<PAGE>
===============================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
[x] Quarterly Report Pursuant to Section 13 or 15(d) of
the Securities Exchange Act of 1934
For the quarterly period ended June 30, 2000
or
[ ] Transition Report Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
For the transition period from _________ to _________
Commission File No. 0-6394
PACCAR Inc
-------------------------------------------------------------------------------
(Exact name of registrant as specified in its charter)
Delaware 91-0351110
------------------------------- ------------------------------------
(State or other jurisdiction of (I.R.S. Employer Identification No.)
incorporation or organization)
777 - 106th Ave. N.E., Bellevue, WA 98004
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(Address of principal executive offices) (Zip Code)
(425) 468-7400
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(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for at least the past 90 days. Yes X No
--- ---
Indicate the number of shares outstanding of each of the issuer's classes of
common stock, as of the latest practicable date.
Common Stock, $1 par value--76,525,801 shares as of July 31, 2000
===============================================================================
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
-------------------------------------------------------------------------------
INDEX
<TABLE>
<CAPTION>
PAGE
----
<S> <C>
PART I. FINANCIAL INFORMATION:
ITEM 1. FINANCIAL STATEMENTS:
Consolidated Statements of Income --
Three and Six Months Ended June 30, 2000 and 1999 (unaudited)................... 3
Consolidated Balance Sheets --
June 30, 2000 (unaudited), and December 31, 1999................................ 4
Condensed Consolidated Statements of Cash Flows --
Six Months Ended June 30, 2000 and 1999 (unaudited)............................. 6
Notes to Consolidated Financial Statements........................................ 7
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF
OPERATIONS AND FINANCIAL CONDITION.......................................... 10
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK.................. 12
PART II. OTHER INFORMATION:
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS......................... 12
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K............................................ 13
SIGNATURE............................................................................. 14
INDEX TO EXHIBITS..................................................................... 15
</TABLE>
-2-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
PART I--FINANCIAL INFORMATION
<TABLE>
<CAPTION>
ITEM 1. FINANCIAL STATEMENTS
--------------------------------------------------------------------------------------------------------------------------
Consolidated Statements of Income (Unaudited)
(Millions Except Per Share Amounts)
--------------------------------------------------------------------------------------------------------------------------
Three Months Ended Six Months Ended
June 30 June 30
--------------------------------------------------------------------------------------------------------------------------
2000 1999 2000 1999
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
TRUCK AND OTHER:
Net sales $ 2,023.4 $2,181.2 $ 4,246.2 $ 4,249.8
Costs and Expenses
Cost of sales 1,758.2 1,842.6 3,656.5 3,598.4
Selling, general and administrative 101.6 141.5 212.0 290.6
Interest and other, net (10.4) 5.7 (9.1) 8.6
--------------------------------------------------------------------------------------------------------------------------
1,849.4 1,989.8 3,859.4 3,897.6
--------------------------------------------------------------------------------------------------------------------------
Truck and Other Income
Before Income Taxes 174.0 191.4 386.8 352.2
FINANCIAL SERVICES:
Revenues 117.5 89.3 226.0 173.8
Costs and Expenses
Interest and other 74.2 53.1 140.7 102.1
Selling, general and administrative 14.8 12.7 29.6 26.9
Provision for losses on receivables 9.3 4.6 17.3 7.6
--------------------------------------------------------------------------------------------------------------------------
98.3 70.4 187.6 136.6
--------------------------------------------------------------------------------------------------------------------------
Financial Services Income
Before Income Taxes 19.2 18.9 38.4 37.2
OTHER:
Investment income 11.1 8.9 21.9 17.2
--------------------------------------------------------------------------------------------------------------------------
Total Income Before Income Taxes 204.3 219.2 447.1 406.6
Income taxes 73.2 79.7 161.1 147.6
--------------------------------------------------------------------------------------------------------------------------
Net Income $ 131.1 $ 139.5 $ 286.0 $ 259.0
==========================================================================================================================
Net Income Per Share:
Basic $ 1.72 $ 1.78 $ 3.71 $ 3.31
==========================================================================================================================
Diluted $ 1.71 $ 1.77 $ 3.69 $ 3.29
==========================================================================================================================
Weighted average number of
basic shares outstanding 76.4 78.2 77.0 78.2
==========================================================================================================================
Dividends declared and paid per share $ .30 $ .20 $ .60 $ .40
==========================================================================================================================
</TABLE>
See Notes to Consolidated Financial Statements.
-3-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Consolidated Balance Sheets June 30 December 31
ASSETS (Millions of Dollars) 2000 1999*
--------------------------------------------------------------------------------------------------------------------------
(Unaudited)
<S> <C> <C>
TRUCK AND OTHER:
Current Assets
Cash and cash equivalents $ 485.2 $ 511.5
Trade and other receivables, net of allowance for losses 576.1 570.2
Marketable securities 468.4 530.7
Inventories 347.3 384.5
Deferred taxes and other current assets 136.2 122.1
--------------------------------------------------------------------------------------------------------------------------
Total Truck and Other Current Assets 2,013.2 2,119.0
Equipment on lease, goodwill and other 362.3 356.2
Property, plant and equipment, net 859.2 875.3
--------------------------------------------------------------------------------------------------------------------------
Total Truck and Other Assets 3,234.7 3,350.5
--------------------------------------------------------------------------------------------------------------------------
FINANCIAL SERVICES:
Cash and cash equivalents 20.3 16.9
Finance and other receivables, net of allowance for losses 5,322.4 4,766.5
Less unearned interest (357.9) (326.3)
--------------------------------------------------------------------------------------------------------------------------
4,964.5 4,440.2
Equipment on operating leases, net 124.4 91.2
Other assets 39.0 34.2
--------------------------------------------------------------------------------------------------------------------------
Total Financial Services Assets 5,148.2 4,582.5
--------------------------------------------------------------------------------------------------------------------------
$8,382.9 $7,933.0
==========================================================================================================================
</TABLE>
-4-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
June 30 December 31
LIABILITIES AND STOCKHOLDERS' EQUITY 2000 1999*
--------------------------------------------------------------------------------------------------------------------------
(Unaudited)
<S> <C> <C>
TRUCK AND OTHER:
Current Liabilities
Accounts payable and accrued expenses $1,262.6 $1,259.5
Current portion of long-term debt and commercial paper 57.9 70.1
Dividend payable 125.3
Income taxes 89.0 78.9
--------------------------------------------------------------------------------------------------------------------------
Total Truck and Other Current Liabilities 1,409.5 1,533.8
Long-term debt 145.3 182.2
Other, including deferred taxes 442.3 395.7
--------------------------------------------------------------------------------------------------------------------------
Total Truck and Other Liabilities 1,997.1 2,111.7
--------------------------------------------------------------------------------------------------------------------------
FINANCIAL SERVICES:
Accounts payable, accrued expenses and other 105.5 114.9
Commercial paper and bank loans 2,054.9 2,113.4
Long-term debt 1,803.2 1,292.3
Deferred income taxes and other 195.1 190.1
--------------------------------------------------------------------------------------------------------------------------
Total Financial Services Liabilities 4,158.7 3,710.7
--------------------------------------------------------------------------------------------------------------------------
STOCKHOLDERS' EQUITY
Preferred stock, no par value:
Authorized 1.0 million shares, none issued
Common stock, $1 par value: Authorized 200.0 million
shares, 78.5 million shares issued
(including 2.0 million treasury shares) 78.5 78.3
Additional paid-in capital 633.2 626.9
Retained earnings 1,820.5 1,580.9
Less treasury shares--at cost (89.2)
Accumulated other comprehensive income (loss) (215.9) (175.5)
--------------------------------------------------------------------------------------------------------------------------
Total Stockholders' Equity 2,227.1 2,110.6
--------------------------------------------------------------------------------------------------------------------------
$8,382.9 $7,933.0
==========================================================================================================================
</TABLE>
* The December 31, 1999 consolidated balance sheet has been derived from audited
financial statements.
See Notes to Consolidated Financial Statements.
-5-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Condensed Consolidated Statements of Cash Flows (Unaudited)
(Millions of Dollars)
--------------------------------------------------------------------------------------------------------------------------
Six Months Ended June 30 2000 1999
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C>
NET CASH PROVIDED BY OPERATING ACTIVITIES $ 322.3 $ 401.0
INVESTING ACTIVITIES:
Finance receivables originated (1,255.0) (1,131.8)
Collections on finance receivables 866.8 829.5
Net increase in wholesale receivables (105.5) (75.0)
Marketable securities purchased (81.5) (509.3)
Marketable securities maturities and sales 143.7 491.5
Acquisition of property, plant and equipment (57.1) (124.5)
Acquisition of equipment for operating leases (52.1) (18.3)
Proceeds from asset disposals 28.2 31.1
Other 16.0 4.0
--------------------------------------------------------------------------------------------------------------------------
Net Cash Used in Investing Activities (496.5) (502.8)
FINANCING ACTIVITIES:
Cash dividends paid (171.7) (156.6)
Purchase of treasury shares (89.2)
Stock option transactions 5.1 3.8
Net (decrease) increase in commercial paper and bank loans (54.9) 115.2
Proceeds of long-term debt 781.3 449.6
Payment of long-term debt (301.5) (264.8)
--------------------------------------------------------------------------------------------------------------------------
Net Cash Provided by Financing Activities 169.1 147.2
Effect of exchange rate changes on cash (17.8) (28.2)
--------------------------------------------------------------------------------------------------------------------------
Net (Decrease) Increase in Cash and Equivalents (22.9) 17.2
Cash and cash equivalents at beginning of period 528.4 432.4
--------------------------------------------------------------------------------------------------------------------------
Cash and cash equivalents at end of period $ 505.5 $ 449.6
==========================================================================================================================
</TABLE>
See Notes to Consolidated Financial Statements.
-6-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
-------------------------------------------------------------------------------
Notes to Consolidated Financial Statements (In millions)
===============================================================================
NOTE A--Basis of Presentation
The accompanying unaudited consolidated financial statements have been prepared
in accordance with the instructions to Form 10-Q and Article 10 of Regulation
S-X. Accordingly, they do not include all of the information and footnotes
required by generally accepted accounting principles for complete financial
statements. In the opinion of management, all adjustments (consisting of normal
recurring accruals) considered necessary for a fair presentation have been
included. Operating results for the three- and six-month periods ended June 30,
2000 are not necessarily indicative of the results that may be expected for the
year ended December 31, 2000. For further information, refer to the consolidated
financial statements and footnotes included in the Company's annual report on
Form 10-K for the year ended December 31, 1999.
Reclassifications: Certain prior year amounts have been reclassified to conform
to the 2000 presentation.
<TABLE>
<CAPTION>
NOTE B--Inventories
--------------------------------------------------------------------------------------------------------------------------
June 30 December 31
2000 1999
--------------------------------------------------------------------------------------------------------------------------
(Unaudited)
<S> <C> <C>
Inventories at cost:
Finished products $ 221.6 $ 203.4
Work in process and raw materials 253.0 305.8
--------------------------------------------------------------------------------------------------------------------------
474.6 509.2
Less LIFO reserve (127.3) (124.7)
--------------------------------------------------------------------------------------------------------------------------
$ 347.3 $ 384.5
==========================================================================================================================
</TABLE>
Under the LIFO method of accounting (used for approximately 44% of June 30,
2000, inventories), an actual valuation can be made only at the end of each year
based on year-end inventory levels and costs. Accordingly, interim valuations
are based on management's estimates of those year-end amounts. Based on present
estimates of year-end inventory levels, no significant liquidations of LIFO
inventory quantities are expected. Because inventory levels and costs are
subject to many forces beyond management's control, the present estimates are
subject to the final year-end LIFO inventory valuation.
-7-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
-------------------------------------------------------------------------------
Notes to Consolidated Financial Statements (In millions, except share amounts)
===============================================================================
NOTE C--Stockholders' Equity
Additional Stock Issuances
On January 1, 2000, approximately 348,000 stock options previously granted to
PACCAR employees became exercisable. For the six months ended June 30, 2000,
PACCAR issued an additional 202,000 common shares as a result of deferred
compensation and employee stock option transactions.
Diluted Earnings Per Share
The following table shows the additional shares added to basic shares
outstanding to calculate diluted earnings per share. These amounts represent
primarily the dilutive effect of stock options outstanding.
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Three Months Ended Six Months Ended
June 30 June 30
--------------------------------------------------------------------------------------------------------------------------
2000 1999 2000 1999
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Additional shares 483,000 566,000 481,000 544,000
--------------------------------------------------------------------------------------------------------------------------
</TABLE>
Comprehensive Income (Unaudited)
The components of comprehensive income, net of any related tax, were as follows:
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
Three Months Ended Six Months Ended
June 30 June 30
--------------------------------------------------------------------------------------------------------------------------
2000 1999 2000 1999
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
--------------------------------------------------------------------------------------------------------------------------
Net income $ 131.1 $ 139.5 $ 286.0 $ 259.0
Foreign currency translation adjustments (10.1) (8.4) (33.1) (33.4)
Net unrealized losses on securities (1.1) (2.4) (7.3) (2.3)
--------------------------------------------------------------------------------------------------------------------------
Total comprehensive income $ 119.9 $ 128.7 $ 245.6 $ 223.3
==========================================================================================================================
</TABLE>
Accumulated Other Comprehensive Loss
Accumulated other comprehensive loss was comprised of the following:
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------
June 30 December 31
2000 1999
--------------------------------------------------------------------------------------------------------------------------
(Unaudited)
<S> <C> <C>
Accumulated foreign currency translation adjustments $(202.2) $(169.1)
Net unrealized losses on securities (13.7) (6.4)
--------------------------------------------------------------------------------------------------------------------------
Net accumulated other comprehensive loss $(215.9) $(175.5)
==========================================================================================================================
</TABLE>
Other
During the first half of 2000, PACCAR completed the previously announced plan to
purchase two million shares of its outstanding common stock at a total cost of
$89.2. All shares were purchased at prevailing market prices.
-8-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
-------------------------------------------------------------------------------
Notes to Consolidated Financial Statements
===============================================================================
<TABLE>
<CAPTION>
NOTE D--Segment Information (Unaudited)
--------------------------------------------------------------------------------------------------------------------------
Three Months Ended Six Months Ended
June 30 June 30
--------------------------------------------------------------------------------------------------------------------------
2000 1999 2000 1999
--------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Revenues:
Net sales
Trucks $2,008.2 $2,107.0 $4,216.8 $4,108.6
All other 15.2 74.2 29.4 141.2
--------------------------------------------------------------------------------------------------------------------------
2,023.4 2,181.2 4,246.2 4,249.8
Financial Services Revenues 117.5 89.3 226.0 173.8
--------------------------------------------------------------------------------------------------------------------------
$2,140.9 $2,270.5 $4,472.2 $4,423.6
==========================================================================================================================
Income before taxes:
Truck $ 160.1 $ 188.0 $ 367.6 $ 350.2
All other 13.9 3.4 19.2 2.0
--------------------------------------------------------------------------------------------------------------------------
174.0 191.4 386.8 352.2
Financial Services income before taxes 19.2 18.9 38.4 37.2
Investment income 11.1 8.9 21.9 17.2
--------------------------------------------------------------------------------------------------------------------------
$ 204.3 $ 219.2 $ 447.1 $ 406.6
==========================================================================================================================
</TABLE>
Included in "All other" is PACCAR's industrial winch manufacturing business and
other sales, income and expense not attributable to a reportable segment,
including a portion of corporate expense. In 1999, this caption also included
the Company's retail auto parts business, which was sold in the fourth quarter
of 1999.
Note E--Other
Interest expense on Truck and Other external borrowings amounted to $3.5 and
$6.8 for the three and six months ended June 30, 2000, compared to $3.2 and $6.3
for the three and six months ended June 30, 1999.
-9-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND
FINANCIAL CONDITION
RESULTS OF OPERATIONS:
PACCAR's consolidated net sales in the first half of 2000 of $4.2
billion were comparable to sales in the same period last year.
Second quarter net sales of $2.0 billion in 2000 were below the
second quarter record of $2.2 billion set in 1999. Consolidated net
income for the first six months increased 10% to $286.0 million in
2000 from $259.0 million last year. Second quarter 2000 net income
decreased six percent to $131.1 million from $139.5 million in the
year earlier quarter.
First half Truck segment net sales of $4.2 billion were 3% ahead of
the prior year sales of $4.1 billion. Second quarter sales were
$2.0 billion, 5% lower than $2.1 billion in the second quarter of
1999 due to slowing truck demand in the United States and Canada.
In dollar terms, sales from European operations were down slightly
despite higher unit volumes due to the weaker euro in the current
year. Sales in Mexico increased due to improving economic
conditions and truck demand.
Truck segment income before taxes of $367.6 million in the first
half of 2000 was 5% higher than the 1999 results of $350.2 million.
Second quarter 2000 results reflected a 15% decrease to $160.1
million from the $188.0 million earned a year ago. The decrease in
second quarter profitability was attributable primarily to lower
sales and lower gross margins in the United States and Canada.
These decreases were partially offset by higher sales and profits
from European operations as well as reduced selling, general and
administrative expenses from the company-wide cost reduction
program.
Truck markets in the United States and Canada are being impacted by
slower growth in freight shipments, higher fuel prices and interest
rates, and growing new and used truck inventories. Industry truck
orders are currently 30-40% below levels of the previous year. The
Company's U.S. truck divisions, Peterbilt and Kenworth, have
tailored their production levels to the changes in market demand
and to balance dealer inventories by scheduling plant shutdown days
and reducing build rates. Lower production rates will result in
lower sales and profits in the second half of 2000.
The truck market in Europe remained strong and DAF, the Company's
European truck subsidiary, raised production 10% in the second
quarter to meet customer demand. The traditional summer holiday
factory closures of the Company's European truck plants will have
an unfavorable impact on the Company's sales and profits in the
third quarter compared to the first and second quarters of 2000.
-10-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
Financial Services segment pretax income increased slightly to
$19.2 million and $38.4 million for the second quarter and first
half of 2000 compared to the year-earlier periods. Consolidated net
loan and lease portfolios grew by 28% compared to the net balance
at June 30, 1999. The larger portfolio contributed to a 32% and 30%
increase in Financial Services revenues for second quarter and
first half 2000 compared to 1999. The provision for losses was $9.3
million for the second quarter of 2000 compared to $4.6 million in
1999 and $17.3 million for the first half of 2000 compared to $7.6
million last year due to higher credit losses in the U.S. and
Canada as well as growth in the overall portfolio. Higher fuel
costs continued to impact operating margins for many truck
operators. This contributed to a higher level of repossessions for
PACCAR's U.S. finance subsidiary. Declines in used truck prices
further increased the amount and overall level of credit losses.
LIQUIDITY AND CAPITAL RESOURCES:
PACCAR's ratio of Truck and Other current assets to current
liabilities moved from 1.38 at December 31, 1999 to 1.43 at June 30,
2000.
The decrease in net cash provided by operating activities compared
to 1999 resulted from changes in components of working capital. In
the first half of 2000, PACCAR used cash from operating
activities, marketable securities maturities and sales, and cash
reserves to pay the special year-end and regular quarterly cash
dividends, to make net capital additions, to fund financial
services lending activities in excess of outside borrowings and to
repurchase 2 million shares of its stock under a share repurchase
plan authorized, as previously announced, by its Board of
Directors. Capital additions in 1999 included expenditures for the
Company's truck plant at Ste. Therese Canada. The effect of
exchange rate changes on cash in both years is primarily
attributable to changes in the euro in relation to the U.S.
dollar.
In March 2000, PACCAR's largest financial services subsidiary,
PACCAR Financial Corp. (PFC), completed a shelf registration under
the Securities Act of 1933 to issue up to $2.5 billion of senior
debt securities to the public. At the end of June 2000, $575
million of such securities had been issued. PFC also completed a
$1.5 billion bank syndicated credit facility at the beginning of
the third quarter of 2000 to provide liquidity to its commercial
paper program.
Other information on liquidity and capital resources as presented
in the 1999 Annual Report to Stockholders continues to be
relevant.
-11-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK
There have been no material changes in the Company's market risk
during the six months ended June 30, 2000. For additional
information, refer to Item 7a as presented in the 1999 Annual
Report to Stockholders.
PART II--OTHER INFORMATION
For Items 1, 2, 3 and 5, there was no reportable information for any of the
three months ended June 30, 2000.
ITEM 4. SUBMISSION OF MATTERS TO A VOTE OF SECURITY HOLDERS
(a) The annual meeting of stockholders was held on April 25, 2000.
(b) The following persons were elected to serve as directors:
Class II - Term Expiring in 2003
--------------------------------
James C. Pigott
Mark C. Pigott
William G. Reed, Jr.
Other persons whose term of office as a director continued after
the meeting:
Class III - Term Expiring in 2001
----------------------------------
David K. Newbigging
Charles M. Pigott
Harold A. Wagner
Class I - Term Expiring in 2002
-------------------------------
John M. Fluke, Jr.
Gerald Grinstein
David J. Hovind
Michael A. Tembreull
(c) Following is a brief description and vote count of all items voted
upon at the annual meeting:
ITEM NO. 1: ELECTION OF DIRECTORS
Directors were elected with the following vote:
<TABLE>
<CAPTION>
Shares
Voted Shares
"For" "Withheld" Nonvotes
---------- ---------- ---------
<S> <C> <C> <C>
James C. Pigott 71,883,051 1,250,000 0
Mark C. Pigott 67,338,289 5,794,762 0
William G. Reed, Jr. 72,200,300 932,751 0
</TABLE>
-12-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
ITEM NO. 2: APPROVAL OF THE PACCAR INC RESTRICTED STOCK AND
DEFERRED COMPENSATION PLAN FOR NON-EMPLOYEE DIRECTORS
Item No. 2 was approved with the following vote:
<TABLE>
<CAPTION>
Shares Shares
Voted Voted
"For" "Against" Abstentions Nonvotes
---------- --------- ----------- --------
<S> <C> <C> <C>
69,593,040 3,016,553 523,458 0
</TABLE>
ITEM NO. 3: STOCKHOLDER PROPOSAL REGARDING THE INDEPENDENT
MANAGEMENT OF THE BOARD OF DIRECTORS
Item No. 3 was not approved with the following vote:
<TABLE>
<CAPTION>
Shares Shares
Voted Voted
"For" "Against" Abstentions Nonvotes
---------- --------- ----------- --------
<S> <C> <C> <C>
19,416,693 48,288,786 1,335,875 4,091,697
</TABLE>
(d) None
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits. Any exhibits filed herewith are listed in the accompanying
index to exhibits.
(b) No reports on Form 8-K have been filed for the quarter ended
June 30, 2000.
-13-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
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 thereunto duly authorized.
PACCAR Inc
-----------------------------
(Registrant)
Date August 11, 2000 By /s/ G. D. Hatchel
----------------------- ----------------------------------
G. D. Hatchel
Vice President and Controller
(Authorized Officer and
Chief Accounting Officer)
-14-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
INDEX TO EXHIBITS
EXHIBIT (IN ORDER OF ASSIGNED INDEX NUMBERS)
--------------------------------------------
3 Articles of incorporation and bylaws:
(a) PACCAR Inc Certificate of Incorporation, as amended to April 29,
1997 (incorporated by reference to the Quarterly Report on Form
10-Q for the quarter ended March 31, 1997).
(b) PACCAR Inc Bylaws, as amended to April 26, 1994 (incorporated by
reference to the Quarterly Report on Form 10-Q for the quarter
ended March 31, 1994).
4 Instruments defining the rights of security holders, including
indentures:
(a) Rights agreement dated as of December 10, 1998 between PACCAR Inc
and First Chicago Trust Company of New York setting forth the
terms of the Series A Junior Participating Preferred Stock, no par
value per share (incorporated by reference to Exhibit 4.1 of the
Current Report on Form 8-K of PACCAR Inc dated December 21, 1998).
(b) Indenture for Senior Debt Securities dated as of December 1, 1983,
and first Supplemental Indenture dated as of June 19, 1989,
between PACCAR Financial Corp. and Citibank, N.A., Trustee
(incorporated by reference to Exhibit 4.1 of the Annual Report on
Form 10-K of PACCAR Financial Corp. dated March 26, 1984, File
Number 0-12553 and Exhibit 4.2 to PACCAR Financial Corp.'s
registration statement on Form S-3 dated June 23, 1989,
Registration No. 33-29434).
(c) Forms of Medium-Term Note, Series G (incorporated by reference to
Exhibits 4.3A and 4.3B to PACCAR Financial Corp.'s Registration
Statement on Form S-3, dated December 8, 1993, Registration Number
33-51335).
Form of Letter of Representation among PACCAR Financial Corp.,
Citibank, N.A., and the Depository Trust Company, Series G
(incorporated by reference to Exhibit 4.4 to PACCAR Financial
Corp.'s Registration Statement on Form S-3, dated December 8,
1993, Registration Number 33-51335).
(d) Forms of Medium-Term Note, Series H (incorporated by reference to
Exhibits 4.3A and 4.3B to PACCAR Financial Corp.'s Registration
Statement on Form S-3, dated March 11, 1996, Registration Number
333-01623).
Form of Letter of Representation among PACCAR Financial Corp.,
Citibank, N.A. and the Depository Trust Company, Series H
(incorporated by reference to Exhibit 4.4 to PACCAR Financial
Corp.'s Registration Statement on Form S-3 dated March 11, 1996,
Registration Number 333-01623).
(e) Forms of Medium-Term Note, Series I (incorporated by reference to
Exhibits 4.3A and 4.3B to PACCAR Financial Corp.'s Registration
Statement on Form S-3 dated September 10, 1998, Registration
Number 333-63153).
-15-
<PAGE>
FORM 10-Q
PACCAR Inc AND SUBSIDIARIES
INDEX TO EXHIBITS
EXHIBIT (IN ORDER OF ASSIGNED INDEX NUMBERS)
--------------------------------------------
Form of Letter of Representation among PACCAR Financial Corp.,
Citibank, N.A. and the Depository Trust Company, Series I
(incorporated by reference to Exhibit 4.5 to PACCAR Financial
Corp.'s Registration Statement on Form S-3 dated September 10,
1998, Registration Number 333-63153).
(f) Forms of Medium-Term Note, Series J (incorporated by reference to
Exhibits 4.2A and 4.2B to PACCAR Financial Corp.'s Registration
Statement on Form S-3 dated March 2, 2000, Registration Number
333-31502).
Form of Letter of Representation among PACCAR Financial Corp.,
Citibank, N.A. and the Depository Trust Company, Series J
(incorporated by reference to Exhibit 4.3 to PACCAR Financial
Corp.'s Registration Statement on Form S-3 dated March 2, 2000,
Registration Number 333-31502)
10 Material contracts:
(a) PACCAR Inc Incentive Compensation Plan (incorporated by reference
to Exhibit (10)(a) of the Annual Report on Form 10-K for the year
ended December 31, 1980).
(b) Supplemental Retirement Plan (incorporated by reference to Exhibit
(10)(c) of the Annual Report on Form 10-K for the year ended
December 31, 1980).
(c) 1981 Long Term Incentive Plan (incorporated by reference to
Exhibit A of the 1982 Proxy Statement, dated March 25, 1982).
(d) Amendment to 1981 Long Term Incentive Plan (incorporated by
reference to Exhibit (10)(a) of the Quarterly Report on Form 10-Q
for the quarter ended March 31, 1991).
(e) PACCAR Inc 1991 Long-Term Incentive Plan (incorporated by
reference to Exhibit C of the 1997 Proxy Statement, dated March
20, 1997).
(f) Amended and Restated Deferred Incentive Compensation Plan
(incorporated by reference to Exhibit (10)(g) of the Annual Report
on Form 10-K for the year ended December 31, 1993).
(g) PACCAR Inc Senior Executive Incentive Plan (incorporated by
reference to Exhibit D of the 1997 Proxy Statement, dated March
20, 1997).
(h) PACCAR Inc Restricted Stock and Deferred Compensation Plan for
Non-employee Directors (Incorporated by reference to Appendix A of
the 2000 Proxy Statement, dated March 16, 2000).
27 Financial Data Schedule
(a) For the six months ended June 30, 2000
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