United States
Securities and Exchange Commission
Washington, D.C. 20549
Form 11-K
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1996
OR
[] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934
Commission file number 1-7784
A. Full title of the plan and the address of the plan, if different
from that of the issuer named below:
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
CENTURY TELEPHONE ENTERPRISES, INC.
100 CENTURY PARK DRIVE
MONROE, LA 71203
<PAGE>
Independent Auditors' Report
The Board of Directors
Century Telephone Enterprises, Inc.:
We have audited the accompanying statements of assets available for benefits
with fund information of Century Telephone Enterprises, Inc. Dollars and Sense
Plan as of December 31, 1996 and 1995, and the related statement of changes in
assets available for benefits with fund information for the year ended December
31, 1996. 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 assets available for benefits of Century Telephone
Enterprises, Inc. Dollars and Sense Plan as of December 31, 1996 and 1995, and
the changes in assets available for benefits for the year ended December 31,
1996, in conformity with generally accepted accounting principles.
Our audits were performed for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules of assets held
for investment purposes 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. The fund information in the
statements of assets available for benefits and the statement of changes in
assets available for benefits is presented for purposes of additional analysis
rather than to present the assets available for plan benefits and changes in
assets available for plan benefits of 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
/s/ KPMG PEAT MARWICK LLP
Shreveport, Louisiana
June 12, 1997
<PAGE>
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Statement of Assets Available for Benefits With Fund Information
December 31, 1996
<TABLE>
<CAPTION>
Century Growth Asset Money Bond
Common Stock Allocation S & P 500 Loan Market Index
Stock Fund Fund Fund Stock Fund Fund Fund Fund Sub-total
- --------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
PLAN ASSETS
Investments, at fair value $ 23,454,310 8,306,406 7,241,247 6,841,549 3,947,245 2,651,811 1,177,876 53,620,444
Cash 229,967 - - - - - - 229,967
Contributions receivable - employer 369,015 - - - - - - 369,015
Contributions receivable - employee 288 - - - - - - 288
- --------------------------------------------------------------------------------------------------------------------------------
ASSETS AVAILABLE
FOR BENEFITS $ 24,053,580 8,306,406 7,241,247 6,841,549 3,947,245 2,651,811 1,177,876 54,219,714
================================================================================================================================
Lifepath Lifepath Lifepath Lifepath Lifepath Sweep Combined
Sub-total 2000 Fund 2010 Fund 2020 Fund 2030 Fund 2040 Fund Account Funds
- --------------------------------------------------------------------------------------------------------------------------------
PLAN ASSETS
Investments, at fair value $ 53,620,444 82,616 579,007 396,566 93,545 244,992 - 55,017,170
Cash 229,967 - - - - - - 229,967
Contributions receivable - employer 369,015 - - - - - - 369,015
Contributions receivable - employee 288 - - - - - - 288
- --------------------------------------------------------------------------------------------------------------------------------
ASSETS AVAILABLE
FOR BENEFITS $ 54,219,714 82,616 579,007 396,566 93,545 244,992 - 55,616,440
================================================================================================================================
See accompanying notes to financial statements.
</TABLE>
<PAGE>
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Statement of Assets Available for Benefits With Fund Information
December 31, 1995
<TABLE>
<CAPTION>
Century Growth Asset Money Bond
Common Stock Allocation S & P 500 Loan Market Index
Stock Fund Fund Fund Stock Fund Fund Fund Fund Sub-total
- ---------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
PLAN ASSETS
Investments, at fair value $ 23,456,425 6,078,920 6,256,726 4,968,690 3,313,894 3,145,384 1,156,298 48,376,337
Cash 370,702 - - - - - - 370,702
Contributions receivable - employer 339,590 - - - - - - 339,590
Contributions receivable - employee - 2,882 - 2,882 - - 3,842 9,606
- ---------------------------------------------------------------------------------------------------------------------------------
ASSETS AVAILABLE
FOR BENEFITS $ 24,166,717 6,081,802 6,256,726 4,971,572 3,313,894 3,145,384 1,160,140 49,096,235
=================================================================================================================================
Lifepath Lifepath Lifepath Lifepath Lifepath Sweep Combined
Sub-total 2000 Fund 2010 Fund 2020 Fund 2030 Fund 2040 Fund Account Funds
- ----------------------------------------------------------------------------------------------------------------------------------
PLAN ASSETS
Investments, at fair value $ 48,376,337 98,524 324,042 221,052 29,168 76,688 - 49,125,811
Cash 370,702 - - - - - - 370,702
Contributions receivable - employer 339,590 - - - - - - 339,590
Contributions receivable - employee 9,606 - - - - - - 9,606
- ---------------------------------------------------------------------------------------------------------------------------------
ASSETS AVAILABLE
FOR BENEFITS $ 49,096,235 98,524 324,042 221,052 29,168 76,688 - 49,845,709
=================================================================================================================================
See accompanying notes to financial statements.
</TABLE>
<PAGE>
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Statement of Changes in Assets Available for Benefits With Fund Information
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
Century Growth Asset Money Bond
Common Stock Allocation S & P 500 Loan Market Index
Stock Fund Fund Fund Stock Fund Fund Fund Fund Sub-total
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Additions to assets:
Investment income (loss)
Net appreciation (depreciation)
in fair value of investments $ ( 634,990) 624,622 82,186 982,893 - - (53,497) 1,001,214
Other income - 115,385 677,573 221,653 - 143,612 76,427 1,234,650
Interest income 13,313 - - - 407,124 - - 420,437
Dividends - Common Stock of
Century Telephone Enterprises, Inc. 259,720 - - - - - - 259,720
- ----------------------------------------------------------------------------------------------------------------------------------
Net investment income (loss) (361,957) 740,007 759,759 1,204,546 407,124 143,612 22,930 2,916,021
- ----------------------------------------------------------------------------------------------------------------------------------
Contributions
Participants 1,676,431 1,296,994 756,110 796,294 - 368,068 142,143 5,036,040
Company 2,287,893 - - - - - - 2,287,893
- ----------------------------------------------------------------------------------------------------------------------------------
Total contributions 3,964,324 1,296,994 756,110 796,294 - 368,068 142,143 7,323,933
- ----------------------------------------------------------------------------------------------------------------------------------
Total additions 3,602,367 2,037,001 1,515,869 2,000,840 407,124 511,680 165,073 10,239,954
- ----------------------------------------------------------------------------------------------------------------------------------
Deductions from assets:
Participant withdrawals 2,078,217 461,185 502,213 317,014 234,179 1,087,825 103,448 4,784,081
Other, net 34,476 13,878 18,358 11,239 - (72,595) 6,216 11,572
- ----------------------------------------------------------------------------------------------------------------------------------
Total deductions 2,112,693 475,063 520,571 328,253 234,179 1,015,230 109,664 4,795,653
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) prior to
interfund transfers 1,489,674 1,561,938 995,298 1,672,587 172,945 (503,550) 55,409 5,444,301
Interfund transfers (1,602,811) 662,666 (10,777) 197,390 460,406 9,977 (37,673) (320,822)
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) (113,137) 2,224,604 984,521 1,869,977 633,351 (493,573) 17,736 5,123,479
Assets available for benefits:
Beginning of year 24,166,717 6,081,802 6,256,726 4,971,572 3,313,894 3,145,384 1,160,140 49,096,235
- ----------------------------------------------------------------------------------------------------------------------------------
End of year $ 24,053,580 8,306,406 7,241,247 6,841,549 3,947,245 2,651,811 1,177,876 54,219,714
==================================================================================================================================
See accompanying notes to financial statements.
</TABLE>
<PAGE>
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Statement of Changes in Assets Available for Benefits With Fund Information,
Continued
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
Lifepath Lifepath Lifepath Lifepath Lifepath Sweep Combined
Sub-total 2000 Fund 2010 Fund 2020 Fund 2030 Fund 2040 Fund Account Funds
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Additions to assets:
Investment income (loss)
Net appreciation
(depreciation) in fair
value of investments $ 1,001,214 2,895 34,923 32,133 7,719 19,553 - 1,098,437
Other income 1,234,650 4,216 14,542 9,186 1,645 2,533 - 1,266,772
Interest income 420,437 - - - - - 80 420,517
Dividends - Common Stock
of Century Telephone
Enterprises, Inc. 259,720 - - - - - - 259,720
- ----------------------------------------------------------------------------------------------------------------------------------
Net investment income (loss) 2,916,021 7,111 49,465 41,319 9,364 22,086 80 3,045,446
- ----------------------------------------------------------------------------------------------------------------------------------
Contributions
Participants 5,036,040 12,314 76,606 80,736 32,016 58,609 - 5,296,321
Company 2,287,893 - - - - - - 2,287,893
- ----------------------------------------------------------------------------------------------------------------------------------
Total contributions 7,323,933 12,314 76,606 80,736 32,016 58,609 - 7,584,214
- ----------------------------------------------------------------------------------------------------------------------------------
Total additions 10,239,954 19,425 126,071 122,055 41,380 80,695 80 10,629,660
- ----------------------------------------------------------------------------------------------------------------------------------
Deductions from assets:
Participant withdrawals 4,784,081 27,329 716 13,942 824 2,730 9,584 4,839,206
Other, net 11,572 35 114 147 86 200 7,569 19,723
- ----------------------------------------------------------------------------------------------------------------------------------
Total deductions 4,795,653 27,364 830 14,089 910 2,930 17,153 4,858,929
- ----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) prior
to interfund transfers 5,444,301 (7,939) 125,241 107,966 40,470 77,765 (17,073) 5,770,731
Interfund transfers (320,822) (7,969) 129,724 67,548 23,907 90,539 17,073 -
- -----------------------------------------------------------------------------------------------------------------------------------
Net increase (decrease) 5,123,479 (15,908) 254,965 175,514 64,377 168,304 - 5,770,731
Assets available for benefits:
Beginning of year 49,096,235 98,524 324,042 221,052 29,168 76,688 - 49,845,709
- ----------------------------------------------------------------------------------------------------------------------------------
End of year $ 54,219,714 82,616 579,007 396,566 93,545 244,992 - 55,616,440
==================================================================================================================================
See accompanying notes to financial statements.
</TABLE>
<PAGE>
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Notes to Financial Statements
December 31, 1996
(1) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES AND PROVISIONS OF THE PLAN
Basis of Presentation
The Century Telephone Enterprises, Inc. Dollars and Sense Plan (the Plan)
was established on May 1, 1986. The accompanying financial statements of the
Plan have been prepared on the accrual basis of accounting and present the
assets available for benefits and changes in assets available for benefits.
The Plan has made estimates in preparing the accompanying financial
statements in accordance with generally accepted accounting principles.
Actual results could differ from those estimates.
The assets of the Plan are invested by the Trustee in various investment
programs (funds) which are described in Note 2.
The following description of the Plan provides only general information.
Participants should refer to the Plan Document for a more complete
description of the Plan's provisions.
Participation
Participation in the Plan is available to each employee of Century Telephone
Enterprises, Inc. and its participating subsidiaries (the Company), other
than those who are classified as associate employees, temporary employees,
or employees covered under a collective bargaining agreement.
In order to participate in the Plan, an employee must execute a Salary
Deferral Agreement with the Company. In the Salary Deferral Agreement, an
employee agrees to a deferral of between one percent and ten percent of
compensation. Beginning in July 1996, the percentage of compensation a
participant elects to defer applies to the participant's base pay plus
certain incentive compensation received, including certain cash bonuses,
commissions, and lump sums granted in lieu of pay increases. For periods
prior to July 1996, the percentage of compensation a participant elected to
defer applied to the participant's base pay only, excluding bonuses,
overtime pay and certain other non-salary compensation. The amount of
compensation deferred by each participant is credited to an account
(Participant Contribution Account) maintained for each participant by the
Trustee. The Participant Contribution Account is self-directed.
As of the end of each payroll period, the Company contributes to an account
(Employer Contribution Account) for each participant a contribution equal to
50% of each such participant's contribution during such payroll period,
however, this matching contribution applies only to the first 6% of such
participant's compensation contributed to the Plan. The Board of Directors
of the Company may, at its discretion, elect at the end of each year to
contribute an additional amount to the Plan. Company contributions may be
made in cash or Century Telephone Enterprises, Inc. Common Stock (Century
Common Stock). If made in cash, such cash is applied by the Trustee to the
purchase of Century Common Stock.
An employee is permitted to transfer to the Plan as a contribution his
interest in another plan qualified under Section 401(k) of the Internal
Revenue Code, as amended (the Code). Such contribution must qualify as a
"rollover" amount described in Section 402(a)(5) of the Code, or a
"rollover" contribution described in Section 408(d)(3) of the Code. Such a
rollover will be credited to a rollover account on behalf of the participant
(the Participant Rollover Account).
<PAGE>
The interest of a participant in his Participant Contribution Account, his
Participant Rollover Account and his Employer Contribution Account is fully
vested and non-forfeitable at all times.
Reports to Participants
All participants are furnished with quarterly statements which set forth the
status of their accounts in the Plan.
Distributions
If the employment of a participant with the employer ceases because of
death, retirement, disability, termination of employment or for any other
reason, the participant's entire interest in the Plan may be distributed to
him or to his beneficiary in a lump sum. If the participant dies without
designating a beneficiary, his interest in the Plan will be paid to his
spouse, if any.
Withdrawals
No withdrawals will be permitted from an Employer Contribution Account. A
withdrawal may be made from a Participant Contribution Account or a Rollover
Account only as a result of financial hardship related to unreimbursable
educational expenses, medical expenses which are not reimbursable by
insurance, the need to pay for the funeral expenses of a family member, or
the prevention of eviction or foreclosure from the Participant's principal
residence. The determination of the existence of a financial hardship and
the amount required to be distributed to meet the need created by the
hardship shall be made uniformly and without discrimination at the sole
discretion of the Plan Administrator.
Plan Termination
Although it has not expressed any intent to do so, the Company has the right
under the Plan to discontinue its contributions at any time and to terminate
the Plan subject to the provisions of the Employee Retirement Income
Security Act of 1974.
Loans to Participants
The Plan has a provision whereby a participant can borrow from his
Participant Contribution Account or Participant Rollover Account. The
maximum loan is 50% of the account balance, up to $50,000. The loans are
repaid through payroll deductions and the interest rate is the prime rate
published in the Wall Street Journal plus 3%. The loan repayment period may
not exceed five years except for loans for the purchase of the Participant's
principal residence which may be for any period not to exceed ten years.
Trustee
The Trustee of the Plan, as of December 31, 1996, was Barclays Global
Investors (BGI) (formerly BZW Barclays Global Investors, N.A.). The Board of
Directors of the Company may remove the Trustee and appoint a successor
trustee. The Company and the Trustee have entered into a Trust Agreement
which provides for the establishment of a Trust for the purpose of holding
and investing the contributions to the Trust pursuant to the provisions of
the Plan.
<PAGE>
Administration
The Company has appointed a committee to administer the Plan. The
individuals who administer the Plan serve at the discretion of the Board of
Directors of the Company and may be removed by the Board of Directors at any
time. The cost of plan administration is paid by the Company.
Market Value Determination
Investments in Century Common Stock are valued at the closing market quote
on December 31, 1996 and 1995, respectively. Other investments in the funds,
which consist of units of mutual funds, are valued by the Trustee based on
the market value at year-end of the underlying assets of each fund. Loans to
participants are valued at principal amount outstanding which approximates
market value.
(2) DESCRIPTION OF THE FUNDS
The following is a description of each of the funds available to Plan
participants as of December 31, 1996:
(a) Century Common Stock Fund - consists of shares of Century Common Stock
(42.2% and 47.1% of assets at December 31, 1996 and 1995, respectively).
(b) Growth Stock Fund - consists primarily of investments in common stocks
(14.9% and 12.2% of assets at December 31, 1996 and 1995, respectively).
(c) Asset Allocation Fund - consists primarily of investments in common
stocks, U. S. Treasury bonds and money market instruments (13.0% and
12.6% of assets at December 31, 1996 and 1995, respectively).
(d) S & P 500 Stock Fund - consists primarily of investments in the same
stocks and in substantially the same percentages as the S & P 500 Index
(12.3% and 10.0% of assets at December 31, 1996 and 1995, respectively).
(e) Loan Fund - represents loans to participants from the participants'
investment accounts (7.1% and 6.6% of assets at December 31, 1996 and
1995, respectively).
(f) Money Market Fund - consists primarily of short-term investments in
various money market instruments (4.8% and 6.3% of assets at December 31,
1996 and 1995, respectively).
(g) Bond Index Fund - consists primarily of investments in government and
corporate bonds (2.1% and 2.3% of assets at December 31, 1996 and 1995).
(h) Lifepath 2000 Fund - consists primarily of investments in U.S. and
foreign equity and debt securities and money market instruments and is
managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2000 (.1% and
.2% of assets at December 31, 1996 and 1995).
<PAGE>
(i) Lifepath 2010 Fund - consists primarily of investments in U.S. and
foreign equity and debt securities and money market instruments and is
managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2010 (1.0% and
.7% of assets at December 31, 1996 and 1995).
(j) Lifepath 2020 Fund - consists primarily of investments in U.S. and
foreign equity and debt securities and money market instruments and is
managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2020 (.7% and
.4% of assets at December 31, 1996 and 1995).
(k) Lifepath 2030 Fund - consists primarily of investments in U.S. and
foreign equity and debt securities and money market instruments and is
managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2030 (.2% and
.1% of assets at December 31, 1996 and 1995).
(l) Lifepath 2040 Fund - consists primarily of investments in U.S. and
foreign equity and debt securities and money market instruments and is
managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2040 (.4% and
.2% of assets at December 31, 1996 and 1995).
A participant may instruct that his contribution be allocated among the
various funds. A participant may change his investment allocation
instructions at any time, however, a participant can only change his
contribution percentage on a quarterly basis.
All amounts allocated to a participant's Employer Contribution Account are
invested in Century Common Stock. Participants who have not attained age 55
have no power to transfer amounts in the Employer Contribution Account to an
investment fund other than the Century Common Stock Fund. Participants who
have attained age 55 may redirect the investment of the balance in their
Employer Contribution Account.
(3) INCOME TAXES
The Plan and related trust meet the necessary requirements of Internal
Revenue Code Section 401(a) and, accordingly, the trust underlying the Plan
is exempt from income taxation pursuant to Internal Revenue Code Section
501(a). A favorable determination letter was received in July 1996 related
to the Plan.
(4) RELATED PARTY TRANSACTIONS
Certain Plan investments are shares of mutual funds managed by BGI. BGI is
the Trustee as defined by the Plan and, therefore, these transactions
qualify as party-in-interest transactions. Fees paid by the Company to BGI
for trustee, investment management, record keeping and other services
amounted to $164,967 for the year ended December 31, 1996.
<PAGE>
(5) CONCENTRATION OF INVESTMENTS
As of December 31, 1996, 42.2% of the assets available for benefits were
invested in Century Common Stock. Substantially all of the remaining assets
available for benefits were invested in mutual funds managed by BGI.
(6) COMPANY/PARTICIPANT DIRECTED FUNDS
The Century Common Stock Fund includes contributions from the Company and
participants. Participant contributions are directed solely by the
participants. Contributions from the Company are directed by the Company,
except for contributions made on behalf of participants who are age 55 or
older. Such contributions can be redirected by these participants to the
funds of their choice. All other funds are participant directed.
The following Statements of Assets Available for Benefits - Century Common
Stock Fund and Statement of Changes in Assets Available for Benefits -
Century Common Stock Fund, which include estimates made by BGI, detail the
Company directed and Participant directed portions of the Century Common
Stock Fund.
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Statements of Assets Available for Benefits - Century Common Stock Fund
<TABLE>
<CAPTION>
Total
Company Participant Century Common
December 31, 1996 Directed Portion Directed Portion Stock Fund
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C>
PLAN ASSETS
Investments $ 12,527,025 10,927,285 23,454,310
Cash 122,802 107,165 229,967
Contributions receivable - employer 369,015 - 369,015
Contributions receivable - employee - 288 288
- ---------------------------------------------------------------------------------------
ASSETS AVAILABLE FOR BENEFITS $ 13,018,842 11,034,738 24,053,580
=======================================================================================
December 31, 1995
- ---------------------------------------------------------------------------------------
PLAN ASSETS
Investments $ 11,499,058 11,957,367 23,456,425
Cash 181,644 189,058 370,702
Contributions receivable - employer 339,590 - 339,590
- ----------------------------------------------------------------------------------------
ASSETS AVAILABLE FOR BENEFITS $ 12,020,292 12,146,425 24,166,717
========================================================================================
</TABLE>
<PAGE>
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Statement of Changes in Assets Available for
Benefits - Century Common Stock Fund
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
Total
Company Participant Century
Directed Directed Common
Portion Portion Stock Fund
- -------------------------------------------------------------------------------
<S> <C> <C> <C>
Additions to assets:
Investment income (loss)
Net appreciation (depreciation)
in fair value of investments $ (379,570) (255,420) (634,990)
Interest income 7,109 6,204 13,313
Dividends - Common Stock of
Century Telephone Enterprises, Inc. 138,690 121,032 59,720
- -------------------------------------------------------------------------------
Net investment income (loss) (233,771) (128,186) (361,957)
- -------------------------------------------------------------------------------
Contributions
Participants - 1,676,431 1,676,431
Company 2,287,893 - 2,287,893
- -------------------------------------------------------------------------------
Total contributions 2,287,893 1,676,431 3,964,324
- -------------------------------------------------------------------------------
Total additions 2,054,122 1,548,245 3,602,367
- -------------------------------------------------------------------------------
Deductions from assets:
Participant withdrawals 1,069,358 1,008,859 2,078,217
Other, net (2,284) 36,760 34,476
- -------------------------------------------------------------------------------
Total deductions 1,067,074 1,045,619 2,112,693
- -------------------------------------------------------------------------------
Net increase prior to
interfund transfers 987,048 502,626 1,489,674
Interfund transfers 11,502 (1,614,313) (1,602,811)
- -------------------------------------------------------------------------------
Net increase (decrease) 998,550 (1,111,687) (113,137)
Net assets available for benefits:
Beginning of year 12,020,292 12,146,425 24,166,717
- -------------------------------------------------------------------------------
End of year $ 13,018,842 11,034,738 24,053,580
===============================================================================
</TABLE>
<PAGE>
Schedule I
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1996
<TABLE>
<CAPTION>
Current
Identity of issuer, borrower, Description Current Value Per
lessor or similar party of Investment Cost Value Unit/Share
- ------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Investment in Century Common Stock 1,691,820 units/ 13.86
759,654 shares $ 20,741,492 23,454,310 (Note 2) 30.875
Loan Fund (interest rates
ranged from 9% to 12%) - 3,947,245 3,947,245 (Note 2) -
Barclays Global Investors
Money Market Account 229,967 units 229,967 229,967 1.00
Investments in Mutual Funds for
Qualified Employee Benefit Plans
Managed by Barclays
Global Investors:
Growth Stock Fund 542,277 units 6,982,148 8,306,406 (Note 2) 15.32
Asset Allocation Fund 607,553 units 6,469,600 7,241,247 (Note 2) 11.92
S & P 500 Stock Fund 430,089 units 5,030,783 6,841,549 (Note 2) 15.91
Money Market Fund 2,651,811 units 2,651,811 2,651,811 1.00
Bond Index Fund 124,121 units 1,203,083 1,177,876 9.49
Lifepath 2000 Fund 7,616 units 80,462 82,616 10.85
Lifepath 2010 Fund 47,703 units 548,462 579,007 12.14
Lifepath 2020 Fund 30,629 units 370,537 396,566 12.95
Lifepath 2030 Fund 6,870 units 86,747 93,545 13.62
Lifepath 2040 Fund 16,925 units 230,724 244,992 14.48
- ------------------------------------------------------------------------------------------------------
$ 48,573,061 55,247,137
======================================================================================================
</TABLE>
Notes: (1) The above data is based on information which has been certified as
accurate and complete by the trustee, Barclays Global Investors.
Barclays Global Investors sponsors these funds and, accordingly, is a
party-in-interest. Additionally, Century Telephone Enterprises, Inc.,
as sponsor of the Plan, is considered a party-in-interest.
(2) These investments are greater than 5% of assets available for
benefits.
<PAGE>
Schedule II
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Item 27d - Schedule of Reportable Transactions
For the Year Ended December 31, 1996
<TABLE>
<CAPTION>
Current Value of
Redemption Asset at Date of
Purchase or Selling Lease Expense Cost of Acquisition or Net
Description of Transaction Price Price Rental Incurred Asset Disposition Gain
- ----------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
(Note 2)
Category (3) - A series of transactions in excess
- -------------------------------------------------
of 5% of beginning of year plan assets
--------------------------------------
available for benefits
----------------------
Investments in Century Common Stock
(65 purchases, 171 sales) $ 4,653,150 4,432,841 - - 3,602,888 (Note 3) 829,953
Investments in Mutual Funds for Qualified
Employee Benefit Plans Managed by
Barclays Global Investors:
Growth Stock Fund (116 purchases, 111 sales) 2,823,662 1,219,521 - - 977,317 (Note 3) 242,204
Asset Allocation Fund (84 purchases, 120 sales) 2,052,942 1,149,819 - - 1,004,465 (Note 3) 145,354
S & P 500 Stock Fund (109 purchases, 115 sales) 1,702,190 811,051 - - 620,720 (Note 3) 190,331
Money Market Fund (88 purchases, 110 sales) 1,471,170 2,065,161 - - 2,065,161 (Note 3) -
</TABLE>
Notes: (1) The above data is based on information which has been certified as
accurate and complete by the trustee, Barclays Global Investors.
Barclays Global Investors sponsors these funds and, accordingly, is
a party-in-interest. Additionally, Century Telephone Enterprises,
Inc., as sponsor of the Plan, is considered a party-in-interest.
(2) The purchase price denotes cost and current value of the security on
the transaction date.
(3) Current value is substantially the same as purchase price or selling
price of the security on the transaction date.
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Retirement Committee has duly caused this annual report to be signed on its
behalf by the undersigned thereunto duly authorized.
Century Telephone Enterprises, Inc.
Dollars and Sense Plan
June 27, 1997 By: /s/ David G. Thiels
------------------------------
David G. Thiels
Retirement Committee Member
CENTURY TELEPHONE ENTERPRISES, INC.
DOLLARS AND SENSE PLAN
Index to Exhibit
Exhibit
Number
- ----------------------------------------------------------------------------
23.1 Independent Auditors' Consent
EXHIBIT 23.1
INDEPENDENT AUDITORS' CONSENT
-----------------------------
The Board of Directors
Century Telephone Enterprises, Inc.:
We consent to incorporation by reference in the Registration Statements (No.
33-5836 and No. 33-48554) on Form S-8 of Century Telephone Enterprises, Inc. of
our report dated June 12, 1997, relating to the statements of assets available
for benefits with fund information of Century Telephone Enterprises, Inc.
Dollars and Sense Plan as of December 31, 1996 and 1995, and the related
statement of changes in assets available for benefits with fund information for
the year ended December 31, 1996, and related financial statement schedules as
of and for the year ended December 31, 1996, which report appears in the
December 31, 1996 annual report on Form 11-K of Century Telephone Enterprises,
Inc. Dollars and Sense Plan.
KPMG PEAT MARWICK LLP
/s/ KPMG PEAT MARWICK LLP
Shreveport, Louisiana
June 25, 1997
