UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

__________________________

FORM 11-K

 (Mark One)

\X\  ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the fiscal year ended December 31, 2017



 


\ \  TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

 

For the transition period from _______ to _______

 

Commission file number 1-6682

__________________________

 

A. Full title of the plan and the address of the plan, if different from that of the issuer named below:

 

HASBRO, INC. RETIREMENT SAVINGS PLAN

__________________________

 

B. Name of the issuer of the securities held pursuant to the plan and the address of its principal executive office:

 

HASBRO, INC.

1027 Newport Avenue

Pawtucket, RI 02862-1059

 

REQUIRED INFORMATION

 

I.    FINANCIAL STATEMENTS

 

The following Plan financial statements and schedule prepared in accordance with the financial reporting requirements of the Employee Retirement Income Security Act of 1974 are filed herewith, as permitted by Item 4 of Form 11-K:

  

  Report of Independent Registered Public Accounting Firm

  Statements of Net Assets Available for Plan Benefits as of December 31, 2017 and 2016

  Statements of Changes in Net Assets Available for Plan Benefits for the years ended December 31, 2017 and 2016

  Notes to Financial Statements

 

  Supplemental Schedule:

  Schedule H, Line 4i - Schedule of Assets (Held at End of Year)


 

  Other schedules are omitted as the required information is not applicable.

 

II.    EXHIBITS

 

23    Consent of Independent Registered Public Accounting Firm

 

 

 

 

 


 

 

 

SIGNATURES

  The Plan. Pursuant to the requirements of the Securities Exchange Act of 1934, the Committee appointed by the Board of Directors of Hasbro, Inc. to administer the Plan has duly caused this Annual Report on Form 11-K to be signed on its behalf by the undersigned hereunto duly authorized.

 

 

                                                                                      Hasbro, Inc. Retirement Savings Plan

 

Date: June 28, 2018                                                                    /s/ Deborah Thomas                            

                                                                                      Deborah Thomas

                                                                                      Executive Vice President and Chief Financial Officer

 

  

 


 

Report of Independent Registered Public Accounting Firm

 

To the Plan Participants and Plan Administrator
Hasbro, Inc. Retirement Savings Plan:

Opinion on the Financial Statements

We have audited the accompanying statements of net assets available for plan benefits of the Hasbro, Inc. Retirement Savings Plan (the Plan) as of December 31, 2017 and 2016, the related statements of changes in net assets available for plan benefits for the years then ended, and the related notes (collectively, the financial statements). In our opinion, the financial statements present fairly, in all material respects, the net assets available for plan benefits of the Plan as of December 31, 2017 and 2016, and the changes in net assets available for plan benefits for the years then ended, in conformity with U.S. generally accepted accounting principles.

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 the 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 of material misstatement, whether due to error or fraud. 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 regarding the amounts and disclosures in the financial statements. Our audits 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.

Accompanying Supplemental Information

The supplemental information in the accompanying schedule H, line 4i – schedule of assets (held at end of year) as of December 31, 2017 has been subjected to audit procedures performed in conjunction with the audit of the 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, 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 is fairly stated, in all material respects, in relation to the financial statements as a whole.

 

 

/s/ KPMG LLP

We have served as the Plan’s auditor since 1986.

 

Providence, Rhode Island

June 28, 2018

  

 


 

 

 

 

 

 

 

 

 

 

 

HASBRO, INC. RETIREMENT SAVINGS PLAN

Statements of Net Assets Available for Plan Benefits

December 31, 2017 and 2016

 

 

 

 

 

 

 

 

 

 

 

 

 

2017

 

2016

Assets

 

 

 

 

 

 

  

Cash and cash equivalents

 

$

2,987,594

 

 

6,535,741

 

Investments, at fair value

 

 

568,469,242

 

 

457,891,594

 

Investments, at contract value

 

 

56,121,280

 

 

52,749,114

  

  

 Total investments and cash and cash equivalents (Note 3)

 

 

627,578,116

 

 

517,176,449

 

 

 

 

 

 

 

 

 

 

  

Receivables:

 

 

 

 

 

 

 

Notes receivable from participants

 

 

6,116,626

 

 

5,368,552

 

Employer contributions

 

 

8,061,564

 

 

7,505,939

 

Due from brokers for securities sold

 

 

203,779

 

 

196,875

  

  

Total receivables

 

 

14,381,969

 

 

13,071,366

  

 

Total assets

 

 

641,960,085

 

 

530,247,815

 

 

  

 

 

 

  

 

 

  

Liabilities

 

 

  

 

 

  

  

Payables for securities purchased

 

 

78,219

 

 

164,949

 

Accrued expenses

 

 

179,402

 

 

110,775

 

 

 

Total liabilities

 

 

257,621

 

 

275,724

 

 

 

 

 

 

 

 

 

 

 

 

 

Net assets available for plan benefits

 

$

641,702,464

 

 

529,972,091

 

 

 

 

 

 

 

 

 

 

 

 

 

  

 

 

 

 

 

 

See accompanying notes to financial statements.

 

 

 

 

 

 

 


 

 

 

 

 

 

 

 

 

 

 

 

HASBRO, INC. RETIREMENT SAVINGS PLAN

Statements of Changes in Net Assets Available for Plan Benefits

Years Ended December 31, 2017 and 2016

 

 

 

 

 

 

 

 

 

 

 

 

 

 

2017

 

2016

 

Changes in net assets attributed to:

 

 

 

 

 

 

 

 

Investment income:

 

 

 

 

 

 

 

  

  

Net appreciation in fair value of investments

 

$

94,084,941

 

 

37,532,052

 

 

  

Dividends and interest

 

 

6,317,344

 

 

4,680,442

 

  

  

 

Total investment income (Note 3)

 

 

100,402,285

 

 

42,212,494

 

  

  

  

 

 

 

 

 

  

 

 

 

 

 

 

 

 

 

 

 

 

  

Contributions:

 

 

 

 

 

 

 

 

  

Rollovers

 

 

3,835,539

 

 

2,658,304

 

 

 

Participant contributions

 

 

22,192,057

 

 

19,784,299

 

 

 

Employer contributions

 

 

22,466,477

 

 

20,665,657

 

  

  

  

Total contributions

 

 

48,494,073

 

 

43,108,260

 

 

 

  

 

 

 

  

 

 

  

 

  

  

Termination, withdrawal, and retirement payments directly to participants

 

 

(36,778,265)

 

 

(38,431,683)

 

  

  

Administrative expenses

 

 

(387,720)

 

 

(445,822)

 

 

  

  

Net increase

 

 

111,730,373

 

 

46,443,249

 

 

 

 

  

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net assets available for plan benefits:

 

 

 

 

 

 

 

  

Beginning of year

 

  

529,972,091

 

 

483,528,842

 

 

End of year

 

$

641,702,464

 

 

529,972,091

 

 

  

 

 

 

 

 

 

 

See accompanying notes to financial statements.

 

 


 

HASBRO, INC. RETIREMENT SAVINGS PLAN

Notes to Financial Statements

December 31, 2017 and 2016

 

 

(1) Description of Plan

 

The following brief description of the Hasbro, Inc. Retirement Savings Plan ("the Plan") is provided for general information purposes only. Participants should refer to the Plan document for more complete information.

 

(a)     General 

 

The Plan is a defined contribution plan subject to the provisions of the Employee Retirement Income Security Act of 1974 ("ERISA") and is available to substantially all domestic employees of Hasbro, Inc. and certain subsidiaries (collectively "the Company", "Plan Administrator" or "Plan Sponsor"). Participation in the Plan is voluntary and to be eligible, employees must have attained age 21 and be in a covered job classification.

 

Fidelity Management Trust Company (“the Trustee”) serves as Trustee and Recordkeeper of the Plan.

 

(b)     Contributions 

 

Eligible employees may contribute up to 75% of their eligible pay, limited to an annual maximum of $18,000 in 2017 and 2016. Contributions may be limited to less than the maximum percentage of eligible pay to enable the Company to meet IRS discrimination regulations. The Company makes a matching contribution of 200% of the first 2% of the participants' eligible pay that they contribute per pay period, plus a 50% match of the next 4% of participants' eligible pay that they contribute per pay period up to a maximum matching contribution of 6% of a participant's eligible pay per pay period.

 

The Company may also make a discretionary annual contribution after the close of each year, targeted at 3% of eligible pay.

 

All eligible employees who have reached age 50 by the end of the calendar year are permitted to make additional pre-tax deferrals over and above the otherwise applicable limits. These additional deferrals are called "catch-up contributions".  Catch-up contributions may be made up to an additional $6,000 for 2017 and 2016.

 

(c)     Vesting 

 

All participants currently employed by the Company own, or are vested in, 100% of both employee contributions and the Company's matching contributions to the Plan. Participants become 100% vested in the Company's discretionary annual contribution after three years of vesting service. Participants earn one year of vesting service for each calendar year in which the participant has worked at least 1,000 hours.

 

(d)     Forfeitures 

 

The unvested portion of a terminated participant's account is forfeited and used to reduce future employer contributions. Forfeitures were $192,791 and $104,451 in 2017 and 2016, respectively.

 

(e)     Payment of Benefits

 

Payments to participants will be paid upon retirement, disability, or termination of employment. The account

 


 

balance will be paid to a beneficiary upon death of the participant. Participants in the Plan have the option of receiving their benefit payments either in a lump sum or in periodic installments. Participants, except for terminated participants, may also make in-service withdrawals from their Pre-Tax Savings Contribution Account in the event of a demonstrated severe financial hardship as defined by the IRS Safe Harbor rules. Participants who have reached age 59 ½ may make in-service withdrawals from their vested accounts excluding the annual company contribution and the transition contribution sources in the Plan for any reason. Distributions made to individuals who have not attained the age of 59 ½ may be subject to an IRS imposed 10% early distribution penalty.

 

(f)      Notes Receivable from Participants

 

The maximum loan available to each participant is the lesser of (1) $50,000 reduced by the highest outstanding loan balance due from the participant during the preceding twelve months, or (2) 50% of the participant's vested account balance, reduced by the current outstanding loan balance due from the participant. The minimum loan amount available to participants is $500. Each loan shall bear a fixed interest rate equal to the prime interest rate as published in the Wall Street Journal on the last day of the previous month. Repayment of the loan must be made over a period not to exceed five years, unless it is for the purchase of a primary residence, in which case the loan period cannot exceed ten years.

 

(2) Summary of Accounting Policies

 

(a)     Basis of Accounting

 

The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires the Plan Administrator to make estimates and assumptions that affect the reported amounts in the financial statements and accompanying notes. Actual results could differ from those estimates. The accompanying financial statements are presented on the accrual basis of accounting. Benefits payable at year end are not accrued for as they are considered to be a component of the net assets available for plan benefits.

 

(b)     Investments 

 

Investments are stated at fair value with the exception of the Plan’s fully benefit-responsive investment contracts which are stated at contract value. See Note 8 for a discussion of the methods used to determine the fair value of investments held by the Plan.

 

Security transactions received prior to 4:00 pm Eastern time by the Trustee are recognized on that business day. Transactions received after 4:00 pm Eastern time are valued as of the next business day.

 

Interest income is recorded on the accrual basis and dividend income is recorded on the ex-dividend date.

 

Net appreciation in the fair value of investments includes both realized and unrealized gains and losses.

 

(c)     Notes Receivable from Participants

 

Notes receivable from participants are recorded at the outstanding principal balance plus accrued interest.

 

(d)     Contributions 

 

Contributions from employees are recorded by the Plan when deducted from employees' wages. The Company's matching contributions are accrued at the time the employee's contributions are deducted. For the years ended December 31, 2017 and 2016, employer and employee contributions for the last pay period of the year were paid to the Plan prior to the Plan's year end. The Company’s discretionary annual contributions for 2017 and

 


 

2016 were paid to the Plan subsequent to the end of each Plan year and are recorded as employer contributions receivable on the Statements of Net Assets Available for Plan Benefits at year end.

 

(e)     Payments of Benefits

 

Benefits are recorded when paid.

 

(f)      Administrative Expenses

 

The Plan bears all costs and general expenses incurred with regard to investment consulting, audit, legal and communication fees, other professional fees, independent fund managers and the purchase and sale of investments. Other costs of administration are paid for by the Plan Administrator.

 

(3) Investment Information

 

Participants may elect to have their accounts invested in one or more of the investment funds offered by the Plan. Investment options are selected by the Plan’s Investment Committee (which comprises members of management, established by the Board to monitor the Plan’s investment options and evaluate performance). At December 31, 2017, investment funds offered by the Plan included the following nationally traded mutual funds: the Cambiar Small-Cap Institutional Fund, the MFS Institutional International Equity Fund, the Dodge & Cox Stock Fund, and the JP Morgan US Large Cap Core Plus Fund. Investment funds offered by the Plan at December 31, 2017 also included the following commingled funds: BTC ACWI ex-US IMI Index Fund, BTC Russell 2500 Index Fund, BTC Equity Index Fund, JPM SmartRetirement Income, JPM SmartRetirement 2020, JPM SmartRetirement 2025, JPM SmartRetirement 2030, JPM SmartRetirement 2035, JPM SmartRetirement 2040, JPM SmartRetirement 2045,  JPM SmartRetirement 2050, JPM SmartRetirement 2055, Eaton Vance Collective Investment Trust High Yield Fund, Loomis Core Plus Fixed Income Fund and Fidelity Growth Company Commingled Pool.

 

Participants can elect to invest up to 25% of their contributions in the Hasbro Stock Fund which is a unitized stock fund that invests in the stock of Hasbro, Inc. and other short term investments designed to allow participants to buy and sell without the usual trade settlement period for individual stock transactions. Ownership is measured in units of the fund instead of shares of common stock. Participants cannot elect to reallocate their investment funds if that would result in greater than 25% of their account invested in the Hasbro Stock Fund. The fair value of the cash and investments of the Hasbro Stock Fund was $23,571,375 as of December 31, 2017 and $20,680,333 as of December 31, 2016.

 

The Plan invests in fully benefit-responsive synthetic guaranteed investment contracts ("synthetic GICs") as part of offering the JP Morgan Stable Asset Fund investment option to participants. Participant contributions to this fund are primarily used to purchase units of commingled funds, which are invested in a high-quality fixed income portfolio. The synthetic GICs are comprised of wrapper contracts and underlying investments.

 

The JP Morgan Stable Asset Fund enters into wrapper contracts with insurance companies which provide a guarantee with respect to the availability of funds to make distributions from this investment option. These contracts are carried at contract value in the participants' accounts. The issuer of the wrapper contracts is contractually obligated to repay the principal, as well as a specified interest rate that is set on a quarterly basis. There are no reserves against contract value for credit risk of the contract issuer or otherwise. The underlying portfolio is measured at contract value as described in Note 2.

 

The JP Morgan Stable Asset Fund and the wrapper contracts purchased by that fund are designed to pay all participants at contract value. However, certain events limit the ability of the Plan to transact at contract value. These events include but are not limited to premature termination of the contracts by the Plan or Plan termination. The Plan Sponsor has not expressed any intention to take either of these actions.

 

The synthetic guaranteed investment contracts in the JP Morgan Stable Asset Fund as of December 31, 2017 and

 


 

2016 are summarized below:

  

 

 

  

 

 

 

 

 

Major Credit

 

Investments at

 

 

Rating

 

Contract Value

 

December 31, 2017

 

 

 

 

 

Transamerica Premier Life Insurance Company

AA-

 

$

18,611,862

 

Lincoln National Life Insurance

AA-

 

 

18,560,111

 

Voya Insurance and Annuity Co.

A

 

 

18,949,307

 

All Contracts

 

 

$

56,121,280

 

 

 

 

 

 

 

December 31, 2016

 

 

 

 

 

Transamerica Premier Life Insurance Company

AA-

 

$

26,112,824

 

Voya Insurance and Annuity Co.

A

 

 

26,636,290

 

All Contracts

 

 

$

52,749,114

 

 

Participant accounts in the JP Morgan Stable Asset Fund are credited with interest at a fixed rate that is based on an agreed-upon formula as defined in the contracts. The rate typically resets quarterly; however, the rate may reset more frequently under certain circumstances. The primary variables which could impact the future crediting rates include (1) the amount and timing of participant contributions, (2) transfers and withdrawals into/out of the contract, (3) the current yield of the assets underlying the contract, (4) the duration of the assets underlying the contract and (5) the existing difference between fair value of the securities and the contract value of the assets within the insurance contract. The crediting rate of security-backed contracts will track current market yields on a trailing basis. The rate reset allows the contract value to converge with the fair value of the underlying portfolio over time, assuming the portfolio continues to earn the current yield for a period of time equal to the current portfolio duration.

 

(4) Related Party Transactions

 

Certain Plan investments are shares of mutual funds managed by Fidelity Management and Research Company, an affiliate of the Trustee and Recordkeeper, and, therefore, qualify as party-in-interest transactions. The Plan had 4,847,342 and 5,228,409 units of the Fidelity Growth Company Pool commingled fund valued at $92,244,909 and $72,204,327, respectively, as of December 31, 2017 and 2016. The Plan also had cash equivalents in the Fidelity Short-term Investment Fund of $1,803,153 and $5,459,499, respectively, as of December 31, 2017 and 2016. Additionally, the Plan holds investments in shares of Hasbro, Inc. common stock, the Plan Sponsor. The Plan had 246,308 and 252,013 shares of Hasbro, Inc. common stock valued at $22,386,934 and $19,604,091, respectively, as of December 31, 2017 and 2016. The Plan also had a cash balance in the Hasbro Stock Fund of $1,184,441 and $1,076,242, respectively, as of December 31, 2017 and 2016. These transactions qualify as exempt party-in-interest transactions.

 

(5) Plan Termination

 

Upon termination of the Plan and trust, each Participant shall be entitled to receive the vested amount standing to the credit of their account as of the final valuation date. The Trustee shall make payments of such amounts as directed by the Plan Administrator.

 

Although the Company has not expressed any intent to do so, it reserves the right to terminate the Plan at any time subject to ERISA provisions.

 

(6) Risks and Uncertainties

 


 

 

The Plan provides for investments in various funds, which invest in equity and debt securities and other investments. Such investments are exposed to risks and uncertainties, such as interest rate risk, credit risk, economic and political risks, regulatory changes, and foreign currency risk. In addition, participants may elect to invest up to 25% of their contributions in the Hasbro Stock Fund. The underlying performance of this fund is dependent upon the performance of the Company and the market's evaluation of such performance. The Plan's exposure to a concentration of credit risk is subject to the Plan's investment funds selected by participants. These risks and uncertainties could impact participants' account balances and the amounts reported in the financial statements.

 

(7) Federal Income Taxes

 

The Internal Revenue Service issued a determination letter on July 19, 2016, stating that the Plan and its underlying trust are designed in accordance with applicable sections of the Internal Revenue Code (IRC).  The Plan administrator believes that the Plan is designed and is currently being operated in compliance with the applicable requirements of the IRC and therefore believes that the Plan is qualified and the related trust is tax-exempt.  Therefore, no provision for income taxes is included in the Plan’s financial statements.

 

U.S. generally accepted accounting principles require Plan management to evaluate tax positions taken by the Plan and recognize a tax liability (or asset) if the Plan has taken an uncertain position that more likely than not would not be sustained upon examination by the Internal Revenue Service. The Plan Administrator has analyzed the tax positions taken by the Plan, and has concluded that as of December 31, 2017, there are no uncertain positions taken or expected to be taken that would require recognition of a liability (or asset) or disclosure in the financial statements.  The Plan is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress.  The Plan Administrator believes it is no longer subject to income tax examinations for years prior to 2013.

 

(8) Fair Value Measurements

 

The Plan measures certain assets at fair value. The fair value hierarchy consists of three levels: Level 1 fair values are valuations based on quoted market prices in active markets for identical assets or liabilities that the entity has the ability to access; Level 2 fair values are those valuations based on quoted prices for similar assets or liabilities, quoted prices in markets that are not active, or other inputs that are observable or can be corroborated by observable data for substantially the full term of the assets or liabilities; and Level 3 fair values are valuations based on inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities.

 

The Plan had the following assets measured at fair value in its Statements of Net Assets Available for Plan Benefits:

  

 

 

 

 

Fair Value Measurements Using:

 

 

 

 

 

 

 

 

Quoted

 

 

 

 

 

 

 

 

 

 

 

 

Investments

 

Prices in

 

 

 

 

 

 

 

 

 

 

 

 

Valued

 

Active

 

 

 

 

 

 

 

 

 

 

 

 

At

 

Markets

 

Significant

 

 

 

 

 

 

 

 

 

Net

 

for

 

Other

 

Significant

 

 

 

 

 

 

Asset

 

Identical

 

Observable

 

Unobservable

 

 

 

Fair

 

Value

 

Assets

 

Inputs

 

Inputs

 

 

 

Value

 

(NAV)

 

(Level 1)

 

(Level 2)

 

(Level 3)

December 31, 2017

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and Cash Equivalents

$

2,987,594

 

 

-

 

 

2,987,594

 

 

-

 

 

-

Hasbro, Inc. Common Stock

  

22,386,934

 

 

-

 

 

22,386,934

 

 

-

 

 

-

Mutual Funds

 

93,180,024

 

 

-

 

 

93,180,024

 

 

-

 

 

-

Commingled Funds

 

452,902,284

 

 

452,902,284

 

 

-

 

 

-

 

 

-

Total Investments and Cash

$

571,456,836

 

 

452,902,284

 

 

118,554,552

 

 

-

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

December 31, 2016

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash and Cash Equivalents

$

6,535,741

 

 

-

 

 

6,535,741

 

 

-

 

 

-

Hasbro, Inc. Common Stock

  

19,604,091

 

 

-

 

 

19,604,091

 

 

-

 

 

-

Mutual Funds

 

78,482,159

 

 

-

 

 

78,482,159

 

 

-

 

 

-

Commingled Funds

 

359,805,344

 

 

359,805,344

 

 

-

 

 

-

 

 

-

Total Investments and Cash

$

464,427,335

 

 

359,805,344

 

 

104,621,991

 

 

-

 

 

-

 


 

 

Cash and cash equivalents are generally held in money market funds valued using published quotes.

 

Hasbro, Inc. Common Stock: Valued at the composite closing price reported on The Nasdaq Global Select Market.

 

Mutual Funds are valued at the quoted market price as reported by the fund.  The quoted market prices represent the NAV of shares held by the plan at year-end.

 

All investments valued using the NAV are commingled funds and are redeemable on a daily basis. Commingled Funds are valued using the NAV which is quoted on a private market that is not active; however, the unit price is based on underlying investments which are traded on an active market.

  

 

 (9) Subsequent Events

 

Subsequent events have been evaluated through June 28, 2018, the date the financial statements were available to be issued.

  

 

 (10) Reconciliation to Form 5500

 

The accompanying financial statements are presented on the accrual basis of accounting and include certain accrued administrative expenses and employer contributions receivable which are not accrued on the Form 5500.

 

The following is a reconciliation of net assets available for plan benefits per the financial statements to the Form 5500 at December 31, 2017 and 2016.

  

 

 

 

 

2017

 

2016

 

Per financial statements

 

$

641,702,464

 

 

529,972,091

 

Employer contributions receivable

 

 

(8,061,564)

 

 

(7,505,939)

 

Accrued administrative expenses

 

  

86,070

 

 

81,881

 

Adjustment from contract value to fair value for fully-benefit

 

 

  

 

 

  

 

 

responsive investment contracts

 

 

(485,897)

 

 

(174,390)

 

Per Form 5500

 

$

633,241,073

 

 

522,373,643

 

 

The following is a reconciliation of the changes in net assets available for plan benefits per the financial statements to the Form 5500 for the years ended December 31, 2017 and 2016.

 


 

  

 

 

 

 

2017

 

2016

 

Per financial statements

 

$

111,730,373

 

 

46,443,249

 

Prior year employer contributions receivable

 

 

7,505,939

 

 

6,803,744

 

Prior year accrued administrative expenses

 

  

(81,881)

 

 

(75,093)

 

Prior year adjustment from contract value to fair value for fully-benefit

 

 

  

 

 

  

 

 

responsive investment contracts

 

 

174,390

 

 

(266,648)

 

Current year employer contributions receivable

 

 

(8,061,564)

 

 

(7,505,939)

 

Current year accrued administrative expenses

 

 

86,070

 

 

81,881

 

Current year adjustment from contract value to fair value of fully-benefit

 

 

 

 

 

 

 

 

responsive investment contracts

 

 

(485,897)

 

 

(174,390)

 

Per Form 5500

 

$

110,867,430

 

 

45,306,804

 

 


 

 

HASBRO, INC. RETIREMENT SAVINGS PLAN

 

Schedule H, Line 4i - Schedule of Assets (Held at End of Year)

 

December 31, 2017

 

 

 

 

 

 

(a)

 (b) 

 

(c)

 

(e)

 

  

 

Description of investment including

 

 

 

Identity of issuer, borrower, lessor or

 

 maturity date, rate of interest,

 

Current

 

 similar party

 

 collateral, par or maturity value

 

Value

 

 

 

 

 

 

 

 

Mutual Funds

 

 

 

 

 

Dodge & Cox Stock Fund

 

230,263 shares in registered investment company

$

46,883,865

 

MFS Institutional International Equity Fund

 

1,295,235 shares in registered investment company

 

32,976,688

 

JP Morgan US Large Cap Core Plus Fund

 

373,359 shares in registered investment company

 

11,234,368

 

Cambiar Small-Cap Institutional Fund

 

106,819 shares in registered investment company

 

2,085,103

 

 

 

 

 

 

 

Commingled Funds

 

 

 

 

*

Fidelity Growth Company Pool

 

4,847,342 units in common collective trust

 

92,244,909

 

BTC Equity Index NL M

 

3,343,333 units in common collective trust

 

71,926,125

 

BTC Russell 2500 NL M

 

2,660,179 units in common collective trust

 

53,153,039

 

Loomis Core Plus Fixed Income

 

2,489,881 units in common collective trust

 

27,406,586

 

JPM SmartRetirement 2025

 

1,084,839 units in common collective trust

 

32,165,477

 

JPM SmartRetirement 2030

 

1,225,762 units in common collective trust

 

30,092,455

 

JPM SmartRetirement 2035

 

980,304 units in common collective trust

 

30,016,909

 

JPM SmartRetirement 2040

 

1,110,878 units in common collective trust

 

28,516,241

 

JPM SmartRetirement 2020

 

933,605 units in common collective trust

 

21,491,599

 

JPM SmartRetirement 2045

 

698,253 units in common collective trust

 

21,631,865

 

JPM SmartRetirement 2050

 

627,176 units in common collective trust

 

18,338,620

 

Eaton Vance High Yield Bond Fund I

 

431,612 units in common collective trust

 

10,129,941

 

JPM SmartRetirement Income

 

416,083 units in common collective trust

 

8,192,672

 

BTC ACWI EX US NL R

 

257,020 units in common collective trust

 

4,318,096

 

JPM SmartRetirement 2055

 

140,375 units in common collective trust

 

3,277,750

 

 

 

 

 

 

 

Synthetic Guaranteed Investment Contracts (Collectively, JP Morgan Stable Asset Fund)

 

 

 

Commingled Funds:

 

 

 

 

 

JPMCB Intermediate Bond Fund

 

3,530,164 units in common collective trust

 

55,635,383

 

 

 

 

 

 

 

Common Stock

 

 

 

 

*

Hasbro Stock Fund

 

246,308 shares of Hasbro, Inc. common stock

 

22,386,934

 

 

 

 

 

 

 

Cash and Cash Equivalents

 

 

 

 

*

Fidelity STIF

 

Cash equivalents

 

1,803,153

*

Hasbro Stock Fund

 

Cash

 

1,184,441

 

 

 

 

 

 

 

 

Current year adjustment from fair value to contract value of fully benefit-responsive contracts

 

 

 

485,897

 

 

 

 

 

 

 

Investments and Cash

 

 

$

627,578,116

 

 

 

 

 

 

*

Loans to Participants

 

647 loans with interest rates from 3.25% to 4.25%

 

 

 

  

 

 and maturity dates from 2018 to 2027

$

6,116,626

 

  

 

 

 

 

  

*Denotes party-in-interest.

 

 

 

 

 

 

 

A column for cost has been omitted as investments are participant-directed.

 

 

 

 

 

 

 

See accompanying report of independent registered public accounting firm.