<PAGE>
==============================================================================
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
For the fiscal year ended: December 31, 1998
---------------------
or
[ ] Transition Report Pursuant to Section 15(d) of the Securities Exchange
Act of 1934
For the period from _____________ to _____________
Commission File Number: 0-22256
----------
MONACO COACH CORPORATION 401(k) PLAN
(Full title of the Plan)
MONACO COACH CORPORATION
(Name of issuer of the securities held pursuant to the Plan)
91320 INDUSTRIAL WAY
COBURG, OR 97408
(Address of principal executive office)
==============================================================================
<PAGE>
INDEX OF FINANCIAL STATEMENTS AND SUPPLEMENTAL SCHEDULES
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Page
----
<S> <C>
REPORT OF INDEPENDENT ACCOUNTANTS 3
FINANCIAL STATEMENTS:
Statement of Net Assets Available for Plan Benefits with
Fund Information at December 31, 1998 5
Statement of Net Assets Available for Plan Benefits with
Fund Information at December 31, 1997 7
Statement of Changes in Net Assets Available for Plan
Benefits with Fund Information for the year ended
December 31, 1998 9
Notes to Financial Statements 11
SUPPLEMENTAL SCHEDULES:
Item 27A - Schedule of Assets Held for Investment
Purposes as of December 31, 1998 17
Item 27D - Schedule of Reportable Transactions for the
year ended December 31, 1998 18
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS 19
</TABLE>
2
<PAGE>
REPORT OF INDEPENDENT ACCOUNTANTS
To the Administrative Committee
Monaco Coach Corporation 401(k) Plan:
In our opinion, the accompanying statement of net assets available for plan
benefits and the related statement of changes in net assets available for
plan benefits present fairly, in all material respects, the net assets
available for plan benefits of Monaco Coach Corporation 401(k) Plan at
December 31, 1998 and the changes in net assets available for plan benefits
for the year ended December 31, 1998, in conformity with generally accepted
accounting principles. 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 audit. We conducted our audit of these
statements in accordance with generally accepted auditing standards, which
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, assessing the accounting
principles used and significant estimates made by management, and evaluating
the overall financial statement presentation. We believe that our audit
provides a reasonable basis for the opinion expressed above.
Our audit as of and for the year ended December 31, 1998 was performed for
the purpose of forming an opinion on the basic financial statements taken as
a whole. The supplemental schedules on pages 17 and 18 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. These supplemental
schedules are the responsibility of the Plan's management. The supplemental
schedules have been subjected to the auditing procedures applied in the audit
of the basic financial statements for the year ended December 31, 1998 and,
in our opinion, are fairly stated in all material respects in relation to the
basic financial statements taken as a whole.
3
<PAGE>
As permitted by 29 CFR 2520.130-8 of the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974, the plan administrator instructed us not to perform,
and we did not perform, any auditing procedures with respect to the
information summarized in Note 3, which was certified by Key Trust Company,
the trustee of the Plan, except for comparing the information with the
related information included in the financial statements. We have been
informed by the plan administrator that the trustee holds the Plan's
investment assets and executes investment transactions. The plan
administrator has obtained a certification from the trustee as of December
31, 1997 that the information provided to the plan administrator by the
trustee is complete and accurate.
Because of the significance of the information that we did not audit, we are
unable to, and do not, express an opinion on the accompanying statement of
net assets available for plan benefits as of December 31, 1997. The form and
content of the information included in the financial statement, other than
that derived from the information certified by the trustee, have been audited
by us in accordance with generally accepted auditing standards and, in our
opinion, are presented in compliance with the Department of Labor's Rules and
Regulations for Reporting and Disclosure under the Employee Retirement Income
Security Act of 1974.
/s/ PricewaterhouseCoopers LLP
Eugene, Oregon
April 23, 1999
4
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS WITH FUND INFORMATION
December 31, 1998
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
PARTICIPANT DIRECTED
----------------------------------------------------
MaGIC+ BALANCED CONTRA VALUE
FUND FUND FUND STOCK FUND
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
ASSETS
Cash and cash equivalents $ 1,071 $ 1,289 $ 1,436 $ 2,027
Investments, at fair value:
Investment funds 9,016,868 2,914,151 2,750,772 5,674,561
Receivables:
Employer's contributions 109,118 47,507 53,701 89,424
Accrued interest
---------- ---------- ---------- ----------
Total assets 9,127,057 2,962,947 2,805,909 5,766,012
LIABILITIES
Accrued administrative
expenses
---------- ---------- ---------- ----------
Net assets available
for plan benefits $9,127,057 $2,962,947 $2,805,909 $5,766,012
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
5
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS WITH FUND INFORMATION
(Continued)
December 31, 1998
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
PARTICIPANT DIRECTED NON-PARTICIPANT
----------------------------------------------------- DIRECTED
SPECIAL JANUS ---------------
VALUE OVERSEAS MONACO PARTICIPANT COMMON
STOCK FUND FUND STOCK FUND LOANS STOCK TOTAL
---------- ---------- ---------- ----------- --------------- -----------
<S> <C> <C> <C> <C> <C> <C>
ASSETS
Cash and cash equivalents $ 1,044 $ 631 $ 83,087 $ 404,307 $ 494,892
Investments, at fair value:
Investment funds 2,428,000 843,234 430,360 $1,526,501 15,748,208 41,332,655
Receivables:
Employer's contributions 43,206 22,739 8,087 373,782
Accrued interest 3,944 408 1,711 6,063
---------- ---------- ---------- ----------- ----------- -----------
Total assets
LIABILITIES
Accrued administrative
expenses 3,103 77 3,180
---------- ---------- ---------- ----------- ----------- -----------
Net assets available
for plan benefits $2,472,250 $ 870,548 $ 518,839 $1,526,501 $16,154,149 $42,204,212
---------- ---------- ---------- ----------- ----------- -----------
---------- ---------- ---------- ----------- ----------- -----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
6
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS WITH FUND INFORMATION
December 31, 1997
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
PARTICIPANT DIRECTED
----------------------------------------------------------
MaGIC+ BALANCED CONTRA VALUE
FUND FUND FUND STOCK FUND
------------- ------------- ------------- -------------
<S> <C> <C> <C> <C>
ASSETS
Cash and cash equivalents
Investments, at fair value:
Investment funds $ 8,168,845 $ 2,443,961 $ 1,913,087 $ 4,118,746
Receivables:
Employer's contributions 106,657 36,111 39,740 66,821
------------- ------------- ------------- -------------
Total assets 8,275,502 2,480,072 1,952,827 4,185,567
LIABILITIES
Accrued administrative
expenses
------------- ------------- ------------- -------------
Net assets available
for plan benefits $ 8,275,502 $ 2,480,072 $ 1,952,827 $ 4,185,567
------------- ------------- ------------- -------------
------------- ------------- ------------- -------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
7
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR PLAN BENEFITS WITH FUND INFORMATION
(Continued)
December 31, 1997
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
PARTICIPANT DIRECTED NON-PARTICIPANT
------------------------------------------- DIRECTED
SPECIAL JANUS -------------
VALUE OVERSEAS PARTICIPANT COMMON
STOCK FUND FUND LOANS STOCK TOTAL
------------- ------------- ------------- ------------- -------------
<S> <C> <C> <C> <C> <C>
ASSETS
Cash and cash equivalents $ 75,668 $ 75,668
Investments, at fair value:
Investment funds $ 2,547,868 $ 700,718 $ 1,543,147 10,250,211 31,686,583
Receivables:
Employer's contributions 35,995 12,869 298,193
------------- ------------- ------------- ------------- -------------
Total assets 2,583,863 713,587 1,543,147 10,325,879 32,060,444
LIABILITIES
Accrued administrative
expenses 2,167 2,167
------------- ------------- ------------- ------------- -------------
Net assets available
for plan benefits $ 2,583,863 $ 713,587 $ 1,543,147 $ 10,323,712 $ 32,058,277
------------- ------------- ------------- ------------- -------------
------------- ------------- ------------- ------------- -------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
8
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS
WITH FUND INFORMATION
for the year ended December 31, 1998
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
PARTICIPANT DIRECTED
----------------------------------------------------
MaGIC+ BALANCED CONTRA VALUE
FUND FUND FUND STOCK FUND
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
Additions to net assets
attributed to:
Employer matching
contributions $ 109,118 $ 47,507 $ 53,701 $ 89,424
Participant contributions 793,406 340,738 353,294 599,696
Interest and dividends 947 269,426 64 868,183
Participant rollovers from
other plans 51,666 31,184 21,637 43,614
Net appreciation (depreciation)
in fair value of investments 496,502 8,878 618,692 266,089
---------- ---------- ---------- ----------
Total net additions 1,451,639 697,733 1,047,388 1,867,006
---------- ---------- ---------- ----------
Deductions from net assets
attributed to:
Distributions of benefits
and loan distributions,
due to participant
terminations 926,020 112,771 141,164 319,746
Administrative expenses 12,512 3,366 2,801 5,485
---------- ---------- ---------- ----------
Total deductions 938,532 116,137 143,965 325,231
---------- ---------- ---------- ----------
Net increase (decrease)
prior to interfund
transfers 513,107 581,596 903,423 1,541,775
Net interfund transfers 338,448 (98,721) (50,341) 38,670
---------- ---------- ---------- ----------
Net increase (decrease) 851,555 482,875 853,082 1,580,445
Net assets available for
plan benefits:
Beginning of year 8,275,502 2,480,072 1,952,827 4,185,567
---------- ---------- ---------- ----------
End of year $9,127,057 $2,962,947 $2,805,909 $5,766,012
---------- ---------- ---------- ----------
---------- ---------- ---------- ----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
9
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR PLAN BENEFITS
WITH FUND INFORMATION (Continued)
for the year ended December 31, 1998
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
PARTICIPANT DIRECTED NON-PARTICIPANT
----------------------------------------------------- DIRECTED
SPECIAL JANUS ---------------
VALUE OVERSEAS MONACO PARTICIPANT COMMON
STOCK FUND FUND STOCK FUND LOANS STOCK TOTAL
---------- ---------- ---------- ----------- --------------- -----------
<S> <C> <C> <C> <C> <C> <C>
Additions to net assets
attributed to:
Employer matching
contributions $ 43,206 $ 22,739 $ 8,087 $ 373,782
Participant contributions 354,313 146,296 11,384 2,599,127
Interest and dividends 111,533 4,177 531 $ 137,441 $ 62,790 1,455,092
Participant rollovers from
other plans 22,528 10,523 7,678 188,830
Net appreciation (depreciation)
in fair value of investments (373,677) 105,574 104,359 7,375,095 8,601,512
---------- -------- -------- ---------- ----------- -----------
Total net additions 157,903 289,309 132,039 137,441 7,437,885 13,218,343
---------- -------- -------- ---------- ----------- -----------
Deductions from net assets
attributed to:
Distributions of benefits
and loan distributions,
due to participant
terminations 108,813 80,116 192,675 1,128,891 3,010,196
Administrative expenses 2,848 1,289 3,129 30,782 62,212
---------- -------- -------- ---------- ----------- -----------
Total deductions 111,661 81,405 3,129 192,675 1,159,673 3,072,408
---------- -------- -------- ---------- ----------- -----------
Net increase (decrease)
prior to interfund
transfers 46,242 207,904 128,910 (55,234) 6,278,212 10,145,935
Net interfund transfers (157,855) (50,943) 389,929 38,588 (447,775)
---------- -------- -------- ---------- ----------- -----------
Net increase (decrease) (111,613) 156,961 518,839 (16,646) 5,830,437 10,145,935
Net assets available for
plan benefits:
Beginning of year 2,583,863 713,587 1,543,147 10,323,712 32,058,277
---------- -------- -------- ---------- ----------- -----------
End of year $2,472,250 $870,548 $518,839 $1,526,501 $16,154,149 $42,204,212
---------- -------- -------- ---------- ----------- -----------
---------- -------- -------- ---------- ----------- -----------
</TABLE>
The accompanying notes are an integral part of these financial statements.
10
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS
(See Independent Accountants' Report)
1. DESCRIPTION OF PLAN:
The following brief description of Monaco Coach Corporation 401(k) Plan
(the Plan) is provided for general information purposes only. Participants
should refer to the Plan agreement for more complete information.
GENERAL: The Plan is a defined contribution plan covering substantially all
full-time employees of Monaco Coach Corporation (the Company) who have
completed 500 hours of service with 6 months of consecutive employment and
are age 18 or older. It is subject to the provisions of the Employee
Retirement Income Security Act of 1974 (ERISA).
CONTRIBUTIONS: Voluntary wage reduction may be elected by employees. These
pre-tax reductions are contributed to the Plan by the Company and may range
from 1% to 16% of the employee's pre-tax earnings. The Plan has a
one-quarter match of participants' contributions up to the first 4% of the
participants' compensation reduction, if the Company has a net profit at
year end. Participants can change their investment fund allocations daily
and pre-tax reduction percentage on a quarterly basis. All contributions
are limited to the applicable amounts as prescribed by the Internal Revenue
Code.
PARTICIPANT ROLLOVERS FROM OTHER PLANS: Participants may rollover balances
from other 401(k) plans into this Plan upon eligibility of participation in
the Plan.
INVESTMENT OPTIONS: Receipts of the Plan are invested by the Plan's
trustee, Key Trust Company, at the designation of the participants.
The Plan offers participants the following funds in which to invest:
MANAGED GUARANTEED INVESTMENT CONTRACT FUND (MaGIC+FUND) - The
objective of this fund is to seek a reasonable level of income together
with the stability of principal. This fund invests primarily in a
diversified portfolio of insurance companies and other investment
contracts. The effective maturity of the fund is five years or less.
BALANCED FUND - This fund seeks conservation of capital, current income
and long-term growth of capital and income by investing in stock, bonds
and other fixed-income securities.
CONTRA FUND - This fund seeks capital appreciation investing. The fund
invests primarily in common stock, but it has the ability to purchase
other securities, including foreign securities, that may produce
capital appreciation.
11
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
(See Independent Accountants' Report)
1. DESCRIPTION OF PLAN, Continued:
VALUE STOCK FUND - The objective of this fund is to seek long-term
growth capital and dividend income. The fund invests primarily in a
diversified group of common stocks with an emphasis on companies with
above-average total return potential. Under normal market conditions,
the fund's investments will emphasize stocks with above-average
dividend yields, below-average price/earnings, price/book value and
price/cash flow ratios.
SPECIAL VALUE STOCK FUND - The objective of this fund is to seek
long-term growth of capital. The fund invests primarily in common
stocks of small companies with a market value of less than $1 billion
and medium sized companies with a market value of $1 to $5 billion.
JANUS OVERSEAS FUND - The objective of this fund is to seek long-term
growth of capital. The fund invests primarily in common stocks of
companies located outside the United States (U.S.), but has the ability
to invest in U.S. companies.
MONACO STOCK FUND - This fund invests in Monaco Coach Corporation
common stock. The objective of this fund is to allow employees to
invest in the financial performance of the corporation.
COMMON STOCK - This fund is comprised of Harley-Davidson, Incorporated
common stock that was rolled over from the Holiday Rambler plan
subsequent to the purchase by Monaco Coach Corporation. Prior to the
purchase of Holiday Rambler by Monaco Coach Corporation, employees
could designate a percentage of their deferral amount to this fund.
However, after the acquisition, this fund is no longer a current
investment option.
PARTICIPANT LOANS: The Plan agreement contains a loan provision whereby
participants can borrow 50% of the value of their vested balance, with the
aggregate of all outstanding loans not to exceed $50,000. Interest on such
loans is equal to 1% above the trustee's national prime rate (7.75% at
December 31, 1998).
PAYMENT OF BENEFITS: On termination of employment, a participant may elect
to receive either a lump-sum distribution equal to the value of the
participant's vested interest in his or her account or roll the balance of
the account into a different plan. If the participant has a balance of
greater than $3,500 in his or her account, the participant may also elect
to keep the balance in the Plan.
VESTING: Participants are immediately vested in their salary deferral
contributions, as well as the employer match and any discretionary
contributions.
12
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
(See Independent Accountants' Report)
1. DESCRIPTION OF PLAN, Continued:
PARTICIPANT ACCOUNTS: Each participant's account is credited with the
participant's contribution and allocation of (a) the Company's contribution
and (b) Plan earnings, and 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 vested account.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES:
BASIS OF ACCOUNTING: The financial statements of the Plan are prepared
under the accrual method of accounting.
INVESTMENTS VALUATION AND INCOME RECOGNITION: The Plan's investments are
stated at fair value. 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 Harley-Davidson, Incorporated common stock and
Monaco Coach Corporation common stock are valued at quoted market prices.
Participant notes receivable are valued at cost, which approximates the
estimated fair value as the notes receivable accrue interest at a market
rate of interest plus a margin. Purchases and sales of securities are
reflected on a trade-date basis. Interest income is recorded on the accrual
basis.
The Plan presents in the statement of changes in net assets available of
plan benefits the net appreciation (depreciation) in the fair value of its
investments, which consists of the realized gains or losses and the
unrealized appreciation (depreciation) of those investments.
USE OF ESTIMATES: The preparation of financial statements in conformity
with generally accepted accounting principles requires management to make
significant estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements, and the reported amounts of
additions to and deductions from plan assets during the reporting period.
Actual results could differ from those estimates.
RISKS AND UNCERTAINTIES: Investment securities are exposed to various
risks, such as interest rate, market and credit. Due to the level of risk
associated with certain investment securities and the level of uncertainty
related to changes in the value of investment securities, it is at least
reasonably possible that changes in risk in the near term would materially
affect participants' account balances and the amounts reported in the
statements of net assets available for plan benefits and the statement of
changes in net assets available for plan benefits.
13
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
(See Independent Accountants' Report)
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES, continued:
PAYMENT OF BENEFITS: Benefits are recorded when paid. The Plan had $130,267
and $23,789 for December 31, 1998 and 1997, respectively, allocated to
participants who have elected to withdraw from the Plan, which have not yet
been paid or accrued.
3. INVESTMENTS:
The Plan's investments as of December 31, 1998 are as follows:
<TABLE>
<CAPTION>
SHARES CURRENT VALUE
------ -------------
<S> <C> <C>
MaGIC+Fund 701,483 $ 9,016,868
Balanced Fund 184,908 2,914,151
Contra Fund 140,232 2,750,772
Value Stock Fund 325,750 5,674,561
Special Value Stock Fund 172,934 2,428,000
Janus Overseas Fund 42,190 843,234
Monaco Coach Corporation
common stock 16,240 430,360
Harley-Davidson, Incorporated
common stock 332,416 15,748,208
</TABLE>
The following is a summary of the unaudited information regarding the Plan,
included in the Plan's financial statements, that was certified by the
trustee, Key Trust Company for the year ended December 31, 1997.
<TABLE>
<S> <C>
Key Trust Company:
MaGIC+Fund $ 8,168,845
Balanced Fund 2,443,961
Contra Fund 1,913,087
Value Stock Fund 4,118,746
Special Value Stock Fund 2,547,868
Janus Overseas Fund 700,718
Common stock:
Harley-Davidson, Incorporated 10,250,211
Participant loans 1,543,147
-----------
Investment in Trust Fund $31,686,583
-----------
-----------
</TABLE>
14
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
(See Independent Accountants' Report)
4. CASH AND CASH EQUIVALENTS:
Cash and cash equivalents consist of highly liquid investments with
original maturities of three months or less. Balances during the year may
exceed amounts insured by the Federal Deposit Insurance Corporation.
5. TAX STATUS:
On July 3, 1997, the Internal Revenue Service issued a letter of
determination that the Plan met the requirements of Section 401 of the
Internal Revenue Code and was, therefore, exempt from federal income taxes
under provisions of Section 501(a).
6. PLAN TERMINATION:
Although it has not expressed any intent to do so, the Company has the
right under the Plan to discontinue contributions at any time and to
terminate the Plan subject to the provisions of ERISA. Participants
are 100% vested in their accounts.
15
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
NOTES TO FINANCIAL STATEMENTS, Continued
(See Independent Accountants' Report)
7. RECONCILIATION OF FINANCIAL STATEMENT AMOUNTS TO INTERNAL REVENUE
SERVICE FORM 5500 AMOUNTS:
The following is a reconciliation of net assets available for plan benefits
per the financial statements to Form 5500 for December 31, 1998.
<TABLE>
<S> <C>
Net assets available for plan benefits
per the financial statements $42,204,212
Amounts allocated to withdrawing
participants (130,267)
-----------
Net assets available for plan benefits
for Form 5500 $42,073,945
-----------
-----------
</TABLE>
The following is a reconciliation of benefits paid to participants per the
financial statements to Form 5500 for December 31, 1998.
<TABLE>
<S> <C>
Benefits paid to participants per the
financial statements $ 3,010,196
Add amounts allocated to withdrawing
participants at December 31, 1998 130,267
Less amounts allocated to withdrawing
participants at December 31, 1997 (23,789)
-----------
Benefits paid to participants per
Form 5500 $ 3,116,674
-----------
-----------
</TABLE>
Amounts allocated to withdrawing participants are recorded on Form 5500 as
benefit claims.
16
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
ITEM 27A - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
December 31, 1998
(See Independent Accountants' Report)
<TABLE>
<CAPTION>
DESCRIPTION
OF INVESTMENT
-----------------------------
RATE OF HISTORICAL CURRENT
IDENTITY OF ISSUE SHARES INTEREST MATURITY COST VALUE
- ------------------------------- ------- ---------- --------------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Key Trust Company:
MaGIC+Fund 701,483 N/A 5 years or less $7,972,132 $ 9,016,868
Balanced Fund 184,908 N/A N/A 2,798,417 2,914,151
Contra Fund 140,232 N/A N/A 1,814,080 2,750,772
Value Stock Fund 325,750 N/A N/A 4,928,928 5,674,561
Special Value Stock Fund 172,934 N/A N/A 2,450,655 2,428,000
Janus Overseas Fund 42,190 N/A N/A 810,422 843,234
Common stock:
Monaco Coach Corporation 16,240 N/A N/A 326,001 430,360
Harley-Davidson, Incorporated 332,416 N/A N/A 2,855,457 15,748,208
Participant loans Prime rate 1,526,501 1,526,501
plus 1%
5.77%
Cash and cash equivalents 494,892 494,892
----------- -----------
$25,977,485 $41,827,547
----------- -----------
----------- -----------
</TABLE>
17
<PAGE>
MONACO COACH CORPORATION 401(k) PLAN
ITEM 27D - SCHEDULE OF REPORTABLE TRANSACTIONS
for the year ended December 31, 1998
(See Independent Accountants' Report)
Transactions which, when aggregated, involved more than 5% of the current value
of beginning plan assets for the year ended December 31, 1998 were as follows:
<TABLE>
<CAPTION>
TRANSACTIONS PURCHASE SELLING
FUND DESCRIPTION OF ASSET SHARES/UNITS PRICE PRICE COST NET GAIN
- ----------------- -------------------- ------------- ---------- ---------- ---------- --------
<S> <C> <C> <C> <C> <C> <C>
MaGIC+ Common funds 136,963.741 $1,705,160 $1,705,160
MaGIC+ Common funds 108,795.450 $1,353,638 1,222,269 $131,369
Value Stock Mutual funds 106,845.611 1,818,711 1,818,711
Value Stock Mutual funds 29,860.422 528,985 437,805 91,180
Common Stock Money Market 1,089,380.000 1,089,380 1,089,380
Common Stock Money Market 760,740.000 760,740 760,740
Participant Loans Promissory notes 1,059,364.000 1,059,364 1,059,364
Participant Loans Promissory notes 874,206.000 874,206 874,206
</TABLE>
18
<PAGE>
Exhibit 23.1
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
We hereby consent to the incorporation by reference in the Registration
Statement of our report dated April 23, 1999 relating to the financial
statements, which appears in the Annual Report of the Monaco Coach
Corporation 401(k) Plan on Form 11-K for the year ended December 31, 1998.
/s/ PricewaterhouseCoopers LLP
Eugene, Oregon
June 29, 1999
