Financial reports are the primary means by which corporations report their performance and financial condition. Financial statements are one component of the annual report mailed to their shareholders and to interested others. Many companies are using the 10-K report that they file with the SEC as a replacement for the financial portion of their annual report.

Required:

Obtain the most recent annual report (or 10-K report for the year ended for Boston Beer Co Inc. The easiest way is to use the searchable EDGAR database on the SEC.gov (Links to an external site.)website). Put in the name (shown exactly as above) or the ticker symbol (SAM) in the box at the top of the SEC home page. Be sure you use the most recent 10-K report.Click on the blue oval to see the interactive data.

Find the left-side tool bar, find "Notes to Financial Statements." Under that heading, click on "Commitment and Contingencies (note J) and then "Employment Retirement Plans... (note M), then answer the following questions:

1. Read about Boston Beer's "Contractual Obligations." What are the total contractual obligations for 2019? Why does Boston Beer need to enter into contractual obligations? What raw materials and other assets are included in the contractual obligations? (Use your own words, not quotes.)

2. Boston Beer also reports some Operating Leases in their Contractual Obligations section. Explain in your own words what these leases are for.

3. Read the "Litigation" section. Is Boston Beer currently involved in any pending lawsuits?

4. Read the "Employee Retirement Plans" section. What three retirement plans does the company offer? What is the Unfunded Status of the Local 1199 Pension Plan? What does "unfunded status" defined in your text. (You may quote it verbatim. )

5. As always:

• Write all answers in complete sentences; use your own words except for the last part of #4.
• Remember to proofread and spellcheck your work.
• Reply (thoughtfully) to two other students by name (if available).
• Properly cite all references used.