1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 11-K
Annual Report Pursuant to Section 15(d) of the
Securities Exchange Act of 1934
For the Fiscal Year Ended December 30, 1993
Commission File Number 33-42485
A. Full title of the Plan and address of the Plan, if different from that of
the issuer named below:
COMERICA INCORPORATED PREFERRED SAVINGS PLAN
(FORMERLY KNOWN AS THE "COMERICA INCORPORATED CAPITAL ACCUMULATION PLAN")
B. Name of issuer of securities held pursuant to the Plan and address of its
principal executive office:
COMERICA INCORPORATED
Comerica Tower at
One Detroit Center
500 Woodward Avenue
Detroit, Michigan 48226
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2
INFORMATION FURNISHED WITH RESPECT TO THE PLAN
The following financial statements, notes to financial statements and consents
are included in this Report:
1. Financial statements for the Plan consisting of:
A. Report of Independent Auditors.
B. Statement of Assets, Liabilities and Participants' Equity as of
December 30, 1993 and as of December 30, 1992.
C. Statement of Changes in Participants' Equity for the years
ending December 30, 1993 and for the period ending December 30, 1992.
D. Notes to Financial Statements.
E. Consent of Independent Auditors.
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3
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
administrator of the Plan has duly caused this Annual Report to be signed by
the undersigned thereunto duly authorized.
Comerica Incorporated
Preferred Savings Plan
By: /s/ JOHN P. SHERIDAN
-----------------------
John P. Sheridan
Vice President
Comerica Incorporated
Dated: March 25, 1994
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INDEX
Name of Document
- ----------------
1. Comerica Incorporated Preferred Savings
Plan Financial Statements and Schedules for Years
Ending December 30, 1993 and for the Period Ending December 30, 1992
(Including Report of Independent Auditors).
2. Consent of Ernst and Young.
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5
Financial Statements and Schedules
Comerica Incorporated
Preferred Savings Plan
Year ended December 30, 1993 and
the period ended December 30, 1992
with Report of Independent Auditors
[ERNST & YOUNG LOGO]
6
Report of Independent Auditors
Employee Benefits Committee
Comerica Incorporated
We have audited the accompanying statement of assets, liabilities and
participants' equity of the Comerica Incorporated Preferred Savings Plan as of
December 30, 1993 and 1992 and the related statement of changes in
participants' equity for the year ended December 30, 1993 and the period ended
December 30, 1992. These financial statements are the responsibility of the
Plan's management. Our responsibility is to express an opinion on these
financial statements based on our audit.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence
supporting the amounts and disclosures in the financial statements. An audit
also includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audits provide a reasonable basis
for our opinion.
In our opinion, the financial statements referred to above present fairly, in
all material respects, the assets, liabilities and participants' equity of the
Plan at December 30, 1993 and 1992 and the changes in such participants' equity
for the year ended December 30, 1993 and the period ended December 30, 1992, in
conformity with generally accepted accounting principles.
March 8, 1994
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7
Comerica Incorporated Preferred Savings Plan
Statement of Assets, Liabilities and Participants' Equity
December 30, 1993
COMERICA CASH AND
INCORPORATED MONEY PARTICIPANT
STOCK GROWTH INDEX MARKET LOAN
FUND FUND FUND FUND FUND
----------------------------------------------------------------------------
ASSETS
Investments, at fair value:
Ambassador Money Market Fund $ 482,541 $ 165,759 $ 92,509 $10,094,004
Insurance contracts and Comerica
Guaranteed Investment Contract
Fund
Ambassador Intermediate Bond Fund
Ambassador Index Fund 10,719,999
Ambassador Core Growth Fund 35,557,855
Comerica Incorporated Common Stock 50,660,958
----------------------------------------------------------------------------
51,143,499 35,723,614 10,812,508 10,094,004
Cash and accrued income 1,832,708 101,106 806,924 256,285
Participants loans receivable $7,789,260
----------------------------------------------------------------------------
Total assets $52,976,207 $35,824,720 $11,619,432 $10,350,289 $7,789,260
----------------------------------------------------------------------------
----------------------------------------------------------------------------
LIABILITIES AND PARTICIPANTS' EQUITY
Liabilities:
Unsettled trades $ 1,569,418
Participants equity 51,406,789 $35,824,720 $11,619,432 $10,350,289 $7,789,260
----------------------------------------------------------------------------
Total liabilities and participants' equity $52,976,207 $35,824,720 $11,619,432 $10,350,289 $7,789,260
----------------------------------------------------------------------------
----------------------------------------------------------------------------
GUARANTEED
INTERMEDIATE INVESTMENT
TERMINATION BOND CONTRACT
FUND FUND FUND TOTAL
------------------------------------------------------------
ASSETS
Investments, at fair value:
Ambassador Money Market Fund $411,281 $ 60,320 $ 2,175,174 $ 13,481,588
Insurance contracts and Comerica
Guaranteed Investment Contract
Fund 35,103,654 35,103,654
Ambassador Intermediate Bond Fund 4,763,502 4,763,502
Ambassador Index Fund 10,719,999
Ambassador Core Growth Fund 35,557,855
Comerica Incorporated Common Stock 50,660,958
------------------------------------------------------------
411,281 4,823,822 37,278,828 150,287,556
Cash and accrued income 990 619,251 5,499,525 9,116,789
Participants loans receivable 7,789,260
------------------------------------------------------------
Total assets $412,271 $5,443,073 $42,778,353 $167,193,605
------------------------------------------------------------
------------------------------------------------------------
LIABILITIES AND PARTICIPANTS' EQUITY
Liabilities:
Unsettled trades $ 1,569,418
Participants equity $412,271 $5,443,073 $42,778,353 165,624,187
------------------------------------------------------------
Total liabilities and participants' equity $412,271 $5,443,073 $42,778,353 $167,193,605
------------------------------------------------------------
------------------------------------------------------------
See accompanying notes.
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8
Comerica Incorporated Preferred Savings Plan
Statement of Assets, Liabilities and Participants' Equity
December 30, 1992
COMERICA CASH AND
INCORPORATED MONEY
STOCK GROWTH INDEX MARKET
FUND FUND FUND FUND
-----------------------------------------------------------
ASSETS
Investments, at fair value: $ 34,167 $ 61,902 $ 62,213 $3,876,640
Ambassador Money Market Fund
Insurance contracts and Comerica
Guaranteed Investment Contract Fund
Ambassador Growth Stock Fund 10,638,962
Comerica Incorporated Stock Fund 21,511,337
Ambassador Index Fund 3,303,877
-----------------------------------------------------------
21,545,504 10,700,864 3,366,090 3,876,640
Cash and accrued income 113,871 171 104 11,117
Participants loans receivable
-----------------------------------------------------------
Total assets (equal to participants equity) $21,659,375 $10,701,035 $3,366,194 $3,887,757
-----------------------------------------------------------
-----------------------------------------------------------
GUARANTEED
PARTICIPANT INVESTMENT
LOAN CONTRACT
FUND FUND TOTAL
-------------------------------------------
ASSETS
Investments, at fair value:
Ambassador Money Market Fund $ 16,716 $ 78,473 $ 4,130,111
Insurance contracts and Comerica
Guaranteed Investment Contract Fund 29,689,390 29,689,390
Ambassador Growth Stock Fund 10,638,962
Comerica Incorporated Stock Fund 21,511,337
Ambassador Index Fund 3,303,877
-------------------------------------------
16,716 29,767,863 69,273,677
Cash and accrued income 59 477 125,799
Participants loans receivable 2,570,956 2,570,956
-------------------------------------------
Total assets (equal to participants equity) $2,587,731 $29,768,340 $71,970,432
-------------------------------------------
-------------------------------------------
See accompanying notes.
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Comerica Incorporated Preferred Savings Plan
Statement of Changes in Participants' Equity
Year ended December 30, 1993
COMERICA CASH AND
INCORPORATED MONEY PARTICIPANT
STOCK GROWTH INDEX MARKET LOAN
FUND FUND FUND FUND FUND
---------------------------------------------------------------------------
Additions:
Transfers from MNC SelectSave Plan
(Note 6) $27,940,762 $23,893,235 $ 2,438,179 $ 5,743,523 $4,353,303
Contributions (Note 4) 7,729,466 4,477,862 2,574,770 3,163,807
Interest and dividend income 4,089,471 2,189,364 1,140,499 487,132
---------------------------------------------------------------------------
39,759,699 30,560,461 6,153,448 9,394,462 $4,353,303
Deductions:
Participants' accounts distributed
upon withdrawal 3,747,955 2,751,764 967,601 977,404 366,473
---------------------------------------------------------------------------
36,011,744 27,808,697 5,185,847 8,417,058 3,986,830
Realized and unrealized gain (loss)
on investments (8,969,755) (948,123) 410,517
---------------------------------------------------------------------------
27,041,989 26,860,574 5,596,364 8,417,058 3,986,830
Net transfers between funds 2,705,425 (1,736,889) 2,656,874 (1,954,526) 1,214,699
---------------------------------------------------------------------------
Net increase 29,747,414 25,123,685 8,253,238 6,462,532 5,201,529
Participants' equity at beginning of year 21,659,375 10,701,035 3,366,194 3,887,757 2,587,731
---------------------------------------------------------------------------
Participants' equity at end of year $51,406,789 $35,824,720 $11,619,432 $10,350,289 $7,789,260
---------------------------------------------------------------------------
---------------------------------------------------------------------------
GUARANTEED
INTERMEDIATE INVESTMENT
TERMINATION BOND CONTRACT
FUND FUND FUND TOTAL
------------------------------------------------------------
Additions:
Transfers from MNC SelectSave Plan
(Note 6) $454,830 $2,204,876 $18,113,846 $ 85,142,554
Contributions (Note 4) 1,556,810 2,680,407 22,183,122
Interest and dividend income 44,187 295,162 3,832,071 12,077,886
------------------------------------------------------------
499,017 4,056,848 24,626,324 119,403,562
Deductions:
Participants' accounts distributed
upon withdrawal 109,124 1,040,781 6,298,204 16,259,306
------------------------------------------------------------
389,893 3,016,067 18,328,120 103,144,256
Realized and unrealized gain (loss)
on investments 16,860 (9,490,501)
------------------------------------------------------------
389,893 3,032,927 18,328,120 93,653,755
Net transfers between funds 22,378 2,410,146 (5,318,107)
------------------------------------------------------------
Net increase 412,271 5,443,073 13,010,013 93,653,755
Participants' equity at beginning of year 29,768,340 71,970,432
------------------------------------------------------------
Participants' equity at end of year $412,271 $5,443,073 $42,778,353 $165,624,187
------------------------------------------------------------
------------------------------------------------------------
See accompanying notes.
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10
Comerica Incorporated Preferred Savings Plan
Statement of Changes in Participants' Equity
Period ended December 30, 1992
COMERICA CASH AND
INCORPORATED MONEY
STOCK GROWTH INDEX MARKET
FUND FUND FUND FUND
----------------------------------------------------------
Additions:
Contributions (Note 4) $ 2,595,664 $ 1,646,293 $ 877,079 $ 921,474
Interest and dividend income 659,617 134,919 81,061 155,130
----------------------------------------------------------
3,255,281 1,781,212 958,140 1,076,604
Deductions:
Participants' accounts distributed upon
withdrawal 1,242,800 678,378 249,421 290,758
----------------------------------------------------------
2,012,481 1,102,834 708,719 785,846
Realized and unrealized gain on investments 3,860,115 915,638 174,141
----------------------------------------------------------
5,872,596 2,018,472 882,860 785,846
Net transfers between funds (82,415) (253,079) (95,680) (676,026)
----------------------------------------------------------
Net increase 5,790,181 1,765,393 787,180 109,820
Participants' equity at beginning of period 15,869,194 8,935,642 2,579,014 3,777,937
----------------------------------------------------------
Participants' equity at end of period $21,659,375 $10,701,035 $3,366,194 $3,887,757
----------------------------------------------------------
----------------------------------------------------------
GUARANTEED
PARTICIPANT INVESTMENT
LOAN CONTRACT
FUND FUND TOTAL
-------------------------------------------
Additions:
Contributions (Note 4) $ 3,720,665 $ 9,761,175
Interest and dividend income 2,429,903 3,460,630
-------------------------------------------
6,150,568 13,221,805
Deductions:
Participants' accounts distributed upon
withdrawal $ 212,919 2,715,685 5,389,961
-------------------------------------------
(212,919) 3,434,883 7,831,844
Realized and unrealized gain on investments 34,133 4,984,027
-------------------------------------------
(212,919) 3,469,016 12,815,871
Net transfers between funds 2,800,650 (1,693,450)
-------------------------------------------
Net increase 2,587,731 1,775,566 12,815,871
Participants' equity at beginning of period - 27,992,774 59,154,561
-------------------------------------------
Participants' equity at end of period $2,587,731 $29,768,340 $71,970,432
-------------------------------------------
-------------------------------------------
See accompanying notes
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Comerica Incorporated Preferred Savings Plan
Notes to Financial Statements
December 30, 1993
1. DESCRIPTION OF THE PLAN
The Plan is a voluntary, defined-contribution plan covering all eligible
employees of the Corporation and certain subsidiaries.
Information about the plan agreement, participants' investment alternatives and
the vesting and benefit provisions is contained in the pamphlet "Comerica
Incorporated Preferred Savings Plan." Copies of this pamphlet are available
from the Human Resources office.
Employees may make annual contributions to the Plan on a before-tax basis and
after-tax basis up to a maximum amount as specified in the Plan.
The Corporation contributes to employee accounts as stipulated in the Plan.
The Corporation has the right to amend or terminate the Plan at any time. In
the event the Plan is terminated, all participants' accounts become fully
vested and nonforfeitable.
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The fair value of the units of the various Ambassador Mutual Funds owned are
based on quoted market values on the last business day of the plan year.
The insurance contracts are valued at contract value as determined by insurance
companies. Contract value represents contributions made under the contract,
net transfers by participants from or to other funds within the Plan, plus
interest at the contract rate, less funds used to pay benefits.
The investment in the Corporation's common stock is valued at the last reported
sales price on the last business day of the plan year as traded on a national
securities exchange.
The realized gain or loss on sale of investments is the difference between the
proceeds received and the cost of the specific investments sold. Such amounts
are different than the related amounts reported on Form 5500 which are computed
as the difference between the proceeds received and the fair value at the
beginning of the year as prescribed by the Department of Labor regulations.
Expenses incurred in connection with the operation of the Plan are borne by
Comerica Incorporated.
The Plan changed its reporting period from December 31 to December 30 effective
December 30, 1992.
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12
Comerica Incorporated Preferred Savings Plan
Notes to Financial Statements (continued)
3. INVESTMENTS
The Plan's net appreciation (depreciation) in fair value of investments during
the year ended December 30, 1993 and the period ended December 30, 1992 is
summarized as follows:
DECEMBER 30
1993 1992
--------------------------
Comerica Guaranteed Investment Contract Fund $ 34,133
Intermediate Bond Fund $ 16,860
Ambassador Growth Stock Fund 915,638
Ambassador Core Growth Fund (948,123)
Comerica Incorporated Stock Fund (8,969,755) 3,860,115
Ambassador Index Fund 410,517 174,141
--------------------------
$(9,490,501) $4,984,027
--------------------------
--------------------------
The fair value of individual investments that represent 5% or more of the
Plan's net assets at the end of the respective years are as follows:
DECEMBER 30
1993 1992
----------------------------
Ambassador Money Market Fund $13,481,588 $ 4,130,111
Pan American Life Insurance Company
Guaranteed Investment Contracts 7,222,642
New York Life Insurance Group Annuity
Contract
Metropolitan Life Insurance Company
Guaranteed Investment Contracts 5,493,222
Ambassador Growth Stock Fund 35,557,855 10,638,962
Comerica Incorporated Common Stock 50,660,958 21,511,337
Comerica Guaranteed Investment Contract Fund 14,677,607 6,288,677
Ambassador Index Fund 10,719,999
7
13
Comerica Incorporated Preferred Savings Plan
Notes to Financial Statements (continued)
4. TRANSACTIONS WITH PARTIES-IN-INTEREST
The following is a summary of transactions (at cost) with parties-in-interest:
COMERICA
AMBASSADOR AMBASSADOR INCORPORATED GUARANTEED AMBASSADOR AMBASSADOR
MONEY CORE COMMON INVESTMENT AMBASSADOR INTERMEDIATE GROWTH
MARKET GROWTH STOCK CONTRACT INDEX BOND STOCK
FUND FUND FUND FUND FUND FUND FUND
- ------------------------------------------------------------------------------------------------------------------------------------
Balance at
January 1, 1992 $ 3,656,164 $ 9,110,488 $ 217,417 $2,026,612 $7,019,046
Purchases in 1992 18,618,880 3,610,898 6,037,127 955,241 2,100,537
Sales in 1992 (18,144,933) (660,427) (70,785) (281,618)
Distributions in 1992 (245,032)
- ------------------------------------------------------------------------------------------------------------------------------------
BALANCE AT
DECEMBER 31, 1992 $ 4,130,111 $11,815,927 $ 6,254,544 $2,911,068 $8,837,965
------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
COMERICA
AMBASSADOR AMBASSADOR INCORPORATED GUARANTEED AMBASSADOR AMBASSADOR
MONEY CORE COMMON INVESTMENT AMBASSADOR INTERMEDIATE GROWTH
MARKET GROWTH STOCK CONTRACT INDEX BOND STOCK
FUND FUND FUND FUND FUND FUND FUND
------------------------------------------------------------------------------------------------------------
Balance at
December 31, 1992 $ 4,130,111 $ - $11,815,927 $ 6,254,544 $2,911,068 $ - $8,837,965
Transfer from MNC
SelectSave Plan 3,445,722 19,357,414 6,644,219 828,726
Purchases in 1993 92,030,845 40,129,165 14,291,925 4,763,797 7,391,515 5,436,602
Sales in 1993 82,679,368 7,321,154 2,655,903 2,984,953 1,157,525 684,085 $8,837,965
Distributions in 1993 1,131,951 -
- ------------------------------------------------------------------------------------------------------------------------------------
BALANCE AT
DECEMBER 30, 1993 $13,481,588 $36,253,733 $41,677,412 $14,677,607 $9,973,784 $4,752,517 -
------------------------------------------------------------------------------------------------------------
------------------------------------------------------------------------------------------------------------
Income, including unrealized appreciation on these investments aggregated
$1,833,517 in 1993. Gains realized from the sale of Fund units were $753,848 in
1993.
Contributions to the plan by Comerica Incorporated approximated $4,117,000 and
$1,470,000 in 1993 and 1992, respectively.
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14
Comerica Incorporated Preferred Savings Plan
Notes to Financial Statements (continued)
5. TAX STATUS
The Internal Revenue Service has ruled that the Plan qualifies under Section
401(a) of the Internal Revenue Code (IRC) and the related trust is, therefore,
not subject to tax under present tax laws. Once qualified, the Plan is
required to operate in conformity with the IRC in order to maintain its
qualification. The Plan Sponsor is not aware of any course of action or series
of events that would adversely affect the Plan's qualified status.
6. MERGERS
On June 18, 1992 Comerica Incorporated (Corporation) merged with Manufacturers
National Corporation. As of that date, the Corporation assumed sponsorship of
the Manufacturers National Corporation SelectSave Plan. Effective December 31,
1992 the Manufacturers National Corporation SelectSave Plan was merged into the
Plan which was renamed the Comerica Incorporated Preferred Savings Plan. Total
assets of the merged plan at December 31, 1992 approximately $157,113,000.
9
15
LOGO OF ERNST & YOUNG
Consent of Independent Auditors
We consent to the incorporation by reference in the Registration Statements
listed below, of our reports on the consolidated financial statements of
Comerica Incorporated and subsidiaries dated January 18, 1994, financial
statements of Comerica Incorporated Preferred Savings Plan dated March 8, 1994
and financial statements of John V. Carr & Son, Inc. Employees' Profit-Sharing
Trust dated March 8, 1994, all included in the Annual Report on Form 10-K of
Comerica Incorporated for the year ended December 31, 1993:
Registration Statement No. 33-42485 on Form S-8 dated August 29, 1991
Registration Statement No. 33-45500 on Form S-8 dated February 11, 1992
Registration Statement No. 33-49964 on Form S-8 dated July 23, 1992
Resistration Statement No. 33-49966 on Form S-8 dated July 23, 1992
Registration Statement No. 33-53220 on Form S-8 dated October 13, 1992
Registration Statement No. 33-53222 on Form S-8 dated October 13, 1992
ERNST & YOUNG
Detroit, Michigan
March 28, 1994