<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
FOR ANNUAL REPORTS OF EMPLOYEE STOCK PURCHASE SAVINGS
AND SIMILAR PLANS PURSUANT TO SECTION 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
(Mark One)
(X) ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934 (FEE REQUIRED)
For the fiscal year ended December 31, 1995.
-------------------------------------------
OR
( ) TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
EXCHANGE ACT OF 1934(NO FEE REQUIRED)
For the transition period from ________ to ________.
Commission File Number 1-5492-1
--------
A. Full title of the plan and the address of the plan, if different from
that of the issuer named below:
Nashua Corporation Savings Plan for Specified Hourly Employees
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
Nashua Corporation
44 Franklin Street
Nashua, New Hampshire 03060
<PAGE> 2
NASHUA CORPORATION
- ------------------
SAVINGS PLAN FOR SPECIFIED
- --------------------------
HOURLY EMPLOYEES
- ----------------
FINANCIAL STATEMENTS
- --------------------
DECEMBER 31, 1995 AND 1994
- --------------------------
<PAGE> 3
NASHUA CORPORATION
------------------
SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES
-------------------------------------------
INDEX TO FINANCIAL STATEMENTS
-----------------------------
PAGES
-----
Financial Statements:
Report of Independent Accountants 1-2
Statement of Net Assets Available for Plan Benefits
(With Fund Information) as of December 31, 1995 and 1994 3-4
Statement of Changes in Net Assets Available for Plan Benefits
(With Fund Information) for the Years Ended
December 31, 1995 and 1994 5-6
Notes to Financial Statements 7-11
Supplementary Information: *
* Schedules required by Section 2520.103-10 of the Department of Labor's
Rules and Regulations for Reporting and Disclosure under ERISA have been
omitted because they are not applicable.
<PAGE> 4
160 Federal Street Telephone 617 439-4390
Boston, MA 02110
Price Waterhouse LLP
REPORT OF INDEPENDENT ACCOUNTANTS
June 25, 1996
To the Participants and Administrator
of the Nashua Corporation Savings Plan
for Specified Hourly Employees
In our opinion, the accompanying statements of net assets available for plan
benefits, and the related statements of changes in net assets available for plan
benefits present fairly, in all material respects, the net assets available for
plan benefits of the Nashua Corporation Savings Plan for Specified Hourly
Employees (the "Plan") at December 31, 1995 and 1994, and the changes in net
assets available for plan benefits for the years then ended, in conformity with
generally accepted accounting principles. 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 of these statements in accordance with generally accepted auditing
standards which 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, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for the opinion expressed above.
As discussed in Note 6 to the financial statements, in connection with the sale
on May 25, 1994 of Nashua Corporation's Santa Clara facility, a portion of the
Plan's net assets were transferred into a plan established by the buyer.
-1-
<PAGE> 5
To the Participants and Administrator
of the Nashua Corporation Savings Plan for Specified Hourly Employees
Page 2
June 25, 1996
Our audits were performed for the purpose of forming an opinion on the basic
financial statements taken as a whole. The Fund Information in the statements
of net assets available for plan benefits and the statements of changes in net
assets available for the 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 Fund
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.
/s/ Price Waterhouse LLP
- ------------------------
-2-
<PAGE> 6
NASHUA CORPORATION
SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES
<TABLE>
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS (WITH FUND INFORMATION)
DECEMBER 31, 1995
<CAPTION>
Guaranteed Nashua
Investment Common Equity- Growth Asset
Contract Stock Puritan Magellan Income Company Manager
Fund Fund Fund Fund Fund Fund Fund
---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
Assets:
Guaranteed Investment Contracts,
at Contract Value $33,257 $ - $ - $ - $ - $ - $-
Investments at Fair Value:
Nashua Common Stock Fund - 9,168 - - - - -
Mutual Funds - - 11,505 29,307 4,057 13,860 -
Collective Investment Fund 40,962 - - - - - -
Cash 2,130 - - - - - -
Employee Contributions Receivable 292 - 66 227 53 14 -
Employer Contributions Receivable 113 - 25 88 20 5 -
Participant Loans Receivable, at
Fair Value - - - - - - -
----------------------------------------------------------------------------------------
Net Assets Available for Plan Benefits $76,754 $9,168 $11,596 $29,622 $4,130 $13,879 $-
========================================================================================
</TABLE>
<TABLE>
<CAPTION>
Pacific Intermediate Gov't Money
Europe Basin Bond Market Loan
Fund Fund Fund Fund Fund Total
---- ---- ---- ---- ---- -----
<S> <C> <C> <C> <C> <C> <C>
Assets:
Guaranteed Investment Contracts,
at Contract Value $ - $ - $- $ - $ - $ 33,257
Investments at Fair Value:
Nashua Common Stock Fund - - - - - 9,168
Mutual Funds 12 165 - 1,026 - 59,932
Collective Investment Fund - - - - - 40,962
Cash - - - - - 2,130
Employee Contributions Receivable - - - - - 652
Employer Contributions Receivable - - - - - 251
Participant Loans Receivable, at
Fair Value - - - - 2,996 2,996
-----------------------------------------------------------------------
Net Assets Available for Plan Benefits $12 $165 $- $1,026 $2,996 $149,348
=======================================================================
</TABLE>
See accompanying notes to financial statements.
-3-
<PAGE> 7
NASHUA CORPORATION
SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES
<TABLE>
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS (WITH FUND INFORMATION)
DECEMBER 31, 1994
<CAPTION>
Guaranteed Nashua
Investment Common Equity- Growth Asset
Contract Stock Puritan Magellan Income Company Manager
Fund Fund Fund Fund Fund Fund Fund
---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
Assets:
Guaranteed Investment Contracts,
at Contract Value $63,147 $ - $ - $ - $ - $ - $-
Investments at Fair Value:
Nashua Common Stock Fund - 13,010 - - - - -
Mutual Funds - - 7,145 21,650 2,653 9,670 2
Employee Contributions Receivable 1,121 146 254 921 162 106 -
Employer Contributions Receivable 291 402 33 198 74 33 -
Participant Loans Receivable, at
Fair Value - - - - - - -
------------------------------------------------------------------------------------
Net Assets Available for Plan Benefits $64,559 $13,558 $7,432 $22,769 $2,889 $9,809 $2
====================================================================================
</TABLE>
<TABLE>
<CAPTION>
Pacific Intermediate Gov't Money
Europe Basin Bond Market Loan
Fund Fund Fund Fund Fund Total
---- ---- ---- ---- ---- -----
<S> <C> <C> <C> <C> <C> <C>
Assets:
Guaranteed Investment Contracts,
at Contract Value $ - $- $- $ - $ - $ 63,147
Investments at Fair Value:
Nashua Common Stock Fund - - - - - 13,010
Mutual Funds 7 - 2 617 - 41,746
Employee Contributions Receivable 12 - - 111 - 2,833
Employer Contributions Receivable 5 - - 53 - 1,089
Participant Loans Receivable, at
Fair Value - - - - 3,000 3,000
--------------------------------------------------------------------------
Net Assets Available for Plan Benefits $24 $- $2 $781 $3,000 $124,825
==========================================================================
</TABLE>
See accompanying notes to financial statements.
-4-
<PAGE> 8
NASHUA CORPORATION
SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES
<TABLE>
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS (WITH FUND INFORMATION)
YEAR ENDED DECEMBER 31, 1995
Guaranteed Nashua
Investment Common Equity- Growth Asset
Contract Stock Puritan Magellan Income Company Manager
Fund Fund Fund Fund Fund Fund Fund
---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
Sources of Net Assets:
Employee Contributions $ 8,225 $ 926 $ 2,029 $ 6,661 $1,784 $ 534 $ -
Employer Contributions 2,332 2,292 336 1,719 846 122 -
Investment Income 3,543 - 575 1,817 304 630 -
Net Appreciation of Investments - - 1,257 7,202 823 3,214 -
Loan Repayments - - - 4 - - -
Loan Interest 16 - 4 - - - -
----------------------------------------------------------------------------------------
14,116 3,218 4,201 17,403 3,757 4,500 -
----------------------------------------------------------------------------------------
Applications of Net Assets:
Plan Withdrawals 1,476 1,809 - 11,609 2,513 427 -
Net Depreciation of Investments 208 4,631 - - - - -
Loan Withdrawals - - - - - - -
Administative Expenses 237 9 37 100 3 3 2
-------------------------------------------------------------------------------------
1,921 6,449 37 11,709 2,516 430 2
-------------------------------------------------------------------------------------
Increase (Decrease) in Net Assets
During the Year 12,195 (3,231) 4,164 5,694 1,241 4,070 (2)
Net Transfers Between Funds - (1,159) - 1,159 - - -
Net Assets Available for Plan Benefits:
Beginning of Year 64,559 13,558 7,432 22,769 2,889 9,809 2
-------------------------------------------------------------------------------------
End of Year $76,754 $ 9,168 $11,596 $29,622 $4,130 $13,879 $ -
=====================================================================================
</TABLE>
<TABLE>
<CAPTION>
Pacific Intermediate Gov't Money
Europe Basin Bond Market Loan
Fund Fund Fund Fund Fund Total
---- ---- ---- ---- ---- -----
<S> <C> <C> <C> <C> <C> <C>
Sources of Net Assets:
Employee Contributions $ 72 $164 $ - $ 327 $ - $ 20,722
Employer Contributions 32 - - 153 - 7,832
Investment Income - - - 55 - 6,924
Net Appreciation of Investments 10 1 - - - 12,507
Loan Repayments - - - - (4) -
Loan Interest - - - - - 20
----------------------------------------------------------------------------
114 165 - 535 (4) 48,005
----------------------------------------------------------------------------
Applications of Net Assets:
Plan Withdrawals 118 - - 279 - 18,231
Net Depreciation of Investments - - - - - 4,839
Loan Withdrawals - - - - - -
Administative Expenses - - 2 11 - 412
----------------------------------------------------------------------------
126 - 2 290 - 23,482
----------------------------------------------------------------------------
Increase (Decrease) in Net Assets
During the Year (12) 165 (2) 245 (4) 24,523
Net Transfers Between Funds - - - - - -
Net Assets Available for Plan Benefits:
Beginning of Year 24 - 2 781 3,000 124,825
----------------------------------------------------------------------------
End of Year $ 12 $165 $ - $1,026 $2,996 $149,348
============================================================================
</TABLE>
See accompanying notes to financial statements.
-5-
<PAGE> 9
<TABLE>
NASHUA CORPORATION
SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS (WITH FUND INFORMATION)
YEAR ENDED DECEMBER 31, 1994
<CAPTION>
Guaranteed Nashua
Investment Common Equity- Growth Asset
Contract Stock Puritan Magellan Income Company Manager
Fund Fund Fund Fund Fund Fund Fund
---- ---- ---- ---- ---- ---- ----
<S> <C> <C> <C> <C> <C> <C> <C>
Sources of Net Assets:
Employee Contributions $ 70,245 $ 2,155 $10,891 $ 28,540 $11,627 $10,153 $654
Employer Contributions 7,412 29,392 3,417 6,402 2,380 1,900 96
Investment Income 24,584 - 3,552 6,374 3,558 501 5
Net Appreciation of Investments - 13,017 - - - - 10
Loan Repayments 6,836 43 1,002 3,348 1,427 265 -
Loan Interest 1,851 12 210 937 623 52 -
----------------------------------------------------------------------------------
110,928 44,619 19,072 45,601 19,615 12,871 765
----------------------------------------------------------------------------------
Applications of Net Assets:
Plan Withdrawals 14,069 5,184 417 4,470 4,949 2,748 210
Net Depreciation of Investments - - 854 4,504 127 688 -
Loan Withdrawals 52,709 394 14,445 16,786 11,516 1,276 -
Administative Expenses 474 442 89 162 88 23 -
Plan Transfer (Note 6) 513,776 235,297 47,949 142,891 74,228 34,827 553
----------------------------------------------------------------------------------
581,028 241,317 63,754 168,813 90,908 39,562 763
----------------------------------------------------------------------------------
Increase (Decrease) in Net Assets
During the Year (470,100) (196,698) (44,682) (123,212) (71,293) (26,691) 2
Net Transfers Between Funds - (2,453) (487) 6,464 (485) (231) -
Net Assets Available for Plan Benefits:
Beginning of Year 534,659 212,709 52,601 139,517 74,667 36,731 -
----------------------------------------------------------------------------------
End of Year $ 64,559 $ 13,558 $ 7,432 $ 22,769 $ 2,889 $ 9,809 $ 2
==================================================================================
</TABLE>
<TABLE>
<CAPTION>
Gov't
Pacific Intermediate Money
Europe Basin Bond Market Loan
Fund Fund Fund Fund Fund Total
---- ---- ---- ---- ---- -----
<S> <C> <C> <C> <C> <C> <C>
Sources of Net Assets:
Employee Contributions $ 538 $ 901 $173 $ 8,414 $ - $ 144,291
Employer Contributions 145 183 36 1,380 - 52,743
Investment Income - - 3 445 - 39,022
Net Appreciation of Investments 80 461 - - 13,568
Loan Repayments - - - 245 (13,166) -
Loan Interest - - - 43 - 3,728
---------------------------------------------------------------------
763 1,545 212 10,527 (13,166) 253,352
---------------------------------------------------------------------
Applications of Net Assets:
Plan Withdrawals 173 - 208 2,286 - 34,714
Net Depreciation of Investments - - 2 - - 6,175
Loan Withdrawals - - - 1,874 (99,000) -
Administative Expenses - - - 15 - 1,293
Plant Transfer (Note 6) 1,336 8,156 - 22,205 133,182 1,214,400
---------------------------------------------------------------------
1,509 8,156 210 26,380 34,182 1,256,582
---------------------------------------------------------------------
Increase (Decrease) in Net Assets
During the Year (746) (6,611) 2 (15,853) (47,348) (1,003,230)
Net Transfers Between Funds - (123) - (2,685) - -
Net Assets Available for Plan Benefits:
Beginning of Year 770 6,734 - 19,319 50,348 1,128,055
---------------------------------------------------------------------
End of Year $ 24 $ - $ 2 $ 781 $ 3,000 $ 124,825
=====================================================================
</TABLE>
See accompanying notes to financial statements.
-6-
<PAGE> 10
NASHUA CORPORATION
------------------
SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES
-------------------------------------------
NOTES TO FINANCIAL STATEMENTS
-----------------------------
NOTE 1 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
- ---------------------------------------------------
Basis of Accounting
- -------------------
The financial statements of the Nashua Corporation Savings Plan for Specified
Hourly Employees ("the Plan") are presented on the accrual basis of accounting.
Plan Establishment
- ------------------
The Plan was established January 1, 1992 for hourly employees at Nashua
Corporation's Santa Clara facility. Subsequently, the hourly employees of
Nashua Corporation's Exeter facility were eligible to participate in the Plan.
On May 25, 1994 Nashua Corporation's Santa Clara facility was sold and the Plan
transferred $1,214,400 to a plan established by the buyer.
Asset Maintenance
- -----------------
Fidelity Management Trust Company is the Plan trustee ("the Trustee"). Assets of
the Plan are invested, at the election of the participants, in up to twelve
Fidelity Investments' mutual funds (Fidelity Magellan Fund, Fidelity Puritan
Fund, Fidelity Equity-Income Fund, Fidelity Growth Company Fund, Fidelity
Pacific Basin Fund, Fidelity Europe Fund, Fidelity Asset Manager Fund, Fidelity
Intermediate Bond Fund, Fidelity Contrafund, Fidelity Small Cap Stock Fund,
Fidelity U.S. Equity Index Portfolio, or Fidelity Retirement Government Money
Market Fund), a Guaranteed Investment Contract Fund managed by the Trustee or
the Nashua Common Stock Fund. The Fidelity Small Cap Stock Fund, Fidelity
Contrafund and Fidelity U.S. Equity Index Fund were new investment options in
1995.
The Plan's assets are commingled with assets of the Nashua Corporation
Employees' Savings Plan in a participant-directed master trust arrangement. The
Plan's participation in the net assets of the master trust is recorded based on
individual plan participants' account balances. Investment income and expenses
for each investment option are allocated to the individual participant account
balances based on the prorata beginning account balances less withdrawals and
loans made to participants.
Investment Valuation
- --------------------
Common shares of Nashua Corporation ("the Company") held in the Plan are valued
at closing sales prices supplied by a pricing service. The Plan's guaranteed
investment contracts are valued at contract value which approximates fair
value. Contract value represents contributions made under the contracts, plus
interest earned, less funds used to pay withdrawals and expenses. The Plan's
mutual fund and collective investment fund accounts are valued at the
respective funds' closing net asset values. Investment transactions are
recorded on the trade date. Participant loans are valued at cost plus accrued
interest which approximates fair value. Cost is determined on an average cost
basis.
Investment Income
- -----------------
Income from investments is recorded as earned on an accrual basis.
-7-
<PAGE> 11
Contributions
- -------------
The Plan has certain established criteria for eligibility. All contributions are
immediately 100% vested. 401(k) Plan contributions - Employees may make a basic
contribution of up to 15% of their earnings to the Plan. The Company contributes
an amount equal to 50% of up to 6% of the employees' contributed earnings.
Employees can direct their contributions and the Company matching contributions
into any of the investment funds available for their contribution. Employee's
contributions into the Nashua Common Stock Fund are limited to 25% of their
account balance.
Withdrawals and Loans
- ---------------------
Plan participants may withdraw part or all of their account balances subject to
certain restrictions stipulated by current Internal Revenue Service regulations.
The Plan also provides for optional forms of withdrawal at the time of
retirement. Plan participants may borrow against individual Plan balances
subject to Plan and current Internal Revenue Service regulations. Interest on
the loans is payable at 2% above the prime rate. Loans are payable within 5
years from the date of withdrawal unless the amount was withdrawn to purchase a
primary residence, in which case the term of the loan is 20 years. At December
31, 1995 and 1994, there was one loan outstanding totalling $2,996 and $3,000,
respectively.
Expenses
- --------
Trustee administrative fees, audit and other expenses are paid directly by the
Company and, accordingly, such items are not reflected in the financial
statements of the Plan. Fees for participant loans are paid by the Plan and are
reflected in the accompanying financial statements as administrative expenses.
Use of Estimates
- ----------------
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions
that affect the reported amounts and disclosures in the financial statements.
Actual results could differ from those estimated.
Federal Income Tax Status
- -------------------------
The Company was advised by the U.S. Treasury Department on November 17, 1993
that the Plan is qualified under Section 401 of the Internal Revenue Code ("the
Code") and is exempt from federal income taxes. The Plan has since been amended,
however, a new letter has not yet been requested. Management believes that the
Plan, as amended, and its operations have been and continue to be in accordance
with all applicable provisions of the Code and the Employee Retirement Income
Security Act of 1974 ("ERISA").
NOTE 2 - GENERAL DESCRIPTION OF THE PLAN
- ----------------------------------------
The following brief description of the Plan is provided for general information
purposes only. Participants should refer to the Plan agreement for more complete
information.
1. GENERAL - The Plan is a defined contribution plan covering all eligible
employees. It is subject to the provisions of ERISA.
2. TERMINATION - The Plan is administered by the Nashua Pension Committee,
which is composed of officers of the Company. The Company anticipates and
believes that the Plan will continue without interruption, but reserves the
right to discontinue the Plan. In the event that such discontinuance
results in the termination of the Plan, the Plan provides that net assets
shall be allocated among the participants.
-8-
<PAGE> 12
NOTE 3 - INVESTMENTS
- --------------------
<TABLE>
The Plan's investments, excluding the Guaranteed Investment Contract Fund, are
summarized as follows:
<CAPTION>
December 31,
------------------------
1995 1994
---- ----
<S> <C> <C>
Nashua Common Stock Fund $ 9,168 $13,010
Fidelity Puritan Fund 11,505 7,145
Fidelity Magellan Fund 29,307 21,650
Fidelity Equity Income Fund 4,057 2,653
Fidelity Growth Company Fund 13,860 9,670
Fidelity Asset Manager Fund -- 2
Fidelity Europe Fund 12 7
Fidelity Pacific Basin Fund 165 --
Fidelity Intermediate Bond Fund -- 2
Fidelity Retirement Government
Money Market Fund 1,026 617
------- -------
$69,100 $54,756
======= =======
</TABLE>
NOTE 4 - GUARANTEED INVESTMENT CONTRACT FUND
- --------------------------------------------
<TABLE>
The Plan's investment in the Guaranteed Investment Contract Fund consists of the following:
<CAPTION>
December 31,
1995 1994
------ -------
<S> <C> <C>
Pacific Mutual Life Insurance Company
5.3% Due 3/30/99 - 6/30/99 $ 3,809 $ 6,023
State Mutual Life Assurance
5.48% Due 1/1/98 - 1/3/99 3,769 6,326
Life of Virginia
8.32% Due 3/31/97 4,031 16,897
Aetna Life Insurance Company
6.78% Due 6/30/95 -- 2,987
Lincoln National Life Insurance Company
6.28% Due 12/31/96 5,860 6,773
Provident Life & Accident Insurance Company
6.14% Due 1/29/99 -- 6,811
People's Security Life
5.52% Due 2/28/00 5,862 6,324
People's Security Life
5.41% Due 2/28/00 2,114 2,108
Confederation Life Insurance Company
8.77% Due 1/3/95 7,812 7,812
Fidelity Institutional Money Market Fund -- 1,086
Fidelity Managed Income Portfolio II 40,962 --
Cash 2,130 --
------- -------
$76,349 $63,147
======= =======
</TABLE>
The issuing institution's ability to meet its contractual obligations under the
respective contracts may be affected by future economic and regulatory
developments in the insurance industry.
On August 12, 1994 Canadian regulators seized control of Confederation Life
Insurance Company. As a result, the Plan's investment in that carrier's
contract has been frozen until regulators finalize a rehabilitation plan.
Interest accrual ceased on August 12, 1994. While the rehabilitation
proceedings are still pending, realization of the Plan's investment in the
contract and the collectibility of interest thereon cannot be presently
determined. Accordingly, no provision for any loss that may result upon final
resolution of these matters has been made in the accompanying financial
statements.
-9-
<PAGE> 13
NOTE 5 - SAVINGS PLANS MASTER TRUST
- -----------------------------------
<TABLE>
The assets of the Plan have been commingled with assets of another Company
savings plan in the Nashua Corporation Savings Plans Master Trust ("the Master
Trust"). The Plan administrator adjusted the financial data as confirmed on a
cash basis by the Trustee to the accrual basis on which the information shown
below is prepared. The effect of converting to the accrual basis was to record
accrued employer and employee contributions receivable. The Plan owned
approximately 0.2% of the Master Trust as of December 31, 1995 and 1994.
<CAPTION>
December 31,
---------------------------
1995 1994
---- ----
<S> <C> <C>
Statement of Net Assets
Available for Plan Benefits:
Guaranteed Investment Contracts, at Contract Value $ 9,368,121 $21,533,934
Nashua Common Stock Fund, at Fair Value 3,995,146 5,499,016
Mutual Funds, at Fair Value 33,446,659 22,912,974
Collective Investment Fund, at Fair Value 10,229,676 -
Cash 531,900 -
Employee Contributions Receivable 312,251 383,267
Employer Contributions Receivable 110,343 135,626
Participant Loans Receivable, at Fair Value 2,608,847 2,173,276
----------- -----------
Net Assets Available for Plan Benefits $60,602,943 $52,638,093
=========== ===========
Year Ended December 31,
----------------------------
1995 1994
---- ----
Statement of Changes in Net Assets
Available for Plan Benefits:
Sources of Net Assets:
Employee Contributions $ 4,406,498 $ 5,271,617
Employer Contributions 1,520,574 1,797,983
Investment Income 2,762,262 2,608,247
Net Appreciation of Investments 5,328,978 25,762
Loan Interest 176,825 145,301
----------- -----------
14,195,137 9,848,910
----------- -----------
Applications of Net Assets:
Plan Withdrawals 4,355,061 5,037,619
Net Depreciation of Investment 1,845,582 2,979,570
Administrative Expenses 29,644 17,134
Plan Transfer -- 3,233,311
----------- -----------
6,230,287 11,267,634
----------- -----------
Increase (Decrease) in Net Assets During the Year $ 7,964,850 $(1,418,724)
=========== ============
</TABLE>
The Master Trust purchased 36,300 and 55,800 common shares of Nashua Corporation
at a total cost of $617,519 and $1,414,510 during 1995 and 1994, respectively.
The Master Trust received $222,104 and $1,483,342 from the sale of 13,200 and
53,762 common shares of Nashua Corporation during 1995 and 1994, respectively.
-10-
<PAGE> 14
NOTE 6 - PLAN TRANSFER
- ----------------------
On May 25, 1994 the Company's Santa Clara facility was sold. The participants of
the Plan who were employees of the Santa Clara facility were transferred into a
plan established by the buyer. The transfer occurred during the third quarter of
1994 and resulted in a Plan transfer of $1,214,400.
NOTE 7 - IMPLEMENTATION OF STATEMENT OF POSITION 94-4
- -----------------------------------------------------
In September 1994, the American Institute of Certified Public Accountants
("AICPA") issued Statement of Position 94-4 "Reporting of Investment Contracts
Held by Health and Welfare Benefit Plans and Defined Contribution Pension Plans"
(the "SOP") which amends the AICPA Audit and Accounting Guide - Audits of
Employee Benefit Plans. The SOP is effective for financial statements for years
beginning after December 15, 1994, except that the application of the SOP to
investment contracts entered into before December 31, 1993, is delayed to years
beginning after December 15, 1995. The SOP will be implemented during the year
ended December 31, 1996 for the Plan. The SOP requires defined contribution
plans to report investment contracts with fully benefit-responsive features, as
defined in the SOP, at contract value and other investment contracts at fair
value. Management does not believe the implementation of the SOP will have a
material effect on the financial statements.
-11-
<PAGE> 15
CONSENT OF INDEPENDENT ACCOUNTANTS
We hereby consent to the incorporation by reference in the Registration
Statement on Form S-8 of Nashua Corporation of our report dated June 25, 1996
relating to the financial statements of the Nashua Corporation Employees'
Savings Plan for the year ended December 31, 1995 included with this Form 11-K.
We also consent to the incorporation by reference in the Registration Statement
on Form S-8 of Nashua Corporation of our report dated June 25, 1996 relating to
the financial statements of the Nashua Corporation Employees' Savings Plan for
Specified Hourly Employees for the year ended December 31, 1995 included with
this Form 11-K.
/s/ Price Waterhouse LLP
- ------------------------
PRICE WATERHOUSE LLP
Boston, Massachusetts
June 27, 1996
<PAGE> 16
SIGNATURE
NASHUA CORPORATION SAVINGS PLAN FOR SPECIFIED HOURLY EMPLOYEES. Pursuant to
the requirements of the Securities Act of 1934, the Plan Committee has duly
caused this annual report to be signed on its behalf by the undersigned
thereunto duly authorized.
NASHUA CORPORATIONS SAVINGS PLAN
FOR SPECIFIED HOURLY EMPLOYEES
Date: June 28, 1996 By: /s/ Paul Buffum
------------------------------------
Paul Buffum
Nashua Corporation Savings Plan for
Specified Hourly Employees Committee
