<PAGE>
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
----------------
FORM 11-K
ANNUAL REPORT PURSUANT TO SECTION 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the year ended December 31, 1997
AFLAC INCORPORATED 401(k) PLAN
1932 Wynnton Road
Columbus, Georgia 31999
Pursuant to the requirements of the Securities Exchange Act of 1934,
the trustees (or other persons who administer the employee benefit plan)
have duly caused this report to be signed on its behalf by the undersigned
hereunto duly authorized.
AFLAC INCORPORATED 401(k) PLAN
Date: June 26, 1998 By: /s/ Martin A. Durant, III
----------------------------------
Martin A. Durant, III
Senior Vice President,
Corporate Services
<PAGE>
AFLAC INCORPORATED 401(k) PLAN
Table of Contents
-----------------
Page
----
Independent Auditors' Report 1
Statements of Net Assets Available for Plan Benefits 2
Statements of Changes in Net Assets Available for
Plan Benefits 3
Notes to Financial Statements 4-13
Item 27a - Schedule of Assets Held for Investment Purposes 14
Item 27d - Schedule of Reportable Transactions 15
Exhibit 23 - Independent Auditors' Consent 16
i
<PAGE>
INDEPENDENT AUDITORS' REPORT
The Administrative Committee
AFLAC Incorporated 401(k) Plan:
We have audited the accompanying statements of net assets available for plan
benefits of the AFLAC Incorporated 401(k) Plan (the Plan) as of December 31,
1997 and 1996, and the related statements of changes in net assets available
for plan benefits for the years then ended. These financial statements are
the responsibility of the Plan's management. Our responsibility is to
express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements.
An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly,
in all material respects, the net assets available for plan benefits of the
AFLAC Incorporated 401(k) Plan at December 31, 1997 and 1996, and the
changes in net assets available for plan benefits for the years then ended
in conformity with generally accepted accounting principles.
Our audits were performed for the purpose of forming an opinion on the basic
financial statements of the AFLAC Incorporated 401(k) Plan taken as a whole.
The supplementary information included in Schedules 1 and 2 is presented for
the purpose of additional analysis and is not a required part of the basic
financial statements but is 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. Such information
has been subjected to the auditing procedures applied in the 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.
KPMG PEAT MARWICK LLP
June 24, 1998
Atlanta, GA
1
<PAGE>
AFLAC INCORPORATED 401(k) PLAN
Statements of Net Assets Available for Plan Benefits
December 31,
1997 1996
---------- ----------
Assets:
Investments (Note 5):
Money market funds $ 1,781,116 $ 4,441
Mutual funds (cost $15,038,049 in
1997, $12,650,230 in 1996) 16,665,210 15,673,288
AFLAC Incorporated common stock
(cost $8,086,594 in 1997,
$7,316,892 in 1996) 15,604,603 15,214,169
Participant notes receivable 938,509 -
---------- ----------
Total investments 34,989,438 30,891,898
---------- ----------
Receivables:
Employee contributions - 19,297
AFLAC Incorporated contributions 89,549 1,433,571
Accrued interest and dividends - 549
---------- ----------
Total receivables 89,549 1,453,417
---------- ----------
Cash 1,285,429 3,702,390
---------- ----------
Total assets 36,364,416 36,047,705
---------- ----------
Liabilities:
Excess employee contributions payable 13,650 95,831
Other 905,531 117,699
---------- ----------
Total liabilities 919,181 213,530
---------- ----------
Net assets available for
plan benefits $35,445,235 $35,834,175
========== ==========
See accompanying Notes to Financial Statements.
2
<PAGE>
AFLAC INCORPORATED 401(k) PLAN
Statements of Changes in Net Assets Available for Plan Benefits
Years ended December 31,
1997 1996
---------- ----------
Contributions:
Participant withholdings $ 3,583,036 $ 3,563,785
Participant transfers
from other plans 133,462 50,500
AFLAC Incorporated matching 1,536,531 1,433,571
---------- ----------
Total 5,253,029 5,047,856
Interest and dividend income 1,391,039 1,581,505
Net realized gains on sale
of investments 8,323,481 1,002,292
Change in net unrealized appreciation
(depreciation) on investments (1,775,165) 4,710,519
Distributions to participants (3,115,052) (1,702,157)
Forfeitures (108,771) (44,476)
Transfer of Broadcast Division
Plan assets (10,357,501) -
---------- ----------
Increase (decrease) in net assets (388,940) 10,595,539
Net assets available
for plan benefits:
Beginning of year 35,834,175 25,238,636
---------- ----------
End of year $35,445,235 $35,834,175
========== ==========
See accompanying Notes to Financial Statements.
3
<PAGE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
December 31, 1997 and 1996
(1) DESCRIPTION OF THE PLAN
The AFLAC Incorporated 401(k) Plan (the Plan) was established for the
benefit of the employees of AFLAC Incorporated and related companies,
American Family Life Assurance Company of Columbus (excluding Japan Branch
employees), American Family Life Assurance Company of New York, AFLAC
Broadcast Division, AFLAC International, Inc., and Communicorp, Inc. The
AFLAC Broadcast Division was sold in 1997. All Plan assets related to the
broadcast division were transferred to a trust established by the purchaser.
The following description provides only general information.
Participants should refer to the Plan agreement for a more complete
description of the Plan's provisions.
(a) GENERAL.
The Plan is subject to certain provisions of the Employee
Retirement Income Security Act of 1974 (ERISA). The Plan was
amended and restated in its entirety effective February 1, 1997.
Eligible employees may voluntarily participate in the Plan
on the first day of the month which coincides with or next
follows the completion of thirty days of employment. Prior to
February 1, 1997, eligible employees could voluntarily participate
in the Plan upon completing one year of service and attaining the
age of 21.
The Plan is administered by a plan administrator appointed by
the Company's Board of Directors. All Plan expenses are paid
by the Company.
(b) CONTRIBUTIONS.
Contributions to the Plan are made by both participants and the
Company. For the years 1997 and 1996, participants could
contribute through payroll deductions from 1% to 18% of their
aggregate compensation, subject to certain limitations. The first
1% to 6% of participants' compensation contributed may be subject
to a percentage matching contribution by the Company. For the
years ended December 31, 1997 and 1996, the Company's matching
contribution was 50% of the portion of the participants'
contributions, which were not in excess of 6% of the participants'
compensation.
(c) PARTICIPANT ACCOUNTS.
An account is maintained for each participant and is credited
with participant contributions and investment earnings/losses
thereon. Contributions may be invested in one or more of the
investment funds available under the Plan at the direction of
the participant. A separate account is maintained with respect
4
<PAGE>
to each participant's interest in the Company's matching
contributions. Amounts in this account are apportioned and
invested in the same manner as the participant's account.
(d) VESTING.
Participants are 100% vested in their contributions plus actual
investment earnings/losses thereon.
Participants become vested in the Company's contribution
according to the following schedule.
Years of Service Vested Percentage
---------------- -----------------
Less than 1 0%
1 20%
2 40%
3 60%
4 80%
5 or more 100%
Prior to February 1, 1997, participants were not vested in the
Company's contribution until completing five years of service.
A participant's interest in the Company's contributions is also
vested upon termination either because of death or disability or
after attaining his/her early retirement date or normal
retirement age. Participants forfeit the portion of their
interest which is not vested upon termination of employment.
These forfeitures reduce the Company's matching contribution.
(e) DISTRIBUTIONS.
Participants may receive a distribution equal to the vested value
of their account upon death, disability, retirement, or
termination of either the participant's employment or the Plan.
Distributions may only be made in the form of a lump-sum cash
payment and/or AFLAC Incorporated common stock.
The Plan permits in-service withdrawals for a participant who
is 100% vested in the Company's contribution and has attained
age 60.
(f) LOANS.
Beginning in February 1997, participants are allowed to borrow
from their accounts. The minimum amount of any loan is $1,000.
The maximum amount of any loan is such that when the amount of the
loan is added to the outstanding balance of all other loans made
to the participant from the Plan (and any other plans maintained
by the employer or any related companies) the total does not
exceed the lesser of:
a. 50% of the participant's vested accrued benefit (as
defined in the Plan); or
5
<PAGE>
b. $50,000, reduced by the amount, if any, of the highest
balance of all outstanding loans to the participant
during the one-year period ending on the day prior to
the day on which the loan is made.
(g) AGREEMENTS WITH TRUSTEE.
The assets of the Plan are held in a trust maintained by Charles
Schwab Trust Company (the former trustee was Synovus Trust
Company).
(2) SUMMARY OF ACCOUNTING POLICIES
(a) BASIS OF PRESENTATION.
The accompanying statements of net assets and changes in net
assets have been prepared on the accrual basis of accounting.
(b) INVESTMENTS.
Investments are stated at fair value based upon quotations
obtained from national security exchanges or the value as
determined by the managers of the money market and mutual funds.
Securities transactions are accounted for on the trade date (the
date the order to buy or sell is executed). Realized gains and
losses on the sale of investments are calculated based on the
difference between selling price and cost on an average cost
basis.
(3) FEDERAL INCOME TAXES
The Internal Revenue Service has determined and informed the Company by
a letter dated August 7, 1997, that the Plan and related trust are in
accordance with applicable sections of the Internal Revenue Code.
Participants in the Plan are not subject to Federal income taxes on
their contributions, on amounts contributed by the employer, or on earnings
or appreciation of investments held by the Plan until withdrawn by the
participant or distributed to the participant's named beneficiary in the
event of death.
(4) PLAN TERMINATION
Although it has not expressed any intent to do so, the Company has the
right to terminate the Plan at any time subject to the provisions of ERISA.
In the event of Plan termination, participants would become 100% vested in
their accounts.
(5) INVESTMENT FUNDS
The following schedules show net assets available for plan benefits as
of December 31, 1997 and 1996, and changes in net assets available for plan
benefits for the years then ended by investment fund. The investments in the
6
<PAGE>
Schwab Institutional Advantage Money Fund, Dodge & Cox Balanced Fund, Dodge
& Cox Stock Fund, Davis New York Venture Fund, Stein Roe Capital
Opportunities Fund and AFLAC Incorporated Common Stock all exceeded five
percent of the Plan's net assets available for plan benefits at December 31,
1997.
7
<PAGE>
<TABLE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
Net Assets Available for Plan Benefits, Investment Fund Information
December 31, 1997
<CAPTION>
Schwab Columbia Dodge Dodge Davis Stein Roe
Institutn'l Fixed Income & Cox & Cox New York Capital
Advantage Securities Balanced Stock Venture Opportuni-
Money Fund Fund Fund Fund Fund ties Fund
------------ ------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C> <C>
Investments:
Money market funds $ 1,781,116 $ - $ - $ - $ - $ -
Mutual funds - 392,178 3,046,464 6,248,225 3,746,842 2,711,392
AFLAC Incorporated
common stock - - - - - -
Participant notes
receivable - - - - - -
------------ ------------ ------------ ------------ ------------ ------------
Total Investments 1,781,116 392,178 3,046,464 6,248,225 3,746,842 2,711,392
Receivables - AFLAC
Incorporated contributions 5,163 1,911 8,659 11,114 10,508 12,496
Cash 22,018 8,505 39,079 48,266 46,652 53,290
Excess employee
contributions payable (714) (158) (1,221) (2,505) (1,502) (1,087)
Other liabilities:
Accrued transfers - - - - - -
Other (9,222) 809 530 3,202 1,060 1,094
------------ ------------ ------------ ------------ ------------ ------------
Net assets
available for
plan benefits $ 1,798,361 $ 403,245 $ 3,093,511 $ 6,308,302 $ 3,803,560 $ 2,777,185
============ ============ ============ ============ ============ ============
(Continued on following page)
8
</TABLE>
<PAGE>
<TABLE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
Net Assets Available for Plan Benefits, Investment Fund Information (continued)
December 31, 1997
<CAPTION>
Templeton AFLAC Participant Cash
Foreign Incorporated Notes and
Fund Common Stock Receivables Other Totals
------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
Investments:
Money market funds $ - $ - $ - $ - $ 1,781,116
Mutual funds 520,109 - - - 16,665,210
AFLAC Incorporated
common stock - 15,604,603 - - 15,604,603
Participant notes
receivable - - 938,509 - 938,509
------------ ------------ ------------ ------------ ------------
Total Investments 520,109 15,604,603 938,509 - 34,989,438
Receivables - AFLAC
Incorporated contributions 2,075 37,623 - - 89,549
Cash 8,713 164,305 - 894,601 1,285,429
Excess employee
contributions payable (208) (6,255) - - (13,650)
Other liabilities:
Accrued transfers - - - (880,549) (880,549)
Other - 5,393 (13,796) (14,052) (24,982)
------------ ------------ ------------ ------------ ------------
Net assets
available for
plan benefits $ 530,689 $ 15,805,669 $ 924,713 $ - $ 35,445,235
============ ============ ============ ============ ============
9
</TABLE>
<PAGE>
<TABLE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
Net Assets Available for Plan Benefits, Investment Fund Information
December 31, 1996
<CAPTION>
Disburse- AFLAC
Master Money ment GIC Income American Washington Incorporated Fidelity
Cash Market Fund Account Fund 4 Balanced Mutual Common Stock Magellan Totals
--------- ------------ -------- ---------- -------- ---------- ------------ -------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investments:
Money market funds $ - $ - $ - $ 4,441 $ - $ - $ - $ - $ 4,441
Mutual funds - - - - 3,823,406 8,076,699 - 3,773,183 15,673,288
AFLAC Incorporated
common stock - - - - - - 15,214,169 - 15,214,169
-------- ----------- -------- --------- --------- --------- ---------- --------- ----------
Total Investments - - - 4,441 3,823,406 8,076,699 15,214,169 3,773,183 30,891,898
Receivables:
Employee contributions 19,297 - - - - - - - 19,297
AFLAC Incorporated
contributions - - - 147,092 161,862 327,459 585,425 211,733 1,433,571
Accrued interest and
dividends - - 549 - - - - - 549
Cash 288,562 - - 2,926,148 151 449,716 37,813 - 3,702,390
Excess employee
contributions payable - - - (8,600) (10,766) (21,574) (35,445) (19,446) (95,831)
Other liabilities:
Accrued transfers (66,295) 66,931 (342) 190 13,325 3,380 (5,920) (11,269) -
Other (241,564) (66,931) (207) 115,996 3,663 14,294 49,060 7,990 (117,699)
-------- -------- -------- --------- --------- --------- ---------- --------- ----------
Net assets
available for
plan benefits $ - $ - $ - $3,185,267 $3,991,641 $8,849,974 $15,845,102 $3,962,191 $35,834,175
======== =========== ======== ========= ========= ========= ========== ========= ==========
10
</TABLE>
<PAGE>
<TABLE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
Changes in Net Assets Available for Plan Benefits, Investment Fund Information
Year Ended December 31, 1997
<CAPTION>
Schwab Columbia Dodge Dodge Davis Stein Roe
Instit'nl Fixed In- & Cox & Cox New York Capital Templeton AFLAC
Advantage come Secu- Balanced Stock Venture Opportuni- Foreign Incorporated
Money Fnd rities Fnd Fund Fund Fund ties Fund Fund Common Stock
---------- ---------- ---------- ---------- ---------- ---------- ---------- ------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Contributions:
Participant with-
holdings $ 210,597 $ 68,373 $ 371,717 $ 535,040 $ 445,964 $ 483,448 $ 101,199 $ 1,366,698
Participant transfers
from other plans 7,840 427 22,220 15,602 32,375 14,377 2,709 37,912
AFLAC Incorporated
matching 83,980 28,209 149,617 221,192 181,934 196,460 41,115 574,149
Interest and dividend
income 115,212 26,019 282,041 520,241 176,872 204 54,242 167,225
Net realized gains on
sale of investments - 2,208 211,598 650,251 228,765 5,237 15,065 3,480,731
Change in net unrealized
appreciation (depre-
ciation) on investments - 7,554 215,516 715,181 535,151 192,466 (38,707) (379,268)
Transfer of Broadcast
Division Plan assets (680,125) (136,198) (1,606,597) (2,938,368) (1,071,695) (564,851) (187,002) (3,172,665)
Transfers 2,589,145 474,215 3,854,490 7,334,242 3,656,712 2,556,488 570,935 (217,361)
Distributions to
participants (397,311) (55,341) (318,224) (615,413) (297,525) (54,403) (11,801) (1,404,096)
Forfeitures (71,668) (64) (3,506) (9,189) (4,422) (4,865) (345) (14,645)
Participant notes receivable:
New loans (67,364) (15,719) (107,068) (139,425) (92,856) (62,256) (18,506) (553,978)
Loan payments 8,055 3,562 21,707 18,948 12,285 14,880 1,785 75,865
---------- ---------- ---------- ---------- ---------- ---------- ---------- ------------
Net change 1,798,361 403,245 3,093,511 6,308,302 3,803,560 2,777,185 530,689 (39,433)
Net assets available
for plan benefits at
beginning of year - - - - - - - 15,845,102
---------- ---------- ---------- ---------- ---------- ---------- ---------- ------------
Net assets available
for plan benefits at
end of year $ 1,798,361 $ 403,245 $ 3,093,511 $ 6,308,302 $ 3,803,560 $ 2,777,185 $ 530,689 $ 15,805,669
========== ========== ========== ========== ========== ========== ========== ============
(Continued on following page) 11
</TABLE>
<PAGE>
<TABLE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
Changes in Net Assets Available for Plan Benefits, Investment Fund Information (continued)
Year Ended December 31, 1997
<CAPTION>
Partici- GIC
pant Notes Income American Washington Fidelity
Receivable Fund 4 Balanced Mutual Magellan Totals
---------- ---------- ---------- ---------- ---------- -----------
<S> <C> <C> <C> <C> <C> <C>
Contributions:
Participant with-
holdings $ - $ - $ - $ - $ - $ 3,583,036
Participant transfers
from other plans - - - - - 133,462
AFLAC Incorporated
matching - 59,875 - - - 1,536,531
Interest and dividend
income 43,328 5,655 - - - 1,391,039
Net realized gains on
sale of investments - - 578,509 2,560,826 590,291 8,323,481
Change in net unrealized
appreciation (depre-
ciation) on investments - - (452,725) (2,144,200) (426,133) (1,775,165)
Transfer of Broadcast
Division Plan assets - - - - - (10,357,501)
Transfers - (3,259,397) (4,128,191) (9,288,174) (4,143,104) -
Distributions to
participants (18,633) 8,600 10,766 21,574 16,755 (3,115,052)
Forfeitures (67) - - - - (108,771)
Participant notes receivable:
New loans 1,057,172 - - - - -
Loan payments (157,087) - - - - -
---------- ---------- ---------- ---------- ---------- -----------
Net change 924,713 (3,185,267) (3,991,641) (8,849,974) (3,962,191) (388,940)
Net assets available
for plan benefits at
beginning of year - 3,185,267 3,991,641 8,849,974 3,962,191 35,834,175
---------- ---------- ---------- ---------- ---------- -----------
Net assets available
for plan benefits at
end of year $ 924,713 $ - $ - $ - $ - $ 35,445,235
========== ========== ========== ========== ========== ===========
12
</TABLE>
<PAGE>
<TABLE>
AFLAC INCORPORATED 401(k) PLAN
Notes to Financial Statements
Changes in Net Assets Available for Plan Benefits, Investment Fund Information
Year Ended December 31, 1996
<CAPTION>
GIC AFLAC
Income American Washington Incorporated Fidelity
Cash Fund 4 Balanced Mutual Common Stock Magellan Totals
----- ------ -------- ---------- ------------- -------- ------
<S> <C> <C> <C> <C> <C> <C> <C>
Contributions:
Participant withholdings $ 80 $ 337,933 $ 420,142 $ 815,385 $ 1,405,796 $ 584,449 $ 3,563,785
Participant transfers
from other plans - 33,401 1,798 2,895 5,992 6,414 50,500
AFLAC Incorporated matching - 147,092 161,862 327,459 585,425 211,733 1,433,571
Interest and dividend income - (983) 336,152 594,786 105,303 546,247 1,581,505
Net realized gains on sale
of investments - 503,949 20,433 45,077 400,452 32,381 1,002,292
Change in net unrealized
appreciation (depreciation)
on investments - (341,495) 69,585 749,673 4,428,200 (195,444) 4,710,519
Transfers (113) 84,858 88,084 46,997 (86,955) (132,871) -
Distributions to participants 33 (168,457) (174,479) (301,830) (867,300) (190,124) (1,702,157)
Forfeitures - (1,544) (2,858) (7,870) (16,824) (15,380) (44,476)
---- ---------- --------- --------- ---------- --------- ---------
Net change - 594,754 920,719 2,272,572 5,960,089 847,405 10,595,539
Net assets available for plan
benefits at beginning of year - 2,590,513 3,070,922 6,577,402 9,885,013 3,114,786 25,238,636
---- ---------- --------- --------- --------- --------- ----------
Net assets available for plan
benefits at end of year $ - $ 3,185,267 $3,991,641 $8,849,974 $15,845,102 $3,962,191 $35,834,175
==== ========== ========= ========= ========== ========= ==========
13
</TABLE>
<PAGE>
Schedule 1
AFLAC INCORPORATED 401(k) PLAN
Item 27a - Schedule of Assets Held for Investment Purposes
December 31, 1997
Description Shares/Units Cost Current Value
- --------------- ------------ -------- -------------
Money Market Funds
- ------------------
Schwab Institutional
Advantage Money Fund 1,781,116 $ 1,781,116 $ 1,781,116
---------- ----------
Mutual Funds
- ------------
Columbia Fixed Income
Securities Fund 29,245 384,624 392,178
Davis New York Venture Fund 167,794 3,211,691 3,746,842
Dodge & Cox Balanced Fund 45,619 2,830,948 3,046,464
Dodge & Cox Stock Fund 66,070 5,533,044 6,248,225
Stein Roe Capital
Opportunities Fund 90,864 2,518,926 2,711,392
Templeton Foreign Fund 52,272 558,816 520,109
---------- ----------
Total Mutual Funds 15,038,049 16,665,210
---------- ----------
Common Stock
- ------------
AFLAC Incorporated* 304,997 8,086,594 15,604,603
Participant notes receivable 938,509 938,509
---------- ----------
Total Investments $25,844,268 $34,989,438
========== ==========
* Indicates party-in-interest per Erisa Section 406.
14
<PAGE>
<TABLE> Schedule 2
AFLAC INCORPORATED 401(k) PLAN
Item 27d - Schedule of Reportable Transactions
Year Ended December 31, 1997
<CAPTION>
Current Value
Purchase Selling of Asset on Net
Description Price Price Cost Transaction Date Gain/(Loss)
--------------- ---------- ---------- ---------- ---------------- -----------
<S> <C> <C> <C> <C> <C>
Purchases:
American Balanced Fund $ 180,672 $ - $ 180,672 $ 180,672 $ -
Washington Mutual Investors Fund 1,246,630 - 1,246,630 1,246,630 -
AFLAC Incorporated Common Stock* 4,320,491 - 4,320,491 4,320,491 -
Fidelity Magellan Fund 218,593 - 218,593 218,593 -
Schwab Institutional Advantage
Money Fund 3,980,552 - 3,980,552 3,980,552 -
Columbia Fixed Income Securities Fund 635,202 - 635,202 635,202 -
Dodge & Cox Balanced Fund 5,161,203 - 5,161,203 5,161,203 -
Dodge & Cox Stock Fund 10,293,909 - 10,293,909 10,293,909 -
Davis New York Venture Fund 5,356,581 - 5,356,581 5,356,581 -
Stein Roe Capital Opportunities Fund 3,422,830 - 3,422,830 3,422,830 -
Templeton Foreign Fund 832,289 - 832,289 832,289 -
Sales:
American Balanced Fund - 4,129,862 3,551,353 4,129,862 578,509
Washington Mutual Investors Fund - 9,739,955 7,179,129 9,739,955 2,560,826
AFLAC Incorporated Common Stock* - 7,031,520 3,550,789 7,031,520 3,480,731
Fidelity Magellan Fund - 4,155,934 3,565,643 4,155,934 590,291
Schwab Institutional Advantage
Money Fund - 2,199,436 2,199,436 2,199,436 -
Columbia Fixed Income Securities Fund - 252,786 250,578 252,786 2,208
Dodge & Cox Balanced Fund - 2,541,853 2,330,255 2,541,853 211,598
Dodge & Cox Stock Fund - 5,411,116 4,760,865 5,411,116 650,251
Davis New York Venture Fund - 2,373,655 2,144,890 2,373,655 228,765
Stein Roe Capital Opportunities Fund - 909,141 903,904 909,141 5,237
Templeton Foreign Fund - 288,538 273,473 288,538 15,065
* Indicates party-in-interest per Erisa Section 406.
15
</TABLE>
<PAGE>
EXHIBIT 23
INDEPENDENT AUDITORS' CONSENT
The Administrative Committee
AFLAC Incorporated 401(k) Plan:
We consent to incorporation by reference in Registration Statement
No. 33-41552 on Form S-8 of AFLAC Incorporated of our report dated
June 24, 1998, relating to the statements of net assets available for plan
benefits of the AFLAC Incorporated 401(k) Plan as of December 31, 1997 and
1996, and the related statements of changes in net assets available for plan
benefits for the years then ended, and all related schedules, which report
appears in the December 31, 1997 annual report on Form 11-K of AFLAC
Incorporated.
KPMG PEAT MARWICK LLP
Atlanta, Georgia
June 25, 1998
16
