form_11k.htm


 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 11-K
 
                                    (Mark One)
 
 
x                              ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the fiscal year ended December 31, 2006.
 
OR
 
 
  o                                 TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
 
For the transition period from                       to                     .
 
Commission file number  1-8649.
 
 
A.           Full title of the plan and address of the plan if different from that of the issuer named below:
 
The Toro Company Investment, Savings, and Employee Stock Ownership Plan
 
The Toro Company
8111 Lyndale Avenue South
Minneapolis, MN  55420
Attn: Director, Tax Accounting
 
 
        B.             Name of issuer of the securities held pursuant to the plan and the address of its principal executive office:
 
The Toro Company
8111 Lyndale Avenue South
Minneapolis, MN  55420
 
 

 



 
THE TORO COMPANY INVESTMENT, SAVINGS,
AND EMPLOYEE STOCK OWNERSHIP PLAN
 
Table of Contents
 
 
Page
1
2
3
4
Schedule *
  
13
 
*All other schedules required by 29 CFR 2520.103-10 of the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974 are not included because they are not applicable.
 






 
Report of Independent Registered Public Accounting Firm
 
The Plan Administrator
The Toro Company Investment, Savings,
and Employee Stock Ownership Plan:
 
We have audited the accompanying statements of net assets available for benefits of The Toro Company Investment, Savings, and Employee Stock Ownership Plan (the Plan) as of December 31, 2006 and 2005, 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 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 as of December 31, 2006 and 2005, and the changes in net assets available for benefits for the years then ended, 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 schedule of assets (held at end of the year) as of December 31, 2006 is presented for the purpose of additional analysis and is not a required part of the basic financial statements, but is 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. This supplemental schedule is the responsibility of the Plan’s management. 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.
 
/s/ KPMG LLP
 
Minneapolis, Minnesota
 
June 28, 2007

 
 

      
 
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Statements of Net Assets Available for Benefits       
      
        December 31, 2006 and 2005      
 
    


 
   
2006
    
2005
  
Assets held by Trustee:
            
Cash and cash equivalents
   $
130,126
      
101,157
  
Investments at fair value
                
Mutual funds
    
275,322,648
      
227,893,705
  
The Toro Company Common Stock
    
211,063,851
      
219,066,721
  
Bond collective funds
    
21,643,424
      
17,845,756
  
Master Trust fund
    
85,386,077
      
78,713,802
  
Loans
    
23,871
      
30,622
  
                 
Total investments
    
593,439,871
      
543,550,606
  
                 
Employee contribution receivable
    
47,511
      
44,272
  
Employer contribution receivable
    
12,107,989
      
11,852,788
  
Net assets available for benefits at fair value
    
605,725,497
      
555,548,823
  
Adjustment from fair value to contract value for
                
fully benefit-responsive investment contracts
    
1,153,751
      
1,022,208
  
Net assets available for benefits
   $
606,879,248
      
556,571,031
  
                 
                 
See accompanying notes to financial statements.
                

 

 

 

 

 

 

 

2
           
 
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
       
        Statements of Changes in Net Assets Available for Benefits       
      
        December 31, 2006 and 2005      
 
    


 
   
2006
    
2005
  
Investment income:
            
Interest and dividends
   $
16,349,796
      
8,500,775
  
Net realized/unrealized gain in the fair value of investments
    
38,404,540
      
26,907,407
  
Pro rata share of income from Master Trust
    
3,784,694
      
3,195,154
  
                 
Net investment income
    
58,539,030
      
38,603,336
  
                 
Employer contributions
    
15,084,808
      
14,695,150
  
Participant contributions
    
12,500,531
      
11,994,170
  
Rollover contributions
    
525,472
      
856,776
  
                 
Total contributions
    
28,110,811
      
27,546,096
  
                 
Benefit payments
     (36,341,624 )     (25,541,450 )
                 
Net increase in net assets available for benefits
    
50,308,217
      
40,607,982
  
                 
Net assets available for benefits:
                
Beginning of year
    
556,571,031
      
515,963,049
  
                 
End of year
   $
606,879,248
      
556,571,031
  
                 
                 
See accompanying notes to financial statements.
                

 

 

 

3
          
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Notes to Financial Statements      
 
        December 31, 2006 and 2005      
 
    

(1)
Summary of Significant Accounting Policies
 
 
(a)
Basis of Financial Statement Presentation
 
The accompanying financial statements of The Toro Company Investment, Savings, and Employee Stock Ownership Plan are presented in accordance with U.S generally accepted accounting principles. The accounting records of the Plan are maintained on the accrual basis.
 
 
(b)
Investments
 
The Plan’s investments are held by JP Morgan Retirement Plan Services (the Trustee). The investment securities are stated at fair values based upon published quotations or, in the absence of available quotations, at fair values determined by the Trustee. Purchases and sales of securities are recorded on a trade-date basis.
 
The Company maintains one Master Trust, the Wells Fargo Stable Value Fund E (Master Trust) for three profit sharing and retirement plans that are sponsored by the Company. The three plans are the Plan, The Toro Company Profit Sharing Plan for Plymouth Union Employees and the Hahn Equipment Company Savings Plan for Union Employees. The purpose of the Master Trust is to pool investment transactions and achieve uniform rates of return on comparable funds under all plans.  The Master Trust invests in fully benefit-responsive investment contracts stated at fair value and then adjusted to contract value.  Fair value of the contracts is calculated by discounting the related cash flows based on current yields of similar instruments with comparable durations.
 
The Plan’s proportionate share of net investment income from the Master Trust is based upon the percentage of the fair value of the Plan’s investment in the master trust’s net assets. The Plan’s percentage interest in the net assets of the Master Trust was approximately 99% as of December 31, 2006 and 2005.
 
 
 (c)
Accounting Estimates
 
The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires the Plan Administrator to make estimates and assumptions that affect the reported amounts of net assets available for benefits and disclosure of contingent assets and liabilities as of the date of the financial statements and the reported amounts of changes in net assets available for benefits during the reporting period. Actual results could differ from those estimates.
 
 
 (d)
Concentrations of Risk
 
The Plan has investments in a variety of investment funds.  Investments 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 investments, it is reasonably possible that changes in the values of the investments 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.
 
Since the assets held by the Trust include The Toro Company Common Stock, the anticipated assets available for benefits in 2007 will be the result of the Company’s future stock market performance, which is subject to various risk factors described more fully in the Company’s periodic filings with the Securities and Exchange Commission.
 

4
      
        THE TORO COMPANY INVESTMENT, SAVINGS,      
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Notes to Financial Statements       
      
        December 31, 2006 and 2005      
 
    

  (e)      Adoption of New Accounting Guidance
 
The financial statements reflect the retroactive adoption of Financial Accounting Standards Board Staff Position AAG INV-1 and SOP 94-4-1, Reporting of Fully Benefit-Responsive Investment Contracts Held by Certain Investment Companies Subject to the AICPA Investment Company guide and Defined-Contribution Health and Welfare and Pension Plans (the FSP).  As required by the FSP, investment contracts held by a defined contribution plan are required to be reported at fair value.  However, contract value is the relevant measurement attribute for that portion of the net assets available for benefits of a defined contribution plan attributable to fully benefit-responsive investment contracts because contract value is the amount participants would receive if they were to initiate permitted transactions under the terms of the Plan.  As required by the FSP, the Statements of Net Assets Available for Benefits presented the fair value of the Master Trust, as well as the adjustment of the fully benefit-responsive investment contract from fair value to contract value.  The Statement of Changes in Net Assets Available for Benefits is prepared on a contract value basis.
 
 
(f)
Reclassifications
 
Certain amounts from prior years’ financial statements have been reclassified to conform to the current year presentation.
 
 (2)
Summary Description of Plan
 
The following description of The Toro Company Investment, Savings, and Employee Stock Ownership Plan (the Plan) is provided for general information purposes only. Participants should refer to the Plan document restated as of January 1, 2006 for more complete information.  The Plan is subject to the provisions of the Employee Retirement Income Security Act of 1974 (ERISA).  Effective January 1, 2002, The Toro Company Employee Stock Ownership Plan was merged into The Toro Company Investment and Savings Plan to become The Toro Company Investment, Savings, and Employee Stock Ownership Plan. However, there continues to be an Employee Stock Ownership (ESOP) portion and a profit sharing portion of the Plan.  Effective September 2, 2003, the Exmark Manufacturing Company, Inc. 401(k) Profit Sharing Plan was merged into the Plan. The Exmark Manufacturing Company, Inc. 401(k) Profit Sharing Plan offered loans to participants.  Since loans are not offered under the Plan, outstanding loan balances were transferred as a result of the merger into the Plan and continue to be repaid by participants.
 
The primary purpose of the ESOP portion of the Plan is to provide employees who become participants in the Plan an opportunity to have their account balances invested in Common Stock of The Toro Company. The portions of participant accounts that hold Company Common Stock are included in the ESOP portion of the Plan.  The portions of participant accounts that do not hold such stock are included in the profit sharing portion of the Plan.
 
Participants may make their own contributions to the Plan.  These are initially made to the profit sharing portion of the Plan.
 
Plan participants are also eligible to have the Company make ESOP and Investment Fund Contributions to the Plan on their behalf after two years of qualifying service with the Company. Participants are fully vested in the entire balance of their individual accounts attributable to those contributions. The Company also makes matching contributions to the Plan with respect to Participant contributions. Participants are eligible for matching contributions after completing one
 

5
 
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
                  
        Notes to Financial Statements      
 
        December 31, 2006 and 2005      
 
    

year of qualifying service with the Company. Company matching contributions, together with income attributable thereto, vest at a rate of 20% after one year of vesting service, with an additional 20% being accumulated annually thereafter until the participant is 100% vested.  ESOP Contributions and Matching Contributions are initially invested in Company Common Stock.
 
Participants may choose to have their accounts including those initially invested in Company Common Stock invested in any of the investment funds made available under the Plan or in Company Common Stock.  All contributions under the Plan are made to a trust that holds all of the assets of the Plan.
 
Benefit payments and transfers of participants’ interests are made by the Trustee.
 
During the year ended December 31, 2006 and 2005, forfeited nonvested accounts totaled $4,921 and $10,400, respectively. These accounts are used to offset future employer contributions.
 
The Company absorbs all administrative costs of the Plan, with the exception of investment management fees, which are netted against investment income.
 
(3)
Funding Policy, Contributions, and Plan Transfers
 
For the ESOP portion of the plan, the funding policy is to make annual contributions pursuant to a formula and to make matching contributions. The formula contribution is made by the Company and equals 1.5% of total participant compensation earned during the plan year. The formula contribution is allocated to participants based on the participants’ compensation earned during the plan year as a percentage of total plan year compensation.
 
For the profit sharing portion of the Plan, the funding policy is to make annual investment fund contributions to the Plan in amounts determined by a formula set forth in the Plan. The contribution formula is based on 5.5% of the participants’ total compensation earned during the plan year plus 5.5% of the participants’ compensation above the Social Security taxable wage base as of the beginning of the plan year. Investment income is allocated based on participants’ account balances.
 
Participant contributions are made to the profit sharing portion of the Plan.  They consist of salary reduction elections under a 401(k) feature, voluntary after-tax contributions, and rollover funds from other qualified plans. The Company is required to make a matching contribution into the ESOP portion of the plan equal to 50% of the participants’ contributions to the Plan not to exceed 2% of the participants’ total compensation made.  That contribution is invested in Company Common Stock.
 
Transfers to/from other funds represent participant elected rollovers to/from plans of other employers or other transfers to/from other plans.
 
(4)
Party-in-interest Transactions
 
JP Morgan Retirement Plan Services (Trustee of the Plan) and The Toro Company are parties-in-interest with respect to the Plan. In the opinion of the Plan’s legal counsel, certain transactions between the Plan, the Trustee, and the Company are exempt from being considered as “prohibited transactions” under ERISA Section 408(b).
 

6
      
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN       
      
        Notes to Financial Statements       
      
        December 31, 2006 and 2005      
 
    
 
(5)           Plan Termination
 
The Company has voluntarily agreed to make contributions to the Plan. Although the Company has not expressed any intent to terminate the Plan, it may do so at any time. Each participant’s interest in the Plan is 100% vested at all times, except for the portion attributable to matching contributions which is vested in a manner described above. Upon termination of the Plan, interests of active participants in the Plan fully vest.
 
(6)
Investments
 
Under the terms of the trust agreement, the Trustee manages investment funds on behalf of the Plan. The Trustee has been granted discretionary authority concerning the purchases and sales of the investments of the investment funds, except to the extent the Trustee is subject to the discretion of participants, other fiduciaries or the Company. In accordance with the trust agreement, certain assets of the Plan are held together with assets of other plans sponsored by the Company in the Master Trust.
 
The net assets available for benefits of the Master Trust as of December 31, 2006 and 2005 were $86,793,756 and $80,018,240, respectively. All assets of the Master Trust were held in short-term investment funds.
 
The changes in net assets available for benefits of the Master Trust for the years ended December 31, 2006 and 2005 were as follows:
 
             
   
2006
    
2005
  
Realized gain on investments
   $
625,159
      
342,341
  
Unrealized gain on investments
    
3,171,227
      
2,861,851
  
Deposits by participating plans
    
18,160,080
      
19,104,981
  
Withdrawals by participating plans
     (15,180,950 )     (19,055,998 )
                 
Increase in net assets
    
6,775,516
      
3,253,175
  
                 
Net assets available for benefits:
                
Beginning of year
    
80,018,240
      
76,765,065
  
                 
End of year
   $
86,793,756
      
80,018,240
  
                 

 

7
   
        THE TORO COMPANY INVESTMENT, SAVINGS,      
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Notes to Financial Statements       
      
        December 31, 2006 and 2005      
 
    

The following investments represent more than 5% of the Plan’s net assets available for benefits as of December 31, 2006 and 2005:
 

   
2006
    
2005
  
Growth Fund of America
   $
62,649,042
      
56,368,332
  
Vanguard Institutional Index
    
37,456,485
      
31,062,763
  
American Century Large Company Value Fund
    
66,868,298
      
57,941,563
  
ICM Small Company
    
30,696,096
      
25,006,040
  
Fidelity Diversified International Fund
    
47,724,396
      
34,135,926
  
The Toro Company Common Stock**
    
211,063,851
      
219,066,721
  
Master Trust fund
    
85,386,077
      
78,713,802
  
                 
**Party-in-interest, participant and nonparticipant directed investment
          

During 2006 and 2005, the Plan’s investments (including gains and losses on investments bought and sold, as well as held during the year) appreciated in value by $38,404,540 and $26,907,407, respectively, as follows:
 
             
   
2006
    
2005
  
Mutual funds
   $
23,380,102
      
11,270,293
  
The Toro Company Common Stock
    
14,193,226
      
15,276,179
  
Bond collective funds
    
831,212
      
360,935
  
    $
38,404,540
      
26,907,407
  
                 



8
    
        THE TORO COMPANY INVESTMENT, SAVINGS,        
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Notes to Financial Statements       
    
        December 31, 2006 and 2005      
 
    

Information about the net assets and the significant components of the changes in net assets relating to the investment in The Toro Company Common Stock is as follows:
 
         
Non-
        
         
participant
    
Participant
  
   
Total
    
directed
    
directed
  
   
2006
    
2006
    
2006
  
Net assets:
                  
  The Toro Company Common Stock
   $
211,063,851
      
131,906,325
      
79,157,526
  
                         
Investment income:
                        
  Dividends
   $
1,739,003
      
1,076,292
      
662,711
  
  Net realized/unrealized gain in the
                        
   fair value of investments
    
14,193,226
      
8,630,823
      
5,562,403
  
                         
Net investment income
    
15,932,229
      
9,707,115
      
6,225,114
  
                         
Total contributions
    
7,190,973
      
5,349,100
      
1,841,873
  
Benefit payments
     (12,024,444 )     (6,316,030 )     (5,708,414 )
Transfers to/from other funds
     (19,101,628 )     (10,811,953 )     (8,289,675 )
                         
Decrease in net assets
                        
  available for benefits
     (8,002,870 )     (2,071,768 )     (5,931,102 )
                         
Net assets available for benefits:
                        
Beginning of year
    
219,066,721
      
133,978,093
      
85,088,628
  
                         
End of year
   $
211,063,851
      
131,906,325
      
79,157,526
  
                         



9
      
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
           
        Notes to Financial Statements       
      
        December 31, 2006 and 2005      
 
    


         
Non-
        
         
participant
    
Participant
  
   
Total
    
directed
    
directed
  
   
2005
    
2005
    
2005
  
Net assets:
                  
  The Toro Company Common Stock
   $
219,066,721
      
133,978,093
      
85,088,628
  
                         
Investment income:
                        
  Dividends
   $
1,266,548
      
774,479
      
492,069
  
  Net realized/unrealized gain in the
                        
   fair value of investments
    
15,280,857
      
9,413,770
      
5,867,087
  
                         
Net investment income
    
16,547,405
      
10,188,249
      
6,359,156
  
                         
Total contributions
    
7,264,491
      
5,244,508
      
2,019,983
  
Benefit payments
     (8,459,051 )     (4,921,641 )     (3,537,410 )
Transfers to/from other funds
     (11,741,602 )     (9,042,308 )     (2,699,294 )
                         
Increase in net assets
                        
  available for benefits
    
3,611,243
      
1,468,808
      
2,142,435
  
                         
Net assets available for benefits:
                        
Beginning of year
    
215,455,478
      
132,509,285
      
82,946,193
  
                         
End of year
   $
219,066,721
      
133,978,093
      
85,088,628
  
                         


(7)
Federal Income Taxes
 
The Plan Administrator has received a determination letter from the Internal Revenue Service, dated October 23, 2002, stating that the Plan is qualified under Section 401(a) of the Internal Revenue Code (the Code), and that the trust created under the Plan is exempt from federal income taxes under Section 501(a) of the Code. The Plan has been amended since the date of this letter, however the Plan Administrator believes that the Plan and its related trust continue to qualify under the provisions of Sections 401(a) and 501(a) of the Code and are exempt from federal income taxes. Therefore, no provision for income taxes has been included in the Plan’s financial statements.
 

 

10
    
        THE TORO COMPANY INVESTMENT, SAVINGS,        
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Notes to Financial Statements       
      
        December 31, 2006 and 2005      
 
    


 
(8)
Related Party
 
The Plan’s investments are held by JP Morgan Retirement Plan Services (Trustee of the Plan). Some of the investment funds available to participants also include mutual funds managed by JP Morgan.
 
 
(9)
Reconciliation of Differences Between these Financial Statements and the Financial Information Required on Form 5500:

   
December 31,
  
   
2006
  
Net assets available for benefits as presented in these
      
financial statements
   $
606,879,248
  
         
Adjustment from contract value to fair value for
        
fully benefit-responsive investment contracts
     (1,153,751 )
Adjustment for employer contribution receivable
     (32,843 )
Adjustment for employee contribution receivable
     (47,511 )
         
Net assets available for benefits as presented on Form 5500
   $
605,645,143
  
         
   
Year Ended
  
   
December 31,
  
   
2006
  
Net increase in net assets available for benefits as
        
presented in these financial statements
   $
50,308,217
  
         
Adjustment from contract value to fair value for
        
fully benefit-responsive investment contracts
     (1,153,751 )
Adjustment for employer contribution receivable at December 31, 2006
     (32,843 )
Adjustment for employee contribution receivable at December 31, 2006
     (47,511 )
Adjustment for employer contribution receivable at December 31, 2005
    
12,963
  
Adjustment for employee contribution receivable at December 31, 2005
    
44,272
  
         
Net increase in net assets available for benefits as
        
presented on Form 5500
   $
49,131,347
  
         


11
     
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
            
        Notes to Financial Statements       
      
        December 31, 2006 and 2005      
 
    



   
December 31,
  
   
2005
  
Net assets available for benefits as presented in these
      
financial statements
   $
556,571,031
  
         
Adjustment for employer contribution receivable
     (12,963 )
Adjustment for employee contribution receivable
     (44,272 )
         
Net assets available for benefits as presented on Form 5500
   $
556,513,796
  
         
   
Year Ended
  
   
December 31,
  
   
2005
  
Net increase in net assets available for benefits as
        
presented in these financial statements
   $
40,607,982
  
         
Adjustment for employer contribution receivable at December 31, 2005
     (12,963 )
Adjustment for employee contribution receivable at December 31, 2005
     (44,272 )
Adjustment for employer contribution receivable at December 31, 2004
    
11,312
  
Adjustment for employee contribution receivable at December 31, 2004
    
40,883
  
         
Net increase in net assets available for benefits as
        
presented on Form 5500
   $
40,602,942
  
         



12
  
        THE TORO COMPANY INVESTMENT, SAVINGS,       
        AND EMPLOYEE STOCK OWNERSHIP PLAN      
      
 Schedule of Assets (Held at End of the Year)
 
December 31, 2006
 
    



   
Face
              
   
amount
          
Fair
  
Description
  
or shares
    
Cost***
    
value
  
                   
Barclays Global Investors
    
1,599,516
           $
21,643,423
  
Artisan Mid Cap Fund
    
294,499
            
8,971,299
  
JP Morgan MidCap Value*
    
530,410
            
13,786,011
  
STI Classics Small Cap Growth Stock Fund
    
356,310
            
7,171,022
  
Fidelity Diversified International Fund
    
1,291,403
            
47,724,396
  
Growth Fund of America
    
1,917,592
            
62,649,042
  
ICM Small Company
    
821,402
            
30,696,096
  
Vanguard Institutional Index
    
289,037
            
37,456,485
  
American Century Large Company Value Fund
    
8,821,675
            
66,868,298
  
Loan Fund
    
23,871
            
23,871
  
The Toro Company Common Stock**
    
4,526,353
     $
55,682,024
      
211,063,851
  
Master Trust fund
    
86,539,828
              
85,386,077
  
                         
Total investments
                   $
593,439,871
  
                         
                         
*Party-in-interest
                        
**Party-in-interest, participant and nonparticipant directed investment
          
*** Information not required for participant directed investments
                  
                         
                         
See accompanying report of independent registered public accounting firm.
          

 
13

 


SIGNATURES

 
Pursuant to the requirements of the Securities 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.


 
The Toro Company Investment, Savings, and
 
Employee Stock Ownership Plan
   
Date:  June 28, 2007
By /s/ Stephen P. Wolfe
 
Stephen P. Wolfe
 
Vice President Finance
 
and Chief Financial Officer
 
of The Toro Company





 

 
Exhibit Index
 
Exhibit Number
Description
23.1
Consent of Independent Registered Public Accounting Firm