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
-----------------------------------------------------
Full title of the Plan:
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
Name of the issuer of the securities held pursuant to the Plan and the address
of its principal executive office:
GATX Corporation
500 West Monroe Street, Chicago, Illinois 60661-3676
(312) 621-6200
<PAGE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
trustees have duly caused this annual report to be signed by the undersigned
thereunto duly authorized.
GATX CORPORATION SALARIED
EMPLOYEES RETIREMENT SAVINGS PLAN
(Name of Plan)
By: /s/ James Conniff
-------------------------
James Conniff
Plan Administrator
Dated: March 27, 1997
-1-
<PAGE>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
INDEX TO FINANCIAL STATEMENTS FOR ANNUAL REPORT ON FORM 11-K
December 31, 1996
The following financial data are submitted herewith:
Report of Independent Auditors ........................................ 3
Consent of Independent Auditors ....................................... 4
Statements of Financial Condition, with Fund Information .............. 5
Statements of Income and Changes in
Participants' Equity , with Fund Information.......................... 7
Notes to Financial Statements ......................................... 10
All schedules have been omitted because the information required therein is
included in the financial statements and notes thereto.
-2-
<PAGE>
REPORT OF INDEPENDENT AUDITORS
Benefits Committee
GATX Corporation
We have audited the accompanying statements of financial condition of GATX
Corporation Salaried Employees Retirement Savings Plan as of December 31, 1996
and 1995, and the related statements of income and changes in participants'
equity for each of the three years in the period 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 financial position of GATX Corporation Salaried
Employees Retirement Savings Plan at December 31, 1996 and 1995, and the income
and changes in participants' equity for each of the three years in the period
ended December 31, 1996, in conformity with generally accepted accounting
principles.
The Fund Information in the statements of financial condition and the statements
of income and changes in participants' equity is presented for purposes of
additional analysis rather than to present the financial condition and income
and changes in participants' equity of each fund. The Fund Information has been
subjected to the auditing procedures applied in our audits of the basic
financial statements and, in our opinion, is fairly stated in all material
respects in relation to the basic financial statements taken as a whole.
ERNST & YOUNG LLP
Chicago, Illinois
March 21, 1997
-3-
<PAGE>
CONSENT OF INDEPENDENT AUDITORS
We consent to the incorporation by reference in the following: (i) Registration
Statement No. 2-92404 on Form S-8, filed July 26, 1984; (ii) Registration
Statement No. 2-96593 on Form S-8, filed March 22, 1985; (iii) Registration
Statement No. 33-38790 on Form S-8, filed February 1, 1991; and (iv)
Registration Statement No. 33-41007 on Form S-8 filed June 7, 1991; and (v)
Registration Statement No. 33-61183 filed July 20, 1995, pertaining to the GATX
Corporation Salaried Employees Retirement Savings Plan, of our report dated
March 21, 1997 with respect to the financial statements of GATX Corporation
Salaried Employees Retirement Savings Plan included in this Annual Report on
Form 11-K for the year ended December 31, 1996.
ERNST & YOUNG LLP
Chicago, Illinois
March 26, 1997
-4-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF FINANCIAL CONDITION, WITH FUND INFORMATION
December 31, 1996
FUND INFORMATION
----------------------------------------------------------------------------------------
GATX Fidelity Phillips
Managed Stock U.S. Equity Petroleum Dreyfus
Income Fund Index Fidelity Putnam Company New
Fund (Note D) Fund Puritan Voyager Securities Leaders
-------- -------- -------- ------- ------- ---------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
ASSETS
Investments at Current Value - Note C:
Bankers Trust Pyramid GIC Fund $15,842,715
GATX Corporation Stock Fund $37,137,923
Fidelity U.S. Equity Index Fund $16,716,969
Fidelity Puritan Fund $6,474,184
Fidelity Managed Income Portfolio II 10,691,485
Putnam Voyager Fund $12,056,221
Phillips Petroleum Company
Common Stock $47,276
Dreyfus New Leaders Fund $362,975
Fidelity Equity Income Fund
Templeton Foreign Fund I
------------------------------------------------------------------------------------------
Subtotal 26,534,200 37,137,923 16,716,969 6,474,184 12,056,221 47,276 362,975
Loans to Participants
Cash 1,199,484
------------------------------------------------------------------------------------------
TOTAL ASSETS $27,733,684 $37,137,923 $16,716,969 $6,474,184 $12,056,221 $47,276 $362,975
=========== =========== =========== ========== =========== ======= ========
PARTICIPANTS' EQUITY $27,733,684 $37,137,923 $16,716,969 $6,474,184 $12,056,221 $47,276 $362,975
=========== =========== =========== ========== =========== ======= ========
<FN>
See notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF FINANCIAL CONDITION, WITH FUND INFORMATION
December 31, 1996
(CONTINUED)
FUND INFORMATION
---------------------------------------------------
Fidelity Templeton
Equity Foreign Employee
Income Fund I Loans Total
-------- ---------- --------- --------
<S> <C> <C> <C> <C>
ASSETS
Investments at Current Value - Note C:
Bankers Trust Pyramid GIC Fund $15,842,715
GATX Corporation Stock Fund 37,137,923
Fidelity U.S. Equity Index Fund 16,716,969
Fidelity Puritan Fund 6,474,184
Fidelity Managed Income Portfolio II 10,691,485
Putnam Voyager Fund 12,056,221
Phillips Petroleum Company
Common Stock 47,276
Dreyfus New Leaders Fund 362,975
Fidelity Equity Income Fund $545,109 545,109
Templeton Foreign Fund I $558,530 558,530
------------------------------------------------------
Subtotal 545,109 558,530 100,433,387
Loans to Participants $4,218,169 4,218,169
Cash 1,199,484
-------------------------------------------------------
TOTAL ASSETS $545,109 $558,530 $4,218,169 $105,851,040
======== ======== ========== ============
PARTICIPANTS' EQUITY $545,109 $558,530 $4,218,169 $105,851,040
======== ======== ========== ============
<FN>
See notes to financial statements.
</FN>
</TABLE>
-5-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF FINANCIAL CONDITION, WITH FUND INFORMATION
December 31, 1995
FUND INFORMATION
-----------------------------------------------------------------------------------------
Phillips
Managed GATX Stock U.S. Equity Petroleum
Income Fund Index Fidelity Putnam Company Employee
Fund (Note D) Fund Puritan Voyager Securities Loans Total
-------- ---------- -------- ------- ------- ---------- ---------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
ASSETS
Investments at Current Value - Note C:
Bankers Trust Pyramid GIC Fund $18,572,023 18,572,023
GATX Corporation Stock Fund $36,262,191 36,262,191
Fidelity U.S. Equity Index Fund $12,001,658 12,001,658
Fidelity Puritan Fund $4,280,161 4,280,161
Fidelity Managed Income Portfolio II 12,608,891 12,608,891
Putnam Voyager Fund $7,233,502 7,233,502
Phillips Petroleum Company Common Stock $36,458 36,458
------------------------------------------------------------------------------------------
Subtotal 31,180,914 36,262,191 12,001,658 4,280,161 7,233,502 36,458 90,994,884
Loans to Participants $3,562,448 3,562,448
Cash 1,147,184 711,055 4,630 1,862,869
Net Receivables 91,235 171,715 262,950
-------------------------------------------------------------------------------------------
TOTAL ASSETS $32,419,333 $37,144,961 $12,001,658 $4,280,161 $7,233,502 $41,088 $3,562,448 $96,683,151
=========== =========== =========== ========== ========== ======= ========= ===========
PARTICIPANTS' EQUITY $32,419,333 $37,144,961 $12,001,658 $4,280,161 $7,233,502 $41,088 $3,562,448 $96,683,151
=========== =========== =========== ========== ========== ======= ========== ===========
<FN>
See notes to financial statements.
</FN>
</TABLE>
-6-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF INCOME AND CHANGES IN PARTICIPANTS' EQUITY, WITH FUND INFORMATION
For year ended, December 31, 1996
FUND INFORMATION
-----------------------------------------------------------------------------------------------
Phillips
GATX Stock Fidelity U.S. Petroleum Dreyfus Fidelity
Managed Fund Equity Index Fidelity Putnam Company New Equity
Income Fund (Note D) Fund Puritan Voyager Securities Leaders Income
----------- ---------- ---------- ------- ------- ---------- ------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
CONTRIBUTIONS &
INVESTMENT INCOME
Contributions by GATX Corporation
and subsidiaries $2,103,151
Salary deferrals by participants $2,105,676 1,006,192 $1,187,839 $678,222 $1,375,381 $19,026 $17,256
Rollover contributions by
participants 149,773 177,866 298,355 258,715 204,200 32,599
Dividend income 1,303,065 415,459 729,477 761,739 23,239 17,112
Interest income 1,719,756 668
Gain on sale of investments 507,013 266,203 21,959 294,525 472 672
------------ ------------ ---------- --------- ---------- -------- --------- --------
TOTAL CONTRIBUTIONS AND
INVESTMENT INCOME 3,975,205 5,097,955 2,167,856 1,688,373 2,635,845 0 42,737 67,639
------------ ----------- ----------- --------- ----------- -------- --------- ---------
Net transfers authorized by
participants (4,876,158) (1,362,375) 1,111,927 862,364 2,986,256 326,854 462,373
Unrealized increase (decrease) in
current value of investments (660,138) 2,313,807 52,638 (26,627) $6,188 (10,698) 9,436
Withdrawals by participants (3,412,863) (3,016,306) (767,391) (392,595) (778,866)
Loans to participants (1,157,833) (324,573) (367,057) (166,514) (406,987) (8)
Loan repayments by participants 786,000 258,399 256,169 149,757 413,098 4,082 5,669
------------- ------------ ---------- ---------- ---------- -------- -------- ---------
(8,660,854) (5,104,993) 2,547,455 505,650 2,186,874 6,188 320,238 477,470
------------- ------------ ---------- ---------- ---------- -------- -------- ---------
Increase / (Decrease) in
Participants' Equity (4,685,649) (7,038) 4,715,311 2,194,023 4,822,719 6,188 362,975 545,109
------------ ------------ ----------- --------- ---------- --------- -------- ---------
Participants' Equity
January 1, 1996 32,419,333 37,144,961 12,001,658 4,280,161 7,233,502 41,088 0 0
------------ ------------ ----------- ---------- ---------- --------- -------- ---------
Participants' Equity
December 31, 1996 $27,733,684 $37,137,923 $16,716,969 $6,474,184 $12,056,221 $47,276 $362,975 $545,109
============ ============ ============ ========== =========== ======== ========= =========
<FN>
See notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF INCOME AND CHANGES IN PARTICIPANTS' EQUITY, WITH FUND INFORMATION
For year ended, December 31, 1996
(CONTINUED)
FUND INFORMATION
-------------------------------------
Templeton
Foreign Employee
Fund I Loans Total
-------- -------- ------
<S> <C> <C> <C>
CONTRIBUTIONS &
INVESTMENT INCOME
Contributions by GATX Corporation
and subsidiaries $2,103,151
Salary deferrals by participants $34,155 6,423,747
Rollover contributions by
participants 1,121,508
Dividend income 17,758 3,267,849
Interest income $241,779 1,962,203
Gain on sale of investments 336 1,091,180
-------- --------- -----------
TOTAL CONTRIBUTIONS AND
INVESTMENT INCOME 52,249 241,779 15,969,638
-------- ---------- ----------
Net transfers authorized by
participants 488,759 -
Unrealized increase (decrease) in
current value of investments 17,818 1,702,424
Withdrawals by participants (4,234) (131,918) (8,504,173)
Loans to participants (4,528) 2,427,500 -
Loan repayments by participants 8,466 (1,881,640) -
-------- ----------- ----------
506,281 413,942 (6,801,749)
-------- ----------- ----------
Increase / (Decrease) in
Participants' Equity 558,530 655,721 9,167,889
-------- ---------- ----------
Participants' Equity
January 1, 1996 0 3,562,448 96,683,151
-------- ---------- -----------
Participants' Equity
December 31, 1996 $558,530 $4,218,169 $105,851,040
======== =========== ============
<FN>
See notes to financial statements.
</FN>
</TABLE>
-7-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF INCOME AND CHANGES IN PARTICIPANTS' EQUITY, WITH FUND INFORMATION
For year ended, December 31, 1995
FUND INFORMATION
--------------------------------------------------------------------------------------------------
Phillips
Managed GATX Stock Fidelity Petroleum
Income Fund U.S. Equity Fidelity Putnam Company Employee
Fund (Note D) Index Puritan Voyager Securities Loans Total
--------- -------------- --------- --------- --------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
CONTRIBUTIONS & INVESTMENT
INCOME
Contributions by GATX
Corporation and subsidiaries $ 1,994,609 $ 1,994,609
Salary deferrals by participants $ 2,402,476 1,078,316 $ 868,821 $ 458,612 $ 949,749 5,757,974
Rollover contributions
by participants 77,056 46,422 158,980 73,722 26,037 382,217
Dividend income 1,163,219 318,023 158,609 380,291 $ 626 2,020,768
Interest income 2,051,413 2,311 14,904 395 160 $ 444,162 2,513,345
Gain (loss) on sale
of investments - Note C (22,411) 687,223 2,615,630 551,920 78,207 3,910,569
----------- ------------ ---------- --------- ----------- -------- ---------- ------------
TOTAL CONTRIBUTIONS
AND INVESTMENT INCOME 4,508,534 4,972,100 3,961,454 1,257,767 1,434,679 786 444,162 16,579,482
----------- ------------ ----------- --------- ----------- -------- ---------- ------------
Net transfers
authorized by participants (1,882,684) (248,775) 708,073 500,493 922,893 -
Unrealized increase
in current value of investments 2,613,407 57,471 79,649 1,230,350 1,481 3,982,358
Withdrawals by participants (1,544,570) (1,056,924) (308,534) (65,167) (60,242) (3,035,437)
Loans to participants (863,045) (281,956) (193,996) (115,362) (199,715) 1,654,074 -
Loan repayments by participants 1,043,975 419,396 142,147 96,477 235,901 (1,937,896) -
------------ ----------- ------------ -------- ----------- --------- ----------- ------------
(3,246,324) 1,445,148 405,161 496,090 2,129,187 1,481 (283,822) 946,921
------------ ----------- ------------ -------- ----------- --------- ----------- ------------
Increase in Participants' Equity 1,262,210 6,417,248 4,366,615 1,753,857 3,563,866 2,267 160,340 17,526,403
----------- ----------- ----------- --------- ----------- --------- ----------- ------------
Participants' Equity at
January 1, 1995 31,157,123 30,727,713 7,635,043 2,526,304 3,669,636 38,821 3,402,108 79,156,748
----------- ----------- ------------ --------- ----------- --------- ----------- ------------
Participants' Equity at
December 31, 1995 $32,419,333 $37,144,961 $12,001,658 $4,280,161 $7,233,502 $41,088 $3,562,448 $96,683,151
=========== ========== ============ ========== =========== ======== =========== ===========
<FN>
See notes to financial statements.
</FN>
</TABLE>
-8-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
STATEMENT OF INCOME AND CHANGES IN PARTICIPANTS' EQUITY, WITH FUND INFORMATION
For year ended, December 31, 1994
FUND INFORMATION
-------------------------------------------------------------------------------------------
Phillips
Assured Income GATX Stock Petroleum
And Fund Equity Company Employee
Annuity Option (Note D) Index Balanced Equity Growth Securities Loans Total
---------------- ------------ -------- -------- ----------- ---------- ----------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
CONTRIBUTIONS & INVESTMENT
INCOME
Contributions by GATX
Corporation and subsidiaries $ 1,821,458 $1,821,458
Salary deferrals by participants $ 2,482,955 894,708 $ 741,459 $403,948 $764,311 5,287,381
Rollover contributions
by participants 25,506 21,008 15,687 47,341 109,542
Dividend income 1,025,421 211,981 $ 1,196 1,238,598
Interest income 1,930,692 5,946 756 300 735 133 $246,380 2,184,942
Gain on sale
of investments - Note C 1,011,897 12,450 2,436 184,524 1,211,307
------------- ----------- --------- --------- ---------- ---------- ----------- -----------
TOTAL CONTRIBUTIONS
AND INVESTMENT INCOME 4,439,153 4,780,438 982,333 454,025 949,570 1,329 246,380 11,853,228
------------- ----------- --------- --------- ---------- --------- ------------ ----------
Net transfers
authorized by participants 731,212 (294,216) (21,072) (52,477) (363,447) -
Unrealized increase (decrease)
in current value of investments 1,238,578 (112,535) (60,345) (123,165) 4,005 946,538
Withdrawals by participants (1,332,892) (1,717,197) (274,902) (34,786) (81,337) (96,176) (3,537,290)
Loans to participants (1,294,428) (337,854) (165,078) (61,927) (112,997) 1,972,284 -
Loan repayments by participants 915,114 250,992 144,033 90,853 200,544 (1,601,536) -
------------- ----------- ---------- ---------- ---------- --------- ----------- ----------
(980,994) (859,697) (429,554) (118,682) (480,402) 4,005 274,572 (2,590,752)
------------- ----------- ---------- ---------- ----------- ---------- ----------- ----------
Increase in Participants' Equity 3,458,159 3,920,741 552,779 335,343 469,168 5,334 520,952 9,262,476
------------- ----------- ---------- ---------- ----------- ---------- ----------- ----------
Participants' Equity at
January 1, 1994 27,698,964 26,806,972 7,082,264 2,190,961 3,200,468 33,487 2,881,156 69,894,272
------------- ------------ ---------- ---------- ----------- --------- ------------ ----------
Participants' Equity at
December 31, 1994 $31,157,123 $30,727,713 $7,635,043 $2,526,304 $3,669,636 $38,821 $3,402,108 $79,156,748
============ =========== =========== ========= =========== ======== =========== ===========
<FN>
See notes to financial statements.
</FN>
</TABLE>
-9-
<PAGE>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 1996
NOTE A--SIGNIFICANT ACCOUNTING POLICIES
Investments are recorded at fair value based on quoted market prices or
redemption value.
All costs and expenses incurred with regard to the purchase and sale of
investments are borne by the GATX Corporation Salaried Employees Retirement
Savings Plan (the Plan) and are included in the realized gain (loss) on sale of
investments. Administrative and general expenses are paid by GATX Corporation
(GATX or the Company).
The preparation of the financial statements in conformity with generally
accepted accounting principles necessarily 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 as well as revenues and expenses during the reporting period. Actual
amounts when ultimately realized could differ from those estimates.
NOTE B--DESCRIPTION OF THE PLAN
The Plan is a defined contribution plan and was established to afford employees
an opportunity to save systematically for retirement. Effective January 1, 1995,
the Plan was opened to each eligible salaried employee of GATX, and each of its
domestic subsidiaries which adopts or has adopted the Plan upon authorization by
GATX, on the first of the month following their date of hire. Prior to January
1, 1995, employees were required to complete six months of service in order to
be eligible to participate in the plan.
A participant may contribute to the Plan from 1% to a maximum of 15% of his or
her compensation as defined by the Plan. After a participant completes six
months of service, GATX and its electing subsidiaries contribute an amount up to
but not more than 50%, as determined from time to time by GATX, of the amount
contributed by each participant but not to exceed 3% of the participant's
compensation, as defined by the Plan. Company contributions are invested in GATX
Common Stock and short-term investments. All contributions are made in cash and
deposited semi-monthly. Contributions by participants are made by means of
salary deferral and employer contributions are fully vested.
After one year of participation in the Plan, active participants may obtain
loans from the Plan. The maximum loan amount is subject to certain restrictions
and each loan is secured by the participant's account balance.
Participants may elect to have their contributions invested in the Managed
Income Fund (which is a combination of the Bankers Trust Pyramid GIC Fund and
the Fidelity Managed Income Portfolio II Fund), GATX Stock Fund, Fidelity U.S.
Equity Index Portfolio Fund, Fidelity Puritan Fund, Putnam Voyager Fund, Dreyfus
New Leaders, Fidelity Equity Income, Templeton Foreign Fund I, or in a
combination of any of the funds in multiples of 10% in each fund selected. On
August 1, 1995, the Plan named Fidelity Management Trust Company as trustee and
recordkeeper, replacing Harris Bank and Trust Company.
-10-
<PAGE>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 1996
NOTE B--DESCRIPTION OF THE PLAN (Continued)
On August 1, 1996, the plan added Fidelity Equity Income and Templeton Foreign
Fund I as investment options. On September 1, 1996, the plan added Dreyfus New
Leaders as an investment option.
Employees participating in the Plan had invested in the available funds as
follows (some having invested in more than one fund):
December 31
-------------------------
1996 1995
------- --------
Total participants 1,714 1,701
Managed Income Fund 1,084 1,244
GATX Stock Fund 759 851
Fidelity U.S. Equity Index Fund 905 784
Fidelity Puritan Fund 597 478
Putnam Voyager Fund 908 690
Dreyfus New Leaders Fund 70 -
Fidelity Equity Income Fund 70 -
Templeton Foreign Fund I 91 -
As a result of a previous acquisition by GATX, rollover contributions,
consisting of shares of common stock of Phillips Petroleum Company, were
received by the Plan in 1979. As of December 31, 1996, one employee is
participating in this Fund. Further contributions to the Fund are not allowed.
GATX intends this Plan to be permanent but reserves the right at any time to
modify, amend, or terminate this Plan, including the right to suspend or
permanently discontinue employer contributions upon 30 days prior notice to
participants or to reduce (or increase but not to more than 50%) the rate of
such contributions without notice. For the years ended December 31, 1996, 1995
and 1994, GATX's contribution rate was 50%.
Should the Plan terminate at some future date, its net assets will be available
to provide participants their distributions in proportion to their allocable
share of the Plan assets at the date of such termination.
-11-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
YEAR ENDED DECEMBER 31, 1996
NOTE C - INVESTMENTS
The cost of investments and number of shares or units held at December 31, 1996
and 1995 were as follows:
1996 1995
---------------------------- --------------------------------
Shares/Units Cost Shares/Units Cost
-------------- ------------- --------------- ------------
<S> <C> <C> <C> <C>
Bankers Trust Pyramid GIC Fund - $15,842,715 - $18,572,023
GATX Corporation Stock Fund 765,730 22,972,681 745,752 22,094,712
Fidelity U.S. Equity Index Fund 620,296 13,466,514 531,753 11,065,010
Fidelity Puritan Fund 375,533 6,332,146 251,626 4,190,760
Fidelity Managed Income Portfolio II - 10,691,485 - 12,608,891
Putnam Voyager Fund 747,905 10,838,251 474,328 5,988,905
Phillips Petroleum Company Common Stock 1,068 20,622 1,068 20,622
Dreyfus New Leaders Fund 8,910 372,908 - -
Fidelity Equity Income Fund 12,727 535,673 - -
Templeton Foreign Fund I 53,912 540,712 - -
----------- ------------
$81,613,707 $74,540,923
=========== ============
</TABLE>
-12-
<PAGE>
<TABLE>
<CAPTION>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
December 31, 1996
NOTE C--INVESTMENTS--Continued
The realized gain (loss) on sale of investments is the difference between the
proceeds received and the average cost of investments sold, including
transaction costs, and was determined as follows:
1996 1995 1994
------------------------------------ -------------------------------- ----------------------------
Aggregate Aggregate Aggregate Aggregate Aggregate Aggregate
Proceeds Costs Gain Proceeds Costs Gain(Loss) Proceeds Costs Gain
------------ ------------- --------- ---------- ---------- ---------- --------- ---------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
GATX Corporation Stock Fund $4,165,406 $3,658,393 $507,013 $1,645,323 $958,100 $687,223 $1,642,516 $630,619 $1,011,897
Fidelity U.S. Equity
Index Fund 2,196,679 1,930,477 266,202 174,674 165,801 8,873
Fidelity Puritan Fund 1,321,939 1,299,979 21,960 89,362 88,536 826
Putnam Voyager Fund 2,297,315 2,002,791 294,524 269,921 191,714 78,207 777,620 593,096 184,524
Dreyfus New Leaders Fund 17,346 16,874 472
Fidelity Equity Income Fund 11,739 11,066 673
Templeton Foreign Fund I 19,568 19,232 336
Metropolitan Life Group Annuity
Contract No. 12518 9,602,685 9,625,096 (22,411)
Harris Trust and Savings Bank
Trust for Collective Investment
of Employee Benefit Accounts:
Equity Index Fund 10,154,556 7,547,799 2,606,757 108,546 96,096 12,450
Jennison Balanced Fund 3,386,708 2,835,614 551,094 142,410 139,974 2,436
----------- ---------- ---------- ---------- ----------- ---------- ----------- ---------- ----------
$10,029,992 $8,938,812 $1,091,180 $25,323,229 $21,412,660 $3,910,569 $2,671,092 $1,459,785 $1,211,307
============ ========== ========== =========== =========== ========== ========== ========== ==========
</TABLE>
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<PAGE>
GATX CORPORATION SALARIED EMPLOYEES RETIREMENT SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS--Continued
December 31, 1996
NOTE D--GATX COMMON STOCK
The balance in the GATX Stock Fund consisted of $27,823,704 of employer matching
assets and $9,314,219 of employee contributed assets at December 31, 1996. As of
December 31, 1995, these amounts were $27,331,233 and $9,813,728 respectively.
The employer matching assets cannot be transferred from the GATX Stock Fund to
other funds.
NOTE E--FEDERAL INCOME TAX STATUS
The Internal Revenue Service has issued a favorable determination letter of the
Plan's status as a qualified profit sharing plan under Sections 401(a) and
401(k) of the Internal Revenue Code of 1986, as amended, (the Code), and is,
therefore, not subject to tax under present income tax laws. Amounts distributed
from the Plan are taxable to the participants or their beneficiaries as provided
by Section 402(a) of the Code. Once qualified, the Plan is required to operate
in conformity with the Code to maintain its tax-exempt status. The administrator
is not aware of any course of action or series of events that have occurred that
might adversly affect the Plan's qualified status.
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<PAGE>
