<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
- --------------------------------------------------------------------------------
FORM 11-K
ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
FOR THE TWELVE-MONTH PERIOD ENDED
DECEMBER 31, 1998
- --------------------------------------------------------------------------------
For the twelve-month period ended December 31, 1998.
Commission file number: 1-4188
A. Full title of the plan and the address of the plan, if different from
that of the issuer named below:
RUBBERMAID RETIREMENT PLAN
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
Newell Rubbermaid Inc.
29 East Stephenson Street
Newell Center
Freeport, Illinois 61032
1
<PAGE> 2
Pursuant to the requirements of the Securities Exchange Act of 1934, as amended,
the Plan has duly caused this annual report to be signed on its behalf by the
ucndersigned hereunto duly authorized.
RUBBERMAID RETIREMENT PLAN
Dated: June __, 1999 /s/ Clarence R. Davenport
-------------------------
Clarence R. Davenport
2
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RUBBERMAID RETIREMENT PLAN
Financial Statements
December 31, 1998 and 1997
(With Independent Auditors' Report Thereon)
3
<PAGE> 4
RUBBERMAID RETIREMENT PLAN
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE
<S> <C>
Independent Auditors' Report..................................................... 5
FINANCIAL STATEMENTS
Statements of Assets Available for Benefits, with Fund Information............... 6
Statement of Changes in Assets Available for Benefits, with Fund Information..... 10
Notes to Financial Statements.................................................... 12
EXHIBITS
Exhibit 23 -- Consent of Independent Auditors.................................... 20
</TABLE>
4
<PAGE> 5
INDEPENDENT AUDITORS' REPORT
Plan Administrator of
Rubbermaid Retirement Plan:
We have audited the accompanying statements of assets available for benefits of
the Rubbermaid Retirement Plan (Plan) as of December 31, 1998 and 1997, and the
related statement of changes in assets available for benefits for the year ended
December 31, 1998. 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 assets available for benefits of the Plan as of
December 31, 1998 and 1997, and the changes in assets available for benefits for
the year ended December 31, 1998, in conformity with generally accepted
accounting principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements of the Plan taken as a whole. The Fund Information in the
statements of assets available for benefits and the statement of changes in
assets available for benefits is presented for purposes of additional analysis
rather than to present the assets available for benefits and changes in assets
available for benefits of each fund. The Fund Information has been subjected to
the auditing procedures applied in the audits of the basic financial statements
and, in our opinion, is fairly stated in all material respects in relation to
the basic financial statements taken as a whole.
/s/ KPMG LLP
Cleveland, Ohio
March 31, 1999
5
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RUBBERMAID RETIREMENT PLAN
Statement of Assets Available for Benefits, with Fund Information
December 31, 1998
<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------
STABLE INVESCO RUBBERMAID FIDELITY FIDELITY
VALUE DYNAMICS UNITIZED PURITAN MAGELLAN
FUND STOCK FUND STOCK FUND FUND FUND
----------------- ---------------- ------------------ ----------------- ----------------
<S> <C> <C> <C> <C> <C>
Assets:
Investments, primarily at fair value -
Plan interest in investments of the
Rubbermaid Master Trust 151,179,801 90,348 10,246,327 16,152,817 28,691,591
----------------- ---------------- ------------------ ----------------- ----------------
Total investments 151,179,801 90,348 10,246,327 16,152,817 28,691,591
Receivables:
Employer contribution -- -- -- -- --
Participant contributions -- -- -- -- --
----------------- ---------------- ------------------ ----------------- ----------------
Assets available for benefits 151,179,801 90,348 10,246,327 16,152,817 28,691,591
================= ================ ================== ================= ================
</TABLE>
See accompanying notes to financial statements.
6
<PAGE> 7
<TABLE>
<CAPTION>
PARTICIPANT-DIRECTED
----------------------------------------------------------------------------------------
FIDELITY FIDELITY
FIDELITY DIVERSIFIED SMALL CAP SPARTAN
FIDELITY EQUITY INTERNATIONAL SELECTOR U.S. EQUITY
CONTRAFUND INCOME FUND FUND FUND INDEX FUND
---------------- ------------------ ------------------ ---------------- ----------------
<S> <C> <C> <C> <C> <C>
Assets:
Investments, primarily at fair value -
Plan interest in investments of the
Rubbermaid Master Trust 23,447,390 147,676 7,203,601 6,677,430 72,448,024
---------------- ------------------ ------------------ ---------------- ----------------
Total investments 23,447,390 147,676 7,203,601 6,677,430 72,448,024
Receivables:
Employer contribution -- -- -- -- --
Participant contributions -- -- -- -- --
---------------- ------------------ ------------------ ---------------- ----------------
Assets available for benefits 23,447,390 147,676 7,203,601 6,677,430 72,448,024
================ ================== ================== ================ ================
</TABLE>
<TABLE>
<CAPTION>
-------------------------------------------------------------------
FIDELITY
U.S. BOND LOAN COMBINED
INDEX FUND OTHER FUNDS
---------------- -------------- --------------- -----------------
<S> <C> <C> <C> <C>
Assets:
Investments, primarily at fair value -
Plan interest in investments of the
Rubbermaid Master Trust 1,161,973 8,104,428 -- 325,551,406
---------------- -------------- --------------- -----------------
Total investments 1,161,973 8,104,428 -- 325,551,406
Receivables:
Employer contribution -- -- 14,615,926 14,615,926
Participant contributions -- -- -- --
---------------- -------------- --------------- -----------------
Assets available for benefits 1,161,973 8,104,428 14,615,926 340,167,332
================ ============== =============== =================
</TABLE>
7
<PAGE> 8
RUBBERMAID RETIREMENT PLAN
Statement of Assets Available for Benefits, with Fund Information
December 31, 1997
<TABLE>
<CAPTION>
---------------------------------------------------------
SPARTAN
STABLE U.S. EQUITY FIDELITY
VALUE INDEX PURITAN
FUND FUND FUND
------------------ ----------------- -----------------
<S> <C> <C> <C>
Assets:
Investments, primarily at fair value -
Plan interest in investments of the
Rubbermaid Master Trust $ 148,481,717 59,293,717 14,268,109
------------------ ----------------- -----------------
Total investments 148,481,717 59,293,717 14,268,109
Receivables:
Employer contribution -- -- --
Participant contributions -- -- --
------------------ ----------------- -----------------
Assets available for benefits $ 148,481,717 59,293,717 14,268,109
================== ================= =================
</TABLE>
See accompanying notes to financial statements.
8
<PAGE> 9
<TABLE>
<CAPTION>
PARTICIPANT-DIRECTED
------------------------------------------------------------------------------
FIDELITY FIDELITY
FIDELITY SMALL CAP DIVERSIFIED
MAGELLAN FIDELITY SELECTOR INTERNATIONAL
FUND CONTRAFUND FUND FUND
------------------ ----------------- ------------------ -----------------
<S> <C> <C> <C> <C>
Assets:
Investments, primarily at fair value -
Plan interest in investments of the
Rubbermaid Master Trust 17,010,292 18,606,829 7,726,226 6,561,443
------------------ ----------------- ------------------ -----------------
Total investments 17,010,292 18,606,829 7,726,226 6,561,443
Receivables:
Employer contribution -- -- -- --
Participant contributions -- -- -- --
------------------ ----------------- ------------------ -----------------
Assets available for benefits 17,010,292 18,606,829 7,726,226 6,561,443
================== ================= ================== =================
</TABLE>
<TABLE>
<CAPTION>
--------------------------------------------------
RUBBERMAID
UNITIZED LOAN COMBINED
STOCK FUND FUND OTHER FUNDS
---------------- --------------- ---------------- -----------------
<S> <C> <C> <C> <C>
Assets:
Investments, primarily at fair value -
Plan interest in investments of the
Rubbermaid Master Trust 8,227,600 7,650,103 -- 287,826,036
---------------- --------------- ---------------- -----------------
Total investments 8,227,600 7,650,103 -- 287,826,036
Receivables:
Employer contribution -- -- 7,033,693 7,033,693
Participant contributions -- -- 1,526,337 1,526,337
---------------- --------------- ---------------- -----------------
Assets available for benefits 8,227,600 7,650,103 8,560,030 296,386,066
================ =============== ================ =================
</TABLE>
9
<PAGE> 10
RUBBERMAID RETIREMENT PLAN
Statement of Changes in Assets Available for Benefits, with Fund Information
Year ended December 31, 1998
<TABLE>
<CAPTION>
-----------------------------------------------------------------------------------------
STABLE INVESCO RUBBERMAID FIDELITY FIDELITY
VALUE DYNAMICS UNITIZED PURITAN MAGELLAN
FUND STOCK FUND STOCK FUND FUND FUND
----------------- ----------------- ------------------- ---------------- ----------------
<S> <C> <C> <C> <C> <C>
Additions to assets attributed to:
Net appreciation (depreciation) in fair
value of investments $ -- 14,826 2,416,875 642,362 5,350,822
Dividends -- 4,284 -- 1,737,291 1,303,598
Interest 9,370,900 9 10,570 34,206 69,003
Loan repayments 1,624,475 57 71,677 166,211 304,244
----------------- ----------------- ------------------- ---------------- ----------------
Contributions:
Employer contribution 3,991,914 438 308,175 759,503 1,341,977
Participant contributions 4,001,639 25,442 519,540 1,058,041 2,265,249
----------------- ----------------- ------------------- ---------------- ----------------
Total additions 18,988,928 45,056 3,326,837 4,397,614 10,634,893
----------------- ----------------- ------------------- ---------------- ----------------
Deductions from assets attributed to:
Benefits paid to participants (17,167,604) -- (819,520) (1,726,608) (1,561,497)
Loan disbursements (2,058,289) -- (313,913) (154,287) (474,108)
Miscellaneous (163,746) -- (12,258) (10,688) (13,695)
----------------- ----------------- ------------------- ---------------- ----------------
Total deductions (19,389,639) -- (1,145,691) (1,891,583) (2,049,300)
----------------- ----------------- ------------------- ---------------- ----------------
Net increase (decrease)
prior to transfers (400,711) 45,056 2,181,146 2,506,031 8,585,593
Net transfers (to) from other plans 325,647 10,095 (5,376) 2,366 (42,307)
Interfund transfers 2,773,148 35,197 (157,043) (623,689) 3,138,013
----------------- ----------------- ------------------- ---------------- ----------------
Net increase (decrease) 2,698,084 90,348 2,018,727 1,884,708 11,681,299
Assets available for benefits:
Beginning of year 148,481,717 -- 8,227,600 14,268,109 17,010,292
----------------- ----------------- ------------------- ---------------- ----------------
End of year $ 151,179,801 90,348 10,246,327 16,152,817 28,691,591
================= ================= =================== ================ ================
</TABLE>
See accompanying notes to financial statements.
10
<PAGE> 11
<TABLE>
<CAPTION>
PARTICIPANT-DIRECTED
----------------------------------------------------------------------------------------
FIDELITY FIDELITY
FIDELITY DIVERSIFIED SMALL CAP SPARTAN
FIDELITY EQUITY INTERNATIONAL SELECTOR U.S. EQUITY
CONTRAFUND INCOME FUND FUND FUND INDEX FUND
----------------- ------------------- --------------- --------------- ---------------
<S> <C> <C> <C> <C> <C>
Additions to assets attributed to:
Net appreciation (depreciation) in fair
value of investments 4,042,265 (1,058) 618,733 (890,135) 14,768,795
Dividends 1,729,899 21,228 281,086 309,953 1,517,039
Interest 47,974 47 15,824 18,585 148,181
Loan repayments 246,276 119 73,992 81,068 698,535
----------------- ------------------- --------------- --------------- ---------------
Contributions:
Employer contribution 1,128,385 891 489,652 477,901 2,431,166
Participant contributions 1,614,629 26,846 535,603 616,047 2,949,752
----------------- ------------------- --------------- --------------- ---------------
Total additions 8,809,428 48,073 2,014,890 613,419 22,513,468
----------------- ------------------- --------------- --------------- ---------------
Deductions from assets attributed to:
Benefits paid to participants (1,755,601) -- (601,226) (584,699) (5,446,652)
Loan disbursements (280,514) (53) (80,969) (94,594) (1,105,182)
Miscellaneous (6,907) (8) (1,190) (9,166) (14,446)
----------------- ------------------- --------------- --------------- ---------------
Total deductions (2,043,022) (61) (683,385) (688,459) (6,566,280)
----------------- ------------------- --------------- --------------- ---------------
Net increase (decrease)
prior to transfers 6,766,406 48,012 1,331,505 (75,040) 15,947,188
Net transfers (to) from other plans (14,748) -- 2,343 (8,202) 46,585
Interfund transfers (1,911,097) 99,664 (691,690) (965,554) (2,839,466)
----------------- ------------------- --------------- --------------- ---------------
Net increase (decrease) 4,840,561 147,676 642,158 (1,048,796) 13,154,307
Assets available for benefits:
Beginning of year 18,606,829 -- 6,561,443 7,726,226 59,293,717
----------------- ------------------- --------------- --------------- ---------------
End of year 23,447,390 147,676 7,203,601 6,677,430 72,448,024
================= =================== =============== =============== ===============
</TABLE>
<TABLE>
<CAPTION>
-------------------------------------------------
FIDELITY
U.S. BOND LOAN COMBINED
INDEX FUND OTHER FUNDS
--------------- --------------- --------------- ----------------
<S> <C> <C> <C> <C>
Additions to assets attributed to:
Net appreciation (depreciation) in fair
value of investments (3,082) -- -- 26,960,403
Dividends 11,012 -- -- 6,915,390
Interest 116 -- -- 9,715,415
Loan repayments 692 (3,267,346) -- --
--------------- --------------- --------------- ----------------
Contributions:
Employer contribution 3,064 -- 7,582,233 18,515,299
Participant contributions 8,309 -- (1,526,337) 12,094,760
--------------- --------------- --------------- ----------------
Total additions 20,111 (3,267,346) 6,055,896 74,201,267
--------------- --------------- --------------- ----------------
Deductions from assets attributed to:
Benefits paid to participants (640) (856,964) -- (30,521,011)
Loan disbursements -- 4,561,909 -- --
Miscellaneous (15) 16,726 -- (215,393)
--------------- --------------- --------------- ----------------
Total deductions (655) 3,721,671 -- (30,736,404)
--------------- --------------- --------------- ----------------
Net increase (decrease)
prior to transfers 19,456 454,325 6,055,896 43,464,863
Net transfers (to) from other plans -- -- -- 316,403
Interfund transfers 1,142,517 -- -- --
--------------- --------------- --------------- ----------------
Net increase (decrease) 1,161,973 454,325 6,055,896 43,781,266
Assets available for benefits:
Beginning of year -- 7,650,103 8,560,030 296,386,066
--------------- --------------- --------------- ----------------
End of year 1,161,973 8,104,428 14,615,926 340,167,332
=============== =============== =============== ================
</TABLE>
11
<PAGE> 12
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
(1) DESCRIPTION OF THE PLAN
The following brief description of the Rubbermaid Retirement Plan (Plan)
is provided for general information purposes only. Participants should
refer to the Plan document for more complete information.
(a) GENERAL
The Plan is a defined contribution profit sharing plan with a
401(k) feature covering salaried and non-bargaining hourly
associates, as defined by the Plan, of Rubbermaid Incorporated and
Affiliated Companies that adopt the Plan (Company). Participation
in the Plan begins on January 1 coincident with or following an
associate's date of hire. The Plan is subject to the provisions of
the Employee Retirement Income Security Act of 1974 (ERISA).
(b) EMPLOYER CONTRIBUTIONS
Effective January 1, 1998, the Plan was amended to provide a
Company contribution equal to 6% of a participant's (other than
Everything Rubbermaid Store employees) eligible compensation with
an opportunity for an additional 3% of the participant's eligible
compensation based on "EVA Targets." Additionally, effective April
1, 1998, the Plan provides for a fully vested Company matching
contribution equal to 50% of the first 6% of a participant's
salary deferred into the Plan and shall provide for rollovers. A
participant must be employed by the Company at the end of the Plan
year and complete at least 1,000 hours during the Plan year in
order to be eligible to receive a Company contribution, subject to
limited exceptions.
(c) EMPLOYEE SALARY DEFERRAL CONTRIBUTIONS
A 401(k) salary deferral feature is included in the Plan, allowing
participants to make pretax salary deferrals of base compensation
or wages and bonus compensation paid through the Improvement
Sharing Plan.
(d) PARTICIPANT ACCOUNTS
Separate accounts are maintained for each participant.
Contributions are invested, as instructed by the participants, in
one or more of the available investment funds. Each participant's
account is credited with contributions, if any, and earnings.
(e) VESTING
Participants are 100% vested in the portion of their accounts
attributable to 401(k) contributions (plus earnings). Vesting in
the remainder of their accounts is based upon a seven-year
graduated vesting schedule. A participant becomes 100% vested
after completing seven years of vesting service. Upon death,
disability, or attainment of age 65, participants become 100%
vested.
(f) INVESTMENTS
All investments are participant-directed, and participants may
elect to invest their account in the Plan in one or more of the
eleven investment funds held by the Plan. Currently, the available
investment
12
<PAGE> 13
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
funds include: (a) Stable Value Fund, comprised primarily of
guaranteed principal and interest contracts with major financial
institutions and insurance companies; (b) Spartan U.S. Equity
Index Fund, which invests primarily in the 500 companies that
comprise the Standard & Poor's 500 and in other securities that
are based on the value of the index; (c) Fidelity Puritan Fund,
which invests in a broadly diversified portfolio of high-yielding
equity and debt securities; (d) Fidelity Magellan Fund, which
invests primarily in equity securities of domestic, foreign, and
multinational issuers of all sizes that offer potential for
growth; (e) Fidelity Contrafund, which invests mainly in equity
securities of companies that are undervalued or out-of-favor; (f)
Fidelity Small Cap Selector Fund, which invests mainly in equity
securities of companies with small market capitalizations that are
determined to be undervalued compared to others in their
industries; (g) Fidelity Diversified International Fund, which
invests mainly in foreign equity securities that are determined to
be undervalued compared to others in their industries and
countries; and (h) Rubbermaid Unitized Stock Fund, which invests
in common stock of Rubbermaid Incorporated. (i) Invesco Dynamics
Stock Fund, which invests in common stock of Domestic Companies;
and (j) Fidelity US Bond Index Fund, which invests primarily in
securities included in the Aggregate Bond Index; and (k) Fidelity
Equity Income Fund, which invests primarily in large cap income
producing Equity Securities.
For investment purposes only, investments of the Plan are
commingled with the investments of the Rubbermaid Retirement Plan
for Collectively-Bargained Associates. Collectively, such funds
comprise the Rubbermaid Master Trust (Master Trust) with Fidelity
Management Trust Company as the trustee. Allocation of the Master
Trust investments and income among plans is determined on the
basis of the value of the participant accounts attributed to each
plan.
(g) PAYMENT OF BENEFITS
A participant is eligible to receive a distribution upon
termination of employment, in either a lump-sum cash payment equal
to the value of his or her vested account or periodic payments in
such amounts as elected by the participant (subject to provisions
of the Plan). The amount paid shall not exceed the participant's
vested interest.
(h) PARTICIPANT LOANS
Loans of up to 50% of the vested portion of the participant's
individual account may be obtained by qualified participants. The
maximum loan permissible is generally the lesser of $50,000 or
one-half of the participant's vested balance.
(i) FORFEITED ACCOUNTS
Employer contributions were eligible to be reduced by forfeited
nonvested accounts totaling approximately $436,736 in 1998 and
$1,395,000 in 1997.
(2) SIGNIFICANT ACCOUNTING POLICIES
(a) BASIS OF PRESENTATION
The accompanying financial statements have been prepared on the
accrual basis of accounting.
13
<PAGE> 14
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
(b) INVESTMENT VALUATION AND INCOME RECOGNITION
Unrealized appreciation or depreciation, equal to the difference
between the cost and the market value of investments at the
applicable valuation date, is recognized in determining the value
of participant accounts.
The Plan's investments are stated at fair value except for the
guaranteed principal and interest contracts included in the Stable
Value Fund, which are stated at contract value (see note 2[c]).
Purchases and sales of securities are recorded on a trade date
basis.
(c) GUARANTEED PRINCIPAL AND INTEREST CONTRACTS
The Master Trust has guaranteed principal and interest contracts
with major financial institutions and insurance companies, as
discussed in note 5. These investments are part of the Stable
Value Fund at December 31, 1998 and 1997. These contracts are
included in the financial statements at contract value, as noted
above, because they are fully benefit-responsive.
(d) PAYMENT OF BENEFITS
Benefits are recorded when paid.
(e) ADMINISTRATIVE EXPENSES
All normal costs and expenses of administering the Plan and Trust
are paid by the Plan. Any cost resulting from a participant
obtaining a loan may be borne by such participant or charged to
the participant's individual account.
(f) USE OF ESTIMATES
The preparation of financial statements in conformity with
generally accepted accounting principles requires management to
make estimates and assumptions that affect the reported amounts of
assets available for benefits at the date of the financial
statements and the reported amounts of changes in assets available
for benefits during the reporting period. Actual results could
differ from those estimates.
(3) PLAN TERMINATION
Although it has not expressed any intent to do so, the Company has the
right under the Plan to discontinue its contributions at any time and
to terminate the Plan subject to the provisions of ERISA. In the event
of Plan termination, participants will become 100% vested in their
accounts, and the Trustee shall distribute the assets in accordance
with the terms of the Plan and the trust agreement.
(4) TAX STATUS
The Internal Revenue Service has determined and informed the Company by
letter dated November 20, 1996, that the Plan and related trust are
designed in accordance with applicable sections of the Internal Revenue
Code (IRC). Therefore, no provision for income taxes has been included
in the Plan's financial statements. The Plan
14
<PAGE> 15
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
was amended effective January 1, 1998. The plan administrator and the
Plan's tax counsel do not believe that these amendments will have any
negative impact on compliance with the applicable requirements of the
IRC.
(5) MASTER TRUST FINANCIAL INFORMATION
As described in note 1(f), all of the Plan's investments as of December
31, 1998, and a portion of the Plan's investments as of December 31,
1997, are contained in a Master Trust in which they are combined for
investment purposes with the assets of the Rubbermaid Retirement Plan
for Collectively-Bargained Associates. The Master Trust fund assets at
December 31, 1998 and 1997, are as follows:
<TABLE>
<CAPTION>
1998 1997
------------------------------- -----------------------------
PLAN'S PLAN'S
PERCENTAGE PERCENTAGE
MARKET INTEREST MARKET INTEREST
VALUE (ROUNDED) VALUE (ROUNDED)
-------------------------------------------------------------
<S> <C> <C> <C> <C>
Stable Value Fund $ 214,206,755 71% 210,402,030 71%
Invesco Dynamics Stock Fund 246,675 37% --
Rubbermaid Unitized Stock Fund 11,568,864 89% 9,212,167 89%
Fidelity Puritan Fund 23,683,731 68% 21,806,761 65%
Fidelity Magellan Fund 42,923,027 67% 26,393,970 64%
Fidelity Contrafund 31,835,610 74% 25,337,061 73%
Fidelity Equity Income Fund 596,558 25% --
Fidelity Diversified International 9,350,759 77% 9,583,013 68%
Fund
Fidelity Small Cap Selector Fund 7,756,383 86% 8,764,941 88%
Spartan U.S. Equity Index Fund 128,240,525 56% 105,294,786 56%
Fidelity U.S. Bond Index Fund 1,710,224 68% --
Loan Fund 9,921,479 82% 9,293,110 82%
---------------- ---------------
Total investments held by
the Master Trust fund $ 482,040,590 67% 426,087,839 68%
================ ===============
</TABLE>
15
<PAGE> 16
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
The Master Trust has investment contracts with major financial
institutions and insurance companies with respect to the Stable Value
Fund. Fidelity Management Trust Company maintains the contributions in a
pooled account. The account is credited with actual earnings on the
underlying investments and charged for Plan withdrawals and
administration expenses charged by Primco, the investment manager. The
contract is included in the financial statements at contract value,
which approximates fair values. Contract value represents contributions
made under the contract, plus earnings, less Plan withdrawals and
administrative expenses. There are no reserves against contract value
for credit risk of the contract issuer or otherwise. At December 31,
1998 and 1997, the fair value of the guaranteed principal and interest
contracts of the Rubbermaid Retirement Plan was $29,828,347 and
$42,858,567, respectively, and the corresponding contract value was
$29,597,801 and $42,695,507, respectively. Both the average yield and
the crediting interest rate were 6.12% as of December 31, 1998 and were
6.03% as of December 31, 1997.
16
<PAGE> 17
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
A summary of Master Trust investment activity is as follows:
<TABLE>
<CAPTION>
INVESCO RUBBERMAID FIDELITY
STABLE DYNAMICS UNITIZED PURITAN
VALUE FUND STOCK FUND STOCK FUND FUND
------------------- ------------------ ------------------- ------------------
<S> <C> <C> <C> <C>
Balance at December 31, 1997 $ 210,402,030 -- 9,212,167 21,806,761
Contributions:
Employer 4,498,830 438 325,780 845,442
Participants 4,229,718 25,442 532,305 1,124,324
Net appreciation (depreciation) in
fair value -- 25,669 2,932,250 964,656
Dividends -- 15,286 -- 2,508,793
Interest 13,122,008 9 10,909 39,899
Loan repayments 1,802,402 57 73,411 188,390
Benefit payments (22,441,898) -- (942,110) (2,121,459)
Loan disbursements (2,355,195) -- (332,467) (194,765)
Interfund transfers 4,998,092 179,774 (224,137) (1,457,202)
Plan transfers 162,789 -- (5,505) (9,037)
Other (212,021) -- (13,739) (12,071)
------------------- ------------------ ------------------- ------------------
Balance at December 31, 1998 $ 214,206,755 246,675 11,568,864 23,683,731
=================== ================== =================== ==================
</TABLE>
17
<PAGE> 18
<TABLE>
<CAPTION>
FIDELITY FIDELITY DIVERSIFIED FIDELITY
MAGELLAN FIDELITY EQUITY INTERNATIONAL SMALL CAP
FUND CONTRAFUND INCOME FUND FUND SELECTOR FUND
------------------- ------------------- ------------------------------------ ----------------
<S> <C> <C> <C> <C> <C>
Balance at December 31, 1997 26,393,970 25,337,061 -- 9,583,013 8,764,941
Contributions:
Employer 1,534,397 1,231,379 891 549,176 504,890
Participants 2,418,996 1,697,081 26,975 571,363 634,850
Net appreciation (depreciation) in
fair value 7,997,158 5,412,072 4,331 830,691 (971,066)
Dividends 1,984,158 2,356,999 37,421 371,122 354,663
Interest 86,845 57,611 107 22,521 21,218
Loan repayments 371,608 284,575 381 98,861 93,279
Benefit payments (1,948,548) (1,800,055) (793) (622,800) (616,423)
Loan disbursements (592,503) (336,004) (53) (102,869) (119,874)
Interfund transfers 4,763,859 (2,381,742) 527,306 (1,943,566) (880,145)
Plan transfers (71,218) (15,527) -- (5,360) (18,296)
Other (15,695) (7,840) (8) (1,393) (11,654)
------------------- ------------------- ------------------- ---------------- ----------------
Balance at December 31, 1998 42,923,027 31,835,610 596,558 9,350,759 7,756,383
=================== =================== =================== ================ ================
</TABLE>
<TABLE>
<CAPTION>
SPARTAN FIDELITY
U.S. EQUITY U.S. BOND LOAN
INDEX FUND INDEX FUND TOTALS
---------------- --------------- --------------- ----------------
<S> <C> <C> <C> <C>
Balance at December 31, 1997 105,294,786 -- 9,293,110 426,087,839
Contributions:
Employer 3,144,331 3,064 -- 12,638,618
Participants 3,452,808 8,406 -- 14,722,268
Net appreciation (depreciation) in
fair value 26,036,206 (9,580) -- 43,222,387
Dividends 2,695,206 16,031 -- 10,339,679
Interest 224,259 193 -- 13,585,579
Loan repayments 997,461 972 (3,911,397) --
Benefit payments (6,707,411) (640) (1,055,539) (38,257,676)
Loan disbursements (1,544,849) -- 5,578,579 --
Interfund transfers (5,274,034) 1,691,795 -- --
Plan transfers (37,846) -- -- --
Other (40,392) (17) 16,726 (298,104)
---------------- --------------- --------------- ----------------
Balance at December 31, 1998 128,240,525 1,710,224 9,921,479 482,040,590
================ =============== =============== ================
</TABLE>
18
<PAGE> 19
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1998 and 1997
(6) SUBSEQUENT EVENTS
On October 20, 1998, the Plan's Sponsor entered into a definitive
agreement to merge with Newell Company ("Newell") through a tax-free
exchange of shares. This agreement was consummated effective March 24,
1999, resulting in the Plan's sponsor becoming a wholly-owned subsidiary
of Newell.
19
<PAGE> 1
Exhibit 23
Independent Auditors' Consent
The Board of Directors
Newell Rubbermaid Inc.:
We consent to incorporation by reference in the registration statement (No.
33-61817) on Form S-8 of Newell Rubbermaid Inc. of our report dated March 31,
1999, relating to the statements of assets available for benefits of the
Rubbermaid Retirement Plan as of December 31, 1998 and 1997, and the related
statement of changes in assets available for benefits for the year ended
December 31, 1998, which report appears in the December 31, 1998 annual report
on Form 11-K of Newell Rubbermaid Inc.
KPMG LLP
/s/ KPMG LLP
Cleveland, Ohio
June 23, 1999
20
