<PAGE>
As filed with the Securities and Exchange Commission on June 30, 1997
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
------------------------------
FORM 11-K
ANNUAL REPORT
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.
For the fiscal year ended December 31, 1996
-----------------
OR
TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES
--- EXCHANGE ACT OF 1934.
For the transition period from to
--------------------- -----------------------
Commission file number 1-9390
------------------
------------------------------
FOODMAKER, INC. EASY$AVER PLUS PLAN
(Full title of the Plan)
------------------------------
FOODMAKER, INC.
(Name of issuer of the securities held pursuant to the Plan)
9330 Balboa Avenue
San Diego, CA 92123
(Address of principal executive offices)
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Financial Statements and Schedules
December 31, 1996 and 1995
(With Independent Auditors' Report Thereon)
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
December 31, 1996 and 1995
TABLE OF CONTENTS
Page number
-----------
Independent Auditors' Report 1
Statement of Net Assets Available for Benefits With Fund
Information as of December 31, 1996 2
Statement of Net Assets Available for Benefits With Fund
Information as of December 31, 1995 4
Statement of Changes in Net Assets Available for Benefits
With Fund Information for the year ended December 31, 1996 5
Statement of Changes in Net Assets Available for Benefits
With Fund Information for the year ended December 31, 1995 8
Notes to Financial Statements 9
Schedule I - Line 27a - Schedule of Assets Held for
Investment Purposes 14
Schedule II - Line 27d - Schedule of Reportable
Transactions 16
<PAGE>
Independent Auditors' Report
----------------------------
The Participants and the
Administrative Committee
Foodmaker, Inc. Easy$aver Plus Plan:
We have audited the accompanying statements of net assets available for
benefits of the Foodmaker, Inc. Easy$aver Plus Plan as of December 31, 1996
and 1995, and the related statements of changes in net assets available for
benefits for each of the years in the two-year period ended December 31,
1996. These financial statements are the responsibility of the Plan's
management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free
of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements.
An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a
reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of the Plan as
of December 31, 1996 and 1995, and the changes in net assets available for
benefits for each of the years in the two-year period ended December 31,
1996, 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 schedules I and II
are presented for the purpose of additional analysis and are not a required
part of the basic financial statements but are supplementary information
required by the Department of Labor's Rules and Regulations for Reporting
and Disclosure under the Employee Retirement Income Security Act of 1974.
The fund information in the statements of net assets available for benefits
with fund information and the statements of changes in net assets available
for benefits with fund information is presented for purposes of additional
analysis rather than to present the net assets available for benefits and
changes in net assets available for 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.
KPMG PEAT MARWICK LLP
San Diego, California
June 23, 1997
-1-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Net Assets Available for Benefits With Fund Information
December 31, 1996
(in thousands)
<TABLE>
<CAPTION>
Dreyfus
Certus Dreyfus Dreyfus Dreyfus Lifetime Dreyfus Neuberger
Stable Short/Int Disciplined Lifetime Growth & Lifetime & Berman
Value Govt Stock Income Income Growth Gaurdian Sub
Fund Fund Fund Fund Fund Fund Trust Total
------- ------- ------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Assets
Investments, at fair value:
Common/collective trust funds $ 41 9 24 4 30 8 8 124
Common stocks - - - - - - - -
Mutual funds 3,554 918 5,355 106 8,954 300 396 19,583
Participant notes receivable - - - - - - - -
------- ------- ------- ------- ------- ------- ------- -------
3,595 927 5,379 110 8,984 308 404 19,707
Investments, at contract value:
Guaranteed investment contracts 9,896 - - - - - - 9,896
------- ------- ------- ------- ------- ------- ------- -------
Total investments 13,491 927 5,379 110 8,984 308 404 29,603
------- ------- ------- ------- ------- ------- ------- -------
Receivables:
Due from broker - 8 43 - 48 1 2 102
Interest 67 - - - - - - 67
------- ------- ------- ------- ------- ------- ------- -------
67 8 43 - 48 1 2 169
------- ------- ------- ------- ------- ------- ------- -------
Total assets 13,558 935 5,422 110 9,032 309 406 29,772
------- ------- ------- ------- ------- ------- ------- -------
Liabilities
Accrued expenses 12 - - - - - - 12
Due to broker - - - - - - - -
------- ------- ------- ------- ------- ------- ------- -------
12 - - - - - - 12
------- ------- ------- ------- ------- ------- ------- -------
Net assets available for benefits $13,546 935 5,422 110 9,032 309 406 29,760
======= ======= ======= ======= ======= ======= ======= =======
(Continued)
</TABLE>
-2-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Net Assets Available for Benefits With Fund Information, Continued
December 31, 1996
(in thousands)
<TABLE>
<CAPTION>
Warburg
Crabbe Crabbe Pincus Foodmaker,
Huson Heartland Huson Intl. Inc. Participant
Sub Equity Value Special Equity Common Notes
Total Fund Fund Fund Fund Stock Receivable Total
------- ------- ------- ------- ------- ------- ---------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Assets
Investments, at fair value:
Common/collective trust funds $ 124 4 7 2 4 12 - 153
Common stocks - - - - - 2,288 - 2,288
Mutual funds 19,583 169 575 89 222 - - 20,638
Participant notes receivable - - - - - - 3,231 3,231
------- ------- ------- ------- ------- ------- ------- -------
19,707 173 582 91 226 2,300 3,231 26,310
Investments, at contract value:
Guaranteed investment contracts 9,896 - - - - - - 9,896
------- ------- ------- ------- ------- ------- ------- -------
Total investments 29,603 173 582 91 226 2,300 3,231 36,206
------- ------- ------- ------- ------- ------- ------- -------
Receivables:
Due from broker 102 2 2 1 - 8 - 115
Interest 67 - - - - - - 67
------- ------- ------- ------- ------- ------- ------- -------
169 2 2 1 - 8 - 182
------- ------- ------- ------- ------- ------- ------- -------
Total assets 29,772 175 584 92 226 2,308 3,231 36,388
------- ------- ------- ------- ------- ------- ------- -------
Liabilities
Accrued expenses 12 - - - - - - 12
Due to broker - - - - - 3 - 3
------- ------- ------- ------- ------- ------- ------- -------
12 - - - - 3 - 15
------- ------- ------- ------- ------- ------- ------- -------
Net assets available for benefits $29,760 175 584 92 226 2,305 3,231 36,373
======= ======= ======= ======= ======= ======= ======= =======
</TABLE>
See accompanying notes to financial statements.
-3-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Net Assets Available for Benefits With Fund Information
December 31, 1995
(in thousands)
<TABLE>
<CAPTION>
Fidelity Twentieth Foodmaker,
Equity Fixed Century Inc. Dreyfus Participant
Income Income Select Common Short/Int Notes
Fund Fund Fund Stock Govt Fund Receivable Total
------- ------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
Assets
Investments, at fair value:
Common/collective trust funds $ 50 151 25 11 10 - 247
Common stocks - - - 1,364 - - 1,364
Mutual funds 8,843 - 2,948 - 695 - 12,486
Participant notes receivable - - - - - 2,543 2,543
------- ------- ------- ------- ------- ------- -------
8,893 151 2,973 1,375 705 2,543 16,640
Investments, at contract value:
Guaranteed investment contracts - 14,400 - - - - 14,400
------- ------- ------- ------- ------- ------- -------
Total investments 8,893 14,551 2,973 1,375 705 2,543 31,040
------- ------- ------- ------- ------- ------- -------
Receivables:
Interest - 76 - - - - 76
Employer's contribution 4 8 3 1 1 - 17
Participants' contributions 15 22 9 4 4 - 54
------- ------- ------- ------- ------- ------- -------
Total receivables 19 106 12 5 5 - 147
------- ------- ------- ------- ------- ------- -------
Transfers due from (to) other funds 111 (183) 37 43 (8) - -
------- ------- ------- ------- ------- ------- -------
Net assets available for benefits $ 9,023 14,474 3,022 1,423 702 2,543 31,187
======= ======= ======= ======= ======= ======= =======
</TABLE>
See accompanying notes to financial statements.
-4-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Changes in Net Assets Available for Benefits With Fund Information
Year ended December 31, 1996
(in thousands)
<TABLE>
<CAPTION>
Fidelity Twentieth Certus Dreyfus Dreyfus
Equity Fixed Century Stable Short/Int Disciplined
Income Income Select Value Govt Stock Sub
Fund Fund Fund Fund Fund Fund Total
------- ------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
Additions
Additions to net assets
attributed to:
Investment income:
Net appreciation (depreciation)
in fair value of investments $ 380 - 139 - (17) 689 1,191
Interest 1 147 1 611 11 - 771
Dividends 179 - - - 38 49 266
------- ------- ------- ------- ------- ------- -------
560 147 140 611 32 738 2,228
------- ------- ------- ------- ------- ------- -------
Contributions:
Participants' 174 288 113 753 231 429 1,988
Employer's 52 97 32 259 65 125 630
------- ------- ------- ------- ------- ------- -------
226 385 145 1,012 296 554 2,618
------- ------- ------- ------- ------- ------- -------
Total additions 786 532 285 1,623 328 1,292 4,846
------- ------- ------- ------- ------- ------- -------
Deductions
Deductions in net assets
attributed to:
Benefits paid to participants (431) (1,025) (246) (634) (47) (164) (2,547)
Administrative expenses (7) (37) (6) (47) (8) (8) (113)
------- ------- ------- ------- ------- ------- -------
Total deductions (438) (1,062) (252) (681) (55) (172) (2,660)
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) prior to
interfund transfers 348 (530) 33 942 273 1,120 2,186
Interfund transfers (9,371) (13,944) (3,055) 12,604 (40) 4,302 (9,504)
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) (9,023) (14,474) (3,022) 13,546 233 5,422 (7,318)
Net assets available for benefits:
Beginning of year 9,023 14,474 3,022 - 702 - 27,221
------- ------- ------- ------- ------- ------- -------
End of year $ - - - 13,546 935 5,422 19,903
======= ======= ======= ======= ======= ======= =======
(Continued)
</TABLE>
-5-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Changes in Net Assets Available for Benefits With Fund
Information, Continued
Year ended December 31, 1996
(in thousands)
<TABLE>
<CAPTION>
Dreyfus
Dreyfus Lifetime Dreyfus Neuberger Crabbe
Lifetime Growth & Lifetime & Berman Huson
Sub Income Income Growth Guardian Equity Sub
Total Fund Fund Fund Trust Fund Total
------- ------- ------- ------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
Additions
Additions to net assets
attributed to:
Investment income:
Net appreciation (depreciation)
in fair value of investments $ 1,191 (1) 667 19 38 14 1,928
Interest 771 - 1 - - - 772
Dividends 266 5 190 5 2 1 469
------- ------- ------- ------- ------- ------- -------
2,228 4 858 24 40 15 3,169
------- ------- ------- ------- ------- ------- -------
Contributions:
Participants' 1,988 78 578 159 125 77 3,005
Employer's 630 24 177 46 33 20 930
------- ------- ------- ------- ------- ------- -------
2,618 102 755 205 158 97 3,935
------- ------- ------- ------- ------- ------- -------
Total additions 4,846 106 1,613 229 198 112 7,104
------- ------- ------- ------- ------- ------- -------
Deductions
Deductions in net assets
attributed to:
Benefits paid to participants (2,547) (6) (440) (10) (2) (2) (3,007)
Administrative expenses (113) (1) (12) (1) - - (127)
------- ------- ------- ------- ------- ------- -------
Total deductions (2,660) (7) (452) (11) (2) (2) (3,134)
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) prior to
interfund transfers 2,186 99 1,161 218 196 110 3,970
Interfund transfers (9,504) 11 7,871 91 210 65 (1,256)
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) (7,318) 110 9,032 309 406 175 2,714
------- ------- ------- ------- ------- ------- -------
Net assets available for benefits:
Beginning of year 27,221 - - - - - 27,221
------- ------- ------- ------- ------- ------- -------
End of year $19,903 110 9,032 309 406 175 29,935
======= ======= ======= ======= ======= ======= =======
(Continued)
</TABLE>
-6-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Changes in Net Assets Available for Benefits With Fund
Information, Continued
Year ended December 31, 1996
(in thousands)
<TABLE>
<CAPTION>
Warburg
Crabbe Pincus Foodmaker,
Heartland Huson Intl. Inc. Participant
Sub Value Special Equity Common Notes
Total Fund Fund Fund Stock Receivable Total
------- ------- ------- ------- ------- ---------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
Additions
Additions to net assets
attributed to:
Investment income:
Net appreciation (depreciation)
in fair value of investments $ 1,928 39 4 2 689 - 2,662
Interest 772 - - - 1 228 1,001
Dividends 469 1 1 5 - - 476
------- ------- ------- ------- ------- ------- -------
3,169 40 5 7 690 228 4,139
------- ------- ------- ------- ------- ------- -------
Contributions:
Participants' 3,005 125 43 67 275 - 3,515
Employer's 930 31 11 18 78 - 1,068
------- ------- ------- ------- ------- ------- -------
3,935 156 54 85 353 - 4,583
------- ------- ------- ------- ------- ------- -------
Total additions 7,104 196 59 92 1,043 228 8,722
------- ------- ------- ------- ------- ------- -------
Deductions
Deductions in net assets
attributed to:
Benefits paid to participants (3,007) (2) (1) (1) (163) (233) (3,407)
Administrative expenses (127) - - - (2) - (129)
------- ------- ------- ------- ------- ------- -------
Total deductions (3,134) (2) (1) (1) (165) (233) (3,536)
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) prior to
interfund transfers 3,970 194 58 91 878 (5) 5,186
Interfund transfers (1,256) 390 34 135 4 693 -
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) 2,714 584 92 226 882 688 5,186
Net assets available for benefits:
Beginning of year 27,221 - - - 1,423 2,543 31,187
------- ------- ------- ------- ------- ------- -------
End of year $29,935 584 92 226 2,305 3,231 36,373
======= ======= ======= ======= ======= ======= =======
</TABLE>
See accompanying notes to financial statements.
-7-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Statement of Changes in Net Assets Available for Benefits With Fund Information
Year Ended December 31, 1995
(in thousands)
<TABLE>
<CAPTION>
Fidelity Twentieth Foodmaker,
Equity Fixed Century Inc. Dreyfus Participant
Income Income Select Common Short/Int Notes
Fund Fund Fund Stock Govt Fund Receivable Total
------- ------- ------- ------- --------- ---------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
Additions
Additions to net assets
attributed to:
Investment income
Net appreciation in fair
value of investments $ 1,906 - 507 360 31 - 2,804
Interest - 908 - - 43 233 1,184
Dividends 210 - 20 - - - 230
------- ------- ------- ------- ------- ------- -------
2,116 908 527 360 74 233 4,218
------- ------- ------- ------- ------- ------- -------
Contributions:
Employer's 123 251 77 34 31 - 516
Participants' 791 1,448 507 229 199 - 3,174
------- ------- ------- ------- ------- ------- -------
914 1,699 584 263 230 - 3,690
------- ------- ------- ------- ------- ------- -------
Total additions 3,030 2,607 1,111 623 304 233 7,908
------- ------- ------- ------- ------- ------- -------
Deductions
Deductions to net assets
attributed to:
Benefits paid to participants (897) (1,828) (374) (105) (81) (244) (3,529)
Administrative expenses (21) (66) (16) - (10) (113)
------- ------- ------- ------- ------- ------- -------
Total deductions (918) (1,894) (390) (105) (91) (244) (3,642)
------- ------- ------- ------- ------- ------- -------
Net increase (decrease) prior
to interfund transfers 2,112 713 721 518 213 (11) 4,266
Interfund transfers 164 (375) 15 122 (37) 111 -
------- ------- ------- ------- ------- ------- -------
Net increase 2,276 338 736 640 176 100 4,266
Net assets available for
benefits:
Beginning of year 6,747 14,136 2,286 783 526 2,443 26,921
------- ------- ------- ------- ------- ------- -------
End of year $ 9,023 14,474 3,022 1,423 702 2,543 31,187
======= ======= ======= ======= ======= ======= =======
</TABLE>
See accompanying notes to financial statements.
-8-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Notes to Financial Statements
December 31, 1996 and 1995
1. DESCRIPTION OF THE PLAN
The following brief description of the Foodmaker, Inc.
Easy$aver Plus Plan (the "Plan") is provided for general information purposes
only. Participants should refer to the Plan document for a more complete
description of the Plan's provisions.
a. General:
The Plan was established effective April 1, 1983 for the
purpose of enabling employees to enhance their long-range financial security
through regular savings with the benefit of Foodmaker, Inc. (the "Company")
contributions. The benefits provided under the Plan are intended to
supplement the retirement benefits provided under other plans sponsored by
the Company. The Plan is subject to certain provisions of the Employee
Retirement Income Security Act of 1974 ("ERISA"); however, benefits under
the Plan are not eligible for plan termination insurance provided by the
Pension Benefit Guaranty Corporation under Title IV of ERISA.
The Company, as plan sponsor, makes contributions to the
Plan and pays a portion of the administrative costs. Subject to certain
restrictions, the plan sponsor also has the authority and responsibility for
the general administration of the Plan. The Chairperson of the Company's
Board of Directors is authorized to appoint the members of the Administrative
Committee (the "Committee"). Mellon Bank, N.A. has become successor trustee
to Northern Trust Company, and has the authority to hold, manage and protect
the assets of the Plan in accordance with the provisions of the Plan.
Beginning in April 1996, recordkeeping administrative services are performed
by Dreyfus Service Corporation. In connection with this change in
recordkeeper, the Plan offers daily investment trading and has increased the
number of investment choices to twelve.
The Plan covers substantially all regular administrative,
clerical, warehouse and distribution employees, and maintenance
and equipment technicians of the Company who have completed one
year of service, receive regular compensation from a payroll in the United
States, and have attained age 21. For employees hired on or after April 1,
1996, the one year of service requirement was changed to one year of service
in which the employee is credited with at least 1000 hours of service.
Participation by eligible employees is voluntary.
-9-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Notes to Financial Statements
December 31, 1996 and 1995
(Continued)
1. DESCRIPTION OF THE PLAN (Continued)
b. Contributions:
Participants can elect to have the Company contribute to
the Plan any amount from 2% to 12% of their compensation in 1% increments
through payroll deductions. This deferral is referred to as a pre-tax
deferral, i.e., it is not subject to income taxes in the year
deferred. Except as described below, the Company has made matching
contributions equal to 50% of each participant's first 4% of base
compensation deferred. Effective April 3, 1995, the Company temporarily
suspended matching contributions. Effective October 2, 1995, the Company
reinstated matching contributions. Prior to January 1, 1989, participants
who deferred at least 4% of compensation could have elected to contribute an
additional 1% to 10% of compensation, in 1% increments, on an after-tax
basis. Beginning January 1, 1989, after-tax contributions could have been
made whether or not the participant had elected to make any pre-tax
deferrals. Effective April 1, 1991, after-tax contributions may no longer be
made to the Plan.
c. Vesting:
Participants have a fully vested interest in their pre-
tax deferrals and after-tax contributions plus actual earnings thereon.
Company contributions vest at the rate of 25 percent for each year of service
by the participant or upon attainment of age sixty-five, disability, death or
termination of the Plan. The vested amount in a participant's account
normally is distributed upon termination of employment. The amount of the
Company's contribution that is not vested with respect to any participant is
forfeited upon termination of employment, but is restored if the participant
becomes an eligible employee within five years after termination.
Forfeitures are used to reduce employer contributions. During the year, no
forfeitures were used to reduce employer contributions. As of December 31,
1996, plan assets included $9,867 of unallocated forfeitures.
d. Participant Accounts:
As of December 31, 1996, the trustee maintains twelve
investment funds. Effective March 31, 1996, the Fidelity Equity Income Fund
and the Twentieth Century Select Fund were discontinued. Participant balances
were reinvested on April 1, 1996 in the Dreyfus Lifetime Growth & Income Fund
and the Dreyfus Disciplined Stock Fund, respectively. Also effective
April 1, 1996, the Fixed Income Fund was renamed the Certus Stable Value Fund
and investment management duties previously performed by State Street Bank
are now performed by Certus. Participants may direct their pre-tax deferrals,
after-tax and Company matching contributions to be placed in any of the twelve
investment funds allocated in multiples of 10% to any combination of these
investment funds. Earnings derived from the assets of any investment fund
are reinvested in the fund to which they relate.
-10-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Notes to Financial Statements
December 31, 1996 and 1995
(Continued)
1. DESCRIPTION OF THE PLAN (Continued)
d. Participant Accounts (continued):
Participants may elect to transfer all or any multiple of 10% of the value of
their accounts among funds on any market trading day. Pending investment of
the assets in an investment fund, the trustee may temporarily make certain
short-term investments.
The Plan permits voluntary withdrawals by participants
of their after-tax contributions and related earnings no more than once every
six months. Because of certain Internal Revenue Service regulations,
participants may, with Committee approval, withdraw pre-tax deferrals
(exclusive of earnings for withdrawals after December 31, 1989), Company
matching contributions (if the participant is fully vested) and related
earnings only in the event of a financial hardship. The Plan permits
participants to borrow from the investment funds. Loans are subject to such
rules and regulations as the Committee may adopt, including but not limited
to the following: (1) the amount of the loan is subject to certain
limitations, (2) the loan bears interest at prevailing rates and repayments
are to be made through payroll deductions, and (3) the payment of a
processing fee is required. Amounts loaned to participants are treated as
invested in such loans and, to the extent unpaid, do not generate any
earnings other than interest thereon.
e. Use of Estimates:
The Plan sponsor and administrator have made a number of
estimates and assumptions relating to the reporting of net assets available
for benefits and changes in net assets available for benefits to prepare the
financial statements in conformity with generally accepted accounting
principles. Actual results could differ from those estimates.
f. Reclassifications:
Certain 1995 balances have been reclassified to conform
to 1996 presentation.
2. SUMMARY OF ACCOUNTING POLICIES
The financial statements of the Plan are prepared using
the accrual method of accounting.
The Plan's common/collective trust funds are stated at
fair value. The Plan's investments in common stocks and mutual funds are
stated at fair value, which is determined by quoted market prices. Purchases
and sales of securities are recorded on a trade-date basis. All receivables
and liabilities are valued at cost, which approximates fair value.
-11-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Notes to Financial Statements
December 31, 1996 and 1995
(Continued)
2. SUMMARY OF ACCOUNTING POLICIES (Continued)
The Plan's insurance company contracts are valued at
contract value. Contract value represents contributions made under the
contract, plus interest at the contract rate, less Plan withdrawals and
certain expenses (See Note 4).
3. INVESTMENTS
Investments consist of the following at December 31, 1996 and 1995:
<TABLE>
<CAPTION>
December 31, 1996 December 31, 1995
------------------------------ -------------------------------
Contract Fair Contract Fair
Description of Investment Cost Value Value Cost Value Value
- ------------------------- ------- ------- ------- ------- ------- -------
(in thousands)
<S> <C> <C> <C> <C> <C> <C>
Northern Trust Collective
Short-term Investment Fund $ - - - 198 - 198
State Street Yield Enhanced
Short-term Investment Fund - - - 49 - 49
TBC, Inc. Pooled Employee Fund 153 - 153 - - -
Fidelity Equity Income Fund, Inc.
(net asset value $37.93 in 1995) - - - 7,398 - 8,843
Guaranteed Investment Contracts 9,896 9,896 - 14,400 14,400 -
Certus Stable Value Fund
(net asset value $1.00 in 1996) 3,554 - 3,554 - - -
Twentieth Century Investors, Inc.
Select Fund (net asset value
$35.62 in 1995) - - - 2,776 - 2,948
Dreyfus Short-Intermediate
Government Fund (net asset value
$10.87 and $11.10 in 1996 and
1995, respectively) 918 - 918 660 - 695
Dreyfus Disciplined Stock Fund
(net asset value $26.40 in 1996) 5,031 - 5,355 - - -
Dreyfus Lifetime Income Fund
(net asset value $12.78 in 1996) 110 - 106 - - -
Dreyfus Lifetime Growth & Income
Fund (net asset value $15.51
in 1996) 8,497 - 8,954 - - -
</TABLE>
-12-
<PAGE>
FOODMAKER, INC. EASY$AVER PLUS PLAN
Notes to Financial Statements
December 31, 1996 and 1995
(Continued)
3. INVESTMENTS (Continued)
<TABLE>
<CAPTION>
December 31, 1996 December 31, 1995
------------------------------ -------------------------------
Contract Fair Contract Fair
Description of Investment Cost Value Value Cost Value Value
- ------------------------- ------- ------- ------- ------- ------- -------
(in thousands)
<S> <C> <C> <C> <C> <C> <C>
Dreyfus Lifetime Growth Fund
(net asset value $16.26 in 1996) 302 - 300 - - -
Neuberger & Berman Guardian Trust
(net asset value $15.87 in 1996) 366 - 396 - - -
Crabbe Huson Equity Fund
(net asset value $18.85 in 1996) 169 - 169 - - -
Heartland Value Fund
(net asset value $31.65 in 1996) 569 - 575 - - -
Crabbe Huson Special Fund
(net asset value $14.33 in 1996) 86 - 89 - - -
Warburg Pincus International Equity
Fund (net asset value $20.84
in 1996) 223 - 222 - - -
Foodmaker, Inc. Common Stock 1,895 - 2,288 996 - 1,364
Participant notes receivable 3,231 - 3,231 2,543 - 2,543
------- ------- ------- ------- ------- -------
$35,000 9,896 26,310 29,020 14,400 16,640
======= ======= ======= ======= ======= =======
</TABLE>
4. INVESTMENT CONTRACTS WITH INSURANCE COMPANIES
The Certus Stable Value Fund includes various guaranteed
investment contracts ("GIC") with insurance companies. These GIC's guarantee
a fixed rate of interest over a specified period of time. Funds may be
withdrawn from any GIC by the Plan, prior to the maturity of the GIC, in
order to meet the withdrawal elections by the Plan participants from the
Certus Stable Value Fund. The average yield on these contracts was 6.2% and
5.8% for the plan years ended December 31, 1996 and 1995, respectively. The
crediting interest rates on these contracts approximated the average yield as
of December 31, 1996 and 1995.
5. FEDERAL INCOME TAXES
The Internal Revenue Service (IRS) has determined and
informed the Company by a letter dated April 1, 1987, that the Plan and
related trust are designed in accordance with applicable sections of the
Internal Revenue Code. The Plan was amended and restated thereafter
effective January 1, 1988 and January 1, 1989. On November 28, 1995, the IRS
issued a favorable tax determination letter related to these restatements.
The Plan was further restated effective January 1, 1996. The Plan sponsor
believes that the Plan continues to qualify and to operate as designed.
-13-
<PAGE>
Schedule I
----------
FOODMAKER, INC. EASY$AVER PLUS PLAN
Line 27a-Schedule of Assets Held for Investment Purposes
(in thousands)
<TABLE>
December 31, 1996 December 31, 1995
---------------------------------- ---------------------------------
Number of Current Number of Current
Description of Investment Shares/Units Cost Value Shares/Units Cost Value
- ------------------------- ------------ ------- ------- ------------ ------- -------
<S> <C> <C> <C> <C> <C> <C>
Common/Collective Trust Funds:
* Northern Trust Collective
Short-term Investment Fund - $ - - 198 198 198
* State Street Yield Enhanced
Short-term Investment Fund - - - 49 49 49
* TBC, Inc. Pooled Employee Fund 153 153 153 - - -
------- ------- ------- -------
153 153 247 247
------- ------- ------- -------
Guaranteed Investment Contracts:
Principal Mutual, 8.55% matures
1/2/96 - - - - 563 563
CIGNA, 8.75% matures 1/2/96 - - - - 715 715
Mass. Mutual, 7.87% matures 6/30/96 - - - - 334 334
CNA, 6.00% matures 6/30/96
& 12/31/96 - - - - 600 600
Principal Mutual, 6.50% matures
1/2/95-6/30/96 - - - - 274 274
Metropolitan, 6.10% matures 6/30/97 - 701 701 - 701 701
NY Life, 5.15% matures 6/30/97 & 98 - 591 591 - 895 895
Principal Mutual, 5.02% matures
7/1/97 & 12/31/97 - 502 502 - 762 762
Hartford, 4.90% matures 12/31/97 - 337 337 - 684 684
Provident, 4.18% matures 6/30/97 - 312 312 - 637 637
Hartford, 4.76% matures 6/30/97 - 550 550 - 1,121 1,121
NY Life, 6.75% matures 12/31/97
& 98 - 524 524 - 782 782
Principal Mutual, 7.08% matures
12/31/97 & 6/30/99 - 1,249 1,249 - 1,238 1,238
Life of VA, 8.04% matures
6/30/98, 6/30/99 & 12/31/99 - 800 800 - 786 786
Hancock, 7.88% matures
quarterly through 12/31/99 - 675 675 - 785 785
Transamerica, 5.63% matures
9/30/97 & 98 - 1,262 1,262 - 1,118 1,118
Metropolitan, 7.53% matures
6/30/98 & 12/31/99 - 1,135 1,135 - 1,148 1,148
NY Life, 6.22% matures
9/30/97 & 98 and 12/31/98 - 1,258 1,258 - 1,257 1,257
------- ------- ------- -------
9,896 9,896 14,400 14,400
------- ------- ------- -------
</TABLE>
-14-
<PAGE>
Schedule I (Continued)
----------------------
FOODMAKER, INC. EASY$AVER PLUS PLAN
Line 27a-Schedule of Assets Held for Investment Purposes
(in thousands)
<TABLE>
December 31, 1996 December 31, 1995
---------------------------------- ---------------------------------
Number of Current Number of Current
Description of Investment Shares/Units Cost Value Shares/Units Cost Value
- ------------------------- ------------ ------- ------- ------------ ------- -------
<S> <C> <C> <C> <C> <C> <C>
Mutual Funds:
Fidelity Equity Income
Fund, Inc. (net asset
value $37.93 in 1995) - - - 233.14 7,398 8,843
* Certus Stable Value Fund
(net asset value $1.00
in 1996) 3,553.76 3,554 3,554 - - -
Twentieth Century Investors,
Inc. Select Fund (net asset
value $35.62 in 1995) - - - 82.77 2,776 2,948
* Dreyfus Short-Intermediate
Government Fund (net asset
value $10.87 and $11.10
in 1996 and 1995,
respectively) 84.45 918 918 62.63 660 695
* Dreyfus Disciplined Stock
Fund (net asset value
$26.40 in 1996) 202.86 5,031 5,355 - - -
* Dreyfus Lifetime Income
Fund (net asset value $12.78
in 1996) 8.27 110 106 - - -
* Dreyfus Lifetime Growth &
Income Fund (net asset
value $15.51 in 1996) 577.32 8,497 8,954 - - -
* Dreyfus Lifetime Growth Fund
(net asset value $16.26 in
1996) 18.48 302 300 - - -
Neuberger & Berman Guardian
Trust (net asset value
$15.87 in 1996) 24.92 366 396 - - -
Crabbe Huson Equity Fund
(net asset value $18.85
in 1996) 8.97 169 169 - - -
Heartland Value Fund
(net asset value $31.65
in 1996) 18.16 569 575 - - -
Crabbe Huson Special Fund
(net asset value $14.33
in 1996) 6.17 86 89 - - -
Warburg Pincus International
Equity Fund (net asset
value $20.84 in 1996) 10.62 223 222 - - -
------- ------- ------- -------
19,825 20,638 10,834 12,486
* Foodmaker, Inc. Common Stock 257.23 1,895 2,288 227.46 996 1,364
* Participant notes receivable - 3,231 3,231 - 2,543 2,543
------- ------- ------- -------
$35,000 36,206 29,020 31,040
======= ======= ======= =======
* Party-in-interest
</TABLE>
See accompanying Independent Auditors' Report.
-15-
<PAGE>
Schedule II
-----------
FOODMAKER, INC. EASY$AVER PLUS PLAN
Line 27d-Schedule of Reportable Transactions
Year ended December 31, 1996
(in thousands)
<TABLE>
<CAPTION>
Current
Value
of Asset Net
on Gain
Identity of Party Description Purchase Selling Cost of Transaction or
Involved of Asset Price Price Asset Date (Loss)
----------------- ----------- ----- ----- ----- ---- ------
<S> <S> <C> <C> <C> <C> <C>
Fidelity Investments Fidelity Equity Income 502 - 502 502 -
Fund - 9,725 7,344 9,725 2,381
Certus Asset Advisors Certus Stable Value 4,787 - 4,787 4,787 -
Fund, Series J - 1,280 1,280 1,280 -
Twentieth Century Investors, Inc. Twentieth Century 164 - 164 164 -
Select Shares Capital - 3,252 3,292 3,252 (40)
Stock Fund
The Dreyfus Corporation Dreyfus Lifetime Portfolio 1,048 - 1,048 1,048 -
Growth & Income - 1,478 1,442 1,478 36
Income Fund
Foodmaker, Inc. Common Stock 833 - 833 833 -
- 1,142 1,077 1,142 65
The Boston Company TBC, Inc. Pooled 4,560 - 4,560 4,560 -
Employee Fund - 4,364 4,364 4,364 -
Northern Trust Company Collective Short-Term 2,862 - 2,862 2,862 -
Investment Fund - 3,061 3,061 3,061 -
State Street Bank State Street Selection 525 - 525 525 -
Fund - 1,265 1,265 1,265 -
</TABLE>
-16-
<PAGE>
EXHIBITS
1. Consent of KPMG Peat Marwick LLP.
SIGNATURES
The Plan. Pursuant to the requirements of the Securities Exchange Act of
1934, the trustees (or other persons who administer the employee benefit
plan) have duly caused this annual report to be signed on its behalf by the
undersigned hereunto duly authorized.
FOODMAKER, INC. EASY$AVER
PLUS PLAN
Date: June 27, 1997 By:LAWRENCE E. SCHAUF
------------------
Lawrence E. Schauf
Member, Administrative Committee
-17-
<PAGE>
Exhibit 1
Independent Auditors' Consent
-----------------------------
The Board of Directors
Foodmaker, Inc.:
We consent to incorporation by reference in the registration statement (No.
33-54602) on Form S-8 of Foodmaker, Inc. of our report dated June 23, 1997,
relating to the statements of net assets available for benefits of the
Foodmaker, Inc. Easy$aver Plus Plan as of December 31, 1996 and 1995, and the
related statements of changes in net assets available for benefits for each
of the years in the two-year period ended December 31, 1996, and all related
schedules, which report appears in the December 31, 1996 annual report on
Form 11-K of the Foodmaker, Inc. Easy$aver Plus Plan.
KPMG PEAT MARWICK LLP
San Diego, California
June 27, 1997
