N-Q 1 bridges_nq.htm OFFICER CERTIFICATIONS bridges_nq.htm
 
 
 
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549


 
FORM N-Q
 
 
QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT
INVESTMENT COMPANY


Investment Company Act file number  811-01209



Bridges Investment Fund, Inc.
(Exact name of registrant as specified in charter)



8401 West Dodge Road, Suite 256
Omaha, Nebraska 68114
(Address of principal executive offices) (Zip code)



Edson L. Bridges III
8401 West Dodge Road, Suite 256
Omaha, Nebraska 68114
(Name and address of agent for service)



(402) 397-4700
Registrant's telephone number, including area code

Date of fiscal year end: December 31


Date of reporting period:  September 30, 2008

 
Item 1. Schedule of Investments.
 
Bridges Investment Fund
                
Schedule of Investments
                
September 30, 2008 (Unaudited)
              
         
Shares
  
Cost
  
Value
COMMON STOCKS - 87.34%
              
Aerospace & Defense - 1.04%
              
Boeing Co.
        
11,500
$
1,060,893
$
659,525
Air Freight & Logistics - 1.85%
                
FedEx Corp. 
      
15,000
  
1,136,870
  
1,185,600
Auto Components - 1.89%
                
Johnson Controls, Inc. 
      
40,000
  
1,337,801
  
1,213,200
Beverages - 2.78%
                
PepsiCo, Inc. 
      
25,000
  
698,139
  
1,781,750
Biotechnology - 2.14%
                
Gilead Sciences, Inc. (a)
      
30,000
  
1,230,532
  
1,367,400
Capital Markets - 4.85%
                
American Capital Strategies Ltd. 
    
15,000
  
490,946
  
382,650
Franklin Resources, Inc. 
      
7,500
  
918,585
  
660,975
The Goldman Sachs Group, Inc. 
      
4,000
  
487,066
  
512,000
State Street Corp. 
      
9,750
  
269,977
  
554,580
T. Rowe Price Group, Inc. 
      
18,500
  
901,166
  
993,635
             
3,067,740
  
3,103,840
Chemicals - 0.34%
                
Praxair, Inc. 
        
3,000
  
246,558
  
215,220
Commercial Banks - 2.99%
                
Wells Fargo & Co. 
      
51,039
  
1,247,568
  
1,915,493
Commercial Services & Supplies - 1.57%
              
Ritchie Brothers Auctioneers, Inc. 
    
8,622
  
207,424
  
201,410
Strayer Education, Inc. 
      
4,000
  
657,775
  
801,040
             
865,199
  
1,002,450
Communications Equipment - 7.14%
              
Cisco Systems, Inc. (a)
      
68,000
  
1,068,401
  
1,534,080
Nokia Corp. - ADR 
      
35,000
  
1,169,661
  
652,750
QUALCOMM, Inc. 
      
50,000
  
1,905,420
  
2,148,500
Research In Motion Ltd. (a)
      
3,500
  
446,264
  
239,050
             
4,589,746
  
4,574,380
Computers & Peripherals - 1.95%
              
Apple Computer, Inc. (a)
      
11,000
  
1,337,575
  
1,250,260
Construction & Engineering - 0.34%
              
Jacobs Engineering Group, Inc. (a)
    
4,000
  
303,638
  
217,240
Consumer Finance - 5.49%
                
American Express Co. 
      
20,000
  
1,029,299
  
708,600
Capital One Financial Corp. 
      
55,000
  
2,011,517
  
2,805,000
             
3,040,816
  
3,513,600
Depository Institutions - 1.58%
                
First National of Nebraska, Inc. 
    
225
  
387,969
  
1,012,500
Diversified Financial Services - 1.45%
              
CME Group, Inc. 
      
2,500
  
1,358,052
  
928,775
Electrical Equipment - 1.51%
                
Roper Industries, Inc. 
      
17,000
  
978,172
  
968,320
Energy Equipment & Services - 3.02%
              
Smith International, Inc. 
      
18,000
  
907,371
  
1,055,520
Transocean, Inc. (a)
      
8,000
  
919,518
  
878,720
             
1,826,888
  
1,934,240
Health Care Equipment & Supplies - 3.00%
              
Alcon, Inc. 
        
6,700
  
944,605
  
1,082,117
Stryker Corp. 
        
13,500
  
668,133
  
841,050
             
1,612,738
  
1,923,167
Health Care Providers & Services - 4.43%
              
Express Scripts, Inc. (a)
      
27,000
  
983,657
  
1,993,140
Wellpoint, Inc. (a)
      
18,000
  
1,262,826
  
841,860
             
2,246,484
  
2,835,000
Household Durables - 0.92%
                
D.R. Horton, Inc. 
      
45,000
  
486,083
  
585,900
Insurance - 2.40%
                
Berkshire Hathaway, Inc. (a)
    
350
  
492,609
  
1,538,250
Internet & Catalog Retail - 1.22%
              
eBay, Inc. (a)
      
35,000
  
740,676
  
783,300
Internet Software & Services - 1.56%
              
Google, Inc. (a)
      
2,500
  
1,311,203
  
1,001,300
IT Services - 3.67%
                
Fiserv, Inc. (a)
      
10,000
  
500,139
  
473,200
Mastercard, Inc. 
      
8,000
  
1,389,942
  
1,418,640
Visa, Inc. 
        
7,500
  
474,857
  
460,425
             
2,364,937
  
2,352,265
Life Science Tools & Services - 0.36%
              
Waters Corp. (a)
      
4,000
  
237,953
  
232,720
Media - 0.62%
                  
The McGraw-Hill Companies, Inc. 
    
12,500
  
543,073
  
395,125
Multiline Retail - 1.99%
                
Target Corp. 
      
26,000
  
642,457
  
1,275,300
Oil & Gas - 7.69%
                
Apache Corp. 
      
17,000
  
1,229,716
  
1,772,760
Chesapeake Energy Corp. 
      
35,000
  
1,099,255
  
1,255,100
ChevronTexaco Corp. 
      
23,000
  
678,370
  
1,897,040
             
3,007,341
  
4,924,900
Oil, Gas & Consumable Fuels - 3.06%
              
Anadarko Petroleum Corp. 
    
30,000
  
1,086,505
  
1,455,300
BP, PLC - ADR 
      
10,000
  
207,372
  
501,700
             
1,293,877
  
1,957,000
Pharmaceuticals - 3.59%
                
Allergan, Inc. 
      
21,500
  
873,729
  
1,107,250
Teva Pharmaceutical Industries, Ltd. - ADR 
    
26,000
  
713,139
  
1,190,540
             
1,586,868
  
2,297,790
Road & Rail - 2.44%
                
Union Pacific Corp. 
      
22,000
  
1,198,555
  
1,565,520
Semiconductor & Semiconductor Equipment - 0.66%
            
MEMC Electronic Materials, Inc. (a)
    
15,000
  
960,126
  
423,900
Software - 1.57%
                
Autodesk, Inc. (a)
      
30,000
  
1,228,557
  
1,006,500
Specialty Retail - 4.90%
                
Best Buy Co, Inc. 
      
52,000
  
1,225,654
  
1,950,000
Lowe's Cos, Inc. 
      
50,000
  
1,382,808
  
1,184,500
             
2,608,462
  
3,134,500
Tobacco - 1.33%
                
Altria Group, Inc. 
      
12,500
  
182,119
  
248,000
Philip Morris International, Inc. 
      
12,500
  
408,388
  
601,250
             
590,507
  
849,250
                   
TOTAL COMMON STOCKS (Cost $47,866,660)
    
$
47,866,660
$
55,925,481
                   
         
Principal
        
         
Amount
  
Cost
  
Value
CORPORATE BONDS - 4.15%
              
Consumer Finance - 0.42%
              
Ford Motor Credit Co.
                
    7.875%, 06/15/2010 
    
$
350,000
$
346,103
$
267,164
Depository Institutions - 0.42%
                
First National Bank of Omaha
              
    7.320%, 12/01/2010 
      
250,000
  
254,259
  
267,000
Diversifed Financial Services - 0.39%
              
MBNA Corporation Senior Note
              
    7.500%, 03/15/2012 
      
250,000
  
257,736
  
249,608
Diversified Telecommunication Services - 0.78%
              
Level 3 Communications, Inc.
              
    11.500%, 03/01/2010 
      
500,000
  
475,420
  
504,950
Electric Utilities - 0.41%
                
Duke Capital Corp.
                
    8.000%, 10/01/2019 
      
250,000
  
271,545
  
259,435
Health Care Providers & Services - 0.40%
              
Cardinal Health, Inc.
                
    6.750%, 02/15/2011 
      
250,000
  
253,477
  
256,504
Multiline Retail - 0.52%
                
JCPenney Co., Inc.
                
    7.400%, 04/01/2037 
      
400,000
  
401,002
  
334,673
Semiconductors & Semiconductor Equipment - 0.41%
            
Applied Materials, Inc.
                
    7.125%, 10/15/2017 
      
250,000
  
254,571
  
261,722
Tobacco - 0.40%
                
Reynolds American, Inc.
                
    7.250%, 06/01/2012 
      
250,000
  
255,045
  
256,684
TOTAL CORPORATE BONDS (Cost $2,769,157)
    
$
2,769,157
$
2,657,740
                   
U.S. TREASURY OBLIGATIONS - 0.59%
            
U.S. Treasury Obligations - 0.59%
              
United States Treasury Bonds
              
    7.500%, 11/15/2016 
      
300,000
$
304,819
$
377,016
TOTAL U.S. TREASURY OBLIGATIONS (Cost $304,819)
    
$
304,819
$
377,016
                   
SHORT TERM INVESTMENTS - 8.03%
            
Commercial Paper - 7.11%
              
American Express Corp.
                
    2.500%, 10/03/2008 
      
2,250,000
$
2,249,706
$
2,249,706
General Electric Capital Corp.
                
    2.250%, 10/07/2008 
      
2,300,000
  
2,299,194
  
2,299,194
             
4,548,900
  
4,548,900
Mutual Fund - 0.92%
                
SEI Daily Income Trust Treasury Fund
    
592,355
  
592,355
  
592,355
TOTAL SHORT TERM INVESTMENTS (Cost $5,141,255)
    
$
5,141,255
$
5,141,255
                   
Total Investments (Cost $56,081,891) - 100.11%
        
$
64,101,492
Liabilities in Excess of Other Assets - (0.11)%
          
(69,609)
TOTAL NET ASSETS - 100.00%
          
$
64,031,883
                   
Percentages are stated as a percent of net assets.
            
                   
ADR
American Depository Receipt.
            
(a)
Non income producing.
              
                   
The cost basis of investments for federal income tax purposes at September 30, 2008 was as follows:1
                   
Cost of investments
 $     56,081,891
 
            
                   
Gross unrealized appreciation
12,694,807
     
            
Gross unrealized depreciation
(4,675,206)
 
            
Net unrealized appreciation
$       8,019,601
 
            
                   
1Because tax adjustments are calculated annually, the above table does not reflect tax adjustments.  For the previous fiscal year's federal income tax information, please refer to the Notes to Financial Statements section in the Fund's most recent semi-annual or annual report.
 
                   
The Fund adopted the provisions of Statement of Financial Accounting Standards No. 157, Fair Value Measurements ("SFAS 157"), effective with the beginning of the Fund's fiscal year. SFAS 157 establishes a hierarchy that prioritizes the inputs to valuation techniques giving the highest priority to readily available unadjusted quoted prices in active markets for identical assets (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements) when market prices are not readily available or reliable.
                   
                   
                   
                   
The following is a summary of the inputs used, as of September 30, 2008, involving the Fund's assets carried at value.  The
inputs of methology used for valuing securities may not be an indication of the risk associated with investing in those securities.
                   
                   
Description
  
Level 1
Level 2
Level 3
Total
        
                   
Invesments in Securities
 $   56,517,836
 $     7,583,656
 $       —
 $      64,101,492
        
   
 
 
 
         
Other Financial Instruments*
 $                 —
 $                 —
 $       —
 $                   —
        
   
 
             
* Other financial instruments are derivative instruments not reflected in the Portfolio of Investments, such as futures, forwards and swap contracts, which are valued at the unrealized appreciation / depreciation on the instrument.
 
 
Item 2. Controls and Procedures.
 
(a)  
The Registrant’s President/Chief Executive Officer and Treasurer/Chief Financial Officer have concluded that the Registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940 (the “1940 Act”)) are effective as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended.

(b)  
There were no changes in the Registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act) that occurred during the Registrant's last fiscal quarter that have materially affected, or are reasonably likely to materially affect, the Registrant's internal control over financial reporting.
 
Item 3. Exhibits.
 
Separate certifications for each principal executive officer and principal financial officer of the Registrant as required by Rule 30a-2(a) under the 1940 Act (17 CFR 270.30a-2(a)).

Filed herewith.
 

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


(Registrant)  Bridges Investment Fund, Inc.                                                                                                                                                                                

By (Signature and Title)      /s/ Edson L. Bridges III                                              
  Edson L. Bridges III, President and
  Chief Executive and Investment Officer

Date                      11/21/08                                                                                           



Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By (Signature and Title)*      /s/ Edson L. Bridges III                                            
Edson L. Bridges III, President and
Chief Executive and Investment Officer

Date                      11/21/08                                                                                           

By (Signature and Title)*       /s/ Brian Kirkpatrick                                                 
 Brian Kirkpatrick, Executive Vice President

Date                      11/21/08                                                                                           


By (Signature and Title)*      /s/ Nancy K. Dodge                                                  
Nancy K. Dodge, Treasurer and
Chief Compliance Officer

Date                      11/21/08                                                                                          

 
* Print the name and title of each signing officer under his or her signature.