Form 11-K
Table of Contents

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

 

 

FORM 11-K

 

 

(Mark One)

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

For the fiscal year ended December 31, 2017

OR

 

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

For the transition period from                      to                     

Commission file number 001-35992

 

 

 

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

ORACLE CORPORATION

401(k) SAVINGS AND INVESTMENT PLAN

 

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

ORACLE CORPORATION

500 Oracle Parkway

Redwood City, California 94065

 

 

 


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Financial Statements and Supplemental Schedule

Table of Contents

 

Report of Independent Registered Public Accounting Firm

     1  

Financial Statements:

  

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

     2  

Statement of Changes in Net Assets Available for Benefits for the year ended December 31, 2017

     3  

Notes to Financial Statements

     4  

Supplemental Schedule:

  

Schedule H, Line 4(i)Schedule of Assets (Held at End of Year) as of December 31, 2017

     12  

Index to Exhibits

     20  

Signature

     21  


Table of Contents

Report of Independent Registered Public Accounting Firm

To the participants and Plan Committee of the Oracle Corporation 401(k) Savings and Investment Plan

Opinion on the Financial Statements

We have audited the accompanying statements of net assets available for benefits of Oracle Corporation 401(k) Savings and Investment Plan (the “Plan”) as of December 31, 2017 and 2016, and the related statement of changes in net assets available for benefits for the year ended December 31, 2017 and the related notes (collectively referred to as the financial statements). In our opinion, the financial statements present fairly, in all material respects, the net assets available for benefits of Oracle Corporation 401(k) Savings and Investment Plan as of December 31, 2017 and 2016, and the changes in net assets available for benefits for the year ended December 31, 2017, in conformity with accounting principles generally accepted in the United States of America.

Supplemental Information

The supplemental information in the accompanying 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 Oracle Corporation 401(k) Savings and Investment Plan’s financial statements. Our audit procedures included determining whether the supplemental information reconciles to the financial statements or the underlying accounting and other records, as applicable, and performing procedures to test the completeness and accuracy of the information presented in the supplemental information. In forming our opinion on the supplemental information in the accompanying schedule, we evaluated whether the supplemental information, including its form and content, is presented in conformity with the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. In our opinion, the supplemental information in the accompanying schedule is fairly stated, in all material respects, in relation to the financial statements as a whole.

Basis for Opinion

These financial statements are the responsibility of the Plan’s management. Our responsibility is to express an opinion on these financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to Oracle Corporation 401(k) Savings and Investment Plan in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Oracle Corporation 401(k) Savings and Investment Plan is not required to have, nor were we engaged to perform, an audit of its internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion. Our audits included performing procedures to assess the risk of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risk. Such procedures included examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

/s/ SENSIBA SAN FILIPPO LLP

We have served as Oracle Corporation 401(k) Savings and Investment Plan’s auditor since 2004.

San Mateo, California

May 25, 2018

 

1


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Statements of Net Assets Available for Benefits

As of December 31, 2017 and 2016

 

     December 31,  

(in thousands)

   2017      2016  

Assets

     

Cash

   $ 11,963      $ 7,526  

Investments, at fair value

     14,566,634        12,131,400  

Investments, at contract value

     763,692        767,063  

Receivables:

     

Notes receivable from participants

     86,132        90,469  

Participant contributions

     12,397        13,696  

Employer contributions

     4,338        4,774  

Other receivables

     6,218        3,882  
  

 

 

    

 

 

 

Total receivables

     109,085        112,821  
  

 

 

    

 

 

 

Total assets

     15,451,374        13,018,810  
  

 

 

    

 

 

 

Liabilities

     

Excess deferrals due to participants

     257        202  

Other liabilities

     6,784        3,145  
  

 

 

    

 

 

 

Total liabilities

     7,041        3,347  
  

 

 

    

 

 

 

Net assets available for benefits

   $ 15,444,333      $ 13,015,463  
  

 

 

    

 

 

 

 

 

See notes to financial statements.

 

2


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Statement of Changes in Net Assets Available for Benefits

For the Year Ended December 31, 2017

 

(in thousands)

  

 

 

Additions

  

Interest, dividends and other income

   $ 223,321  

Net appreciation in fair values of investments

     2,385,940  
  

 

 

 

Total investment gains, net

     2,609,261  
  

 

 

 

Contributions:

  

Participants

     600,384  

Employer

     155,065  

Rollovers

     130,087  
  

 

 

 

Total contributions

     885,536  
  

 

 

 

Total additions, net

     3,494,797  
  

 

 

 

Deductions

  

Benefits paid to participants

     1,065,407  

Administrative expenses

     520  
  

 

 

 

Total deductions

     1,065,927  
  

 

 

 

Net increase

     2,428,870  

Net assets available for benefits at beginning of year

     13,015,463  
  

 

 

 

Net assets available for benefits at end of year

   $ 15,444,333  
  

 

 

 

 

 

See notes to financial statements.

 

3


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements

December 31, 2017

1. Description of the Plan

The following description of the Oracle Corporation 401(k) Savings and Investment Plan (the Plan) provides only general information. Participants should refer to the Plan document for a more complete description of the Plan’s provisions.

General

The Plan is a defined contribution plan originally established in 1986 that has since been amended and for which Oracle Corporation (Oracle) is the current sponsor. The Plan was established for the purpose of providing retirement benefits for the U.S. employees of Oracle and its subsidiaries. The Plan is intended to qualify as a profit sharing plan under Section 401(a) of the Internal Revenue Code of 1986, as amended (the Code), with a salary reduction feature qualified under Section 401(k) of the Code. The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974, as amended (ERISA). The Plan is administered by the 401(k) Committee, members of which are appointed by the Compensation Committee of Oracle’s Board of Directors or the Executive Vice President, Human Resources. Fidelity Management Trust Company is the directed trustee of the Plan; Fidelity Investments Institutional Operations Company, Inc. (Fidelity) serves as the record keeper to maintain the individual accounts of each of the Plan’s participants.

Eligibility

All employees regularly scheduled to work a minimum of 20 hours per week or 1,000 hours in a Plan year on the domestic payroll of Oracle and its subsidiaries that have adopted the Plan are eligible to participate in the Plan as of the first date, or any succeeding entry date following the date the employee is credited with one hour of service with Oracle. However, the following employees or classes of employees are not eligible to participate: (i) employees whose compensation and conditions of employment are subject to determination by collective bargaining; (ii) employees who are non-resident aliens and who received no earned income (within the meaning of the Code) from Oracle; (iii) workers who are performing services at an Oracle facility as an employee of a third-party entity that is not an employment agency; (iv) employees of employment agencies; and (v) persons who are not classified as employees for tax purposes.

Contributions

Each year, participants may contribute up to 40% of their eligible compensation as defined by the Plan document. Annual participant contribution amounts are limited to $18,000 of salary deferrals for the year ended December 31, 2017 ($24,000 for participants 50 years old and older), as determined by the Internal Revenue Service (IRS). Salary deferrals consist of pre-tax and/or Roth 401(k) contributions. Participants may also contribute up to 15% of their eligible compensation, subject to certain annual dollar limitations, on a post-tax basis.

Oracle matches 50% of an active participant’s salary deferrals up to a maximum deferral of 6% of compensation for the pay period, with maximum aggregate matching of $5,100 in any calendar year. Oracle has the right, under the Plan, to discontinue or modify its matching contributions at any time. Participants may also contribute amounts representing distributions from other qualified plans. All of Oracle’s matching contributions are made in cash on a pre-tax basis.

 

4


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

Investment Options

Participants direct the investment of their contributions and Oracle’s matching contributions into various investment options offered by the Plan. The Plan currently offers investments in Oracle’s common stock, common/collective trust funds, mutual funds, separately managed account funds (including a stable value fund) and Brokerage Link. Brokerage Link balances consist of the mutual funds offered by the Plan, as well as mutual funds offered by other registered investment companies, common stock or other investment products.

Participant Accounts

Each participant’s account is credited with the participant’s and Oracle’s contributions and allocations of Plan earnings. All amounts in participant accounts are participant directed.

Vesting

All elective contributions made by participants and earnings on those contributions are 100% vested at all times. Participants’ vesting in Oracle’s matching contributions is based on years of service. Participants are 25% vested after one year of service and vest an additional 25% on each successive service anniversary date, becoming 100% vested after four years of service.

Participants forfeit the nonvested portion of their accounts in the Plan upon termination of employment with Oracle. Forfeited balances of terminated participants’ nonvested accounts may be used at Oracle’s discretion, as outlined in the Plan, to reduce its matching contribution obligations. During the year ended December 31, 2017, Oracle used $7,700,000 of forfeited balances to reduce its matching contribution obligations. The amounts of unallocated forfeitures at December 31, 2017 and 2016 were $822,000 and $681,000, respectively.

Notes Receivable from Participants

Participants may borrow from their fund accounts a minimum of $1,000 and up to a maximum of $50,000 or 50% of their vested account balance, whichever is less. Loan terms may not exceed five years unless the loan is used to purchase a participant’s principal residence, in which case repayment terms may not exceed 10 years. The loans are secured by the balance in the participant’s account and bear interest at a rate commensurate with local prevailing lending rates determined by the 401(k) Committee. Principal and interest is paid ratably through payroll deductions, and participants may elect to submit additional payments outside of payroll deductions in order to reduce principal loan balances on an accelerated basis. Loans are generally due in full within 60 days of termination with Oracle unless the participant arranges for loan repayments to continue via monthly debit from a checking or savings account in a bank located in the United States.

Payment of Benefits

Upon termination of service, death, disability, or normal or early retirement, participants may elect to receive a lump-sum amount equal to the vested value of their account or may waive receipt of a lump sum benefit and elect to receive monthly, quarterly or annual installments, a partial distribution, or may request a rollover from the Plan to another eligible retirement plan. Failure of a participant to make an election of one of these options within 60 days is deemed to be an election to defer commencement of payment. If the participant’s account is valued at $1,000 or less, the amount is distributed in a lump sum. Distributions of investments in Oracle’s common stock may be taken in the form of common stock. Hardship withdrawals are permitted if certain criteria are met.

 

5


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

Investment Management Fees and Operating Expenses

Investment management fees and operating expenses charged to the Plan for investments in the various funds are deducted from income earned on a daily basis and are reflected as a component of net appreciation in fair values of investments.

Administrative Expenses

Administrative expenses are borne by Oracle, except for fees related to administration of participant loans and certain withdrawal transactions, which are deducted from the applicable participants’ accounts. Oracle, at its discretion, may also choose to utilize available revenue sharing (based on a revenue sharing agreement between Oracle and Fidelity) or forfeited balances of terminated participants’ nonvested accounts to pay for reasonable expenses related to the administration of the Plan.

Plan Termination

Although it has not expressed any intent to do so, Oracle has the right, under provisions of the Plan, to terminate the Plan, subject to the provisions of ERISA. In the event of the Plan’s termination, participants will become 100% vested in their accounts.

2. Summary of Significant Accounting Policies

Basis of Accounting and Presentation

The accompanying financial statements of the Plan are prepared on the accrual basis of accounting in accordance with accounting principles generally accepted in the United States (GAAP). The preparation of financial statements in conformity with GAAP requires management to make estimates that affect the amounts reported in the financial statements and accompanying notes and supplemental schedule. Actual results could differ from those estimates.

Investments Valuation and Income Recognition

The Plan’s investments are generally stated at their fair values with the exception of the Galliard Stable Value Fund (a separately-managed account fund investment), which is stated at its contract value in the statements of net assets available for benefits at December 31, 2017 and 2016. The shares of registered investment companies (mutual funds) are valued at quoted market prices. The money market funds are valued at cost plus accrued interest, which approximated fair values. Common stock, including Oracle’s common stock, is traded on a national securities exchange and is valued at the last reported sales price on the last day of the Plan year. The valuation techniques used to measure the fair values of the common/collective trust funds with significant balances as of December 31, 2017 are included in Note 4 below.

Purchases and sales of securities are recorded on a trade-date basis. Interest income is recorded on an accrual basis. Dividends are recorded on the ex-dividend date.

The Oracle Stock Fund (the Fund) is tracked on a unitized basis, which allows for daily trades. The Fund consists of Oracle common stock and investment in the Fidelity Investments Money Market Government Portfolio sufficient to meet the Fund’s daily cash needs. The value of a unit reflects the combined market value of Oracle

 

6


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

common stock and the cash investments held by the Fund. At December 31, 2017, 2,313,067 units were outstanding with a value of $360.56 per unit. At December 31, 2016, 2,451,197 units were outstanding with a value of $289.03 per unit.

Fair Value Measurements

The Plan performs fair value measurements in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification 820, Fair Value Measurement (ASC 820). Refer to Note 3 for the fair value measurement disclosures associated with the Plan’s investments.

Risks and Uncertainties

The Plan provided for various investment options in common stock, registered investment companies (mutual funds), common/collective trusts, separately-managed account funds (including a stable value fund) and short-term investments. The Plan’s exposure to credit losses in the event of nonperformance of investments is limited to the carrying value of such investments. Investment securities, in general, are exposed to various risks, such as risk of foreign currency fluctuations relative to the U.S. Dollar, interest rate risk, credit risk, and overall market volatility risk. During the year ended December 31, 2017, net appreciation in fair values of investments totaled $2.4 billion. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect the amounts reported in the statements of net assets available for benefits, participant account balances and the statement of changes in net assets available for benefits.

3. Fair Value Measurements

The Plan performs fair value measurements in accordance with the guidance provided by ASC 820. ASC 820 defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required to be recorded at their fair values, the Plan considers the principal or most advantageous market in which it would transact and considers assumptions that market participants would use when pricing the assets or liabilities, such as inherent risk, transfer restrictions, and risk of nonperformance.

ASC 820 establishes a fair value hierarchy that requires the Plan to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. An asset’s or a liability’s categorization within the fair value hierarchy is based upon the lowest level of input that is significant to the fair value measurement. ASC 820 establishes three levels of inputs that may be used to measure fair value:

 

   

Level 1: quoted prices in active markets for identical assets or liabilities;

 

   

Level 2: inputs other than Level 1 that are observable, either directly or indirectly, such as quoted prices in active markets for similar assets or liabilities, quoted prices for identical or similar assets or liabilities in markets that are not active, or other inputs that are observable or can be corroborated by observable market data for substantially the full term of the assets or liabilities; or

 

   

Level 3: unobservable inputs that are supported by little or no market activity and that are significant to the fair values of the assets or liabilities.

 

7


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

Investments Measured at Fair Value on a Recurring Basis

Investments measured at fair value on a recurring basis consisted of the following types of instruments (Level 1 and 2 inputs are defined above):

 

    December 31, 2017     December 31, 2016  
    Fair Value Measurements
Using Input Types
          Fair Value Measurements
Using Input Types
       

(in thousands)

    Level 1          Level 2       Total       Level 1          Level 2       Total  

Money market funds

  $ 208,606      $ —       $ 208,606     $ 223,396      $ —       $ 223,396  

Oracle Corporation and other common stock

    1,729,843        —         1,729,843       1,537,625        —         1,537,625  

Mutual funds

    2,921,731        —         2,921,731       4,732,217        —         4,732,217  

Corporate securities and others

    17,287        4,067       21,354       7,762        7,880       15,642  
 

 

 

    

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Total investments measured at fair value

  $ 4,877,467      $ 4,067     $ 4,881,534     $ 6,501,000      $ 7,880     $ 6,508,880  
 

 

 

    

 

 

   

 

 

   

 

 

    

 

 

   

 

 

 

Common/collective trust funds measured at net asset value

         9,685,100            5,622,520  
      

 

 

        

 

 

 

Total investments

       $ 14,566,634          $ 12,131,400  
      

 

 

        

 

 

 

The Plan’s valuation techniques used to measure the fair values of money market funds, common stock, mutual funds and corporate securities and others that were classified as Level 1 in the table above were derived from quoted market prices as substantially all of these instruments have active markets. Our level 2 instruments are valued based on yields currently available on comparable securities of issuers with similar credit ratings. When quoted prices are not available for identical or similar securities, the securities are valued using a discounted cash flow approach that maximizes observable inputs, such as current yields of similar instruments, but includes adjustments for certain risks that may not be observable, such as credit and liquidity risks. A description of the valuation techniques used to measure the fair values of common/collective trust funds and separately-managed account fund investments with significant balances as of December 31, 2017 and 2016 are included in Note 4 below. Redemption for common collective trust funds is permitted daily with no restrictions and same-day or one-day notice periods and there are no unfunded commitments.

4. Composition and Valuation of Certain Plan Investments

Fidelity Commingled Funds

The Plan held investments in Fidelity Contrafund Commingled Pool, Fidelity Growth Company Commingled Pool and Fidelity Low-Priced Stock Commingled Pool as of December 31, 2017 and 2016 (collectively, the Fidelity Commingled Funds). The Fidelity Commingled Funds are common/collective trust funds managed by Fidelity Management Trust Company. Fidelity Pricing and Cash Management Services, an affiliate of Fidelity Management Trust Company, determines the fair values of the Fidelity Commingled Funds on a daily basis using the net asset value (NAV) of units held of the commingled funds. The NAV is based on the fair value of the underlying investments held by each commingled fund less its liabilities. The fair value of the underlying investments is generally derived from the quoted prices in active markets of the underlying securities as substantially all of the underlying investments have active markets.

 

8


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

Vanguard Trusts

The Plan held investments in certain Vanguard Institutional Index Trusts and certain Vanguard Target Retirement Trusts (collectively, the Vanguard Trusts), which are more specifically listed in Schedule H, Line 4(i)—Schedule of Assets (Held at End of Year) as of December 31, 2017 and 2016. The Vanguard Trusts are common/collective trust funds sponsored and maintained by Vanguard Fiduciary Trust Company. The trustee, Vanguard Fiduciary Trust Company, generally determines the fair values of the Vanguard Trusts’ units each day the New York Stock Exchange is open for trading. The underlying investments of the Vanguard Trusts are valued based on quoted market prices as substantially all of these underlying investments have active markets. The values of the Vanguard Trusts are determined based upon the values of these underlying investments held for benefit of the Vanguard Trusts less any liabilities.

Galliard Stable Value Fund

During the years ended December 31, 2017 and 2016, the Plan held investments in Galliard Stable Value Fund (Galliard Fund). The Galliard Fund is exclusively managed for the Plan by Galliard Capital Management, Inc. The Galliard Fund primarily invests in common/collective trust funds in the Plan’s name for the sole benefit of Plan participants, security-backed investment contracts, separate accounts guaranteed investment contracts and money market funds. Security-backed investment contracts are issued by insurance companies and other financial institutions that wrap underlying bond funds, fixed income common/collective trust funds or separate accounts (Wrap Contract).

The issuer of the Wrap Contract guarantees a minimum rate of return and provides full benefit responsiveness, provided that all terms of the Wrap Contract have been met. Wrap Contracts are normally agreements entered with issuers rated in the top three long-term rating categories (equaling A- or above) as determined by any of the nationally recognized rating organizations. The Galliard Fund is credited with contributions from participants and earnings on the underlying investments and charged for participant withdrawals and administrative expenses.

As of December 31, 2017 and 2016, there were no reserves against the Wrap Contracts’ carrying values due to credit risks of the issuers. Certain events limit the ability of the Plan to transact at contract value with the wrap issuer. However, the Plan’s management is not aware of the occurrence or likely occurrence of any such events, which would limit the Plan’s ability to transact at contract value with participants. The issuer may terminate a Wrap Contract at any time.

The following table provides the disaggregation of contract value between types of investment contracts held by the Plan:

 

     December 31,  

(in thousands)

   2017      2016  

Security-backed investment contracts

   $ 675,005      $ 677,789  

Separate account guaranteed investment contracts

     88,687        89,274  
  

 

 

    

 

 

 

Total investment contracts

   $         763,692      $         767,063  
  

 

 

    

 

 

 

5. Income Tax Status

On October 20, 2015, the Plan received a determination letter from the IRS stating that the Plan is qualified under Section 401(a) of the Code, and therefore, the related trust is exempt from taxation. This determination

 

9


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

letter superseded the determination letters issued by the IRS on April 3, 2015 and May 29, 2014. The 401(k) Committee believes the Plan is being operated in compliance with the applicable requirements of the Code and, therefore, believes that the Plan is qualified and the related trust is tax exempt. The Plan is subject to routine audits by taxing jurisdictions; however, there are currently no audits for any tax periods in progress.

6. Party-in-Interest Transactions

Transactions in shares of Oracle common stock qualify as party-in-interest transactions under the provisions of ERISA. During the year ended December 31, 2017, the Plan made purchases of approximately $41,565,000 and sales of approximately $60,898,000 of Oracle common stock. In addition, the Plan made in-kind transfers of Oracle common stock to participants, related to certain qualifying distribution, of approximately $16,402,000 during the year ended December 31, 2017.

Certain members of Oracle Corporation management perform administrative and fiduciary duties for the Plan that qualify them as parties-in-interest and/or related parties of the Plan. Transactions between such members of Oracle Corporation management and the Plan were routine in nature and conducted pursuant to the Plan’s provisions as of and during the year ended December 31, 2017.

As described in Note 1 above, Fidelity Management Trust Company is a directed trustee of the Plan and Fidelity Investments Institutional Operations Company, Inc. serves as the record keeper to maintain the individual accounts of each Plan participant. Certain Plan investments include shares of mutual funds that are managed by affiliates of Fidelity.

7. Differences between Financial Statements and Form 5500

The following is a reconciliation of the net assets available for benefits per the financial statements to the Plan’s Form 5500:

 

     December 31,  

(in thousands)

   2017     2016  

Net assets available for benefits per the financial statements

   $ 15,444,333     $ 13,015,463  

Adjustment from contract value to fair value of certain Galliard Stable Value Fund assets

     (388     695  

Amounts allocated to withdrawing participants and other

     (1,190     (1,285
  

 

 

   

 

 

 

Net assets available for benefits per the Form 5500

   $     15,442,755     $     13,014,873  
  

 

 

   

 

 

 

The following is a reconciliation of the changes in net assets available for benefits per the financial statements to the Plan’s Form 5500:

 

     Year Ended December 31,  

(in thousands)

   2017     2016  

Net increase in net assets available for benefits per the financial statements

   $ 2,428,870     $ 1,025,320  

Net change in fair value adjustment of certain Galliard Stable Value Fund assets

     (1,083     (2,301

Net change in amounts allocated to withdrawing participants and other

     95       (92
  

 

 

   

 

 

 

Net income per the Form 5500

   $       2,427,882     $       1,022,927  
  

 

 

   

 

 

 

 

10


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

Notes to Financial Statements—(Continued)

December 31, 2017

 

The fair value adjustment for certain Galliard Stable Value Fund assets represented the differences between contract values of certain fully benefit-responsive contracts within the Galliard Fund as included in the statements of changes in net assets available for benefits for the years ended December 31, 2017 and 2016, and the respective fair values of these contracts as reported in the respective Form 5500. Certain investments within the Galliard Fund are presented at contract value in both the statements of changes in net assets available for benefits and the Form 5500, and therefore, do not result in a difference between the Plan’s financial statements and the Form 5500. Amounts allocated to withdrawing participants are recorded on the Form 5500 for benefit claims that have been processed and approved for payment prior to each respective year-end but were not yet paid.

8. Excess Contributions

Contributions received from participants for the year ended December 31, 2017 included approximately $257,000 of excess contributions (net of corresponding gains and losses) that were remitted during January 2018 through April 2018 to certain participants. The excess deferral contributions, originally deducted in the year ended December 31, 2017, were returned to comply with the participants’ applicable maximum annual contributions permitted under the Code. The amount is included in the Plan’s statement of net assets available for benefits as excess deferrals due to participants at December 31, 2017.

 

11


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
  Registered Investment Companies:    
 

Dodge & Cox International Stock Fund

  9,840,028 shares   $ 455,790  
 

Dodge & Cox Stock Fund

  4,448,281 shares     905,714  

*

 

Fidelity Balanced Fund—Class K

  21,179,933 shares     502,600  

*

 

Fidelity Worldwide Fund

  8,399,124 shares     221,821  
 

Lazard Emerging Markets Equity Fund Class Institutional

  13,822,877 shares     276,734  
 

PIMCO Inflation Response Multi-Asset Fund Institutional

  1,076,453 shares     9,419  
     

 

 

 
        2,372,078  
  Assets in Brokerage Link Accounts   Various investments, including registered investment companies, common stocks, money market funds and cash     811,045  
  Oracle Corporation Common Stock Fund:    

*

 

Oracle Corporation Common Stock

  17,498,692 shares     827,338  

*

 

Fidelity Institutional Money Market Fund

  6,628,309 shares     6,628  
 

Separately-managed Account Fund Investments:

   
 

Artisan International Separate Account—

   
 

Depository Receipts

   
 

Alibaba Group Holding Ltd

  35,294 shares     6,086  
 

Ambev SA

  83,972 shares     542  
 

Grifols SA

  65,050 shares     1,491  
 

NetEase, Inc.

  7,667 shares     2,646  
 

Sociedad Quimica y Minera de Chile SA

  3,754 shares     223  
 

Common Stock

   
 

AIA Group Ltd

  618,278 shares     5,274  
 

Airbus SE

  28,714 shares     2,860  
 

Akzo Nobel NV

  23,063 shares     2,021  
 

Allianz SE

  30,308 shares     6,964  
 

Amadeus IT Group SA

  5,246 shares     378  
 

Amazon.com, Inc

  2,774 shares     3,244  
 

Aon plc

  27,032 shares     3,622  
 

ASML Holding NV

  15,989 shares     2,785  
 

Assicurazioni Generali S.p.A.

  182,292 shares     3,325  
 

BAE Systems plc

  235,208 shares     1,820  
 

Bank Rakyat Indonesia Persero Tbk PT

  4,717,500 shares     1,266  
 

Beiersdorf AG

  30,290 shares     3,558  
 

BNP Paribas SA

  7,513 shares     561  
 

Calbee Inc

  59,500 shares     1,935  
 

Canadian Pacific Railway Ltd

  26,584 shares     4,858  
 

China Literature Ltd

  1,232 shares     13  
 

Coca-Cola European Partners plc

  116,116 shares     4,627  
 

ConvaTec Group plc

  736,851 shares     2,044  
 

Credit Suisse Group AG

  20,997 shares     375  
 

Deutsche Boerse AG

  80,679 shares     9,370  
 

Deutsche Post AG

  97,909 shares     4,670  
 

Deutsche Telekom AG

  117,861 shares     2,092  
 

Eiffage SA

  21,694 shares     2,378  
 

Experian plc

  90,390 shares     1,997  
 

FANUC Corp

  8,300 shares     1,993  

 

12


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
 

Ferguson plc

  45,336 shares     3,263  
 

Genmab A/S

  1,198 shares     199  
 

Glencore plc

  682,665 shares     3,595  
 

Grifols SA

  33,458 shares     981  
 

Idorsia Ltd

  9,313 shares     243  
 

ING Groep NV

  359,337 shares     6,607  
 

Intesa Sanpaolo S.p.A.

  1,019,215 shares     3,387  
 

Japan Tobacco Inc

  135,416 shares     4,364  
 

LG Household & Health Care Ltd

  794 shares     885  
 

Liberty Global plc—Class A

  39,509 shares     1,416  
 

Liberty Global plc—Class C

  78,426 shares     2,654  
 

Linde AG

  39,892 shares     9,317  
 

London Stock Exchange Group plc

  27,680 shares     1,418  
 

Medtronic plc

  58,696 shares     4,740  
 

Mitsubishi UFJ Financial Group Inc

  260,800 shares     1,913  
 

MMC Norilsk Nickel PJSC

  115,139 shares     2,158  
 

Naspers Ltd

  4,483 shares     1,250  
 

Nestle SA

  71,294 shares     6,131  
 

Nintendo Co Ltd

  12,200 shares     4,460  
 

NTT DOCOMO Inc

  27,241 shares     643  
 

Ping An Insurance Group Co of China Ltd

  265,000 shares     2,759  
 

Prudential plc

  120,941 shares     3,112  
 

Rohm Co Ltd

  17,400 shares     1,927  
 

Samsung Electronics Co Ltd

  3,576 shares     4,284  
 

SAP SE

  15,804 shares     1,772  
 

Schlumberger Ltd

  25,184 shares     1,697  
 

Schneider Electric SE

  23,615 shares     2,008  
 

Sumitomo Metal Mining Co Ltd

  59,634 shares     2,740  
 

Tencent Holdings Ltd

  35,800 shares     1,860  
 

UniCredit S.p.A.

  103,053 shares     1,926  
 

WABCO Holdings Inc

  13,088 shares     1,878  
 

Wirecard AG

  60,451 shares     6,751  
 

Participating Certificate

   
 

Ryanair Holdings plc

  271,139 shares     4,896  
 

Preferred Stock

   
 

Henkel AG & Co KGaA

  19,057 shares     2,523  
     

 

 

 
        184,775  
 

Galliard Stable Value Fund—

   
 

Common/Collective Trust Funds

   
 

Wells Fargo Fixed Income Fund A

  9,661,897 shares     254,118  
 

Wells Fargo Fixed Income Fund E

  1,687,221 shares     40,795  
 

Wells Fargo Fixed Income Fund F

  22,212,101 shares     312,984  
 

Wells Fargo Fixed Income Fund N

  5,536,259 shares     66,719  
 

Wells Fargo Stable Value Fund W

  421,975 shares     23,024  
 

MetLife Insurance Company Separate Account

  858,685 shares     88,687  

*

 

Fidelity Institutional Money Market Government Portfolio

  11,666,992 shares     11,667  
     

 

 

 
        797,994  

 

13


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
 

US Small Mid Cap Value Fund—

   
 

Registered Investment Companies

   
 

DFA US Targeted Value I

  9,169,895 shares     228,239  
 

Common Stock

   
 

ABM Industries Incorporated

  17,871 shares     674  
 

ACCO Brands Corporation

  121,418 shares     1,481  
 

AECOM

  46,689 shares     1,735  
 

Aegion Corporation

  24,888 shares     633  
 

The AES Corporation

  87,615 shares     949  
 

AGNC Investment Corp.

  34,045 shares     687  
 

Air Lease Corporation

  74,058 shares     3,562  
 

Alaska Air Group, Inc.

  19,393 shares     1,426  
 

Alleghany Corporation

  1,782 shares     1,062  
 

Ally Financial Inc.

  60,465 shares     1,763  
 

AMC Networks Inc.

  25,694 shares     1,390  
 

Amdocs Limited

  26,279 shares     1,721  
 

Anworth Mortgage Asset Corporation

  76,268 shares     415  
 

Ares Capital Corporation

  87,430 shares     1,375  
 

Ares Commercial Real Estate Corporation

  97,752 shares     1,261  
 

Arrow Electronics, Inc.

  41,564 shares     3,342  
 

Aspen Insurance Holdings Limited

  15,161 shares     616  
 

Assurant, Inc.

  6,139 shares     619  
 

Assured Guaranty Ltd.

  37,913 shares     1,284  
 

Athene Holding Ltd.

  11,644 shares     602  
 

Avnet, Inc.

  26,055 shares     1,032  
 

AXIS Capital Holdings Limited

  9,665 shares     486  
 

BankUnited, Inc.

  52,606 shares     2,142  
 

Belden Inc.

  20,330 shares     1,569  
 

Berry Global Group, Inc.

  36,307 shares     2,130  
 

Blackstone Mortgage Trust, Inc.

  18,487 shares     595  
 

BMC Stock Holdings, Inc.

  70,266 shares     1,778  
 

Booz Allen Hamilton Holding Corporation

  17,461 shares     666  
 

Brooks Automation, Inc.

  47,869 shares     1,142  
 

Cabot Corporation

  10,120 shares     623  
 

Cambrex Corporation

  31,778 shares     1,526  
 

Carlisle Companies Incorporated

  6,046 shares     687  
 

CDW Corporation

  39,178 shares     2,723  
 

Chatham Lodging Trust

  30,048 shares     684  
 

Chemed Corporation

  6,373 shares     1,549  
 

Ciena Corporation

  54,927 shares     1,150  
 

Coherent, Inc.

  13,468 shares     3,801  
 

Colony NorthStar, Inc.

  103,228 shares     1,178  
 

Columbia Banking System, Inc.

  13,222 shares     575  
 

CommScope Holding Company, Inc.

  39,835 shares     1,507  
 

Convergys Corporation

  40,214 shares     945  
 

Cooper Tire & Rubber Company

  19,106 shares     675  
 

Crown Holdings, Inc.

  10,290 shares     579  
 

Curtiss-Wright Corporation

  5,940 shares     724  
 

CYS Investments, Inc.

  232,942 shares     1,871  
 

Diamondback Energy, Inc.

  22,943 shares     2,897  
 

Dick’s Sporting Goods, Inc.

  24,832 shares     714  

 

14


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
 

Dril-Quip, Inc.

  8,322 shares     397  
 

E*TRADE Financial Corporation

  44,494 shares     2,206  
 

East West Bancorp, Inc.

  38,301 shares     2,330  
 

Energizer Holdings, Inc.

  14,859 shares     713  
 

EnerSys

  27,010 shares     1,881  
 

Engility Holdings, Inc.

  26,502 shares     752  
 

Envision Healthcare Corporation

  33,894 shares     1,171  
 

EQT Corporation

  26,523 shares     1,510  
 

Essent Group Ltd.

  46,028 shares     1,999  
 

Everest Re Group, Ltd.

  6,849 shares     1,516  
 

Extraction Oil & Gas, Inc.

  82,460 shares     1,180  
 

FCB Financial Holdings, Inc.

  18,777 shares     954  
 

Ferro Corporation

  38,196 shares     901  
 

Ferroglobe plc

  81,474 shares     1,320  
 

Fidelity National Financial, Inc.

  15,828 shares     621  
 

First Citizens BancShares, Inc.

  2,729 shares     1,100  
 

First Merchants Corporation

  23,713 shares     998  
 

First Midwest Bancorp, Inc.

  25,090 shares     603  
 

FirstCash, Inc.

  32,986 shares     2,225  
 

Flex Ltd.

  121,632 shares     2,188  
 

Foot Locker, Inc.

  19,569 shares     917  
 

Forum Energy Technologies, Inc.

  43,788 shares     681  
 

Fresh Del Monte Produce Inc.

  18,902 shares     901  
 

FTI Consulting, Inc.

  26,899 shares     1,156  
 

Gardner Denver Holdings, Inc.

  45,019 shares     1,528  
 

Granite Construction Incorporated

  10,683 shares     678  
 

Granite Point Mortgage Trust Inc.

  25,836 shares     458  
 

Graphic Packaging Holding Company

  186,733 shares     2,885  
 

Group 1 Automotive, Inc.

  8,479 shares     602  
 

Gulfport Energy Corporation

  61,995 shares     791  
 

Hanmi Financial Corporation

  26,565 shares     806  
 

The Hanover Insurance Group, Inc.

  10,780 shares     1,165  
 

Hillenbrand, Inc.

  16,053 shares     718  
 

Huntington Ingalls Industries, Inc.

  2,547 shares     600  
 

Huron Consulting Group Inc.

  24,337 shares     985  
 

ICON Public Limited Company

  17,894 shares     2,007  
 

INC Research Holdings, Inc.

  32,539 shares     1,419  
 

Infinity Property and Casualty Corporation

  6,032 shares     639  
 

Insight Enterprises, Inc.

  17,106 shares     655  
 

Integra LifeSciences Holdings Corporation

  12,739 shares     610  
 

Jagged Peak Energy Inc.

  99,063 shares     1,563  
 

Jazz Pharmaceuticals plc

  8,234 shares     1,109  
 

Jones Lang LaSalle Incorporated

  9,402 shares     1,400  
 

KAR Auction Services, Inc.

  41,134 shares     2,078  
 

Kosmos Energy Ltd.

  122,963 shares     842  
 

La-Z-Boy Incorporated

  44,420 shares     1,386  
 

LCI Industries

  18,238 shares     2,371  
 

Leucadia National Corporation

  69,982 shares     1,854  
 

LifePoint Health, Inc.

  28,735 shares     1,431  
 

Lions Gate Entertainment Corp.

  17,883 shares     568  
 

Lithia Motors, Inc.

  18,917 shares     2,149  

 

15


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
 

Maiden Holdings, Ltd.

  304,956 shares     2,013  
 

ManpowerGroup Inc.

  6,426 shares     810  
 

Marvell Technology Group Ltd.

  90,240 shares     1,938  
 

MAXIMUS, Inc.

  9,057 shares     648  
 

MFA Financial, Inc.

  210,711 shares     1,669  
 

Minerals Technologies Inc.

  26,080 shares     1,796  
 

MTGE Investment Corp.

  25,618 shares     474  
 

National General Holdings Corp.

  76,467 shares     1,502  
 

Navient Corporation

  176,668 shares     2,353  
 

Navigant Consulting, Inc.

  50,132 shares     973  
 

NCR Corporation

  49,717 shares     1,690  
 

Nelnet, Inc.

  25,328 shares     1,388  
 

NetApp, Inc.

  41,009 shares     2,269  
 

Olin Corporation

  19,740 shares     703  
 

ASGN Incorporated

  40,976 shares     2,634  
 

ON Semiconductor Corporation

  106,752 shares     2,235  
 

Owens-Illinois, Inc.

  42,669 shares     946  
 

Parsley Energy, Inc.

  102,917 shares     3,030  
 

Peapack-Gladstone Financial Corporation

  5,689 shares     199  
 

PolyOne Corporation

  7,071 shares     308  
 

Portland General Electric Company

  13,366 shares     609  
 

PQ Group Holdings Inc.

  96,752 shares     1,592  
 

PRA Group, Inc.

  20,184 shares     670  
 

QEP Resources, Inc.

  92,325 shares     884  
 

Qorvo, Inc.

  17,058 shares     1,136  
 

Radian Group Inc.

  95,329 shares     1,965  
 

Raymond James Financial, Inc.

  8,402 shares     750  
 

Realogy Holdings Corp.

  17,024 shares     451  
 

Reinsurance Group of America, Incorporated

  14,747 shares     2,299  
 

RPX Corporation

  87,587 shares     1,177  
 

RSP Permian, Inc.

  45,408 shares     1,847  
 

Scholastic Corporation

  9,228 shares     370  
 

Schweitzer-Mauduit International, Inc.

  49,993 shares     2,268  
 

Select Medical Holdings Corporation

  31,898 shares     563  
 

Skechers U.S.A., Inc.

  74,293 shares     2,811  
 

SLM Corporation

  281,546 shares     3,182  
 

Standard Motor Products, Inc.

  13,700 shares     615  
 

Starwood Property Trust, Inc.

  86,367 shares     1,844  
 

Steel Dynamics, Inc.

  64,302 shares     2,774  
 

Steven Madden, Ltd.

  51,538 shares     2,407  
 

Stifel Financial Corp.

  44,763 shares     2,666  
 

SunCoke Energy, Inc.

  148,116 shares     1,776  
 

SVB Financial Group

  4,808 shares     1,124  
 

Sykes Enterprises, Incorporated

  26,442 shares     832  
 

SYNNEX Corporation

  13,405 shares     1,823  
 

TEGNA Inc.

  29,544 shares     416  
 

TTEC Holdings, Inc.

  62,459 shares     2,514  
 

Tempur Sealy International, Inc.

  9,505 shares     596  
 

Teradyne, Inc.

  26,937 shares     1,128  
 

Tetra Tech, Inc.

  33,338 shares     1,605  

 

16


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
 

Torchmark Corporation

  7,452 shares     676  
 

Trinseo S.A.

  15,744 shares     1,143  
 

Tutor Perini Corporation

  52,430 shares     1,329  
 

Two Harbors Investment Corp.

  136,315 shares     2,217  
 

Universal Corporation

  22,040 shares     1,157  
 

Validus Holdings, Ltd.

  36,701 shares     1,722  
 

Valvoline Inc.

  85,880 shares     2,152  
 

Walker & Dunlop, Inc.

  70,285 shares     3,339  
 

WESCO International, Inc.

  44,076 shares     3,004  
 

White Mountains Insurance Group, Ltd.

  1,752 shares     1,491  
 

WildHorse Resource Development Corporation

  71,056 shares     1,308  
 

World Fuel Services Corporation

  129,722 shares     3,650  
 

Brown Brothers Harriman Short-Term Investment Fund

  6,096,951 shares     6,097  
     

 

 

 
        457,858  
 

William Blair Small Mid Cap Growth Separate Account—

   
 

Depository Receipts

   
 

NICE Systems Ltd.

  18,860 shares     1,733  
 

Common Stock

   
 

2U, Inc.

  48,660 shares     3,139  
 

ABIOMED, Inc.

  17,973 shares     3,368  
 

Adtalem Global Education Inc.

  81,656 shares     3,434  
 

Affiliated Managers Group, Inc.

  13,193 shares     2,708  
 

Arista Networks, Inc.

  10,697 shares     2,520  
 

Axalta Coating Systems Ltd.

  72,480 shares     2,345  
 

Ball Corporation

  108,870 shares     4,121  
 

Bank of the Ozarks

  82,180 shares     3,982  
 

Booz Allen Hamilton Holding Corporation

  110,413 shares     4,210  
 

BWX Technologies, Inc.

  102,273 shares     6,186  
 

Cable One, Inc.

  1,770 shares     1,245  
 

Cambrex Corporation

  58,367 shares     2,802  
 

Carrizo Oil & Gas, Inc.

  35,730 shares     760  
 

Cboe Global Markets, Inc.

  25,019 shares     3,117  
 

Celanese Corporation

  34,476 shares     3,692  
 

Charles River Laboratories International, Inc.

  31,120 shares     3,406  
 

Coherent, Inc.

  8,060 shares     2,275  
 

Colliers International Group Inc.

  24,728 shares     1,492  
 

Copart, Inc.

  161,830 shares     6,989  
 

CoStar Group, Inc.

  19,597 shares     5,819  
 

CSRA Inc.

  66,690 shares     1,995  
 

DexCom, Inc.

  44,130 shares     2,533  
 

Diamondback Energy, Inc.

  22,520 shares     2,843  
 

Domino’s Pizza, Inc.

  26,240 shares     4,958  
 

East West Bancorp, Inc.

  27,270 shares     1,659  
 

Encore Capital Group, Inc.

  57,476 shares     2,420  
 

Euronet Worldwide, Inc.

  31,340 shares     2,641  
 

Exact Sciences Corporation

  39,232 shares     2,061  

 

17


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 
 

FirstCash, Inc.

  43,828 shares     2,956  
 

FirstService Corporation

  31,175 shares     2,180  
 

Glaukos Corporation

  45,893 shares     1,177  
 

Grand Canyon Education, Inc.

  41,550 shares     3,720  
 

Guidewire Software, Inc.

  54,440 shares     4,043  
 

HEALTHSOUTH CORP

  64,045 shares     3,164  
 

HEICO Corporation (HEI)

  40,802 shares     3,225  
 

Hexcel Corporation

  51,470 shares     3,183  
 

Hilton Grand Vacations Inc.

  76,611 shares     3,214  
 

Horizon Pharma Public Limited Company

  211,920 shares     3,094  
 

IDEXX Laboratories, Inc.

  14,230 shares     2,225  
 

j2 Global, Inc.

  27,181 shares     2,039  
 

Jones Lang LaSalle Incorporated

  19,913 shares     2,966  
 

Ligand Pharmaceuticals Incorporated

  29,734 shares     4,071  
 

Live Nation Entertainment, Inc.

  74,860 shares     3,187  
 

Martin Marietta Materials, Inc.

  20,660 shares     4,567  
 

MAXIMUS, Inc.

  51,060 shares     3,655  
 

MaxLinear, Inc.

  92,024 shares     2,431  
 

National Instruments Corporation

  56,529 shares     2,353  
 

Nu Skin Enterprises, Inc.

  19,167 shares     1,308  
 

OM Asset Management plc

  92,380 shares     1,547  
 

Repligen Corporation

  42,174 shares     1,530  
 

Rogers Corporation

  25,150 shares     4,072  
 

SiteOne Landscape Supply, Inc.

  33,150 shares     2,543  
 

Six Flags Entertainment Corporation

  76,429 shares     5,088  
 

Take-Two Interactive Software, Inc.

  31,960 shares     3,509  
 

Teledyne Technologies Incorporated

  17,890 shares     3,241  
 

The Dun & Bradstreet Corporation

  15,493 shares     1,835  
 

The Michaels Companies, Inc.

  138,822 shares     3,358  
 

The Middleby Corporation

  31,560 shares     4,259  
 

The Toro Company

  24,999 shares     1,631  
 

Tractor Supply Company

  34,950 shares     2,613  
 

TransUnion

  64,190 shares     3,528  
 

Universal Electronics Inc.

  39,970 shares     1,889  
 

Vail Resorts, Inc.

  10,100 shares     2,146  
 

Vanitiv, Inc.

  55,760 shares     4,101  
 

Veeva Systems Inc.

  49,040 shares     2,711  
 

Virtu Financial, Inc

  85,133 shares     1,558  
 

West Pharmaceutical Services, Inc.

  23,370 shares     2,306  
 

WEX Inc.

  30,890 shares     4,363  
 

Yelp Inc.

  74,020 shares     3,106  
     

 

 

 
        210,145  
  Common/Collective Trust Funds:    
 

Broad Market Bond I—

   
 

Wells Fargo Core Bond II CIT EF1

  22,181,271 shares     235,122  
 

Loomis Sayles Core Plus Fixed Income Fund D

  16,133,218 shares     235,222  

*

 

Fidelity Contrafund Commingled Pool—Class 2

  97,298,004 shares     1,554,822  

*

 

Fidelity Growth Company Commingled Pool—Class 2

  62,411,462 shares     1,188,314  

 

18


Table of Contents

Oracle Corporation

401(k) Savings and Investment Plan

EIN 54-2185193, Plan # 001

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

December 31, 2017

 

(a)

 

(b)
Identity of Issue, Borrower,
Lessor, or Similar Party

 

(c)

Description of Investment, Including
Maturity Date, Rate of Interest,
Collateral, Par, or Maturity Value

  (e)
Current

Value
(in thousands)
 

*

 

Fidelity Low-Priced Stock Commingled Pool—Class 2

  42,194,589 shares     605,070  
 

Vanguard Institutional 500 Index Trust

  17,230,200 shares     1,784,360  
 

Vanguard Institutional Extended Market Index Trust

  3,754,940 shares     390,852  
 

Vanguard Institutional Total Bond Market Index Trust

  3,762,399 shares     376,052  
 

Vanguard Institutional Total International Stock Market Index Trust

  1,508,070 shares     154,562  
 

Vanguard Target Retirement 2015 Trust Select

  2,449,968 shares     84,965  
 

Vanguard Target Retirement 2020 Trust Select

  12,390,189 shares     439,976  
 

Vanguard Target Retirement 2025 Trust Select

  13,157,202 shares     474,449  
 

Vanguard Target Retirement 2030 Trust Select

  15,958,061 shares     581,671  
 

Vanguard Target Retirement 2035 Trust Select

  13,292,169 shares     490,082  
 

Vanguard Target Retirement 2040 Trust Select

  11,321,130 shares     421,599  
 

Vanguard Target Retirement 2045 Trust Select

  6,454,380 shares     241,975  
 

Vanguard Target Retirement 2050 Trust Select

  4,226,513 shares     158,367  
 

Vanguard Target Retirement 2055 Trust Select

  2,435,672 shares     91,216  
 

Vanguard Target Retirement 2060 Trust Select

  1,172,321 shares     43,915  
 

Vanguard Target Retirement 2065 Trust Select

  28,967 shares     651  
 

Vanguard Target Retirement Income Trust Select

  3,212,367 shares     108,835  
     

 

 

 
 

Total investments, substantially all at fair value**

    $ 15,329,938  
     

 

 

 

*

  Notes Receivable from Participants   4.25% - 11.50%, maturing through 2027   $ 86,132  

 

* Indicates a party-in-interest to the Plan.
**

All investments were stated at fair value as of December 31, 2017 with the exception of one underlying investment of the Galliard Stable Value Fund, which is stated at contract value.

Column (d), cost, has been omitted, as all investments are participant directed.

 

19


Table of Contents

INDEX TO EXHIBITS

 

Exhibit

Number

  

Exhibit Title

23.01    Consent of Independent Registered Public Accounting Firm

 

20


Table of Contents

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the persons who administer the employee benefit plan have duly caused this annual report to be signed on their behalf by the undersigned hereunto duly authorized.

 

   

ORACLE CORPORATION

401(k) SAVINGS AND INVESTMENT PLAN

Date: May 25, 2018     By:  

/s/ PETER W. SHOTT

      Peter W. Shott
      Vice President of Human Resources

 

21