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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 11-K
(Mark One)
☒ | ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the fiscal year ended December 31, 2018
OR
☐ | TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to
Commission file number 001-35992
A. | Full title of the plan and the address of the plan, if different from that of the issuer named below: |
ORACLE CORPORATION
401(k) SAVINGS AND INVESTMENT PLAN
B. | Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: |
ORACLE CORPORATION
500 Oracle Parkway
Redwood City, California 94065
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
Financial Statements and Supplemental Schedule
Table of Contents
Table of Contents
Report of Independent Registered Public Accounting Firm
To the participants and Plan Committee of the Oracle Corporation 401(k) Savings and Investment Plan
Opinion on the Financial Statements
We have audited the accompanying statements of net assets available for benefits of Oracle Corporation 401(k) Savings and Investment Plan (the “Plan”) as of December 31, 2018 and 2017, and the related statement of changes in net assets available for benefits for the year ended December 31, 2018 and the related notes and schedules (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the net assets available for benefits of Oracle Corporation 401(k) Savings and Investment Plan as of December 31, 2018 and 2017, and the changes in net assets available for benefits for the year ended December 31, 2018, in conformity with accounting principles generally accepted in the United States of America.
Basis for Opinion
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 are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to Oracle Corporation 401(k) Savings and Investment Plan in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free from material misstatement, whether due to error or fraud. Oracle Corporation 401(k) Savings and Investment Plan is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits, we are required to obtain an understanding of internal control over financial reporting, but not for the purposes of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
Supplemental Information
The supplemental information in the accompanying schedule of assets (held at end of year) as of December 31, 2018 has been subjected to audit procedures performed in conjunction with the audit of Oracle Corporation 401(k) Savings and Investment Plan’s financial statements. The supplemental information is the responsibility of the Plan’s management. Our audit procedures included determining whether the supplemental information reconciles to the financial statements or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental information. In forming our opinion on the supplemental information in the accompanying schedule, we evaluated whether the supplemental information, including its form and content, is presented in conformity with the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. In our opinion, the supplemental information in the accompanying schedule is fairly stated, in all material respects, in relation to the financial statements as a whole.
/s/ SENSIBA SAN FILIPPO LLP
We have served as Oracle Corporation 401(k) Savings and Investment Plan’s auditor since 2004.
San Mateo, California
May 17, 2019
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Oracle Corporation
401(k) Savings and Investment Plan
Statements of Net Assets Available for Benefits
As of December 31, 2018 and 2017
| | December 31, | |
(in thousands) | | 2018 | | | 2017 | |
Assets | | | | | | | | |
Cash | | $ | 638 | | | $ | 11,963 | |
Investments, at fair value | | | 13,434,378 | | | | 14,566,634 | |
Investments, at contract value | | | 804,054 | | | | 763,692 | |
Receivables: | | | | | | | | |
Notes receivable from participants | | | 84,444 | | | | 86,132 | |
Participant contributions | | | 13,856 | | | | 12,397 | |
Employer contributions | | | 4,492 | | | | 4,338 | |
Other receivables | | | 7,066 | | | | 6,218 | |
Total receivables | | | 109,858 | | | | 109,085 | |
Total assets | | | 14,348,928 | | | | 15,451,374 | |
Liabilities | | | | | | | | |
Excess deferrals due to participants | | | 313 | | | | 257 | |
Other liabilities | | | 2,554 | | | | 6,784 | |
Total liabilities | | | 2,867 | | | | 7,041 | |
Net assets available for benefits | | $ | 14,346,061 | | | $ | 15,444,333 | |
See notes to financial statements.
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Oracle Corporation
401(k) Savings and Investment Plan
Statement of Changes in Net Assets Available for Benefits
For the Year Ended December 31, 2018
(in thousands) | | | | |
Additions | | | | |
Interest, dividends and other income | | $ | 214,324 | |
Net depreciation in fair values of investments | | | (1,036,853 | ) |
Total investment losses, net | | | (822,529 | ) |
Contributions: | | | | |
Participants | | | 595,787 | |
Employer | | | 150,812 | |
Rollovers | | | 151,074 | |
Total contributions | | | 897,673 | |
Total additions, net | | | 75,144 | |
Deductions | | | | |
Benefits paid to participants | | | 1,171,744 | |
Administrative expenses | | | 1,672 | |
Total deductions | | | 1,173,416 | |
Net decrease | | | (1,098,272 | ) |
Net assets available for benefits at beginning of year | | | 15,444,333 | |
Net assets available for benefits at end of year | | $ | 14,346,061 | |
See notes to financial statements.
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Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements
December 31, 2018
1. | DESCRIPTION OF THE PLAN |
The following description of the Oracle Corporation 401(k) Savings and Investment Plan (the Plan) provides only general information. Participants should refer to the Plan document for a more complete description of the Plan’s provisions.
General
The Plan is a defined contribution plan originally established in 1986 that has since been amended and for which Oracle Corporation (Oracle) is the current sponsor. The Plan was established for the purpose of providing retirement benefits for the U.S. employees of Oracle and its subsidiaries. The Plan is intended to qualify as a profit sharing plan under Section 401(a) of the Internal Revenue Code of 1986, as amended (the Code), with a salary reduction feature qualified under Section 401(k) of the Code. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974, as amended (ERISA). The Plan is administered by the 401(k) Committee, members of which are appointed by the Compensation Committee of Oracle’s Board of Directors or the Executive Vice President, Human Resources. Fidelity Management Trust Company is the directed trustee of the Plan; Fidelity Investments Institutional Operations Company, Inc. (Fidelity) serves as the record keeper to maintain the individual accounts of each of the Plan’s participants.
Eligibility
All employees regularly scheduled to work a minimum of 20 hours per week or 1,000 hours in a Plan year on the domestic payroll of Oracle and its subsidiaries that have adopted the Plan are eligible to participate in the Plan as of the first date, or any succeeding entry date following the date the employee is credited with one hour of service with Oracle. However, the following employees or classes of employees are not eligible to participate: (i) employees whose compensation and conditions of employment are subject to determination by collective bargaining; (ii) employees who are non-resident aliens and who received no earned income (within the meaning of the Code) from Oracle; (iii) workers who are performing services at an Oracle facility as an employee of a third-party entity that is not an employment agency; (iv) employees of employment agencies; and (v) persons who are not classified as employees for tax purposes.
Contributions
Each year, participants may contribute up to 40% of their eligible compensation as defined by the Plan document. Annual participant contribution amounts are limited to $18,500 of salary deferrals for the year ended December 31, 2018 ($24,500 for participants 50 years old and older), as determined by the Internal Revenue Service (IRS). Salary deferrals consist of pre-tax and/or Roth 401(k) contributions. Participants may also contribute up to 20% of their eligible compensation, subject to certain annual dollar limitations, on a post-tax basis.
Oracle matches 50% of an active participant’s salary deferrals up to a maximum deferral of 6% of compensation for the pay period, with maximum aggregate matching of $5,100 in any calendar year. Oracle has the right, under the Plan, to discontinue or modify its matching contributions at any time. Participants may also contribute amounts representing distributions from other qualified plans. All of Oracle’s matching contributions are made in cash on a pre-tax basis.
Investment Options
Participants direct the investment of their contributions and Oracle’s matching contributions into various investment options offered by the Plan. The Plan currently offers investments in Oracle’s common stock, common/collective trust funds, mutual funds, separately managed account funds (including a stable value fund) and Brokerage Link. Brokerage Link balances consist of the mutual funds offered by the Plan, as well as mutual funds offered by other registered investment companies, common stock or other investment products.
Participant Accounts
Each participant’s account is credited with the participant’s and Oracle’s contributions and allocations of Plan earnings. All amounts in participant accounts are participant directed.
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Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements—(Continued)
December 31, 2018
Vesting
All elective contributions made by participants and earnings on those contributions are 100% vested at all times. Participants’ vesting in Oracle’s matching contributions is based on years of service. Participants are 25% vested after one year of service and vest an additional 25% on each successive service anniversary date, becoming 100% vested after four years of service.
Participants forfeit the nonvested portion of their accounts in the Plan upon termination of employment with Oracle. Forfeited balances of terminated participants’ nonvested accounts may be used at Oracle’s discretion, as outlined in the Plan, to reduce its matching contribution obligations. During the year ended December 31, 2018, Oracle used $7,500,000 of forfeited balances to reduce its matching contribution obligations. The amounts of unallocated forfeitures at December 31, 2018 and 2017 were approximately $735,000 and $822,000, respectively.
Notes Receivable from Participants
Participants may borrow from their fund accounts a minimum of $1,000 and up to a maximum of $50,000 or 50% of their vested account balance, whichever is less. Loan terms may not exceed five years unless the loan is used to purchase a participant’s principal residence, in which case repayment terms may not exceed 10 years. The loans are secured by the balance in the participant’s account and bear interest at a rate commensurate with local prevailing lending rates determined by the 401(k) Committee. Principal and interest is paid ratably through payroll deductions, and participants may elect to submit additional payments outside of payroll deductions in order to reduce principal loan balances on an accelerated basis. Loans are generally due in full within 90 days of termination with Oracle unless the participant arranges for loan repayments to continue via monthly debit from a checking or savings account in a bank located in the United States.
Payment of Benefits
Upon termination of service, death, disability, or normal or early retirement, participants may elect to receive a lump-sum amount equal to the vested value of their account or may waive receipt of a lump sum benefit and elect to receive monthly, quarterly or annual installments, a partial distribution, or may request a rollover from the Plan to another eligible retirement plan. Failure of a participant to make an election of one of these options within 60 days is deemed to be an election to defer commencement of payment. If the participant’s account is valued at $1,000 or less, the amount is distributed in a lump sum. Distributions of investments in Oracle’s common stock may be taken in the form of common stock. Hardship withdrawals are permitted if certain criteria are met.
Investment Management Fees and Operating Expenses
Investment management fees and operating expenses charged to the Plan for investments in the various funds are deducted from income earned on a daily basis and are reflected as a component of net appreciation (depreciation) in fair values of investments.
Administrative Expenses
Administrative expenses are borne by Oracle, except for fees related to administration of participant loans and certain withdrawal transactions, which are deducted from the applicable participant’s accounts. Oracle, at its discretion, may also choose to utilize forfeited balances of terminated participants’ nonvested accounts to pay for reasonable expenses related to the administration of the Plan. Effective April 1, 2018, the use of available revenue sharing (based on a revenue sharing agreement between Oracle and Fidelity) to pay for Plan expenses was discontinued. Revenue credits generated by the Plan for certain investment fund options are now reallocated back to those Plan participants who invested in those fund options.
Plan Termination
Although it has not expressed any intent to do so, Oracle has the right, under provisions of the Plan, to terminate the Plan, subject to the provisions of ERISA. In the event of the Plan’s termination, participants will become 100% vested in their accounts.
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Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements—(Continued)
December 31, 2018
2. | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES |
Basis of Accounting and Presentation
The accompanying financial statements of the Plan are prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States (GAAP). The preparation of financial statements in conformity with GAAP requires management to make estimates that affect the amounts reported in the financial statements and accompanying notes and supplemental schedule. Actual results could differ from those estimates.
Investments Valuation and Income Recognition
The Plan’s investments are generally stated at their fair values with the exception of the Galliard Stable Value Fund (a separately-managed account fund investment), which is stated at its contract value in the statements of net assets available for benefits at December 31, 2018 and 2017. The shares of registered investment companies (mutual funds) are valued at quoted market prices. The money market funds are valued at cost plus accrued interest, which approximated fair values. Common stock, including Oracle’s common stock, is traded on a national securities exchange and is valued at the last reported sales price on the last day of the Plan year. The valuation techniques used to measure the fair values of the common/collective trust funds with significant balances as of December 31, 2018 are included in Note 4 below.
Purchases and sales of securities are recorded on a trade-date basis. Interest income is recorded on an accrual basis. Dividends are recorded on the ex-dividend date.
The Oracle Stock Fund (the Fund) is tracked on a unitized basis, which allows for daily trades. The Fund consists of Oracle common stock and investment in the Fidelity Investments Money Market Government Portfolio sufficient to meet the Fund’s daily cash needs. The value of a unit reflects the combined market value of Oracle common stock and the cash investments held by the Fund. At December 31, 2018 and 2017, 2,058,319 units with a value of $350.12 per unit and 2,313,067 units with a value of $360.56 per unit were outstanding, respectively.
Fair Value Measurements
The Plan performs fair value measurements in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification 820, Fair Value Measurement (ASC 820). Refer to Note 3 for the fair value measurement disclosures associated with the Plan’s investments.
Risks and Uncertainties
The Plan provided for various investment options in common stock, registered investment companies (mutual funds), common/collective trusts, separately-managed account funds (including a stable value fund) and short-term investments. The Plan’s exposure to credit losses in the event of nonperformance of investments is limited to the carrying value of such investments. Investment securities, in general, are exposed to various risks, such as risk of foreign currency fluctuations relative to the U.S. Dollar, interest rate risk, credit risk, and overall market volatility risk. During the year ended December 31, 2018, net depreciation in fair values of investments totaled $1.0 billion. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect the amounts reported in the statements of net assets available for benefits, participant account balances and the statement of changes in net assets available for benefits.
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Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements—(Continued)
December 31, 2018
3. | FAIR VALUE MEASUREMENTS |
The Plan performs fair value measurements in accordance with the guidance provided by ASC 820. ASC 820 defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at their fair values, the Plan considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the assets or liabilities, such as inherent risk, transfer restrictions, and risk of nonperformance.
ASC 820 establishes a fair value hierarchy that requires the Plan to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. An asset’s or a liability’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 establishes three levels of inputs that may be used to measure fair value:
| • | Level 1: quoted prices in active markets for identical assets or liabilities; |
| • | Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or |
| • | Level 3: unobservable inputs that are supported by little or no market activity and that are significant to the fair values of the assets or liabilities. |
Investments Measured at Fair Value on a Recurring Basis
Investments measured at fair value on a recurring basis consisted of the following types of instruments (Level 1 and 2 inputs are defined above):
| | December 31, 2018 | | | December 31, 2017 | |
| | Fair Value Measurements Using Input Types | | | | | | | Fair Value Measurements Using Input Types | | | | | |
(in thousands) | | Level 1 | | | Level 2 | | | Total | | | Level 1 | | | Level 2 | | | Total | |
Money market funds | | $ | 298,115 | | | $ | — | | | $ | 298,115 | | | $ | 208,606 | | | $ | — | | | $ | 208,606 | |
Oracle Corporation and other common stock | | | 1,564,359 | | | | — | | | | 1,564,359 | | | | 1,729,843 | | | | — | | | | 1,729,843 | |
Mutual funds | | | 2,375,570 | | | | — | | | | 2,375,570 | | | | 2,921,731 | | | | — | | | | 2,921,731 | |
Corporate securities and others | | | 33,927 | | | | 4,020 | | | | 37,947 | | | | 17,287 | | | | 4,067 | | | | 21,354 | |
Total investments measured at fair value | | $ | 4,271,971 | | | $ | 4,020 | | | $ | 4,275,991 | | | $ | 4,877,467 | | | $ | 4,067 | | | $ | 4,881,534 | |
Common/collective trust funds measured at net asset value | | | | | | | | | | | 9,158,387 | | | | | | | | | | | | 9,685,100 | |
Total investments | | | | | | | | | | $ | 13,434,378 | | | | | | | | | | | $ | 14,566,634 | |
The Plan’s valuation techniques used to measure the fair values of money market funds, common stock, mutual funds and corporate securities and others that were classified as Level 1 in the table above were derived from quoted market prices as substantially all of these instruments have active markets. Our Level 2 instruments are valued based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar securities, the securities are valued using a discounted cash flow approach that maximizes observable inputs, such as current yields of similar instruments, but includes adjustments for certain risks that may not be observable, such as credit and liquidity risks. A description of the valuation techniques used to measure the fair values of common/collective trust funds and separately-managed account fund investments with significant balances as of December 31, 2018 and 2017 are included
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Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements—(Continued)
December 31, 2018
in Note 4 below. Redemption for common collective trust funds is permitted daily with no restrictions and same-day or one-day notice periods and there are no unfunded commitments.
4. | COMPOSITION AND VALUATION METHODS OF CERTAIN PLAN INVESTMENTS |
Fidelity Commingled Funds
The Plan held investments in Fidelity Contrafund Commingled Pool, Fidelity Growth Company Commingled Pool and Fidelity Low-Priced Stock Commingled Pool as of December 31, 2018 and 2017 (collectively, the Fidelity Commingled Funds). The Fidelity Commingled Funds are common/collective trust funds managed by Fidelity Management Trust Company. Fidelity Fund and Investment Operations, an affiliate of Fidelity Management Trust Company, determines the fair values of the Fidelity Commingled Funds on a daily basis using the net asset value (NAV) of units held of the commingled funds. The NAV is based on the fair value of the underlying investments held by each commingled fund less its liabilities. The fair value of the underlying investments is generally derived from the quoted prices in active markets of the underlying securities as substantially all of the underlying investments have active markets.
Vanguard Trusts
The Plan held investments in certain Vanguard Institutional Index Trusts and certain Vanguard Target Retirement Trusts (collectively, the Vanguard Trusts), which are more specifically listed in Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year) as of December 31, 2018 and 2017. The Vanguard Trusts are common/collective trust funds sponsored and maintained by Vanguard Fiduciary Trust Company. The trustee, Vanguard Fiduciary Trust Company, generally determines the fair values of the Vanguard Trusts’ units each day the New York Stock Exchange is open for trading. The underlying investments of the Vanguard Trusts are valued based on quoted market prices as substantially all of these underlying investments have active markets. The values of the Vanguard Trusts are determined based upon the values of these underlying investments held for benefit of the Vanguard Trusts less any liabilities.
Galliard Stable Value Fund
During the years ended December 31, 2018 and 2017, the Plan held investments in Galliard Stable Value Fund (Galliard Fund). The Galliard Fund is exclusively managed for the Plan by Galliard Capital Management, Inc. The Galliard Fund primarily invests in common/collective trust funds in the Plan’s name for the sole benefit of Plan participants, security-backed investment contracts, separate accounts guaranteed investment contracts and money market funds. Security‑backed investment contracts are issued by insurance companies and other financial institutions that wrap underlying bond funds, fixed income common/collective trust funds or separate accounts (Wrap Contract).
The issuer of the Wrap Contract guarantees a minimum rate of return and provides full benefit responsiveness, provided that all terms of the Wrap Contract have been met. Wrap Contracts are normally agreements entered with issuers rated in the top three long-term rating categories (equaling A- or above) as determined by any of the nationally recognized rating organizations. The Galliard Fund is credited with contributions from participants and earnings on the underlying investments and charged for participant withdrawals and administrative expenses.
As of December 31, 2018 and 2017, there were no reserves against the Wrap Contracts’ carrying values due to credit risks of the issuers. Certain events limit the ability of the Plan to transact at contract value with the wrap issuer. However, the Plan’s management is not aware of the occurrence or likely occurrence of any such events, which would limit the Plan's ability to transact at contract value with participants. The issuer may terminate a Wrap Contract at any time.
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Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements—(Continued)
December 31, 2018
The following table provides the disaggregation of contract value between types of investment contracts held by the Plan:
| | December 31, | |
(in thousands) | | 2018 | | | 2017 | |
Security-backed investment contracts | | $ | 702,711 | | | $ | 675,005 | |
Separate account guaranteed investment contracts | | | 101,343 | | | | 88,687 | |
Total investment contracts | | $ | 804,054 | | | $ | 763,692 | |
On October 20, 2015, the Plan received a determination letter from the IRS stating that the Plan is qualified under Section 401(a) of the Code, and therefore, the related trust is exempt from taxation. This determination letter superseded the determination letters issued by the IRS on April 3, 2015 and May 29, 2014. The 401(k) Committee believes the Plan is being operated in compliance with the applicable requirements of the Code and, therefore, believes that the Plan is qualified and the related trust is tax exempt. The Plan is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress.
6. | PARTY-IN-INTEREST TRANSACTIONS |
Transactions in shares of Oracle common stock qualify as party-in-interest transactions under the provisions of ERISA. During the year ended December 31, 2018, the Plan made purchases of approximately $64,328,000 and sales of approximately $131,258,000 of Oracle common stock. In addition, the Plan made in-kind transfers of Oracle common stock to participants, related to certain qualifying distributions, of approximately $16,966,000 during the year ended December 31, 2018.
Certain members of Oracle Corporation management perform administrative and fiduciary duties for the Plan that qualify them as parties-in-interest and/or related parties of the Plan. Transactions between such members of Oracle Corporation management and the Plan were routine in nature and conducted pursuant to the Plan’s provisions as of and during the year ended December 31, 2018.
As described in Note 1 above, Fidelity Management Trust Company is a directed trustee of the Plan and Fidelity Investments Institutional Operations Company, Inc. serves as the record keeper to maintain the individual accounts of each Plan participant. Certain Plan investments include shares of mutual funds that are managed by affiliates of Fidelity.
7. | DIFFERENCES BETWEEN FINANCIAL STATEMENTS AND FORM 5500 |
The following is a reconciliation of the net assets available for benefits per the financial statements to the Plan’s Form 5500:
| | December 31, | |
(in thousands) | | 2018 | | | 2017 | |
Net assets available for benefits per the financial statements | | $ | 14,346,061 | | | $ | 15,444,333 | |
Adjustment from contract value to fair value of certain Galliard Stable Value Fund assets | | | (8,297 | ) | | | (388 | ) |
Amounts allocated to withdrawing participants and other | | | (1,847 | ) | | | (1,190 | ) |
Net assets available for benefits per the Form 5500 | | $ | 14,335,917 | | | $ | 15,442,755 | |
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Oracle Corporation
401(k) Savings and Investment Plan
Notes to Financial Statements—(Continued)
December 31, 2018
The following is a reconciliation of the changes in net assets available for benefits per the financial statements to the Plan’s Form 5500:
| | December 31, | |
(in thousands) | | 2018 | | | 2017 | |
Net (decrease) increase in net assets available for benefits per the financial statements | | $ | (1,098,272 | ) | | $ | 2,428,870 | |
Net change in fair value adjustment of certain Galliard Stable Value Fund assets | | | (7,909 | ) | | | (1,083 | ) |
Net change in amounts allocated to withdrawing participants and other | | | (658 | ) | | | 95 | |
Net (loss) income per the Form 5500 | | $ | (1,106,839 | ) | | $ | 2,427,882 | |
The fair value adjustment for certain Galliard Stable Value Fund assets represented the differences between contract values of certain fully benefit-responsive contracts within the Galliard Fund as included in the statements of changes in net assets available for benefits for the years ended December 31, 2018 and 2017, and the respective fair values of these contracts as reported in the respective Form 5500. Certain investments within the Galliard Fund are presented at contract value in both the statements of changes in net assets available for benefits and the Form 5500, and therefore, do not result in a difference between the Plan’s financial statements and the Form 5500. Amounts allocated to withdrawing participants are recorded on the Form 5500 for benefit claims that have been processed and approved for payment prior to each respective year-end but were not yet paid.
Contributions received from participants for the year ended December 31, 2018 included approximately $313,000 of excess contributions (net of corresponding gains and losses) that were remitted during January 2019 through April 2019 to certain participants. The excess deferral contributions, originally deducted in the year ended December 31, 2018, were returned to comply with the participants’ applicable maximum annual contributions permitted under the Code. The amount is included in the Plan’s statement of net assets available for benefits as excess deferrals due to participants at December 31, 2018.
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Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | Registered Investment Companies: | | | | | | | | | |
| | Dodge & Cox International Stock Fund | | | 9,036,425 | | shares | | $ | 333,534 | |
| | Dodge & Cox Stock Fund | | | 4,461,351 | | shares | | | 770,966 | |
* | | Fidelity Balanced Fund—Class K | | | 22,845,835 | | shares | | | 471,767 | |
* | | Fidelity Worldwide Fund | | | 9,450,537 | | shares | | | 218,402 | |
| | PIMCO Inflation Response Multi-Asset Fund Institutional | | | 1,415,845 | | shares | | | 10,718 | |
| | | | | | | | | | 1,805,387 | |
| | Assets in Brokerage Link Accounts | | Various investments, including registered investment companies, common stocks, money market funds and cash | | | 824,629 | |
| | Oracle Corporation Common Stock Fund: | | | | | | | | | |
* | | Oracle Corporation Common Stock | | | 15,844,563 | | shares | | | 715,382 | |
* | | Fidelity Investments Money Market Government Portfolio | | | 5,257,797 | | shares | | | 5,258 | |
| | Separately-Managed Account Fund Investments: | | | | | | | | | |
| | Artisan International Separate Account — | | | | | | | | | |
| | Depository Receipts | | | | | | | | | |
| | Petroleo Brasileiro SA | | | 256,704 | | shares | | | 3,340 | |
| | Common Stock | | | | | | | | | |
| | adidas AG | | | 2,310 | | shares | | | 483 | |
| | AIA Group Ltd. | | | 619,478 | | shares | | | 5,142 | |
| | Air Liquide SA | | | 34,523 | | shares | | | 4,290 | |
| | Airbus SE | | | 57,862 | | shares | | | 5,566 | |
| | Akzo Nobel NV | | | 11,823 | | shares | | | 954 | |
| | Allianz SE | | | 20,953 | | shares | | | 4,204 | |
| | Amazon.com Inc. | | | 649 | | shares | | | 975 | |
| | Amundi SA | | | 6,108 | | shares | | | 323 | |
| | Anheuser-Busch InBev SA/NV | | | 49,667 | | shares | | | 3,283 | |
| | Aon PLC | | | 31,533 | | shares | | | 4,584 | |
| | ASML Holding NV | | | 4,008 | | shares | | | 630 | |
| | Assicurazioni Generali SpA | | | 201,385 | | shares | | | 3,369 | |
| | AVEVA Group PLC | | | 2,333 | | shares | | | 72 | |
| | B3 SA - Brasil Bolsa Balcao | | | 79,800 | | shares | | | 552 | |
| | Bank Rakyat Indonesia Persero Tbk PT | | | 5,279,000 | | shares | | | 1,344 | |
| | Beiersdorf AG | | | 29,174 | | shares | | | 3,047 | |
| | BNP Paribas SA | | | 49,955 | | shares | | | 2,259 | |
| | British American Tobacco PLC | | | 26,624 | | shares | | | 848 | |
| | Calbee Inc. | | | 57,200 | | shares | | | 1,795 | |
| | Canadian National Railway Co | | | 12,903 | | shares | | | 956 | |
| | Canadian Pacific Railway Ltd. | | | 5,946 | | shares | | | 1,056 | |
| | ConvaTec Group PLC | | | 828,042 | | shares | | | 1,466 | |
| | Danone SA | | | 17,879 | | shares | | | 1,260 | |
| | Deutsche Boerse AG | | | 81,159 | | shares | | | 9,759 | |
| | Deutsche Post AG | | | 188,435 | | shares | | | 5,162 | |
| | Dollarama Inc. | | | 8,811 | | shares | | | 210 | |
| | Eiffage SA | | | 22,836 | | shares | | | 1,909 | |
| | Experian PLC | | | 80,864 | | shares | | | 1,963 | |
| | Ferguson PLC | | | 45,503 | | shares | | | 2,910 | |
| | Fortis Inc. | | | 4,756 | | shares | | | 159 | |
| | Fortum OYJ | | | 83,336 | | shares | | | 1,824 | |
| | Genmab A/S | | | 20,309 | | shares | | | 3,327 | |
| | HSBC Holdings PLC | | | 224,802 | | shares | | | 1,853 | |
| | Idorsia Ltd. | | | 17,372 | | shares | | | 287 | |
| | ING Groep NV | | | 451,192 | | shares | | | 4,865 | |
| | Intesa Sanpaolo SpA | | | 1,100,390 | | shares | | | 2,446 | |
11
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | Japan Exchange Group Inc. | | | 84,300 | | shares | | | 1,368 | |
| | Koninklijke DSM NV | | | 25,034 | | shares | | | 2,049 | |
| | Linde PLC | | | 65,952 | | shares | | | 10,469 | |
| | London Stock Exchange Group PLC | | | 43,481 | | shares | | | 2,251 | |
| | Lonza Group AG | | | 9,044 | | shares | | | 2,343 | |
| | Medtronic PLC | | | 75,530 | | shares | | | 6,870 | |
| | MMC Norilsk Nickel PJSC | | | 111,471 | | shares | | | 2,091 | |
| | Nestle SA | | | 74,596 | | shares | | | 6,056 | |
| | Nippon Shinyaku Co Ltd. | | | 30,200 | | shares | | | 1,926 | |
| | Petroleo Brasileiro SA | | | 594,900 | | shares | | | 3,481 | |
| | RELX PLC | | | 8,239 | | shares | | | 170 | |
| | Rentokil Initial PLC | | | 438,075 | | shares | | | 1,883 | |
| | Safran SA | | | 11,690 | | shares | | | 1,412 | |
| | Schneider Electric SE | | | 9,788 | | shares | | | 670 | |
| | Sonova Holding AG | | | 7,480 | | shares | | | 1,222 | |
| | Symrise AG | | | 24,555 | | shares | | | 1,815 | |
| | Taiyo Nippon Sanso Corporation | | | 68,400 | | shares | | | 1,121 | |
| | Vinci SA | | | 27,424 | | shares | | | 2,263 | |
| | WABCO Holdings Inc. | | | 4,200 | | shares | | | 451 | |
| | Willis Towers Watson PLC | | | 17,805 | | shares | | | 2,704 | |
| | Wirecard AG | | | 52,010 | | shares | | | 7,914 | |
| | Wynn Macau Ltd. | | | 191,200 | | shares | | | 417 | |
| | Participating Certificate | | | | | | | | | |
| | Ryanair Holdings PLC | | | 208,036 | | shares | | | 2,562 | |
| | Preferred Stock | | | | | | | | | |
| | Henkel AG & Co KGaA | | | 22,307 | | shares | | | 2,438 | |
| | JPMorgan 100% U.S. Treasury Securities Money Market Fund | | | 1,790,751 | | shares | | | 1,791 | |
| | | | | | | | | | 156,209 | |
| | Emerging Markets Stock Fund — | | | | | | | | | |
| | Registered Investment Companies | | | | | | | | | |
| | DFA Emerging Markets Core Equity Portfolio Institutional Class | | | 5,054,639 | | shares | | | 97,302 | |
| | Common/Collective Trust Fund | | | | | | | | | |
| | T. Rowe Price Emerging Markets Equity Trust—Class B | | | 201,828 | | shares | | | 97,192 | |
| | | | | | | | | | 194,494 | |
| | Galliard Stable Value Fund — | | | | | | | | | |
| | Common/Collective Trust Funds | | | | | | | | | |
| | Wells Fargo Fixed Income Fund A | | | 8,600,193 | | shares | | | 228,346 | |
| | Wells Fargo Fixed Income Fund E | | | 3,369,464 | | shares | | | 82,856 | |
| | Wells Fargo Fixed Income Fund F | | | 21,062,108 | | shares | | | 301,633 | |
| | Wells Fargo Fixed Income Fund N | | | 6,717,195 | | shares | | | 81,579 | |
| | MetLife Insurance Company Separate Account | | | 854,724 | | shares | | | 101,342 | |
* | | Fidelity Institutional Money Market Government Portfolio | | | 80,983,499 | | shares | | | 80,984 | |
| | | | | | | | | | 876,740 | |
| | US Small Mid Cap Value Fund — | | | | | | | | | |
| | Registered Investment Companies | | | | | | | | | |
| | DFA US Targeted Value I | | | 8,695,915 | | shares | | | 172,440 | |
| | Common Stock | | | | | | | | | |
| | ABM Industries Inc. | | | 38,509 | | shares | | | 1,237 | |
| | ACCO Brands Corporation | | | 127,247 | | shares | | | 863 | |
| | AECOM | | | 40,241 | | shares | | | 1,066 | |
| | Aegion Corporation | | | 21,454 | | shares | | | 350 | |
| | AES Corporation | | | 75,511 | | shares | | | 1,092 | |
12
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | AGNC Investment Corporation | | | 80,103 | | shares | | | 1,405 | |
| | Air Lease Corporation | | | 63,831 | | shares | | | 1,928 | |
| | Alaska Air Group Inc. | | | 16,715 | | shares | | | 1,017 | |
| | Alleghany Corporation | | | 2,419 | | shares | | | 1,508 | |
| | Alliance Data Systems Corporation | | | 6,545 | | shares | | | 982 | |
| | Ally Financial Inc. | | | 20,781 | | shares | | | 471 | |
| | AMC Networks Inc. | | | 22,146 | | shares | | | 1,215 | |
| | Amdocs Ltd. | | | 22,651 | | shares | | | 1,327 | |
| | Apergy Corporation | | | 28,623 | | shares | | | 775 | |
| | Ares Capital Corporation | | | 38,499 | | shares | | | 600 | |
| | Ares Commercial Real Estate | | | 75,054 | | shares | | | 979 | |
| | Arrow Electronics Inc. | | | 35,822 | | shares | | | 2,470 | |
| | ASGN Inc. | | | 31,601 | | shares | | | 1,722 | |
| | Aspen Insurance Holdings Ltd. | | | 12,472 | | shares | | | 524 | |
| | Assurant Inc. | | | 5,295 | | shares | | | 474 | |
| | Assured Guaranty Ltd. | | | 59,537 | | shares | | | 2,279 | |
| | Avery Dennison Corporation | | | 9,764 | | shares | | | 877 | |
| | Avnet Inc. | | | 31,415 | | shares | | | 1,134 | |
| | AXIS Capital Holdings Ltd. | | | 20,792 | | shares | | | 1,074 | |
| | BankUnited Inc. | | | 33,445 | | shares | | | 1,001 | |
| | Belden Inc. | | | 35,599 | | shares | | | 1,487 | |
| | Berry Global Group Inc. | | | 13,606 | | shares | | | 647 | |
| | Blackstone Mortgage Trust Inc. | | | 31,726 | | shares | | | 1,011 | |
| | BMC Stock Holdings Inc. | | | 67,974 | | shares | | | 1,052 | |
| | Booz Allen Hamilton Holding Corporation | | | 15,051 | | shares | | | 678 | |
| | Boston Private Financial | | | 45,670 | | shares | | | 483 | |
| | Brooks Automation Inc. | | | 32,102 | | shares | | | 840 | |
| | Cadence Bancorp | | | 68,570 | | shares | | | 1,151 | |
| | Cambrex Corporation | | | 9,989 | | shares | | | 377 | |
| | Carlisle Companies Inc. | | | 5,211 | | shares | | | 524 | |
| | CDK Global Inc. | | | 35,363 | | shares | | | 1,693 | |
| | CDW Corporation | | | 27,597 | | shares | | | 2,237 | |
| | CenterState Banks Inc. | | | 29,856 | | shares | | | 628 | |
| | Chatham Lodging Trust | | | 40,270 | | shares | | | 712 | |
| | Chemed Corporation | | | 4,365 | | shares | | | 1,237 | |
| | Ciena Corporation | | | 63,043 | | shares | | | 2,138 | |
| | Cimarex Energy Co | | | 16,733 | | shares | | | 1,032 | |
| | Coherent Inc. | | | 7,449 | | shares | | | 787 | |
| | Colony Capital Inc. | | | 88,968 | | shares | | | 416 | |
| | Columbia Banking Systems Inc. | | | 11,397 | | shares | | | 414 | |
| | CommScope Holding Co Inc. | | | 24,888 | | shares | | | 408 | |
| | Cooper Tire & Rubber Co | | | 23,374 | | shares | | | 756 | |
| | Cousins Properties Inc. | | | 66,237 | | shares | | | 523 | |
| | Crown Holdings Inc. | | | 11,495 | | shares | | | 478 | |
| | Curtiss-Wright Corporation | | | 7,185 | | shares | | | 734 | |
| | Diamondback Energy Inc. | | | 19,774 | | shares | | | 1,833 | |
| | E*TRADE Financial Corporation | | | 29,885 | | shares | | | 1,311 | |
| | East West Bancorp Inc. | | | 34,135 | | shares | | | 1,486 | |
| | Energizer Holdings Inc. | | | 25,452 | | shares | | | 1,149 | |
| | Enerplus Corporation | | | 165,069 | | shares | | | 1,281 | |
| | EnerSys | | | 31,614 | | shares | | | 2,454 | |
| | Engility Holdings Inc. | | | 18,935 | | shares | | | 539 | |
13
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | Entercom Communications Corporation | | | 92,864 | | shares | | | 530 | |
| | Equitrans Midstream Corporation | | | 18,569 | | shares | | | 372 | |
| | Essent Group Ltd. | | | 53,087 | | shares | | | 1,815 | |
| | Everest Re Group Ltd. | | | 6,196 | | shares | | | 1,349 | |
| | EVERTEC Inc. | | | 24,806 | | shares | | | 712 | |
| | Extraction Oil & Gas Inc. | | | 71,072 | | shares | | | 305 | |
| | FCB Financial Holdings Inc.—Class A | | | 16,185 | | shares | | | 543 | |
| | Ferroglobe PLC | | | 67,391 | | shares | | | 107 | |
| | Fidelity National Financial Inc. | | | 13,644 | | shares | | | 429 | |
| | First Citizens Bancshares Inc.—Class A | | | 2,352 | | shares | | | 887 | |
| | First Hawaiian Inc. | | | 39,535 | | shares | | | 890 | |
| | First Merchants Corporation | | | 27,291 | | shares | | | 935 | |
| | First Midwest Bancorp Inc. | | | 33,327 | | shares | | | 660 | |
| | FirstCash Inc. | | | 15,681 | | shares | | | 1,135 | |
| | Flex Ltd. | | | 63,982 | | shares | | | 487 | |
| | Forum Energy Technologies Inc. | | | 74,956 | | shares | | | 310 | |
| | Fresh Del Monte Produce Inc. | | | 30,283 | | shares | | | 856 | |
| | FTI Consulting Inc. | | | 23,185 | | shares | | | 1,545 | |
| | Granite Construction Inc. | | | 14,793 | | shares | | | 596 | |
| | Graphic Packaging Holding Co | | | 291,514 | | shares | | | 3,102 | |
| | Group 1 Automotive Inc. | | | 10,947 | | shares | | | 577 | |
| | Hanmi Financial Corporation | | | 32,494 | | shares | | | 640 | |
| | Hanover Insurance Group Inc. | | | 9,292 | | shares | | | 1,085 | |
| | HD Supply Holdings Inc. | | | 18,842 | | shares | | | 707 | |
| | Huntington Bancshares Inc. | | | 54,951 | | shares | | | 655 | |
| | Huntington Ingalls Industries Inc. | | | 2,195 | | shares | | | 418 | |
| | Huron Consulting Group Inc. | | | 28,333 | | shares | | | 1,454 | |
| | ICON PLC | | | 12,498 | | shares | | | 1,615 | |
| | Insight Enterprises Inc. | | | 32,453 | | shares | | | 1,322 | |
| | Jagged Peak Energy Inc. | | | 44,252 | | shares | | | 404 | |
| | Jazz Pharmaceuticals PLC | | | 7,096 | | shares | | | 880 | |
| | Jefferies Financial Group Inc. | | | 71,108 | | shares | | | 1,234 | |
| | Jones Lang LaSalle Inc. | | | 8,105 | | shares | | | 1,026 | |
| | KAR Auction Services Inc. | | | 55,742 | | shares | | | 2,660 | |
| | Kosmos Energy Ltd. | | | 210,083 | | shares | | | 855 | |
| | La-Z-Boy Inc. | | | 38,286 | | shares | | | 1,061 | |
| | LCI Industries | | | 27,356 | | shares | | | 1,827 | |
| | Lions Gate Entertainment Corporation | | | 15,414 | | shares | | | 229 | |
| | Lithia Motors Inc. | | | 26,074 | | shares | | | 1,990 | |
| | LPL Financial Holdings Inc. | | | 11,456 | | shares | | | 700 | |
| | ManpowerGroup Inc. | | | 5,538 | | shares | | | 359 | |
| | Marvell Technology Group Ltd. | | | 77,773 | | shares | | | 1,259 | |
| | MAXIMUS Inc. | | | 6,034 | | shares | | | 393 | |
| | MFA Financial Inc. | | | 228,330 | | shares | | | 1,525 | |
| | Minerals Technologies Inc. | | | 27,405 | | shares | | | 1,407 | |
| | The Mosaic Company | | | 36,518 | | shares | | | 1,067 | |
| | National General Holdings Corporation | | | 100,431 | | shares | | | 2,431 | |
| | Navient Corporation | | | 210,558 | | shares | | | 1,855 | |
| | Navigant Consulting Inc. | | | 43,211 | | shares | | | 1,039 | |
| | NCR Corporation | | | 50,660 | | shares | | | 1,169 | |
| | Nelnet Inc. | | | 33,635 | | shares | | | 1,760 | |
| | Newfield Exploration Co | | | 58,870 | | shares | | | 863 | |
14
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | ON Semiconductor Corporation | | | 35,430 | | shares | | | 585 | |
| | Owens Corning | | | 22,885 | | shares | | | 1,006 | |
| | Owens-Illinois Inc. | | | 53,498 | | shares | | | 922 | |
| | Parsley Energy Inc. | | | 85,319 | | shares | | | 1,363 | |
| | Patterson Cos Inc. | | | 28,229 | | shares | | | 555 | |
| | Peapack-Gladstone Financial Co | | | 19,657 | | shares | | | 495 | |
| | Portland General Electric Co | | | 11,520 | | shares | | | 528 | |
| | PQ Group Holdings Inc. | | | 83,620 | | shares | | | 1,238 | |
| | PRA Group Inc. | | | 28,922 | | shares | | | 705 | |
| | Preferred Bank | | | 16,521 | | shares | | | 716 | |
| | ProAssurance Corporation | | | 26,032 | | shares | | | 1,056 | |
| | QEP Resources Inc. | | | 79,575 | | shares | | | 448 | |
| | Qorvo Inc. | | | 20,542 | | shares | | | 1,248 | |
| | Radian Group Inc. | | | 53,164 | | shares | | | 870 | |
| | Raymond James Financial Inc. | | | 10,688 | | shares | | | 795 | |
| | Realogy Holdings Corporation | | | 38,231 | | shares | | | 561 | |
| | Reinsurance Group of America | | | 11,114 | | shares | | | 1,558 | |
| | Retail Properties of America | | | 59,770 | | shares | | | 649 | |
| | Scholastic Corporation | | | 8,229 | | shares | | | 331 | |
| | Schweitzer-Mauduit Intl Inc. | | | 43,094 | | shares | | | 1,080 | |
| | Skechers USA Inc. Cl A | | | 76,105 | | shares | | | 1,742 | |
| | SL Green Realty Corporation | | | 7,798 | | shares | | | 617 | |
| | SLM Corporation | | | 312,755 | | shares | | | 2,599 | |
| | Standard Motor Products Inc. | | | 12,152 | | shares | | | 589 | |
| | Starwood Property Trust Inc. | | | 74,436 | | shares | | | 1,467 | |
| | Steven Madden Ltd. | | | 61,199 | | shares | | | 1,852 | |
| | Stifel Financial Corporation | | | 12,979 | | shares | | | 538 | |
| | SunCoke Energy Inc. | | | 192,718 | | shares | | | 1,648 | |
| | Superior Energy Services Inc. | | | 91,342 | | shares | | | 306 | |
| | SVB Financial Group | | | 2,603 | | shares | | | 494 | |
| | Sykes Enterprises Inc. | | | 22,791 | | shares | | | 564 | |
| | Syneos Health Inc. | | | 41,281 | | shares | | | 1,624 | |
| | SYNNEX Corporation | | | 28,036 | | shares | | | 2,266 | |
| | Synovus Financial Corporation | | | 15,337 | | shares | | | 491 | |
| | TEGNA Inc. | | | 25,466 | | shares | | | 277 | |
| | Teradyne Inc. | | | 23,219 | | shares | | | 729 | |
| | Tetra Tech Inc. | | | 18,298 | | shares | | | 947 | |
| | Timken Co | | | 27,287 | | shares | | | 1,018 | |
| | Trinseo SA | | | 25,583 | | shares | | | 1,171 | |
| | TTEC Holdings Inc. | | | 55,299 | | shares | | | 1,580 | |
| | Tutor Perini Corporation | | | 52,438 | | shares | | | 837 | |
| | Two Harbors Investment Corporation | | | 211,624 | | shares | | | 2,717 | |
| | Umpqua Holdings Corporation | | | 50,074 | | shares | | | 796 | |
| | Universal Corporation | | | 18,997 | | shares | | | 1,029 | |
| | Valvoline Inc. | | | 74,017 | | shares | | | 1,432 | |
| | Versum Materials Inc. | | | 28,443 | | shares | | | 788 | |
| | Walker & Dunlop Inc. | | | 60,687 | | shares | | | 2,625 | |
| | WESCO International Inc. | | | 37,987 | | shares | | | 1,823 | |
| | White Mountains Insurance Grp | | | 1,511 | | shares | | | 1,296 | |
| | World Fuel Services Corporation | | | 111,804 | | shares | | | 2,394 | |
15
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | Wyndham Destinations Inc. | | | 22,577 | | shares | | | 809 | |
| | Brown Brothers Harriman Short-Term Investment Fund | | | 1,244,765 | | shares | | | 1,245 | |
| | | | | | | | | | 344,356 | |
| | William Blair Small Mid Cap Growth Separate Account — | | | | | | | | | |
| | Depository Receipts | | | | | | | | | |
| | NICE Systems Ltd. | | | 27,530 | | shares | | | 2,979 | |
| | Common Stock | | | | | | | | | |
| | 2U, Inc. | | | 40,310 | | shares | | | 2,004 | |
| | Adtalem Global Education Inc. | | | 114,949 | | shares | | | 5,439 | |
| | Aspen Technology Inc. | | | 34,770 | | shares | | | 2,857 | |
| | Axalta Coating Systems Ltd.. | | | 85,320 | | shares | | | 1,998 | |
| | Ball Corporation | | | 136,550 | | shares | | | 6,279 | |
| | Booz Allen Hamilton Holding Corporation | | | 137,113 | | shares | | | 6,180 | |
| | BrightSphere Investment Group | | | 108,790 | | shares | | | 1,162 | |
| | Burlington Stores Inc. | | | 31,350 | | shares | | | 5,100 | |
| | BWX Technologies Inc. | | | 149,383 | | shares | | | 5,711 | |
| | Cable One, Inc. | | | 2,070 | | shares | | | 1,698 | |
| | Cambrex Corporation | | | 62,183 | | shares | | | 2,348 | |
| | Catalent Inc. | | | 104,710 | | shares | | | 3,265 | |
| | Cboe Global Markets Inc. | | | 63,569 | | shares | | | 6,219 | |
| | Celanese Corporation | | | 40,556 | | shares | | | 3,649 | |
| | Centennial Resource Development—Class A | | | 102,450 | | shares | | | 1,129 | |
| | Colliers International Group | | | 24,288 | | shares | | | 1,337 | |
| | Copart Inc. | | | 157,020 | | shares | | | 7,502 | |
| | CoStar Group Inc. | | | 20,117 | | shares | | | 6,786 | |
| | DexCom Inc. | | | 33,377 | | shares | | | 3,999 | |
| | Domino's Pizza Inc. | | | 15,670 | | shares | | | 3,886 | |
| | East West Bancorp Inc. | | | 32,030 | | shares | | | 1,394 | |
| | Encompass Health Corporation | | | 76,885 | | shares | | | 4,744 | |
| | Encore Capital Group Inc. | | | 74,076 | | shares | | | 1,741 | |
| | Euronet Worldwide Inc. | | | 58,580 | | shares | | | 5,997 | |
| | Exact Sciences Corporation | | | 60,459 | | shares | | | 3,815 | |
| | FirstCash Inc. | | | 48,850 | | shares | | | 3,534 | |
| | FirstService Corporation | | | 36,377 | | shares | | | 2,491 | |
| | Fortinet Inc. | | | 44,370 | | shares | | | 3,125 | |
| | Genesee & Wyoming Inc.—Class A | | | 37,610 | | shares | | | 2,784 | |
| | Glaukos Corporation | | | 63,764 | | shares | | | 3,582 | |
| | GoDaddy Inc.—Class A | | | 59,506 | | shares | | | 3,905 | |
| | Grand Canyon Education Inc. | | | 43,894 | | shares | | | 4,220 | |
| | Guidewire Software Inc. | | | 29,697 | | shares | | | 2,383 | |
| | Healthcare Services Group Inc. | | | 100,359 | | shares | | | 4,032 | |
| | HEICO Corporation—Class A | | | 67,088 | | shares | | | 4,226 | |
| | Hilton Grand Vacations Inc. | | | 77,618 | | shares | | | 2,048 | |
| | Horizon Pharma PLC | | | 169,061 | | shares | | | 3,303 | |
| | Inogen Inc. | | | 15,220 | | shares | | | 1,890 | |
| | Insulet Corporation | | | 53,380 | | shares | | | 4,234 | |
| | j2 Global Inc. | | | 33,741 | | shares | | | 2,341 | |
| | Jones Lang LaSalle Inc. | | | 19,673 | | shares | | | 2,491 | |
| | Lamb Weston Holdings Inc. | | | 29,290 | | shares | | | 2,155 | |
| | Ligand Pharmaceuticals Inc. | | | 24,691 | | shares | | | 3,350 | |
| | Live Nation Entertainment, Inc. | | | 109,220 | | shares | | | 5,379 | |
| | Martin Marietta Materials, Inc. | | | 29,390 | | shares | | | 5,051 | |
16
Table of Contents
Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | MaxLinear, Inc. | | | 62,600 | | shares | | | 1,102 | |
| | Middleby Corporation | | | 37,140 | | shares | | | 3,815 | |
| | National Instruments Corporation | | | 67,559 | | shares | | | 3,066 | |
| | Novanta Inc. | | | 26,060 | | shares | | | 1,642 | |
| | Nu Skin Enterprises Inc.—Class A | | | 30,941 | | shares | | | 1,898 | |
| | Parsley Energy Inc.—Class A | | | 92,660 | | shares | | | 1,481 | |
| | Penumbra Inc. | | | 20,080 | | shares | | | 2,454 | |
| | Portola Pharmaceuticals Inc. | | | 61,120 | | shares | | | 1,193 | |
| | Pure Storage Inc.—Class A | | | 233,282 | | shares | | | 3,751 | |
| | Ritchie Bros. Auctioneers | | | 86,590 | | shares | | | 2,833 | |
| | Rogers Corporation | | | 37,317 | | shares | | | 3,697 | |
| | Sabre Corporation | | | 137,390 | | shares | | | 2,973 | |
| | SiteOne Landscape Supply Inc. | | | 35,010 | | shares | | | 1,935 | |
| | Six Flags Entertainment Corporation | | | 65,169 | | shares | | | 3,625 | |
| | Teledyne Technologies Inc. | | | 22,473 | | shares | | | 4,653 | |
| | Teleflex Inc. | | | 19,390 | | shares | | | 5,012 | |
| | The Toro Company | | | 29,399 | | shares | | | 1,643 | |
| | TransUnion | | | 80,130 | | shares | | | 4,551 | |
| | Trex Company Inc. | | | 43,670 | | shares | | | 2,592 | |
| | Universal Electronics Inc. | | | 33,653 | | shares | | | 851 | |
| | Vail Resorts Inc. | | | 20,770 | | shares | | | 4,379 | |
| | Veeva Systems Inc.—Class A | | | 57,790 | | shares | | | 5,162 | |
| | Virtu Financial Inc.—Class A | | | 100,303 | | shares | | | 2,584 | |
| | Weight Watchers International Inc. | | | 43,690 | | shares | | | 1,684 | |
| | West Pharmaceutical Services, Inc. | | | 20,380 | | shares | | | 1,998 | |
| | WEX Inc. | | | 20,770 | | shares | | | 2,909 | |
| | William Blair Money Market Funds | | | 7,259,525 | | shares | | | 7,260 | |
| | | | | | | | | | 246,485 | |
| | Common/Collective Trust Funds: | | | | | | | | | |
| | Broad Market Bond I — | | | | | | | | | |
| | Wells Fargo Core Bond II CIT EF1 | | | 20,686,644 | | shares | | | 218,658 | |
| | Loomis Sayles Core Plus Fixed Income Fund D | | | 15,019,660 | | shares | | | 218,085 | |
* | | Fidelity Contrafund Commingled Pool—Class 3 | | | 91,930,754 | | shares | | | 1,442,394 | |
* | | Fidelity Growth Company Commingled Pool—Class 3 | | | 61,433,368 | | shares | | | 1,121,773 | |
* | | Fidelity Low-Priced Stock Commingled Pool—Class 2 | | | 37,941,336 | | shares | | | 485,270 | |
| | Vanguard Institutional 500 Index Trust | | | 16,342,874 | | shares | | | 1,617,945 | |
| | Vanguard Institutional Extended Market Index Trust | | | 3,552,116 | | shares | | | 335,213 | |
| | Vanguard Institutional Total Bond Market Index Trust | | | 3,728,293 | | shares | | | 372,643 | |
| | Vanguard Institutional Total International Stock Market Index Trust | | | 1,516,266 | | shares | | | 133,067 | |
| | Vanguard Target Retirement 2015 Trust Select | | | 2,168,386 | | shares | | | 72,988 | |
| | Vanguard Target Retirement 2020 Trust Select | | | 11,259,321 | | shares | | | 383,267 | |
| | Vanguard Target Retirement 2025 Trust Select | | | 13,664,341 | | shares | | | 467,867 | |
| | Vanguard Target Retirement 2030 Trust Select | | | 16,786,233 | | shares | | | 576,607 | |
| | Vanguard Target Retirement 2035 Trust Select | | | 14,162,745 | | shares | | | 488,190 | |
| | Vanguard Target Retirement 2040 Trust Select | | | 12,490,698 | | shares | | | 431,304 | |
| | Vanguard Target Retirement 2045 Trust Select | | | 7,507,996 | | shares | | | 259,401 | |
| | Vanguard Target Retirement 2050 Trust Select | | | 5,122,990 | | shares | | | 176,948 | |
| | Vanguard Target Retirement 2055 Trust Select | | | 3,054,307 | | shares | | | 105,435 | |
| | Vanguard Target Retirement 2060 Trust Select | | | 1,566,666 | | shares | | | 54,113 | |
| | Vanguard Target Retirement 2065 Trust Select | | | 202,119 | | shares | | | 4,196 | |
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Oracle Corporation
401(k) Savings and Investment Plan
EIN 54-2185193, Plan # 001
Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year)—(Continued)
December 31, 2018
(a) | | (b) Identity of Issue, Borrower, Lessor, or Similar Party | | (c) Description of Investment, Including Maturity Date, Rate of Interest, Collateral, Par, or Maturity Value | | (e) Current Value (in thousands) | |
| | Vanguard Target Retirement Income Trust Select | | | 2,884,746 | | shares | | | 95,831 | |
| | Total investments, substantially all at fair value** | | | | | | | $ | 14,230,135 | |
* | | Notes Receivable from Participants | | 4.25% - 11.50%, maturing through 2028 | | $ | 84,444 | |
* | Indicates a party-in-interest to the Plan. |
** | All investments were stated at fair value as of December 31, 2018 with the exception of one underlying investment of the Galliard Stable Value Fund, which is stated at contract value. |
Column (d), cost, has been omitted, as all investments are participant directed.
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INDEX TO EXHIBITS
19
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the persons who administer the employee benefit plan have duly caused this annual report to be signed on their behalf by the undersigned hereunto duly authorized.
| | ORACLE CORPORATION
401(k) SAVINGS AND INVESTMENT PLAN |
| | | | |
Date: May 17, 2019 | | By: | | /s/ Peter W. Shott |
| | | | Peter W. Shott |
| | | | Vice President of Human Resources |
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