<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D. C. 20549
FORM 11-K
ANNUAL REPORT
Pursuant to Section 15(d) of
The Securities Exchange Act of 1934
For the fiscal year ended December 31, 1998
A. Full Title of the Plan:
The LaBarge, Inc. Employees Savings Plan
B. Name of the issuer of securities held pursuant to the Plan and the address of
its principal executive offices:
LaBarge, Inc.
9900A Clayton Road
St. Louis, MO 63124
This filing has a total of 20 pages.
<PAGE> 2
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
LaBarge, Inc. Employees Savings Plan Administrative Committee has duly caused
this Annual Report to be signed by the undersigned thereunto duly authorized.
THE LABARGE, INC. EMPLOYEES SAVINGS PLAN
By: /s/ William J. Maender
____________________________________
William J. Maender
Chairman, Administrative Committee
Date: 6/29/99
<PAGE> 3
REQUIRED INFORMATION
Financial Statements.
Exhibits.
23. Consent of KPMG LLP.
<PAGE> 4
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Financial Statements and Schedules
December 31, 1998 and 1997
(With Independent Auditors' Report Thereon)
<PAGE> 5
LABARGE, INC. EMPLOYEES SAVINGS PLAN
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE
<S> <C>
TABLE OF CONTENTS:
Independent Auditors' Report 1
Financial Statements:
Statement of Net Assets Available for Plan Benefits,
With Fund Information, December 31, 1998 2
Statement of Net Assets Available for Plan Benefits,
With Fund Information, December 31, 1997 3
Statement of Changes in Net Assets Available for Plan Benefits,
With Fund Information, Year ended December 31, 1998 4
Statement of Changes in Net Assets Available for Plan Benefits,
With Fund Information, Year ended December 31, 1997 5
Notes to Financial Statements 6-11
SCHEDULES
Line 27a:
Schedule of Assets Held for Investment Purposes, December 31, 1998 1 12
Schedule of Assets Which Were Both Acquired and Disposed of
Within the Plan Year *
Line 27b - Schedule of Loans or Fixed Income Obligations *
Line 27c - Schedule of Leases in Default or Classified as Uncollectible *
Line 27d - Schedule of Reportable Transactions, Year ended December 31, 1998 2 13
Line 27e - Schedule of Nonexempt Transactions *
</TABLE>
* There were no assets held for investment purposes which were both
acquired and disposed of and no nonexempt transactions with
parties-in-interest within the plan year ended December 31, 1998 which
require separate disclosure. Additionally, there were no loans or
fixed income obligations and no leases in default or classified as
uncollectible at December 31, 1998.
DEFINITIONS:
<TABLE>
<S> <C> <C>
Plan - LaBarge, Inc. Employees Savings Plan
Trustee - A. G. Edwards Trust Company
ERISA - Employee Retirement Income Security Act of 1974
Company - LaBarge, Inc.
Plan Administrator - LaBarge, Inc. Plan Administration Committee
</TABLE>
<PAGE> 6
KPMG
10 South Broadway
Suite 900
St. Louis MO 63102-1761
INDEPENDENT AUDITORS' REPORT
Plan Administration Committee
LaBarge, Inc. Employees Savings Plan
We have audited the accompanying statements of net assets available for
plan benefits, with fund information, of the LaBarge, Inc. Employees
Savings Plan as of December 31, 1998 and 1997 and the related
statements of changes in net assets available for plan benefits, with
fund information, for the years then ended. These financial statements
are the responsibility of the Plan Administrator. 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 the Plan
Administrator, 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 LaBarge, Inc. Employees Savings Plan as of December 31,
1998 and 1997, 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 taken as a whole. The supplemental
information 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
ERISA. 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 and
changes in 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.
/s/ KPMG LLP
__________________________________
KPMG LLP
May 21, 1999
<PAGE> 7
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Statement of Net Assets Available for Plan Benefits, With Fund Information
December 31, 1998
<TABLE>
<CAPTION>
LABARGE
EQUITY MONEY INTERMEDIATE COMMON
INDEX GROWTH BALANCED MARKET BOND STOCK LOAN
FUND FUND FUND FUND FUND FUND FUND TOTAL
---------- --------- --------- ------- ------------ --------- ------- ----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Assets:
Investments:
Registered investment
company shares $3,859,642 2,980,053 1,937,398 -- 709,080 -- -- 9,486,173
Money market accounts -- -- -- 617,543 -- 947 -- 618,490
LaBarge, Inc. common stock -- -- -- -- -- 2,373,423 -- 2,373,423
Loans to participants -- -- -- -- -- -- 698,153 698,153
---------- --------- --------- ------- ------------ --------- ------- ----------
Total investments 3,859,642 2,980,053 1,937,398 617,543 709,080 2,374,370 698,153 13,176,239
Receivables:
Employer contributions -- -- -- -- -- 65,559 -- 65,559
Participant contributions 39,875 31,262 14,500 5,760 5,915 3,025 -- 100,337
Participant loans 21,523 26,462 5,082 1,234 1,803 553 -- 56,657
Interest and dividends 19 13 7 2,787 4 17 -- 2,847
---------- --------- --------- ------- ------------ --------- ------- ----------
Net assets available
for plan benefits $3,921,059 3,037,790 1,956,987 627,324 716,802 2,443,524 698,153 13,401,639
========== ========= ========= ======= ============ ========= ======= ==========
</TABLE>
See accompanying notes to financial statements.
2
<PAGE> 8
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Statement of Net Assets Available for Plan Benefits, With Fund Information
December 31, 1997
<TABLE>
<CAPTION>
LABARGE
AGGRESSIVE MONEY INTERMEDIATE COMMON
GROWTH GROWTH BALANCED MARKET BOND STOCK LOAN
FUND FUND FUND FUND FUND FUND FUND TOTAL
---------- --------- --------- ------- ------------ --------- ------- ----------
<C> <C> <C> <C> <C> <C> <C> <C>
Assets:
Investments:
Registered investment
company shares $2,926,283 2,109,804 1,927,851 -- 828,240 -- -- 7,792,178
Money market accounts 14 30 21 944,757 708 2,267 -- 947,797
LaBarge, Inc. common stock -- -- -- -- -- 3,644,775 -- 3,644,775
Loans to participants -- -- -- -- -- -- 594,675 594,675
---------- --------- --------- ------- ------------ --------- ------- ----------
Total investments 2,926,297 2,109,834 1,927,872 944,757 828,948 3,647,042 594,675 12,979,425
Receivables:
Employer contributions -- -- -- 980 -- 52,881 -- 53,861
Participant contributions 38,265 22,555 14,368 7,507 7,438 2,342 -- 92,475
Participant loans 5,448 5,135 4,858 1,241 2,919 1,196 -- 20,797
Interest and dividends 39 26 17 4,659 4,315 14 -- 9,070
---------- --------- --------- ------- ------------ --------- ------- ----------
Net assets available
for plan benefits $2,970,049 2,137,550 1,947,115 959,144 843,620 3,703,475 594,675 13,155,628
========== ========= ========= ======= ============ ========= ======= ==========
</TABLE>
See accompanying notes to financial statements.
3
<PAGE> 9
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Statement of Changes in Net Assets Available for Plan Benefits,
With Fund Information
Year ended December 31, 1998
<TABLE>
<CAPTION> LABARGE
AGGRESSIVE EQUITY MONEY INTERMEDIATE COMMON
GROWTH INDEX GROWTH BALANCED MARKET BOND STOCK LOAN
FUND FUND FUND FUND FUND FUND FUND FUND TOTAL
----------- ---------- ---------- ---------- --------- ------------ ----------- -------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investment income (loss):
Interest and dividends $ 719 20,402 19,882 51,758 41,949 50,470 819 62,512 248,511
Net appreciation (depreciation)
in fair market value of
Investments 417,471 361,566 527,642 148,510 -- 3,610 (1,283,546) -- 175,253
---------- --------- --------- --------- -------- ----------- ---------- ------- ----------
Total investment income (loss) 418,190 381,968 547,524 200,268 41,949 54,080 (1,282,727) 62,512 423,764
Participant contributions 217,402 233,241 329,178 161,654 61,186 71,781 28,570 -- 1,103,012
Employer contributions -- -- -- -- -- -- 256,178 -- 256,178
Participant distributions (304,018) (153,307) (161,729) (108,162) (381,425) (95,052) (262,646) (55,170) (1,521,509)
Administrative expenses (3,990) (5,304) (4,633) 324 2,942 (1,726) (3,047) -- (15,434)
Interfund transfers (3,297,633) 3,464,461 189,900 (244,212) (56,472) (155,901) 3,721 96,136 --
---------- --------- --------- --------- -------- ----------- ---------- ------- ----------
Increase (decrease) in net
assets available for plan
benefits (2,970,049) 3,921,059 900,240 9,872 (331,820) (126,818) (1,259,951) 103,478 246,011
Net assets available for
plan benefits: Beginning
of year 2,970,049 -- 2,137,550 1,947,115 959,144 843,620 3,703,475 594,675 13,155,628
---------- --------- --------- --------- -------- ----------- ---------- ------- ----------
End of year $ -- 3,921,059 3,037,790 1,956,987 627,324 716,802 2,443,524 698,153 13,401,639
========== ========= ========= ========= ======== =========== ========== ======= ==========
</TABLE>
See accompanying notes to financial statements.
4
<PAGE> 10
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Statement of Changes in Net Assets Available for Plan Benefits,
With Fund Information
Year ended December 31, 1997
<TABLE>
<CAPTION>
LABARGE
AGGRESSIVE MONEY INTERMEDIATE COMMON
GROWTH GROWTH BALANCED MARKET BOND STOCK LOAN
FUND FUND FUND FUND FUND FUND FUND TOTAL
----------- ---------- ---------- -------- ------------ ----------- -------- -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Investment income (loss):
Interest and dividends $ 124,971 21,972 42,555 52,064 45,098 780 49,238 336,678
Net appreciation (depreciation)
in fair market value of
investments 202,838 419,608 267,915 -- 3,106 (1,651,644) -- (758,177)
---------- --------- --------- ------- ----------- ---------- -------- ----------
Total investment income
(loss) 327,809 441,580 310,470 52,064 48,204 (1,650,864) 49,238 (421,499)
Participant contributions 351,346 208,307 143,707 67,807 88,148 19,937 -- 879,252
Employer contributions -- -- -- -- -- 195,730 -- 195,730
Participant distributions (121,558) (24,357) (46,787) (51,860) (23,533) (148,970) (49,757) (466,822)
Administrative expenses (10,474) (5,209) (1,518) 691 (3,139) (7,181) -- (26,830)
Interfund transfers (115,188) 44,404 (1,782) (5,394) (5,278) 10,069 73,169 --
---------- --------- --------- ------- ----------- ---------- -------- ----------
Increase (decrease) in net assets
available for plan benefits 431,935 664,725 404,090 63,308 104,402 (1,581,279) 72,650 159,831
Net assets available for plan
benefits: Beginning of year 2,538,114 1,472,825 1,543,025 895,836 739,218 5,284,754 522,025 12,995,797
---------- --------- --------- ------- ----------- ---------- -------- ----------
End of year $2,970,049 2,137,550 1,947,115 959,144 843,620 3,703,475 594,675 13,155,628
========== ========= ========= ======= =========== ========== ======== ==========
</TABLE>
See accompanying notes to financial statements.
5
<PAGE> 11
(1) DESCRIPTION OF THE PLAN
The following description of the Plan provides only general information.
Participants should refer to the plan document for a more complete
description of the Plan's provisions.
(a) GENERAL
The Plan is a defined contribution plan sponsored by the Company
covering substantially all employees with 60 days of service and is
subject to the provisions of ERISA.
(b) CONTRIBUTIONS
Employees may elect to contribute, on a pre-tax basis, up to 15% of
covered compensation in various investment funds of the Plan. The
Company contributes an amount equal to 50% of the first $25 per month
of employee contributions plus 25% of the employee contribution in
excess of $25. The Company provides matching contributions in an
amount not to exceed 8% of the participant's compensation. Each year
the Company may also, at its option, contribute an additional
discretionary amount as determined by the Company's Board of Directors
as a profit-sharing contribution. There were no discretionary
profit-sharing contributions for 1998 or 1997.
(c) PARTICIPANTS' ACCOUNTS
Each participant account is credited with the participant's
contribution, the Company's matching contribution, and an allocation
of the Company's discretionary profit-sharing contribution and fund
earnings net of administrative charges. Allocations are based upon
covered compensation or account balances as defined in the plan
agreement.
Participants may transfer amounts between funds on quarterly
enrollment dates throughout the year. The Plan Administrator will
record these transfers in the participant's account and direct the
Trustee to reinvest the amounts to reflect these changes. Money
market accounts are maintained for each fund to provide for short-term
investments while transfers are in process. At year-end, the
investments are presented net of any transfers in process as directed
by the participants.
A participant's interest in transfers and trading activity in the
LaBarge Common Stock Fund is based on a weighted average formula which
considers the fair market value of the stock (traded on the American
Stock Exchange) for each of 20 consecutive trading dates immediately
preceding the valuation date.
(Continued)
6
<PAGE> 12
LABARGE INC. EMPLOYEES SAVINGS PLAN
Notes to Financial Statements
December 31, 1998 and 1997
(d) VESTING
Participants are immediately vested in their contributions plus any
earnings thereon. Participants are fully vested with respect to a
calendar quarter employer matching contribution if that participant is
employed by the Company on the last day of such calendar quarter.
Upon a participant's attainment of his/her normal retirement date
(65th birthday), or upon death or total disability, his/her entire
account balance as of the most recent valuation date will become 100%
vested. In the event a participant terminates employment, vesting in
the Company's profit-sharing contribution allocated to the
participant's account is 100% after five full years of continuous
service.
(e) LOANS TO PARTICIPANTS
Participants are allowed to transfer portions of their account
balances into the Loan Fund and borrow from the Loan Fund at the
prevailing market rate (prime plus .5%). Loans will be limited to the
lesser of (i) 50% of a participant's vested plan account balance as of
the last day of the calendar quarter for which the loan is being made,
or (ii) $50,000. Loans to participants include interest-bearing
promissory notes at rates from 6.5% to 9.5% with final due dates
through October 2003.
(f) PAYMENT OF BENEFITS
Upon termination or retirement of service, a participant's account is
distributed in the form of a lump-sum payment or installment payments
over a period of time. Distributions are made as soon as practical
after the close of the plan quarter in which the termination of
employment occurs or is deferred until age 70-1/2 at the participant's
election.
(2) SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) BASIS OF PRESENTATION
The accompanying financial statements of the Plan have been prepared
on the accrual basis and present the net assets available for plan
benefits and changes in those net assets.
(b) INVESTMENTS
Participants may elect to have a portion of their account balances
invested in the following separate investment funds within the Plan:
o Aggressive Growth Fund, which shall have as its
principal objective long-term growth by investing primarily in
medium-sized and smaller growth companies;
o Equity Index Fund, which shall have at its principal
objective long-term capital growth by investing in the same
stocks and in substantially the same percentage as the S&P 500
Composite Stock Price Index;
o Growth Fund, which shall have as its principal
objective long-term growth by investing in stocks of companies
that are undervalued relative to the stock market as a whole;
(Continued)
7
<PAGE> 13
LABARGE INC. EMPLOYEES SAVINGS PLAN
Notes to Financial Statements
December 31, 1998 and 1997
o Balanced Fund, which shall have as its principal objective
conservation of principal, current income, and long-term growth of
principal and income by investing in stocks and fixed income
securities;
o Money Market Fund, which shall have as its principal
objective the preservation of principal and the earning of
interest at rates prevailing on short-term fixed income
investments;
o Intermediate Bond Fund, which shall have as its
principal objective the preservation of principal and the
production of income by investing in government securities and
high-quality corporate bonds;
o LaBarge Common Stock Fund, which shall be exclusively
invested in common stock of the Company; and
o Loan Fund, which shall account for all principal and
interest outstanding on loans to plan participants.
Effective April 1, 1998, the Aggressive Growth Fund was eliminated
from the investment funds in which participants could elect to invest
their account balances. All assets within the Aggressive Growth Fund
were transferred to the Equity Index Fund as of April 1, 1998.
The Aggressive Growth Fund, Equity Index Fund, Growth Fund, Balanced
Fund, and Intermediate Bond Fund (all investing in registered
investment company shares), and the LaBarge Common Stock Fund are
stated at fair market value. The fair market value of the Company's
common stock is determined based on the quoted market value of the
stock on the last day of trading for the period. The Money Market
Fund (trust prime money market account) is valued at cost plus
interest, which approximates net realizable value. The appreciation
(depreciation) in fair market value of investments of the Plan
represents the change in the difference between market value and cost
of the investments during the year and realized gain or losses on the
sale of investments based upon their historical cost on a specific
identification basis.
Interest income is recorded on the accrual basis. Dividends are
recorded on the ex-dividend date. Purchases and sales of securities
are recorded on a trade-date basis.
(c) TRUST FUND MANAGED BY THE TRUSTEE
Under the terms of a trust agreement, the Trustee manages a trust fund
on behalf of the Plan. The investments and changes therein of this
trust fund have been reported to the Plan by the Trustee.
(d) ADMINISTRATIVE CHARGES
The Plan gives the Company the option of paying all administrative
expenses or charging them to the Plan. All expenses incidental to the
operation and management of the Plan have been charged to the Plan and
paid with plan assets.
(Continued)
8
<PAGE> 14
LABARGE INC. EMPLOYEES SAVINGS PLAN
Notes to Financial Statements
December 31, 1998 and 1997
(e) BENEFITS PAID TO PARTICIPANTS
Benefits are recorded when paid.
(f) USE OF ESTIMATES
Certain amounts included in the financial statements are estimated
based on currently available information and the Plan Administrator's
judgment as to the outcome of future conditions and circumstances.
While every effort is made to ensure the integrity of such estimates,
including the use of third-party specialists where appropriate, actual
results could differ from these estimates.
(3) PLAN AMENDMENT
The Plan was amended effective January 1, 1998 to change the employee
eligibility requirements from the completion of one year of service to
sixty consecutive days of service with the Company.
(4) TAX STATUS
The Plan Administrator has received a favorable determination letter dated
April 8, 1994 from the Internal Revenue Service which indicates that the
Plan and its underlying trust qualify under the applicable provisions of
the Internal Revenue Code and, therefore, are exempt from federal income
taxes. The Plan has been subsequently amended. In the opinion of the
Plan Administrator, such amendments do not affect the tax status of the
Plan.
(5) PLAN TERMINATION
Although it has not expressed an intent to do so, the Company has the
right under the provisions of the Plan to discontinue its contributions at
any time and to terminate the Plan subject to the provisions of ERISA. In
the event of plan termination, participants will become fully vested.
(6) RELATED-PARTY TRANSACTIONS
On various dates during 1998, the Plan purchased 61,850 shares of the
Company's common stock at fair market value at prices ranging from $3.3125
to $4.50 per share for investment in the Plan's LaBarge Common Stock Fund.
On various dates during 1998, the Plan sold 3,405 shares of the Company's
common stock at fair market value at prices ranging from $3.875 to $4.375
per share of the Plan's LaBarge Common Stock Fund.
The market value of the investment in the LaBarge Common Stock Fund was
valued at $2.688 and $4.063 per share at December 31, 1998 and 1997,
respectively.
(Continued)
9
<PAGE> 15
(7) RECONCILIATION OF FINANCIAL STATEMENTS TO FORM 5500
The following is a reconciliation of net assets available for plan
benefits per the financial statements to the Form 5500:
<TABLE>
<CAPTION>
DECEMBER 31,
1998 1997
-------------- ----------
<S> <C> <C>
Net assets available for plan benefits per the financial statements 13,401,639 13,155,628
Amounts allocated to withdrawing participants 702,160 519,673
-------------- ----------
Net assets available for plan benefits per the Form 5500 $12,699,479 12,635,955
============== ==========
</TABLE>
The following is a reconciliation of benefits paid to participants per the
financial statements to the Form 5500:
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31,
1998 1997
---------- -------
<S> <C> <C>
Distributions to participants per the financial statements $1,521,509 466,822
Add amounts allocated to withdrawing participants at
end of year 702,160 519,673
Less amounts allocated to withdrawing participants at
beginning of year 519,673 --
---------- -------
Benefits paid to participants per the Form 5500 $1,703,996 986,495
========== =======
</TABLE>
Amounts allocated to withdrawing participants are recorded on the Form
5500 for benefit claims that have been processed and approved for payments
prior to December 31 but not yet paid as of that date.
10
<PAGE> 16
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Notes to Financial Statements
December 31, 1998 and 1997
(8) INVESTMENTS
Investments of the Plan are comprised of the following:
Investments that represent 5% or more of the Plan's net assets are
separately identified.
<TABLE>
<CAPTION>
DECEMBER 31,
1998 1997
-------------- ----------
<S> <C> <C>
Investments at fair value as determined by quoted market price:
Mutual funds:
AIM Equity Funds Inc., Constellation $ -- 2,926,283
American Balanced Fund Inc. Income Fund 1,937,398 1,927,851
Fidelity Advisor Series II Growth Opportunity Fund Class T 2,980,053 2,109,804
Intermediate Bond Fund of America 709,080 828,240
Mainstay Funds Equity Index Fund Class A 3,859,642 --
LaBarge, Inc. common stock 2,373,423 3,644,775
-------------- ----------
11,859,596 11,436,953
-------------- ----------
Investments at fair value:
Money market accounts -
Goldman Sachs Financial Square Pop-A Prime Obligations 618,490 947,797
Loans to participants 698,153 594,675
-------------- ----------
1,316,643 1,542,472
-------------- ----------
$13,176,239 12,979,425
============== ==========
</TABLE>
NET APPRECIATION (DEPRECIATION) IN FAIR VALUE
During the years ended December 31, 1998 and 1997, the Plan's
investments (including gains and losses on investments bought and
sold, as well as held during the year) appreciated (depreciated) in
value by $175,253 and $(758,177), respectively, as follows:
<TABLE>
<CAPTION>
DECEMBER 31,
1998 1997
-------------- -----------
<S> <C> <C>
Mutual funds:
AIM Equity Funds Inc., Constellation $417,471 202,838
American Balanced Fund Inc. Income Fund 148,510 267,915
Fidelity Advisor Series II Growth Opportunity Fund Class T 527,642 419,608
Intermediate Bond Fund of America 3,610 3,106
Mainstay Funds Equity Index Fund Class A 361,566 --
LaBarge, Inc. common stock (1,283,546) (1,651,644)
-------------- ----------
$175,253 (758,177)
============== ==========
</TABLE>
11
<PAGE> 17
Schedule 1
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Item 27(a) - Schedule of Assets Held for Investment Purposes
December 31, 1998
<TABLE>
<CAPTION>
NUMBER OF
SHARES CURRENT
DESCRIPTION OF INVESTMENTS OR UNITS COST VALUE
- ------------------------------------------------------------- ---------------- ---------------- ----------
<S> <C> <C> <C>
Money market accounts -
Goldman Sachs Financial Square Pop-A Prime Obligations 618,490 $ 618,490 618,490
Equity Mutual Funds:
American Balanced Fund Inc. Income Fund 122,932 1,822,684 1,937,398
Fidelity Advisor Series II Growth Opportunity Fund 59,352 2,187,721 2,980,053
Class T
Mainstay Funds Equity Index Fund Class A 97,787 3,464,370 3,859,642
Fixed Income Fund -
Intermediate Bond Fund of America 52,370 708,358 709,080
LaBarge Common Stock Fund -
LaBarge Inc. common stock* 882,970 1,397,108 2,373,423
Loans to participants - 698,153 698,153
---------------- ----------
Total investments $10,896,884 13,176,239
================ ==========
</TABLE>
* Represents a party-in-interest transaction allowable under ERISA regulations.
See accompanying independent auditors' report.
12
<PAGE> 18
Schedule 2
LABARGE, INC. EMPLOYEES SAVINGS PLAN
Item 27(d) - Schedule of Reportable Transactions
Year ended December 31, 1998
<TABLE>
CURRENT
VALUE OF
ASSET ON
IDENTITY OF PURCHASE SELLING COST TRANSACTION NET GAIN OR
PARTY INVOLVED DESCRIPTION OF ASSET PRICE PRICE OF ASSET DATE (LOSS)
- ---------------------- ------------------------------------------------ --------- --------- --------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
A.G. Edwards Trust Co. AIM Equity Funds Inc. Constellation $ 189,250 -- 189,250 189,250 --
A.G. Edwards Trust Co. AIM Equity Funds Inc. Constellation -- 3,455,381 2,822,575 3,455,381 632,806
A.G. Edwards Trust Co. American Balanced Fund Inc. Income Fund 351,613 -- 351,613 351,613 --
A.G. Edwards Trust Co. American Balanced Fund Inc. Income Fund -- 352,176 314,423 352,176 37,753
A.G. Edwards Trust Co. Fidelity Advisor Series II Growth Opportunity
Fund Class T 626,935 -- 626,935 626,935 --
A.G. Edwards Trust Co. Fidelity Advisor Series II Growth Opportunity
Fund Class T -- 180,383 126,106 180,383 54,277
A.G. Edwards Trust Co. Goldman Sachs Financial Square Pop A 5,525,732 -- 5,525,732 5,525,732 --
A.G. Edwards Trust Co. Goldman Sachs Financial Square Pop A -- 5,855,038 5,855,038 5,855,038 --
A.G. Edwards Trust Co. Mainstay Funds Equity Index Fund Class A 3,953,739 -- 3,935,739 3,935,739 --
A.G. Edwards Trust Co. Mainstay Funds Equity Index Fund Class A -- 492,297 489,368 492,297 2,929
- ---------------------- ---------------------------------------- ========= ========= ========= =========== ===========
</TABLE>
See accompanying independent auditors' report.
13
<PAGE> 1
EXHIBIT 23
INDEPENDENT AUDITORS' CONSENT
The Plan Administrator
LaBarge, Inc. Employees Savings Plan:
We consent to incorporation by reference in the registration statement No.
33-31330 on Form S-8 of LaBarge, Inc. of our report dated May 21, 1999,
relating to the statements of net assets available for benefits, with fund
information of the LaBarge, Inc. Employees Savings Plan as of December 31, 1998
and 1997, and the related statements of changes in net assets available for
benefits, with fund information for each of the years then ended, and the
related schedules as of and for the years ended December 31, 1998 and 1997,
which report appears in the annual report on Form 11-K of the LaBarge, Inc.
Employees Savings Plan.
/s/ KPMG LLP
St. Louis, Missouri
June 25, 1999
