SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
_____________________________
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the
Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): July 19, 1994
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Merrill Lynch & Co., Inc.
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(Exact Name of Registrant as Specified in Charter)
Delaware 1-7182 13-2740599
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(State or Other (Commission (I.R.S. Employer
Jurisdiction of File Number) Identification No.)
Incorporation)
World Financial Center, North Tower, New York, New York 10281-1332
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: (212) 449-1000
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(Former Name or Former Address, if Changed Since Last Report.)
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Item 5. Other Events
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Filed herewith is the Preliminary Unaudited Earnings Summary, as contained
in a press release dated July 19, 1994, for Merrill Lynch & Co., Inc. ("ML &
Co.") for the three- and six-month periods ended July 1, 1994. The results of
operations set forth therein for the three- and six-month periods ended July 1,
1994 are unaudited. All adjustments, consisting only of normal recurring
accruals, that are in the opinion of management necessary for a fair
presentation of the results of operations for the period presented have been
included. The nature of ML & Co.'s business is such that the results for any
interim period are not necessarily indicative of the results for a full year.
Item 7. Financial Statements, Pro Forma Financial Information and Exhibits
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(c) Exhibits.
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(99) Additional Exhibits
(i) Preliminary Unaudited Earnings Summaries
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SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned, hereunto duly authorized.
MERRILL LYNCH & CO., INC.
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(Registrant)
By: /s/ Joseph T. Willett
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Joseph T. Willett
Senior Vice President,
Chief Financial Officer
Date: July 19, 1994
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EXHIBIT INDEX
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Exhibit No. Description Page
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(99) Additional Exhibits
(i) Preliminary Unaudited Earnings Summaries 5, 6
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MERRILL LYNCH & CO., INC.
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PRELIMINARY UNAUDITED EARNINGS SUMMARY
--------------------------------------
FOR THE THREE MONTHS ENDED PERCENT OF
--------------------------------------------- DOLLAR
(IN THOUSANDS, PERCENT PERCENT CHANGE
EXCEPT PER SHARE AMOUNTS) JULY 1, OF JUNE 25, OF INCREASE
1994 REVENUES (A) 1993 REVENUES (A) (DECREASE)
---------- --------- ----------- -------- ----------
REVENUES:
COMMISSIONS $ 690,533 15% $ 670,777 17% 3%
INTEREST AND DIVIDENDS 2,317,691 52 1,687,947 42 37
PRINCIPAL TRANSACTIONS 560,867 13 743,413 19 (25)
INVESTMENT BANKING 322,006 7 413,846 10 (22)
ASSET MANAGEMENT AND PORTFOLIO
SERVICE FEES 431,930 10 381,726 10 13
OTHER 157,273 3 65,300 2 141
---------- --- ---------- --- ---
TOTAL REVENUES 4,480,300 100 3,963,009 100 13
INTEREST EXPENSE 2,082,581 46 1,408,512 36 48
---------- --- ---------- --- ---
NET REVENUES 2,397,719 54 2,554,497 64 (6)
---------- --- ---------- --- ---
NON-INTEREST EXPENSES:
COMPENSATION AND BENEFITS 1,216,450 51 1,279,302 50 (5)
OCCUPANCY 108,574 5 116,461 4 (7)
COMMUNICATIONS AND EQUIPMENT RENTAL 107,922 4 94,120 4 15
DEPRECIATION AND AMORTIZATION 80,595 3 73,141 3 10
ADVERTISING AND MARKET DEVELOPMENT 99,145 4 91,250 4 9
PROFESSIONAL FEES 87,225 4 66,822 3 31
BROKERAGE, CLEARING, AND EXCHANGE FEES 87,465 4 71,286 3 23
OTHER 177,681 7 167,207 6 6
---------- --- ---------- --- ---
TOTAL NON-INTEREST EXPENSES 1,965,057 82 1,959,589 77 --
---------- --- ---------- --- ---
EARNINGS BEFORE INCOME TAXES 432,662 18 594,908 23 (27)
INCOME TAX EXPENSE 180,853 7 249,861 9 (28)
---------- --- ---------- --- ---
NET EARNINGS $ 251,809 11% $ 345,047 14% (27)%
========== === ========== === ===
PREFERRED STOCK DIVIDENDS $ 1,539 $ 1,278
========== ==========
NET EARNINGS APPLICABLE TO COMMON
STOCKHOLDERS $ 250,270 $ 343,769
========== ==========
EARNINGS PER COMMON SHARE (B):
PRIMARY $ 1.18 $ 1.52
========== ==========
FULLY DILUTED $ 1.18 $ 1.51
========== ==========
AVERAGE SHARES (B):
PRIMARY 212,489 225,612
========== ==========
FULLY DILUTED 212,489 226,922
========== ==========
(A) - REVENUES AND INTEREST EXPENSE ARE PRESENTED AS A PERCENTAGE OF TOTAL
REVENUES. NON-INTEREST EXPENSES AND EARNINGS ARE PRESENTED AS A PERCENTAGE
OF NET REVENUES.
(B) - ALL SHARE AND PER SHARE AMOUNTS HAVE BEEN RESTATED FOR THE TWO-FOR-ONE
COMMON STOCK SPLIT, EFFECTED IN THE FORM OF A 100% STOCK DIVIDEND, PAID ON
NOVEMBER 24, 1993.
5
MERRILL LYNCH & CO., INC.
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PRELIMINARY UNAUDITED EARNINGS SUMMARY
--------------------------------------
FOR THE SIX MONTHS ENDED PERCENT OF
--------------------------------------------------- DOLLAR
(IN THOUSANDS, PERCENT PERCENT CHANGE
EXCEPT PER SHARE AMOUNTS) JULY 1, OF JUNE 25, OF INCREASE
1994 REVENUES (A) 1993 REVENUES (A) (DECREASE)
---------- --------- ----------- --------- ----------
REVENUES:
COMMISSIONS $1,558,777 17% $1,392,517 18% 12 %
INTEREST AND DIVIDENDS 4,517,227 49 3,290,402 41 37
PRINCIPAL TRANSACTIONS 1,227,544 13 1,504,853 19 (18)
INVESTMENT BANKING 766,401 8 859,202 11 (11)
ASSET MANAGEMENT AND
PORTFOLIO SERVICE FEES 876,158 10 742,549 9 18
OTHER 273,004 3 132,470 2 106
---------- --- ---------- --- ---
TOTAL REVENUES 9,219,111 100 7,921,993 100 16
INTEREST EXPENSE 3,989,564 43 2,755,380 35 45
---------- --- ---------- --- ---
NET REVENUES 5,229,547 57 5,166,613 65 1
---------- --- ---------- --- ---
NON-INTEREST EXPENSES:
COMPENSATION AND BENEFITS 2,646,967 51 2,543,594 49 4
OCCUPANCY 221,582 4 339,772 7 (35)
COMMUNICATIONS AND EQUIPMENT
RENTAL 211,446 4 187,912 4 13
DEPRECIATION AND AMORTIZATION 154,766 3 143,039 3 8
ADVERTISING AND MARKET
DEVELOPMENT 197,750 4 172,303 3 15
PROFESSIONAL FEES 181,302 3 127,024 2 43
BROKERAGE, CLEARING, AND
EXCHANGE FEES 173,955 3 141,385 3 23
OTHER 356,909 7 326,355 6 9
---------- --- ---------- --- ---
TOTAL NON-INTEREST EXPENSES 4,144,677 79 3,981,384 77 4
---------- --- ---------- --- ---
EARNINGS BEFORE INCOME TAXES AND
CUMULATIVE EFFECT OF CHANGE IN
ACCOUNTING PRINCIPLE 1,084,870 21 1,185,229 23 (8)
INCOME TAX EXPENSE 461,302 9 497,796 10 (7)
---------- --- ---------- --- ---
EARNINGS BEFORE CUMULATIVE EFFECT
OF CHANGE IN ACCOUNTING PRINCIPLE 623,568 12 687,433 13 (9)
CUMULATIVE EFFECT OF CHANGE IN
ACCOUNTING PRINCIPLE, (NET OF
APPLICABLE INCOME TAXES) (B) -- -- (35,420) -- N/M
---------- --- ---------- --- ---
NET EARNINGS $ 623,568 12% $ 652,013 13% (4)%
========== === ========== === ===
PREFERRED STOCK DIVIDENDS $ 2,875 $ 2,674
========== ==========
NET EARNINGS APPLICABLE TO
COMMON STOCKHOLDERS $ 620,693 $ 649,339
========== ==========
EARNINGS PER COMMON SHARE (C):
PRIMARY:
EARNINGS BEFORE CUMULATIVE
EFFECT OF CHANGE IN ACCOUNTING
PRINCIPLE $ 2.87 $ 3.04
CUMULATIVE EFFECT OF CHANGE IN
ACCOUNTING PRINCIPLE (B) -- (0.16)
---------- ----------
NET EARNINGS $ 2.87 $ 2.88
========== ==========
FULLY DILUTED:
EARNINGS BEFORE CUMULATIVE
EFFECT OF CHANGE IN ACCOUNTING
PRINCIPLE $ 2.87 $ 3.03
CUMULATIVE EFFECT OF CHANGE IN
ACCOUNTING PRINCIPLE (B) -- (0.16)
---------- ----------
NET EARNINGS $ 2.87 $ 2.87
========== ==========
AVERAGE SHARES (C):
PRIMARY 216,561 225,762
========== ==========
FULLY DILUTED 216,561 226,418
========== ==========
(A) - REVENUES AND INTEREST EXPENSE ARE PRESENTED AS A PERCENTAGE OF TOTAL
REVENUES. NON-INTEREST EXPENSES, CUMULATIVE EFFECT OF CHANGE IN ACCOUNTING
PRINCIPLE, AND EARNINGS ARE PRESENTED AS A PERCENTAGE OF NET REVENUES.
(B) - 1993 RESULTS REFLECT THE ADOPTION OF STATEMENT OF FINANCIAL ACCOUNTING
STANDARDS NO. 112.
(C) - ALL SHARE AND PER SHARE AMOUNTS HAVE BEEN RESTATED FOR THE TWO-FOR-ONE
COMMON STOCK SPLIT, EFFECTED IN THE FORM OF A 100% STOCK DIVIDEND, PAID ON
NOVEMBER 24, 1993.
6