================================================================================
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
-----------------
FORM 11-K
[X] ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934 for the fiscal year ended April 30, 2002 or
[_] TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934 for the transition period from _________ to __________
Commission File Number 333-55380
A. Full title of the plan and address of the plan:
BEARINGPOINT, INC. 401(K) PLAN
(formerly KPMG Consulting, Inc.)
c/o Human Resources
BearingPoint, Inc.
1676 International Drive
McLean, Virginia 22102
B. Name of issuer of the securities held pursuant to the plan and the address
of its principal executive offices:
BearingPoint, Inc.
1676 International Drive
McLean, Virginia 22102
REQUIRED INFORMATION
Page
REPORT OF INDEPENDENT ACCOUNTANTS 4
FINANCIAL STATEMENTS
Statements of Net Assets Available for Benefits 5
Statements of Changes in Net Assets Available for Benefits 6
Notes to Financial Statements 7
SUPPLEMENTAL SCHEDULES
Schedule H, Item 4i - Schedule of Assets (Held at End of Year)
- April 30, 2002 14
EXHIBIT
EXHIBIT 23.1 - Consent of Independent Certified Public Accountants 15
2
Signature
Pursuant to the requirements of the Securities Exchange Act of 1934, the
trustees (or other persons who administer the Plan) have duly caused this annual
report to be signed by the undersigned hereunto duly authorized.
BEARINGPOINT, INC. 401(K) PLAN
Date: February 27, 2003 By: /s/ Mary Sullivan
-----------------------------
Mary Sullivan
Chair, 401(k) Plan Committee
3
REPORT OF INDEPENDENT CERTIFIED PUBLIC ACCOUNTANTS
BearingPoint, Inc. 401(k) Committee
We have audited the accompanying statements of net assets available for benefits
of the BearingPoint, Inc. 401(k) Plan (the "Plan") as of April 30, 2002 and
2001, and the related statements of changes in net assets available for benefits
for the years then ended. These financial statements are the responsibility of
the management of the Plan. 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
April 30, 2002 and 2001, and the changes in net assets available for benefits
for the years then ended, in conformity with accounting principles generally
accepted in the United States of America.
Our audits of the Plan's financial statements as of April 30, 2002 and 2001 and
for the years then ended were conducted for the purpose of forming an opinion on
the basic financial statements taken as a whole. The supplemental schedule of
Assets Held at End of Year April 30, 2002 is presented for the purpose of
additional analysis, and is not a required part of the basic financial
statements required by the Department of Labor's Rules and Regulations for
Reporting and Disclosure under the Employee Retirement Income Security Act of
1974. The supplemental schedule has been subjected to the auditing procedures
applied in the audits of the basic financial statements and, in our opinion, is
fairly stated in all material respects in relation to the basic financial
statements taken as a whole.
GRANT THORNTON LLP
Boston, MA
December 16, 2002
4
BEARINGPOINT, INC. 401(K) PLAN
(formerly KPMG Consulting, Inc.)
STATEMENTS OF NET ASSETS AVAILABLE FOR BENEFITS
April 30,
----------------------------------------------
2002 2001
----------------- -------------------
ASSETS
Investments (Note C) $267,294,561 $252,530,561
Receivables
Company contributions, net of forfeitures 1,159,136 13,640,180
Other 11,477 47,008
----------------- -------------------
Total receivables 1,170,613 13,687,188
----------------- -------------------
Net assets available for benefits $268,465,174 $266,217,749
================= ===================
The accompanying notes are an integral part of these financial statements.
5
BEARINGPOINT, INC. 401(K) PLAN
(formerly KPMG Consulting, Inc.)
STATEMENTS OF CHANGES IN NET ASSETS AVAILABLE FOR BENEFITS
Year ended April 30,
----------------------------------------------------
2002 2001
----------------------- ----------------------
Additions to net assets attributed to:
Investment income (loss)
Net depreciation in fair value of investments (Note C) $ (31,127,684) $ (42,900,700)
Interest and dividends 7,934,995 15,398,763
----------------------- ---------------------
Total investment loss (23,192,689) (27,501,937)
Contributions
Participant contributions and rollovers 50,834,006 58,459,965
Company contributions, net of forfeitures 2,045,625 13,682,248
----------------------- ----------------------
Total contributions 52,879,631 72,142,213
Transfer to collective trust (Note H) - 455,444
Transfers from KPMG LLP 401(k) Plan (Note J) - 9,746,591
Other 140,347 148,220
----------------------- ----------------------
Total additions 29,827,289 54,990,531
Deductions from net assets attributed to:
Benefit payments to participants 27,402,897 27,905,726
Administrative expenses (Note A-9) 176,967 87,226
----------------------- ----------------------
Net increase 2,247,425 26,997,579
Net assets available for benefits
Beginning of period 266,217,749 239,220,170
----------------------- ----------------------
End of period $ 268,465,174 $ 266,217,749
======================= ======================
The accompanying notes are an integral part of these financial statements.
6
BEARINGPOINT, INC. 401(K) PLAN
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 2002 and 2001
NOTE A - Description of the Plan
1. General
The following brief description of the BearingPoint, Inc. 401(k) Plan (the
"Plan") is provided for general information purposes only. Participants
should refer to the Plan agreement for a more complete description of the
provisions of the Plan.
As of January 31, 2000, KPMG LLP separated its Consulting Business from its
remaining businesses, and transferred the Consulting Business into a newly
formed corporate entity, KPMG Consulting, Inc., which subsequently changed its
name to BearingPoint, Inc. on October 2, 2002. In connection with the
separation from KPMG LLP, BearingPoint, Inc. (the "Company") established a new
401(k) plan for its employees. Balances in the KPMG LLP 401(k) Plan belonging
to former employees of KPMG LLP, who became employees of the Company effective
February 1, 2000, were transferred to the BearingPoint, Inc. 401(k) Plan
(formerly the KPMG Consulting, Inc. 401(k) Plan), which became the opening
balance in the Plan.
The Plan is a defined contribution plan. All full-time employees and
part-time employees of the Company regularly scheduled to work 1,000 hours in
the plan year are eligible to participate. The Plan has two features: the
401(k) portion, which allows participants to make pre-tax contributions, and
the thrift portion, which allows participants to make after-tax contributions.
The Plan qualifies under Section 401(a) of the Internal Revenue Code of 1986,
as amended, and is subject to the provisions of the Employee Retirement Income
Security Act of 1974 ("ERISA").
2. Contributions
Participants may contribute from 1 percent to 20 percent of their annual
pre-tax compensation to the maximum permitted by the Internal Revenue Code,
$11,000 for calendar year ended 2002 and $10,500 for calendar year ended 2001,
as further limited by the Internal Revenue Code. Participants may also roll over
amounts representing distributions from other qualified defined benefit or
defined contribution plans. Participants may choose to have their contributions
invested entirely in one, or in any combination of investment options, in whole
percentage increments. The Plan currently offers participants a variety of
investment options, including a money market fund, collective trusts, guaranteed
interest and annuity contracts ("GICs") and mutual funds. Additionally,
employees may elect to invest their retirement funds in the Company's common
stock, but no provisions of the Plan require them to do so. Participants may
change their deferral percentage and investment selection for future
contributions at any time. The changes will take effect for the next eligible
pay cycle so long as the request is completed before the respective cutoff
dates. The Plan does not restrict the ability of employees to dispose of any of
the Company's common stock that they hold in their retirement funds.
Participants may transfer part or all of existing account balances among funds
in the plan at any time.
Employees who make salary reduction contributions during the plan year and
who are employed on the last day of the Plan year may receive a Company matching
contribution granted at the discretion of the Board of Directors of up to 50
percent of the first six percent of pre-tax base compensation contributed to the
Plan. The matching contribution is calculated once a year on the last day of the
Plan year. Matching contributions may be made in cash or common stock of the
Company. When the Company match is paid in cash, participants may choose to have
their contributions invested entirely in one, or in any combination of
investment options, in whole percentage increments. Matching contributions for
the years ended April 30, 2002 and 2001 were $1,159,136, or 10%, and
$13,640,180, or 50%, respectively. Matching contributions were paid in cash
subsequent to the respective Plan year end and were net of forfeitures of
approximately $1,635,526 and $883,000, respectively. Forfeitures represent the
unvested account balances for participants who have terminated their employment
with the Company.
7
BEARINGPOINT, INC. 401(k) Plan
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS-(Continued)
April 30, 2002 and 2001
The Company may, at its discretion, make profit-sharing contributions to the
Plan to eligible employees employed on the last day of the plan year, allocated
according to their relative amount of compensation. Investment allocations of
profit-sharing contributions are participant-directed. No profit-sharing
contributions were made for Plan years ended April 30, 2002 and 2001.
3. Participant Accounts
The Plan recordkeeper (Merrill Lynch & Co.) maintains an account in the name
of each participant constituting the sum of the participant's pre-tax
contributions, after-tax contributions, matching contributions, profit-sharing
contributions, rollover contributions and share of the net earnings, losses and
expenses, if any, of the various investment funds; less any loans and
withdrawals.
The interest of each participant in each of the funds is represented by
units/shares credited to the participant's account. On each valuation date, the
unit value of each fund is determined by dividing the current market value of
the assets in that fund on that date by the number of units in the fund.
4. Vesting
Participants are immediately vested in their contributions plus actual
earnings thereon. Vesting in the Company's matching and profit-sharing
contributions portions of the participant's account balance, plus actual
earnings thereon, is based on years of service. Matching and profit-sharing
contributions vest at a rate of 25% per year, starting in year two, with 100%
vested after five years of service.
5. Participant Loans
Active participants may borrow from their vested matching contributions
account, pre-tax contributions account and rollover account (in such order),
excluding the thrift account, a minimum of $500 to a maximum equal to the
lesser of $50,000 or fifty percent of their aggregate vested account balances.
Loan terms range from one to five years or up to twenty years for the purchase
of a primary residence. A participant may have up to two loans outstanding at
any time. The loans are secured by the account balance under the Plan and bear
interest at 1% plus the prime interest rate at the date of the loan. As of
April 30, 2002 and 2001, interest rates ranged from 4.75% to 11.50%. Principal
and interest are generally repaid through regular semi-monthly after-tax
payroll deductions, however participants may elect to repay the entire
outstanding loan balance at any time, with no penalty.
Upon a participant's termination of employment, any loan that is outstanding
shall become immediately payable in full. Participant loans considered in
default based on the terms of the plan document are deemed cancelled and are
included as distributions in the statement of changes in net assets available
for benefits. During the plan year ended April 30, 2002, $236,706 in defaulted
participant loans were treated as deemed distributions. During the subsequent
plan year (i.e. May 1, 2002 through April 30, 2003), defaulted loans from prior
plan years in the amount of $1,365,874 will be treated as deemed distributions.
The plan sponsor intends to utilize the Internal Revenue Service's Employee
Plans Compliance Resolution System (EPCRS), described in Revenue Procedure
2002-47, to correct and appropriately document any plan operational errors with
respect to the delinquent repayment of participant loans.
8
BEARINGPOINT, INC. 401(k) Plan
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS-(Continued)
April 30, 2002 and 2001
6. Withdrawals
A participant who has attained age 59 1/2 may withdraw all or any portion of
his/her vested account balance upon approval by the Company's 401(k) Plan
Committee.
Withdrawals for financial hardship are permitted provided they are for a
severe and immediate financial need and the distribution is necessary to
satisfy that need. Participants are required to fully use the Plan loan
program, described above, before requesting a hardship withdrawal. Participants
must submit evidence of hardship to the Company's 401(k) Plan Committee, who
will determine whether the situation qualifies for a hardship withdrawal.
7. Distributions
Upon termination of service, a participant who has vested benefits below
$5,000 receives a lump-sum distribution. A participant whose vested benefits
equal or exceed $5,000 may elect to receive a distribution of his/her account
balance or leave the vested balance in the Plan until a date not to exceed
April 1 of the year following the year in which the participant attains age 70
1/2. A participant may elect to receive his/her distribution as a lump-sum
distribution, or in monthly installments over a period not to exceed his/her
life expectancy, or the joint and last survivor life expectancy of him/her or
his/her beneficiary.
Upon the death of a participant, the value of the participant's account will
be distributed to the participant's beneficiary in a lump-sum cash payment. If
the participant is married, the beneficiary must be the participant's spouse,
unless the participant's spouse has previously given written, notarized consent
to designate another person as beneficiary. If the participant marries or
remarries, any prior beneficiary designation is cancelled and the spouse
automatically becomes the beneficiary. If the participant is single, the
beneficiary may be anyone previously designated by the participant under the
Plan. In the absence of an effective designation under the Plan at the time of
death, the proceeds normally will be paid to your surviving spouse or, if no
surviving spouse exists, to the participant's estate.
8. Plan Termination
Although it has not expressed any intent to do so, the Company has the right
to discontinue its contributions and terminate the Plan, subject to the
provisions of ERISA. In the event of Plan termination, participants will become
100% vested in their accounts.
9. Administration
The assets of the Plan are held by Merrill Lynch & Co., as Trustee, of the
BearingPoint, Inc. 401(k) Plan Trust (the "Trust"). The assets in the Trust are
invested in various mutual funds, guaranteed interest and annuity contracts,
collective trusts, money market funds and Company common stock. The assets of
the Plan are invested with the following investment managers as of April 30,
2002 and 2001: Fund Asset Management, L.P. and Merrill Lynch Asset Management,
L.P. (subsidiaries of Merrill Lynch & Co.); Fidelity Management and Research
Company; Templeton Global Advisors Limited; Massachusetts Financial Services
Company; Lord Abbett; Mercury Hotchkis and Wiley; Federated Investors; and
Munder NetNet.
Prior to October 31, 2001, the Compensation and Benefits group of KPMG LLP
performed the primary administrative functions of the Plan. As of November 1,
2001, these services were transitioned to the BearingPoint Compensation and
Benefits group, which now provides administrative services for the Plan.
Neither KPMG LLP nor BearingPoint have received compensation from the Plan for
services provided. Substantially all administrative expenses, including the
expenses related to the use of premises, facilities and equipment, etc. for the
years ended April 30, 2002 and 2001, were paid by the Company.
9
BEARINGPOINT, INC. 401(k) Plan
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS-(Continued)
April 30, 2002 and 2001
10. Risks and Uncertainties
The Plan provides for various investment options which invest in any
combination of equities, fixed income securities, guaranteed investment
contracts and derivative contracts. Investment securities are exposed to various
risks, such as interest rates, credit and overall market volatility. Due to the
level of risk associated with certain investment securities and the level of
uncertainty related to changes in the value of investment securities, it is
reasonably possible that changes in risks in the near term could materially
affect participant's account balances and the amounts reported.
NOTE B - Summary of Significant Accounting Policies
1. Basis of Accounting
The financial statements of the Plan are prepared using the accrual method
of accounting.
Certain amounts reported in the prior year have been reclassified to conform
to the fiscal 2002 presentation.
2. Investment Valuation
The fair value of the net assets of the Plan is based on the estimated fair
values of the underlying assets and liabilities. Cash and cash equivalents are
reported at cost which approximates fair value. Investments in registered
investment companies are valued at the net asset values per share as quoted by
such companies as of the valuation date. Investments in guaranteed investment
contracts are valued at contract value in accordance with AICPA Statement of
Position 94-4 ("SOP 94-4"), "Reporting of Investment Contracts Held by Health
and Welfare Benefit Plans and Defined Contribution Pension Plans." Contract
value is equal to cost plus earnings, less participant withdrawals. Shares of
the Company's common stock are valued at quoted market prices at the end of the
period. Other investments, not having an established market value, are valued
at estimated fair value, as determined by the Trustee.
Purchases and sales of securities are recorded on a trade-date basis, and
gain or loss on disposition is based on average cost. Unsettled security
transactions at year end are reflected in the financial statements as a net
payable or receivable. Dividend income is recorded as of the "ex-dividend
date," and interest income is recorded on the accrual basis.
3. 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, liabilities and changes therein, and disclosures of contingent
assets and liabilities at the date of the financial statements. Actual results
may differ significantly from those estimates.
4. Payment of Benefits
Benefits payments to participants are recorded upon distribution.
10
BEARINGPOINT, INC. 401(k) Plan
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS-(Continued)
April 30, 2002 and 2001
NOTE C - Investments
The following investments represent 5% or more of the Plan's net assets as
of April 30, 2002 and 2001:
April 30,
----------------------------
2002 2001
-------------- -------------
Fidelity Magellan Fund $ 55,294,616 $ 61,690,345
Merrill Lynch Retirement Preservation Trust 40,741,534 -
Merrill Lynch Equity Index Trust 37,360,197 44,373,508
Merrill Lynch Basic Value Fund 32,599,852 29,072,892
Merrill Lynch Growth Fund 26,490,742 n/a
MFS Emerging Growth Fund - 17,263,542
Blended Fixed Interest Fund - 30,295,450
The Plan's investments (including gains and losses on investments bought and
sold, as well as held, during the year) appreciated (depreciated) in value as
follows:
Year ended April 30,
----------------------------
2002 2001
-------------- -------------
Mutual Funds $(25,497,195) $(36,057,321)
Collective Trusts (5,862,766) (6,742,360)
Common Stock 232,277 (101,019)
-------------- -------------
Net depreciation in fair value of investments $(31,127,684) $(42,900,700)
============== =============
NOTE D - Investment Contract with Insurance Companies
During the Plan years ended April 30, 2002 and 2001, one of the investment
options offered by the Plan was the Blended Fixed Interest Fund. The Blended
Fixed Interest Fund invested in a guaranteed interest contract with JP Morgan
and in the Merrill Lynch Retirement Preservation Trust (MLRPT), which invests in
guaranteed interest and annuity contracts and synthetic GICs. As of July 31,
2001, the Blended Fixed Interest Fund was closed, and all the assets held within
the fund were transferred into the MLRPT. As of July 31, 2001, approximately
$31,201,000 in total assets were transferred into the MLRPT.
As of April 30, 2001, investments in the Blended Fixed Interest Fund
totaled approximately $30,295,000. The interest rate applicable to these
investments was 6.49%. The average yields applicable to guaranteed interest and
annuity contracts for the period ended July 31, 2001 and for the year ended
April 30, 2001, were approximately 6.14% and 6.58%, respectively.
As of April 30, 2001, the Blended Fixed Interest Fund was valued at
contract value as permitted by SOP 94-4. The contract value of the Blended Fixed
Interest Fund approximated the aggregate fair value calculated by the Trustee.
The aggregate fair value was calculated by the Trustee based on the discounted
present value of the cash flows of the instruments held by the Blended Fixed
Interest Fund, without regard to the benefit-responsive features or other
particular contractual provisions of any such instruments and does not
necessarily represent the actual value of the Blended Fixed Interest Fund.
As of April 30, 2001, there were no reserves against contract value for
credit risk of the contract issuers or otherwise.
11
BEARINGPOINT, INC. 401(k) Plan
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS-(Continued)
April 30, 2002 and 2001
NOTE E - Related Party Transactions
Certain Plan investments are shares of mutual funds and collective trusts
managed by Merrill. As of April 30, 2002 and 2001, Merrill was the trustee of
the Plan, and, therefore, these transactions are considered party-in-interest
transactions. Additionally, Merrill acts as the recordkeeper for the Plan. Fees
for the investment management and recordkeeping services are paid by the
Company.
NOTE F - Income Tax Status
The Trust established under the Plan is designed to qualify under Section
401(a) of the Internal Revenue Code. The Plan Administrator has submitted a
request for determination to the Internal Revenue Service. The Plan
Administrator believes that the Plan is currently being operated in compliance
with the applicable requirements of the Internal Revenue Code.
NOTE G - Prohibited Transaction
Under U.S. Department of Labor regulation section 2510.3-102, salary
deferrals to a 401(k) plan and loan repayments that are withheld from employees'
paychecks must be deposited into the plan as soon as reasonably possible, but in
no event later than the fifteenth business day of the month following the month
of the withholding from the paycheck. When this regulation is not satisfied, the
plan sponsor has engaged in a prohibited transaction.
During the plan year ended April 30, 2001, the Company inadvertently
engaged in a prohibited transaction. The Company remitted two deposits to the
Plan after the required fifteen days. Salary deferrals of $71,000 and
participant loan repayments of $1,590 were due on June 21, 2000, but were not
deposited into the Plan's account until July 14, 2000. These late remittances
arose because the Company did not receive timely payroll information from the
payroll department of a former subsidiary. The payroll of this subsidiary was
combined with the Company's payroll on July 1, 2000.
The Company took corrective actions relating to these prohibited
transactions, which consisted of: (a) restoring lost interest on the deposit to
the participants' (b) restoring earnings on the lost interest to the Plan based
on applicable IRS regulations, and (c) filing IRS Form 5530 and paying the
applicable excise tax. Excise taxes were calculated at 15% of the earnings plus
the interest on the earnings on the late deposits. The total cost of the lost
earnings thereon was $111.84.
NOTE H - Transfer to Collective Trusts
On December 14, 2000, the assets that were held in three mutual funds, for
which Merrill Lynch ("Merrill") is the investment manager, were transferred into
collective trusts with the same investment guidelines. Merrill determined that
the assets held in the mutual funds should have been invested in the respective
collective trusts at the time Merrill became the trustee and recordkeeper for
the KPMG LLP 401(k) Plan and the KPMG LLP Money Purchase Plan (March 1997), and
advised KPMG LLP (predecessor plan sponsor) and the Company of this matter. The
respective collective trusts have lower overall expense ratios. Each
participant's account was corrected to reflect his or her balance had his or her
investments been placed in the collective trusts, rather than the mutual funds,
at the time he or she originally elected this investment choice. Neither KPMG
LLP nor the Company was required to fund additional contributions to the Plan.
The net effect of this transfer was to increase the total assets of the Plan by
$455,444.
NOTE I - Plan Amendment
In May 2000, the Plan was amended whereby participants may elect to invest
in BearingPoint, Inc. common stock. Merrill is authorized to purchase shares on
the open market as trustee of the Plan. Additionally, on February 7, 2001, the
Company filed a Registration Statement on Form S-8, registering an aggregate of
15,000,000 shares of Company common stock to be issued to Plan participants, as
needed.
12
BEARINGPOINT, INC. 401(k) Plan
(formerly KPMG Consulting, Inc.)
NOTES TO FINANCIAL STATEMENTS-(Continued)
April 30, 2002 and 2001
NOTE J - Transfers from the KPMG LLP 401(k) Plan
Subsequent to February 1, 2000, and through the date of the Company's
Initial Public Offering, additional employees transferred to the Company.
Account balances of employees who transferred up through April 30, 2001 are
reflected as transfers from the KPMG LLP 401(k) Plan.
NOTE K - Reconciliation of Financial Statements to Form 5500
The following is a reconciliation of net assets available for benefits per
the financial statements at April 30, 2002, to the Form 5500:
Net assets available for benefits per the financial statements $268,465,174
Amounts due to participants 261,530
------------
Net assets available for benefits per the Form 5500 $268,203,644
============
The following is a reconciliation of benefits to participants according to
the financial statements for the year ended April 30, 2002, to the Form 5500:
Benefits paid per the financial statements $ 27,402,897
Amounts allocated to withdrawing participants at April 30, 2002 261,530
Amounts allocated to withdrawing participants at April 30, 2001 -
------------
Benefits paid per the Form 5500 $ 27,664,427
============
13
BEARINGPOINT, INC. 401(K) PLAN
(formerly KPMG Consulting, Inc.)
SCHEDULE OF ASSETS (HELD AT END OF YEAR)
APRIL 30, 2002
(c) Description of investment, including (e)
(a) (b) Identity of issue, borrower, maturity date, rate of interest, (d) Current
lessor or similar party collateral, par or maturity value Value
--------------------------------------- -------------------------------------- -------------
Lord Abbett Affiliated Fund Mutual Fund, 17,868.7377 units ** $ 239,262
* Merril Lynch Aggressive Bond Index Mutual Fund, 24.5514 units ** 258
* Merril Lynch Small Cap Index Mutual Fund, 1,862.3692 units ** 20,561
Pimco Total Return Fund Mutual Fund, 605,773.2992 units ** 6,421,197
Mercury International Value Fund Mutual Fund, 56,945.2584 units ** 1,190,156
Oppenheimer Global Fund Mutual Fund, 10,040.0826 units ** 464,856
Oppenheimer International Growth Fund Mutual Fund, 49,779.3211 units ** 768,593
Frankiln Balance Sheet Mutual Fund, 27,462.2665 units ** 1,183,624
Franklin SML - MID Cap Growth Fund Mutual Fund, 8,639.5041 units ** 249,250
* Merrill Lynch Small Cap Value Fund Mutual Fund, 180,730.4502 units ** 4,333,916
* Merrill Lynch Retirement Preservation Trust Collective Trust, 40,741,534 units ** 40,741,534
* Merrill Lynch Basic Value Fund Mutual Fund, 1,109,215.7875 units ** 32,599,852
Fidelity Magellan Fund Mutual Fund, 575,805.6445 units ** 55,294,616
* Merrill Lynch Corporate Bond Fund - **
High Income Portfolio Mutual Fund, 732,716.3790 units ** 3,517,039
* Merrill Lynch Equity Index Trust Fund Collective Trust, 492,423.8473 units ** 37,360,197
* Merrill Lynch Balanced Capital Fund Mutual Fund, 254,382.0989 units ** 6,863,229
Templeton Foreign Fund Mutual Fund, 1,349,466.1771 units ** 13,265,253
* Merrill Lynch Growth Fund Mutual Fund, 1,583,427.4732 units ** 26,490,742
MFS Emerging Growth Fund Mutual Fund, 0.0134 units ** 0
Lord Abbett Global Fund, Inc. - Income Series Mutual Fund, 26,561.4766 units ** 167,337
MFS Global Equity Fund Mutual Fund, 44,129.3960 units ** 839,782
Hotchkis & Wiley Small Cap Fund Mutual Fund, 184,726.7933 units ** 6,027,635
* Merrill Lynch Small Cap Index Collective Trust Collective Trust, 149,078.9182 units ** 2,295,815
* Merrill Lynch Aggregate Bond Index **
Collective Trust Collective Trust, 147,129.0687 units ** 2,117,187
* Merrill Lynch International Index **
Collective Trust Collective Trust, 130,829.0932 units ** 1,361,931
Federated American Leaders Fund, Inc. Mutual Fund, 37,341.5314 units ** 840,931
Massachusetts Investors Growth Stock Fund Mutual Fund, 603,147.3626 units ** 7,086,982
Massachusetts Investors Trust Mutual Fund, 105,100.3335 units ** 1,643,769
MFS Research Fund Mutual Fund, 102,823.7943 units ** 1,826,151
MFS Bond Fund Mutual Fund, 522.1919 units ** 6,775
MFS Government Securities Fund Mutual Fund, 276,493.8876 units ** 2,668,166
* BearingPoint, Inc. Common Stock Common Stock, 113,255.2193 shares ** 1,981,966
Loans to Participants, 4.75% to 11.5% 7,083,203
Cash and cash equivalents 342,796
-------------
$ 267,294,561
=============
* Party-in-interest
** Cost information omitted for fully-participant directed investments
14