<PAGE> 1
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
For the fiscal year ended December 31, 1996
Commission file number 001-12335
Galesburg Hourly Employee Savings Trust
401(k) Plan
Butler Manufacturing Company
BMA Tower
Penn Valley Park
Kansas City, MO 64108
<PAGE> 2
INDEPENDENT AUDITOR'S REPORT
To the Board of Trustees
Butler Manufacturing Company
Galesburg Hourly Employee Savings Trust
Galesburg, Illinois
We have audited the accompanying statements of net assets available for
benefits of the Butler Manufacturing Company Galesburg Hourly Employee Savings
Trust as of December 31, 1996 and 1995, and the related statements of changes
in net assets available for benefits for the years then ended. These financial
statements are the responsibility of the Plan's 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 Butler
Manufacturing Company Galesburg Hourly Employee Savings Trust as of December
31, 1996 and 1995, and the changes in net assets available for benefits for the
years then ended, in conformity with generally accepted accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules of (1)
assets held for investment, and (2) reportable transactions as of or for the
year ended December 31, 1996, 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 supplemental schedules 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.
McGLADREY & PULLEN, LLP
Galesburg, Illinois
June 6, 1997
2
<PAGE> 3
BUTLER MANUFACTURING COMPANY
GALESBURG HOURLY EMPLOYEE SAVINGS TRUST
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
DECEMBER 31, 1996 AND 1995
<TABLE>
<CAPTION>
1996
- --------------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY
BUTLER FIDELITY FIDELITY EQUITY- INTERNATIONAL
STOCK PURITAN MAGELLAN INCOME GROWTH &
ASSETS FUND FUND FUND FUND INCOME FUND
- --------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Investments, at fair value:
Shares of registered
investment companies $ 34,161 $ 528,748 $ 662,820 $ 308,892 $ 66,348
Shares of common/collective
trusts
Participant notes receivable 1,015 12,273 19,453 6,687 1,252
--------------------------------------------------------------------------
35,176 541,021 682,273 315,579 67,600
Receivables:
Participants' contributions - - - - -
NET ASSETS AVAILABLE
FOR BENEFITS $ 35,176 $ 541,021 $ 682,273 $ 315,579 $ 67,600
==========================================================================
</TABLE>
See notes to financial statements.
3
<PAGE> 4
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY FIDELITY
FIDELITY ASSET ASSET RETIREMENT FIDELITY
ASSET MANAGER MANAGER MONEY MANAGED
MANAGER GROWTH INCOME MARKET INCOME
FUND FUND FUND PORTFOLIO PORTFOLIO OTHER TOTAL
- -------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 8,372 $ 15,521 $ 9,720 $ 391,590 $ - $ - $ 2,026,172
353,221 353,221
379 490 490 8,108 10,885 61,032
- -------------------------------------------------------------------------------------------------------------
8,751 16,011 10,210 399,698 364,106 2,440,425
- - - - - 51,851 51,851
- -------------------------------------------------------------------------------------------------------------
$ 8,751 $ 16,011 $ 10,210 $399,698 $ 364,106 $ 51,851 $ 2,492,276
=============================================================================================================
</TABLE>
4
<PAGE> 5
BUTLER MANUFACTURING COMPANY
GALESBURG HOURLY EMPLOYEE SAVINGS TRUST
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS (CONTINUED)
DECEMBER 31, 1996 AND 1995
<TABLE>
<CAPTION>
1995
- ----------------------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY
FIDELITY FIDELITY EQUITY- INTERNATIONAL
PURITAN MAGELLAN INCOME GROWTH &
ASSETS FUND FUND FUND INCOME FUND
- ----------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Investments, at fair value:
Shares of registered investment companies $ 350,988 $ 448,357 $187,094 $ 36,576
Shares of common/collective trusts - - - -
Participant notes receivable 5,365 12,078 4,007 513
--------------------------------------------------------------
356,353 460,435 191,101 37,089
Receivables:
Participants' contributions - - - -
--------------------------------------------------------------
NET ASSETS AVAILABLE
FOR BENEFITS $ 356,353 $ 460,435 $191,101 $ 37,089
==============================================================
</TABLE>
5
<PAGE> 6
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY FIDELITY
FIDELITY ASSET ASSET RETIREMENT FIDELITY
ASSET MANAGER MANAGER MONEY MANAGED
MANAGER GROWTH INCOME MARKET INCOME
FUND FUND FUND PORTFOLIO PORTFOLIO OTHER TOTAL
- -------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$4,258 $5,435 $5,099 $268,138 $ - $ - $1,305,945
255,567 255,567
513 513 513 5,419 1,784 30,705
- -------------------------------------------------------------------------------------------------------------------
4,771 5,948 5,612 273,557 257,351 1,592,217
- - - - - 42,783 42,783
- -------------------------------------------------------------------------------------------------------------------
$4,771 $5,948 $5,612 $273,557 $257,351 $42,783 $1,635,000
===================================================================================================================
</TABLE>
6
<PAGE> 7
BUTLER MANUFACTURING COMPANY
GALESBURG HOURLY EMPLOYEE SAVINGS TRUST
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
YEARS ENDED DECEMBER 31, 1996 AND 1995
<TABLE>
<CAPTION>
1996
- ---------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY
BUTLER FIDELITY FIDELITY EQUITY- INTERNATIONAL
STOCK PURITAN MAGELLAN INCOME GROWTH &
FUND FUND FUND FUND INCOME FUND
- ---------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Investment income:
Net appreciation (depreciation)
in fair value of investments $5,503 $ 7,114 $(12,362) $ 28,936 $ 4,178
Interest and dividends 133 56,123 78,287 18,486 2,236
-------------------------------------------------------------------
5,636 63,237 65,925 47,422 6,414
Participants' contributions 9,532 112,594 150,886 73,767 29,678
Employer contributions 730 14,935 20,418 10,088 4,251
-------------------------------------------------------------------
TOTAL ADDITIONS 15,898 190,766 237,229 131,277 40,343
-------------------------------------------------------------------
Benefits paid:
Cash payments - 8,080 20,482 11,142 2,693
Transfers to another
employer sponsored plan - 1,099 1,155 1,407 1,609
Administrative expenses 175 3,405 1,444 310 146
-------------------------------------------------------------------
TOTAL DEDUCTIONS 175 12,584 23,081 12,859 4,448
-------------------------------------------------------------------
NET INCREASE PRIOR
TO INTERFUND
TRANSFERS 15,723 178,182 214,148 118,418 35,895
Interfund transfers 19,453 6,486 7,690 6,060 (5,384)
-------------------------------------------------------------------
NET INCREASE
(DECREASE) 35,176 184,668 221,838 124,478 30,511
Net assets available for benefits:
Beginning of year - 356,353 460,435 191,101 37,089
-------------------------------------------------------------------
End of year $35,176 $541,021 $682,273 $ 315,579 $67,600
====================================================================
</TABLE>
See notes to financial statements.
7
<PAGE> 8
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------
FIDELITY FIDELITY FIDELITY
FIDELITY ASSET ASSET RETIREMENT FIDELITY
ASSET MANAGER MANAGER MONEY MANAGED
MANAGER GROWTH INCOME MARKET INCOME
FUND FUND FUND PORTFOLIO PORTFOLIO OTHER TOTAL
- ------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
$ 177 $ 461 $ (8) $ - $ - $ - $ 33,999
645 1,354 648 17,196 17,694 - 192,802
- ------------------------------------------------------------------------------------
822 1,815 640 17,196 17,694 - 226,801
3,183 7,428 5,146 100,408 81,989 51,851 626,462
391 975 709 15,363 12,445 - 80,305
- ------------------------------------------------------------------------------------
4,396 10,218 6,495 132,967 112,128 51,851 933,568
- ------------------------------------------------------------------------------------
604 719 1,086 7,533 10,255 - 62,594
- - - 683 963 - 6,916
17 34 13 850 388 - 6,782
- ------------------------------------------------------------------------------------
621 753 1,099 9,066 11,606 - 76,292
- ------------------------------------------------------------------------------------
3,775 9,465 5,396 123,901 100,522 51,851 857,276
205 598 (798) 2,240 6,233 (42,783) -
- ------------------------------------------------------------------------------------
3,980 10,063 4,598 126,141 106,755 9,068 857,276
4,771 5,948 5,612 273,557 257,351 42,783 1,635,000
- ------------------------------------------------------------------------------------
$8,751 $16,011 $10,210 $399,698 $364,106 $ 51,851 $2,492,276
====================================================================================
</TABLE>
8
<PAGE> 9
BUTLER MANUFACTURING COMPANY
GALESBURG HOURLY EMPLOYEE SAVINGS TRUST
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS (CONTINUED)
YEARS ENDED DECEMBER 31, 1996 AND 1995
<TABLE>
<CAPTION>
1995
- -----------------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY
FIDELITY FIDELITY EQUITY- INTERNATIONAL
PURITAN MAGELLAN INCOME GROWTH &
FUND FUND FUND INCOME FUND
- -----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Investment income:
Net appreciation (depreciation)
in fair value of investments $ 34,646 $ 72,563 $ 25,939 $ 1,019
Interest and dividends 17,776 26,389 10,228 1,241
---------------------------------------------------------------
52,422 98,952 36,167 2,260
Participants' contributions 102,987 119,724 46,319 21,859
---------------------------------------------------------------
TOTAL ADDITIONS 155,409 218,676 82,486 24,119
---------------------------------------------------------------
Benefits paid:
Cash payments 2,296 13,274 2,575 -
Transfers to another
employer sponsored plan 217 281 1,921 -
Administrative expenses 2,707 1,027 241 80
---------------------------------------------------------------
TOTAL DEDUCTIONS 5,220 14,582 4,737 80
---------------------------------------------------------------
NET INCREASE PRIOR
TO INTERFUND
TRANSFERS 150,189 204,094 77,749 24,039
Interfund transfers 17,767 28,510 22,566 7,022
---------------------------------------------------------------
NET INCREASE
(DECREASE) 167,956 232,604 100,315 31,061
Net assets available for benefits:
Beginning of year 188,397 227,831 90,786 6,028
---------------------------------------------------------------
End of year $ 356,353 $ 460,435 $ 191,101 $ 37,089
===============================================================
</TABLE>
9
<PAGE> 10
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------
FIDELITY FIDELITY FIDELITY
FIDELITY ASSET ASSET RETIREMENT FIDELITY
ASSET MANAGER MANAGER MONEY MANAGED
MANAGER GROWTH INCOME MARKET INCOME
FUND FUND FUND PORTFOLIO PORTFOLIO OTHER TOTAL
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
$ 334 $ 386 $ 214 $ - $ - $ - $ $ 135,101
151 138 202 13,232 12,846 - 82,203
- ------------------------------------------------------------------------------------------------------------------
485 524 416 13,232 12,846 - 217,304
2,556 4,053 3,811 92,943 81,618 42,783 518,653
- ------------------------------------------------------------------------------------------------------------------
3,041 4,577 4,227 106,175 94,464 42,783 735,957
- ------------------------------------------------------------------------------------------------------------------
- - - 7,812 7,579 - 33,536
- - - 1,602 - - 4,021
17 8 4 585 378 - 5,047
- ------------------------------------------------------------------------------------------------------------------
17 8 4 9,999 7,957 - 42,604
- ------------------------------------------------------------------------------------------------------------------
3024 4,569 4,223 96,176 86,507 42,783 693,353
385 241 293 (5,814) 3,528 (74,498) -
- ------------------------------------------------------------------------------------------------------------------
3,409 4,810 4,516 90,362 90,035 (31,715) 693,353
1,362 1,138 1,096 183,195 167,316 74,498 941,647
- ------------------------------------------------------------------------------------------------------------------
$4,771 $5,948 $5,612 $273,557 $257,351 $ 42,783 $ $1,635,000
==================================================================================================================
</TABLE>
10
<PAGE> 11
NOTE 1. SIGNIFICANT ACCOUNTING POLICIES
Valuation of investments: The Plan's investments are stated at fair value.
Shares of registered investment companies and common/collective trusts are
valued at quoted market prices which represent the net asset value of shares
held by the Plan at year-end. Participant notes receivable are valued at cost
which approximates fair value.
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.
Payment of benefits: Benefits are recorded when paid.
Accounting 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 of contingent assets and liabilities at the date of
the financial statements and the reported amounts of revenues and expenses
during the reporting period. Actual results could differ from these estimates.
NOTE 2. PLAN DESCRIPTION
The following description of 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 union hourly
employees of Butler Manufacturing Company in Galesburg who have four months of
service. Participants may also contribute amounts representing distributions
from other qualified defined benefit or contribution plans. It is subject to
the provisions of the Employee Retirement Income Security Act of 1974 (ERISA).
Contributions: Each year, participants may contribute up to 15% of their
compensation including overtime and bonuses. For 1996 and 1995, the maximum
dollar contribution amount allowed under the Internal Revenue Code was $9,500.
Butler Manufacturing Company may make discretionary matching contributions in
an amount up to 25% of the first 6% that a participant contributes to the
plan.
Participant accounts: Each participant's account is credited with the
participant's contributions and allocations of, (a) the Company's contribution;
and (b) plan earnings, and charged with an allocation of administrative
expenses. Allocations are based on participant earnings or account balances,
as defined by the Plan. The benefit to which a participant is entitled is the
benefit that can be provided from the participant's account.
Vesting: Participants are immediately vested in their voluntary contributions
and employer contributions, plus actual earnings thereon.
Investment options: Upon enrollment in the Plan, a participant may direct
contributions in one percent increments in any of nine investment options.
11
<PAGE> 12
NOTE 2. PLAN DESCRIPTION (CONTINUED)
- - Butler Stock Fund - Funds are invested primarily in shares of the common
stock of Butler Manufacturing Company, with 3.5% to 6.5% of the fund
invested in short-term liquid investments maintained by Fidelity.
- - Fidelity Puritan Fund - Funds are invested in a broadly diversified
portfolio of domestic and foreign common stocks, preferred stocks
and bonds, including lower-quality, high-yield debt securities.
- - Fidelity Magellan Fund - Funds are invested in the stocks of both well-known
and lesser known companies with potentially above-average growth
potential and a corresponding higher level of risk.
- - Fidelity Equity-Income Fund - Funds are invested primarily in income-
producing equity securities (common and preferred stocks) but can also
invest in bonds and convertible securities.
- - Fidelity International Growth & Income Fund - Funds are invested
principally in foreign securities. The majority of the fund is normally
invested in equity securities selected primarily on the basis of their capital
growth potential. These assets are usually invested in six or more countries
including the United States. At least 25 percent of the Fund's total assets
are normally invested in bonds for income.
- - Fidelity Asset Manager Fund - Funds are invested in domestic and foreign
(including emerging markets which involve greater risks) equities, bonds and
short-term instruments. The Fund's neutral mix is normally 20 percent of
total assets in short-term instruments, 40 percent in intermediate to
long-term bonds and 40 percent in equity securities.
- - Fidelity Asset Manager: Growth Fund - Funds are invested in domestic and
foreign (including emerging markets which involve greater risks) stocks, bonds
and short-term instruments. The Fund's neutral asset allocation would consist
of approximately 65 percent stocks, 30 percent bonds and 5 percent short-term
instruments.
- - Fidelity Asset Manager: Income Fund - Funds are invested in domestic and
foreign stocks (including emerging markets which involve greater risks),
bonds and short-term instruments. The Fund's neutral asset mix is
approximately 50 percent short-term instruments, 30 percent bonds and 20
percent stocks.
- - Fidelity Retirement Money Market Portfolio - Funds are invested in high
quality, short-term money market securities of U.S. and foreign issuers.
- - Fidelity Managed Income Portfolio - Funds are invested in investment contracts
offered by major insurance companies and other approved financial institutions
and short-term instruments to provide for
liquidity needs.
12
<PAGE> 13
NOTE 2. PLAN DESCRIPTION (CONTINUED)
Participant notes - Participants may borrow from their participant accounts a
minimum of $1,000 up to a maximum equal to the lesser of $50,000 or 50 percent
of their account balance. Loan terms range from 1-5 years or up to 30 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 as determined by the
Plan administrator. The interest rate is 9 percent. Principal and interest is
paid ratably through payroll deductions.
Participants may change their investment options at any time pursuant to
procedures established by the Administrative Committee.
Payment of benefits: On termination of service, a participant receives a
lump-sum distribution in cash or in kind, as elected by the participant, equal
to the value of his or her account.
Withdrawals: Participants may, while employed, withdraw amounts from their
account provided the withdrawal is approved by the Administrative Committee and
the withdrawal is for a hardship.
NOTE 3. RELATED PARTY TRANSACTIONS
Fidelity Management Trust Company is a trustee as defined by the Plan.
Fidelity Management Trust Company is an affiliate of FMR Corp., which is the
parent of Fidelity Management Research Company. Certain Plan investments are
shares of registered investment companies and shares of common/collective
trusts managed by Fidelity Management & Research Company. Therefore, these
investments qualify as party-in-interest. Fees paid by the Plan for the
investment management services are reported as administrative expenses in the
accompanying financial statements.
NOTE 4. PLAN TERMINATION
Although it has not expressed any intent to do so, the Company has the right
under the Plan to terminate the Plan subject to the provisions of ERISA. In
the event of plan termination, participants will receive distributions of the
full value in their accounts.
NOTE 5. ASSETS HELD BY TRUSTEE
The Plan's investments are held by Fidelity Management Trust Company.
NOTE 6. INCOME TAX STATUS
The Internal Revenue Service has determined and informed the Company by a
letter dated December 22, 1994, that the Plan and related trust are designed in
accordance with applicable sections of the Internal Revenue Code (IRC). The
Plan has been amended since it was submitted to the Internal Revenue Service.
However, the Plan administrator and the Plan's tax counsel believe that the
Plan is designed and is currently being operated in compliance with the
applicable requirements of the IRC.
13
<PAGE> 14
BUTLER MANUFACTURING COMPANY
GALESBURG HOURLY EMPLOYEE SAVINGS TRUST
<TABLE>
<CAPTION>
SCHEDULE I - ASSETS HELD FOR INVESTMENT
DECEMBER 31, 1996
NUMBER OF
SHARES COST FAIR VALUE
- ----------------------------------------------------------------------------------------------------
Shares of registered investment companies:
<S> <C> <C>
Butler Stock Fund 2,939.809 $ 28,628 $ 34,161
Fidelity Puritan Fund 30,669.827 496,525 528,748
Fidelity Magellan Fund 8,218.472 591,597 662,820
Fidelity Equity-Income Fund 7,212.058 254,785 308,892
Fidelity International Growth & Income Fund 3,393.768 61,862 66,348
Fidelity Asset Manager Fund 508.313 7,911 8,372
Fidelity Asset Manager: Growth Fund 949.267 14,759 15,521
Fidelity Asset Manager: Income Fund 837.231 9,530 9,720
Fidelity Retirement Money Market Portfolio 391,590.000 391,590 391,590
Shares of common/collective trusts:
Fidelity Managed Income Portfolio 353,221.420 353,221 353,221
</TABLE>
14
<PAGE> 15
BUTLER MANUFACTURING COMPANY
GALESBURG HOURLY EMPLOYEE SAVINGS TRUST
SCHEDULE II - REPORTABLE TRANSACTIONS
YEAR ENDED DECEMBER 31, 1996
<TABLE>
<CAPTION>
TOTAL TOTAL TOTAL TOTAL
NUMBER OF NUMBER OF PURCHASE SELLING NET
DESCRIPTION OF ASSET PURCHASES SALES PRICE PRICE GAIN(LOSS)
- ------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Fidelity Puritan Fund 49 28 $200,887 $30,241 $ 1,991
Fidelity Magellan Fund 49 30 270,685 43,860 2,703
Fidelity Equity-Income Fund 41 23 113,100 20,238 2,378
Fidelity Retirement Money
Market Portfolio 36 28 144,950 21,498 -
Fidelity Managed Income
Portfolio 35 30 124,386 26,732 -
</TABLE>
15
<PAGE> 16
THE PLAN. Pursuant to the requirements of the Securities Exchange Act of
1934, the Administrative Committee of the Plan has duly caused this annual
report to be signed on its behalf by the undersigned hereunto duly authorized.
Galesburg Hourly Employee Savings Trust
Date: By: /s/ John J. Holland
---------------------- -------------------------------
John J. Holland, Member of
the Administrative Committee
16
<PAGE> 17
EXHIBIT INDEX
Exhibit
Number Descripton
- --------------- ---------------------------------------
23 Independent Auditors' Consent
17
<PAGE> 1
EXHIBIT 23
INDEPENDENT AUDITORS' CONSENT
We consent to the incorporation by reference in the
Registration Statement on Form S-8 (File No. 333-022-85)
under the Securities Act of 1933 of Butler Manufacturing
Company of our report dated June 6, 1997, on our audits of
the financial statements of Butler Manufacturing Company
Galesburg Hourly Employee Savings Trust as of December 31,
1996 and 1995 and for each of the two years ended December
31, 1996 and supporting schedules as of December 31, 1996,
which is included in the Annual Report on Form 11-k for the
year ended December 31, 1996.
McGLADREY & PULLEN, LLP
McGLADREY & PULLEN, LLP
Galesburg, Illinois
June 19, 1997
18
