-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, X/+O8Or35Pt8QzMxFpEiZINM96xamE2ga4Wo7vmOPv//ojKTi+NQmEqZCzW4u2kC mCI4sWwcOSkP4tPJ4oW80A== 0000820027-95-000216.txt : 19950427 0000820027-95-000216.hdr.sgml : 19950427 ACCESSION NUMBER: 0000820027-95-000216 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19950228 FILED AS OF DATE: 19950426 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: IDS LIFE CAPITAL RESOURCE FUND INC CENTRAL INDEX KEY: 0000353968 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] IRS NUMBER: 411409539 STATE OF INCORPORATION: MN FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-03218 FILM NUMBER: 95531453 BUSINESS ADDRESS: STREET 1: 80 SOUTH 8TH STREET STREET 2: T33/52 CITY: MINNEAPOLIS STATE: MN ZIP: 55440 BUSINESS PHONE: 6126718626 FORMER COMPANY: FORMER CONFORMED NAME: IDS LIFE CAPITAL RESOURCE FUND II INC DATE OF NAME CHANGE: 19851104 FILER: COMPANY DATA: COMPANY CONFORMED NAME: IDS LIFE MONEYSHARE FUND INC CENTRAL INDEX KEY: 0000353315 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] IRS NUMBER: 111409530 STATE OF INCORPORATION: MN FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-03190 FILM NUMBER: 95531454 BUSINESS ADDRESS: STREET 1: 80 SOUTH 8TH STREET STREET 2: T33/52 CITY: MINNEAPOLIS STATE: MN ZIP: 55440 BUSINESS PHONE: 6126718626 FILER: COMPANY DATA: COMPANY CONFORMED NAME: IDS LIFE SPECIAL INCOME FUND INC CENTRAL INDEX KEY: 0000353967 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] IRS NUMBER: 511409529 STATE OF INCORPORATION: MN FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-03219 FILM NUMBER: 95531455 BUSINESS ADDRESS: STREET 1: 80 SOUTH 8TH STREET STREET 2: T33/52 CITY: MINNEAPOLIS STATE: MN ZIP: 55440 BUSINESS PHONE: 6126718626 FORMER COMPANY: FORMER CONFORMED NAME: IDS LIFE SPECIAL INCOME FUND II INC DATE OF NAME CHANGE: 19851104 FILER: COMPANY DATA: COMPANY CONFORMED NAME: IDS LIFE MANAGED FUND INC CENTRAL INDEX KEY: 0000764546 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] STATE OF INCORPORATION: MN FISCAL YEAR END: 0831 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-04252 FILM NUMBER: 95531456 BUSINESS ADDRESS: STREET 1: 80 SOUTH 8TH STREET STREET 2: T33/52 CITY: MINNEAPOLAS STATE: MN ZIP: 55440 BUSINESS PHONE: 6126718626 N-30D 1 Financial statements PAGE Retirement Annuity Mutual Funds 1995 semiannual report Offers six funds with separate goals and objectives to provide investment flexibility with no initial sales charge Managed by IDS Life Insurance Company PAGE The Retirement Annuity Mutual Funds provide several alternatives to consider for investment through your annuity contracts. Contents From the president 3 Capital Resource Fund From the portfolio manager 4 Ten largest holdings 5 International Equity Fund From the portfolio manager 6 Ten largest holdings 7 Aggressive Growth Fund From the portfolio manager 8 Ten largest holdings 9 Special Income Fund From the portfolio manager 10 Ten largest holdings 11 Moneyshare Fund From the portfolio manager 12 Managed Fund From the portfolio manager 13 Ten largest holdings 14 All Funds Financial statements 15 Notes to financial statements 22 Investments in securities 35 PAGE To our contract owners picture of: William R. Pearce President of the funds From the president The Retirement Annuity mutual funds, as part of the IDS MUTUAL FUND GROUP, held shareholder meetings on Nov. 9, 1994. The meetings, which were well-attended, approved all of the proposals advanced by management. Among the proposals were: * The election of directors and the selection of KPMG Peat Marwick LLP as independent auditors for each of the funds in the group. * A new investment management agreement with IDS Life. * A change with respect to a number of "fundamental investment policies" that allows the board to modify them should it deem appropriate. * The name of IDS Life Capital Resource Fund, Inc., the corporate entity, was changed to IDS Life Investment Series, Inc. The names of the three portfolios underlying the corporation remain IDS Life Aggressive Growth Fund, IDS Life Capital Resource Fund and IDS Life International Equity Fund. No other business was presented at the meeting, which was concluded by a report to contract owners from American Express Financial Corporation's investment department. Lastly, I want to introduce two new portfolio managers for the Retirement Annuity funds: Steve Merrell (Special Income Fund) and Marty Hurwitz (Aggressive Growth Fund). Each assumed his responsibility in January 1995. Please see their respective letters, as well as those of the other fund managers, for a review of the past period and an investment outlook. William R. Pearce PAGE To our contract owners Capital Resource Fund picture of: Curt Weaver Portfolio manager From the portfolio manager A highly selective investment approach paid off for Capital Resource Fund during the first half of the fund's fiscal year (September 1994 through February 1995). The result was a 3.02% increase in net asset value for contract owners. This figure does not reflect expenses that apply to the variable accounts or subaccounts or to the annuity contract. The considerable price fluctuation that growth stocks have experienced for some time continued during the six-month period, as the investment mood swayed with changes in the outlooks for inflation, economic growth and corporate profits. Still, on an overall basis, the environment showed some gradual improvement as the period progressed. The bulk of the fund's gain came in January and February, which were strong months for the stock market as a whole. As has been the case for the past couple of years, the key to our recent success was owning stocks of fundamentally sound, growing companies whose prices had fallen to attractive levels during market downturns. Our holdings spanned a wide range of business sectors, including pharmaceutical, health care services, financial services, medical devices, technology and consumer products. We maintained a mix of both large and small-company stocks. This broadly diversified approach also provided some cushion for the fund during periods when a particular stock group lost ground. It's likely that changes in the state of the economy and the inflation trend will continue to have a seesaw effect on the stock market in the remaining months of the fiscal year. Still, stocks of companies whether domestic or foreign, that can consistently produce above-average profits should ultimately be rewarded. While the run-up in stock prices last winter has made it more difficult to find bargains among such companies, that remains our goal as we try to build on our recent progress. Curt Weaver PAGE
Your fund's ten largest holdings Capital Resource Fund (Pie chart) The ten holdings listed here make up 19.15% of the fund's net assets Common stocks Percent Value (of fund's net assets)(as of Feb. 28, 1995) _________________________________________________________________ _________________ UNUM 2.37% $76,500,000 UNUM Corp. through various subsidiaries, offers a broad range of disability, health, life insurance and group pension products. State Street Boston 2.02 65,343,750 Investment processing services for financial institutions and corporate and government clients. Philip Morris 2.01 65,002,500 Philip Morris is the largest cigarette company and has become the second largest packaged-food company in the world as a result of the Kraft acquisition. Wal-Mart Stores 1.99 64,125,000 Wal-Mart Stores, the world's largest retailer, operates a chain of discount department stores under the names Wal-Mart, Sam's Club and Bud's Warehouse Outlets located in 45 states and Puerto Rico. UST 1.94 62,475,000 Moist smokeless tobacco and wines. Tele-Communications 'A' 1.90 61,425,000 Tele-Communications 'A' is the largest cable system operator with over 10 million subscribers in the United States. Approximately 70% of its business is regulated. Reader's Digest 1.83 59,110,000 Reader's Digest is a publisher and direct mail marketer of magazines, books, recorded music and other products worldwide. Union Pacific 1.72 55,385,000 A diversified transportation company composed of a western railroad and a regional less-than-truckload hauler, Trucking Overnite. The company also owns Union Pacific Resources, one of the country's largest producers of oil and gas. Travelers 1.69 54,425,000 Among the world's largest multi-line financial services companies, focusing on insurance, managed health care and investments. Northern Trust 1.68 54,400,000 Investment processing services for financial institutions and corporate and government clinics. Excludes short-term securities.
PAGE To our contract owners International Equity Fund picture of: Paul Hopkins Portfolio manager From the portfolio manager Substantial downturns in many foreign markets reversed the positive momentum we enjoyed during the previous fiscal year. As a result, and despite efforts to cushion the impact of market declines, the net asset value fell 13.08% during the first half of the current fiscal year (September 1994 through February 1995). This figure does not reflect expenses that apply to the variable accounts or subaccounts or to the annuity contracts. After performing well in 1993, many foreign markets experienced difficulty last year. We managed to protect your fund from the most severe impact of this environment by maintaining a broad exposure to global markets. At the outset of 1994, stocks in Southeast Asia fell back from all-time highs. Although they recovered in the summer months, by fall they were again losing ground. These declines were caused by fears of rising U.S. interest rates. By year-end the same concern had led to the devaluation of the Mexican peso. Both the Mexican market and the currency continued to fall throughout the year and into 1995. The fund's holdings in Japan proved beneficial during 1994 as that market held up relatively will during November and December. However, even here in the first months of 1995 the combined impact of the Kobe earthquake and a strong yen eventually brought Japanese equities down. At the time of this writing, we hold cash reserves of 10%. Looking forward, we expect a better investment environment thanks to more stable interest rates. With stock prices having already fallen in many markets, we will use any further declines to add to holdings. In the United Kingdom, we are positive as corporate profits remain strong. In Latin America and Southeast Asia, stock prices have now fallen to quite low levels, and we have begun to add to Mexico. Paul Hopkins PAGE
Your fund's ten largest holdings International Equity Fund (Pie chart) The ten holdings listed here make up 14.60% of the fund's net assets Percent Value (of fund's net assets)(as of Feb. 28, 1995) _________________________________________________________________ __________ Next (United Kingdom) 2.07% $24,341,459 A leading clothing retailer in the United Kingdom Telefonica (Spain) 1.77 20,834,095 Spain's monopoly operator of basic telephone and telex services. Siebe (United Kingdom) 1.59 18,697,500 A United Kingdom engineering company with significant U.S. presence via Foxboro in control devices and process systems. Societe Nationale Elf Aquitaine (France) 1.58 18,657,934 A leading French oil company. Lyonnaise des Eaux Dumez (France) 1.34 15,761,039 A leading water utility that has diversified into communications and construction. Unilever NV (Netherlands) 1.32 15,551,277 A diverse, international organization, Unilever is a world leader in brand-name consumer products -- mainly foods, detergents and toiletries. Westpac Banking (Australia) 1.31 15,451,020 One of four major banking organizations in Australia, Westpac Banking is engaged in a broad range of banking and financial services. Tokio Marine & Fire (Japan) 1.23 14,442,498 Tokio Marine is the largest and one of the oldest non-life insurance companies in Japan. The company is part of the prestigious Mitsubishi industrial group. Rank Organisation (United Kingdom) 1.22 14,310,450 A major leisure-time company with interests in film, television, travel and lodging. Elsevier (Netherlands) 1.17 13,714,400 The world's most profitable publisher, operating around the globe. Excludes short-term securities.
PAGE To our contract owners Aggressive Growth Fund picture of: Martin G. Hurwitz Portfolio manager From the portfolio manager Volatility continued to dominate the stock market and the growth- stock group in particular during the first half of Aggressive Growth Fund's fiscal year (September 1994 through February 1995). Nevertheless, we were able to take advantage of periodic upturns, which ultimately enabled the fund to provide an increase in net asset value of 3.00%. This figure does not reflect expenses that apply to the variable accounts or subaccounts or to the annuity contract. The past six months essentially came down to a tug of war between the positive forces of low inflation and generally good corporate profits and the negative influence of higher interest rates. The period got off to a positive start last fall, as we enjoyed gains in September and October. That advance was soon erased, however, by a sharp downturn in November. The roller-coaster pattern continued with a rebound in December, a loss in January and a large gain in February. Although their performance was similarly inconsistent, our holdings among stocks of technology and health care companies were the best performers on an overall basis. They were complemented by periodic contributions from financial services stocks. With the change in portfolio managers last January, some modifications to the portfolio have begun to be implemented. Although the emphasis will remain on stocks of small and mid-size growth companies, stock-selection criteria will be somewhat different. The top consideration is outstanding company management, followed by strong earnings and revenue growth and a good risk-reward ratio regarding stock prices. As for near-term prospects, we expect more of what we've seen in the market for some time - considerable fluctuation with a moderately positive underlying bias. With effective stock selection, we expect to build on our progress of the first six months. Martin G. Hurwitz PAGE
Your fund's ten largest holdings Aggressive Growth Fund (Pie chart) The ten holdings listed here make up 16.53 % of the fund's net assets Percent Value (of fund's net assets)(as of Feb. 28, 1995) Parametric Technology 2.22% $22,567,500 A producer of software products for the automation of complex engineering tasks that are essential to the development of virtually all manufactured products. Oracle Systems 2.05 20,790,000 One of the largest independent vendors of database-management software offering a variety of new products, enhancements and applications software. HBO & Company 1.90 19,250,000 A health-care information service company that provides a variety of computer-based information systems and services to hospitals and their affiliates. IDEXX Laboratories 1.68 17,100,000 IDEXX develops, manufactures and distributes biotechnology-based detection systems. The company's products are currently used for animal health, food quality assurance and biomedical research applications. Cisco Systems 1.61 16,368,750 The leading designer and builder of devices that link personal computers in powerful networks. Cisco is a leader in the fast- growing business network market. Cardinal Health 1.54 15,592,500 A wholesale distributor of pharmaceutical, surgical and hospital supplies and health and beauty aids. U.S. Health Care 1.46 14,835,000 U.S. Health Care is a strong regional health maintenance organization operating in the east, including the states of New York, northern New Jersey and Pennsylvania. Intel 1.41 14,355,000 The world's number one semiconductor manufacturer, Intel produces microcomputer components, modules and systems. Tellabs 1.38 14,040,000 Tellabs designs, manufactures and markets a broad range of products and equipment for use by telephone companies, the Bell System, specialized common carriers and other providers of telecommunication services. Micron Technology 1.28 13,020,000 Designs, manufactures and markets semiconductor memory components primarily used in various computer applications. Excludes short-term securities.
PAGE To our contract owners Special Income Fund picture of: Steven C. Merrell Portfolio manager From the portfolio manager A gradually improving bond market set the stage for a rebound by Special Income Fund during the first half of the fiscal year. As is always the case for bond portfolios, the key to performance during the six months was the interest-rate trend. In February 1994, the Federal Reserve began raising interest rates to temper economic growth and thereby head off a potential spike in the inflation rate. While the bulk of the interest-rate rise was over by summer, long-term rates didn't begin to stabilize until late in the year. Along the way, bond prices experienced a steep decline - an automatic result of higher interest rates. (Conversely, falling interest rates boost bond prices.) The lingering effect of higher rates was still troubling the bond market when the fund's fiscal year began last September, and the fund lost ground during the fall. Still, the fund held up better than some others, thanks in part to its holdings among low-grade bonds, which were less affected by the environment. The turnaround came in December. With inflation fears abating somewhat, long-term interest rates leveled off, allowing bonds to make modest progress. The forward momentum turned into a powerful rally during January and February that more than made up for the previous decline. The fund's performance was also aided by our decision to substantially reduce our cash reserves and put that money to work in long-term U.S. Treasury bonds. While we don't expect the bond market to maintain its remarkable early-year advance, we do look for a much better overall market than we had in 1994. As we enter the second half of the fiscal year, we have structured the portfolio with fewer low-grade bonds and more mortgage-backed and Treasury securities. In addition, we plan to continue our recent strategy of emphasizing longer-term issues. We believe these shifts will keep the fund in good position to benefit from the relatively positive investment environment we think lies ahead. Steven C. Merrell PAGE
Your fund's ten largest holdings Special Income Fund (Pie chart) The ten holdings listed here make up 22.65% of the fund's net assets Percent Value (of fund's net assets)(as of Feb. 28, 1995) _________________________________________________________________ _____________ FNMA 6.50% 2023 4.49% $66,223,069 U.S. Treasury Bond 8.125% 2019 3.59 52,891,495 U.S. Treasury Note 7.50% 2001 3.46 50,935,995 FNMA 9.00% 2005 2.42 35,636,432 U.S. Treasury Note 7.875% 1996 2.06 30,370,497 GNMA 6.00% 2024 1.43 21,092,994 U.S. Treasury Bond 7.50% 2016 1.35 19,827,598 GMAC 6.375% 1996 1.34 19,800,000 Hydro Quebec 8.50% 2029 1.33 19,650,000 GNMA 6.00% 2024 1.18 17,343,576 Excludes short-term securities.
PAGE To our contract owners Moneyshare Fund picture of: Terry Fettig Portfolio manager From the portfolio manager Ongoing economic growth fostered further increases in short-term interest rates during the first half of the fund's fiscal year (September 1994 through February 1995). Consistent with that trend, the fund's yield also increased. For the seven-day period ended February 28, 1995, the fund's compound annualized yield was 5.24%, and the simple annualized yield was 5.11%. The fund maintained a stable $1 per share price throughout the six-month period. (Although the fund seeks to maintain $1 per share price, there is no assurance that it will be able to do so. Also, an investment in the fund is neither insured nor guaranteed by the U.S. government.) The extended rise in short-term interest rates actually began in February 1994, when the Federal Reserve Board started raising rates to slow down the economy and, therefore, prevent a rapid increase in the inflation rate. (The Fed adjusts short-term rates based on the condition of the economy and the inflation outlook. When the economy is weak and inflation is low, the Fed usually lowers rates to stimulate the economy. When the economy is growing rapidly, the Fed usually pushes up short-term rates to moderate economic growth and keep inflation in check.) The Fed's efforts have led to higher rates of interest on the securities in which the fund invests and, ultimately, to a higher fund yield. As we enter the second half of the fiscal year, it appears that the Fed will maintain its inflation-fighting policy for at least the near term. If that proves true, short-term rates are likely to rise a bit more, again boosting the fund's yield. Given that forecast, we plan to stick with our recent approach of keeping the portfolio's average maturity level (the length of time before securities' principal payments are due) relatively short. As it has for some months, this strategy will allow us to quickly take advantage of higher-yielding securities should interest rates continue to rise. Terry Fettig PAGE To our contract owners Managed Fund picture of: Michael P. Ducar Portfolio manager picture of: Deborah L. Pederson Portfolio manager From the portfolio managers The threat of rising interest rates kept the stock and bond markets off balance throughout much of the first half of Managed Fund's fiscal year (September 1994 through February 1995). The investment environment improved later in the period, however, allowing the fund to make up nearly all the lost ground. Because of the detrimental effect of the higher-interest-rate trend that dominated almost all of 1994, both stocks and bonds remained in retreat when the period began last fall. (Higher interest rates automatically depress bond prices, and that condition usually spreads to stocks.) In fact, from September through November, the fund experienced a decline of approximately 4%. The turning point for the markets and the fund came in December, when long-term interest rates stabilized and, at times, even moved lower. That immediately helped bonds get back on their feet and began to rouse the slumping stock market. The positive momentum gained a little strength in January, then turned into a strong rally the following month. As always, we maintained a broad mix of stocks during the period. Overall, our holdings among technology, pharmaceutical and health care companies gave us the best returns. As the period progressed, we reduced our bond holdings and moved more money into stocks, a move which paid off especially well in February. At period-end, the portfolio had about 66% of its assets in stocks, 21% in bonds and 13% in cash reserves. While the markets will no doubt experience fluctuations in the months ahead, we expect a more favorable interest-rate environment to make 1995 a more productive year for both stocks and bonds. Michael P. Ducar Deborah L. Pederson PAGE
Your fund's ten largest holdings (continued) Managed Fund (Pie chart) The ten holdings listed here make up 13.41% of the fund's net assets Bonds Percent Value (of fund's net assets)(as of Feb. 28, 1995) _________________________________________________________________ _________________ U.S. Treasury Note 5.50% 1996 1.82% $47,847,751 U.S. Treasury Note 4.625% 1996 1.27 33,239,255 Common Stocks General Electric 2.41 63,106,250 A diversified company with interests in manufacturing, broadcasting (NBC), services and technology. Royal Dutch Petroleum 1.28 33,637,500 Royal Dutch Petroleum Co., which includes Royal Dutch (the Dutch version) and Shell Transport (the English version), is a major oil company. Intel 1.22 31,900,000 The world's number one semiconductor manufacturer, Intel produces microcomputer components, modules and systems. Travelers 1.22 31,877,500 Among the world's largest multi-line financial services companies, focusing on insurance, managed health care and investments. LIN Broadcasting 1.13 29,756,250 LIN Broadcasting Corp. engages in cellular telephone operations, television broadcasting, and specialty publishing. Columbia/HCA Healthcare 1.03 26,893,750 Columbia/HCA Healthcare has transformed itself from a small hospital management company to an operator of the largest hospital chain (more than 200), and a factor in most other parts of health care delivery through ownership or joint ventures. Amoco 1.02 26,662,500 Amoco Corp. is one of the major integrated domestic oil and gas companies known traditionally for its extensive petroleum marketing operations. United Technologies 1.01 26,550,000 United Technologies is a leading worldwide manufacturer of jet engines, helicopters, heating/air conditioning equipment, and elevators and escalators. Excludes short-term securities.
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Statements of assets and liabilities IDS Retirement Annuity Mutual Funds February 28, 1995 (Unaudited) Capital International Aggressive Resource Equity Growth Fund Fund Fund Assets ______________________________________________________________________ _____________________ Investments in securities, at value (Note 1): Investments in securities of unaffiliated issuers (identified cost, $3,035,262,294; $1,252,091,204 and $906,096,029 , respectively)$3,036,662,512$1,176,625,856 $1,032,830,241 Investments in securities of affiliated issuers (identified cost, $189,328,360 and $10,156,203 for Capital Resource Fund and International Equity Fund)191,090,93810,816,843 -- Receivable for investment securities sold41,766,3617,226,668 8,755,499 Dividends and accrued interest receivable5,459,277 2,887,079 149,025 Receivable for forward foreign currency contracts held, at value (Notes 1 and 4) -- 221,064,137 -- U.S. Government Securities held as collateral for securities loaned (Note 6) -- 43,975,359 -- Receivable (for capital stock sold) from: IDS Life Accounts 3,522,593 -- -- IDS Life of New York Accounts 164,888 -- -- ______________________________________________________________________ _____________________Total assets3,278,666,569 1,462,595,9421,041,734,765 ______________________________________________________________________ _____________________Liabilities ______________________________________________________________________ _____________________Cash overdraft 5,909,298 895,195 11,698,553 Dividends payable to separate accounts (Note 1) 9,808,801 -- 457,432 Payable for investment securities purchased32,176,9817,283,29813,126,246 Accrued investment management and services fee 1,565,225 806,806 489,584 Payable for forward foreign currency contracts held, at value (Notes 1 and 4) -- 223,484,696 -- Payable for securities loaned (Note 6)1,216,600 51,041,889 -- Payable (for capital stock redeemed) to: IDS Life Accounts -- 1,513,568 91,046 IDS Life of New York Accounts -- 57,614 47,441 Other accrued expenses 344,306 813,058 28,000 ______________________________________________________________________ _____________________Total liabilities51,021,211 285,896,124 25,938,302 ______________________________________________________________________ _____________________Net assets applicable to outstanding capital stock $3,227,645,358$1,176,699,818$1,015,796,463 ______________________________________________________________________ _____________________Represented by ______________________________________________________________________ _____________________Capital stock - authorized 10,000,000,000 shares for each fund of $.01 par value; outstanding, 133,735,457; 104,814,596 and 86,088,064 shares, respectively 1,337,355$ 1,048,146$ 860,881 Additional paid-in capital 2,909,007,848 1,249,998,375962,876,753 Undistributed (excess of distributions over) net investment income (25,730) 3,928,642 (7,402) Accumulated net realized gain (loss) on investments in securities 139,728,869 (1,092,300)(74,667,981) Unrealized appreciation (depreciation) of investments (Note 4) 177,597,016 (77,183,045)126,734,212 ______________________________________________________________________ _____________________Total - representing net assets applicable to outstanding capital stock $3,227,645,358$1,176,699,818$1,015,796,463 ______________________________________________________________________ _____________________Net asset value per share of outstanding capital stock $ 24.14$ 11.23 $ 11.80 ______________________________________________________________________ _____________________See accompanying notes to financial statements. Statements of assets and liabilities (continued) IDS Retirement Annuity Mutual Funds February 28, 1995 (Unaudited) Special Moneyshare Managed Income Fund Fund Fund Assets ______________________________________________________________________ _________________________ Investments in securities, at value (Note 1): Investments in securities of unaffiliated issuers (identified cost, $1,483,046,077; $194,540,558 and $2,519,052,187, respectively)$1,441,602,584$194,540,558 $2,663,507,119 Cash in bank on demand deposit -- 140,357 -- Receivable for investment securities sold41,779,054 -- 27,875,798 Dividends and accrued interest receivable25,264,432 54,029 12,515,220 Receivable for forward foreign currency contracts held, at value (Notes 1 and 4) 32,073,912 -- -- U.S. Government Securities held as collateral for securities loaned (Note 6) 50,526,523 -- 89,485,242 Receivable (for capital stock sold) from: IDS Life Accounts 7,727,726 631,224 11,496,358 IDS Life of New York Accounts 386,895 25,162 710,383 ______________________________________________________________________ _________________________ Total assets 1,599,361,126 195,391,3302,805,590,120 ______________________________________________________________________ _________________________ Liabilities ______________________________________________________________________ _________________________ Cash overdraft 2,431,532 -- 7,580,140 Dividends payable to separate accounts (Note 1) 9,217,873 805,035 17,688,279 Payable for investment securities purchased30,671,541 -- 30,801,675 Accrued investment management and services fee 712,581 79,991 1,275,636 Payable for forward foreign currency contracts held, at value (Notes 1 and 4) 32,111,480 -- -- Payable for securities loaned (Note 6)50,526,523 --126,411,942 Payable (for capital stock redeemed) to: IDS Life Accounts 26,780 24,832 -- IDS Life of New York Accounts -- 9,807 -- Other accrued expenses 84,168 52,799 464,033 ______________________________________________________________________ ________________________ Total liabilities 125,782,478 972,464184,221,705 ______________________________________________________________________ ________________________ Net assets applicable to outstanding capital stock$1,473,578,648$194,418,866 $2,621,368,415 ______________________________________________________________________ ________________________ Represented by ______________________________________________________________________ ________________________ Capital stock - authorized 10,000,000,000 shares for each fund of $.01 par value ($.001 for Managed Fund); outstanding, 135,343,261; 194,434,352 and 195,402,103 shares, respectively$ 1,353,433$ 1,944,343 $ 195,402 Additional paid-in capital 1,535,312,751 192,475,1872,527,861,363 Undistributed (excess of distributions over) net investment income (1,159,213) (127) 876,426 Accumulated net realized loss on investments in securities (19,176,292) (537)(52,029,876) Unrealized appreciation (depreciation) of investments (Notes 4 and 7) (42,752,031) --144,465,100 ______________________________________________________________________ _________________________ Total - representing net assets applicable to outstanding capital stock $1,473,578,648 $194,418,866$2,621,368,415 ______________________________________________________________________ _________________________ Net asset value per share of outstanding capital stock$ 10.89 $ 1.00$ 13.42 ______________________________________________________________________ __________________________ See accompanying notes to financial statements. Statements of operations IDS Retirement Annuity Mutual Funds Six months ended February 28, 1995 (Unaudited) Capital InternationalAggressive Resource Equity Growth Fund Fund Fund ______________________________________________________________________ _________________________ Income: Investment income Dividends (net of foreign taxes withheld of $73,955; $1,294,685 and $8,712, respectively)$ 23,076,364 $ 7,207,925$ 1,194,396 Interest 5,156,822 4,231,224 2,841,479 ______________________________________________________________________ __________________________ Total income 28,233,186 11,439,149 4,035,875 ______________________________________________________________________ __________________________ Expenses (Note 2): Investment management and services fee9,501,306 5,182,746 2,812,234 Custodial fees and expenses 159,587 984,338 20,359 Directors and officers compensation 50,164 18,893 9,217 Printing & postage 275,000 250,000 60,000 Audit fees 18,000 18,000 12,000 Registration fees 150,000 110,000 60,000 Other 14,323 12,338 4,111 ______________________________________________________________________ __________________________ Total expenses 10,168,380 6,576,315 2,977,921 ______________________________________________________________________ __________________________ Investment income - net 18,064,806 4,862,834 1,057,954 ______________________________________________________________________ __________________________ Realized and unrealized gain (loss) on investments - net ______________________________________________________________________ __________________________ Net realized gain (loss) on security transactions (including $267,342 and $149,509 realized gain on investments of affiliated issuers for Capital Resource Fund and International Equity Fund, respectively) (Note 3) 140,697,788 1,652,475(37,973,811) Net realized loss on foreign currency transactions (29,819)(2,744,775) -- Net realized gain on closed option contracts written -- -- -- ______________________________________________________________________ __________________________ Net realized gain (loss) on investments 140,667,969(1,092,300)(37,973,811) Net change in unrealized appreciation or depreciation of investments (including $13,814,372 and $234,678 net unrealized appreciation of affiliated issuers for Capital Resource Fund and International Equity Fund, respectively) (42,117,260) (165,948,160) 67,549,268 ______________________________________________________________________ __________________________ Net gain (loss) on investments 98,550,709 (167,040,460) 29,575,457 ______________________________________________________________________ __________________________ Net increase (decrease) in net assets resulting from operations $116,615,515$(162,177,626)$30,633,411 ______________________________________________________________________ __________________________ See accompanying notes to financial statements. Statements of operations IDS Retirement Annuity Mutual Funds Six months ended February 28, 1995 (Unaudited) Special Moneyshare Managed Income Fund Fund Fund ______________________________________________________________________ __________________________ Income: Investment income Dividends (net of foreign taxes withheld of $107,071 for Managed Fund) $ 759,227$ --$16,091,945 Interest 62,270,148 5,043,509 31,120,215 ______________________________________________________________________ __________________________ Total income 63,029,375 5,043,509 47,212,160 ______________________________________________________________________ __________________________ Expenses (Note 2): Investment management and services fee4,688,114 493,233 8,007,590 Custodial fees and expenses 55,041 5,195 163,734 Directors and officers compensation 22,129 2,120 52,889 Printing & postage 70,000 5,000 270,000 Audit fees 10,000 6,000 20,000 Registration fees 20,000 125 150,000 Other 3,104 460 14,487 ______________________________________________________________________ __________________________ Total expenses 4,868,388 512,133 8,678,700 ______________________________________________________________________ __________________________ Investment income - net 58,160,987 4,531,376 38,533,460 ______________________________________________________________________ __________________________ Realized and unrealized gain (loss) on investments - net ______________________________________________________________________ __________________________ Net realized gain (loss) on security transactions (Note3)(17,931,604)144 (48,147,498) Net realized loss on foreign currency transactions (237,186) -- -- Net realized gain on closed options contracts written164,437 -- -- Net realized gain (loss) on closed interest rate futures contracts 676,379 --(3,491,434) ______________________________________________________________________ __________________________ Net realized gain (loss) on investments(17,327,974) 144(51,638,932) Net change in unrealized appreciation or depreciation of investments (5,142,681) -- 10,077,498 ______________________________________________________________________ __________________________ Net gain (loss) on investments (22,470,655) 144(41,561,434) ______________________________________________________________________ __________________________ Net increase (decrease) in net assets resulting from operations $ 35,690,332 $4,531,520$(3,027,974) ______________________________________________________________________ __________________________ See accompanying notes to financial statements.
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Statements of changes in net assets IDS Retirement Annuity Mutual Funds Capital Resource Fund International Equity Fund Six months ended Year endedSix months endedYear ended 2/28/95 8/31/94 2/28/95 8/31/94 (Unaudited) (Unaudited) Operations and distributions ______________________________________________________________________ __________________________ Investment income - net $ 18,064,806$ 30,730,527$ 4,862,834 $ 7,630,484 Net realized gain (loss) on investments140,667,969 300,809,352 (1,092,300) 24,648,901 Net change in unrealized appreciation or depreciation of investments(42,117,260)(135,555,243)(165,948,160)63,468,345 ______________________________________________________________________ __________________________ Net increase (decrease) in net assets resulting from operations 116,615,515195,984,636 (162,177,626) 95,747,730 ______________________________________________________________________ __________________________ Distributions to shareholders from: Net investment income (18,000,004)(30,730,527) (2,496,050) (2,495,587) Net realized gain on investments(882,072)(300,690,606) --(24,648,901) Excess distributions of net investment income (Note 1) -- (14,735) -- -- Excess distributions of net realized gain (Note 1) -- -- (5,473,905) ______________________________________________________________________ __________________________ Total distributions (18,882,076)(331,435,868) (2,496,050)(32,618,393) ______________________________________________________________________ __________________________ Capital share transactions (Note 8) ______________________________________________________________________ __________________________ Proceeds from sales 228,469,144426,174,442 236,135,766 731,788,058 Reinvested distributions at net asset value18,882,076331,435,868 2,496,050 32,618,393 Payments for redemptions (16,881,752)(31,015,165) (8,551,043) (7,151,829) ______________________________________________________________________ __________________________ Increase in net assets from capital share transactions 230,469,468726,595,145 230,080,773 757,254,622 ______________________________________________________________________ ___________________________ Total increase in net assets328,202,907591,143,913 65,407,097 820,383,959 ______________________________________________________________________ ___________________________ Net assets at beginning of period2,899,442,4512,308,298,5381,1 11,292,721 290,908,762 ______________________________________________________________________ ___________________________ Net assets at end of period$3,227,645,358$2,899,442,451$1,176,699,818$1,111,292,721 ______________________________________________________________________ ___________________________ Undistributed (excess of distributions over) net investment income$ (25,730)$ (90,532) $ 3,928,642 $ 1,561,858 ______________________________________________________________________ ____________________ See accompanying notes to financial statements.
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Statements of changes in net assets IDS Retirement Annuity Mutual Funds Aggressive Growth Fund Special Income Fund Six months ended Year endedSix months endedYear ended 2/28/95 8/31/94 2/28/95 8/31/94 (Unaudited) (Unaudited) ______________________________________________________________________ _____________________ Operations and distributions Investment income - net$ 1,057,954$ 699,372$58,160,987$ 117,482,199 Net realized gain (loss) on investments(37,973,811)(31,561,811)(17,327,974) 20,195,502 Net change in unrealized appreciation or depreciation of investments67,549,268 16,989,673 (5,142,681)(163,872,465) ______________________________________________________________________ ___________________________ Net increase (decrease) in net assets resulting from operations 30,633,411(13,872,766) 35,690,332(26,194,764) ______________________________________________________________________ ___________________________ Distributions to shareholders from: Net investment income (1,057,488) (707,260) (57,920,343)(119,630,572) Net realized gain on investments -- -- (1,796,496)(2,399,451) Excess distributions of net investment income (Note 1) -- (7,868) --(1,451,679) ______________________________________________________________________ ___________________________ Total distributions (1,057,488) (715,128) (59,716,839)(123,481,702) ______________________________________________________________________ ___________________________ Capital share transactions (Note 8) ______________________________________________________________________ ___________________________ Proceeds from sales 227,355,002482,655,450 6,680,959200,309,350 Reinvested distributions at net asset value1,057,488 715,128 59,716,839 123,481,702 Payments for redemptions (4,841,650)(5,228,787)(127,709,646)(166,515,324) ______________________________________________________________________ ___________________________ Increase (decrease) in net assets from capital share transactions223,570,840478,141,791 (61,311,848)157,275,728 ______________________________________________________________________ ___________________________ Total increase (decrease) in net assets253,146,763463,553,897(85,338,355) 7,599,262 ______________________________________________________________________ ___________________________ Net assets at beginning of period762,649,700299,095,8031,558,917,0031,551,317,741 ______________________________________________________________________ ___________________________ Net assets at end of period$1,015,796,463$762,649,700$1,473,578,648$1,558,917,003 ______________________________________________________________________ ___________________________ Excess of distributions over net investment income$ (7,402)$ (7,868)$ (1,159,213) $ (1,399,857) ______________________________________________________________________ ___________________________ See accompanying notes to financial statements.
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Statements of changes in net assets IDS Retirement Annuity Mutual Funds Moneyshare Fund Managed Fund Six months ended Year endedSix months endedYear ended 2/28/95 8/31/94 2/28/95 8/31/94 (Unaudited) (Unaudited) ______________________________________________________________________ ___________________________ Operations and distributions Investment income - net $ 4,531,376 $5,413,679$ 38,533,460$75,979,672 Net realized gain (loss) on investments 144 (681)(51,638,932) 72,533,563 Net change in unrealized appreciation or depreciation of investments -- -- 10,077,498(113,344,204) ______________________________________________________________________ ___________________________ Net increase (decrease) in net assets resulting from operations 4,531,520 5,412,998 (3,027,974) 35,169,031 ______________________________________________________________________ ___________________________ Distributions to shareholders from: Net investment income (4,531,503)(5,413,679) (38,516,737)(75,894,536) Net realized gain on investments -- -- --(71,974,644) ______________________________________________________________________ ___________________________ Total distributions (4,531,503)(5,413,679) (38,516,737)(147,869,180) ______________________________________________________________________ ___________________________ Capital share transactions (Note 8) ______________________________________________________________________ ___________________________ Proceeds from sales 41,114,237 54,005,120 145,852,887629,387,611 Reinvested distributions at net asset value4,531,5035,413,679 38,516,737 147,869,180 Payments for redemptions (30,469,662)(59,822,520)(20,811,501)(23,003,414) ______________________________________________________________________ ___________________________ Increase (decrease) in net assets from capital share transactions 15,176,078 (403,721) 163,558,123754,253,377 ______________________________________________________________________ ___________________________ Total increase (decrease) in net assets15,176,095 (404,402)122,013,412 641,553,228 ______________________________________________________________________ ___________________________ Net assets at beginning of period179,242,771179,647,1732,499,355,0031,857,801,775 ______________________________________________________________________ ___________________________ Net assets at end of period$194,418,866$179,242,771$2,621,368,415$2,499,355,003 ______________________________________________________________________ ___________________________ Undistributed (excess of distributions over) net investment income$ (127)$ --$ 876,426 $ 859,703 ______________________________________________________________________ ___________________________ See accompanying notes to financial statements.
PAGE Notes to financial statements Retirement Annuity Mutual Funds (Unaudited as to Feb. 28, 1995) _________________________________________________________________ _____________1. Summary of significant accounting policies Each fund is registered under the Investment Company Act of 1940 as amended (the 1940 Act), as a diversified, open-end management investment company. Shares of each fund are sold through the purchase of an annuity contract offered by IDS Life Insurance Company (IDS Life) or its affiliates. The significant accounting policies followed by the funds are summarized as follows: Valuation of securities Securities traded on national securities exchanges or included in the NASDAQ National Market System are valued at the last quoted sales price at the close of each business day; securities traded over-the-counter but not included in the NASDAQ National Market System and securities for which a last quoted sales price is not readily available are valued at the mean of the bid and asked prices. Bonds and other securities are valued at fair value as determined by the board of directors when market quotations are not readily available. Determination of fair value involves, among other things, references to market indexes, matrixes and data from independent brokers. Short-term securities in Capital Resource Fund, International Equity Fund, Aggressive Growth Fund, Special Income Fund and Managed Fund maturing in more than 60 days from the valuation date are valued at the market price or approximate market value based on the current interest rates; those maturing in 60 days or less are valued at amortized cost. Pursuant to Rule 2a-7 of the 1940 Act, all securities in Moneyshare Fund are valued at amortized cost which approximates market value in order to maintain a constant net asset value of $1 per share. Option transactions In order to produce incremental earnings, protect gains, and facilitate buying and selling of securities for investment purposes, the funds may buy and sell put and call options and write covered call options on portfolio securities and write cash- secured puts. The risk in writing a call option is that the funds give up the opportunity for profit if the market price of the security increases. The risk in writing a put option is that the funds may incur a loss if the market price of the security decreases and the option is exercised. The risk in buying an option is that the funds pay a premium whether or not the option is exercised. The funds also have the additional risk of not being able to enter into a closing transaction if a liquid secondary market does not exist. The funds also may write over- the-counter options where the completion of the obligation is dependent upon the credit standing of the other party. Option contracts are valued daily and unrealized appreciation or depreciation is recorded. The funds will realize a gain or loss upon expiration or closing of the option transaction. When an option is exercised the proceeds on sales for a written call option, the purchase cost for a written put option or the cost of a security for a purchased put or call option is adjusted by the amount of premium received or paid. Futures transactions In order to gain exposure to or protect itself from changes in the market, the funds may buy and sell stock index and interest rate futures contracts. Risks of entering into futures contracts and related options include the possibility that there may be an illiquid market and a change in the value of the contract or option may not correlate with changes in the value of the underlying securities. Upon entering into a futures contract, the funds may be required to deposit either cash or securities in an amount (initial margin) equal to a certain percentage of the contract value. Subsequent payments (variation margin) are made or received by the funds each day. The variation margin payments are equal to the daily changes in the contract value and recorded as unrealized gains and losses. The funds recognize a realized gain or loss when the contract is closed or expires. Foreign currency translations and forward foreign currency contracts Securities and other assets and liabilities denominated in foreign currencies are translated daily into U.S. dollars at the closing rate of exchange. Foreign currency amounts related to the purchase or sale of securities, income and expenses are translated at the exchange rate on the transaction date. It is not practicable to identify that portion of realized and unrealized gain (loss) arising from changes in the exchange rates from the portion arising from changes in the market value of investments. The funds also may enter into forward foreign currency exchange contracts for operational purposes. The net U.S. dollar value of foreign currency underlying all contractual commitments held by the funds and the resulting unrealized appreciation or depreciation are determined using foreign currency exchange rates from an independent pricing service. The funds are subject to the credit risk that the other party will not complete the obligations of the contract. Illiquid securities At Feb. 28, 1995, investments in securities for Special Income Fund included issues that are illiquid. The Funds currently limit investments in illiquid securities to 10% (15% for Capital Resource Fund) of the net assets, at market value, at the time of purchase. The aggregate value of such securities at Feb. 28, 1995, was $12,068,518, which represents 0.8 percent of net assets for Special Income Fund. Pursuant to guidelines adopted by the board of directors, certain unregistered securities are determined to be liquid and are not included within the limitations specified above. Federal income taxes Since each fund intends to comply with the requirements of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income to the Variable Accounts, no provision for income or excise taxes is required. Each fund is treated as a separate entity for federal income tax purposes. Net investment income (loss) and net realized gains (losses) may differ for financial statement and tax purposes primarily because of the deferral of losses on certain futures contracts, the recognition of certain foreign currency gains (losses) as ordinary income (loss) for tax purposes, the timing and amount of market discount recognized as ordinary income, foreign tax credits and losses deferred due to "wash sale" transactions. The character of distributions made during the year from net investment income or net realized gains may differ from their ultimate characterization for federal income tax purposes. The effect on dividend distributions of certain book-to-tax differences is presented as "excess distributions" in the statement of changes in net assets. Also, due to the timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the year that the income or realized gains (losses) are recorded by the funds. Dividends At Feb. 28, 1995, dividends were declared of $.073 per share for Capital Resource Fund, $0 for International Equity Fund, $.005 for Aggressive Growth Fund, $.069 for Special Income Fund, $.004 for Moneyshare Fund and $.091 for Managed Fund payable March 2, 1995. Distributions to the Variable Accounts are recorded as of the close of business on the record date and are payable on the first business day following the record date. Dividends from net investment income are declared daily and paid monthly for Special Income Fund and Moneyshare Fund and declared and paid quarterly for Capital Resource Fund, International Equity Fund, Aggressive Growth Fund, and Managed Fund. Capital gain distributions (if any) will be made annually. However, an additional capital gain distribution may be made during the fiscal year in order to comply with the Internal Revenue Code, as applicable to regulated investment companies. Other Security transactions are accounted for on the date the securities are purchased or sold. Dividend income is recognized on the ex-dividend date and interest income, including amortization of premium and discount on a level yield basis, is accrued daily. _________________________________________________________________ _____________ 2. Investment management and services agreement Under the terms of an agreement effective Nov. 13, 1991, (Jan. 9, 1992 for International Equity Fund and Aggressive Growth Fund), the fee paid to IDS Life for investment management and services for Capital Resource Fund, International Equity Fund, Aggressive Growth Fund, Special Income Fund and Managed Fund is computed in two parts. The first part is a graduated group asset charge based on the combined net assets of all non-money market funds in the IDS MUTUAL FUND GROUP. It is equal on an annual basis to 0.46 percent on the first $5 billion of daily net assets and scaling down thereafter in reduced percentages of each succeeding billion to 0.32 percent on all net assets in excess of $50 billion. The daily group asset charge equals the daily rate multiplied by that Fund's net assets for that day. The second part is based on the average daily net assets of each Fund and is equal to 0.25 percent of its daily net assets on an annual basis, except International Equity Fund. International Equity Fund's individual asset charge is equal to 0.50 percent annually of its daily net assets. Both parts of the fee are payable monthly. Under the terms of an agreement effective Oct. 14, 1988, the investment management and services fee for Moneyshare Fund will be paid to IDS Life monthly. The fee is computed on a graduated fee scale equal on an annual basis to 0.54 percent of the first $1 billion of average daily net assets and scaling down thereafter in reduced percentages of each succeeding $500 million to 0.46 percent of all average daily net assets in excess of $2.5 billion. Effective March 1995, the funds entered into a new agreement with IDS Life for managing investments, recordkeeping and other services which are based solely on the assets of each fund, not on the assets of the GROUP. The management fee is a percentage of each fund's average daily net assets in reducing percentages from 0.63% to 0.57% annually for Capital Resource, 0.87% to 0.795% for International Equity, 0.65% to 0.575% for Aggressive Growth, 0.61% to 0.535% for Special Income, 0.51% to 0.44% for Moneyshare, and 0.63% to 0.55% for Managed. IDS Life, in turn, pays to IDS Financial Corporation a fee based on a percentage of each Fund's average daily net assets for the year. This fee is equal to 0.50 percent for International Equity Fund and 0.25 percent for each remaining fund. In addition to paying its own management fee, brokerage commissions, taxes, and costs of certain legal services, each fund will reimburse IDS Life an amount equal to the cost of certain expenses incurred and paid by IDS Life in connection with each fund's operations. The reimbursement paid by Moneyshare Fund will be limited to 0.25 percent of the fund's average daily net assets. Also effective March 1995, the funds entered into an administrative and accounting agreement with American Express Financial Corporation. The administration and accounting agreement is a percentage of each fund's average daily net assets in reducing percentages from 0.05% to 0.03% annually for Capital Resource, 0.06% to 0.035% for International Equity, 0.06% to 0.035% for Aggressive Growth, 0.05% to 0.025% for Special Income, 0.03% to 0.02% for Moneyshare, and 0.04% to 0.02% for Managed. The funds have a retirement plan for its independent directors. Upon retirement directors receive monthly payments equal to one- half of the retainer fee for as many months as they served as a director up to 120 months. There are no death benefits. The plan is not funded but the fund recognizes the cost of payments during the time the directors serve on the Board. The retirement plan expense for the six months ended Feb. 28, 1995 amounted to $14,574 for Capital Resource Fund, $1,569 for International Equity Fund, $387 for Aggressive Growth Fund, $8,855 for Special Income Fund, $0 for Moneyshare Fund and $9,910 for Managed Fund. _________________________________________________________________ _____________ 3. Securities transactions For the six months ended Feb. 28, 1995, cost of purchases and proceeds from sales of securities aggregated, respectively, $770,729,806 and $755,515,451 for Moneyshare Fund; cost of purchases and proceeds from sales of securities (other than short- term obligations) aggregated, respectively, $1,267,845,213 and $1,001,805,566 for Capital Resource Fund; $397,266,372 and $182,937,336 for International Equity Fund; $503,204,911 and $386,030,927 for Aggressive Growth Fund; $306,936,223 and $413,954,426 for Special Income Fund; $1,154,154,815 and $1,032,213,335 for Managed Fund. Net realized gains (losses) on investment sales are determined on the basis of identified costs. Brokerage commissions paid to brokers affiliated with IDS Life were $505,614 for Capital Resource Fund, $112,339 for Aggressive Growth Fund and $149,090 for Managed Fund for the six months ended Feb. 28, 1995. _________________________________________________________________ _____________4. Forward foreign currency contracts At Feb. 28, 1995, International Equity Fund and Special Income Fund had entered into forward foreign currency exchange contracts that obligate the funds to deliver currencies at specified future dates. The unrealized appreciation or depreciation of the contracts is reflected in the accompanying financial statements. The terms of the open contracts are as follows:
International Equity Fund _________________________________________________________________ _____________ U.S.dollar value U.S. dollar value Currency toas of Currency to as of Exchange datebe deliveredFeb. 28, 1995 be received Feb. 28,1995 _____________________________________________________________________ _________ March 1, 1995 4,962,296$ 4,962,296 639,461,266$ 5,002,631 U.S. Dollar Spanish Peseta March 2, 1995 21,055,650 3,257,094 3,247,574 3,247,574 Norwegian Krona U.S. Dollar March 7, 1995 649,552 649,552 410,511 649,901 U.S. Dollar British Pound March 31, 199511,906,267 2,321,498 2,314,031 2,314,031 French Franc U.S. Dollar March 31, 1995210,924,00027,282,711 27,000,000 27,000,000 Hong Kong Dollar U.S. Dollar March 31, 19955,539,240,00057,532,332 56,000,000 56,000,000 Japanese Yen U.S. Dollar May 16, 1995 9,531,450 8,974,746 8,850,000 8,850,000 Argentine Peso U.S. Dollar Nov. 30, 199511,090,820,000118,504,467118,000,000118,000,000 Japanese Yen U.S. Dollar ___________ ___________ $223,484,696 $221,064,137 _________________________________________________________________ _____________
Special Income Fund _________________________________________________________________ _____________ U.S.dollar value U.S. dollar value Currency toas of Currency to as of Exchange datebe deliveredFeb. 28, 1995 be received Feb. 28, 1995 _________________________________________________________________ _____________ March 10, 19952,039,004,443$21,113,17121,084,134$21,084,134 Japanese Yen U.S. Dollar March 2, 19952,999,999 2,999,999 17,819,994 2,982,426 U.S. Dollar Mexican Peso March 6, 19954,108,818 4,108,818 2,593,951 4,106,613 U.S. Dollar British Pound March 6, 19953,889,492 3,889,492 6,502,531,250 3,900,739 U.S. Dollar Italian Lira ___________ ___________ $32,111,480 $32,073,912 _________________________________________________________________ __________
_________________________________________________________________ __________ 5. Options contracts written The number of contracts and premium amounts associated with option contracts written by Special Income Fund during the period ended Feb. 28, 1995 is as follows:
Puts Contracts Premium _________________________________________________________________ ____ Balance Aug. 31, 1994 --$ -- _________________________________________________________________ ____ Opened 450 164,437 Closed or expired (200) (80,250) Exercised (250) (84,187) _________________________________________________________________ ____ Balance Feb. 28, 1995 -- $ -- _________________________________________________________________ ____
_________________________________________________________________ ____ 6. Lending of portfolio securities Presented below is information regarding securities on loan at Feb. 28, 1995.
Capital International Special ResourceEquity Income Managed ___________________________________________________________________________ _________ Value of securities on loan to brokers$1,281,975$47,357,968$50,935,500 $120,249,463 ___________________________________________________________________________ _________ Collateral received for securities loaned: Cash $1,216,600$ 7,066,530$ -- 3 5,596,000 U.S. Government Securities, at value -- 43,975,359 50,526,523 88,397,723 ___________________________________________________________________________ _________ Total collateral received for securities loaned $1,216,600$51,041,889$50,526,523$123,993,723 ___________________________________________________________________________ _________
For the six months ended Feb. 28, 1995, income from security lending transactions amounted to $58,862, $226,560, $29,180 and $173,044 for Capital Resource Fund, International Equity Fund, Special Income Fund and Managed Fund, respectively, and has been included with interest income in the statement of operations. The risks related to security lending transactions are the borrower may not provide additional collateral when required or return the securities when due. _________________________________________________________________ _____________ 7. Interest rate futures contracts The funds pledge securities or cash as collateral when making initial deposits on future contracts. On Feb. 28, 1995, information about the funds' open futures contracts is as follows:
Collateral pledged to Market Long (L) Type of cover intitial value Net or contract and Number of margin of open unrealized Short (S) maturity contracts deposit contracts loss ________________________________________________________________________________ _________ Special Income S U.S. Treasury Fund March 1995 T-Bond 200 $2,114,000$20,794,000$(1,203,125) ________________________________________________________________________________ _________
_________________________________________________________________ _____________ 8. Capital share transactions Transactions in shares of each Fund for the six months ended Feb. 28, 1995 and the year ended Aug. 31, 1994 were as follows:
Number of shares: Six months ended Feb. 28, 1995 _____________________________________________________________________________________ ___________________ CapitalInternationalAggressiveSpecial Resource Equity Growth Income Moneyshare Managed _____________________________________________________________________________________ ___________________ Shares at beginning of period123,760,19586,049,71566,571,368141,040,088 179,257,043 183,064,969 Sold 9,890,02119,298,17219,844,975618,63441,117,67410,989,280 Issued for reinvested distributions 809,825 220,715 91,2615,553,6684,531,8782,930,665 Redeemed (724,584)(754,006)(419,540)(11,869,129)(30,472,243)(1,582,811) _____________________________________________________________________________________ ___________________ Net increase (decrease)9,975,26218,764,88119,516,696(5,696,827)15,177,309 12,337,134 _____________________________________________________________________________________ ___________________ Shares at end of period133,735,457104,814,59686,088,064135,343,261194,434,352 195,402,103 _____________________________________________________________________________________ ___________________ Number of shares: Year ended Aug. 31, 1994 _____________________________________________________________________________________ ___________________ CapitalInternationalAggressiveSpecial Resource Equity Growth Income Moneyshare Managed _____________________________________________________________________________________ ___________________ Shares at beginning of year93,921,90325,082,64425,614,230128,401,403179,660,778 129,702,882 Sold 17,017,81458,988,54241,343,09216,667,63654,009,53044,299,470 Issued for reinvested distributions 14,130,7432,534,743 61,19910,704,8575,414,11210,732,030 Redeemed (1,310,265)(556,214) (447,153)(14,733,808)(59,827,377)(1,669,413) _____________________________________________________________________________________ ___________________ Net increase (decrease)29,838,29260,967,07140,957,13812,638,685(403,735) 53,362,087 _____________________________________________________________________________________ ___________________ Shares at end of year123,760,19586,049,71566,571,368141,040,088179,257,043 183,064,969 _____________________________________________________________________________________ ___
_________________________________________________________________ _________ 9. Tax loss carryforward For federal income tax purposes, Aggressive Growth Fund had a capital loss carryover at Aug. 31, 1994 of $34,506,813, which, if not offset by subsequent capital gains, will expire in 2001 through 2003. It is unlikely the board of directors will authorize a distribution of any net realized gain for a Fund until its capital loss carryover has been offset or expires. _________________________________________________________________ _____ PAGE Capital Resource Fund Financial highlights 10. Financial highlights The tables below show certain important information for evaluating each fund's results.
The tables below show certain important financial information for evaluating each fund's result. Fiscal year ended August 31, Per share income and capital changes* 1995** 1994 1993 1992 1991 1990 Net asset value, beginning of period$23.43$24.58 $23.90$23.15 $17.54 $20.17 ____________________________________________________________________ ______________Income (loss) from investment operations: Net investment income .14 .29 .23 .21 .40 .52 Net gains (losses) on securities (both realized and unrealized) .72 1.56 1.89 1.75 6.61(2.06) ____________________________________________________________________ ______________Total from investment operations.86 1.85 2.12 1.96 7.01 (1.54) ____________________________________________________________________ ______________Less distributions: Dividends from net investment income(.14) (.29) (.23) (.21) (.40) (.52) Distributions from realized gains (.01) (2.71) (1.21)(1.00) (1.00) (.57) ____________________________________________________________________ ______________Total distributions (.15) (3.00) (1.44) (1.21) (1.40) (1.09) ____________________________________________________________________ ______________Net asset value, end of period$24.14$23.43$24.58 $23.90 $23.15 $17.54 ____________________________________________________________________ ______________ Ratios/supplemental data 1995** 1994 1993 1992 1991 1990 Net assets, end of period (in millions) $3,228 $2,899 $2,308 $1,681 $1,191 $702 Ratio of expenses to average daily net assets .68%# .68% .68% .70% .70% .70% Ratio of net income to average daily net assets 1.21%# 1.20% 0.94% 0.91% 1.94% 2.69% Portfolio turnover rate (excluding short-term securities) 35% 85% 65% 63% 74% 82% ____________________________________________________________________ ______________Total Return***3.67%##7.61% 8.87% 8.54% 40.68% (7.79)% ____________________________________________________________________ ______________*For a share outstanding throughout the year. Rounded to the nearest cent. **Six months ended Feb. 28, 1995 (Unaudited). ***Total return does not reflect payment of the expenses that apply to the variable accounts or any annuity charges. #Adjusted to an annual basis. ##For the fiscal period ended Feb. 28, 1995, the annualized total return is 7.34%.
PAGE International Equity fund Financial highlights
Fiscal year ended August 31, Per share income and capital changes* 1995*** 1994 1993 1992** Net asset value, beginning of period$12.91$11.60 $10.01 $10.00 _________________________________________________________________ _____________Income from investment operations: Net investment income .03 .14 .15 .05 Net gains on securities (both realized and unrealized) (1.68) 1.61 1.81 .01 _________________________________________________________________ _____________Total from investment operations(1.65) 1.75 1.96 .06 _________________________________________________________________ _____________Less distributions: Dividends from net investment income(.03) (.08) (.15) (.05) Distributions from realized gains - (.29) (.22) - Excess distributions from realized gains - (.07) - - _________________________________________________________________ _____________Total distributions (.03) (.44) (.37) (.05) _________________________________________________________________ _____________Net asset value, end of period$11.23 $12.91 $11.60 $10.01 _________________________________________________________________ _____________ Ratios/supplemental data 1995*** 1994 1993 1992** Net assets, end of period (in millions) $1,177 $1,111 $291 $39 _________________________________________________________________ _____________Ratio of expenses to average daily net assets 1.12%# .98%1.10%1.57%# Ratio of net income to average daily net assets .83%# 1.09%1.37% 0.93%# Portfolio turnover rate (excluding short-term securities) 18% 51% 62% 22% _________________________________________________________________ _____________Total Return### (12.78)%+ 15.11% 19.76% 0.55%## ______________________________________________________________________________ *For a share outstanding throughout the period. Rounded to the nearest cent. **Commencement of operations. Period from Jan. 13, 1992 to Aug. 31, 1992. ***Six months ended Feb. 28, 1995 (Unaudited). #Adjusted to an annual basis. ##For the period from Jan. 13, 1992 to Aug. 31, 1992, the annualized total return is 0.87%. ###Total return does not reflect payment of the expenses that apply to the variable accounts or any annuity charges. +For the fiscal period ended Feb. 28, 1995, the annualized total return is (25.56) %.
PAGE Aggressive Growth Fund Financial highlights
Fiscal year ended August 31, Per share income and capital changes* 1995*** 1994 1993 1992** Net asset value, beginning of period$11.46$11.68 $9.00 $10.00 _________________________________________________________________ _____________Income (loss) from investment operations: Net investment income .01 .01 .02 .02 Net gains (losses) on securities (both realized and unrealized) .34 (.22) 2.68 (1.00) _________________________________________________________________ _____________Total from investment operations.35 (.21) 2.70 (0.98) _________________________________________________________________ _____________Less distributions: Dividends from net investment income(.01) (.01) (.02) (.02) _________________________________________________________________ _____________Net asset value, end of period$11.80 $11.46 $11.68 $9.00 _________________________________________________________________ _____________ Ratios/supplemental data 1995*** 1994 1993 1992** Net assets, end of period (in millions)$1,016$763 $299 $57 _________________________________________________________________ _____________Ratio of expenses to average daily net assets .68%# .69% .75% .98%# Ratio of net income to average daily net assets 0.24%# 0.14% 0.28% 0.21%# Portfolio turnover rate (excluding short-term securities) 49% 59% 55% 28% _________________________________________________________________ _____________Total Return### 3.05%+(1.77)% 29.98%(9.76)%## _________________________________________________________________ _____________*For a share outstanding throughout the period. Rounded to the nearest cent. **Commencement of operations. Period from Jan. 13, 1992 to Aug. 31, 1992. ***Six months ended Feb. 28, 1995 (Unaudited). #Adjusted to an annual basis. ##For the period from Jan. 13, 1992 to Aug. 31, 1992, the annualized total return is (14.98)%. ###Total return does not reflect payment of the expenses that apply to the variable accounts or any annuity charges. +For the fiscal period ended Feb. 28, 1995, the annualized total return is 6.10%.
PAGE Special Income Fund Financial highlights
Fiscal year ended August 31, Per share income and capital changes* 1995** 1994 1993 1992 1991 1990 Net asset value, beginning of period$11.05$12.08 $11.26$10.72 $10.10 $11.11 ____________________________________________________________________ ______________Income (loss) from investment operations: Net investment income .42 .84 .85 .90 .97 .99 Net gains (losses) on securities (both realized and unrealized) (.15) (.99) .82 .54 .62 (1.01) ____________________________________________________________________ ______________Total from investment operations.27 (.15) 1.67 1.44 1.59 (.02) ____________________________________________________________________ ______________Less distributions: Dividends from net investment income(.42) (.85) (.85) (.90) (.97) (.99) Distributions from realized gains (.01) (.02) - - - - Excess distributions from net investment income - (.01) - - - - ____________________________________________________________________ ______________Total distributions (.43) (.88) (.85) (.90) (.97) (.99) ____________________________________________________________________ ______________Net asset value, end of period$10.89$11.05$12.08 $11.26 $10.72 $10.10 ____________________________________________________________________ ______________Ratios/supplemental data 1995** 1994 1993 1992 1991 1990 Net assets, end of period (in millions) $1,474 $1,559 $1,551 $1,136 $800 $641 Ratio of expenses to average daily net assets .66%# .67% .69% .71% .70% .71% Ratio of net income to average daily net assets 7.92%# 7.20% 7.41% 8.22% 9.31% 9.42% Portfolio turnover rate (excluding short-term securities) 22% 57% 77% 92% 97% 118% ____________________________________________________________________ ______________Total Return*** 2.44%##(1.30)% 15.47% 13.96% 16.54% (0.12)% ____________________________________________________________________ ______________*For a share outstanding thourghout the period. Rounded to the nearest cent. **Six months ended Feb. 28, 1995 (Unaudited). ***Total return does not reflect payment of the expenses that apply to the variable accounts or any annuity charges. #Adjusted to an annual basis. ##For the fiscal period ended Feb. 28, 1995, the annualized total return is 4.88%.
PAGE Moneyshare Fund Financial highlights
Fiscal year ended August 31, Per share income and capital changes* 1995** 1994 1993 1992 1991 1990 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 .02 .03 .03 .04 .07 .08 ____________________________________________________________________ ______________Total from investment operations .02 .03 .03 .04 .07 .08 ____________________________________________________________________ ______________Less distributions: Dividends from net investment income (.02) (.03) (.03) (.04) (.07) (.08) ____________________________________________________________________ ______________Net asset value, end of period$1.00 $1.00 $1.00 $1.00 $1.00 $1.00 ____________________________________________________________________ ______________ Ratios/supplemental data 1995** 1994 1993 1992 1991 1990 Net assets, end of period (in millions) $194 $179 $180 $246 $285 $274 ____________________________________________________________________ ______________Ratio of expenses to average daily net assets .56%# .57% .60% .60% .57% .62% ____________________________________________________________________ ______________Ratio of net income to average daily net assets 4.92%# 3.12% 2.67% 3.93% 6.55% 7.85% ____________________________________________________________________ ______________Total Return***2.10%##3.15% 2.73% 3.98% 6.77% 8.18% ____________________________________________________________________ ______________*For a share outstanding throughout the year. Rounded to the nearest cent. **Six months ended Feb. 28, 1995 (Unaudited). ***Total return does not reflect payment of the expenses that apply to the variable accounts or any annuity charges. #Adjusted to an annual basis. ##For the fiscal period ended Feb. 28, 1995, the annualiezed total return is 4.20%.
PAGE Managed Fund Financial highlights
Fiscal year ended August 31, Per share income and capital changes* 1995** 1994 1993 1992 1991 1990 Net asset value, beginning of period$13.65$14.32 $13.08$12.59 $10.93 $12.08 ____________________________________________________________________ ______________Income (loss) from investment operations: Net investment income .20 .47 .49 .56 .58 .65 Net gains(losses) on securities (both realized and unrealized) (.23) (.26) 1.60 .95 2.11(.67) ____________________________________________________________________ __________________________ Total from investment operations (.03) .21 2.09 1.51 2.69 (.02) ____________________________________________________________________ ______________Less distributions: Dividends from net investment income(.20) (.47) (.49) (.56) (.58) (.65) Distributions from net realized gains -- (.41) (.36) (.46) (.45) (.48) ____________________________________________________________________ ______________Total distributions (.20) (.88) (.85) (1.02) (1.03) (1.13) ____________________________________________________________________ ______________Net asset value, end of period$13.42$13.65$14.32$13.08 $12.59 $10.93 ____________________________________________________________________ ______________ Ratios/supplemental data 1995** 1994 1993 1992 1991 1990 Net assets, end of period (in millions)$2,621$2,499$1,858$1,169 $810 $545 Ratio of expenses to average daily net assets .69%# .68% .69% .71% .70% .71% Ratio of net income to average daily net assets 3.07%# 3.46% 3.70% 4.35% 4.86% 5.42% Portfolio turnover rate (excluding short-term securities) 174% 79% 58% 50% 52% 37% ____________________________________________________________________ ______________Total Return***(0.22)%##1.51%16.33%12.14% 25.24% (0.23)% ____________________________________________________________________ ______________*For a share outstanding throughout the period. Rounded to the nearest cent. **Six months ended Feb. 28, 1995 (Unaudited). ***Total return does not reflect payment of the expenses that apply to the variable accounts or any annuity charges. #Adjusted to an annual basis. ##For the fiscal period ended Feb. 28, 1995, the annualized total return is (0.44)%.
PAGE Investments in securities Retirement Annuity Mutual Funds (Percentages represent value of February 28, 1995 (Unaudited)investments compared to total net assets) Capital Resource Fund
Investment in securities of unaffiliated issuers Bonds (3.3%) Issuer Principal Value(a) Amount _________________________________________________________________ _____________ Airlines(0.3%) AMR 6.125% 2024 $12,000,000 $10,890,000 _________________________________________________________________ _____________Building Materials (0.3%) Cemex 4.25% Cv 1997 15,000,000(e) 9,450,000 _________________________________________________________________ _____________Foreign (0.7%) Henderson Land (U.S. Dollar) 4.00% Cv 1996 12,000,000(e) 11,640,000 Rogers Communication (U.S. Dollar) Zero Coupon Cv with attached put 5.49% 2013 30,000,000(g) 9,900,000 Total 21,540,000 ________________________________________________________________________________________ _________ Health care services (0.5%) Service Corp Int'l 6.50% Cv 2001 12,000,000 16,440,000 _________________________________________________________________ _____________Insurance (0.3%) USF&G Zero Coupon Cv 4.55% 2009 21,200,000(g) 10,176,000 _________________________________________________________________ _____________Media (0.4%) Comcast 1.125% Cv 2007 29,800,000 12,367,000 _________________________________________________________________ _____________Retail (0.8%) Waban 6.50% Cv 2002 25,000,000 24,125,000 _________________________________________________________________ _____________Total bonds (Cost: $115,310,712) 104,988,000 ________________________________________________________________________________________ _________
Common & preferred stocks & warrants (88.7%) Issuer Shares Value(a) _________________________________________________________________ _____________ Aerospace & defense (0.4%) Sundstrand 300,000 13,725,000 _________________________________________________________________ _____________Airlines (0.6%) Southwest Airlines 1,075,000 18,946,875 _________________________________________________________________ _____________Automotive & related (0.9%) Goodyear 810,000 29,868,750 _________________________________________________________________ _____________Banks and savings & loans (1.8%) BankAmerica 700,000 33,687,500 First Chicago 350,000 17,718,750 First Chicago $5.50 Cv Pfd 465,000 6,858,750 Total 58,265,000 _________________________________________________________________ _____________Beverages & tobacco (5.9%) American Brands 275,000 10,278,125 PepsiCo 300,000 11,737,500 Philip Morris 1,070,000 65,002,500 RJR Nabisco 7,400,000 41,625,000 UST 2,100,000 62,475,000 Total 191,118,125 _________________________________________________________________ _____________Building materials (0.7%) Martin Marietta 400,000 7,450,000 Sherwin Williams 425,000 14,290,625 Total 21,740,625 ________________________________________________________________________________________ ____ Chemicals (0.6%) Sigma-Aldrich 525,000 19,162,500 _________________________________________________________________ _____________Computers & office equipment (7.4%) Automatic Data Processing 570,000 35,055,000 BISYS Group 490,000(b) 9,432,500 Banyan Systems 730,900(b) 12,516,663 Ceridian 325,000 10,237,500 Ceridian $2.75 Cv Pfd 238,500 17,410,500 Cisco Systems 300,000(b) 10,125,000 Compaq Computer 550,000(b) 18,975,000 Fiserv 500,000(b) 13,125,000 Hewlett Packard 180,000 20,700,000 Pitney Bowes 1,350,000 47,925,000 Policy Mgmt Systems 450,000(b) 20,306,250 Reynolds & Reynolds 680,000 18,785,000 Transaction System 200,000(b) 3,575,000 Total 238,168,413 _________________________________________________________________ _____________Electronics (0.9%) Premier Industrial 483,300 11,538,788 Vishay Intertechnology 300,000(b) 16,200,000 Total 27,738,788 _________________________________________________________________ _____________Energy (1.0%) Exxon 310,000 19,840,000 Newfield Exploration 200,000(b) 3,900,000 Snyder Oil $6.00 Cv Pfd 350,000 7,000,000 Total 30,740,000 _________________________________________________________________ _____________Financial services (10.7%) Block (H&R) 910,000 34,238,750 Copart 325,000(b) 6,134,375 Countrywide Credit 875,000 14,218,750 Envoy 245,000(b) 5,635,000 Federal National Mortgage 200,000 15,425,000 Insurance Auto Auctions 175,000 (b) 5,512,500 MGIC Investment 875,000 33,359,375 Mercury Finance 780,000 12,480,000 Mutual Risk Management 350,000 10,150,000 Northern Trust 1,600,000 54,400,000 RFS Hotel Investors 400,000 5,800,000 Salomon Elk $7.25 Cv Pfd 100,000 3,937,500 SBH/AM $3.185 Cv Pfd 210,000 12,022,500 State Street Boston 2,050,000 65,343,750 SLMA Non/Vtg 163,900 6,043,813 Student Loan 300,000 7,125,000 Travelers 1,400,000 54,425,000 Total 346,251,313 _________________________________________________________________ _____________Food (2.5%) Pioneer Hi-Bred 700,000 23,625,000 Quaker Oats 400,000 13,050,000 Ralcorp Holdings 300,000(b) 7,575,000 Sysco 500,000 14,187,500 Tootsie Roll 319,059 21,376,953 Total 79,814,453 _________________________________________________________________ _____________Foreign (7.1%) Archer Resource 400,000(b) 2,726,960 Arjo 800,000 (b,e) 13,963,200 Arnoldo Mondadori 450,000 2,877,300 Astra 800,000(b) 20,181,600 Banca Pop Bergano 300,000 3,815,100 Celsius Industries 1,100,000(b) 24,373,800 Childrens Discovery 200,000 3,075,000 Danka Business Systems 300,000 6,750,000 Femsa Coke 830,000(b,f) 12,450,000 Fulcrum 325,000 6,296,875 G-Casa Autrey 665,000 6,816,250 Henkel 45,000 17,413,335 Loewen Group 200,000 5,575,000 Loewen Group Private 100,000(b) 2,771,800 News Corp Ltd ADR 520,000 9,425,000 News Corp Ltd ADR Pfd 260,000(b) 4,192,500 Petroleum Geo Serv 375,000 8,414,062 Renaissance Energy 125,000(b) 2,489,237 Repsol S. A. 200,000 5,725,000 Rogers Communications 1,050,000(b) 13,092,030 Royal Dutch Petroleum 110,000 12,333,750 Tamro Yhtymae 1,500,000(b) 7,677,000 Telefonos de Mexico 575,000 15,884,375 Vaisala 94,500 3,575,124 Vodafone Group ADR 300,000 9,150,000 YPF 400,000 7,600,000 Total 228,644,298 _________________________________________________________________ _____________Health care (6.8%) Biogen 320,000(b) 13,200,000 Boston Scientific 400,000 (b,f) 8,650,000 Bristol-Myers Squibb 285,000 17,670,000 Centocor 525,000(b) 10,007,812 Cima Labs 250,000(b) 1,296,875 Genentech 250,000(b) 12,562,500 Guidant 270,000(b) 4,860,000 Lilly (Eli) 108,000 7,236,000 Medtronic 279,000 16,740,000 Merck 415,000 17,585,625 Mylan Labs 480,000 15,000,000 Pfizer 190,000 15,722,500 Stryker 1,090,000 47,415,000 Systemed 260,000(b) 1,917,500 Ventritex 275,000(b) 5,775,000 Warner Lambert 300,000 22,912,500 Xoma Warrants 4,142(b) 217 Total 218,551,529 _________________________________________________________________ _____________Health care services (5.4%) Beverly Enterprises 750,000(b) 9,750,000 Cardinal Health 880,000 43,560,000 Caremark Int'l 1,000,000 17,500,000 Charter Medical 150,000(b) 2,756,250 Community Psych Centers 1,600,000(b) 18,600,000 Coram Healthcare 275,000(b) 6,462,500 Gulf South Medical 310,000(b) 12,245,000 Health Management Systems 160,000(b) 5,800,000 Hillhaven 200,000(b) 4,825,000 Omnicare 151,000 7,342,375 Regency Health 750,000(b) 10,687,500 Service Corp Int'l 470,000 13,218,750 Stewart Enterprises 800,000 21,400,000 Total 174,147,375 _________________________________________________________________ _____________Household products (1.5%) Dial 300,000 7,500,000 Newell 1,000,000 23,875,000 Playtex Products 300,000(b) 2,287,500 Tambrands 375,000 16,218,750 Total 49,881,250 _________________________________________________________________ _____________Industrial machines & services (4.8%) Browning Ferris 315,000 9,804,375 Caterpillar 140,000 7,227,500 Deere & Company 410,000 31,416,250 General Signal 650,000 23,318,750 Giddings & Lewis 800,000 13,600,000 Greenfields 200,000 5,150,000 Illinois Tool Works 325,000 14,584,375 Nordson 240,000 13,380,000 Stewart & Stevenson 450,000 14,850,000 WMX Technologies 875,000 23,078,125 Total 156,409,375 _________________________________________________________________ _____________Industrial transportation (2.6%) Arnold Industries 400,000 7,700,000 Burlington Northern 200,000 11,200,000 Conrail 200,000 11,050,000 Union Pacific 1,060,000 55,385,000 Total 85,335,000 _________________________________________________________________ _____________Insurance (4.0%) ACE Limited 1,075,000 26,606,250 Aetna Life & Casualty 100,000 5,375,000 American Int'l 100,000 10,375,000 Horace Mann Educators 409,400 9,825,600 Unum 1,800,000 76,500,000 Total 128,681,850 _________________________________________________________________ _____________Leisure time & entertainment (1.2%) Carnival 300,000 7,125,000 Circus Circus 250,000(b) 6,562,500 Gaylord Entertainment 300,000 7,875,000 Int'l Game Technology 600,000 8,400,000 Marvel Entertainment 600,000(b) 9,375,000 Total 39,337,500 _________________________________________________________________ _____________Media (8.2%) ACS 197,500(b) 2,370,000 CBS 452,400 29,179,800 Comcast 1,500,000(b) 24,000,000 Cox Communications 300,000(b) 5,137,500 Information Resource 675,000(b) 10,209,375 Jacor Communications 336,500(b) 4,668,938 Merrill Corporation 345,000 5,778,750 Reader's Digest 1,285,000 59,110,000 Scholastic 275,000(b) 13,887,500 Tele-Communications 'A' 2,700,000(b) 61,425,000 Time Warner 300,000 11,587,500 Turner Broadcasting'B' 1,230,000 23,216,250 Viacom 'B' 300,000(b) 13,425,000 Viacom Wts C 350,000(b) 1,400,000 Total 265,395,613 _________________________________________________________________ _____________Metals (0.3%) Bethlehem Steel $3.50 Cv Pfd 200,000(e) 9,000,000 _________________________________________________________________ _____________Multi-Industry (2.5%) Franklin Quest 200,000(b) 7,125,000 General Electric 725,000(b) 39,784,375 Interim Services 325,000(b) 9,059,375 Minnesota Mining & Manufacturing 430,000 23,542,500 Total 79,511,250 _________________________________________________________________ _____________Natural gas (0.8%) Enron 275,000 9,075,000 Tenneco 350,000 15,925,000 Total 25,000,000 _________________________________________________________________ _____________Paper & packaging (1.7%) Crown Cork & Seal 650,000(b) 27,706,250 Kimberly Clark 390,000 20,280,000 Stone Container 300,000(b) 7,012,500 Total 54,998,750 _________________________________________________________________ _____________Restaurants & lodging (0.8%) McDonalds 800,000 26,600,000 _________________________________________________________________ _____________Retail (5.0%) Damark Int'l 315,000(b) 2,480,625 Department 56 250,000(b) 9,687,500 Gap 335,000 10,887,500 K-Mart 400,000 5,100,000 Perrigo 200,000(b) 2,775,000 Quality Food Centers 260,000 6,240,000 Rite Aid 250,000 6,187,500 Viking Office Products 200,000(b) 6,000,000 Walgreens 1,000,000 47,250,000 Wal-Mart Stores 2,700,000 64,125,000 Total 160,733,125 _________________________________________________________________ _____________Telecommunication equipment & services (1.3%) DSC Communications 400,000(b) 14,400,000 NEXTEL Communications 2,400,000(b) 29,100,000 Total 43,500,000 _________________________________________________________________ _____________Utilities - telephone (1.3%) MFS Communications 300,000(b) 10,425,000 U.S. West 815,000 31,581,250 Total 42,006,250 _________________________________________________________________ _____________Total common & preferred stocks & warrants (Cost: $2,677,115,181) $2,863,273,007 _________________________________________________________________ _____________
Short-term securities (2.1%) Issuer Annualized Amount Value(a) yield on payable at date of maturity purchase _________________________________________________________________ _____________ U.S. government agency (0.2%) FHLMC Disc Nts 03-13-95 5.86% $ 6,000,000 $5,988,280 FNMA Disc Nts 04-03-95 5.89 2,000,000 1,989,202 Total 7,977,482 _________________________________________________________________ _____________Commercial paper (1.9%) AIG Funding 03-01-95 6.07 3,000,000 3.000.000 American General 03-20-95 5.99 5,100,000 5,083,958 Amgen 03-17-95 6.00 2,400,000 2,393,632 Aon 03-20-95 6.00 700,000 697,794 Boc Group 03-13-95 6.02 4,000,000 3,992,000 Paribas 03-13-95 5.98 3,000,000 2,994,050 Bell South Telephone 03-03-95 5.85 4,100,000 4.098.674 CAFCO 03-09-95 5.98 600,000 599,207 04-06-95 6.00 8,200,000 8,151,046 Chevron Transport 03-24-95 6.06 5,900,000(c) 5,877,383 Ciesco 03-06-95 5.84 6,500,000 6,494,764 Fleet Funding 03-21-95 6.05 6,600,000(c) 6,578,000 Metlife Funding 03-15-95 5.99 4,200,000 4,190,249 Motorola 03-17-95 5.99 800,000 797,877 St. Paul Companies 03-16-95 6.00 3,300,000(c) 3,291,791 Sysco 04-12-95 6.08 2,200,000 2,183,598 Total 60,424,023 _________________________________________________________________ _____________Total short-term securities (Cost: $68,402,456) $ 68,401,505 _________________________________________________________________ _____________Total investments in securities of unaffiliated issuers (Cost: $2,860,828,349) $3,036,662,512 ________________________________________________________________________________________ _____
Investments in securities of affiliated issuers (d) Common stocks (5.9%) Issuer Shares Value(a) Career Horizon 450,000(b) $8,662,500 Ciber 375,000(b) 5,531,250 Concord Holdings 600,000 (b) 8,850,000 Donn-Kenny 695,000(b) 11,554,375 Flair 360,000 6,570,000 HCC Insurance 600,000(b) 16,995,000 Health Management 500,000(b) 12,562,500 Nature's Bounty 1,705,000(b) 11,402,188 North American Mortgage 1,025,000 16,656,250 Norton McNaughton 475,000(b) 8,906,250 ParcPlace Systems 465,000(b) 8,370,000 PMT Services 425,000(b) 5,365,625 Saber Software 435,000(b) 4,458,750 3DO 1,200,000(b) 10,950,000 VMARK Software 325,000(b) 4,956,250 Wall Data 750,000(b) 34,875,000 Webco Metals 600,000(b) 5,400,000 Xpedite 475,000(b) 9,025,000 Total 191,090,938 _________________________________________________________________ _____________Total investments in securities of affiliated issuers (Cost: $189,328,360) $191,090,938 _________________________________________________________________ _____________Total investments in securities (Cost: $3,050,156,709)(h) $3,227,753,450 _________________________________________________________________ _____________Notes to investments in securities (a) Securities are valued by procedures described in Note 1 to the financial statements. (b)Presently non-income producing. For long-term debt securities, items identified are in default as to payment of interest or principal. (c)Commercial paper sold within terms of a private placement memorandum,, exempt from registration under section 4(2) of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the board of directors. (d)Investments representing 5 percent or more of the outstanding voting securities of the issuer. (e)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 directors. (f)Security is partially or fully on loan. See Note 6 to the financial statements. (g) For zero coupon bonds, the interest rate disclosed represents the annualized effective yield on the date of acquisition. (h)At Feb. 28, 1995, the cost of securities for federal income tax purposes was approximately $3,050,157,000 and the approximate aggregate gross unrealized appreciation and depreciation based on that cost was: Unrealized appreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $331,416,000 Unrealized depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (153,819,000) _________________________________________________________________ _____________Net unrealized appreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $177,597,000 _________________________________________________________________ _____________
PAGE Investments in securities Retirement Annuity Mutual Funds (Percentages represent value of February 28, 1995 (Unaudited) investments compared to total net assets) International Equity Fund
Investments in securities of unaffiliated issuers _________________________________________________________________ _____________Bonds (0.5%) Issuer Principal Value(a) Amount _________________________________________________________________ _____________ Renong Cv 2.50% 2005 $6,000,000(b) $5,670,000 (Cost: $6,006,762) _________________________________________________________________ _____________
Common & preferred stocks & warrants (87.0%) Issuer Shares Value(a) _________________________________________________________________ _____________ Argentina (1.0%) Multi-industry (0.7%) Perez Companc 'B' Shares 2,583,000 $ 8,495,487 _________________________________________________________________ _____________________________ Telecommunications (0.3%) Telefonica de Argentina 180,000(e) 3,352,500 _________________________________________________________________ _____________Australia (6.2%) Banking (1.3%) Westpac Banking 4,185,000 15,451,020 _________________________________________________________________ _____________Energy (0.7%) Broken Hill Proprietary 582,475 8,043,980 Broken Hill Proprietary Warrants 06-29-95 1,306,000(c) 487,007 ___________ Total 8,530,987 _________________________________________________________________ _____________Forest products (0.6%) Amcor 925,000 6,673,875 _________________________________________________________________ _____________Industrial transportation (1.0%) Brambles 1,183,616 11,224,231 _________________________________________________________________ _____________Merchandising (1.0%) Woolworth 5,230,991 11,701,727 _________________________________________________________________ ____________Metals (1.6%) CRA 736,800 9,403,042 Pasminco 9,132,600(c) 9,433,976 ____________ Total 18,837,018 _________________________________________________________________ _____________Canada (1.3%) Electronics (0.5%) Northern Telecom 177,300 6,050,362 _________________________________________________________________ _____________Energy (0.4%) Rennaissance Energy 255,300(c) 5,084,019 _________________________________________________________________ _____________Telecommunications (0.4%) BCE Mobile 150,300(c) 5,042,355 _________________________________________________ _____________________________ Chile (0.6%) Telecommunications Telefonos de Chile 116,000 7,076,000 _________________________________________________________________ _____________Denmark (1.0%) Telecommunications TeleDanmark 'B' Shares 220,000 11,228,580 _________________________________________________________________ _____________France (6.1%) Banking (0.5%) Credit Commercial de France 142,563 5,837,385 _________________________________________________________________ _____________Building materials (0.5%) Lafarge-Coppee (Bearer) 92,614 5,977,122 _________________________________________________________________ _____________Electronics (0.2%) Alcatel Alsthom Electricite 30,000 2,415,810 _________________________________________________________________ _____________Energy (2.1%) Societe Nationale Elf Aquitaine 259,820 18,657,934 Total Petroleum 'B' 114,750(e) 6,347,511 ___________ Total 25,005,445 _________________________________________________________________ _____________Financial services (0.5%) Cie de Suez 131,900 5,794,235 _________________________________________________________________ _____________Food (0.5%) Danone 42,500 6,132,155 _________________________________________________________________ _____________Insurance (0.5%) Union des Assurances Federales 65,000 6,400,225 _________________________________________________________________ _____________Multi-industry (1.3%) Lyonnaise des Eaux Dumez 185,400 15,761,039 _________________________________________________________________ _____________Germany (1.5%) Chemicals (0.4%) Henkel Pfd Shares 13,250(c) 5,127,260 _________________________________________________________________ _____________Merchandising (0.5%) Karstadt 14,040 5,664,157 _________________________________________________________________ _____________Multi-industry (0.6%) Preussag 21,000(e) 6,498,093 _________________________________________________________________ _____________Hong Kong (2.7%) Merchandising (0.6%) Dairy Farm Int'l 5,500,000(e) 6,611,000 _________________________________________________________________ _____________Multi-industry (1.5%) Hutchison Whampoa 2,260,000 9,586,920 Swire Pacific 'A' 1,200,000 8,419,200 ___________ Total 18,006,120 _________________________________________________________________ _____________ Real estate (0.3%) Great Eagle Holdings 8,689,000 3,649,380 _________________________________________________________________ _____________Shipping (0.3%) Shun Tak Holdings 6,050,000 3,593,700 _________________________________________________________________ _____________Italy (0.7%) Telecommunications Telecom Italia 3,379,500 8,147,975 _________________________________________________________________ _____________Japan (28.2%) Appliances & durables (0.7%) Sony 172,100 7,484,457 _________________________________________________________________ _____________Banking (2.5%) Fuji Bank 499,000 10,746,963 Sanwa Bank 361,000 7,064,770 Sumitomo Trust & Banking 978,000 11,341,866 ____________ Total 29,153,599 _________________________________________________________________ _____________Building materials (1.1%) Nihon Cement 1,884,000 13,108,872 _________________________________________________________________ _____________Chemicals (0.9%) Sekisui Chemical 1,014,000 10,079,160 _________________________________________________________________ _____________Construction ( 2.0%) JGC 703,000(e) 11,355,559 Daiwa Kosho Lease 750,000 6,763,500 Sho-Bond 180,000 5,554,080 ___________ Total 23,673,139 _________________________________________________________________ _____________Data processing (0.1%) Fujitsu Warrants 06-12-98 11,000(c) 659,648 _________________________________________________________________ _____________Electrical (1.5%) Hitachi 1,022,000 8,941,478 Toshiba 1,409,000 8,913,334 ___________ Total 17,854,812 _________________________________________________________________ _____________Electronic component (3.7%) Kyocera 185,000 11,934,165 Rohm 319,000 11,659,769 TDK 314,000 12,972,910 Yokogawa Electric Corp 790,000 7,222,970 ___________ Total 43,789,814 _________________________________________________________________ _____________Financial services (0.9%) Daiwa Securities 261,000 2,918,763 Nomura Securities 471,000 8,144,532 ___________ Total 11,063,295 _________________________________________________________________ _____________Forest products (0.5%) Nippon Paper Industries 1,000,000(c) 6,316,000 _________________________________________________________________ _____________Industrial component (2.9%) Nippon Denso 575,000 10,180,950 NTN 1,890,000 11,330,550 Sumitomo Electric Industries 1,083,000(e) 12,335,370 ___________ Total 33,846,870 _________________________________________________________________ _____________Insurance (1.2%) Tokio Marine & Fire 1,381,000 14,442,498 _________________________________________________________________ _____________Machinery & engineering (2.4%) Fanuc 239,000 9,750,483 Fuji Machine Mfg Co Ltd. 216,000 5,636,088 Ishikawajima-Harima 1,015,000 3,898,615 Mitsubishi Heavy Industries 1,340,000 8,463,440 ___________ Total 27,748,626 _________________________________________________________________ _____________Merchandising (1.2%) Amway Japan 52,000 1,588,392 Ito-Yokado 132,000 6,013,920 Marui 472,000 6,744,408 ___________ Total 14,346,720 _________________________________________________________________ _____________Metals - steel (1.4%) Hitachi Metals 660,000 6,546,540 Nippon Steel 2,806,000 9,818,194 ___________ Total 16,364,734 _________________________________________________________________ _____________Miscellaneous materials & commodities (1.6%) Asahi Glass 720,000(e) 7,976,880 NGK Spark Plug 989,000(e) 10,957,131 ___________ Total 18,934,011 _________________________________________________________________ _____________Real estate (0.9%) Mitsui Fudosan 1,050,000 10,752,000 _________________________________________________________________ _____________Recreation & goods (0.4%) Sega Enterprises 110,400(e) 5,155,570 _________________________________________________________________ _____________Telecommunications (0.9%) DDI 1,011 7,505,948 Tokyo Broadcasting 200,000 2,712,800 ___________ Total 10,218,748 _________________________________________________________________ _____________Transportation (0.5%) Nippon Express 719,000 6,401,976 _________________________________________________________________ _____________Wholesale, int'l trade (0.9%) Itochu 1,848,000 10,886,568 _________________________________________________________________ _____________Malaysia (3.1%) Banking (0.3%) Malayan Banking 603,500 3,995,170 _________________________________________________________________ _____________Construction (0.6%) United Engineers 1,370,000 7,621,310 _________________________________________________________________ _____________Leisure (0.4%) Resorts World 809,000 4,373,454 _________________________________________________________________ _____________Multi-industry (0.8%) Sime Darby 3,720,000 9,032,160 _________________________________________________________________ _____________Telecommunications (0.6%) Telekom Malaysia 992,000 6,955,904 _________________________________________________________________ _____________Utilities (0.4%) Tenaga Nasional 1,261,000 5,038,956 _________________________________________________________________ _____________Mexico (0.7%) Building materials (0.3%) Cemex ADR Series 'B' 654,675 3,273,375 Cemex ADR Series 'A' 75,000(b) 324,375 ___________ Total 3,597,750 _________________________________________________________________ _____________Construction (0.3%) Empresas Ica Sociedad Controladora 553,500(e) 3,044,250 Grupo Mexicano de Desarollo Series 'B' 144,500 397,375 __________ Total 3,441,625 _________________________________________________________________ _____________Financial services (0.1%) Banorte Series 'C' 828,000 665,132 _________________________________________________________________ _____________Merchandising (0.1%) Benavides 'B' Shares 586,900 577,568 _________________________________________________________________ _____________Netherlands (4.2%) Broadcast publishing (1.2%) Elsevier 1,400,000 13,714,400 _________________________________________________________________ _____________Chemicals (1.1%) Akzo Nobel N.V. 84,200 9,872,197 EVC 72,980 (c) 3,248,413 ___________ Total 13,120,610 _________________________________________________________________ _____________Financial services (0.3%) International Nederlanden Groep 71,750 3,518,692 _________________________________________________________________ _____________Household products (1.3%) Unilever NV 127,000 15,551,277 _________________________________________________________________ _____________Machinery, engineering (0.3%) Stork VMF 116,035 3,132,945 _________________________________________________________________ _____________New Zealand (1.6%) Forest products Carter Holt Harvey 4,570,000 10,076,850 Fletcher Challenge 3,263,100 8,125,119 ___________ Total 18,201,969 _________________________________________________________________ _____________Norway (0.6%) Energy (0.4%) Saga Petroleum 'A' 343,860 4,449,205 _________________________________________________________________ _____________Shipping (0.2%) First Olsen Tankers 408,000(c) 2,844,984 _________________________________________________________________ _____________Philippines (0.5%) Telecommunications Philippine Long Distance Telephone 99,900(e) 5,906,587 _________________________________________________________________ _____________Singapore (5.1%) Automobiles (0.8%) Cycle & Carriage 1,306,000 9,913,846 _________________________________________________________________ _____________Banking (1.8%) Development Bank of Singapore (Fgn Rgd) 1,114,500 10,767,184 Overseas Union Bank (Fgn Rgd) 1,714,350 9,996,375 ___________ Total 20,763,559 _________________________________________________________________ _____________Beverages & tobacco (0.8%) Fraser & Neave 916,600(e) 9,678,379 _________________________________________________________________ _____________Machinery & engineering (1.7%) Keppel 1,467,000 11,743,335 Sembawang Shipyard 1,243,000 8,749,477 ___________ Total 20,492,812 _________________________________________________________________ _____________Spain (3.8%) Banking (1.0%) Banco de Galicia 298,655(e) 2,650,563 Banco Popular 70,000 8,898,820 ___________ Total 11,549,383 _________________________________________________________________ _____________Energy (1.0%) Repsol 414,000 11,756,772 _________________________________________________________________ _____________Telecommunications (1.8%) Telefonica de Espana 1,669,800 20,834,095 _________________________________________________________________ _____________Sweden (1.7%) Electronics (1.0%) Asea 'B' Free Shares 94,500 7,113,204 Ericsson (LM) 'B' Free 80,520 4,457,829 ____________ Total 11,571,033 _________________________________________________________________ _____________Forest Products (0.2%) SCA 'B' Free 104,000(c) 1,843,608 _________________________________________________________________ _____________Health care (0.5%) Astra 'A' Shares 222,000 5,600,394 _________________________________________________________________ _____________Switzerland (0.7%) Banking Swiss Bank Corp. (Rgd) 55,000(c) 7,888,925 _________________________________________________________________ _____________Thailand (0.5%) Banking Siam Commercial Bank (Frn Rgd) 616,000 5,334,560 _________________________________________________________________ _____________United Kingdom (15.2%) Airline (1.1%) British Airways 2,133,700 13,171,330 _________________________________________________________________ _____________Appliances & durables (0.7%) Thorn Emi 496,800 8,186,767 _________________________________________________________________ _____________Banking (1.3%) HSBC Holdings 241,100 2,532,273 National Westminster 1,648,950 12,555,105 ___________ Total 15,087,378 _________________________________________________________________ _____________Beverages & tobacco (1.0%) Guinness 1,780,000(c) 11,707,060 _________________________________________________________________ _____________Building materials (0.5%) Tarmac 3,200,000 5,344,000 _________________________________________________________________ _____________Business & public service (0.4%) WPP 2,668,100 4,602,472 _________________________________________________________________ _____________Data processing (1.2%) Rank Organisation 2,450,000 14,310,450 _________________________________________________________________ _____________Energy (0.5%) Shell Transports & Trading 569,600 6,333,952 _________________________________________________________________ _____________Health & personal care ( 1.0%) SmithKline Beecham 'A' 1,479,400 11,790,818 _________________________________________________________________ _____________Machinery & engineering (1.6%) Siebe 2,250,000 18,697,500 _________________________________________________________________ _____________Merchandising (2.5%) Argyll Group 1,277,300 5,448,962 Next 5,881,000 24,341,459 ____________ Total 29,790,421 _________________________________________________________________ _____________Metals (0.9%) RTZ 907,000 10,574,713 _________________________________________________________________ _____________Multi-industry (2.5%) Ampolex 3,953,821(e) 9,781,753 BTR 2,000,000 9,924,000 Framlington Maghreb Units 50,000(c) 2,500,000 Hanson 1,906,600(c) 7,046,794Hajhh ___________ Total 29,252,547 _________________________________________________________________ _____________Total common & preferred stocks & warrants (Cost: $1,098,586,746) $1,023,466,851 _________________________________________________________________ ____________
Short-term securities (12.5%) Issuer Annualized Amount Value(a) yield on payable at date of maturity purchase _________________________________________________________________ _____________ U.S. government agency (0.3%) FHLMC Disc Nts 03-15-95 5.88% 3,600,000 $ 3,591,810 _________________________________________________________________ _____________Commercial paper (12.2%) American General 03-03-95 6.05 4,200,000(d) 4,198,595 Amgen 03-10-95 5.88 6,300,000 6,290,818 Aon 03-24-95 5.95 1,600,000 1,593,938 AT& T 03-21-95 6.04 3,100,000 3,089,667 Bell South Capital Funding 03-13-95 6.04 3,800,000 3,790,765 Bell South Telecom 04-10-95 5.98 5,300,000 5,265,020 Cargill 03-06-95 6.06 2,000,000 1,997,751 Ciesco 03-06-95 5.84 3,500,000 3,497,181 Commericial Credit 03-16-95 6.03 4,000,000 3,990,000 Commerzbank 04-10-95 6.05 6,300,000 6,255,402 Corporate Asset Funding 03-09-95 5.98 4,000,000 3,994,711 CPC Int'l 03-27-95 6.06 4,300,000(d) 4,279,266 Fleet Funding 03-07-95 5.79 7,500,000(d) 7,492,812 Ford Motor Credit 03-22-95 6.04 2,200,000 2,191,625 General Electric Capital 03-14-95 5.91 5,000,000 4,989,419 Glaxo 04-26-95 6.00 3,000,000 2,972,000 Goldman Sachs 03-09-95 6.00 7,300,000 7,290,315 Household Finance 03-22-95 6.04 5,300,000 5,280,532 Lincoln National 03-01-95 6.04 6,300,000(d) 6,300,000 03-06-95 6.06 1,100,000(d) 1,099,079 03-28-95 6.00 1,700,000(d) 1,692,388 National Australia Funding 03-17-95 5.97 3,700,000 3,690,216 National Detroit Canada 04-03-95 6.00 2,400,000 2,386,866 Paccar Financial 03-29-95 5.97 2,400,000 2,388,893 Penney (JC) 03-17-95 6.01 3,800,000 3,789,900 PepsiCo 03-08-95 5.97 5,800,000 5,793,290 03-20-95 6.01 4,600,000 4,585,482 Pfizer 03-23-95 5.97 3,600,000 3,586,910 St. Paul Companies 03-06-95 5.97 3,000,000 2,997,521 03-13-95 5.96 6,700,000 6,686,756 03-21-95 5.98 3,800,000 3,787,439 Sandoz 03-03-95 6.05 4,700,000 4,698,426 SBT Funding 03-06-95 6.05 1,800,000(d) 1,798,495 Toyota Motor 03-01-95 6.04 900,000 900,000 04-11-95 6.06 6,000,000 5,959,000 U.S. West 03-07-95 6.00 3,300,000 3,296,717 _____________ Total 143,897,195 ________________________________________________________________________________________ ________ Total short-term securities (Cost: $147,497,697) $ 147,489,005 _________________________________________________________________ _____________Total investments in securities of unaffiliated issuers (Cost: $1,252,091,204) $1,176,625,856 ________________________________________ ______________________________________
Investments in securities of affiliated issuers (f) Common stock (0.9%) Issuer Shares Value(a) _________________________________________________________________ _____________ Switzerland(0.9%) Health & personal care Sandoz (Registered) 18,800(c) 10,816,843 _________________________________________________________________ _____________Total investments in securities of affiliated issuers (Cost: $10,156,203) $ 10,816,843 _________________________________________________________________ _____________Total investments in securities (Cost: $1,262,247,407)(g) $1,187,442,699 _________________________________________________________________ _____________Notes to investments in securities (a) Securities are valued by procedures described in Note 1 to the financial statements. (b) 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 directors. (c) Presently non-income producing. (d) Commercial paper sold within terms of a private placement memorandum, exempt from registration under section 4(2) of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the board of directors. (e) Security is partially or fully on loan. See Note 6 to the financial statements. (f) Investments representing 5 percent or more of the outstanding voting securities of the issuer. (g) At Feb. 28, 1995, the cost of securities for federal income tax purposes was approximately $1,262,247,000 and the approximate aggregate gross unrealized appreciation and depreciation based on that cost was: Unrealized appciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 45,797,000 Unrealized depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (120,601,000) _________________________________________________________________ _____________Net unrealized depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ (74,804,000) _________________________________________________________________ _____________
PAGE Investments in securities Retirement Annuity Mutual Funds (Percentages represent value of February 28, 1995 (Unaudited)investments compared to total net assets) Aggressive Growth Fund
_________________________________________________________________ _____________Bond (0.1 %) Issuer Principal Value(a) Amount _________________________________________________________________ _____________ Hospitality Franchise System 4.50% Cv 1999 $1,300,000 $ 1,293,500 _________________________________________________________________ _____________(Cost: $1,300,000)
Common & preferred stocks (79.6%) Issuer Shares Value(a) _________________________________________________________________ _____________ Banks and savings & loans (2.3%) B&T Financial 78,000 2,486,250 Citicorp 110,000 4,950,000 First Fidelity Bancorporation 90,000 4,545,000 Mercantile Bancorporation 190,000 7,006,250 Roosevelt Financial Chesterfield MO 250,000 3,984,375 Total 22,971,875 _________________________________________________________________ _____________Building materials (0.7%) Granite Construction 75,000 1,476,563 Tyco Intl 100,000 5,212,500 Total 6,689,063 _________________________________________________________________ _____________Chemicals (0.2%) IMC Global 37,200 1,739,100 _________________________________________________________________ _____________Communications equipment (2.9%) ADC Telecommunications 111,300(b) 6,204,975 CommNet Cellular 110,000(b) 2,530,000 EIS Intl 250,000(b) 3,875,000 Stratacom 70,000(b) 2,590,000 Tellabs 270,000(b) 14,040,000 Total 29,239,975 _________________________________________________________________ _____________Computers & office equipment (16.8%) Alantec 87,500(b) 3,040,625 American Management Systems 375,000(b) 7,664,063 Avid Technology 110,000(b) 3,685,000 Broadway & Seymour 170,000(b) 3,060,000 Cabletron Systems 190,000(b) 7,528,750 Ceridian 55,300(b) 1,741,950 Cisco Systems 485,000(b) 16,368,750 Compuware 180,000(b) 6,615,000 Digital Link 100,000(b) 2,350,000 Informix 260,000(b) 9,815,000 Intuit 78,000(b) 5,167,500 Komag 220,000(b) 5,555,000 Network General 210,000(b) 5,591,250 Network Peripherals 175,000(b) 4,068,750 Oracle Systems 660,000(b) 20,790,000 Parametric Technology 590,000(b) 22,567,500 Sanmina 125,000(b) 3,625,000 Sierra On-line 133,300(b) 5,165,375 Silicon Graphics 290,000(b) 10,041,250 Sterling Software 175,000(b) 6,321,875 Sybase Software 270,000(b) 11,002,500 Synopsys 120,000(b) 5,670,000 3Com 60,000(b) 3,127,500 Total 170,562,638 _________________________________________________________________ _____________Electronics (12.9%) Applied Materials 200,000(b) 9,225,000 Atmel 150,000(b) 5,118,750 Credence Systems 201,000(b) 4,874,250 Cypress Semiconductor 140,000(b) 3,972,500 Harman Intl 61,200 2,570,400 Intel 180,000 14,355,000 Intergated Development Tech 230,000 8,768,750 KLA Instruments 50,000(b) 2,900,000 LAM Research 200,000(b) 8,000,000 Lattice Semiconductor 140,000(b) 3,692,500 Linear Technology 190,000 10,355,000 Maxim Integrated Products 160,000(b) 5,260,000 Medar 200,000(b) 1,775,000 Microchip Technologies 270,000(b) 6,817,500 Micron Technology 210,000 13,020,000 Molex 160,000 5,400,000 Sensormatic Electronics 300,000 8,512,500 Standard Microsystems 190,000(b) 5,035,000 Teradyne 55,400(b) 2,015,175 Xilinx 70,000(b) 4,681,250 Zilog 125,000(b) 4,203,125 Total 130,551,700 _________________________________________________________________ _____________Energy (--%) HS Resources 24,100(b) 367,525 _________________________________________________________________ _____________Energy equipment and services (0.2%) Corrpro 140,000(b) 2,345,000 _________________________________________________________________ _____________Financial services (1.8%) ADVANTA B 190,000 5,985,000 First Financial Management 40,000 2,765,000 Paychex 235,000 9,635,000 Total 18,385,000 _________________________________________________________________ _____________Foreign (3.8%) Autoliv 130,000(b) 4,786,210 Danka Business Systems 307,300 6,914,250 First Pacific 5,479,477 3,539,742 Grupo Sidek ADR 343,000(b) 1,071,875 Nokia Pref Free 155,000(b) 11,663,750 Renaissance Energy 220,000(b) 4,381,058 SAP Preferred 7,500 6,200,685 Total 38,557,570 _________________________________________________________________ _____________Health care (8.3%) Amgen 80,000(b) 5,520,000 Anesta 90,000(b) 500,625 Centocor 460,000(b) 8,768,750 Cordis 75,000(b) 4,875,000 Forest Labs 181,100(b) 9,190,825 Genentech 160,000(b) 8,040,000 Heart Technology 295,000(b) 5,494,375 I-Stat 170,000(b) 4,080,000 IDEXX Laboratories 450,000(b) 17,100,000 Interpore 158,100(b) 1,185,750 PLC Systems 247,500(b) 959,062 Scherer R.P. 115,000(b) 5,275,625 STERIS 215,000(b) 7,121,875 Target Therapeutics 157,000(b) 5,848,250 Total 83,960,137 _________________________________________________________________ _____________Health care services (16.5%) Advocat 250,000(b) 3,250,000 American Medical Resp 210,000(b) 5,748,750 Beverly Enterprises 274,900(b) 3,573,700 Cardinal Health 315,000 15,592,500 Cerner 120,000(b) 5,565,000 Coram Healthcare 184,500(b) 4,335,750 Coventry 200,000(b) 5,400,000 Express Scripts 168,400(b) 5,725,600 HBO & Company 500,000 19,250,000 HEALTHSOUTH Rehabilitation 273,600(b) 11,012,400 Healthsource 210,000(b) 9,135,000 Horizon Healthcare 200,000(b) 4,875,000 Humana 200,000(b) 4,750,000 Medaphis 110,000(b) 6,215,000 Oxford Health Plans 55,000(b) 5,005,000 PacifiCare Health Systems 70,000(b) 4,917,500 PhyCor 370,000(b) 11,377,500 Sun Healthcare 175,000(b) 4,484,375 Surgical Care Affiliates 465,000 9,765,000 United Healthcare 100,000 4,300,000 U S Healthcare 345,000 14,835,000 Value Health 230,000(b) 8,567,500 Total 167,680,575 _________________________________________________________________ _____________Industrial equipment & services (1.9%) Energy Biosystems 88,400(b) 419,900 Energy Biosystems 35,000(b,c) 1,417,500 Sanifill 226,700(b) 5,355,787 Thermo Electron 200,000(b) 9,475,000 United Waste Systems 120,000(b) 3,150,000 Total 19,818,187 _________________________________________________________________ _____________Industrial transportation (1.3%) American Freightways 400,000(b) 9,550,000 Heartland Express 120,000(b) 3,525,000 Total 13,075,000 _________________________________________________________________ _____________Leisure time & entertainment (0.5%) Primadonna Resorts 200,000(b) 4,650,000 _________________________________________________________________ _____________Media (1.6%) Catalina Marketing 95,400(b) 4,936,950 Infinity Broadcasting, Class A 120,000(b) 4,230,000 Information Resources 200,000(b) 3,025,000 Westcott Communications 330,000(b) 3,960,000 Total 16,151,950 _________________________________________________________________ _____________Metals (0.5 %) Nucor 100,000(b) 5,612,500 _________________________________________________________________ _____________Multi-industry conglomorates (0.6%) Manpower 220,000 6,435,000 _________________________________________________________________ _____________Restaurants & lodging (1.5%) Hospitality Franchis 200,000(b) 5,675,000 Outback Steakhouse 355,000(b) 9,274,375 Total 14,949,375 _________________________________________________________________ _____________Retail (4.7%) Barnes & Noble 140,000(b) 4,130,000 CUC Int'l 255,000(b) 8,988,750 Gymboree 170,000(b) 4,080,000 Office Depot 200,000(b) 4,675,000 Pep Boys-Manny Moe & Jack 230,000 7,532,500 PETsMART 306,100(b) 10,636,975 Viking Office Products 250,000(b) 7,500,000 Total 47,543,225 _________________________________________________________________ _____________Utilities - gas (0.6%) Enron 200,000 6,600,000 _________________________________________________________________ _____________Total common & preferred stocks (Cost: $681,135,086) $ 807,885,395 _________________________________________________________________ _____________
Short-term securities (22%) Issuer Annualized Amount Value(a) yield on payable at date of maturity purchase _________________________________________________________________ _____________ U.S. government agency (0.5%) FNMA Disc Nts 03-09-95 5.88% $5,000,000 $ 4,993,489 _________________________________________________________________ _____________Commercial paper (21.5%) American General 03-29-95 5.97 4,000,000(d) 3,981,520 Anheuser-Busch 03-01-95 5.95 2,400,000 2,400,000 Aon 03-15-95 6.00 3,400,000 3,392,093 03-20-95 6.01 4,000,000 3,987,376 Avco 03-03-95 6.05 3,600,000 3,598,796 BOC Group 03-13-95 6.02 3,800,000 3,792,400 03-21-95 6.00 3,500,000 3,488,392 Becton Dickinson 03-07-95 5.97 6,200,000 6,193,852 03-21-95 6.06 4,400,000(d) 4,385,260 03-28-95 5.97 8,200,000 8,163,408 Bell Atlantic Network 03-02-95 5.99 1,200,000 1,199,801 Bellsouth Telecommunications 03-03-95 5.85 4,000,000 3,998,707 03-03-95 5.89 3,100,000 3,098,993 Beneficial 03-30-95 5.98 1,000,000 995,207 Ciesco 04-05-95 5.96 4,700,000 4,672,949 04-11-95 6.06 5,000,000 4,962,909 Commercial Credit 03-03-95 6.06 2,400,000 2,399,196 Commerzbank U.S. Finance 04-06-95 6.03 5,600,000 5,566,456 Consolidated Rail 04-28-95 6.04 4,500,000(d) 4,456,645 Kredietbank Finance 03-16-95 6.02 4,200,000 4,189,518 Lilly (Eli) 03-01-95 6.02 3,500,000(d) 3,500,000 Lincoln National 03-01-95 6.04 4,700,000(d) 4,700,000 03-28-95 6.00 5,300,000(d) 5,276,269 Merrill Lynch 04-26-95 6.12 3,500,000 3,465,361 Metlife Funding 03-22-95 5.98 4,400,000 4,384,728 Morgan Guaranty 03-02-95 6.04 5,500,000 5,499,080 National Australia Funding 03-17-95 5.97 3,300,000 3,291,273 Nestle Capital 03-16-95 6.00 5,000,000 4,987,542 Norfolk Southern 04-12-95 6.06 4,000,000(d) 3,970,277 Paribas Finance 03-07-95 5.98 6,500,000 6,487,108 Penney J.C. Funding 04-10-95 6.06 4,400,000 4,368,801 PepsiCo 03-08-95 5.97 6,000,000 5,993,058 Pfizer 03-23-95 5.97 14,000,000(d) 13,949,094 03-24-95 5.95 10,100,000(d) 10,061,735 Pitney Bowes 03-16-95 5.99 2,600,000 2,593,543 Reed Elsevier 04-11-95 6.08 5,400,000(d) 5,362,977 St. Paul Companies 03-06-95 5.97 3,500,000(d)3,497,108 03-13-95 5.98 9,200,000(d) 9,181,753 04-03-95 5.98 5,200,000(d) 5,171,638 SBT Funding 03-06-95 6.05 3,100,000(d) 3,097,408 Sysco 04-12-95 6.08 3,200,000(d) 3,176,142 USAA Capital 03-06-95 5.89 5,200,000 5,195,775 03-08-95 5.79 2,600,000 2,597,093 04-03-95 5.96 5,600,000 5,569,559 Unilever Capital 03-20-95 5.98 5,000,000(d) 4,984,299 UBS Finance 03-28-95 5.94 3,500,000 3,484,460 U S West Communications 03-13-95 5.98 5,900,000 5,888,298 Total 218,657,857 _________________________________________________________________ _____________Total short-term securities (Cost: $223,660,943) $ 223,651,346 _________________________________________________________________ _____________Total investments in securities (Cost: $906,096,029)(e) $1,032,830,241 _________________________________________________________________ _____________Notes to investments in securities (a) Securities are valued by procedures described in Note 1 to the financial statements. (b) Presently non-income producing. (c)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 directors. (d) Commerical paper sold within terms of a private placement memorandum, exempt from registration under section 4(2) of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the board of directors. (e)At Feb. 28, 1995, the cost of securities for federal income tax purposes was approximately $906,096,000 and the approximate aggregate gross unrealized appreciation and depreciation based on that cost was: Unrealized appreciation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $143,884,000 Unrealized depreciation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (17,150,000) _________________________________________________________________ _____________Net unrealized appreciation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $126,734,000 _________________________________________________________________ _____________
PAGE Investments in securities Retirement Annuity Mutual Funds (Percentages represent value of February 28, 1995 (Unaudited)investments compared to total net assets) Special Income Fund
Bonds (91.4%) Issuer Coupon Maturity Principal Value(a) rate year amount _________________________________________________________________ _____________ U.S. government obligations (12.3%) Resolution Financial Trust Company Strips Zero Coupon 8.03 2015 70,000,000(k) 15,126,293 U.S. Treasury Bonds 7.25 2016 12,700,000 12,272,263 7.50 2016 20,000,000 19,827,598 8.125 2019 50,000,000(m) 52,891,495 U.S. Treasury Notes 7.50 2001 50,000,000(h) 50,935,995 7.875 1996 30,000,000 30,370,497 Total 181,424,141 _________________________________________________________________ _____________Mortgage backed securities (20.5%) FHLMC 8.00 2024 5,000,000 4,960,937 9.00 2007 16,235,443 16,859,493 Collateralized Mtge Obligation3.24 2023 6,101,857 2,446,463 Collateralized Mtge Obligation7.00 2022 10,455,000 9,099,300 Collateralized Mtge Obligation7.00 2022 12,940,000 11,193,229 Collateralized Mtge Obligation8.50 2022 10,000,000 10,091,100 Inverse Floater 1.255 2023 5,200,000(g) 2,288,000 FNMA 6.00 2024 9,935,847 8,790,120 6.50 2023 72,325,537 66,223,069 8.00 2021 937,396 931,831 8.00 2022 6,272,360 6,235,117 8.50 2007 16,642,367 17,151,624 8.50 2023 13,141,266 13,330,171 9.00 2005 34,307,034 35,636,432 9.00 2024 13,590,927 14,036,879 9.00 2024 13,813,426 14,266,679 9.00 2024 14,653,721 15,134,546 Collateralized Mtge Obligation1.55 2021 10,977,637 4,981,103 Inverse Floater Collateralized Mtge Obligation1.103 2023 450,569(g) 105,884 1.938 2007 9,187,584(g) 212,463 GNMA 6.00 2023 19,892,274 17,343,576 6.00 2024 24,192,682 21,092,994 Adjustable Rate Mortgage 6.00 2024 9,823,336(i) 9,786,499 Total 302,197,509 _________________________________________________________________ _____________Aerospace & defense (0.3%) AEC Acquisition 10.00 2003 3,700,000 3,787,875 _________________________________________________________________ _____________Airlines (1.5%) AMR 9.50 2001 9,000,000 9,416,250 See accompanying notes to investments in securities. Delta Air Lines Sr Deb 10.375 2011 12,500,000 13,062,500 Total 22,478,750 _________________________________________________________________ _____________Automotive & related (2.5%) Ford Motor Credit 7.50 2003 5,000,000 4,893,750 GMAC 6.375 1996 20,000,000 19,800,000 5.95 1998 10,000,000 9,387,500 Mascotech 4.50 2003 3,500,000 2,450,000 Total 36,531,250 __________________________________________________________________________________________ Banks and savings & loans (1.2%) BankAmerica 7.50 2002 7,500,000 7,312,500 Fleet Norstar Fin'l 9.00 2001 5,000,000 5,218,750 9.90 2001 5,000,000 5,425,000 Total 17,956,250 _________________________________________________________________ _____________Beverages & tobacco (0.3%) Royal Crown Sr Nts 9.75 2000 5,000,000 4,700,000 _________________________________________________________________ _____________Building materials (1.3%) Bacnotan Construction Industry Cv 5.50 2004 1,750,000(d) 1,557,500 Centex 9.05 1996 5,000,000 5,093,750 Masco 9.00 2001 5,000,000 5,318,750 Nortek 9.875 2004 2,500,000 2,287,500 Southdown Sub Nts 14.00 2001 3,000,000 3,397,500 Toll Cv 4.75 2004 1,750,000 1,417,500 Total 19,072,500 _________________________________________________________________ _____________Chemicals (0.8%) General Chemical 9.25 2003 5,000,000 4,825,000 G-I Holdings Zero Coupon Sub Nts 11.69 1998 4,000,000(k) 2,590,000 Huntsman 11.00 2004 3,500,000 3,718,750 Total 11,133,750 _________________________________________________________________ _____________Computers & office equipment (0.3%) Conner Peripherals Cv 6.50 2002 3,000,000 2,250,000 Convex Computer Cv 6.00 2012 4,000,000 2,440,000 Total 4,690,000 _________________________________________________________________ _____________Electronics (0.2%) Berg Electronics 11.375 2003 3,000,000(d) 3,090,000 _________________________________________________________________ _____________Energy (2.8%) Atlantic Richfield 8.75 2032 10,000,000 10,537,500 Cross Timbers Oil Cv Sub Nts 5.25 2003 500,000 397,500 Occidental Petroleum 10.98 2000 5,000,000 5,668,750 with attached put 9.25 2019 8,725,000 9,542,969 Oryx Energy 10.00 2001 5,000,000 5,031,250 PDV America 7.875 2003 7,500,000 5,850,000 Triton Energy Zero Coupon Cv 9.68 1996 5,000,000(l) 4,025,000 Total 41,052,969 _________________________________________________________________ _____________Energy equipment & services (0.2%) McDermott 9.375 2002 3,000,000 3,247,500 _________________________________________________________________ _____________Financial services (2.0%) Corporate Property Investors 7.05 2003 5,000,000(d) 4,706,250 Developers Div Realty 7.00 1999 1,500,000 1,410,000 First Union 8.875 2003 4,000,000 3,390,000 GPA Delaware 8.75 1998 3,000,000 2,355,000 Household Finance Sr Sub Nts 9.55 2000 6,500,000 6,987,500 Liberty Property Trust Cv 8.00 2001 1,250,000 1,281,250 Malon Realty Cv 9.50 2004 2,750,000 2,392,500 Salomon 8.91 1998 4,800,000 4,836,000 Taubman Realty Cv 7.00 2003 2,000,000 1,760,000 Total 29,118,500 _________________________________________________________________ _____________Food (0.2%) Grand Met Place Cv 6.50 2000 1,175,000(d) 1,222,000 Specialty Foods 11.25 2003 1,000,000(d) 957,500 Zero Coupon Cv 12.96 1999 1,000,000(d,l) 475,000 Total 2,654,500 _________________________________________________________________ _____________Foreign (15.5%)(c) Aegon (Euro Dollar) Cv 4.75 2004 1,175,000 1,257,250 Agnico Eagle Mines (U.S. Dollar) Cv 3.50 2004 2,000,000 1,370,000 Alcan Aluminum (U.S. Dollar) 8.875 2022 6,750,000 6,918,750 Avenor (U.S. Dollar) 9.375 2004 2,000,000 1,965,000 Banca Italy N.Y. (U.S. Dollar) 8.25 2007 5,000,000 4,962,500 BNCE (U.S. Dollar) 7.25 2004 3,000,000 1,740,000 Carter Holt Harvey (U.S. Dollar) 8.875 2004 5,000,000 5,237,500 City of Helsinki Sr Nts 7.95 2006 2,000,000(e) 1,854,400 8.40 2007 1,800,000(e) 1,741,842 8.45 2006 1,200,000(e) 1,154,868 8.70 2006 1,600,000(e) 1,567,584 9.20 2006 1,500,000(e) 1,501,875 Doman Industries (U.S. Dollar) 8.75 2004 5,000,000 4,587,500 Ford Capital BV (U.S. Dollar) 9.875 2002 5,000,000 5,593,750 Gov't of Canada (Canadian Dollar) 7.752 2001 17,000,000 13,442,240 Gov't of Italy (Italian Lira) 8.50 20048,300,000,000 3,818,000 Gov't of Poland (Euro Dollar) Stepup Nts 3.25 2014 20,000,000 8,000,000 Groupe Videotron (U.S. Dollar) 10.625 2005 2,000,000 2,060,000 Guang Dong Enterprise (U.S. Dollar) 8.75 2003 7,500,000(d) 6,881,250 Gulf Canada Resources (U.S. Dollar) 9.00 1999 5,000,000 4,818,750 Hanson Industries (British Pound) Cv 9.50 2006 800,000 1,298,872 Hydro Quebec (U.S. Dollar) 8.50 2029 20,000,000 19,650,000 Korea Electric Power (U.S. Dollar) 6.375 2003 3,100,000 2,724,125 MacMillan Bloedel (U.S. Dollar) 8.50 2004 7,500,000 7,621,875 Mexican U.S. Series C (U.S. Dollar) 6.938 2019 4,000,000(b,g)2,480,000 Ogden (Euro Dollar) Cv 6.00 2002 2,200,000 1,815,000 Petroleos Mexicanos (U.S. Dollar) 8.625 2023 5,000,000 3,125,000 Philip Long Distance Telephone (U.S. Dollar) 10.625 2004 2,500,000 2,425,000 Province of Quebec (U.S. Dollar) 11.00 2015 2,500,000 2,859,375 PT Indah Kiat Pulp & Paper (U.S. Dollar) 11.875 2002 5,000,000 4,925,000 Pueblo Extra Int'l (U.S. Dollar) Sr Nts 9.50 2003 4,000,000 3,325,000 Qantas Air (U.S. Dollar) 7.50 2003 7,500,000(d) 7,050,000 Republic of Argentina (U.S. Dollar) 4.25 2023 24,000,000 9,510,000 Republic of Brazil (U.S. Dollar) 4.00 2014 21,430,398 8,706,099 (Euro Dollar) 4.00 2024 13,500,000 5,214,375 (Euro Dollar) 4.00 2024 10,000,000 3,862,500 (U.S. Dollar) 5.187 2024 7,500,000(g) 4,443,750 (U.S. Dollar) 6.75 2012 21,000,000 10,500,000 Republic of Columbia (U.S. Dollar) 7.25 2004 5,300,000 4,438,750 Republic of Italy (U.S. Dollar) 6.875 2023 7,500,000 6,084,375 Roche Holding (U.S. Dollar) 2.75 2000 5,000,000 4,003,100 Rogers Cable Systems (Canadian Dollar) 9.65 2014 2,700,000 1,579,117 Rogers Cantel Mobile (U.S. Dollar) 10.75 2001 3,000,000 3,090,000 Tarkett (U.S. Dollar) 9.00 2002 4,000,000(d) 3,780,000 Telecom Argentina (U.S. Dollar) 8.375 2000 5,000,000(d) 3,650,000 UEM (U.S. Dollar) with attached put Cv 2.00 19991,5 00,000 (d) 1,496,250 United Kingdom Treasury (British Pound) 12.292 2003 2,650,000 4,019,361 United Mexican State (U.S. Dollar) 8.50 2002 9,000,000 5,962,500 WMC Finance USA (U.S. Dollar) 7.25 2013 10,000,000 8,800,000 Total 228,912,483 _________________________________________________________________ _____________Furniture & appliances (0.6%) Black & Decker 6.625 2000 10,000,000 9,325,000 _________________________________________________________________ _____________Health care (0.3%) Amerisource Distribution Pay-in-kind 11.25 2005 3,780,050 4,006,853 _________________________________________________________________ _____________Health care services (1.6%) American Medical Int'l 11.00 2000 1,600,000 1,704,000 Charter Medical Sr Sub Nt 11.25 2004 5,000,000(d) 5,275,000 Foundation Health 7.75 2003 3,250,000 3,132,188 Healthtrust 8.75 2005 6,500,000 6,565,000 Hillhaven 10.125 2001 3,000,000 3,060,000 Nat'l Medical Center Sr Sub Nt 10.125 2005 3,800,000 3,885,500 Total 23,621,688 _________________________________________________________________ _____________Household products (0.4%) Mary Kay Cosmetics Sr Sub Nts 12.75 2000 2,000,000(e) 2,120,000 Revlon Consumer Products 10.50 2003 2,500,000 2,340,625 Sweetheart Cup Sr Sub Nt 9.625 2000 2,000,000 1,905,000 Total 6,365,625 _________________________________________________________________ _____________Industrial machines & services (0.8%) ADT Operations 9.25 2003 3,500,000 3,360,000 Clark Equipment 9.75 2001 5,000,000 5,400,000 IDEX 9.75 2002 3,000,000 3,030,000 Total 11,790,000 _________________________________________________________________ _____________Industrial transportation (0.3%) CSX 9.23 1998 5,000,000 5,250,000 _________________________________________________________________ _____________Insurance (0.8%) Americo Life 9.25 2005 2,500,000 2,193,750 NAC Re Cv 5.25 2002 2,000,000(e) 1,700,000 Nationwide Mutual 7.50 2024 4,000,000(d) 3,385,000 New England Mutual Credit Sensitive Nts 7.875 2024 5,000,000(d) 4,243,750 Total 11,522,500 _________________________________________________________________ _____________Leisure time & entertainment (1.3%) Bally's Grand 1st Mtge 10.375 2003 3,500,000 3,290,000 Bally's Park Place Funding 1st Mtge 9.25 2004 3,500,000 3,115,000 GNF Bally 10.625 2003 3,500,000 2,642,500 Kloster Cruise Sr Secured Nts 13.00 2003 3,000,000 2,340,000 MGM Grand Hotel Finance 12.00 2002 3,000,000 3,303,750 Showboat 9.25 2008 3,000,000 2,617,500 Trump Taj Mahal Pay-in-kind 11.35 1999 3,556,938 2,525,426 Total 19,834,176 _________________________________________________________________ _____________Media (3.9%) Ackerley Communications Sr Secured Nts 10.75 2003 2,500,000(d) 2,500,000 Adelphia Communications 12.50 2002 3,000,000 2,895,000 Cablevision Systems 10.75 2004 2,000,000 2,092,500 Continental Cablevision Sr Deb 8.875 2005 5,000,000 4,750,000 News America Holdings 7.50 2000 7,000,000 6,851,250 8.875 2023 7,000,000 6,982,500 12.00 2001 5,000,000 5,656,250 Tele-Communications 9.25 2023 7,500,000 7,359,375 Time Warner Entertainment 8.375 2033 7,500,000 6,675,000 Zero Coupon Cv with attached put 6.75 199510, 000,000 (l) 9,650,000 Zero Coupon Cv 6.59 2012 4,750,000(k) 1,496,250 Total 56,908,125 _________________________________________________________________ _____________Metals (0.5%) Magma Copper 12.00 2001 5,000,000 5,400,000 Rep Engineered Steel 9.875 2001 2,000,000 1,870,000 Total 7,270,000 _________________________________________________________________ _____________Multi-industry (0.9%) Fairchild Industries 12.25 1999 2,000,000 1,947,500 Mark IV Industries 8.75 2003 3,500,000 3,342,500 Tally Zero Coupon Cv 12.20 1998 1,750,000(l) 980,000 Tally Mfg & Technology 10.75 2003 2,500,000 2,287,500 Westinghouse Electric 8.375 2002 5,000,000 4,912,500 Total 13,470,000 _________________________________________________________________ _____________Natural gas (1.2%) Tenneco Credit 9.625 2001 10,000,000 10,850,000 Transco Energy 9.875 2020 6,000,000 6,742,500 Total 17,592,500 _________________________________________________________________ _____________Paper & packaging (4.0%) Bowater 9.50 2012 10,000,000 10,687,500 Chesapeake 9.875 2003 5,000,000 5,537,500 Container Corp America 9.75 2003 3,000,000 2,932,500 Sr Nts 10.75 2002 2,500,000 2,556,250 Crown Cork & Seal 8.00 2023 5,000,000 4,762,500 Federal Paperboard 10.00 2011 6,000,000 6,697,500 Owens Illinois 11.00 2003 5,000,000 5,368,750 Plastic Container 10.75 2001 2,000,000 2,012,500 Pope & Talbot 8.375 2013 4,000,000 3,800,000 Scotia Pacific Holding 7.95 2015 6,926,804 6,658,391 Silgan Sr Sub Nt 11.75 2002 2,000,000 2,057,500 Zero Coupon Cv 13.19 1995 2,000,000(l) 1,760,000 Stone Container 9.875 2001 3,000,000 2,940,000 12.625 1998 1,500,000 1,586,250 Total 59,357,141 _________________________________________________________________ _____________Restaurants & lodging (0.5%) Hammons (John Q) Hotel 8.875 2004 3,400,000 3,145,000 Host Marriott 10.875 2001 4,472,589 4,517,315 Total 7,662,315 _________________________________________________________________ _____________Retail (2.4%) Eye Care Center 12.00 2003 3,000,000 2,441,250 Food 4 Less Supermarket Zero Coupon Cv 15.25 1997 2,500,000(l) 1,937,500 Kroger 9.25 2005 3,000,000 3,030,000 Pathmark Stores 9.625 2003 5,000,000 4,700,000 Penney (J.C.) 9.05 2001 5,000,000 5,393,750 Penn Traffic 9.625 2005 3,000,000 2,827,500 Sr Nts 10.25 2002 3,000,000 3,007,500 Purity Supreme 11.75 1999 2,500,000 2,150,000 Revco 9.125 2000 2,000,000 2,025,000 Specialty Retailers 10.00 2000 2,600,000 2,398,500 Stop & Shop 9.75 2002 3,000,000 3,116,250 Super-Rite Foods Sr Sub Nts 10.625 2002 2,000,000 2,032,500 Total 35,059,750 _________________________________________________________________ _____________Telecommunications equipment & services (0.8%) Celcaribe Unit 13.50 2004 1,450,000(d) 1,225,250 13.50 2004 1,700,000(d) 1,079,500 CenCall Communications Zero Coupon Cv 10.09 1999 7,750,000(l) 3,012,812 Comcast Cellular Zero Coupon with attached put 9.53 1995 4,000,000(k) 2,900,000 Panamsat Sr Nts 9.75 2000 3,000,000 2,947,500 Total 11,165,062 _________________________________________________________________ _____________Textiles & apparel (1.0%) Dominion Textiles 8.875 2003 4,000,000 3,770,000 VF 9.50 2001 5,000,000 5,431,250 WestPoint Stevens 9.00 2017 2,500,000 2,518,750 Sr Nts 8.75 2001 2,500,000 2,368,750 Total 14,088,750 _________________________________________________________________ _____________Utilities - electric (5.4%) Arizona Public Service 8.75 2024 2,500,000 2,518,750 Boston Edison 9.875 2020 5,000,000 5,468,750 Cincinnati Gas & Electric 9.70 2019 5,000,000 5,356,250 Long Island Lighting 9.625 2024 9,000,000 8,617,500 Louisiana Power & Light Sale Lease-Backed Obligation 10.30 2005 1,199,000 1,243,963 10.67 2017 2,500,000 2,659,375 Midland Cogeneration Venture 10.33 2002 2,127,213 2,111,259 10.33 2002 1,832,438(d) 1,818,694 11.75 2005 5,000,000 4,775,000 North Atlantic Energy 9.05 2002 5,000,000 4,856,250 Pacific Gas & Electric 7.25 2026 6,000,000 5,272,500 RGS Funding AEGCO Sale Lease-Backed Obligation 9.82 2022 2,484,142 2,710,820 RGS Funding IME Sale Lease-Backed Obligation 9.82 2022 2,485,469 2,712,269 Sithe Independent Funding 9.00 2013 7,500,000(d) 7,537,500 Texas-New Mexico Power 11.25 1997 5,000,000 5,100,000 1st Mtge 9.25 2000 3,500,000 3,508,750 Texas Utilities 9.70 2002 6,000,000 6,660,000 Texas Utilities Electric 1st Mtge 9.75 2021 6,350,000 6,889,750 Total 79,817,380 _________________________________________________________________ _____________Utilities - telephone (1.7%) Bell Telephone Company of Pennsylvania 7.375 203310, 000,000 9,000,000 GTE 10.25 2020 7,000,000 7,857,500 New England Tel & Tel 9.00 2031 7,500,000 7,837,500 Total 24,695,000 _________________________________________________________________ _____________Miscellaneous (1.1%) KinderKare Learning Center 10.375 2001 3,000,000 3,056,250 Nationwide CSN Trust 9.875 2025 6,500,000(d) 6,735,625 Standard Credit Card Trust 8.625 2002 6,590,000 6,759,890 Total 16,551,765 ___________________________________________________________________________________________ _ Total bonds (Cost: $1,383,539,056) $1,347,401,607 _________________________________________________________________ _____________
Common & preferred stocks and warrants (1.6%) _________________________________________________________________ _____________Issuer Shares Value(a) _________________________________________________________________ _____________ ABN Amro Holdings 6% Cv 41,100 1,451,940 Celcaribe 276,420(b,d) 359,346 Envirodyne Industries 90,890(b) 380,602 Eye Care Center Warrants 3,000(b) 15,000 Federated Department Stores Warrants Exp 02-15-96 6,000(b) 9,562 First Chicago 2.875% Cm Cv 42,500 2,188,750 First Nationwide Bank 11.50% 25,000 2,500,000 Great Buy Power 30,222(b) 241,776 Methanex 200,000(b) 2,100,000 Nat'l Health Investors 8.50% Cv 40,000 920,000 Service Corp 3.125% Cv 49,000 2,744,000 Pittston Minerals Group 6.25% Cv 25,000(d) 975,000 Property Trust America 1.75% Cv 52,500 1,194,375 Public Service of New Hampshire 10.60% Cm 182,000 4,644,640 Purity Supreme Warrants Exp 08-06-97 8,664(b,e) 173 Sonoco Products $2.25 Cv 49,600 2,591,600 Southdown Warrants Exp 10-15-96 30,000(b,e) 90,000 Specialty Foods 15,000(b) 30,000 Triangle Wire Cable 84,444(b,e) 337,776 Total 22,774,540 _________________________________________________________________ _____________Total common & preferred stocks & warrants (Cost: $28,080,584) $22,774,540 _________________________________________________________________ _____________
Short-term securities (4.8%) _________________________________________________________________ _____________Issuer Annualized Amount Value(a) yield on payable at date of maturity purchase _________________________________________________________________ _____________ U.S. government agency (0.2%) FNMA Disc Nts 03-14-95 5.90 3,700,000 $ 3,692,143 _________________________________________________________________ _____________Commercial paper (4.6%) AIG Funding 03-01-95 6.07 6,000,000 6,000,000 Amgen 03-17-95 6.00 2,900,000 2,892,305 Anheuser-Busch 03-01-95 5.95 2,700,000 2,700,000 Aon 03-02-95 5.99 7,000,000 6,998,839 03-15-95 6.00 900,000 897,907 03-20-95 6.01 5,000,000 4,984,219 03-27-95 5,95 2,600,000 2,588,865 Becton Dickinson Real Estate 03-21-95 6.06 4,500,000(f) 4,484,925 Bell South Telephone 03-03-95 5.89 3,500,000 3,498,863 Ciesco 04-05-95 5.96 6,000,000 5,965,467 Lincoln Nat'l 03-01-95 6.04 1,100,000(f) 1,100,000 Nat'l Bank of Detroit 03-27-95 5.96 4,000,000 3,982,869 Penney (J.C.) Funding 04-03-95 5.95 2,000,000 1,989,147 Pfizer 03-24-95 5.95 3,200,000(f) 3,187,876 Pitney Bowes 03-16-95 5.99 3,300,000 3,291,805 St. Paul Companies 03-13-95 5.98 2,800,000(f) 2,794,447 Sara Lee 03-06-95 6.04 5,100,000 5,095,757 Southwestern Bell Telephone 03-23-95 5.94 4,700,000 4,682,996 Total 67,136,287 _________________________________________________________________ _____________Letter of credit (--%) First Chicago 03-21-95 6.01 600,000 598,007 _________________________________________________________________ _____________Total short-term securities (Cost: $71,426,437) $71,426,437 _________________________________________________________________ _____________Total investments in securities (Cost: $1,483,046,077)(n) $1,441,602,584 _________________________________________________________________ _____________ Notes to investments in securities (a) Securities are valued by procedures described in Note 1 to the financial statements. (b)Presently non-income producing. For long-term debt securities, items identified are in default as to payment of interest or principal. (c)Foreign securities values are stated in U.S. dollars; principal amounts are denominated in the currency indicated. (d)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 directors. (e) Identifies issues considered to be illiquid as to their marketability (see Note 1 to the financial statements). Information concerning such security holdings at Feb. 28 1995, is as follows: Security Acquisition Purchase date cost _________________________________________________________________ _____________City of Helsinki 7.95% 2006 02-07-95 $1,851,900 8.40% 2007 02-07-95 1,739,592 8.45% 2006 02-07-95 1,153,368 8.70% 2006 02-07-95 1,565,584 9.20% 2006 02-07-95 1,500,000 Mary Kay Cosmetics 12.75% 2000 12-05-90 2,000,000 NAC Re Cv 5.25% 2002 01-20-94 1,870,000 Purity Supreme Warrants Exp 08-06-97 07-29-92 - Southdown Warrants Exp 10-15-96 10-30-91 90,000 Triangle Wire Cable 13.50% 2002 01-13-92 2,000,018 _________________________________________________________________ _____________ (f)Commercial paper sold within terms of a private placement memorandum, exempt from registration under section 4(2) of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the board of directors. (g) Inverse floaters represent securities that pay interest at a rate that increases (decreases) in the same magnitude as, or in a multiple of, a decline (increase) in the LIBOR (London InterBank Offering Rate) Index. Interest rate disclosed is the rate in effect on Feb. 28, 1995. (h) Security is partially or fully on loan. See Note 6 to the financial statements. (i) Adjustable rate mortgage; interest rate varies to reflect current market conditions; shown is the effective rate on Feb. 28, 1995. (j) Interest rate varies to reflect current market conditions; rate shown is the effective rate on Feb. 28, 1995. (k) For zero coupon bonds, the interest rate disclosed represents the annualized effective yield on the date of acquisition. (l) For zero coupon bonds, the interest rate disclosed represents the annualized effective yield from the date of acquisition to interest reset date shown in the maturity year column. (m) Partially pledged as initial deposit on the following open interest rate futures purchase contracts (see Note 7 to the financial statements). Type of security Notional amount _________________________________________________________________ ____ U.S. Treasury Bonds March 1995 $20,000,000 (n) At Feb. 28, 1995, the cost of securities for federal income tax purposes was approximately $1,483,046,000 and the approximate aggregate gross unrealized appreciation and depreciation based on that cost was: Unrealized appreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 20,038,000 Unrealized depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (61,482,000) _________________________________________________________________ _____________ Net unrealized depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $(41,444,000) _________________________________________________________________ _____________
PAGE Investments in securities Retirement Annuity Mutual Funds (Percentages represent value of February 28, 1995 (Unaudited)investments compared to total net assets) Moneyshare Fund
_________________________________________________________________ _____________Short-term securities Issuer Annualized Amount Value(a) yield on payable at date of maturity purchase _________________________________________________________________ _____________ Commercial paper (74.5%) Automotive & related (1.5%) Ford Motor Credit 04-04-95 6.08 $3,000,000 $ 2,982,915 _________________________________________________________________ _____________Banks and savings & loans (9.6%) BBV Finance Delaware 04-04-95 6.32 2,200,000 2,187,055 Commerzbank US Finance 04-03-95 6.00 6,000,000 5,967,165 Harris Trust Bank Notes 05-15-95 6.14 6,000,000 6,000,033 Kredietbank North America Finance 05-01-95 6.20 4,500,000 4,453,335 Total 18,607,588 _________________________________________________________________ _____________Beverages & tobacco (3.7%) PepsiCo 03-01-95 5.97 600,000 600,000 03-08-95 5.97 6,600,000 6,592,364 Total 7,192,364 _________________________________________________________________ _____________Electronics (0.7%) Siemens 03-06-95 6.26 1,400,000 1,398,800 _________________________________________________________________ _____________Energy (4.7%) Chevron Transport 03-14-95 6.01 5,000,000(b) 4,989,203 Mobil Australia 03-07-95 5.99 4,100,000(b) 4,095,914 Total 9,085,117 _________________________________________________________________ _____________Financial services (25.0%) Associates North America 03-13-95 6.02 2,000,000 1,996,013 03-29-95 5.97 1,800,000 1,791,670 AVCO Financial 05-09-95 6.16 1,900,000 1,877,895 Beneficial 03-02-95 6.06 4,700,000 4,699,213 01-23-96 6.11 1,000,000(d) 1,000,000 CIT Group Holdings 03-15-95 6.00 7,800,000 7,781,891 Fleet Funding 03-09-95 6.00 1,200,000(b) 1,198,405 04-28-95 6.06 5,100,000(b) 5,050,700 Merrill Lynch 03-14-95 5.95 2,100,000 2,095,526 Metlife Funding 03-22-95 5.98 3,900,000 3,886,464 Morgan Guaranty Canada 03-02-95 6.04 2,500,000 2,499,582 Nat'l Australia Funding 04-18-95 6.09 3,700,000 3,670,400 Nestle Capital 03-24-95 5.98 3,700,000 3,685,935 PACCAR Financial 05-23-95 6.09 3,200,000 3,155,733 USAA Capital 04-03-95 6.29 4,200,000 4,176,130 Total 48,565,557 _________________________________________________________________ _____________Food (3.0%) Cargill 03-03-95 6.26 5,800,000 5,798,012 _________________________________________________________________ _____________Foreign (3.8%) Glaxo Holdings 04-26-95 6.00 3,000,000 2,972,000 04-27-95 5.98 4,500,000 4,457,392 Total 7,429,392 _________________________________________________________________ _____________Health care (5.0%) Amgen 03-17-95 6.05 5,800,000 5,784,533 Lilly (Eli) 03-20-95 6.04 3,900,000 3,887,691 Total 9,672,224 _________________________________________________________________ _____________Health care services (3.6%) Sandoz 05-22-95 6.10 7,000,000 6,904,015 _________________________________________________________________ _____________Media (4.6%) Reed Elsevier 05-16-95 6.13 9,000,000(b) 8,885,050 _________________________________________________________________ _____________Multi-industry (1.4%) BOC Group 03-21-95 6.00 2,800,000 2,790,713 _________________________________________________________________ _____________Retail (2.0%) Penney (J.C.) 03-10-95 6.04 4,000,000 3,994,020 _________________________________________________________________ _____________Transportation (4.2%) Consolidated Rail 04-04-95 6.14 5,000,000(b) 4,971,289 Norfolk Southern 05-04-95 6.16 3,200,000(b) 3,165,469 Total 8,136,758 _________________________________________________________________ _____________Utilities - gas (1.7%) Gateway Fuel 04-03-95 6.04 3,400,000 3,381,393 _________________________________________________________________ _____________Total commercial paper (Cost: $144,823,918) $144,823,918 _________________________________________________________________ _____________Letters of credit (23.0%) Domestic (6.2%) Bank of America Hyundai Motor Finance 05-10-95 6.19 $5,900,000 $ 5,830,019 Bank of New York River Fuel 03-20-95 6.09 6,300,000(b) 6,279,884 Total 12,109,903 _________________________________________________________________ _____________International (16.8%)(c) Banque Pariabas Southeast Paper 03-07-95 6.05 4,300,000 4,295,664 Banque Paribas Cogentrix of Richmond 03-10-95 5.87 4,500,000 4,493,396 Barclays Bank Plc Banco Real 04-14-95 6.15 2,000,000 1,984,967 Credit Agricole Louis Dreyfus 03-17-95 6.03 900,000 897,588 03-21-95 6.00 5,000,000 4,983,334 Credit Suisse Pemex Capital 03-23-95 6.09 6,000,000 5,977,890 Toronto Dominion Franciscan Services 03-16-95 6.00 3,000,000 2,992,500 Union Bank of Switzerland MLTC Funding 03-13-95 6.05 4,000,000 3,991,933 Union Bank of Switzerland River Fuel Trust 03-22-95 6.02 3,000,000(b) 2,989,465 Total 32,606,737 _________________________________________________________________ _____________Total letters of credit (Cost: $44,716,640) $ 44,716,640 _________________________________________________________________ _____________Certificate of deposit (2.6%) International Societe Generale Yankee 03-27-95 6.10 5,000,000 $ 5,000,000 _________________________________________________________________ _____________Total investments in securities (Cost: $194,540,558)(e) $194,540,558 _________________________________________________________________ _____________Notes to investments in securities (a) Securities are valued by procedures described in Note 1 to the financial statements. (b) Commercial paper sold within terms of a private placement memorandum, exempt from registration under Section 4(2) of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the board of directors. (c) Foreign securities values are stated in U.S. dollars; principal amounts are denominated in U.S. dollars. (d) Interest rate varies to reflect current market conditions; rate shown is the effective rate on Feb. 28, 1995. (e) At Feb. 28, 1995, this cost also represents the cost of securities for federal income tax purposes.
PAGE Investments in securities Retirement Annuity Mutual Funds (Percentages represent value of February 28, 1995 (Unaudited)investments compared to total net assets) Managed Fund
Investments in securities of unaffiliated issuers Bonds (20.8%) Issuer CouponMaturityPrincipal Value(a) rate year amount _________________________________________________________________ _____________ U.S. government obligations (6.2%) U.S. Treasury Bond 8.875 201713,450,000 15,297,896 U.S. Treasury Notes 4.625 199633,800,000 (g) 33,239,255 5.125 1998 7,500,000 7,133,249 5.375 199825,000,000 23,873,997 5.50 199648,400,000 (g) 47,847,751 5.625 199715,000,000 14,593,199 5.625 199820,000,000 19,338,398 Total 161,323,745 _________________________________________________________________ _____________Mortgage-backed securities (4.0%) FHLMC 8.00 20245,400,000 5,357,813 10.00 200511,862,745 12,555,974 Collateralized Mtge Obligation 6.00 2023 10,776,827 7,417,582 6.50 20235,040,576 3,495,589 FNMA 6.00 20247,053,467 6,240,114 6.50 20232,810,541 2,573,402 7.00 20164,790,344 4,313,034 7.40 200410,000,000 9,938,799 8.00 20226,803,915 6,763,517 8.50 20238,761,146 8,887,088 9.00 20245,348,633 5,524,135 Collateralized Mtge Obligation 6.00 2024 6,370,067 3,842,601 6.50 202310,275,889 7,328,700 7.00 20195,749,030 5,196,778 7.00 202212,508,709 10,182,339 7.50 20146,163,675 5,552,300 Total 105,169,765 _________________________________________________________________ _____________Airlines (0.4%) AMR 6.125 202412,000,000 10,890,000 _________________________________________________________________ _____________Automotive & related (0.3%) GMAC 5.95 19987,000,000 6,623,750 8.375 19971,400,000 1,422,750 Total 8,046,500 _________________________________________________________________ _____________Banks and savings & loans (0.5%) Chrysler Building NY 9.125 19991,460,000 1,553,075 First USA Bank 6.88 19966,700,000 6,674,875 Riggs Natl Sub Nts 8.50 20064,900,000 4,569,250 Total 12,797,200 _________________________________________________________________ _____________Building materials (0.2%) Building Material 11.75 20042,200,000 (d,f) 1,188,000 Owens Corning Fiberglass 9.375 20121,500,000 1,588,125 Schuller Int'l Group 10.875 20041,750,000 1,848,437 Total 4,624,562 _________________________________________________________________ _____________Chemicals (0.1%) Rexene 11.75 20041,750,000 (g) 1,837,500 _________________________________________________________________ _____________Communications equipment (0.3%) Celcaribe 2.14 20041,450,000 (d,f) 1,225,250 Unit 13.50 20041,700,000 (d,f) 1,079,500 Cencel 10.125 20044,000,000 (f) 1,555,000 Comcast Cellular attached put 9.45 20005,000,000 (f) 3,625,000 Total 7,484,750 _________________________________________________________________ _____________Computers & office equipment (0.7%) Conner Peripherals Cv 6.75 200110,000,000 7,450,000 Silicon Graphics Cv 3.45 201320,000,000 (d,f) 11,600,000 Total 19,050,000 _________________________________________________________________ _____________Energy (0.2%) Petroleum Heat & Power 12.25 20051,000,000 1,037,500 Standard Oil 9.00 20194,000,000 4,170,000 Total 5,207,500 _________________________________________________________________ _____________Financial services (1.0%) Associates Corp NA 7.25 199810,000,000 9,962,500 AVCO Financial 7.25 19994,750,000 4,720,312 Corporate Property Investors7.05 20032,000,000 (d) 1,882,500 7.18 20132,200,000 (d) 1,925,000 General Electric Capital 8.65 20181,000,000 1,020,000 Int'l Lease Finance 9.82 19952,000,000 2,052,500 Liberty Property Trust Cv 8.00 20011,250,000 1,281,250 Salomon Brothers 6.75 20064,000,000 3,390,000 Total 26,234,062 _________________________________________________________________ _____________Foreign (2.3%)(c) Cemex (U.S. Dollar) 4.25 199710,000,000 (d) 6,300,000 Doman Inds (U.S. Dollar) 8.75 20042,000,000 1,835,000 Empressa (U.S. Dollar) 5.00 20045,000,000 (d) 1,500,000 Gov't Certificates of Israel (U.S. Dollar) 9.25 20013,000,000 3,198,750 Hydro Quebec (Canadian Dollar) 10.875 20015,000,000 3,880,000 (U.S. Dollar) 9.50 2030 2,500,000 2,725,000 KFW Int'l Finance (U.S. Dollar) 8.20 20064,000,000 4,135,000 LeGrand (U.S. Dollar) 8.50 20251,800,000 1,811,250 Methanex (U.S. Dollar) 8.875 20015,000,000 5,150,000 Mexican U.S. Series D (U.S. Dollar) 6.25 20191,500,000 735,000 (Euro Dollar) 7.25 20191,500,000 930,000 Phillipines Long Distance Telephone (U.S. Dollar) 10.625 20041,400,000 1,358,000 Poland (Euro Dollar) Stepup 3.25 20144,600,000 1,840,000 PT Inda Kiat Pulp & Paper (U.S. Dollar) 11.875 20022,500,000 2,462,500 Republic of Argentina (U.S. Dollar) 4.25 20238,500,000 3,368,125 Republic of Australia (Australian Dollar) 7.50 20053,000,000 1,880,910 Republic of Brazil (U.S. Dollar) 4.00 20142,040,000 828,750 (U.S. Dollar) 6.75 20121,600,000 800,000 Republic of Colombia (U.S. Dollar) 7.25 20045,000,000 4,187,500 Republic of Italy (U.S. Dollar) 6.875 20235,000,000 4,056,250 Roche Holding (U.S. Dollar) 2.75 20007,000,000 5,604,340 Rogers Cable System (Canadian Dollar) 9.65 20015,000,000 2,924,290 Total 61,510,665 _________________________________________________________________ _____________Health care (0.6%) Johnson & Johnson 8.00 199810,000,000 10,212,500 Schering-Plough 7.44 19965,000,000 (d,f) 4,443,750 Total 14,656,250 _________________________________________________________________ _____________Health care services (0.4%) Charter Medical Sr Sub 11.25 20042,000,000 (d) 2,110,000 Foundation Health Sr Nts 7.75 20036,600,000 6,360,750 Nat'l Medical Enterprises Sr Sub 10.125 20051,000,000 1,022,500 Total 9,493,250 _________________________________________________________________ _____________Household products (0.1%) Sweetheart Cup 9.625 20002,000,000 1,905,000 _________________________________________________________________ _____________Insurance (0.3%) Nationwide Mutual 7.50 20244,000,000 (d) 3,385,000 New England Mutual Credit Sensitive Nts 7.875 20241,000,000 (d) 1,697,500 Principal Mutual 8.00 20442,500,000 (d) 2,190,625 Total 7,273,125 _________________________________________________________________ _____________Leisure time & entertainment (0.1%) Ballys Grand 10.375 20031,750,000 1,645,000 Hollywood Casino 14.00 19981,300,000 1,378,000 Kloster Cruise 13.00 20031,250,000 975,000 Total 3,998,000 _________________________________________________________________ _____________Media (0.8%) Aldelphia Communications 9.875 20051,500,000 1,261,875 America Media Oper 11.625 20041,750,000 1,855,000 News America Holdings 7.50 20004,000,000 3,915,000 Tele-Communications 7.875 20131,150,000 1,016,312 Time Warner Zero Coupon Cv 6.59 201241,900,000 (f) 13,198,500 Total 21,246,687 _________________________________________________________________ _____________Multi-industry conglomerates (0.1%) Crane 7.25 19992,000,000 1,960,000 Tally Inds 12.25 20052,500,000 (h) 1,400,000 Total 3,360,000 _________________________________________________________________ _____________Paper & packaging (0.3%) Container 10.75 20022,500,000 2,556,250 Pope and Talbot 8.375 20133,800,000 3,610,000 Stone Container 9.875 20012,500,000 2,450,000 Total 8,616,250 _________________________________________________________________ _____________Retail (--%) Broadway Stores Cv 6.25 2000500,000 (d) 340,000 _________________________________________________________________ _____________Utilities - electric (0.7%) Alabama Power 9.00 20242,200,000 2,318,250 Arizona Public Service Sale-Leased Obligation Bond 8.00 2015 3,600,000 3,370,500 Commonwealth Edison 8.375 20235,000,000 4,787,500 Long Island Lighting 9.75 20212,500,000 2,415,625 Sithe Independent Funding9.00 20131,500,000 (d) 1,507,500 Texas Utilities 5.875 19985,000,000 4,775,000 Total 19,174,375 _________________________________________________________________ _____________Utilities-gas (0.5%) ARKLA 9.875 1997 5,000,000 5,106,250 Coastal 10.25 20042,500,000 2,787,500 Transcontinental Energy 9.375 2001 5,000,000 5,325,000 Total 13,218,750 _________________________________________________________________ _____________Utilities - telephone (0.3%) AT & T Zero Coupon Cv 0.00 19995,000,000 (d,f) 3,850,000 GTE Florida 9.625 20303,200,000 3,404,000 Total 7,254,000 _________________________________________________________________ _____________Miscellaneous (0.4%) KinderKare Learning Center10.375 20012,750,000 2,801,563 Carco Auto Asset-Backed Obligation7.875 19983,325,000 3,350,835 Standard Credit Card Trust5.95 20043,000,000 2,658,930 8.625 20021,750,000 1,795,115 Total 10,606,443 _________________________________________________________________ _____________Total bonds (Cost: $565,212,945) $545,318,379 _________________________________________________________________ _____________
Common & preferred stocks (66.3%) Issuer Shares Value(a) _________________________________________________________________ _____________ Aerospace & defense (3.5%) Allied Signal 350,000 $ 13,300,000 E-Systems 100,000 4,375,000 General Motors Cl H 200,000 7,525,000 Loral 100,000 4,087,500 Northrop Grumman 330,000 14,643,750 Raytheon 300,000 21,150,000 United Technologies 400,000 26,550,000 Total 91,631,250 _________________________________________________________________ _____________Airlines (0.1%) Mesa Airlines 275,000(b) 1,718,750 _________________________________________________________________ _____________Banks and savings & loans (1.5%) BankAmerica 250,000 12,031,250 First Chicago 450,000 22,781,250 First Chicago NEXTELL $5.50 Cv Pfd 250,000 3,687,500 First Nationwide $11.50 Pfd 20,000 2,000,000 Total 40,500,000 _________________________________________________________________ _____________Beverages & tobacco (0.8%) Coca-Cola 400,000 22,000,000 _________________________________________________________________ _____________Building materials (1.4%) Clayton Homes 750,000 13,406,250 Tyco Int'l 420,000 21,892,500 Total 35,298,750 _________________________________________________________________ _____________Chemicals (0.2%) Morton Int'l 200,000 5,850,000 _________________________________________________________________ _____________Communications equipment (3.1%) Celcaribe 276,420 359,346 DSC Communcation 330,000(b,g) 11,880,000 Motorola 360,000 20,700,000 Nokia Pfd 125,000(b) 9,406,250 Northern Telcom 600,000 20,475,000 PictureTel 35,000(b) 958,125 Scientific Atlanta 650,000 15,193,750 Video Telecomm 100,000(b) 1,000,000 Total 79,972,471 _________________________________________________________________ _____________Computers & office equipment (6.3%) American Power Conversion 1,000,000(b,g) 17,937,500 Compaq Computer 500,000(b) 17,250,000 Computer Associates 400,000 22,800,000 Compuware 450,000(b) 16,537,500 Hewlett Packard 170,000 19,550,000 Int'l Business Machines 61,100 4,597,775 Microsoft 250,000(b) 15,750,000 Oracle Systems 375,000(b) 11,812,500 Pitney Bowes 400,000 14,200,000 Xerox 230,000(g) 25,501,250 Total 165,936,525 _________________________________________________________________ _____________Electronics (2.0%) Intel 400,000(g) 31,900,000 Vishay Intertechnology 400,000 21,600,000 Total 53,500,000 _________________________________________________________________ _____________Energy (2.9%) Amoco 450,000 26,662,500 Exxon 400,000 25,600,000 Mobil 200,000 17,400,000 Vastar 207,600 5,371,650 Total 75,034,150 _________________________________________________________________ _____________Financial services (5.4%) Aimco 110,000 1,980,000 Bay Apartment 130,000 2,453,750 Dean Witter 430,000(g) 17,361,250 Duke Realty 220,000 5,912,500 Equity Residential 130,000 3,510,000 Federal National Mortgage 240,000 18,510,000 First Financial Management 300,000 20,737,500 First Industrial 140,000 2,677,500 Merry Land & Investment 110,000 2,268,750 National Golf 80,000 1,700,000 Oasis 180,000 3,982,500 Paragon 220,000 4,015,000 RFS Hotel 330,000 4,785,000 ROC Communities 220,000 4,592,500 SBH-Hewlett ELK 5.25% Cv Pfd 75,000(i) 6,825,000 Southwestern Property Trust 120,000 1,455,000 Summit Properties 170,000 2,890,000 Travelers 820,000 31,877,500 Weeks 200,000 4,425,000 Total 141,958,750 _________________________________________________________________ _____________Foreign (4.1%) BBC Brown Boveri 10,000 8,727,710 British Gas ADR 200,000 9,200,000 Ericsson Cl B ADR 250,000 14,218,750 Grupo Carso ADR 600,000(b,g) 4,438,500 News Corp Ltd ADR 600,000(g) 10,875,000 News Corp Ltd ADR Pfd 200,000 3,225,000 Royal Dutch Petroleum 300,000(g) 33,637,500 Tele Danmark 400,000(b) 10,050,000 YPF 700,000 13,300,000 Total 107,672,460 _________________________________________________________________ _____________Food (0.2%) Sysco 150,000 4,256,250 _________________________________________________________________ _____________Furniture & appliances (1.1%) Black & Decker 500,000 13,375,000 Singer 600,000 14,625,000 Total 28,000,000 _________________________________________________________________ _____________Health care (2.7%) Genetech Red Comm 420,000(b) 21,105,000 Johnson & Johnson 100,000 5,675,000 Merck 300,000 12,712,500 Pfizer 280,000 23,170,000 Schering-Plough 100,000 7,837,500 Total 70,500,000 _________________________________________________________________ _____________Health care services (3.9%) Beverly Enterprises 500,000(b) 6,500,000 Columbia/HCA Healthcare 650,000(g) 26,893,750 FHP Int'l Series A Pfd 208,000 5,174,000 Humana 700,000(b) 16,625,000 PacifiCare Health Systems Class B 220,000(b) 15,455,000 United Healthcare 400,000 17,200,000 U.S. HealthCare 350,000(g) 15,050,000 Total 102,897,750 _________________________________________________________________ _____________Household products (1.7%) Gillette 300,000 23,737,500 Proctor & Gamble 300,000 19,950,000 Total 43,687,500 _________________________________________________________________ _____________Industrial equipment & services (4.0%) Caterpillar 460,000 23,747,500 Deere 220,000 16,857,500 Illinois Tool Works 250,000 11,218,750 Service Master 50,000 1,218,750 Stewart & Stevenson 700,000 23,100,000 WMX Technologies 600,000 15,825,000 York Int'l 300,000 11,550,000 Total 103,517,500 _________________________________________________________________ _____________Industrial transportation (2.2%) Conrail 200,000 11,050,000 CSX 250,000 19,437,500 Federal Express 50,000(b) 3,256,250 Norfolk Southern 160,000 10,580,000 Union Pacific 255,000 13,323,750 Total 57,647,500 _________________________________________________________________ _____________Insurance (0.5%) Unum 290,000 12,325,000 _________________________________________________________________ _____________Media (3.5%) CBS 300,000(g) 19,350,000 Comcast Class SPL 750,000 11,812,500 LIN Television 115,000(b) 3,392,500 Tele-Communications Class A 1,050,000(b) 23,887,500 Time Warner 550,000 21,243,750 Turner Broadcasting Class B 700,000 13,212,500 Total 92,898,750 _________________________________________________________________ _____________Metals (1.8%) Alumax 450,000(b) 12,881,250 Freeport McMorRan & Gold Cl A 8,750 183,750 Freeport McMorRan 700,000 12,600,000 Inco Ltd 250,000 6,718,750 Kaiser Aluminum 7.25% Cv Pfd 270,000 2,227,500 Nucor 200,000 11,225,000 Total 45,836,250 _________________________________________________________________ _____________Multi-industry conglomerates (4.3%) ALCO Standard 100,000(g) 6,800,000 ALCO Standard 2.375% Cv Pfd 100,000 7,825,000 Emerson Electric 360,000 23,805,000 General Electric 1,150,000 63,106,250 Olsten 350,000 12,031,250 Total 113,567,500 _________________________________________________________________ _____________Paper & packaging (1.1%) Crown Cork & Seal 500,000(b) 21,312,500 International Paper 100,000 7,637,500 Total 28,950,000 _________________________________________________________________ _____________Restaurants & lodging (0.8%) McDonalds 400,000 13,300,000 Wendy's Int'l 560,000 8,680,000 Total 21,980,000 _________________________________________________________________ _____________Retail (2.5%) CUC Int'l 600,000(b) 21,150,000 Dayton Hudson 180,000 12,690,000 Home Depot 300,000 13,462,500 OfficeMax 200,000(b) 5,000,000 Pep Boys 400,000 13,100,000 Total 65,402,500 _________________________________________________________________ _____________Textiles & apparel (0.3%) Unifi 300,000 8,475,000 _________________________________________________________________ _____________Utilities-electric (1.0%) California Energy 500,000(b,g) 8,562,500 Cinergy 300,000 7,425,000 SCE 600,000 9,825,000 Total 25,812,500 _________________________________________________________________ _____________Utilities-gas (0.4%) Enron 350,000 11,550,000 _________________________________________________________________ _____________Utilities - telephone (3.0%) Airtouch Communications 800,000(b) 21,800,000 Century Telephone 250,000 7,781,250 LIN Broadcasting 230,000 29,756,250 MCI Communications 1,000,000 20,125,000 Total 79,462,500 _________________________________________________________________ _____________Total common & preferred stocks (Cost: $1,573,421,518) $1,737,839,606 _________________________________________________________________ _____________
Short-term securities (14.5%) _________________________________________________________________ _____________Issuer Annualized Amount Value(a) yield on payable at date of maturity purchase _________________________________________________________________ _____________ U.S. government agency (0.3%) FHL Bank Disc Nts 03-06-95 5.87% $ 2,800,000 $2,797,725 03-09-95 5.86 5,405,000 5,397,985 Total 8,195,710 _________________________________________________________________ _____________Commercial paper (13.7%) AI Credit 04-06-95 6.29 6,500,000 6,458,877 Albertson's 03-08-95 6.02 6,000,000 5,993,035 American General 03-24-95 5.98 13,800,000(e) 13,747,541 Aon 03-01-95 5.90 500,000 500,000 03-24-95 5.95 1,300,000 1,295,075 04-24-95 6.02 3,000,000 2,973,135 Associates North America 03-29-95 5.97 7,000,000 6,967,605 AVCO Financial 03-02-95 5.88 6,500,000 6,498,944 Barclays 03-29-95 5.98 3,600,000 3,583,340 BBV Finance Delaware 04-04-95 6.34 1,200,000 1,192,535 Beneficial 03-02-95 6.06 10,300,000 10,298,275 CAFCO 03-06-95 6.06 5,200,000 5,195,667 04-06-95 6.00 5,100,000(e) 5,069,553 04-25-95 6.19 5,000,000 4,951,385 Cargill Financial 03-06-95 6.05 6,000,000(e) 5,995,000 Chevron Oil 03-21-95 5.98 6,000,000 5,980,167 Ciesco (LP) 04-05-95 5.96 4,300,000 4,275,251 04-05-95 5.99 5,100,000 5,070,448 04-10-95 6.16 4,200,000 4,169,325 CIT Group Holdings 04-21-95 6.06 8,700,000 8,622,224 Commercial Credit 03-09-95 6.01 4,500,000 4,494,020 03-16-95 6.03 6,500,000 6,483,750 Consolidated Railway 04-04-95 6.14 2,800,000(e) 2,782,777 04-28-95 6.04 7,000,000(e) 6,932,559 Duke Power 03-13-95 5.97 8,500,000 8,483,142 Fleet Funding 03-15-95 5.96 4,300,000(e) 4,289,210 Gannett 03-07-95 6.04 5,500,000(e) 5,493,518 Gateway Fuel 04-03-95 6.11 7,110,000 7,067,369 GE Capital 03-03-95 5.97 3,600,000 3,598,810 07-06-95 6.38 5,000,000 4,887,822 GE Capital Service 04-11-95 6.08 7,000,000 6,949,133 Goldman Sachs 04-06-95 6.07 10,600,000 10,536,188 Household Finance 03-01-95 5.90 9,000,000 9,000,000 03-22-95 6.04 4,700,000 4,682,736 04-21-95 6.19 2,900,000 2,873,716 Kredietbank North America Finance 05-01-95 6.18 6,000,000 5,935,727 Merrill Lynch 04-07-95 6.04 13,000,000 12,919,833 Nat'l Australia Funding 04-18-95 6.09 3,200,000 3,171,968 Nestle Capital 03-16-95 6.00 7,100,000 7,082,309 Norfolk Southern 05-04-95 6.16 7,200,000(e) 7,119,140 PACCAR Financial 04-21-95 6.21 3,000,000 2,972,287 05-22-95 6.08 700,000 689,962 Penney (JC) 04-17-95 6.11 5,900,000 5,849,517 PepsiCo 03-20-95 6.01 6,900,000 6,878,223 Pfizer 03-15-95 5.98 6,600,000 6,584,728 Pitney Bowes Credit 03-14-95 5.96 6,000,000 5,987,173 04-17-95 6.10 3,900,000 3,866,630 05-11-95 6.14 5,000,000 4,937,800 Societe Generale Yankee 04-04-95 6.29 4,500,000 4,471,500 04-10-95 6.19 6,900,000 6,849,605 Southwest Bell Capital 03-23-95 5.94 6,000,000 5,978,293 St. Paul Companies 03-17-95 5.99 2,400,000(e) 2,393,632 04-03-95 5.98 4,800,000(e) 4,773,820 Sysco 03-09-95 6.06 10,000,000(e) 9,983,195 03-14-95 5.88 4,100,000(e) 4,091,368 04-13-95 6.09 2,700,000(e) 2,678,750 04-17-95 6.09 5,000,000(e) 4,957,218 04-18-95 6.11 2,700,000(e) 2,676,348 05-16-95 6.16 5,000,000(e) 4,933,480 Toyota Motor 04-06-95 6.05 5,000,000 4,970,000 04-07-95 6.05 10,000,000 9,938,333 Unilever Capital 03-27-95 6.15 900,000 895,550 USAA Capital 03-07-95 6.24 4,000,000 3,994,659 03-14-95 6.01 7,000,000 6,984,909 US WEST Communications 04-12-95 6.04 6,460,000 6,410,237 Total 358,368,326 _________________________________________________________________ _____________Letters of Credit (0.5%) Bank of New York- River Fuel 03-20-95 6.09 8,922,000(e) 8,893,512 First Chicago- Commed Fuel 03-10-95 6.11 4,900,000 4,891,586 Total 13,785,098 _________________________________________________________________ _____________Total short-term securities (Cost: $380,417,723) $ 380,349,134 _________________________________________________________________ _____________Total investments in securities (Cost: $2,519,052,187)(j) $2,663,507,119 _________________________________________________________________ _____________ Notes to investments in securities (a)Securities are valued by procedures described in Note 1 to the financial statements. (b) Presently non-income producing. (c)Foreign securities values are stated in U.S. dollars; principal amounts are denominated in the currency indicated. (d)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 directors. (e)Commercial paper sold within terms of a private placement memorandum, exempt from registration under Section 4(2) of the Securities Act of 1933, as amended, and may be sold only to dealers in that program or other "accredited investors." These securities have been determined to be liquid under guidelines established by the board of directors. (f)For zero coupon bonds, the interest rate disclosed represents the annualized effective yield on the date of acquistion. (g)Security is partially or fully on loan. See Note 6 to the financial statements. (h)For these securities, the interest rate disclosed represents the annualized effective yield on the date of acquistion to interest reset date shown in the maturity year column. (i)ELKS are equity-linked securities that are structured as an interest-bearing debt security of a brokerage firm and linked to the common stock of another company. The terms of ELKS differ from those of ordinary debt securities in that the principal amount received at maturity is not fixed, but is based on the price of the common stock the ELK is linked to. The principal amount disclosed equals the current estimated future value of the amount to be received upon maturity. (j)Feb. 28, 1995, the cost of securities for federal income tax purposes was approximately $2,519,052,000 and the approximate aggregate gross unrealized appreciation and depreciation based on that cost was: Unrealized appreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $219,309,000 Unrealized depreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (74,854,000) _________________________________________________________________ _____________ Unrealized appreciation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $144,455,000 _________________________________________________________________ _____________
PAGE Quick telephone reference IDS Life Surrenders and exchanges,dollar- National/Minnesota: Insurance Company cost averaging and automated 800-437-0602 partial surrenders Mpls./St.Paul area: 671-4736 ________________________________________________________________________ _______ TTY Service For the hearing impaired 800-285-8846 ________________________________________________________________________ _______ American Express Automated account information National/Minnesota: Infoline (TouthTone* phones only), 800-272-4445 including current fund prices and performance, account values Mpls./St. Paul area: and recent account transactions 671-1630 ________________________________________________________________________ _______ Retirement Annuity Mutual Funds IDS Tower 10 Minneapolis, MN 55440-0010 -----END PRIVACY-ENHANCED MESSAGE-----