-----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, AO3oaCT0nLsNy9eVzC8257dpWoLx9hyn6/6trlOIwv1S6U6ON8z1/5ZKkMQCwxFA kIG0vb7IASaLkOdyJZ2zkQ== 0000950123-97-001919.txt : 19970305 0000950123-97-001919.hdr.sgml : 19970305 ACCESSION NUMBER: 0000950123-97-001919 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19961231 FILED AS OF DATE: 19970304 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: CENTENNIAL MONEY MARKET TRUST CENTRAL INDEX KEY: 0000312538 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] IRS NUMBER: 840856138 STATE OF INCORPORATION: MA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-02945 FILM NUMBER: 97550355 BUSINESS ADDRESS: STREET 1: 3410 S GALENA ST CITY: DENVER STATE: CO ZIP: 80231 BUSINESS PHONE: 3036713200 MAIL ADDRESS: STREET 2: 3410 SOUTH GALENA STREET CITY: DENVER STATE: CO ZIP: 80231 FORMER COMPANY: FORMER CONFORMED NAME: DAILY CASH INSTITUTIONAL TRUST DATE OF NAME CHANGE: 19810624 N-30D 1 SEMI ANNUAL REPORT 1 CENTENNIAL MONEY MARKET TRUST Officers and Trustees James C. Swain, Chairman and Chief Executive Officer Bridget A. Macaskill, Trustee and President Robert G. Avis, Trustee William A. Baker, Trustee Charles Conrad, Jr., Trustee Jon S. Fossel, Trustee Sam Freedman, Trustee Raymond J. Kalinowski, Trustee C. Howard Kast, Trustee Robert M. Kirchner, Trustee Ned M. Steel, Trustee George C. Bowen, Vice President, Treasurer and Assistant Secretary Andrew J. Donohue, Vice President and Secretary Dorothy G. Warmack, Vice President Carol E. Wolf, Vice President Arthur J. Zimmer, Vice President Robert J. Bishop, Assistant Treasurer Scott T. Farrar, Assistant Treasurer Robert G. Zack, Assistant Secretary Investment Adviser and Distributor Centennial Asset Management Corporation Transfer and Shareholder Servicing Agent Shareholder Services, Inc. Custodian of Portfolio Securities Citibank, N.A. Independent Auditors Deloitte & Touche LLP Legal Counsel Myer, Swanson, Adams & Wolf, P.C. The financial statements included herein have been taken from the records of the Trust without examination by the independent auditors. This is a copy of a report to shareholders of Centennial Money Market Trust. This report must be preceded or accompanied by a Prospectus of Centennial Money Market Trust. For material information concerning the Trust, see the Prospectus. For shareholder servicing call: 1-800-525-9310 (in U.S.) 303-671-3200 (outside U.S.) Or write: Shareholder Services, Inc. P.O. Box 5143 Denver, CO 80217-5143 RS0150.001.1296 [LOGO]Printed on recycled paper 1996 SEMIANNUAL REPORT CENTENNIAL MONEY MARKET TRUST December 31, 1996 2 Dear Shareholder: The second half of 1996 was a period of uncertainty in the fixed income markets, largely due to investor fears of rapid economic growth and accelerating inflation. The 30-year Treasury rates rose above 7% in the second quarter and remained relatively unchanged until the end of the third quarter. That's when negative investor sentiment that led to the market downturn in June and July began to subside. The swing away from inflationary fears seemed complete in October with the release of economic indicators showing a firm dollar, low inflation and slow growth. When the Federal Reserve responded to these indicators with another decision to leave rates alone, it appeared that concerns about rapid growth had been overblown, and interest rates fell in response. The status quo outcome of the presidential election also aided the decline in rates, and the bond market experienced one of the most substantial post-election rallies in recent history. With continued, sustainable non-inflationary growth of around 2% to 2.5%, and long-term rates at their lowest levels since April, the economy seems to have settled into a comfortable path of neither too little nor too much growth. This decline in long-term Treasury rates over the past few months has caused the return on money market instruments to decline marginally, but the positive inflationary situation has helped to keep yields relatively strong. Money market fund yields are uusally between three and five percent age points less than the yields on long-term bonds, and typically one percentage point above inflation. Assuming that the annual inflation rate is about 2.5%, money market yields would normally be about 3.5%, while longer-term yields might be as high as 5.5%. However, the difference between money market yields and inflation is currently greater than this formula would suggest. Part of the reason for this irregularity is the successful way in which the Federal Reserve Board has fought inflation. As we head into 1997, money market funds continue to be a highly liquid opportunity to earn steady income while protecting principal. This year, money market funds turned out to be a good investment choice for the income-oriented investor. For the six months ended December 31, 1996, the Trust's compounded annualized yield was 4.98%. Without compounding, the corresponding yield was 4.86%. The seven-day annualized yields with and without compounding on December 31, 1996 were 4.98% and 4.86%, respectively.(1) An investment in the Trust is neither insured nor guaranteed by the U.S. government, and there is no assurance that the Trust will maintain a stable $1.00 share price in the future. Thank you for your confidence in Centennial Money Market Trust. We look forward to helping you reach your investment goals in the future. Sincerely, /s/ James C. Swain -------------------------------- James C. Swain Chairman Centennial Money Market Trust /s/ Bridget A. Macaskill -------------------------------- Bridget A. Macaskill President Centennial Money Market Trust January 22, 1997 1. Compounded yields assume reinvestment of dividends. Past performance is not indicative of future results. 3 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ CERTIFICATES OF DEPOSIT - 2.3% DOMESTIC CERTIFICATES OF DEPOSIT - 0.7% Bank of New York, 5.63%, 3/3/97 ......................... $ 25,000,000 $ 25,004,729 LaSalle National Bank: 5.51%, 4/4/97 ........................................ 17,000,000 17,000,000 5.55%, 2/11/97 ....................................... 13,000,000 13,000,000 ------------ 55,004,729 ------------ YANKEE CERTIFICATES OF DEPOSIT - 1.6% Societe Generale North America, Inc.: 5.40%, 1/6/97 ........................................ 20,000,000 20,000,036 5.45%, 2/10/97 ....................................... 17,000,000 17,000,186 5.50%, 4/21/97 ....................................... 35,000,000 35,002,198 5.55%, 2/6/97 ........................................ 20,000,000 20,000,000 5.62%, 3/25/97 ....................................... 17,000,000 17,004,159 5.92%, 9/17/97 ....................................... 20,000,000 20,040,061 ------------ 129,046,640 ------------ Total Certificates of Deposit (Cost $184,051,369) ....... 184,051,369 ------------ DIRECT BANK OBLIGATIONS - 5.9% Abbey National North America, 6.75%, 1/2/97 ............. 50,000,000 49,981,250 ABN Amro Bank Canada: 5.31%, 4/28/97 ....................................... 20,000,000 19,654,850 5.43%, 1/10/97 ....................................... 10,000,000 9,986,425 ABN Amro Bank, N.V., 5.47%, 2/28/97 ..................... 15,000,000 14,867,857 Bank of Scotland Treasury Services PLC, 5.37%, 2/21/97... 25,000,000 24,999,972 Bank One Dayton N.A., 5.26%, 11/3/97(1) ................. 15,000,000 14,993,115 Bayerische Vereinsbank AG, 5.35%, 4/10/97 ............... 15,000,000 14,779,312 CoreStates Capital Corp., 5.54%, 12/18/97(1) ............ 13,000,000 12,992,902 FCC National Bank: 5.38%, 8/21/97(1) .................................... 20,000,000 19,998,159 5.55%, 2/14/97 ....................................... 15,000,000 15,000,000
3 4 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value DIRECT BANK OBLIGATIONS (CONTINUED) Amount See Note 1 ------------ ------------ First National Bank of Boston: 5.30%, 6/2/97 ................................................ $ 8,000,000 $ 7,820,978 5.32%, 5/5/97 ................................................ 5,580,000 5,477,749 5.44%, 1/10/97 ............................................... 15,000,000 15,000,000 5.44%, 1/13/97 ............................................... 15,000,000 15,000,000 5.44%, 1/8/97 ................................................ 20,000,000 19,999,157 5.47%, 2/12/97 ............................................... 15,000,000 15,000,000 5.47%, 2/21/97 ............................................... 20,000,000 20,000,000 5.47%, 4/3/97 ................................................ 13,000,000 13,000,000 5.50%, 3/14/97 ............................................... 15,000,000 15,000,000 5.50%, 3/17/97 ............................................... 35,000,000 35,000,000 5.50%, 4/4/97 ................................................ 20,000,000 20,000,000 Huntington National Bank: 5.35%, 1/2/97 ................................................ 15,000,000 15,000,000 5.35%, 1/8/97 ................................................ 18,000,000 18,000,000 5.53%, 2/3/97 ................................................ 25,000,000 25,001,668 National Westminster Bank of Canada: 5.40%, 1/13/97 ............................................... 20,000,000 19,964,000 5.40%, 2/18/97 ............................................... 10,000,000 9,928,000 Societe Generale North America, Inc., 5.38%, 2/7/97 ............. 13,000,000 12,928,117 ------------ Total Direct Bank Obligations (Cost $479,373,511) ............... 479,373,511 ------------ LETTERS OF CREDIT - 5.1% Bank of America NT & SA, guaranteeing commercial paper of: Formosa Plastics Corp., USA-Series A, 5.48%, 3/13/97 ......... 19,400,000 19,191,477 Hyundai Motor Finance Co., 5.37%, 4/21/97 .................... 5,000,000 4,917,958 Bank One, Cleveland, guaranteeing commercial paper of: Capital One Funding Corp.-Series 1995F, 5.85%, 1/2/97(1) ..... 10,750,000 10,750,000 Capital One Funding Corp.-Series 1995F, 5.85%, 1/2/97(1)(2)... 8,900,000 8,900,000 Barclays Bank PLC, guaranteeing commercial paper of: Banco Bradesco S.A.-Grand Cayman Branch: Series A, 5.31%, 4/28/97 ................................... 10,000,000 9,827,425 Series A, 5.32%, 2/24/97 ................................... 5,000,000 4,960,100 Series A, 5.35%, 4/18/97 ................................... 20,000,000 19,681,972
4 5 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ LETTERS OF CREDIT (CONTINUED) Banco Real S.A., Grand Cayman Branch: Series A, 5.32%, 4/22/97 .............................. $ 15,000,000 $ 14,753,950 Series A, 5.37%, 4/21/97 .............................. 15,000,000 14,753,875 Petroleo Brasileiro, S.A.-Petrobras II: Series C, 5.35%, 4/1/97 ............................... 5,000,000 4,933,125 Series C, 5.38%, 4/3/97 ............................... 5,000,000 4,931,256 Series C, 5.43%, 2/3/97 ............................... 20,000,000 19,900,450 Petroleo Brasileiro, S.A.-Petrobras: Series A, 5.30%, 5/5/97 ............................... 20,000,000 19,634,889 Series A, 5.31%, 5/7/97 ............................... 16,800,000 16,487,772 Series A, 5.37%, 4/7/97 ............................... 5,000,000 4,928,400 Series B, 5.32%, 6/3/97 ............................... 5,000,000 4,886,950 Series B, 5.40%, 4/9/97 ............................... 10,000,000 9,853,000 Bayerische Vereinsbank AG, guaranteeing commercial paper of: Banco Rio de la Plata S.A.: Series A, 5.40%, 1/21/97 .............................. 8,000,000 7,976,311 Series A, 5.43%, 1/17/97 .............................. 15,000,000 14,963,800 Series B, 5.40%, 1/22/97 .............................. 10,000,000 9,968,500 Galicia Funding Corp.: Series A, 5.36%, 3/3/97(3) ............................ 15,000,000 14,863,767 Series A, 5.37%, 3/5/97(3) ............................ 10,000,000 9,906,025 Series B, 5.35%, 3/3/97(3) ............................ 5,000,000 4,954,674 Series B, 5.38%, 2/28/97(3) ........................... 5,000,000 4,956,661 Series B, 5.45%, 3/4/97(3) ............................ 5,000,000 4,953,069 Credit Suisse, guaranteeing commercial paper of: CEMEX, S.A. de C.V.-Series A, 5.32%, 2/11/97 ............ 16,000,000 15,903,058 CEMEX, S.A. de C.V.-Series B, 5.33%, 3/5/97 ............. 10,000,000 9,906,725 COSCO (Cayman) Co., Ltd., 5.35%, 6/13/97 ................ 20,000,000 19,515,528 Daewoo International Corp., 5.40%, 3/17/97 .............. 10,000,000 9,887,500 Guangdon Enterprises Ltd., 5.32%, 2/28/97 ............... 6,000,000 5,948,573 Guangdon Enterprises Ltd., 5.44%, 3/13/97 ............... 5,000,000 4,946,356 Societe Generale, guaranteeing commercial paper of: Girsa Funding Corp., 5.32%, 4/3/97(3) ................... 10,000,000 9,864,044 Nacional Financiera, SNC-Series A, 5.44%, 1/8/97 ........ 15,000,000 14,984,133 Nacional Financiera, SNC-Series A, 5.44%, 1/9/97 ........ 9,500,000 9,488,516 Nacional Financiera, SNC-Series B, 5.33%, 3/3/97 ........ 45,000,000 44,593,587 ------------ Total Letters of Credit (Cost $410,873,426) ................ 410,873,426 ------------
5 6 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ SHORT-TERM NOTES - 84.5% AUTOMOTIVE - 0.4% BMW U.S. Capital Corp.: 5.31%, 2/24/97 ............................. $ 20,000,000 $ 19,840,700 5.32%, 2/20/97 ............................. 10,000,000 9,926,111 ------------ 29,766,811 ------------ BANKS - 1.0% Bankers Trust Co., New York, 5.35%, 11/26/97(1) 25,000,000 24,984,496 CoreStates Capital Corp.: 5.47%, 6/27/97(1) .......................... 15,000,000 15,000,000 5.70%, 7/14/97(1) .......................... 15,000,000 15,000,000 NationsBank of Texas, 5.40%, 2/3/97 ........... 30,000,000 29,851,500 ------------ 84,835,996 ------------ BEVERAGES - 2.3% Coca-Cola Enterprises, Inc.: 5.31%, 3/19/97(3) .......................... 28,000,000 27,681,391 5.31%, 3/7/97(3) ........................... 15,000,000 14,856,187 5.32%, 2/26/97(3) .......................... 35,000,000 34,710,356 5.32%, 2/27/97(3) .......................... 15,000,000 14,873,650 5.33%, 2/19/97(3) .......................... 30,000,000 29,782,358 5.34%, 1/31/97(3) .......................... 16,000,000 15,928,800 5.35%, 3/11/97(3) .......................... 10,000,000 9,897,458 5.35%, 3/18/97(3) .......................... 17,000,000 16,807,994 5.35%, 3/24/97(3) .......................... 18,000,000 17,780,650 ------------ 182,318,844 ------------ BROKER/DEALERS - 12.1% CS First Boston, Inc.: 5.31%, 1/30/97 ............................. 13,000,000 12,944,392 5.31%, 2/18/97(3) .......................... 10,000,000 9,929,200 5.31%, 2/20/97 ............................. 25,000,000 24,815,625 5.31%, 2/24/97 ............................. 10,000,000 9,920,350 5.33%, 2/13/97(3) .......................... 45,000,000 44,713,214 5.33%, 2/20/97(3) .......................... 10,000,000 9,925,972
6 7 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ BROKER/DEALERS (CONTINUED) 5.35%, 2/12/97(3) ....... $ 10,000,000 $ 9,937,583 5.38%, 3/4/97(1)(4) ..... 20,000,000 20,000,000 5.50%, 2/11/97(4) ....... 15,000,000 15,000,353 5.58%, 1/21/97(1)(4) .... 15,000,000 15,000,000 Dean Witter, Discover & Co.: 5.30%, 2/28/97 .......... 20,000,000 19,829,222 5.81%, 9/29/97(1) ....... 20,000,000 20,032,941 5.98%, 2/3/97(1) ........ 20,000,000 20,004,427 7.81%, 3/18/97 .......... 5,150,000 5,174,528 8%, 5/4/97 .............. 5,000,000 5,040,854 Goldman Sachs Group, L.P.: 5.31%, 3/21/97 .......... 42,000,000 41,510,595 5.31%, 5/5/97 ........... 35,000,000 34,359,850 5.42%, 1/17/97 .......... 25,000,000 24,939,778 5.43%, 1/16/97 .......... 30,000,000 29,932,125 5.45%, 4/11/97 .......... 8,000,000 7,878,889 5.50%, 4/4/97 ........... 30,000,000 29,573,750 5.78%, 1/27/97(1) ....... 15,000,000 15,002,862 8.25%, 1/2/97 ........... 113,000,000 112,976,361 Merrill Lynch & Co., Inc.: 5.31%, 2/28/97 .......... 15,000,000 14,871,675 5.32%, 3/3/97 ........... 32,000,000 31,711,538 5.33%, 1/2/97 ........... 29,000,000 28,995,701 5.33%, 1/24/97 .......... 55,000,000 54,812,710 5.33%, 3/10/97 .......... 30,000,000 29,697,967 5.35%, 1/28/97 .......... 10,000,000 9,959,875 5.40%, 1/31/97(1) ....... 30,000,000 30,000,000 5.40%, 2/10/97 .......... 18,000,000 17,892,000 5.42%, 1/23/97 .......... 65,000,000 64,786,631 5.42%, 12/19/97(1) ...... 35,000,000 34,999,301 5.43%, 10/24/97(1) ...... 25,000,000 24,995,945 5.44%, 1/21/97 .......... 15,000,000 14,954,667 5.45%, 9/19/97(1) ....... 20,000,000 20,000,000
7 8 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ BROKER/DEALERS (CONTINUED) Morgan Stanley Group, Inc.: 5.26%, 6/27/97(1) ...... $ 33,665,000 $ 33,665,000 5.41%, 2/3/97 .......... 20,000,000 19,900,817 5.75%, 1/20/97(1) ...... 5,000,000 5,000,672 ------------ 974,687,370 ------------ BUILDING MATERIALS - 0.2% Compagnie de Saint-Gobain: 5.30%, 4/28/97 ......... 10,000,000 9,827,750 5.38%, 4/23/97 ......... 10,000,000 9,832,622 ------------ 19,660,372 ------------ COMMERCIAL FINANCE - 13.9% CIT Group Holdings, Inc.: 5.31%, 1/24/97 ......... 35,000,000 34,881,262 5.33%, 11/20/97(1) ..... 70,000,000 69,955,417 5.35%, 12/23/97(1) ..... 25,000,000 24,981,088 5.35%, 5/1/97(1) ....... 35,000,000 34,986,854 5.35%, 6/11/97(1) ...... 15,000,000 14,992,143 5.37%, 9/17/97(1) ...... 25,000,000 24,987,137 5.67%, 3/11/98(1) ...... 11,000,000 11,000,000 5.75%, 3/21/97 ......... 5,000,000 5,002,174 7%, 1/3/97 ............. 20,000,000 19,992,222 Countrywide Home Loans: 5.33%, 1/23/97 ......... 5,410,000 5,392,378 5.33%, 2/19/97 ......... 20,000,000 19,854,906 5.33%, 3/3/97 .......... 15,000,000 14,864,529 5.34%, 1/8/97 .......... 10,000,000 9,989,617 5.34%, 3/12/97 ......... 21,000,000 20,781,950 5.36%, 1/22/97 ......... 40,000,000 39,874,933 5.36%, 3/5/97 .......... 30,000,000 29,718,600 5.37%, 3/4/97 .......... 14,000,000 13,870,523 5.43%, 1/13/97 ......... 30,000,000 29,945,700 5.48%, 1/21/97 ......... 20,000,000 19,938,889 6.75%, 1/2/97 .......... 15,000,000 14,997,187
8 9 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 -------------- -------------- COMMERCIAL FINANCE (CONTINUED) FINOVA Capital Corp.: 5.37%, 2/18/97 ............ $ 12,000,000 $ 11,914,080 5.37%, 2/24/97 ............ 15,000,000 14,879,175 5.37%, 2/28/97 ............ 43,000,000 42,627,849 5.38%, 1/7/97 ............. 17,000,000 16,984,757 5.38%, 2/20/97 ............ 5,000,000 4,962,639 5.38%, 2/21/97 ............ 15,000,000 14,885,675 5.40%, 1/15/97 ............ 5,000,000 4,989,500 5.40%, 2/27/97 ............ 58,000,000 57,504,955 5.40%, 2/3/97 ............. 20,000,000 19,901,000 5.43%, 2/26/97 ............ 4,725,000 4,685,163 5.43%, 2/7/97 ............. 29,000,000 28,838,156 5.47%, 2/13/97 ............ 37,000,000 36,759,678 5.49%, 2/5/97 ............. 10,000,000 9,946,625 5.68%, 1/17/97 ............ 7,000,000 6,982,329 6.06%, 2/21/97(1) ......... 35,000,000 35,000,000 8%, 1/15/97 ............... 6,400,000 6,404,356 Heller Financial, Inc.: 5.41%, 3/17/97 ............ 45,000,000 44,492,500 5.42%, 2/6/97 ............. 13,000,000 12,929,540 5.43%, 1/14/97 ............ 25,000,000 24,950,979 5.45%, 3/20/97 ............ 15,000,000 14,822,875 5.45%, 3/21/97 ............ 10,000,000 9,880,403 5.45%, 3/24/97 ............ 40,000,000 39,501,167 5.46%, 10/1/97(1) ......... 30,000,000 29,995,512 5.46%, 10/10/97(1) ........ 30,000,000 29,995,364 5.50%, 3/31/97(1) ......... 7,500,000 7,503,404 5.55%, 4/10/97 ............ 20,000,000 19,694,750 5.55%, 4/2/97 ............. 21,000,000 20,705,388 5.55%, 6/2/97(1) .......... 20,000,000 19,997,407 5.59%, 12/18/97(1) ........ 35,000,000 35,000,000 5.66%, 1/15/97 ............ 10,000,000 10,000,518 5.69%, 3/28/97(1) ......... 30,000,000 30,002,156 -------------- 1,126,745,409 --------------
9 10 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ COMPUTER SOFTWARE - 1.3% First Data Corp.: 5.37%, 6/10/97 ................... $ 20,000,000 $ 19,522,667 5.38%, 1/7/97 .................... 27,000,000 26,975,790 5.39%, 1/14/97 ................... 20,000,000 19,961,072 5.40%, 2/25/97 ................... 5,000,000 4,958,750 5.40%, 3/18/97 ................... 30,000,000 29,658,000 ------------ 101,076,279 ------------ CONGLOMERATES - 1.1% Mitsubishi International Corp.: 5.32%, 1/29/97 ................... 10,000,000 9,958,622 5.34%, 1/8/97 .................... 43,592,000 43,546,773 5.44%, 2/14/97 ................... 10,000,000 9,933,511 6%, 1/14/97 ...................... 7,860,000 7,842,970 Pacific Dunlop Ltd., 5.62%, 1/17/97 . 20,000,000 20,000,844 ------------ 91,282,720 ------------ CONSUMER FINANCE - 3.2% American Express Corp., 5.32%, 1/3/97 35,000,000 34,989,656 Island Finance Puerto Rico, Inc.: 5.32%, 1/6/97 .................... 9,500,000 9,492,981 5.32%, 3/10/97 ................... 15,400,000 15,245,247 5.34%, 3/14/97 ................... 28,400,000 28,096,688 5.34%, 3/24/97 ................... 21,000,000 20,742,657 5.36%, 1/15/97 ................... 10,000,000 9,979,156 5.39%, 3/26/97 ................... 25,000,000 24,685,583 5.44%, 3/20/97 ................... 10,000,000 9,882,133 5.46%, 3/13/97 ................... 14,000,000 13,849,243 Sears Roebuck Acceptance Corp.: 5.31%, 1/31/97 ................... 25,000,000 24,889,375 5.31%, 2/21/97 ................... 25,000,000 24,811,938 5.32%, 3/31/97 ................... 20,000,000 19,736,956 5.43%, 1/16/97 ................... 20,000,000 19,954,750 ------------ 256,356,363 ------------
10 11 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 -------------- -------------- DIVERSIFIED FINANCIAL - 13.7% Associates Corp. of North America, 7.28%, 1/2/97.. $ 188,700,000 $ 188,661,841 Ford Motor Credit Co.: 5.32%, 1/10/97 ................................ 35,000,000 34,953,450 5.32%, 1/6/97 ................................. 24,665,000 24,646,775 5.32%, 1/8/97 ................................. 36,400,000 36,362,346 5.32%, 1/9/97 ................................. 35,000,000 34,958,622 5.37%, 1/28/97 ................................ 6,450,000 6,424,023 5.40%, 1/2/97 ................................. 150,000,000 149,970,333 5.57%, 5/12/97(1) ............................. 25,000,000 25,003,224 General Electric Capital Corp.: 5.31%, 1/15/97 ................................ 35,000,000 34,927,725 5.50%, 1/31/97 ................................ 12,000,000 11,945,000 General Electric Capital Services, 7.12%, 1/2/97.. 152,000,000 151,969,938 General Motors Acceptance Corp.: 5.35%, 1/8/97 ................................. 25,000,000 24,973,993 5.35%, 3/3/97 ................................. 10,000,000 9,909,347 5.35%, 3/6/97 ................................. 20,000,000 19,809,778 5.41%, 4/10/97 ................................ 5,000,000 5,058,018 5.41%, 4/7/97 ................................. 67,000,000 66,029,147 5.45%, 1/16/97 ................................ 20,000,000 19,954,583 5.45%, 2/12/97 ................................ 20,000,000 19,872,833 5.45%, 2/12/97 ................................ 33,000,000 32,790,175 5.45%, 2/4/97 ................................. 14,000,000 13,927,939 5.45%, 2/5/97 ................................. 13,000,000 12,931,118 5.45%, 2/6/97 ................................. 20,000,000 19,891,000 5.45%, 4/21/97(1) ............................. 25,000,000 24,986,295 5.47%, 2/14/97 ................................ 29,000,000 28,806,119 5.48%, 3/26/97 ................................ 22,000,000 21,718,693 5.50%, 1/2/97 ................................. 35,000,000 34,993,368 5.50%, 2/18/97 ................................ 15,000,000 14,890,000 7.75%, 4/15/97 ................................ 5,000,000 5,030,650 8.38%, 5/1/97 ................................. 11,500,000 11,605,277 Household Finance Corp., 5.30%, 2/24/97 .......... 10,000,000 9,920,500 Transamerica Finance Corp., 5.33%, 3/17/97 ....... 14,000,000 13,844,542 -------------- 1,110,766,652 -------------- 11
12 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ ELECTRICAL EQUIPMENT - 0.4% Xerox Corp., 5.30%, 1/10/97 ............................ $ 35,000,000 $ 34,953,625 ------------ ELECTRONICS - 1.0% Mitsubishi Electric Finance America, Inc.: 5.32%, 2/21/97(3) ................................... 20,000,000 19,849,267 5.33%, 1/30/97(3) ................................... 18,000,000 17,922,715 5.35%, 1/15/97(3) ................................... 21,000,000 20,956,308 5.35%, 1/22/97(3) ................................... 15,150,000 15,102,719 5.35%, 3/12/97(3) ................................... 5,000,000 4,947,986 ------------ 78,778,995 ------------ HEALTHCARE/DRUGS - 0.1% Sandoz Corp., 5.30%, 1/23/97(3) ........................ 6,000,000 5,980,567 ------------ HEALTHCARE/SUPPLIES & SERVICES - 0.3% American Home Products, 5.33%, 1/10/97(3) .............. 10,000,000 9,986,675 Sherwood Medical Co., 5.32%, 1/24/97(3) ................ 18,000,000 17,938,820 ------------ 27,925,495 ------------ INDUSTRIAL SERVICES - 0.2% Atlas Copco AB, 5.37%, 3/17/97(3) ...................... 5,000,000 4,944,063 PHH Corp., 5.79%, 3/26/97(1) ........................... 15,000,000 14,997,980 ------------ 19,942,043 ------------ INSURANCE - 4.3% Allstate Life Insurance Co., 5.38%, 1/3/97(1) .......... 40,000,000 40,000,000 General American Life Insurance Co., 5.58%, 1/3/97(1)... 50,000,000 50,000,000 Jackson National Life: 5.39%, 1/3/97(1) .................................... 30,000,000 30,000,000 5.40%, 1/3/97(1) .................................... 40,000,000 40,000,000 Pacific Mutual Life Insurance Co., 5.57%, 1/2/97(1)(4).. 25,000,000 25,000,000 Protective Life Insurance Co., 5.52%, 1/26/97(1)(4) .... 10,000,000 10,000,000 TransAmerica Life Insurance & Annuity Co.: 5.38%, 10/15/97(1) .................................. 50,000,000 50,000,000 5.38%, 9/30/97(1) ................................... 30,000,000 30,000,000 5.58%, 1/3/97(1) .................................... 43,000,000 43,000,000 TransAmerica Occidental Life, 5.38%, 9/29/97(1) ........ 30,000,000 30,000,000 ------------ 348,000,000 ------------
12 13 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ LEASING & FACTORING - 1.5% Hertz Corp. (The), 5.32%, 1/13/97 ........... $ 10,000,000 $ 9,982,267 International Lease Finance Corp.: 5.30%, 3/7/97 ............................ 20,000,000 19,808,611 5.33%, 2/3/97 ............................ 20,000,000 19,902,283 5.33%, 2/7/97 ............................ 30,000,000 29,835,658 5.35%, 2/6/97 ............................ 45,000,000 44,759,250 ------------ 124,288,069 ------------ MANUFACTURING - 0.1% Rexam PLC, 5.43%, 1/10/97(3) ................ 6,700,000 6,690,905 ------------ NONDURABLE HOUSEHOLD GOODS - 0.8% Colgate-Palmolive Co., 5.47%, 5/22/97(1)(3).. 22,000,000 21,997,881 Newell Co.: 5.32%, 1/28/97(3) ........................ 25,000,000 24,900,250 5.33%, 3/7/97(3) ......................... 15,000,000 14,855,646 ------------ 61,753,777 ------------ OIL-INTEGRATED - 0.4% Repsol International Finance BV: 5.33%, 2/7/97 ............................ 5,000,000 4,972,610 5.35%, 3/28/97 ........................... 25,000,000 24,680,486 ------------ 29,653,096 ------------ SAVINGS & LOANS - 0.6% First Bank FSB, 5.58%, 8/29/97(1) ........... 25,000,000 24,998,397 Household Finance Corp., 5.46%, 9/19/97(1)... 25,000,000 25,000,000 ------------ 49,998,397 ------------ SPECIAL PURPOSE FINANCIAL - 21.9% Asset Backed Capital Finance, Inc.: 5.38%, 5/22/97(3) ........................ 10,000,000 9,789,283 5.48%, 12/15/97(1)(4) .................... 35,000,000 34,988,149 Asset-Securitization Cooperative: 5.30%, 1/24/97(3) ........................ 55,000,000 54,813,764 5.31%, 1/29/97(3) ........................ 25,000,000 24,896,750 5.31%, 2/18/97(3) ........................ 27,000,000 26,808,933 5.31%, 2/27/97(3) ........................ 25,000,000 24,789,813 5.32%, 1/6/97(3) ......................... 20,000,000 19,985,222 13
14 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ----------- ----------- SPECIAL PURPOSE FINANCIAL (CONTINUED) 5.33%, 3/11/97(3) ............................ $18,000,000 $17,816,115 5.33%, 3/17/97(3) ............................ 20,000,000 19,777,917 5.34%, 3/18/97(3) ............................ 35,800,000 35,396,415 5.35%, 3/19/97(3) ............................ 25,000,000 24,713,924 5.45%, 3/27/97(3) ............................ 9,500,000 9,377,753 Beta Finance, Inc.: 5.31%, 2/20/97(3) ............................ 11,000,000 10,918,875 5.31%, 5/1/97(3) ............................. 15,000,000 14,734,500 5.32%, 5/7/97(3) ............................. 5,000,000 4,906,900 5.33%, 3/3/97(3) ............................. 14,000,000 13,873,561 5.35%, 3/10/97(3) ............................ 14,000,000 13,858,522 5.35%, 3/13/97(3) ............................ 23,500,000 23,252,042 5.35%, 3/17/97(3) ............................ 19,500,000 19,282,656 5.35%, 4/17/97(3) ............................ 18,000,000 17,716,450 5.45%, 1/27/97(3) ............................ 60,000,000 59,763,833 CIESCO L.P.: 5.30%, 1/29/97 ............................... 30,000,000 29,876,333 5.34%, 2/10/97 ............................... 20,000,000 19,881,333 5.35%, 2/14/97 ............................... 24,200,000 24,041,759 5.78%, 5/19/97(1)(3) ......................... 17,000,000 16,998,895 Cooperative Association of Tractor Dealers, Inc.: 5.38%, 1/31/97 ............................... 11,600,000 11,547,993 5.50%, 2/4/97 ................................ 4,300,000 4,277,664 CXC, Inc.: 5.30%, 3/5/97(3) ............................. 21,800,000 21,597,805 5.31%, 2/25/97(3) ............................ 35,000,000 34,716,063 5.31%, 2/27/97(3) ............................ 25,400,000 25,186,450 5.32%, 1/7/97(3) ............................. 35,000,000 34,968,967 5.32%, 3/12/97(3) ............................ 40,000,000 39,586,222 5.33%, 1/9/97(3) ............................. 25,000,000 24,970,389 5.35%, 1/16/97(3) ............................ 15,000,000 14,966,563 Enterprise Funding Corp., 5.38%, 3/13/97(3) ..... 13,000,000 12,862,191 Falcon Asset Securitization Corp.: 5.30%, 2/25/97(3) ............................ 25,000,000 24,797,569 5.32%, 1/13/97(3) ............................ 45,220,000 45,139,810 5.33%, 1/7/97(3) ............................. 36,200,000 36,167,842 5.50%, 1/3/97(3) ............................. 30,105,000 30,095,801
14 15 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 ------------ ------------ SPECIAL PURPOSE FINANCIAL (CONTINUED) First Deposit Master Trust 1993-3: 5.32%, 2/24/97(3) ............................................... $ 5,000,000 $ 4,960,100 5.32%, 2/26/97(3) ............................................... 5,000,000 4,958,622 5.32%, 2/27/97(3) ............................................... 8,000,000 7,932,613 5.34%, 1/13/97(3) ............................................... 20,035,000 19,999,338 5.65%, 1/9/97(3) ................................................ 20,000,000 19,975,111 Fleet Funding Corp.: 5.32%, 1/10/97(3) ............................................... 34,394,000 34,348,256 5.32%, 1/8/97(3) ................................................ 5,138,000 5,132,685 New Center Asset Trust: 5.35%, 4/1/97 ................................................... 35,000,000 34,531,875 5.40%, 2/6/97 ................................................... 25,000,000 24,865,000 7.30%, 1/2/97 ................................................... 123,500,000 123,474,957 Preferred Receivables Funding Corp., 5.53%, 1/16/97 ................ 10,000,000 9,976,958 RACERS Series 1996-MM-12-3, 5.59%, 12/15/97(1)(4) .................. 25,000,000 25,000,000 Receivables Capital Corp., 5.53%, 1/23/97(3) ....................... 25,000,000 24,915,514 Sheffield Receivables Corp., 5.32%, 1/9/97 ......................... 17,000,000 16,979,902 Short Term Card Account Trust 1995-1, Class A1, 5.61%, 1/15/97(1)(4) 25,000,000 25,000,000 Sigma Finance, Inc.: 5.30%, 5/16/97(3) ............................................... 5,000,000 4,900,625 5.31%, 2/25/97(3) ............................................... 7,455,000 7,394,521 5.31%, 5/12/97(3) ............................................... 8,500,000 8,335,759 5.31%, 5/19/97(3) ............................................... 16,000,000 15,674,320 5.32%, 2/24/97(3) ............................................... 7,500,000 7,440,150 5.32%, 5/6/97(3) ................................................ 15,000,000 14,722,917 5.33%, 2/3/97(3) ................................................ 5,000,000 4,975,571 5.33%, 3/10/97(3) ............................................... 5,000,000 4,949,661 5.33%, 3/3/97(3) ................................................ 15,000,000 14,864,529 5.35%, 1/30/97(3) ............................................... 9,000,000 8,961,213 5.36%, 3/5/97(3) ................................................ 25,000,000 24,765,500 5.37%, 4/15/97(3) ............................................... 50,100,000 49,322,782 5.37%, 4/28/97(3) ............................................... 25,000,000 24,563,688 5.37%, 4/8/97(3) ................................................ 25,000,000 24,638,271 5.38%, 1/3/97(3) ................................................ 20,000,000 19,994,022 5.38%, 4/9/97(3) ................................................ 15,000,000 14,780,589 5.42%, 1/9/97(3) ................................................ 33,000,000 32,960,253 5.44%, 2/20/97(3) ............................................... 21,500,000 21,337,556
15 16 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 -------------- -------------- SPECIAL PURPOSE FINANCIAL (CONTINUED) 5.44%, 2/28/97(3) ...................................... $ 7,000,000 $ 6,940,115 5.45%, 1/15/97(3) ...................................... 15,000,000 14,968,208 5.45%, 1/24/97(3) ...................................... 15,000,000 14,947,771 5.45%, 1/27/97(3) ...................................... 15,000,000 14,940,958 SMM Trust: 1996-B, 5.42%, 1/6/97(4) ............................... 20,000,000 20,000,000 1996-I, 5.71%, 5/29/97(1)(4) ........................... 35,000,000 35,000,000 1996-V, 5.98%, 3/26/97(4) .............................. 20,000,000 20,000,000 TIERS Series DCMT 1996-A, 5.64%, 10/15/97(1)(4) ........... 25,000,000 25,000,000 -------------- 1,771,570,936 -------------- TELECOMMUNICATIONS-TECHNOLOGY - 3.7% GTE Corp., 5.48%, 4/1/97 .................................. 40,000,000 39,448,956 NYNEX Corp.: 5.32%, 2/21/97 ......................................... 17,000,000 16,871,877 5.33%, 1/31/97 ......................................... 15,000,000 14,933,375 5.33%, 2/18/97 ......................................... 15,000,000 14,893,400 5.33%, 2/28/97 ......................................... 25,000,000 24,785,319 5.34%, 1/27/97 ......................................... 10,000,000 9,961,433 5.34%, 3/6/97 .......................................... 15,000,000 14,857,600 5.34%, 3/7/97 .......................................... 18,000,000 17,826,450 5.35%, 1/10/97 ......................................... 55,000,000 54,926,438 5.35%, 3/5/97 .......................................... 15,000,000 14,860,088 5.37%, 4/18/97 ......................................... 25,000,000 24,600,979 5.42%, 1/17/97 ......................................... 38,000,000 37,908,676 5.50%, 3/28/97 ......................................... 13,670,000 13,490,391 -------------- 299,364,982 -------------- Total Short-Term Notes (Cost $6,836,397,703) .............. 6,836,397,703 -------------- U.S. GOVERNMENT AGENCIES - 0.7% Federal Home Loan Bank, 5.68%, 8/1/97 (Cost $59,969,257)(1) 60,000,000 59,969,257 --------------
16 17 STATEMENT OF INVESTMENTS December 31, 1996 (Unaudited)(Continued) Centennial Money Market Trust
Face Value Amount See Note 1 --------------- --------------- FOREIGN GOVERNMENT OBLIGATIONS - 1.3% Bayerische Landesbank Girozentrale, 5.07%, 7/29/97(1) ................. $ 30,000,000 $ 30,000,000 Swedish Export Credit Corp., 5.35%, 4/11/97 ........................... 30,831,000 30,372,817 Westdeutsche Landesbank Girozentrale, guaranteeing commercial paper of: Comision Federal de Electricidad: Series A, 5.31%, 2/18/97 ......................................... 25,000,000 24,823,000 Series A, 5.36%, 3/11/97 ......................................... 18,000,000 17,815,080 --------------- Total Foreign Government Obligations (Cost $103,010,897) .............. 103,010,897 --------------- REPURCHASE AGREEMENT - 0.3% Repurchase agreement with Goldman, Sachs & Co., 6.52%, dated 12/31/96, to be repurchased at $23,008,331 on 1/2/97, collateralized by U.S. Treasury Nts., 7.875%, 11/15/04, with a value of $23,467,173 (Cost $23,000,000) ........... 23,000,000 23,000,000 --------------- Total Investments, at Value ........................................... 100.1% 8,096,676,163 --------------- --------------- Liabilities in Excess of Other Assets ................................. (0.1) (11,586,268) --------------- --------------- Net Assets ............................................................ 100.0% $ 8,085,089,895 =============== ===============
Short-term notes, direct bank obligations and letters of credit are generally traded on a discount basis; the interest rate is the discount rate received by the Trust at the time of purchase. Other securities normally bear interest at the rates shown. 1. Floating or variable rate obligation. The interest rate, which is based on specific, or an index of, market interest rates, is subject to change periodically and is the effective rate on December 31, 1996. This instrument may also have a demand feature which allows the recovery of principal at any time, or at specified intervals not exceeding one year, on up to 30 days' notice. Maturity date shown represents effective maturity based on variable rate and, if applicable, demand feature. 2. Put obligation redeemable at full face value on the date reported. 3. Restricted securities, including those issued in exempt transactions without registration under the Securities Act of 1933 (the Act), amounting to $1,799,526,712, or 22.26% of the Trust's net assets, have been determined to be liquid pursuant to guidelines adopted by the Board of Trustees. 4. Restricted securities which are considered illiquid, by virtue of the absence of a readily available market or because of legal or contractual restrictions on resale, amount to $602,638,502, or 7.45% of the Trust's net assets. The Trust may not invest more than 10% of its net assets (determined at the time of purchase) in illiquid securities. See accompanying Notes to Financial Statements. 17 18 STATEMENT OF ASSETS AND LIABILITIES December 31, 1996 (Unaudited) Centennial Money Market Trust ASSETS: Investments, at value - see accompanying statement ........... $8,096,676,163 Cash ......................................................... 1,174,332 Receivables: Shares of beneficial interest sold ......................... 61,786,996 Interest ................................................... 16,480,378 Other ........................................................ 231,867 -------------- Total assets ............................................. 8,176,349,736 -------------- LIABILITIES: Payables and other liabilities: Shares of beneficial interest redeemed ..................... 89,687,905 Service plan fees .......................................... 532,168 Shareholder reports ........................................ 289,143 Dividends .................................................. 10,677 Trustees' fees ............................................. 2,842 Other ...................................................... 737,106 -------------- Total liabilities ........................................ 91,259,841 NET ASSETS ................................................... $8,085,089,895 ============== COMPOSITION OF NET ASSETS: Paid-in capital .............................................. $8,085,041,176 Accumulated net realized gain on investment transactions ..... 48,719 -------------- NET ASSETS - applicable to 8,085,041,176 shares of beneficial interest outstanding ...................................... $8,085,089,895 ============== NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $ 1.00
See accompanying Notes to Financial Statements. 18 19 STATEMENT OF OPERATIONS For the Six Months Ended December 31, 1996 (Unaudited) Centennial Money Market Trust INVESTMENT INCOME - Interest ......................... $ 206,485,530 ------------- EXPENSES: Management fees - Note 3 ............................. 13,121,270 Service plan fees - Note 3 ........................... 7,532,869 Transfer and shareholder servicing agent fees - Note 3 2,530,523 Registration and filing fees ......................... 1,141,550 Custodian fees and expenses .......................... 403,337 Shareholder reports .................................. 260,942 Legal and auditing fees .............................. 51,443 Insurance expenses ................................... 39,268 Trustees' fees and expenses .......................... 22,763 Other ................................................ 2,702 ------------- Total expenses ....................................... 25,106,667 ------------- NET INVESTMENT INCOME ................................ 181,378,863 NET REALIZED LOSS ON INVESTMENTS ..................... (432) ------------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS.. $ 181,378,431 =============
STATEMENTS OF CHANGES IN NET ASSETS
Six Months Ended December 31, 1996 Year Ended (Unaudited) June 30, 1996 --------------- --------------- OPERATIONS: Net investment income ....................................... $ 181,378,863 $ 303,412,547 Net realized gain (loss) .................................... (432) 265,465 --------------- --------------- Net increase in net assets resulting from operations ........ 181,378,431 303,678,012 DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS ................. (181,654,081) (303,849,237) BENEFICIAL INTEREST TRANSACTIONS: Net increase in net assets resulting from beneficial interest transactions - Note 2 .................................... 1,332,481,512 1,940,862,519 --------------- --------------- NET ASSETS: Total increase .............................................. 1,332,205,862 1,940,691,294 Beginning of period ......................................... 6,752,884,033 4,812,192,739 --------------- --------------- End of period ............................................... $ 8,085,089,895 $ 6,752,884,033 =============== ===============
See accompanying Notes to Financial Statements. 19 20 FINANCIAL HIGHLIGHTS Centennial Money Market Trust
Six Months Ended Year Ended June 30, December 31, ------------------------------------------------------------------- 1996 (Unaudited) 1996 1995 1994 1993 1992 --------------- --------- --------- --------- --------- --------- PER SHARE OPERATING DATA: Net asset value, beginning of period ................................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 Income from investment operations - net investment income and net realized gain .............. .02 .05 .05 .03(1) .03(1) .04(1) Dividends and distributions to shareholders... (.02) (.05) (.05) (.03) (.03) (.04) --------- --------- --------- --------- --------- --------- Net asset value, end of period ............... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 ========= ========= ========= ========= ========= ========= TOTAL RETURN, AT NET ASSET VALUE(2) ........................ 2.47% 5.11% 5.21% 2.82% 2.91% 4.73% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in millions) ...... $ 8,085 $ 6,753 $ 4,812 $ 2,559 $ 1,991 $ 1,270 Average net assets (in millions) ............. $ 7,480 $ 6,077 $ 3,342 $ 2,346 $ 1,701 $ 821 RATIOS TO AVERAGE NET ASSETS: Net investment income ........................ 4.82%(3) 4.99% 5.01% 2.84% 2.82% 4.31% Expenses ..................................... 0.67%(3) 0.69% 0.73% 0.76%(1) 0.78%(1) 0.69%(1)
1. Net investment income would have been $.03, $.03 and $.04 per share absent the voluntary expense limitation, resulting in an expense ratio of 0.81%, 0.83%, and 0.81% for the years ended June 30, 1994, 1993 and 1992, respectively. 2. Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends 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. Total returns are not annualized for periods of less than one full year. Total returns reflect changes in net investment income only. 3. Annualized. See accompanying Notes to Financial Statements. 20 21 NOTES TO FINANCIAL STATEMENTS (Unaudited) Centennial Money Market Trust 1. SIGNIFICANT ACCOUNTING POLICIES Centennial Money Market Trust (the Trust) is registered under the Investment Company Act of 1940, as amended, as a diversified, open-end management investment company. The Trust's investment objective is to seek the maximum current income that is consistent with low capital risk and the maintenance of liquidity. The Trust seeks to achieve this objective by investing in "money market" securities meeting specified quality standards. The Trust's investment adviser is Centennial Asset Management Corporation (the Manager), a subsidiary of OppenheimerFunds, Inc. (OFI). The following is a summary of significant accounting policies consistently followed by the Trust. Investment Valuation - Portfolio securities are valued on the basis of amortized cost, which approximates market value. Federal Taxes - The Trust 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 to shareholders. Therefore, no federal income or excise tax provision is required. Distributions to Shareholders - The Trust intends to declare dividends from net investment income each day the New York Stock Exchange is open for business and pay such dividends monthly. To effect its policy of maintaining a net asset value of $1.00 per share, the Trust may withhold dividends or make distributions of net realized gains. Other - Investment transactions are accounted for on the date the investments are purchased or sold (trade date). Realized gains and losses on investments are determined on an identified cost basis, which is the same basis used for federal income tax purposes. The preparation of financial statements in conformity with generally accepted accounting principles 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 expense during the reporting period. Actual results could differ from those estimates. 21 22 NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Centennial Money Market Trust 2. SHARES OF BENEFICIAL INTEREST The Trust has authorized an unlimited number of no par value shares of beneficial interest. Transactions in shares of beneficial interest were as follows:
Six Months Ended December 31, 1996 Year Ended June 30, 1996 ----------------------------------- ----------------------------------- Shares Amount Shares Amount ---------------- ---------------- ---------------- ---------------- Sold ...................... 12,621,819,056 $ 12,596,573,053 21,158,638,888 $ 21,158,638,888 Dividends and distributions reinvested ................ 186,907,403 186,907,403 297,883,433 297,883,433 Redeemed .................. (11,476,244,947) (11,450,998,944) (19,515,659,802) (19,515,659,802) ---------------- ---------------- ---------------- ---------------- Net increase .............. 1,332,481,512 $ 1,332,481,512 1,940,862,519 $ 1,940,862,519 ================ ================ ================ ================
3. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES Management fees paid to the Manager were in accordance with the investment advisory agreement with the Trust which provides for a fee of 0.50% on the first $250 million of average annual net assets with a reduction of 0.025% on each $250 million thereafter, to 0.40% on net assets in excess of $1 billion. The Manager has agreed to reimburse the Trust if aggregate expenses (with specified exceptions) exceed the lesser of 1.5% of the first $30 million of average annual net assets of the Trust, plus 1% of average annual net assets in excess of $30 million; or 25% of the total annual investment income of the Trust. Independently of the investment advisory agreement, the Manager has voluntarily agreed to waive a portion of the management fee otherwise payable to it by the Trust to the extent necessary to: (a) permit the Trust to have a seven-day yield equal to that of Daily Cash Accumulation Fund, Inc., and (b) to reduce, on an annual basis, the management fee paid on the average net assets of the Trust in excess of $1 billion from 0.40% to: 0.40% of average net assets in excess of $1 billion but less than $1.25 billion; 0.375% of average net assets in excess of $1.25 billion but less than $1.50 billion; 0.35% of average net assets in excess of $1.50 billion but less than $2 billion; and 0.325% of average net assets in excess of $2 billion. This undertaking became effective as of December 1, 1991, and may be modified or terminated by the Manager at any time. Shareholder Services, Inc. (SSI), a subsidiary of OFI, is the transfer and shareholder servicing agent for the Trust, and for other registered investment companies. SSI's total costs of providing such services are allocated ratably to these companies. Under an approved service plan, the Trust may expend up to 0.20% of its net assets annually to reimburse certain securities dealers and other financial institutions and organizations for costs incurred in distributing Trust shares. 22 23 [This Page Intentionally Left Blank] 23 -----END PRIVACY-ENHANCED MESSAGE-----