SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 30, 1996
Merrill Lynch & Co., Inc.
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(Exact Name of Registrant as Specified in its Charter)
Delaware 1-7182 13-2740599
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(State or Other (Commission (I.R.S. Employer
Jurisdiction of File Number) Identification No.)
Incorporation)
World Financial Center, North Tower, New York, New York 10281-1332
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code : (212) 449-1000
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(Former Name or Former Address, if Changed Since Last Report.)
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Item 5. Other Events
Filed herewith is the Preliminary Unaudited Consolidated Balance Sheet as of
September 27, 1996 for Merrill Lynch & Co., Inc. and subsidiaries ("ML & Co.").
Also filed herewith is a statement setting forth the computation of certain
ML&Co. financial ratios for the periods presented.
During the three- and nine-month periods ended September 27, 1996, ML & Co.
reacquired 4.6 million and 15.2 million shares of its common stock,
respectively.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
(c) Exhibits
(12) Computation of Ratios of Earnings to Fixed Charges and Combined
Fixed Charges and Preferred Stock Dividends
(99) Additional Exhibits
(i) Preliminary Unaudited Consolidated Balance Sheet of ML & Co.
as of September 27, 1996
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, hereunto duly authorized.
MERRILL LYNCH & CO., INC.
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(Registrant)
By: /s/ Joseph T. Willett
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Joseph T. Willett
Senior Vice President,
Chief Financial Officer
Date: October 30, 1996
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EXHIBIT INDEX
Exhibit No. Description Page
----------- ----------- ----
(12) Computation of Ratios of Earnings to Fixed Charges and 5
Combined Fixed Charges and Preferred Stock Dividends
(99) Additional Exhibits
(i) Preliminary Unaudited Consolidated Balance Sheet 6
of ML & Co. as of September 27, 1996
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EXHIBIT 12
MERRILL LYNCH & CO., INC. AND SUBSIDIARIES
COMPUTATION OF RATIOS OF EARNINGS TO FIXED CHARGES AND
COMBINED FIXED CHARGES AND PREFERRED STOCK DIVIDENDS
(Dollars In Millions)
For the Three Months For the Nine Months
Ended Ended
-------------------- -------------------
Sept. 27, Sept. 29, Sept. 27, Sept. 29,
1996 1995 1996 1995
---------- --------- --------- ---------
Total pretax earnings from continuing
operations ..............................$ 522 $ 485 $ 1,891 $ 1,329
------- ------- ------- -------
Add:
Fixed Charges
Interest .............................. 3,104 2,746 8,669 8,559
Other (A) ............................. 40 37 117 105
------- ------- ------- -------
Total fixed charges ..................... 3,144 2,783 8,786 8,664
Preferred stock dividend requirements ... 18 19 56 58
------- ------- ------- -------
Total combined fixed charges and
preferred stock dividends ............. 3,162 2,802 8,842 8,722
------- ------- ------- -------
Pretax earnings before fixed charges ......$ 3,666 $ 3,268 $10,677 $ 9,993
======= ======= ======= =======
Pretax earnings before combined fixed
charges and preferred stock dividends ....$ 3,684 $ 3,287 $10,733 $10,051
======= ======= ======= =======
Ratio of earnings to fixed charges ........ 1.17 1.17 1.22 1.15
Ratio of earnings to combined fixed charges
and preferred stock dividends ............ 1.17 1.17 1.21 1.15
(A) Other fixed charges consist of the interest factor in rentals, amortization
of debt expense, and preferred stock dividend requirements of
majority-owned subsidiaries.
5
EXHIBIT 99(i)
Merrill Lynch & Co., Inc. and Subsidiaries
Preliminary Unaudited Consolidated Balance Sheet
(Dollars in Millions, Except Per Share Amounts) Sept. 27,
ASSETS 1996
---------
Cash and cash equivalents ........................................ $ 2,835
--------
Cash and securities segregated for regulatory purposes
or deposited with clearing organizations ........................ 5,238
--------
Marketable investment securities ................................. 2,158
--------
Trading assets, at fair value
Corporate debt and preferred stock ............................... 22,878
Contractual agreements ........................................... 12,038
Equities and convertible debentures .............................. 13,771
Non-U.S. governments and agencies ................................ 8,596
U.S. Government and agencies ..................................... 9,253
Mortgages, mortgage-backed, and asset-backed ..................... 4,247
Money markets .................................................... 1,802
Municipals ....................................................... 1,007
--------
Total ............................................................ 73,592
--------
Resale agreements ................................................ 55,873
--------
Securities borrowed .............................................. 25,968
--------
Receivables
Customers (net of allowance for doubtful accounts of $50) ........ 17,211
Brokers and dealers .............................................. 7,319
Interest and other ............................................... 4,605
--------
Total ............................................................ 29,135
--------
Investments of insurance subsidiaries ............................ 5,373
Loans, notes, and mortgages (net of allowance for
loan losses of $142) ............................................ 3,060
Other investments ................................................ 1,084
Property, leasehold improvements, and equipment
(net of accumulated depreciation and amortization
of $2,431) ...................................................... 1,629
Other assets ..................................................... 1,966
--------
Total Assets ..................................................... $207,911
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EXHIBIT 99(i)
Merrill Lynch & Co., Inc. and Subsidiaries
Preliminary Unaudited Consolidated Balance Sheet
(Dollars in Millions, Except Per Share Amounts) Sept. 27,
LIABILITIES AND STOCKHOLDERS' EQUITY 1996
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LIABILITIES
Repurchase agreements ........................................... $ 65,123
--------
Commercial paper and other short-term borrowings ................ 36,699
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Trading liabilities, at fair value
Contractual agreements .......................................... 10,209
U.S. Government and agencies .................................... 14,509
Equities and convertible debentures ............................. 7,049
Non-U.S. governments and agencies ............................... 6,506
Corporate debt and preferred stock .............................. 3,030
Municipals ...................................................... 31
--------
Total ........................................................... 41,334
--------
Customers ....................................................... 10,091
Insurance ....................................................... 5,051
Brokers and dealers ............................................. 6,320
Other liabilities and accrued interest .......................... 12,577
Long-term borrowings ............................................ 24,098
--------
Total Liabilities ............................................... 201,293
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STOCKHOLDERS' EQUITY
Preferred Stockholders' Equity .................................. 619
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Common Stockholders' Equity
Common stock, par value $1.33 1/3 per share;
authorized: 500,000,000 shares;
issued: 236,330,162 shares ................................... 315
Paid-in capital ................................................. 1,306
Foreign currency translation adjustment ......................... 1
Net unrealized gains on investment securities
available-for-sale (net of applicable income tax
expense of $9) ............................................... 7
Retained earnings ............................................... 7,484
--------
Subtotal ................................................... 9,113
Less:
Treasury stock, at cost: 68,607,716 shares ................... 2,735
Unallocated ESOP reversion shares, at cost:
2,093,251 shares ........................................... 33
Employee stock transactions .................................. 346
--------
Total Common Stockholders' Equity ............................... 5,999
--------
Total Stockholders' Equity ...................................... 6,618
--------
Total Liabilities and Stockholders' Equity ...................... $207,911
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