SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-K/A
AMENDMENT #1
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended December 31, 1998
Commission File Number 1-6926
C. R. BARD, INC.
(Exact name of registrant as specified in its charter)
New Jersey 22-1454160
(State of incorporation) (I.R.S. Employer Identification No.)
730 Central Avenue
Murray Hill, NJ 07974
(Address of principal executive offices)
Registrant's telephone number,
including area code: (908) 277-8000
<PAGE>
The undersigned registrant hereby amends the following items,
financial statements, exhibits or other portions of its Annual
Report on Form 10-K for the year ended December 31, 1998 as set
forth in the pages attached hereto.
Item 14 Exhibits, Financial Statement Schedules and Reports on
Form 8-K.
The following financial statements with respect to the Bard
Employees' Savings Trust 401(K) Plan (formerly Employees'
Retirement Savings Plan of C. R. Bard, Inc.) (the "Retirement
Savings Plan") are filed herewith as Exhibit 99(a) pursuant to Rule
15d-21 under the Securities Exchange Act of 1934, in lieu of filing
on Form 11-K:
(a) Report of Independent Public Accountants
(b) Statements of Net Assets Applicable to
Participants' Equity as of December 31, 1998
and 1997
(c) Statement of Changes in Net Assets Applicable
to Participants' Equity for the Year Ended
December 31, 1998
(d) Notes to Financial Statements
Exhibit 23(a) Consent of Arthur Andersen LLP
The Bard Employees' Savings Trust 401(K) Plan is subject to the
Employee Retirement Income Security Act of 1974, as amended, and
the foregoing financial statements are filed in lieu of the
financial statements required by Items 1, 2 and 3 of Form 11-K.
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this amendment to be signed on
its behalf by the undersigned, thereto duly authorized.
C. R. BARD, INC.
(Registrant)
By: Charles P. Slacik /s/
Charles P. Slacik
Senior Vice President and
Chief Financial Officer
June 28, 1999
EXHIBIT 23(a)
CONSENT OF INDEPENDENT PUBLIC ACCOUNTANTS
As independent public accountants, we hereby consent to the
incorporation by reference of our report dated May 27, 1999,
included in this Form 10-K/A, into C. R. Bard, Inc.'s previously
filed Registration Statements (i) on Form S-8 for the Employees'
Retirement Savings Plan of C. R. Bard, Inc., Registration No.
333-30217, (ii) on Form S-3 Registration No. 333-05997, (iii) the
1990 Employee Stock Option Plan, as amended, Registration
No. 333-35544, (iv) the C. R. Bard, Inc. 1988 Directors Stock Award
Plan, as amended, Registration No.'s 333-64874 and 333-51793, (v)
the 1993 Long-term Incentive Plan of C. R. Bard, Inc., as amended,
Registration No.'s 33-64874, 333-07189 and 333-51793, (vi) the 1998
Employee Stock Purchase Plan of C. R. Bard, Inc., Registration No.
333-51793, (vii) the C. R. Bard, Inc. Management Stock Purchase
Plan, Registration No. 333-69857 and, (viii) the MedChem Products,
Inc. 1994 Stock Option Plan, MedChem Products, Inc. 1993 Stock
Option Plan, MedChem Products, Inc., 1993 Spin-off Stock Option
Plan, MedChem Products, Inc. 1993 Director Stock Option Plan,
MedChem Products, Inc. amended and restated Stock Option Plan, all
formerly maintained by MedChem Products, Inc., Registration
No. 33-63147.
Roseland, New Jersey
June 25, 1999
EXHIBIT 99(a)
Bard Employees' Savings Trust 401(K) Plan
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.)
Financial Statements As Of December 31, 1998 And 1997
Together With
Report of Independent Public Accountants
<PAGE>
Bard Employees' Savings Trust 401(k) Plan
(formerly Employee's Retirement Savings Plan of C. R. Bard, Inc.)
INDEX
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
FINANCIAL STATEMENTS:
Statements of Net Assets Applicable to Participants' Equity as
of December 31, 1998 and 1997
Statement of Changes in Net Assets Applicable to Participants'
Equity for the Year Ended December 31, 1998
Notes to Financial Statements
SUPPLEMENTAL SCHEDULES:
I - Item 27a - Schedule of Assets Held for Investment
Purposes as of December 31, 1998
II - Item 27d - Schedule of Reportable Transactions for the
Year Ended December 31, 1998
<PAGE>
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
To the Retirement Committee of the Bard
Employees' Savings Trust 401(K)Plan:
We have audited the accompanying statements of net assets
applicable to participants' equity of the Bard Employees' Savings
Trust 401(k) Plan as of December 31, 1998 and 1997, and the related
statement of changes in net assets applicable to participants'
equity for the year ended December 31, 1998. These financial
statements and the schedules referred to below 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 applicable to
participants' equity as of December 31, 1998 and 1997, and the
changes in net assets applicable to participants' equity for the
year ended December 31, 1998, 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 of assets held for investment purposes as of December 31,
1998 and reportable transactions for the year ended December 31,
1998, 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 fund
information in the statement of changes in net assets applicable to
participants' equity is presented for purposes of additional
analysis rather than to present the changes in net assets
applicable to participants' equity of each fund. The supplemental
schedules and fund information have been subjected to the auditing
procedures applied in the audit 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.
Roseland, New Jersey
May 27, 1999
<PAGE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.)
STATEMENTS OF NET ASSETS APPLICABLE TO PARTICIPANTS' EQUITY
AS OF DECEMBER 31, 1998 AND 1997
1998 1997
ASSETS:
Investments, at fair value -
Bard Common Stock Fund $ 57,329,829 $ 39,286,361
Bard Stock Cash Dividend Fund --- ---
Investment Contracts Fund 19,348,376 22,262,337
Vanguard 500 Index Fund 69,300,667 57,806,053
Vanguard International Growth Fund 906,599 ---
Vanguard LifeStrategy Conservative
Growth Fund 327,757 ---
Vanguard LifeStrategy Growth Fund 1,334,099 ---
Vanguard LifeStrategy Moderate
Growth Fund 1,146,616 ---
Vanguard Prime Money Market Fund 5,875,286 3,144,800
Vanguard PRIMECAP Fund 3,868,430 ---
Vanguard Total Bond Market Index
Fund 3,315,453 3,424,922
Vanguard Wellington Fund 1,623,650 ---
Participant Loans 4,253,481 2,080,005
Total investments 168,630,243 128,004,478
Accrued interest and dividends
receivable --- 139,726
Participants' contributions
receivable 475,382 ---
Total assets $169,105,625 $128,144,204
LIABILITIES:
Due to broker --- 758,316
Net assets applicable to participants'
equity $169,105,625 $127,385,888
The accompanying notes to financial statements
are an integral part of these statements.
<PAGE>
<TABLE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
STATEMENT OF CHANGES IN NET ASSETS
APPLICABLE TO PARTICIPANTS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 1998
<CAPTION>
Bard
Common Bard Stock Investment
Stock Cash Dividend Contracts
Fund Fund Fund
<S> <C> <C> <C>
NET ASSETS APPLICABLE TO
PARTICIPANTS' EQUITY,
beginning of year $39,286,361 $ --- $22,262,337
ADDITIONS:
Employer contributions (net of forfeitures) $ 3,852,718 $ --- $ ---
Employee contributions 1,687,320 --- 1,516,841
Interest and dividend income 235,519 669,140 1,264,900
Net appreciation and realized gain on
sale of investments 21,844,656 --- ---
Loans advanced, net of repayments (818,672) --- (378,013)
26,801,541 669,140 2,403,728
DEDUCTIONS:
Disbursements to participants 4,277,884 592 2,580,369
Net depreciation and realized loss on
sale of investments --- --- ---
4,277,884 592 2,580,369
NET TRANSFERS BETWEEN FUNDS (4,480,189) (668,548) (2,737,320)
NET ASSETS APPLICABLE TO PARTICIPANTS'
EQUITY, end of year $57,329,829 $ --- $19,348,376
<FN>
</TABLE>
The accompanying notes to financial statements
are an integral part of this statement.
<PAGE>
<TABLE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
STATEMENT OF CHANGES IN NET ASSETS
APPLICABLE TO PARTICIPANTS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
<CAPTION> Vanguard
Vanguard Vanguard LifeStrategy
500 Index International Conservative
Fund Growth Fund Growth Fund
<S> <C> <C> <C>
NET ASSETS APPLICABLE TO
PARTICIPANTS' EQUITY,
beginning of year $57,806,053 $ --- $ ---
ADDITIONS:
Employer contributions (net of forfeitures) --- --- ---
Employee contributions 7,380,811 196,753 37,861
Interest and dividend income 1,075,206 19,002 14,970
Net appreciation and realized gain on
sale of investments 14,865,858 27,622 9,623
Loans advanced, net of repayments (877,594) 1,115 (786)
22,444,281 244,532 61,668
DEDUCTIONS:
Disbursements to participants 7,480,582 112,065 13,682
Net depreciation and realized loss on
sale of investments --- 4,038 6,751
7,480,582 116,103 20,433
NET TRANSFERS BETWEEN FUNDS (3,469,085) 778,170 286,522
NET ASSETS APPLICABLE TO PARTICIPANTS'
EQUITY, end of year $69,300,667 $ 906,599 $ 327,757
<FN>
</TABLE>
The accompanying notes to financial statements
are an integral part of this statement.
<PAGE>
<TABLE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
STATEMENT OF CHANGES IN NET ASSETS
APPLICABLE TO PARTICIPANTS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
<CAPTION>
Vanguard
Vanguard LifeStrategy Vanguard
LifeStrategy Moderate Prime Money
Growth Fund Growth Fund Market Fund
<S> <C> <C> <C>
NET ASSETS APPLICABLE TO
PARTICIPANTS' EQUITY,
beginning of year $ --- $ --- $ 3,144,800
ADDITIONS:
Employer contributions (net of forfeitures) --- --- ---
Employee contributions 280,420 122,624 557,025
Interest and dividend income 46,442 42,211 194,412
Net appreciation and realized gain on
sale of investments 80,901 40,743 ---
Loans advanced, net of repayments (7,423) 919 (76,851)
400,340 206,497 674,586
DEDUCTIONS:
Disbursements to participants 95,899 80,434 783,198
Net depreciation and realized loss on
sale of investments 43,794 --- ---
139,693 80,434 783,198
NET TRANSFERS BETWEEN FUNDS 1,073,452 1,020,553 2,839,098
NET ASSETS APPLICABLE TO PARTICIPANTS'
EQUITY, end of year $ 1,334,099 $ 1,146,616 $ 5,875,286
<FN>
</TABLE>
The accompanying notes to financial statements
are an integral part of this statement.
<PAGE>
<TABLE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
STATEMENT OF CHANGES IN NET ASSETS
APPLICABLE TO PARTICIPANTS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
<CAPTION>
Vanguard
Vanguard Total Vanguard
PRIMECAP Bond Market Wellington
Fund Index Fund Fund
<S> <C> <C> <C>
NET ASSETS APPLICABLE TO
PARTICIPANTS' EQUITY,
beginning of year $ --- $ 3,424,922 $ ---
ADDITIONS:
Employer contributions (net of forfeitures) --- --- ---
Employee contributions 814,169 438,842 278,425
Interest and dividend income 146,781 209,225 164,931
Net appreciation and realized gain on
sale of investments 369,567 54,888 ---
Loans advanced, net of repayments 11,492 (45,449) (3,934)
1,342,009 657,506 439,422
DEDUCTIONS:
Disbursements to participants 1,451,562 647,355 153,558
Net depreciation and realized loss on
sale of investments 68,584 --- 92,614
1,520,146 647,355 246,172
NET TRANSFERS BETWEEN FUNDS 4,046,567 (119,620) 1,430,400
NET ASSETS APPLICABLE TO PARTICIPANTS'
EQUITY, end of year $ 3,868,430 $ 3,315,453 $ 1,623,650
<FN>
</TABLE>
The accompanying notes to financial statements
are an integral part of this statement.
<PAGE>
<TABLE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
STATEMENT OF CHANGES IN NET ASSETS
APPLICABLE TO PARTICIPANTS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
<CAPTION>
Accrued
Interest &
Participant Contributions Dividends
Loans Receivable Receivable
<S> <C> <C> <C>
NET ASSETS APPLICABLE TO
PARTICIPANTS' EQUITY,
beginning of year $ 2,080,005 $ --- $ 139,726
ADDITIONS:
Employer contributions (net of forfeitures) --- 475,382 ---
Employee contributions 276,419 --- (139,726)
Interest and dividend income --- --- ---
Net appreciation and realized gain on
sale of investments --- --- ---
Loans advanced, net of repayments 2,195,196 --- ---
2,471,615 475,382 (139,726)
DEDUCTIONS:
Disbursements to participants 298,139 --- ---
Net depreciation and realized loss on
sale of investments --- --- ---
298,139 --- ---
NET TRANSFERS BETWEEN FUNDS --- --- ---
NET ASSETS APPLICABLE TO PARTICIPANTS'
EQUITY, end of year $ 4,253,481 $ 475,382 ---
<FN>
</TABLE>
The accompanying notes to financial statements
are an integral part of this statement.
<PAGE>
<TABLE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
STATEMENT OF CHANGES IN NET ASSETS
APPLICABLE TO PARTICIPANTS' EQUITY
FOR THE YEAR ENDED DECEMBER 31, 1998 (continued)
<CAPTION>
Due to
Broker Total
<S> <C> <C>
NET ASSETS APPLICABLE TO
PARTICIPANTS' EQUITY,
beginning of year $ (758,316) $127,385,888
ADDITIONS:
Employer contributions (net of forfeitures) --- 3,852,718
Employee contributions --- 13,786,473
Interest and dividend income --- 4,219,432
Net appreciation and realized gain on
sale of investments --- 37,293,898
Loans advanced, net of repayments --- ---
--- 59,152,521
DEDUCTIONS:
Disbursements to participants (758,316) 17,217,003
Net depreciation and realized loss on
sale of investments --- 215,781
(758,316) 17,432,784
NET TRANSFERS BETWEEN FUNDS --- ---
NET ASSETS APPLICABLE TO PARTICIPANTS'
EQUITY, end of year $ --- $169,105,625
<FN>
</TABLE>
The accompanying notes to financial statements
are an integral part of this statement.
<PAGE>
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.)
NOTES TO FINANCIAL STATEMENTS
(1) PLAN DESCRIPTION:
The following description of the Bard Employees' Savings Trust
401(K) Plan (the "Plan"), formerly the Employees' Retirement
Savings Plan of C. R. Bard, Inc., is provided for general
information purposes. Participants of the Plan should refer to
the Plan document for more detailed and complete information.
General-
The Plan is a defined contribution profit sharing plan for
which contributions are made by C. R. Bard, Inc. (the
"Company") and Plan participants. Effective January 1, 1998
employer matching contributions were designated as an employee
stock ownership plan within the meaning of section 4975(e)(7)
of the Code. This portion of the plan invests primarily in
qualifying employer securities. All domestic employees of the
Company, not covered by a collective bargaining agreement, who
have completed 1,000 hours of service and have attained the
age of 21, are eligible to participate in the Plan.
Contributions-
Plan participants may elect to make tax deferred contributions
through payroll deductions equal to 1% to 15% of their
compensation. Salespersons' commissions are also eligible for
contributions to the Plan. The Company matches 100% of
participants' contributions up to the first 2% of their
compensation and 25% of contributions between 2% and 4% of
their compensation. The Company may elect, at its discretion,
to make additional matching contributions. However, matching
contributions (when aggregated with elective deferral
contributions) are not to exceed the maximum tax deductible
amount per current Federal tax regulations.
As of December 31, 1998, participants may direct their
contributions to be invested in one of the following types of
investment funds:
Bard Common Stock Fund - The fund invests in C. R. Bard, Inc.
Common Stock.
Bard Stock Cash Dividend Fund - Reinvests dividends earned
within the Bard Common Stock Fund.
Investment Contracts Fund - The fund invests in a diversified
portfolio of investment contracts issued by insurance
companies and other financial institutions.
- 1 -
<PAGE>
Vanguard 500 Index Fund - The fund holds all of the 500 stocks
that make up the Standard & Poor's 500 Composite Stock Price
Index in proportion to their weighting in the Index.
Vanguard International Growth Fund - The fund invests in
stocks of high-quality, seasoned companies based outside the
United States.
Vanguard LifeStrategy Conservative Growth Fund - The fund
invests in selected Vanguard funds to achieve a targeted
allocation of assets to U.S. stocks, international stocks,
bonds, and short-term reserves.
Vanguard LifeStrategy Growth Fund - The fund invests in
selected Vanguard funds to achieve a targeted allocation of
assets to U.S. stocks, international stocks, bonds, and short-term
reserves.
Vanguard LifeStrategy Moderate Growth Fund - The fund invests
in selected Vanguard funds to achieve a targeted allocation of
assets to U.S. stocks, international stocks, bonds, and short-term
reserves.
Vanguard Prime Money Market Fund - The fund invests in short-term,
high-quality money market instruments issued by
financial institutions, nonfinancial corporations, the U.S.
government, and federal agencies.
Vanguard PRIMECAP Fund - The fund invests in stocks of
companies with above-average prospects for continued earnings
growth, strong industry positions, and skilled management
teams.
Vanguard Total Bond Market Index Fund - The fund attempts to
match the performance of the Lehman Brothers Aggregate Bond
Index.
Vanguard Wellington Fund - the fund seeks to provide income
and long-term growth by investing in stocks and bonds.
Vesting-
All employee contributions are fully vested and
nonforfeitable. Participants' may transfer or redirect
employee contributions each day the New York Stock Exchange is
open for business. Company contributions are invested solely
in the Bard Common Stock Fund and may be made in cash or
Company stock.
- 2 -
<PAGE>
Participants are vested in the Company's matching contribution
as follows:
Years Participated in Plan % Vested
Under 2 0
2 but < 3 25%
3 but < 4 50%
4 but < 5 75%
5 or more 100%
Forfeitures-
At December 31, 1998, forfeited nonvested accounts totaled
approximately $270,936. These accounts will be used to reduce
future Company matching contributions. In 1998, employer
contributions were reduced by $269,516 from forfeited
nonvested accounts.
Loans-
A participant may borrow up to one-half of their vested
account balance, limited to $50,000. The loan shall be repaid
pursuant to a fixed payment schedule not to exceed five years
from the date of the loan (unless such loan is for the
purchase of a primary residence, in which case the loan may be
repaid within fifteen years).
Income Allocations-
Investment income for an accounting period shall be allocated
to participants' accounts in proportion to the total of their
respective account balances at the beginning of such
accounting period plus any contributions or loan repayments
credited to the account during the period.
Distributions-
Participants will receive the full amount of their vested
account balance when one of the following events occurs:
normal retirement, termination of service, death or
disability. Early withdrawals are permitted at the
participant's request after attainment of age 59-1/2. Certain
hardship withdrawals are also permitted. Distributions may be
made in a lump sum payment or in a series of installments over
three to ten years.
(2) SUMMARY OF SIGNIFICANT
ACCOUNTING POLICIES:
Estimates in the
Preparation of Financial Statements-
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 and disclosure of contingent
assets and liabilities at the date of the financial statements
and the reported amounts of additions and deductions during
the reporting period. Actual results could differ from those
estimates.
- 3 -
<PAGE>
Valuation of Investments-
Investments in the Bard Common Stock Fund, the Vanguard 500
Index Fund, the Vanguard International Growth Fund, the
Vanguard LifeStrategy Conservative Growth Fund, the Vanguard
LifeStrategy Growth Fund, the Vanguard LifeStrategy Moderate
Growth Fund, the Vanguard Prime Money Market Fund, the
Vanguard PRIMECAP Fund, the Vanguard Total Bond Market Index
Fund, and the Vanguard Wellington Fund are in the form of
units of participation within the account with the unit value
of each account calculated periodically by the Trustee
reflecting transaction gains and losses, appreciation or
depreciation of the market value of the account investments,
interest and dividends.
The Investment Contracts Fund (the "Fund") is a pooled fund
which is reported on the financial statements at contract
value, which approximates fair value, as determined by the
Trustee. The average yields of the Fund for the years ended
December 31, 1998 and 1997 were 6.21% and 6.53%, respectively.
The crediting interest rate was 6.28% and 6.48% as of
December 31, 1998 and 1997, respectively. This rate is
determined periodically by the Trustee based on the Fund's
holdings. As of December 31, 1998 and 1997, there were no
valuation reserves needed within the Fund, however, it did
hold a Guaranteed Investment Contract in rehabilitation (See
Note 5).
Plan Administration-
Under a trust agreement dated October 1, 1983, United States
Trust Company of New York was appointed Trustee of the Plan
and administers the Plan's assets together with the income
therefrom. In 1995, United States Trust Company of New York
merged with Chase Manhattan Bank, N.A.
Effective December 31, 1997, all assets of the Plan were
transferred to The Vanguard Group pursuant to a trust
agreement dated January 1, 1998.
Under the new trust agreement dated January 1, 1998, Vanguard
Fiduciary Trust Company is the appointed Trustee of the Plan
and administers the Plan's assets together with the income
therefrom. All expenses incurred for the Plan by the Trustee
and the Company may be either paid by the Company or from the
assets of the Plan. Substantially all expenses of the Plan
were paid by the Company during 1998.
Accounting records maintained by the Trustee are on the
accrual basis of accounting. Investment transactions are
recorded on a trade date basis. The Plan had no assets not
having a readily determinable market value as of December 31,
1998 and 1997.
- 4 -
<PAGE>
Tax Status-
The Internal Revenue Service has determined and informed the
Company by a letter dated February 28, 1996, that the Plan is
designed in accordance with applicable sections of the
Internal Revenue Code of 1986 (the "Code"). The Plan has been
amended since receiving the determination letter. However,
the Plan administrator and the Plan's legal counsel believe
that the Plan is currently designed and being operated in
compliance with the applicable requirements of the Code.
Therefore, they believe that the Plan was qualified and the
related trust was tax-exempt as of the financial statement
date.
(3) RELATED PARTY TRANSACTIONS:
As of December 31, 1998 and 1997, the Plan holds 1,158,178 and
1,262,151 shares of C. R. Bard, Inc. common stock,
respectively, with a market value of $57,329,829 at
December 31, 1998 and $39,286,361 at December 31, 1997. During
the year ended December 31, 1998, 141,400 shares of such
common stock were acquired at a cost of $5,231,727; 275,800
shares were sold with an original cost basis of $7,617,433 and
18,918 shares were delivered to Plan participants with an
original cost basis of $517,165.
(4) 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 Employee Retirement Income Security Act of 1974.
In the event of plan termination, participants will become
fully vested in their account balances.
(5) FIXED INCOME OBLIGATIONS IN REHABILITATION
Included in the Plan's assets is a Guaranteed Investment
Contract from Confederation Life Insurance Co., which is in
rehabilitation. It has been determined by the Trustee that
the balance of $16,079 is collectable with payment expected in
1999.
- 5 -
<PAGE>
<TABLE>
SCHEDULE I
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc)
EIN #22-1454160, PLAN #003
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES
AS OF DECEMBER 31, 1998
<CAPTION>
(c) Description of investment
(b) Identity of issue, including maturity date,
borrower, lessor or rate of interest, collateral, (e) Current
(a) similar party par or maturity value (d) Cost Value
<S> <C> <C> <C> <C>
BARD COMMON STOCK FUND
* The Vanguard Group Units of participation in Bard $ 33,317,366 $ 57,329,829
Common Stock Fund, 3,642,302 units,
$15.74 per unit.
INVESTMENT CONTRACTS FUND
The Vanguard Group Units of participation in Investment 19,348,376 19,348,376
Contracts Fund, 19,348,376 units,
$1.00 per unit.
VANGUARD 500 INDEX FUND
The Vanguard Group Units of participation in Vanguard 56,096,075 69,300,667
500 Index Fund, 608,167 units,
$113.95 per unit.
VANGUARD INTERNATIONAL
GROWTH FUND
The Vanguard Group Units of participation in Vanguard 878,937 906,599
International Growth Fund,
48,300 units, $18.77 per unit.
VANGUARD LIFESTRATEGY
CONSERVATIVE GROWTH FUND
The Vanguard Group Units of participation in Vanguard 318,134 327,757
LifeStrategy Conservative Growth
Fund, 22,281 units, $14.71 per unit.
VANGUARD LIFESTRATEGY
GROWTH FUND
The Vanguard Group Units of participation in Vanguard 1,253,198 1,334,099
LifeStrategy Growth Fund,
71,001 units, $18.79 per unit.
<FN>
</TABLE>
The accompanying notes to financial statements are an integral part of
this schedule.
* Represents a party in interest to the plan
<PAGE>
<TABLE>
<CAPTION> SCHEDULE I (continued)
(c) Description of investment
(b) Identity of issue, including maturity date,
borrower, lessor or rate of interest, collateral, (e) Current
(a) similar party par or maturity value (d) Cost Value
<S> <C> <C> <C>
VANGUARD LIFESTRATEGY
MODERATE GROWTH FUND
The Vanguard Group Units of participation in Vanguard $ 1,106,078 $ 1,146,616
LifeStrategy Moderate Growth Fund,
68,008 units, $16.86 per unit.
VANGUARD PRIME MONEY
MARKET FUND
The Vanguard Group Units of participation in Vanguard 5,875,286 5,875,286
Prime Money Market Fund,
5,875,286 units, $1.00 per unit.
VANGUARD PRIMECAP FUND
The Vanguard Group Units of participation in Vanguard 3,498,863 3,868,430
PRIMECAP Fund, 81,167 units,
$47.66 per unit.
VANGUARD TOTAL BOND
MARKET INDEX FUND
The Vanguard Group Units of participation in Vanguard 3,270,825 3,315,453
Total Bond Market Index Fund,
322,829 units, $10.27 per unit.
VANGUARD WELLINGTON
FUND
The Vanguard Group Units of participation in Vanguard 1,712,915 1,623,650
Wellington Fund, 55,320 units,
$29.35 per unit.
OTHER
Participant Loans With interest rates ranging from 4,253,481 4,253,481
7.24% to 9.6% and maturing through
2013.
$130,929,534 $168,630,243
<FN>
</TABLE>
The accompanying notes to financial statements are an integral part of
this schedule.
* Represents a party in interest to the plan.
<PAGE>
<TABLE>
SCHEDULE II
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.)
EIN #22-1454160, PLAN #003
ITEM 27d-SCHEDULE OF REPORTABLE TRANSACTIONS (A)
FOR THE YEAR ENDED DECEMBER 31, 1998
<CAPTION>
(b) Description of asset
(a) Identity of (include interest rate and (c) Number of (d) Purchase (e) Selling
party involved maturity in case of a loan) transactions price price
<S> <C> <C> <C> <C>
The Vanguard Group Vanguard 500 Index Fund Purchases 190 $14,234,946.78
The Vanguard Group Vanguard 500 Index Fund Sales 210 $17,231,869.64
The Vanguard Group Vanguard Prime Money Mkt Purchases 180 5,194,004.71
The Vanguard Group Vanguard Prime Money Mkt Sales 172 2,412,717.54
The Vanguard Group Vanguard PRIMECAP Fund Purchases 149 6,077,701.09
The Vanguard Group Vanguard PRIMECAP Fund Sales 115 2,510,253.34
The Vanguard Group Investment Contracts Fund Purchases 203 5,421,037.52
The Vanguard Group Investment Contracts Fund Sales 199 8,357,280.15
*The Vanguard Group Bard Common Stock Fund Purchases 189 8,532,021.71
*The Vanguard Group Bard Common Stock Fund Sales 209 12,116,309.91
<FN>
</TABLE>
(A) Reportable transactions are those purchases and sales of the same security
which, individually or in the aggregate, exceed 5% of Plan assets at
January 1, 1998.
The accompanying notes to financial statements are an integral part of
this schedule.
* Represents a party in interest to the plan.
<PAGE>
<TABLE>
SCHEDULE II (continued)
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.)
EIN #22-1454160, PLAN #003
ITEM 27d-SCHEDULE OF REPORTABLE TRANSACTIONS (A)
FOR THE YEAR ENDED DECEMBER 31, 1998
<CAPTION>
(b) Description of asset
(a) Identity of (include interest rate and (f) Cost of (g) Current value of asset
party involved maturity in case of a loan) asset on transaction date
<S> <C> <C> <C>
The Vanguard Group Vanguard 500 Index Fund $14,234,946.78
The Vanguard Group Vanguard 500 Index Fund $15,586,613.87 17,231,869.64
The Vanguard Group Vanguard Prime Money Mkt 5,194,004.71
The Vanguard Group Vanguard Prime Money Mkt 2,412,717.54 2,412,717.54
The Vanguard Group Vanguard PRIMECAP Fund 6,077,701.09
The Vanguard Group Vanguard PRIMECAP Fund 2,578,811.45 2,510,253.34
The Vanguard Group Investment Contracts Fund 5,421,037.52
The Vanguard Group Investment Contracts Fund 8,357,280.15 8,357,280.15
*The Vanguard Group Bard Common Stock Fund 8,532,021.71
*The Vanguard Group Bard Common Stock Fund 8,686,832.18 12,116,309.91
<FN>
</TABLE>
(A) Reportable transactions are those purchases and sales of the same security
which, individually or in the aggregate, exceed 5% of Plan assets at
January 1, 1998.
The accompanying notes to financial statements are an integral part of
this schedule.
* Represents a party in interest to the plan.
<PAGE>
<TABLE>
SCHEDULE II (continued)
BARD EMPLOYEES' SAVINGS TRUST 401(K) PLAN
(formerly Employees' Retirement Savings Plan of C. R. Bard, Inc.)
EIN #22-1454160, PLAN #003
ITEM 27d-SCHEDULE OF REPORTABLE TRANSACTIONS (A)
FOR THE YEAR ENDED DECEMBER 31, 1998
<CAPTION>
(b) Description of asset
(a) Identity of (include interest rate and (h) Net gain
party involved maturity in case of a loan) or (loss)
<S> <C> <C>
The Vanguard Group Vanguard 500 Index Fund
The Vanguard Group Vanguard 500 Index Fund $ 1,645,255.77
The Vanguard Group Vanguard Prime Money Mkt
The Vanguard Group Vanguard Prime Money Mkt
The Vanguard Group Vanguard PRIMECAP Fund
The Vanguard Group Vanguard PRIMECAP Fund (68,558.11)
The Vanguard Group Investment Contracts Fund
The Vanguard Group Investment Contracts Fund
*The Vanguard Group Bard Common Stock Fund
*The Vanguard Group Bard Common Stock Fund 3,429,477.73
<FN>
</TABLE>
(A) Reportable transactions are those purchases and sales of the same security
which, individually or in the aggregate, exceed 5% of Plan assets at
January 1, 1998.
The accompanying notes to financial statements are an integral part of
this schedule.
* Represents a party in interest to the plan.
