-----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, DF3xvGnr4zcGGM0RkW9aXniY4jvI4Ox9PtPed8VSoTZ9/MQPbCmJMQrSuVKjWhRU 2tofK5FPLJ+VHXX+m6fK1w== 0000950124-95-001620.txt : 19950615 0000950124-95-001620.hdr.sgml : 19950615 ACCESSION NUMBER: 0000950124-95-001620 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19950331 FILED AS OF DATE: 19950531 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: KEMPER NATIONAL TAX FREE INCOME SERIES CENTRAL INDEX KEY: 0000055190 STANDARD INDUSTRIAL CLASSIFICATION: 0000 IRS NUMBER: 362896696 STATE OF INCORPORATION: MA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-02353 FILM NUMBER: 95543879 BUSINESS ADDRESS: STREET 1: 120 S LASALLE ST CITY: CHICAGO STATE: IL ZIP: 60603 BUSINESS PHONE: 3127811121 FORMER COMPANY: FORMER CONFORMED NAME: KEMPER MUNICIPAL BOND FUND INC DATE OF NAME CHANGE: 19860529 N-30D 1 NATIONAL TAX-FREE INCOME SERIES - SAR 1 Kemper National Tax-Free Income Series Kemper Municipal Bond Fund and Kemper Intermediate Municipal Bond Fund Report to Shareholders For the Period Ended March 31, 1995 Offering investors the opportunity for as high a level of current interest income that is exempt from federal income taxes as is consistent with preservation of capital (LOGO) 2 DEAR SHAREHOLDER: We are pleased to provide you with an overview of the municipal bond market and the performance of your fund for the six-month period ended March 31, 1995. - - ----------------------------- KEMPER MUNICIPAL BOND FUND PERFORMANCE & DIVIDEND REVIEW
- - ---------------------------------------------------------- Total Return Performance* FOR THE SIX-MONTH PERIOD ENDED MARCH 31, 1995 (UNADJUSTED FOR ANY SALES CHARGE) Kemper Municipal Bond Fund A 6.06% Kemper Municipal Bond Fund B 5.58% Kemper Municipal Bond Fund C 5.71% Lipper Municipal Bond Funds Category Average 5.22% - - ----------------------------------------------------------
Returns are historical and do not represent future performance. Returns and net asset value fluctuate. Shares are redeemable at current net asset value, which may be more or less than original cost. When comparing Kemper Municipal Bond Fund A to other General Municipal Bond funds in its Lipper** category for the following time periods ended March 31, 1995, the fund ranked: 1-year, 34 of 193; 5-year, 14 of 93; 10-year, 6 of 52; 15-year, 6 of 30. The following table shows dividend and yield information for Kemper Municipal Bond Fund as of March 31, 1995.
- - ------------------------------------------------------------ A SHARES B SHARES C SHARES -------- -------- -------- March Dividend: $ 0.0457 $ 0.0385 $ 0.0391 Net Asset Value: $ 9.95 $ 9.93 $ 9.96 Annualized Distribution Rate+: 5.52% 4.66% 4.70% SEC Yield+: 5.08% 4.46% 4.53% Tax Equivalent Yield: 8.08% 7.09% 7.20% Based on a 37.1% federal income tax rate - - ------------------------------------------------------------
- - ---------------------------------------------------------- KEMPER INTERMEDIATE MUNICIPAL BOND FUND PERFORMANCE & DIVIDEND REVIEW
- - ---------------------------------------------------------- Total Return Performance* FOR THE FIVE-MONTH PERIOD ENDED MARCH 31, 1995 (UNADJUSTED FOR ANY SALES CHARGE) Kemper Intermediate Municipal Bond Fund A 6.89% Kemper Intermediate Municipal Bond Fund B 6.38% Kemper Intermediate Municipal Bond Fund C 6.57% - - ----------------------------------------------------------
Returns are historical and do not represent future performance. Returns and net asset value fluctuate. Shares are redeemable at current net asset value, which may be more or less than original cost. The following table shows dividend and yield information for Kemper Intermediate Municipal Bond Fund as of March 31, 1995.
- - --------------------------------------------------------------------- A SHARES B SHARES C SHARES --------- --------- --------- March Dividend: $0.0427 $0.0346 $0.0354 Net Asset Value: $9.92 $9.92 $9.92 Annualized Distribution Rate+: 5.17% 4.19% 4.28% SEC Yield+: 4.77% 4.00% 4.07% (after expense waiver) SEC Yield+: 4.23% 3.43% 3.51% (before expense waiver) Tax Equivalent Yield: 7.58% 6.36% 6.47% Based on a 37.1% federal income tax rate - - ---------------------------------------------------------------------
- - --------------------------------------- GENERAL ECONOMIC OVERVIEW Throughout 1994, rising interest rates dominated most economic discussion and served to dampen the performance of both the fixed-income and stock markets. However, rates have now stabilized and the markets rebounded in the first quarter of 1995, suggesting a growing comfort with the health of the economy. Specifically, we believe that the economy is now growing at a moderate pace that can be sustained. Higher interest rates--and we expect rates to continue to creep up as the year progresses--appear to be having the effect of keeping inflation under control. At the same time, rates have not risen so high or so quickly to suggest a disruption of economic growth. As long as long-term fixed-income markets are assured of low inflation, increases in short-term rates should not hurt the performance of the bond market. In fact, with inflation running at 3 percent or below, real (adjusted for inflation) rates of return are attractive. In April, for example, a five-year Treasury note offered a 3.98 percent real rate of return--significantly higher than the post-World War II average real rate of return of - - -------------------------------------------------------------------------------- MOST MARKETS REBOUNDED IN THE FIRST QUARTER Data show the 1994 and first-quarter 1995 comparative total returns for the domestic and international equity and U.S. and non-U.S. bond markets. 1994 1st Quarter 1995 ---- ---------------- 1.31% 9.73% 8.06% 1.94% -3.37% 4.68% 5.99% 14.44% - - -------------------------------------------------------------------------------- 1 Standard & Poor's 500, an unmanaged index of common stocks that is generally considered representative of the U.S. stock market. 2 Morgan Stanley Capital International EAFE Index, an unmanaged index that is generally considered a measure of international equities in 15 major world markets excluding the U.S. and Canada. 3 Salomon Brothers U.S. Treasury Bond Index, a composite index of treasuries with various maturities (unmanaged). 4 Salomon Brothers Non-U.S. Dollar World Government Bond Index, including the performance of leading government bond markets excluding the U.S. (unmanaged). 1 3 1.40 percent. This relationship is a strong positive for fixed-income investors. While there are continuing opportunities for investors, it is important to recognize that the economic expansion is several months into its cycle. Industries such as housing and steel, which led the economy out of the recession, cannot be expected to repeat the strong double-digit growth they enjoyed in 1994. Now that such cyclical industries have experienced most of their outperformance, we believe that investors' sights will shift to the industries that produce more consistent earnings, such as consumer nondurables, technology and selected capital goods. Picking the right sectors to invest in will be the key challenge for equity investors during the next few quarters. Leading international economies are lagging the U.S. economy. Japan and Germany, whose economies typically follow U.S. growth, are not as robust as in past cycles. This phenomenon makes international investing very complex currently. Moreover, conditions in emerging market countries underline the importance of careful research and experience in understanding how these markets work. We are calm about what has been described as a dollar crisis. While it's true that the dollar has depreciated against the Japanese yen and many European currencies, we note that the dollar has appreciated in value against the currency of Canada and Mexico, two of our largest trading partners. Political leadership also has some bearing on the progress of the economy and the state of the financial markets. In the months preceding a presidential election year, it has not been uncommon for incumbents to attempt to stimulate growth. Given our Republican Congress and Democratic President, however, we do not consider this a foregone conclusion as we move closer to 1996. With that as an economic backdrop, we encourage you to read the following detailed report of your fund, including a question-and-answer with your fund's portfolio managers. Thank you for your continued support. We appreciate the opportunity to serve your investment needs. Sincerely, Stephen B. Timbers - - --------------------------------------- Stephen B. Timbers Chief Investment and Executive Officer April 10, 1995 Stephen Timbers is Chief Executive Officer and is also Chief Investment Officer of Kemper Financial Services, Inc. (KFS). KFS and its [PHOTO] affiliates manage approximately $60 billion in assets, including $42 billion in retail mutual funds. Timbers is a graduate of Yale University and holds a M.B.A. from Harvard University.
* Total return measures net investment income and capital gain or loss from portfolio investments, assuming reinvestment of all dividends. During the periods noted, securities prices fluctuated. For additional information, see the Prospectus and Statement of Additional Information and the Financial Highlights at the end of this report. ** Lipper Analytical Services, Inc. performance and rankings are based upon changes in net asset value with all dividends reinvested and do not include the effect of sales charges and, if they had, results may have been less favorable. Performance and rankings are historical and do not reflect future performance. + Current annualized distribution rate is the latest monthly dividend shown as an annualized percentage of net asset value on March 31, 1995. Distribution rate simply measures the level of dividends and is not a complete measure of performance. The SEC yield is net investment income per share earned over the month ended March 31, 1995 shown as an annualized percentage of the maximum offering price on that date. Tax equivalent yield is based on the Fund's yield and the 37.1% federal tax rate. Income may be subject to state and local taxes and, for some investors, a portion of income may be subject to the alternative minimum tax. 2 4 Q&A AN INTERVIEW WITH PORTFOLIO MANAGER CHRIS MEIR [PHOTO] Chris Mier joined Kemper Financial Services, Inc. in 1986 and is now Senior Vice President and Portfolio Manager of the Kemper Municipal Bond Fund and Kemper Intermediate Municipal Bond Fund. Mr. Mier received his B.A. degree in Economics from the University of Michigan and went on to receive his M.M. in Finance from the Kellogg Graduate School of Management at Northwestern University. Q: THE MUNICIPAL BOND MARKET TENDS TO RESPOND TO MANY OF THE SAME FACTORS AS THE BROADER FIXED-INCOME MARKET. IN GENERAL, HOW DID THE FIXED-INCOME AND MUNICIPAL BOND MARKETS PERFORM OVER THE PAST SIX MONTHS? A: Overall, the fixed-income market had positive performance for the period, despite a fourth quarter struggle with rising interest rates as the Federal Reserve demonstrated their resolve to slow the economy's robust rate of growth and fight inflation. December, January, February and March proved to be positive months. The fixed-income markets in general were fueled by signs of slower economic growth and low levels of inflation. And the municipal market in particular was buoyed by a decrease in the supply of new bonds, which helped support bond prices. Q: HOW DID YOU MANAGE THE PORTFOLIOS IN THIS ENVIRONMENT? WHAT SPECIFIC STRATEGIES DID YOU USE TO PROTECT THE FUNDS' NET ASSET VALUES WHEN RATES WERE RISING? A: When October began, the municipal market was struggling along with the broader fixed-income market. We increased defensive hedge and cash positions in response. In November and December, the market showed signs of improvement and we felt there was room for prices to move a little higher. We began to reduce the hedge and cash positions. This positioned us to benefit when the market rallied in January. We went into February fully invested and extended durations as the month and the rally continued. We stayed fully invested and without defensive hedges through March. Our focus was on buying slightly discounted bonds as a way of capitalizing on any price increases. We concentrated on higher-rated bonds with average maturities of around 20 years for Kemper Municipal Bond Fund (KMBF) and about 8.5 years for Kemper Intermediate Municipal Bond Fund (KIMBF). The net asset value of KMBF Class A Shares rose from $9.46 on October 31, 1994 to $9.95 on March 31, 1995. The net asset value of KIMBF Class A Shares rose from $9.50 at its inception November 1, 1994 to $9.92 as of March 31, 1995. It's important to note that the objective of KIMBF is to generate tax-exempt income with less volatility than municipal bond funds with longer maturities. By design it should outperform a longer-term investment in a rising rate environment, and underperform in a falling rate environment. Q: THE SUPPLY OF NEW MUNICIPAL BONDS WAS UNUSUALLY LOW THROUGHOUT THE PERIOD. WHY DID THIS OCCUR AND HOW DID IT AFFECT BOND PRICES? A: Remember that in 1993, just as falling interest rates prompted many homeowners to refinance their mortgages, a record number of municipal bond issuers advance-refunded their older, higher-paying bonds and replaced them with new bonds issued at the prevailing lower rates. Since most of these issuers were allowed only one refunding by law, new issue supply was expected to drop significantly in 1994. This in fact was the case. Total new issuance fell 44% in 1994 as interest rates rose. Supply continued to be light going into 1995 and is expected to remain low throughout the balance of the year. In addition, a record number of bonds are scheduled to be called by their issuers. This combination creates a net reduction in supply that should continue to help support bond prices. 3 5 Q: ORANGE COUNTY, CALIFORNIA FILED FOR BANKRUPTCY ON DECEMBER 6, 1994. WHAT IMPACT DID THIS HAVE ON THE MUNICIPAL MARKET AND ON THE FUNDS? A: Orange County's filing for bankruptcy gained national attention. While this unprecedented event could have far-reaching importance for the market in the future, the bankruptcy filing has not affected the pricing structure of the market as a whole. Securities relating specifically to the filing were, of course, adversely affected and will continue to be affected as the event unfolds. At the time of the filing, neither fund held any instruments issued by Orange County. Q: WHAT'S YOUR OUTLOOK FOR THE MUNICIPAL MARKET AND THE FUNDS FOR THE BALANCE OF 1995? A: Our outlook for the municipal market and the fund is very positive for the rest of the year. It looks as though the Federal Reserve has been successful in slowing the economy before significant inflationary pressures build. This translated into a more favorable environment for bonds in the first quarter of 1995. Municipal bonds should also be supported by the continuing decrease on a year over year basis in new issue supply and increase in demand if investors regain their confidence in the bond market. The funds gained in the first quarter, reflecting this more favorable environment. We're optimistic the funds can continue to be strong performers. 4 6 KEMPER MUNICIPAL BOND FUND PORTFOLIO OF INVESTMENTS March 31, 1995 (Dollars in thousands)
ISSUER ADVANCE REFUNDED OBLIGATIONS SECURED AS TO PRINCIPAL AND INTEREST BY UNITED STATES GOVERNMENT SECURITIES Principal CALIFORNIA Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Riverside County, Riverside Juvenile Facilities Corporation, Certificates of Participation, Revenue, 8.00%, to be called 10-01-98 @ 102 $ 4,000 $ 4,481 - - --------------------------------------------------------------------------------------------------------------------------------- San Bernardino County, County Center/Justice Center Refunding and Capital Improvements, Revenue, 7.60%, 2015 6,955 7,340 - - --------------------------------------------------------------------------------------------------------------------------------- 11,821 COLORADO - - --------------------------------------------------------------------------------------------------------------------------------- Colorado Springs, County Utility Revenue, 6.75%, to be called 11-15-01 @ 102 2,890 3,208 - - --------------------------------------------------------------------------------------------------------------------------------- CONNECTICUT - - --------------------------------------------------------------------------------------------------------------------------------- Connecticut State Health and Educational Facilities, Lawrence and Memorial Hospital, Revenue, 6.25%, to be called 7-01-02 @ 102 4,720 5,102 - - --------------------------------------------------------------------------------------------------------------------------------- State of Connecticut, General Obligation, 6.50%, to be called 3-15-02 @ 102 10,440 11,434 - - --------------------------------------------------------------------------------------------------------------------------------- 16,536 FLORIDA - - --------------------------------------------------------------------------------------------------------------------------------- Jacksonville Health Facilities Authority, Baptist Medical Center, Revenue 11.50%, to be called 10-01-03 @ 100 10 14 11.50%, to be called 10-01-04 @ 100 35 51 11.50%, to be called 10-01-05 @ 100 55 84 - - --------------------------------------------------------------------------------------------------------------------------------- 149 GEORGIA - - --------------------------------------------------------------------------------------------------------------------------------- Hospital Authority of Fulton County, Northside Hospital, Revenue, 6.60%, to be called 10-01-02 @ 102 8,250 9,099 - - --------------------------------------------------------------------------------------------------------------------------------- ILLINOIS - - --------------------------------------------------------------------------------------------------------------------------------- Chicago, Tax Increment Allocation Bonds, Central Station Revenue, 8.90%, to be called 01-01-05 @ 100 1,860 2,266 - - --------------------------------------------------------------------------------------------------------------------------------- INDIANA - - --------------------------------------------------------------------------------------------------------------------------------- Trustees of Purdue University, Purdue University Student Fees, Revenue, 6.75%, to be called 7-01-01 @ 102 6,300 6,967 - - --------------------------------------------------------------------------------------------------------------------------------- KENTUCKY - - --------------------------------------------------------------------------------------------------------------------------------- Kenton County Airport Board, Greater Cincinnati International Airport, Revenue, 8.25%, to be called 3-1-98 @ 102 1,620 1,797 - - --------------------------------------------------------------------------------------------------------------------------------- MARYLAND - - --------------------------------------------------------------------------------------------------------------------------------- Gaithersburg, First Mortgage Economic Development, Asbury Methodist Home Incorporated, Revenue, 7.85%, to be called 1-01-00 @ 102 4,000 4,543 - - --------------------------------------------------------------------------------------------------------------------------------- MASSACHUSETTS - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Massachusetts, General Obligation, 6.875%, to be called 07-01-01 @ 102 20,000 22,250 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Municipal Wholesale Electric Company, Power Supply System, Revenue, 6.75%, to be called 07-01-02 @ 102 9,150 10,193 - - --------------------------------------------------------------------------------------------------------------------------------- 32,443 MICHIGAN - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Building Authority, University of Michigan Adult General Hospital Facility, Revenue, 7.875%, to be called 12-01-96 @ 102 265 284 - - --------------------------------------------------------------------------------------------------------------------------------- MISSOURI - - --------------------------------------------------------------------------------------------------------------------------------- Missouri Health and Educational Facilities, Christian Health Services Development Corporation, Christian Hospital Northeast-Northwest, Revenue, 6.875%, to be called 2-15-01 @ 102 7,000 7,739 - - --------------------------------------------------------------------------------------------------------------------------------- St. Louis County, Regional Convention & Sports Complex Authority, Convention & Sports Facility, Revenue, 7.00%, to be called 8-15-03 @ 100 4,380 4,931 - - --------------------------------------------------------------------------------------------------------------------------------- 12,670 NEW MEXICO - - --------------------------------------------------------------------------------------------------------------------------------- Albuquerque Southwest Community Health Services, Revenue, 10.125%, to be called 8-1-08 @ 100 4,000 5,348 - - --------------------------------------------------------------------------------------------------------------------------------- NEW YORK - - --------------------------------------------------------------------------------------------------------------------------------- New York Local Government Assistance Corporation, General Obligation, 7.375% and 7.50%, to be called 4-01-01 @ 102 9,675 11,058 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Dormitory Authority, State University Educational Facilities, Revenue, 7.25%, to be called 5-15-02 @ 102 3,810 4,369 - - ---------------------------------------------------------------------------------------------------------------------------------
5 7 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- New York State Medical Facilities Finance Agency, Mental Health Services Facilities Improvement, Revenue, 7.75%, to be called 2-15-00 @ 102 $ 2,540 $ 2,887 - - --------------------------------------------------------------------------------------------------------------------------------- 18,314 OHIO - - --------------------------------------------------------------------------------------------------------------------------------- Clermont County Hospital Facilities, Mercy Health Systems, Revenue, 7.50%, to be called 09-01-01 @ 100 2,280 2,584 - - --------------------------------------------------------------------------------------------------------------------------------- Clermont County Hospital Facilities, Mercy Health Systems, Revenue, 7.50%, to be called 09-01-01 @ 102 7,720 8,636 - - --------------------------------------------------------------------------------------------------------------------------------- Franklin County, Mount Carmel Health Hospital, Revenue, 7.25%, to be called 6-01-00 @ 102 5,495 6,142 - - --------------------------------------------------------------------------------------------------------------------------------- 17,362 PENNSYLVANIA - - --------------------------------------------------------------------------------------------------------------------------------- Pennsylvania Industrial Development Authority, Economic Development Revenue, 7.00%, to be called 7-1-01 @ 102 5,000 5,584 - - --------------------------------------------------------------------------------------------------------------------------------- Pennsylvania Intergovernmental Cooperation Authority, City of Philadelphia Funding Program, Revenue, 6.80%, to be called 6-15-02 @ 100 12,000 13,216 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia, Gas Works Revenue, 7.70%, to be called 6-15-01 @ 102 14,850 17,138 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia Municipal Authority, Criminal Justice Center, Revenue, 7.80%, to be called 4-01-98 @ 102 4,000 4,481 - - --------------------------------------------------------------------------------------------------------------------------------- Somerset County, General Authority Commonwealth Lease, Revenue, 6.25%, to be called 10-15-01 @ 100 8,070 8,566 - - --------------------------------------------------------------------------------------------------------------------------------- 48,985 SOUTH CAROLINA - - --------------------------------------------------------------------------------------------------------------------------------- Lancaster County Water and Sewer District, Waterworks and Sewer System Improvement Revenue, 6.75%, to be called 5-1-01 @ 102 3,000 3,303 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL ADVANCE REFUNDED OBLIGATIONS -- 5.5% 195,095 - - --------------------------------------------------------------------------------------------------------------------------------- OTHER OBLIGATIONS ALABAMA - - --------------------------------------------------------------------------------------------------------------------------------- Birmingham-Jefferson Civic Center Authority, Capital Outlay Special Tax Revenue, 7.40%, 2008 12,000 12,869 - - --------------------------------------------------------------------------------------------------------------------------------- Board of Trustees, University of Alabama at Birmingham Hospital, Refunding Revenue, 5.00%, 2014 4,200 3,756 - - --------------------------------------------------------------------------------------------------------------------------------- Hoover, General Obligation, 4.50%, 2013 8,545 7,191 - - --------------------------------------------------------------------------------------------------------------------------------- Montgomery Alabama, 5.50%, 2013 3,000 2,853 - - --------------------------------------------------------------------------------------------------------------------------------- 26,669 ALASKA - - --------------------------------------------------------------------------------------------------------------------------------- Alaska Energy Authority, Bradley Lake Hydroelectric Power, Revenue, 7.25%, 2016 4,675 5,020 - - --------------------------------------------------------------------------------------------------------------------------------- North Slope Borough, General Obligation, 13.00%, 1998 635 773 - - --------------------------------------------------------------------------------------------------------------------------------- 5,793 ARIZONA - - --------------------------------------------------------------------------------------------------------------------------------- Arizona Health Facilities Authority Hospital System, Phoenix Baptist Hospital and Medical Center, Inc. and Medical Environments, Inc., Revenue, 6.25%, 2011 1,400 1,445 - - --------------------------------------------------------------------------------------------------------------------------------- Central Arizona Water Conservation District, Central Arizona Water Project, Revenue, 5.50%, 2008 through 2010 5,500 5,464 - - --------------------------------------------------------------------------------------------------------------------------------- City of Chandler, General Obligation, 4.375%, 2013 1,500 1,249 - - --------------------------------------------------------------------------------------------------------------------------------- City of Phoenix, General Obligation, 6.375%, 2013 7,400 7,722 - - --------------------------------------------------------------------------------------------------------------------------------- City of Phoenix, User Streets and Highways, Junior Lien, Refunding Revenue, 6.25%, 2011 10,000 10,339 - - --------------------------------------------------------------------------------------------------------------------------------- Cocinino County, Industrial Development Authority, Health Care Institution, The Guidance Center, Inc. Project, Revenue, 9.25%, 2011 955 1,014 - - --------------------------------------------------------------------------------------------------------------------------------- Maricopa County, Paradise Valley Unified School District #69, School Improvement Bonds, Project of 1990, General Obligation, 4.80%, 2013 5,475 4,821 - - --------------------------------------------------------------------------------------------------------------------------------- Pima County, Tucson Unified School District No. 1, School Improvement, Revenue, 5.40%, 2013 2,400 2,293 - - --------------------------------------------------------------------------------------------------------------------------------- Salt River Project, Agricultural Improvement and Power District, Revenue, 5.00% and 5.75%, 2013 and 2016 18,250 17,053 - - --------------------------------------------------------------------------------------------------------------------------------- 51,400 ARKANSAS - - --------------------------------------------------------------------------------------------------------------------------------- North Little Rock, Electric System, Refunding Revenue, 6.50%, 2010 and 2015 31,830 34,717 - - --------------------------------------------------------------------------------------------------------------------------------- CALIFORNIA - - --------------------------------------------------------------------------------------------------------------------------------- California Health Facilities Finance Authority, Catholic Healthcare West, Revenue, 5.00%, 2021 11,120 9,580 - - --------------------------------------------------------------------------------------------------------------------------------- California State Department of Water Resources, Central Valley Project, Revenue, 6.125%, 2013 7,000 7,010 - - ---------------------------------------------------------------------------------------------------------------------------------
6 8 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Central Valley Financing Authority, Cogeneration Project, Carson Ice, Revenue, 6.00%, 2009 6,000 5,920 - - --------------------------------------------------------------------------------------------------------------------------------- City of Loma Linda, Loma Linda University Medical Center Project, Refunding Revenue, 5.375% and 9.00%, 2022 and 2012 4,700 4,605 - - --------------------------------------------------------------------------------------------------------------------------------- City of Los Angeles, Convention & Exhibit Center Authority, Lease Revenue, 5.125%, 2013 9,040 8,222 - - --------------------------------------------------------------------------------------------------------------------------------- City of Los Angeles, Department of Water & Power, Electric Plant Refunding Revenue, 4.75% to 5.75%, 2009 through 2019 53,045 48,362 - - --------------------------------------------------------------------------------------------------------------------------------- City of Los Angeles, Wastewater System, Revenue, 5.70%, 2023 7,780 7,383 - - --------------------------------------------------------------------------------------------------------------------------------- City of San Diego, Gas & Electric Co., Industrial Development, Refunding Revenue 5.90%, 2018 19,500 19,018 - - --------------------------------------------------------------------------------------------------------------------------------- City of San Jose, Convention Center, Revenue, 6.30%, 2010 4,000 4,036 - - --------------------------------------------------------------------------------------------------------------------------------- City of Santa Clara, Sports and Open Space Authority, Certificates of Participation, Refunding Revenue, 4.75%, 2014 5,000 4,265 - - --------------------------------------------------------------------------------------------------------------------------------- Duarte, City of Hope National Medical Center, Certificates of Participation, Revenue, 6.00% and 6.25%, 2008 and 2023 23,255 21,712 - - --------------------------------------------------------------------------------------------------------------------------------- Imperial Irrigation District, Refund Certificates of Participations, Electric System Project, 5.20% and 6.75%, 2009 and 2011 6,750 6,877 - - --------------------------------------------------------------------------------------------------------------------------------- Los Angeles County, Metropolitan Transportation Authority, Sales Tax Revenue, 4.75% to 5.50%, 2011 through 2021 73,635 65,549 - - --------------------------------------------------------------------------------------------------------------------------------- Los Angeles County, Public Works Financing Authority, Flood Control District, Revenue, 5.00%, 2017 8,400 7,236 - - --------------------------------------------------------------------------------------------------------------------------------- Los Angeles County, Public Works Financing Authority, Los Angeles County Regional Park and Open Space District, Revenue, 6.00%, 2015 22,545 22,128 - - --------------------------------------------------------------------------------------------------------------------------------- Los Angeles County, Public Works Financing Authority, Multi-Purpose Lease Revenue, 4.75%, 2013 21,000 17,927 - - --------------------------------------------------------------------------------------------------------------------------------- Los Angeles County, Sanitation District Financing Authority, Revenue, 5.00%, 2023 4,500 3,803 - - --------------------------------------------------------------------------------------------------------------------------------- Rancho California, Water District Financing Authority, Refunding Revenue, 4.75%, 2021 17,500 14,263 - - --------------------------------------------------------------------------------------------------------------------------------- Regents of University of California, Multiple Purpose Projects, Refunding Revenue, 4.75% to 5.00%, 2012 through 2019 35,010 30,686 - - --------------------------------------------------------------------------------------------------------------------------------- University of California, Multiple Purpose Projects, Revenue, 5.00%, 2016 2,000 1,757 - - --------------------------------------------------------------------------------------------------------------------------------- Sacramento Municipal Utility District, Revenue, 5.25%, 2012 3,500 3,253 - - --------------------------------------------------------------------------------------------------------------------------------- 317,257 COLORADO - - --------------------------------------------------------------------------------------------------------------------------------- Adams County, School District Number 12, General Obligation, 6.125% and 6.20%, 2007 and 2008 6,910 7,210 - - --------------------------------------------------------------------------------------------------------------------------------- City of Colorado Springs, Utilities System Improvement Refunding Revenue, 5.125%, 2023 7,030 6,193 - - --------------------------------------------------------------------------------------------------------------------------------- City and County of Denver, Airport System Revenue, 6.55% to 8.75%, 2002 through 2025 70,255 72,531 - - --------------------------------------------------------------------------------------------------------------------------------- City and County of Denver, School District Number One, General Obligation, 5.125% and 6.50%, 2012 and 2010 12,225 12,054 - - --------------------------------------------------------------------------------------------------------------------------------- Colorado Health Facilities Authority, Kaiser Permanente Medical Care Program, Revenue, 9.125%, 2015 8,575 8,851 - - --------------------------------------------------------------------------------------------------------------------------------- Colorado Health Facilities Authority, Swedish Medical Center, Revenue, 6.80% and 7.50%, 2023 and 2020 5,500 5,436 - - --------------------------------------------------------------------------------------------------------------------------------- Colorado Health Facilities Authority, Vail Valley Medical Center, Revenue, 8.125%, 2019 7,000 7,382 - - --------------------------------------------------------------------------------------------------------------------------------- Colorado Housing Finance Authority, Single Family Mortgage Revenue, 7.65%, 2022 830 861 - - --------------------------------------------------------------------------------------------------------------------------------- Douglas County School District #1, Douglas and Elbert Counties, General Obligation, 6.50%, 2016 16,665 17,570 - - --------------------------------------------------------------------------------------------------------------------------------- El Paso County School District #20, General Obligation, 5.55%, 2011 4,000 3,906 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Denver Sewerage Disposal, District No. 1, Revenue, 6.75%, 2012 5,540 5,692 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Wastewater Reclamation District, General Obligation, 6.00%, 2010 11,505 11,656 - - --------------------------------------------------------------------------------------------------------------------------------- 159,342 CONNECTICUT - - --------------------------------------------------------------------------------------------------------------------------------- Connecticut Clean Water Fund, Revenue, 5.80%, 2016 1,750 1,737 - - --------------------------------------------------------------------------------------------------------------------------------- Connecticut Resource Recovery Authority, Mid-Connecticut Systems, Revenue, 7.30%, 2012 4,790 5,085 - - --------------------------------------------------------------------------------------------------------------------------------- Connecticut State Development Authority, Pierce Memorial Baptist Home, Revenue, 9.25%, 2018 1,140 1,271 - - --------------------------------------------------------------------------------------------------------------------------------- State of Connecticut, General Obligation, 4.75% and 5.50%, 2011 and 2012 7,800 7,335 - - --------------------------------------------------------------------------------------------------------------------------------- State of Connecticut, Transportation Infrastructure Purposes, Special Tax Obligation, 4.875% to 6.10%, 2008 through 2012 30,835 29,938 - - --------------------------------------------------------------------------------------------------------------------------------- 45,366 DELAWARE - - --------------------------------------------------------------------------------------------------------------------------------- Delaware Transportation Authority, Transportation System, Refunding Revenue, 5.75%, 2008 10,000 10,063 - - --------------------------------------------------------------------------------------------------------------------------------- DISTRICT OF COLUMBIA - - --------------------------------------------------------------------------------------------------------------------------------- District of Columbia, General Obligation, 6.00% and 6.30%, 2013 and 2010 8,500 8,446 - - --------------------------------------------------------------------------------------------------------------------------------- Georgetown University, Revenue, 8.25%, 2018 11,410 12,501 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Washington Airports Authority, Airport System Revenue, 5.75% and 7.60%, 2011 and 2014 18,635 18,366 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Washington Airport Authority, Airport System Revenue, 5.50%, 2024 10,000 9,095 - - ---------------------------------------------------------------------------------------------------------------------------------
7 9 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Washington Metropolitan Area Transit Authority, Gross Transit Refunding Revenue, 5.75% and 7.60%, 2014 and 2011 $ 9,000 $ 8,254 - - --------------------------------------------------------------------------------------------------------------------------------- 56,662 FLORIDA - - --------------------------------------------------------------------------------------------------------------------------------- Broward County, Airport System Revenue, 7.625%, 2013 2,620 2,851 - - --------------------------------------------------------------------------------------------------------------------------------- Broward County, Hospital Revenue, 6.70%, 2028 5,000 5,073 - - --------------------------------------------------------------------------------------------------------------------------------- Broward County, Broward Waste Energy Company, Revenue, 7.95%, 2008 13,745 14,974 - - --------------------------------------------------------------------------------------------------------------------------------- Clay County, Single Family Housing, Revenue, 6.55%, 2028 2,750 2,763 - - --------------------------------------------------------------------------------------------------------------------------------- Dade County Aviation, Revenue, 5.75%, 2013 and 2015 20,000 18,900 - - --------------------------------------------------------------------------------------------------------------------------------- Dade County School District, General Obligation, 5.00%, 2010 4,500 4,185 - - --------------------------------------------------------------------------------------------------------------------------------- Dade County Water and Sewer System, Refunding Revenue, 5.00%, 2013 2,920 2,630 - - --------------------------------------------------------------------------------------------------------------------------------- Florida Municipal Power Agency, All-Requirements Power Supply Project, Revenue, 5.10%, 2014 7,565 6,837 - - --------------------------------------------------------------------------------------------------------------------------------- Florida State Dade County Road Refunding, General Obligation, 5.125%, 2014 3,915 3,547 - - --------------------------------------------------------------------------------------------------------------------------------- Florida State Board of Education, Public Education Capital Outlay, Refunding, General Obligation, 5.20% to 5.70%, 2015 through 2023 36,815 33,858 - - --------------------------------------------------------------------------------------------------------------------------------- Florida State Department of Management Services, Facilities Pool Revenue, 5.40%, 2010 and 2011 14,575 14,176 - - --------------------------------------------------------------------------------------------------------------------------------- Greater Orlando Aviation Authority, Revenue, 8.375%, 2016 3,065 3,407 - - --------------------------------------------------------------------------------------------------------------------------------- Hillsborough County Industrial Development Authority, Tampa Electric, Revenue, 8.00%, 2022 10,000 11,507 - - --------------------------------------------------------------------------------------------------------------------------------- Hillsborough County Industrial Development Authority, University Community Hospital, Inc., Industrial Development, Revenue, 5.50%, 2013 5,000 4,809 - - --------------------------------------------------------------------------------------------------------------------------------- Jacksonville, Gator Bowl Project, Capital Improvement Revenue, 5.50%, 2014 3,000 2,862 - - --------------------------------------------------------------------------------------------------------------------------------- Jacksonville Health Facilities Authority, Baptist Medical Center, Revenue, 11.50%, 2012 85 139 - - --------------------------------------------------------------------------------------------------------------------------------- Lake County, Village Center Community Development District, Utility Revenue, 5.00%, 2013 4,605 4,150 - - --------------------------------------------------------------------------------------------------------------------------------- Manatee County, Public Utilities, Refunding Revenue, 4.75%, 2013 5,340 4,638 - - --------------------------------------------------------------------------------------------------------------------------------- Nassua County Florida, Amelia Island Project, Revenue, 9.75%, 2023 1,000 1,103 - - --------------------------------------------------------------------------------------------------------------------------------- Orlando Utilities Commission, Water and Electric Revenue, 5.00%, 2020 6,000 5,228 - - --------------------------------------------------------------------------------------------------------------------------------- Orange County, Sales Tax Revenue, 5.375%, 2024 6,000 5,420 - - --------------------------------------------------------------------------------------------------------------------------------- Orlando-Orange County Expressway Authority, Junior Lien, Revenue, 5.95%, 2023 16,820 16,303 - - --------------------------------------------------------------------------------------------------------------------------------- Orlando-Orange County Expressway Authority, Senior Lien, Refunding Revenue, 5.25%, 2012 and 2014 11,695 10,848 - - --------------------------------------------------------------------------------------------------------------------------------- Palm Beach County, Solid Waste Authority, Revenue, 8.75%, 2010 13,755 15,264 - - --------------------------------------------------------------------------------------------------------------------------------- Pasco County, Solid Waste Disposal and Resource Recovery Revenue, 7.80%, 2011 13,730 15,064 - - --------------------------------------------------------------------------------------------------------------------------------- Port Orange, Revenue, 5.25%, 2021 5,000 4,518 - - --------------------------------------------------------------------------------------------------------------------------------- Reedy Creek Improvement District, Utility Improvement and Refunding Revenue, 5.00%, 2014 8,330 7,450 - - --------------------------------------------------------------------------------------------------------------------------------- 222,504 GEORGIA - - --------------------------------------------------------------------------------------------------------------------------------- Chatham County School District, General Obligation, 6.15%, 2010 7,300 7,481 - - --------------------------------------------------------------------------------------------------------------------------------- City of Atlanta, Water and Sewerage, Revenue, 4.50% and 4.75%, 2018 and 2023 28,915 23,376 - - --------------------------------------------------------------------------------------------------------------------------------- Fulton-DeKalb Hospital Authority, Revenue, 6.60%, 2028 21,000 20,997 - - --------------------------------------------------------------------------------------------------------------------------------- Fulton-DeKalb Hospital Authority, Grady Memorial Hospital, Revenue, 5.50%, 2012 8,100 7,724 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Atlanta Rapid Transit Authority, Refunding Revenue, 6.20%, 2010 9,890 10,368 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Atlanta Rapid Transit Authority, Sales Tax Revenue, 6.70%, 2012 4,600 4,938 - - --------------------------------------------------------------------------------------------------------------------------------- Municipal Electric Authority of Georgia Power Revenue, 4.75% to 8.125%, 2012 through 2019 33,955 32,490 - - --------------------------------------------------------------------------------------------------------------------------------- Municipal Electric Authority of Georgia, Special Obligation, 6.60%, 2018 3,500 3,795 - - --------------------------------------------------------------------------------------------------------------------------------- 111,169 HAWAII - - --------------------------------------------------------------------------------------------------------------------------------- City and County of Honolulu, General Obligation, 5.75%, 2011 8,820 8,802 - - --------------------------------------------------------------------------------------------------------------------------------- ILLINOIS - - --------------------------------------------------------------------------------------------------------------------------------- Chicago Board of Education, General Obligation Lease Certificates, 6.25%, 2008 through 2011 21,060 21,953 - - --------------------------------------------------------------------------------------------------------------------------------- Chicago Gas Supply, Peoples Gas, Light and Coke Company, Revenue, 8.10%, 2020 8,250 9,248 - - --------------------------------------------------------------------------------------------------------------------------------- Chicago-O'Hare International Airport, General Airport Revenue, 5.00% to 6.375%, 2012 through 2013 31,050 30,228 - - --------------------------------------------------------------------------------------------------------------------------------- Chicago, Skyway Toll Bridge Refunding Revenue, 6.75%, 2014 10,000 10,044 - - --------------------------------------------------------------------------------------------------------------------------------- City of East St. Louis, Illinois Development Finance Authority Debt Restructuring Revenue, 7.5%, 2013 3,750 3,819 - - --------------------------------------------------------------------------------------------------------------------------------- County of Cook, General Obligation, 5.375% to 9.50%, 1996 through 2022 36,315 37,114 - - ---------------------------------------------------------------------------------------------------------------------------------
8 10 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Freeport, Single Family Mortgage Revenue, 7.40%, 2010 $ 1,765 $ 1,776 - - --------------------------------------------------------------------------------------------------------------------------------- Harvard, Multifamily Housing, Northfield Court, Revenue, 8.80%, 2008 3,900 4,121 - - --------------------------------------------------------------------------------------------------------------------------------- Illinois Development Finance Authority, Pollution Control, Commonwealth Edison Company Project, Refunding Revenue, 6.75%, 2015 16,780 17,693 - - --------------------------------------------------------------------------------------------------------------------------------- Illinois Health Facilities Authority, Northwestern Medical Faculty Foundation, Inc., Healthcare Facilities Revenue, 6.50%, 2015 3,900 4,031 - - --------------------------------------------------------------------------------------------------------------------------------- Illinois Health Facilities Authority, South Suburban Hospital, Revenue, 7.00%, 2009 7,750 8,066 - - --------------------------------------------------------------------------------------------------------------------------------- Illinois Sports Facilities Authority, Revenue, 7.875%, 2010 2,990 3,283 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Fair and Exposition Authority, Dedicated State Tax Revenue, 6.00%, 2014 9,000 8,819 - - --------------------------------------------------------------------------------------------------------------------------------- St. Charles, Wessel Court Project, Multifamily Housing Revenue, 7.60%, 2024 4,000 4,013 - - --------------------------------------------------------------------------------------------------------------------------------- University Park, Governors Gateway Industrial Park, Tax Increment Revenue, 8.50%, 2011 3,000 3,147 - - --------------------------------------------------------------------------------------------------------------------------------- 167,355 INDIANA - - --------------------------------------------------------------------------------------------------------------------------------- Hospital Authority of Marion County, University Heights Hospital, Revenue, 8.625%, 2012 7,195 8,196 - - --------------------------------------------------------------------------------------------------------------------------------- Indiana Health Facility Financing Authority, Fayette Memorial Hospital, Hospital Revenue, 7.20%, 2022 1,800 1,754 - - --------------------------------------------------------------------------------------------------------------------------------- Indiana State Toll Financing Authority, Toll Road Revenue, 6.875%, 2012 4,000 4,177 - - --------------------------------------------------------------------------------------------------------------------------------- Indiana Transportation Financing Authority, Highway Revenue, 5.25% and 7.25%, 2008 and 2015 9,000 9,564 - - --------------------------------------------------------------------------------------------------------------------------------- Indianapolis Airport Authority, Federal Express Corporation Project, Special Facility Revenue, 7.10%, 2017 40,500 41,861 - - --------------------------------------------------------------------------------------------------------------------------------- Indianapolis, Local Public Improvement Bond, Transportation Revenue, 6.00% to 6.75%, 2007 through 2014 17,000 18,168 - - --------------------------------------------------------------------------------------------------------------------------------- Trustees of Purdue University, Purdue University Student Fees, Revenue, 6.70% and 6.75%, 2015 and 2009 14,500 15,273 - - --------------------------------------------------------------------------------------------------------------------------------- 98,993 IOWA - - --------------------------------------------------------------------------------------------------------------------------------- Iowa Finance Authority, GNMA Mortgage-Backed Securities Program, Single Family Mortgage Revenue, 7.90%, 2022 3,600 3,806 - - --------------------------------------------------------------------------------------------------------------------------------- Iowa Financing Authority, Trinity Regional Hospital Project, Revenue, 7.00%, 2022 12,000 11,819 - - --------------------------------------------------------------------------------------------------------------------------------- 15,625 KANSAS - - --------------------------------------------------------------------------------------------------------------------------------- City of Kansas City, Utility System Refunding Revenue, zero coupon, 2009 4,575 2,067 - - --------------------------------------------------------------------------------------------------------------------------------- KENTUCKY - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Kentucky, Project No. 56, State Property and Building Commission Revenue, 6.00%, 2014 1,250 1,230 - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Kentucky, State Property and Buildings Commission Project #53, Refunding Revenue, 5.75%, 2011 22,000 21,632 - - --------------------------------------------------------------------------------------------------------------------------------- Hopkins County, The Trover Clinic Foundation, Revenue, 6.625%, 2011 4,000 4,238 - - --------------------------------------------------------------------------------------------------------------------------------- Kenton County Airport Board, Greater Cincinnati International Airport, Revenue, 8.25%, 2015 7,380 8,071 - - --------------------------------------------------------------------------------------------------------------------------------- Kentucky Development Finance Authority, Baptist Hospital Inc., Hospital Refunding Revenue, 7.625%, 2011 2,000 2,192 - - --------------------------------------------------------------------------------------------------------------------------------- Kentucky Economic Development Finance Authority, Baptist Healthcare System Issue, Hospital Revenue, 5.00%, 2015 11,410 9,993 - - --------------------------------------------------------------------------------------------------------------------------------- Trimble County, Louisville Gas & Electric Company, Revenue, 7.75%, 2019 1,840 1,980 - - --------------------------------------------------------------------------------------------------------------------------------- Turnpike Authority of Kentucky, Revitalization Projects, Economic Development Road Revenue, zero coupon to 5.50%, 2006 through 2011 15,450 14,138 - - --------------------------------------------------------------------------------------------------------------------------------- Turnpike Authority of Kentucky, Toll Road, Revenue, 8.50%, 2004 2,025 2,153 - - --------------------------------------------------------------------------------------------------------------------------------- 65,627 LOUISIANA - - --------------------------------------------------------------------------------------------------------------------------------- Lafayette Parish School Board, Sales Tax Revenue, 4.875%, 2012 and 2013 3,370 2,969 - - --------------------------------------------------------------------------------------------------------------------------------- Louisiana Public Facilities Authority, Alton Oshsner Medical Center, Revenue, 5.75%, 2011 17,790 17,423 - - --------------------------------------------------------------------------------------------------------------------------------- Louisiana Public Facilities Authority, General Health, Inc. Project, Revenue, 6.25%, 2014 2,500 2,529 - - --------------------------------------------------------------------------------------------------------------------------------- Louisiana Stadium and Exposition, Hotel Occupancy Tax and Stadium Revenue, 6.00%, 2024 5,500 5,402 - - --------------------------------------------------------------------------------------------------------------------------------- Monroe, Special School District, General Obligation, 5.35% and 5.75%, 2011 through 2015 13,370 12,645 - - --------------------------------------------------------------------------------------------------------------------------------- Parish School Board of the Parish of Jefferson, Sales Tax School Refunding Revenue, 6.25%, 2008 11,000 11,437 - - --------------------------------------------------------------------------------------------------------------------------------- State of Louisiana, General Obligation, 5.625%, 2013 3,250 3,147 - - --------------------------------------------------------------------------------------------------------------------------------- 55,552 MAINE - - --------------------------------------------------------------------------------------------------------------------------------- Maine Health and Higher Education Facilities Authority, Revenue, 7.10%, 2014 2,750 2,985 - - --------------------------------------------------------------------------------------------------------------------------------- Maine Turnpike Authority, Turnpike Revenue, 6.00%, 2014 3,750 3,741 - - --------------------------------------------------------------------------------------------------------------------------------- Town of Bucksport, Champion International Corporation Project, Solid Waste Disposal Revenue, 6.25%, 2010 6,750 6,704 - - --------------------------------------------------------------------------------------------------------------------------------- 13,430
9 11 (Dollars in thousands)
Principal MARYLAND Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- City of Gaithersburg, First Mortgage Economic Development, Asbury Methodist Home Incorporated, Refunding Single Family Revenue, 5.50%, 2015 and 2020 $15,500 $ 13,179 - - --------------------------------------------------------------------------------------------------------------------------------- Community Development Administration, Department of Housing and Community Development, Revenue, 7.85%, 2029 5,855 6,209 - - --------------------------------------------------------------------------------------------------------------------------------- Maryland Health & Higher Educational Facilities Authority, Sinai Hospital, Revenue, 5.50%, 2013 5,000 4,719 - - --------------------------------------------------------------------------------------------------------------------------------- Maryland Health & Higher Educational Facilities Authority, Doctors' Community Hospital Project, Revenue, 5.75%, 2013 5,085 4,383 - - --------------------------------------------------------------------------------------------------------------------------------- Maryland Health & Higher Educational Facilities Authority, Frederick Memorial Hospital Project, Revenue, 5.00%, 2018 4,000 3,479 - - --------------------------------------------------------------------------------------------------------------------------------- Maryland Stadium Authority, Sports Facilities Lease Revenue, 7.60%, 2019 17,200 18,664 - - --------------------------------------------------------------------------------------------------------------------------------- Maryland State Industrial Economic Development, Holy Cross Health Systems, Revenue, 5.50%, 2015 1,960 1,845 - - --------------------------------------------------------------------------------------------------------------------------------- Northeast Maryland Waste Disposal Authority, Southwest Resource Recovery Facility, Refunding Revenue, 7.20%, 2006 1,500 1,686 - - --------------------------------------------------------------------------------------------------------------------------------- 54,164 MASSACHUSETTS - - --------------------------------------------------------------------------------------------------------------------------------- City of Lawrence, General Obligation, 4.75%, 2014 2,500 2,147 - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Massachusetts, General Obligation, 5.50% to 6.50%, 2008 through 2012 38,150 38,541 - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Massachusetts, Special Obligation, 5.80%, 2014 9,035 8,740 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Bay Transit Authority, General Transportation System, Refunding Revenue, 5.50% to 6.20%, 2012 through 2016 27,050 27,020 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Housing Finance Authority, Housing Projects, Revenue, 6.15%, 2015 6,400 6,370 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Municipal Wholesale Electric Company, Power Supply System, Revenue, 5.00% to 6.75%, 2011 through 2018 52,835 52,475 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Port Authority, Revenue, 5.00% and 13.00%, 2013 and 2015 8,190 8,559 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Turnpike Authority, Revenue, 5.00%, 2013 12,400 11,056 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Water Pollution Abatement Trust, MWRA Loan Program, Revenue, 5.45%, 2013 5,000 4,722 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Water Restoration Authority, Revenue, 4.75% to 5.50%, 2013 through 2023 64,200 58,336 - - --------------------------------------------------------------------------------------------------------------------------------- South Essex Sewerage District, General Obligation, 6.75%, 2013 and 2015 2,000 2,150 - - --------------------------------------------------------------------------------------------------------------------------------- 220,116 MICHIGAN - - --------------------------------------------------------------------------------------------------------------------------------- Chippewa Valley Schools, County of Macomb, General Obligation, 5.00%, 2021 4,500 3,889 - - --------------------------------------------------------------------------------------------------------------------------------- City of Battle Creek and County of Calhoun, Downtown Development Authority, Development Bond, 7.60%, 2016 3,800 4,018 - - --------------------------------------------------------------------------------------------------------------------------------- City of Kalamazoo Hospital Finance Authority, Borgess Medical Center, Hospital Refunding Revenue, 5.00%, 2013 14,650 13,056 - - --------------------------------------------------------------------------------------------------------------------------------- Detroit Convention Facility, Cobo Hall Expansion Project, Refunding Revenue, 5.25%, 2012 22,250 19,772 - - --------------------------------------------------------------------------------------------------------------------------------- Detroit School Building Site Improvement, General Obligation, 5.00%, 2011 12,000 10,547 - - --------------------------------------------------------------------------------------------------------------------------------- Detroit, Sewer System, Refunding Revenue, 5.70%, 2013 5,500 5,348 - - --------------------------------------------------------------------------------------------------------------------------------- Jackson County Hospital Finance Authority, W.A. Foote Memorial Hospital, Refunding Revenue, 4.75%, 2015 4,260 3,580 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan Municipal Bond Authority, Local Government Loan Program, Revenue, 4.75%, 2009 7,225 6,562 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Building Authority, Refunding Revenue, 5.625% and 6.75%, 2010 and 2011 19,250 19,679 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Housing Development Authority, Rental Housing Revenue, 5.70% and 5.875%, 2012 and 2017 32,985 31,593 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Hospital Finance Authority, Henry Ford Health System, Revenue, 7.00%, 2010 11,000 11,545 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Hospital Finance Authority, McLaren Obligation Group, Revenue, 4.50%, 2021 28,215 20,769 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Hospital Finance Authority, Oakwood Hospital Obligated Group, Refunding Revenue, 5.50%, 2013 8,000 7,538 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Hospital Finance Authority, Sisters of Mercy Health Corporation, Refunding Revenue, 7.50%, 2007 and 2013 9,000 9,685 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Trunk Line Fund, Revenue, 5.625% and 5.75%, 2014 and 2012 4,925 4,772 - - --------------------------------------------------------------------------------------------------------------------------------- Wayne Charter, Revenue, 5.25%, 2021 5,000 4,428 - - --------------------------------------------------------------------------------------------------------------------------------- 176,781 MINNESOTA - - --------------------------------------------------------------------------------------------------------------------------------- City of St. Louis Park, Methodist Hospital Project, Hospital Facilities Revenue, 7.25%, 2015 6,650 7,439 - - --------------------------------------------------------------------------------------------------------------------------------- Minnesota Housing Finance Agency, Multi-family Mortgage Bonds, Revenue, 9.375%, 2018 550 580 - - --------------------------------------------------------------------------------------------------------------------------------- Minnesota Housing Finance Authority, Single Family Mortgage Bonds, Revenue, 7.90%, 2019 6,370 6,733 - - --------------------------------------------------------------------------------------------------------------------------------- South Minnesota Municipal Power, Revenue, 4.75%, 2016 10,000 8,495 - - --------------------------------------------------------------------------------------------------------------------------------- 23,247
10 12 (Dollars in thousands)
Principal MISSISSIPPI Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Gulfport Hospital Facilities Authority, Gulfport Memorial Hospital, Improvement and Refunding Revenue, 6.125%, 2015 $ 6,750 $ 6,785 - - --------------------------------------------------------------------------------------------------------------------------------- MISSOURI - - --------------------------------------------------------------------------------------------------------------------------------- Clarence Cannon Wholesale Water Commission, Water Refunding Revenue, 6.00%, 2020 10,000 8,998 - - --------------------------------------------------------------------------------------------------------------------------------- Kansas City Schools, Missouri School District Building Corp., Leasehold Revenue, 5.00%, 2014 6,000 5,390 - - --------------------------------------------------------------------------------------------------------------------------------- Missouri State Health and Education Facilities Authority, St. Louis University, Revenue, 4.75%, 2016 4,500 3,811 - - --------------------------------------------------------------------------------------------------------------------------------- Regional Convention and Sports Complex Authority, Convention and Sports Facility Project, St. Louis County, Revenue, 5.50% and 7.90%, 2016 and 2021 10,000 9,816 - - --------------------------------------------------------------------------------------------------------------------------------- Sikeston, Electric System, Revenue, 6.20%, 2010 6,870 7,251 - - --------------------------------------------------------------------------------------------------------------------------------- Springfield School District, General Obligation, 5.375%, 2013 4,300 4,089 - - --------------------------------------------------------------------------------------------------------------------------------- St. Louis County Improvement and Refunding Revenue, 5.50%, 2013 4,485 4,297 - - --------------------------------------------------------------------------------------------------------------------------------- St. Louis Municipal Finance Corporation II, Civil Courts Building Project, Revenue, 5.75%, 2013 2,000 1,966 - - --------------------------------------------------------------------------------------------------------------------------------- St. Louis, Scullin Redevelopment Project, Tax Increment Revenue, 10.00%, 2010 9,265 10,373 - - --------------------------------------------------------------------------------------------------------------------------------- State of Missouri, Water Pollution Control, General Obligation, 5.50%, 2020 3,125 3,010 - - --------------------------------------------------------------------------------------------------------------------------------- State of Missouri, 4th Street Building, General Obligation, 5.50%, 2020 6,705 6,458 - - --------------------------------------------------------------------------------------------------------------------------------- 65,459 NEBRASKA - - --------------------------------------------------------------------------------------------------------------------------------- Nebraska Public Power District, Electric System, Revenue, 6.125%, 2015 31,850 31,997 - - --------------------------------------------------------------------------------------------------------------------------------- Omaha Public Power District Electric System, Refunding Revenue, 5.25% and 5.50%, 2013 and 2014 14,695 13,645 - - --------------------------------------------------------------------------------------------------------------------------------- Scotts Bluff County, Hospital Authority, West Medical Project Center, Revenue, 6.45%, 2004 4,535 4,824 - - --------------------------------------------------------------------------------------------------------------------------------- 50,466 NEVADA - - --------------------------------------------------------------------------------------------------------------------------------- Humboldt County, Pollution Control, Idaho Power Company, Revenue, 8.30%, 2014 9,650 11,141 - - --------------------------------------------------------------------------------------------------------------------------------- NEW JERSEY - - --------------------------------------------------------------------------------------------------------------------------------- Bergen County Utilities Authority, Solid Waste System, Refunding Revenue, 5.50%, 2013 9,000 8,737 - - --------------------------------------------------------------------------------------------------------------------------------- Camden County Municipal Utilities Authority, Revenue, 8.25%, 2017 15,600 17,189 - - --------------------------------------------------------------------------------------------------------------------------------- Essex County Improvement Authority, County Jail and Youth Housing Project, General Obligation Lease Revenue, 6.90%, 2014 2,645 2,907 - - --------------------------------------------------------------------------------------------------------------------------------- Essex County, Property and Equipment Improvement Leasing Program, Revenue, 6.50%, 2012 4,050 4,306 - - --------------------------------------------------------------------------------------------------------------------------------- Jersey City Sewer Authority, Sewer Refunding Revenue, 4.50%, 2019 15,460 12,593 - - --------------------------------------------------------------------------------------------------------------------------------- Monmouth County Improvement Authority, Water Treatment Facilities, Refunding Revenue, 5.25%, 2012 2,500 2,364 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Building Authority, State Building Refunding Revenue, 5.00%, 2016 10,000 8,874 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Economic Development Authority, Market Transition Facility, Senior Lien Revenue, 5.80% and 5.875%, 2007 and 2011 24,000 24,105 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Health Care Facilities Financing Authority, Atlantic City Medical Center, Revenue, 6.80%, 2011 3,165 3,283 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Health Care Facilities Financing Authority, Bayonne Hospital, Revenue, 6.25%, 2012 1,500 1,529 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Health Care Facilities Financing Authority, Southern Ocean County Hospital, Revenue, 6.125% and 6.25%, 2013 and 2023 7,235 6,667 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Health Care Facilities Financing Authority, St. Clares Riverside Medical Center Obligated Group Issue, Refunding Revenue, 5.75%, 2010 2,000 1,998 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Health Care Facilities Financing Authority, West Jersey Health System, Revenue, 6.125%, 2012 11,000 11,150 - - --------------------------------------------------------------------------------------------------------------------------------- New Jersey Turnpike Authority, Revenue, 5.75% to 10.375%, 2003 through 2016 34,825 36,848 - - --------------------------------------------------------------------------------------------------------------------------------- Passaic Valley Sewerage Commission, Sewer System, Refunding Revenue, 5.75%, 2015 5,440 5,355 - - --------------------------------------------------------------------------------------------------------------------------------- 147,905 NEW MEXICO - - --------------------------------------------------------------------------------------------------------------------------------- Albuquerque, Health Care, Ltd. Project, Revenue, 9.75%, 2014 1,430 1,587 - - --------------------------------------------------------------------------------------------------------------------------------- Albuquerque, Southwest Community Health Services, Revenue, 10.00%, 2003 990 1,306 - - --------------------------------------------------------------------------------------------------------------------------------- City of Farmington, Utility System, Refunding Revenue, 5.75%, 2013 10,250 10,012 - - --------------------------------------------------------------------------------------------------------------------------------- Los Alamos County, Utility System, Revenue, 6.10%, 2010 4,400 4,504 - - --------------------------------------------------------------------------------------------------------------------------------- Socorro Hospital System, Southwest Community Health Services, Revenue, 10.00%, 2003 1,500 1,993 - - --------------------------------------------------------------------------------------------------------------------------------- Truth or Consequences, Nursing Home Improvement, Sierra Health Care, Inc., Revenue, 9.75%, 2014 955 1,061 - - --------------------------------------------------------------------------------------------------------------------------------- 20,463
11 13 (Dollars in thousands)
Principal NEW YORK Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Transit Authority, Service Contract Commuter Facility, Revenue, 6.125%, 2014 $ 2,990 $ 3,008 - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Transit Authority, Transit Facilities, Revenue, 5.50% and 6.25%, 2022 and 2014 8,500 8,424 - - --------------------------------------------------------------------------------------------------------------------------------- New York City, Educational Construction Fund, Revenue, 5.50%, 2011 8,300 8,021 - - --------------------------------------------------------------------------------------------------------------------------------- New York City, General Obligation, 5.625% to 8.40%, 2000 through 2015 58,215 61,808 - - --------------------------------------------------------------------------------------------------------------------------------- New York City, Housing Development Corporation, Multi-family Housing, Revenue, 5.85%, 2026 31,795 30,361 - - --------------------------------------------------------------------------------------------------------------------------------- New York City Industrial Development Authority, USTA National Tennis Center Incorporated Project, Civil Facility Revenue, 6.50% and 6.60%, 2010 and 2011 6,485 6,873 - - --------------------------------------------------------------------------------------------------------------------------------- New York City, Municipal Water Finance Authority, Revenue, 5.375% through 7.00%, 2019 and 2015 12,000 11,385 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Dormitory Authority, City University System, Consolidated Revenue, 5.375% and 5.75%, 2007 9,570 9,329 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Dormitory Authority, State University Educational Facilities, Revenue, 5.25% and 5.875%, 2010 and 2011 11,440 11,239 - - --------------------------------------------------------------------------------------------------------------------------------- New York Energy Research, Revenue, 6.90% and 7.15%, 2022 6,650 6,236 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Environmental Facilities Corporation, State Water Pollution Control, Revolving Fund Revenue, 6.875 to 7.25%, 2010 through 2014 18,875 20,305 - - --------------------------------------------------------------------------------------------------------------------------------- New York Local Government Assistance Corporation, Revenue, 6.00%, 2024 14,450 14,158 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Medical Care Facilities Finance Agency, Hospital and Nursing Home, Revenue, 6.375% and 6.45%, 2029 and 2009 14,320 14,863 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Medical Care Facilities Finance Agency, Mental Health Services Facilities Improvement, Revenue, 5.375% to 7.75%, 2010 through 2014 18,935 18,376 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Medical Care Facilities Finance Agency, New York Hospital, Mortgage Revenue, 6.75%, 2014 8,000 8,553 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Power Authority, Electrical Revenue, 8.00%, 2017 10,000 10,897 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Power Authority, General Purpose, Revenue, 5.125%, 2010 5,450 5,028 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Urban Development Corporation, Correctional Facilities, Revenue, 5.375%, 2012 7,000 6,620 - - --------------------------------------------------------------------------------------------------------------------------------- Port Authority of New York and New Jersey, LaGuardia Airport Passenger Terminal, Special Obligation, Revenue, 9.125%, 2015 3,225 3,584 - - --------------------------------------------------------------------------------------------------------------------------------- Port Authority of New York and New Jersey, Revenue, 5.20% and 6.50%, 2012 and 2008 7,390 7,529 - - --------------------------------------------------------------------------------------------------------------------------------- Triborough Bridge and Tunnel Authority, Revenue, 6.875% and 8.125%, 2015 and 2012 14,000 15,401 - - --------------------------------------------------------------------------------------------------------------------------------- 281,998 NORTH CAROLINA - - --------------------------------------------------------------------------------------------------------------------------------- Durham County, 1991 Jail Facilities and Computer Equipment Financing Project, Revenue, 6.625%, 2014 5,500 5,685 - - --------------------------------------------------------------------------------------------------------------------------------- North Carolina Municipal Power Agency Number 1, Catawba Electric, Revenue, 5.00%, 2015 and 2018 22,350 19,635 - - --------------------------------------------------------------------------------------------------------------------------------- Raleigh-Durham Airport Authority, American Airlines, Inc., Revenue, 9.625%, 2015 5,000 5,240 - - --------------------------------------------------------------------------------------------------------------------------------- 30,560 NORTH DAKOTA - - --------------------------------------------------------------------------------------------------------------------------------- North Dakota Housing Finance Agency, Single Family Mortgage Program, Revenue, 8.05%, 2024 1,245 1,281 - - --------------------------------------------------------------------------------------------------------------------------------- OHIO - - --------------------------------------------------------------------------------------------------------------------------------- Board of Education, Cleveland City School District, Library Improvement, General Obligation, 5.875%, 2011 1,485 1,500 - - --------------------------------------------------------------------------------------------------------------------------------- City of Springdale, Hospital Facilities First Mortgage, Southwestern Ohio Seniors Services, Revenue, 6.00%, 2018 1,250 1,090 - - --------------------------------------------------------------------------------------------------------------------------------- Clermont County Hospital Facilities, Mercy Health Systems, Revenue, 5.875%, 2015 240 238 - - --------------------------------------------------------------------------------------------------------------------------------- Cleveland, General Obligation, 5.375% and 5.875%, 2009 and 2011 3,500 3,448 - - --------------------------------------------------------------------------------------------------------------------------------- Cleveland, Public Power System Improvement, First Mortgage Revenue, 7.00%, 2017 850 876 - - --------------------------------------------------------------------------------------------------------------------------------- Cleveland Water Works System, Refunding Revenue, 5.50% and 6.50%, 2013 and 2011 7,380 7,537 - - --------------------------------------------------------------------------------------------------------------------------------- Columbus, General Obligation, 5.25%, 2011 2,700 2,538 - - --------------------------------------------------------------------------------------------------------------------------------- Cuyahoga County, Merida Health System, Hospital Revenue, 6.25%, 2014 and 2024 9,470 9,512 - - --------------------------------------------------------------------------------------------------------------------------------- Dublin City School District, General Obligation, 6.20%, 2019 200 202 - - --------------------------------------------------------------------------------------------------------------------------------- Franklin County, General Obligation, 5.45% and 5.55%, 2009 and 2010 8,440 8,310 - - --------------------------------------------------------------------------------------------------------------------------------- Franklin County, Limited Tax General Obligation, 5.85%, 2019 5,740 5,651 - - --------------------------------------------------------------------------------------------------------------------------------- Franklin County, Riverside United Methodist Hospital Project, Revenue, 5.75%, 2020 250 235 - - --------------------------------------------------------------------------------------------------------------------------------- Hamilton County, Metropolitan Sewer District of Greater Cincinnati, Revenue, 5.25%, 2016 300 276 - - --------------------------------------------------------------------------------------------------------------------------------- Lake County, Hospital Improvement, Hospital System Refunding Revenue, 5.375%, 2010 7,400 7,148 - - --------------------------------------------------------------------------------------------------------------------------------- Lucas County, St. Vincent Medical Center, Hospital Refunding Revenue, 5.45%, 2014 2,000 1,902 - - --------------------------------------------------------------------------------------------------------------------------------- Marion County Health Care Facilities Refunding and Improvement, United Church Homes Project, Revenue, 6.30% and 6.375%, 2015 and 2010 5,350 4,954 - - ---------------------------------------------------------------------------------------------------------------------------------
12 14 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Maumee, St. Luke's Hospital Project, Hospital Facilities Revenue, 5.80%, 2014 $ 1,250 $ 1,235 - - --------------------------------------------------------------------------------------------------------------------------------- Montgomery County, Miami Valley Hospital, Revenue, 9.375%, 2005 3,000 3,152 - - --------------------------------------------------------------------------------------------------------------------------------- Muskingum County, Franciscan Health Advisory Services, Inc., Revenue, 7.50%, 2012 7,470 7,702 - - --------------------------------------------------------------------------------------------------------------------------------- North Canton School District, General Obligation, 5.90%, 2014 2,000 1,998 - - --------------------------------------------------------------------------------------------------------------------------------- Northwestern Local School District, School Improvement, General Obligation, 6.00%, 2016 1,000 1,003 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio Building Authority, State Correctional Facilities, Revenue, 5.00%, 2012 7,000 6,194 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio Building Authority, Workers Compensation Facility, William Green Building, Revenue, 4.75%, 2014 8,230 6,884 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio State Higher Education Facility Commission, Oberlin College Project, Revenue, 5.375%, 2015 1,750 1,610 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio State Higher Education Facility Commission, Revenue, 6.70%, 2003 6,725 7,261 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio State Higher Education Facility Commission, University of Dayton 1994 Project, Revenue, 5.80%, 2014 and 2019 1,300 1,289 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio University, General Receipts Revenue, 5.00%, 2013 2,000 1,803 - - --------------------------------------------------------------------------------------------------------------------------------- Scioto County, Sewer System, General Obligation, 6.30%, 2011 500 523 - - --------------------------------------------------------------------------------------------------------------------------------- Scioto County USHCSO-Portsmouth Project, Hospital Facilities, Revenue, 7.625%, 2015 2,000 2,170 - - --------------------------------------------------------------------------------------------------------------------------------- State of Ohio, Building Authority, Facilities Administration Building Fund Project, Revenue, 5.50%, 2012 250 236 - - --------------------------------------------------------------------------------------------------------------------------------- State of Ohio, Phillip Morris, Inc., Pollution Control, Revenue, 7.25%, 2008 10,000 10,761 - - --------------------------------------------------------------------------------------------------------------------------------- State of Ohio, Water Development Authority, Safe Water, Refunding Revenue, 5.00%, 2012 8,340 7,625 - - --------------------------------------------------------------------------------------------------------------------------------- State of Ohio, Water Development Authority, Safe Water, Refunding Revenue, 5.50%, 2018 6,500 6,154 - - --------------------------------------------------------------------------------------------------------------------------------- Village of Green Springs, St. Francis Health Care Centre Project, Health Care Facilities Revenue, 7.00% and 7.125%, 2014 and 2025 8,640 8,431 - - --------------------------------------------------------------------------------------------------------------------------------- West Geauga Local School District, School Improvement, General Obligation, 5.95%, 2012 2,500 2,515 - - --------------------------------------------------------------------------------------------------------------------------------- Worthington City School District, General Obligation, 6.375%, 2012 6,210 6,456 - - --------------------------------------------------------------------------------------------------------------------------------- Youngstown State University, General Receipts, Revenue, 6.00%, 2016 700 702 - - --------------------------------------------------------------------------------------------------------------------------------- 141,121 OKLAHOMA - - --------------------------------------------------------------------------------------------------------------------------------- Grand River Dam Authority, Revenue, 5.50%, 2009 19,000 18,980 - - --------------------------------------------------------------------------------------------------------------------------------- PENNSYLVANIA - - --------------------------------------------------------------------------------------------------------------------------------- Allegheny County Hospital Development Authority, Magee Womens Hospital, Revenue, 6.00%, 2005 1,525 1,581 - - --------------------------------------------------------------------------------------------------------------------------------- Armstrong County Hospital Authority, St. Francis Medical Center Project, Hospital Refunding Revenue, 6.25%, 2013 11,350 11,507 - - --------------------------------------------------------------------------------------------------------------------------------- City of Pittsburgh Public Finance Authority, Wastewater Refunding Revenue, 4.75% and 6.50%, 2016 and 2013 13,335 12,465 - - --------------------------------------------------------------------------------------------------------------------------------- Columbia County, First Association Project, First Mortgage Revenue, 9.00%, 2014 1,970 2,078 - - --------------------------------------------------------------------------------------------------------------------------------- Dauphin County Industrial Development Authority, Susquehanna Center Nursing Facility, First Mortgage Revenue, 10.45%, 2011 1,115 825 - - --------------------------------------------------------------------------------------------------------------------------------- Lehigh County, General Purpose Authority, Lehigh Valley Hospital Inc., Revenue, 6.50%, 2010 6,000 6,319 - - --------------------------------------------------------------------------------------------------------------------------------- McKean County Hospital Authority, Bradford Hospital Project, Hospital Refunding Revenue, 6.00% and 6.10%, 2013 and 2020 5,500 4,837 - - --------------------------------------------------------------------------------------------------------------------------------- Pennsylvania Convention Center Authority, Refunding Revenue, 6.75%, 2019 8,775 8,844 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia, Gas Works Revenue, 5.250% to 6.375%, 2008 through 2015 31,555 30,962 - - --------------------------------------------------------------------------------------------------------------------------------- Pennsylvania Industrial Development Authority, Economic Development, Revenue, 5.50% and 6.00%, 2014 and 2012 8,240 8,028 - - --------------------------------------------------------------------------------------------------------------------------------- Pennsylvania Intergovernmental Cooperation Authority, City of Philadelphia Funding Program, Revenue, 5.625%, 2023 7,000 6,581 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia Municipal Authority, Lease Revenue, 6.125% to 6.30%, 2008 through 2017 8,800 8,474 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia School District, General Obligation, 5.65% to 5.80%, 2006 through 2008 2,000 2,009 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia, Water & Wastewater Revenue, 5.00% to 5.75%, 2012 through 2016 47,340 43,951 - - --------------------------------------------------------------------------------------------------------------------------------- Schuylkill County Industrial Development Authority, Schuylkill Energy Resources Inc. Project, Resource Recovery Refunding Revenue, 6.50%, 2010 9,590 9,143 - - --------------------------------------------------------------------------------------------------------------------------------- 157,604 PUERTO RICO - - --------------------------------------------------------------------------------------------------------------------------------- Puerto Rico, Public Building, Guaranteed Public Education & Health Revenue, 5.50%, 2007 3,000 3,032 - - --------------------------------------------------------------------------------------------------------------------------------- SOUTH CAROLINA - - --------------------------------------------------------------------------------------------------------------------------------- Charleston County, Public Facilities Corporation, Certificates of Participation, 6.875% and 7.00%, 2014 and 2019 7,615 8,234 - - --------------------------------------------------------------------------------------------------------------------------------- Charleston Waterworks and Sewer Refunding and Improvement, Revenue, 5.50%, 2008 2,000 2,004 - - --------------------------------------------------------------------------------------------------------------------------------- Darlington County, Carolina Power & Light Company Project, Pollution Control Revenue, 6.60%, 2010 7,500 8,029 - - --------------------------------------------------------------------------------------------------------------------------------- Florence County, McLeod Regional Medical Center Project, Revenue, 5.25%, 2009 2,000 1,904 - - ---------------------------------------------------------------------------------------------------------------------------------
13 15 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Grand Strand Water and Sewer Refunding, Revenue, 6.375%, 2012 $ 5,000 $ 5,287 - - --------------------------------------------------------------------------------------------------------------------------------- 25,458 TENNESSEE - - --------------------------------------------------------------------------------------------------------------------------------- Metropolitan Nashville Airport Authority, Airport Improvement Refunding, Revenue, 6.60%, 2015 5,250 5,490 - - --------------------------------------------------------------------------------------------------------------------------------- Tennessee Housing Development Agency, Mortgage Finance Program, Revenue, 7.05% and 7.125%, 2020 and 2026 25,980 26,971 - - --------------------------------------------------------------------------------------------------------------------------------- 32,461 TEXAS - - --------------------------------------------------------------------------------------------------------------------------------- Austin, Combined Utility Systems, Capital Appreciation, Revenue, zero coupon, 2009 6,875 2,900 - - --------------------------------------------------------------------------------------------------------------------------------- Austin, Combined Utility Systems Refunding Revenue, 5.75%, 2014 5,630 5,462 - - --------------------------------------------------------------------------------------------------------------------------------- Austin, Water, Sewer and Electric Revenue, 11.00% and 14.00%, 1996 and 2001 5,000 6,563 - - --------------------------------------------------------------------------------------------------------------------------------- Brazoria County, Health Facilities Development Corporation, Hospital Refunding, 5.50%, 2013 4,350 4,106 - - --------------------------------------------------------------------------------------------------------------------------------- Brazos River Authority, Texas Utilities Electric Company Project, Revenue, 8.125%, 2020 4,495 4,853 - - --------------------------------------------------------------------------------------------------------------------------------- Colorado River Municipal Water District, Water System Refunding Revenue, 5.30%, 2008 2,700 2,615 - - --------------------------------------------------------------------------------------------------------------------------------- Dallas-Fort Worth International Airport Facility Improvement Corporation, American Airlines, Revenue, 7.50%, 2025 19,000 19,460 - - --------------------------------------------------------------------------------------------------------------------------------- Dallas, Water and Sewer Works, Refunding Revenue, 5.00%, 2009 1,750 1,600 - - --------------------------------------------------------------------------------------------------------------------------------- Denton County, Improvement and Refunding Bond, General Obligation, 5.00%, 2012 5,200 4,710 - - --------------------------------------------------------------------------------------------------------------------------------- East Texas Criminal Justice Facilities Financing Corporation, Angelina County Project, Revenue, 5.25%, 2014 1,000 916 - - --------------------------------------------------------------------------------------------------------------------------------- Ector County, Hospital District, Revenue, 7.30%, 2012 550 577 - - --------------------------------------------------------------------------------------------------------------------------------- El Paso, General Obligation, 4.50%, 2013 2,605 2,158 - - --------------------------------------------------------------------------------------------------------------------------------- Georgetown Higher Education Finance Corporation, Southwestern University Project, Higher Education Revenue, 6.20% and 6.25%, 2011 and 2009 1,840 1,869 - - --------------------------------------------------------------------------------------------------------------------------------- Harris County, Health Facilities Development Corporation, St. Luke's Episcopal Hospital Project, Revenue, 6.75%, 2021 880 904 - - --------------------------------------------------------------------------------------------------------------------------------- Harris County, Hospital District, Mortgage Revenue, 7.40%, 2010 6,940 7,979 - - --------------------------------------------------------------------------------------------------------------------------------- Harris County, Toll Road Senior Lien, Refunding Revenue, 5.00% and 6.75%, 2016 and 2014 17,650 18,119 - - --------------------------------------------------------------------------------------------------------------------------------- Houston Higher Education Finance Corporation, University of St. Thomas, Higher Education Revenue, 7.25%, 2007 1,445 1,501 - - --------------------------------------------------------------------------------------------------------------------------------- Lower Colorado River Authority, Junior Lien, Refunding Revenue, 5.25% and 6.00%, 2015 10,645 9,773 - - --------------------------------------------------------------------------------------------------------------------------------- Lubbock Health Facilities Development Corporation, Methodist Hospital Project, Revenue, 5.50%, 2014 4,000 3,749 - - --------------------------------------------------------------------------------------------------------------------------------- Matagorda County, Navigation District Number 1, Central Power and Light Company, Pollution Control Revenue, 7.875%, 2016 10,890 11,432 - - --------------------------------------------------------------------------------------------------------------------------------- Matagorda County, Navigation District Number 1, Houston Lighting and Power Company, Pollution Control Revenue, 7.875%, 2016 13,735 14,217 - - --------------------------------------------------------------------------------------------------------------------------------- North Central Texas Health Facilities Development Corporation, Presbyterian Healthcare System Project, Revenue, 5.90%, 2021 2,200 2,080 - - --------------------------------------------------------------------------------------------------------------------------------- Northwest Independent School District, Unlimited Tax, School Building and Refunding Revenue, zero coupon, 2010 4,890 1,934 - - --------------------------------------------------------------------------------------------------------------------------------- Rio Grande Valley Health Facilities Development Corporation, Golden Palms Retirement and Health Center, Revenue, 6.40%, 2012 3,700 3,796 - - --------------------------------------------------------------------------------------------------------------------------------- Round Rock, Independent School District, General Obligation, zero coupon, 2011 5,000 1,893 - - --------------------------------------------------------------------------------------------------------------------------------- Sabine River Authority, Texas Utilities Electric Company, Revenue, 8.125%, 2020 1,470 1,580 - - --------------------------------------------------------------------------------------------------------------------------------- San Antonio, Electric and Gas Systems, Refunding Revenue, zero coupon and 5.00%, 2010 and 2016 19,250 14,400 - - --------------------------------------------------------------------------------------------------------------------------------- Socorro Independent School District, Refunding Revenue, 6.625%, 2013 910 947 - - --------------------------------------------------------------------------------------------------------------------------------- Tarrant County Health Facilities Development Corporation, Harris Methodist Health System, Revenue, 6.00%, 2014 4,500 4,484 - - --------------------------------------------------------------------------------------------------------------------------------- Tarrant County Water Control and Improvement District Number One, Water Refunding Revenue, 4.50%, 2011 5,000 4,278 - - --------------------------------------------------------------------------------------------------------------------------------- Housing Agency, Single Family Mortgage Revenue, 7.15%, 2012 1,415 1,481 - - --------------------------------------------------------------------------------------------------------------------------------- Texas Public Finance Authority, General Obligation, 5.50% and 7.00%, 2013 and 2012 23,407 23,253 - - --------------------------------------------------------------------------------------------------------------------------------- Texas Turnpike Authority, Dallas North Tollway, Refunding Revenue, 4.75%, 2011 through 2014 13,400 11,600 - - --------------------------------------------------------------------------------------------------------------------------------- Titus County Hospital District, Refunding and Improvement, Refunding Revenue, 6.125%, 2013 6,700 6,203 - - --------------------------------------------------------------------------------------------------------------------------------- Travis County Housing Finance Corporation, Residential Mortgage, Senior Refunding Revenue, 7.00%, 2011 480 506 - - ------------------------------------------------------------------------------------------------------------------------------ University of Texas, Permanent University Fund, Refunding Revenue, 6.25%, 2013 2,500 2,549 - - --------------------------------------------------------------------------------------------------------------------------------- 206,447 UTAH - - --------------------------------------------------------------------------------------------------------------------------------- Davis County Solid Waste Management & Energy Recovery, Special Service District, Revenue, 6.125%, 2009 2,200 2,070 - - --------------------------------------------------------------------------------------------------------------------------------- Intermountain Power Agency, Power Supply System, Refunding Revenue, 7.50% and 9.00%, 2021 and 2019 12,045 12,567 - - --------------------------------------------------------------------------------------------------------------------------------- Utah State Housing Finance Agency, Single Family Mortgage Revenue, 8.625%, 2019 1,110 1,170 - - ---------------------------------------------------------------------------------------------------------------------------------
14 16 (Dollars in thousands)
Principal Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- West Valley City, Salt Lake County Excise Tax, Revenue, 10.625%, 2004 $ 1,000 $ 1,361 - - --------------------------------------------------------------------------------------------------------------------------------- 17,168 VIRGINIA - - --------------------------------------------------------------------------------------------------------------------------------- City of Roanoke, Industrial Development Authority, Hospital Refunding, Revenue, 5.25%, 2025 4,650 4,107 - - --------------------------------------------------------------------------------------------------------------------------------- Richmond, Public Improvement, General Obligation, 5.50%, 2013 35,145 32,854 - - --------------------------------------------------------------------------------------------------------------------------------- Stafford County, Water and Sewer System Refunding Revenue, 5.25%, 2012 2,000 1,866 - - --------------------------------------------------------------------------------------------------------------------------------- Virginia State Transit Board, Revenue, 5.625%, 2013 6,000 5,754 - - --------------------------------------------------------------------------------------------------------------------------------- 44,581 VIRGIN ISLANDS - - --------------------------------------------------------------------------------------------------------------------------------- Virgin Islands Public Finance Authority, Refunding Revenue, 7.25%, 2018 3,000 3,110 - - --------------------------------------------------------------------------------------------------------------------------------- WASHINGTON - - --------------------------------------------------------------------------------------------------------------------------------- Washington Public Power Supply System, Nuclear Project #2, Refunding Revenue, 7.00%, 2012 57,355 60,853 - - --------------------------------------------------------------------------------------------------------------------------------- Washington Public Power Supply System, Nuclear Project #3, Refunding Revenue, 5.375%, 2015 26,410 24,084 - - --------------------------------------------------------------------------------------------------------------------------------- 84,937 WISCONSIN - - --------------------------------------------------------------------------------------------------------------------------------- Wisconsin Health and Education Facilities Authority, Aurora Health Care Group, Revenue, 5.25%, 2012 11,500 10,484 - - --------------------------------------------------------------------------------------------------------------------------------- Wisconsin Health and Education Facilities Authority, Wausau Hospitals, Inc., Project, Revenue, 6.625%, 2011 3,000 3,132 - - --------------------------------------------------------------------------------------------------------------------------------- 13,616 WYOMING Wyoming Community Development Authority, Single Family Mortgage Revenue, 7.875% and 8.125%, 2017 and 2021 2,805 2,945 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL OTHER OBLIGATIONS--92.3% 3,310,219 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL OBLIGATIONS--97.8% (Cost: $3,378,853) 3,505,314 - - --------------------------------------------------------------------------------------------------------------------------------- MONEY MARKET INSTRUMENTS 4.15% to 4.95% Due--April 1995 - - --------------------------------------------------------------------------------------------------------------------------------- City of Chicago-O'Hare 13,000 13,000 - - --------------------------------------------------------------------------------------------------------------------------------- Farmington, New Mexico APS 94B 14,700 14,700 - - --------------------------------------------------------------------------------------------------------------------------------- North Carolina Medical Care Community Pool-91 6,600 6,600 - - --------------------------------------------------------------------------------------------------------------------------------- Other 22,500 22,500 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL MONEY MARKET INSTRUMENTS--1.6% (Cost $56,800) 56,800 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL INVESTMENTS--99.4% (Cost: $3,435,653) 3,562,114 - - --------------------------------------------------------------------------------------------------------------------------------- OTHER ASSETS LESS LIABILITIES--.6% 22,437 - - --------------------------------------------------------------------------------------------------------------------------------- NET ASSETS--100% $3,584,551 - - ---------------------------------------------------------------------------------------------------------------------------------
See accompanying Note to Portfolios of Investments. 15 17 KEMPER INTERMEDIATE MUNICIPAL BOND FUND PORTFOLIO OF INVESTMENTS March 31, 1995 (Dollars in thousands)
ISSUER ADVANCE REFUNDED OBLIGATIONS SECURED AS TO PRINCIPAL AND INTEREST BY UNITED STATES GOVERNMENT SECURITIES Principal DELAWARE Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- State of Delaware, General Obligation, 6.95%, to be called 5-1-00 @ 102 $ 135 $ 149 - - --------------------------------------------------------------------------------------------------------------------------------- MASSACHUSETTS - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Bay Transportation Authority, Revenue, 7.625%, to be called 3-1-00 @ 102 115 130 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Water Restoration Authority, Revenue, 7.00%, to be called 4-1-01 @ 102 145 160 - - --------------------------------------------------------------------------------------------------------------------------------- 290 NEW YORK - - --------------------------------------------------------------------------------------------------------------------------------- New York State Dormitory Authority, State University Educational Facilities Revenue, 7.25%, to be called 5-15-00 @ 102 145 162 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Local Government Assistance Corporation, 7.00%, to be called 4-1-01 @ 102 100 112 - - --------------------------------------------------------------------------------------------------------------------------------- 274 PENNSYLVANIA - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia, Gas Works Revenue, 7.70%, to be called 6-15-01 @ 102 120 139 - - --------------------------------------------------------------------------------------------------------------------------------- VIRGINIA - - --------------------------------------------------------------------------------------------------------------------------------- Arlington County Industrial Development Authority, The Arlington Hospital, Revenue, 7.125%, to be called 9-1-01 @ 102 90 101 - - --------------------------------------------------------------------------------------------------------------------------------- Richmond, Public Improvement, General Obligation, 6.875%, to be called 1-15-00 @ 102 100 110 - - --------------------------------------------------------------------------------------------------------------------------------- 211 WASHINGTON - - --------------------------------------------------------------------------------------------------------------------------------- King County, Auburn School District #408, General Obligation, 7.00%, to be called 12-1-00 @ 100 100 110 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL ADVANCE REFUNDED OBLIGATIONS -- 10.3% 1,173 - - --------------------------------------------------------------------------------------------------------------------------------- OTHER OBLIGATIONS ARIZONA - - --------------------------------------------------------------------------------------------------------------------------------- Arizona State University Board of Regents, Refunding Revenue, 6.50%, 2001 85 91 - - --------------------------------------------------------------------------------------------------------------------------------- Arizona Transportation Board, Highway Revenue, 6.10%, 2002 70 74 - - --------------------------------------------------------------------------------------------------------------------------------- Maricopa County, Certificates of Participation, 6.25%, 2000 440 465 - - --------------------------------------------------------------------------------------------------------------------------------- Phoenix, Street and Highway User Revenue, 5.95%, 2000 400 419 - - --------------------------------------------------------------------------------------------------------------------------------- 1,049 ARKANSAS - - --------------------------------------------------------------------------------------------------------------------------------- North Little Rock, Electric System, Refunding Revenue, 6.00% and 6.15%, 2001 and 2003 295 314 - - --------------------------------------------------------------------------------------------------------------------------------- CALIFORNIA - - --------------------------------------------------------------------------------------------------------------------------------- Fresno, Water System, Water Remediation Project, Revenue, 7.50%, 2004 160 186 - - --------------------------------------------------------------------------------------------------------------------------------- State of California, General Obligation, 6.10%, 2001 150 159 - - --------------------------------------------------------------------------------------------------------------------------------- 345 CONNECTICUT - - --------------------------------------------------------------------------------------------------------------------------------- Connecticut Health and Education Facilities Authority, Danbury Hospital, Revenue, 6.50%, 2014 70 73 - - --------------------------------------------------------------------------------------------------------------------------------- State of Connecticut, General Obligation, 5.95% and 6.00%, 2000 and 2001 305 320 - - --------------------------------------------------------------------------------------------------------------------------------- 393 FLORIDA - - --------------------------------------------------------------------------------------------------------------------------------- Broward County School District, General Obligation, 6.00%, 2004 70 74 - - --------------------------------------------------------------------------------------------------------------------------------- Florida Department of Natural Resources, Preservation 2000, Revenue, 6.20%, 1999 80 84 - - --------------------------------------------------------------------------------------------------------------------------------- Hillsborough County Aviation Authority, Tampa International Airport, Revenue, 6.90%, 2011 5 5 - - --------------------------------------------------------------------------------------------------------------------------------- North Broward Hospital District, Hospital Revenue, 6.125%, 2003 285 304 - - --------------------------------------------------------------------------------------------------------------------------------- 467 GEORGIA - - --------------------------------------------------------------------------------------------------------------------------------- Atlanta International Airport, Revenue, 6.50%, 2013 70 72 - - --------------------------------------------------------------------------------------------------------------------------------- Georgia Municipal Electric Power, Revenue, 6.00%, 2000 70 73 - - --------------------------------------------------------------------------------------------------------------------------------- 145 HAWAII - - --------------------------------------------------------------------------------------------------------------------------------- State of Hawaii, General Obligation, 7.25%, 2000 145 160 - - ---------------------------------------------------------------------------------------------------------------------------------
16 18 (Dollars in thousands)
Principal ILLINOIS Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Chicago Park District, General Obligation, 6.70%, 2011 $ 275 $ 291 - - --------------------------------------------------------------------------------------------------------------------------------- Illinois Health Facilities Authority, Franciscan Sisters Health Care Corporation Project, Revenue, 6.25%, 2002 350 369 - - --------------------------------------------------------------------------------------------------------------------------------- McHenry and Lake County School District Number 15, Certificates of Participation, 6.125%, 2003 85 90 - - --------------------------------------------------------------------------------------------------------------------------------- 750 INDIANA - - --------------------------------------------------------------------------------------------------------------------------------- Johnson County Hospital Association, Hospital Building Revenue, 6.50%, 2002 300 322 - - --------------------------------------------------------------------------------------------------------------------------------- KENTUCKY - - --------------------------------------------------------------------------------------------------------------------------------- Lexington -- Fayette Urban County, University of Kentucky Alumni Association Commonwealth Library Project, Revenue, 6.50%, 2009 300 320 - - --------------------------------------------------------------------------------------------------------------------------------- University of Kentucky, Consolidated Educational Building Revenue, 6.00% 1999 70 72 - - --------------------------------------------------------------------------------------------------------------------------------- 392 LOUISIANA - - --------------------------------------------------------------------------------------------------------------------------------- State of Louisiana, General Obligation, 7.00%, 2001 300 329 - - --------------------------------------------------------------------------------------------------------------------------------- MAINE - - --------------------------------------------------------------------------------------------------------------------------------- Maine Health and Higher Education Facilities Authority, Revenue, 6.30% and 6.50%, 2004 and 2006 260 276 - - --------------------------------------------------------------------------------------------------------------------------------- MARYLAND - - --------------------------------------------------------------------------------------------------------------------------------- Howard County, Consolidated Public Improvement, Revenue, 6.90%, 1999 70 75 - - --------------------------------------------------------------------------------------------------------------------------------- MASSACHUSETTS - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Massachusetts, General Obligation, 7.00%, 2007 275 298 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Bay Transit Authority, Revenue, 6.20% and 6.50%, 2016 and 2004 155 159 - - --------------------------------------------------------------------------------------------------------------------------------- Massachusetts Water Pollution Abatement Trust, SESD Loan Program, Revenue, 6.20%, 2010 45 46 - - --------------------------------------------------------------------------------------------------------------------------------- 503 MICHIGAN - - --------------------------------------------------------------------------------------------------------------------------------- Grand Rapids, Downtown Development Authority, Revenue, 6.20%, 2004 175 186 - - --------------------------------------------------------------------------------------------------------------------------------- Macomb County, Chippewa Valley Schools, General Obligation, 7.00%, 2001 350 386 - - --------------------------------------------------------------------------------------------------------------------------------- Michigan State Building Authority, Revenue, 6.25% and 6.50%, 2000 and 2004 165 178 - - --------------------------------------------------------------------------------------------------------------------------------- Oakland County, Birmingham CSO Drainage District, Revenue, 5.50%, 2002 25 26 - - --------------------------------------------------------------------------------------------------------------------------------- 776 NEBRASKA - - --------------------------------------------------------------------------------------------------------------------------------- Nebraska Public Power District, Nuclear Facility Revenue, 5.70%, 2004 50 51 - - --------------------------------------------------------------------------------------------------------------------------------- NEVADA - - --------------------------------------------------------------------------------------------------------------------------------- Clark County, Motor Vehicle Fuel Tax, Revenue, 5.625%, 2002 70 72 - - --------------------------------------------------------------------------------------------------------------------------------- State of Nevada, Capital Improvement, General Obligation, 5.90%, 2001 250 260 - - --------------------------------------------------------------------------------------------------------------------------------- 332 NEW JERSEY - - --------------------------------------------------------------------------------------------------------------------------------- Middlesex County Utility Authority, Solid Waste System Revenue, 6.10%, 2001 300 319 - - --------------------------------------------------------------------------------------------------------------------------------- NEW YORK - - --------------------------------------------------------------------------------------------------------------------------------- New York City, General Obligation, 5.75% and 6.50%, 2003 and 2002 200 198 - - --------------------------------------------------------------------------------------------------------------------------------- New York City Industrial Development Authority, USTA National Tennis Center Incorporated Project, Revenue, 6.10%, 2004 200 210 - - --------------------------------------------------------------------------------------------------------------------------------- New York State Thruway Authority, Highway and Bridge Trust Fund, Revenue, 5.75%, 2009 250 250 - - --------------------------------------------------------------------------------------------------------------------------------- Niagara Falls, Water Treatment Plant, Revenue, 6.40%, 2004 100 108 - - --------------------------------------------------------------------------------------------------------------------------------- 766 OHIO - - --------------------------------------------------------------------------------------------------------------------------------- Cleveland Water Works System, Revenue, 6.125%, 2003 450 477 - - --------------------------------------------------------------------------------------------------------------------------------- Ohio Water Development Authority, Pure Water Improvement Project, Revenue, 5.75%, 2003 5 5 - - --------------------------------------------------------------------------------------------------------------------------------- State of Ohio, General Obligation, 5.50%, 2001 125 129 - - --------------------------------------------------------------------------------------------------------------------------------- 611
17 19 (Dollars in thousands)
Principal OKLAHOMA Amount Value - - --------------------------------------------------------------------------------------------------------------------------------- Muskogee County, General Obligation, 6.00%, 2001 $ 10 $ 10 - - --------------------------------------------------------------------------------------------------------------------------------- PENNSYLVANIA - - --------------------------------------------------------------------------------------------------------------------------------- Allegheny County Hospital Development Authority, Magee Women's Hospital, Revenue, 6.25%, 2008 300 312 - - --------------------------------------------------------------------------------------------------------------------------------- Pennsylvania Intergovernmental Cooperation Authority, City of Philadelphia Funding Program, Revenue, 6.00%, 2002 285 298 - - --------------------------------------------------------------------------------------------------------------------------------- Philadelphia, Gas Works Revenue, 6.25%, 2008 150 150 - - --------------------------------------------------------------------------------------------------------------------------------- 760 PUERTO RICO - - --------------------------------------------------------------------------------------------------------------------------------- Commonwealth of Puerto Rico, General Obligation, 5.50%, 2009 100 100 - - --------------------------------------------------------------------------------------------------------------------------------- TEXAS - - --------------------------------------------------------------------------------------------------------------------------------- Fort Worth, Water and Sewer Revenue, 5.90%, 2001 80 83 - - --------------------------------------------------------------------------------------------------------------------------------- Houston Higher Education Finance Corporation, University of St. Thomas, Revenue, 7.25%, 2007 100 104 - - --------------------------------------------------------------------------------------------------------------------------------- San Antonio, Water Revenue, 6.00%, 2001 255 268 - - --------------------------------------------------------------------------------------------------------------------------------- Texas Public Finance Authority, Building Revenue, 5.875%, 2002 210 219 - - --------------------------------------------------------------------------------------------------------------------------------- Trinity River Authority, Ten Mile Creek System, Revenue, 5.50%, 2002 70 72 - - --------------------------------------------------------------------------------------------------------------------------------- 746 WASHINGTON - - --------------------------------------------------------------------------------------------------------------------------------- Tacoma, Electric System Revenue, 5.80%, 2004 70 72 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL OTHER OBLIGATIONS--88.6% 10,063 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL INVESTMENTS--98.9% (Cost: $10,775) 11,236 - - --------------------------------------------------------------------------------------------------------------------------------- OTHER ASSETS LESS LIABILITIES--1.1% 120 - - --------------------------------------------------------------------------------------------------------------------------------- NET ASSETS--100% $11,356 =================================================================================================================================
NOTE TO PORTFOLIOS OF INVESTMENTS Based on the cost of investments for federal income tax purposes at March 31, 1995, the unrealized appreciation and depreciation of investments is as follows:
Municipal Intermediate Fund Municipal Fund - - ---------------------------------------------------------------------------------------------------------------------------------- Cost of investments for federal income tax purposes $3,435,653,000 $10,775,000 - - -------------------------------------------------------------------------------------------------------------------------------- Gross unrealized appreciation 165,531,000 461,000 - - -------------------------------------------------------------------------------------------------------------------------------- Gross unrealized depreciation 39,070,000 -- - - -------------------------------------------------------------------------------------------------------------------------------- Net unrealized appreciation 126,461,000 461,000 ================================================================================================================================
See accompanying Notes to Financial Statements. 18 20 STATEMENT OF ASSETS AND LIABILITIES March 31, 1995 (in thousands)
INTERMEDIATE MUNICIPAL MUNICIPAL FUND FUND -------------- ------------ ASSETS - - -------------------------------------------------------------------------------------------------------------------------------- Investments, at value (Cost: $3,435,653 and $10,775) $ 3,562,114 11,236 - - -------------------------------------------------------------------------------------------------------------------------------- Receivable for: Fund shares sold 1,452 8 - - -------------------------------------------------------------------------------------------------------------------------------- Investments sold 76,145 -- - - -------------------------------------------------------------------------------------------------------------------------------- Interest 63,255 197 - - -------------------------------------------------------------------------------------------------------------------------------- Total assets 3,702,966 11,441 ================================================================================================================================ LIABILITIES AND NET ASSETS - - -------------------------------------------------------------------------------------------------------------------------------- Cash overdraft 4,526 67 - - -------------------------------------------------------------------------------------------------------------------------------- Payable for: Dividends 16 9 - - -------------------------------------------------------------------------------------------------------------------------------- Fund shares redeemed 2,525 -- - - -------------------------------------------------------------------------------------------------------------------------------- Investments purchased 108,978 -- - - -------------------------------------------------------------------------------------------------------------------------------- Management fee 1,236 -- - - -------------------------------------------------------------------------------------------------------------------------------- Distribution services fee 16 3 - - -------------------------------------------------------------------------------------------------------------------------------- Administrative services fee 435 1 - - -------------------------------------------------------------------------------------------------------------------------------- Custodian and transfer agent fees and related expenses 458 3 - - -------------------------------------------------------------------------------------------------------------------------------- Other 225 2 - - -------------------------------------------------------------------------------------------------------------------------------- Total liabilities 118,415 85 - - -------------------------------------------------------------------------------------------------------------------------------- Net assets $ 3,584,551 11,356 ================================================================================================================================ ANALYSIS OF NET ASSETS - - -------------------------------------------------------------------------------------------------------------------------------- Excess of amounts received from issuance of shares over amounts paid on redemptions of shares on account of capital $ 3,507,134 10,881 - - -------------------------------------------------------------------------------------------------------------------------------- Undistributed net realized gain (loss) on sales of investments (49,044) 14 - - -------------------------------------------------------------------------------------------------------------------------------- Unrealized appreciation of investments 126,461 461 - - -------------------------------------------------------------------------------------------------------------------------------- Net assets applicable to shares outstanding $ 3,584,551 11,356 ================================================================================================================================ THE PRICING OF SHARES - - -------------------------------------------------------------------------------------------------------------------------------- CLASS A SHARES Net assets applicable to shares outstanding $3,557,223.443 8,555.682 - - -------------------------------------------------------------------------------------------------------------------------------- Shares outstanding, no par value 357,398.811 862.542 - - -------------------------------------------------------------------------------------------------------------------------------- Net asset value and redemption price per share (net assets / shares outstanding) $ 9.95 9.92 - - -------------------------------------------------------------------------------------------------------------------------------- Maximum offering price per share (net asset value, plus 4.71%/2.83% of net asset value or 4.50%/2.75% of offering price) $ 10.42 10.20 ================================================================================================================================ CLASS B SHARES Net assets applicable to shares outstanding $ 26,370.720 2,155.097 - - -------------------------------------------------------------------------------------------------------------------------------- Shares outstanding, no par value 2,656.530 217.287 - - -------------------------------------------------------------------------------------------------------------------------------- Net asset value, offering price and redemption price (subject to contingent deferred sales charge) per share (net assets / shares outstanding) $ 9.93 9.92 ================================================================================================================================ CLASS C SHARES Net assets applicable to shares outstanding $ 957.428 645.372 - - -------------------------------------------------------------------------------------------------------------------------------- Shares outstanding, no par value 96.105 65.045 - - -------------------------------------------------------------------------------------------------------------------------------- Net asset value, offering price and redemption price per share (net assets / shares outstanding) $ 9.96 9.92 ================================================================================================================================
See accompanying Notes to Financial Statements. 19 21 STATEMENT OF OPERATIONS Six months ended March 31, 1995 (in thousands)
INTERMEDIATE MUNICIPAL MUNICIPAL FUND FUND(A) -------- ------------ INTEREST INCOME $113,403 191 - - ------------------------------------------------------------------------------------------------------------------------------ EXPENSES - - ------------------------------------------------------------------------------------------------------------------------------ Management fee 7,301 19 - - ------------------------------------------------------------------------------------------------------------------------------ Distribution services fee 71 7 - - ------------------------------------------------------------------------------------------------------------------------------ Administration services fee 2,330 5 - - ------------------------------------------------------------------------------------------------------------------------------ Custodian and transfer agent fees and related expenses 1,414 4 - - ------------------------------------------------------------------------------------------------------------------------------ Professional fees 38 1 - - ------------------------------------------------------------------------------------------------------------------------------ Reports to shareholders 81 -- - - ------------------------------------------------------------------------------------------------------------------------------ Registration fees 47 -- - - ------------------------------------------------------------------------------------------------------------------------------ Trustees' fees and other 182 5 - - ------------------------------------------------------------------------------------------------------------------------------ Total expenses before expense waiver 11,464 41 - - ------------------------------------------------------------------------------------------------------------------------------ Less expenses waived and absorbed by investment manager -- 19 - - ------------------------------------------------------------------------------------------------------------------------------ Total expenses absorbed by Fund 11,464 22 - - ------------------------------------------------------------------------------------------------------------------------------ Net investment income 101,939 169 - - ------------------------------------------------------------------------------------------------------------------------------ NET REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS - - ------------------------------------------------------------------------------------------------------------------------------ Net realized gain (loss) on sales of investments (37,781) 14 - - ------------------------------------------------------------------------------------------------------------------------------ Net realized loss from futures transactions (1,459) -- - - ------------------------------------------------------------------------------------------------------------------------------ Net realized gain (loss) (39,240) 14 - - ------------------------------------------------------------------------------------------------------------------------------ Net change in balance of unrealized appreciation of investments 142,260 461 - - ------------------------------------------------------------------------------------------------------------------------------ Net gain on investments 103,020 475 - - ------------------------------------------------------------------------------------------------------------------------------ Net increase in net assets resulting from operations $204,959 644 ============================================================================================================================== ( a ) For the period from November 1, 1994 (initial public offering) to March 31, 1995.
STATEMENT OF CHANGES IN NET ASSETS (in thousands)
INTERMEDIATE MUNICIPAL FUND MUNICIPAL FUND ----------------------------- -------------- SIX MONTHS NOVEMBER 1, ENDED YEAR ENDED 1994 TO MARCH 31, SEPTEMBER 30, MARCH 31, OPERATIONS 1995 1994 1995 ---------- -------------- -------------- - - --------------------------------------------------------------------------------------------------------------------------------- Net investment income $ 101,939 215,376 169 - - --------------------------------------------------------------------------------------------------------------------------------- Net realized gain (loss) on investments (39,240 ) 28,967 14 - - --------------------------------------------------------------------------------------------------------------------------------- Net change in unrealized appreciation 142,260 (396,629) 461 - - --------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) in net assets resulting from operations 204,959 (152,286) 644 - - --------------------------------------------------------------------------------------------------------------------------------- Net equalization credits -- 1,505 -- - - --------------------------------------------------------------------------------------------------------------------------------- DIVIDENDS TO SHAREHOLDERS - - --------------------------------------------------------------------------------------------------------------------------------- Distribution from net investment income (102,008 ) (218,505) (169) - - --------------------------------------------------------------------------------------------------------------------------------- Distribution from net realized gain on investments (12,759 ) (121,549) -- - - --------------------------------------------------------------------------------------------------------------------------------- Total dividends to shareholders (114,767 ) (340,054) (169) - - --------------------------------------------------------------------------------------------------------------------------------- Net increase (decrease) from capital share transactions (222,638 ) 135,206 10,781 - - --------------------------------------------------------------------------------------------------------------------------------- Total increase (decrease) in net assets (132,446 ) (355,629) 11,256 - - --------------------------------------------------------------------------------------------------------------------------------- NET ASSETS - - --------------------------------------------------------------------------------------------------------------------------------- Beginning of period 3,716,997 4,072,626 100 - - --------------------------------------------------------------------------------------------------------------------------------- End of period $3,584,551 3,716,997 11,356 ================================================================================================================================= Undistributed net investment income at end of period -- 29,011 -- =================================================================================================================================
20 22 NOTES TO FINANCIAL STATEMENTS 1. DESCRIPTION OF THE FUND The Kemper National Tax-Free Income Series (the Trust) is an open-end, management investment company comprised of the following Series: Kemper Municipal Bond Fund (Municipal Fund) and Kemper Intermediate Municipal Bond Fund (Intermediate Municipal Fund). The Intermediate Municipal Fund began offering shares on November 1, 1994. The Funds currently offer three classes of shares. Class A shares are sold to investors subject to an initial sales charge. Class B shares are sold without an initial sales charge but are subject to higher ongoing expenses than Class A shares and a contingent deferred sales charge payable upon certain redemptions. Class B shares automatically convert to Class A shares six years after issuance. Class C shares are sold without an initial or a contingent deferred sales charge but are subject to higher ongoing expenses than Class A shares and do not convert into another class. The Funds may offer Class I shares (none sold at March 31, 1995) to a limited group of investors which are not subject to initial or contingent deferred sales charges and have lower ongoing expenses than other classes. Each share of a Fund represents an identical interest in the investments of the Fund and has the same rights. 2. SIGNIFICANT ACCOUNTING POLICIES INVESTMENT VALUATION Investments are stated at value. Fixed income securities are valued by using market quotations, or independent pricing services that use prices provided by market makers or estimates of market values obtained from yield data relating to instruments or securities with similar characteristics. Exchange traded options are valued at the last sale price unless there is no sale price, in which event prices provided by market makers are used. Over-the-counter traded options are valued based upon prices provided by market makers. Financial futures and options thereon are valued at the settlement price established each day by the board of trade or exchange on which they are traded. Other securities and assets are valued at fair value as determined in good faith by the Board of Trustees. INVESTMENT TRANSACTIONS AND INTEREST INCOME Investment transactions are accounted for on the trade date (date the order to buy or sell is executed). Interest income is recorded on the accrual basis and premiums and original issue discount on securities are amortized. Realized gains and losses from investment transactions are reported on an identified cost basis. Realized and unrealized gains and losses on financial futures and options are included in net realized and unrealized gain (loss) on investments as appropriate. FUND SHARE VALUATION Fund shares are sold and redeemed on a continuous basis at net asset value (plus an initial sales charge on most sales of Class A Shares). Proceeds payable on redemption of Class B Shares will be reduced by the amount of any applicable contingent deferred sales charge. On each day the New York Stock Exchange is open for trading, the net asset value per share is determined as of the earlier of 3:00 p.m. Chicago time or the close of the Exchange. The net asset value per share is determined separately for each class by dividing the Fund's net assets attributable to that class by the number of shares of the class outstanding. FEDERAL INCOME TAXES AND DIVIDENDS TO SHAREHOLDERS Each Fund has complied with the special provisions of the Internal Revenue Code available to investment companies during the six months ended March 31, 1995. The accumulated net realized loss on sales of investments for federal income tax purposes at March 31, 1995, amounting to approximately $39,240,000, in the Municipal Fund is available to offset future taxable gains. If not applied, the loss carryover expires in 2003. Differences in dividends per share are due to different class expenses. The Intermediate Municipal Fund and, beginning October 1, 1994, the Municipal Fund declare and record a daily dividend equal to its net investment income for that day, to holders of shares for which payment has been received. Income dividends are then distributed monthly. Distributions are determined in accordance with income tax principles which may treat certain transactions differently than generally accepted accounting principles. 3. TRANSACTIONS WITH AFFILIATES MANAGEMENT AGREEMENT The Trust has a management agreement with Kemper Financial Services, Inc. (KFS). The Municipal Fund pays a fee at an annual rate of .45% of the first $250 million of average daily net assets declining gradually to .32% of average daily net assets in excess of $12.5 billion. The Municipal Fund incurred a management fee of $7,301,000 for the six months ended March 31, 1995. The Intermediate Municipal Fund pays a management fee at an annual rate of .55% of the first $250 million of average daily net assets declining gradually to 40% of average daily net assets in excess of $12.5 billion. The management fee for the Intermediate Municipal Fund is being waived and absorbed by KFS until May 1, 1995. After this point the management fee will be reinstated based on a schedule established by KFS. For the period ended March 31, 1995, the Intermediate Municipal Fund paid no management fee after the waiver. UNDERWRITING AND DISTRIBUTION SERVICES AGREEMENT The Trust has an underwriting and distribution services agreement with Kemper Distributors, Inc. (KDI). Before February 1, 1995, KFS was the Trust's principal underwriter and distributor. As principal underwriter for the Trust, KDI (as successor to KFS) retained commissions of 21 23 $151,000 for the period ended March 31, 1995 for sales of Class A shares after allowing $1,017,000 as commissions to firms of which $132,000 was paid to firms affiliated with KDI. For distribution services, the Trust pays KDI a fee of .75% of average daily net assets of the Class B and Class C shares. Pursuant to the agreement, KDI enters into related selling group agreements with various firms that provide distribution services to investors. KDI compensates these firms at various rates for sales of Class B and Class C shares. During the period ended March 31, 1995, the Trust incurred a distribution services fee for Class B and Class C shares of $78,000, and KDI paid $325,000 for commissions and distribution fees to firms, including $108,000 to firms affiliated with KDI. In addition, KDI received $46,000 of contingent deferred sales charges. ADMINISTRATIVE SERVICES AGREEMENT The Trust has an administrative services agreement with KDI. Before February 1, 1995, KFS was the Fund's administrator. For providing information and administrative services to shareholders, the Trust pays KDI a fee at an annual rate of up to .25% of average daily net assets. KDI in turn has various agreements with financial services firms that provide these services and pays these firms based on assets of Trust accounts the firms service. For the period ended March 31, 1995, the Trust incurred an administrative services fee of $2,335,000 and KDI (as successor to KFS) paid $2,348,000 to firms, including $471,000 that was paid to firms affiliated with KDI. CUSTODIAN AND TRANSFER AGENT AGREEMENT The Trust has a custodian agreement and a transfer agent agreement with Investors Fiduciary Trust Company (IFTC), which was 50% owned by KFS until January 31, 1995, when KFS sold IFTC to a third party. For the period ended March 31, 1995, the Trust incurred custodian and transfer agent fees of $926,000 (excluding related expenses). Pursuant to a services agreement with IFTC, Kemper Service Company (KSvC), and affiliate of KFS, is the shareholder service agent of the Fund. For the period ended March 31, 1995, IFTC remitted shareholder service fees of $1,013,000 to KSvC. OFFICERS AND TRUSTEES Certain officers or trustees of the Trust are also officers or directors of KFS. During the period ended March 31, 1995, the Trust made no direct payments to its officers and incurred trustees' fees of $18,000 to independent trustees. 4. INVESTMENT TRANSACTIONS For the period ended March 31, 1995 investment transactions (excluding short term instruments) are as follows (in thousands):
Intermediate Municipal Fund Municipal Fund -------------- -------------- Purchases $1,311,305 11,843 - - --------------------------------------------------------------- Proceeds from sales 1,458,204 1,182 - - ---------------------------------------------------------------
5. CAPITAL SHARE TRANSACTIONS The following tables summarize the activity in capital shares of the Funds (in thousands):
Six months ended Year ended March 31, September 30, 1995 1994 ------------------ ------------------- MUNICIPAL FUND Shares Amount Shares Amount ------- -------- ------- --------- Shares sold: Class A 11,429 109,301 50,713 $ 517,534 - - ------------------------------------------------------------------ Class B 1,854 17,613 1,748 17,481 - - ------------------------------------------------------------------ Class C 42 398 87 861 - - ------------------------------------------------------------------ Shares issued in reinvestment of dividends: Class A 7,788 74,485 22,146 229,840 - - ------------------------------------------------------------------ Class B 38 369 16 155 - - ------------------------------------------------------------------ Class C 2 20 1 4 - - ------------------------------------------------------------------ Shares redeemed: Class A (44,387) (421,395) (62,190) (624,503) - - ------------------------------------------------------------------ Class B (332) (3,099) (628) (6,166) - - ------------------------------------------------------------------ Class C (35) (335) -- -- - - ------------------------------------------------------------------ Conversion of shares: Class A 28 270 11 109 - - ------------------------------------------------------------------ Class B (28) (270) (11) (109) - - ------------------------------------------------------------------ Net (decrease) increase from capital share transactions (222,643) $ 135,206 ==================================================================
November 1, 1994 to March 31, 1995 -------------------- INTERMEDIATE MUNICIPAL FUND Shares Amount ------ ------- Shares sold: Class A 997 $ 9,422 - - --------------------------------------------------------------- Class B 243 2,298 - - --------------------------------------------------------------- Class C 65 616 - - --------------------------------------------------------------- Shares issued in reinvestment of dividends: Class A 11 110 - - --------------------------------------------------------------- Class B 2 19 - - --------------------------------------------------------------- Class C 1 7 - - --------------------------------------------------------------- Shares redeemed: Class A (145) (1,414) - - --------------------------------------------------------------- Class B (28) (272) - - --------------------------------------------------------------- Class C (1) (5) - - --------------------------------------------------------------- Net increase from capital share transactions $10,781 ===============================================================
6. FINANCIAL FUTURES CONTRACTS In order to protect itself against future changes in market conditions which otherwise might affect adversely the value of securities the Municipal Fund holds, the Fund has entered into exchange traded financial futures contracts as described below. The Fund bears the market risk that arises from changes in the value of these financial instruments. At the time the Fund enters into a futures contract, it is required to make a margin deposit with its custodian of a specified amount of cash or eligible securities. Subsequently, gain or loss is recognized and payments are made on a daily basis between the Fund and the broker as the market price of the futures contract fluctuates. At March 31, 1995, the market value of investments pledged by the Fund to cover margin requirements for open futures positions was $5,533,000. At March 31, 1995, the Fund had outstanding financial futures contracts as follows:
Notional Expiration Loss at Type Amount Position Month 3/31/95 - - ---- ----------- -------- ---------- ------- U.S. Municipal Bonds $10,000,000 Long June $25,000 ==================================================================
22 24 FINANCIAL HIGHLIGHTS
Class A ------------------------------------------------------------------ Six months ended March 31, Year ended September 30, MUNICIPAL FUND 1995 1994 1993 1992 1991 ---------- ---------- ---------- ---------- ---------- PER SHARE OPERATING PERFORMANCE: Net asset value, beginning of period $ 9.69 10.95 10.29 10.05 9.40 - - --------------------------------------------------------------------------------------------------------------------------------- Income from investment operations: Net investment income .27 .55 .61 .65 .69 - - --------------------------------------------------------------------------------------------------------------------------------- Net realized and unrealized gain (loss) on investments .31 (.92) .82 .35 .62 - - --------------------------------------------------------------------------------------------------------------------------------- Total from investment operations .58 (.37) 1.43 1.00 1.31 - - --------------------------------------------------------------------------------------------------------------------------------- Less dividends: Distribution from net investment income .28 .56 .62 .63 .66 - - --------------------------------------------------------------------------------------------------------------------------------- Distribution from net realized gain on investments .04 .33 .15 .13 -- - - --------------------------------------------------------------------------------------------------------------------------------- Total dividends .32 .89 .77 .76 .66 - - --------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $ 9.95 9.69 10.95 10.29 10.05 - - --------------------------------------------------------------------------------------------------------------------------------- TOTAL RETURN (%): 6.06 (3.67) 14.50 10.36 14.36 - - --------------------------------------------------------------------------------------------------------------------------------- RATIOS TO AVERAGE NET ASSETS (%): Expenses .65 .60 .47 .48 .48 - - --------------------------------------------------------------------------------------------------------------------------------- Net investment income 5.79 5.42 5.78 6.44 6.97 =================================================================================================================================
Class B Class C ------------------------------ ------------------------------ Six months May 31, Six months May 31, ended 1994, to ended 1994 to March 31, September 30, March 31, September 30, 1995 1994 1995 1994 ---------- -------------- ---------- -------------- PER SHARE OPERATING PERFORMANCE: Net asset value, beginning of period $ 9.67 9.95 9.69 9.95 - - ------------------------------------------------------------------------------------------------------------------------------ Income from investment operations: Net investment income .22 .14 .24 .16 - - ------------------------------------------------------------------------------------------------------------------------------ Net realized and unrealized gain (loss) on investments .31 (.26) .31 (.26) - - ------------------------------------------------------------------------------------------------------------------------------ Total from investment operations .53 (.12) .55 (.10) - - ------------------------------------------------------------------------------------------------------------------------------ Less dividends: Distribution from net investment income .23 .16 .24 .16 - - ------------------------------------------------------------------------------------------------------------------------------ Distribution from net realized gain on investments .04 -- .04 -- - - ------------------------------------------------------------------------------------------------------------------------------ Total dividends .27 .16 .28 .16 - - ------------------------------------------------------------------------------------------------------------------------------ Net asset value, end of period $ 9.93 9.67 9.96 9.69 - - ------------------------------------------------------------------------------------------------------------------------------ TOTAL RETURN (%): 5.58 (1.24) 5.71 (1.03) - - ------------------------------------------------------------------------------------------------------------------------------ RATIOS TO AVERAGE NET ASSETS (%): Expenses 1.54 1.56 1.50 1.53 - - ------------------------------------------------------------------------------------------------------------------------------ Net investment income 4.78 4.55 4.86 4.56 ==============================================================================================================================
Six months ended March 31, Year ended September 30, 1995 1994 1993 1992 1991 ---------- --------- --------- --------- --------- SUPPLEMENTAL DATA FOR ALL CLASSES: Net assets at end of period (in thousands) $3,584,551 3,716,997 4,072,626 3,154,972 2,465,928 - - --------------------------------------------------------------------------------------------------------------------------------- Portfolio turnover rate (%) 76 50 52 32 29 ==================================================================================================================================
23 25
INTERMEDIATE MUNICIPAL FUND November 1, 1994 (initial public offering) to March 31,1995 Class A Class B Class C ----------------- ----------------- ----------------- PER SHARE OPERATING PERFORMANCE: Net asset value, beginning of period $ 9.50 9.50 9.50 - - ------------------------------------------------------------------------------------------------------------------------------ Income from investment operations: Net investment income .21 .17 .17 - - ------------------------------------------------------------------------------------------------------------------------------ Net realized and unrealized gain on investments .42 .42 .42 - - ------------------------------------------------------------------------------------------------------------------------------ Total from investment operations .63 .59 .59 - - ------------------------------------------------------------------------------------------------------------------------------ Less distribution from net investment income: .21 .17 .17 - - ------------------------------------------------------------------------------------------------------------------------------ Net asset value, end of period $ 9.92 9.92 9.92 - - ------------------------------------------------------------------------------------------------------------------------------ TOTAL RETURN (%) 6.89 6.38 6.57 - - ------------------------------------------------------------------------------------------------------------------------------ RATIOS TO AVERAGE NET ASSETS (%)(A): Expenses absorbed by the Fund .36 1.33 1.24 - - ------------------------------------------------------------------------------------------------------------------------------ Net investment income 5.28 4.14 4.41 ============================================================================================================================== OTHER RATIOS TO AVERAGE NET ASSETS (%)(A): Expenses .91 1.88 1.79 - - ------------------------------------------------------------------------------------------------------------------------------ Net investment income 4.73 3.59 3.86 ============================================================================================================================== SUPPLEMENTAL DATA FOR ALL CLASSES: Net assets at end of period (in thousands) $11,356 - - ------------------------------------------------------------------------------------------------------------------------------ Portfolio turnover rate (%) 32 ==============================================================================================================================
NOTES FOR BOTH FUNDS: (a) The management fee of the Intermediate Municipal Fund was waived by KFS during the period shown above. KFS will continue the waiver through May 1, 1995, and thereafter, the management fee will be reinstated based on a schedule established by KFS. "Other Ratios to Average Net Assets" are computed without the undertaking to waive the management fee. Ratios have been determined on an annualized basis. Total return is not annualized and does not reflect the effect of any sales charges. 24 26 (LOGO) KEMPER FINANCIAL SERVICES, INC. 120 South LaSalle Street Chicago, IL 60603 KEMPER NATIONAL TAX-FREE INCOME SERIES KEMPER MUNICIPAL BOND FUND KEMPER INTERMEDIATE MUNICIPAL BOND FUND Trustees Officers STEPHEN B. TIMBERS J. PATRICK BEIMFORD, JR. President and Trustee Vice President DAVID W. BELIN CHRISTOPHER J. MIER Trustee Vice President LEWIS A. BURNHAM JOHN E. PETERS Trustee Vice President DONALD L. DUNAWAY PHILIP J. COLLORA Trustee Vice President and Secretary ROBERT B. HOFFMAN Trustee CHARLES F. CUSTER Vice President and DONALD R. JONES Assistant Secretary Trustee JEROME L. DUFFY DAVID B. MATHIS Treasurer Trustee ELIZABETH C. WERTH WILLIAM P. SOMMERS Assistant Secretary Trustee - - ----------------------------------------------------------- Legal Counsel Custodian and Transfer Agent VEDDER, PRICE, KAUFMAN INVESTORS FIDUCIARY & KAMMHOLZ TRUST COMPANY 222 North LaSalle Street 127 West 10th Street Chicago, IL 60601 Kansas City, MO 64105 Shareholder Service Agent KEMPER SERVICE COMPANY P.O. Box 419557 Kansas City, MO 64141 800-621-1048
Investment Manager KEMPER FINANCIAL SERVICES, INC. Principal Underwriter KEMPER DISTRIBUTORS, INC. 120 South LaSalle Street Chicago, IL 60603 (LOGO) PRINTED ON RECYCLED PAPER This report is not to be distributed unless preceded or accompanied by a Kemper 238480 KNTIS-3 (5/95) Tax-Free Funds prospectus. Printed in the U.S.A. -----END PRIVACY-ENHANCED MESSAGE-----