<PAGE> 1
UNITED STATES
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 end March 31, 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 no. 0-20289
A: Full title of the plan and the address of the plan, if different from
that of the issuer named below:
KEMET Employees' Savings Plan
B: Name of issuer of the securities held pursuant to the plan and the
address of its principal executive office:
KEMET Corporation
Post Office Box 5928
Greenville, South Carolina 29606
<PAGE> 2
REQUIRED INFORMATION
Financial Statements and Schedules. The financial statements and schedules
included herewith relating to the KEMET Employees' Savings Plan (the "Plan")
were prepared in accordance with the financial reporting requirements of ERISA
and are provided pursuant to Instruction 4 of Form 11-K.
Consent of the Independent Auditors.
<PAGE> 3
SIGNATURES
The Plan. Pursuant to the requirements of the Securities Act of 1934, the
Administrative Committee of the KEMET Employees' Savings Plan has duly caused
this annual report to be signed on its behalf by the undersigned hereunto duly
authorized.
KEMET EMPLOYEES' SAVING PLAN
September 26, 1997 By /S/ D.Ray Cash
-------------------------------------
D. Ray Cash
Senior Vice President of Administration and Treasurer
For the Administrative Committee
<PAGE> 4
KEMET EMPLOYEES' SAVINGS PLAN
Financial Statements and Schedules
March 31, 1997 and 1996
(With Independent Auditors' Report Thereon)
<PAGE> 5
KEMET EMPLOYEES' SAVINGS PLAN
Table of Contents
Independent Auditors' Report
Financial Statements:
Statements of Net Assets Available for
Benefits - March 31, 1997 and 1996
Statements of Changes in Net Assets Available for
Benefits - Years ended March 31, 1997 and 1996
Notes to Financial Statements - March 31, 1997 and 1996
Schedules
Item 27a - Schedule of Assets Held for Investment Purposes
at March 31, 1997 1
Item 27d - Schedule of Reportable Transactions for the Year ended
March 31, 1997 2
Independent Auditors' Consent Exhibit 23
Schedules not filed herewith are omitted because of the absence of conditions
under which they are required.
<PAGE> 6
Independent Auditors' Report
The Board of Directors
KEMET Electronics Corporation:
We have audited the accompanying statements of net assets available for benefits
of KEMET Employees' Savings Plan as of March 31, 1997 and 1996, 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, the financial statements referred to above present fairly, in
all material respects, the net assets available for benefits of the Plan as of
March 31, 1997 and 1996, and the changes in net assets available for benefits
for the years then ended in conformity with generally accepted accounting
principles.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental Schedules 1 and 2 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 schedules
have been subjected to the auditing procedures applied in the audits of the
basic financial statements and, in our opinion, are fairly stated in all
material respects in relation to the basic financial statements taken as a
whole.
/S/ KPMG Peat Marwick LLP
August 15, 1997 KPMG Peat Marwick LLP
<PAGE> 7
KEMET EMPLOYEES' SAVINGS PLAN
Statements of Net Assets Available for Benefits
March 31, 1997 and 1996
<TABLE>
1997 1996
---- ----
<S> <C> <C>
Assets:
Investments (notes 2 and 7) $ 50,302,121 $ 48,112,745
Participant loans 1,408,233 -
Receivables:
Employer contributions 1,750,961 1,654,488
Employee contributions - 400,732
Accrued interest and dividends - 5,532
------------ ------------
Total receivables 1,750,961 2,060,752
Cash 19,057 95,002
------------ ------------
Total assets 53,480,372 50,268,499
Liabilities:
Other - 546
------------ ------------
Net assets available for benefits $ 53,480,372 $ 50,267,953
============ ============
</TABLE>
See accompanying notes to financial statements.
<PAGE> 8
KEMET EMPLOYEES' SAVING PLAN
Statements of Changes in Net Assets Available for Benefits
Years ended March 31, 1997 and 1996
<TABLE>
1997 1996
---- ----
<S> <C> <C>
Additions to net assets attributed to:
Investment income:
Net appreciation (depreciation)
in fair value of investments $ (605,333) $ 2,407,185
Investments and dividends 2,393,399 2,326,756
------------ ------------
1,788,066 4,733,941
------------ ------------
Contributions:
Participants' 4,730,998 4,766,022
Employers' 1,783,706 1,631,087
------------ ------------
6,514,704 6,397,109
------------ ------------
Total additions 8,302,770 11,131,050
------------ ------------
Deductions from net assets attributed to:
Benefits paid to participants 5,071,951 2,233,924
Administrative expenses 18,400 239,688
------------ ------------
Total deductions 5,090,351 2,473,612
------------ ------------
Net increase 3,212,419 8,657,438
Net assets available for benefits:
Beginning of year 50,267,953 41,610,515
------------ ------------
End of year $53,480,372 $ 50,267,953
============ ============
</TABLE>
See accompanying notes to financial statements.
<PAGE> 9
KEMET EMPLOYEES' SAVING PLAN
Notes to Financial Statements
March 31, 1997 and 1996
(1) Description of Plan
The following description of the KEMET Employees' Savings Plan (Plan) provides
only general information. Participants should refer to the Plan agreement for a
more complete description of the Plan's provisions.
(a) General
The Plan is a defined contribution plan sponsored by KEMET Electronics
Corporation (Company) covering all full-time employees of the Company, its
parent and its subsidiaries who have completed one year of service. The Plan
is subject to the provisions of the Employee Retirement Income Security Act of
1974 (ERISA).
(b) Contributions
Participants may choose one or both of the two savings types available, which
are the 401(k), which provides for deferral of taxation, and the Personal
Investment Account (PIA). Participants are allowed to contribute between 2 1/2%
and 7 1/2% of their annual compensation as their basic contribution to the Plan.
This may be on a pretax basis to the 401(k) or an after tax basis to the PIA.
The Company matches 50% of 401(k) and 30% of PIA contributions, subject to the
basic savings rate limit of 7 1/2%. Employer contributions are reduced by
forfeitures. Additional amounts may be contributed at the option of the
Company's Board of Directors.
In addition to their basic contribution, participants may contribute between
0.5% and 10% to either the 401(k) on a pretax basis (up to the IRS maximum) or
to the PIA.
(c) Participant Accounts
Each participant's account is credited with (a) the participant's contribution,
(b) the Company's matching contribution, (c) allocations of the Company's
additional contribution, and (d) Plan earnings, and through April, 1996, charged
with an allocation of administrative expenses. Allocations are based on
participant earnings or account balances, as defined. The benefit to which a
participant is entitled is the benefit that can be provided from the
participant's account.
(d) Vesting
Participants are immediately vested in their voluntary contributions and the
Company matching contributions plus actual earnings thereon. However, penalties
are incurred which can result in forfeiture of a portion of the current year
employer match if withdrawals are made on funds that have been in the plan for
less than twenty-four months, or if other withdrawals have been made in the last
twenty-four months.
<PAGE> 10
(1) Description of Plan, Continued
(e) Investment Options
Through April 30, 1996, participants could direct the investment of their
accounts, including the Company's contributions, into the following funds:
Equity Income Fund - a diversified portfolio of common stocks
Stable Value Fund - certificates of deposits, guaranteed investment contracts,
money market investments or other fixed principle investments
Balanced Fund - common stocks and bonds
KEMET Stock Fund - common stock of KEMET Corporation
Effective May 1, 1997, the Plan changed trustees from Wachovia to T. Rowe Price.
Investment options with T. Rowe Price for participants are as follows:
KEMET Stock Fund - common stock of KEMET Corporation
International Stock Fund - common stocks of established, non-U.S. companies
Blended Stable Value Fund - guaranteed investment contracts or other fixed
principle investments
Small-Cap Value Fund - common stocks of small companies (market value less than
$500 million) with potential for capital appreciation
Mid-Cap Growth Fund - common stocks of medium-sized companies with potential for
capital appreciation
Balanced Fund - common stocks and bonds
Equity Income Fund - common stocks, primarily of dividend-paying established
companies
Changes in net assets available for benefits by fund as disclosed in footnote 8
combine like accounts at the two trustees, and include activity at Wachovia from
April 1 to April 30, 1996 and at T. Rowe Price from May 1, 1996 to March 31,
1997.
(f) Payment of Benefits
On termination of service due to death, disability or retirement, a participant
may elect to receive either a lump-sum amount equal to the value of the
participant's vested interest in his or her account, or annual installments over
a ten year period. For termination of service due to other reasons, a
participant may receive the value of the vested interest in his or her account
as a lump-sum distribution.
(g) Forfeited Accounts
Forfeited accounts are used to reduce future employer contributions.
(2) Summary of Significant Accounting Policies
(a) Basis of Accounting
The financial statements of the Plan are prepared under the accrual method of
accounting.
<PAGE> 11
(b) Investment Valuation and Income Recognition
At March 31, 1997, under the terms of a trust agreement between T. Rowe Price
and the Plan, T. Rowe Price manages a trust fund on behalf of the Plan which
includes all Plan investments. The information on the investments and changes in
investments of the Plan as of March 31, 1997 and for the period May 1, 1996 to
March 31, 1997 was certified by T. Rowe Price to be complete and accurate. At
March 31, 1996, all Plan investments were in a trust managed by Wachovia Bank of
S.C., N.A. (Wachovia). All information in the accompanying financial statements
regarding investments as of March 31, 1996 and changes in investments for the
year ended March 31, 1996 and for the month of April 1996 was certified by
Wachovia to be complete and accurate.
The investments and changes therein of this trust fund have been reported to the
Plan as having been determined through the use of fair values for all assets of
the trust fund except for its investment contracts which are valued at contract
value (note 3). Shares of registered investment companies are valued at quoted
market prices which represent the net asset value of shares held by the Plan at
year-end. The Company stock is valued at its quoted market price.
Purchases and sales of securities are recorded on a trade-date basis. Interest
income is recorded on the accrual basis. Dividends are recorded on the ex-
dividend date.
(c) Payment of Benefits
Benefits are recorded when paid.
(e) Use of Estimates
The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions.
These estimates and assumptions affect the reported amount of assets and
liabilities and the disclosure of contingent assets and liabilities at the date
of the financial statements. In addition, they affect the reported amounts of
income and expenses during the reporting period. Actual results could differ
from these estimates and assumptions.
(3) Investment Contracts With Insurance Companies
The Plan's investment contracts with insurance companies included in the stable
value fund option are primarily invested in shares of a guaranteed investment
contract fund managed by Wachovia through April 1996 and T. Rowe Price beginning
May 1996. The insurance companies maintain the contributions in a pooled
account. The account is credited with earnings on the underlying investments
and charged for Plan withdrawals and administrative expenses charged by the
insurance companies. The contracts are fully benefit-responsive and are
included in the financial statements at contract value, which approximates fair
value, as reported to the Plan by the insurance companies. Contract value
represents contributions made under the contracts, plus earnings, less Plan
withdrawals and administrative expenses.
The average yield for the guaranteed investment contracts for the years ended
March 31, 1997 and 1996 was approximately 6.0%.
(4) Related Party Transactions
Certain Plan investments are shares of mutual funds managed by Wachovia in 1996
and T. Rowe Price beginning May 1, 1997. T. Rowe Price and Wachovia were the
trustees as defined by the Plan for the indicated periods and, therefore, these
<PAGE> 12
transactions qualify as party-in-interest. Fees paid by the Plan to T. Rowe
Price for loan administration services were $18,400 in fiscal 1997. All other
administrative fees were paid by the company in fiscal 1997. Fees paid by the
Plan for the investment management and contract administration services and
trustee's fees amounted to $239,688 for the year ended March 31, 1996.
(5) Plan Termination
Although it has not expressed any intent to do so, the Company has the right
under the Plan to amend it from time to time, 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 remain 100 percent vested in
their accounts.
(6) Tax Status
The Internal Revenue Service has determined and informed the Company by a letter
dated December 12, 1994, that the Plan and related trust are designed in
accordance with applicable sections of the Internal Revenue Code (IRC). The
operations of the Plan have changed since receiving the determination letter.
The Plan administrator is currently taking required steps to bring the Plan into
compliance with the applicable requirements of the IRC.
(7) Investments
At March 31, investments of the Plan were as follows:
1997 1996
<TABLE>
<S> <C> <C>
Investments:
At fair value:
Registered investment companies:
T. Rowe Price International Stock Fund $ 606,414 $
T. Rowe Price Small Cap Value Fund 990,245
T. Rowe Price Mid Cap Growth Fund 1,925,956
T. Rowe Price Balanced Fund 7,613,987
T. Rowe Price Equity Income Fund 9,533,819
Biltmore FDS Money Market Fund 2,750,262
Biltmore Balanced Fund 7,153,749
Biltmore Equity Index Fund 7,852,912
---------- -----------
20,670,421 17,756,923
Common stock of KEMET Corporation 11,105,155 12,230,917
---------- -----------
Total investments, at fair value 31,775,576 29,987,840
At contract value:
T. Rowe Price Stable Value Common
Trust Fund 17,737,218
Wachovia Bank GIC Fund 17,255,055
Metropolitan Life Insurance Company 789,327 869,850
---------- -----------
Total investments, at contract value 18,526,545 18,124,905
---------- -----------
Total investments $ 50,302,121 $48,112,745
========== ===========
</TABLE>
<PAGE> 13
(8) Net Assets and Changes in Net Assets Available for Benefits with
Fund Information
A summary of net assets available for benefits with fund information at
March 31, 1997 follows:
<TABLE> Small
KEMET Blended International Cap Mid Cap Equity
Stock Stable Value Stock Value Growth Balanced Income Loan Settlement
Fund Fund Fund Fund Fund Fund Fund Fund Account Total
--------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Investments:
Pooled funds
at fair value $ 606,414 990,245 1,925,956 7,613,987 9,533,819 20,670,421
Pooled funds
at contract value 17,737,218 17,737,218
Contract with
insurance company
at contract value 789,327 789,327
Common stock
of related
entity at
fair value 11,105,155 11,105,155
---------- ----------- --------- ---------- --------- --------- --------- --------- -------- ----------
Total investments 11,105,155 18,526,545 606,414 990,245 1,925,956 7,613,987 9,533,819 50,302,121
---------- ----------- --------- ---------- --------- --------- --------- --------- -------- ----------
Participant loans 1,408,233 1,408,233
Receivables:
Employer
contributions 275,505 572,467 52,705 74,430 174,467 257,369 344,018 1,750,961
Employee
contributions
Accrued interest
and dividends
---------- ----------- --------- ---------- --------- --------- --------- --------- -------- ----------
Total receivables 275,505 572,467 52,705 74,430 174,467 257,369 344,018 1,750,961
Cash 19,057 19,057
---------- ----------- --------- ---------- --------- --------- --------- --------- -------- ----------
Total assets 11,380,660 19,099,012 659,119 1,064,675 2,100,423 7,871,356 9,877,837 1,408,233 19,057 53,480,372
---------- ----------- --------- ---------- --------- --------- --------- --------- -------- ----------
Net assets
available
for benefits $ 11,380,660 19,099,012 659,119 1,064,675 2,100,423 7,871,356 9,877,837 1,408,233 19,057 53,480,372
========== =========== ========= ========== ========= ========= ========= ========= ======== ==========
</TABLE>
<PAGE> 14
(8) Net Assets and Changes in Net Assets Available for Benefits
with Fund Information
A summary of the changes in net assets available for benefits with
fund information for the year ended March 31, 1997 follows:
<TABLE>
Inter- Small
KEMET Blended national Cap Mid Cap Equity
Stock Stable Value Stock Value Growth Balanced Income Loan Settlement
Fund Fund Fund Fund Fund Fund Fund Fund Account Total
--------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Additions to net
assets attributed to:
Investment income:
Net appreciation
(depreciation)
in fair value of
investments $(2,016,633) 20 22,384 16,325 (63,040) 550,130 885,481 (605,333)
Interest and
dividends 4,223 1,185,427 17,190 42,568 51,720 324,894 687,565 78,990 822 2,393,399
Contributions:
Participants 752,692 1,413,754 140,277 170,380 415,115 609,433 828,458 400,715 4,730,824
Employer 3,275 (157,018) 52,864 74,925 175,170 (27,050) 6,157 1,655,383 1,783,706
Rollovers
into the Plan 174 174
--------------------------------------------------------------------------------------------------------
Total additions (1,256,443) 2,442,183 232,715 304,198 578,965 1,457,407 2,407,661 78,990 2,057,094 8,302,770
--------------------------------------------------------------------------------------------------------
Deductions
in net assets
attributed to:
Benefits paid
to participants (454,244) (2,954,190) (2,077) (26,222) (89,986) (544,377) (851,783) (47,629) (101,443)(5,071,951)
Administrative expenses (1,009) (10,908) (128) (263) (238) (4,023) (1,831) (18,400)
Intraplan transfers 618,247 (1,335,110) 438,932 811,023 1,613,920 (340,441) 209,151 (2,015,722)
Loan withdrawals (160,401) (1,015,107) (22,930) (35,717) (26,327) (247,522) (213,696) 1,721,700
Loan principle 35,782 118,313 10,228 9,449 18,364 31,039 42,662 (265,837)
Loan interest 12,285 33,875 2,379 2,207 5,725 11,300 11,220 (78,991)
--------------------------------------------------------------------------------------------------------
Net increase
(decrease) (1,205,783) (2,720,944) 659,119 1,064,675 2,100,423 363,383 1,603,384 1,408,233 (60,071) 3,212,419
Net assets available
for benefits:
Beginning of year 12,586,443 21,819,956 7,507,973 8,274,453 79,128 50,267,953
--------------------------------------------------------------------------------------------------------
End of year $11,380,660 19,099,012 659,119 1,064,675 2,100,423 7,871,356 9,877,837 1,408,233 19,057 53,480,372
========================================================================================================
</TABLE>
<PAGE> 15
(8) Net Assets Available for Benefits with Fund Information, Continued
A summary of net assets available for benefits with fund information at
March 31, 1996 follows:
<TABLE>
KEMET Stable Equity
Stock Value Balanced Index
Fund Fund Fund Fund Control Total
---------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Assets
Investments:
Registered investment companies $ - 2,750,262 7,153,749 7,852,912 - 17,756,923
Investment contracts
with insurance companies 18,124,905 - - - 18,124,905
Common stock of KEMET Corporation 12,230,917 - - - - 12,230,917
---------------------------------------------------------------------------
Total investments 12,230,917 20,875,167 7,153,749 7,852,912 - 48,112,745
---------------------------------------------------------------------------
Receivables:
Employer's contributions receivable 275,913 749,217 288,695 340,643 20 1,654,488
Participants' contributions receivable 75,756 178,533 65,529 80,898 16 400,732
Accrued interest and dividends - 5,532 - - - 5,532
---------------------------------------------------------------------------
Total receivables 351,669 933,282 354,224 421,541 36 2,060,752
Cash 4,403 11,507 - 79,092 95,002
---------------------------------------------------------------------------
Liabilities
Other (546) - - - - (546)
---------------------------------------------------------------------------
Net assets available for benefits $ 12,586,443 21,819,956 7,507,973 8,274,453 79,128 50,267,953
===========================================================================
</TABLE>
<PAGE> 16
(8) Net Assets Available for Benefits with Fund Information, Continued
A summary of the changes in net assets available for benefits with fund
information for the year
ended March 31, 1996 follows:
<TABLE>
KEMET Stable
Stock Value Balanced Equity
Fund Fund Fund Fund Control Total
--------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
Additions to net
assets attributed to:
Investment income:
Net appreciation
in fair value
of investments $ 116,555 101 933,845 1,356,684 2,407,185
Interest and dividends 1,299,679 433,305 593,772 - 2,326,756
--------------------------------------------------------------------------
116,555 1,299,780 1,367,150 1,950,456 4,733,941
--------------------------------------------------------------------------
Contributions 177,357 (33,026) (22,071) 18,614 6,256,235 6,397,109
--------------------------------------------------------------------------
Total additions 293,912 1,266,754 1,345,079 1,969,070 6,256,235 11,131,050
Deductions from net
assets attributed to:
Benefits paid
to participants - - - 2,233,924
Administrative expenses - - - 239,688 239,688
--------------------------------------------------------------------------
Total deductions - - - 2,473,612 2,473,612
--------------------------------------------------------------------------
Net increase prior
to interfund transfers 293,912 1,266,754 1,345,079 1,969,070 3,782,623 8,657,438
--------------------------------------------------------------------------
Interfund transfers 5,232,630 (1,058,972) (287,250) (302,138)(3,584,270) -
--------------------------------------------------------------------------
Net increase (decrease) 5,526,542 207,782 1,057,829 1,666,932 198,353 8,657,438
Net assets available
for benefits:
Beginning of year 7,059,901 21,612,174 6,450,144 6,607,521 (119,225) 41,610,515
--------------------------------------------------------------------------
End of year $ 12,586,443 21,819,956 7,507,973 8,274,453 79,128 50,267,953
==========================================================================
</TABLE>
<PAGE> 17
Schedule 1
KEMET EMPLOYEES' SAVINGS PLAN
Item 27a - Schedule of Assets Held for Investment Purposes
March 31, 1997
<TABLE>
(c)
Description of investment
(a) (b) including maturity date,
Party- Identity of issue, rate of interest, (e)
in- borrower, lessor, collateral, par or (d) Current
interest or similar party maturity value Cost Value
<S> <C> <C> <C> <C>
* T. Rowe Price Stable Value
Common Trust Fund $ 17,737,218 17,737,218
* KEMET Corp. Common Stock 11,267,790 11,105,155
* T. Rowe Price Equity Income Fund 8,878,048 9,533,819
* T. Rowe Price Balanced Fund 7,167,878 7,613,987
* T. Rowe Price Mid-Cap Growth Fund 1,984,882 1,925,956
* T. Rowe Price Small-Cap Value Fund 975,160 990,245
* T. Rowe Price International Stock Fund 588,521 606,414
Metropolitan Life Investment Contract 789,326 789,326
-------------- -----------
49,388,824 50,302,121
* Participant Loans 0 1,408,233
-------------- -----------
$ 49,388,824 51,710,354
============== ===========
</TABLE>
* Party-in-interest
See accompanying independent auditors' report.
<PAGE> 18
Schedule II
KEMET EMPLOYEES' SAVINGS PLAN
Item 27d - Schedule of Reportable Transactions
March 31, 1997
<TABLE>
(f) (h) (i)
(a) Expense (g) Current Value Net
Identity (b) (c) (d) (e) Incurred Cost of Asset on (Gain)
of Party Description Purchase Selling Lease with of Transaction or
Involved of Asset Price Price Rental Transaction Asset Date Loss
- ---------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
T. Rowe Price Guaranteed Investment
Contract $ 25,355,612 25,355,612 25,355,612
T. Rowe Price Balanced Fund 9,112,538 9,112,538 9,112,538
T. Rowe Price Equity Income Fund 10,566,456 10,566,456 10,566,456
T. Rowe Price Mid-Cap Growth Fund 2,301,247 2,301,247 2,301,247
KEMET Corp. Common Stock 13,199,131 13,199,131 13,199,131
T. Rowe Price Guaranteed Investment
Contract 6,829,066 6,829,066 6,829,066
T. Rowe Price Balanced Fund 2,037,324 1,959,505 2,037,324 (77,819)
T. Rowe Price Equity Income Fund 1,812,423 1,727,498 1,812,423 (84,925)
T. Rowe Price Mid-Cap Growth Fund 312,248 317,312 312,248 5,064
KEMET Corp. Common Stock 1,952,729 1,902,019 1,952,729 (50,710)
Note: Information in the above schedule was derived from schedules certified by T. Rowe Price.
</TABLE>
See accompanying independent auditors' report.
<PAGE> 1
Exhibit 23
INDEPENDENT AUDITORS' CONSENT
The Board of Directors
KEMET Corporation:
We consent to incorporation by reference in the Registration Statement (No.
33-60092) on Form S-8 of KEMET Corporation of our report dated August 15,
1997, relating to the statements of net assets available for benefits of the
KEMET Employees' Savings Plan at March 31, 1997 and 1996, and the related
statements of changes in net assets available for benefits for the years then
ended, as well as the related financial statement schedules, which report
appears in the March 31, 1997 annual report on Form 11-K of the KEMET
Employees Savings Plan.
/S/ KPMG Peat Marwick LLP
Greenville, South Carolina KPMG Peat Marwick LLP
September 26, 1997
