were as follows:
Firstar Treasury Fund, Dean Balanced Fund, Fixed Income Fund, Dean
International Fund, Dean Large Cap Fund, Dean Small Cap Fund, Fidelity
Equity Growth Fund, Fidelity High Yield Fund, Fidelity Technology Fund and
Fidelity Mid-Cap Fund. In addition, participants may elect to invest in
the common stock of MCSC.
CONTRIBUTIONS AND FUNDING
All eligible employees of the Company may defer a portion of their
compensation by making tax-deferred contributions. Participants may elect
to contribute up to 20% of their eligible compensation.
Each year, the Company may elect to make a discretionary matching
contribution equal to a percentage of each participant's contributions. All
eligible participants must be employed on the final day of the year in
order to receive any such contribution. For the year ended December 31,
1999, participant contributions were matched by a Company contribution of
10,090 shares of employer stock with a fair value of $295,125.
The 1998 employer contribution consisted of cash and was $145,649.
Additionally, each year, the Company may elect to make a discretionary
profit sharing contribution to the participant accounts, which equals
between 1%-15% of eligible employees' compensation during the Plan year. No
profit sharing contribution was made during the years ended December 31,
1999 and 1998.
VESTING
Participants are immediately vested in their contributions plus earnings
thereon. Company matching contributions vest in increments of one-third
each year over a three-year period beginning on the participant's original
eligibility date.
5
<PAGE>
A participant becomes vested in his or her account (i) upon either the
attainment of retirement age or the third anniversary of his or her initial
participation date (if within three years of retirement age), whichever is
later, (ii) upon satisfaction of early retirement requirements (attainment
of age 55 and three years of vested service), (iii) in the event of death
or disability, or (iv) upon Plan termination. Upon termination of
employment, a participant is entitled to full distribution of his or her
contributions and all vested Company matching contributions; all non-vested
Company matching contributions are forfeited. These forfeitures are used to
reduce future Company contributions.
PARTICIPANT ACCOUNTS
A participant may withdraw his or her participant contributions and any
earnings thereon during his or her employment in the case of "hardship" (as
defined by the Plan). This withdrawal is subject to a 10% additional tax if
the participant is under age 59 1/2. The participant may not withdraw any
Company matching contribution until he or she terminates employment with
the Company.
LOANS
Participants may borrow from their accounts equal to a minimum of $1,000 up
to a maximum equal to the lesser of $50,000 or 50% of their vested account
balance. Loan terms range from 1-5 years or up to 20 years for the purchase
of a primary residence. The loans are secured by the balance in the
participant's account and bear interest at a rate commensurate with the
prime rate. Principal and interest are paid ratably through monthly payroll
deductions.
TERMINATION OF THE PLAN
It is the present intention of the Company to continue the Plan
indefinitely. However, the Company reserves the right to terminate the Plan
at any time by action of the Board of Directors. In the event of Plan
termination, participants will become fully vested in their accounts.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The financial statements of the Plan are prepared under the accrual basis
of accounting.
INVESTMENT VALUATION AND INCOME RECOGNITION
The Plan's investments are stated at fair value. The fair value of the
underlying investments are based on quoted market prices.
6
<PAGE>
Gains and losses are reported under the current value method which
calculates realized gains and losses as proceeds less the current value of
the security sold as of the beginning of the year (or acquisition cost if
acquired during the year). Unrealized gains and losses are calculated as
the current value of investments held at the end of the year less their
current value as of the beginning of the year (or acquisition cost if
acquired during the year).
PLAN EXPENSES
Expenses associated with the administration of the Plan may be paid by the
Plan if not previously paid by the Company. All significant administrative
expenses of the Plan for the years ended December 31, 1999 and 1998 have
been paid by the Company.
PAYMENTS TO WITHDRAWING PARTICIPANTS
The Plan records payments to withdrawing participants at the time of
disbursement.
ROLLOVER CONTRIBUTIONS AND TRANSFERS
Participant rollover contributions and transfers from other defined
contribution plans are included as participant contributions in the
Statement of Changes in Net Assets Available for Plan Benefits.
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
disclosure of contingent assets and liabilities at the date of the
financial statements and the reported amounts of income and expenses during
the reporting period. Actual results could differ from these estimates.
7
<PAGE>
3. INVESTMENTS
The following presents investments that represent 5% or more of the Plan's
investments:
<TABLE>
<CAPTION>
DECEMBER 31,
1999 1998
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<S> <C> <C>
Participant-Directed:
Firstar Treasury Fund $ 1,120,035 $ -
Dean International Fund 778,365 -
Dean Small Cap Fund 737,272 -
Fidelity Equity Growth Fund 4,082,352 -
Fidelity Technology Fund 3,526,491 -
Fidelity Mid-Cap Fund 1,628,543 -
Allamerican Variable-Annuity Contracts - 1,385,578
Aetna Series Money Market Fund - 184,509
Aetna Index Plus Large Cap Fund - 232,587
Fidelity Growth Opportunities - 216,511
Janus Worldwide Fund - 330,831
Neuberger Berman Genesis Trust - 726,495
American Century Ultra Fund - 331,903
Non-participant Directed:
Employer Stock 1,077,956 149,281
</TABLE>
During 1999 and 1998, the Plan's investment (including investments bought,
sold and held during the year) appreciated in value by $2,516,605 and
$24,345, respectively, as follows:
<TABLE>
<CAPTION>
YEAR ENDED
DECEMBER 31,
1999 1998
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<S> <C> <C>
Employer Stock $ 497,154 $ 24,345
Mutual Funds 2,019,451 -
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$ 2,516,605 $ 24,345
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------------ -----------
</TABLE>
8
<PAGE>
4. NON PARTICIPANT-DIRECTED INVESTMENTS
Information about the net assets and the significant components of the
changes in net assets relating to the investment options which are not
exclusively participant directed and relate solely to employer stock
are as follows:
<TABLE>
<CAPTION>
DECEMBER 31,
1999 1998
------------ -----------
<S> <C> <C>
Net assets:
Assets:
Employer Stock $ 1,077,956 $ 149,281
Employer contributions redeemable 295,125 140,047
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$ 1,375,081 $ 289,328
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------------ -----------
</TABLE>
<TABLE>
<CAPTION>
YEAR ENDED
DECEMBER 31,
1999 1998
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<S> <C> <C>
Changes in Net Assets:
Contributions $ 295,125 $ 145,649
Net appreciation 497,154 24,345
Benefits paid to participants (44,909) (1,986)
Transfers from participant-directed investments 336,383 45,705
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$ 1,083,753 $ 213,713
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</TABLE>
5. RELATED PARTY TRANSACTIONS
Certain Plan investments are managed by Dean Investment Associates (Dean).
Dean is the trustee as defined by the Plan. In addition, participants may
elect to invest in the common stock of MCSC.
9
<PAGE>
6. TAX STATUS OF THE PLAN
The Company received its latest favorable determination letter dated March
5, 1998 from the Internal Revenue Service as to the qualified status of the
Plan under Section 401(a) of the Internal Revenue Code (the Code). The Plan
has been amended since receiving the determination letter. However, the
Plan administrator believes that the Plan is designed and currently being
operated in compliance with the applicable requirements of the Code.
10
<PAGE>
MIAMI COMPUTER SUPPLY CORPORATION
401(k) PROFIT SHARING PLAN
FORM 5500 SCHEDULE H, LINE 4(i) - SCHEDULE OF ASSETS HELD FOR INVESTMENT
PURPOSES
DECEMBER 31, 1999 SCHEDULE I
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<TABLE>
<CAPTION>
FAIR MARKET
IDENTITY OF ISSUE UNITS UNITS COST** VALUE
----------------- ----- ----- ------ -----
<S> <C> <C> <C> <C>
Firstar Treasury Fund Mutual Fund 120,035 N/A $ 1,120,035
Dean Balanced Fund* Mutual Fund 27,598 N/A 280,671
Fixed Income Fund Mutual Fund 36,243 N/A 347,934
Dean International Fund* Mutual Fund 44,465 N/A 788,365
Dean Large Cap Fund* Mutual Fund 68,904 N/A 737,272
Dean Small Cap Fund* Mutual Fund 87,589 N/A 769,907
Fidelity Equity Growth Fund Mutual Fund 57,008 N/A 4,082,352
Fidelity High Yield Fund Mutual Fund 50,638 N/A 575,750
Fidelity Technology Fund Mutual Fund 96,510 N/A 3,526,491
Fidelity Mid-Cap Fund Mutual Fund 87,321 N/A 1,628,543
Miami Computer Supply Company Common Stock 29,036 $ 566,890 1,077,956
Participant Loans* Loans - - 192,263
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$ 15,127,539
------------
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</TABLE>
* Party-in-interest
**Historical cost of participant directed investments is a non-required
disclosure and is therefore non applicable.
<PAGE>
MIAMI COMPUTER SUPPLY CORPORATION
401(k) PROFIT SHARING PLAN
FORM 5500 SCHEDULE H, LINE 4(i) - SCHEDULE OF REPORTABLE TRANSACTIONS*
FOR THE YEAR ENDED DECEMBER 31, 1999 SCHEDULE II
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<TABLE>
<CAPTION>
(a) IDENTITY OF PARTY (b) DESCRIPTION NUMBER OF (c) PURCHASE (d) SELLING (g) COST OF (i) NET
INVOLVED OF ASSETS TRANSACTIONS PRICE PRICE ASSETS(1) GAIN(1)
-------- --------- ------------ ----- ----- --------- -------
<S> <C> <C> <C> <C> <C> <C>
Miami Computer Supply Company Common stock 55 $ 474,761 $ - $ 474,761 $ -
34 69,131 67,062 2,069
</TABLE>
(*) This schedule reports those transactions purchased and/or sold during the
current year that are in excess of 5% of the fair market value of the
Plan's assets as of the beginning of the Plan year as defined in Section
2520.103-6 of the Department of Labor Rules and Regulations for Reporting
and Disclosure under ERISA.
<PAGE>
SIGNATURES
MIAMI COMPUTER SUPPLY CORPORATION 401 (k) PROFIT SHARING PLAN. Pursuant to the
requirements of the Securities Exchange Act of 1934, the 401 (k) Profit Sharing
Plan Committee has duly caused this annual report to be signed by the
undersigned thereunto duly authorized.
MIAMI COMPUTER SUPPLY CORPORATION
401 (k) PROFIT SHARING PLAN
By: /s/ Ira Stanley
Plan Administrator
June 28, 2000
