0000950124-95-002662.txt : 19950824 0000950124-95-002662.hdr.sgml : 19950824 ACCESSION NUMBER: 0000950124-95-002662 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19950630 FILED AS OF DATE: 19950823 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: NORTHWESTERN MUTUAL VARIABLE LIFE ACCOUNT CENTRAL INDEX KEY: 0000742277 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] STATE OF INCORPORATION: WI FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-03989 FILM NUMBER: 95566101 BUSINESS ADDRESS: STREET 1: 720 E WISCONSIN AVE CITY: MILWAUKEE STATE: WI ZIP: 53202 BUSINESS PHONE: 4142711444 MAIL ADDRESS: STREET 1: 720 EAST WISCONSIN AVENUE CITY: MILWAUKEE STATE: WI ZIP: 53202 FILER: COMPANY DATA: COMPANY CONFORMED NAME: NORTHWESTERN MUTUAL SERIES FUND INC CENTRAL INDEX KEY: 0000742212 STANDARD INDUSTRIAL CLASSIFICATION: [] IRS NUMBER: 391603401 STATE OF INCORPORATION: MD FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-03990 FILM NUMBER: 95566102 BUSINESS ADDRESS: STREET 1: 720 E WISCONSIN AVE CITY: MILWAUKEE STATE: WI ZIP: 53202 BUSINESS PHONE: 4142711444 MAIL ADDRESS: STREET 1: 720 EAST WISCONSIN AVE CITY: MILWAUKEE STATE: WI ZIP: 53202 FORMER COMPANY: FORMER CONFORMED NAME: NORTHWESTERN MUTUAL VARIABLE LIFE SERIES FUND INC DATE OF NAME CHANGE: 19940830 N-30D 1 N-30D 1 June 30, 1995 SEMI-ANNUAL REPORT Northwestern Mutual Variable Life Account NORTHWESTERN MUTUAL SERIES FUND, INC. Northwestern Mutual Life(R) 720 East Wisconsin Avenue Milwaukee, Wisconsin 53202 2 NORTHWESTERN MUTUAL SERIES FUND, INC. DIRECTORS James D. Ericson . President and Chief Executive Officer, Northwestern Mutual Life, . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Milwaukee Martin F. Stein . . . . . . . . . . . Chairman of the Board, EyeCare One Corporation, . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Milwaukee John K. MacIver . . . . . . . . . Partner, Michael Best & Friedrich Attorneys at Law, . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Milwaukee Stephen N. Graff . . . . . . . . . . . . . . Retired Partner, Arthur Andersen & Co., . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Milwaukee William J. Blake . . . . . . . . . . . . . . Chairman, Blake Financial Corporation, . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Milwaukee OFFICERS James D. Ericson . . . . . . . . . . . . . . . . . . . . . . . . . . . . . President Mark G. Doll . . . . . . . . . . . . . . . . . . . . . . Vice President & Treasurer Merrill C. Lundberg . . . . . . . . . . . . . . . . . . . . . . . . . . . . Secretary Gary E. Long . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . Controller
This report is submitted for the general information of owners of Northwestern Mutual Variable Life policies. This report is not authorized for distribution to prospective purchasers of variable life policies unless it is accompanied by an effective prospectus. Northwestern Mutual Variable Life policies are sold through individuals who, in addition to being licensed life insurance agents of Northwestern Mutual Life, are registered representatives of Northwestern Mutual Investment Services, Inc., a wholly-owned subsidiary of Northwestern Mutual Life and a registered broker-dealer under the Securities Exchange Act of 1934 and a member of the National Association of Securities Dealers, Inc. Northwestern Mutual Life PO Box 3095 Milwaukee WI 53201-3095 Forwarding and Return Postage Guaranteed Address Correction Requested 3 POLICYOWNER PRIVILEGES UP TO FOUR FREE TRANSFERS PER YEAR AMONG PORTFOLIOS Same day transfers are permitted among our investment portfolios by FAX 414-299-4268. The appropriate form (form number 18-1425) must be used. A blank form is included at the end of this report. Additional forms are available from your Northwestern Mutual Life Agent. NORTHWESTERN MUTUAL LIFE'S VARIABLE LIFE POLICIES ARE PARTICIPATING* Policies are expected to pay dividends, based on the company's recent mortality and expense experience. POPULAR ADDITIONAL BENEFITS AVAILABLE TO VARIABLE WHOLE LIFE AND VARIABLE EXTRA ORDINARY LIFE POLICYOWNERS INCLUDE THE FOLLOWING (SUBJECT TO UNDERWRITING AND PAYMENT OF APPROPRIATE PREMIUM). OPTIONAL WAIVER OF PREMIUM BENEFIT The Waiver of Premium Benefit waives premiums during total disability. Available at ages 0-59. OPTIONAL ACCIDENTAL DEATH BENEFIT The Accidental Death Benefit provides an additional death benefit when death results from accidental bodily injury. Available at ages 0-65. OPTIONAL ADDITIONAL PURCHASE BENEFIT When The Additional Purchase Benefit is purchased, the company agrees to issue additional policies on several specified purchase dates without requiring evidence of insurability. Available at ages 0-38. CONTACT YOUR NORTHWESTERN MUTUAL LIFE AGENT IF YOU WISH TO LEARN MORE ABOUT ANY OF THE POLICYOWNER PRIVILEGES DESCRIBED ABOVE. * Dividends are based on actual experience and are not guaranteed. 4 TO OUR POLICYOWNERS: Last year's rise in interest rates dampened the U.S. economy's strength during the first half of 1995. While economic indicators showed some underlying strength, the country's economic foundations revealed some cracks. Among the economic sectors, housing appeared weaker during the first half, but likely will get a needed boost from lower interest rates. Fitting with a softer economy, automobile sales continued to drag. Consumers reacted to a tailing off in the number of new jobs and the perception that layoffs and corporate downsizing were affecting economic prosperity. Indeed, this was reflected in declining manufacturing activity that left businesses shackled with large inventories of unsold goods. This in turn meant cutbacks in production schedules that further eroded job growth and consumer incomes. The Federal Reserve Board's fears of a pickup in price levels prompted the central bank to continue targeting a "soft landing" for the economy. Though the policy has helped rein in economic growth, many question the virtue of this philosophy in light of the shaky performance of several economic sectors. Clearly, signs of inflation have yet to reveal themselves since wages remain under tight control and prices have yet to reflect the rising costs of raw materials. Weak consumer demand and a soft economy should ensure that prices don't rise in the near future. Both the bond and the stock market delivered explosive rallies in the first half. The possibility of a recession and the prospect of a less restrictive monetary policy brought droves of investors back to bonds. Similarly, the stock market reached new highs during the first half of the year. Helped by low inflation, falling interest rates and strong corporate profits, investors--especially equity mutual fund buyers--flooded back into the market. To most investors, nothing immediate on the horizon appears to suggest a sharp reversal in the markets. However, the Fed has proved itself uneasy with a growing economy. Any significant signs of economic growth could move interest rates higher once again, hurting both the stock and bond markets. Also, speculation continues that the stock market may be due for a temporary setback or correction. Current valuation levels leave little room for disappointment, especially in earnings shortfalls. 1 5 Index 500 Stock Portfolio The investment objective of the Index 500 Stock Portfolio is to achieve investment results that approximate the performance of the Standard & Poor's 500 Composite Stock Price Index. The portfolio is fully invested in equities. As noted in the graph, on April 30, 1993, the portfolio was indexed to approximate the performance of the Standard & Poor's 500 Composite Stock Price Index. Prior to April 30, 1993, the portfolio was actively managed. The Standard & Poor's 500 Composite Stock Price Index is an index of unmanaged groups of 500 selected common stocks, most of which are listed on the New York Stock Exchange. The index is heavily weighted toward stocks with large market capitalizations and represents approximately two-thirds of the total market value of all domestic common stocks. The chart below assumes an initial investment of $10,000 made on 6/30/85. Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
One Year Five Year Ten Year Index 500 Stock Portfolio 25.91% 11.40% 11.80% S&P 500 Index 25.90% 12.01% 14.61%
Plot points on graph:
6/85 6/86 6/87 6/88 6/89 Index 500 Stock Portfolio $10,000 $12,727 $15,670 $15,130 $16,571 S&P 500 Index $10,000 $13,730 $17,094 $15,880 $19,088
6/90 6/91 6/92 6/93 6/94 6/95 Index 500 Stock Portfolio $17,782 $19,471 $21,341 $23,990 $24,225 $30,502 S&P 500 Index $22,180 $23,799 $26,989 $30,659 $31,058 $39,101
A solid vertical line is drawn at 4/30/93 to indicate that the portfolio was indexed on 4/30/93 and actively managed prior to that date. 2 6 Growth Stock Portfolio Speculation that medium and large capitalization companies would turn in mediocre results in the first half induced the Growth Stock Portfolio to keep cash positions relatively high. Caught by surprise in the sharply rising stock market, the portfolio moved to reduce cash. However, cash positions still had a negative effect on returns. Underweighting in technology and financial stocks also hurt the portfolio's performance since these were among the few areas that meaningfully outperformed the overall market. Moreover, within the various industry sectors, relatively few stocks performed well. For example, 66 percent of the market's returns for the first half of 1995 were derived from just 10 percent of the companies. This concentration made it more difficult to exploit the market's rally. Long term, the portfolio will continue to diversify across industry sectors, with a specific emphasis on multi-national growth companies. At present, there are intriguing opportunities among retailers and selected money center banks. The Standard & Poor's 500 Composite Stock Price Index is an index of unmanaged groups of 500 selected common stocks, most of which are listed on the New York Stock Exchange. The index is heavily weighted toward stocks with large market capitalizations and represents approximately two-thirds of the total market value of all domestic common stocks. The chart below assumes an initial investment of $10,000 made on 5/3/94 (commencement of operations). Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
Since One Year Inception Growth Stock Portfolio 17.62% 13.89% S&P 500 Index 25.90% 20.35%
Plot points on graph:
5/3/94 6/94 6/95 Growth Stock Portfolio $10,000 $9,884 $11,626 S&P 500 Index $10,000 $9,845 $12,394
3 7 Growth and Income Stock Portfolio The largest capitalization stocks led the market rally, with technology stocks in particular providing substantial gains. Suffering from the narrow focus of the market and the emphasis on near term corporate earnings momentum, the Growth and Income Portfolio underperformed. However, this narrow focus tends to be short lived. In keeping with its management objectives, the fund continues to emphasize attractive sectors such as capital goods and communications, which currently appear to be undervalued. These stocks should benefit once the market broadens out. The fund is fully invested and the portfolio will seek the best values over a long cycle. The Standard & Poor's 500 Composite Stock Price Index is an index of unmanaged groups of 500 selected common stocks, most of which are listed on the New York Stock Exchange. The index is heavily weighted toward stocks with large market capitalizations and represents approximately two-thirds of the total market value of all domestic common stocks. The chart below assumes an initial investment of $10,000 made on 5/3/94 (commencement of operations). Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
One Year Inception Growth and Income Stock Portfolio 20.13% 14.97% S&P 500 Index 25.90% 20.35%
Plot points on graph:
5/3/94 6/94 6/95 Growth and Income Stock Portfolio $10,000 $9,784 $11,754 S&P 500 Index $10,000 $9,845 $12,394
4 8 Aggressive Growth Stock Portfolio The weaker U.S. dollar continued to hamstring the growth of many smaller companies in the first half of 1995. Compared to larger corporations which tend to do better in this environment, the primarily small cap stocks in the portfolio had slower relative earnings growth during most of this period. Toward the end of the period, some of the trends began to reverse: a strengthening dollar and an upturn in small cap stocks. This bodes well for second half performance. The technology sector flourished as the best performing sector in the portfolio. Growth in this sector has been spurred by the drive to increase productivity in the workplace, growing consumer demand for PCs, and sales of equipment overseas where markets are growing rapidly. Portfolio strategy continues to concentrate on the rapidly growing technology and health care sectors. However, exposure to the transportation and temporary help sectors was cut back somewhat, along with selected health care issues. Moreover, given the robust growth in technology, the portfolio may restructure some technology positions. Since the portfolio invests primarily in small capitalization issues, the indices that best reflect the portfolio's performance are Wilshire Next 1750 Index and Wilshire Small Cap Index. The Wilshire Next 1750 is an unmanaged, equally weighted index. Included in this index are those stocks which are ranked 750 to 2500 by market capitalization in the Wilshire 5000. The largest sectors represented in this index are financial services, consumer services and basic industry. Its average market capitalization is approximately $400 million. The Wilshire Small Cap Index is a subset of the Wilshire Next 1750 and includes 250 stocks chosen based upon their size, sector and liquidity characteristics. Each stock is equally weighted in this unmanaged index. The average market capitalization is approximately $550 million as of June 30, 1995. The largest sector weightings include financial services, consumer services and technology. On May 3, 1994, the Northwestern Mutual Aggressive Growth Stock Fund, Inc. (the "Fund") merged into the Northwestern Mutual Series Fund, Inc. Aggressive Growth Stock Portfolio (the "Portfolio"). The Portfolio had no assets prior to the merger. After the merger, the assets of the Portfolio were those of the Fund. The investment objectives, policies, management and expenses of the Portfolio are identical to those of the Fund. Accordingly, the performance of the Fund prior to the merge is included with the performance of the Portfolio in the graph and total return figures above. The chart below assumes an initial investment of $10,000 made on 11/30/90 (commencement of the Funds's operations). Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
Since One Year Inception Aggressive Growth Stock Portfolio 26.32% 21.55% Wilshire Small Cap 15.10% 19.98% Whilshire Next 1750 21.94% 21.04%
Plot points on graph:
11/90 6/91 6/92 6/93 6/94 6/95 Aggressive Growth Stock Portfolio $10,000 $12,593 $13,994 $17,133 $19,354 $24,448 Wilshire Small Cap $10,000 $13,189 $15,522 $19,336 $20,012 $23,034 Whilshire Next 1750 $10,000 $13,186 $15,086 $19,108 $19,670 $23,986
5 9 International Equity Stock Portfolio Foreign markets experienced anemic growth in the first half of the year. Trade frictions with Japan, the aftermath of the Mexican crisis and a softer dollar kept much of the capital away from overseas markets. However, recent trends point to a more optimistic investment environment abroad. Interest rates in the U.S. and Japan are lower, while inflation rates continue to slide globally, and the battered U.S. dollar appears to be stabilizing. Among the various foreign markets, a troubled Japanese economy consistently under-performed during the first half of 1995. This was largely due to its continuing problems with deflation, falling economic activity, and a depressed real estate market that haunted the banking industry. In no small part due to this turbulent economic environment, the portfolio maintained its low exposure to Japan. The portfolio will continue to focus attention on investment opportunities in the European markets. Strategically, little change has occurred in the portfolio's geographic and industry exposure with current cash and equivalents weighting of less than 10 percent. Similarly, the fund continues to steer clear of currency hedging. Instead, look to the portfolio to maintain a long-term horizon and to continue to exploit favorable opportunities in world markets. As depicted in the graph, the International Equity Portfolio is compared against the Morgan Stanley Capital International EAFE ("Europe-Australia-Far East") Index. The index is composed of approximately 1100 companies in 20 countries in Europe and the Pacific Basin. The objective of the index is to reflect the movements of stock markets in these countries by representing an unmanaged (indexed) portfolio within each country. The indices are constructed so that companies chosen represent about 60% of market capitalization in each market, industry composition of the market is reflected and a cross section of large, medium, and small cap stocks is included taking into account liquidity concerns. The index is calculated in U.S.$. On May 3, 1994, the Northwestern Mutual International Equity Fund, Inc. (the "Fund") merged into the Northwestern Mutual Series Fund, Inc. International Equity Portfolio (the "Portfolio"). The Portfolio had no assets prior to the merger. After the merger, the assets of the Portfolio were those of the Fund. The investment objectives, policies, management and expenses of the Portfolio are identical to those of the Fund. Accordingly, the performance of the Fund prior to the merge is included with the performance of the Portfolio in the graph and total return figures above. The chart below assumes an initial investment of $10,000 made on 4/30/93 (commencement of the Funds's operations). Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
Since One Year Inception International Equity Stock Portfolio 10.96% 14.80% EAFE 2.00% 9.51%
Plot points on graph:
4/93 6/93 6/94 6/95 International Equity Stock Portfolio $10,000 $10,118 $12,155 $13,487 EAFE $10,000 $10,202 $11,936 $12,175
6 10 Select Bond Portfolio An unexpected bond market rally, precipitated by a slowing economy and lack of inflation pressure, caught investors by surprise. As a result, bearish investors found themselves underowned and were effectively forced to buy bonds as the market rallied. The drop in yields was dramatic. Two year Treasury rates fell from 7.69 percent to 5.79 percent (190 basis points), while 30-year Treasury rates fell from 7.88 percent to 6.62 percent (126 basis points). There appears to be little evidence that interest rates will rise significantly during the next few months. The average maturity in the portfolio became slightly long early in the year, and remained that way for most of the period. This was in response to excessive bearishness by most investors and an economy likely to slow from last year's fast pace. Corporate bonds were the best performing fixed-income asset class, spurred on by limited new issuance and the improving credit quality of many companies. The portfolio weightings at mid-year are 12 percent cash, 13 percent Treasuries, 23 percent mortgage-backed and 52 percent corporate. Since the portfolio invests broadly in U.S. Government, mortgage and corporate bonds, the graph depicts an appropriate comparison to the Merrill Lynch Domestic Master Index. The index is an unmanaged market value weighted index comprised of U.S. Government, mortgage and investment-grade corporate bonds. The index measures the income provided by, and the price changes of, the underlying securities. The chart below assumes an initial investment of $10,000 made on 6/30/85. Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
One Year Five Year Ten Year Select Bond Portfolio 12.78% 10.11% 10.32% Merrill Lynch Domestic Master Index 12.59% 9.56% 10.01%
Plot points on graph:
6/85 6/86 6/87 6/88 6/89 Select Bond Portfolio $10,000 $12,404 $12,898 $13,778 $15,502 Merrill Lynch Domestic Master Index $10,000 $11,995 $12,640 $13,630 $15,325
6/90 6/91 6/92 6/93 6/94 6/95 Select Bond Portfolio $16,492 $18,277 $21,035 $23,724 $23,669 $26,692 Merrill Lynch Domestic Master Index $16,447 $18,238 $20,818 $23,301 $23,060 $25,962
7 11 High Yield Bond Portfolio The High Yield Bond Portfolio benefited from generally declining interest rates, posting strong gains in the first half. However, the performance of the high yield market lagged the more interest rate sensitive Treasury and investment grade bond markets during the recent bond rally. Concern regarding an economic slowdown caused leveraged and cyclical issues to trail the market in response to potentially lower corporate earnings prospects. New issue supply was heavy in the second quarter causing yields on new issues to increase. The fund's cash allocation was maintained in a range of three to four percent. The portfolio is broadly diversified and actively traded based on relative value relationships. The Salomon Brothers High Yield Market Index includes cash-pay and deferred-interest corporate bonds with remaining maturities of at least one year. All bonds in the index are publicly placed, have a fixed coupon and are non-convertible. Bonds issued under Rule 144A are added after the issuer has registered the security with the Securities and Exchange Commission. The index is an unmanaged market value weighted index and measures the income provided by, and the price changes of, the underlying securities. The chart below assumes an initial investment of $10,000 made on 5/3/94 (commencement of operations). Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
Since One Year Inception High Yield Bond Portfolio 13.66% 12.73% Salomon Brothers High Yield Market Index 13.90% 12.33%
Plot points on graph:
5/3/94 6/94 6/95 High Yield Bond Portfolio $10,000 $10,110 $11,490 Salomon Brothers High Yield Market Index $10,000 $10,046 $11,442
MONEY MARKET PORTFOLIO Consistent with interest rates in general, money market rates fell during the first half of the year. Fueled by a slowing economy and the expectations of a Federal Reserve rate decrease, rates remained low. Though the Fed took no action during most of the period, it did lower rates on Federal Funds by 25 basis points on July 6. A slowing economy has lured the market into expecting more rate cuts. Already, another 50 basis point rate cut is priced into the Treasury market. 8 12 Balanced Portfolio Throughout the first half of the year, portfolio strategy became more aggressive, with cash dropping and exposure to both stocks and bonds increasing. Currently, the asset mix of the Balanced Portfolio stands at 53 percent stocks, 36 percent bonds, and 11 percent cash. The rationale behind this more fully invested position lies in the low inflation rate, a slowing economy, and a change in the Federal Reserve policy away from the restrictive position of last year. At least in the near term, prospects look good for both the stock and bond markets. The bond component of the portfolio adopted a slightly more aggressive position during the first half with greater exposure to mortgage securities. In addition, the portfolio continued to emphasize stocks, which were the best performing asset class during the period. In the graph, the portfolio is compared against three indices representing the three major components of the portfolio: equities, fixed income and cash equivalent investments. The Merrill Lynch Domestic Master Index is an unmanaged market value weighted index comprised of U.S. Government, mortgage and investment-grade corporate bonds. The index measures the income provided by, and the price changes of, the underlying securities. The Standard & Poor's 500 Composite Stock Price Index is an index of unmanaged groups of 500 selected common stocks, most of which are listed on the New York Stock Exchange. The index is heavily weighted toward stocks with large market capitalizations and represents approximately two-thirds of the total market value of all domestic common stocks. The chart below assumes an initial investment of $10,000 made on 6/30/85. Returns shown include deductions for management and other fund expenses, and reinvestment of all dividends. Returns exclude deductions for separate account sales loads and account fees. Past performance is not predictive of future performance. Investment return and principal value will fluctuate, so that your shares, when redeemed, may be worth more or less than their original cost. Total Returns For Periods Ended June 30, 1995
One Year Five Year Ten Year Balanced Portfolio 18.17% 10.40% 11.18% S&P 500 Index 25.90% 12.01% 14.61% Merrill Lynch Domestic Master Index 12.59% 9.56% 10.01% Merrill Lynch 91-Day Treasury Bill 5.51% 4.99% 6.19%
Plot points on graph:
6/85 6/86 6/87 6/88 6/89 Balanced Portfolio $10,000 $12,725 $14,786 $15,042 $16,440 S&P 500 Index $10,000 $13,730 $17,094 $15,880 $19,088 Merrill Lynch Domestic Master Index $10,000 $11,995 $12,640 $13,630 $15,325 Merrill Lynch 91-Day Treasury Bill $10,000 $10,761 $11,424 $12,147 $13,175
6/90 6/91 6/92 6/93 6/94 6/95 Balanced Portfolio $17,592 $19,373 $21,563 $24,211 $24,417 $28,854 S&P 500 Index $22,180 $23,799 $26,989 $30,659 $31,058 $39,101 Merrill Lynch Domestic Master Index $16,447 $18,238 $20,818 $23,301 $23,060 $25,962 Merrill Lynch 91-Day Treasury Bill $14,294 $15,375 $16,171 $16,717 $17,280 $18,233
9 13 VARIABLE LIFE ACCOUNT The annual report of Northwestern Mutual Series Fund Inc., is included because all payments to the Variable Life Account are invested in one or more Portfolios of this Fund. The Series Fund is a mutual fund currently offering shares only to The Northwestern Mutual Life Insurance Company and its separate investment accounts. THE NORTHWESTERN MUTUAL LIFE INSURANCE COMPANY James D. Ericson, President and C.E.O. The following table shows the net investment rates of return for each of the divisions of the Variable Life Account.
FOR THE PERIOD ENDED FOR THE YEARS ENDED DECEMBER 31 JUNE 30, -------------------------------------------------------------- DIVISION 1995 1994 1993 1992 1991 1990 1989 1988 ------------------------------- -------- ----- ---- ---- ----- ----- ----- ---- Index 500 Stock*............... 19.54% 0.51% 9.13% 3.81% 28.88% -4.99% 17.47% 8.07% Growth Stock................... 14.09 1.08** N/A N/A N/A N/A N/A N/A Growth and Income Stock........ 16.74 -0.13** N/A N/A N/A N/A N/A N/A Aggressive Growth Stock........ 15.24 3.98** N/A N/A N/A N/A N/A N/A International Equity........... 7.94 -0.36** N/A N/A N/A N/A N/A N/A Select Bond.................... 11.43 -2.96 10.04 6.99 16.51 7.34 13.27 7.47 High Yield Bond................ 11.14 2.54** N/A N/A N/A N/A N/A N/A Money Market................... 2.55 3.33 2.19 2.77 5.13 7.49 8.45 6.74 Balanced....................... 14.17 -0.54 9.14 4.87 22.47 0.81 14.76 7.33
N/A -- Not Applicable. * As of April 30, 1993 the portfolio was indexed to the S&P 500 Stock Index; prior to that date the portfolio was actively managed. ** Growth Stock, Growth and Income Stock, Aggressive Growth Stock, International Equity and High Yield Bond Divisions began operations on May 3, 1994. The investment rates of return reflect performance from May 3, 1994. The net investment rates of return shown above should not be considered a representation of investment results which may be anticipated in the future. The net investment rates of return include investment income and capital gains. See the prospectus for a description of the effect of investment performance on policy benefits. Policy benefits reflect the investment rates of return of the divisions in which the policy is invested, and will vary depending on the fees and expenses associated with the policy. Policy fees and expenses will vary with each individual investor. AN INVESTMENT IN THE MONEY MARKET PORTFOLIO IS NEITHER INSURED NOR GUARANTEED BY THE U.S. GOVERNMENT AND THERE CAN BE NO ASSURANCE THAT THE PORTFOLIO WILL BE ABLE TO MAINTAIN A STABLE NET ASSET VALUE OF $1.00 PER SHARE. Note: "Standard and Poor's 500" and "S&P 500(R)" are trademarks of McGraw-Hill, Inc. and have been licensed for use by The Northwestern Mutual Life Insurance Company. The Series Fund and its Portfolios are not sponsored, endorsed, sold or promoted by Standard & Poor's, and Standard & Poor's makes no representation regarding the advisability of investing in them. 10 14 NORTHWESTERN MUTUAL VARIABLE LIFE ACCOUNT STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 (IN THOUSANDS) ASSETS Investments at Market Value: Northwestern Mutual Series Fund, Inc. Index 500 Stock 19,246 shares (cost $25,562)........................................... $28,965 Growth Stock 3,681 shares (cost $3,789)............................................. 4,178 Growth and Income Stock 5,308 shares (cost $5,443)............................................. 6,073 Aggressive Growth Stock 4,902 shares (cost $9,710)............................................. 11,264 International Equity 8,388 shares (cost $10,306)............................................ 10,745 Select Bond 3,361 shares (cost $4,166)............................................. 4,188 High Yield Bond 1,444 shares (cost $1,464)............................................. 1,506 Money Market 4,330 shares (cost $4,330)............................................. 4,330 Balanced 54,467 shares (cost $71,960)........................................... 79,195 $150,444 ------- Due from Sale of Fund Shares............................................................. 224 Due from Northwestern Mutual Life Insurance Company...................................... 28 -------- Total Assets..................................................................... $150,696 ========= LIABILITIES Due to Northwestern Mutual Life Insurance Company........................................ $ 224 Due on Purchase of Fund Shares........................................................... 28 -------- Total Liabilities................................................................ 252 -------- EQUITY..................................................................................... 150,444 -------- Total Liabilities and Equity..................................................... $150,696 =========
Equity Represented By:
EQUITY OF ----------------------- POLICYOWNERS NML ------------ ------- Index 500 Stock Division.......................................... $ 24,063 $ 4,902 $ 28,965 Growth Stock Division............................................. 3,358 820 4,178 Growth and Income Stock Division.................................. 4,879 1,194 6,073 Aggressive Growth Stock Division.................................. 8,978 2,286 11,264 International Equity Division..................................... 8,387 2,358 10,745 Select Bond Division.............................................. 3,633 555 4,188 High Yield Bond Division.......................................... 1,223 283 1,506 Money Market Division............................................. 3,964 366 4,330 Balanced Division................................................. 72,267 6,928 79,195 ------------ ------- -------- $130,752 $19,692 $150,444 ============= ======== =========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 11 15 NORTHWESTERN MUTUAL LIFE VARIABLE LIFE ACCOUNT STATEMENT OF OPERATIONS AND CHANGES IN EQUITY (IN THOUSANDS)
INDEX 500 COMBINED STOCK DIVISION GROWTH STOCK DIVISION# ------------------------ ------------------------ -------------------------- PERIOD PERIOD PERIOD EIGHT MONTHS ENDED YEAR ENDED ENDED YEAR ENDED ENDED ENDED JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, -------- ------------ -------- ------------ -------- -------------- 1995 1994 1995 1994 1995 1994 -------- ------------ -------- ------------ -------- -------------- INVESTMENT INCOME Dividend Income...................... $ 3,281 $ 2,062 $ 282 $ 611 $ 31 $ 34 Mortality and Expense Risks.......... 326 510 62 103 8 5 Taxes................................ 138 219 26 44 3 2 -------- ------------ -------- ------------ -------- ------- Net Investment Income (Loss)......... 2,817 1,333 194 464 20 27 -------- ------------ -------- ------------ -------- ------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS Realized Gain (Loss) on Investments..................... 459 14 102 543 4 3 Unrealized Appreciation (Depreciation) of Investments During the Year.................... 15,198 (1,493) 4,527 (907) 413 (25) -------- ------------ -------- ------------ -------- ------- Net Gain (Loss) on Investments....... 15,657 (1,479) 4,629 (364) 417 (22) -------- ------------ -------- ------------ -------- ------- Increase (Decrease) in Equity Derived from Investment Activity... 18,474 (146) 4,823 100 437 5 -------- ------------ -------- ------------ -------- ------- EQUITY TRANSACTIONS Policyowners' Net Payments........... 22,859 38,517 5,582 12,089 1,020 696 Policy Loans, Surrenders, and Death Benefits..................... (4,586) (7,695) (912) (2,126) (87) (51) Mortality and Other (net)............ (4,197) (6,812) (989) (2,221) (178) (112) Transfers from Other Divisions....... 6,317 18,069 456 941 584 1,976 Transfers to Other Divisions......... (6,317) (18,069) (1,666) (6,161) (68) (44) -------- ------------ -------- ------------ -------- ------- Increase in Equity Derived from Equity Transactions......................... 14,076 24,010 2,471 2,522 1,271 2,465 -------- ------------ -------- ------------ -------- ------- Net Increase in Equity................. 32,254 23,864 6,998 2,622 1,708 2,470 Equity Beginning of Year.................... 118,190 94,326 21,967 19,345 2,470 0 -------- ------------ -------- ------------ -------- ------- End of Year.......................... $150,444 $118,190 $ 28,965 $ 21,967 $4,178 $2,470 ======== =========== ======= =========== ======= ===========
# The initial investments in the Growth Stock, Growth and Income Stock, Aggressive Growth Stock and International Equity Divisions were made on May 3, 1994. The Accompanying Notes are an Integral Part of the FInancial Statements (Prepared from Unaudited Figures) 12 16 NORTHWESTERN MUTUAL VARIABLE LIFE ACCOUNT STATEMENT OF OPERATIONS AND CHANGES IN EQUITY (IN THOUSANDS)
GROWTH & INCOME STOCK AGGRESSIVE GROWTH STOCK INTERNATIONAL EQUITY DIVISION# DIVISION# DIVISION# SELECT BOND DIVISION ------------------------- ------------------------- ------------------------- ------------------------- PERIOD EIGHT MONTHS PERIOD EIGHT MONTHS PERIOD EIGHT MONTHS PERIOD ENDED ENDED ENDED ENDED ENDED ENDED ENDED YEAR ENDED JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, -------- ------------ -------- ------------ -------- ------------ -------- ------------ 1995 1994 1995 1994 1995 1994 1995 1994 -------- ------------ -------- ------------ -------- ------------ -------- ------------ $ 45 $ 62 $ 54 $ 1 $ 67 $ 170 $ 110 $ 195 12 7 21 12 21 13 10 17 5 3 9 5 9 6 4 7 -------- ------------ -------- ------------ -------- ------------ -------- ------------ 28 52 24 (16) 37 151 96 171 -------- ------------ -------- ------------ -------- ------------ -------- ------------ 4 1 20 11 (6) 1 1 11 720 (90) 1,254 301 707 (267) 327 (288) -------- ------------ -------- ------------ -------- ------------ -------- ------------ 724 (89) 1,274 312 701 (266) 328 (277) -------- ------------ -------- ------------ -------- ------------ -------- ------------ 752 (37) 1,298 296 738 (115) 424 (106) -------- ------------ -------- ------------ -------- ------------ -------- ------------ 1,320 1,307 2,784 2,044 2,822 2,308 637 1,286 (159) (37) (287) (144) (177) (109) (123) (250) (259) (159) (489) (316) (508) (362) (107) (229) 810 2,731 1,862 4,412 1,173 5,376 149 322 (94) (102) (122) (74) (368) (33) (351) (896) -------- ------------ -------- ------------ -------- ------------ -------- ------------ 1,618 3,740 3,748 5,922 2,942 7,180 205 233 -------- ------------ -------- ------------ -------- ------------ -------- ------------ 2,370 3,703 5,046 6,218 3,680 7,065 629 127 3,703 0 6,218 0 7,065 0 3,559 3,432 -------- ------------ -------- ------------ -------- ------------ -------- ------------ $6,073 $3,703 $ 11,264 $6,218 $ 10,745 $7,065 $4,188 $3,559 ======= =========== ======= =========== ======= =========== ======= ===========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 13 17 NORTHWESTERN MUTUAL LIFE VARIABLE LIFE ACCOUNT STATEMENT OF OPERATIONS AND CHANGES IN EQUITY (IN THOUSANDS)
HIGH YIELD BOND DIVISION# MONEY MARKET DIVISION BALANCED DIVISION ---------------------- ---------------------- ---------------------- PERIOD EIGHT MONTHS PERIOD PERIOD ENDED ENDED ENDED YEAR ENDED ENDED YEAR ENDED JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, JUNE 30, DECEMBER 31, -------- ------------ -------- ------------ -------- ------------ 1995 1994 1995 1994 1995 1994 -------- ------------ -------- ------------ -------- ------------ INVESTMENT INCOME Dividend Income.................... $ 55 $ 52 $ 116 $ 127 $ 2,521 $ 810 Mortality and Expense Risks........ 3 2 10 15 179 336 Taxes.............................. 1 1 4 7 77 144 -------- ------ -------- ------------ -------- ------------ Net Investment Income.............. 51 49 102 105 2,265 330 -------- ------ -------- ------------ -------- ------------ REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS Realized Gain (Loss) on Investments...................... 2 2 -- -- 332 (558) Unrealized Appreciation (Depreciation) of Investments During the Year.................. 84 (41) -- -- 7,166 (176) -------- ------ -------- ------------ -------- ------------ Net Gain (Loss) on Investments..... 86 (39) 0 0 7,498 (734) -------- ------ -------- ------------ -------- ------------ Increase (Decrease) in Equity Derived from Investment Activity......................... 137 10 102 105 9,763 (404) -------- ------ -------- ------------ -------- ------------ EQUITY TRANSACTIONS Policyowners' Net Payments......... 303 327 374 847 8,017 17,613 Policy Loans, Surrenders, and Other (net)............................ (74) (33) (128) (102) (2,639) (4,843) Mortality and Other (net).......... (66) (43) (64) (101) (1,537) (3,269) Transfers from Other Divisions........................ 343 746 796 1,271 144 294 Transfers to Other Divisions....... (70) (74) (571) (856) (3,007) (9,829) -------- ------ -------- ------------ -------- ------------ Increase (Decrease) in Equity Derived from Equity Transactions........... 436 923 407 1,059 978 (34) -------- ------ -------- ------------ -------- ------------ Net Increase (Decrease) in Equity.... 573 933 509 1,164 10,741 (438) Equity Beginning of Year.................. 933 0 3,821 2,657 68,454 68,892 -------- ------ -------- ------------ -------- ------------ End of Year........................ $1,506 $933 $4,330 $3,821 $ 79,195 $ 68,454 ======= =========== ======= =========== ======= ===========
# The initial investment in the High Yield Bond Division was made on May 3, 1994. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 14 18 NORTHWESTERN MUTUAL VARIABLE LIFE ACCOUNT NOTES TO FINANCIAL STATEMENTS JUNE 30, 1995 Note 1 -- Northwestern Mutual Variable Life Account (the "Account") is registered as a unit investment trust under the Investment Company Act of 1940 and is a segregated asset account of The Northwestern Mutual Life Insurance Company ("Northwestern Mutual Life") used to fund variable life insurance policies. Principal accounting policies are summarized below. Note 2 -- All assets of each Division of the Account are invested in shares of the corresponding Portfolio of Northwestern Mutual Series Fund, Inc. (the "Fund"). The shares are valued at the Fund's offering and redemption price per share. The Northwestern Mutual Series Fund, Inc. (formerly Northwestern Mutual Variable Life Series Fund, Inc.) is a diversified open-end investment company registered under the Investment Company Act of 1940. Note 3 -- Dividend income from the Fund is recorded on the record date of the dividends. Transactions in Fund shares are accounted for on the trade date. The basis for determining cost on sale of Fund shares is identified cost. Purchases and sales of Fund shares for the period ended June 30, 1995 by each Division are shown below:
PURCHASES SALES ---------- ---------- Index 500 Stock Division... $3,463,515 $ 799,399 Growth Stock Division...... 1,357,892 66,221 Growth and Income Stock Division................. 1,723,262 78,056 Aggressive Growth Division................. 3,933,035 160,360 International Equity Division................. 3,191,612 212,002 Select Bond Division....... 573,812 273,619 High Yield Bond Division... 575,113 88,483 Money Market Division...... 1,121,963 614,260 Balanced Division.......... 5,403,390 2,160,837
Note 4 -- A deduction for mortality and expense risks is determined daily and paid to Northwestern Mutual Life. The deduction is at an annual rate of .50% of the net assets of the Account. The mortality risk is that insureds may not live as long as estimated. The expense risk is that expenses of issuing and administering the policies may exceed the estimated costs. Certain deductions are also made from the annual or single premiums before amounts are allocated to the Account. These deductions are for (1) sales load, (2) administrative expenses, (3) state premium taxes and (4) a risk charge for the guaranteed minimum death benefit. Additional mortality costs are deducted from the policy and are paid to Northwestern Mutual Life to cover the cost of providing insurance protection. This cost is actuarially calculated based upon the insured's age, the 1980 Commissioners Standard Ordinary Mortality Table and the amount of insurance provided under the policy. Note 5 -- Northwestern Mutual Life is taxed as a "life insurance company" under the Internal Revenue Code. The variable life insurance policies which are funded in the Account are taxed as part of the operations of Northwestern Mutual Life. Policies provide that a charge for taxes may be made against the assets of the Account. Northwestern Mutual Life charges the Account at an annual rate of .20% of the Account's net assets and reserves the right to increase, decrease or eliminate the charge for taxes in the future. Note 6 -- The Account is credited for the policyowners' net annual premiums at the respective policy anniversary dates regardless of when policyowners actually pay their premiums. Northwestern Mutual Life's equity represents any unpaid portion of net annual premiums. 15 19 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Common Stocks (cost $304,022).................. $ 378,992 Other Investments (cost $21,015)................... 21,013 --------- 400,005 Cash................................ 182 Dividends and Interest Receivable... 726 --------- Total Assets................... 400,913 --------- LIABILITIES Due on Redemption of Fund Shares.... 514 Due to Investment Advisor........... 65 Due on Future Variation Margin...... 49 Accrued Expenses.................... 18 --------- Total Liabilities.............. 646 --------- NET ASSETS............................ $ 400,267 ========= REPRESENTED BY: Aggregate Paid in Capital (500,000 shares authorized, $.01 par value; 265,893 shares outstanding).............. $ 320,275 Undistributed Net Investment Income........................... 788 Undistributed Accumulated Net Realized Gain on Investments..... 3,440 Net Unrealized Appreciation of: Investment Securities............ 74,968 Index Futures Contracts.......... 796 --------- Net Assets for 265,893 Shares Outstanding...................... $ 400,267 ========= Net Asset Value, Offering and Redemption Price per Share....... $1.51
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Dividends (less foreign dividend tax of $34)..................... $ 4,506 Interest.......................... 485 Other Income...................... 1 -------- Total Income.................... 4,992 -------- Expenses Management Fees................... 353 Filing Fees....................... 13 Audit............................. 9 -------- Total Expenses.................. 375 -------- Net Investment Income................ 4,617 -------- REALIZED AND UNREALIZED GAIN ON INVESTMENTS Net Realized Gain on Investments: Investment Securities............. 1,516 Index Futures Contracts........... 1,566 -------- Net Realized Gain on Investments for the Period... 3,082 -------- Net Unrealized Appreciation of: Investment Securities............. 56,228 Index Futures Contracts........... 839 -------- Net Unrealized Appreciation of Investments for the Period... 57,067 -------- Net Gain on Investments.............. 60,149 -------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............ $ 64,766 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 16 20 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE SIX MONTHS FOR THE ENDED YEAR ENDED JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 4,617 $ 6,330 Net Realized Gain on Investments........................................ 3,082 2,961 Net Unrealized Appreciation of Investments for the Period............... 57,067 389 ---------- ------------ Net Increase in Net Assets Resulting from Operations.................. 64,766 9,680 ---------- ------------ Dividends to Shareholders from: Net Investment Income................................................... (3,894) (6,269) Net Realized Gain on Investments........................................ -- (2,586) ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (3,894) (8,855) ---------- ------------ Fund Share Transactions Proceeds from Sale of 19,676 and 19,955 Shares.......................... 27,551 25,556 Proceeds from Sale of 220,158 Shares Issued in Acquisition of Northwestern Mutual Index 500 Stock Fund, Inc. ........................ -- 277,484 Proceeds from Shares Issued on Reinvestment of Dividends Paid (2,593 and 6,966 shares, respectively)................................ 3,894 8,830 Payments for 6,060 and 17,180 Shares Redeemed........................... (8,173) (22,051) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (16,209 and 229,899 shares, respectively).......................... 23,272 289,819 ---------- ------------ Total Increase in Net Assets............................................... 84,144 290,644 NET ASSETS Beginning of Period........................................................ 316,123 25,479 ---------- ------------ End of Period (includes undistributed net investment income of $788 and $65, respectively)............................................. $400,267 $316,123 ========= ===========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 17 21 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE SIX MONTHS FOR THE YEARS ENDED JUNE ENDED DECEMBER 31 30, 1995 -------------------------------------------------------- (UNAUDITED) 1994 1993 1992 1991 1990 ----------- -------- --------- --------- --------- --------- Net Asset Value, Beginning of Period... $ 1.27 $ 1.29 $ 1.33 $ 1.31 $ 1.04 $ 1.12 Income from Investment Operations: Net Investment Income............. 0.0181 0.0260 0.0352 0.0340 0.0347 0.0395 Net Realized and Unrealized Gain (Loss) on Investments........... 0.2356 (0.0052) 0.0947 0.0316 0.2685 (0.0812) ----------- -------- --------- --------- --------- --------- Total from Investment Operations................... 0.2537 0.0208 0.1299 0.0656 0.3032 (0.0417) ----------- -------- --------- --------- --------- --------- Less Distributions: Dividends from Net Investment Income.......................... (0.0148) (0.0259) (0.0325) (0.0325) (0.0332) (0.0383) Distributions from Realized Gains on Investments.................. -- (0.0106) (0.1374) (0.0131) -- -- ----------- -------- --------- --------- --------- --------- Total Distributions............. (0.0148) (0.0365) (0.1699) (0.0456) (0.0332) (0.0383) ----------- -------- --------- --------- --------- --------- Net Asset Value, End of Period......... $ 1.51 $ 1.27 $ 1.29 $ 1.33 $ 1.31 $ 1.04 ========== ========= ========= ========= ========= ========= Total Return+.......................... 19.96% ++ 1.21% 9.90% 4.54% 29.78% -4.23% ========== ========= ========= ========= ========= ========= Net Assets, End of Period (in thousands)....................... $400,267 $316,123 $25,479 $17,288 $14,115 $9,516 ========== ========= ========= ========= ========= ========= Ratio of Expenses to Average Net Assets........................... 0.20% * 0.24% 0.30% 0.30% 0.30% 0.30% ========== ========= ========= ========= ========= ========= Ratio of Net Investment Income to Average Net Assets................... 2.23% * 3.10% 2.55% 2.61% 2.88% 3.70% ========== ========= ========= ========= ========= ========= Portfolio Turnover Rate................ 2.00% 5.59% 62.69% 39.93% 40.16% 80.07% ========== ========= ========= ========= ========= =========
* Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 18 22 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH STOCK PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Common Stocks (cost $50,198).................... $ 56,434 Money Market Investments (cost $5,079)..................... 5,079 -------- 61,513 Cash................................. 79 Dividends and Interest Receivable.... 82 Due from Sale of Fund Shares......... 30 Due from Sale of Securities.......... 19 -------- Total Assets.................... 61,723 -------- LIABILITIES Due on Purchase of Securities........ 76 Due to Investment Advisor............ 29 Accrued Expenses..................... 17 Due on Redemption of Fund Shares..... 3 -------- Total Liabilities............... 125 -------- NET ASSETS............................. $ 61,598 ======== REPRESENTED BY: Aggregate Paid in Capital (400,000 shares authorized, $.01 par value; 54,282 shares outstanding)...................... $ 55,352 Undistributed Net Investment Income............................ 78 Undistributed Accumulated Net Realized Loss on Investments...... (68) Net Unrealized Appreciation of Investments....................... 6,236 -------- Net Assets for 54,282 Shares Outstanding....................... $ 61,598 ======== Net Asset Value, Offering and Redemption Price per Share........ $1.13
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Dividends.......................... $ 536 Interest........................... 167 ------- Total Income..................... 703 ------- Expenses Management Fees.................... 152 Audit.............................. 9 Filing Fees........................ 5 ------- Total Expenses................... 166 ------- Net Investment Income................. 537 ------- REALIZED AND UNREALIZED GAIN ON INVESTMENTS Net Realized Gain on Investments...... 50 Net Unrealized Appreciation of Investments for the Period......... 6,327 ------- Net Gain on Investments............... 6,377 ------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............. $ 6,914 ======
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 19 23 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH STOCK PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE PERIOD FOR THE MAY 3, SIX MONTHS 1994* ENDED THROUGH JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 537 $ 518 Net Realized Gain (Loss) on Investments................................. 50 (20) Net Unrealized Appreciation (Depreciation) of Investments for the Period................................................................. 6,327 (92) ---------- ------------ Net Increase in Net Assets Resulting from Operations.................. 6,914 406 ---------- ------------ Dividends to Shareholders from: Net Investment Income................................................... (466) (511) Net Realized Gain on Investments........................................ -- (98) ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (466) (609) ---------- ------------ Fund Share Transactions Proceeds from Sale of 12,381 and 41,690 Shares.......................... 13,264 41,858 Proceeds from Shares Issued on Reinvestment of Dividends Paid (412 and 547 shares, respectively).................................... 466 547 Payments for 419 and 329 Shares Redeemed................................ (448) (334) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (12,374 and 41,908 shares, respectively)........................... 13,282 42,071 ---------- ------------ Total Increase in Net Assets............................................... 19,730 41,868 NET ASSETS Beginning of Period........................................................ 41,868 0 ---------- ------------ End of Period (includes undistributed net investment income of $78 and $7, respectively)............................................... $ 61,598 $ 41,868 ========= ===========
* Commencement of Operations. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 20 24 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH STOCK PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE FOR THE PERIOD SIX MONTHS MAY 3, ENDED 1994* JUNE 30, THROUGH 1995 DECEMBER 31, (UNAUDITED) 1994 ------------ ------------ Net Asset Value, Beginning of Period....................................... $ 1.00 $ 1.00 Income from Investment Operations: Net Investment Income................................................. 0.0112 0.0133 Net Realized and Unrealized Gains on Investments...................... 0.1328 0.0011 ------------ ------------ Total from Investment Operations.................................... 0.1440 0.0144 ------------ ------------ Less Distributions: Dividends from Net Investment Income.................................. (0.0087) (0.0131) Distributions from Realized Gains on Investments...................... -- (0.0024) ------------ ------------ Total Distributions................................................. (0.0087) (0.0155) ------------ ------------ Net Asset Value, End of Period............................................. $ 1.13 $ 1.00 =========== =========== Total Return+.............................................................. 14.49%++ 1.55%++ =========== =========== Net Assets, End of Period (in thousands)................................... $61,598 $41,868 =========== =========== Ratio of Expenses to Average Net Assets.................................... 0.55%** 0.71%** =========== =========== Ratio of Net Investment Income to Average Net Assets....................... 1.79%** 2.30%** =========== =========== Portfolio Turnover Rate.................................................... 17.10% 16.51% =========== ===========
* Commencement of Operations. ** Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 21 25 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH AND INCOME STOCK PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Common Stocks (cost $90,295).................... $ 98,422 Money Market Investments (cost $1,795)........................... 1,795 -------- 100,217 Due From Sale of Securities.......... 419 Dividends and Interest Receivable.... 127 Due from Sale of Fund Shares......... 92 -------- Total Assets.................... 100,855 -------- LIABILITIES Due on Purchase of Securities........ 338 Due to Investment Advisor............ 54 Due on Redemption of Fund Shares..... 28 Accrued Expenses..................... 15 -------- Total Liabilities............... 435 -------- NET ASSETS............................. $100,420 ========= REPRESENTED BY: Aggregate Paid in Capital (400,000 shares authorized, $.01 par value; 87,810 shares outstanding)........ $ 89,722 Undistributed Net Investment Income............................ 89 Undistributed Accumulated Net Realized Gain on Investments...... 2,482 Net Unrealized Appreciation of Investments....................... 8,127 -------- Net Assets for 87,810 Shares Outstanding....................... $100,420 ========= Net Asset Value, Offering and Redemption Price per Share........ $1.14
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Dividends (less foreign dividend tax of $8)....................... $ 919 Interest........................... 95 ------- Total Income..................... 1,014 ------- Expenses Management Fees.................... 269 Filing Fees........................ 11 Audit.............................. 8 ------- Total Expenses................... 288 ------- Net Investment Income................. 726 ------- REALIZED AND UNREALIZED GAIN ON INVESTMENTS Net Realized Gain on Investments...... 2,482 Net Unrealized Appreciation of Investments for the Period......... 9,644 ------- Net Gain on Investments............... 12,126 ------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS....................... $12,852 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 22 26 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH AND INCOME STOCK PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE PERIOD FOR THE MAY 3, SIX MONTHS 1994* ENDED THROUGH JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 726 $ 578 Net Realized Gain on Investments........................................ 2,482 632 Net Unrealized Appreciation (Depreciation) of Investments for the Period................................................................. 9,644 (1,517) ---------- ------------ Net Increase (Decrease) in Net Assets Resulting from Operations....... 12,852 (307) ---------- ------------ Dividends to Shareholders from: Net Investment Income................................................... (641) (574) Net Realized Gain on Investments........................................ (102) (530) ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (743) (1,104) ---------- ------------ Fund Share Transactions Proceeds from Sale of 21,781 and 65,417 Shares.......................... 23,280 65,790 Proceeds from Shares Issued on Reinvestment of Dividends Paid (655 and 1,060 shares, respectively).................................. 743 1,042 Payments for 383 and 720 Shares Redeemed................................ (412) (721) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (22,053 and 65,757 shares, respectively)........................... 23,611 66,111 ---------- ------------ Total Increase in Net Assets............................................... 35,720 64,700 ---------- ------------ NET ASSETS Beginning of Period........................................................ 64,700 0 ---------- ------------ End of Period (includes undistributed net investment income of $89 and $4, respectively)............................................... $100,420 $ 64,700 ========= ===========
* Commencement of Operations. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 23 27 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH AND INCOME STOCK PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE FOR THE PERIOD SIX MONTHS MAY 3, ENDED 1994* JUNE 30, THROUGH 1995 DECEMBER 31, (UNAUDITED) 1994 ----------- ------------ Net Asset Value, Beginning of Period........................................ $ 0.98 $ 1.00 Income from Investment Operations: Net Investment Income.................................................. 0.0095 0.0102 Net Realized and Unrealized Gain (Loss) on Investments................. 0.1584 (0.0119) ----------- ------------ Total from Investment Operations..................................... 0.1678 (0.0017) ----------- ------------ Less Distributions: Dividends from Net Investment Income................................... (0.0074) (0.0101) Distributions from Realized Gains on Investments....................... (0.0013) (0.0082) ----------- ------------ Total Distributions.................................................. (0.0086) (0.0183) ----------- ------------ Net Asset Value, End of Period.............................................. $ 1.14 $ 0.98 ========== =========== Total Return+............................................................... 17.15% ++ 0.34% ++ ========== =========== Net Assets, End of Period (in thousands).................................... $100,420 $64,700 ========== =========== Ratio of Expenses to Average Net Assets..................................... 0.62% ** 0.78% ** ========== =========== Ratio of Net Investment Income to Average Net Assets........................ 1.52% ** 1.93% ** ========== =========== Portfolio Turnover Rate..................................................... 45.82% 54.18% ========== ===========
* Commencement of Operations. ** Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 24 28 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. AGGRESSIVE GROWTH STOCK PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Common Stocks (cost $296,337).................. $ 404,159 Money Market Investments (cost $34,598)................... 34,598 --------- 438,757 Cash................................ 265 Due from Sale of Securities......... 962 Dividends and Interest Receivable... 57 --------- Total Assets................... 440,041 --------- LIABILITIES Due on Redemption of Fund Shares.... 839 Due on Purchase of Securities....... 586 Due to Investment Advisor........... 192 Accrued Expenses.................... 18 --------- Total Liabilities.............. 1,635 --------- NET ASSETS............................ $ 438,406 ========= REPRESENTED BY: Aggregate Paid in Capital (700,000 shares authorized, $.01 par value; 190,736 shares outstanding)..................... $ 323,676 Undistributed Net Investment Income........................... 540 Undistributed Accumulated Net Realized Gain on Investments..... 6,368 Net Unrealized Appreciation of Investments...................... 107,822 --------- Net Assets for 190,736 Shares Outstanding...................... $ 438,406 ========= Net Asset Value, Offering and Redemption Price per Share....... $2.30
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Interest.......................... $ 1,182 Dividends (less foreign dividend tax of $2)...................... 425 -------- Total Income.................... 1,607 -------- Expenses Management Fees................... 1,044 Filing Fees....................... 14 Audit............................. 9 -------- Total Expenses.................. 1,067 -------- Net Investment Income................ 540 -------- REALIZED AND UNREALIZED GAIN ON INVESTMENTS Net Realized Gain on Investments..... 6,368 Net Unrealized Appreciation of Investments for the Period........ 49,962 -------- Net Gain on Investments.............. 56,330 -------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............ $ 56,870 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 25 29 NORTHWESTERN MUTUAL SERIES FUND, INC. AGGRESSIVE GROWTH STOCK PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE PERIOD FOR THE MAY 3, SIX MONTHS 1994* ENDED THROUGH JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 540 $ 566 Net Realized Gain on Investments........................................ 6,368 1,836 Net Unrealized Appreciation of Investments for the Period............... 49,962 12,516 ---------- ------------ Net Increase in Net Assets Resulting from Operations.................. 56,870 14,918 ---------- ------------ Dividends to Shareholders from: Net Investment Income................................................... (503) (63) Net Realized Gain on Investments........................................ (1,836) -- ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (2,339) (63) ---------- ------------ Fund Share Transactions Proceeds from Sale of 28,564 and 36,999 Shares.......................... 59,342 70,697 Proceeds from Sale of 128,778 Shares Issued in Acquisition of Northwestern Mutual Aggressive Growth Stock Fund, Inc. ................ -- 245,687 Proceeds from Shares Issued on Reinvestment of Dividends Paid (1,096 and 35 shares, respectively)................................... 2,339 63 Payments for 2,552 and 2,184 Shares Redeemed............................ (4,902) (4,206) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (27,108 and 163,628 shares, respectively).......................... 56,779 312,241 ---------- ------------ Total Increase in Net Assets............................................... 111,310 327,096 NET ASSETS Beginning of Period........................................................ 327,096 0 ---------- ------------ End of Period (includes undistributed net investment income of $540 and $503, respectively)..................................................... $438,406 $327,096 ========= ===========
* Commencement of Operations. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 26 30 NORTHWESTERN MUTUAL SERIES FUND, INC. AGGRESSIVE GROWTH STOCK PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE FOR THE PERIOD SIX MONTHS MAY 3, ENDED 1994* JUNE 30, THROUGH 1995 DECEMBER 31, (UNAUDITED) 1994 ----------- ------------ Net Asset Value, Beginning of Period......................................... $ 2.00 $ 1.91 Income from Investment Operations: Net Investment Income................................................... 0.0028 0.0036 Net Realized and Unrealized Gains on Investments........................ 0.3148 0.0859 ----------- ------------ Total from Investment Operations...................................... 0.3176 0.0895 ----------- ------------ Less Distributions: Dividends from Net Investment Income.................................... (0.0027) (0.0005) Distributions from Realized Gains on Investments........................ (0.0100) -- ----------- ------------ Total Distributions................................................... (0.0127) (0.0005) ----------- ------------ Net Asset Value, End of Period............................................... $ 2.30 $ 2.00 ========= =========== Total Return+................................................................ 15.64%++ 4.47%++ ========= =========== Net Assets, End of Period (in thousands)..................................... $438,406 $327,096 ========= =========== Ratio of Expenses to Average Net Assets...................................... 0.49%** 0.58%** ========= =========== Ratio of Net Investment Income to Average Net Assets......................... 0.25%** 0.29%** ========= =========== Portfolio Turnover Rate...................................................... 22.13% 21.54% ========= ===========
* Commencement of Operations. ** Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 27 31 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. INTERNATIONAL EQUITY PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Common Stocks (cost $256,492)................... $276,789 Money Market Investments (cost $34,611).................... 34,615 Bonds (cost $3,971)..................... 3,960 -------- 315,364 Cash................................. 337 Due from Sale of Securities.......... 34,053 Dividends and Interest Receivable.... 1,980 Receivable on Foreign Currency Contracts......................... 50 Due from Sale of Fund Shares......... 167 -------- Total Assets.................... 351,951 -------- LIABILITIES Due on Purchase of Securities........ 32,383 Due on Foreign Currency Contracts.... 1,153 Due on Redemption of Fund Shares..... 572 Due to Investment Advisor............ 177 Accrued Expenses..................... 159 -------- Total Liabilities............... 34,444 -------- NET ASSETS............................. $317,507 ========= REPRESENTED BY: Aggregate Paid in Capital (700,000 shares authorized, $.01 par value; 247,765 shares outstanding)....... $289,162 Undistributed Net Investment Income............................ 4,929 Undistributed Accumulated Net Realized Gain on Investments...... 3,114 Net Unrealized Appreciation of: Investment Securities............. 20,290 Foreign Currency Transactions..... 12 -------- Net Assets for 247,765 Shares Outstanding....................... $317,507 ========= Net Asset Value, Offering and Redemption Price per Share........ $1.28
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Dividends (less foreign dividend tax of $749)..................... $ 5,280 Interest........................... 963 ------- Total Income..................... 6,243 ------- Expenses Management Fees.................... 1,018 Custodian Fees..................... 159 Other Expenses..................... 96 ------- Total Expenses................... 1,273 ------- Net Investment Income................. 4,970 ------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS AND FOREIGN CURRENCIES Net Realized Gain (Loss) on: Investment Securities.............. 3,488 Foreign Currency Transactions...... (120) ------- Net Realized Gain For the Period................ 3,368 Net Unrealized Appreciation of: Investment Securities.............. 16,115 Foreign Currency Transactions...... 16 ------- Net Unrealized Appreciation for the Period.................... 16,131 ------- Net Gain on Investments............... 19,499 ------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS....................... $24,469 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 28 32 NORTHWESTERN MUTUAL SERIES FUND, INC. INTERNATIONAL EQUITY PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE PERIOD FOR THE MAY 3, SIX MONTHS 1994* ENDED THROUGH JUNE 30, DECEMBER 31, 1995 1994 ----------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 4,970 $ 4,233 Net Realized Gain on Investments........................................ 3,368 4,575 Net Unrealized Appreciation (Depreciation) of Investments for the Period................................................................. 16,131 (8,846) ----------- ------------ Net Increase (Decrease) in Net Assets Resulting from Operations....... 24,469 (38) ----------- ------------ Dividends to Shareholders from: Net Investment Income................................................... -- (4,907) Net Realized Gain on Investments........................................ (2,171) (2,658) ----------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (2,171) (7,565) ----------- ------------ Fund Share Transactions Proceeds from Sale of 15,130 and 73,071 Shares.......................... 17,829 90,632 Proceeds from Sale of 193,618 Shares Issued in Acquisition of Northwestern Mutual International Equity Fund, Inc. ................... -- 236,438 Proceeds from Shares Issued on Reinvestment of Dividends Paid (1,741 and 6,300 shares, respectively)................................ 2,171 7,461 Payments for 14,715 and 27,830 Shares Redeemed.......................... (17,324) (34,395) ----------- ------------ Net Decrease in Net Assets Resulting from Fund Share Transactions (2,156 and 245,609 shares, respectively)........................... 2,676 300,136 ----------- ------------ Total Increase in Net Assets............................................... 24,974 292,533 NET ASSETS Beginning of Period........................................................ 292,533 0 ----------- ------------ End of Period (includes (over)/undistributed net investment income of $4,929 and ($41), respectively)......................................... $ 317,507 $292,533 ========= ===========
* Commencement of Operations. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 29 33 NORTHWESTERN MUTUAL SERIES FUND, INC. INTERNATIONAL EQUITY PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE FOR THE PERIOD SIX MONTHS MAY 3, ENDED 1994* JUNE 30, THROUGH 1995 DECEMBER 31, (UNAUDITED) 1994 ------------ ------------ Net Asset Value, Beginning of Period....................................... $ 1.19 $ 1.22 Income from Investment Operations: Net Investment Income................................................. 0.0201 0.0182 Net Realized and Unrealized Gain (Loss) on Investments................ 0.0790 (0.0113) ------------ ------------ Total from Investment Operations.................................... 0.0991 0.0069 ------------ ------------ Less Distributions: Dividends from Net Investment Income.................................. -- (0.0209) Distributions from Realized Gains on Investments...................... (0.0088) (0.0111) ------------ ------------ Total Distributions................................................. (0.0088) (0.0320) ------------ ------------ Net Asset Value, End of Period............................................. $ 1.28 $ 1.19 =========== =========== Total Return+.............................................................. 8.32%++ 0.11%++ =========== =========== Net Assets, End of Period (in thousands)................................... $317,507 $292,533 =========== =========== Ratio of Expenses to Average Net Assets.................................... 0.72% ** 0.87% ** =========== =========== Ratio of Net Investment Income to Average Net Assets....................... 2.83% ** 2.28% ** =========== =========== Portfolio Turnover Rate.................................................... 17.75% 10.97% =========== ===========
* Commencement of Operations. ** Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses: excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 30 34 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. SELECT BOND PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Bonds (cost $143,953).................. $148,869 Money Market Investments (cost $26,828)................... 26,854 -------- 175,723 Cash................................ 240 Interest Receivable................. 2,472 -------- Total Assets................... 178,435 -------- LIABILITIES Due on Redemption of Fund Shares.... 264 Due to Investment Advisor........... 44 -------- Total Liabilities.............. 308 -------- NET ASSETS............................ $178,127 ========= REPRESENTED BY: Aggregate Paid in Capital (400,000 shares authorized, $.01 par value; 154,539 shares outstanding)..................... $175,603 Undistributed Net Investment Income........................... 957 Undistributed Accumulated Net Realized Loss on Investments..... (3,375) Net Unrealized Appreciation of Investments...................... 4,942 -------- Net Assets for 154,539 Shares Outstanding...................... $178,127 ========= Net Asset Value, Offering and Redemption Price per Share....... $1.15
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Interest.......................... $ 5,849 ------- Expenses Management Fees................... 249 ------- Net Investment Income................ 5,600 ------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS Net Realized Loss on Investments..... (371) Net Unrealized Appreciation of Investments for the Period........ 13,354 ------- Net Gain on Investments.............. 12,983 ------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS...................... $18,583 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 31 35 NORTHWESTERN MUTUAL SERIES FUND, INC. SELECT BOND PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE SIX MONTHS FOR THE ENDED YEAR ENDED JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 5,600 $ 7,962 Net Realized Loss on Investments........................................ (371) (3,004) Net Unrealized Appreciation (Depreciation) of Investments for the Period................................................................. 13,354 (4,221) ---------- ------------ Net Increase in Net Assets Resulting from Operations.................. 18,583 737 ---------- ------------ Dividends to Shareholders from: Net Investment Income................................................... (4,709) (7,907) Net Realized Gain on Investments........................................ -- (75) ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (4,709) (7,982) ---------- ------------ Fund Share Transactions Proceeds from Sale of 8,202 and 7,274 Shares............................ 9,098 8,071 Proceeds from Sale of 148,197 Shares Issued in Acquisition of Northwestern Mutual Select Bond Fund, Inc. ............................ -- 163,901 Proceeds from Shares Issued on Reinvestment of Dividends Paid (4,071 and 7,517 shares, respectively)................................ 4,709 7,982 Payments for 7,360 and 28,622 Shares Redeemed........................... (8,062) (31,686) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (4,913 and 134,366 shares, respectively)........................... 5,745 148,268 ---------- ------------ Total Increase in Net Assets............................................... 19,619 141,023 NET ASSETS Beginning of Period........................................................ 158,508 17,485 ---------- ------------ End of Period (includes undistributed net investment income of $957 and $66, respectively)............................................. $178,127 $158,508 ========= ===========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 32 36 NORTHWESTERN MUTUAL SERIES FUND, INC. SELECT BOND PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE SIX MONTHS ENDED FOR THE YEARS JUNE 30, ENDED DECEMBER 31 1995 -------------------------------------------------------- (UNAUDITED) 1994 1993 1992 1991 1990 ---------- -------- -------- -------- -------- -------- Net Asset Value, Beginning of Period........... $ 1.06 $ 1.15 $ 1.14 $ 1.18 $ 1.09 $ 1.11 Income from Investment Operations: Net Investment Income..................... 0.0373 0.0559 0.0766 0.0882 0.0923 0.0928 Net Realized and Unrealized Gain (Loss) on Investments............................. 0.0865 (0.0847) 0.0540 (0.0045) 0.0900 (0.0107) ---------- -------- -------- -------- -------- -------- Total from Investment Operations........ 0.1238 (0.0288) 0.1306 0.0837 0.1823 0.0821 ---------- -------- -------- -------- -------- -------- Less Distributions: Dividends from Net Investment Income...... (0.0313) (0.0562) (0.0775) (0.0881) (0.0918) (0.0932) Distributions from Realized Gains on Investments............................. -- (0.0049) (0.0431) (0.0356) (0.0005) (0.0089) ---------- -------- -------- -------- -------- -------- Total Distributions..................... (0.0313) (0.0611) (0.1206) (0.1237) (0.0923) (0.1021) ---------- -------- -------- -------- -------- -------- Net Asset Value, End of Period................. $ 1.15 $ 1.06 $ 1.15 $ 1.14 $ 1.18 $ 1.09 ========= ========= ========= ========= ========= ========= Total Return+.................................. 11.82%++ -2.28% 10.81% 7.74% 17.32% 8.10% ========= ========= ========= ========= ========= ========= Net Assets, End of Period (in thousands)....... $178,127 $158,508 $17,485 $15,851 $14,703 $12,124 ========= ========= ========= ========= ========= ========= Ratio of Expenses to Average Net Assets........ 0.30%* 0.30% 0.30% 0.30% 0.30% 0.30% ========= ========= ========= ========= ========= ========= Ratio of Net Investment Income to Average Net Assets....................................... 5.72%* 7.02% 6.40% 7.52% 8.11% 8.50% ========= ========= ========= ========= ========= ========= Portfolio Turnover Rate........................ 38.92% 108.00% 67.69% 63.29% 60.88% 33.14% ========= ========= ========= ========= ========= =========
* Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 33 37 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. HIGH YIELD BOND PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Bonds (cost $42,688).................... $43,285 Preferred Stock (cost $500)....................... 680 Money Market Investments (cost $997)....................... 997 ------- 44,962 Cash................................. 673 Dividends and Interest Receivable.... 892 Due from Sale of Securities.......... 525 Due from Sale of Fund Shares......... 123 ------- Total Assets.................... 47,175 ------- LIABILITIES Due on Purchase of Securities........ 992 Due to Investment Advisor............ 22 Accrued Expenses..................... 14 Due On Redemption of Fund Shares..... 7 ------- Total Liabilities............... 1,035 ------- NET ASSETS............................. $46,140 ======== REPRESENTED BY: Aggregate Paid in Capital (400,000 shares authorized, $.01 par value; 44,240 shares outstanding)...................... $44,540 Undistributed Net Investment Income............................ 425 Undistributed Accumulated Net Realized Gain on Investments...... 398 Net Unrealized Appreciation of Investments....................... 777 ------- Net Assets for 44,240 Shares Outstanding....................... $46,140 ======== Net Asset Value, Offering and Redemption Price per Share........ $1.04
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Interest........................... $2,178 Other Income....................... 50 ------ Total Income..................... 2,228 ------ Expenses Management Fees.................... 121 Other Expenses..................... 11 ------ Total Expenses................... 132 ------ Net Investment Income................. 2,096 ------ REALIZED AND UNREALIZED GAIN ON INVESTMENTS Net Realized Gain on Investments...... 580 Net Unrealized Appreciation of Investments for the Period......... 1,749 ------ Net Gain on Investments............... 2,329 ------ NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............. $4,425 ======
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 34 38 NORTHWESTERN MUTUAL SERIES FUND, INC. HIGH YIELD BOND PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE PERIOD FOR THE MAY 3, SIX MONTHS 1994* ENDED THROUGH JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income........................................................ $ 2,096 $ 1,937 Net Realized Gain (Loss) on Investments...................................... 580 (86) Net Unrealized Appreciation (Depreciation) of Investments for the Period..... 1,749 (972) ---------- ------------ Net Increase in Net Assets Resulting from Operations....................... 4,425 879 ---------- ------------ Dividends to Shareholders from: Net Investment Income........................................................ (1,689) (1,919) Net Realized Gain on Investments............................................. -- (96) ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders........ (1,689) (2,015) ---------- ------------ Fund Share Transactions Proceeds from Sale of 6,622 and 35,400 Shares................................ 6,788 35,565 Proceeds from Shares Issued on Reinvestment of Dividends Paid (1,625 and 2,004 shares, respectively)..................................... 1,689 1,941 Payments for 597 and 814 Shares Redeemed..................................... (610) (833) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (7,650 and 36,590 shares, respectively)................................. 7,867 36,673 ---------- ------------ Total Increase in Net Assets.................................................... 10,603 35,537 NET ASSETS Beginning of Period............................................................. 35,537 0 ---------- ------------ End of Period (includes undistributed net investment income of $425 and $18, respectively)....................................................... $ 46,140 $ 35,537 ========= ===========
* Commencement of Operations. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 35 39 NORTHWESTERN MUTUAL SERIES FUND, INC. HIGH YIELD BOND PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE FOR THE PERIOD SIX MONTHS MAY 3, ENDED 1994* JUNE 30, THROUGH 1995 DECEMBER 31, (UNAUDITED) 1994 ----------- ------------ Net Asset Value, Beginning of Period...................................... $ 0.97 $ 1.00 Income from Investment Operations: Net Investment Income................................................ 0.0527 0.0567 Net Realized and Unrealized Gain (Loss) on Investments............... 0.0585 (0.0310) ----------- ------------ Total from Investment Operations................................... 0.1112 0.0257 ----------- ------------ Less Distributions: Dividends from Net Investment Income................................. (0.0398) (0.0562) Distributions from Realized Gains on Investments..................... -- (0.0028) ----------- ------------ Total Distributions................................................ (0.0398) (0.0590) ----------- ------------ Net Asset Value, End of Period............................................ $ 1.04 $ 0.97 ========== =========== Total Return+............................................................. 11.53%++ 3.02%++ ----------- ------------ Net Assets, End of Period (in thousands).................................. $46,140 $35,537 ========== =========== Ratio of Expenses to Average Net Assets................................... 0.56%** 0.73%** ========== =========== Ratio of Net Investment Income to Average Net Assets...................... 8.83%** 9.40%** ========== =========== Portfolio Turnover Rate................................................... 65.96% 130.78% ========== ===========
* Commencement of Operations. ** Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 36 40 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. MONEY MARKET PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Money Market Investments (cost $109,859).................. $ 109,859 Cash................................ 166 Due from Sale of Fund Shares........ 196 Interest Receivable................. 76 --------- Total Assets................... 110,297 --------- LIABILITIES Due on Redemption of Fund Shares.... 585 Due to Investment Advisor........... 27 --------- Total Liabilities.............. 612 --------- NET ASSETS............................ $ 109,685 ========= REPRESENTED BY: Aggregate Paid in Capital (300,000 shares authorized, $.01 par value; 109,701 shares outstanding)..................... $ 109,685 --------- Net Assets for 109,701 Shares Outstanding...................... $ 109,685 ========= Net Asset Value, Offering and Redemption Price per Share....... $1.00
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Interest........................... $3,158 ------ Expenses Management Fees.................... 156 ------ Net Investment Income................. 3,002 ------ NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS............. $3,002 ======
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 37 41 NORTHWESTERN MUTUAL SERIES FUND, INC. MONEY MARKET PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE SIX MONTHS FOR THE ENDED JUNE YEAR ENDED 30, DECEMBER 31, 1995 1994 ----------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income................................................... $ 3,002 $ 3,291 ----------- ------------ Net Increase in Net Assets Resulting from Operations.................. 3,002 3,291 ----------- ------------ Dividends to Shareholders from: Net Investment Income................................................... (3,002) (3,307) ----------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders... (3,002) (3,307) ----------- ------------ Fund Share Transactions Proceeds from Sale of 31,755 and 40,033 Shares.......................... 31,755 40,032 Proceeds from Sale of 91,310 Shares Issued in Acquisition of Northwestern Mutual Money Market Fund, Inc. ........................... -- 91,310 Proceeds from Shares Issued on Reinvestment of Dividend Paid (3,002 and 2,938 shares, respectively)............................................ 3,002 2,938 Payments for 29,289 and 42,704 Shares Redeemed.......................... (29,289) (42,704) ----------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (5,468 and 91,577 shares, respectively).............................. 5,468 91,576 ----------- ------------ Total Increase in Net Assets............................................... 5,468 91,560 NET ASSETS Beginning of Period........................................................ 104,217 12,657 ----------- ------------ End of Period (includes no undistributed net investment income)............ $ 109,685 $104,217 ========= ===========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 38 42 NORTHWESTERN MUTUAL SERIES FUND, INC. MONEY MARKET PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE YEAR)
FOR THE SIX MONTHS ENDED FOR THE YEARS JUNE 30, ENDED DECEMBER 31 1995 -------------------------------------------------------- (UNAUDITED) 1994 1993 1992 1991 1990 ----------- -------- -------- -------- -------- -------- Net Asset Value, Beginning of Period.............. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 Income from Investment Operations: Net Investment Income......... 0.0285 0.0464 0.0287 0.0340 0.0571 0.0793 Net Realized and Unrealized Gains on Investments........ -- -- -- 0.0002 -- -- ----------- -------- -------- -------- -------- -------- Total from Investment Operations............... 0.0285 0.0464 0.0287 0.0342 0.0571 0.0793 ----------- -------- -------- -------- -------- -------- Less Distributions: Dividends from Net Investment Income...................... (0.0274) (0.0464) (0.0287) (0.0340) (0.0571) (0.0793) Distributions from Realized Gains on Investments........ -- -- -- (0.0002) -- -- ----------- -------- -------- -------- -------- -------- Total Distributions......... (0.0274) (0.0464) (0.0287) (0.0342) (0.0571) (0.0793) ----------- -------- -------- -------- -------- -------- Net Asset Value, End of Period..... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 ========== ========= ========= ========= ========= ========= Total Return+...................... 2.91% ++ 4.03% 2.88% 3.49% 5.85% 8.23% ========== ========= ========= ========= ========= ========= Net Assets, End of Period (in thousands)................... $109,685 $104,217 $12,657 14,091 $12,787 $13,362 ========== ========= ========= ========= ========= ========= Ratio of Expenses to Average Net Assets........................... 0.30% * 0.30% 0.30% 0.30% 0.30% 0.30% ========== ========= ========= ========= ========= ========= Ratio of Net Investment Income to Average Net Assets............... 4.89% * 4.64% 2.87% 3.40% 5.71% 7.93% ========== ========= ========= ========= ========= =========
* Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 39 43 FINANCIAL STATEMENTS OF NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) STATEMENT OF ASSETS AND LIABILITIES JUNE 30, 1995 ASSETS Common Stocks (cost $744,740)................ $ 925,101 Preferred Stock (cost $2)...................... 4 Bonds (cost $632,622)................ 651,848 Money Market Investments (cost $327,916)................ 328,354 ---------- 1,905,307 Cash.............................. 360 Dividends and Interest Receivable..................... 12,512 Due from Sale of Fund Shares...... 100 ---------- Total Assets................. 1,918,279 ---------- LIABILITIES Due on Redemption of Fund Shares......................... 3,616 Due to Investment Advisor......... 469 Due on Futures Variation Margin... 212 ---------- Total Liabilities............ 4,297 ---------- NET ASSETS.......................... $1,913,982 ========== REPRESENTED BY: Aggregate Paid in Capital (2,000,000 shares authorized, $.01 par value; 1,316,783 shares outstanding)............ $1,657,883 Undistributed Net Investment Income......................... 41,120 Undistributed Accumulated Net Realized Gain on Investments... 13,559 Net Unrealized Appreciation of: Investment Securities.......... 200,027 Index Futures Contracts........ 1,393 ---------- Net Assets for 1,316,783 Shares Outstanding.................... $1,913,982 ========== Net Asset Value, Offering and Redemption Price per Share..... $1.45
STATEMENT OF OPERATIONS FOR THE PERIOD ENDED JUNE 30, 1995 INVESTMENT INCOME Income Dividends (less foreign dividend tax of $91).................... $ 11,361 Interest......................... 32,437 Other Income..................... 7 -------- Total Income................... 43,805 -------- Expenses Management Fees.................. 2,690 -------- Net Investment Income............... 41,115 -------- REALIZED AND UNREALIZED GAIN ON INVESTMENTS Net Realized Gain on Investments: Investment Securities............ 8,104 Index Futures Contracts.......... 8,353 -------- Net Realized Gain on Investments for the Period...................... 16,457 -------- Net Unrealized Appreciation of: Investment Securities............ 188,279 Index Futures Contracts.......... 321 -------- Net Unrealized Appreciation of Investments for the Period...................... 188,600 -------- Net Gain on Investments............. 205,057 -------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS........... $246,172 =========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 40 44 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO STATEMENT OF CHANGES IN NET ASSETS (IN THOUSANDS)
FOR THE SIX MONTHS FOR THE ENDED YEAR ENDED JUNE 30, DECEMBER 31, 1995 1994 ---------- ------------ INCREASE IN NET ASSETS Operations Net Investment Income.................................................. $ 41,115 $ 53,165 Net Realized Gain on Investments....................................... 16,457 5,281 Net Unrealized Appreciation (Depreciation) of Investments for the Period................................................................ 188,600 (17,767) ---------- ------------ Net Increase in Net Assets Resulting from Operations................. 246,172 40,679 ---------- ------------ Dividends to Shareholders from: Net Investment Income.................................................. (53,160) (28) Net Realized Gain on Investments....................................... (8,179) (782) ---------- ------------ Net Decrease in Net Assets Resulting from Dividends to Shareholders........................................................ (61,339) (810) Fund Share Transactions Proceeds from Sale of 16,528 and 21,149 Shares......................... 22,533 27,441 Proceeds from Sale of 1,330,565 Shares Issued in Acquisition of Northwestern Mutual Balanced Fund, Inc. .............................. -- 1,705,466 Proceeds from Shares Issued on Reinvestment of Dividends Paid (44,352 and 607 shares, respectively)................................ 61,339 810 Payments for 59,871 and 88,502 Shares Redeemed......................... (81,850) (115,369) ---------- ------------ Net Increase in Net Assets Resulting from Fund Share Transactions (1,009 and 1,263,819 shares, respectively)........................ 2,022 1,618,348 ---------- ------------ Total Increase in Net Assets.............................................. 186,855 1,658,217 NET ASSETS Beginning of Period....................................................... 1,727,127 68,910 ---------- ------------ End of Period (includes undistributed net investment income of $41,120 and $53,165 respectively)...................................... $1,913,982 $1,727,127 ========== ===========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 41 45 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO FINANCIAL HIGHLIGHTS (FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD)
FOR THE SIX MONTHS ENDED FOR THE YEARS JUNE 30, ENDED DECEMBER 31 1995 ---------------------------------------------------------- (UNAUDITED) 1994 1993 1992 1991 1990 ----------- ---------- -------- -------- -------- -------- Net Asset Value, Beginning of Period.......................... $ 1.31 $ 1.33 $ 1.39 $ 1.40 $ 1.19 $ 1.24 Income from Investment Operations: Net Investment Income........ 0.0316 0.0404 0.0613 0.0622 0.0672 0.0733 Net Realized and Unrealized Gain (Loss) on Investments................ 0.1575 (0.0451) 0.0837 0.0086 0.2083 (0.0515) ----------- ---------- -------- -------- -------- -------- Total from Investment Operations.............. 0.1891 (0.0047) 0.1450 0.0708 0.2755 0.0218 ----------- ---------- -------- -------- -------- -------- Less Distributions: Dividends from Net Investment Income..................... (0.0415) (0.0005) (0.0651) (0.0607) (0.0655) (0.0718) Distributions from Realized Gains on Investments....... (0.0064) (0.0149) (0.1399) (0.0201) -- -- ----------- ---------- -------- -------- -------- -------- Total Distributions........ (0.0478) (0.0154) (0.2050) (0.0808) (0.0655) (0.0718) ----------- ---------- -------- -------- -------- -------- Net Asset Value, End of Period.... $ 1.45 $ 1.31 $ 1.33 $ 1.39 $ 1.40 $ 1.19 ========== ========== ========= ========= ========= ========= Total Return+..................... 14.57%++ 0.16% 9.91% 5.61% 23.33% 1.53% ========== ========== ========= ========= ========= ========= Net Assets, End of Period (in thousands).................. $1,913,982 $1,727,127 $68,910 $66,006 $57,269 $42,839 ========== ========== ========= ========= ========= ========= Ratio of Expenses to Average Net Assets.......................... 0.30%* 0.30% 0.30% 0.30% 0.30% 0.30% ========== ========== ========= ========= ========= ========= Ratio of Net Investment Income to Average Net Assets.............. 3.89%* 4.78% 4.24% 4.45% 5.11% 6.07% ========== ========== ========= ========= ========= ========= Portfolio Turnover Rate........... 22.49% 42.35% 70.91% 43.28% 55.46% 72.89% ========== ========== ========= ========= ========= =========
* Computed on an annualized basis. + Total Return includes deductions for management and other fund expenses; excludes deductions for sales loads and account fees. ++ Reflects total return for the period; not annualized. The Accompanying Notes are an Integral Part of the Financial Statements 42 46 NORTHWESTERN MUTUAL SERIES FUND, INC. NOTES TO FINANCIAL STATEMENTS JUNE 30, 1995 Note 1 -- Northwestern Mutual Series Fund, Inc. (the "Series Fund"), formerly Northwestern Mutual Variable Life Series Fund, Inc., is registered as a diversified open-end investment company under the Investment Company Act of 1940. The Series Fund consists of the Index 500 Stock Portfolio, Growth Stock Portfolio, Growth and Income Stock Portfolio, Aggressive Growth Stock Portfolio, International Equity Portfolio, Select Bond Portfolio, High Yield Bond Portfolio, Money Market Portfolio, and Balanced Portfolio (the "Portfolios"). Shares are presently offered only to The Northwestern Mutual Life Insurance Company ("Northwestern Mutual Life") and its segregated asset accounts. On May 3, 1994, five new portfolios commenced operations in the Series Fund: Growth Stock Portfolio, Growth and Income Stock Portfolio, Aggressive Growth Stock Portfolio, International Equity Portfolio, and High Yield Bond Portfolio. These five portfolios were organized with 700,000,000 authorized shares of Common Stock for each of the Aggressive Growth and International Portfolios and 400,000,000 authorized shares of Common Stock for each of the Growth Stock, Growth and Income Stock and High Yield Bond Portfolios. Par Value is $.01 per share. Northwestern Mutual Life purchased 25,000,000 shares each of the Growth Stock Portfolio, Growth and Income Stock Portfolio and High Yield Bond Portfolio at $1.00 per share. Note 2 -- The assets of Northwestern Mutual Life's variable annuity funds were merged into the Series Fund in a tax-free exchange of fund shares on May 3, 1994. The following summarizes the merge:
# OF SHARES/ UNREALIZED APPRECIATION MERGE FROM: VALUE REDEEMED (DEPRECIATION) TRANSFERRED -------------------------------------------------------------- -------------- -------------------------- Northwestern Mutual Index 500 Stock Fund, Inc. ............... 199,137,846277,484,077 16,828,536 $ $ Northwestern Mutual Aggressive Growth Stock Fund, Inc. ....... 128,778,039245,687,070 45,345,398 $ $ Northwestern Mutual International Equity Fund, Inc............ 193,618,391236,437,711 13,017,843 $ $ Northwestern Mutual Select Bond Fund, Inc. ................... 127,156,919163,901,422 (4,867,983) $ $ Northwestern Mutual Money Market Fund, Inc. .................. 91,309,66491,309,664 $ -- Northwestern Mutual Balanced Fund, Inc........................ 1,250,574,7201,705,465,964 27,288,995 $ $
# OF SHARES/ AGGREGATE NET ASSETS MERGED TO: VALUE RECEIVED OF PORTFOLIO AFTER MERGER -------------------------------------------------------------- -------------- ------------------------- Northwestern Mutual Series Fund, Inc. -- Index 500 Stock Portfolio................................ 220,157,952277,484,077 $ $ 305,458,525 -- Aggressive Growth Stock Portfolio........................ 128,778,039245,687,070 $ $ 245,687,070 -- International Equity Portfolio........................... 193,618,391236,437,711 $ $ 236,437,711 -- Select Bond Portfolio.................................... 148,196,445163,901,422 $ $ 181,055,470 -- Money Market Portfolio................................... 91,309,66491,309,664 $ $ 104,436,452 -- Balanced Portfolio....................................... 1,330,564,6791,705,465,964 $ $ 1,776,058,467
The Aggressive Growth Stock and International Equity Portfolios had no assets prior to the merger so the assets of the Funds became the assets of the Portfolios. Hence, these Portfolios commenced operations in the Series Fund on May 3, 1994 at $1.91 and $1.22, respectively. Principal accounting policies are summarized below. Note 3 -- Bonds are valued on the basis of prices furnished by a service which determines prices for normal institutional size trading units of bonds, without regard to exchange or over-the-counter prices. When quotations are not readily available, bonds are valued at fair market value determined by procedures approved by the Board of 43 47 NORTHWESTERN MUTUAL SERIES FUND, INC. NOTES TO FINANCIAL STATEMENTS (CONTINUED) JUNE 30, 1995 Directors. Stocks listed on a national or foreign stock exchange are valued at the final sale price, or final bid price in absence of a sale. Stocks not listed on a national or foreign stock exchange are valued at the closing bid price on the over-the-counter market. Money market investments, other than in the Money Market Portfolio, with maturities exceeding sixty days but generally not exceeding one year are valued by marking to market on the basis of an average of the most recent bid prices or yields. Securities with maturities of sixty days or less and all securities in the Money Market Portfolio are valued on an amortized cost basis or, if the current market value differs substantially from the amortized cost, by marking to market. Note 4 -- Securities and other assets and liabilities denominated in foreign currencies are translated into U.S. dollar amounts at date of valuation. Purchases and sales of securities and income items denominated in foreign currencies are translated in U.S. dollar amounts on the respective dates of such transactions. When the International Equity Portfolio purchases or sells foreign securities it may enter into a foreign exchange currency contract to minimize market risk from the trade date to the settlement date of such transaction. Such foreign exchange currency contracts are marked to market daily. The International Equity Portfolio does not separately report the results of operations resulting from changes in foreign exchange rates on investments from the fluctuations arising from changes in market prices of securities held. Such fluctuations are included with the net realized and unrealized gain or loss from investments. Net realized foreign exchange gains or losses arise from sales of foreign currencies, currency gains or losses realized between the trade date and settlement date on security transactions, the differences between the amounts of dividends and foreign withholding taxes recorded on the portfolio's books, and the U.S. dollar equivalent of the amounts actually received or paid. Note 5 -- The Index and Balanced Portfolios invest in financial futures as an alternative to investing in individual securities. The Index and Balanced Portfolios could be exposed to market risk due to changes in the value of the underlying securities or due to an illiquid secondary market. Financial futures are marked to market based upon quoted settlement prices; variation margin payments are received or made to reflect changes in unrealized appreciation or depreciation. Realized gains or losses are recognized when financial futures contracts are closed. Note 6 -- Interest income and discounts earned are recorded daily on the accrual basis and dividend income is recorded on the ex-dividend date or as soon as information from foreign securities is available. Where applicable, dividends are recorded net of foreign dividend tax. Discounts and premiums on securities purchased are amortized over the life of the respective securities when required for federal income tax purposes. Securities transactions are accounted for on the day following the trade date except for money market investments which are accounted for on the trade date. The basis for determining cost on sale of securities is identified cost. For the period ended June 30, 1995, transactions in securities other than money market investments were:
PERIOD ENDED JUNE 30, 1995 -------------------------------------------------------------------- TOTAL U.S. GOVT TOTAL U.S. GOVT SECURITY SECURITY SECURITY SECURITY PORTFOLIOS PURCHASES PURCHASES SALES/MATURITIES SALES/MATURITIES ------------------------------------------ ------------ ------------ ---------------- ---------------- Index 500................................. $ 19,516,113 $ 0 $ 5,260,953 $ 0 Growth Stock.............................. 21,033,825 0 7,893,103 0 Growth and Income......................... 60,403,251 0 33,955,576 0 Aggressive Growth......................... 136,739,468 0 68,848,986 0 International............................. 37,568,365 2,897,648 32,789,435 0 Select Bond............................... 58,430,292 35,374,070 62,296,291 43,997,382 High Yield Bond........................... 33,572,883 0 25,525,588 0 Balanced.................................. 425,199,173 291,074,292 319,843,122 213,794,984
Note 7 -- The Series Fund and its Portfolios are parties to annually renewable contracts pursuant to which each Portfolio pays a charge for investment management and administrative services. Each Portfolio pays a monthly fee for these investment advisory services at an annual rate based on the average daily net asset values of each Portfolio. For the Index 500 Stock Portfolio the rate is .20%, and for the Select Bond, Money Market and Balanced 44 48 NORTHWESTERN MUTUAL SERIES FUND, INC. NOTES TO FINANCIAL STATEMENTS (CONTINUED) JUNE 30, 1995 Portfolios the rate is .30%. For the other Portfolios the rate for the investment advisory fee is graded by the asset size of the Portfolio according to the following schedule:
PORTFOLIO FIRST $50 MILLION NEXT $50 MILLION EXCESS ---------------------------------------------------------------- ----------------- ---------------- ------ Aggressive Growth............................................... .80% .65% .50% International Equity............................................ .85% .65% .65% Growth Stock.................................................... .60% .50% .40% Growth and Income............................................... .70% .60% .55% High Yield Bond................................................. .60% .50% .40%
These amounts are paid to Northwestern Mutual Investment Services, Inc. ("NMIS") a wholly-owned subsidiary of Northwestern Mutual Life, which is the manager and investment adviser of the Fund. Northwestern Mutual Life is also a party to the agreement. All Portfolios pay investment management expenses; certain other costs are paid by Northwestern Mutual Life or NMIS. J.P. Morgan Investment Management, Inc. ("J.P. Morgan") and Templeton Investment Counsel, Inc. ("Templeton Counsel") have been retained under an investment sub-advisory agreement to provide investment advice and, in general, to conduct the management investment program of the Growth and Income Stock Portfolio and the International Equity Portfolio, respectively. Of the advisory fees received by NMIS from the Growth and Income Stock Portfolio, .45% on the first $100 million of the Portfolio's net assets, .40% on the next $100 million, .35% on the next $200 million and .30% on the net assets in excess of $400 million will be paid by NMIS to J.P. Morgan. Of the advisory fees received by NMIS from the International Equity Portfolio, .50% on the first $100 million of the Portfolio's net assets and .40% on net assets in excess of $100 million will be paid by NMIS to Templeton Counsel. Note 8 -- The Series Fund has elected to be taxed as a regulated investment company meeting certain requirements under the Internal Revenue Code. Since it expects to distribute all net investment income and net realized capital gains, the Series Fund anticipates incurring no federal income taxes. Net realized capital losses of $1,704,510 in the Select Bond Portfolio and $2,207,870 in the Balanced Portfolio may be carried forward and offset against future net realized capital gains. These amounts expire in 2002. A capital loss carryforward of $392,328 was utilized in the Index 500 Stock Portfolio during the year ended December 31, 1994. As of June 30, 1995, the federal income tax basis of investments is the same as the cost basis in the financial statements except for the International Equity Portfolio. The net unrealized appreciation (depreciation), and the gross unrealized appreciation and depreciation, for federal income tax purposes are shown below:
GROWTH GROWTH AND AGGRESSIVE INDEX 500 STOCK INCOME GROWTH PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO ------------ ------------ ----------- -------------- Gross unrealized appreciation............. $ 81,729,072 $ 6,829,393 $ 9,586,501 $113,066,793 Gross unrealized depreciation............. 6,758,706 593,824 1,459,447 5,243,903 ------------ ------------ ----------- -------------- Net unrealized appreciation............... $ 74,970,366 $ 6,235,569 $ 8,127,054 $107,822,889 ============= ============= ============ ============== Federal income tax basis of investments... $325,036,116 $55,277,553 $92,089,532 $330,934,997 ============= ============= ============ ==============
INTERNATIONAL HIGH YIELD EQUITY SELECT BOND BOND BALANCED PORTFOLIO PORTFOLIO PORTFOLIO PORTFOLIO ------------ ------------ ----------- -------------- Gross unrealized appreciation............. $ 29,150,710 $ 5,636,162 $ 1,463,254 $ 226,277,396 Gross unrealized depreciation............. 10,328,070 693,936 688,211 26,249,308 ------------ ------------ ----------- -------------- Net unrealized appreciation............... $ 18,822,640 $ 4,942,227 $ 775,043 $ 200,028,088 ============= ============= ============ ============== Federal income tax basis of investments... $296,541,644 $170,780,861 $44,185,445 $1,705,278,961 ============= ============= ============ ==============
The federal income tax basis of investments was $109,858,546 for the Money Market Portfolio. Taxable distributions from net investment income and realized capital gains in the International Equity Portfolio differ from book amounts earned during the period due to differences in the timing of capital recognition and due to the reclassification of certain gains or losses from capital to income. For Federal income tax purposes, net unrealized appreciation of $795,825 and $1,393,100 on open futures contracts for the Index 500 and Balanced Portfolios, respectively, is required to be treated as realized gains. 45 49 NORTHWESTERN MUTUAL SERIES FUND, INC. NOTES TO FINANCIAL STATEMENTS (CONTINUED) JUNE 30, 1995 Note 9 -- The costs associated with organizing the five new Portfolios and certain other initial period costs have been incurred by The Northwestern Mutual Life Insurance Company. The Series Fund is not obligated to repay these costs. Note 10 -- Dividends from net investment income and net realized capital gains are declared each year for the Index 500, Growth Stock, Growth and Income, Aggressive Growth, International, Select Bond, High Yield Bond and Balanced Portfolios and each business day for the Money Market Portfolio. Dividend distributions are described below. A dividend was declared on May 2, 1995, payable to shareholders of record on May 2, 1995. Dividends paid from 1994 net investment income and 1994 net capital gains were as follows:
NET INVESTMENT NET PORTFOLIOS INCOME CAPITAL GAINS --------------------------------------------------------------------------- ----------- ------------- Index 500.................................................................. $ 64,846 -- Growth Stock............................................................... 6,489 -- Growth and Income.......................................................... 4,761 $ 101,563 Aggressive Growth.......................................................... 502,448 1,836,281 International.............................................................. -- 2,170,803 Select Bond................................................................ 63,551 -- High Yield Bond............................................................ 18,833 -- Balanced................................................................... 53,159,765 8,178,849
A dividend was declared on June 26, 1995, payable to shareholders of record on June 26, 1995. Dividends were paid from 1995 net investment income and were as follows:
NET INVESTMENT PORTFOLIOS INCOME ----------------------------------------------------------------------------------------- ---------- Index 500................................................................................ $3,829,315 Growth Stock............................................................................. 459,372 Growth and Income........................................................................ 636,176 Select Bond.............................................................................. 4,645,196 High Yield Bond.......................................................................... 1,670,096
Note 11 -- A Special Meeting of the stockholders of Northwestern Mutual Series Fund, Inc. was held at 720 East Wisconsin Avenue, Milwaukee, Wisconsin, on March 29, 1995. The stockholders cast the following votes on the resolutions presented: BE IT RESOLVED, that the following persons are nominated and elected as Directors of the Corporation to serve for the term provided in the By-Laws:
FOR ABSTAIN Stephen N. Graff 2,270,116,766.25 102,692,132.73 John K. MacIver 2,266,153,929.25 106,654,969.73 Martin F. Stein 2,268,092,761.36 104,716,137.62 James D. Ericson 2,270,768,173.35 102,040,725.63 William J. Blake 2,268,894,605.36 103,914,293.62
BE IT RESOLVED, that the selection of Price Waterhouse LLP, independent accountants, as auditors of the Corporation is hereby ratified. YES 2,266,641,454.01 NO 28,050,550.26 ABSTAIN 78,116,894.71 46 50 NORTHWESTERN MUTUAL SERIES FUND, INC. NOTES TO FINANCIAL STATEMENTS (CONTINUED) JUNE 30, 1995 BE IT RESOLVED, that the investment advisory agreement between the Corporation, NMIS and The Northwestern Mutual Life Insurance Company for the Growth and Income Stock Portfolio is hereby approved and that the investment sub-advisory agreement between the Corporation, NMIS and J.P. Morgan Investment Management, Inc. for the Growth and Income Stock Portfolio is hereby approved. YES 62,729,865.96 NO 703,277.71 ABSTAIN 2,324,267.25 BE IT RESOLVED, that the investment advisory agreement between the Corporation, NMIS and The Northwestern Mutual Life Insurance Company for the Growth Stock Portfolio is hereby approved. YES 39,112,648.85 NO 1,136,499.86 ABSTAIN 1,658,855.64 BE IT RESOLVED, that the investment advisory agreement between the Corporation, NMIS and The Northwestern Mutual Life Insurance Company for the Aggressive Growth Stock Portfolio is hereby approved. YES 153,485,939.4 NO 2,613,557.91 ABSTAIN 7,528,159.97 BE IT RESOLVED, that the investment advisory agreement between the Corporation, NMIS and The Northwestern Mutual Life Insurance Company for the High Yield Bond Portfolio is hereby approved. YES 34,244,453.77 NO 156,184.39 ABSTAIN 2,189,223.37 BE IT RESOLVED, that the investment advisory agreement between the Corporation, NMIS and The Northwestern Mutual Life Insurance Company for the International Equity Portfolio is hereby approved and that the investment sub-advisory agreement between NMIS and Templeton Investment Counsel, Inc. for the International Equity Portfolio is hereby approved. YES 231,607,721.07 NO 3,840,003.82 ABSTAIN 10,160,909.98 47 51 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (94.7%) AEROSPACE (2.1%) The Boeing Company 32,400 $ 2,029 EG&G, Inc. 5,000 84 General Dynamics Corporation 6,000 266 Lockheed Martin Corporation 18,954 1,196 Loral Corporation 8,000 414 McDonnell Douglas Corporation 10,800 829 Northrop Corporation 4,700 245 Raytheon Company 11,700 908 Rockwell International Corporation 20,500 938 TRW Inc. 6,200 495 United Technologies Corp. 11,700 914 -------- Total 8,318 -------- AIRLINES (0.3%) *AMR Corporation 7,200 537 Delta Air Lines, Inc. 4,800 354 Southwest Airlines Co. 13,600 325 *USAir Group, Inc. 5,500 64 -------- Total 1,280 -------- APPAREL, TEXTILES AND FOOTWEAR (0.4%) Brown Group, Inc. 1,700 39 *Fruit of the Loom Incorporated 7,200 152 Liz Claiborne, Inc. 7,100 151 Nike, Inc. 6,800 571 Reebok International Ltd. 7,600 258 Russell Corp. 3,700 106 Springs Industries, Inc. 1,900 71 Stride Rite Corp. 4,700 49 VF Corporation 6,000 322 -------- Total 1,719 -------- AUTO & TRUCKS (2.0%) Chrysler Corporation 35,000 1,675 Ford Motor Company 97,300 2,894 General Motors Corporation 70,800 3,319 *Navistar International Corp. 7,100 107 PACCAR Incorporated 3,635 170 -------- Total 8,165 -------- AUTO RELATED (0.6%) Cooper Tire & Rubber Company 7,900 192 Dana Corporation 9,600 275 Eaton Corporation 7,400 430 Echlin Inc. 5,600 195 Genuine Parts Company 11,600 439 Goodyear Tire & Rubber Company 14,400 594 SPX Corp. 1,200 13 Snap-On Incorporated 3,800 147 -------- Total 2,285 -------- BANKS (5.4%) Banc One Corporation 37,350 1,204 Bank of Boston Corporation 10,500 394 Bank of New York Company Inc. 18,100 731 BankAmerica Corporation 35,500 1,868 Bankers Trust New York Corporation 7,400 459 Barnett Banks Inc. 9,200 471 Boatmans Bancshares, Inc. 11,900 419 Chase Manhattan Corporation 16,800 790 MARKET VALUE SHARES (000'S) ---------- -------- BANKS (CONTINUED) Chemical Banking Corporation 22,800 $ 1,077 Citicorp 37,600 2,176 Corestates Financial Corp. 13,700 478 First Chicago Corporation 8,500 509 First Fidelity Bancorporation 7,700 454 First Interstate Bancorp 7,200 578 First Union Corporation 16,300 738 Fleet Financial Group Inc. 13,400 497 KeyCorp 22,500 706 Mellon Bank Corporation 13,850 576 J.P. Morgan & Company, Inc. 17,800 1,248 NBD Bancorp, Inc. 15,200 486 National City Corp. 13,900 408 NationsBank Corp. 25,700 1,378 Norwest Corporation 30,700 883 PNC Financial Corp. 21,600 570 Shawmut National Corp. 12,200 389 Suntrust Banks Inc. 10,900 635 U.S. Bancorp of Oregon 9,300 224 Wachovia Corporation 16,200 579 Wells Fargo & Company 4,700 847 -------- Total 21,772 -------- BEVERAGES (3.5%) Anheuser-Busch Companies, Inc. 24,300 1,382 Brown-Forman Corp. 6,500 217 The Coca-Cola Company 120,100 7,656 Adolph Coors Co. 3,600 59 Pepsico Inc. 74,600 3,404 Seagram Company Ltd. 35,300 1,222 -------- Total 13,940 -------- BUILDING & CONSTRUCTION (0.3%) Centex Corporation 2,700 76 Crane Co. 2,900 105 Kaufman & Broad Home Corp. 3,000 43 Masco Corporation 14,900 402 Morrison Knudsen Corporation 3,000 20 *Owens-Corning Fiberglas Corporation 4,500 166 Pulte Corporation 2,500 70 Sherwin-Williams Company 8,100 289 -------- Total 1,171 -------- BUILDING-FOREST PRODUCTS (0.7%) Boise Cascade Corporation 4,500 182 Champion International 8,900 464 Georgia-Pacific Corporation 8,600 746 Louisiana-Pacific Corporation 10,200 268 Potlatch Corporation 2,800 117 Weyerhaeuser Company 19,500 919 -------- Total 2,696 -------- CHEMICALS (2.9%) Air Products & Chemicals, Inc. 10,600 591 Dow Chemical Company 26,100 1,876 E.I. Du Pont De Nemours & Co. 52,300 3,596 Eastman Chemical Company 7,825 466 Ecolab, Inc. 6,400 157 *FMC Corporation 3,500 235 First Mississippi Corp. 1,900 65 W.R. Grace & Co. 8,900 546
48 52 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (CONTINUED) CHEMICALS (CONTINUED) Great Lakes Chemical 6,300 $ 380 Hercules Incorporated 11,000 536 Mallinckrodt Group 7,300 259 Monsanto Company 10,800 973 PPG Industries Inc. 19,500 838 Praxair, Inc. 13,100 328 Rohm & Haas Company 6,400 351 Union Carbide Corporation 13,000 434 -------- Total 11,631 -------- CHEMICALS-SPECIALTY (0.4%) Avery Dennison Corp. 5,000 200 Engelhard Corp. 9,000 386 B.F. Goodrich Company 2,500 134 Morton International, Inc. 14,000 410 Nalco Chemical Company 6,400 233 Sigma-Aldrich Corp. 4,700 231 -------- Total 1,594 -------- COAL, GAS & PIPELINE (0.1%) Eastern Enterprises 1,900 57 NACCO Industries, Inc. 800 48 Sonat Inc. 8,200 250 -------- Total 355 -------- CONTAINERS (0.2%) Ball Corporation 2,900 101 Bemis Company, Inc. 4,900 127 *Crown Cork & Seal Company, Inc. 8,500 426 -------- Total 654 -------- DIVERSIFIED (2.0%) Allied Signal Inc. 26,900 1,197 Corning Inc. 21,700 711 The Dial Corp. 8,800 218 ITT Corp. 10,000 1,175 Minnesota Mining & Manufacturing Co. 39,800 2,279 National Service Industries, Inc. 4,600 133 Ogden Corporation 4,600 101 *Teledyne, Inc. 5,300 130 Tenneco Inc. 17,100 787 Textron Inc. 8,100 471 Tyco Laboratories, Inc. 7,200 389 Whitman Corporation 9,900 192 Worthington Industries, Inc. 8,650 177 -------- Total 7,960 -------- DRUGS (5.2%) *ALZA Corp. 7,800 182 American Home Products Corporation 29,200 2,259 *Amgen Inc. 12,500 1,005 Bristol-Myers Squibb Company 48,000 3,270 Eli Lily & Company 27,700 2,174 McKesson Corporation 3,600 168 Merck & Co., Inc. 117,100 5,738 Pfizer Inc. 29,900 2,762 Schering-Plough Corporation 35,200 1,553 Upjohn Company 16,400 621 Warner-Lambert Company 12,800 1,106 -------- Total 20,838 -------- MARKET VALUE SHARES (000'S) ---------- -------- ELECTRICAL EQUIPMENT (3.0%) Emerson Electric Co. 20,100 $ 1,580 General Electric Company 160,400 9,043 W.W. Grainger, Inc. 4,800 282 Honeywell Inc. 12,100 522 Raychem Corp. 4,200 161 Thomas & Betts Corporation 1,900 130 Westinghouse Electric Corporation 33,900 496 -------- Total 12,214 -------- ELECTRONICS (2.5%) *Advanced Micro Devices, Inc. 9,800 356 AMP Incorporated 19,900 841 *Applied Materials Inc. 8,000 693 Harris Corporation 3,700 191 Intel Corp. 78,400 4,964 Micron Technology 19,400 1,065 *National Semiconductor Corporation 11,800 327 Perkin-Elmer Corporation 4,000 142 Tektronix, Inc. 3,100 153 Texas Instruments Incorporated 8,800 1,178 *Zenith Electronics Corp. 4,400 32 -------- Total 9,942 -------- ENGINEERING & CONSTRUCTION (0.1%) Fluor Corporation 7,800 406 -------- ENVIRONMENTAL CONTROL (0.7%) Browning-Ferris Industries Inc. 20,200 730 Johnson Controls, Inc. 3,900 220 Laidlaw Transportation Limited 26,300 253 Millipore Corp. 2,100 142 Safety-Kleen Corp. 5,500 89 WMX Technologies, Inc. 45,800 1,300 Zurn Industries, Inc. 1,100 22 -------- Total 2,756 -------- FEDERAL GOVERNMENT AGENCY RELATED (0.9%) Federal Home Loan Mortgage Corp. 17,100 1,176 Federal National Mortgage Assoc. 25,800 2,435 -------- Total 3,611 -------- FINANCIAL SERVICES (1.8%) American Express Company 47,000 1,651 Beneficial Corporation 5,000 220 Dean Witter, Discover & Co. 16,000 752 Household International Inc. 9,200 455 MBNA Corp. 14,100 476 Marsh & McLennan Companies, Inc. 6,900 560 Merrill Lynch & Co., Inc. 16,700 877 Salomon Inc. 10,100 405 Transamerica Corporation 6,600 384 Travelers Group Inc. 30,333 1,327 -------- Total 7,107 -------- FOOD SERVICE/LODGING (1.0%) *Darden Restaurant Inc. 15,000 163 *Harrah's Entertainment 9,700 378 Hilton Hotels Corporation 4,600 323 Luby's Cafeterias, Inc. 2,200 44 Marriott International 11,600 416 McDonald's Corporation 65,700 2,571 *Ryan's Family Steak Houses, Inc. 4,900 39
49 53 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (CONTINUED) FOOD SERVICE/LODGING (CONTINUED) *Shoney's Inc. 3,800 $ 45 Wendy's International, Inc. 9,700 173 -------- Total 4,152 -------- FOODS (3.1%) Archer Daniels Midland Company 48,840 910 CPC International Corp. 13,900 858 Campbell Soup Company 23,600 1,156 ConAgra Inc. 23,200 809 General Mills, Inc. 15,000 771 H.J. Heinz Company 23,100 1,025 Hershey Foods Corp. 8,200 453 Kellogg Company 20,800 1,485 Pioneer Hi-Bred International 8,000 336 Quaker Oats Company 12,700 418 Ralston Purina Group 9,500 485 Sara Lee Corporation 45,400 1,294 Unilever, N.V. 15,200 1,978 Wm. Wrigley Jr. Company 11,000 510 -------- Total 12,488 -------- HOSPITAL SUPPLIES (3.6%) Abbott Laboratories Inc. 75,600 3,062 Allergan Incorporated 6,100 165 C.R. Bard, Inc. 4,900 147 Bausch & Lomb Inc. 5,500 228 Baxter International Inc. 26,500 964 Becton, Dickinson & Company 6,300 367 *Beverly Enterprises, Inc. 8,100 100 *Biomet, Inc. 11,000 171 *Boston Scientific Corp. 14,200 453 Columbia/HCA Healthcare Corporation 42,000 1,817 *Community Psychiatric Centers 4,000 45 Johnson & Johnson 61,100 4,132 Manor Care, Inc. 5,900 172 Medtronic, Incorporated 10,900 841 St. Jude Medical, Inc. 4,400 221 *Tenet Healthcare Corp. 18,900 272 United Healthcare Corp. 16,400 679 U.S Healthcare Incorporated 15,200 466 U.S. Surgical Corporation 5,400 113 -------- Total 14,415 -------- HOUSEHOLD FURNITURE/APPLIANCES (0.6%) Armstrong World Industries, Inc. 3,500 175 Bassett Furniture Industries, Inc. 1,299 36 Black & Decker Corporation 8,100 250 Maytag Corporation 10,200 163 Newell Co. 15,000 368 Premark International, Inc. 5,800 301 Rubbermaid, Inc. 15,200 422 The Stanley Works 4,200 159 Whirlpool Corporation 7,000 385 -------- Total 2,259 -------- INSURANCE (2.6%) Aetna Life & Casualty Company 10,700 673 Alexander & Alexander Services 4,200 100 American General Corporation 19,400 655 American International Group, Inc. 29,900 3,409 MARKET VALUE SHARES (000'S) ---------- -------- INSURANCE (CONTINUED) CIGNA Corporation 6,800 $ 528 The Chubb Corporation 8,200 657 General Re Corporation 7,800 1,044 Jefferson-Pilot Corp. 4,600 252 Lincoln National Corporation 9,000 394 Loews Corp. 5,600 678 Providian Corporation 9,100 330 SAFECO Corp. 6,000 345 St. Paul Companies, Inc. 8,000 394 Torchmark Corporation 6,800 257 UNUM Corporation 6,900 323 USF&G Corp. 9,400 153 USLIFE Corporation 2,200 89 -------- Total 10,281 -------- LEISURE RELATED (1.4%) *Bally Entertainment Corporation 4,300 53 Brunswick Corporation 9,100 155 Walt Disney Company 49,300 2,742 Fleetwood Enterprises, Inc. 4,400 87 Handleman Co. 3,100 30 Hasbro Inc. 8,300 264 *King World Productions, Inc. 3,500 142 Mattel, Inc. 20,931 544 Outboard Marine Corporation 1,800 35 Skyline Corporation 1,000 18 *Viacom Incorporated 34,056 1,571 -------- Total 5,641 -------- MACHINERY (1.4%) Briggs & Stratton Corporation 2,800 97 Caterpillar Inc. 18,900 1,214 Cincinnati Milacron Inc. 3,200 86 *Clark Equipment Company 1,600 138 Cooper Industries, Inc. 11,100 438 Cummins Engine Company, Inc. 3,900 170 Deere & Company 8,200 702 Dover Corporation 5,400 393 Foster Wheeler Corporation 3,400 120 General Signal Corporation 4,500 179 Giddings & Lewis Company 3,300 59 Harnischfeger Industries, Inc. 4,400 152 Illinois Tool Works Inc. 10,800 594 Ingersoll-Rand Company 10,000 383 Pall Corporation 11,000 245 Parker-Hannifin Corporation 6,950 252 The Timken Company 2,900 134 TRINOVA Corp. 2,700 95 *Varity Corporation 3,900 172 -------- Total 5,623 -------- MEDIA (1.0%) CBS Inc. 5,800 389 Capital Cities/ABC, Inc. 14,600 1,576 Comcast Corp. 22,650 420 *Cox Communications Inc. 2 1 *Tele-Communications, Inc. 61,800 1,448 -------- Total 3,834 -------- METALS & MINING (1.3%) Alcan Aluminum Limited 21,300 644
50 54 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (CONTINUED) METALS & MINING (CONTINUED) Aluminum Co. of America 16,900 $ 847 ASARCO, Inc. 4,000 122 Barrick Gold Corporation 33,500 846 Cyprus Minerals Co. 8,750 249 Echo Bay Mines Limited 10,700 96 Homestake Mining Company 13,100 216 Inco Limited 11,100 314 Newmont Mining Corporation 8,188 343 Phelps Dodge Corporation 6,600 389 Placer Dome Incorporated 22,600 590 Reynolds Metals Company 6,000 311 Santa Fe Pacific Gold Corporation 12,460 151 -------- Total 5,118 -------- OFFICE EQUIPMENT (4.1%) *Amdahl Corporation 11,200 125 Apple Computer, Inc. 11,500 534 *Cabletron Systems Inc. 6,800 362 *Ceridian Corp. 4,300 159 *Cisco Systems Incorporated 25,400 1,284 *Compaq Computer Corporation 24,800 1,125 *Cray Research, Inc. 2,300 56 *Data General Corporation 3,400 33 *Digital Equipment Corporation 13,900 566 Hewlett-Packard Company 48,300 3,598 *Intergraph Corp. 4,300 48 International Business Machines Corp. 55,000 5,280 Moore Corporation Ltd. 9,400 208 Pitney Bowes Inc. 14,300 549 *Silicon Graphics 13,700 546 *Sun Microsystems Inc. 9,100 441 *Tandem Computers Inc. 11,000 177 *Unisys Corporation 16,200 176 Xerox Corporation 10,100 1,184 -------- Total 16,451 -------- OFFICE EQUIPMENT-SERVICES (2.8%) Alco Standard Corporation 5,200 415 Autodesk, Inc. 4,500 193 Automatic Data Processing, Inc. 13,700 861 Computer Associates International Inc. 15,200 1,030 *Computer Sciences Corp. 5,200 296 First Data Corporation 11,300 643 *Lotus Development Corporation 4,500 287 *Microsoft Corporation 55,100 4,980 *Novell, Inc. 34,700 692 *Oracle Systems 40,800 1,576 Shared Medical Systems Corp. 2,200 88 -------- Total 11,061 -------- OIL & GAS-DOMESTIC (1.6%) Amerada Hess Corporation 8,800 430 Ashland Oil, Inc. 5,900 207 Atlantic Richfield Company 15,200 1,668 Burlington Resource Inc. 12,000 443 Coastal Corp. 9,900 301 Kerr-McGee Corporation 4,900 263 Louisiana Land & Exploration Co. 3,200 128 Occidental Petroleum Corporation 30,100 689 *Oryx Energy Company 9,800 135 MARKET VALUE SHARES (000'S) ---------- -------- OIL & GAS-DOMESTIC (CONTINUED) Pennzoil Company 4,400 $ 207 Phillips Petroleum Company 24,800 828 *Santa Fe Energy Resources, Inc. 8,500 81 Sun Company, Inc. 10,100 276 Unocal Corp. 23,100 638 -------- Total 6,294 -------- OIL & GAS-INTERNATIONAL (6.4%) Amoco Company 47,000 3,131 Chevron Corp. 61,800 2,881 Exxon Corporation 117,700 8,312 Mobil Corporation 37,500 3,600 Royal Dutch Petroleum Co., ADR 50,800 6,191 Texaco Inc. 24,600 1,614 -------- Total 25,729 -------- OIL FIELD SERVICES (0.7%) Baker Hughes Inc. 13,400 275 Dresser Industries, Inc. 17,300 385 Halliburton Company 10,800 386 Helmerich & Payne, Inc. 2,300 68 McDermott International, Inc. 5,100 123 *Rowan Companies, Inc. 8,000 65 Schlumberger Limited 22,900 1,423 *Western Atlas Inc. 5,000 222 -------- Total 2,947 -------- PAPER (1.1%) Federal Paper Board Company, Inc. 4,000 141 International Paper Company 12,000 1,029 James River Corp. of Virginia 7,800 215 Kimberly-Clark Corporation 15,200 910 Mead Corp. 5,300 315 Scott Paper Company 14,300 708 *Stone Container Corporation 8,600 183 Temple-Inland Inc. 5,300 252 Union Camp Corporation 6,600 382 Westvaco Corporation 6,400 283 -------- Total 4,418 -------- PHOTO & OPTICAL (0.5%) Eastman Kodak Company 32,200 1,952 Polaroid Corporation 4,300 175 -------- Total 2,127 -------- PRINTING & PUBLISHING (1.6%) American Greetings Corp. 7,000 206 Deluxe Corp. 7,800 258 R.R. Donnelley & Sons Company 14,400 518 Dow Jones & Company, Inc. 9,200 339 The Dun & Bradstreet Corporation 16,100 845 Gannett Company, Inc. 13,300 722 Harcourt General 6,900 293 The John H. Harland Company 2,900 66 Jostens, Inc. 4,300 91 Knight-Ridder Inc. 4,700 267 McGraw-Hill, Inc. 4,700 357 Meredith Corporation 2,600 66 New York Times Co. 9,100 214 Time Warner Inc. 36,000 1,481 Times Mirror Company 10,600 253
51 55 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (CONTINUED) PRINTING & PUBLISHING (CONTINUED) Tribune Company 6,200 $ 381 -------- Total 6,357 -------- PROFESSIONAL SERVICES (0.4%) H & R Block, Inc. 9,900 407 *CUC International Inc. 10,900 458 Interpublic Group of Cos., Inc. 7,400 278 Service Corporation International 9,100 288 -------- Total 1,431 -------- RAILROADS (1.0%) Burlington Northern Railroad 8,500 539 CSX Corporation 10,000 751 Conrail Incorporated 7,400 412 Norfolk Southern Corporation 12,500 842 Santa Fe Pacific Corp. 14,388 367 Union Pacific Corporation 19,400 1,074 -------- Total 3,985 -------- RETAIL-FOOD (0.7%) Albertson's, Inc. 24,100 717 American Stores Co. 14,100 397 Bruno's Inc. 7,400 86 Fleming Companies, Inc. 3,500 93 Giant Food Inc. 5,600 159 Great Atlantic & Pacific Tea Co., Inc. 3,600 95 *The Kroger Company 10,600 285 Supervalu Inc. 6,600 192 Sysco Corporation 17,300 510 Winn-Dixie Stores, Inc. 7,200 416 -------- Total 2,950 -------- RETAIL-GENERAL (4.7%) Charming Shoppes Incorporated 9,400 49 Circuit City Stores, Inc. 9,100 288 Dayton Hudson Corporation 6,800 488 Dillard Department Stores, Inc. 10,700 314 The Gap, Inc. 13,600 474 Home Depot, Inc. 42,899 1,743 K Mart Corporation 43,300 633 The Limited Inc. 33,800 744 Longs Drug Stores Corp. 1,900 71 Lowe's Companies, Inc. 15,100 451 May Department Stores Company 23,500 978 Melville Corporation 9,900 339 Mercantile Stores Company 3,500 163 Nordstrom, Inc. 7,800 323 J.C. Penney Company, Inc. 22,000 1,056 Pep Boys - Manny, Moe & Jack 5,800 155 *Price/Costco, Inc. 18,407 299 Rite Aid Corporation 8,000 205 Sears, Roebuck & Company 36,800 2,203 The TJX Companies, Inc. 6,900 91 Tandy Corporation 7,000 363 *Toys "R" Us 26,300 769 Wal-Mart Stores, Inc. 217,600 5,821 Walgreen Company 11,700 586 *Woolworth Corp. 12,600 190 -------- Total 18,796 -------- MARKET VALUE SHARES (000'S) ---------- -------- SAVINGS & LOAN (0.2%) H.F. Ahmanson & Company 11,100 $ 244 Golden West Financial Corporation 5,600 264 Great Western Financial Corporation 12,800 264 -------- Total 772 -------- SOAPS & TOILETRIES (2.2%) Alberto-Culver Company 2,600 79 Avon Products, Inc. 6,500 436 The Clorox Company 5,000 326 Colgate-Palmolive Co. 13,700 1,002 Gillette Company 42,000 1,874 International Flavors & Fragrances, Inc. 10,600 527 The Procter & Gamble Company 65,100 4,679 -------- Total 8,923 -------- STEEL (0.4%) *Armco Inc. 10,000 68 Bethlehem Steel Corporation 10,400 169 Inland Steel Industries, Inc. 4,600 140 Nucor Corp. 8,300 444 USX-Marathon Group 28,200 557 USX-U S Steel Group Inc. 7,200 248 -------- Total 1,626 -------- TELECOMMUNICATIONS (3.4%) AT&T Corporation 149,900 7,963 *Andrew Corporation 3,650 211 *DSC Communications Corp. 10,800 502 *M/A-Com, Inc. 2,400 28 Motorola, Inc. 55,800 3,746 Northern Telecom Limited 24,000 876 Scientific-Atlanta, Inc. 7,300 161 -------- Total 13,487 -------- TOBACCO (1.8%) American Brands, Inc. 17,900 712 Philip Morris Companies, Inc. 80,000 5,950 UST Incorporated 18,500 550 -------- Total 7,212 -------- TRANSPORTATION-MISC. (0.0%) Pittston Services Group 3,900 94 -------- TRUCKING-SHIPPING (0.2%) Consolidated Freightways, Inc. 4,100 91 *Federal Express Corp. 5,300 322 Roadway Services, Inc. 3,700 175 Ryder System, Inc. 7,500 179 Yellow Corp. 2,600 47 -------- Total 814 -------- UTILITY-ELECTRIC (3.6%) American Electric Power Co. Inc. 17,600 618 Baltimore Gas & Electric Company 14,000 350 Carolina Power & Light Company 14,800 448 Central & South West Corporation 18,100 475 Cinergy Corporation 14,717 386 Consolidated Edison Co. of New York 22,300 658 Detroit Edison Company 13,700 404 Dominion Resources Inc. 16,400 599 Duke Power Company 19,400 805 Entergy Corporation 21,600 521
52 56 NORTHWESTERN MUTUAL SERIES FUND, INC. INDEX 500 STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (CONTINUED) UTILITY-ELECTRIC (CONTINUED) FPL Group, Inc. 17,600 $ 680 General Public Utilities 10,900 324 Houston Industries Incorporated 12,400 522 Niagara Mohawk Power Corporation 13,700 202 Northern States Power Company 6,400 295 Ohio Edison Company 14,500 328 PECO Energy Company 21,000 580 Pacific Enterprises 7,800 191 Pacific Gas & Electric Company 40,700 1,180 PacifiCorp 26,900 504 Public Service Enterprise Group, Inc. 23,200 644 SCEcorp 42,400 726 The Southern Company 63,000 1,410 Texas Utilities Company 21,400 736 Unicom Corp. 20,300 540 Union Electric Company 9,700 361 -------- Total 14,487 -------- UTILITY-GAS (0.6%) *Columbia Gas System Inc. 4,800 152 Consolidated Natural Gas Company 8,800 332 Enron Corp 23,800 836 ENSERCH Corporation 6,400 110 Nicor Inc. 4,800 129 Noram Energy Corporation 11,700 76 ONEOK, Inc. 2,600 56 Panhandle Eastern Corporation 14,000 344 Peoples Energy Corporation 3,300 85 Williams Companies Inc. 9,600 335 -------- Total 2,455 -------- UTILITY-TELEPHONE (5.6%) ALLTEL Corp. 17,900 454 *Airtouch Communications 46,800 1,334 Ameritech Corporation 52,400 2,306 MARKET SHARES/ VALUE PAR (000'S) ---------- -------- UTILITY-TELEPHONE (CONTINUED) Bell Atlantic Corporation 41,300 $ 2,313 Bellsouth Corporation 47,000 2,985 GTE Corporation 91,900 3,136 MCI Communications Corporation 64,400 1,417 NYNEX Corp. 40,300 1,622 Pacific Telesis Group 40,200 1,075 SBC Communications Incorporated 57,600 2,743 Sprint Corporation 33,000 1,110 U S West Inc. 44,600 1,856 -------- Total 22,351 -------- Total Common Stock 378,992 -------- PREFERRED STOCK (0.00%) DIVERSIFIED (0.00%) Teledyne, Inc. $ 102 $ 1 -------- Total Preferred Stock 1 -------- MONEY MARKET INVESTMENTS (5.3%) FEDERAL GOVERNMENT & AGENCIES (0.8%) U.S. Treasury, 5.65%, 7/6/95 $1,600,000 $ 1,599 +U.S. Treasury, 5.4%, 12/21/95 1,600,000 1,556 -------- Total 3,155 -------- FINANCIAL SERVICES (2.0%) Weyerhaeuser Mortgage Company, 5.96%, 7/24/95 8,000,000 7,970 -------- FOODS (2.5%) Cargill Incorporated, 6.1%, 7/3/95 3,900,000 3,899 H.J. Heinz Company, 5.86%, 7/13/95 6,000,000 5,988 -------- Total 9,887 -------- Total Money Market Investments 21,012 -------- Total Investments $400,005 ========
* Non-Income Producing + Partially held by the custodian in a segregated account as collateral for open financial futures positions. Information regarding open futures contracts as of June 30, 1995 is summarized below:
UNREALIZED MARKET VALUE APPRECIATION NUMBER OF OF CONTRACTS EXPIRATION (DEPRECIATION) ISSUER CONTRACTS (000'S) DATE (000'S) -------------------- --------- ------------ -------------- -------------- S&P 500 Stock Index 68 $ 18,603 September 1995 $807 S&P 500 Stock Index 8 2,205 December 1995 (11) ------------ ------ Total $ 20,808 $796
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 53 57 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- ------- COMMON STOCK (91.7%) AEROSPACE (1.0%) The Boeing Company 10,000 $ 626 ------- AIRLINES (0.4%) *AMR Corporation 3,600 269 ------- AUTO & TRUCKS (0.9%) Chrysler Corporation 11,000 527 ------- AUTO RELATED (2.2%) Eaton Corporation 13,900 808 Magna International Inc. 12,200 538 ------- Total 1,346 ------- BANKS (4.4%) Chase Manhattan Corporation 5,700 268 Citicorp 13,200 764 First Interstate Bancorp 8,800 706 First Union Corporation 7,900 357 Mellon Bank Corporation 13,950 581 ------- Total 2,676 ------- BEVERAGES (2.4%) The Coca-Cola Company 8,600 548 Pepsico Inc. 19,700 899 ------- Total 1,447 ------- CHEMICALS (3.3%) Air Products & Chemicals, Inc. 13,700 764 E.I. Du Pont Du Nemours & Co. 10,150 698 Ecolab, Inc. 1,000 24 PPG Industries Inc. 13,100 563 ------- Total 2,049 ------- CHEMICALS-SPECIALITY (0.7%) Avery Dennison Corp. 11,100 444 ------- CONTAINERS (1.2%) *Crown Cork & Seal Company, Inc. 14,100 707 ------- DIVERSIFIED (0.8%) Tenneco Inc. 10,100 465 ------- DRUGS (3.0%) *Forest Laboratories Inc. 15,200 674 Merck & Co., Inc. 15,000 735 Pfizer Inc. 5,000 462 ------- Total 1,871 ------- ELECTRICAL EQUIPMENT (4.3%) Emerson Electric Co. 15,000 1,072 General Electric Company 14,300 806 W.W. Grainger, Inc. 12,600 740 ------- Total 2,618 ------- ELECTRONICS (4.0%) Hewlett-Packard Company 14,000 1,043 Intel Corp. 11,600 734 Molex Inc. 18,525 676 ------- Total 2,453 ------- ENVIRONMENTAL CONTROL (1.6%) Browning-Ferris Industries Inc. 27,700 1,000 ------- MARKET VALUE SHARES (000'S) ---------- ------- FINANCIAL SERVICES (2.5%) Dean Witter, Discover & Co. 16,700 $ 785 Franklin Resources 7,400 329 PMI Group Inc. 10,000 434 ------- Total 1,548 ------- FOOD SERVICE/LODGING (2.0%) *Harrah's Entertainment 14,900 581 McDonald's Corporation 16,600 649 ------- Total 1,230 ------- FOODS (5.0%) CPC International Corp. 6,700 414 Campbell Soup Company 13,400 657 Dean Foods Co. 20,600 577 General Mills, Inc. 9,700 498 Hormel Co. 12,000 314 Kellogg Company 8,500 607 ------- Total 3,067 ------- HOSPITAL SUPPLIES (5.2%) Columbia/HCA Healthcare Corporation 19,700 852 Johnson & Johnson 12,400 839 Manor Care, Inc. 29,000 845 United Healthcare Corporation 15,500 641 ------- Total 3,177 ------- HOUSEHOLD FURNITURE (2.2%) Newell Co. 34,000 833 Rubbermaid, Inc. 5,200 144 The Stanley Works 10,300 390 ------- Total 1,367 ------- INSURANCE (0.8%) Aetna Life & Casualty Company 8,300 522 ------- LEISURE RELATED (3.6%) CBS Inc. 10,800 724 Walt Disney Company 14,600 812 Mattel, Inc. 27,025 703 ------- Total 2,239 ------- MACHINERY (1.9%) Deere & Company 3,400 291 Ingersoll-Rand Company 23,700 907 ------- Total 1,198 ------- NATURAL GAS-PIPELINES (0.2%) El Paso Natural Gas Company 5,000 142 ------- OFFICE EQUIPMENT (3.5%) International Business Machines Corp. 10,500 1,008 Xerox Corporation 10,000 1,173 ------- Total 2,181 ------- OFFICE EQUIPMENT-SERVICES (3.7%) Alco Standard Corporation 11,200 895 Automatic Data Processing, Inc. 7,300 459 *Microsoft Corporation 10,300 931 ------- Total 2,285 -------
54 58 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- ------- COMMON STOCK (CONTINUED) OIL & GAS-DOMESTIC (2.6%) Ashland Oil, Inc. 9,100 $ 320 Occidental Petroleum Corporation 21,800 499 Unocal Corp. 27,700 765 ------- Total 1,584 ------- OIL & GAS-INTERNATIONAL (3.8%) Amoco Company 7,100 473 Exxon Corporation 8,200 579 Mobil Corporation 9,800 941 Texaco Inc. 5,400 354 ------- Total 2,347 ------- PAPER (1.5%) International Paper Company 7,000 600 Union Camp Corporation 5,000 289 ------- Total 889 ------- PRINTING & PUBLISHING (2.5%) American Greetings Corp. 17,400 511 McGraw-Hill, Inc. 6,100 463 Tribune Company 9,500 583 ------- Total 1,557 ------- RAILROADS (1.4%) Burlington Northern Railroad 10,700 678 CSX Corporation 2,800 210 ------- Total 888 ------- REAL ESTATE INVESTMENT TRUST (0.3%) Oasis Residential 7,400 161 ------- RETAIL-FOOD (1.0%) Albertson's, Inc. 20,500 610 ------- RETAIL-GENERAL (6.9%) Dayton Hudson Corporation 7,200 517 *Federated Department Stores 14,100 363 Home Depot, Inc. 18,900 768 *Officemax, Inc. 36,900 1,029 J.C. Penney Company, Inc. 13,100 629 *Toys "R" Us 13,000 380 Wal-Mart Stores, Inc. 20,200 540 ------- Total 4,226 MARKET SHARES VALUE /PAR (000'S) ---------- ------- RETAIL-GENERAL (CONTINUED) ------- SOAPS & TOILETRIES (2.5%) Colgate-Palmolive Company 12,200 $ 892 Gillette Company 14,600 652 ------- Total 1,544 ------- TELECOMMUNICATIONS (3.2%) AT&T Corporation 17,600 935 MCI Communications Corporation 6,700 147 Motorola, Inc. 13,500 906 ------- Total 1,988 ------- UTILITY-ELECTRIC (2.6%) Duke Power Company 16,500 685 FPL Group, Inc. 5,800 224 *Huaneng Power International 14,500 266 The Southern Company 17,900 401 ------- Total 1,576 ------- UTILITY-TELEPHONE (2.6%) Ameritech Corporation 12,400 546 GTE Corporation 19,600 669 U S West Inc. 9,500 395 ------- Total 1,610 ------- Total Common Stock 56,434 ------- MONEY MARKET INVESTMENTS (8.3%) FINANCIAL SERVICES (2.0%) Xerox Credit Corporation, 5.96%, 7/24/95 $1,200,000 $ 1,195 ------- FOODS (1.3%) Cargill Incorporated, 6.1%, 7/3/95 600,000 600 H.J. Heinz Company, 5.86%, 7/13/95 200,000 200 ------- Total 800 ------- RETAIL-GENERAL (1.0%) Wal-Mart Stores, Inc., 5.97%, 7/5/95 600,000 600 ------- SOAPS & TOILETRIES (4.0%) Colgate-Palmolive Company, 5.92%, 8/7/95 2,500,000 2,484 ------- Total Money Market Investments 5,079 ------- Total Investments $61,513 =======
* Non-Income Producing The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 55 59 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH AND INCOME STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) -------- -------- COMMON STOCK (98.2%) AEROSPACE (2.5%) Sundstrand Corp. 42,300 $ 2,527 -------- APPAREL, TEXTILES (0.3%) *INTERCO Inc. 53,000 311 -------- AUTO & TRUCKS (2.1%) General Motors Corporation 44,600 2,091 -------- AUTO RELATED (0.8%) Cooper Tire & Rubber Company 31,900 777 -------- BANKS (6.2%) BankAmerica Corporation 29,700 1,563 First Union Corporation 23,600 1,068 Firstar Corporation 31,300 1,052 Fleet Financial Group Inc. 28,600 1,062 NationsBank Corp. 26,600 1,426 -------- Total 6,171 -------- BEVERAGES (3.3%) Anheuser-Busch Companies Inc. 21,700 1,234 The Coca-Cola Company 11,000 701 Pepsico Inc. 31,100 1,419 -------- Total 3,354 -------- CHEMICALS (2.7%) E.I. Du Pont De Nemours & Co. 8,400 578 Freeport McMoRan Copper & Gold 45,019 929 Freeport McMoRan Incorporated 8,900 157 Union Carbide Corporation 31,000 1,035 -------- Total 2,699 -------- CHEMICALS-SPECIALTY (1.1%) Wellman Inc. 38,900 1,065 -------- CONTAINERS (0.5%) *Crown Cork & Seal Company, Inc. 9,600 481 -------- DIVERSIFIED (5.8%) Allied Signal Inc. 45,700 2,034 *Coltec Industries, Inc. 70,500 1,216 ITT Corp. 21,900 2,573 -------- Total 5,823 -------- DRUGS (1.9%) Eli Lily & Company 13,100 1,028 Warner-Lambert Company 9,600 829 -------- Total 1,857 -------- ELECTRICAL EQUIPMENT (2.8%) General Electric Company 34,200 1,928 W.W. Grainger, Inc. 15,100 887 -------- Total 2,815 -------- ELECTRONICS (2.1%) Harris Corporation 22,800 1,177 Tyco Laboratories, Inc. 18,000 972 -------- Total 2,149 -------- ENVIRONMENTAL CONTROL (1.5%) Wheelabrator Technologies Inc. 97,500 1,499 -------- MARKET VALUE SHARES (000'S) -------- -------- FINANCIAL SERVICES (0.5%) Dean Witter, Discover & Co. 10,400 $ 489 -------- FOODS (2.0%) General Mills, Inc. 16,200 832 Kellogg Company 16,200 1,156 -------- Total 1,988 -------- HOSPITAL SUPPLIES (5.6%) Bausch & Lomb Inc. 44,300 1,838 Columbia/HCA Healthcare Corp. 29,800 1,289 Healthcare Retirement Corp. 42,900 1,255 Humana, Inc. 72,600 1,280 -------- Total 5,662 -------- INSURANCE (3.8%) AMBAC, Inc. 23,400 939 First Colony Corporation 68,200 1,637 Providian Corporation 34,300 1,243 -------- Total 3,819 -------- LEISURE RELATED (2.5%) *Circus Circus Enterprises 34,700 1,223 International Game Technology 85,100 1,308 -------- Total 2,531 -------- MACHINERY (1.2%) Cooper Industries, Inc. 31,400 1,240 -------- MEDIA (4.2%) CBS Inc. 28,000 1,876 *Cox Communications Inc. 31,400 608 *Tele-Communications, Inc. 72,500 1,699 -------- Total 4,183 -------- METALS & MINING (2.0%) Aluminum Co. of America 25,500 1,278 Phelps Dodge Corporation 12,200 720 -------- Total 1,998 -------- OFFICE EQUIPMENT (1.3%) International Business Machines Corp. 8,000 768 Quantum Corp. 22,500 515 -------- Total 1,283 -------- OFFICE EQUIPMENT-SERVICES (2.4%) Adobe Systems Incorporated 27,400 1,589 *Novell, Inc. 43,100 859 -------- Total 2,448 -------- OIL & GAS-DOMESTIC (2.5%) Anadarko Petroleum Corp. 15,300 660 Ashland Oil, Inc. 41,700 1,465 Sun Company, Inc. 15,200 416 -------- Total 2,541 -------- OIL & GAS-INTERNATIONAL (6.0%) Exxon Corporation 15,800 1,116 Mobil Corporation 19,900 1,910 Royal Dutch Petroleum Co., ADR 16,000 1,950 Texaco Inc. 16,000 1,050 -------- Total 6,026 --------
56 60 NORTHWESTERN MUTUAL SERIES FUND, INC. GROWTH AND INCOME STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) -------- -------- COMMON STOCK (CONTINUED) PROFESSIONAL SERVICES (1.8%) Service Corporation International 55,900 $ 1,768 -------- RAILROADS (2.5%) Canadian Pacific Limited 62,100 1,079 Union Pacific Corporation 26,600 1,473 -------- Total 2,552 -------- RETAIL-GENERAL (7.7%) Melville Corporation 45,300 1,552 Nordstrom, Inc. 18,600 770 J.C. Penney Company, Inc. 27,700 1,330 *Symbol Technologies Inc. 34,600 1,328 TJX Companies, Inc. 73,300 971 Wal-Mart Stores, Inc. 66,000 1,766 -------- Total 7,717 -------- SAVINGS & LOAN (0.7%) H.F. Ahmanson & Company 32,800 722 -------- SOAPS & TOILETRIES (2.8%) Avon Products, Inc. 19,200 1,286 The Procter & Gamble Company 20,700 1,488 -------- Total 2,774 -------- TELECOMMUNICATIONS (4.6%) AT&T Corporation 32,200 1,711 *Bay Networks 49,100 2,032 Motorola, Inc. 13,500 906 -------- Total 4,649 -------- TOBACCO (2.1%) Philip Morris Companies, Inc. 27,700 2,060 -------- MARKET SHARES VALUE /PAR (000'S) -------- -------- UTILITY-ELECTRIC (3.3%) Allegheny Power System, Inc. 30,900 $ 726 Dominion Resources Inc. 18,100 661 Public Service Co. of Colorado 25,400 826 Western Resources 33,900 1,047 -------- Total 3,260 -------- UTILITY-TELEPHONE (5.1%) Bellsouth Corporation 16,300 1,035 MCI Communications Corporation 93,000 2,046 Pacific Telesis Group 37,100 992 U S West Inc. 24,500 1,020 -------- Total 5,093 -------- Total Common Stock 98,422 -------- MONEY MARKET INVESTMENTS (1.8%) FINANCIAL SERVICES (0.7%) Xerox Credit Corporation, 5.96%, 7/24/95 $700,000 $ 697 -------- FOODS (0.3%) Cargill Incorporated, 6.1%, 7/3/95 300,000 300 -------- PROFESSIONAL SERVICES (0.8%) PHH Corp., 5.96%, 7/18/95 800,000 798 -------- Total Money Market Investments 1,795 -------- Total Investments $100,217 ========
* Non-Income Producing The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 57 61 NORTHWESTERN MUTUAL SERIES FUND, INC. AGGRESSIVE GROWTH STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (92.1%) AIRLINES (1.1%) *ValuJet Airlines 147,500 $ 4,849 -------- AUTO & TRUCKS (0.3%) *Dorsey Trailers, Inc. 167,900 1,343 PST Vans Inc. 12,000 76 -------- Total 1,419 -------- AUTO RELATED (4.0%) *Automotive Industries Holding 146,600 3,976 *Custom Chrome Inc. 180,800 3,616 *O'Reilly Automotive, Inc. 144,800 4,072 A.O. Smith Corp. 106,200 2,496 *Thompson PBE, Inc. 208,700 3,443 -------- Total 17,603 -------- BANKS (0.8%) *Leader Financial Corp. 121,500 3,448 -------- CHEMICALS (1.2%) A. Schulman Inc. 183,850 5,286 -------- CONSUMER PRODUCTS (1.8%) *Blythe Industries, Inc. 180,600 7,698 -------- DIVERSIFIED (0.4%) Worthington Industries, Inc. 84,000 1,717 -------- DRUGS (1.6%) Cardinal Health Inc. 150,312 7,102 -------- ELECTRICAL EQUIPMENT (2.0%) *CIDCO Inc. 136,200 4,273 Methode Electronics Inc. 232,000 4,524 -------- Total 8,797 -------- ELECTRONICS (7.4%) *ADC Telecommunication 198,300 7,089 *Altera Corporation 160,600 6,946 *Applied Materials Inc. 59,400 5,145 *Electroglas, Inc. 68,500 3,922 *In Focus Systems Inc. 156,500 4,225 Molex Inc. 141,106 5,150 -------- Total 32,477 -------- ENVIRONMENTAL CONTROL (1.3%) *TETRA Technologies Inc. 316,251 5,613 -------- FINANCIAL SERVICES (0.6%) Money Store, Inc. 77,200 2,765 -------- FOOD SERVICE/LODGING (1.3%) *Hospitality Franchise Systems 167,500 5,800 -------- HOSPITAL SUPPLIES (14.7%) APPS Dental Inc. 65,500 1,376 *American Medical Response Inc. 167,800 4,698 Columbia/HCA Healthcare Corp. 118,200 5,112 *Gulf South Medical Supply, Inc. 280,000 6,720 *Heart Technology 178,500 3,458 *Inbrand Corporation 300,650 4,886 *Medaphis Corporation 50,000 1,088 *MediSense Inc. 252,000 4,883 *Patterson Dental Company 226,250 5,373 *Quorum Health Group, Inc. 216,300 4,380 *Respironics Inc. 265,800 3,788 *Sybron, Inc. 132,100 5,267 *Technol Medical Products Inc. 196,900 4,332 United Healthcare Corp. 61,700 2,553 *Ventritex, Inc. 138,400 2,336 MARKET VALUE SHARES (000'S) ---------- -------- HOSPITAL SUPPLIES (CONTINUED) *Vivra Incorporated 162,200 $ 4,400 -------- Total 64,650 -------- HOUSEHOLD FURNITURE (1.9%) *Department 56, Inc. 152,200 5,822 Juno Lighting Inc. 167,200 2,675 -------- Total 8,497 -------- INSURANCE (1.9%) Capital Guaranty Corporation 160,000 2,880 PMI Group Inc. 127,600 5,535 -------- Total 8,415 -------- LEISURE RELATED (4.0%) *Broderbund Software Inc. 76,100 4,851 The Marcus Corporation 82,700 2,502 *Scientific Games Holding Corp. 236,900 6,574 *Station Casinos, Inc. 217,300 3,748 -------- Total 17,675 -------- OFFICE EQUIPMENT (7.3%) *Firefox Communications, Inc. 55,000 1,416 *Norand Corporation 90,700 3,696 *Nu-Kote Holdings Inc. 188,600 5,988 *Peak Technologies 225,800 6,209 *Tivoli Systems Inc. 42,000 1,336 *Viking Office Products Inc. 175,200 6,417 *Zebra Technologies 131,700 7,013 -------- Total 32,075 -------- OFFICE EQUIPMENT & SERVICES (12.4%) *American Management System Inc. 255,650 6,423 Danka Business Systems 194,900 4,714 First Data Corporation 69,400 3,947 First Financial Management Corp. 69,800 5,968 *Fiserv 175,875 4,946 HBO & Co. 100,000 5,450 *Hyperion Software 131,500 5,950 Medic Computer Systems, Inc. 61,400 2,364 *PeopleSoft, Inc. 93,700 5,083 *SPS Transaction Services, Inc. 176,700 6,118 *TESSCO Technologies Inc. 190,700 3,456 -------- Total 54,419 -------- OIL & GAS PROGRAMS (0.9%) Parker and Parsley Petroleum Co. 199,400 3,913 -------- OIL FIELD SERVICES (2.1%) *Offshore Logistics, Inc. 141,725 1,984 Production Operators Corp. 144,300 4,545 Tosco Corp. 90,000 2,869 -------- Total 9,398 -------- PAPER (0.8%) Wausau Paper Mills Company 159,655 3,642 -------- PROFESSIONAL SERVICES (6.1%) *CUC International Inc. 152,900 6,422 Cintas Corporation 134,300 4,768 *Interim Service 116,100 2,903 Kelly Services Incorporated 132,200 3,404 Paychex Incorporated 131,330 4,761 *Robert Half International Inc. 156,600 4,013 -------- Total 26,271 -------- RAILROADS (1.1%) *Wisconsin Central Transportation 102,400 5,018 --------
58 62 NORTHWESTERN MUTUAL SERIES FUND, INC. AGGRESSIVE GROWTH STOCK PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ---------- -------- COMMON STOCK (CONTINUED) RETAIL-APPAREL (1.5%) The Talbots, Inc. 163,300 $ 6,491 -------- RETAIL-GENERAL (4.9%) *Corporate Express, Inc. 203,400 4,348 Fastenal Co. 134,900 3,684 Global Direct Mail Corp. 46,000 909 *Micro Warehouse Inc. 72,900 3,353 *Officemax, Inc. 210,800 5,876 *Tractor Supply Company 171,200 3,296 -------- Total 21,466 -------- TELECOMMUNICATIONS (5.5%) *AirTouch Communications 182,600 5,204 *LCI International 145,600 4,459 LIN Television Corp. 91,500 3,077 *Tellabs Inc. 155,400 7,479 *Transaction Systems Architects 87,100 2,243 *Uunet Technologies, Inc. 47,000 1,293 -------- Total 23,755 -------- TRUCKING-SHIPPING (2.4%) *Fritz Companies, Inc. 109,000 6,397 *Heartland Express Incorporated 154,432 3,938 -------- Total 10,335 -------- MARKET SHARES/ VALUE PAR (000'S) ---------- -------- UTILITY-ELECTRIC (0.8%) *Huaneng Power International, ADS 194,000 $ 3,565 -------- Total Common Stock 404,159 -------- MONEY MARKET INVESTMENTS (7.9%) FINANCIAL SERVICES (4.0%) Weyerhaeuser Mortgage Company, 5.93%, 7/10/95 $9,000,000 $ 8,986 Weyerhaeuser Mortgage Company, 5.96%, 7/20/95 8,700,000 8,673 -------- Total 17,659 -------- FOODS (0.2%) Cargill Incorporated, 6.1%, 7/3/95 700,000 700 -------- SOAPS & TOILETRIES (1.5%) Colgate-Palmolive Co., 5.92%, 8/7/95 6,500,000 6,460 -------- TOBACCO (2.2%) Philip Morris Companies, Inc., 5.94%, 7/14/95 9,800,000 9,779 -------- Total Money Market Investments 34,598 -------- Total Investments $438,757 ========
* Non-Income Producing The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 59 63 NORTHWESTERN MUTUAL SERIES FUND, INC. INTERNATIONAL EQUITY PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE COUNTRY SHARES (000'S) ------- ----------- -------- COMMON STOCKS (87.8%) AEROSPACE (1.1%) British Aerospace U.K. 374,197 $ 3,352 -------- APPLIANCES & HOUSEHOLD DURABLES (1.1%) Sony Corporation Jpn. 71,000 3,409 -------- AUTOMOBILES (2.1%) Renault SA Fr. 65,000 2,037 Volvo Aktieboleget B Free Swe. 240,000 4,565 -------- Total 6,602 -------- BANKING & CREDIT (15.1%) Argentina Corp. Bancaris De Espana, ADR Sp. 195,000 3,583 Australia & New Zealand Bank Group Austrl. 926,097 3,291 Banco De Andulucia Sp. 30,000 3,893 #++Banque National De Paris, ADR Fr. 92,000 4,438 Barclay's Bank, PLC U.K. 311,016 3,343 BCO Bilboa Vizcaya Sp. 162,500 4,691 BCO Portiques De Invest Port. 71,350 1,247 Canadian Imperial Bank of Commerce Can. 177,000 4,253 Deutsche Bank of Commerce Ger. 88,000 4,276 HSBC Holdings H.K. 275,365 3,532 National Bank of Canada Montreal Can. 360,000 2,949 Panin Bank Idr. 725,000 690 Stadshypotek AB "A" Swe. 120,000 1,780 Svenska Hanelsbanken S A Swe. 372,000 5,543 TSB Group, PLC U.K. 46,500 179 -------- Total 47,688 -------- BROADCAST ADVERTISING (0.5%) Vereniging Nederland Neth. 13,200 1,581 -------- BUILDING MATERIALS AND COMPONENTS (1.3%) Pioneer International Ltd. Austrl. 1,700,000 4,229 -------- BUSINESS & PUBLIC SERVICE (4.0%) Esstelte AB Series A Swe. 244,900 3,061 SGS Holdings Swtz. 2,770 4,811 Welsh Water PLC U.K. 446,000 4,715 -------- Total 12,587 -------- CHEMICALS (4.3%) Bayer AG Ger. 16,700 4,154 European Vinyls Corp. EVC International Neth. 36,525 1,703 Rhone Poulenc SA Series A Fr. 165,000 3,718 Solvay Et Cie A NPV Bel. 7,300 4,004 -------- Total 13,579 -------- ELECTRICAL & ELECTRONICS (3.0%) BBXC Brown Boveri Series A Swtz. 4,730 4,896 Hitachi Ltd. Jpn. 450,000 4,487 -------- Total 9,383 -------- ENERGY SOURCES (3.7%) Repsol SA Sp. 122,000 3,839 Sega Petrolium Series "A" Nor. 260,000 3,692 MARKET VALUE COUNTRY SHARES (000'S) ------- ----------- -------- ENERGY SOURCES (CONTINUED) Societe Nationale Elf Aquitaine Fr. 53,928 $ 3,985 -------- Total 11,516 -------- FINANCIAL SERVICES (2.7%) Capital Portugal Fund Port. 16,000 1,564 India Fund Series "B" U.K. 1,256,515 2,369 JF Indonesia Fund Inc. H.K. 456,600 584 Korea International Trust Kor. 52 2,626 Thailand Int'l. Fund T.H. 45 1,474 -------- Total 8,617 -------- FOOD & HOUSEHOLD PRODUCTS (3.5%) Albert Fisher Group U.K. 4,884,524 3,575 Cafe De Coral Holdings, Ltd. H.K. 4,301,000 1,073 Hillsdown Holdings U.K. 1,511,206 4,352 Vitro SA NPV Mex. 668,400 1,903 -------- Total 10,903 -------- FOREST PRODUCTS & PAPER (4.3%) Barito Pacific Timber I.D. 937,000 1,346 Carter Holt Harvey Ltd. N.Z. 1,995,957 4,884 Metsa-Serla OY "B" Fin. 55,500 2,471 Stora Tora Kopparberg Bergst B Free Swed. 350,000 4,735 -------- Total 13,436 -------- HEALTH & PERSONAL CARE (2.5%) Astra AB Series A Free Swed. 157,000 4,841 Hafslund Nycomed "A" Norw. 127,500 2,990 -------- Total 7,831 -------- INSURANCE (5.7%) Aegon NV Neth. 143,337 4,960 Int'l Nederlanden Group Neth. 91,000 5,035 London Insurance Group Can. 152,000 2,836 Swiss Reinsurance Group Swtz. 4,000 5,026 -------- Total 17,857 -------- MACHINERY & ENGINEERING (1.2%) #+VA Technologies AG Bearer Aus. 30,000 3,760 -------- MERCHANDISING (3.1%) Burton Group U.K. 1,500,000 1,981 Kon Bijenkorf Beheer Neth. 44,904 3,224 Kwik Save Group U.K. 455,000 4,670 -------- Total 9,875 -------- METALS & MINING (2.5%) Elkem A S Oslo ord A Free Nor. 192,000 2,679 *Inmet Mining Ltd. Can. 192,500 1,384 Pechiney Cert. D'Invest Fr. 9,000 519 *Union Miniere, NPV Bel. 50,500 3,294 -------- Total 7,876 -------- MULTI-INDUSTRY (6.0%) Amer Group "A" Fin. 175,000 3,186 BTR Nylex Ltd. Aus. 1,200,000 2,294 Hutchinson Whampoa H.K. 798,000 3,867 Jardine Matheson Holdings H.K. 382,763 2,813 Jardine Strategic Holdings H.K. 2,815,000 3,026 Swire Pacific Class "A" H.K. 472,500 3,603
60 64 NORTHWESTERN MUTUAL SERIES FUND, INC. INTERNATIONAL EQUITY PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE COUNTRY SHARES (000'S) ------- ----------- -------- COMMON STOCKS (CONTINUED) MULTI-INDUSTRY (CONTINUED) Waste Management PLC. ADR. U.K. 21,400 $ 203 -------- Total 18,992 -------- TELECOMMUNICATIONS (7.5%) Alcatel Alstrohm DG Fr. 32,250 2,904 CIA De Telefonos Chile SA ADR Chil. 36,500 2,970 Nacional Financiera CNV Mx. 92,100 2,855 Phillipine Long Distance Telephone Phil. 53,500 3,838 Stet Di Risp Non-Conv. Italy 2,065,000 4,592 Telebras ADR Braz. 77,500 2,616 Telphonica De Espana Sp. 304,000 3,917 -------- Total 23,692 -------- TRANSPORTATION (0.6%) Singapore Airlines Ltd. Fgn. Sing. 205,000 1,892 -------- TRANSPORTATION-RAILROAD (0.5%) Brambles Ind. Ltd. Aus. 175,000 1,659 -------- UTILITIES-ELECTRIC (10.3%) British Gas U.K. 987,000 4,546 *CEZ Ceske Energeticke Zavody Chez. 45,760 1,664 Electricidad De Caracas Venz. 2,527,258 2,640 Endesa National De Electric Sp. 69,000 3,408 Evn Energieversorgung Aus. 26,000 3,639 Hong Kong Electric H.K. 990,000 3,365 Iberdrola SA Spn. 667,500 5,028 South Wales Electricity U.K. 330,000 3,659 MARKET SHARES/ VALUE COUNTY PAR (000'S) ------- ----------- -------- UTILITIES-ELECTRIC (CONTINUED) Veba AG Ger. 12,000 $ 4,716 -------- Total 32,665 -------- WHOLESALE & INTERNATIONAL TRADE (1.2%) Brierley Investments Ltd. N.Z. 5,041,091 3,808 -------- Total Common Stock Investments 276,789 -------- BONDS (1.3%) FINANCIAL SERVICES (0.5%) PIV Financial Inv. Cayman C.J. $ 2,000,000 $ 1,610 -------- TELECOMMUNICATIONS (0.8%) Comp De Inever Telecom K.S. 47,000 2,350 -------- Total Bond Investments 3,960 -------- MONEY MARKET INVESTMENTS (10.9%) FINANCIAL SERVICES (2.5%) American Express, 5.5%, 7/3/95 U.S. $ 7,963,000 $ 7,963 -------- FEDERAL GOVERNMENT & AGENCIES (0.9%) U.S. Treasury Notes, 8.875%, 2/15/96 U.S. 2,850,000 2,902 -------- INSURANCE (5.0%) Prudential, 6.5%, 7/3/95 U.S. 15,786,000 15,786 -------- UTILITIES-ELECTRIC (2.5%) General Electric Credit Corp., 5%, 7/3/95 U.S. 7,964,000 7,964 -------- Total Money Market Investments 34,615 -------- Total Investments $315,364 ========
* Non-Income Producing + Unregistered security, originally purchased May 31, 1994, total cost $2,738,708. ++ Unregistered security, originally purchased November 16, 1993, total cost $4,339,196. # The Portfolio has no right to require registration of unregistered securities. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 61 65 NORTHWESTERN MUTUAL SERIES FUND, INC. SELECT BOND PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ---------- -------- BONDS (84.7%) AIRLINES (1.4%) Delta Air Lines, Inc., 9 3/4%, 5/26/03 $ 546,000 $ 607 Delta Air Lines, Inc., 9 3/4%, 6/1/03 1,605,000 1,786 -------- Total 2,393 -------- AUTO RELATED (0.6%) Hertz Corp., 9.04%, 6/14/00 900,000 989 -------- AUTOS & TRUCKS (0.8%) General Motors Corporation, 8.8%, 3/1/21 1,250,000 1,424 -------- BANKS (1.1%) Natwest Capital Corporation, 12 1/8%, 11/15/02 1,700,000 1,907 -------- BEVERAGES (3.1%) Coca-Cola Enterprises Inc., 8%, 1/4/05 5,000,000 5,522 -------- CHEMICALS (1.2%) Dow Capital B.V., 8 1/2%, 6/8/10 1,800,000 2,097 -------- CMO & LOAN-BACKED CERTIFICATES (17.2%) CIT RV Owner Trust, 6 1/4%, 1/15/11 2,500,000 2,489 Federal Home Loan Mortgage Corp., 7 1/4%, 4/15/18 2,425,000 2,447 Federal Home Loan Mortgage Corp., 7%, 3/15/07 1,875,000 1,877 Federal Home Loan Mortgage Corp., 6%, 7/15/07 3,900,000 3,737 Federal National Mortgage Assoc., 6 1/4%, 7/25/07 3,850,000 3,772 Federal National Mortgage Assoc., 6 3/4%, 12/25/23 3,500,000 3,254 Ford Motor Credit Grantor Trust, 7.3%, 10/15/99 2,418,742 2,457 Premier Auto Trust, 6.65%, 4/2/98 3,300,000 3,327 Rural Housing Trust, 6.33%, 4/1/26 2,867,611 2,781 Security Capital Industrial Trust, 7.3%, 5/15/01 2,000,000 2,018 World Omni Grantor Trust, 7.95%, 1/25/01 2,000,000 2,049 -------- Total 30,208 -------- DIVERSIFIED (0.8%) Tenneco Inc., 10%, 8/1/98 1,250,000 1,371 -------- FEDERAL GOVERNMENT AND AGENCIES (26.4%) Federal National Mortgage Assoc., 7%, 12/1/23 5,654,245 5,567 Government National Mortgage Assoc., 8 1/2%, 3/15/23 13,904 14 Government National Mortgage Assoc., 7%, 5/15/23 540,230 532 Government National Mortgage Assoc., 7 1/2%, 2/15/24 2,009,678 2,020 Government National Mortgage Assoc., 7%, 5/15/23 3,267,710 3,218 Government National Mortgage Assoc., 8 1/2%, 9/15/24 572,395 594 MARKET VALUE PAR (000'S) ---------- -------- FEDERAL GOVERNMENT AND AGENCIES (CONTINUED) Government National Mortgage Assoc., 8 1/2%, 6/15/23 $ 402,564 $ 418 Government National Mortgage Assoc., 8 1/2%, 7/15/24 149,840 156 Government National Mortgage Assoc., 8 1/2%, 2/15/25 232,103 241 Government National Mortgage Assoc., 7 1/2%, 1/15/24 971,557 976 Government National Mortgage Assoc., 7 1/2%, 1/15/24 1,028,639 1,034 Government National Mortgage Assoc., 8 1/2%, 11/15/24 373,464 388 Government National Mortgage Assoc., 8 1/2%, 11/15/24 395,233 410 Government National Mortgage Assoc., 8 1/2%, 8/15/24 459,250 477 Government National Mortgage Assoc., 8 1/2%, 8/15/24 360,244 374 Government National Mortgage Assoc., 7 1/2%, 6/15/24 1,780,173 1,789 Government National Mortgage Assoc., 8 1/2%, 2/15/25 178,825 186 Government National Mortgage Assoc., 8 1/2%, 9/15/24 389,156 404 Government National Mortgage Assoc., 8 1/2%, 11/15/24 371,864 386 Government National Mortgage Assoc., 8 1/2%, 4/15/21 330,833 343 Government National Mortgage Assoc., 8 1/2%, 9/15/21 274,239 285 Government National Mortgage Assoc., 8 1/2%, 3/15/22 350,448 364 Government National Mortgage Assoc., 7%, 6/15/23 2,932,682 2,888 U.S. Treasury, 7 1/8%, 2/15/23 8,200,000 8,656 U.S. Treasury, 6 1/2%, 8/15/23 11,550,000 10,922 U.S. Treasury, 7 1/2%, 11/15/24 1,500,000 1,661 U.S. Treasury, 7 1/8%, 2/15/25 2,000,000 2,256 -------- Total 46,559 -------- FINANCE COMPANIES (5.6%) Associates Corp. of North America, 6 7/8%, 1/15/97 2,200,000 2,221 Associates Corp. of North America, 5 1/4%, 9/1/98 2,000,000 1,940 Avco Financial Services Inc., 5 7/8%, 10/15/97 2,200,000 2,184 Beneficial Corp., 6.86%, 11/19/97 2,200,000 2,226 Ford Motor Credit Company, 6 1/4%, 2/26/98 1,200,000 1,198 -------- Total 9,769 -------- FOODS (2.1%) Nabisco Inc., 8%, 1/15/00 1,500,000 1,577 RJR Nabisco Inc., 8 5/8%, 12/1/02 2,000,000 2,102 -------- Total 3,679 -------- FOREIGN GOVERNMENT BONDS (1.2%) Province of Manitoba, 7 3/4%, 7/17/16 2,000,000 2,102 --------
62 66 NORTHWESTERN MUTUAL SERIES FUND, INC. SELECT BOND PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ---------- -------- BONDS (CONTINUED) LEISURE RELATED (1.3%) Time Warner Entertainment Inc., 8 7/8%, 10/1/12 $2,000,000 $ 2,130 Time Warner Entertainment Inc., 7 1/4%, 9/1/08 200,000 191 -------- Total 2,321 -------- MEDIA (2.2%) Tele-Communications, Inc., 7 3/8%, 2/15/00 2,000,000 2,010 Tele-Communications, Inc., 7 7/8%, 8/1/13 2,000,000 1,850 -------- Total 3,860 -------- OFFICE EQUIPMENT (1.7%) International Business Machines Corp., 6 3/8%, 11/1/97 3,000,000 3,014 -------- PRINTING & PUBLISHING (2.0%) News America Holdings Inc., 7 1/2%, 3/1/00 3,500,000 3,571 -------- TOBACCO (1.7%) Philip Morris Companies, Inc., 9%, 5/15/98 1,750,000 1,864 Philip Morris Companies, Inc., 9 1/4%, 2/15/00 1,000,000 1,103 -------- Total 2,967 -------- UTILITY-ELECTRIC (14.3%) Detroit Edison Company, 5.41%, 5/1/97 4,000,000 3,935 Long Island Lighting Co., 7%, 3/1/04 3,250,000 2,900 Pacific Gas & Electric Co., 7 1/4%, 3/1/26 3,500,000 3,347 Pacific Gas & Electric Co., 5 3/8%, 8/1/98 2,600,000 2,522 Pennsylvania Power & Light Co., 5 1/2%, 4/1/98 3,000,000 2,927 PECO Energy Company, 7 1/2%, 1/15/99 1,500,000 1,539 MARKET VALUE PAR (000'S) ---------- -------- UTILITY-ELECTRIC (CONTINUED) PECO Energy Company, 7 3/4%, 3/1/23 $1,150,000 $ 1,143 Public Service Electric & Gas Co., 6 7/8%, 1/1/03 2,250,000 2,259 Texas Utilities Electric Co., 7 7/8%, 3/1/23 2,250,000 2,265 UNICOM Corp., 6 1/2%, 4/15/00 2,300,000 2,279 -------- Total 25,116 -------- Total Bonds 148,869 -------- MONEY MARKET INVESTMENTS (15.3%) CHEMICALS (1.1%) W.R. Grace & Co., 6 1/2%, 12/1/95 $2,000,000 $ 2,002 -------- FINANCIAL SERVICES (8.6%) American Express Company, 5.97%, 7/26/95 5,000,000 4,979 American General Finance Corp., 8 7/8%, 3/15/96 2,300,000 2,343 American Telephone & Telegraph Co., 5.92%, 7/14/95 5,000,000 4,989 Transamerica Financial Corp., 8.55%, 6/15/96 2,500,000 2,542 -------- Total 14,853 -------- FOODS (1.7%) Cargill Incorporated, 6.1%, 7/3/95 3,100,000 3,099 -------- SOAPS & TOILETRIES (3.4%) Colgate-Palmolive Co., 5.89%, 7/11/95 6,000,000 5,990 -------- TELECOMMUNICATIONS (0.5%) U S West Capital Funding Inc., 8.99%, 11/14/95 900,000 910 -------- Total Money Market Investments 26,854 -------- Total Investments $175,723 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 63 67 NORTHWESTERN MUTUAL SERIES FUND, INC. HIGH YIELD BOND PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ---------- ------- BONDS (96.3%) APPAREL, TEXTILES (5.9%) Fieldcrest Cannon, Inc., 11 1/4%, 6/15/04 $ 500,000 $ 524 Guess, Inc., 9 1/2%, 8/15/03 500,000 500 Ithaca Industries, 11 1/8%, 12/15/02 700,000 667 Tultex Corp., 10 5/8, 3/15/05 1,000,000 1,006 ------- Total 2,697 ------- AUTO RELATED (4.4%) Exide Corporation, 10%, 4/15/05 500,000 514 Foamex L.P., 11 1/4, 10/1/02 1,000,000 985 JPS Automotive Products, 11 1/8, 6/15/01 500,000 489 ------- Total 1,988 ------- BANKS (2.4%) First Nationwide Holdings, 12 1/4%, 5/15/01 1,000,000 1,070 ------- BUILDING & CONSTRUCTION (2.3%) Primeco Inc., 12 3/4%, 3/1/05 1,000,000 1,020 ------- CABLE (2.2%) Adelphia Communications, 9 7/8%, 3/1/05 500,000 440 Groupe Videotron Ltd., 10 5/8%, 2/15/05 500,000 528 ------- Total 968 ------- CHEMICALS (1.1%) Terra Industries, 10 1/2%, 6/15/05 500,000 505 ------- CONTAINERS (1.1%) Anchor Glass Container Corp., 10 1/4%, 6/30/02 500,000 500 ------- DRUGS (1.2%) Thrifty Payless Holdings, 11 3/4%, 4/15/03 500,000 530 ------- ENVIRONMENTAL CONTROL (1.9%) Envirotest Systems Corporation, 9 1/8%, 3/15/01 1,000,000 837 ------- FOODS (4.9%) Beatrice Foods, Inc., 12%, 12/1/01 800,000 754 Curtice-Burns Foods Inc., 12 1/4%, 2/1/05 500,000 531 Flagstar Corp., 10 3/4%, 9/15/01 1,000,000 935 ------- Total 2,220 ------- GAMING (9.5%) Aztar Corp., 13 3/4%, 10/1/04 500,000 564 Bally's Grand, 10 3/8%, 12/15/03 1,000,000 980 Bally Park Place Funding, 9 1/4%, 3/15/04 500,000 472 GNF Corp., 10 5/8%, 4/1/03 1,000,000 842 Showboat, Inc., 9 1/4%, 5/1/08 500,000 458 Trump Hotels & Casino Resort, 15 1/2%, 6/15/05 500,000 486 Trump Plaza Funding, 10 7/8%, 06/15/01 500,000 460 ------- Total 4,262 ------- MARKET VALUE PAR (000'S) ---------- ------- HEALTHCARE (1.2%) Charter Medical Corporation, 11 1/4%, 4/15/04 $ 500,000 $ 531 ------- HOME CONSTRUCTION (5.5%) Kaufman & Broad Home Corp., 9 3/8%, 5/1/03 1,000,000 954 Toll Corporation, 10 1/2%, 3/15/02 1,000,000 1,030 US Home Corporation, 9 3/4%, 6/15/03 500,000 485 ------- Total 2,469 ------- INSURANCE (2.2%) Reliance Group Holdings, 9 3/4%, 11/15/03 1,000,000 973 ------- LEISURE RELATED (0.9%) Kloster Cruise, 13%, 5/1/03 500,000 385 ------- LODGING/RESORTS (2.2%) HMH Properties Inc., 9 1/2%, 5/15/05 1,000,000 969 ------- MISCELLANEOUS BASIC MATERIALS (1.1%) Tolmex S.A. De C.V., 8 3/8%, 11/1/03 750,000 510 ------- MOVIE THEATERS (3.4%) Cinemark USA, 12%, 6/1/02 750,000 804 Plitt Theatres, 10 7/8%, 6/15/04 750,000 739 ------- Total 1,543 ------- OFFICE EQUIPMENT (2.2%) United Stationer Supply Co., 12 3/4%, 5/1/05 1,000,000 1,010 ------- OIL & GAS-INDEPENDENT (4.3%) Bridas Corporation, 12 1/2%, 11/15/99 1,000,000 895 Transtexas Gas, 11 1/2%, 6/15/02 1,000,000 1,018 ------- Total 1,913 ------- PAPER (7.9%) Indah Kiat International Finance, 12 1/2%, 6/15/06 1,000,000 1,010 Rainy River Forest Products, 10 3/4%, 10/15/01 500,000 521 Repap Wisconsin Incorporated, 9 1/4%, 2/1/02 500,000 483 Repap New Brunswick, 10 5/8%, 4/15/05 1,000,000 1,008 #+SD Warren Co., 12%, 12/15/04 500,000 538 ------- Total 3,560 ------- PRINTING & PUBLISHING (2.6%) American Media Operation, 11 5/8%, 11/15/04 500,000 535 U.S. Banknote Corporation, 10 3/8%, 6/1/02 800,000 648 ------- Total 1,183 ------- REFINING (0.7%) PDV America Inc., 7 7/8%, 8/1/03 345,000 313 ------- RETAIL-FOOD (10.4%) Dominick's Finer Foods, 10 7/8%, 5/1/05 1,000,000 1,012 Pathmark Stores, 11 5/8%, 6/15/02 750,000 787 Penn Traffic Company, 9 5/8%, 4/15/05 1,000,000 942
64 68 NORTHWESTERN MUTUAL SERIES FUND, INC. HIGH YIELD BOND PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ---------- ------- BONDS (CONTINUED) RETAIL-FOOD (CONTINUED) Pueblo Xtra International, 9 1/2%, 8/1/03 $1,000,000 $ 912 Ralphs Grocery Company, 11%, 6/15/05 1,000,000 1,010 ------- Total 4,663 ------- SOAPS & TOILETRIES (1.1%) Coty Inc., 10 1/4%, 5/1/05 500,000 507 ------- STEEL (5.5%) UCAR Global Enterprises, 12%, 1/15/05 1,000,000 1,070 WCI Steel, Inc., 10 1/2%, 3/1/02 500,000 485 Wheeling-Pittsburgh Corporation, 9 3/8%, 11/15/03 1,000,000 925 ------- Total 2,480 ------- TELECOMMUNICATIONS (2.3%) Rogers Cantel Mobile Inc., 11 1/8%, 7/15/02 500,000 516 Rogers Communication Inc., 10 7/8%, 4/15/04 500,000 513 ------- Total 1,029 ------- TRUCKING-SHIPPING (1.2%) Gearbulk Holding Ltd., 11 1/4%, 12/1/04 500,000 530 ------- MARKET PAR/ VALUE SHARES (000'S) ---------- ------- UTILITY-GAS (4.7%) AmeriGas Partner, 10 1/8%, 4/15/07 $1,000,000 $ 1,050 Petroleum Heat & Power, 12 1/4%, 2/1/05 1,000,000 1,070 ------- Total 2,120 ------- Total Bonds 43,285 ------- COMMON STOCK WARRANTS (0.3%) PAPER (0.3%) #++SDW Holdings Corporation 20,000 $ 120 ------- Total Common Stock Warrants 120 ------- PREFERRED STOCK (1.2%) PAPER (1.2%) SD Warren Co. 20,000 $ 560 ------- Total Preferred Stock 560 ------- MONEY MARKET INVESTMENTS (2.2%) FINANCIAL SERVICES (1.8%) Xerox Credit Corporation, 5.86%, 7/17/95 $ 800,000 $ 798 ------- PROFESSIONAL SERVICES (0.4%) PHH Corp., 5.96%, 7/18/95 200,000 199 ------- Total Money Market Investments 997 ------- Total Investments $44,962 =======
+ Unregistered security, purchased December 13, 1994, cost $500,000. ++ Unregistered security, acquired May 23, 1995. # The Portfolio has no right to require registration of unregistered securities. The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 65 69 NORTHWESTERN MUTUAL SERIES FUND, INC. MONEY MARKET PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ---------- -------- COMMERCIAL PAPER (87.9%) BEVERAGES (7.7%) Anheuser-Busch Companies, Inc., 5.93%, 7/5/95 $4,000,000 $ 3,997 Pepsico Inc., 5.93%, 7/14/95 4,500,000 4,490 -------- Total 8,487 -------- CHEMICALS (4.5%) E.I. Du Pont De Nemours & Co., 5.89%, 7/21/95 5,000,000 4,984 -------- DRUGS (4.8%) Smithkline Beecham Corp., 5.87%, 7/14/95 5,300,000 5,289 -------- ELECTRICAL EQUIPMENT (4.8%) Emerson Electric Co., 5.93%, 7/28/95 5,300,000 5,276 -------- ELECTRONICS RELATED (4.8%) General Electric Capital Corp., 5.885%, 7/19/95 5,300,000 5,284 -------- FINANCE COMPANIES (8.7%) American Express Company, 5.86%, 7/14/95 5,000,000 4,989 Ford Motor Credit Company, 5.95%, 7/11/95 4,600,000 4,592 -------- Total 9,581 -------- FINANCIAL SERVICES (14.5%) IBM Credit Corporation, 5.87%, 7/5/95 5,300,000 5,297 Transamerica Financial Corp., 5.9%, 7/5/95 5,300,000 5,297 Weyerhaeuser Mortgage Company, 5.96%, 7/24/95 5,300,000 5,280 -------- Total 15,874 -------- FOODS (6.1%) Cargill Incorporated, 6.1%, 7/3/95 1,400,000 1,399 H.J. Heinz Company, 5.91%, 7/25/95 5,300,000 5,279 -------- Total 6,678 -------- MARKET VALUE PAR (000'S) ---------- -------- OFFICE EQUIPMENT (4.5%) Xerox Corporation, 5.9%, 8/18/95 $5,000,000 $ 4,961 -------- PRINTING & PUBLISHING (9.1%) Dow Jones & Company, Inc., 5.93%, 7/20/95 5,000,000 4,984 Knight-Ridder Inc., 5.95%, 7/21/95 5,000,000 4,983 -------- Total 9,967 -------- SOAPS & TOILETRIES (4.8%) Colgate-Palmolive Co., 5.93%, 7/6/95 5,300,000 5,296 -------- TOBACCO (4.8%) Philip Morris Companies, Inc., 5.93%, 7/28/95 5,300,000 5,276 -------- UTILITY-ELECTRIC (4.1%) National Rural Utility Finance Corp., 5.91%, 7/5/95 4,500,000 4,497 -------- UTILITY-TELEPHONE (4.7%) American Telephone & Telegraph, 5.92%, 8/7/95 5,200,000 5,168 -------- Total Commercial Paper 96,618 -------- ASSET-BACKED SECURITIES (7.3%) AUTO RELATED (7.3%) Banc One Auto Trust, 6.3625%, 4/15/96 $3,459,793 $ 3,463 Carco Auto Loan Master Trust, 6.135%, 10/15/00 (Variable rate; puttable; coupon indexed to one month Commercial Paper rate plus 7.5 basis points; reset monthly) 4,550,000 4,550 -------- Total 8,013 -------- Total Asset-Backed Securities 8,013 -------- CORPORATE-BACKED SECURITIES (4.8%) PROFESSIONAL SERVICES (4.8%) PHH Corp., 5.5%, 10/30/95 (Variable rate; coupon indexed to six month U.S. Treasury Bill less 3 basis points; reset weekly) $5,235,000 $ 5,228 -------- Total Corporate-Backed Securities 5,228 -------- Total Investments $109,859 ========
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 66 70 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ----------- ---------- COMMON STOCK (48.6%) AEROSPACE (1.1%) The Boeing Company 79,000 $ 4,947 EG&G, Inc. 12,300 206 General Dynamics Corporation 14,600 648 Lockheed Martin Corporation 46,161 2,914 Loral Corporation 19,600 1,014 McDonnell Douglas Corporation 26,400 2,026 Northrop Corporation 11,400 594 Raytheon Company 28,500 2,212 Rockwell International Corporation 50,100 2,292 TRW Inc. 15,100 1,206 United Technologies Corp. 28,500 2,227 ---------- Total 20,286 ---------- AIRLINES (0.2%) *AMR Corporation 17,600 1,313 Delta Air Lines, Inc. 11,700 863 Southwest Airlines Co. 33,200 793 *USAir Group, Inc. 13,600 158 ---------- Total 3,127 ---------- APPAREL, TEXTILES AND FOOTWEAR (0.2%) Brown Group, Inc. 4,100 93 *Fruit Of The Loom Incorporated 17,500 370 Liz Claiborne, Inc. 17,300 368 Nike, Inc. 16,700 1,403 Reebok International Ltd. 18,500 629 Russell Corp. 9,000 259 Springs Industries, Inc. 4,700 175 Stride Rite Corp. 11,500 119 VF Corporation 14,700 790 ---------- Total 4,206 ---------- AUTO & TRUCKS (1.1%) Chrysler Corporation 85,400 4,089 Ford Motor Company 237,500 7,066 General Motors Corporation 172,900 8,105 *Navistar International Corp. 17,270 261 PACCAR Incorporated 8,995 421 ---------- Total 19,942 ---------- AUTO RELATED (0.3%) Cooper Tire & Rubber Company 19,300 470 Dana Corporation 23,400 670 Eaton Corporation 18,000 1,046 Echlin Inc. 13,800 480 Genuine Parts Company 28,350 1,074 Goodyear Tire & Rubber Company 35,100 1,448 SPX Corp. 2,900 33 Snap-On Incorporated 9,300 360 ---------- Total 5,581 ---------- BANKS (2.8%) Banc One Corporation 91,282 2,944 Bank of Boston Corporation 25,700 964 Bank of New York Company Inc. 44,200 1,785 BankAmerica Corporation 86,600 4,557 Bankers Trust New York Corp. 18,100 1,122 Barnett Banks Inc. 22,400 1,148 Boatmans Bancshares, Inc. 29,100 1,026 Chase Manhattan Corporation 41,100 1,932 MARKET VALUE SHARES (000'S) ----------- ---------- BANKS (CONTINUED) Chemical Banking Corporation 55,700 $ 2,632 Citicorp 91,900 5,319 Corestates Financial Corp. 33,400 1,165 First Chicago Corporation 20,800 1,245 First Fidelity Bancorporation 18,700 1,103 First Interstate Bancorp 17,600 1,412 First Union Corporation 39,800 1,801 Fleet Financial Group Inc. 32,700 1,214 KeyCorp 55,000 1,726 Mellon Bank Corporation 33,850 1,409 J.P. Morgan & Company, Inc. 43,400 3,043 NBD Bancorp, Inc. 37,000 1,184 National City Corp. 33,900 996 NationsBank Corp. 62,800 3,368 Norwest Corporation 74,900 2,153 PNC Financial Corp. 52,900 1,395 Shawmut National Corp. 29,700 947 Suntrust Banks Inc. 26,600 1,549 U.S. Bancorp of Oregon 22,700 546 Wachovia Corporation 39,600 1,416 Wells Fargo & Company 11,400 2,055 ---------- Total 53,156 ---------- BEVERAGES (1.8%) Anheuser-Busch Companies Inc. 59,300 3,373 Brown-Forman Corp. 16,000 534 The Coca-Cola Company 293,200 18,691 Adolph Coors Co. 8,800 144 Pepsico Inc. 182,200 8,313 Seagram Company Ltd. 86,200 2,985 ---------- Total 34,040 ---------- BUILDING & CONSTRUCTION (0.1%) Centex Corporation 6,600 186 Crane Co. 7,000 254 Kaufman & Broad Home Corp. 7,400 107 Masco Corporation 36,300 980 Morrison Knudsen Corporation 7,500 51 *Owens-Corning Fiberglas Corporation 11,000 406 Pulte Corporation 6,200 174 Sherwin-Williams Company 19,700 702 ---------- Total 2,860 ---------- BUILDING-FOREST PRODUCTS (0.3%) Boise Cascade Corporation 10,900 441 Champion International 21,600 1,126 Georgia-Pacific Corporation 21,000 1,822 Louisiana-Pacific Corporation 24,900 654 Potlatch Corporation 6,800 284 Weyerhaeuser Company 47,600 2,243 ---------- Total 6,570 ---------- CHEMICALS (1.5%) Air Products & Chemicals, Inc. 25,800 1,438 Dow Chemical Company 63,700 4,578 Eastman Chemical Company 19,275 1,147 E.I. Du Pont De Nemours & Co. 127,800 8,786 Ecolab, Inc. 14,900 365 *FMC Corporation 8,500 572 First Mississippi Corp. 4,700 160 W.R. Grace & Co. 21,800 1,338
67 71 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ----------- ---------- COMMON STOCK (CONTINUED) CHEMICALS (CONTINUED) Great Lakes Chemical 15,300 $ 922 Hercules Incorporated 27,000 1,316 Mallinckrodt Group Inc. 17,700 628 Monsanto Company 26,400 2,379 PPG Industries Inc. 47,700 2,051 Praxair 31,900 798 Rohm & Haas Company 15,600 856 Union Carbide Corporation 31,700 1,058 ---------- Total 28,392 ---------- CHEMICALS-SPECIALTY (0.2%) Avery Dennison Corp. 12,300 492 Engelhard Corp. 22,000 943 B.F. Goodrich Company 6,000 322 Morton International, Inc. 34,200 1,000 Nalco Chemical Company 15,700 571 Sigma-Aldrich Corp. 11,500 565 ---------- Total 3,893 ---------- COAL, GAS & PIPELINE (0.1%) Eastern Enterprises 4,700 140 NACCO Industries, Inc. 2,100 126 Sonat Inc. 20,000 610 ---------- Total 876 ---------- CONTAINERS (0.1%) Ball Corporation 7,000 244 Bemis Company, Inc. 11,900 309 *Crown Cork & Seal Company, Inc. 20,900 1,048 ---------- Total 1,601 ---------- DIVERSIFIED (1.0%) Allied Signal Inc. 65,800 2,928 Corning Inc. 53,000 1,736 The Dial Corp. 21,500 532 ITT Corp. 24,400 2,867 Minnesota Mining & Manufacturing Co. 97,100 5,559 National Service Industries, Inc. 11,200 323 Ogden Corporation 11,300 247 *Teledyne, Inc. 12,800 314 Tenneco Inc. 41,800 1,923 Textron Inc. 19,700 1,145 Tyco Laboratories, Inc. 17,700 956 Whitman Corporation 24,300 471 Worthington Industries, Inc. 21,000 429 ---------- Total 19,430 ---------- DRUGS (2.6%) *ALZA Corp. 19,000 444 American Home Products Corp. 71,300 5,517 *Amgen Inc. 30,600 2,461 Bristol-Myers Squibb Company 117,300 7,991 Eli Lily & Company 67,600 5,307 Merck & Co., Inc. 286,000 14,014 Pfizer Inc. 73,000 6,743 Schering-Plough Corporation 86,100 3,799 Upjohn Company 40,000 1,515 Warner-Lambert Company 31,200 2,695 ---------- Total 50,486 ---------- MARKET VALUE SHARES (000'S) ----------- ---------- ELECTRICAL EQUIPMENT (1.6%) Emerson Electric Co. 54,000 $ 3,861 General Electric Company 391,800 22,088 W.W. Grainger, Inc. 11,700 687 Honeywell Inc. 29,400 1,268 Raychem Corp. 10,200 391 Thomas & Betts Corporation 4,500 308 Westinghouse Electric Corporation 82,800 1,211 ---------- Total 29,814 ---------- ELECTRONICS (1.3%) *Advanced Micro Devices, Inc. 23,900 869 AMP Incorporated 48,500 2,049 *Applied Materials Inc. 19,500 1,689 Harris Corporation 9,000 465 Intel Corp. 191,600 12,131 Micron Technology 47,500 2,607 *National Semiconductor Corporation 28,700 796 The Perkin-Elmer Corporation 9,700 344 Tektronix, Inc. 7,500 369 Texas Instruments Incorporated 21,500 2,878 *Zenith Electronics Corp. 10,800 80 ---------- Total 24,277 ---------- ENGINEERING & CONSTRUCTION (0.1%) Fluor Corporation 19,100 993 ---------- ENVIRONMENTAL CONTROL (0.3%) Browning-Ferris Industries Inc. 49,200 1,777 Johnson Controls Inc. 9,400 531 Laidlaw Transportation Limited 64,100 617 Millipore Corp. 5,200 351 Safety-Kleen Corp. 13,300 214 WMX Technologies, Inc. 111,900 3,175 Zurn Industries, Inc. 2,800 56 ---------- Total 6,721 ---------- FEDERAL GOVERNMENT AGENCY RELATED (0.5%) Federal Home Loan Mortgage Corp. 41,800 2,874 Federal National Mortgage Assoc. 63,100 5,955 ---------- Total 8,829 ---------- FINANCIAL SERVICES (0.9%) American Express Company 114,700 4,029 Beneficial Corporation 12,200 537 Dean Witter, Discover & Co. 39,050 1,835 Household International Inc. 22,300 1,104 MBNA Corp. 34,350 1,159 Marsh & McLennan Companies Inc. 16,900 1,371 Merrill Lynch & Co., Inc. 40,700 2,137 Salomon Inc. 24,600 987 Transamerica Corporation 16,000 932 Travelers Group Inc. 73,946 3,235 ---------- Total 17,326 ---------- FOOD SERVICES/LODGING (0.5%) *Darden Restaurant Inc. 36,500 397 *Harrah's Entertainment 23,700 817 Hilton Hotels Corporation 11,200 787 Luby's Cafeterias, Inc. 5,500 111 Marriott International 28,300 1,015 McDonald's Corporation 160,400 6,276 Promus Hotels 11,850 108
68 72 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ----------- ---------- COMMON STOCK (CONTINUED) FOOD SERVICES/LODGING (CONTINUED) *Ryan's Family Steak Houses, Inc. 12,300 $ 97 *Shoney's Inc. 9,500 112 Wendy's International, Inc. 23,600 422 ---------- Total 10,142 ---------- FOODS (1.6%) Archer Daniels Midland Company 119,333 2,223 CPC International Corp. 33,800 2,087 Campbell Soup Company 57,600 2,822 ConAgra Inc. 56,800 1,981 General Mills, Inc. 36,600 1,880 H.J. Heinz Company 56,300 2,498 Hershey Foods Corporation 20,100 1,111 Kellogg Company 50,800 3,626 Pioneer Hi-Bred International 19,600 823 Quaker Oats Company 30,900 1,016 Ralston Purina Group 23,200 1,183 Sara Lee Corporation 110,900 3,161 Unilever, N.V. 37,000 4,815 Wm. Wrigley Jr. Company 26,900 1,247 ---------- Total 30,473 ---------- HOSPITAL SUPPLIES (1.8%) Abbott Laboratories Inc. 184,600 7,476 Allergan Incorporated 14,800 401 C.R. Bard, Inc. 12,100 363 Bausch & Lomb Inc. 13,500 560 Baxter International Inc. 64,600 2,350 Becton, Dickinson & Company 15,500 903 *Beverly Enterprises, Inc. 19,800 245 *Biomet, Inc. 26,900 417 *Boston Scientific Corp. 34,700 1,106 Columbia/HCA Healthcare Corp. 102,400 4,429 *Community Psychiatric Centers 10,000 113 Johnson & Johnson 149,300 10,096 Manor Care, Inc. 14,400 419 Medtronic, Incorporated 26,700 2,059 St. Jude Medical, Inc. 10,800 541 *Tenet Healthcare Corp 46,200 664 United Healthcare Corp. 40,100 1,659 U.S. HealthCare Incorporated 37,100 1,136 U.S. Surgical Corporation 13,200 276 ---------- Total 35,213 ---------- HOUSEHOLD FURNITURE/APPLIANCES (0.3%) Armstrong World Industries, Inc. 8,600 431 Bassett Furniture Industries, Inc. 3,300 92 Black & Decker Corporation 19,700 608 Maytag Corporation 24,900 398 Newell Co. 36,500 894 Premark International, Inc. 14,100 731 Rubbermaid, Inc. 37,200 1,032 The Stanley Works 10,300 390 Whirlpool Corporation 17,100 941 ---------- Total 5,517 ---------- INSURANCE (1.3%) Aetna Life & Casualty Company 26,100 1,641 Alexander & Alexander Services 10,200 244 American General Corporation 47,400 1,600 MARKET VALUE SHARES (000'S) ----------- ---------- INSURANCE (CONTINUED) American International Group, Inc 73,100 $ 8,333 CIGNA Corporation 16,700 1,296 The Chubb Corporation 20,100 1,611 General Re Corporation 19,000 2,544 Jefferson-Pilot Corp. 11,200 613 Lincoln National Corporation 21,900 958 Loews Corp. 13,600 1,646 Providian Corporation 22,300 808 SAFECO Inc. 14,600 839 St. Paul Companies, Inc. 19,500 960 Torchmark Corporation 16,500 623 UNUM Corporation 16,800 788 USF&G Corp. 22,900 372 USLIFE Corporation 5,300 213 ---------- Total 25,089 ---------- LEISURE RELATED (0.7%) *Bally Entertainment Corporation 10,800 132 Brunswick Corporation 22,200 377 Walt Disney Company 120,500 6,703 Fleetwood Enterprises, Inc. 10,600 209 Handleman Co. 7,700 74 Hasbro Inc. 20,300 645 *King World Productions, Inc. 8,500 344 Mattel, Inc. 51,168 1,330 Outboard Marine Corporation 4,600 90 Skyline Corporation 2,600 47 *Viacom Incorporated 83,256 3,840 ---------- Total 13,791 ---------- MACHINERY (0.7%) Briggs & Stratton Corporation 6,900 238 Caterpillar Inc. 46,200 2,968 Cincinnati Milacron Inc. 7,800 211 *Clark Equipment Company 4,000 344 Cooper Industries, Inc. 27,100 1,070 Cummins Engine Company, Inc. 9,400 410 Deere & Company 20,000 1,713 Dover Corporation 13,100 953 Foster Wheeler Corporation 8,300 293 General Signal Corporation 10,900 433 Giddings & Lewis Company 8,000 143 Harnischfeger Industries, Inc. 10,600 367 Illinois Tool Works Inc. 26,400 1,452 Ingersoll-Rand Company 24,400 933 Pall Corporation 26,866 598 Parker-Hannifin Corporation 17,100 620 The Timken Company 7,200 332 TRINOVA Corp. 6,700 235 *Varity Corporation 9,600 422 ---------- Total 13,735 ---------- MEDIA (0.5%) CBS Inc. 14,200 951 Capital Cities/ABC, Inc. 35,600 3,845 Comcast Corp. 55,450 1,029 *Tele-Communications, Inc. 151,000 3,539 ---------- Total 9,364 ---------- METALS & MINING (0.7%) Alcan Aluminum Limited 52,000 1,573
69 73 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ----------- ---------- COMMON STOCK (CONTINUED) METALS & MINING (CONTINUED) Aluminum Co. of America 41,200 $ 2,065 ASARCO, Inc. 9,800 299 Barrick Gold Corporation 81,700 2,063 Cyprus Minerals Co. 21,400 610 Echo Bay Mines Limited 100 1 Echo Bay Mines Limited 25,900 233 Homestake Mining Company 31,900 526 Inco Limited 27,100 766 Newmont Mining Corporation 19,889 833 Phelps Dodge Corporation 16,100 950 Placer Dome Incorporated 55,200 1,442 Reynolds Metals Company 14,500 750 Santa Fe Pacific Gold Corp. 30,340 368 ---------- Total 12,479 ---------- OFFICE EQUIPMENT (2.1%) *Amdahl Corporation 27,300 304 Apple Computer, Inc. 28,000 1,300 *Cabletron Systems Inc. 16,600 884 *Ceridian Corp. 10,500 387 *Cisco Systems Incorporated 62,100 3,140 *Compaq Computer Corporation 60,500 2,745 *Cray Research, Inc. 5,800 141 *Data General Corporation 8,500 82 *Digital Equipment Corporation 34,000 1,386 Hewlett-Packard Company 118,000 8,791 *Intergraph Corp. 10,600 118 International Business Machines Corp. 134,300 12,893 Moore Corporation Ltd. 23,000 509 Pitney Bowes Inc. 34,900 1,339 Silicon Graphics 36,700 1,463 *Sun Microsystems Inc. 22,100 1,072 *Tandem Computers Inc. 26,900 434 *Unisys Corporation 39,600 431 Xerox Corporation 24,800 2,908 ---------- Total 40,327 ---------- OFFICE EQUIPMENT-SERVICES (1.4%) Alco Standard Corporation 12,700 1,014 Autodesk, Inc. 11,000 473 Automatic Data Processing, Inc. 33,300 2,094 Computer Associates International Inc. 37,000 2,507 *Computer Sciences Corp. 12,700 722 First Data Corporation 27,700 1,575 *Lotus Development Corporation 11,000 701 *Microsoft Corporation 134,400 12,146 Novell, Inc. 84,700 1,689 *Oracle Systems Corp. 99,700 3,851 Shared Medical Systems Corp. 5,300 213 ---------- Total 26,985 ---------- OIL & GAS-DOMESTIC (0.8%) Amerada Hess Corporation 21,500 1,051 Ashland Oil, Inc. 14,400 506 Atlantic Richfield Company 37,200 4,083 Burlington Resource Inc. 29,300 1,080 Coastal Corp. 24,200 735 Kerr-McGee Corporation 12,000 644 Louisiana Land & Exploration Co. 7,700 307 Occidental Petroleum Corporation 73,400 1,679 MARKET VALUE SHARES (000'S) ----------- ---------- OIL & GAS-DOMESTIC (CONTINUED) *Oryx Energy Company 23,900 $ 329 Pennzoil Company 10,700 504 Phillips Petroleum Company 60,600 2,023 *Santa Fe Energy Resources, Inc. 20,900 199 Sun Company, Inc. 24,700 676 Unocal Corp. 56,500 1,561 ---------- Total 15,377 ---------- OIL & GAS-INTERNATIONAL (3.3%) Amoco Company 114,800 7,649 Chevron Corp. 150,800 7,031 Exxon Corporation 287,300 20,291 Mobil Corporation 91,500 8,784 Royal Dutch Petroleum Co., ADR 124,000 15,113 Texaco Inc. 60,100 3,944 ---------- Total 62,812 ---------- OIL FIELD SERVICES (0.4%) Baker Hughes Inc. 32,600 668 Dresser Industries, Inc. 42,100 937 Halliburton Company 26,400 944 Helmerich & Payne, Inc. 5,700 168 McDermott International, Inc. 12,400 299 *Rowan Companies, Inc. 19,400 158 Schlumberger Limited 56,000 3,479 *Western Atlas Inc. 12,200 541 ---------- Total 7,194 ---------- PAPER (0.6%) Federal Paper Board Company, Inc. 9,900 350 International Paper Company 29,300 2,512 James River Corp. of Virginia 18,900 522 Kimberly-Clark Corporation 37,100 2,221 Mead Corp. 13,000 772 Scott Paper Company 35,000 1,732 *Stone Container Corporation 20,900 444 Temple-Inland Inc. 13,000 619 Union Camp Corporation 16,200 938 Westvaco Corporation 15,600 690 ---------- Total 10,800 ---------- PHOTO & OPTICAL (0.3%) Eastman Kodak Company 78,700 4,771 Polaroid Corporation 10,400 424 ---------- Total 5,195 ---------- PRINTING & PUBLISHING (0.8%) American Greetings Corp. 17,200 505 Deluxe Corp. 19,100 633 R.R. Donnelley & Sons Company 35,200 1,267 Dow Jones & Company, Inc. 22,400 826 Dun & Bradstreet Corporation 39,200 2,058 Gannett Company Inc. 32,400 1,758 Harcourt General 16,800 714 The John H. Harland Company 7,100 162 Jostens, Inc. 10,500 223 Knight-Ridder Inc. 11,500 654 McGraw-Hill, Inc. 11,500 873 Meredith Corporation 6,400 162 New York Times Company 22,400 526 Time Warner Inc. 87,900 3,615
70 74 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE SHARES (000'S) ----------- ---------- COMMON STOCK (CONTINUED) PRINTING & PUBLISHING (CONTINUED) Times Mirror Co. 25,900 $ 618 Tribune Company 15,200 933 ---------- Total 15,527 ---------- PROFESSIONAL SERVICES (0.2%) H & R Block, Inc. 24,200 995 *CUC International Inc. 26,700 1,121 Interpublic Group of Cos., Inc. 18,100 679 Service Corporation International 22,200 702 ---------- Total 3,497 ---------- RAILROADS (0.5%) Burlington Northern Railroad, Inc. 20,700 1,312 CSX Corporation 24,300 1,826 Conrail Incorporated 18,100 1,007 Norfolk Southern Corporation 30,500 2,055 Santa Fe Pacific Corp. 35,181 897 Union Pacific Corporation 47,500 2,629 ---------- Total 9,726 ---------- RETAIL-FOOD (0.4%) Albertson's, Inc. 58,800 1,749 American Stores Co. 34,300 965 Bruno's Inc. 18,000 209 Fleming Companies, Inc. 8,700 231 Giant Food Inc. 13,700 389 Great Atlantic & Pacific Co., Inc. 8,800 232 *The Kroger Company 25,800 693 Supervalu Inc. 16,100 469 Sysco Corporation 42,200 1,245 Winn-Dixie Stores, Inc. 17,500 1,011 ---------- Total 7,193 ---------- RETAIL-GENERAL (2.4%) Charming Shoppes Incorporated 23,700 124 Circuit City Stores, Inc. 22,300 705 Dayton Hudson Corporation 16,600 1,191 Dillard Department Stores, Inc. 26,100 767 The Gap, Inc. 33,300 1,161 Home Depot, Inc. 104,866 4,260 K Mart Corporation 105,700 1,546 The Limited Inc. 82,600 1,817 Longs Drug Stores Corp. 4,800 180 Lowe's Companies, Inc. 37,000 1,105 May Department Stores Company 57,500 2,393 Melville Corporation 24,300 832 Mercantile Stores Company 8,500 395 Nordstrom, Inc. 19,000 786 J.C. Penney Company, Inc. 53,800 2,582 Pep Boys - Manny, Moe & Jack 14,200 380 *Price/Costco, Inc. 45,051 732 Rite Aid Corporation 19,500 500 Sears, Roebuck & Company 89,800 5,377 The TJX Companies, Inc. 16,700 221 Tandy Corporation 17,000 882 *Toys "R" Us 64,100 1,875 Wal-Mart Stores, Inc. 531,400 14,215 Walgreen Company 28,500 1,429 *Woolworth Corp. 30,600 463 ---------- Total 45,918 ---------- MARKET VALUE SHARES (000'S) ----------- ---------- SAVINGS & LOAN (0.1%) H.F. Ahmanson & Company 27,100 $ 596 Golden West Financial Corporation 13,600 641 Great Western Financial Corporation 31,200 644 ---------- Total 1,881 ---------- SOAPS & TOILETRIES (1.1%) Alberto-Culver Company 6,400 194 Avon Products, Inc. 15,800 1,059 The Clorox Company 12,300 803 Colgate-Palmolive Co. 33,500 2,450 Gillette Company 102,400 4,570 International Flavors & Fragrances, Inc. 25,800 1,284 The Procter & Gamble Company 159,000 11,428 ---------- Total 21,788 ---------- STEEL (0.2%) *Armco Inc. 24,300 164 Bethlehem Steel Corporation 25,500 414 Inland Steel Industries, Inc. 11,200 342 Nucor Corp. 20,200 1,081 USX-Marathon Group 68,700 1,357 USX-U S Steel Group Inc. 17,700 608 ---------- Total 3,966 ---------- TELECOMMUNICATIONS (1.7%) AT&T Corporation 366,000 19,444 *Andrew Corporation 8,950 518 *DSC Communications Corp. 26,400 1,228 *M/A-Com, Inc. 6,200 73 Motorola, Inc. 136,100 9,136 Northern Telecom Limited 58,600 2,139 Scientific-Atlanta, Inc. 17,700 389 ---------- Total 32,927 ---------- TOBACCO (0.9%) American Brands, Inc. 43,700 1,737 Philip Morris Companies, Inc. 195,400 14,533 UST Incorporated 45,300 1,348 ---------- Total 17,618 ---------- TRANSPORTATION-MISC. (0.0%) Pittston Services Group 9,600 230 ---------- TRUCKING-SHIPPING (0.1%) Consolidated Freightways, Inc. 10,000 221 *Federal Express Corp. 13,000 790 Roadway Services, Inc. 9,000 425 Ryder System, Inc. 18,200 435 Yellow Corp. 6,500 118 ---------- Total 1,989 ---------- UTILITY-ELECTRIC (1.9%) American Electric Power Co. Inc. 42,900 1,507 Baltimore Gas & Electric Company 34,100 853 Carolina Power & Light Company 36,200 1,095 Central & South West Corporation 44,200 1,160 Cinergy Corporation 35,905 943 Consolidated Edison Co. of New York 54,300 1,602 Detroit Edison Company 33,500 988 Dominion Resources Inc. 40,000 1,460 Duke Power Company 47,400 1,967
71 75 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET SHARES/ VALUE PAR (000'S) ----------- ---------- COMMON STOCK (CONTINUED) UTILITY-ELECTRIC (CONTINUED) Entergy Corporation 52,700 $ 1,271 FPL Group, Inc. 42,900 1,657 General Public Utilities 26,700 794 Houston Industries Incorporated 30,400 1,281 Niagara Mohawk Power Corporation 33,400 493 Northern States Power Company 15,600 720 Ohio Edison Company 35,300 799 PECO Energy Company 51,300 1,417 Pacific Enterprises 19,000 466 Pacific Gas & Electric Company 99,500 2,886 PacifiCorp 65,700 1,232 Public Service Enterprise Group, Inc. 56,600 1,571 SCEcorp 103,400 1,771 The Southern Company 153,900 3,444 Texas Utilities Company 52,200 1,794 Unicom Corp. 49,600 1,321 Union Electric Company 23,600 879 ---------- Total 35,371 ---------- UTILITY-GAS (0.3%) *Columbia Gas System Inc. 11,700 371 Consolidated Natural Gas Co. 21,500 812 ENSERCH Corporation 15,500 265 Enron Corp. 58,200 2,044 Nicor Inc. 11,700 314 Noram Energy Corporation 28,600 186 ONEOK, Inc. 6,200 133 Panhandle Eastern Corporation 34,500 841 Peoples Energy Corporation 8,100 210 Williams Companies Inc. 23,400 816 ---------- Total 5,992 ---------- UTILITY-TELEPHONE (2.9%) *Airtouch Communications 114,300 3,258 ALLTEL Corporation 43,700 1,109 Ameritech Corporation 128,000 5,632 Bell Atlantic Corporation 100,900 5,650 Bellsouth Corporation 114,800 7,290 GTE Corporation 224,300 7,654 MCI Communications Corporation 157,200 3,458 NYNEX Corp. 98,500 3,965 Pacific Telesis Group 98,100 2,624 SBC Communications Incorporated 140,600 6,696 Sprint Corporation 80,600 2,710 U S West Inc. 108,900 4,533 ---------- Total 54,579 ---------- Total Common Stock 925,101 ---------- PREFERRED STOCK (0.00%) DIVERSIFIED (0.00%) Teledyne, Inc. 258 $ 4 ---------- Total Preferred Stock 4 ---------- BONDS (34.2%) AIRLINES (0.3%) Delta Air Lines, Inc., 9 3/4%, 5/19/03 $ 532,000 $ 592 Delta Air Lines, Inc., 9 3/4%, 6/1/03 3,513,000 3,909 MARKET VALUE PAR (000'S) ----------- ---------- AIRLINES (CONTINUED) Delta Air Lines, Inc., 9 3/4%, 6/1/03 $ 870,000 $ 968 Delta Air Lines, Inc., 9 3/4%, 6/1/03 870,000 968 ---------- Total 6,437 ---------- AUTO RELATED (0.2%) Hertz Corp, 9.04%, 6/14/00 4,100,000 4,506 ---------- BANKS (0.6%) Natwest Capital Corporation, 12 1/8%, 11/15/02 10,450,000 11,725 ---------- BEVERAGES (0.6%) Coca-Cola Enterprises Inc., 8%, 1/4/05 10,000,000 11,043 ---------- CHEMICALS (0.5%) Dow Capital B.V., 8 1/2%, 6/8/10 8,200,000 9,553 ---------- CMO & LOAN-BACKED CERTIFICATES (5.6%) CIT RV Owner Trust, 6 1/4%, 1/15/11 7,500,000 7,466 Federal Home Loan Mortgage Corp., 7 1/4%, 4/15/18 10,325,000 10,419 Federal Home Loan Mortgage Corp., 7%, 3/15/07 7,250,000 7,258 Federal Home Loan Mortgage Corp., 6%, 7/15/07 19,250,000 18,445 Federal National Mortgage Assoc., 6 1/4%, 7/25/07 21,150,000 20,724 Federal National Mortgage Assoc., 6 3/4%, 12/25/23 6,500,000 6,043 Premier Auto Trust, 6.65%, 4/2/98 6,930,000 6,988 Rural Housing Trust, 6.33%, 4/1/26 10,489,881 10,306 Security Capital Trust, 7.3%, 5/15/01 8,000,000 8,071 World Omni Grantor Trust, 7.95%, 1/25/01 10,000,000 10,243 ---------- Total 105,963 ---------- DIVERSIFIED (0.4%) Tenneco Inc., 10%, 8/1/98 6,250,000 6,855 ---------- FEDERAL GOVERNMENT AND AGENCIES (15.4%) Federal National Mortgage Assoc., 7%, 12/1/23 27,779,550 27,352 Government National Mortgage Assoc., 7%, 9/15/23 118,521 117 Government National Mortgage Assoc., 7%, 10/15/23 217,082 214 Government National Mortgage Assoc., 7 1/2%, 8/15/24 993,408 998 Government National Mortgage Assoc., 7%, 9/15/23 29,424 29 Government National Mortgage Assoc., 7%, 7/15/23 837,604 826 Government National Mortgage Assoc., 7%, 5/15/23 9,230,796 9,091 Government National Mortgage Assoc., 7%, 5/15/23 6,804,666 6,701
72 76 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ----------- ---------- BONDS (CONTINUED) FEDERAL GOVERNMENT AND AGENCIES (CONTINUED) Government National Mortgage Assoc., 7%, 6/15/23 $ 352,437 $ 348 Government National Mortgage Assoc., 7%, 10/15/23 30,222 30 Government National Mortgage Assoc., 7%, 5/15/23 207,988 205 Government National Mortgage Assoc., 7 1/2%, 1/15/24 237,767 239 Government National Mortgage Assoc., 7%, 7/15/23 818,845 806 Government National Mortgage Assoc., 7%, 2/15/24 44,350 44 Government National Mortgage Assoc., 8 1/2%, 2/15/25 159,638 166 Government National Mortgage Assoc., 7%, 8/15/23 29,531 29 Government National Mortgage Assoc., 8 1/2%, 7/15/24 280,674 291 Government National Mortgage Assoc., 7%, 6/15/23 763,888 753 Government National Mortgage Assoc., 7%, 7/15/23 68,312 67 Government National Mortgage Assoc., 7%, 10/15/23 169,145 166 Government National Mortgage Assoc., 7%, 9/15/23 734,939 724 Government National Mortgage Assoc., 7 1/2%, 5/15/24 1,092,890 1,098 Government National Mortgage Assoc., 7%, 12/15/23 884,549 872 Government National Mortgage Assoc., 7%, 10/15/23 127,642 126 Government National Mortgage Assoc., 7 1/2%, 1/15/24 1,159,804 1,166 Government National Mortgage Assoc., 8 1/2%, 8/15/24 328,268 341 Government National Mortgage Assoc., 7%, 11/15/23 823,144 811 Government National Mortgage Assoc., 7%, 2/15/24 139,760 138 Government National Mortgage Assoc., 7%, 11/15/23 860,725 848 Government National Mortgage Assoc., 8 1/2%, 2/15/25 937,858 973 Government National Mortgage Assoc., 7%, 12/15/23 739,817 718 Government National Mortgage Assoc., 7%, 2/15/24 335,816 326 Government National Mortgage Assoc., 7%, 1/15/24 922,903 909 Government National Mortgage Assoc., 7%, 3/15/24 713,381 703 Government National Mortgage Assoc., 7%, 12/15/23 904,561 891 Government National Mortgage Assoc., 7%, 11/15/23 608,486 600 Government National Mortgage Assoc., 8 1/2%, 11/15/24 433,446 450 Government National Mortgage Assoc., 7%, 9/15/23 35,807 35 MARKET VALUE PAR (000'S) ----------- ---------- FEDERAL GOVERNMENT AND AGENCIES (CONTINUED) Government National Mortgage Assoc., 7%, 2/15/24 $ 746,976 $ 736 Government National Mortgage Assoc., 8 1/2%, 7/15/24 265,581 276 Government National Mortgage Assoc., 7%, 1/15/24 53,500 53 Government National Mortgage Assoc., 7%, 10/15/23 123,876 122 Government National Mortgage Assoc., 8 1/2%, 11/15/24 243,874 253 Government National Mortgage Assoc., 8 1/2%, 1/15/25 25,318 26 Government National Mortgage Assoc., 7%, 1/15/24 245,252 243 Government National Mortgage Assoc., 7 1/2%, 11/15/24 1,011,278 1,016 Government National Mortgage Assoc., 8 1/2%, 7/15/24 345,060 358 Government National Mortgage Assoc., 7 1/2%, 2/15/24 1,658,661 1,667 Government National Mortgage Assoc., 7 1/2%, 3/15/24 1,577,214 1,585 Government National Mortgage Assoc., 7 1/2%, 8/15/24 993,428 998 Government National Mortgage Assoc., 7%, 2/15/24 827,253 815 Government National Mortgage Assoc., 7%, 5/15/24 812,705 800 Government National Mortgage Assoc., 7 1/2%, 5/15/24 1,437,013 1,444 Government National Mortgage Assoc., 7 1/2%, 4/15/24 977,776 983 Government National Mortgage Assoc., 7 1/2%, 5/15/24 1,492,060 1,500 Government National Mortgage Assoc., 8 1/2%, 6/15/24 861,309 894 Government National Mortgage Assoc., 7%, 4/15/24 126,820 125 Government National Mortgage Assoc., 7%, 4/15/24 30,144 30 Government National Mortgage Assoc., 8 1/2%, 6/15/24 377,162 391 Government National Mortgage Assoc., 8 1/2%, 7/15/24 225,102 234 Government National Mortgage Assoc., 8 1/2%, 1/15/25 71,835 75 Government National Mortgage Assoc., 8 1/2%, 2/15/25 500,284 519 Government National Mortgage Assoc., 8 1/2%, 8/15/24 347,927 361 Government National Mortgage Assoc., 7%, 4/15/24 97,340 96 Government National Mortgage Assoc., 7 1/2%, 6/15/24 1,506,029 1,514 Government National Mortgage Assoc., 8 1/2%, 7/15/24 274,382 285 Government National Mortgage Assoc., 8 1/2%, 8/15/24 243,200 253 Government National Mortgage Assoc., 7 1/2%, 8/15/24 996,104 1,001 Government National Mortgage Assoc., 8 1/2%, 1/15/25 161,480 168
73 77 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ----------- ---------- BONDS (CONTINUED) FEDERAL GOVERNMENT AND AGENCIES (CONTINUED) Government National Mortgage Assoc., 7 1/2%, 8/15/24 $1,247,027 $ 1,253 Government National Mortgage Assoc., 8 1/2%, 8/15/24 222,371 231 Government National Mortgage Assoc., 8 1/2%, 2/15/25 289,335 300 Government National Mortgage Assoc., 7 1/2%, 6/15/24 39,005 39 Government National Mortgage Assoc., 8 1/2%, 8/15/24 278,472 289 Government National Mortgage Assoc., 8 1/2%, 9/15/24 403,223 419 Government National Mortgage Assoc., 8 1/2%, 2/15/25 56,592 59 Government National Mortgage Assoc., 8 1/2%, 12/15/24 660,202 685 Government National Mortgage Assoc., 8 1/2%, 2/15/25 73,415 76 Government National Mortgage Assoc., 8 1/2%, 2/15/25 466,611 484 Government National Mortgage Assoc., 8 1/2%, 2/15/23 156,149 162 Government National Mortgage Assoc., 8 1/2%, 9/15/22 665,655 691 Government National Mortgage Assoc., 8 1/2%, 10/15/22 674,771 700 Government National Mortgage Assoc., 7%, 5/15/23 495,202 488 Government National Mortgage Assoc., 8 1/2%, 9/15/21 271,543 282 Government National Mortgage Assoc., 8 1/2%, 7/15/21 217,629 226 Government National Mortgage Assoc., 8 1/2%, 5/15/22 471,118 489 Government National Mortgage Assoc., 8 1/2%, 10/15/22 14,153 15 Government National Mortgage Assoc., 8 1/2%, 9/15/22 735,166 763 Government National Mortgage Assoc., 8 1/2%, 10/15/22 735,954 764 Government National Mortgage Assoc., 8 1/2%, 1/15/23 261,644 272 Government National Mortgage Assoc., 8 1/2%, 2/15/23 227,620 236 Government National Mortgage Assoc., 8 1/2%, 12/15/22 505,459 525 U.S. Treasury, 7 1/8%, 2/15/23 28,000,000 29,558 U.S. Treasury, 6 1/4%, 8/15/23 20,700,000 19,575 U.S. Treasury, 7 1/2%, 11/15/24 8,500,000 9,414 U.S. Treasury, 7 5/8%, 2/15/25 18,000,000 20,306 U.S. Treasury, 6 7/8%, 10/31/96 25,000,000 25,321 U.S. Treasury, 4 3/4%, 8/31/98 11,250,000 10,867 U.S. Treasury, 7 1/4%, 8/15/04 26,000,000 27,763 U.S. Treasury, 7 3/4%, 11/30/99 30,000,000 32,016 U.S. Treasury, 7 1/2%, 1/31/97 30,000,000 30,750 ---------- Total 294,040 ---------- MARKET VALUE PAR (000'S) ----------- ---------- FINANCE COMPANIES (1.6%) Associates Corp. of North America, 6 7/8%, 1/15/97 $ 7,800,000 $ 7,875 Associates Corp. of North America, 5 1/4%, 9/1/98 7,000,000 6,789 Avco Financial Services Inc., 5 7/8%, 10/15/97 6,800,000 6,751 Ford Motor Credit Company, 6 1/4%, 2/26/98 300,000 300 Ford Motor Credit Company, 5 5/8%, 3/3/97 9,000,000 8,917 ---------- Total 30,632 ---------- FINANCIAL SERVICES (2.2%) Beneficial Corp, 6.86%, 11/19/97 7,800,000 7,892 Beneficial Corp, 9 3/8%, 7/28/97 5,000,000 5,293 Ford Motor Credit Grantor Trust, 7.3%, 10/15/99 5,643,730 5,733 General Motors Acceptance Corp., 8 3/8%, 5/1/97 3,000,000 3,098 General Motors Acceptance Corp., 5 1/2%, 10/15/02 10,751,000 11,765 General Motors Corporation, 8.8%, 3/1/21 6,500,000 7,406 ---------- Total 41,187 ---------- FOODS (0.6%) Nabisco Inc., 8%, 1/15/00 3,500,000 3,679 RJR Nabisco Inc., 8 5/8%, 12/1/02 8,000,000 8,408 ---------- Total 12,087 ---------- FOREIGN GOVERNMENT BONDS (0.4%) Province of Manitoba, 7 3/4%, 7/17/16 8,000,000 8,408 ---------- LEISURE RELATED (0.4%) Time Warner Entertainment Inc., 8 7/8%, 10/1/12 1,500,000 1,598 Time Warner Entertainment Inc., 7 1/4%, 9/1/08 6,300,000 6,002 ---------- Total 7,600 ---------- MEDIA (0.6%) Tele-Communications, Inc., 7 3/8%, 2/15/00 8,000,000 8,038 Tele-Communications, Inc., 7 7/8%, 8/1/13 3,000,000 2,775 ---------- Total 10,813 ---------- MUNICIPAL BONDS (0.2%) Government Trust-Greece, 8%, 5/15/98 3,310,176 3,388 ---------- OFFICE EQUIPMENT (0.4%) International Business Machines, 6 3/8%, 11/1/97 7,000,000 7,033 ---------- PRINTING & PUBLISHING (0.3%) News America Holdings Inc., 7 1/2%, 3/1/00 6,500,000 6,632 ----------
74 78 NORTHWESTERN MUTUAL SERIES FUND, INC. BALANCED PORTFOLIO SCHEDULE OF INVESTMENTS JUNE 30, 1995
MARKET VALUE PAR (000'S) ----------- ---------- BONDS (CONTINUED) TOBACCO (0.3%) Philip Morris Companies, 9 1/4%, 2/15/00 $ 2,100,000 $ 2,317 Philip Morris Companies, 7 1/4%, 1/15/03 3,000,000 3,052 ---------- Total 5,369 ---------- UTILITY-ELECTRIC (3.6%) Long Island Lighting Co., 7%, 3/1/04 10,000,000 8,922 Pacific Gas & Electric Co., 7 1/4%, 3/1/26 9,050,000 8,654 Pacific Gas & Electric Co., 5 3/8%, 8/1/98 5,000,000 4,851 Pacific Gas & Electric Co., 6 3/4%, 10/1/23 6,400,000 5,748 PECO Energy Company, 7 1/2%, 1/15/99 4,250,000 4,362 PECO Energy Company, 7 3/4%, 3/1/23 8,850,000 8,799 Public Service Electric & Gas, 6 1/8%, 8/1/02 9,000,000 8,675 Texas Utilities Electric Co., 9.39%, 11/21/96 250,000 260 Texas Utilities Electric Co., 7 7/8%, 3/1/23 7,750,000 7,803 UNICOM Corp., 6 1/2%, 4/15/00 10,600,000 10,503 ---------- Total 68,577 ---------- Total Bonds 651,848 ---------- MONEY MARKET INVESTMENTS (17.2%) BEVERAGES (1.0%) Anheuser-Busch Companies Inc., 5.90%, 7/14/95 $20,000,000 $ 19,957 ---------- CHEMICALS (0.5%) W.R. Grace & Co., 6 1/2%, 12/1/95 10,300,000 10,310 ---------- ELECTRICAL EQUIPMENT (1.1%) Emerson Electric Co, 5.93%, 7/17/95 20,000,000 19,947 ---------- FEDERAL GOVERNMENT AND AGENCIES (0.4%) +U.S. Treasury, 5.65%, 7/6/95 4,000,000 3,997 U.S. Treasury, 5.4%, 12/21/95 4,000,000 3,891 ---------- Total 7,888 ---------- MARKET VALUE PAR (000'S) ----------- ---------- FINANCE COMPANIES (2.7%) AT&T Capital Corp., 5.86%, 7/21/95 $25,700,000 $ 25,616 Ford Motor Credit Company, 5.94%, 7/12/95 25,000,000 24,955 ---------- Total 50,571 ---------- FINANCIAL SERVICES (3.0%) American General Finance Corp., 8 7/8%, 3/15/96 6,050,000 6,162 American Telephone & Telegraph, 5.92%, 7/14/95 25,000,000 24,946 General Electric Capital Corp., 5.95%, 7/7/95 15,500,000 15,485 Transamerica Financial Corp., 8.55%, 6/15/96 10,950,000 11,136 ---------- Total 57,729 ---------- FOODS (2.2%) Cargill Incorporated, 6.1%, 7/3/95 20,700,000 20,693 H.J. Heinz Company, 5.86%, 7/13/95 21,600,000 21,558 ---------- Total 42,251 ---------- RETAIL-GENERAL (1.1%) J.C. Penney Company, Inc., 5.92%, 7/24/95 20,000,000 19,925 ---------- SOAPS & TOILETRIES (3.4%) Colgate-Palmolive Co., 5.89%, 7/11/95 22,000,000 21,964 Colgate-Palmolive Co., 5.92%, 8/7/95 43,500,000 43,236 ---------- Total 65,200 ---------- TELECOMMUNICATIONS (0.4%) U S West Capital Funding Inc., 8.99%, 11/14/95 7,850,000 7,933 ---------- TOBACCO (1.4%) Philip Morris Companies, Inc., 5.94%, 7/14/95 26,700,000 26,643 ---------- Total Money Market Investments 328,354 ---------- Total Investments $1,905,307 =========
* Non-Income Producing + Partially held by the custodian in a segregated account as collateral for open financial futures positions. Information regarding open futures contracts as of June 30, 1995 is summarized below:
MARKET VALUE UNREALIZED NUMBER OF OF CONTRACTS EXPIRATION APPRECIATION ISSUER CONTRACTS (000'S) DATE (000'S) -------------------- --------- ------------ -------------- ------------ S&P 500 Stock Index 326 89,185 September 1995 1,393
The Accompanying Notes are an Integral Part of the Financial Statements (Prepared from Unaudited Figures) 75 79 --------------- THIS PAGE INTENTIONALLY LEFT BLANK --------------- 76 80 --------------- THIS PAGE INTENTIONALLY LEFT BLANK --------------- 81 --------------- THIS PAGE INTENTIONALLY LEFT BLANK --------------- 82 --------------- THIS PAGE INTENTIONALLY LEFT BLANK --------------- 83 NORTHWESTERN MUTUAL LIFE 720 East Wisconsin Avenue Milwaukee, Wisconsin 53202 TO: POLICYOWNER SERVICES DEPARTMENT - VARIABLE LIFE (VLI) FROM: ____________________________________________ GA: _________________________________ REQUEST TO TRANSFER ASSETS AND/OR CHANGE PREMIUM ALLOCATION VLI INSURED: ___________________________________ POLICY NUMBER*_____________________________ DATE ________________________________ BUSINESS NUMBER: GA#: _______________________________________ SA#: ______________________________________ HOME NUMBER:_________________________ / / 1. TRANSFER ASSETS AND/OR CHANGE PREMIUM ALLOCATION If you wish to transfer current assets only, fill in column A. If you wish to do an allocation of future premiums and dividends only, fill in column B. If you wish to transfer current assets and change the allocation of future premiums and dividends, fill in both columns A and B. THE MAXIMUM NUMBER OF DIVISIONS YOU MAY CHOOSE FOR BOTH COLUMNS IS 6. USE WHOLE PERCENTAGES ONLY. THE MINIMUM PERCENT FOR ANY INVESTMENT DIVISION IS 10%. A B DISTRIBUTION ALLOCATION OF OF CURRENT ASSETS FUTURE PREMIUMS/DIVIDENDS Select Bond Division .................................. __________________% __________________% International Equity Division ......................... __________________% __________________% Money Market Division ................................. __________________% __________________% Balanced Division ..................................... __________________% __________________% Index 500 Stock Division .............................. __________________% __________________% Aggressive Growth Stock Division ...................... __________________% __________________% High Yield Bond Division .............................. __________________% __________________% Growth Stock Division ................................. __________________% __________________% Growth and Income Stock Division ...................... __________________% __________________% TOTAL .............................................. _______________100% _______________100% NOTE: TWELVE ASSET TRANSFERS MAY BE MADE PER YEAR. ----------------------------------------------------------------------------------------------------------------------------------- / / 2. DOLLAR COST AVERAGING (VCL ONLY) To elect Dollar Cost Averaging, there must be current assets in the Money Market Division or between 10% and 100% of future premium must be allocated to the Money Market Division. / / Option One: Transfer in monthly installments so that the Money Market balance will be zero on the next policy anniversary date. / / Option Two: Specified amount to be transferred monthly of $_____________________. USE WHOLE PERCENTAGES ONLY. THERE MUST BE A MINIMUM OF 10% IN EACH DIVISION SELECTED. Select Bond Division .................................. __________________% International Equity Division ......................... __________________% Balanced Division ..................................... __________________% Index 500 Stock Division .............................. __________________% Aggressive Growth Stock Division ...................... __________________% High Yield Bond Division .............................. __________________% Growth Stock Division ................................. __________________% Growth and Income Stock Division ...................... __________________% TOTAL .............................................. _______________100% ----------------------------------------------------------------------------------------------------------------------------------- / / 3. TERMINATION OF DOLLAR COST AVERAGING (VCL ONLY) / / Immediately / / Next Policy Anniversary Any existing funds will remain in the Money Market Division unless you elect to transfer assets. Future premium and dividends will be allocated on the policy anniversary date according to your allocation instructions. NO MORE THAN SIX DIVISIONS TOTAL CAN BE SELECTED FOR DOLLAR COST AVERAGING. DISTRIBUTION OF CURRENT ASSETS AND FUTURE ALLOCATION OF FUTURE PREMIUMS/DIVIDENDS. ---------------------------------------------------------------------------------------------------------------------------------- *ADDITIONAL POLICY NUMBERS MAY BE ADDED IF THE TRANSACTIONS REQUESTED ARE IDENTICAL AND ALL POLICIES ARE OWNED BY THE SAME OWNER. SIGNATURES OF OWNER(S)/TRUSTEE REQUIRED (TITLE MUST BE INCLUDED): ______________________________________________________________ Date Signed ______________________________________ ______________________________________________________________ Date Signed ______________________________________
84 HOW TO SUBMIT FIRST CLASS MAIL Please mail form to Northwestern Mutual Life, 720 E. Wisconsin Ave., Milwaukee, WI 53202, ATTENTION POS: / / East / / West / / Central / / South FAX The completed/signed transfer/change of allocation form may be FAXed to the Home Office at the numbers provided. Fax telephone numbers listed by POS Regions are: East 414-299-4268 Central 414-299-4982 West 414-299-4268 South 414-299-3382 The original transfer form is NOT needed. Please keep for your records. See below for effective date. LINK NML Agents only: If timing is critical and FAX equipment is unavailable, the transfer/change of allocation request may be LINKed to the Home Office. You MUST have a completed, signed transfer form in your possession. The original signed transfer form must be received in the Home Office within five (5) working days from the date of the LINK. The effective date will be the date that the LINK is received in the Home Office. SIGNATURE INSTRUCTIONS SIGNATURE BY OWNER All Owners must sign their name as it appears in the policy contract. If the Owner's name has changed since the policy was issued, he/she should add his/her present surname to his/her name as it appears in the policy. SIGNATURE BY ASSIGNEE If the policy is assigned and the assignee is a bank, savings and loan association, other financial institution or corporation, an officer must sign with his/her title. Name of corporate entity must appear above the signature. SIGNATURE ON BEHALF OF CORPORATION If the policyowner is a corporation, an officer of the corporation must sign on behalf of the corporation with his/her title. The name of the corporation must appear above the signature. SIGNATURE ON BEHALF OF PARTNERSHIP If the posicy owner is a partnership, the name of the partnership must appear above the signature. A partner other than the insured must sign. SIGNATURE ON BEHALF OF TRUST If the policyowner is a Trust, the authorized Trustee must sign his/her name, followed by the word "Trustee." The name of the Trust must appear above the signature. EFFECTIVE DATE IF THIS SIGNED FORM IS RECEIVED AT NML'S HOME OFFICE PRIOR TO 3:00 P.M. CENTRAL TIME, THE TRANSFER OF ASSETS WILL BE EFFECTIVE THE DATE OF RECEIPT. IF RECEIVED AFTER 3:00 P.M. CENTRAL TIME, THE TRANSFER/ALLOCATION CHANGE WILL BE EFFECTIVE THE FOLLOWING BUSINESS DAY.