N-Q 1 bridges_nq.htm QUARTERLY NOTICE OF PORTFOLIO HOLDINGS 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, 2009


Date of reporting period:  September 30, 2009

 
Item 1. Schedule of Investments.
 
Bridges Investment Fund
            
Schedule of Investments
            
September 30, 2009 (Unaudited)
            
               
     
Shares
  
Cost
  
Value
COMMON STOCKS - 89.96%
            
Air Freight & Logistics - 1.18%
            
FedEx Corp. 
    
10,000
$
688,396
$
752,200
Beverages - 2.30%
              
PepsiCo, Inc. 
    
25,000
  
786,066
  
1,466,500
Biotechnology - 1.83%
              
Gilead Sciences, Inc. (a)
    
25,000
  
1,056,276
  
1,164,500
Capital Markets - 3.60%
              
American Capital Ltd. 
    
25,495
  
573,639
  
82,349
The Goldman Sachs Group, Inc. 
  
5,000
  
642,416
  
921,750
State Street Corp. 
    
9,750
  
269,977
  
512,850
T. Rowe Price Group, Inc. 
    
17,000
  
822,247
  
776,900
         
2,308,279
  
2,293,849
Chemicals - 2.78%
              
Monsanto Co. 
    
5,000
  
409,232
  
387,000
Potash Corporation of Saskatchewan 
  
9,000
  
733,651
  
813,060
Praxair, Inc. 
    
7,000
  
499,570
  
571,830
         
1,642,453
  
1,771,890
Commercial Banks - 2.64%
              
Wells Fargo & Co. 
    
60,000
  
1,444,348
  
1,690,800
Commercial Services & Supplies - 1.37%
            
Strayer Education, Inc. 
    
4,000
  
657,775
  
870,720
Communications Equipment - 6.73%
            
Cisco Systems, Inc. (a)
    
65,000
  
1,151,525
  
1,530,100
Nokia Corp. - ADR 
    
10,000
  
121,700
  
146,200
QUALCOMM, Inc. 
    
40,000
  
1,541,688
  
1,799,200
Research In Motion Ltd. (a)
    
12,000
  
965,653
  
810,600
         
3,780,566
  
4,286,100
Computers & Peripherals - 4.36%
            
Apple Computer, Inc. (a)
    
15,000
  
1,735,708
  
2,780,550
Construction & Engineering - 2.26%
            
Fluor Corp. 
    
22,000
  
850,944
  
1,118,700
Jacobs Engineering Group, Inc. (a)
  
7,000
  
303,116
  
321,650
         
1,154,061
  
1,440,350
Consumer Finance - 2.92%
              
Capital One Financial Corp. 
  
52,000
  
1,686,364
  
1,857,960
Depository Institutions - 0.90%
            
First National of Nebraska, Inc. 
  
225
  
387,969
  
573,750
Diversified Financial Services - 2.17%
            
CME Group, Inc. 
    
4,500
  
1,843,073
  
1,386,855
Electrical Equipment - 1.84%
              
Roper Industries, Inc. 
    
23,000
  
1,164,214
  
1,172,540
Electronic Equipment & Instruments - 0.72%
            
Dolby Laboratories, Inc. (a)
  
12,000
  
458,854
  
458,280
Energy Equipment & Services - 2.33%
            
Smith International, Inc. 
    
22,000
  
1,040,150
  
631,400
Transocean Ltd. (a)
    
10,000
  
1,084,177
  
855,300
         
2,124,327
  
1,486,700
Health Care Equipment & Supplies - 2.92%
            
Alcon, Inc. 
    
9,000
  
1,147,492
  
1,248,030
Stryker Corp. 
    
13,500
  
668,133
  
613,305
         
1,815,626
  
1,861,335
Health Care Providers & Services - 4.15%
            
Express Scripts, Inc. (a)
    
25,000
  
940,685
  
1,939,500
Wellpoint, Inc. (a)
    
15,000
  
1,078,726
  
710,400
         
2,019,412
  
2,649,900
Household Products - 0.91%
              
Procter & Gamble Co. 
    
10,000
  
551,197
  
579,200
Industrial Conglomerates - 1.29%
            
General Electric Co. 
    
50,000
  
543,375
  
821,000
Insurance - 2.09%
              
Berkshire Hathaway, Inc. (a)
  
400
  
678,649
  
1,329,200
Internet & Catalog Retail - 1.37%
            
eBay, Inc. (a)
    
30,000
  
668,213
  
708,300
Priceline.com, Inc. (a)
    
1,000
  
151,417
  
165,820
         
819,630
  
874,120
Internet Software & Services - 3.31%
            
Google, Inc. (a)
    
4,250
  
1,853,074
  
2,107,362
IT Services - 5.65%
              
Fiserv, Inc. (a)
    
10,000
  
500,139
  
482,000
Mastercard, Inc. 
    
12,000
  
1,995,443
  
2,425,800
Visa, Inc. 
    
10,000
  
606,648
  
691,100
         
3,102,230
  
3,598,900
Life Science Tools & Services - 0.88%
            
Waters Corp. (a)
    
10,000
  
531,536
  
558,600
Machinery - 0.56%
              
Caterpillar, Inc. 
    
7,000
  
253,901
  
359,310
Multiline Retail - 1.61%
              
Target Corp. 
    
22,000
  
623,896
  
1,026,960
Oil & Gas - 7.32%
              
Apache Corp. 
    
20,000
  
1,502,797
  
1,836,600
Chesapeake Energy Corp. 
    
55,000
  
1,496,226
  
1,562,000
ChevronTexaco Corp. 
    
18,000
  
593,236
  
1,267,740
         
3,592,259
  
4,666,340
Pharmaceuticals - 4.93%
              
Abbott Laboratories 
    
15,000
  
812,157
  
742,050
Allergan, Inc. 
    
20,000
  
795,406
  
1,135,200
Teva Pharmaceutical Industries, Ltd. - ADR 
  
25,000
  
736,908
  
1,264,000
         
2,344,470
  
3,141,250
Road & Rail - 2.29%
              
Union Pacific Corp. 
    
25,000
  
1,384,477
  
1,458,750
Semiconductor & Semiconductor Equipment - 0.78%
            
MEMC Electronic Materials, Inc. (a)
  
30,000
  
1,273,165
  
498,900
Software - 2.90%
              
Adobe Systems, Inc. (a)
    
15,000
  
343,530
  
495,600
Autodesk, Inc. (a)
    
35,000
  
1,341,351
  
833,000
Microsoft Corp. 
    
20,000
  
381,116
  
517,800
         
2,065,997
  
1,846,400
Specialty Retail - 4.42%
              
Best Buy, Inc. 
    
50,000
  
1,195,560
  
1,876,000
Lowe's Cos, Inc. 
    
45,000
  
1,244,690
  
942,300
         
2,440,249
  
2,818,300
Tobacco - 2.65%
              
Altria Group, Inc. 
    
40,000
  
641,205
  
712,400
Philip Morris International, Inc. 
  
20,000
  
685,363
  
974,800
         
1,326,568
  
1,687,200
TOTAL COMMON STOCKS (Cost $50,138,439)
    
$
50,138,439
$
57,336,571
               
     
Principal
        
     
Amount
  
Cost
  
Value
CORPORATE BONDS - 4.73%
            
Communications - 0.40%
            
Level 3 Financing, Inc.
              
    12.250%, 03/15/2013 
  
$
250,000
$
249,474
$
252,500
Consumer Finance - 0.56%
              
Ford Motor Credit Co.
              
    7.875%, 06/15/2010 
    
350,000
  
348,357
  
351,534
Depository Institutions - 0.38%
            
First National Bank Of Omaha
            
    7.320%, 12/01/2010 
    
250,000
  
252,368
  
245,182
Diversified Financial Services - 0.43%
            
MBNA Corporation Senior Note
            
    7.500%, 03/15/2012 
    
250,000
  
255,690
  
272,681
Electric Utilities - 0.46%
              
Duke Capital Corp.
              
    8.000%, 10/01/2019 
    
250,000
  
270,207
  
294,794
Health Care Providers & Services - 0.41%
            
Cardinal Health, Inc.
              
    6.750%, 02/15/2011 
    
250,000
  
252,089
  
263,741
Media - 0.34%
              
Comcast Corp.
              
    6.500%, 01/15/2017 
    
200,000
  
199,592
  
219,514
Multiline Retail - 0.56%
              
JCPenney Co., Inc.
              
    7.400%, 04/01/2037 
    
400,000
  
401,016
  
356,000
Semiconductors & Semiconductor Equipment - 0.44%
            
Applied Materials, Inc.
              
    7.125%, 10/15/2017 
    
250,000
  
254,212
  
277,889
Specialty Retail - 0.33%
              
Home Depot, Inc.
              
    5.400%, 03/01/2016 
    
200,000
  
181,716
  
209,098
Tobacco - 0.42%
              
Reynolds American, Inc.
              
    7.250%, 06/01/2012 
    
250,000
  
253,791
  
268,529
TOTAL CORPORATE BONDS (Cost $2,918,513)
    
$
2,918,513
$
3,011,462
               
     
Shares
  
Cost
  
Value
SHORT TERM INVESTMENTS - 5.12%
            
Mutual Fund - 5.12%
              
SEI Daily Income Trust Treasury Fund
  
3,264,003
$
3,264,003
$
3,264,003
TOTAL SHORT TERM INVESTMENTS (Cost $3,264,003)
  
$
3,264,003
$
3,264,003
               
Total Investments (Cost $56,320,955) - 99.81%
      
$
63,612,036
Other Assets in Excess of Liabilities% - 0.19%
          
121,572
TOTAL NET ASSETS - 100.00%
        
$
63,733,608
 
Percentages are stated as a percent of net assets.
          
               
ADR
American Depository Receipt
          
(a)
Non-income producing security.
          
               
The cost basis of investments for federal income tax purposes at September 30, 2009 was as follows:1
  
 
Cost of investments
  
 $       56,320,955
          
               
Gross unrealized appreciation
  
    11,248,030
          
Gross unrealized depreciation
  
    (3,956,949)
          
Net unrealized appreciation
  
 $         7,291,081
          
 
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.
  
               
Statement of Financial Accounting Standards No. 157 “Fair Value Measurements” (SFAS 157) establishes an authoritative definition of fair value and sets out a hierarchy for measuring fair value.  
SFAS 157 requires additional disclosures about the various inputs used to develop the measurements of fair value.  These inputs are summarized in the three broad levels listed below:
               
 
● Level 1 - Quoted prices in active markets for identical securities.
      
 
● Level 2 - Other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment
 
speeds, credit risk, etc.).
            
 
● Level 3 - Significant unobservable inputs (including the Fund's own assumptions in determining the fair value of investments).
               
The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.  The following
is a summary of the inputs used to value the Fund's net assets as of September 30, 2009:
        
               
Description
  
Level 1
Level 2
Level 3
Total
    
               
Equity
              
 
Consumer Discretionary
   4,881,800
 $                   -
 $                -
$       4,881,800
    
 
Consumer Staples
   3,732,900
                      -
                   -
         3,732,900
    
 
Energy
   6,153,040
                      -
                  -
         6,153,040
    
 
Financials
   9,132,414
                      -
                   -
        9,132,414
    
 
Health Care
    9,375,585
                      -
                   -
         9,375,585
    
 
Industrials
   6,004,150
                      -
                   -
         6,004,150
    
 
Information Technology
 16,284,793
                      -
                   -
       16,284,793
    
 
Materials
   1,771,889
                      -
                   -
         1,771,889
    
Total Equity
  
  57,336,571
                      -
                   -
       57,336,571
    
Fixed Income
              
 
Corporate Bonds
                   -
       3,011,462
                   -
         3,011,462
    
Total Fixed Income
  
                   -
       3,011,462
                   -
         3,011,462
    
Short-Term Investments
  
    3,264,003
                      -
                   -
         3,264,003
    
Total Investments in Securities
  
$ 60,600,574
 $     3,011,462
 $                -
 $     63,612,036
    
 
 
 
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                                               
Edson L. Bridges III, President and
Chief Executive and Investment Officer

Date   11/19/09                                                                                                             



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                                               
Edson L. Bridges III, President and
Chief Executive and Investment Officer

Date   11/19/09                                                                                                             
 

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

Date   11/19/09                                                                                                             


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

Date   11/19/09                                                                                                            



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