DOLLARS AND SENSE PLAN
United
States
Securities
and Exchange Commission
Washington,
D.C. 20549
Form
11-K
[X]
|
ANNUAL
REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF
1934
|
For
the
fiscal year ended December 31, 2005
OR
[
]
|
TRANSITION
REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE
|
|
ACT
OF 1934
|
Commission
file number 1-7784
A.
|
Full
title of the plan and the address of the plan if different from that
of
the issuer named below:
|
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
B.
|
Name
of
issuer of the securities held pursuant to the plan and the address
of its
principal executive office:
|
CENTURYTEL,
INC.
100
CENTURYTEL DRIVE
MONROE,
LA 71203
Report
of Independent Registered Public Accounting Firm
The
Board
of Directors
CenturyTel,
Inc.:
We
have
audited the accompanying statements of net assets available for benefits of
CenturyTel, Inc. Dollars and Sense Plan as of December 31, 2005 and 2004, and
the related statement of changes in net assets available for benefits for the
year ended December 31, 2005. 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 the standards of the Public Company
Accounting Oversight Board (United States). 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 CenturyTel, Inc.
Dollars and Sense Plan as of December 31, 2005 and 2004, and the changes in
net
assets available for benefits for the year ended December 31, 2005, in
conformity with U.S. generally accepted accounting principles.
Our
audits were performed for the purpose of forming an opinion on the basic
financial statements taken as a whole. The supplemental schedules of assets
(held at end of year) and reportable transactions are presented for the purpose
of additional analysis and are not a required part of the basic financial
statements but are supplementary information required by the Department of
Labor's Rules and Regulations for Reporting and Disclosure under the Employee
Retirement Income Security Act of 1974. These supplemental schedules are the
responsibility of the Plan’s management. The supplemental schedules have been
subjected to the auditing procedures applied in the audits of the basic
financial statements and, in our opinion, are fairly stated in all material
respects in relation to the basic financial statements taken as a
whole.
KPMG
LLP
/s/
KPMG
LLP
Shreveport,
Louisiana
June
16,
2006
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
Statements
of Net Assets Available for Benefits
December
31, 2005 and 2004
|
|
2005
|
|
2004
|
|
|
|
|
|
|
|
|
|
PLAN
ASSETS
|
|
|
|
|
|
|
|
Investments,
at
fair value
|
|
$
|
261,254,043
|
|
|
229,390,632
|
|
Cash
|
|
|
10,734
|
|
|
128,623
|
|
Contributions
receivable - employer
|
|
|
1,878
|
|
|
832,231
|
|
Contributions
receivable - participants
|
|
|
4,845
|
|
|
-
|
|
|
|
|
|
|
|
|
|
NET
ASSETS AVAILABLE FOR BENEFITS
|
|
$
|
261,271,500
|
|
|
230,351,486
|
|
See
accompanying notes to financial statements.
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
Statement
of Changes in Net Assets Available for Benefits
For
the
year ended December 31, 2005
Additions
to net assets:
|
|
|
|
|
Investment
income:
|
|
|
|
|
Net
appreciation (depreciation) in fair value of investments:
|
|
|
|
|
Mutual
funds
|
|
$
|
4,863,815
|
|
Common
stocks
|
|
|
(5,139,452
|
)
|
Dividend
and other income
|
|
|
6,746,373
|
|
Interest
income
|
|
|
530,074
|
|
Net
investment income
|
|
|
7,000,810
|
|
|
|
|
|
|
Contributions:
|
|
|
|
|
Participants
|
|
|
14,858,329
|
|
Employer
|
|
|
5,491,077
|
|
Transfer
from CenturyTel, Inc. Employee Stock Ownership Plan
|
|
|
17,447,803
|
|
Transfer
from merged plan
|
|
|
1,914,152
|
|
Total
contributions
|
|
|
39,711,361
|
|
|
|
|
|
|
Total
investment income and contributions
|
|
|
46,712,171
|
|
|
|
|
|
|
Deductions
from net assets:
|
|
|
|
|
Participant
withdrawals
|
|
|
15,727,837
|
|
Administrative
expenses
|
|
|
64,320
|
|
Total
deductions
|
|
|
15,792,157
|
|
|
|
|
|
|
Net
increase
|
|
|
30,920,014
|
|
|
|
|
|
|
Net
assets available for benefits:
|
|
|
|
|
Beginning
of year
|
|
|
230,351,486
|
|
|
|
|
|
|
End
of year
|
|
$
|
261,271,500
|
|
See
accompanying notes to financial statements.
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
Notes
to
Financial Statements
December
31, 2005 and 2004
(1)
|
SUMMARY
OF SIGNIFICANT ACCOUNTING POLICIES AND PROVISIONS OF THE
PLAN
|
Basis
of Presentation
The
CenturyTel, Inc. Dollars and Sense Plan (the Plan) was established on May 1,
1986. The accompanying financial statements of the Plan have been prepared
on
the accrual basis of accounting and present the net assets available for
benefits and changes in net assets available for benefits. The Plan has made
estimates in preparing the accompanying financial statements in accordance
with
U.S. generally accepted accounting principles. Actual results could differ
from
those estimates.
The
assets of the Plan are invested by the Trustee in various investment programs
(funds) which are described in Note 2.
Effective
October 1, 2005, the Company merged the assets of the CenturyTel Fiber Company
II, LLC 401(k) Plan and Trust (the “Lightcore Plan”) into the Plan. The total
amount transferred was $1,914,152. Effective with this merger, participants
of
the Lightcore Plan became participants in the Plan.
The
following description of the Plan provides only general information.
Participants should refer to the Plan Document for a more complete description
of the Plan's provisions.
Participation
Participation
in the Plan is available to each employee of CenturyTel, Inc. and its
participating subsidiaries (the Company), other than those who are classified
as
temporary employees or employees covered under a collective bargaining
agreement.
In
order
to participate in the Plan, an employee must execute a Salary Deferral Agreement
with the Company. In the Salary Deferral Agreement, which is executed either
on-line or by telephone, an employee agrees to a deferral of between one percent
and twenty-five percent of eligible compensation; however, the total amount
contributed to the plan cannot exceed $14,000 for 2005 (as adjusted from year
to
year in accordance with Federal Law). The percentage of eligible compensation
a
participant elects to defer applies to the participant’s W-2 earnings not in
excess of $210,000 for 2005 (as adjusted in accordance with Federal Law)
excluding overtime, special bonuses, severance pay, disability pay,
reimbursements or other expense allowances, fringe benefits, moving expenses,
deferred compensation, and welfare benefits. The amount of eligible compensation
deferred by each participant is credited to an account (Elective Deferral
Account) maintained for each participant by the Trustee. The Elective Deferral
Account is self-directed.
As
of the
end of each payroll period, the Company contributes to an account (Employer
Match Account) for each participant a contribution equal to 60% of each such
participant's contribution during such payroll period; however, this matching
contribution applies only to the first 6% of such participant's compensation
contributed to the Plan. The Board of Directors of the Company may, at its
discretion, elect at the end of each year to contribute an additional amount
to
participants’ accounts (Additional Match Account). Company contributions may be
made in cash or CenturyTel, Inc. Common Stock (CenturyTel Common Stock). If
made
in cash, such cash is applied by the Trustee to the purchase of CenturyTel
Common Stock. During 2005, the Company contributed CenturyTel common stock
with
a fair value of $5,491,077 to the Employer Match Account.
Participants
age 50 years or older are allowed to make an additional contribution to the
Plan
each year in excess of the otherwise prescribed limits. The amount of the
allowable additional contribution for a participant in 2005 was $4,000; this
amount will increase by $1,000 to a maximum of $5,000 in 2006 (which will
thereafter be adjusted annually).
An
employee is permitted to transfer to the Plan as a contribution his interest
in
another plan qualified under Section 401(k) of the Internal Revenue Code, as
amended (the Code). Such contribution must qualify as a "rollover" contribution
described in Section 402(c) or 408 (d)(3) of the Code. Such a rollover will
be
credited to a rollover account on behalf of the participant (the
Rollover/Transfer Account).
Additionally,
an employee is permitted to transfer to the Plan as a contribution a portion
of
his interest in the CenturyTel, Inc. Employee Stock Ownership Plan (ESOP)
pursuant to diversification rights under such plan. Until July 1, 2005, to
qualify for this transfer an employee must have been 55 years of age or older
and have been a participant in the ESOP for ten years. Effective July 1, 2005,
vested participants that are (i) 50-55 years of age may diversify up to 50%
of
their balance, (ii) 55-60 years of age may diversify up to 75% of their balance
and (iii) 60 years of age or older may diversify up to 100% of their balances.
Such contributions will be credited to an account on behalf of the participant
(the ESOP Diversification Account). During 2005, transfers to the Plan from
the
ESOP aggregated $17,447,803.
The
interest of a participant in his Elective Deferral Account, Rollover/Transfer
Account, Employer Match Account, Additional Match Account and ESOP
Diversification Account is fully vested and non-forfeitable at all
times.
Reports
to Participants
All
participants are furnished with quarterly statements which set forth the status
of their accounts in the Plan.
Distributions
If
the
employment of a participant with the employer ceases because of death,
retirement, disability, termination of employment or for any other reason,
the
participant's entire interest in the Plan may be distributed to him or to his
beneficiary in a lump sum or in periodic installments. If the participant dies
without designating a beneficiary, his beneficiary shall be, in the order
listed, (i) his spouse, (ii) his children, or (iii) his estate.
Withdrawals
A
participant who is an employee and over age 59½ may make withdrawals from his
vested accounts prior to meeting normal distribution requirements. A participant
may make withdrawals from his Rollover/Transfer Account at any time. In
addition, a hardship withdrawal may be made from an Elective Deferral Account
only as a result of financial hardship related to unreimbursable educational
expenses, medical expenses which are not reimbursable by insurance, the need
to
pay for the funeral expenses of a family member, purchase of a principal
residence, or the prevention of eviction or foreclosure from the participant's
principal residence. The determination of the existence of a financial hardship
and the amount required to be distributed to meet the need created by the
hardship shall be made uniformly and without discrimination at the sole
discretion of the Plan Administrator.
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 change, suspend or
terminate the Plan subject to the provisions of the Employee Retirement Income
Security Act of 1974.
Loans
to Participants
The
Plan
has a provision whereby a participant can borrow from his Elective Deferral
Account or Rollover/Transfer Account. The maximum loan is $50,000 reduced by
the
excess, if any, of the highest outstanding loan balance during the previous
year
over the outstanding balance on the date of the new loan or 50% of the account
balance. The loans are repaid through payroll deductions and the interest rate
is the prime rate
published in the Wall Street Journal on the last day of the previous quarter
plus 1%. The loan repayment period may not exceed five years except for loans
for the purchase of the participant's principal residence which may be for
any
period not to exceed fifteen years.
Trustee
The
Trustee of the Plan, as of December 31, 2005, was T. Rowe Price Trust Company
(T. Rowe Price). The Board of Directors of the Company may remove the Trustee
and appoint a successor trustee. The Company and the Trustee have entered into
a
Trust Agreement which provides for the establishment of a Trust for the purpose
of holding and investing the contributions to the Trust pursuant to the
provisions of the Plan.
Administration
The
Company has appointed a committee to administer the Plan. The individuals who
administer the Plan serve at the discretion of the Board of Directors of the
Company and may be removed by the Board of Directors at any time. During 2005,
administrative fees of $64,320 were paid by the Plan utilizing forfeiture
amounts that had been transferred from a merged plan in prior years. All other
administrative costs of the Plan were paid by the Company.
Investment
Valuation and Income Recognition
Investments
in CenturyTel Common Stock are valued at the closing market price on December
31, 2005 and 2004, respectively. Other investments in the funds, which consist
primarily of shares of mutual funds, are valued by the Trustee based on the
market value at year-end of the underlying assets of each fund. Purchases and
sales of securities are recorded on a trade date basis. Loans to participants
are valued at principal amount outstanding which approximates market value.
Interest income is recorded on the accrual basis.
(2)
|
DESCRIPTION
OF THE F UNDS
|
The
following is a description of each of the funds which had outstanding balances
and were available to Plan participants as of December 31,
2005:
(a) |
CenturyTel
Common Stock Fund - consists of shares of CenturyTel Common Stock
($70,069,095 and $85,901,952 at December 31, 2005 and 2004,
respectively).
|
(b) |
Loan
Fund - represents loans to participants from the participants' investment
accounts ($9,590,409 and $8,978,637 at December 31, 2005 and 2004,
respectively).
|
(c) |
American
Funds Amcap, R4 - consists primarily of investments in U.S. common
stocks
($15,238,372 and $13,854,410 at December 31, 2005 and 2004,
respectively).
|
(d) |
Fidelity
Diversified International Fund - consists primarily of investments
in
foreign common stocks ($8,124,413 and $3,445,118 at December 31,
2005 and
2004, respectively).
|
(e) |
Oakmark
Equity and Income Fund, Class I - consists primarily of investments
in
U.S. equity and debt securities ($22,583,247 and $17,950,326 at December
31, 2005 and 2004, respectively).
|
(f) |
Morgan
Stanley Institutional Fund Small Company Growth Portfolio B - consists
primarily of investments in equity securities of small companies
($8,127,000 and $5,339,651 at December 31, 2005 and 2004,
respectively).
|
(g) |
PIMCO
Low Duration III Institutional Fund - consists primarily of investments
in
debt securities with an average duration between one and three years
($1,346,802 and $267,817 at December 31, 2005 and 2004,
respectively).
|
(h) |
PIMCO
Total Return Fund - consists primarily of investments in debt securities
($11,562,194 and $8,309,724 at December 31, 2005 and 2004,
respectively).
|
(i) |
Allianz
NFJ Small Cap Value Institutional Fund- (formerly PIMCO NFJ Small
Cap
Value Institutional Fund) consists primarily of investments in common
stocks of companies with market capitalizations between $100 million
and
$1.8 billion that have below average P/E ratios relative to their
industries and U.S. depositary receipts ($7,223,000 and $2,162,102
at
December 31, 2005 and 2004,
respectively).
|
(j) |
T.
Rowe Price Retirement Income Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) in the near future ($2,739,672
and $2,100,380 at December 31, 2005 and 2004,
respectively).
|
(k) |
T.
Rowe Price Retirement 2005 Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) in the near future ($805
at
December 31, 2005).
|
(l) |
T.
Rowe Price Retirement 2010 Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2010 ($6,915,558
and $3,197,255 at December 31, 2005 and 2004,
respectively).
|
(m) |
T.
Rowe Price Retirement 2015 Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2015 ($135,985
at December 31, 2005).
|
(n) |
T.
Rowe Price Retirement 2020 Fund - consists primarily of investments
in U.
S. and foreign equity and debt securities and money market instruments
and
is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2020 ($6,550,556
and $3,434,024 at December 31, 2005 and 2004,
respectively).
|
(o) |
T.
Rowe Price Retirement 2025 Fund - consists primarily of investments
in U.
S. and foreign equity and debt securities and money market instruments
and
is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2025 ($117,284
at December 31, 2005).
|
(p) |
T.
Rowe Price Retirement 2030 Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2030 ($4,183,957
and $3,065,821 at December 31, 2005 and 2004,
respectively).
|
(q) |
T.
Rowe Price Retirement 2035 Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2035 ($52,274
at
December 31, 2005).
|
(r) |
T.
Rowe Price Retirement 2040 Fund - consists primarily of investments
in
U.S. and foreign equity and debt securities and money market instruments
and is managed for investors planning to retire (or begin to withdraw
substantial portions of their investment) around the year 2040 ($5,130,515
and $4,152,665 at December 31, 2005 and 2004,
respectively).
|
(s) |
T.
Rowe Price Equity Income Fund - consists primarily of investments
in U. S.
and foreign common stocks ($11,603,685 and $8,587,147 at December
31, 2005
and 2004, respectively).
|
(t) |
T.
Rowe Price Equity Index 500 Fund - consists primarily of investments
in
the same stocks and in substantially the same percentages as the
S&P
500 Index ($34,866,136 and $32,851,698 at December 31, 2005 and 2004,
respectively).
|
(u) |
T.
Rowe Price Mid-Cap Growth Fund - consists primarily of investments
in
common stocks of companies whose market capitalization falls within
the
range of companies in the S&P MidCap 400 Index ($18,052,393 and
$11,532,013 at December 31, 2005 and 2004,
respectively).
|
(v) |
T.
Rowe Price Summit Cash Reserves Fund - consists primarily of investments
in various money market instruments ($17,040,691 and $14,259,892
at
December 31, 2005 and 2004,
respectively).
|
Investments
in CenturyTel Common Stock Fund, American Fund Amcap R4, Oakmark Equity and
Income Fund - Class I, T. Rowe Price Equity Index 500 Fund, T. Rowe Price
Mid-Cap Growth Fund, and T. Rowe Price Summit Cash Reserves Fund were each
greater than 5% of net assets available for benefits at December 31,
2005.
A
participant may instruct that his contribution be allocated among the various
funds. A participant may change his investment allocation instructions and
his
contribution percentage at any time.
All
amounts allocated to a participant's Employer Match Account are invested in
the
CenturyTel Common Stock Fund. Until October 1, 2005, participants who had not
attained age 45 or three years of service had no power to transfer amounts
in
the Employer Match Account to an investment fund other than the CenturyTel
Common Stock Fund. Until October 1, 2005, participants who had attained age
45
or three years of service could redirect the investment of the balance in their
Employer Match Account. Effective October 1, 2005, a participant may, regardless
of age or years of service, redirect the investment of the balance in their
Employer Match Account.
The
Plan
and related trust were designed to meet the necessary requirements of Internal
Revenue Code Section 401(a) and, accordingly, the trust underlying the Plan
is
exempt from income taxation pursuant to Internal Revenue Code Section 501(a).
A
favorable determination letter was received in October 2003 related to the
Plan.
The Plan has been amended since receiving the determination letter. However,
the
Plan administrator believes that the Plan is designed and is currently being
operated in compliance with the applicable provisions of the Internal Revenue
Code.
(4)
|
RELATED
PARTY TRANSACTIONS
|
Certain
Plan investments are shares of mutual funds managed by Capital Research and
Management Company (Capital), Fidelity Investments (Fidelity), Harris Associates
(Harris), Morgan Stanley Investment Management, Inc. (Morgan Stanley), Allianz
Global Investors of America (Allianz), Pacific Investment Management Company
(PIMCO) or T. Rowe Price. T. Rowe Price is the Trustee as defined by the Plan.
Therefore, Capital, Fidelity, Harris, Morgan Stanley, Allianz, PIMCO, and T.
Rowe Price qualify as parties-in-interest. Fees paid by the Company to T. Rowe
Price for trustee, record keeping and other services amounted to $165,877 for
the year ended December 31, 2005.
(5)
|
CONCENTRATION
OF INVESTMENTS
|
As
of
December 31, 2005 and 2004, 26.8% and 37.3%, respectively, of the net assets
available for benefits were invested in CenturyTel Common Stock. Substantially
all of the remaining net assets available for benefits were invested in mutual
funds managed by Capital, Fidelity, Harris, Morgan Stanley, Allianz, PIMCO,
or
T. Rowe Price.
(6)
|
COMPANY/PARTICIPANT
DIRECTED FUNDS
|
The
CenturyTel Common Stock Fund includes contributions from the Company and
participants. Participant contributions are directed solely by the participants.
Contributions from the Company are directed by the Company, except for
contributions made prior to October 1, 2005 on behalf of participants who
were
age 45 or older or have three years of service. Such contributions can be
redirected by these participants to the funds of their choice. Effective
October
1, 2005, a participant may, regardless of age or years of service, redirect
the
investment of contributions from the Company. All other contributions are
participant directed.
The
following tables set forth information related to the CenturyTel Common Stock
Fund’s assets available for benefits as of December 31, 2005 and 2004 and the
changes in such assets for the year ended December 31, 2005.
December
31,
|
|
|
2005
|
|
|
2004
|
|
|
|
|
|
|
|
|
|
PLAN
ASSETS
|
|
|
|
|
|
|
|
Investments
|
|
$
|
70,069,095
|
|
|
85,901,952
|
|
Contributions
receivable - employer
|
|
|
1,878
|
|
|
832,231
|
|
Contributions
receivable - participants
|
|
|
335
|
|
|
-
|
|
ASSETS
AVAILABLE FOR BENEFITS
|
|
$
|
70,071,308
|
|
|
86,734,183
|
|
|
|
For
the year ended
|
|
|
|
December
31, 2005
|
|
|
|
|
|
Additions
to assets:
|
|
|
|
|
Investment
income:
|
|
|
|
|
Net
depreciation in fair value of investments
|
|
$
|
(5,139,452
|
)
|
Dividend
and other income
|
|
|
532,418
|
|
Interest
income
|
|
|
155,890
|
|
Net
investment income
|
|
|
(4,451,144
|
)
|
|
|
|
|
|
Contributions:
|
|
|
|
|
Participants
|
|
|
2,404,920
|
|
Employer
|
|
|
5,491,077
|
|
Transfer
from CenturyTel, Inc. Employee Stock Ownership Plan and
Trust
|
|
|
538,742
|
|
Total
contributions
|
|
|
8,434,739
|
|
Total
investment income and contributions
|
|
|
3,983,595
|
|
|
|
|
|
|
Deductions
from assets:
|
|
|
|
|
Participant
withdrawals
|
|
|
5,214,819
|
|
|
|
|
|
|
Net
decrease prior to interfund transfers
|
|
|
(1,231,224
|
)
|
|
|
|
|
|
Interfund
transfers
|
|
|
(15,431,651
|
)
|
|
|
|
|
|
Net
decrease
|
|
|
(16,662,875
|
)
|
|
|
|
|
|
Net
assets available for benefits:
|
|
|
|
|
|
|
|
|
|
Beginning
of year
|
|
|
86,734,183
|
|
|
|
|
|
|
End
of year
|
|
$
|
70,071,308
|
|
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
Schedule
H, Line 4i -
Schedule of Assets (Held at End of Year)
December
31, 2005
Identity
of issuer, borrower,
|
|
|
|
Current
|
|
|
|
lessor
or similar party
|
|
Description
of Investment
|
|
Value
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
in CenturyTel Common Stock
|
|
|
2,113,061
|
|
shares
at $33.16 per share |
|
$
|
70,069,095
|
|
|
(Note
1
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loan
Fund (interest rates ranged from
|
|
|
|
|
|
|
|
|
|
|
|
|
4.75%
to 12.5%)
|
|
|
|
|
|
|
|
9,590,409
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment
in Mutual Funds for
|
|
|
|
|
|
|
|
|
|
|
|
|
Qualified
Employee Benefit Plans:
|
|
|
|
|
|
|
|
|
|
|
|
|
Managed
by Capital Research and
|
|
|
|
|
|
|
|
|
|
|
|
|
Management
Company:
|
|
|
|
|
|
|
|
|
|
|
|
|
American
Funds Amcap, R4
|
|
|
799,915
|
|
shares
at $19.05 per share |
|
|
15,238,372
|
|
|
(Note
1
|
)
|
Managed
by Fidelity Investments:
|
|
|
|
|
|
|
|
|
|
|
|
|
Fidelity
Diversified International
|
|
|
249,675
|
|
shares
at $32.54 per share |
|
|
8,124,413
|
|
|
|
|
Managed
by Harris Associates:
|
|
|
|
|
|
|
|
|
|
|
|
|
Oakmark
Equity & Income Fund, Class I
|
|
|
904,053
|
|
shares
at $24.98 per share |
|
|
22,583,247
|
|
|
(Note
1
|
)
|
Managed
by Morgan Stanley:
|
|
|
|
|
|
|
|
|
|
|
|
|
Institutional
Fund Small Company
|
|
|
|
|
|
|
|
|
|
|
|
|
Growth Portfolio B
|
|
|
660,195
|
|
shares
at $12.31 per share |
|
|
8,127,000
|
|
|
|
|
Managed
by PIMCO:
|
|
|
|
|
|
|
|
|
|
|
|
|
PIMCO
Low Duration III Fund
|
|
|
136,870
|
|
shares
at $9.84 per share |
|
|
1,346,802
|
|
|
|
|
PIMCO
Total Return Fund
|
|
|
1,101,161
|
|
shares
at $10.50 per share |
|
|
11,562,194
|
|
|
|
|
Managed
by Allianz Global Inventors of America:
|
|
|
|
|
|
|
|
|
|
|
|
|
Allianz
NFJ Small Cap Value Institutional
|
|
|
242,953
|
|
shares
at $29.73 per share |
|
|
7,223,000
|
|
|
|
|
Managed
by T. Rowe Price:
|
|
|
|
|
|
|
|
|
|
|
|
Retirement
Income Fund
|
|
|
219,877
|
|
shares
at $12.46 per share |
|
|
2,739,672
|
|
|
|
|
Retirement
2005 Fund
|
|
|
74
|
|
shares
at $10.87 per share |
|
|
805
|
|
|
|
|
Retirement
2010 Fund
|
|
|
474,644
|
|
shares
at $14.57 per share |
|
|
6,915,558
|
|
|
|
|
Retirement
2015 Fund
|
|
|
12,120
|
|
shares
at $11.22 per share |
|
|
135,985
|
|
|
|
|
Retirement
2020 Fund
|
|
|
419,101
|
|
shares
at $15.63 per share |
|
|
6,550,556
|
|
|
|
|
Retirement
2025 Fund
|
|
|
10,225
|
|
shares
at $11.47 per share |
|
|
117,284
|
|
|
|
|
Retirement
2030 Fund
|
|
|
253,727
|
|
shares
at $16.49 per share |
|
|
4,183,957
|
|
|
|
|
Retirement
2035 Fund
|
|
|
4,499
|
|
shares
at $11.62 per share |
|
|
52,274
|
|
|
|
|
Retirement
2040 Fund
|
|
|
309,627
|
|
shares
at $16.57 per share |
|
|
5,130,515
|
|
|
|
|
Equity
Income Fund
|
|
|
447,673
|
|
shares
at $25.92 per share |
|
|
11,603,685
|
|
|
|
|
Equity
Index 500 Fund
|
|
|
1,039,229
|
|
shares
at $33.55 per share |
|
|
34,866,136
|
|
|
(Note
1
|
)
|
Mid-Cap
Growth Fund
|
|
|
333,439
|
|
shares
at $54.14 per share |
|
|
18,052,393
|
|
|
(Note
1
|
)
|
Summit
Cash Reserves Fund
|
|
|
17,040,691
|
|
shares
at $1.00 per share |
|
|
17,040,691
|
|
|
(Note
1
|
)
|
|
|
|
|
|
|
|
|
$
|
261,254,043
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital,
Fidelity, Harris, Morgan Stanley, Allianz, PIMCO and T. Rowe Price are
considered parties-in-interest. Additionally, CenturyTel, Inc., as sponsor
of
the Plan, is considered a party-in-interest.
Notes:
|
(1)
|
These
investments are greater than 5% of assets available for
benefits.
|
|
(2)
|
Information
on cost of investments is excluded as all investments are participant
directed.
|
See
accompanying report of independent registered public accounting
firm.
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
Schedule
H, Line 4j - Schedule of Reportable Transactions
For
the
Year Ended December 31, 2005
|
|
|
|
|
|
|
|
|
|
|
|
Current
Value of
|
|
|
|
|
|
|
|
Redemption
|
|
|
|
|
|
|
|
Asset
at Date of
|
|
|
|
|
|
Purchase
|
|
or
Selling
|
|
Lease
|
|
Expense
|
|
Cost
of
|
|
Acquisition
or
|
|
Net
|
|
Description
of Transaction
|
|
Price
|
|
Price
|
|
Rental
|
|
Incurred
|
|
Asset
|
|
Disposition
|
|
Gain
(Loss)
|
|
|
|
|
(Note
1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Category
(3) - A series of transactions in excess
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
of
5% of beginning of year Plan assets
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
available
for benefits
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions
in CenturyTel Common Stock (Note 3)
|
|
$
|
9,117,620
|
|
$
|
19,811,042
|
|
|
-
|
|
|
-
|
|
$
|
15,646,593
|
|
|
(Note
2)
|
|
$
|
4,164,449
|
|
CenturyTel,
Inc., as sponsor of the Plan, is considered a party-in-interest.
Notes:
|
(1)
|
These
investments are greater than 5% of assets available for
benefits.
|
|
(2)
|
Information
on cost of investments is excluded as all investments are participant
directed.
|
|
(3)
|
Amounts
allocated to the Employer Match Account are initially invested
in
CenturyTel common stock. Effective October 1, 2005, all participants
can
redirect these amounts to other investments at their discretion.
Prior to
this time, only certain participants could redirect these amounts
to other
investments. This schedule includes all transactions in CenturyTel
common
stock for the year ended December 31, 2005 as information applicable
only
to non-participant directed transactions is not readily
available.
|
See
accompanying report of independent registered public accounting firm.
SIGNATURE
Pursuant
to the requirements of the Securities Exchange Act of 1934, the Retirement
Committee has duly caused this annual report to be signed on its behalf by
the
undersigned thereunto duly authorized.
|
|
CenturyTel,
Inc.
|
|
|
Dollars
and Sense Plan
|
|
|
|
|
|
|
June
28, 2006
|
|
/s/
R. Stewart Ewing, Jr.
|
|
|
R.
Stewart Ewing, Jr.
|
|
|
Retirement
Committee Member
|
|
|
and
Executive Officer of
|
|
|
Issuer
of Plan Securities
|
CENTURYTEL,
INC.
DOLLARS
AND SENSE PLAN
Index
to
Exhibits
Exhibit
Number
23.1 |
Consent
of Independent Registered Public Accounting
Firm
|