<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, 1997
-----------------------------------------------------------
For the twelve-month period ended December 31, 1997.
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:
Rubbermaid Incorporated
1147 Akron Road
Wooster, Ohio 44691-6000
<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
undersigned hereunto duly authorized.
RUBBERMAID RETIREMENT PLAN
Dated: June 26, 1998 /s/ William R. Connor
-------------------------
William R. Connor
<PAGE> 3
[KPMG Peat Marwick LLP Letterhead]
INDEPENDENT AUDITORS' CONSENT
-----------------------------
The Board of Directors
Rubbermaid Incorporated:
We consent to incorporation by reference in the registration statement (No.
33-61817) on Form S-8 of Rubbermaid Incorporated of our report dated June 17,
1998, relating to the statements of assets available for benefits of the
Rubbermaid Retirement Plan as of December 31, 1997 and 1996, and the related
statement of changes in assets available for benefits for the year ended
December 31, 1997, which report appears in the December 31, 1997 annual report
on Form 11-K of Rubbermaid Incorporated.
KPMG Peat Marwick LLP
/s/ KPMG Peat Marwick LLP
Cleveland, Ohio
June 23, 1998
<PAGE> 4
[KPMG LOGO]
RUBBERMAID RETIREMENT PLAN
Financial Statements
December 31, 1997 and 1996
(With Independent Auditors' Report Thereon)
<PAGE> 5
RUBBERMAID RETIREMENT PLAN
Table of Contents
-----------------
Independent Auditors' Report
Financial Statements:
Statements of Assets Available for Benefits, with Fund Information -
December 31, 1997 and 1996
Statement of Changes in Assets Available for Benefits, with Fund
Information - Year ended December 31, 1997
Notes to Financial Statements
<PAGE> 6
[KPMG Peat Marwick LLP Letterhead]
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, 1997 and 1996, and the
related statement of changes in assets available for benefits for the year ended
December 31, 1997. 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, 1997 and 1996, and the changes in assets available for benefits for
the year ended December 31, 1997, 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 supplemental 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 PEAT MARWICK LLP
Cleveland, Ohio
June 17, 1998
<PAGE> 7
RUBBERMAID RETIREMENT PLAN
Statement of Assets Available for Benefits, with Fund Information
December 31, 1997
<TABLE>
<CAPTION>
Participant-Directed
------------------------------------------------------------
Spartan
Stable U.S. Equity Fidelity Fidelity
Value Index Puritan Magellan
Fund Fund Fund Fund
----------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
Assets:
Investments, at fair value:
Plan interest in investments of the
Rubbermaid Master Trust $ 148,481,717 59,293,717 14,268,109 17,010,292
----------- ---------- ---------- ----------
Total investments 148,481,717 59,293,717 14,268,109 17,010,292
Receivables:
Employer contribution - - - -
Participant contributions - - - -
----------- ---------- ---------- ----------
Assets available for benefits $ 148,481,717 59,293,717 14,268,109 17,010,292
=========== ========== ========== ==========
</TABLE>
See accompanying notes to financial statements.
<PAGE> 8
<TABLE>
<CAPTION>
Participant-Directed
- -----------------------------------------------------------------------------------------------
Fidelity Fidelity Rubbermaid
Small Cap Diversified Unitized
Fidelity Selector International Stock Loan Combined
Contrafund Fund Fund Fund Fund Other Funds
---------- --------- --------- --------- --------- --------- -----------
<S> <C> <C> <C> <C> <C>
18,606,829 7,726,226 6,561,443 8,227,600 7,650,103 - 287,826,036
---------- --------- --------- --------- --------- --------- -----------
18,606,829 7,726,226 6,561,443 8,227,600 7,650,103 - 287,826,036
- - - - - 7,033,693 7,033,693
- - - - - 1,526,337 1,526,337
---------- --------- --------- --------- --------- --------- -----------
18,606,829 7,726,226 6,561,443 8,227,600 7,650,103 8,560,030 296,386,066
========== ========= ========= ========= ========= ========= ===========
</TABLE>
<PAGE> 9
RUBBERMAID RETIREMENT PLAN
Statement of Assets Available for Benefits, with Fund Information
December 31, 1996
<TABLE>
<CAPTION>
Participant-Directed
-------------------------------------------------------------
Spartan
Stable U.S. Equity Fidelity Fidelity
Value Index Puritan Magellan
Fund Fund Fund Fund
--------------- ---------- ------ -------
<S> <C> <C> <C> <C>
Assets:
Investments, at fair value:
Investments in registered investment
companies $ - 53,449,132 70,897 103,759
Plan interest in investments of the
Rubbermaid Master Trust 205,516,576 - - -
Participant loans receivable - - - -
--------------- ---------- ------ -------
Total investments 205,516,576 53,449,132 70,897 103,759
Receivables:
Employer contribution - - - -
Participant contributions - - - -
--------------- ---------- ------ -------
Assets available for benefits $ 205,516,576 53,449,132 70,897 103,759
=============== ========== ====== =======
</TABLE>
See accompanying notes to financial statements.
<PAGE> 10
<TABLE>
<CAPTION>
Participant-Directed
- -----------------------------------------------------------------------------------------------
Fidelity Fidelity Rubbermaid
Small Cap Diversified Unitized
Fidelity Selector International Stock Loan Combined
Contrafund Fund Fund Fund Fund Other Funds
---------- -------- -------- --------- --------- --------- -----------
<S> <C> <C> <C> <C> <C> <C>
104,393 37,015 49,467 3,452,621 - - 57,267,284
- - - - - - 205,516,576
- - - - 7,600,314 - 7,600,314
------- ------ ------ --------- --------- --------- -----------
104,393 37,015 49,467 3,452,621 7,600,314 - 270,384,174
- - - - - 5,700,097 5,700,097
- - - - - 2,468,839 2,468,839
------- ------ ------ --------- --------- --------- -----------
104,393 37,015 49,467 3,452,621 7,600,314 8,168,936 278,553,110
======= ====== ====== ========= ========= ========= ===========
</TABLE>
<PAGE> 11
RUBBERMAID RETIREMENT PLAN
Statement of Changes in Assets Available for Benefits, with Fund Information
Year ended December 31, 1997
<TABLE>
<CAPTION>
Participant-Directed
-----------------------------------------------------------------
Spartan
Stable U.S. Equity Fidelity Fidelity
Value Index Puritan Magellan
Fund Fund Fund Fund
-----------------------------------------------------------------
<S> <C> <C> <C> <C>
Additions to assets attributed to:
Excess of net proceeds over market
value at beginning of year:
Aggregate proceeds $ 239,656,995 45,913,153 5,013,649 3,845,566
Aggregate cost 235,605,622 41,313,514 4,757,880 3,711,474
--------------- ---------- ---------- ----------
Net excess 4,051,373 4,599,639 255,769 134,092
Net change in unrealized appreci-
ation of securities - 9,404,684 1,002,476 1,505,328
Dividends 2,693,978 1,342,870 1,160,190 1,030,862
Interest 3,585,384 138,913 36,800 53,482
Loan repayments 1,213,138 618,658 142,438 227,939
--------------- ---------- ---------- ----------
11,543,873 16,104,764 2,597,673 2,951,703
Contributions:
Employer contribution 3,219,670 1,601,648 469,879 654,662
Participant contributions 2,339,806 1,735,316 650,676 924,323
--------------- ---------- ---------- ----------
5,559,476 3,336,964 1,120,555 1,578,985
--------------- ---------- ---------- ----------
Total additions 17,103,349 19,441,728 3,718,228 4,530,688
--------------- ---------- ---------- ----------
Deductions from assets attributed to:
Benefits paid to participants 25,589,973 5,105,479 691,964 1,098,184
Loan disbursements 2,602,037 899,363 158,468 267,115
Miscellaneous 477,444 57,125 9,292 7,016
--------------- ---------- ---------- ----------
Total deductions 28,669,454 6,061,967 859,724 1,372,315
--------------- ---------- ---------- ----------
Net increase (decrease)
prior to transfers (11,566,105) 13,379,761 2,858,504 3,158,373
Net transfers (to) from other plans (614,601) (841,453) (258,531) (256,909)
Interfund transfers (44,854,153) (6,693,723) 11,597,239 14,005,069
--------------- ---------- ---------- ----------
Net increase (decrease) (57,034,859) 5,844,585 14,197,212 16,906,533
Assets available for benefits:
Beginning of year 205,516,576 53,449,132 70,897 103,759
--------------- ---------- ---------- ----------
End of year $ 148,481,717 59,293,717 14,268,109 17,010,292
=============== ========== ========== ==========
</TABLE>
See accompanying notes to financial statements.
<PAGE> 12
<TABLE>
<CAPTION>
Participant-Directed
- -----------------------------------------------------------------------------------------------
Fidelity Fidelity Rubbermaid
Small Cap Diversified Unitized
Fidelity Selector International Stock Loan Combined
Contrafund Fund Fund Fund Fund Other Funds
---------- --------- --------- --------- --------- --------- -----------
<S> <C> <C> <C> <C> <C> <C>
4,552,329 2,137,603 3,037,942 4,824,896 - - 308,982,133
4,414,695 2,097,937 2,837,889 3,969,251 - - 298,708,262
---------- --------- --------- --------- --------- --------- -----------
137,634 39,666 200,053 855,645 - - 10,273,871
848,149 627,018 322,633 4,325,145 - - 18,035,433
1,785,024 543,120 238,924 (3,356) - - 8,791,612
43,517 16,100 21,526 9,320 - - 3,905,042
184,218 69,220 93,996 43,086 (2,592,693) - -
---------- --------- --------- --------- --------- --------- -----------
2,998,542 1,295,124 877,132 5,229,840 (2,592,693) - 41,005,958
653,268 246,520 350,574 180,566 - 1,333,596 8,710,383
998,929 360,440 479,472 213,044 - (942,502) 6,759,504
---------- --------- --------- --------- --------- --------- -----------
1,652,197 606,960 830,046 393,610 - 391,094 15,469,887
---------- --------- --------- --------- --------- --------- -----------
4,650,739 1,902,084 1,707,178 5,623,450 (2,592,693) 391,094 56,475,845
---------- --------- --------- --------- --------- --------- -----------
839,366 384,323 508,016 592,539 1,263,199 - 36,073,043
268,431 62,302 108,011 79,047 (4,444,774) - -
6,948 5,540 2,326 6,893 498,565 - 1,071,149
---------- --------- --------- --------- --------- --------- -----------
1,114,745 452,165 618,353 678,479 (2,683,010) - 37,144,192
---------- --------- --------- --------- --------- --------- -----------
3,535,994 1,449,919 1,088,825 4,944,971 90,317 391,094 19,331,653
(342,777) (125,592) (171,555) 1,153,249 (40,528) - (1,498,697)
15,309,219 6,364,884 5,594,706 (1,323,241) - - -
---------- --------- --------- --------- --------- --------- -----------
18,502,436 7,689,211 6,511,976 4,774,979 49,789 391,094 17,832,956
104,393 37,015 49,467 3,452,621 7,600,314 8,168,936 278,553,110
---------- --------- --------- --------- --------- --------- -----------
18,606,829 7,726,226 6,561,443 8,227,600 7,650,103 8,560,030 296,386,066
========== ========= ========= ========= ========= ========= ===========
</TABLE>
<PAGE> 13
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
December 31, 1997 and 1996
(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
For Plan years beginning on or after January 1, 1995, but prior to
January 1, 1997 (see note 6), as defined in the Plan document,
depending upon the location at which the participant is employed,
the participant will receive Company contributions equal to either
the 5 Percent or the 7 Percent Contribution Formula. The major
provisions of each contribution are described below:
- 5 PERCENT CONTRIBUTION FORMULA - For those participants
employed at locations listed in Section B of Schedule I to the
Plan, the Company contributes to the Plan a minimum of 3
percent of the aggregate eligible compensation plus an
additional amount (not to exceed 2.5 percent based in 1995 and
1996 on return on net assets (RONA) and in 1997 on the level
of Economic Value Added Improvement (EVA) that is achieved by
the Company for the Plan year) of the aggregate eligible
compensation. Such contribution is then allocated to eligible
participants based on units credited during the Plan year (one
unit is credited for each full $100 of compensation, one
additional unit is credited for each $100 of compensation in
excess of the Social Security taxable wage base, and one unit
is credited for each full year of service). 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.
- 7 PERCENT CONTRIBUTION FORMULA - For those non-highly
compensated participants employed at locations listed in
Section A of Schedule I to the Plan, the Company contributes
to the Plan a minimum of 3 percent of the aggregate eligible
compensation plus an additional amount (not to exceed 4.7
percent based in 1995 and 1996 on RONA and in 1997 on the
level of EVA that is achieved by the Company for the Plan
year) of the aggregate eligible compensation. Such
contribution is then allocated to non-highly compensated
eligible participants based on units credited during the Plan
year (one unit is credited for each full $100 of compensation,
and one unit is credited for each full year of service).
Highly compensated eligible participants
(Continued)
<PAGE> 14
2
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
receive an amount equal to 5 percent of compensation plus 5
percent of compensation in excess of the Social Security
taxable wage base for the Plan year. 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.
In addition, certain locations of the Company pay out to each
Eligible Employee a payout of 0 percent to 8 percent of base pay
(plus overtime) determined exclusively by the division's or
location's performance on Improvement Sharing Plan measures. This
payout will occur annually and can be paid in cash or deferred to
the participant's account in the Plan, as a 401(k) contribution.
The amount of deferral contributions to be made to the Plan on
behalf of an Eligible Employee by the Company shall be fully
vested.
(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 percent 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
percent vested after completing seven years of vesting service.
Upon death, disability, or attainment of age 65, participants
become 100 percent 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
eight investment funds held by the Plan. Currently, the available
investment 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
(Continued)
<PAGE> 15
3
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
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.
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 percent 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 $1,395,000 in 1997 and
$2,339,000 in 1996.
(2) SIGNIFICANT ACCOUNTING POLICIES
(a) BASIS OF PRESENTATION
The accompanying financial statements have been prepared on the
accrual basis of accounting.
(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 excess (deficiency) of net proceeds
over market value calculation methodology is based on the revalued
cost of assets instead of historical cost. The revalued cost is
the market value of an asset at the beginning of the Plan year or
at the time of purchase during the year.
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.
(Continued)
<PAGE> 16
4
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
(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, 1997 and 1996. 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 and liabilities 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 percent 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 was amended effective January
1, 1997 and also, as described in note 6, at 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.
(Continued)
<PAGE> 17
5
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
(5) MASTER TRUST FINANCIAL INFORMATION
As described in note 1(f), all of the Plan's investments as of December
31, 1997, and a portion of the Plan's investments as of December 31,
1996, 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, 1997 and 1996, are as follows:
<TABLE>
<CAPTION>
1997 1996
------------------------- -------------------------
Plan's Plan's
Percentage Percentage
Market Interest Market Interest
Value (Rounded) Value (Rounded)
------------- --------- ----------- -----------
<S> <C> <C> <C> <C>
Stable Value Fund $ 210,402,030 71% 305,726,826 67%
Spartan U.S. Equity Index Fund 105,294,786 56 -
Fidelity Puritan Fund 21,806,761 65 -
Fidelity Magellan Fund 26,393,970 64 -
Fidelity Contrafund 25,337,061 73 -
Fidelity Small Cap Selector Fund 8,764,941 88 -
Fidelity Diversified International Fund 9,583,013 68 -
Rubbermaid Unitized Stock Fund 9,212,167 89 -
Equity Index Fund - 31,823,616 0
Fixed Income Fund - 3,863,162 0
Stock Fund - 1,728,946 0
Loan Fund 9,293,110 82 1,823,586 0
------------- -----------
Total investments held by
the Master Trust fund $ 426,087,839 68% 344,966,136 60%
============= ===========
</TABLE>
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, 1997 and
1996, the fair value of the guaranteed principal and interest contracts
of the Rubbermaid Retirement Plan was $42,858,567 and $108,163,199,
respectively, and the corresponding contract value was $42,695,507 and
$107,815,653, respectively. Both the average yield and the crediting
interest rate were 6.03 percent as of December 31, 1997 and were 6.52
percent as of December 31, 1996.
On November 1, 1996, the assets of the Plan except those of the Stable
Value Fund were transferred from National City Bank to Fidelity
Management Trust Company (Fidelity).
As of December 31, 1996, National City Bank was the trustee of the Master
Trust, which comprised the Stable Value Fund of the Plan commingled with
the investments of the Rubbermaid Retirement Plan for
Collectively-Bargained Associates. On September 1, 1997, the Stable Value
Fund of the Plan along with all the assets of the Rubbermaid Retirement
Plan for Collectively-Bargained Associates maintained by National City
Bank Master Trust, were transferred to
(Continued)
<PAGE> 18
6
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
Fidelity, the new trustee of the Master Trust. As of December 31, 1997,
the Master Trust maintained by Fidelity is comprised of all the assets of
the Plan commingled with all the assets of the Rubbermaid Retirement Plan
for Collectively-Bargained Associates.
A summary of Master Trust investment activity is as follows:
<TABLE>
<CAPTION>
Equity Fixed Stable Spartan U.S. Fidelity
Index Income Value Stock Equity Index Puritan
Fund Fund Fund Fund Fund Fund
------------ ---------- ----------- --------- ----------- ----------
<S> <C> <C> <C> <C> <C> <C>
Balance at
December 31, 1996 $ 31,823,616 3,863,162 305,726,826 1,728,946 - -
Contributions:
Employer 777,152 244,384 5,640,103 22,702 1,601,648 469,879
Participants 104,007 4,051 2,791,553 1,592 1,866,680 671,115
Net appreciation
(depreciation) in
fair value 7,949,708 20,643 6,093,312 (686,919) 17,074,352 1,273,039
Dividends - 171,935 4,299,640 28,926 1,903,418 1,388,924
Interest 11,725 1,705 5,393,533 613 154,535 38,765
Loan repayments 171,453 15,033 1,784,601 662 693,067 148,628
Benefit payments (2,413,794) (67,168) (45,838,418) (138,923) (5,235,225) (718,941)
Loan disbursements (330,258) (29,549) (3,012,159) (17,731) (962,302) (162,267)
Interfund (37,943,462) (4,206,242) (71,192,238) (935,443) 35,648,210 18,894,587
Transfers (102,782) (8,292) (660,740) (2,899) (841,604) (258,573)
Other (47,365) (9,662) (623,983) (1,526) 53,392,007 61,605
------------ ---------- ----------- --------- ----------- ----------
Balance at
December 31, 1997 $ - - 210,402,030 - 105,294,786 21,806,761
============ ========== =========== ========= =========== ==========
</TABLE>
<TABLE>
<CAPTION>
Fidelity Fidelity Rubbermaid
Fidelity Small Cap Diversified Unitized
Magellan Fidelity Selector International Stock Loan
Fund Contrafund Fund Fund Fund Fund Totals
----------- ---------- --------- --------- --------- --------- -----------
<S> <C> <C> <C> <C> <C> <C> <C>
Balance at
December 31, 1996 $ - - - - - 1,823,586 344,966,136
Contributions:
Employer 654,662 653,268 246,520 350,574 180,566 - 10,841,458
Participants 964,069 1,022,285 365,534 492,510 216,421 - 8,499,817
Net appreciation
(depreciation) in
fair value 1,411,014 486,020 616,283 468,313 6,051,860 - 40,757,625
Dividends 1,427,844 2,340,217 603,028 354,438 (3,356) - 12,515,014
Interest 58,344 46,398 17,042 24,232 9,856 117,545 5,874,293
Loan repayments 244,642 196,570 71,621 101,534 43,600 (3,471,411) -
Benefit payments (1,122,056) (845,155) (391,895) (517,159) (595,828) (1,185,025) (59,069,587)
Loan disbursements (268,997) (284,669) (62,787) (114,720) (79,759) 5,325,198 -
Interfund 23,184,698 21,967,459 7,393,769 8,547,719 (1,210,170) (148,887) -
Transfers (256,993) (342,777) (125,592) (171,569) 1,153,249 (40,528) (1,659,100)
Other 96,743 97,445 31,418 47,141 3,445,728 6,872,632 63,362,183
----------- ---------- --------- --------- --------- --------- -----------
Balance at
December 31, 1997 $26,393,970 25,337,061 8,764,941 9,583,013 9,212,167 9,293,110 426,087,839
=========== ========== ========= ========= ========= ========= ===========
(Continued)
</TABLE>
<PAGE> 19
7
RUBBERMAID RETIREMENT PLAN
Notes to Financial Statements
(6) SUBSEQUENT EVENTS
Effective January 1, 1998, the Plan was amended to provide a Company
contribution equal to 6 percent of a participant's (other than Everything
Rubbermaid Store employees) eligible compensation with an opportunity for
an additional 3 percent of the participant's eligible compensation based
on "EVA Targets." Additionally, effective April 1, 1998, the Plan shall
provide for a fully vested Company matching contribution equal to 50
percent (100 percent during the second quarter of 1998) of the first 6
percent of a participant's salary deferred into the Plan and shall
provide for rollovers.
