1
EXHIBIT 99.01
FORM 11-K
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
ANNUAL REPORT
PURSUANT TO SECTION 15(D) OF THE SECURITIES EXCHANGE ACT OF 1934
FOR FISCAL YEAR ENDED OCTOBER 31, 1997
COMMISSION FILE NUMBER 1-4171
KELLOGG COMPANY
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
(Full Title of the Plan)
---------------
KELLOGG COMPANY
(Name of Issuer)
ONE KELLOGG SQUARE
BATTLE CREEK, MICHIGAN 49016-3599
(Principal Executive Office)
2
KELLOGG COMPANY
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
FINANCIAL STATEMENTS
AND ADDITIONAL INFORMATION
OCTOBER 31, 1997
3
KELLOGG COMPANY
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
INDEX TO FINANCIAL STATEMENTS AND ADDITIONAL INFORMATION
PAGE
REPORT OF INDEPENDENT ACCOUNTANTS 1
FINANCIAL STATEMENTS AS OF OCTOBER 31, 1997 AND 1996 AND FOR THE YEARS THEN
ENDED:
Statement of net assets available for benefits, with fund information 2-3
Statement of changes in net assets available for benefits, with
fund information 4-5
Notes to financial statements 6-10
ADDITIONAL INFORMATION:
Item 27a - Schedule of assets held for investment
purposes - October 31, 1997 11
Item 27b - Schedule of loans or fixed income obligations -
October 31, 1997 12-20
Item 27d - Schedule of reportable transactions -
year ended October 31, 1997 21
4
REPORT OF INDEPENDENT ACCOUNTANTS
To the Trustees and Participants of the
Kellogg Company American Federation
of Grain Millers Savings and Investment Plan
In our opinion, the accompanying statements of net assets available for benefits
and the related statements of changes in net assets available for benefits
present fairly, in all material respects, the net assets available for benefits
of the Kellogg Company American Federation of Grain Millers Savings and
Investment Plan at October 31, 1997 and 1996, and the changes in net assets
available for benefits for the years then ended, in conformity with generally
accepted accounting principles. These financial statements are the
responsibility of the plan's management; our responsibility is to express an
opinion on these financial statements based on our audits. We conducted our
audits of these statements in accordance with generally accepted auditing
standards which require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements, assessing the
accounting principles used and significant estimates made by management, and
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for the opinion expressed above.
Our audits were made for the purpose of forming an opinion on the basic
financial statements taken as a whole. The additional information included on
pages 11-21 is presented for purposes of additional analysis and is not a
required part of the basic financial statements but is additional information
required by ERISA. The fund information in the statements of net assets
available for benefits and the statement of changes in net assets available for
benefits is presented for purposes of additional analysis rather than to present
the net assets available for benefits and changes in net assets available for
benefits of each fund. The additional information and the 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.
PRICE WATERHOUSE LLP
Battle Creek, Michigan
March 16, 1998
5
KELLOGG COMPANY 2
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
OCTOBER 31, 1997
LOAN BOND
TOTAL FUND FUND
ASSETS:
Receivables:
Employer contributions $ 568,423 $ - $ 7,793
Employee contributions 280,805
Interest 9,043
----------------- ---------------- ----------------
Total receivables 858,271 7,793
----------------- ---------------- ----------------
Investments:
Plan's interest in Master Trust 208,537,576 5,838,178
Guaranteed investment contracts 411,867,794
Loans to participants 9,349,277 9,349,277
TBC Pooled Funds Daily Liquidity 6,205
----------------- ---------------- ----------------
Total investments 629,760,852 9,349,277 5,838,178
----------------- ---------------- ----------------
Total assets 630,619,123 9,349,277 5,845,971
----------------- ---------------- ----------------
LIABILITIES:
Benefits payable 2,424,218
Investment services fees payable 77,265 2,416
----------------- ---------------- ----------------
Total liabilities 2,501,483 2,416
----------------- ---------------- ----------------
Net assets available for benefits $ 628,117,640 $ 9,349,277 $ 5,843,555
================= ================ ================
FIXED COMPANY
INCOME EQUITY STOCK
FUND FUND FUND
ASSETS:
Receivables:
Employer contributions $ 238,347 $ 157,680 $ 164,603
Employee contributions 280,805
Interest 9,043
----------------- ----------------- ----------------
Total receivables 528,195 157,680 164,603
----------------- ----------------- ----------------
Investments:
Plan's interest in Master Trust 7,455,690 117,661,788 77,581,920
Guaranteed investment contracts 411,867,794
Loans to participants
TBC Pooled Funds Daily Liquidity 6,205
----------------- ----------------- ----------------
Total investments 419,329,689 117,661,788 77,581,920
----------------- ----------------- ----------------
Total assets 419,857,884 117,819,468 77,746,523
----------------- ----------------- ----------------
LIABILITIES:
Benefits payable 2,424,218
Investment services fees payable 38,947 33,572 2,330
----------------- ----------------- ----------------
Total liabilities 2,463,165 33,572 2,330
----------------- ----------------- ----------------
Net assets available for benefits $ 417,394,719 $ 117,785,896 $ 77,744,193
================= ================= ================
See accompanying notes to financial statements
6
KELLOGG COMPANY 3
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
STATEMENT OF NET ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
OCTOBER 31, 1996
LOAN BOND
TOTAL FUND FUND
ASSETS:
Receivables:
Employer contributions $ 553,041 $ - $ 7,926
Employee contributions 14,639
Interest 53,867
----------------- ---------------- ----------------
Total receivables 621,547 7,926
----------------- ---------------- ----------------
Investments:
Plan's interest in Master Trust 138,574,423 6,564,519
Interfund borrowings
Guaranteed investment contracts 472,790,551
Loans to participants 10,692,528 10,692,528
TBC Pooled Funds Daily Liquidity 7,304,194
----------------- ---------------- ----------------
Total investments 629,361,696 10,692,528 6,564,519
----------------- ---------------- ----------------
Net assets available for benefits $ 629,983,243 $ 10,692,528 $ 6,572,445
================= ================ ================
FIXED COMPANY
INCOME EQUITY STOCK
FUND FUND FUND
ASSETS:
Receivables:
Employer contributions $ 288,952 $ 88,533 $ 167,630
Employee contributions 14,639
Interest 53,867
----------------- ----------------- ----------------
Total receivables 357,458 88,533 167,630
----------------- ----------------- ----------------
Investments:
Plan's interest in Master Trust 65,003,279 67,006,625
Interfund borrowings 1,108,530 (1,108,530)
Guaranteed investment contracts 472,790,551
Loans to participants
TBC Pooled Funds Daily Liquidity 7,304,194
----------------- ----------------- ----------------
Total investments 481,203,275 63,894,749 67,006,625
----------------- ----------------- ----------------
Net assets available for benefits $ 481,560,733 $ 63,983,282 $ 67,174,255
================= ================= ================
See accompanying notes to financial statements
7
KELLOGG COMPANY 4
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
FOR THE YEAR ENDED OCTOBER 31, 1997
LOAN BOND
TOTAL FUND FUND
Contributions:
Employer $ 5,934,691 $ - $ 80,574
Employee 15,034,466 223,406
Loans repaid (4,416,624) 83,676
Rollover from other qualified plans 165,297 2,726
----------------- ---------------- ----------------
Total contributions 21,134,454 (4,416,624) 390,382
----------------- ---------------- ----------------
Earnings on Investments:
Plan's interest in income of Master Trust 43,932,668 491,218
Interest income 30,154,510 860,847
Investment services fees (31,204)
Trustee fees (47,299) (446)
----------------- ---------------- ----------------
Total earnings on investments, net 74,008,675 860,847 490,772
----------------- ---------------- ----------------
Net transfers between funds (522,539)
Participant withdrawals (96,850,090) (620,010) (1,020,635)
New loan distributions 2,853,202 (58,340)
Net transfers between Plans (158,642) (20,666) (8,530)
----------------- ---------------- -----------------
Net increase (decrease) (1,865,603) (1,343,251) (728,890)
Net assets available for benefits at
beginning of year 629,983,243 10,692,528 6,572,445
----------------- ---------------- ----------------
Net assets available for benefits at
end of year $ 628,117,640 $ 9,349,277 $ 5,843,555
================= ================ ================
FIXED COMPANY
INCOME EQUITY STOCK
FUND FUND FUND
Contributions:
Employer $ 2,921,957 $ 1,385,918 $ 1,546,242
Employee 8,100,357 4,300,164 2,410,539
Loans repaid 2,464,755 1,063,095 805,098
Rollover from other qualified plans 57,255 44,402 60,914
----------------- ----------------- ----------------
Total contributions 13,544,324 6,793,579 4,822,793
----------------- ----------------- ----------------
Earnings on Investments:
Plan's interest in income of Master Trust 402,596 22,385,085 20,653,769
Interest income 29,293,663
Investment services fees (31,204)
Trustee fees (35,291) (6,307) (5,255)
------------------ ------------------ ----------------
Total earnings on investments, net 29,629,764 22,378,778 20,648,514
----------------- ----------------- ----------------
Net transfers between funds (25,462,667) 33,614,370 (7,629,164)
Participant withdrawals (80,343,553) (8,393,711) (6,472,181)
New loan distributions (1,612,586) (659,620) (522,656)
Net transfers between Plans 78,704 69,218 (277,368)
----------------- ----------------- ----------------
Net increase (decrease) (64,166,014) 53,802,614 10,569,938
Net assets available for benefits at
beginning of year 481,560,733 63,983,282 67,174,255
----------------- ----------------- ----------------
Net assets available for benefits at
end of year $ 417,394,719 $ 117,785,896 $ 77,744,193
================= ================= ================
See accompanying notes to financial statements
8
5
KELLOGG COMPANY
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS, WITH FUND INFORMATION
FOR THE YEAR ENDED OCTOBER 31, 1996
LOAN BOND
TOTAL FUND FUND
Contributions:
Employer $ 6,643,589 $ - $ 100,981
Employee 16,411,046 275,076
Loans repaid (5,577,494) 109,771
Rollover from other qualified plans 38,482
----------------- ---------------- ----------------
Total contributions 23,093,117 (5,577,494) 485,828
----------------- ---------------- ----------------
Earnings on Investments:
Plan's interest in income of Master Trust 2,965,475 270,576
Interest income 36,025,322 1,086,360
Investment services fees (70,588) (555)
Trustee fees (15,492)
----------------- ---------------- ----------------
Total earnings on investments, net 38,904,717 1,086,360 270,021
----------------- ---------------- ----------------
Net transfers between funds 1,862,524
Participant withdrawals (112,865,444) (2,653,632) (843,331)
New loan distributions 3,206,091 (85,447)
Net transfers between Plans (2,130)
----------------- ---------------- ----------------
Net increase (decrease) (50,869,740) (3,938,675) 1,689,595
Net assets available for benefits at
beginning of year 680,852,983 14,631,203 4,882,850
----------------- ---------------- ----------------
Net assets available for benefits at
end of year $ 629,983,243 $ 10,692,528 $ 6,572,445
================= ================ ================
FIXED COMPANY
INCOME EQUITY STOCK
FUND FUND FUND
Contributions:
Employer $ 3,723,157 $ 787,452 $ 2,031,999
Employee 10,182,593 2,440,596 3,512,781
Loans repaid 3,376,738 858,091 1,232,894
Rollover from other qualified plans 37,680 802
----------------- ----------------- ----------------
Total contributions 17,320,168 4,086,139 6,778,476
----------------- ----------------- ----------------
Earnings on Investments:
Plan's interest in income of Master Trust (1,587) 10,087,708 (7,391,222)
Interest income 34,938,962
Investment services fees (56,763) (3,558) (9,712)
Trustee fees (15,492)
----------------- ----------------- -----------------
Total earnings on investments, net 34,865,120 10,084,150 (7,400,934)
----------------- ----------------- ----------------
Net transfers between funds (15,714,715) 26,992,837 (13,140,646)
Participant withdrawals (94,475,192) (7,387,039) (7,506,250)
New loan distributions (1,946,254) (439,240) (735,150)
Net transfers between Plans (358) (1,178) (594)
----------------- ------------------ ----------------
Net increase (decrease) (59,951,231) 33,335,669 (22,005,098)
Net assets available for benefits at
beginning of year 541,511,964 30,647,613 89,179,353
----------------- ----------------- ----------------
Net assets available for benefits at
end of year $ 481,560,733 $ 63,983,282 $ 67,174,255
================= ================= ================
See accompanying notes to financial statements
9
KELLOGG COMPANY 6
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
BASIS OF ACCOUNTING
The Kellogg Company American Federation of Grain Millers Savings and
Investment Plan ("the Plan") operates as a qualified defined contribution
plan and was established under Section 401(k) of the Internal Revenue Code.
The accounts of the Plan are maintained on the accrual basis. Expenses of
administration are paid by Kellogg Company.
INVESTMENTS
All investments are reported at current quoted market values except for
guaranteed insurance contracts, which are reported at contract value and
represent contributions made plus interest at the contract rate. The
following investments exceeded five percent of the net assets available for
benefits at October 31, 1997 or 1996:
INTEREST OCTOBER 31,
DESCRIPTION RATE 1997 1996
Brundage, Story & Rose Managed
Synthetic GIC Fund Variable $ 54,084,310 $ 51,000,246
Putnam Horizon Managed Synthetic
GIC Fund Variable 57,916,613 54,897,596
Allstate Life Ins. GAC #5686A 8.13% 50,073,567 46,308,672
John Hancock GAC #5919-10001 8.82% 28,378,237 71,360,224
John Hancock GAC #7605 7.87% 50,456,501 46,775,286
Metropolitan Life GIC 6.27% 37,049,089 34,863,169
New York Life GAC #3032100 6.72% 43,440,242 40,704,874
Plan's Interest in Master Trust Variable 208,537,576 138,574,423
ALLOCATION OF NET INVESTMENT INCOME TO PARTICIPANTS
Net investment income related to the respective investment options is
allocated monthly to participant accounts in proportion to their respective
ownership at the beginning of the month.
USE OF ESTIMATES IN THE PREPARATION OF FINANCIAL STATEMENTS
The preparation of financial statements in conformity with generally
accepted accounting principles requires the Plan's management to make
estimates and assumptions that affect the reported amounts of net assets
available for benefits at the date of the financial statements and changes
in net assets available for benefits during the reporting period. Actual
results could differ from those estimates.
10
KELLOGG COMPANY 7
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
2. PROVISIONS OF THE PLAN
PLAN ADMINISTRATION
The Plan is administered by trustees appointed by Kellogg and employees
represented by the American Federation of Grain Millers.
PLAN PARTICIPATION
Generally, all Kellogg Company hourly employees belonging to American
Federation of Grain Millers Union Local Nos. 3, 50, 211, 252, 374 and 401
are eligible to participate in the Plan.
Subject to limitations prescribed by the Internal Revenue Service,
participants may elect to contribute from 1 percent to 16 percent of their
annual wages. Employee contributions not exceeding 5 percent of wages are
matched by Kellogg Company at an 80 percent rate, with 12.5 percent of the
Company match restricted for investment in the Kellogg Company stock fund.
Employees may contribute to the Plan from their date of hire; however, the
monthly contributions are not matched by the Company until the participant
has completed one year of service.
Participants of the Plan may elect to invest the contributions to their
accounts as well as their account balances in an equity, bond, fixed income
or Kellogg Company stock fund or a combination thereof in multiples of one
percent.
VESTING
Participant account balances are fully vested.
PARTICIPANT LOANS
Participants may borrow from their fund accounts a minimum of $1,000 up to
a maximum equal to the lesser of $50,000 or 50% of their account balance.
Loan transactions are treated as transfers between the Loan fund and the
other funds. Loan terms range from 12 to 60 months. Interest is paid at a
constant rate equal to one percent over the prime rate in the month the
loan begins. Principal and interest are paid ratably through monthly
payroll deductions. Loans that are considered to be uncollectible at year
end result in the outstanding principal being considered a hardship
withdrawal from the participant's plan account.
PARTICIPANT DISTRIBUTIONS
Participants may elect to withdraw all or a portion of their contributions
made after October 31, 1978, plus related net investment income. The
withdrawal of any participant contributions which were not previously
subject to income tax is restricted by Internal Revenue Service
regulations. Under certain circumstances and subject to approval by the
Trustees, participants may request withdrawal of a portion of Company
contributions and their own contributions made prior to November 1, 1978,
including net investment income thereon.
11
KELLOGG COMPANY 8
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
2. PROVISIONS OF THE PLAN (CONTINUED)
Participants who terminate employment before retirement, by reasons other
than death or disability, may remain in the Plan or receive payment of
their account balances in a lump sum. If the account balance is less than
$3,500 the terminated participant will receive the account balance in a
lump sum.
Participants are eligible to retire from the Company at age 62, upon
reaching 55 with 20 years of service, or after 30 years of service. Upon
retirement, disability, or death, a participant's account balance may be
received in a lump sum or installment payments.
3. INCOME TAX STATUS
The Plan administrator has received a favorable letter from the Internal
Revenue Service regarding the Plan's qualification under applicable income
tax regulations as an entity exempt from federal income taxes.
4. MASTER TRUST
Assets of the Plan have been combined for investment purposes with assets
of the Kellogg Company Salaried Savings and Investment Plan and Kellogg
Company sponsored pension plans in a Master Trust.
The Plan has an undivided interest in the net assets held in the Master
Trust in which interests are determined on the basis of cumulative funds
specifically contributed on behalf of the Plan adjusted for an allocation
of income. Such income allocation is based on the Plan's funds available
for investment during the year.
Master Trust net assets at October 31, 1997 and 1996 and the changes in net
assets for the periods then ended are as follows:
12
KELLOGG COMPANY 9
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLANS
NOTES TO FINANCIAL STATEMENTS
4. MASTER TRUST (CONTINUED)
KELLOGG COMPANY MASTER TRUST
SCHEDULE OF ASSETS AND LIABILITIES FOR MASTER TRUST INVESTMENT ACCOUNTS
PENSION PLANS SAVINGS & INVESTMENT PLANS
10/31/96 10/31/97 10/31/96 10/31/97
------------------------------- -------------------------------
CASH/EQUIVALENTS:
Non-Interest Bearing $ 1,316 $ (535,778) $ 431 $ (32,619)
Interest Bearing Cash $ 2,771,776 $ 2,683,385 $ 0 $ 0
------------------------------ -------------------------------
TOTAL CASH/EQUIVALENTS $ 2,773,092 $ 2,147,607 $ 431 $ (32,619)
------------------------------ -------------------------------
RECEIVABLES $ 60,900,475 $ 100,949,571 $ 274,793 $ 11,609,621
------------------------------ -------------------------------
GENERAL INVESTMENTS:
Long Term U.S. Gov't Securities $ 50,267,438 $ 26,106,325 $ 7,389,825 $ 18,251,094
Short Term U.S. Gov't Securities $ 0 $ 0 $ 402,416 $ 133,414
Long Term U.S. Municipal Securities $ 0 $ 0 $ 0 $ 0
Corporate Debt - Long Term $ 14,301,477 $ 39,280,506 $ 7,648,217 $ 7,542,524
Corporate Debt - Short Term $ 0 $ 3,142,545 $ 25,139 $ 100,380
Corporate Stocks - Preferred $ 1,838,037 $ 1,697,910 $ 0 $ 0
Corporate Stocks - Convertible $ 5,419,318 $ 0 $ 0 $ 0
Corporate Stocks - Common $ 477,113,443 $ 568,799,792 $ 252,507,733 $ 380,020,756
Real Estate Pooled Funds $ 17,810,044 $ 0 $ 0 $ 0
Value of Interest in Pooled Funds $ 8,948,629 $ 94,003,448 $ 333,995 $ 14,663,025
Guaranteed Investment Contracts $ 68,035,400 $ 41,790,582 $ 0 $ 0
------------------------------ -------------------------------
TOTAL INVESTMENTS $ 643,733,786 $ 774,821,108 $ 268,307,325 $ 420,711,193
------------------------------ -------------------------------
TOTAL ASSETS $ 707,407,353 $ 877,918,286 $ 268,582,549 $ 432,288,195
------------------------------ -------------------------------
PAYABLES
Unsettled Trades $ (62,117,871) $( 103,169,276) $ 0 $ (14,289,335)
Investment Services Fees $ 0 $ (495,436) $ 0 $ (96,265)
------------------------------ -------------------------------
TOTAL LIABILITIES $ (62,117,871) $ (103,664,712) $ 0 $ (14,385,600)
------------------------------ -------------------------------
NET ASSETS $ 645,289,482 $ 774,253,574 $ 268,582,549 $ 417,902,595
============================== ===============================
Percentage Interest held by the Plan 0.0% 0.0% 51.6% 49.9%
TOTAL
10/31/96 10/31/97
---------------------------------
CASH/EQUIVALENTS:
Non-Interest Bearing $ 1,747 $ (568,397)
Interest Bearing Cash $ 2,771,776 $ 2,683,385
--------------------------------
TOTAL CASH/EQUIVALENTS $ 2,773,523 $ 2,114,988
--------------------------------
RECEIVABLES $ 61,175,268 $ 112,559,192
--------------------------------
GENERAL INVESTMENTS:
Long Term U.S. Gov't Securities $ 57,657,263 $ 44,357,419
Short Term U.S. Gov't Securities $ 402,416 $ 133,414
Long Term U.S. Municipal Securities $ 0 $ 0
Corporate Debt - Long Term $ 21,949,694 $ 46,823,030
Corporate Debt - Short Term $ 25,139 $ 3,242,925
Corporate Stocks - Preferred $ 1,838,037 $ 1,697,910
Corporate Stocks - Convertible $ 5,419,318 $ 0
Corporate Stocks - Common $ 729,621,176 $ 948,820,548
Real Estate Pooled Funds $ 17,810,044 $ 0
Value of Interest in Pooled Funds $ 9,282,624 $ 108,666,473
Guaranteed Investment Contracts $ 68,035,400 $ 41,790,582
--------------------------------
TOTAL INVESTMENTS $ 912,041,111 $1,195,532,301
--------------------------------
TOTAL ASSETS $ 975,989,902 $1,310,206,481
--------------------------------
PAYABLES
Unsettled Trades $ (62,117,871) $ (117,458,611)
Investment Services Fees $ 0 $ (591,701)
--------------------------------
TOTAL LIABILITIES $ (62,117,871) $ (118,050,312)
--------------------------------
NET ASSETS $ 913,872,031 $1,192,156,169
================================
Percentage Interest held by the Plan 15.2% 17.5%
13
KELLOGG COMPANY 10
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
NOTES TO FINANCIAL STATEMENTS
4. MASTER TRUST (CONTINUED)
KELLOGG COMPANY MASTER TRUST
SCHEDULE OF INCOME AND EXPENSES, CHANGES IN NET ASSETS
AND NET INCREASE (DECREASE) IN NET ASSETS OF MASTER TRUST INVESTMENT ACCOUNTS
PENSION PLANS SAVINGS & INVESTMENT PLANS
10/31/96 10/31/97 10/31/96 10/31/97
------------------------------------- --------------------------------------
Transfer of Assets Into
Investment Account $ 60,000,541 $ 187,169,786 $ 471,493,020 $ 441,501,150
Earnings on Investments
Interest $ 7,804,578 $ 10,683,275 $ 1,153,223 $ 1,679,043
Dividends $ 2,789,517 $ 4,790,038 $ 2,829,397 $ 2,409,770
Corporate Actions $ 1,597,268 $ 86,594 $ 0 $ 0
Pooled Fund Distributions $ 4,177,043 $ 2,662,638 $ 0 $ 0
Miscellaneous $ 125 $ 2,762 $ 0 $ 0
Net Realized Gain/(Loss) $ 26,178,076 $ 84,030,675 $ 18,018,388 $ 10,375,664
--------------------------------- ---------------------------------
TOTAL ADDITIONS $ 102,547,148 $ 289,425,768 $ 493,494,028 $ 455,965,627
--------------------------------- ---------------------------------
Transfer of Assets Out of
Investment Account $ (38,227,387) $ (197,877,441) $ (437,982,138) $ (378,952,686)
Fees and Commissions $ (1,487,578) $ (1,627,714) $ (58,996) $ (180,330)
--------------------------------- ---------------------------------
TOTAL DISTRIBUTIONS $ (39,714,965) $ (199,505,155) $ (438,041,134) $ (379,133,016)
--------------------------------- ---------------------------------
Change in Unrealized Appreciation $ 25,931,479 $ 39,043,479 $ (8,466,574) $ 72,487,435
--------------------------------- ---------------------------------
NET CHANGE IN ASSETS $ 88,763,662 $ 128,964,092 $ 46,986,320 $ 149,320,046
Net Assets at Beginning of Year $ 556,525,820 $ 645,289,482 $ 221,596,229 $ 268,582,549
--------------------------------- ---------------------------------
Net Assets at End of Year $ 645,289,482 $ 774,253,574 $ 268,582,549 $ 417,902,595
================================= =================================
TOTAL
10/31/96 10/31/97
--------------------------------------
Transfer of Assets Into
Investment Account $ 531,493,561 $ 628,670,936
Earnings on Investments
Interest $ 8,957,801 $ 12,362,318
Dividends $ 5,618,914 $ 7,199,808
Corporate Actions $ 1,597,268 $ 86,594
Pooled Fund Distributions $ 4,177,043 $ 2,662,638
Miscellaneous $ 125 $ 2,762
Net Realized Gain/(Loss) $ 44,196,464 $ 94,406,339
----------------------------------
TOTAL ADDITIONS $ 596,041,176 $ 745,391,395
----------------------------------
Transfer of Assets Out of
Investment Account $ (476,209,525) $ (576,830,127)
Fees and Commissions $ (1,546,574) $ (1,808,044)
----------------------------------
TOTAL DISTRIBUTIONS $ (477,756,099) $ (578,638,171)
----------------------------------
Change in Unrealized Appreciation $ 17,464,905 $ 111,530,914
----------------------------------
NET CHANGE IN ASSETS $ 135,749,982 $ 278,284,138
Net Assets at Beginning of Year $ 778,122,049 $ 913,872,031
----------------------------------
Net Assets at End of Year $ 913,872,031 $1,192,156,169
==================================
14
KELLOGG COMPANY 11
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27a - SCHEDULE OF ASSETS HELD FOR INVESTMENT PURPOSES - OCTOBER 31, 1997
MARKET UNREALIZED
SECURITY DESCRIPTION COST PRICE VALUE GAIN/LOSS
TBC, Inc. Pooled Employee Funds
Daily Liquidity Fund $ 6,205 1.00 $ 6,205 $ -
Loans to participants 9,349,277 1.00 9,349,277
Brundage Story & Rose Managed
Synthetic GIC Fund Variable Rate 54,084,310 1.00 54,084,310
John Hancock GAC #5919-10001
8.82% 6/1/97 28,378,237 1.00 28,378,237
Putnam Horizon Managed Synthetic
GIC Variable Rate 6/1/99 57,916,613 1.00 57,916,613
Principal Mutual GAC #4-12130-01
5.30% 12/1/98 20,920,719 1.00 20,920,719
Peoples Security Ins #BDA00378FR
5.15% 12/1/97 7,437,358 1.00 7,437,358
Allstate Life Ins. GAC #5686A
8.13% 12/1/98 50,073,567 1.00 50,073,567
Commonwealth Life #ADA00687FR
7.64% 6/1/98 21,427,449 1.00 21,427,449
John Hancock GAC #7605
7.87% 12/1/98 50,456,501 1.00 50,456,501
Commonwealth Life GIC
6.19% 6/1/98 9,802,815 1.00 9,802,815
Metropolitan Life GIC
6.27% 6/1/99 37,049,089 1.00 37,049,089
New York Life GIC
6.20% 6/1/98 11,287,375 1.00 11,287,375
New York Life GAC # 30321002
6.72% 6/1/00 43,440,242 1.00 43,440,242
Security Life of Denver #FA434
6.54% 12/1/01 19,593,518 1.00 19,593,518
----------------- -----------------
$ 421,223,276 $ 421,223,276 $ -
================= ================= =====
15
KELLOGG COMPANY 12
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT --------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
Larry J. Thomas $ 1,000 $ 384 $ 33 $ 616
1431 W. Southern Ave.
South Williamsport, PA 17701
George F. Neuhauser 22,000 2,899 847 11,431
332 Pearl St.
Lancaster, PA 17603
Kendall E. Allen 38,000 4,206 1,542 22,482
18753 River Rd.
Three Rivers, MI 49093
Diane J. Hazen 12,000 - - 7,090
296 Perrett
Marshall, MI 49068
Frederick J. Moore, Jr. 12,000 2,480 182 1,874
81 Brown Drive
Battle Creek, MI 49017
Eugene R Weeks, Jr. 10,000 - - 7,704
7435 1 1/2 Mile Rd.
East Leroy, MI 49051
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ----------------------------------------- --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
Larry J. Thomas 03/31/97 9.3% 03/31/98 $ 616 $ -
1431 W. Southern Ave.
South Williamsport, PA 17701
George F. Neuhauser 09/30/94 8.8% 09/30/99 11,431 250
332 Pearl St.
Lancaster, PA 17603
Kendall E. Allen 12/31/94 9.5% 12/31/99 22,482 712
18753 River Rd.
Three Rivers, MI 49093
Diane J. Hazen 10/31/94 8.8% 10/31/98 7,090 103
296 Perrett
Marshall, MI 49068
Frederick J. Moore, Jr. 09/30/94 8.8% 09/30/97 1,874 27
81 Brown Drive
Battle Creek, MI 49017
Eugene R Weeks, Jr. 09/30/94 8.8% 09/30/99 7,704 618
7435 1 1/2 Mile Rd.
East Leroy, MI 49051
16
KELLOGG COMPANY 13
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT ---------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
William E. Shrubb, Jr. $ 7,000 $ - $ - $ 6,683
3947 Kistler Rd
Battle Creek, MI 49017
Kenneth J. Miles 5,000 - - 3,374
3649 Devine Rd.
Nashville, MI 49073
Dana L. Gibson 4,997 - - 3,291
1200 Arms, #49
Marshall, MI 49068
Shirley M. Drake 4,500 - - 2,090
575 Old Highway Road
Sparta, TN 38583
Joseph A. Markovich 25,000 2,902 1,167 15,039
7961 Poorman Rd.
Battle Creek, MI 49017
Peggy A. Erskine 2,200 - - 1,645
750 E. Michigan Ave., Apt. 8
Battle Creek, MI 49017
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS -------------------------------------------- --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
William E. Shrubb, Jr. 10/31/94 8.8% 10/31/99 $ 6,683 $ 536
3947 Kistler Rd
Battle Creek, MI 49017
Kenneth J. Miles 08/31/94 8.3% 08/31/99 3,374 139
3649 Devine Rd.
Nashville, MI 49073
Dana L. Gibson 08/31/94 8.3% 08/31/99 3,291 249
1200 Arms, #49
Marshall, MI 49068
Shirley M. Drake 11/30/94 8.7% 11/30/97 2,090 168
575 Old Highway Road
Sparta, TN 38583
Joseph A. Markovich 01/31/95 9.5% 01/31/00 15,039 238
7961 Poorman Rd.
Battle Creek, MI 49017
Peggy A. Erskine 01/31/95 9.5% 01/31/00 1,645 130
750 E. Michigan Ave., Apt. 8
Battle Creek, MI 49017
17
KELLOGG COMPANY 14
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT ----------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
Paul L. Sharp $ 5,283 $ - $ - $ 3,534
70 Ardmoor
Battle Creek, MI 49017
Rhonda G. Chester 13,000 498 165 7,726
60 Sunnyside Dr.
Battle Creek, MI 49015
Elbert J. Thurman 8,000 126 42 6,759
1163 Little Clear Lake
Battle Creek, MI 49017
David E. Johns 6,000 4,484 36 36
4822 Brookfield
Charlotte, MI 48813
Genevia D. Snyder 20,000 - - 17,092
236 Walker Dr.
Battle Creek, MI 49017
Dennis L. Ferris 5,000 - - 3,543
2554 Old US 27
Tekonsha, MI 49092
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ----------------------------------------- --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
Paul L. Sharp 08/31/94 8.3% 08/31/98 $ 3,534 $ 122
70 Ardmoor
Battle Creek, MI 49017
Rhonda G. Chester 08/31/94 8.3% 08/31/99 7,726 159
60 Sunnyside Dr.
Battle Creek, MI 49015
Elbert J. Thurman 02/28/95 9.5% 02/29/00 6,759 321
1163 Little Clear Lake
Battle Creek, MI 49017
David E. Johns 02/28/95 9.5% 02/29/00 36 3
4822 Brookfield
Charlotte, MI 48813
Genevia D. Snyder 09/30/94 8.8% 09/30/99 17,092 249
236 Walker Dr.
Battle Creek, MI 49017
Dennis L. Ferris 11/30/94 8.8% 11/30/99 3,543 284
2554 Old US 27
Tekonsha, MI 49092
18
KELLOGG COMPANY 15
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT ---------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
Serafina F. Lincoln $ 27,982 $ - $ - $ 22,026
11726 Battle Creek Highway
Bellevue, MI 49021
Phillip M. Smith 37,000 - - 24,580
9869 2 1/2 Mile Rd.
East Leroy, MI 49051
Sally J. Everett 4,000 - - 2,614
140 Parkridge Drive
Battle Creek, MI 49017
Ronald C. Locke 6,000 195 83 3,713
4705 E. Lone Cactus Drive
Phoenix, AZ 85024
Stephen Sharp 18,000 - - 12,848
6591 Oak Grove Road
Burlington, MI 49029
Donald D. Richmond, Jr. 11,000 - - 7,509
2 NW 12th St.
Delray Beach, FL 33444
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ----------------------------------------- --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
Serafina F. Lincoln 08/31/94 8.3% 08/31/99 $ 22,026 $ 1,060
11726 Battle Creek Highway
Bellevue, MI 49021
Phillip M. Smith 08/31/94 8.3% 08/31/99 24,580 1,690
9869 2 1/2 Mile Rd.
East Leroy, MI 49051
Sally J. Everett 08/31/94 8.3% 08/31/99 2,614 198
140 Parkridge Drive
Battle Creek, MI 49017
Ronald C. Locke 09/30/94 8.8% 09/30/99 3,713 217
4705 E. Lone Cactus Drive
Phoenix, AZ 85024
Stephen Sharp 11/30/94 8.8% 11/30/99 12,848 937
6591 Oak Grove Road
Burlington, MI 49029
Donald D. Richmond, Jr. 09/30/94 8.8% 09/30/99 7,509 603
2 NW 12th St.
Delray Beach, FL 33444
19
KELLOGG COMPANY 16
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT --------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
David L. Whelan $ 12,000 $3,797 $ 166 $ 283
3241 Capital Ave., SW, #16B
Battle Creek, MI 49015
Arthur L. Moore 4,000 - - 2,247
P.O. Box 161195
Memphis, TN 38186
Leon E. Hunter 14,141 - - 11,516
3377 Sara Woods Dr.
Memphis, TN 38133
Tommy W. Poston 1,000 - - 12
15605 N. Circle
Omaha, NE 68135
Bobby L. Newson 2,000 - - 648
4987 Boeingshire Dr.
Memphis, TN 38116
Virgie L. Yancey 30,000 - - 19,608
4072 Cecil
Memphis, TN 38116
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ------------------------------------------ --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
David L. Whelan 08/31/94 8.3% 08/31/97 $ 283 $ 2
3241 Capital Ave., SW, #16B
Battle Creek, MI 49015
Arthur L. Moore 08/31/94 8.3% 08/31/98 2,247 77
P.O. Box 161195
Memphis, TN 38186
Leon E. Hunter 06/30/95 10.0% 06/30/00 11,516 960
3377 Sara Woods Dr.
Memphis, TN 38133
Tommy W. Poston 05/31/96 9.8% 05/31/98 12 -
15605 N. Circle
Omaha, NE 68135
Bobby L. Newson 03/31/95 10.0% 03/31/97 648 49
4987 Boeingshire Dr.
Memphis, TN 38116
Virgie L. Yancey 08/31/94 8.3% 08/31/99 19,608 1,483
4072 Cecil
Memphis, TN 38116
20
KELLOGG COMPANY 17
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT --------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
Charles R. Boydstun, Jr. $ 3,500 $ - $ - $ 1,706
3038 Gainsborough Cv.
Memphis, TN 38133
Terry A. Maxwell 5,472 - - 3,577
145 Bloomington Dr.
Brighton, TN 38011
Tyrone Redden 5,500 - - 4,238
3003 Atmore
Memphis, TN 38118
David W. Yancey 17,000 - - 14,797
3268 Foxgate Dr.
Memphis, TN 38115
Dorothy J. Weeks 23,000 2,423 807 12,243
7314 Isherwood
Memphis, TN 38125
Reuben Rhodes 3,798 - - 1,686
1556 Crider
Memphis, TN 38111
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ------------------------------------------ --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
Charles R. Boydstun, Jr. 12/31/94 9.5% 12/31/97 $ 1,706 $ 149
3038 Gainsborough Cv.
Memphis, TN 38133
Terry A. Maxwell 08/31/94 8.3% 08/31/99 3,577 222
145 Bloomington Dr.
Brighton, TN 38011
Tyrone Redden 03/31/95 10.0% 03/31/00 4,238 353
3003 Atmore
Memphis, TN 38118
David W. Yancey 10/31/95 9.8% 10/31/00 14,797 1,323
3268 Foxgate Dr.
Memphis, TN 38115
Dorothy J. Weeks 08/31/94 8.3% 08/31/99 12,243 84
7314 Isherwood
Memphis, TN 38125
Reuben Rhodes 09/30/94 8.8% 09/30/97 1,686 111
1556 Crider
Memphis, TN 38111
21
KELLOGG COMPANY 18
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT --------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
James T. Hutcherson $ 30,000 $ 5,542 $ 1,342 $ 13,435
818 Needham Road
Drummond, TN 38023
Isaac L.J. Bradley 12,419 - - 10,458
3229 Ancroft Cv.
Memphis, TN 38128
Kerry R. Rhoades 4,400 - - 2,958
2926 Laverne Dr.
Nesbit, MS 38651
Barry W. Shearon 19,250 - - 12,680
P.O. Box #10
Ellendale, TN 38029
Kimberly Hodge 4,400 - - 2,408
4488 Berkley Woods Dr.
Memphis, TN 38125
Juanita R. Ruffin 8,400 344 123 5,391
4283 Mt. Hood, Apt. 1
Memphis, TN 38118
Rebecca A. Williams 3,000 - - 2,062
4021 Los Padres
Nesbit, MS 38651
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ------------------------------------------ --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
James T. Hutcherson 08/31/94 8.3% 08/31/99 $ 13,435 $ -
818 Needham Road
Drummond, TN 38023
Isaac L.J. Bradley 08/31/95 9.8% 08/31/00 10,458 935
3229 Ancroft Cv.
Memphis, TN 38128
Kerry R. Rhoades 09/30/94 8.8% 09/30/99 2,958 237
2926 Laverne Dr.
Nesbit, MS 38651
Barry W. Shearon 08/31/94 8.3% 08/31/99 12,680 959
P.O. Box #10
Ellendale, TN 38029
Kimberly Hodge 08/31/94 8.3% 08/31/98 2,408 166
4488 Berkley Woods Dr.
Memphis, TN 38125
Juanita R. Ruffin 11/30/94 8.8% 11/30/99 5,391 39
4283 Mt. Hood, Apt. 1
Memphis, TN 38118
Rebecca A. Williams 01/31/95 9.5% 01/31/98 2,062 82
4021 Los Padres
Nesbit, MS 38651
22
KELLOGG COMPANY 19
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT --------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
L. J. Payne $ 11,700 $ - $ - $ 7,514
4901 Shayne Lane
Memphis, TN 38109
Issac Taylor 50,000 - - 46,917
537 Whiteville
Memphis, TN 38109
Leodies Moore 30,000 - - 19,761
262 W. Goguac Street
Battle Creek, MI 49015
Vernell G. Cribbs 38,000 3,970 1,068 20,067
150 Northside Dr., E
Battle Creek, MI 49017
Julia M. Carston 6,704 - - 5,448
6209 Wilson Circle
Omaha, NE 68107
Richard T. Hughes 23,000 - - 18,446
35458 Farnhum Dr.
Newark, CA 94560
Jesse G. Gonzalez 12,000 - - 9,624
27848 Ormond St.
Hayward, CA 94544
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ------------------------------------------ --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
L. J. Payne 08/31/94 8.3% 08/31/99 $ 7,514 $ 258
4901 Shayne Lane
Memphis, TN 38109
Issac Taylor 03/31/96 9.3% 03/31/01 46,917 3,617
537 Whiteville
Memphis, TN 38109
Leodies Moore 08/31/94 8.3% 08/31/99 19,761 1,495
262 W. Goguac Street
Battle Creek, MI 49015
Vernell G. Cribbs 08/31/94 8.3% 08/31/99 20,067 690
150 Northside Dr., E
Battle Creek, MI 49017
Julia M. Carston 08/31/94 8.3% 08/31/99 5,448 262
6209 Wilson Circle
Omaha, NE 68107
Richard T. Hughes 08/31/94 8.3% 08/31/99 18,446 1,395
35458 Farnhum Dr.
Newark, CA 94560
Jesse G. Gonzalez 08/31/94 8.3% 08/31/99 9,624 728
27848 Ormond St.
Hayward, CA 94544
23
KELLOGG COMPANY 20
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27b - SCHEDULE OF LOANS OR FIXED INCOME OBLIGATIONS - OCTOBER 31, 1997
AMOUNT RECEIVED
DURING REPORTING
ORIGINAL YEAR UNPAID
IDENTITY AND ADDRESS AMOUNT --------------------- BALANCE AT
OF OBLIGOR OF LOAN PRINCIPAL INTEREST YEAR END
Teresa M. Soria $ 5,000 $ - $ - $ 4,310
852 Kipling Street
South San Francisco, CA 94080
Rafael G. Alejandre 21,000 - - 16,842
853 Billings Blvd.
San Leandro, CA 94577
TERMS AMOUNT OVERDUE
IDENTITY AND ADDRESS ------------------------------------------ --------------------
OF OBLIGOR LOAN DATE INTEREST RATE MATURITY PRINCIPAL INTEREST
Teresa M. Soria 10/31/94 8.8% 10/31/99 $ 4,310 $ 346
852 Kipling Street
South San Francisco, CA 94080
Rafael G. Alejandre 08/31/94 8.3% 08/31/99 16,842 1,274
853 Billings Blvd.
San Leandro, CA 94577
24
KELLOGG COMPANY 21
AMERICAN FEDERATION OF GRAIN MILLERS
SAVINGS AND INVESTMENT PLAN
ITEM 27d - SCHEDULE OF REPORTABLE TRANSACTIONS - YEAR ENDED OCTOBER 31, 1997 (1)
CURRENT VALUE AT TRANSACTION DATE
---------------------------------------- COST OF NET
NET NET SECURITIES REALIZED
IDENTITY OF ISSUE PURCHASE PRICE SALES PRICE SOLD GAIN
John Hancock GAC 5919-10001
8.30% 6/1/97 $ 2,710,187 $ 45,692,174 $ 45,692,174 $ -
TBC Inc. Pooled Employee Funds -
Daily Liquidity Fund 99,331,443 116,409,532 116,409,532
(1)Represents Plan's interest in a transaction (or a series of transactions of
the same issue) in excess of five percent of the Plan's assets available
at November 1, 1996.