-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, SY4d+pq4EjQudDw1sfnh6z1An4ralmylFGUjY37qFeDp9q/H8R3CHu5M9+YlEAfF yhmpzV0f3umRNRx2EI4UIg== 0000935069-03-000998.txt : 20030725 0000935069-03-000998.hdr.sgml : 20030725 20030725134936 ACCESSION NUMBER: 0000935069-03-000998 CONFORMED SUBMISSION TYPE: N-CSR PUBLIC DOCUMENT COUNT: 3 CONFORMED PERIOD OF REPORT: 20030531 FILED AS OF DATE: 20030725 EFFECTIVENESS DATE: 20030725 FILER: COMPANY DATA: COMPANY CONFORMED NAME: OPPENHEIMER INTERNATIONAL GROWTH FUND CENTRAL INDEX KEY: 0001005728 IRS NUMBER: 133867060 STATE OF INCORPORATION: MA FISCAL YEAR END: 1130 FILING VALUES: FORM TYPE: N-CSR SEC ACT: 1940 Act SEC FILE NUMBER: 811-07489 FILM NUMBER: 03802984 BUSINESS ADDRESS: STREET 1: 6803 SOUTH TUCSON WAY STREET 2: N/A CITY: CENTENNIAL STATE: CO ZIP: 80112-3924 BUSINESS PHONE: 303-768-3200 MAIL ADDRESS: STREET 1: 6803 SOUTH TUCSON WAY STREET 2: N/A CITY: CENTENNIAL STATE: CO ZIP: 80112-3924 N-CSR 1 rs0825_7982vef.txt RS0825_7982VEF UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM N-CSR CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES Investment Company Act file number 811-07489 Oppenheimer International Growth Fund ------------------------------------- (Exact name of registrant as specified in charter) 6803 SOUTH TUCSON WAY, CENTENNIAL, COLORADO 80112-3924 ------------------------------------------------------ (Address of principal executive offices) (Zip code) Robert G. Zack, Esq. OppenheimerFunds, Inc. 498 Seventh Avenue, New York, New York 10018 - -------------------------------------------------------------------------------- (Name and address of agent for service) Registrant's telephone number, including area code: (303) 768-3200 -------------- Date of fiscal year end: November 30 Date of reporting period: December 1, 2002 - May 31, 2003 ITEM 1. REPORTS TO STOCKHOLDERS. STATEMENT OF INVESTMENTS May 31, 2003 / Unaudited Market Value Shares See Note 1 - -------------------------------------------------------------------------------- Common Stocks--97.0% - -------------------------------------------------------------------------------- Consumer Discretionary--13.6% - -------------------------------------------------------------------------------- Automobiles--0.6% Porsche AG, Preferred 8,944 $ 3,433,560 - -------------------------------------------------------------------------------- Distributors--0.1% Medion AG 13,504 636,897 - -------------------------------------------------------------------------------- Household Durables--1.8% Groupe SEB SA 1 79,289 7,432,484 - -------------------------------------------------------------------------------- Thomson 1 222,820 3,831,460 ----------- 11,263,944 - -------------------------------------------------------------------------------- Internet & Catalog Retail--2.1% LG Home Shopping, Inc. 207,880 13,341,552 - -------------------------------------------------------------------------------- Leisure Equipment & Products--1.0% Konica Corp. 676,000 6,200,176 - -------------------------------------------------------------------------------- Media--7.0% British Sky Broadcasting Group plc 1 551,329 5,988,679 - -------------------------------------------------------------------------------- Grupo Televisa SA, Sponsored GDR 1 137,200 4,232,620 - -------------------------------------------------------------------------------- Mediaset SpA 645,700 5,900,849 - -------------------------------------------------------------------------------- News Corp. Ltd. 617,000 4,672,031 - -------------------------------------------------------------------------------- Reed Elsevier plc 396,799 3,256,979 - -------------------------------------------------------------------------------- Societe Television Francaise 1 200,110 5,916,935 - -------------------------------------------------------------------------------- Sogecable SA 1 423,000 6,134,316 - -------------------------------------------------------------------------------- Wolters Kluwer NV 234,199 2,963,876 - -------------------------------------------------------------------------------- Zee Telefilms Ltd. 1 2,339,700 4,259,429 ------------ 43,325,714 - -------------------------------------------------------------------------------- Specialty Retail--1.0% New Dixons Group plc 3,398,240 6,430,470 - -------------------------------------------------------------------------------- Consumer Staples--2.0% - -------------------------------------------------------------------------------- Beverages--1.5% Foster's Group Ltd. 994,534 2,773,817 - -------------------------------------------------------------------------------- Pernod-Ricard SA 64,590 6,426,853 ------------ 9,200,670 - -------------------------------------------------------------------------------- Food & Staples Retailing--0.5% Carrefour SA 65,670 2,940,442 - -------------------------------------------------------------------------------- Energy--0.8% - -------------------------------------------------------------------------------- Oil & Gas--0.8% Tsakos Energy Navigation Ltd. 382,500 5,049,000 - -------------------------------------------------------------------------------- Market Value Shares See Note 1 - -------------------------------------------------------------------------------- Financials--12.8% - -------------------------------------------------------------------------------- Commercial Banks--5.8% ABN Amro Holding NV 154,200 $ 2,983,410 - -------------------------------------------------------------------------------- Anglo Irish Bank Corp. 1,523,700 13,386,985 - -------------------------------------------------------------------------------- Banco Espirito Santo SA 211,575 3,185,202 - -------------------------------------------------------------------------------- Banco Popolare di Verona e Novara Scrl 449,542 6,736,005 - -------------------------------------------------------------------------------- Lloyds TSB Group plc 421,790 3,092,403 - -------------------------------------------------------------------------------- Royal Bank of Scotland Group plc (The) 157,390 4,087,080 - -------------------------------------------------------------------------------- Societe Generale, Cl. A 44,270 2,717,958 ------------ 36,189,043 - -------------------------------------------------------------------------------- Diversified Financial Services--7.0% 3i Group plc 671,731 6,471,119 - -------------------------------------------------------------------------------- Ackermans & van Haaren NV 1 171,610 3,027,587 - -------------------------------------------------------------------------------- Collins Stewart Tullett plc 2,189,776 13,561,202 - -------------------------------------------------------------------------------- Housing Development Finance Corp. Ltd. 265,500 2,083,288 - -------------------------------------------------------------------------------- ICICI Bank Ltd., Sponsored ADR 1 689,900 4,649,926 - -------------------------------------------------------------------------------- Marschollek, Lautenschlaeger und Partner AG (MLP) 1 790,035 9,728,721 - -------------------------------------------------------------------------------- Van der Moolen Holding NV 306,700 3,787,615 ------------ 43,309,458 - -------------------------------------------------------------------------------- Health Care--17.0% - -------------------------------------------------------------------------------- Biotechnology--0.2% Cambridge Antibody Technology Group plc 1 197,210 1,563,799 - -------------------------------------------------------------------------------- Health Care Equipment & Supplies--2.7% Amersham plc 609,610 4,674,172 - -------------------------------------------------------------------------------- Art Advanced Research Technologies, Inc. 1,2,3 1,901,125 2,491,826 - -------------------------------------------------------------------------------- Centerpulse AG 1 16,588 4,553,119 - -------------------------------------------------------------------------------- Essilor International SA 66,960 2,724,923 - -------------------------------------------------------------------------------- Ortivus AB, B Shares 1,3 710,800 2,232,645 ------------ 16,676,685 7 | OPPENHEIMER INTERNATIONAL GROWTH FUND STATEMENT OF INVESTMENTS Unaudited / Continued Market Value Shares See Note 1 - -------------------------------------------------------------------------------- Health Care Providers & Services--1.6% Fresenius AG, Preference 94,493 $ 4,392,172 - -------------------------------------------------------------------------------- Nicox SA 1 850,949 5,394,547 ----------- 9,786,719 - -------------------------------------------------------------------------------- Pharmaceuticals--12.5% Aventis SA 80,370 4,195,116 - -------------------------------------------------------------------------------- Biovail Corp. 1 64,500 3,008,280 - -------------------------------------------------------------------------------- Fujisawa Pharmaceutical Co. Ltd. 153,000 2,775,887 - -------------------------------------------------------------------------------- GlaxoSmithKline plc 326,350 6,442,840 - -------------------------------------------------------------------------------- Marshall Edwards, Inc. 1,2 875,000 3,440,535 - -------------------------------------------------------------------------------- NeuroSearch AS 1 273,200 2,834,766 - -------------------------------------------------------------------------------- Novogen Ltd. 1,3 6,312,615 17,688,547 - -------------------------------------------------------------------------------- Pliva d.d., GDR 4 221,950 2,994,106 - -------------------------------------------------------------------------------- Sanofi-Synthelabo SA 1 96,090 6,142,433 - -------------------------------------------------------------------------------- Shionogi & Co. Ltd. 457,000 6,445,876 - -------------------------------------------------------------------------------- SkyePharma plc 1 16,789,970 15,473,164 - -------------------------------------------------------------------------------- Takeda Chemical Industries Ltd. 159,000 6,234,773 ----------- 77,676,323 - -------------------------------------------------------------------------------- Industrials--19.9% - -------------------------------------------------------------------------------- Aerospace & Defense--3.2% Empresa Brasileira de Aeronautica SA (Embraer), Preference 5,356,546 19,675,266 - -------------------------------------------------------------------------------- Air Freight & Logistics--0.2% Sinotrans Ltd. 1 4,200,000 1,211,733 - -------------------------------------------------------------------------------- Commercial Services & Supplies--3.4% Amadeus Global Travel Distribution SA 1 1,007,600 5,842,488 - -------------------------------------------------------------------------------- BTG plc 1 2,793,110 4,438,809 - -------------------------------------------------------------------------------- Buhrmann NV 1 1,046,558 4,160,473 - -------------------------------------------------------------------------------- Magnus Holding NV 1,3 1,249,880 558,618 - -------------------------------------------------------------------------------- Prosegur Compania de Seguridad SA 434,649 6,390,155 ----------- 21,390,543 Market Value Shares See Note 1 - -------------------------------------------------------------------------------- Construction & Engineering--4.8% Koninklijke Boskalis Westminster NV 1,317,061 $29,680,015 - -------------------------------------------------------------------------------- Electrical Equipment--2.2% SGL Carbon AG 1 366,436 4,788,229 - -------------------------------------------------------------------------------- Ushio, Inc. 787,000 9,126,449 ------------ 13,914,678 - -------------------------------------------------------------------------------- Industrial Conglomerates--3.1% Aalberts Industries NV 1,090,879 18,988,953 - -------------------------------------------------------------------------------- Machinery--2.4% GSI Lumonics, Inc. 1 545,600 3,437,280 - -------------------------------------------------------------------------------- Halma plc 2,915,306 5,904,643 - -------------------------------------------------------------------------------- Hyundai Heavy Industries Co. Ltd. 1 289,246 5,624,227 ------------ 14,966,150 - -------------------------------------------------------------------------------- Transportation Infrastructure--0.6% Eurotunnel SA 1 5,303,725 2,931,849 - -------------------------------------------------------------------------------- ICTS International NV 136,200 651,036 ------------ 3,582,885 - -------------------------------------------------------------------------------- Information Technology--24.0% - -------------------------------------------------------------------------------- Communications Equipment--1.1% Telefonaktiebolaget LM Ericsson AB, B Shares 6,398,600 6,589,574 - -------------------------------------------------------------------------------- Computers & Peripherals--1.8% Logitech International SA 1 230,183 9,764,375 - -------------------------------------------------------------------------------- Toshiba Corp. 516,424 1,567,342 ------------ 11,331,717 - -------------------------------------------------------------------------------- Electronic Equipment & Instruments--4.3% Epcos AG 1 200,447 2,727,694 - -------------------------------------------------------------------------------- Hamamatsu Photonics K.K. 246,100 3,528,795 - -------------------------------------------------------------------------------- Imagineer Co. Ltd. 105,000 482,839 - -------------------------------------------------------------------------------- Keyence Corp. 33,510 5,894,824 - -------------------------------------------------------------------------------- Omron Corp. 512,318 7,251,824 - -------------------------------------------------------------------------------- Tandberg ASA 1 1,583,700 6,838,737 ------------ 26,724,713 8 | OPPENHEIMER INTERNATIONAL GROWTH FUND Market Value Shares See Note 1 - -------------------------------------------------------------------------------- Internet Software & Services--2.3% T-Online International AG 1 504,558 $ 4,717,816 - -------------------------------------------------------------------------------- Yahoo Japan Corp. 1 798 9,741,064 ------------ 14,458,880 - -------------------------------------------------------------------------------- IT Services--2.8% Altran Technologies SA 1 564,190 4,014,611 - -------------------------------------------------------------------------------- Infosys Technologies Ltd. 112,700 6,405,348 - -------------------------------------------------------------------------------- NIIT Ltd. 1,484,600 3,743,074 - -------------------------------------------------------------------------------- United Internet AG 218,982 3,399,735 ------------ 17,562,768 - -------------------------------------------------------------------------------- Office Electronics--1.5% Canon, Inc. 225,000 9,405,961 - -------------------------------------------------------------------------------- Semiconductors & Semiconductor Equipment--4.0% ASM International NV 1 746,600 11,542,436 - -------------------------------------------------------------------------------- Jenoptik AG 1 1,066,597 13,034,027 ------------ 24,576,463 - -------------------------------------------------------------------------------- Software--6.2% Eidos plc 1 3,136,140 8,426,476 - -------------------------------------------------------------------------------- Infogrames Entertainment SA 1 699,527 4,664,985 - -------------------------------------------------------------------------------- Software AG 1 244,371 3,196,076 - -------------------------------------------------------------------------------- UBI Soft Entertainment SA 1 865,221 16,383,838 - -------------------------------------------------------------------------------- Unit 4 Agresso NV 1 954,730 5,446,093 ------------ 38,117,468 - -------------------------------------------------------------------------------- Telecommunication Services--6.2% - -------------------------------------------------------------------------------- Diversified Telecommunication Services--1.6% BT Group plc 1,937,620 6,110,912 - -------------------------------------------------------------------------------- Videsh Sanchar Nigam Ltd. 1 2,038,900 3,911,289 ------------ 10,022,201 Market Value Shares See Note 1 - -------------------------------------------------------------------------------- Wireless Telecommunication Services--4.6% KDDI Corp. 3,433 $11,911,667 - -------------------------------------------------------------------------------- SK Telecom Co. Ltd. 20,100 3,166,667 - -------------------------------------------------------------------------------- Telecom Italia Mobile SpA 744,900 3,898,708 - -------------------------------------------------------------------------------- Vodafone Group plc 1 4,212,300 9,144,119 ------------ 28,121,161 - -------------------------------------------------------------------------------- Utilities--0.7% - -------------------------------------------------------------------------------- Electric Utilities--0.7% Solidere, GDR 1,4 855,700 4,257,107 ------------ Total Common Stocks (Cost $715,436,347) 601,602,688 - -------------------------------------------------------------------------------- Preferred Stocks--1.3% Ceres, Inc.: $4.00 Cv., Series C-1 1,2 44,515 289,347 Cv., Series C 1,2 600,000 3,900,000 Cv., Series D 1,2 418,000 2,717,000 - -------------------------------------------------------------------------------- Oxagen Ltd., Cv. 1,2 2,142,875 1,228,773 ------------ Total Preferred Stocks (Cost $7,296,760) 8,135,120 Units - -------------------------------------------------------------------------------- Rights, Warrants and Certificates--0.2% Ceres Group, Inc.: Series C Wts., Exp. 8/28/06 1,2 20,032 -- Series D Wts., Exp. 12/31/30 1,2 41,800 -- - -------------------------------------------------------------------------------- Marshall Edwards, Inc., Wts., Exp. 11/30/03 1,2 875,000 799,351 - -------------------------------------------------------------------------------- UBI Soft Entertainment SA Wts., Exp. 5/14/06 1 865,221 671,636 ------------ Total Rights, Warrants and Certificates (Cost $0) 1,470,987 9 | OPPENHEIMER INTERNATIONAL GROWTH FUND STATEMENT OF INVESTMENTS Unaudited / Continued Principal Market Value Amount See Note 1 - -------------------------------------------------------------------------------- Joint Repurchase Agreements--0.7% Undivided interest of 2.88% in joint repurchase agreement (Market Value $152,071,000) with Banc One Capital Markets, Inc., 1.23%, dated 5/30/03, to be repurchased at $4,384,449 on 6/2/03, collateralized by U.S. Treasury Nts., 3.625%--5.625%, 8/31/03--5/15/08, with a value of $84,261,270 and U.S. Treasury Bonds, 3.375%, 4/30/04, with a value of $70,968,802 (Cost $4,384,000) $4,384,000 $ 4,384,000 - -------------------------------------------------------------------------------- Total Investments, at Value (Cost $727,117,108) 99.2% 615,592,795 - -------------------------------------------------------------------------------- Other Assets Net of Liabilities 0.8 4,813,310 ---------------------------- Net Assets 100.0% $620,406,105 ============================ Distribution of investments representing geographic holdings, as a percentage of total investments at value, is as follows: Geographic Holdings Market Value Percent ---------------------------------------------------------- Great Britain $106,295,639 17.3% The Netherlands 80,762,525 13.1 Japan 80,567,477 13.1 France 76,390,070 12.4 Germany 50,054,927 8.1 Australia 28,574,930 4.5 India 25,052,354 4.1 Korea, Republic of South 22,132,446 3.6 Brazil 19,675,266 3.2 Spain 18,366,959 3.0 Italy 16,535,562 2.7 United States 15,097,978 2.5 Switzerland 14,317,494 2.3 Ireland 13,386,985 2.2 Norway 11,887,737 1.9 Sweden 8,822,219 1.4 Canada 5,929,106 1.0 Lebanon 4,257,107 0.7 Mexico 4,232,620 0.7 Portugal 3,185,202 0.5 Belgium 3,027,587 0.5 Croatia 2,994,106 0.5 Denmark 2,834,766 0.5 China 1,211,733 0.2 ---------------------- Total $615,592,795 100.0% ====================== Footnotes to Statement of Investments 1. Non-income producing security. 2. Identifies issues considered to be illiquid or restricted--See Note 6 of Notes to Financial Statements. 3. Affiliated company. Represents ownership of at least 5% of the voting securities of the issuer, and is or was an affiliate, as defined in the Investment Company Act of 1940, at or during the period ended May 31, 2003. The aggregate fair value of securities of affiliated companies held by the Fund as of May 31, 2003 amounts to $22,971,636. Transactions during the period in which the issuer was an affiliate are as follows:
Unrealized Shares Gross Gross Shares Appreciation Realized November 30, 2002 Additions Reductions May 31, 2003 (Depreciation) Loss - ------------------------------------------------------------------------------------------------------------------------------------ Stocks and/or Warrants Art Advanced Research Technologies, Inc. 1,901,125 -- -- 1,901,125 $ (5,008,174) $ -- Magnus Holding NV 1,206,580 43,300 -- 1,249,880 (5,286,451) -- Novogen Ltd. 6,549,983 147,700 385,068 6,312,615 8,724,690 71,793 Ortivus AB, B Shares 698,400 26,800 14,400 710,800 (6,127,451) 278,606 Oxagen Ltd., Cv.* 1,250,000 892,875 -- 2,142,875 (981,927) -- UBI Soft Entertainment SA* 938,841 -- 73,620 865,221 (12,788,295) 2,541,268 ---------------------------- $(21,467,608) $2,891,667 ============================
* No longer an affiliate as of May 31, 2003. 4. Represents securities sold under Rule 144A, which are exempt from registration under the Securities Act of 1933, as amended. These securities have been determined to be liquid under guidelines established by the Board of Trustees. These securities amount to $7,251,213 or 1.17% of the Fund's net assets as of May 31, 2003. See accompanying Notes to Financial Statements. 10 | OPPENHEIMER INTERNATIONAL GROWTH FUND STATEMENT OF ASSETS AND LIABILITIES Unaudited May 31, 2003 - -------------------------------------------------------------------------------- Assets Investments, at value--see accompanying statement: Unaffiliated companies (cost $696,448,086) $ 592,621,159 Affiliated companies (cost $30,669,022) 22,971,636 ------------------ 615,592,795 - -------------------------------------------------------------------------------- Cash 1,419,879 - -------------------------------------------------------------------------------- Unrealized appreciation on foreign currency contracts 5,267 - -------------------------------------------------------------------------------- Receivables and other assets: Investments sold 5,623,332 Interest and dividends 3,751,680 Shares of beneficial interest sold 3,576,954 Other 5,151 ------------------ Total assets 629,975,058 - -------------------------------------------------------------------------------- Liabilities Unrealized depreciation on foreign currency contracts 1,708 - -------------------------------------------------------------------------------- Payables and other liabilities: Investments purchased 4,667,510 Shares of beneficial interest redeemed 3,916,932 Shareholder reports 268,224 Distribution and service plan fees 231,557 Transfer and shareholder servicing agent fees 166,994 Trustees' compensation 155,061 Other 160,967 ------------------ Total liabilities 9,568,953 - -------------------------------------------------------------------------------- Net Assets $ 620,406,105 ================== - -------------------------------------------------------------------------------- Composition of Net Assets Paid-in capital $1,088,793,217 - -------------------------------------------------------------------------------- Overdistributed net investment income (933,233) - -------------------------------------------------------------------------------- Accumulated net realized loss on investments and foreign currency transactions (356,058,255) - -------------------------------------------------------------------------------- Net unrealized depreciation on investments and translation of assets and liabilities denominated in foreign currencies (111,395,624) ------------------ Net Assets $ 620,406,105 ================== 11 | OPPENHEIMER INTERNATIONAL GROWTH FUND STATEMENT OF ASSETS AND LIABILITIES Unaudited / Continued - -------------------------------------------------------------------------------- Net Asset Value Per Share Class A Shares: Net asset value and redemption price per share (based on net assets of $374,776,193 and 32,074,250 shares of beneficial interest outstanding) $11.68 Maximum offering price per share (net asset value plus sales charge of 5.75% of offering price) $12.39 - -------------------------------------------------------------------------------- Class B Shares: Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $144,395,838 and 12,902,714 shares of beneficial interest outstanding) $11.19 - -------------------------------------------------------------------------------- Class C Shares: Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $87,673,340 and 7,827,992 shares of beneficial interest outstanding) $11.20 - -------------------------------------------------------------------------------- Class N Shares: Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $13,560,734 and 1,174,273 shares of beneficial interest outstanding) $11.55 See accompanying Notes to Financial Statements. 12 | OPPENHEIMER INTERNATIONAL GROWTH FUND STATEMENT OF OPERATIONS Unaudited For the Six Months Ended May 31, 2003 - -------------------------------------------------------------------------------- Investment Income Dividends (net of foreign withholding taxes of $1,056,809) $ 6,654,074 - -------------------------------------------------------------------------------- Interest 66,325 ------------------ Total investment income 6,720,399 - -------------------------------------------------------------------------------- Expenses Management fees 2,184,294 - -------------------------------------------------------------------------------- Distribution and service plan fees: Class A 389,897 Class B 691,256 Class C 395,381 Class N 28,826 - -------------------------------------------------------------------------------- Transfer and shareholder servicing agent fees: Class A 1,594,422 Class B 481,301 Class C 229,852 Class N 29,023 - -------------------------------------------------------------------------------- Shareholder reports 183,096 - -------------------------------------------------------------------------------- Custodian fees and expenses 120,818 - -------------------------------------------------------------------------------- Trustees' compensation 21,048 - -------------------------------------------------------------------------------- Other 146,857 ------------------ Total expenses 6,496,071 Less reduction to custodian expenses (1,198) Less voluntary waiver of transfer and shareholder servicing agent fees--Class A (1,139,455) Less voluntary waiver of transfer and shareholder servicing agent fees--Class B (284,327) Less voluntary waiver of transfer and shareholder servicing agent fees--Class C (97,889) Less voluntary waiver of transfer and shareholder servicing agent fees--Class N (7,575) ------------------ Net expenses 4,965,627 - -------------------------------------------------------------------------------- Net Investment Income 1,754,772 - -------------------------------------------------------------------------------- Realized and Unrealized Gain (Loss) Net realized gain (loss) on: Investments: Unaffiliated companies (145,423,426) Affiliated companies (2,891,667) Foreign currency transactions 21,488,307 ------------------ Net realized loss (126,826,786) - -------------------------------------------------------------------------------- Net change in unrealized appreciation on: Investments 70,955,468 Translation of assets and liabilities denominated in foreign currencies 62,609,557 ------------------ Net change 133,565,025 ------------------ Net realized and unrealized gain 6,738,239 - -------------------------------------------------------------------------------- Net Increase in Net Assets Resulting from Operations $ 8,493,011 ================== See accompanying Notes to Financial Statements. 13 | OPPENHEIMER INTERNATIONAL GROWTH FUND STATEMENTS OF CHANGES IN NET ASSETS Six Months Year Ended Ended May 31, 2003 November 30, (Unaudited) 2002 - ------------------------------------------------------------------------------- Operations Net investment income $ 1,754,772 $ 2,798,149 - ------------------------------------------------------------------------------- Net realized loss (126,826,786) (140,431,293) - ------------------------------------------------------------------------------- Net change in unrealized appreciation (depreciation) 133,565,025 (85,001,129) ---------------------------- Net increase (decrease) in net assets resulting from operations 8,493,011 (222,634,273) - ------------------------------------------------------------------------------- Dividends and/or Distributions to Shareholders Dividends from net investment income: Class A (3,451,365) (1,561,357) Class B (393,792) -- Class C (280,451) -- Class N (141,834) (22,162) - ------------------------------------------------------------------------------- Beneficial Interest Transactions Net increase (decrease) in net assets resulting from beneficial interest transactions: Class A 11,895,306 (31,271,131) Class B (15,819,033) (19,682,917) Class C (1,863,954) 2,247,648 Class N 1,507,978 10,497,750 - ------------------------------------------------------------------------------- Net Assets Total decrease (54,134) (262,426,442) - ------------------------------------------------------------------------------- Beginning of period 620,460,239 882,886,681 ---------------------------- End of period [including undistributed (overdistributed) net investment income of $(933,233) and $1,579,437, respectively] $620,406,105 $ 620,460,239 ============================ See accompanying Notes to Financial Statements. 14 | OPPENHEIMER INTERNATIONAL GROWTH FUND
FINANCIAL HIGHLIGHTS Six Months Year Ended Ended May 31, 2003 Nov. 30, Class A (Unaudited) 2002 2001 2000 1999 1998 - --------------------------------------------------------------------------------------------------------------------------------- Per Share Operating Data Net asset value, beginning of period $11.63 $14.96 $19.77 $19.22 $15.11 $14.37 - --------------------------------------------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income (loss) .05 .12 .06 (.01) (.02) .05 Net realized and unrealized gain (loss) .11 (3.41) (3.93) .77 5.02 .91 ---------------------------------------------------------------------------------- Total from investment operations .16 (3.29) (3.87) .76 5.00 .96 - --------------------------------------------------------------------------------------------------------------------------------- Dividends and/or distributions to shareholders: Dividends from net investment income (.11) (.04) -- -- (.13) -- Distributions from net realized gain -- -- (.94) (.21) (.76) (.22) ---------------------------------------------------------------------------------- Total dividends and/or distributions to shareholders (.11) (.04) (.94) (.21) (.89) (.22) - --------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $11.68 $11.63 $14.96 $19.77 $19.22 $15.11 ================================================================================== - --------------------------------------------------------------------------------------------------------------------------------- Total Return, at Net Asset Value 1 1.46% (22.04)% (20.58)% 3.92% 35.31% 6.78% - --------------------------------------------------------------------------------------------------------------------------------- Ratios/Supplemental Data Net assets, end of period (in thousands) $374,776 $358,097 $535,615 $478,680 $208,981 $186,859 - --------------------------------------------------------------------------------------------------------------------------------- Average net assets (in thousands) $331,338 $512,319 $536,366 $418,537 $180,719 $175,022 - --------------------------------------------------------------------------------------------------------------------------------- Ratios to average net assets: 2 Net investment income (loss) 0.96% 0.62% 0.62% 0.22% (0.15)% 0.44% Expenses, gross 2.16% 1.64% 1.42% 1.38% 1.55% 1.40% 3 Expenses, net 1.47% 4,5 1.56% 4,5 1.42% 4,6 1.38% 4 1.55% 4 1.40% - --------------------------------------------------------------------------------------------------------------------------------- Portfolio turnover rate 28% 46% 33% 61% 75% 82%
1. Assumes an investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. 2. Annualized for periods of less than one full year. 3. Expense ratio has been calculated without adjustment for the reduction to custodian expenses. 4. Reduction to custodian expenses less than 0.01%. 5. Net of voluntary waiver of transfer agent fees. 6. Voluntary waiver of transfer agent fees less than 0.01%. See accompanying Notes to Financial Statements 15 | OPPENHEIMER INTERNATIONAL GROWTH FUND FINANCIAL HIGHLIGHTS Continued
Six Months Year Ended Ended May 31, 2003 Nov. 30, Class B (Unaudited) 2002 2001 2000 1999 1998 - --------------------------------------------------------------------------------------------------------------------------------- Per Share Operating Data Net asset value, beginning of period $11.10 $14.34 $19.14 $18.75 $14.76 $14.15 - --------------------------------------------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment loss (.02) (.03) (.01) (.08) (.14) (.03) Net realized and unrealized gain (loss) .14 (3.21) (3.85) .68 4.92 .86 -------------------------------------------------------------------------------- Total from investment operations .12 (3.24) (3.86) .60 4.78 .83 - --------------------------------------------------------------------------------------------------------------------------------- Dividends and/or distributions to shareholders: Dividends from net investment income (.03) -- -- -- (.03) -- Distributions from net realized gain -- -- (.94) (.21) (.76) (.22) -------------------------------------------------------------------------------- Total dividends and/or distributions to shareholders (.03) -- (.94) (.21) (.79) (.22) - --------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $11.19 $11.10 $14.34 $19.14 $18.75 $14.76 ================================================================================ - --------------------------------------------------------------------------------------------------------------------------------- Total Return, at Net Asset Value 1 1.08% (22.59)% (21.23)% 3.16% 34.32% 5.95% - --------------------------------------------------------------------------------------------------------------------------------- Ratios/Supplemental Data Net assets, end of period (in thousands) $144,396 $161,074 $230,085 $273,243 $176,021 $142,127 - --------------------------------------------------------------------------------------------------------------------------------- Average net assets (in thousands) $138,540 $200,304 $262,745 $276,393 $145,203 $125,772 - --------------------------------------------------------------------------------------------------------------------------------- Ratios to average net assets: 2 Net investment income (loss) 0.11% (0.12)% (0.15)% (0.56)% (0.91)% (0.34)% Expenses, gross 2.65% 2.39% 2.17% 2.14% 2.31% 2.18% 3 Expenses, net 2.24% 4,5 2.31% 4,5 2.17% 4,6 2.14% 4 2.31% 4 2.18% - --------------------------------------------------------------------------------------------------------------------------------- Portfolio turnover rate 28% 46% 33% 61% 75% 82%
1. Assumes an investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. 2. Annualized for periods of less than one full year. 3. Expense ratio has been calculated without adjustment for the reduction to custodian expenses. 4. Reduction to custodian expenses less than 0.01%. 5. Net of voluntary waiver of transfer agent fees. 6. Voluntary waiver of transfer agent fees less than 0.01%. See accompanying Notes to Financial Statements 16 | OPPENHEIMER INTERNATIONAL GROWTH FUND
Six Months Year Ended Ended May 31, 2003 Nov. 30, Class C (Unaudited) 2002 2001 2000 1999 1998 - --------------------------------------------------------------------------------------------------------------------------------- Per Share Operating Data Net asset value, beginning of period $ 11.12 $ 14.37 $ 19.16 $ 18.77 $ 14.78 $ 14.17 - --------------------------------------------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income (loss) -- 1 (.01) -- 1 (.04) (.13) (.03) Net realized and unrealized gain (loss) .12 (3.24) (3.85) .64 4.91 .86 -------------------------------------------------------------------------------- Total from investment operations .12 (3.25) (3.85) .60 4.78 .83 - --------------------------------------------------------------------------------------------------------------------------------- Dividends and/or distributions to shareholders: Dividends from net investment income (.04) -- -- -- (.03) -- Distributions from net realized gain -- -- (.94) (.21) (.76) (.22) -------------------------------------------------------------------------------- Total dividends and/or distributions to shareholders (.04) -- (.94) (.21) (.79) (.22) - --------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $11.20 $11.12 $14.37 $19.16 $18.77 $14.78 ================================================================================ - --------------------------------------------------------------------------------------------------------------------------------- Total Return, at Net Asset Value 2 1.06% (22.62)% (21.16)% 3.16% 34.28% 5.94% - --------------------------------------------------------------------------------------------------------------------------------- Ratios/Supplemental Data Net assets, end of period (in thousands) $87,673 $ 89,456 $114,084 $113,230 $49,242 $36,776 - --------------------------------------------------------------------------------------------------------------------------------- Average net assets (in thousands) $79,284 $106,551 $122,775 $ 98,110 $39,641 $32,460 - --------------------------------------------------------------------------------------------------------------------------------- Ratios to average net assets: 3 Net investment income (loss) 0.12% (0.12)% (0.14)% (0.53)% (0.92)% (0.34)% Expenses, gross 2.53% 2.37% 2.17% 2.14% 2.32% 2.17% 4 Expenses, net 2.28% 5,6 2.29% 5,6 2.17% 5,7 2.14% 5 2.32% 5 2.17% - --------------------------------------------------------------------------------------------------------------------------------- Portfolio turnover rate 28% 46% 33% 61% 75% 82%
1. Less than $0.005 per share. 2. Assumes an investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. 3. Annualized for periods of less than one full year. 4. Expense ratio has been calculated without adjustment for the reduction to custodian expenses. 5. Reduction to custodian expenses less than 0.01%. 6. Net of voluntary waiver of transfer agent fees. 7. Voluntary waiver of transfer agent fees less than 0.01%. See accompanying Notes to Financial Statements 17 | OPPENHEIMER INTERNATIONAL GROWTH FUND FINANCIAL HIGHLIGHTS Continued
Six Months Year Ended Ended May 31, 2003 Nov. 30, Class N (Unaudited) 2002 2001 1 - -------------------------------------------------------------------------------------------- Per Share Operating Data Net asset value, beginning of period $ 11.55 $ 14.93 $ 18.74 - -------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income .05 .09 .01 Net realized and unrealized gain (loss) .09 (3.38) (3.82) ------------------------------------ Total from investment operations .14 (3.29) (3.81) - -------------------------------------------------------------------------------------------- Dividends and/or distributions to shareholders: Dividends from net investment income (.14) (.09) -- Distributions from net realized gain -- -- -- ------------------------------------ Total dividends and/or distributions to shareholders (.14) (.09) -- - -------------------------------------------------------------------------------------------- Net asset value, end of period $11.55 $11.55 $14.93 ==================================== - -------------------------------------------------------------------------------------------- Total Return, at Net Asset Value 2 1.28% (22.18)% (20.33)% - -------------------------------------------------------------------------------------------- Ratios/Supplemental Data Net assets, end of period (in thousands) $13,561 $11,833 $3,102 - -------------------------------------------------------------------------------------------- Average net assets (in thousands) $11,566 $ 9,195 $1,152 - -------------------------------------------------------------------------------------------- Ratios to average net assets: 3 Net investment income 0.64% 0.19% 0.18% Expenses, gross 1.95% 1.80% 1.74% Expenses, net 1.82% 4,5 1.72% 4,5 1.74% 4,6 - -------------------------------------------------------------------------------------------- Portfolio turnover rate 28% 46% 33%
1. For the period from March 1, 2001 (inception of offering) to November 30, 2001. 2. Assumes an investment on the business day before the first day of the fiscal period (or inception of offering), with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. 3. Annualized for periods of less than one full year. 4. Reduction to custodian expenses less than 0.01%. 5. Net of voluntary waiver of transfer agent fees. 6. Voluntary waiver of transfer agent fees less than 0.01%. See accompanying Notes to Financial Statements 18 | OPPENHEIMER INTERNATIONAL GROWTH FUND NOTES TO FINANCIAL STATEMENTS Unaudited - -------------------------------------------------------------------------------- 1. Significant Accounting Policies Oppenheimer International Growth Fund (the Fund) is registered under the Investment Company Act of 1940, as amended, as an open-end management investment company. The Fund's investment objective is to seek long-term capital appreciation. The Fund's investment advisor is OppenheimerFunds, Inc. (the Manager). The Fund offers Class A, Class B, Class C and Class N shares. Class A shares are sold at their offering price, which is normally net asset value plus a front-end sales charge. Class B, Class C and Class N shares are sold without a front-end sales charge but may be subject to a contingent deferred sales charge (CDSC). Class N shares are sold only through retirement plans. Retirement plans that offer Class N shares may impose charges on those accounts. All classes of shares have identical rights and voting privileges. Earnings, net assets and net asset value per share may differ by minor amounts due to each class having its own expenses directly attributable to that class. Classes A, B, C and N have separate distribution and/or service plans. Class B shares will automatically convert to Class A shares six years after the date of purchase. The Fund assesses a 2% fee on the proceeds of fund shares that are redeemed (either by selling or exchanging to another Oppenheimer fund) within 30 days of their purchase. The fee, which is retained by the Fund, is accounted for as an addition to paid-in capital. The following is a summary of significant accounting policies consistently followed by the Fund. - -------------------------------------------------------------------------------- Securities Valuation. Securities listed or traded on National Stock Exchanges or other domestic or foreign exchanges are valued based on the last sale price of the security traded on that exchange prior to the time when the Fund's assets are valued. In the absence of a sale, the security is valued at the last sale price on the prior trading day, if it is within the spread of the closing bid and asked prices, and if not, at the closing bid price. Securities (including restricted securities) for which quotations are not readily available are valued primarily using dealer-supplied valuations, a portfolio pricing service authorized by the Board of Trustees, or at their fair value. Fair value is determined in good faith under consistently applied procedures under the supervision of the Board of Trustees. Short-term "money market type" debt securities with remaining maturities of sixty days or less are valued at amortized cost (which approximates market value). - -------------------------------------------------------------------------------- Foreign Currency Translation. The accounting records of the Fund are maintained in U.S. dollars. Prices of securities denominated in foreign currencies are translated into U.S. dollars at the closing rates of exchange. Amounts related to the purchase and sale of foreign securities and investment income are translated at the rates of exchange prevailing on the respective dates of such transactions. The effect of changes in foreign currency exchange rates on investments is separately identified from the fluctuations arising from changes in market values of securities held and reported with all other foreign currency gains and losses in the fund's statement of operations. 19 | OPPENHEIMER INTERNATIONAL GROWTH FUND NOTES TO FINANCIAL STATEMENTS Unaudited / Continued - -------------------------------------------------------------------------------- 1. Significant Accounting Policies Continued Joint Repurchase Agreements. The Fund, along with other affiliated funds of the Manager, may transfer uninvested cash balances into one or more joint repurchase agreement accounts. These balances are invested in one or more repurchase agreements, secured by U.S. government securities. Securities pledged as collateral for repurchase agreements are held by a custodian bank until the agreements mature. Each agreement requires that the market value of the collateral be sufficient to cover payments of interest and principal; however, in the event of default by the other party to the agreement, retention of the collateral may be subject to legal proceedings. - -------------------------------------------------------------------------------- Allocation of Income, Expenses, Gains and Losses. Income, expenses (other than those attributable to a specific class), gains and losses are allocated daily to each class of shares based upon the relative proportion of net assets represented by such class. Operating expenses directly attributable to a specific class are charged against the operations of that class. - -------------------------------------------------------------------------------- Federal Taxes. The Fund intends to continue to comply with provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income, including any net realized gain on investments not offset by capital loss carryforwards, if any, to shareholders. Therefore, no federal income or excise tax provision is required. As of May 31, 2003, the Fund had available for federal income tax purposes an estimated unused capital loss carryforward of $350,827,007. This estimated capital loss carryforward represents the carryforward as of the end of the last fiscal year, increased for losses deferred under tax accounting rules for the current fiscal year and is increased or decreased by capital losses or gains realized in the first six months of the current fiscal year. During the six months ended May 31, 2003, the Fund did not use carryforward to offset capital gains realized. During the year ended November 30, 2002, the Fund did not use carryforward to offset capital gains realized. As of November 30, 2002, the Fund had available for federal income tax purposes unused capital loss carryforwards as follows: Expiring ---------------------- 2009 $ 80,843,212 2010 110,808,862 ------------ Total $191,652,074 ============ - -------------------------------------------------------------------------------- Trustees' Compensation. The Fund has adopted an unfunded retirement plan for the Fund's independent trustees. Benefits are based on years of service and fees paid to each trustee during the years of service. During the six months ended May 31, 2003, the Fund's projected benefit obligations were increased by $7,092 and payments of $5,518 were made to retired trustees, resulting in an accumulated liability of $147,393 as of May 31, 2003. 20 | OPPENHEIMER INTERNATIONAL GROWTH FUND The Board of Trustees has adopted a deferred compensation plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of the annual compensation they are entitled to receive from the Fund. Under the plan, the compensation deferred is invested by the Fund in the fund(s) selected by the trustee. Deferral of trustees' fees under the plan will not affect the net assets of the Fund, and will not materially affect the Fund's assets, liabilities or net investment income per share. - -------------------------------------------------------------------------------- Dividends and Distributions to Shareholders. Dividends and distributions to shareholders, which are determined in accordance with income tax regulations, are recorded on the ex-dividend date. - -------------------------------------------------------------------------------- Classification of Dividends and Distributions to Shareholders. Net investment income (loss) and net realized gain (loss) may differ for financial statement and tax purposes primarily because of the recognition of certain foreign currency gains (losses) as ordinary income (loss) for tax purposes. The character of dividends and distributions made during the fiscal year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. Also, due to timing of dividends and distributions, the fiscal year in which amounts are distributed may differ from the fiscal year in which the income or net realized gain was recorded by the Fund. The tax character of distributions paid during the six months ended May 31, 2003 and the year ended November 30, 2002 was as follows: Six Months Ended Year Ended May 31, 2003 November 30, 2002 ------------------------------------------------------------------- Distributions paid from: Ordinary income $4,267,442 $1,583,519 - -------------------------------------------------------------------------------- Investment Income. Dividend income is recorded on the ex-dividend date or upon ex-dividend notification in the case of certain foreign dividends where the ex-dividend date may have passed. Non-cash dividends included in dividend income, if any, are recorded at the fair market value of the securities received. Interest income, which includes accretion of discount and amortization of premium, is accrued as earned. - -------------------------------------------------------------------------------- Security Transactions. Security transactions are recorded on the trade date. Realized gains and losses on securities sold are determined on the basis of identified cost. - -------------------------------------------------------------------------------- Other. The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates. 21 | OPPENHEIMER INTERNATIONAL GROWTH FUND NOTES TO FINANCIAL STATEMENTS Unaudited / Continued - -------------------------------------------------------------------------------- 2. Shares of Beneficial Interest The Fund has authorized an unlimited number of no par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:
Six Months Ended May 31, 2003 Year Ended November 30, 2002 Shares Amount Shares Amount - ---------------------------------------------------------------------------------------- Class A Sold 22,776,319 $ 234,618,552 33,647,674 $ 459,353,682 Dividends and/or distributions reinvested 273,353 2,963,154 72,548 1,078,074 Redeemed (21,762,607) (225,686,400) (38,737,554) (491,702,887) ------------------------------------------------------------- Net increase (decrease) 1,287,065 $ 11,895,306 (5,017,332) $ (31,271,131) ============================================================= - ---------------------------------------------------------------------------------------- Class B Sold 1,209,975 $ 12,232,329 3,357,028 $ 43,682,417 Dividends and/or distributions reinvested 32,768 341,309 -- -- Redeemed (2,851,334) (28,392,671) (4,887,846) (63,365,334) ------------------------------------------------------------- Net decrease (1,608,591) $ (15,819,033) (1,530,818) $ (19,682,917) ============================================================= - ---------------------------------------------------------------------------------------- Class C Sold 1,972,068 $ 19,786,575 3,445,371 $ 45,475,541 Dividends and/or distributions reinvested 21,255 221,691 -- -- Redeemed (2,209,970) (21,872,220) (3,342,511) (43,227,893) ------------------------------------------------------------- Net increase (decrease) (216,647) $ (1,863,954) 102,860 $ 2,247,648 ============================================================= - ---------------------------------------------------------------------------------------- Class N Sold 860,278 $ 9,233,865 5,337,188 $ 69,369,904 Dividends and/or distributions reinvested 12,795 137,297 1,499 22,157 Redeemed (723,608) (7,863,184) (4,521,688) (58,894,311) ------------------------------------------------------------- Net increase 149,465 $ 1,507,978 816,999 $ 10,497,750 =============================================================
- -------------------------------------------------------------------------------- 3. Purchases and Sales of Securities The aggregate cost of purchases and proceeds from sales of securities, other than short-term obligations, for the six months ended May 31, 2003, were $155,578,728 and $168,656,737, respectively. - -------------------------------------------------------------------------------- 4. Fees and Other Transactions with Affiliates Management Fees. Management fees paid to the Manager were in accordance with the investment advisory agreement with the Fund which provides for a fee at an annual rate of 0.80% of the first $250 million of average annual net assets of the Fund, 0.77% of the next $250 million, 0.75% of the next $500 million, 0.69% of the next $1 billion, and 0.67% of average annual net assets in excess of $2 billion. 22 | OPPENHEIMER INTERNATIONAL GROWTH FUND - -------------------------------------------------------------------------------- Transfer Agent Fees. OppenheimerFunds Services (OFS), a division of the Manager, acts as the transfer and shareholder servicing agent for the Fund. The Fund pays OFS a $19.75 per account fee. OFS has voluntarily agreed to limit transfer and shareholder servicing agent fees for all classes, up to an annual rate of 0.35% of average net assets per class. This undertaking may be amended or withdrawn at any time. - -------------------------------------------------------------------------------- Distribution and Service Plan (12b-1) Fees. Under its General Distributor's Agreement with the Manager, OppenheimerFunds Distributor, Inc. (the Distributor) acts as the Fund's principal underwriter in the continuous public offering of the different classes of shares of the Fund. The compensation paid to (or retained by) the Distributor from the sale of shares or on the redemption of shares is shown in the table below for the period indicated.
Aggregate Class A Concessions Concessions Concessions Concessions Front-End Front-End on Class A on Class B on Class C on Class N Sales Charges Sales Charges Shares Shares Shares Shares Six Months on Class A Retained by Advanced by Advanced by Advanced by Advanced by Ended Shares Distributor Distributor 1 Distributor 1 Distributor 1 Distributor 1 - ---------------------------------------------------------------------------------------------------------- May 31, 2003 $656,494 $82,514 $421,145 $270,071 $72,281 $23,845
1. The Distributor advances concession payments to dealers for certain sales of Class A shares and for sales of Class B, Class C and Class N shares from its own resources at the time of sale. Class A Class B Class C Class N Contingent Contingent Contingent Contingent Deferred Deferred Deferred Deferred Sales Charges Sales Charges Sales Charges Sales Charges Retained by Retained by Retained by Retained by Six Months Ended Distributor Distributor Distributor Distributor - -------------------------------------------------------------------------------- May 31, 2003 $48,490 $242,311 $82,232 $19,631 - -------------------------------------------------------------------------------- Service Plan for Class A Shares. The Fund has adopted a Service Plan for Class A Shares. It reimburses the Distributor for a portion of its costs incurred for services provided to accounts that hold Class A shares. Reimbursement is made quarterly at an annual rate of up to 0.25% of the average annual net assets of Class A shares of the Fund. For the six months ended May 31, 2003, payments under the Class A Plan totaled $389,897, all of which were paid by the Distributor to recipients, and included $16,654 paid to an affiliate of the Manager. Any unreimbursed expenses the Distributor incurs with respect to Class A shares in any fiscal year cannot be recovered in subsequent years. - -------------------------------------------------------------------------------- Distribution and Service Plans for Class B, Class C and Class N Shares. The Fund has adopted Distribution and Service Plans for Class B, Class C and Class N shares. Under the 23 | OPPENHEIMER INTERNATIONAL GROWTH FUND NOTES TO FINANCIAL STATEMENTS Unaudited / Continued - -------------------------------------------------------------------------------- 4. Fees and Other Transactions with Affiliates Continued plans, the Fund pays the Distributor an annual asset-based sales charge of 0.75% per year on Class B shares and on Class C shares and the Fund pays the Distributor an annual asset-based sales charge of 0.25% per year on Class N shares. The Distributor also receives a service fee of 0.25% per year under each plan. Distribution fees paid to the Distributor for the six months ended May 31, 2003, were as follows: Distributor's Distributor's Aggregate Aggregate Unreimbursed Unreimbursed Expenses as % Total Payments Amount Retained Expenses of Net Assets Under Plan by Distributor Under Plan of Class - ------------------------------------------------------------------------------- Class B Plan $691,256 $539,364 $5,087,608 3.52% Class C Plan 395,381 96,455 2,347,791 2.68 Class N Plan 28,826 24,793 177,150 1.31 - ------------------------------------------------------------------------------- 5. Foreign Currency Contracts A foreign currency contract is a commitment to purchase or sell a foreign currency at a future date, at a negotiated rate. The Fund may enter into foreign currency contracts for operational purposes and to seek to protect against adverse exchange rate fluctuations. Risks to the Fund include the potential inability of the counterparty to meet the terms of the contract. The net U.S. dollar value of foreign currency underlying all contractual commitments held by the Fund and the resulting unrealized appreciation or depreciation are determined using foreign currency exchange rates as provided by a reliable bank, dealer or pricing service. Unrealized appreciation and depreciation on foreign currency contracts are reported in the Statement of Assets and Liabilities as a receivable or payable and in the Statement of Operations with the change in unrealized appreciation or depreciation. The Fund may realize a gain or loss upon the closing or settlement of the foreign currency transactions. Such realized gains and losses are reported with all other foreign currency gains and losses in the Statement of Operations. As of May 31, 2003, the Fund had outstanding foreign currency contracts as follows:
Contract Expiration Amount Valuation as of Unrealized Unrealized Contract Description Dates (000s) May 31, 2003 Appreciation Depreciation - ------------------------------------------------------------------------------------------------------ Contracts to Purchase Euro [EUR] 6/2/03 215EUR $ 253,086 $ -- $ 1,625 --------------------------- Contracts to Sell Euro [EUR] 6/2/03 129EUR 152,118 -- 83 Swiss Franc [CHF] 6/2/03 2,017CHF 1,548,840 3,158 -- Japanese Yen [JPY] 6/2/03 33,728JPY 281,993 2,109 -- --------------------------- 5,267 83 --------------------------- Total Unrealized Appreciation and Depreciation $5,267 $1,708 ===========================
24 | OPPENHEIMER INTERNATIONAL GROWTH FUND - ------------------------------------------------------------------------------- 6. Illiquid or Restricted Securities As of May 31, 2003, investments in securities included issues that are illiquid or restricted. Restricted securities are often purchased in private placement transactions, are not registered under the Securities Act of 1933, may have contractual restrictions on resale, and are valued under methods approved by the Board of Trustees as reflecting fair value. A security may also be considered illiquid if it lacks a readily available market or if its valuation has not changed for a certain period of time. The Fund intends to invest no more than 10% of its net assets (determined at the time of purchase and reviewed periodically) in illiquid or restricted securities. Certain restricted securities, eligible for resale to qualified institutional investors, are not subject to that limitation. The aggregate value of illiquid or restricted securities subject to this limitation as of May 31, 2003 was $14,866,832, which represents 2.40% of the Fund's net assets, of which $11,426,298 is considered restricted. Information concerning restricted securities is as follows:
Unrealized Acquisition Valuation as of Appreciation Security Dates Cost May 31, 2003 (Depreciation) - -------------------------------------------------------------------------------------------------------------- Stocks and/or Warrants Art Advanced Research Technologies, Inc. 6/19/01 $7,500,000 $2,491,826 $(5,008,174) Ceres Group, Inc., Series C Wts., Exp. 8/28/06 10/25/01 -- -- -- Ceres Group, Inc., Series D Wts., Exp. 12/31/30 10/4/01 -- -- -- Ceres, Inc., $4.00 Cv., Series C-1 2/6/01 178,060 289,348 111,288 Ceres, Inc., Cv., Series C 1/6/99 2,400,000 3,900,000 1,500,000 Ceres, Inc., Cv., Series D 3/15/01 2,508,000 2,717,000 209,000 Marshall Edwards, Inc., Wts., Exp. 11/30/03 7/22/02 -- 799,351 799,351 Oxagen Ltd., Cv. 12/20/00 2,210,700 1,228,773 (981,927)
- -------------------------------------------------------------------------------- 7. Borrowing and Lending Arrangements Interfund Borrowing and Lending Arrangements. Commencing November 12, 2002, the Fund entered into an "interfund borrowing and lending arrangement" with other funds in the Oppenheimer funds complex, to allow funds to borrow for liquidity purposes. The arrangement was initiated pursuant to exemptive relief granted by the Securities and Exchange Commission to allow these affiliated funds to lend money to, and borrow money from, each other, in an attempt to reduce borrowing costs below those of bank loan facilities. Under the arrangement the Fund may lend money to other Oppenheimer funds and may borrow from other Oppenheimer funds at a rate set by the Fund's Board of Trustees, based upon a recommendation by the investment manager. The Fund's borrowings, if any, are subject to asset coverage requirements under the Investment Company Act and the provisions of the SEC order and other applicable regulations. If the Fund borrows money, there is a risk that the loan could be called on 25 | OPPENHEIMER INTERNATIONAL GROWTH FUND NOTES TO FINANCIAL STATEMENTS Unaudited / Continued 7. Borrowing and Lending Arrangements Continued one day's notice, in which case the Fund might have to borrow from a bank at higher rates if a loan were not available from another Oppenheimer fund. If the Fund lends money to another fund, it will be subject to the risk that the other fund might not repay the loan in a timely manner, or at all. The Fund had no interfund borrowings or loans outstanding during the six months ended or at May 31, 2003. 26 | OPPENHEIMER INTERNATIONAL GROWTH FUND ITEM 2. CODE OF ETHICS - NOT REQUIRED ITEM 3. AUDIT COMMITTEE FINANCIAL EXPERT - NOT REQUIRED ITEM 4. PRINCIPAL ACCOUNTANT FEES AND SERVICES - NOT REQUIRED ITEM 5. RESERVED ITEM 6. RESERVED ITEM 7. NOT APPLICABLE ITEM 8. RESERVED ITEM 9. CONTROLS AND PROCEDURES (a) Based on their evaluation of registrant's disclosure controls and procedures (as defined in rule 30a-2(c) under the Investment Company Act of 1940 (17 CFR 270.30a-2(c)) as of May 31, 2003, registrant's principal executive officer and principal financial officer found registrant's disclosure controls and procedures to be appropriately designed to ensure that information required to be disclosed by registrant in the reports that it files under the Securities Exchange Act of 1934 (a) is accumulated and communicated to registrant's management, including its principal executive officer and principal financial officer, to allow timely decisions regarding required disclosure, and (b) is recorded, processed, summarized and reported, within the time periods specified in the rules and forms adopted by the U.S. Securities and Exchange Commission. (b) There have been no significant changes in registrant's internal controls or in other factors that could significantly affect registrant's internal controls subsequent to the date of the most recent evaluation as indicated, including no significant deficiencies or material weaknesses that required corrective action. ITEM 10. EXHIBITS ATTACHED HERETO. (ATTACH CERTIFICATIONS AS EXHIBITS) EX-99.302CERT 3 ex99_302cert-825.txt EX99_302CERT-825 Exhibit 99.CERT Section 302 Certifications CERTIFICATIONS I, JOHN V. MURPHY, certify that: -------------- 1. I have reviewed this report on Form N-CSR of Oppenheimer International Growth Fund; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-2(c) under the Investment Company Act of 1940) for the registrant and have: a) designed such disclosure controls and procedures to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) evaluated the effectiveness of the registrant's disclosure controls and procedures as of a date within 90 days prior to the filing date of this report (the "Evaluation Date"); and c) presented in this report our conclusions about the effectiveness of the disclosure controls and procedures based on our evaluation as of the Evaluation Date; 5. The registrant's other certifying officers and I have disclosed, based on our most recent evaluation, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies in the design or operation of internal controls which could adversely affect the registrant's ability to record, process, summarize, and report financial data and have identified for the registrant's auditors any material weaknesses in internal controls; and b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal controls; and 6. The registrant's other certifying officers and I have indicated in this report whether or not there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of our most recent evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses. Date: 07/23/03 /S/JOHN V. MURPHY ----------------- John V. Murphy Chief Executive Officer Exhibit 99.CERT Section 302 Certifications CERTIFICATIONS I, BRIAN W. WIXTED, certify that: --------------- 1. I have reviewed this report on Form N-CSR of Oppenheimer International Growth Fund; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations, changes in net assets, and cash flows (if the financial statements are required to include a statement of cash flows) of the registrant as of, and for, the periods presented in this report; 4. The registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Rule 30a-2(c) under the Investment Company Act of 1940) for the registrant and have: a) designed such disclosure controls and procedures to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; b) evaluated the effectiveness of the registrant's disclosure controls and procedures as of a date within 90 days prior to the filing date of this report (the "Evaluation Date"); and c) presented in this report our conclusions about the effectiveness of the disclosure controls and procedures based on our evaluation as of the Evaluation Date; 5. The registrant's other certifying officers and I have disclosed, based on our most recent evaluation, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): a) all significant deficiencies in the design or operation of internal controls which could adversely affect the registrant's ability to record, process, summarize, and report financial data and have identified for the registrant's auditors any material weaknesses in internal controls; and b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal controls; and 6. The registrant's other certifying officers and I have indicated in this report whether or not there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of our most recent evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses. Date: 07/23/03 /S/BRIAN W. WIXTED ------------------ Brian W. Wixted Chief Financial Officer EX-99.906CERT 4 ex99_906cert-825.txt EX99_906CERT-825 EX-99.906CERT Section 906 Certifications CERTIFICATION PURSUANT TO 18 U.S.C SECTION 1350, AS ADOPTED PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2003 JOHN V. MURPHY, Chief Executive Officer, and BRIAN W. WIXTED Chief Financial - -------------- --------------- Officer of Oppenheimer International Growth Fund (the "Registrant"), each certify to the best of his or her knowledge that: 1. The Registrant's periodic report on Form N-CSR for the period ended May 31, 2003 (the "Form N-CSR") fully complies with the requirements of Section 15(d) of the Securities Exchange Act of 1934, as amended; and 2. The information contained in the Form N-CSR fairly presents, in all material respects, the financial condition and results of operations of the Registrant. This certification is being furnished to the Commission solely pursuant to 18 U.S.C. ss. 1350 and is not being filed as part of the Form N-CSR filed with the Commission. Chief Executive Officer Chief Financial Officer Oppenheimer International Growth Oppenheimer International Growth Fund Fund /S/JOHN V. MURPHY /S/BRIAN W. WIXTED - ----------------- ------------------ John V. Murphy Brian W. Wixted Date: 07/23/03 Date: 07/23/03 -----END PRIVACY-ENHANCED MESSAGE-----