- -----------------------------------------------------------------------
-------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
-----------------------
FORM 11-K
(Mark One)
X ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE
---
SECURITIES EXCHANGE ACT OF 1934 (FEE REQUIRED)
For the fiscal year ended June 30, 1997
OR
--- TRANSITION REPORT PURSUANT TO SECTION 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934 (NO FEE REQUIRED)
For the transition period from --------- to ---------
Commission file number 1-9759
A. Full title of the plan and the address of the plan, if
different from that of the issuer named below:
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
B. Name of issuer of the securities held pursuant to the
plan and the address of its principal executive office:
IMC GLOBAL INC.
2100 Sanders Road, Northbrook, Illinois 60062
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- -----------------------------------------------------------------------
CONTENTS
--------
Report of independent auditors
Financial statements
- --------------------
Statements of net assets available for benefits, with fund information
Statements of changes in net assets available for benefits, with fund
information
Notes to financial statements
Supplemental schedules
- ----------------------
Line 27a - Schedule of assets held for investment purposes
Line 27d - Schedule of reportable transactions
REPORT OF INDEPENDENT AUDITORS
Plan Administrator
Investment Plan for Salaried Employees of
IMC Global Operations Inc.
We have audited the accompanying statements of assets available for
benefits of the Investment Plan for Salaried Employees of IMC Global
Operations Inc. as of June 30, 1997 and 1996, and the related
statements of changes in assets available for benefits for the years
then ended. 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 at June 30, 1997 and 1996, and the changes in its assets
available for benefits for the years then ended, 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 accompanying
supplemental schedules of assets held for investment purposes as of
June 30, 1997, and reportable transactions for the year then ended, are
presented for purposes of complying with the Department of Labor's
Rules and Regulations for Reporting and Disclosure under the Employee
Retirement Income Security Act of 1974, and are not a required part of
the basic financial statements. The Fund Information in the statement
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 supplemental schedules
and Fund Information have been subjected to the auditing procedures
applied in our 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.
ERNST & YOUNG LLP
October 24, 1997
<TABLE>
EIN: 36-3513204
PLAN #: 004
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
---------------------------------------
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
----------------------------------------------------------------------
June 30, 1997
--------------
<CAPTION>
Fund Information
----------------------------------------------
- ------------------------------------
IMC Fixed
Money
Equity Bond Global Income
Market Balanced Growth Loan
Total Fund Fund Stock Fund Fund Fund Fund Fund Fund
----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
ASSETS
- ----------------------
Investments, at fair
value:
Master trust funds -
IMC Global Stock
Fund $12,662,607 $12,662,607
IMC Global Fixed
Income Fund 43,289,253 $43,289,253
IMC Global Bond
Fund 2,209,100 $2,209,100
Mutual funds -
Fidelity Equity-
Income Fund, Inc. 20,878,378 $20,878,378
Vanguard Money Market
Reserves, Inc. -
Prime Portfolio 793,799 $793,799
Vanguard Wellington
Fund, Inc. 5,811,880 $5,811,880
Fidelity Magellan
Fund, Inc. 5,803,489 $5,803,489
Loans to participants 3,271,099 $3,271,099
----------- ----------- ---------- ----------- ----------- -------- ---------- ---------- ----------
94,719,605 20,878,378 2,209,100 12,662,607 43,289,253 793,799 5,811,880 5,803,489 3,271,099
Receivables:
Employee contribu-
tions 300,717 72,372 7,462 53,479 91,740 1,980 31,458 42,226
Employer contribu-
tions 1,995,293 467,204 54,896 358,083 635,697 16,677 189,999 272,737
Accrued interest and
dividends 2,903 2,903
----------- ----------- ---------- ----------- ----------- -------- ---------- ---------- ----------
Total receivables 2,298,913 539,576 62,358 411,562 727,437 21,560 221,457 314,963
----------- ----------- ---------- ----------- ----------- -------- ---------- ---------- ----------
Total assets available
for benefits 97,018,518 21,417,954 2,271,458 13,074,169 44,016,690 815,359 6,033,337 6,118,452 3,271,099
Due (to) from brokers (23) 9,699 6,708 (162,527) 99,552 15,505 20,786 10,254
----------- ----------- ---------- ----------- ----------- -------- ---------- ---------- ----------
Net assets available
for benefits $97,018,495 $21,427,653 $2,278,166 $12,911,642 $44,116,242 $830,864 $6,054,123 $6,128,706 $3,271,099
=========== =========== ========== =========== =========== ======== ========== ========== ==========
(See Notes to Financial Statements)
</TABLE>
<TABLE>
EIN: 36-3513204
PLAN #: 004
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
--------------------------------------
STATEMENT OF ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
-----------------------------------------------------------------
June 30, 1996
--------------
<CAPTION>
Fund Information
----------------------------------------------------------------------------------
IMC Fixed Money
Equity Bond Global Income Market Balanced Growth Loan
Total Fund Fund Stock Fund Fund Fund Fund Fund Fund
----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
ASSETS
- ----------------------------
Investments, at fair value:
Master trust funds -
IMC Global Stock
Fund $ 9,709,749 $9,709,749
IMC Global Fixed
Income Fund 55,789,610 $55,789,610
IMC Global Bond
Fund 2,230,150 $2,230,150
Mutual funds -
Fidelity Equity-
Income Fund,
Inc. 19,997,184 $19,997,184
Vanguard Money
Market Reserves,
Inc. - Prime
Portfolio 982,782 $982,782
Vanguard Wellington
Fund, Inc. 4,970,916 $4,970,916
Fidelity Magellan
Fund, Inc. 5,362,674 $5,362,674
Loans to partici-
pants 3,518,835 $3,518,835
----------- ---------- --------- --------- ---------- ------- --------- --------- ---------
102,561,900 19,997,184 2,230,150 9,709,749 55,789,610 982,782 4,970,916 5,362,674 3,518,835
Receivables:
Employee contribu-
tions 370,403 86,744 7,735 55,488 127,117 1,913 34,024 57,382
Employer contribu-
tions 2,299,821 522,202 56,273 373,737 814,088 15,164 200,656 317,701
Accrued interest
and dividends 4,056 4,056
----------- ---------- --------- --------- ---------- ------- --------- --------- ---------
Total receivables 2,674,280 608,946 64,008 429,225 941,205 21,133 234,680 375,083
----------- ---------- --------- --------- ---------- ------- --------- --------- ---------
Assets available for
benefits $105,236,180 $20,606,130 $2,294,158 $10,138,974 $56,730,815 $1,003,915 $5,205,596 $5,737,757 $3,518,835
============ =========== ========== =========== =========== ========== ========== ========== ==========
(See Notes to Financial Statements)
</TABLE>
<TABLE>
EIN: 36-3513204
PLAN #: 004
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
--------------------------------------
STATEMENT OF CHANGES IN ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
----------------------------------------------------------------------------
For the Year Ended June 30, 1997
--------------------------------
<CAPTION>
Fund Information
----------------------------------------------------------------------------------
IMC Fixed Money
Equity Bond Global Income Market Balanced Growth Loan
Total Fund Fund Stock Fund Fund Fund Fund Fund Fund
----------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investment income:
Interest and
dividends $ 994,608 $ 430,012 $ 40,654 $ 176,433
$ 73,594 $ 273,915
Net appreciation
in fair value of
investments 6,264,782 4,368,398
850,318 1,046,066
Income (loss) from
master trust
funds 3,189,865 $ 211,618 $ (59,031) $3,037,278
----------- ----------- ---------- ----------- ---------- --------- ---------- ---------- ---------
Total investment
income 10,449,255 4,798,410 211,618 (59,031) 3,037,278 40,654 1,026,751 1,119,660 273,915
Contributions:
Participants 3,827,716 885,373 87,258 644,561 1,275,279 27,098 353,658 554,489
Employer 2,464,445 584,240 60,811 443,713 752,786 20,717 242,429 359,749
----------- ----------- ---------- ----------- ---------- --------- ---------- ---------- ---------
Total contribu-
tions 6,292,161 1,469,613 148,069 1,088,274 2,028,065 47,815 596,087 914,238
Transfers to other
plans (7,356,501) (1,955,465) (221,530) (840,577) (3,147,260) (15,090) (415,423) (521,841) (239,315)
Cash and stock
distributed to
withdrawing
participants (17,602,600) (2,496,073) (211,068) (531,620) (12,213,952) (291,236) (1,170,991) (529,804) (157,856)
Transfers of invest-
ment direction (994,962) 56,919 3,115,622 (2,318,704) 44,806 812,103 (591,304) (124,480)
----------- ----------- ---------- ----------- ---------- --------- ---------- ---------- ---------
Net increase
(decrease) in
assets available
for benefits (8,217,685) 821,523 (15,992) 2,772,668 (12,614,573) (173,051) 848,527 390,949 (247,736)
Assets available for
benefits-beginning
of year 105,236,180 20,606,130 2,294,158 10,138,974 56,730,815 1,003,915 5,205,596 5,737,757 3,518,835
----------- ----------- ---------- ----------- ---------- --------- ---------- ---------- ---------
Net assetss available
for benefits-end of
year $ 97,018,495 $21,427,653 $2,278,166 $12,911,642 $44,116,242 $ 830,864 $6,054,123 $6,128,706 $3,271,099
============ =========== ========== =========== =========== ========= ========== ========== =========
(See Notes to Financial Statements)
</TABLE>
<TABLE>
EIN: 36-3513204
PLAN #: 004
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
--------------------------------------
STATEMENT OF CHANGES IN ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
----------------------------------------------------------------------------
For the Year Ended June 30, 1996
--------------------------------
<CAPTION>
Fund Information
----------------------------------------------
- ------------------------------------
IMC Fixed Money
Equity Bond Global Income Market Balanced Growth Loan
Tota l Fund Fund Stock Fund Fund Fund Fund Fund Fund
----------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investment income:
Interest and
dividends $ 3,399,891 $ 405,549 $ 87,310 $ 37,533 $1,917,210 $ 38,523 $ 113,257 $ 800,509
Net appreciation
(depreciation)
in fair value of
investments 6,324,927 2,907,518 72,443 3,251,585 4,303 461,386 (372,308)
Income (loss)
from master
trust funds 1,212,541 9,781 (634,647) 1,837,407
Loans to partici-
pants - interest 296,129 18,520 6,406 10,016 104,483 1,576 3,771 2,653 $ 148,704
------------ ----------- ---------- ----------- ----------- ---------- ---------- ---------- ----------
Total investment
income 11,233,488 3,331,587 175,940 2,664,487 3,859,100 44,402 578,414 430,854 148,704
Contributions:
Participants 4,461,479 957,184 98,398 617,255 1,764,023 23,328 351,879 649,412
Employer 2,840,431 635,850 70,439 455,083 1,026,519 18,909 242,096 391,535
------------ ----------- ---------- ----------- ----------- ---------- ---------- ---------- ----------
Total contribu-
tions 7,301,910 1,593,034 168,837 1,072,338 2,790,542 42,237 593,975 1,040,947
Transfers from other
plans 157,153 39,087 47,840 15,900 2,931 14,033 28,736 8,626
Cash and stock
distributed to
withdrawing partici-
pants (7,908,737) (711,022) (122,415) (499,417) (5,908,804) (43,275) (135,630) (453,821) (34,353)
Transfers of invest-
ment direction 2,469,680 (448,739) (2,300,096) (6,629,227) 296,182 1,845,570 1,370,772 3,395,858
------------ ----------- ---------- ----------- ----------- ---------- ---------- ---------- ----------
Net increase
(decrease) in
assets available
for benefits 10,783,814 6,722,366 (178,537) 953,212 (5,885,458) 339,546 2,896,362 2,417,488 3,518,835
Assets available
for benefits -
beginning of year 94,452,366 13,883,764 2,472,69 9,185,762 62,616,273 664,369 2,309,234 3,320,269
------------ ----------- ---------- ----------- ----------- ---------- ---------- ---------- ----------
Assets available
for benefits -
end of year $105,236,180 $20,606,130 $2,294,158 $10,138,974 $56,730,815 $1,003,915 $5,205,596 $5,737,757 $3,518,835
============ =========== ========== =========== =========== ========== ========== ========== ==========
(See Notes to Financial Statements)
</TABLE>
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
---------------------------------------
NOTES TO FINANCIAL STATEMENTS
-----------------------------
1. Description of the Plan
-----------------------
The following description of the Investment Plan for Salaried
Employees of IMC Global Operations Inc. (the Plan), formerly the
Investment Plan for Salaried Employees of IMC Fertilizer, Inc.,
provides only general information. Participants should refer to the
Plan document for a more complete description of the Plan's provisions.
General
- -------
The Plan was established on March 1, 1988 and was most recently
restated on July 1, 1993 and amended through March 1, 1995. Salaried
employees of IMC Global Operations Inc. (a wholly-owned subsidiary of
IMC Global Inc.) and its wholly-owned domestic subsidiaries (the
Company) are eligible to participate in the Plan upon completion of one
year of service. Effective September 1, 1996, participation is
immediate. While the Company has not expressed any intent to terminate
the Plan, it is free to do so at any time. The Plan is subject to the
provisions of the Employee Retirement Income Security Act of 1974
(ERISA).
Contributions
- -------------
The Plan is funded by contributions from participants in the form
of payroll deductions/salary reductions of up to 15 percent of
participants' base monthly salaries. A participant may change the
amount of payroll deduction/salary reduction twice a year, as of July 1
or January 1, upon giving the required notice. The Plan provides a
qualified cash or deferred arrangement within the meaning of Section
401(k) of the Internal Revenue Code (the IRC). Salary reduction
contributions, elected by certain participants, may be reduced (or
refunded) to comply with certain non-discrimination requirements of
Section 401(k) or the limitations of Section 415 of the IRC. In
addition, salary reduction contributions cannot exceed $9,500 in
calendar years 1997 and 1996. The limitation on salary reduction
contributions can be adjusted or recharacterized as after-tax
contributions not to exceed the lesser of the 15 percent or $9,500
limits described above each July 1 and January 1 by the Employee
Benefits Committee. In addition, the Plan also is funded by employer
contributions, as determined by IMC Global Inc.'s Board of Directors,
of not less than 20 percent of a participant's eligible contributions,
which are contributions that do not exceed 6 percent of a participant's
base monthly salary. IMC Global Inc. may make additional contributions
each year as determined by its Board of Directors. Employer
contributions are subject to certain limitations imposed by Section 415
of the IRC. Total employer contributions were equal to 100 percent of
participants' eligible contributions for the years ended June 30, 1997
and 1996. Under certain circumstances, participants may rollover their
vested benefits from other plans to the Plan.
Participant Accounts
- --------------------
Separate accounts are maintained for each participant. Each
participant's account is adjusted for participant and employer
contributions, withdrawals and fees, if any, interest, dividends and
net realized or unrealized gains or losses.
Administrative Expenses
- -----------------------
Certain administrative expenses of the Plan are borne by the
Company.
Investment Programs
- -------------------
Since January 1, 1996, the Plan's investments are administered by
Marshall & Ilsley Trust Company under a trust agreement dated January
1, 1996. Prior to that time, the trustee was The Northern Trust
Company. Investment programs available to participants are as follows:
Equity Fund - Investments are made in shares of the Fidelity Equity-
Income Fund, Inc., a mutual fund which invests at least 65 percent
of its assets in income producing equity securities. The balance of
the portfolio is invested in all types of domestic and foreign
instruments, including bonds.
Bond Fund - Since January 1, 1996, investments are made in shares of
the IMC Global Bond Fund, a pooled bond fund shared only by other
IMC Global Operations Inc. 401(k) plans. The fund invests
substantially all of the assets in shares of the Bond Fund of
America, Inc., a mutual fund comprised of marketable corporate debt
securities, U.S. Government securities, mortgage-related securities,
other asset-backed securities and cash or money market instruments.
Prior to January 1, 1996, the Bond Fund of America, Inc. shares were
held directly.
IMC Global Stock Fund - Investments are made in shares of the IMC
Global Stock Fund which invests in the common stock of IMC Global
Inc.
Fixed Income Fund - Since January 1, 1996, investments are made in
shares of IMC Global Fixed Fund, a pooled fund shared only by other
IMC Global Operations Inc. 401(k) plans. Prior to that time,
investments of the Fixed Income Fund were managed by LaSalle Street
Capital Management, Ltd. Investments are made in guaranteed
investment contracts (GICs), the Marshall Money Market Fund and,
prior to January 1, 1996, in the LaSalle National Trust, N.A.
Income Plus Fund. The 1997 holdings are described below:
(a) A contract with CDC Investment Management Corp. with a
guaranteed interest rate of 7.5 percent through June 30,
2000.
(b) A contract with Commonwealth Life Insurance Company with a
guaranteed interest rate of 7.27 percent through July 6, 1998.
(c) A contract with Hartford Life Insurance Company with a
guaranteed interest rate of 8.15 percent through December 19,
1997.
(d) The LaSalle National Trust, N.A. Income Plus Fund, a pooled
fund which invests primarily in investment contracts, U.S.
Government money market investments and alternative contracts
backed by the U.S. Government, U.S. Government agency and other
AAA rated fixed income instruments.
Money Market Fund - Investments are made in shares of the Vanguard
Money Market Reserves, Inc. - Prime Portfolio, a mutual fund. The
Prime Portfolio invests in high quality money market obligations
that mature in 13 months or less and include negotiable certificates
of deposit, bankers' acceptances, commercial paper, short-term
corporate obligations, short-term Eurodollar and Yankee bank
obligations, U.S. Treasury obligations and securities issued or
guaranteed by agencies and instrumentalities of the U.S. Government.
Balanced Fund - Investments are made in shares of the Vanguard
Wellington Fund, Inc. a mutual fund which invests in a diversified
portfolio of 60-70 percent common stocks and 30-40 percent bonds.
Growth Fund - Investments are made in shares of the Fidelity
Magellan Fund, Inc., a mutual fund which invests in common stock and
securities of domestic, foreign and multinational issuers.
Loan Fund - Investments are loans made to participants, as described
below.
Participants elect their desired investment program upon joining
the Plan. Since April 1, 1996, they may elect to change the investment
direction of their existing account balances and their future
contributions daily. Prior to that time, as of July 1, October 1,
January 1 and April 1 of any Plan year, upon giving prescribed notice,
participants could elect to transfer the investment direction of their
future contributions or their existing account balances in any fund or
funds to any other fund, or in 25 percent increments to any combination
of funds. Effective July 1, 1991 through March 31, 1996, participants
could not transfer funds of existing account balances between the Fixed
Income Fund and the Bond Fund nor between the Fixed Income Fund and the
Money Market Fund. The Balanced Fund and Growth Fund investment
programs were introduced to the Plan effective January 1, 1996; at the
same time loans were transferred to the Loan Fund.
Vesting
- -------
All Plan participants are immediately and nonforfeitably vested in
their plan accounts.
Withdrawals
- -----------
Participants may withdraw their interest in the Plan upon
termination of employment. Subject to certain requirements and
limitations, participants may withdraw funds. Most withdrawals made by
participants, including hardship withdrawals from their Salary
Reduction Accounts, will result in suspension of Plan participation for
at least one year.
Except as noted below, participants will receive distribution of
their interest in the Plan in a lump sum payment.
Deferred Distributions
- ----------------------
Participants who terminate their employment and are eligible for
early or normal retirement under any Company pension plan will be
permitted to elect, at any time prior to retirement, to defer receipt
of their Plan distributions until no later than their 70th birthday.
Participants electing deferral must: (1) elect to receive their
distributions in: (a) a lump sum on the date of distribution, or (b) in
equal annual installments not to exceed ten, and (2) make an election
for the method of distribution in the event of their death prior to
total distribution.
Participants who terminate their employment prior to eligibility
for early or normal retirement and whose Plan accounts exceed $3,500
must consent to distribution of their accounts. Participants may defer
receipt of their Plan distribution until no later than their 70th
birthdays.
Loans to Participants
- ---------------------
Participants in the Plan may be granted loans subject to certain
terms and maximum dollar or Plan account balance limits, as defined by
the Plan. The amount of any such loan is borrowed from the account of
the participant to whom the loan was made and such account does not
share in the allocation of income, gains and losses of the investment
funds to the extent of the outstanding balance of such loan. Principal
repayments, which are over one to five years for general purpose loans
and over one to ten years for residential loans, and related interest
income are credited to the borrowing participant's account. Loan
payments are made by monthly payroll deductions. Each loan bears
interest at the prevailing rate for loans of similar risk, date of
maturity and date of grant.
2. Summary of Significant Accounting Policies
------------------------------------------
Use of Estimates
- ----------------
The preparation of financial statements in accordance with
generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts in the
financial statements and accompanying notes. Actual results could
differ from those estimates.
Investment Valuation
- --------------------
All investments are carried at fair value, except the guaranteed
investment contracts which are carried at contract value. Fair value
is the last reported sale price on the last business day of the month
for securities traded on a national securities exchange and in the over-
the-counter market. Fair value for shares or units of the master trust
funds, the LaSalle National Trust, N.A. Income Plus Fund, The Northern
Trust Company Collective Trust Short Term Investment Fund and the
mutual funds is the net asset value of those shares or units, as
determined by the respective funds. Loans to participants are valued
at cost which approximates fair value.
Investment in Trusts
- --------------------
As of January 1, 1996, investment assets of the Bond Fund, the IMC
Global Stock Fund and the Fixed Income Fund were comprised of shares of
IMC Global Inc. pooled funds shared by other IMC Global Inc. 401(k)
plans. The plan was a 100 percent, 100 percent and 99 percent,
respectively, participant in the IMC Global Bond Fund, the IMC Global
Stock Fund and the IMC Global Fixed Income Fund at June 30, 1997 (100
percent, 100 percent and 99.5 percent at June 30, 1996).
The assets of the pooled funds as of June 30, 1997 were as follows:
<TABLE>
<CAPTION>
IMC Global
IMC Global IMC Global Fixed
Bond Fund Stock Fund Income Fund
--------- ---------- -----------
<S> <C> <C> <C>
Bond Fund of America, Inc. $2,185,496
IMC Global Inc. common stock $12,267,220
LaSalle Natoinal Trust, N.A.
Income Plus Fund $14,039,255
Guaranteed Investment
Contracts -
Commonwealth Life Insurance
Company 7,397,502
Hartford Life Insurance
Company 6,095,582
CDC Investment Management
Corp. 6,248,886
National Westminster Bank
Group 4,551,550
Rabobank Alternative 5,024,565
Marshall Money Market Fund 30,064 1,215,429 320,066
Pending transaction (990,823) (9,417)
Accrued interest and dividends 248 1,734 77,796
---------- ----------- -----------
Net assets of pooled fund $2,215,808 $12,493,560 $43,745,785
========== =========== ===========
</TABLE>
The assets of the pooled funds as of June 30, 1996 were as follows:
<TABLE>
<CAPTION>
IMC Global
IMC Global IMC Global Fixed
Bond Fund Stock Fund Income Fund
--------- ---------- -----------
<S> <C> <C> <C>
Bond Fund of America, Inc. $2,202,956
IMC Global Inc. common stock $9,434,770
LaSalle Natoinal Trust, N.A.
Income Plus Fund $26,827,224
Guaranteed Investment
Contracts -
Commonwealth Life Insurance
Company 6,776,887
Hartford Life Insurance
Company 5,527,202
CDC Investment Management
Corp. 6,138,138
National Westminster Bank
Group 4,860,622
Rabobank Alternative 5,111,051
Marshall Money Market Fund 27,058 321,888 296,649
Pending transaction (47,947) 6,245
Accrued interest and dividends 136 1,038 509,020
---------- ---------- -----------
Net assets of pooled fund $2,230,150 $9,709,749 $56,053,038
========== ========== ===========
</TABLE>
Changes in the pooled balances during the year ended June 30, 1997
are summarized as follows:
<TABLE>
<CAPTION>
IMC Global
IMC Global IMC Global Fixed
Bond Fund Stock Fund Income Fund
--------- ---------- -----------
<S> <C> <C> <C>
Additions:
Interest and dividend
income $ 158,219 $ 121,232 $ 3,134,388
Net appreciation
(depreciation) in fair
value of investments 53,399 (198,841)
Contributions and
transfers from other
plans 826,635 18,950,730 18,681,691
---------- ----------- -----------
1,038,253 18,873,121 21,816,079
Deductions:
Benefits paid 1,052,595 16,089,310 34,010,742
Investment expenses 112,590
---------- ----------- -----------
1,052,595 16,089,310 34,123,332
---------- ----------- -----------
Net increase (decrease)
in assets (14,342) 2,783,811 (12,307,253)
Pooled fund assets,
beginning of year 2,230,150 9,709,749 56,053,038
---------- ----------- -----------
Pooled fund assets,
end of year $2,215,808 $12,493,560 $43,745,785
========== =========== ===========
</TABLE>
Changes in the pooled balances from January 1 through June 30, 1996
are summarized as follows:
<TABLE>
<CAPTION>
IMC Global IMC Global
IMC Global Company Fixed
Bond Fund Stock Fund Income Fund
--------- ---------- -----------
<S> <C> <C> <C>
Additions:
Interest and dividend
income $ 42,106 $ 22,522 $ 1,116,667
Net appreciation
(depreciation) in fair
value of investments (22,900) 4,139,424 (4,296)
Contributions and
transfers from other
plans 90,886 1,063,880 1,934,134
---------- ---------- -----------
110,092 5,225,826 3,046,505
Deductions:
Benefits paid 234,355 1,549,921 6,312,940
Investment expenses 49,689
---------- ---------- -----------
234,355 1,549,921 6,362,629
---------- ---------- -----------
Net increase (decrease)
in assets (124,263) 3,675,905 (3,316,124)
Assets transferred at
January 1, 1996 2,354,413 6,033,844 59,369,162
---------- ---------- -----------
Pooled fund assets at
June 30, 1996 $2,230,150 $9,709,749 $56,053,038
========== ========== ===========
</TABLE>
Income Recognition
- ------------------
Purchases and sales of securities are accounted for on the trade
date (date the order to buy or sell is executed). Dividend income is
recorded on the ex-dividend date. Interest from investments is
recorded as earned on an accrual basis.
Contributions
- -------------
Contributions from participants are recorded monthly when due from
the Company. Contributions by the Company are made monthly based on
the minimum contribution percentage (20 percent) required by the Plan.
Any additional contributions by the Company are accrued when approved
by its Board of Directors.
<TABLE>
Participant Withdrawals
- -----------------------
Withdrawals are recorded when payments are made to participants. Withdrawals
requested but not paid are presented in Department of Labor Form 5500 (Annual
Return/Report of Employee Benefit Plan) as liabilities. There were no unpaid
withdrawals at June 30, 1997. The following schedule reconciles the net assets
available for benefits per the Form 5500 to the financial statements at June 30,
1996:
<CAPTION>
IMC Fixed Money
Equity Bond Global Income Market Balanced Growth Loan
Total Fund Fund Stock Fund Fund Fund Fund Fund Fund
---------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Net assets available
for benefits per
the Form 5500 $105,118,045 $20,588,738 $2,286,330 $10,145,110 $56,637,957 $1,003,915 $5,201,001 $5,736,159 $3,518,835
Amounts allocated
to withdrawing
participants -
June 30, 1995 133,135 17,392 7,828 2,408 99,314 4,595 1,598
June 30, 1996 (15,000) (8,544) (6,456)
------------ ----------- ---------- ----------- ----------- ---------- ---------- ---------- ----------
Net assets available
for benefits per
the financial
statements $105,236,180 $20,606,130 $2,294,158 $10,138,974 $56,730,815 $1,003,915 $5,205,596 $5,737,757 $3,518,835
============ =========== ========== =========== =========== ========== ========== ========== ==========
</TABLE>
<TABLE>
The following schedule reconciles the withdrawal amounts per the Form 5500 to
the statement of changes in assets available for benefits:
<CAPTION>
IMC Fixed Money
Equity Bond Global Income Market Balanced Growth Loan
Total Fund Fund Stock Fund Fund Fund Fund Fund Fund
---------------------------------------------------------------------------------------------------------------
Year ended June 30, 1997
- ------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Withdrawals per
Form 5500 $17,617,600 $2,496,073 $211,068 $540,164 $12,220,408 $291,236 $1,170,991 $529,804 $157,856
Withdrawal liabil-
ities per Form 5500:
at June 30, 1996 15,000 8,544 6,456
=========== ========== ======== ======== =========== ======== ========== ======== ========
Withdrawals per
statement of
changes in assets
available for
benefits $17,602,600 $2,496,073 $211,068 $531,620 $12,213,952 $291,236 $1,170,991 $529,804 $157,856
=========== ========== ======== ======== =========== ======== ========== ======== ========
Year ended June 30, 1996
- ------------------------
Withdrawals per
Form 5500 $7,790,602 $693,630 $114,587 $505,553 $5,815,946 $43,275 $131,035 $452,223 $34,353
Withdrawal liabil-
ities per Form 5500:
at June 30, 1995 133,135 17,392 7,828 2,408 99,314 4,595 1,598
at June 30, 1996 (15,000) (8,544) (6,456)
---------- -------- -------- -------- ---------- ------- -------- -------- -------
Withdrawals per
statement of
changes in assets
available for
benefits $7,908,737 $711,022 $122,415 $499,417 $5,908,804 $43,275 $135,630 $453,821 $34,353
========== ======== ======== ======== ========== ======= ======== ======== =======
</TABLE>
<TABLE>
3. Net Appreciation (Depreciation) in Fair Value of Investments
------------------------------------------------------------
During 1997 and 1996, net appreciation (depreciation) in fair value of the
Plan's investments as determined by quoted market price was as follows:
<CAPTION>
IMC Money
Equity Bond Global Market Balanced Growth
Total Fund Fund Stock Fund Fund Fund Fund
- --------------------------------------------------------------------------------------------------
Year ended June 30, 1997
- ------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Mutual funds $6,264,782 $4,368,398 $850,318 $1,046,066
---------- ---------- ------- ---------- ------ -------- ---------
Net appreciation in
fair value $6,264,782 $4,368,398 $850,318 $1,046,066
========== ========== ======= ========== ====== ======== =========
Year ended June 30, 1996
- ------------------------
Common stocks $3,251,585 $3,251,585
Mutual funds 3,073,342 $2,907,518 $72,443 $4,303 $461,386 $(372,308)
----------- ---------- ------- ---------- ------ -------- ---------
Net appreciation
(depreciation)
in fair value $6,324,927 $2,907,518 $72,443 $3,251,585 $4,303 $461,386 $(372,308)
========== ========== ======= ========== ====== ======== =========
</TABLE>
4. Significant Investments
-----------------------
Investments that represent 5 percent or more of assets available
for benefits at June 30 were as follows:
<TABLE>
<CAPTION
1997 1996
----------- -----------
<S> <C> <C>
IMC Global Stock Fund $12,662,607 $ 9,709,749
IMC Global Fixed Income Fund 43,289,253 55,789,610
Mutual funds -
Fidelity Equity-Income Fund, Inc. 20,878,378 19,997,184
Vanguard Wellington Fund, Inc. 5,811,880 4,970,916
Fidelity Magellan Fund, Inc. 5,803,489 5,362,674
</TABLE>
5. Federal Income Tax Status
-------------------------
The Internal Revenue Service ruled June 7, 1989 that the Plan
qualified under Section 401(a) of the IRC and, therefore, the related
trust is not subject to tax under present income tax law. Once
qualified, the Plan is required to operate in conformity with the IRC
to maintain its qualification. The Plan Administrator is not aware of
any course of action or series of events that have occurred that might
adversely affect the Plan's qualified status.
SUPPLEMENTAL SCHEDULES
----------------------
<TABLE>
EIN: 36-3513204
PLAN #: 004
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
--------------------------------------
LINE 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
----------------------------------------------------------
<CAPTION>
June 30, 1997
-----------------------------------------
Principal amount
or number of Current
Identity of Issuer Description shares Cost value
- ------------------ --------------- -------------- --------- ---------
<S> <C> <C> <C> <C>
IMC Global Inc.* Master trust funds -
IMC Global Inc.
Stock Fund 359,680 units $13,108,670 $12,662,607
IMC Global Inc.
Bond Fund 197,936 units 2,007,708 2,209,100
IMC Global Fixed
Fund 3,998,722 units 40,346,190 43,289,253
Marshall & Ilsley
Trust Company* Mutual funds -
Fidelity Equity-
Income Fund,
Inc. 424,444 shares 17,464,061 20,878,378
Vanguard Money
Market Reserves,
Inc. - Prime
Portfolio 793,799 shares 793,799 793,799
Vanguard Welling-
ton Fund, Inc. 199,996 shares 5,245,553 5,811,880
Fidelity Magellan
Fund, Inc. 63,740 shares 5,387,403 5,803,489
Loans to participants (6.75% - 11.00%) 3,271,099
-----------
$94,719,605
===========
* Indicates party-in-interest to the Plan.
</TABLE>
<TABLE>
EIN: 36-3513204
PLAN #: 004
INVESTMENT PLAN FOR SALARIED EMPLOYEES
OF IMC GLOBAL OPERATIONS INC.
--------------------------------------
ITEM 27D - SCHEDULE OF REPORTABLE TRANSACTIONS
----------------------------------------------
FOR THE YEAR ENDED JUNE 30, 1997
--------------------------------
<CAPTION>
Purchases Sales
Identity of Description --------- -----------------------------
Party Involved of Assets Cost Cost Proceeds Gain
- -------------- ------------ ---- ---- -------- ----
<S> <C> <C> <C> <C> <C>
Category (iii) transactions -
series of transactions in excess
of 5 percent of plan assets:
IMC Global Inc.* IMC Global Stock
Fund $22,562,887 $15,455,941 $16,122,430 $666,489
IMC Global Fixed
Income Fund 13,775,738 33,289,049 34,223,373 934,324
Marshall & Ilsley
Trust Company* Fidelity Equity-
Income Fund,
Inc. 8,849,107 11,049,598 11,610,731 561,133
Vanguard Welling-
ton Fund Inc. 5,404,707 5,101,086 5,245,293 144,207
Fidelity Magellan
Fund, Inc. 4,110,087 4,766,050 4,636,584(129,466)
NOTE: There were no category (i), (ii) or (iv) reportable transactions during
the year ended June 30, 1997.
* Indicates party-in-interest to the Plan.
</TABLE>
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
I, the undersigned Chairman of the Employee Benefits Committee, have
duly caused this annual report to be signed on its behalf by the
undersigned hereunto duly authorized.
Investment Plan for Salaried Employees of
IMC Global Operations Inc.
LYNN F. WHITE
-------------------------------------------
Lynn F. White
Acting Chairman of the Employee Benefits Committee
Date: December 19, 1997
Pursuant to the requirements of the Securities Exchange Act of 1934,
this annual report has been signed below by the following persons in
their capacities as members of the Employee Benefits Committee and on
the dates indicated.
Signature Title Date
- -----------------------------------------------------------------------
LYNN F. WHITE
- --------------
Lynn F. White Acting Chief Financial December 19, 1997
Officer
B. RUSSELL LOCKRIDGE
- --------------------
B. Russell Lockridge Senior Vice President, December 19, 1997
Human Resources
MARSCHALL I. SMITH
- ------------------
Marschall I. Smith Senior Vice President, December 19, 1997
Secretary and General Counsel
ROBERT E. FOWLER, JR.
- ---------------------
Robert E. Fowler, Jr. President and December 19, 1997
Chief Executive Officer
Exhibit 23
CONSENT OF INDEPENDENT AUDITORS
We consent to the incorporation by reference in the Registration
Statement (Form S-8 No. 33-22079) pertaining to the Investment Plan for
Salaried Employees of IMC Global Operations Inc. of our report dated
October 24, 1997, with respect to the financial statements and
supplemental schedules of the Investment Plan for Salaried Employees of
IMC Global Operations Inc. included in this Annual Report (Form 11-K)
for the year ended June 30, 1997.
ERNST & YOUNG LLP
Chicago, Illinois
December 18, 1997
Docket No. 90714
