SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM ll-K
Annual Report Pursuant to Section l5(d) of the
Securities Exchange Act of 1934
For the fiscal year ended June 30, 1995
Commission file number 1-12
Full title of the Plan and the address of the Plan,
if different from that of the issuer named below:
The Quaker Stock Bonus Savings Plan
Name of the issuer of the securities held pursuant to the Plan
and the address of its principal executive office:
The Quaker Oats Company
P.O. Box 049001
Chicago, Illinois 60604-9001
Item 1. See Item 4.
Item 2. See Item 4.
Item 3. See Item 4.
Item 4. Financial Statements and Exhibits
(a) Financial Statements
The Quaker Stock Bonus Savings Plan is subject to the
Employee Retirement Income Security Act of 1974
("ERISA"), and the report of Washington, Pittman &
McKeever, independent public accountants, as prepared
in accordance with the financial reporting requirements
of ERISA is attached hereto and incorporated into this
report.
(b) Exhibit
Consent of Independent Public Accountants - Washington,
Pittman & McKeever.
SIGNATURES
The Plan. Pursuant to the requirements of the Securities
Exchange Act of 1934, the administrators of the Plan have duly
caused this annual report to be signed on their behalf by the
undersigned hereunto duly authorized.
The Quaker Stock Bonus Savings Plan
(Name of Plan)
ROBERT C. PENZKOVER
(Robert C. Penzkover)
Director-Employee Benefits
DENNIS M. CORRY
(Dennis M. Corry)
Manager-Benefit Plans
MELANIE PHEATT
(Melanie Pheatt)
Manager-Employee Benefits
Date: December 20, 1995
2
Exhibit Index
Exhibit Paper (P) or
Number Description Electronic (E)
(a) The Quaker Stock Bonus E
Savings Plan Financial
Statements as of
June 30, 1995 and 1994
(b) Consent of Independent E
Public Accountants
3
Exhibit (a)
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
TOGETHER WITH INDEPENDENT AUDITOR'S REPORT
4
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
AS OF JUNE 30, 1995 AND 1994
TABLE OF CONTENTS
PAGE
INDEPENDENT AUDITOR'S REPORT 6
STATEMENTS OF NET ASSETS AVAILABLE FOR
BENEFITS 7-8
STATEMENTS OF CHANGES IN NET ASSETS
AVAILABLE FOR BENEFITS 9-10
NOTES TO FINANCIAL STATEMENTS 11-16
SCHEDULE OF ASSETS HELD FOR INVESTMENT
PURPOSES 17
SCHEDULE OF REPORTABLE TRANSACTIONS 18
CONSENT OF INDEPENDENT PUBLIC
ACCOUNTANTS 19
5
Washington, Pittman & McKeever
Certified Public Accountants
819 South Wabash Avenue
Suite 600
Chicago, Illinois 60605
(312) 786-0330
FAX (312) 786-0323
INDEPENDENT AUDITOR'S REPORT
To The Plan Committee of
The Quaker Stock Bonus Savings Plan
of The Quaker Oats Company
We have audited the accompanying Statements of Net Assets Available for
Benefits of The Quaker Stock Bonus Savings Plan (the "Plan") as of June
30, 1995 and 1994, and the related Statement of Changes in Net Assets
Available for Benefits for the year ended June 30, 1995 and the three
months ended June 30, 1994. These financial statements are the
responsibility of the Plan's management. Our responsibility is to
express an opinion on the 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 audits
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 June 30, 1995 and 1994, and the changes in its net
assets available for benefits for the year ended June 30, 1995 and the
three months ended June 30, 1994 in conformity with generally accepted
accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental Schedules of
Assets Held for Investment Purposes and of Reportable Transactions 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
Disclosure under the Employee Retirement Income Security Act of 1974.
The supplemental schedules 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.
WASHINGTON, PITTMAN & McKEEVER
Chicago, Illinois
December 20, 1995
6
<TABLE>
<CAPTION>
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS
AS OF JUNE 30, 1995
(dollars in thousands)
Union Non-Union Union Non-Union
(Non-ESOP) (ESOP) (Non-Sch. E) (Schedule E) Non-
Stock Bonus Stock Bonus PAYSOP PAYSOP Schedule E Schedule E
Quaker Quaker Quaker Quaker Money Money
ASSETS Total Stock Fund Stock Fund Stock Fund Stock Fund Market Fund Market Fund
<S> <C> <C> <C> <C> <C> <C> <C>
The Quaker Oats Company common
stock, at market (1,846,659 $ 60,247 $ 7,921 $ 47,929 $ 1,084 $ 3,313 $ - $ -
shares, cost $50,388)
Collective Short-Term
Investment Fund 1,594 66 643 40 6 171 668
Contributions receivable -
Employer 348 336 12 - - - -
Dividends and interest
receivable 528 69 417 10 29 - 3
Receivable for Quaker stock sold 15 - - 5 10 - -
Total assets 62,732 8,392 49,001 1,139 3,358 171 671
LIABILITIES
Due to Employee 436 386 47 - - 1 2
Due to other plans 71 - - 71 - - -
Interfund (receivable) payable - (8) (21) 13 (13) 13 16
Total liabilities 507 378 26 84 (13) 14 18
NET ASSETS AVAILABLE FOR $ 62,225 $ 8,014 $ 48,975 $ 1,055 $ 3,371 $ 157 $ 653
BENEFITS
<FN>
See accompanying notes to financial statements and auditor's report.
7
<CAPTION>
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS
AS OF JUNE 30, 1994 (Restated)
(dollars in thousands)
Union Non-Union Union Non-Union
(Non-ESOP) (ESOP) (Non-Sch. E) (Schedule E) Non-
Stock Bonus Stock Bonus PAYSOP PAYSOP Schedule E Schedule E
Quaker Quaker Quaker Quaker Money Money
ASSETS Total Stock Fund Stock Fund Stock Fund Stock Fund Market Fund Market Fund
<S> <C> <C> <C> <C> <C> <C> <C>
The Quaker Oats Company common
stock, at market (1,786,884
shares, cost $47,123) $ 62,334 $ 42,098 $ 15,398 $ 3,461 $ 1,377 $ - $ -
Collective Short-Term
Investment Fund 823 85 40 4 2 500 192
Contributions receivable -
Employer 199 143 56 - - - -
Contributions receivable -
Employee 193 133 34 - - 24 2
Dividends and interest
receivable 472 317 117 26 10 2 -
Total assets 64,021 42,776 15,645 3,491 1,389 526 194
LIABILITIES
Payable for Quaker stock
purchased 344 295 49 - - - -
Interfund payable (receivable) - 66 (81) - - 26 (11)
Total liabilities 344 361 (32) - - 26 (11)
NET ASSETS AVAILABLE FOR
BENEFITS $ 63,677 $ 42,415 $ 15,677 $ 3,491 $ 1,389 $ 500 $ 205
<FN>
See accompanying notes to financial statements and auditor's report.
8
<CAPTION>
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED JUNE 30, 1995
(dollars in thousands)
Union Non-Union Union Non-Union
(Non-ESOP) (ESOP) (Non-Sch. E) (Schedule E) Non-
Stock Bonus Stock Bonus PAYSOP PAYSOP Schedule E Schedule E
Quaker Quaker Quaker Quaker Money Money
ASSETS Total Stock Fund Stock Fund Stock Fund Stock Fund Market Fund Market Fund
<S> <C> <C> <C> <C> <C> <C> <C>
Investment Income:
Dividends $ 2,116 $ 847 $ 1,113 $ 107 $ 49 $ - $ -
Interest 83 15 22 3 - 22 21
Total investment income 2,199 862 1,135 110 49 22 21
Realized gain on The Quaker
Oats Company common stock 1,202 50 995 34 123 - -
Unrealized (loss) gain on The
Quaker Oats Company common
stock (5,352) (8,036) 3,142 (1,470) 1,012 - -
Employee contributions 7,516 2,915 4,337 - - 110 154
Employer contributions 2,550 1,501 1,049 - - - -
Contributions from other plans 44 14 26 (2) 2 4 -
Total additions 8,159 (2,694) 10,684 (1,328) 1,186 136 175
Deductions
Distributions to participants 8,377 1,114 6,870 48 144 50 151
Dividends to participants 1,234 - 1,119 - 115 - -
Total deductions 9,611 1,114 7,989 48 259 50 151
(Decrease) increase in net assets (1,452) (3,808) 2,695 (1,376) 927 86 24
Net assets available for
benefits, beginning of period 63,677 42,415 15,677 3,491 1,389 500 205
Interfund transfers, net - (30,593) 30,603 (1,060) 1,055 (429) 424
Net assets available for
benefits, end of period $ 62,225 $ 8,014 $ 48,975 $ 1,055 $ 3,371 $ 157 $ 653
<FN>
See accompanying notes to financial statements and auditor's report.
9
<CAPTION>
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE THREE MONTHS ENDED JUNE 30, 1994 (Restated)
(dollars in thousands)
Union Non-Union Union Non-Union
(Non-ESOP) (ESOP) (Non-Sch. E) (Schedule E) Non-
Stock Bonus Stock Bonus PAYSOP PAYSOP Schedule E Schedule E
Quaker Quaker Quaker Quaker Money Money
ASSETS Total Stock Fund Stock Fund Stock Fund Stock Fund Market Fund Market Fund
<S> <C> <C> <C> <C> <C> <C> <C>
Investment Income:
Dividends $ 470 $ 317 $ 117 $ 26 $ 10 $ - $ -
Interest 8 2 - - - 6 -
Total investment income 478 319 117 26 10 6 -
Realized gain on The Quaker
Oats Company common stock 24 24 - - - - -
Unrealized gain (loss) on
The Quaker Oats Company
common stock 5,532 6,365 (633) (143) (57) - -
Employee contributions 1,654 1,542 34 - - 76 2
Employer contributions 741 685 56 - - - -
Contributions from other plans 5,044 - - 3,608 1,436 - -
Total Additions 13,473 8,935 (426) 3,491 1,389 82 2
Deductions
Distributions to participants 745 724 - - - 21 -
Increase (decrease) in
net assets 12,728 8,211 (426) 3,491 1,389 61 2
Net assets available for
benefits, beginning of period 50,949 50,292 - - - 657 -
Interfund transfers, net - (16,088) 16,103 - - (218) 203
Net assets available for
benefits, end of period $ 63,677 $ 42,415 $ 15,677 $ 3,491 $ 1,389 $ 500 $ 205
<FN>
See accompanying notes to financial statements and auditor's report.
</TABLE>
10
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
NOTE 1 - THE QUAKER STOCK BONUS SAVINGS PLAN
The following description of The Quaker Stock Bonus Savings Plan (the
"Plan") provides only general information. Participants should refer
to the Plan agreement for a more complete description of the Plan's
provisions.
General
The Plan was adopted by The Quaker Oats Company (the "Company") on
July 10, 1985, and became effective January 1, 1986, and has been
amended several times since its adoption. The Plan provides a
program under which eligible employees may acquire an ownership
interest in the Company and accumulate funds on a pre-tax basis for
long-term retirement savings. Effective April 1, 1994, the Plan year
end was changed from March 31 to June 30. This change resulted in a
three-month stub period from April 1, 1994 to June 30, 1994.
Hereafter, the Plan's fiscal year is July 1 to June 30.
The Plan is subject to the provisions of the Employee Retirement
Income Security Act of 1974 (ERISA). The Northern Trust Company acts
as the Plan trustee and Hewitt Associates acts as the Plan
administrator. The Company pays all administrative expense incurred
by the Plan.
Eligibility
The Plan covers all employees of the Company who are included in a
group designated by the Board of Directors or the Executive Committee
and have completed one year of service prior to January 1, 1986.
Other designated employees of the Company are eligible to participate
in the Plan on the first day of the month following the date on which
they complete one year of service.
Participants' Accounts
Participants in the Plan may invest in the Quaker Stock Fund or the
Money Market Fund.
The Quaker Stock Fund invests in common stock of the Company.
Effective June 1, 1994, a portion of the Plan was designated an
Employee Stock Ownership Plan ("ESOP"), within the meaning of section
4975(e)(7) of the Internal Revenue Code. An ESOP account is
maintained for each participant included in a group listed on
Schedule E of the Plan. Effective June 30, 1994, the Quaker Stock
Sharing Plan ("PAYSOP") was merged into the Plan and the net assets
of the PAYSOP were transferred into the Plan. Such assets
transferred into the Plan were separately maintained as PAYSOP
accounts until June 30, 1995, at which time the PAYSOP accounts were
merged into the ESOP accounts. Those participants who did not have
ESOP accounts had their PAYSOP accounts converted into special ESOP
subaccounts. A non-ESOP account is maintained for each participant,
consisting of the portion of the participant's account that is not
included in an ESOP or PAYSOP account.
The Money Market Fund invests in short-term fixed-income securities.
11
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
NOTE 1 - THE QUAKER STOCK BONUS SAVINGS PLAN (Continued)
Contributions
The Plan allows participants to contribute one to fifteen percent of
their earnings, depending upon their location, in whole percentage
increments to the Plan before Federal and most state withholding
taxes are computed. Participants have the option to change their
investment election once a month. Participants may elect to invest
their contributions in either the Quaker Stock Fund or the Short-Term
Investment (Money Market) Fund. The Company contributes an
additional 50% of a participant's contributions to the Quaker Stock
Fund to a maximum of four percent of a participant's eligible
earnings. Once a year, participants have the option to transfer all
or a portion of their monies they have accumulated in the Short-Term
Investment Fund to the Quaker Stock Fund in multiples of 25%. Once a
year, participants who are at least age 59 1/2 or who become totally
and permanently disabled may transfer funds, in multiples of 25%,
between the two funds.
Participants may contribute to the Plan any portion of distributions
received from other qualified plans when the contributions qualify as
a tax-free roll-over.
Participants may elect to deposit excess funds from The Quaker Flex
Plan to the Plan.
Generally, all contributions are not subject to Federal income taxes
until distributed to the participant or his beneficiary.
Distributions
All dividends received with respect to Company stock held on the
record date a) in a participant's ESOP account, and b) in a
participant's PAYSOP account, if the employee's group is listed on
Schedule E of the Plan, are distributed to participants no later than
90 days after the end of the Plan year in which the dividends are
received.
12
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
NOTE 1 - THE QUAKER STOCK BONUS SAVINGS PLAN (Continued)
If a participant's employment with the Company is terminated, the
Plan will distribute the account balance to him or his beneficiary.
A participant under age 55 at the time of termination of employment
may elect to defer the lump-sum distribution or the start of
installment payments until age 65. A participant age 55 or older may
elect to defer the lump-sum distribution or the start of installment
payments until the participant attains age 70 1/2. If a participant
terminates employment, attains age 65 in a Plan year, and no
distribution or deferral election is received by the 15th day after
the end of the Plan year, an automatic lump-sum distribution will be
made. A participant may elect in writing to receive the distribution
in one of the following ways: (a) in a lump sum; or (b) in
approximately equal annual installments over a chosen period. The
period chosen, however, must be no longer than his life expectancy
when distributions begin as determined by Internal Revenue Service
(IRS) regulations. If the distribution is made through installment
payments, a participant's remaining account balance will continue to
be adjusted for investment gains or losses. If a participant's
account value is $3,500 or less, an automatic lump-sum distribution
will be made as soon as practical after the end of the Plan year in
which termination occurs.
A participant may elect in writing to receive all or a portion of his
account if he is at least age 59 1/2 or if he is totally and
permanently disabled as determined by the Company with the advice of
a medical doctor. Additionally, a participant may receive the
portion of his account consisting of participant contributions (and,
for those not listed on Schedule E, excluding any amounts that have
been invested in the Quaker Stock Fund for less than two full Plan
years after the year in which they were invested) in the event of a
hardship. "Hardship" means when funds are required for purchasing or
making capital expenditures for a primary residence, financing the
post-secondary education of a participant or his family or
alleviating an immediate and substantial financial hardship.
Effective June 1, 1994, a participant may elect to withdraw a portion
of his ESOP or PAYSOP account if he: a) is an employee; b) has
completed at least ten years of service since becoming a participant
in the ESOP (including years of participation in the PAYSOP prior to
June 30, 1994); and c) is at least age 55. Generally, the annual
maximum amount subject to this election is 25% of the participant's
account balance, reduced by any amounts previously distributed under
this provision.
The Plan may be terminated at any time by action of the Company's
Board of Directors. In the event of the Plan termination, the value
of the accounts determined as of the effective date of such
termination shall be paid to the participants, former participants or
their beneficiaries.
NOTE 2 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting
The accompanying financial statements have been prepared on the
accrual basis of accounting. Interest income is recorded as earned
and dividend income is recorded as of the record date.
13
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
(dollars in thousands)
NOTE 2 - SIGNIFICANT ACCOUNTING POLICIES (Continued)
Investment Valuation
Investments are included in the accompanying Statements of Net Assets
Available for Benefits at fair market value. Fair market value is
based on published market prices.
Security purchases and sales, including related gains and losses, are
recognized on the transaction trade date. The realized gain or loss
is the difference between the proceeds received and the average cost
of investments. The unrealized gain or loss is the change from the
preceding year between current value and the cost of investments.
Realized and unrealized gains and losses are reflected in the
Statement of Net Changes Available for Benefits.
Brokerage commissions increase the cost or decrease the sale proceeds
on the security transactions.
NOTE 3 - FEDERAL INCOME TAXES
The Plan obtained its latest determination letter on August 13, 1987,
in which the IRS stated that the Plan, as then designed, was in
compliance with the applicable requirements of the Internal Revenue
Code. The Plan has been amended since receiving the determination
letter. However, the Plan administrator and the Plan tax counsel
believe that the Plan is currently being operated in compliance with
the applicable requirements of the Internal Revenue Code. Therefore,
they believe that the Plan was qualified and tax-exempt as of June
30, l995. To comply with the Tax Reform Act of 1986, the Plan
administrator applied for a new tax determination letter on June 30,
1994.
NOTE 4 - REALIZED GAIN ON INVESTMENTS
The realized gain on Quaker stock was as follows:
Year Ended Three Months Ended
June 30, 1995 June 30, 1994
Proceeds from the sale/distribution
of Quaker stock $ 5,724 $ 139
Less: Cost of investments
sold/distributed 4,522 115
REALIZED GAIN ON INVESTMENTS $ 1,202 $ 24
14
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
(dollars in thousands)
NOTE 5 - UNREALIZED GAIN (LOSS) ON INVESTMENTS
The unrealized gain (loss) on Quaker stock was as follows:
Year Ended Three Months Ended
June 30, 1995 June 30, 1994
Unrealized gain, beginning of year $ 15,211 $ 9,679
Unrealized (loss) gain during the year (5,352) 5,532
UNREALIZED GAIN, END OF YEAR $ 9,859 $ 15,211
NOTE 6 - CURRENT VALUE (LOSS) GAIN
Based on the "Current Value" reporting requirements of the Department
of Labor and the IRS instructions for Form 5500, the net realized
(loss) gain is calculated as the difference between proceeds received
and the fair market value of investments on the first day of the Plan
year or the acquisition date if purchased during the Plan year. The
net unrealized (loss) gain is calculated as the difference between
the fair market value of investments at the end of the Plan year and
the fair market value at the beginning of the Plan year. The net
realized (loss) gain and net unrealized (loss) gain were as follows:
Year Ended Three Months Ended
June 30, 1995 June 30, 1994
Net realized (loss) gain on investments $ (17) $ 2,207
Net unrealized (loss) gain on investments (4,133) 3,349
Net (loss) gain in fair value of
investments $ (4,150) $ 5,556
NOTE 7 - PLAN MERGER
The transferred net assets of the PAYSOP have been recognized in the
accounts of the Plan. The changes in net assets of the combined
plans are included in the accompanying Statement of Changes in Net
Assets Available for Benefits. The investments at market, when
transferred, were $5,044.
NOTE 8 - QUAKER COMMON STOCK SPLIT-UP
In fiscal 1995, Quaker shareholders of record received an additional
share of common stock for each share held, pursuant to a two-for-one
stock split-up approved by the Board of Directors. The number of
Quaker common stock shares have been retroactively restated.
15
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
NOTES TO FINANCIAL STATEMENTS
AS OF JUNE 30, 1995 AND 1994
(dollars in thousands)
NOTE 9 - RECONCILIATION OF THE FORM 5500 TO THE FINANCIAL STATEMENTS
The following is a reconciliation of net assets available for
benefits per the Form 5500 to the financial statements as of June 30:
1995 1994
Net assets available for benefits per the Form 5500 $ 58,403 $ 63,200
Add: Distributions payable to participants 3,822 477
NET ASSETS AVAILABLE FOR BENEFITS PER
THE FINANCIAL STATEMENTS $ 62,225 $ 63,677
The following is a reconciliation of benefits paid to participants
per the Form 5500 to the financial statements:
Year Ended Three Months Ended
June 30, 1995 June 30, 1994
Distributions to participants per the
Form 5500 $ 11,722 $ 828
Add: Distributions payable,
beginning of year 477 394
Less: Distributions payable, end of year 3,822 477
DISTRIBUTIONS TO PARTICIPANTS PER THE
FINANCIAL STATEMENTS $ 8,377 $ 745
NOTE 10 - RESTATEMENT OF PRIOR FINANCIAL STATEMENTS
The June 30, 1994 financial statements have been restated in order to
conform with the 1995 format and classifications, and are presented
for comparison purposes. In the past, unpaid distributions at year
end were reported as a liability on the Statements of Net Assets
Available for Benefits. This amount was also reported as a component
of distributions to participants on the Statements of Changes in Net
Assets Available for Benefits. The liability for unpaid
distributions is now disclosed in the notes to the 1995 financial
statements (see Note 9).
The effect of the restatement was to increase the 1994 beginning net
assets available for plan benefits by $394 and to decrease the
distributions to participants by $83 in 1994. Net assets available
for plan benefits at June 30, 1994 increased by $477 after adjustment
of the 1994 beginning net assets available for benefits for the
effects of restatement on prior years.
16
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
FORM 5500 ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
AS OF JUNE 30, 1995
(dollars in thousands)
Market
Description Number of Shares Cost Value
The Quaker Oats Company Common Stock 1,846,659 $ 50,388 $ 60,247
Collective Short-Term Investment Fund 1,594 1,594
Total Investments $ 51,982 $ 61,841
17
<TABLE>
<CAPTION>
THE QUAKER OATS COMPANY
THE QUAKER STOCK BONUS SAVINGS PLAN
FORM 5500 ITEM 27D - SCHEDULE OF REPORTABLE TRANSACTIONS
FOR THE YEAR ENDED JUNE 30, 1995
(dollars in thousands)
Purchase Sale Current Net
Description of Security Price # of Trades Price # of Trades Cost of Security Value Gain
<S> <C> <C> <C> <C> <C>
The Quaker Oats Company Common Stock $ 8,105 37 $ 1,473 24 $ 1,117 $ 9,578 $ 356
</TABLE>
18
Exhibit (b)
Washington, Pittman & McKeever
Certified Public Accountants
819 South Wabash Avenue
Suite 600
Chicago, Illinois 60605
(312) 786-0330
FAX (312) 786-0323
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
As independent public accountants, we hereby consent to the use of
our report, dated December 20, 1995 (and all references to our Firm)
included in or made a part of the Form S-8. It should be noted that
we have not audited any financial statements of the Quaker Stock
Bonus Savings Plan subsequent to June 30, 1995, or performed any
audit procedures subsequent to the date of our report.
WASHINGTON, PITTMAN & McKEEVER
Chicago, Illinois
December 20, 1995
19
