THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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, 1995
Registration numbers 33-9495, 33-56218 and 33-59125
A. Full title of the plan:
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
B. Name of the issuer of the securities held pursuant to the plan and the
address of its principal executive office:
The Gillette Company
Prudential Tower Building
Boston, MA 02199
<PAGE>
Financial Statements of The Gillette Company Employees' Savings Plan
The following audited financial statements with independent auditors'
report thereon are enclosed with this report:
1. Statements of Net Assets Available for Plan Benefits as of December 31,
1995 and 1994.
2. Statements of Changes in Net Assets Available for Plan Benefits for each
of the years in the three-year period ended December 31, 1995.
Exhibit
23.2 Independent Auditor's Consent
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Savings Plan Committee has duly caused this annual report to be signed on its
behalf by the undersigned hereunto duly authorized.
The Gillette Company Employees'Savings Plan
By THOMAS F. SKELLY
Thomas F. Skelly
Date: June 26, 1996
Exhibit 23.2
CONSENT OF INDEPENDENT AUDITORS
The Savings Plan Committee
The Gillette Company Employees' Savings Plan:
We consent to the incorporation by reference in registration statements Nos.
33-9495, 33-56218 and 33-59125 on Form S-8 of The Gillette Company Employee's
Savings Plan of our report dated May 17, 1996, relating to the statements of net
assets available for plan benefits of The Gillette Company Employees' Savings
Plan as of December 31, 1995 and 1994, and the related statements of changes in
net assets available for plan benefits for each of the years in the three-year
period ended December 31, 1995, which report appears in the December 31, 1995
annual report on Form 11-K of The Gillette Company Employees' Savings Plan.
KPMG Peat Marwick LLP
Boston, Massachusetts
June 26, 1996
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Financial Statements and Supplemental Schedules
December 31, 1995, 1994 and 1993
(With Independent Auditors' Report Thereon)
<PAGE>
1
Independent Auditors' Report
The Savings Plan Committee
The Gillette Company Employees' Savings Plan:
We have audited the statements of net assets available for plan benefits of The
Gillette Company Employees' Savings Plan as of December 31, 1995 and 1994, and
the related statements of changes in net assets available for plan benefits for
each of the years in the three-year period ended December 31, 1995. 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 plan benefits of The
Gillette Company Employees' Savings Plan at December 31, 1995 and 1994, and the
changes in net assets available for plan benefits for each of the years in the
three-year period ended December 31, 1995, 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 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 net assets available for plan benefits and the statements of
changes in net assets available for plan benefits is presented for purposes of
additional analysis rather than to present the net 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.
May 17, 1996
<PAGE>
1
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Statement of Net Assets Available for Plan Benefits
December 31, 1995
<TABLE>
<CAPTION>
Fidelity
Retirement Fidelity
Gillette Fidelity Government U.S.
Company Intermediate Fixed Money Fidelity Fidelity Equity
Stock Bond Income Market Magellan Balanced Index
Fund Fund Fund Portfolio Fund Fund Portfolio
---- ---- ---- --------- ---- ---- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
Assets:
Investments
Gillette Common Stock $881,824,305 -- -- -- -- -- --
Guaranteed Investment Contracts:
Allstate Life -- -- 4,920,435 -- -- -- --
Canada Life -- -- 3,934,567 -- -- -- --
CDC Capital -- -- 10,276,912 -- -- -- --
Confederation Life -- -- 2,912,057 -- -- -- --
Connecticut General -- -- 26,679,299 -- -- -- --
Continental Assurance -- -- 6,548,505 -- -- -- --
Deutsche Bank -- -- 10,070,288 -- -- -- --
Hartford Life -- -- 6,581,463 -- -- -- --
J.P. Morgan -- -- 10,387,706 -- -- -- --
John Hancock -- -- 14,282,324 -- -- -- --
Life of Virginia -- -- 2,322,628 -- -- -- --
Lincoln National -- -- 10,488,932 -- -- -- --
Massachusetts Mutual -- -- 1,060,402 -- -- -- --
Metropolitan Life -- -- 10,743,170 -- -- -- --
New York Life -- -- 11,398,977 -- -- -- --
Pacific Mutual -- -- 10,019,902 -- -- -- --
Peoples Security Life -- -- 75,399,758 -- -- -- --
Principal Mutual -- -- 1,465,616 -- -- -- --
Protective Life -- -- 7,419,379 -- -- -- --
Provident Life -- -- 11,161,487 -- -- -- --
Prudential Ins. Co -- -- 12,520,268 -- -- -- --
State Mutual Life -- -- 8,581,221 -- -- -- --
Sunamerica Life -- -- 5,607,475 -- -- -- --
Transamerica Life -- -- 9,174,479 -- -- -- --
Registered Investment Companies
Fidelity Intermediate Bond Fund -- 9,354,053 -- -- -- -- --
Fidelity Short-term Investment Fund -- -- 933,848 -- -- -- --
Fidelity Retirement Government Money
Market Portfolio -- -- -- 3,220,569 -- -- --
Fidelity Magellan Fund -- -- -- -- 36,325,915 -- --
Fidelity Balanced Fund -- -- -- -- -- 15,132,881 --
Fidelity U.S. Equity Index Portfolio -- -- -- -- -- -- 44,600,059
Fidelity Growth Company Fund -- -- -- -- -- -- --
Participant Loans -- -- -- -- -- -- --
------------ --------- ----------- --------- ---------- ---------- ----------
Total investments 881,824,305 9,354,053 274,891,098 3,220,569 36,325,915 15,132,881 44,600,059
---------- --------- ----------- --------- ---------- ---------- ----------
Net assets available for plan benefits $881,824,305 9,354,053 274,891,098 3,220,569 36,325,915 15,132,881 44,600,059
============ ========= =========== ========= ========== ========== ==========
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Fidelity
Growth Participant
Company Loan
Fund Fund Total
---- ---- -----
<S> <C> <C> <C>
Assets:
Investments
Gillette Common Stock -- -- 881,824,305
Guaranteed Investment Contracts:
Allstate Life -- -- 4,920,435
Canada Life -- -- 3,934,567
CDC Capital -- -- 10,276,912
Confederation Life -- -- 2,912,057
Connecticut General -- -- 26,679,299
Continental Assurance -- -- 6,548,505
Deutsche Bank -- -- 10,070,288
Hartford Life -- -- 6,581,463
J.P. Morgan -- -- 10,387,706
John Hancock -- -- 14,282,324
Life of Virginia -- -- 2,322,628
Lincoln National -- -- 10,488,932
Massachusetts Mutual -- -- 1,060,402
Metropolitan Life -- -- 10,743,170
New York Life -- -- 11,398,977
Pacific Mutual -- -- 10,019,902
Peoples Security Life -- -- 75,399,758
Principal Mutual -- -- 1,465,616
Protective Life -- -- 7,419,379
Provident Life -- -- 11,161,487
Prudential Ins. Co -- -- 12,520,268
State Mutual Life -- -- 8,581,221
Sunamerica Life -- -- 5,607,475
Transamerica Life -- -- 9,174,479
Registered Investment Companies
Fidelity Intermediate Bond Fund -- -- 9,354,053
Fidelity Short-term Investment Fund -- -- 933,848
Fidelity Retirement Government Money
Market Portfolio -- -- 3,220,569
Fidelity Magellan Fund -- -- 36,325,915
Fidelity Balanced Fund -- -- 15,132,881
Fidelity U.S. Equity Index Portfolio -- -- 44,600,059
Fidelity Growth Company Fund 25,058,209 -- 25,058,209
Participant Loans -- 22,513,368 22,513,368
----------- ---------- -------------
Total investments 25,058,209 22,513,368 1,312,920,457
Net amount due from Parker Pen 401(k) Plan (note 9)
----------- ---------- -------------
Net assets available for plan benefits 25,058,209 22,513,368 1,312,920,457
=========== ========== =============
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Statement of Net Assets Available for Plan Benefits
December 31, 1994
<TABLE>
<CAPTION>
Fidelity
Retirement Fidelity
Gillette Fidelity Government U.S.
Company Intermediate Fixed Money Fidelity Fidelity Equity
Stock Bond Income Market Magellan Balanced Index
Fund Fund Fund Portfolio Fund Fund Portfolio
---- ---- ---- --------- ---- ---- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
Assets:
Investments:
Gillette Common Stock $614,541,212 -- -- -- -- -- --
Guaranteed Investment Contracts, at contract value:
Allstate -- -- 6,716,486 -- -- -- --
Canada Life -- -- 7,860,918 -- -- -- --
Cigna -- -- 30,045,348 -- -- -- --
CNA Insurance -- -- 6,086,104 -- -- -- --
Confederation Life Insurance -- -- 2,854,954 -- -- -- --
Hartford Life Insurance -- -- 6,150,898 -- -- -- --
John Hancock -- -- 33,559,824 -- -- -- --
Life of Virginia -- -- 2,539,261 -- -- -- --
Lincoln National -- -- 10,488,931 -- -- -- --
Massachusetts Mutual -- -- 1,429,514 -- -- -- --
Metropolitan Life Insurance -- -- 12,199,042 -- -- -- --
New York Life Insurance -- -- 14,919,693 -- -- -- --
Pacific Mutual -- -- 21,923,243 -- -- -- --
Peoples Security Life -- -- 12,656,517 -- -- -- --
Principal Financial Group -- -- 8,478,191 -- -- -- --
Protective Life -- -- 13,586,349 -- -- -- --
Provident Life -- -- 21,047,413 -- -- -- --
Provident National -- -- 2,456,424 -- -- -- --
Prudential Life Insurance -- -- 37,857,870 -- -- -- --
Sun Life Insurance -- -- 13,037,437 -- -- -- --
Registered Investment Companies:
Fidelity Intermediate Bond Fund -- 8,529,941 -- -- -- -- --
Fidelity Short-term Investment Fund -- -- 12,118,472 -- -- -- --
Fidelity Retirement Government Money
Market Portfolio -- -- -- 3,769,207 -- -- --
Fidelity Magellan Fund -- -- -- -- 25,364,419 -- --
Fidelity Balanced Fund -- -- -- -- -- 14,006,170 --
Fidelity U.S. Equity Index Portfolio -- -- -- -- -- -- 33,543,267
Fidelity Growth Company Fund -- -- -- -- -- -- --
Participant loans -- -- -- -- -- -- --
------------ --------- ----------- --------- ---------- ---------- ----------
Total investments 614,541,212 8,529,941 278,012,889 3,769,207 25,364,419 14,006,170 33,543,267
------------ --------- ----------- --------- ---------- ---------- ----------
Net assets available for plan benefits $614,541,212 8,529,941 278,012,889 3,769,207 25,364,419 14,006,170 33,543,267
============ ========= =========== ========= ========== ========== ==========
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Fidelity
Growth Participant
Company Loan
Fund Fund Total
---- ---- -----
<S> <C> <C> <C>
Assets:
Investments:
Gillette Common Stock -- -- 614,541,212
Guaranteed Investment Contracts, at contract value:
Allstate -- -- 6,716,486
Canada Life -- -- 7,860,918
Cigna -- -- 30,045,348
CNA Insurance -- -- 6,086,104
Confederation Life Insurance -- -- 2,854,954
Hartford Life Insurance -- -- 6,150,898
John Hancock -- -- 33,559,824
Life of Virginia -- -- 2,539,261
Lincoln National -- -- 10,488,931
Massachusetts Mutual -- -- 1,429,514
Metropolitan Life Insurance -- -- 12,199,042
New York Life Insurance -- -- 14,919,693
Pacific Mutual -- -- 21,923,243
Peoples Security Life -- -- 12,656,517
Principal Financial Group -- -- 8,478,191
Protective Life -- -- 13,586,349
Provident Life -- -- 21,047,413
Provident National -- -- 2,456,424
Prudential Life Insurance -- -- 37,857,870
Sun Life Insurance -- -- 13,037,437
Registered Investment Companies:
Fidelity Intermediate Bond Fund -- -- 8,529,941
Fidelity Short-term Investment Fund -- -- 12,118,472
Fidelity Retirement Government Money
Market Portfolio -- -- 3,769,207
Fidelity Magellan Fund -- -- 25,364,419
Fidelity Balanced Fund -- -- 14,006,170
Fidelity U.S. Equity Index Portfolio -- -- 33,543,267
Fidelity Growth Company Fund 12,503,500 -- 12,503,500
Participant loans -- 18,206,690 18,206,690
---------- ---------- -------------
Total investments 12,503,500 18,206,690 1,008,477,295
---------- ---------- -------------
Net assets available for plan benefits 12,503,500 18,206,690 1,008,477,295
========== ========== =============
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
4
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Statement of Changes in Net Assets Available for Plan Benefits
For the year ended December 31, 1995
<TABLE>
<CAPTION>
Fidelity
Retirement
Gillette Fidelity Government
Company Intermediate Fixed Money Fidelity Fidelity
Stock Bond Income Market Magellan Balanced
Fund Fund Fund Portfolio Fund Fund
---- ---- ---- --------- ---- ----
<S> <C> <C> <C> <C> <C> <C>
Additions to net assets attributed to:
Investment income:
Dividends on Gillette Common Stock $ 9,131,552 -- -- -- -- --
Interest income -- -- 18,273,773 -- -- --
Interest earned on loans 867,292 20,092 267,710 34,266 201,721 70,154
Income earned on registered investment
companies -- 563,144 664,110 191,207 2,075,654 624,323
Net appreciation in the fair value of investments 248,897,067 506,504 -- -- 6,136,423 1,372,542
----------- ------------ ------------ ----------- ------------ -----------
258,895,911 1,089,740 19,205,593 225,473 8,413,798 2,067,019
Contributions:
Employee contributions 17,240,404 568,578 5,359,461 891,490 6,171,529 2,450,105
Employer contributions 14,665,668 -- -- -- -- --
Transfer of assets from Parker Pen
401(k) Plan (note 9) -- -- 208,457 -- -- 146,027
------------- ----------- ------------ ---------- ----------- -----------
Total additions 290,801,983 1,658,318 24,773,511 1,116,963 14,585,327 4,663,151
Deductions from net assets attributed to:
Benefit payments (30,405,841) (565,376) (19,275,291) (423,337) (1,387,036) (685,953)
Forfeitures (135,743) -- -- -- -- --
------------- ----------- ------------ ---------- ----------- -----------
Total deductions (30,541,584) (565,376) (19,275,291) (423,337) (1,387,036) (685,953)
Net increase (decrease) prior to interfund transfers 260,260,399 1,092,942 5,498,220 693,626 13,198,291 3,977,198
Net transfers in (out):
Loans issued (5,591,861) (107,448) (4,318,870) (209,602) (1,335,490) (337,933)
Loans repaid 4,842,533 146,114 1,659,995 204,643 1,165,420 416,369
Other transfers 7,772,022 (307,496) (5,961,136) (1,237,305) (2,066,725) (2,928,923)
------------- ----------- ------------ ---------- ----------- -----------
7,022,694 (268,830) (8,620,011) (1,242,264) (2,236,795) (2,850,487)
Net increase (decrease) 267,283,093 824,112 (3,121,798) (548,638) 10,961,496 1,126,711
Net assets available for plan benefits:
Beginning of year 614,541,212 8,529,941 278,012,889 3,769,207 25,364,419 14,006,170
------------- ----------- ------------ ---------- ----------- -----------
End of year $ 881,824,305 9,354,053 274,891,098 3,220,569 36,325,915 15,132,881
============= =========== ============ ========== =========== ===========
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Fidelity
U.S. Fidelity
Equity Growth Participant
Index Company Loan
Portfolio Fund Fund Total
--------- ---- ---- -----
<S> <C> <C> <C> <C>
Additions to net assets attributed to:
Investment income:
Dividends on Gillette Common Stock -- -- -- 9,131,552
Interest income -- -- -- 18,937,883
Interest earned on loans 51,183 96,437 -- 1,608,855
Income earned on registered investment
companies 1,091,395 1,120,235 -- 5,665,958
Net appreciation in the fair value of investments 10,832,516 3,760,024 -- 271,505,076
----------- ----------- ------------ --------------
11,975,094 4,976,696 -- 306,849,324
Contributions:
Employee contributions 1,684,975 3,587,684 -- 37,954,226
Employer contributions -- -- 14,665,668
Transfer of assets from Parker Pen
401(k) Plan (note 9) 221,060 -- 172,537 748,081
----------- ----------- ------------ --------------
Total additions 13,881,129 8,564,380 172,537 360,217,299
Deductions from net assets attributed to:
Benefit payments (1,363,790) (897,579) (634,191) (55,638,394)
Forfeitures -- -- (135,743)
----------- ----------- ------------ --------------
Total deductions (1,363,790) (897,579) (634,191) (55,774,137)
Net increase (decrease) prior to interfund transfers 12,517,339 7,666,801 (461,654) 304,443,162
Net transfers in (out):
Loans issued (1,543,055) (574,431) 14,018,690 --
Loans repaid 273,630 541,654 (9,250,358) --
Other transfers (191,122) 4,920,685 -- --
----------- ----------- ------------ --------------
(1,460,547) 4,887,908 4,768,332 --
Net increase (decrease) 11,056,792 12,554,709 4,306,678 304,443,162
Net assets available for plan benefits:
Beginning of year 33,543,267 12,503,500 18,206,690 1,008,477,295
----------- ----------- ------------ --------------
End of year 44,600,059 25,058,209 22,513,368 1,312,920,457
=========== =========== ============ ==============
</TABLE>
<PAGE>
1
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Statement of Changes in Net Assets Available for Plan Benefits
For the year ended December 31, 1994
<TABLE>
<CAPTION>
Fidelity
Retirement
Gillette Fidelity Government
Company Intermediate Fixed Money Fidelity
Stock Bond Income Market Magellan
Fund Fund Fund Portfolio Fund
---- ---- ---- --------- ----
<S> <C> <C> <C> <C> <C>
Additions to net assets attributed to:
Investment income:
Dividends on Gillette Common Stock $ 7,821,941 -- -- -- --
Interest income -- -- 19,092,798 -- --
Interest earned on loans 453,481 16,679 187,596 31,373 171,313
Income earned on registered investment
companies -- 654,195 -- 127,369 892,348
Net appreciation (depreciation) in the
fair value of investments 125,259,640 (854,224) -- -- (1,485,087)
------------ ------------ ------------ ----------- -----------
133,535,062 (183,350) 19,280,394 158,742 (421,426)
Contributions:
Employee contributions 11,598,877 679,685 6,125,910 890,243 7,180,773
Employer contributions 13,773,890 -- -- -- --
------------ ------------ ------------ ----------- -----------
Total additions 158,907,829 496,335 25,406,304 1,048,985 6,759,347
Deductions from net assets attributed to:
Benefit payments (19,443,509) (479,043) (18,158,557) (569,577) (839,612)
Forfeitures (84,098) -- -- -- --
------------ ------------ ------------ ----------- -----------
Total deductions (19,527,607) (479,043) (18,158,557) (569,577) (839,612)
Net increase (decrease) prior to interfund transfers 139,380,222 17,292 7,247,747 479,408 5,919,735
Net transfers in (out):
Loans issued (3,017,398) (91,502) (6,501,220) (239,476) (1,260,428)
Loans repaid 2,559,551 93,062 1,202,953 213,033 1,018,899
Other transfers (16,669,323) (1,168,149) 11,417,844 233,403 5,526,157
------------ ------------ ------------ ----------- -----------
(17,127,170) (1,166,589) 6,119,577 206,960 5,284,628
Net increase (decrease) 122,253,052 (1,149,297) 13,367,324 686,368 11,204,363
Net assets available for plan benefits:
Beginning of year 492,288,160 9,679,238 264,645,565 3,082,839 14,160,056
------------ ------------ ------------ ----------- -----------
End of year $ 614,541,212 8,529,941 278,012,889 3,769,207 25,364,419
============ ============ ============ =========== ===========
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Fidelity
U.S. Fidelity
Fidelity Equity Growth Participant
Balanced Index Company Loan
Fund Portfolio Fund Fund Total
---- --------- ---- ---- -----
<S> <C> <C> <C> <C> <C>
Additions to net assets attributed to:
Investment income:
Dividends on Gillette Common Stock $ -- -- -- -- 7,821,941
Interest income -- -- -- -- 19,092,798
Interest earned on loans 58,579 33,224 72,657 -- 1,024,902
Income earned on registered investment
companies 442,386 1,108,382 475,767 -- 3,700,447
Net appreciation (depreciation) in the
fair value of investments (1,262,680) (762,569) (685,336) -- 120,209,744
----------- ----------- ------------ ------------ ------------
(761,715) 379,037 (136,912) -- 151,849,832
Contributions:
Employee contributions 3,125,103 1,762,379 3,852,940 -- 35,215,910
Employer contributions -- -- -- -- 13,773,890
----------- ----------- ------------ ------------ -------------
Total additions 2,363,388 2,141,416 3,716,028
Deductions from net assets attributed to:
Benefit payments (705,328) (1,009,128) (390,618) (358,426) (41,953,798)
Forfeitures -- -- -- -- --
----------- ----------- ------------ ------------ -------------
Total deductions (705,328) (1,009,128) (390,618) (358,426) (42,037,896)
Net increase (decrease) prior to interfund transfers 1,658,060 1,132,288 3,325,410 (358,426) 158,801,736)
Net transfers in (out):
Loans issued (312,651) (2,323,438) (522,960) 14,269,073 --
Loans repaid 298,371 227,380 478,463 (6,091,712) --
Other transfers 2,869,666 (5,284,981) 3,075,383 -- --
----------- ----------- ------------ ------------ -------------
2,855,386 (7,381,039) 3,030,886 8,177,361 --
Net increase (decrease) 4,513,446 (6,248,751) 6,356,296 7,818,935 158,801,736
Net assets available for plan benefits:
Beginning of year 9,492,724 39,792,018 6,147,204 10,387,755 849,675,559
----------- ----------- ------------ ------------ -------------
End of year $ 14,006,170 33,543,267 12,503,500 18,206,690 1,008,477,295
=========== =========== ============ ============ =============
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Statement of Changes in Net Assets Available for Plan Benefits
For the year ended December 31, 1993
<TABLE>
<CAPTION>
Fidelity
Retirement
Gillette Fidelity Government
Company Intermediate Fixed Interest Money Fidelity
Stock Bond Income Income Market Magellan
Fund Fund Fund Fund Portfolio Fund
---- ---- ---- ---- --------- ----
<S> <C> <C> <C> <C> <C> <C>
Additions to net assets attributed to:
Investment income:
Dividends on Gillette Common Stock $ 6,424,164 -- -- -- -- --
Interest income 17,373 -- 17,346,114 3,365,639 -- --
Interest earned on loans 58,057 2,469 23,345 -- 4,370 23,968
Income earned on registered investment
companies -- 749,989 -- -- 5,580 761,152
Net appreciation (depreciation) in the
fair value of investments 22,948,025 326,933 -- -- -- (564,780)
------------ ------------ ------------ ----------- ----------- -----------
29,447,619 1,079,391 17,369,459 3,365,639 9,950 220,340
Contributions:
Employee contributions 10,355,040 513,308 5,774,162 4,411,897 563,505 3,126,040
Employer contributions 11,983,386 -- -- -- -- --
Transfer of assets from the Oral-B
Laboratories Savings Plan (note 9) 14,279,889 -- -- -- 2,283,104 --
------------ ------------ ------------ ----------- ----------- -----------
Total additions 66,065,934 1,592,699 23,143,621 7,777,536 2,856,559 3,346,380
Deductions from net assets attributed to:
Benefit payments (18,276,772) (975,679) (17,836,500) (1,877,775) (15,008) (113,355)
Forfeitures (62,834) -- -- -- -- --
------------ ------------ ------------ ----------- ----------- -----------
Total deductions (18,339,606) (975,679) (17,836,500) (1,877,775) (15,008) (113,355)
Net increase prior to interfund transfers 47,726,328 617,020 5,307,121 5,899,761 2,841,551 3,233,025
Net transfers in (out):
Loans issued (1,033,756) (39,238) (6,364,540) -- (28,658) (322,582)
Loans repaid 262,474 23,408 124,800 -- 18,660 137,180
Investment Fund merger -- -- 91,006,039 (91,006,039) -- --
Other transfers (20,014,525) (500,076) 976,580 155,207 251,286 11,112,433
------------ ------------ ------------ ----------- ----------- -----------
(20,785,807) (515,906) 85,742,879 (90,850,832) 241,288 10,927,031
Net increase (decrease) 26,940,521 101,114 91,050,000 (84,951,071) 3,082,839 14,160,056
Net assets available for plan benefits:
Beginning of year 465,347,639 9,578,124 173,595,565 84,951,071 -- --
------------ ------------ ------------ ----------- ----------- -----------
End of year $ 492,288,160 9,679,238 264,645,565 -- 3,082,839 14,160,056
============ ============ ============ ============ =========== ===========
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
Fidelity
U.S. Fidelity
Fidelity Equity Growth Participant
Balanced Index Company Loan
Fund Portfolio Fund Fund Total
---- --------- ---- ---- -----
<S> <C> <C> <C> <C> <C>
Additions to net assets attributed to:
Investment income:
Dividends on Gillette Common Stock $ -- -- -- -- 6,424,164
Interest income -- 1,475 -- -- 20,730,601
Interest earned on loans 8,527 5,044 9,306 -- 135,086
Income earned on registered investment
companies 328,421 862,003 548,033 -- 3,255,178
Net appreciation (depreciation) in the
fair value of investments (218,765) 2,918,051 (345,635) -- 25,063,829
----------- ----------- ----------- ------------ -----------
118,183 3,786,573 211,704 -- 55,608,858
Contributions:
Employee contributions 1,382,442 4,289,506 1,506,256 -- 31,922,156
Employer contributions -- -- -- -- 11,983,386
Transfer of assets from the Oral-B
Laboratories Savings Plan (note 9) -- 2,325,689 -- 572,829 19,461,511
----------- ----------- ----------- ------------ -----------
Total additions 1,500,625 10,401,768 1,717,960 572,829 118,975,911
Deductions from net assets attributed to:
Benefit payments (55,050) (1,080,594) (30,592) -- (40,261,325)
Forfeitures -- -- -- -- (62,834)
----------- ----------- ----------- ------------ -----------
Total deductions (55,050) (1,080,594) (30,592) -- (40,324,159)
Net increase prior to interfund transfers 1,445,575 9,321,174 1,687,368 572,829 78,651,752
Net transfers in (out):
Loans issued (103,788) (2,497,383) (115,276) 10,505,221 --
Loans repaid 40,506 24,520 58,747 (690,295) --
Investment Fund merger -- -- -- -- --
Other transfers 8,110,431 (4,607,701) 4,516,365 -- --
----------- ----------- ----------- ------------ -----------
8,047,149 (7,080,564) 4,459,836 9,814,926 --
Net increase (decrease) 9,492,724 2,240,610 6,147,204 10,387,755 78,651,752
Net assets available for plan benefits:
Beginning of year -- 37,551,408 -- -- 771,023,807
----------- ----------- ----------- ------------ -----------
End of year $ 9,492,724 39,792,018 6,147,204 10,387,755 849,675,559
=========== =========== =========== ============ ===========
<FN>
See accompanying notes to financial statements.
</FN>
</TABLE>
<PAGE>
1
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Notes to Financial Statements
December 31, 1995, 1994 and 1993
(1) Description of the Plan
TheGillette Company Employees' Savings Plan (the "Plan") is a defined
contribution plan sponsored by The Gillette Company (the "Company").
The following provides only general information and participants should
refer to the Plan document for a more complete description of the
Plan's provisions.
(a) General
ThePlan is a defined contribution plan subject to the provisions of the
Employee Retirement Income Security Act of 1974 (ERISA). Effective
January 1, 1993 regular employees of the Company and its participating
subsidiaries became eligible to join the Plan on date of hire.
(b) Participant Contributions
Eligible employees may voluntarily contribute from 2% to 10% of their
compensation as matched savings, and from 1% to 5% of their
compensation as unmatched savings. All contributions must be in even 1%
increments.
Allmatched savings contributed by an employee are divided equally between
tax deferred and taxed savings. Unmatched savings may be designated by
an employee to be either tax deferred or taxed, but not both. Tax
deferred contributions made by an employee in any plan year may not
exceed the annual limit set by law, which was $9,240, $9,240 and $8,994
for 1995, 1994 and 1993, respectively.
(c) Employer Contributions
Forall employee contributions designated as matched savings, the Company
will provide $1 for every $2 contributed by the employee. All matching
contributions provided by the Company are invested in the Gillette
Company Stock Fund.
(d) Vesting
Participants are immediately vested in their own employee contributions
plus the actual earnings thereon. Matching contributions from the
Company vest after the participant has completed the earliest of five
years of service, two years from date of entry into the Plan, or the
attainment of age 65. Participants are also 100% vested in the Company
contributions credited to their accounts upon death, retirement, total
and permanent disability, or layoff for lack of work when it is not
probable that the participant will be recalled to work within one year
of the layoff.
(e) Participants' Accounts
A separate account is established for each participant at the time of
enrollment in the Plan. The balance in each account is invested, in
accordance with the directions given by the participant, in one or more
of the following Funds:
Gillette Company Stock Fund
Invests primarily in shares of The Gillette Company common stock.
Fidelity Intermediate Bond Fund
Invests primarily in intermediate maturity foreign and domestic bonds
and seeks a high level of current income.
(Continued)
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Notes to Financial Statements
Fixed Income Fund
Seeks to preserve principal as well as generate interest income through
investment in high quality short and intermediate term investment
contracts as well as other instruments issued by insurance companies
and banks. The Fixed Income Fund and Interest Income Fund merged
effective July 1, 1993 to become the Fixed Income Fund.
Fidelity Retirement Government Money Market Portfolio Seeks to keep
invested principal stable while generating current interest or income
by investing in high quality money market instruments issued or
guaranteed by the U.S. government or its agencies.
Fidelity Magellan Fund
Seeks long-term capital appreciation by investing primarily in common
stocks and other securities of all types of domestic and international
companies in all industries.
Fidelity Balanced Fund
Seeks to provide the highest amount of income possible consistent with
the preservation of capital by investing primarily in common and
preferred stocks, and bonds.
Fidelity U.S. Equity Index Portfolio
Seeks to provide investment results that correspond to a recognized
index of stock market performance, and invests primary in the common
stocks of the companies that make up the designated stock index.
Fidelity Growth Company Fund
Seeks long-term capital appreciation by investing primarily in
securities of domestic and foreign growth-oriented companies.
Each of the Funds may also hold a portion of its assets in short-term
investments in order to meet liquidity needs for transfers, loans, and
withdrawals.
(f) Participant Loans
Themaximum loan available to each participant is the lesser of (1) $50,000
reduced by the highest outstanding loan balance due from the
participant during the preceding twelve months, or (2) 50% of the
participant's vested account balance, reduced by the current
outstanding loan balance due from the participant. The minimum loan
amount available to participants is $500. Each loan shall bear interest
at a rate determined by the Savings Plan Committee. Repayment of the
loan must be made over a period not to exceed five years.
(g) Plan Earnings
As of the close of each business day, the Plan trustee is responsible for
determining the fair market value of each of the investment options,
which would include all accrued earnings. The increase or decrease in
the fair market value of each investment fund since the preceding
business day is allocated among the participant accounts invested in
each fund based on the proportionate number of shares or units of the
fund held by each participant at the close of the preceding business
day.
(Continued)
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Notes to Financial Statements
With respect to the Gillette Company Stock Fund, the trustee is
responsible for determining the participants' accounts entitled to
receive each quarterly dividend and the number of shares to be credited
to each account, as of the quarterly ex-dividend date. On the dividend
payment date, the trustee also makes all necessary adjustments to each
participant account to reflect any differences between the value of
such Company stock credited to participants' accounts and the actual
purchase and sales price of such shares, along with any interest or
other income earned by the Fund since the preceding dividend payment
date. Such adjustments are included in the dividend credited to
participants' accounts.
(h) Benefit Payments
Upon termination of employment, the participant or his or her surviving
spouse or beneficiary, will receive a lump sum distribution of the
participant's vested account balance, or if the account balance exceeds
$3,500 at such time, he/she may elect to defer payment or receive
periodic installments based on various methods. If the termination of
employment is due to retirement, total and permanent disability or
death, a participant (or surviving spouse) may also elect to have the
proceeds of the distribution used to purchase an annuity contract for
his/her benefit.
Early withdrawals may also be made in the event of financial hardship and
other circumstances, based upon special guidelines detailed in the Plan
documents.
(i) Forfeitures
Forfeitures by Plan participants are used to reduce Company contributions.
(2) Summary of Significant Accounting Policies
(a) Basis of Accounting
Thepreparation 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 date
of the financial statements and the reported amounts of revenues and
expenses. Actual results could differ from those estimated.
Theaccompanying financial statements are presented on the accrual basis of
accounting. Benefits payable at year end are not accrued for as they
are considered to be a component of the net assets available for plan
benefits.
(b) Investments
Investments are stated at fair value, which for shares of Company stock
held in the Gillette Company Stock Fund, is defined as the composite
closing price of the stock on the New York Stock Exchange. Guaranteed
investment contracts and synthetic investment contracts are valued at
contract value. The fair value for all other investment funds is
determined daily by the trustee on a per share basis using security
prices quoted on national exchanges, and amortized cost in the case of
any short-term and money market securities held. Participant notes
receivable are valued at cost, which approximates fair value.
Security transactions received prior to 4:00 pm Eastern time by Fidelity
are recognized on that business day. Transactions received after 4:00
pm Eastern time are valued as of the next business day. Interest income
is recorded on the accrual basis and dividend income is recorded on the
ex-dividend date.
(Continued)
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Notes to Financial Statements
Netappreciation (depreciation) in the fair value of investments includes
both realized and unrealized gains and losses.
ThePlan's investments in guaranteed and synthetic investment contracts are
valued at contract value which approximates fair value. Contract value
represents contributions made under the contract plus interest at the
contract rate. The crediting interest rate is variable for the
synthetic contracts and is reset quarterly based upon the fair value of
the underlying securities. The crediting interest rate is fixed for
guaranteed contracts. The average yield and crediting interest rate as
of December 31, 1995 for the Fixed Income Fund was 7.12% and 6.62%,
respectively.
At December 31, 1995 the fair value of the securities underlying the
synthetic investment contracts is $82,430,810 and the contract value
for these investment contracts is $80,785,997.
(c) Payment of Benefits
Benefits are recorded when paid.
(3) Funding Policy
TheCompany's funding policy is to make contributions to the Plan in
accordance with the manner described in note 1.
(4) Plan Termination
TheCompany expects the Plan to continue indefinitely, but reserves the
right to amend or terminate the Plan at its discretion. If the Plan is
terminated or if contributions are completely discontinued, each
participant's interest in that portion of his or her account balance
attributable to Company contributions shall become fully vested. Upon
termination of the Plan, the Trust may continue in existence at the
direction of the Board of Directors of the Company, subject to the
provisions of the Plan and the Trust agreement, or the Trust may be
terminated and the assets distributed to participants.
(5) Unit Valuation
Participants' accounts are maintained on a "unit value" basis. The total
units used in valuing participant's accounts and the per unit values at
December 31, 1994 and the four quarters ended December 31, 1995 are as
follows:
<TABLE>
<CAPTION>
Gillette Company Fidelity Intermediate
Stock Fund Bond Fund Fixed Income Fund
Units Value Units Value Units Value
<S> <C> <C> <C> <C> <C> <C>
December 31, 1994 8,207,562 $ 74.88 867,746 $ 9.83 278,012,889 $ 1.00
March 31, 1995 8,472,813 81.63 861,245 9.99 272,576,397 1.00
June 30, 1995 16,869,264 44.50 871,805 10.24 281,523,350 1.00
September 30, 1995 16,821,645 47.63 895,250 10.23 280,938,990 1.00
December 31, 1995 16,917,493 52.13 898,564 10.41 274,891,098 1.00
</TABLE>
(Continued)
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Notes to Financial Statements
<TABLE>
<CAPTION>
Fidelity Retirement
Government Money Fidelity Fidelity
Market Portfolio Magellan Fund Balanced Fund
Units Value Units Value Units Value
<S> <C> <C> <C> <C> <C> <C>
December 31, 1994 3,769,207 $ 1.00 379,707 $ 66.80 1,139,640 $ 12.29
March 31,1995 3,500,190 1.00 327,313 72.44 1,115,579 12.65
June 30, 1995 3,423,398 1.00 334,425 83.50 1,142,285 13.01
September 30, 1995 3,342,903 1.00 370,274 92.37 1,107,809 13.20
December 31, 1995 3,220,568 1.00 422,493 85.98 1,119,296 13.52
</TABLE>
<TABLE>
<CAPTION>
Fidelity Fidelity Growth
U.S.Equity Index Portfolio Company Fund
Units Value Units Value
<S> <C> <C> <C> <C>
December 31, 1994 1,983,635 $ 16.91 458,676 $ 27.26
March 31,1995 1,882,719 18.44 424,170 29.18
June 30, 1995 1,914,703 20.06 458,292 33.86
September 30, 1995 1,928,164 21.54 542,335 37.87
December 31, 1995 1,976,077 22.57 690,499 36.29
</TABLE>
(6) Participation by Fund
The total number of plan participants in each of the investment funds on
December 31, 1995 and 1994 are as follows:
<TABLE>
<CAPTION>
1995 1994
<S> <C> <C>
Gillette Company Stock Fund 8,136 7,880
Fidelity Intermediate Bond Fund 864 991
Fixed Income Fund 4,832 5,641
Fidelity Retirement Government Money Market Portfolio 771 957
Fidelity Magellan Fund 3,414 3,768
Fidelity Balanced Fund 1,471 1,772
Fidelity U.S. Equity Index Portfolio 2,865 3,288
Fidelity Growth Company Fund 2,158 2,231
<FN>
The numbers shown above reflect the fact that participants may elect to
invest in more than one fund.
</FN>
</TABLE>
(7) Administrative Expenses
TheCompany bears all trustee and administrative costs of maintaining the
Plan and investment expenses associated with the Fixed Income Fund and
the Gillette Company Stock Fund. Investment expenses associated with
the Fidelity funds offered as investment options under the Plan are
deducted from the assets of each of those funds.
(Continued)
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Notes to Financial Statements
(8) Income Taxes
A favorable tax determination letter was received from the Internal
Revenue Service on July 19, 1994 stating that the existing Plan and its
underlying trust qualified under section 401(a) of the Internal Revenue
Code of 1986 (the "Code") as a profit sharing plan, and is exempt from
federal income taxes. Further, the features of the Plan relating to tax
deferred savings qualified under section 401(k) of the Code. In the
opinion of the Plan administrator and the Plan's tax advisor, the Plan
and its underlying trust have operated within the terms of the Plan
document and remain qualified under the applicable provisions of the
Internal Revenue Code.
(9) Plan Merger and Transfers
Effective March 31, 1995, the account balances of certain Parker Pen
401(k) Plan (Parker Plan) participants were transferred into the Plan.
The account balances of all remaining non-bargaining unit participants
of the Parker Plan were transferred to the Plan on January 2, 1996.
Effective December 31, 1993, the net assets of the Oral-B Laboratories
Savings Plan were merged into The Gillette Company Employees' Savings
Plan and all investments of the Oral-B Laboratories Savings Plan were
transferred to Fidelity.
(10) Cash Advance to the Plan Trustee
TheCompany has deposited with the Plan trustee a cash advance to provide
liquidity to the Gillette Company Stock Fund in order to make
distributions, loans and transfers from the Fund on a timely basis.
Any interest earned on the balance is allocated to participant
accounts within the Gillette Company Stock Fund. The outstanding
balance of the cash advance to the trustee as of December 31, 1995 was
$1,500,000.
<PAGE>
1
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Item 27(a) - Schedule of Assets Held for Investment Purposes
December 31, 1995
<TABLE>
<CAPTION>
(c) Description of investment
including maturity date, rate of interest,
(b) Identity of issue collateral, par, or maturity value (d) Cost (e) Current value
- --------------------- ---------------------------------- -------- -----------------
<S> <C> <C> <C>
Stock Fund Investments
*Gillette Common Stock Gillette Common Stock (16,917,493 shares) $ 238,056,907 881,824,305
Fixed Income Fund Contracts
Allstate Life Interest - 7.29%, Due Date - 6/30/97 2,614,410 2,614,410
Allstate Life Interest - 6.86%, Due Date - 6/30/97 2,306,024 2,306,025
Canada Life Interest - 6.56%, Due Date - 3/31/96 3,934,567 3,934,567
CDC Capital Interest - 6.04%, Due Date - 6/30/00 10,276,912 10,276,912
Confederation Life Interest - 2.00%, Due Date - OPEN 2,912,057 2,912,057
Connecticut General Interest - 8.70%, Due Date - 12/31/96 18,114,407 18,114,407
Connecticut General Interest - 6.74%, Due Date - 7/21/96 8,564,892 8,564,892
Continental Assurance Interest - 7.60%, Due Date - 9/30/97 6,548,505 6,548,505
Deutsche Bank Interest - 5.91%, Due Date - 3/2/98 4,071,161 4,071,161
Deutsche Bank Interest - 5.99%, Due Date - 3/2/98 5,999,128 5,999,127
Hartford Life Interest - 7.00%, Due Date - 12/31/97 6,581,463 6,581,463
J.P Morgan Interest - 6.03%, Due Date - 1/15/96 10,387,706 10,387,706
John Hancock Interest - 5.10%, Due Date - 6/30/96 1,833,797 1,833,797
John Hancock Interest - 7.33%, Due Date - 9/30/96 12,448,527 12,448,527
Life of Virginia Interest - 6.12%, Due Date - 6/30/96 2,322,628 2,322,628
Lincoln National Interest - 5.18%, Due Date - 1/21/96 10,488,932 10,488,932
Massachusetts Mutual Interest - 8.45%, Due Date - 1/2/96 1,060,402 1,060,402
Metropolitan Life Interest - 7.45%, Due Date - 9/30/96 2,703,070 2,703,070
Metropolitan Life Interest - 9.48%, Due Date - 1/2/96 8,040,100 8,040,100
New York Life Interest - 6.81%, Due Date - 4/1/96 983,600 983,600
New York Life Interest - 8.65%, Due Date - 1/2/96 3,644,813 3,644,813
New York Life Interest - 7.05%, Due Date - 6/30/97 6,770,564 6,770,564
Pacific Mutual Life Interest - 6.09%, Due Date - 9/30/96 10,019,902 10,019,902
Peoples Security Life Interest - 8.23%, Due Date - 12/15/97 8,691,237 8,691,237
Peoples Security Life Interest - 8.24%, Due Date - 7/7/98 9,502,682 9,502,682
Peoples Security Life Interest - 7.07%, Due Date - 8/4/97 10,052,692 10,052,692
Peoples Security Life Interest - 5.71%, Due Date - 12/15/99 3,190,104 3,190,104
Peoples Security Life Interest - 5.70%, Due Date - 12/15/99 7,657,281 7,657,281
Peoples Security Life Interest - 5.99%, Due Date - 12/15/96 10,205,839 10,205,839
Peoples Security Life Interest - 6.96%, Due Date - 7/15/97 4,010,237 4,010,237
Peoples Security Life Interest - 6.96%, Due Date - 7/15/97 7,017,931 7,017,931
Peoples Security Life Interest - 5.75%, Due Date - 12/31/98 6,692,134 6,692,134
Peoples Security Life Interest - 7.12%, Due Date - 3/31/98 8,379,622 8,379,622
Principal Mutual Interest - 6.20%, Due Date - 9/30/96 1,465,616 1,465,616
Protective Life Interest - 7.71%, Due Date - 9/30/98 7,419,379 7,419,379
Provident Life Interest - 5.82%, Due Date - 12/31/98 11,161,487 11,161,487
Prudential Insurance Interest - 9.29%, Due Date - 12/31/97 1,527,534 1,527,534
Prudential Insurance Interest - 8.85%, Due Date - 12/31/97 8,912,146 8,912,146
Prudential Insurance Interest - 5.64%, Due Date - 12/31/96 2,080,587 2,080,588
State Mutual Life Interest - 8.04%, Due Date - 1/2/96 8,581,221 8,581,221
Sunamerica Life Interest - 6.07%, Due Date - 12/31/98 5,607,475 5,607,475
Transamerica Life Interest - 5.95%, Due Date - 3/31/99 9,174,479 9,174,479
------------- -------------
273,957,250 273,957,250
</TABLE>
(Continued)
<PAGE>
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Item 27(a) - Schedule of Assets Held for Investment Purposes
December 31, 1995
<TABLE>
<CAPTION>
(c) Description of investment
including maturity date, rate of interest,
(b) Identity of issue collateral, par, or maturity value (d) Cost (e) Current value
- --------------------- ---------------------------------- -------- -----------------
<S> <C> <C>
Investments in registered Investment Companies
*Fidelity Intermediate Bond Fund Pooled Funds - 898,564 Units 9,518,181 9,354,053
*Fidelity Short-term Investment
Fund Pooled Funds - 932,960 Units 933,848 933,848
*Fidelity Retirement Government
Money Market Fund Pooled Funds - 3,220,568 Units 3,220,569 3,220,569
*Fidelity Magellan Fund Pooled Funds - 422,493 Units 32,415,694 36,325,915
*Fidelity Balanced Fund Pooled Funds - 1,119,296 Units 14,754,148 15,132,881
*Fidelity U.S. Equity Index Fund Pooled Funds - 1,976,077 Units 34,641,550 44,600,059
*Fidelity Growth Company Fund Pooled Funds - 690,499 Units 22,445,575 25,058,209
------------- -------------
117,929,565 134,625,534
*Participant Loans 2,103 loans granted to Plan
participants, varying maturities,
interest rates from 6% to 9.5%,
secured by 50% of vested account
balances 22,513,368 22,513,368
------------- -------------
Total Assets Held for Investment Purposes $ 652,457,090 1,312,920,457
============= =============
<FN>
*Represents a Party In Interest
</FN>
</TABLE>
<PAGE>
15
THE GILLETTE COMPANY EMPLOYEES' SAVINGS PLAN
Item 27d - Schedule of Reportable Transactions
Year ended December 31, 1995
<TABLE>
<CAPTION>
(c) Purchase (d) Selling (e) Lease
(a) Identity of party involved (b) Description of asset price price rental
- ------------------------------ ------------------------ ----- ----- ------
<S> <C> <C> <C>
*The Gillette Company Purchase of common stock $ 182,751,104 - -
*The Gillette Company Sale of common stock - 212,745,185 -
* Fidelity Fixed Income Fund 151,595,016 - -
*Fidelity Fixed Income Fund - 154,925,264 -
<FN>
*Represents a Party In Interest
</FN>
</TABLE>
<TABLE>
<CAPTION>
(f) Expense (h) Current value
incurred with (g) Cost of of asset on (i) Net gain
(a) Identity of party involved (b) Description of asset transaction asset transaction date or (loss)
- ------------------------------ ------------------------ ----------- ----- ---------------- ---------
<S> <C> <C> <C> <C>
*The Gillette Company Purchase of common stock - 182,751,104 182,751,704 -
*The Gillette Company Sale of common stock - 164,365,078 212,745,185 48,380,107
* Fidelity Fixed Income Fund - 151,545,016 151,545,016 -
*Fidelity Fixed Income Fund - 154,925,264 154,925,264 -
<FN>
*Represents a Party In Interest
</FN>
</TABLE>
