Edgar Filing: BIG LOTS INC

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 11-K


þ		ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES

EXCHANGE ACT OF 1934

For the fiscal year ended December 31, 2001


		TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

For the Transition Period From ______ to ______

Commission File Number 33-19309

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

BIG LOTS, INC. SAVINGS PLAN AND TRUST

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

BIG LOTS, INC.
300 Phillipi Road, P.O. Box 28512
Columbus, Ohio 43228-0512
(614) 278-6800

TABLE OF CONTENTS


INDEPENDENT AUDITORS’ REPORT
	STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
	STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
	NOTES TO FINANCIAL STATEMENTS
	SCHEDULE H, LINE 4i — SCHEDULE OF ASSETS HELD
SIGNATURES
EX-23 Consent

BIG LOTS, INC. SAVINGS PLAN AND TRUST

TABLE OF CONTENTS


	Page

INDEPENDENT AUDITORS’ REPORT		1









FINANCIAL STATEMENTS AS OF DECEMBER 31, 2001 AND 2000 AND FOR THE YEAR ENDED DECEMBER 31, 2001:









Statements of Net Assets Available for Benefits		2









Statement of Changes in Net Assets Available for Benefits		3









Notes to Financial Statements		4









SUPPLEMENTAL SCHEDULE:









Schedule H, line 4i – Schedule of Assets Held at December 31, 2001		8









SIGNATURES		9









EXHIBITS:









Independent Auditor’s Consent (EXHIBIT 23)

INDEPENDENT AUDITORS’ REPORT

To the Plan Administrator of the Big Lots, Inc. Savings Plan and Trust:

We have audited the accompanying statements of net assets available for benefits of the Big Lots, Inc. Savings Plan and Trust (the “Plan”) as of December 31, 2001 and 2000, and the related statement of changes in net assets available for benefits for the year ended December 31, 2001. These financial statements are the responsibility of the Plan’s management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with auditing standards generally accepted in the United States of America. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2001 and 2000, and the changes in net assets available for benefits for the year ended December 31, 2001, in conformity with accounting principles generally accepted in the United States of America.

Our audits were performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental schedule, listed in the table of contents, is presented for the purpose of additional analysis and is not a required part of the basic financial statements but is supplemental information required by the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. This supplementary schedule is the responsibility of the Plan’s management. The supplementary schedule has been subjected to the auditing procedures applied in our audit of the basic financial statements and, in our opinion, is fairly stated in all material respects when considered in relation to the basic financial statements taken as a whole.

DELOITTE & TOUCHE LLP

Dayton, Ohio
June 20, 2002

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BIG LOTS, INC. SAVINGS PLAN AND TRUST

STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
DECEMBER 31, 2001 AND 2000


			2001		2000

ASSETS




INVESTMENTS (Notes D and E):




	Big Lots, Inc. common shares		$	22,347,810	$	18,391,747




Money market fund — Merill Lynch Retirement Preservation Trust				32,232,141		29,145,734




Mutual funds:




	Dreyfus S&P 500 Index Fund			3,347,438		3,772,520




	Fidelity U.S. Bond Fund			2,388,847		1,267,298




	Janus Twenty Fund			5,113,055		7,448,215




	Merrill Lynch Basic Value Fund			12,642,448		12,681,998




	Merrill Lynch Capital Fund			6,757,092		7,094,345




	Merrill Lynch Global Allocation Fund			7,214,484		7,099,050




	Merrill Lynch Growth Fund			3,876,117		5,358,711




Participant loans				5,705,458		6,532,053

		Total investments		101,624,890		98,791,671




Contribution receivable from:




	Big Lots, Inc.			4,128,671		5,248,578




	Participants			336,918		386,807




	Non-qualified plan			64,311




Cash						111,397

TOTAL ASSETS				106,154,790		104,538,453




Administrative expenses payable				147,420		71,640

NET ASSETS AVAILABLE FOR BENEFITS			$	106,007,370	$	104,466,813

See notes to financial statements.

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BIG LOTS, INC. SAVINGS PLAN AND TRUST

STATEMENT OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
YEAR ENDED DECEMBER 31, 2001


ADDITIONS:




	Contributions:




		Participant			$	7,636,907




		Company — stock				4,128,667




		Company — cash				128,450




		Rollovers				147,720

				Total contributions		12,041,744

	Investment income:




		Interest				501,370




		Dividends				4,493,976




		Net depreciation in fair value of investments (Note E)				(6,916,439	)

				Total investment loss		(1,921,093	)

			Total additions			10,120,651

DEDUCTIONS:




	Benefits paid to plan participants					8,328,658




	Administrative expenses					251,436

			Total deductions			8,580,094

NET INCREASE						1,540,557




NET ASSETS:




	Beginning of year					104,466,813

	End of year				$	106,007,370

See notes to financial statements.

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BIG LOTS, INC. SAVINGS PLAN AND TRUST

NOTES TO FINANCIAL STATEMENTS
YEARS ENDED DECEMBER 31, 2001 AND 2000

A.		PLAN DESCRIPTION

		Effective June 2001, Big Lots, Inc. (the “Company”) changed the name of the plan to Big Lots, Inc. Savings Plan and Trust (the “Plan”). The following brief description of the Plan provides only general information. Participants should refer to the Plan document for more complete information.

		*General* – The purpose of the Plan is to encourage employee savings, to facilitate employee ownership of the common stock of Big Lots, Inc., and to provide benefits during the employee’s participation in the Plan and upon retirement, death, disability or termination of employment.

		All employees of Big Lots, Inc. and any of its subsidiaries which have adopted the Plan are eligible to participate. Participants must have attained age twenty-one and have completed one year of service prior to eligibility. Eligible employees may begin participation on the first day of the month following satisfaction of eligibility requirements.

		*Contributions* – For any plan year, participants may contribute to the Plan any whole dollar amount not less than 1% of their compensation for such plan year but not more than the lesser of $9,500 (or such larger amount in accordance with Code Section 402(g) which is $10,500 as of January 1, 2001) or 15% of their compensation for the plan year. For the Plan years 2001 and 2000, participant contributions were matched by the Company at a rate of 100% for the first 2% of salary contributed, and 50% for the next 4% of salary contributed. The Company’s matching contributions may be made in the form of common stock of the Company. Matching contributions are based on the December 31, 2001 closing price.

		*Participant Accounts* – Individual accounts are maintained for each Plan participant. Each participant’s account is credited with the participant’s contribution, the Company’s matching contribution, actual earnings, and charged with an allocation of administrative expenses. Allocations are based on participant earnings or account balances, as defined. The benefit to which a participant is entitled is the benefit that can be provided from the participant’s vested account.

		*Investments* – Participants may elect to allocate their elective contribution to any of nine investment options in increments of 1%. Additionally, this allocation may be revised or investment balances may be transferred by the participant upon notifying participant services by telephone.

		*Vesting* – Participants are immediately vested in their contributions, plus actual earnings thereon. Company matching contributions are subject to a five year vesting schedule. However, each participant shall be fully vested in the Company’s matching contributions allocable to their account in the event of retirement or other termination of employment on or after his or her 65th birthday, on account of disability, as defined, or by reason of death.

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A participant whose employment terminates under circumstances other than those described in the preceding paragraph will be vested in a portion of the Company’s matching contribution based on years of service as follows:


Years of Service	Vested Percentage

Less than 2		–




At least 2 but less than 3		25




At least 3 but less than 4		50




At least 4 but less than 5		75




5 or more		100

		*Payment of Benefits* – On termination of service due to death, disability, or retirement, a participant may elect to receive either a lump-sum amount equal to the value of the participant’s vested interest in their account, or annual installments over a ten year period. For termination of service due to other reasons, a participant may receive the value of their vested interest as a lump-sum distribution. The portion of the Company’s matching contribution that is not fully vested will be forfeited at the time employment terminates. The Company has the right to terminate or amend the Plan at any time. In the event of termination, the Plan assets will be distributed to the participants, after payment of any expenses properly chargeable thereto, in proportion to their respective account balances.

		*Participant Loans* – Participants may borrow from their fund accounts a minimum of $1,000 up to a maximum equal to the lesser of $50,000 or 50% of their vested account balance. Loan transactions are treated as a transfer to the Loan and Short Term Investment fund from the participant investment funds. One loan per participant may be outstanding at any time and the loan term may not exceed 5 years. Loans are secured by the balance in the participant’s account and bear interest at the prime rate plus 1% (rounded to the next 1/4%) as quoted in The Wall Street Journal as of the most recent quarter end when the loan application is approved. Loan repayments, including interest, are through regular payroll deductions. The loan balance may be paid off at any time without penalty.

		*Reclassifications* – Certain December 31, 2000 amounts have been reclassified to conform to the current year classifications.

B.		SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

		*Basis of Accounting* – The financial statements of the Plan are prepared using the accrual basis of accounting.

		*Use of Estimates* – The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and changes therein, and disclosure of contingent assets and liabilities. Actual results could differ from those estimates.

		*Investments* – Investments are reflected in the accompanying statements of net assets available for benefits at market value, which is the valuation of the security or interest in an equity fund at year-end as determined by the quoted market price. The Plan utilizes various investment instruments. Investment securities, in general, are exposed to various risks, such as interest rate, credit and overall market volatility. Due to the level of risk associated with certain investment securities, it is reasonably possible that changes in the value of investment securities will occur in the near term and such changes could materially affect the amounts reported in the statements of net assets available for benefits.

		*Income Recognition* – Purchases and sales of securities are recorded on a trade-date basis. Dividends are recorded on the ex-dividend date.

		*Payment of Benefits* – Benefits are recorded when paid.

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C.		TAX STATUS

		The Plan obtained its latest determination letter on November 21, 1995 in which the Internal Revenue Service stated that the Plan, as then designed, was in compliance with the applicable requirements of the Internal Revenue Code. The Plan has been amended since receiving this determination letter. However, the Company believes that the Plan is currently designed and being operated in compliance with the applicable requirements of the Internal Revenue Code. Therefore, no provision for income taxes has been included in the Plan’s financial statements.

D.		NONPARTICIPANT DIRECTED INVESTMENTS

		Information about the net assets and the significant components of changes in net assets relating to nonparticipant directed investments is as follows:


		December 31,

		2001		2000

Net assets -




	Big Lots, Inc. common shares	$	22,347,810	$	18,391,747


		Year Ended
		December 31,
		2001

Changes in net assets:




	Contributions	$	6,726,391




	Net depreciation		(132,170	)




	Benefits paid to plan participants		(1,639,644	)




	Administrative expenses		(95,483	)




	Transfers from participant directed investments		(903,031	)

		$	3,956,063

E.		INVESTMENTS

		The following presents investments that represented five percent or more of the Plan’s net assets.


	December 31,

	2001		2000

Big Lots, Inc. common shares*	$	22,347,810	$	18,391,747




Merrill Lynch Retirement Preservation Trust		32,232,141		29,145,734




Janus Twenty Fund				7,448,215




Merrill Lynch Basic Value Fund		12,642,448		12,681,998




Merrill Lynch Capital Fund		6,757,092		7,094,345




Merrill Lynch Global Allocation Fund		7,214,484		7,099,050




Merrill Lynch Growth Fund				5,358,711




Participant loans		5,705,458		6,532,053

Nonparticipant directed

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During 2001, the Plan’s investments (including gains and losses on investments bought and sold, as well as held during the year) depreciated in value as follows:


Common stock	$	(325,549	)




Mutual funds		(6,590,890	)

	$	(6,916,439	)

F.		PLAN TERMINATION

		Although it has not expressed any intent to do so, the Company has the right under the Plan to discontinue its contributions at any time and to terminate the Plan subject to the provisions of ERISA. In the event of Plan termination, all vested benefits will be distributed to participants and beneficiaries.

G.		RELATED PARTY TRANSACTIONS

		Certain Plan investments are shares of common stock of Big Lots, Inc., the Plan Sponsor. These transactions qualify as party-in-interest transactions.

******

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BIG LOTS, INC. SAVINGS PLAN AND TRUST

SCHEDULE H, LINE 4i — SCHEDULE OF ASSETS HELD AT END OF YEAR
DECEMBER 31, 2001


					(c)
					Description of Investment
		(b)			Including Maturity Date, Rate of			(e)
		Identity of Issuer, Borrower,			Interest, Collateral, Par or	(d)		Current
(a)		Lessor, or Similar Party			Maturity Value	Cost		Value




		Common Stock -




	*		Big Lots, Inc		Common stock; 2,148,828 shares	$	39,124,826	$	22,347,810

		Money Market Fund — Merrill Lynch Retirement Preservation Trust; 32,232,141 shares					32,232,141		32,232,141






		Mutual Funds:




			Dreyfus		S&P 500 Index Fund; 100,163 shares		3,854,269		3,347,438




			Fidelity		U.S. Bond Fund; 221,201 shares		2,361,042		2,388,847




			Janus		Twenty Fund; 132,944 shares		8,367,399		5,113,055




			Merrill Lynch		Basic Value Fund; 431,778 shares		13,963,305		12,642,448




			Merrill Lynch		Capital Fund; 252,736 shares		7,975,009		6,757,092




			Merrill Lynch		Global Allocation Fund; 561,438 shares		7,557,948		7,214,484




			Merrill Lynch		Growth Fund; 213,854 shares		6,013,570		3,876,117

				Total mutual funds			50,092,542		41,339,481

		Participant loans			8% - 10%, maturing primarily
					over the next 5 years		5,705,458		5,705,458

		TOTAL ASSETS HELD FOR INVESTMENT PURPOSES AT END OF YEAR				$	127,154,967	$	101,624,890

Party-in-interest.

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SIGNATURES

The Plan. Pursuant to the requirements of the Securities and Exchange Act of 1934, the trustees (or other persons who administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized.


		BIG LOTS, INC. SAVINGS PLAN AND TRUST



		By: /s/ BRAD A. WAITE Brad A. Waite, Executive Vice President

		Dated: June 27, 2002

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