<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 11-K
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934 [FEE REQUIRED]
For the fiscal year ended December 31, 1995
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___________________
A. Full title of the plan and the address of the plan, if different
from that of the issuer named below:
BECKMAN INSTRUMENTS, INC. SAVINGS AND INVESTMENT PLAN
B. Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
BECKMAN INSTRUMENTS, INC.
2500 Harbor Boulevard
Fullerton, California 92634
<PAGE> 2
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
TABLE OF CONTENTS
<TABLE>
<CAPTION>
PAGE
<S> <C>
INDEPENDENT AUDITORS' REPORT
1
FINANCIAL STATEMENTS:
Statement of net assets available for benefits as of December 31, 1995 3
Statement of net assets available for benefits as of December 31, 1994 4
Statement of changes in net assets available for benefits
for the year ended December 31, 1995 5
Statement of changes in net assets available for benefits
for the year ended December 31, 1994 6
Notes to financial statements 7
SUPPLEMENTAL SCHEDULES:
Item 27a - Schedule of assets held for investment purposes as of December 31, 1995 14
Item 27d - Schedule of reportable single transactions for the year ended December 31, 1995 16
Item 27d - Schedule of reportable series of transactions for the year ended December 31, 1995 17
</TABLE>
<PAGE> 3
[DELOITTE & TOUCHE LLP LETTERHEAD]
INDEPENDENT AUDITORS' REPORT
To the Corporate Benefits Committee of
the Beckman Instruments, Inc. Savings and Investment Plan:
We have audited the accompanying statements of net assets available for benefits
of Beckman Instruments, Inc. Savings and Investment Plan (the Plan) as of
December 31, 1995 and 1994, and the related statements of changes in net 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, such financial statements present fairly, in all material
respects, the net assets available for benefits of the Plan as of December 31,
1995 and 1994, and the changes in net 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 supplemental schedules listed in the
Table of Contents are presented for the purpose of additional analysis and are
not a required part of the basic financial statements, but are supplementary
information required by the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974. The supplemental information by fund is also presented for the purpose of
additional analysis of the basic financial statements rather than to present
information regarding the net assets available for benefits and changes in net
assets available for benefits of the individual funds, and is not a required
part of the basic financial statements. The supplemental schedules and
supplemental information by fund are the responsibility of the Plan's
management. Such supplemental schedules
<PAGE> 4
and supplemental information by fund 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, when considered in
relation to the basic financial statements taken as a whole.
/s/ Deloitte and Touche LLP
- - ---------------------------
May 10, 1996
2
<PAGE> 5
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS
AS OF DECEMBER 31, 1995
<TABLE>
<CAPTION>
SUPPLEMENTAL INFORMATION BY FUND
------------------------------------------------------------------------
BECKMAN BALANCED INTEREST EQUITY INDEX
STOCK FUND FUND INCOME FUND FUND FUND
<S> <C> <C> <C> <C> <C>
ASSETS:
Investments, at fair value (Note 5):
Common stock of Plan sponsor (aggregate cost
$17,380,744) $25,471,238 $ - $ - $ - $ -
Mutual funds (aggregate cost $77,556,484) 26,675,879 46,826,536 8,053,764
Participant loans receivable
Investments, at contract value:
Group contracts with insurance companies
(aggregate cost $65,554,038) 65,554,038
Bank investment contracts (aggregate cost $23,448,535) 23,448,535
----------- ----------- ----------- ------------ ----------
Total investments 25,471,238 26,675,879 89,002,573 46,826,536 8,053,764
Cash and cash equivalents 44,534 21,870 3,508,752 885 3,549
Contributions receivable 89,914 115,093 279,934 163,975 55,406
Other receivables 164,496 603,339 755,768 33,127 (1,045)
----------- ----------- ----------- ------------ ----------
Total assets 25,770,182 27,416,181 93,547,027 47,024,523 8,111,674
LIABILITIES:
Amounts payable for investments 90,049 602,698 9 1 7,527
Transfers (receivable) payable from other funds (6,396) (16,975) (36,726) (59,221) (4,396)
----------- ----------- ----------- ------------ ----------
NET ASSETS AVAILABLE FOR BENEFITS $25,686,529 $26,830,458 $93,583,744 $ 47,083,743 $8,108,543
=========== =========== =========== ============ ==========
<CAPTION>
SUPPLEMENTAL INFORMATION BY FUND
------------------------------------------------------------
INTERNATIONAL PARTICIPANT DISBURSEMENT
EQUITY FUND LOANS FUND TOTAL
<S> <C> <C> <C> <C>
ASSETS:
Investments, at fair value (Note 5):
Common stock of Plan sponsor (aggregate cost
$17,380,744) $ - $ - $ - $ 25,471,238
Mutual funds (aggregate cost $77,556,484) 906,920 82,463,099
Participant loans receivable 2,714,548 2,714,548
Investments, at contract value:
Group contracts with insurance companies
(aggregate cost $65,554,038) 65,554,038
Bank investment contracts (aggregate cost $23,448,535) 23,448,535
----------- ----------- ----------- ------------
Total investments 906,920 2,714,548 199,651,458
Cash and cash equivalents 12 273,126 3,852,728
Contributions receivable 16,364 720,686
Other receivables 4,602 8 (56) 1,560,239
----------- ----------- ----------- ------------
Total assets 927,886 2,714,568 273,070 205,785,111
LIABILITIES:
Amounts payable for investments 5,943 3 706,230
Transfers (receivable) payable from other funds (2,126) 125,840
----------- ----------- ----------- ------------
NET ASSETS AVAILABLE FOR BENEFITS $ 924,069 $ 2,588,728 $ 273,067 $205,078,881
=========== =========== =========== ============
</TABLE>
See accompanying notes to financial statements. 3
<PAGE> 6
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS
AS OF DECEMBER 31, 1994
<TABLE>
<CAPTION>
SUPPLEMENTAL INFORMATION BY FUND
--------------------------------------------------------
BECKMAN BALANCED INTEREST EQUITY
STOCK FUND FUND INCOME FUND FUND
<S> <C> <C> <C> <C>
ASSETS:
Investments, at fair value (Note 5):
Common stock of Plan sponsor (aggregate cost
$16,357,614) $19,778,511 $ - $ - $ -
Mutual funds (aggregate cost $41,348,681) 36,697,436
Collective trust fund (aggregate cost $17,221,055) 19,956,592
Investments, at contract value:
Group contracts with insurance companies
(aggregate cost $91,110,373) 91,110,373
Other (aggregate cost $212,348) 311,222
----------- ------------ ----------- -----------
Total investments 19,778,511 19,956,592 91,421,595 36,697,436
Cash and cash equivalents 469,995 232,048 655,915 156
Other receivables 970 1,023 7,359 99,438
----------- ------------ ----------- -----------
Total assets 20,249,476 20,189,663 92,084,869 36,797,030
LIABILITIES:
Amounts payable for investments 176,074 8 21 5
Transfers (receivable) payable from other funds 11,105 11,288 (231,555) 126,156
----------- ------------ ----------- -----------
NET ASSETS AVAILABLE FOR BENEFITS $20,062,297 $ 20,178,367 $92,316,403 $36,670,869
=========== ============ =========== ===========
<CAPTION>
--------------------------
INDEX
FUND TOTAL
<S> <C> <C>
ASSETS:
Investments, at fair value (Note 5):
Common stock of Plan sponsor (aggregate cost
$16,357,614) $ - $ 19,778,511
Mutual funds (aggregate cost $41,348,681) 3,437,216 40,134,652
Collective trust fund (aggregate cost $17,221,055) 19,956,592
Investments, at contract value:
Group contracts with insurance companies
(aggregate cost $91,110,373) 91,110,373
Other (aggregate cost $212,348) 311,222
----------- ------------
Total investments 3,437,216 171,291,350
Cash and cash equivalents 1,358,114
Other receivables 65,238 174,028
----------- ------------
Total assets 3,502,454 172,823,492
LIABILITIES:
Amounts payable for investments 176,108
Transfers (receivable) payable from other funds 83,006
----------- ------------
NET ASSETS AVAILABLE FOR BENEFITS $ 3,419,448 $172,647,384
=========== ============
</TABLE>
See accompanying notes to financial statements. 4
<PAGE> 7
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 1995
<TABLE>
<CAPTION>
SUPPLEMENTAL INFORMATION BY FUND
--------------------------------------------------------------------------
BECKMAN BALANCED INTEREST EQUITY INDEX
STOCK FUND FUND INCOME FUND FUND FUND
<S> <C> <C> <C> <C> <C>
Additions to plan assets attributed to:
Net appreciation (depreciation) in fair value
of investments $ 5,274,826 $ 4,091,403 $ 109,151 $ 9,620,797 $1,388,747
Dividends 313,209 627,423 1,319,719 136,815
Interest 11,716 728,050 6,754,031 3,004 24
----------- ----------- ----------- ----------- ----------
Total investment income 5,599,751 5,446,876 6,863,182 10,943,520 1,525,586
Contributions:
Beckman Instruments, Inc. 1,283,571 18,404 2,633,146 21,781 17,990
Employees 997,917 2,888,728 4,260,147 4,154,058 1,178,307
----------- ----------- ----------- ----------- ----------
Total contributions 2,281,488 2,907,132 6,893,293 4,175,839 1,196,297
Participant loan repayments 1,723 5,530 8,402 9,155 2,002
----------- ----------- ----------- ----------- ----------
Net additions 7,882,962 8,359,538 13,764,877 15,128,514 2,723,885
Participant loan withdrawals (162,292) (522,769) (959,179) (934,448) (160,375)
Deductions from plan assets attributed
to distributions of benefits (1,751,092) (1,338,721) (8,260,249) (2,739,861) (202,647)
Administrative expenses and other (232) (245) (25,157) (60)
----------- ----------- ----------- ----------- ----------
Net deductions (1,913,616) (1,861,735) (9,244,585) (3,674,369) (363,022)
Net increase (decrease) in net assets
available for benefits prior to
interfund transfers 5,969,346 6,497,803 4,520,292 11,454,145 2,360,863
Net assets available for benefits,
beginning of year 20,062,297 20,178,367 92,316,403 36,670,869 3,419,448
Net interfund transfers (345,114) 154,288 (3,252,951) (1,041,271) 2,328,232
----------- ----------- ----------- ----------- ----------
Net assets available for benefits,
end of year $25,686,529 $26,830,458 $93,583,744 $47,083,743 $8,108,543
=========== =========== =========== =========== ==========
<CAPTION>
-------------------------------------------------------------
INTERNATIONAL PARTICIPANT DISBURSEMENT
EQUITY FUND LOANS FUND TOTAL
<S> <C> <C> <C> <C>
Additions to plan assets attributed to:
Net appreciation (depreciation) in fair value
of investments $ (4,004) $ - $ - $ 20,480,920
Dividends 9,804 2,406,970
Interest 4,402 13,410 10,791 7,525,428
----------- ----------- ----------- -----------
Total investment income 10,202 13,410 10,791 30,413,318
Contributions:
Beckman Instruments, Inc. 13,665 3,988,557
Employees 101,830 13,580,987
----------- ----------- ----------- -----------
Total contributions 115,495 17,569,544
Participant loan repayments 1,063 (27,875)
----------- ----------- ----------- -----------
Net additions 126,760 (14,465) 10,791 47,982,862
Participant loan withdrawals (2,749) 2,741,812
Deductions from plan assets attributed
to distributions of benefits (31) (1,232,848) (15,525,449)
Administrative expenses and other (222) (25,916)
----------- ----------- ----------- -----------
Net deductions (2,780) 2,741,812 (1,233,070) (15,551,365)
Net increase (decrease) in net assets
available for benefits prior to
interfund transfers 123,980 2,727,347 (1,222,279) 32,431,497
Net assets available for benefits,
beginning of year 172,647,384
Net interfund transfers 800,089 (138,619) 1,495,346
----------- ----------- ----------- ------------
Net assets available for benefits,
end of year $ 924,069 $ 2,588,728 $ 273,067 $205,078,881
=========== =========== =========== ============
</TABLE>
See accompanying notes to financial statements. 5
<PAGE> 8
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
FOR THE YEAR ENDED DECEMBER 31, 1994
<TABLE>
<CAPTION>
SUPPLEMENTAL INFORMATION BY FUND
---------------------------------------------------------
BECKMAN BALANCED INTEREST INCOME EQUITY
STOCK FUND FUND FUND FUND
<S> <C> <C> <C> <C>
Additions to plan assets attributed to:
Net appreciation (depreciation) in fair value
of investments $ 321,208 $ (940,840) $ 351,029 $(1,248,270)
Dividends 282,277 909,434 1,153,804
Interest 10,412 10,882 6,592,296 3,663
----------- ----------- ------------ -----------
Total investment income (loss) 613,897 (20,524) 6,943,325 (90,803)
Contributions:
Beckman Instruments, Inc. 1,124,288 2,676,705
Employees 673,028 2,822,431 3,867,155 4,092,872
----------- ----------- ------------ -----------
Total contributions 1,797,316 2,822,431 6,543,860 4,092,872
----------- ----------- ------------ -----------
Net additions 2,411,213 2,801,907 13,487,185 4,002,069
Deductions from plan assets attributed
to distributions of benefits (2,251,747) (2,416,759) (10,751,118) (4,007,107)
Administrative expenses (303) (131) (19,677) (106)
----------- ----------- ------------ -----------
Net deductions (2,252,050) (2,416,890) (10,770,795) (4,007,213)
Net increase (decrease) in net assets
available for benefits prior to
interfund transfers 159,163 385,017 2,716,390 (5,144)
Net assets available for benefits,
beginning of year 20,446,854 20,599,580 88,095,731 36,935,150
Net interfund transfers (543,720) (806,230) 1,504,282 (259,137)
----------- ----------- ------------ -----------
Net assets available for benefits,
end of year $20,062,297 $20,178,367 $ 92,316,403 $36,670,869
=========== =========== ============ ===========
<CAPTION>
INDEX
FUND TOTAL
<S> <C> <C>
Additions to plan assets attributed to:
Net appreciation (depreciation) in fair value
of investments $ (60,819) $ (1,577,692)
Dividends 90,580 2,436,095
Interest 134 6,617,387
---------- ------------
Total investment income (loss) 29,895 7,475,790
Contributions:
Beckman Instruments, Inc. 3,800,993
Employees 875,765 12,331,251
---------- ------------
Total contributions 875,765 16,132,244
---------- ------------
Net additions 905,660 23,608,034
Deductions from plan assets attributed
to distributions of benefits (212,161) (19,638,892)
Administrative expenses (3) (20,220)
---------- ------------
Net deductions (212,164) (19,659,112)
Net increase (decrease) in net assets
available for benefits prior to
interfund transfers 693,496 3,948,922
Net assets available for benefits,
beginning of year 2,621,147 168,698,462
Net interfund transfers 104,805
---------- ------------
Net assets available for benefits,
end of year $3,419,448 $172,647,384
========== ============
</TABLE>
See accompanying notes to financial statements. 6
<PAGE> 9
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994
1. DESCRIPTION OF PLAN
The following description of the Plan provides only general information.
Participants should refer to the Plan agreement for a complete
description of the Plan's provision.
General - Beckman Instruments, Inc. (the Company) established and
adopted the Beckman Instruments, Inc. Savings and Investment Plan (the
Plan) effective August 1, 1989.
The Plan is a defined contribution plan covering substantially all
employees of the Company who have completed three months of continuous
employment and 500 hours of service. The Plan is subject to the
provisions of the Employee Retirement Income Security Act of 1974
(ERISA). The Plan is administered by the Corporate Benefits Committee
(the Committee), whose members are appointed by the Board of Directors
of the Company.
The Plan was restated in August 1992, and the Plan document incorporates
all amendments made to the Plan through August 1992. The Plan was
amended effective January 1, 1995 to add the International Equity Fund
as an investment option and to allow participants to direct Company
contributions to any of the investment funds, as well as to provide for
participant loans.
Contributions - Participants may elect to contribute up to 15% of their
eligible compensation in the form of pre-tax and/or after-tax
withholdings, although the combined contribution cannot exceed 15% of
eligible compensation. Each participant's pre-tax contributions in the
calendar year may not exceed $9,240 in 1995 and 1994.
Company matching contributions to the Plan are allocated to participants
based on a specified percentage of actual employee contributions.
Forfeitures of the Company match will be first used to re-instate
previously forfeited balances of certain former employees who are
re-employed by the Company and then will be used to reduce future
Company contributions.
Upon commencement of benefit payments, participants are subject to
federal income tax on the receipt of participant pre-tax contributions,
Company matching contributions, and earnings on all contributions.
Investment Options - Participants have a choice of six different
investment funds for their contributions. Effective January 1, 1995,
Company contributions may be directed to any of the six different
investment funds. Prior to January 1, 1995, participants could direct
Company contributions to the Interest Income Fund or the Beckman Stock
Fund. Participants have the right to elect investment options upon
enrollment or re-enrollment into the Plan. Additionally, participants
may elect to change their investment options effective as of the first
day of each month and to transfer their account balances among the
different investment funds on a daily basis.
7
<PAGE> 10
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (Continued)
Income on investment funds is allocated to participants' accounts based
on the participants' investment fund balance as a percentage of the
total investment fund balance.
A description of each investment fund follows:
Beckman Stock Fund - The Beckman Stock Fund is invested in Beckman
Instruments, Inc. common stock.
Balanced Fund - The Balanced Fund is invested primarily in stocks, bonds
and cash. The stock portfolio consists of large, intermediate and small
companies. The bond portfolio consists of U.S. Treasury, U.S. Agency and
corporate issues. The Balanced Fund is managed by Brinson Partners, Inc.
under the name U.S. Balanced Fund.
Interest Income Fund - The Interest Income Fund is invested in a
portfolio of group annuity contracts issued by major insurance companies
and investment contracts with banks.
Equity Fund - The Equity Fund is invested in a portfolio of common
stocks to meet the objective of long-term growth of capital and income.
The Equity Fund is managed by The Vanguard Group under the name Windsor
Fund.
Index Fund - The Index Fund invests in all of the stocks included in the
S&P 500 Index in approximately the same proportions as they are
represented in the S&P 500 Index. The Index Fund is managed by The
Vanguard Group under the name Vanguard Index Trust-500 Portfolio.
International Equity Fund - The International Equity Fund invests in
stocks and other equity-based forms of investment in companies
operating principally outside of the United States. The International
Equity Fund is managed by Templeton Franklin Investment Services under
the name Templeton Funds Inc. Foreign Fund.
The number of participants for each fund is as follows:
<TABLE>
<CAPTION>
1995 1994
(unaudited) (unaudited)
<S> <C> <C>
Beckman Stock Fund 2,633 2,573
Balanced Fund 2,575 2,492
Interest Income Fund 3,904 3,966
Equity Fund 2,893 2,835
Index Fund 1,112 747
International Equity Fund 324
Total Plan participants 4,184 4,148
</TABLE>
8
<PAGE> 11
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (Continued)
Participant Loans - Effective September 25, 1995, participants may
borrow from their fund accounts a minimum of $1,000 up to a maximum
equal to the lesser of $50,000 or 50% of their vested account balance.
Repayment is generally required within 5 years or up to 15 years for the
purchase of a principal residence. The loans are secured by the balance
in the participants' account and bear interest at a rate commensurate
with market interest rates for similar loans as determined by the Plan
committee (9.75% during 1995).
Benefits and Vesting - Participants become entitled to payment of the
total vested value of their accounts at the time of termination,
retirement, permanent layoff, permanent disability or death. Upon death,
a lump-sum distribution is made during the year of death. If total
vested value is greater than $3,500, the participants may elect to
postpone their lump-sum distribution until the year following the year
they attain age 70-1/2.
Participants' interests in the Company's contributions, income, gains
and losses on investments become fully vested following completion of
three years of service. Participants also become fully vested upon
reaching normal retirement age, permanent layoff, death or permanent
disability. Participants immediately vest in the value of their
contributions.
Benefits Payable - At December 31, 1995 and 1994, the amounts of
benefits payable to participants who have withdrawn from participation
in the Plan were $1,006,121 and $2,678,872, respectively. Such amounts
are not considered liabilities for financial reporting purposes, and
accordingly, the balances are not included in the deductions from plan
assets attributed to distribution of benefits for the years ended
December 31, 1995 and 1994.
Continuation of the Plan - The Company anticipates and believes the Plan
will continue without interruption but reserves the right to discontinue
the Plan. If the Plan is terminated by the Company, the accounts of all
affected participants become 100% vested and nonforfeitable without
regard to the years of service of participants.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Basis of Accounting - The accompanying financial statements have been
prepared on the accrual basis of accounting.
Investment Valuation - Investments are stated at fair value except for
guaranteed investment contracts which are stated at contract value (Note
3). The fair value of the common stock is based upon quotations obtained
from national securities exchanges on the last business day of the Plan
year. The fair values of the mutual funds and commingled funds are based
on the net asset value reported by the funds. The purchases and sales of
securities are recorded as of the date of trade. The average cost method
is used in determining gains and losses on the sales of securities.
9
<PAGE> 12
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (Continued)
Expenses of the Plan - Principally all of the Plan's administrative
expenses are paid by the Company. Such expenses amounted to
approximately $605,000 and $479,000 for the years ended December 31,
1995 and 1994, respectively.
Reclassifications - Certain reclassifications of prior year amounts have
been made to conform to the current year presentation.
3. VALUATION OF INVESTMENT CONTRACTS
Effective January 1, 1995, the Plan adopted the provisions of Statement
of Position 94-4, Reporting of Investment Contracts Held by Health and
Welfare Benefit Plans and Defined-Contribution Pension Plans. This
statement requires a plan to disclose the fair value of fully-benefit
responsive guaranteed investment contracts, which are carried at
contract value in the financial statements. The Plan's guaranteed
investment contracts are fully-benefit responsive and have an estimated
fair value of approximately $94,729,000 at December 31, 1995. The Plan's
guaranteed investment contracts earn interest at rates ranging from 6.0%
to 8.0% at December 31, 1995.
4. REALIZED GAINS AND LOSSES
Upon sale of investments, the fair value of common stock is based upon
quotations obtained from national securities exchanges on the date of
trade. The fair values of the mutual funds and the commingled funds are
based upon the net asset value reported by the funds. The cost of the
financial instruments is determined by using the average cost method.
The following is a summary of aggregate proceeds, aggregate costs and
resulting gains on the sales of securities for the years ended December
31, 1995 and 1994.
<TABLE>
<CAPTION>
1995
---------------------------------------------
Fund Proceeds Cost Gain
<S> <C> <C> <C>
Beckman Stock Fund $ 6,777,539 $ 6,172,310 $ 605,229
Balanced Fund 28,979,987 23,991,755 4,988,232
Interest Income Fund 93,907,007 93,698,983 208,024
Equity Fund 12,706,443 8,053,073 4,653,370
Index Fund 715,664 612,251 103,413
International Equity Fund 120,733 102,023 18,710
Disbursement Fund 6,747,276 6,747,276
------------ ------------ -----------
Total $149,954,649 $139,377,671 $10,576,978
============ ============ ===========
</TABLE>
10
<PAGE> 13
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (CONTINUED)
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
1994
----------------------------------------------
FUND PROCEEDS COST GAIN
<S> <C> <C> <C>
Beckman Stock Fund $ 7,893,953 $ 7,404,567 $ 489,386
Balanced Fund 5,851,525 5,746,848 104,677
Interest Income Fund 83,153,476 82,901,320 252,156
Equity Fund 11,848,969 9,268,449 2,580,520
Index Fund 721,470 705,869 15,601
------------ ------------ ------------
Total $109,469,393 $106,027,053 $ 3,442,340
============ ============ ============
</TABLE>
5. ASSETS HELD FOR INVESTMENT
Information regarding assets held for investment as of December 31, 1995
and 1994 is as follows:
<TABLE>
<CAPTION>
1995 1994
-------------------------------------- --------------------------------------
Shares Fair/contract Shares Fair/contract
or units Cost value or units Cost value
<S> <C> <C> <C> <C> <C> <C>
Common stock -
Beckman Instruments, Inc. 720,035 $17,380,744 $25,471,238 709,543 $16,357,614 $19,778,511
Mutual funds:
Vanguard Windsor Fund 3,222,748 43,121,091 46,826,536 2,914,808 37,959,420 36,697,436
Vanguard Index Trust - 500 Portfolio 139,822 6,720,474 8,053,764 79,991 3,389,261 3,437,216
Templeton Funds Inc. Foreign Fund 98,793 929,634 906,920
Brinson U.S. Balanced Fund 2,317,626 26,785,285 26,675,879
----------- ----------- ----------- -----------
Total mutual funds 77,556,484 82,463,099 41,348,681 40,134,652
Collective trust fund -
Brinson Partners, commingled funds:
Fixed income:
International cash and management fund 197,936 1,448,020 1,655,967
Institutional bond fund 96,396 10,583,638 12,279,441
Equity - Institutional equity fund 11,816 5,189,397 6,021,184
----------- -----------
Total collective trust fund 17,221,055 19,956,592
</TABLE>
11
<PAGE> 14
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (CONTINUED)
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
1995 1994
--------------------------------------- -----------------------------------------
SHARES FAIR/CONTRACT SHARES FAIR/CONTRACT
OR UNITS COST VALUE OR UNITS COST VALUE
<S> <C> <C> <C> <C> <C> <C>
Interest Income Fund:
NOMURA Lending Agreement - $ - $ - (8,054,668) $ (8,054,668) $ (8,054,668)
Society National Bank Magic Fund 826,702 8,267,016 8,365,890
UBS Agreement - Contract 2077 9,644,638 9,644,638 9,644,638 10,069,681 10,069,681 10,069,681
Citibank Contract #1 12,786,208 12,786,208 12,786,208
Lehman GIC #101121895G 1,017,689 1,017,689 1,017,689
Group insurance contracts:
Aetna Plan 013274, Contract 01402 10,534,837 10,534,837 10,534,837
Capital Holding:
GIC-BDA000039TR 10,231,106 10,231,106 10,231,106
GIC-BDA000039TR-2 3,314,962 3,314,962 3,314,962
John Hancock:
GAC 5972 17,894,663 17,894,663 17,894,663
GAC 7543 16,591,856 16,591,856 16,591,856
Metropolitan Life Plan - 13014 25,549,405 25,549,405 25,549,405 23,656,856 23,656,856 23,656,856
Provident - GIC027-04582-02A 2,819,458 2,819,458 2,819,458
Prudential:
GA6430 2,392,932 2,392,932 2,392,932
GA6430-212 11,011,548 11,011,548 11,011,548 10,195,878 10,195,878 10,195,878
People's Security Life:
Placement 3 Carg 1995 - M1 A1 9,368,847 9,368,847 9,368,847
Placement 4 FGSB 6 1/2 TBA 3,032,382 3,032,382 3,032,382
------------ ------------ ------------ ------------
Total Interest Income Fund 89,002,573 89,002,573 91,322,721 91,421,595
Participant loans receivable 2,714,548 2,714,548
------------ ------------
Total assets held for investments $186,654,349 $199,651,458 $166,250,071 $171,291,350
============ ============ ============ ============
</TABLE>
12
<PAGE> 15
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
FOR THE YEARS ENDED DECEMBER 31, 1995 AND 1994 (CONTINUED)
- - --------------------------------------------------------------------------------
The Plan's investments (including investments bought, sold and held)
appreciated (depreciated) in value during the years ended December 31,
1995 and 1994 as follows:
<TABLE>
<CAPTION>
1995 1994
<S> <C> <C>
Net appreciation (depreciation) in fair value:
Beckman Stock Fund $ 5,274,826 $ 321,208
Balanced Fund 4,091,403 (940,840)
Interest Income Fund 109,151 351,029
Equity Fund 9,620,797 (1,248,270)
Index Fund 1,388,747 (60,819)
International Equity Fund (4,004)
------------ ------------
$ 20,480,920 $ (1,577,692)
============ ============
</TABLE>
6. TAX STATUS
The Plan obtained its latest determination letter in 1990, in which the
Internal Revenue Service 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's tax counsel
believe that the Plan is currently designed and being operated in
compliance with the applicable requirements of the Internal Revenue
Code.
13
<PAGE> 16
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
AS OF DECEMBER 31, 1995
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
SHARES CURRENT
DESCRIPTION OF INVESTMENT OR UNITS COST VALUE
<S> <C> <C> <C>
COMMON STOCK -
Beckman Instruments, Inc. 720,035 $17,380,744 $25,471,238
EQUITY FUND -
Vanguard Windsor Fund 3,222,748 43,121,091 46,826,536
INDEX FUND -
Vanguard Index Trust - 500 Portfolio 139,822 6,720,474 8,053,764
INTERNATIONAL EQUITY FUND -
Templeton Funds Inc. Foreign Fund 98,793 929,634 906,920
BALANCED FUND -
Brinson Partners U.S. Balanced Fund 2,317,626 26,785,285 26,675,879
</TABLE>
See accompanying independent auditors' report. 14
<PAGE> 17
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
AS OF DECEMBER 31, 1995 (CONTINUED)
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
INTEREST MATURITY CURRENT
DESCRIPTION OF INVESTMENT RATE DATE COST VALUE
<S> <C> <C> <C> <C>
INTEREST INCOME FUND -
Group insurance contracts:
John Hancock - GAC 7543 7.510% 6/15/00 $ 16,591,856 $ 16,591,856
Metropolitan Life Plan - 13014 8.000% 6/15/96, 25,549,405 25,549,405
6/15/97,
6/15/98
People's Security Life:
Placement 3 Carg 1995 - M1 A1 6.742% 3/25/02 9,368,847 9,368,847
Placement 4 FGSB 6 1/2 TBA 6.742% 8/1/02 3,032,382 3,032,382
Prudential GA 6430-212 8.000% 12/15/00 11,011,548 11,011,548
------------ ------------
Total group insurance contracts 65,554,038 65,554,038
BANK INVESTMENT CONTRACTS:
UBS Agreement - Contract 2077 6.000% 7/15/02 9,644,638 9,644,638
Citibank Contract #1 6.410% 9/1/09 12,786,208 12,786,208
Lehman GIC #101121895G 6.305% 12/17/01 1,017,689 1,017,689
------------ ------------
Total bank investment contracts 23,448,535 23,448,535
Participant loans receivable (interest
at 9.75%) 2,714,548 2,714,548
------------ ------------
Total investments $186,654,349 $199,651,458
============ ============
</TABLE>
See accompanying independent auditors' report. 15
<PAGE> 18
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
ITEM 27d - SCHEDULE OF REPORTABLE SINGLE TRANSACTIONS
FOR THE YEAR ENDED DECEMBER 31, 1995
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CURRENT
VALUE OF
ASSET ON
IDENTITY OF PURCHASE COST OF TRANSACTION NET GAIN
PARTY INVOLVED DESCRIPTION OF ASSET PRICE SELLING PRICE ASSET DATE (LOSS)
<S> <C> <C> <C> <C> <C> <C>
Brinson Funds Inc. U.S. Balanced Fund CL A $22,646,106 $ - $22,646,106 $22,646,106 $ -
Aetna Aetna Plan 013274
Contract 01402 11,156,482 11,156,482 11,156,482
Mellon Bank N A EB Temporary Investment
Fund 10,322,730 10,322,730 10,322,730
Mellon Bank N A EB Temporary Investment
Fund 9,923,958 9,923,958 9,923,958
Mellon Bank N.A. EB Temporary Investment
Fund 16,769,841 16,769,841 16,769,841
Mellon Bank N.A. EB Temporary Investment
Fund 13,133,572 13,133,572 13,133,572
Mellon Bank N.A. EB Temporary Investment
Fund 15,269,335 15,269,335 15,269,335
Brinson Trust Company U.S. Balanced Fund 24,057,989 20,448,269 24,057,989 3,609,720
</TABLE>
See accompanying independent auditors' report. 16
<PAGE> 19
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
ITEM 27d - SCHEDULE OF REPORTABLE SERIES OF TRANSACTIONS
FOR THE YEAR ENDED DECEMBER 31, 1995
- - --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
CURRENT
VALUE OF
ASSET ON
NO. OF IDENTITY OF PURCHASE COST OF TRANSACTION Net gain
TRANSACTIONS PARTY INVOLVED DESCRIPTION OF ASSET PRICE SELLING PRICE ASSET DATE (loss)
<S> <C> <C> <C> <C> <C> <C>
39 Brinson Funds Inc. U.S. Balanced Fund CL A $26,788,193 $ - $26,788,193 $26,788,193 $ -
30 Brinson Funds Inc. U.S. Balanced Fund CL A 1,285,111 1,238,980 1,285,111 46,131
66 Vanguard Windsor Fund 5,450,133 5,450,133 5,450,133
49 Vanguard Windsor Fund 5,517,309 4,841,357 5,517,309 675,952
214 Mellon Bank N A EB Temporary Investment
Fund 70,064,097 70,064,097 70,064,097
394 Mellon Bank N A EB Temporary Investment
Fund 72,832,988 72,832,988 72,832,988
3 Brinson Trust
Company U.S. Balanced Fund 597,879 597,879 597,879
8 John Hancock Contract #7543 10,701,784 10,701,784 10,701,784
9 John Hancock Contract #7543 8,036,045 8,036,045 8,036,045
</TABLE>
See accompanying independent auditors' report. 17
<PAGE> 20
SIGNATURES
The Plan. Pursuant to the requirements of the Securities and Exchange Act of
1934, the Benefits Committee appointed by the Beckman Instruments, Inc. Board of
Directors to administer the plan have duly caused this annual report to be
signed on its behalf by the undersigned hereunto duly authorized.
BECKMAN INSTRUMENTS, INC.
SAVINGS AND INVESTMENT PLAN
By: Beckman Instruments, Inc.
Benefits Committee
Date: June 25, 1996 By: /s/ Fidencio M. Mares
----------------------------------
Fidencio M. Mares
Committee Chairman
Vice President - Human Resources
<PAGE> 21
INDEX TO EXHIBITS
<TABLE>
<CAPTION>
Exhibit Sequential
Number Description Page Number
- - ------- ----------- -----------
<S> <C> <C>
23.1 Consent of Deloitte & Touche LLP 20
</TABLE>
<PAGE> 1
EXHIBIT 23.1
INDEPENDENT AUDITORS' CONSENT
We consent to the incorporation in reference in this Registration Statement (No.
33-51506) of Beckman Instruments, Inc. on Form S-8 of our report dated May 10,
1996, appearing in the Annual Report on Form 11-K of Beckman Instruments, Inc.
Savings and Investment Plan for the year ended December 31, 1995.
/s/ Deloitte & Touche LLP
Costa Mesa, California
June 25, 1996
