-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, Ke8rpNL+1Tpbaa8CHSO4EnFBJ01kkcHm/2s1NDov/PeN/fDsYBs9UyPqOWrTkxH0 CFoc9eaUpbM9Q9+dc536+Q== 0000950117-94-000209.txt : 19940906 0000950117-94-000209.hdr.sgml : 19940906 ACCESSION NUMBER: 0000950117-94-000209 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19940630 FILED AS OF DATE: 19940902 FILER: COMPANY DATA: COMPANY CONFORMED NAME: OPPENHEIMER VARIABLE ACCOUNT FUNDS CENTRAL INDEX KEY: 0000752737 STANDARD INDUSTRIAL CLASSIFICATION: 0000 IRS NUMBER: 840974272 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-04108 FILM NUMBER: 94547848 BUSINESS ADDRESS: STREET 1: 3410 S GALENA ST CITY: DENVER STATE: CO ZIP: 80231 BUSINESS PHONE: 3036713200 MAIL ADDRESS: STREET 2: 3410 S GALENA ST CITY: DENVER STATE: CO ZIP: 80231 FORMER COMPANY: FORMER CONFORMED NAME: OPPENHEIMER VARIABLE LIFE FUNDS DATE OF NAME CHANGE: 19860609 N-30D 1 OPPENHEIMER VARIABLE ACCOUNT FUNDS S.A.R. OPPENHEIMER VARIABLE ACCOUNT FUNDS SEMI-ANNUAL REPORT JUNE 30, 1994 STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Strategic Bond Fund
Face Market GOVERNMENT OBLIGATIONS -- 47.7% Amount Value -- Note 1 ------------ --------------- Argentina (Republic of): Bonds, Bonos de Consolidacion de Deudas, Series I, 4.25%, 4/1/01(4)(6) $ 483,182(2) $ 266,388 Past Due Interest Bonds, 4.1875%, 3/31/05 125,000 90,391 Bote, 3.30%, 4/1/00 470,444 402,943 Australia (Commonwealth of) Bonds, Series 98, 12.50%, 3/15/98 200,000 161,575 Brazil (Federal Republic of): Banco Central Do Brasil, 5.1875%, 10/15/99 15,714 13,436 Banco Estado Minas, 10%, Nts., 1/15/96 240,000 228,000 Banco Nacional Com Ext, 7.25% Debs., 2/2/04 400,000 324,734 Bonds, Banco Nacional De Desenvolvimento Economico e Social, 10.375%, 4/27/98(8) 50,000 47,000 Empresa Columbiana de Petroleos, Nts., 7.25%, 7/8/98(8) 150,000 144,000 Past Due Interest Bonds, 8.75%, 1/1/01(4) 198,000 137,858 Canada (Government of) Bonds, 9.25%, 10/01/96 200,000 146,721 Federal Home Loan Mortgage Corp., 8.95%, 3/15/20 58,000 59,534 Italy (Republic of): Treasury Bonds: 12%, 9/1/97 150,000,000 98,354 12.50%, 1/1/98 100,000,000 66,264 Treasury Bonds, Buoni Poliennali Del Tes: 12%, 5/1/97 125,000,000(2) 81,804 12%, 1/17/99 15,000,000(2) 9,840 12%, 5/18/99 150,000,000(2) 98,875 12.50%, 3/19/98 10,000,000(2) 6,633 United Mexican States: Gtd. Petroleos Mexicanos, 7.60%, 6/15/00 100,000 90,500 Petacalco Topolobampo TR, 8.125% Sr., 12/15/03(8) 250,000 211,875 Morocco (Kingdom of) Loan Participation Agreement: Tranche A, 4.50%, 1/1/09(4)(8) 300,000 209,888 Tranche B ,4.312%, 1/1/04(4)(8) 50,000 36,769 New South Wales Treasury Corp. Bonds, 9.25%, 2/18/03 100,000 69,594 Polish People's Republic Loan Participation Agreement: 5.0625%, 2/3/24 500,000(2) 182,500 7.9375%, 2/28/24 250,000(2) 67,268 Spain (Kingdom of): Bonds, 11.45%, 8/30/98(7) 84,500,000(2) 672,465 Gtd. Bonds, Bonos Y Obligacion Del Estado: 11.60%, 1/15/97 3,000,000(2) 23,528 U.S. Treasury Bonds, 7.875%, 2/15/21 500,000 507,656 U.S. Treasury Nts: 3.875%, 4/30/95 100,000 98,781 4.25%, 5/15/96 2,289,000 2,215,324 5.125%, 4/30/98 120,000 113,475
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Strategic Bond Fund
Face Market GOVERNMENT OBLIGATIONS (CONTINUED) Amount Value -- Note 1 ------------ --------------- United Kingdom Treasury Nts: 12%, 11/20/98 $ 10,000 $ 17,413 12.25%, 3/26/99 30,000 52,831 Treasury Corp. Victoria, 12.00%, 10/22/98 200,000 160,327 Venezuela (Republic of): 6.75% Debs., 9/20/95(8) 200,000 191,125 9.00% Sr., 5/27/96(8) 50,000 48,750 Bariven SA Sr. Nts., Gtd. by Petroleos de Venezuela, 10.75%, 7/8/97 300,000 191,618 --------------- Total Government Obligations (Cost $8,026,536) 7,546,037 CORPORATE BONDS AND NOTES -- 49.9% Aerospace/Defense -- 2.4% GPA Holland, 8.625%, 1/15/99(8) 250,000 198,462 Talley Industries, Inc., 0%/12.25% Sr. Disc. Debs., 10/15/05(3) 300,000 177,000 --------------- 375,462 Chemicals -- 5.7% Atlantis Group, Inc., 11% Sr. Nts., 2/15/03 130,000 131,300 Kaiser Aluminum & Chemical Corp., 12.75% Sr. Sub. Nts., 2/1/03 200,000 204,000 PT Inti Indorayon Utama, 9.125% Sr. Nts., 10/15/00 100,000 86,500 Rexene Corp., 10% Sub. Nts., 11/15/02 52,000 48,216 Rexene Corp., 9% Sr. Nts., 11/15/99 200,000 195,000 Stone Container Corp., 9.875% Sr. Nts., 2/01/01 250,000 233,750 --------------- 898,766 Communication -- 8.8% American Telecasting, Inc., 12.5%, 6/15/99 200,000 105,000 Ackerley Communications, Inc., 10.75% Sr. Sec. Nts., Series A, 10/1/03 200,000 199,000 Cablevision Systems Corp., 10.75% Sr. Sub. Debs., 4/1/04 100,000 101,750 Celcaribe SA, 0/13.50% Sr. Sec. Nts., 3/15/04 CICS INV(3)(8) 150,000 92,290 Echostar Communications Corp., 12.875%, Sr. Sec. Disc. Nts., 6/1/04 250,000 133,125 Imax Corp., 7% Sr. Nts., 3/1/01(4)(8) 200,000 183,500 Lamar Advertising Co., 11% Sr. Sec. Nts., 5/15/03 150,000 148,500 Panamsat LP/Panamsat Capital Corp., 9.75% Sr. Sec. Nts., 8/1/00 150,000 149,250 USA Mobile Communication, 9.50% Sr. Nts., 2/1/04 300,000 274,500 --------------- 1,386,915 Consumer Cyclicals -- 2.5% NewCity Communications, Inc., 11.375%, Sr. Sub. Notes., 11/1/03 200,000 206,500 Penda Industries, 10.75% Sr. Nts., 3/1/04(8) 200,000 196,000 --------------- 402,500
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Strategic Bond Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 ------------ --------------- Consumer Goods: Amstar Corp., 11.375% Sr. Sub. Nts., 2/15/97 $ 200,000 $ 199,000 Manufacturing -- 4.2% Harman International Industries, Inc., 12% Sr. Sub. Nts., 8/1/02 150,000 162,750 MacAndrews & Forbes Holdings, Inc., 13% Sub. Debs., 3/1/99 175,000 174,125 Revlon Consumer Products Corp., 9.375% Sr. Nts., 4/1/01 150,000 129,000 --------------- 664,875 Consumer Non-Cyclicals -- 2.0% Alco Health Distribution Corp., 11.25% Sr. Debs., 7/15/05(6) 157,000 155,872 Di Giorgio Corp., 12% Sr. Nts., 2/15/03 150,000 154,500 --------------- 310,372 Distribution -- 0.8% Thrifty Payless Holdings, 12.25% Sr. Sub. Nts., 4/15/04 125,000 131,875 --------------- Energy/Coal -- 0.9% Maxus Energy Corp., 9.875% Nts., 10/15/02 150,000 144,375 --------------- 144,375 Financial -- 4.5% Banco Do Nordeste Brasil, 9.0% Sr. Unsec. Debs., 11/12/96(8) 100,000 95,000 Card Establishment Services, Inc., 10% Sr. Sub. Nts., Series B, 10/1/03 300,000 286,500 Morgan Guaranty Trust Co. of New York (Singapore Branch) CD, 12.15%, 2/3/95 211,325,000 97,389 Tribasa Toll Road Trust, 10.50% Nts., Series 1993-A, 12/1/11(8) 250,000 225,625 --------------- 704,514 General Industrial -- 5.4% Farm Fresh, Inc., 12.25% Sr. Nts., 10/1/00 150,000 147,750 Polymer Group, 12.25%, 7/15/02(8) 200,000 200,500 Snydergeneral Corp., 14.25% Sr. Sub. Debs., 11/15/00 250,000 266,250 Tiphook Financial Corp., 10.75% Sr. Nts., 11/1/02 200,000 157,000 Transportacion Maritima Mexicana SA, 8.50% Nts., 10/15/00 100,000 87,750 --------------- 859,250 Leisure/Entertainment -- 4.1% Casino Magic Finance Corp., 11.50% First Mtg. Nts., 10/15/01 200,000 185,000 Kloster Cruise Ltd., 13% Sr. Sec. Nts., 5/1/03 200,000 208,500 Marvel (Parent) Holdings, Inc., 0% Sr. Sec. Disc. Nts., Series B, 4/15/98 200,000 124,000 Station Casinos, Inc., 9.625% Sr. Sub. Nts., 6/1/03 150,000 137,250 --------------- 654,750
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Strategic Bond Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 ------------ --------------- Real Estate -- 2.2% NVR, Inc., 11% Gtd. Sr. Nts., 4/15/03 $ 150,000 $ 147,750 Saul (B.F.) Real Estate, 11.625% Sr. Nts., 4/1/02 200,000 196,000 --------------- 343,750 Retail -- 0.8% R.H. Macy & Co., Inc., 14.50% Sr. Sub. Debs., 10/15/98 200,000 125,000 --------------- 125,000 Utilities -- 5.6% Beaver Valley Funding Corp., 9.% Debs., 6/1/17 200,000 168,167 First PV Funding Corp., Public Service of New Mexico: 10.15% Debs., 1/15/16 200,000 189,682 10.30% Debs., 1/15/14 300,000 287,410 Subic Power Corp., 9.50% Sr. Sec. Nts., Series A, 12/28/08(8) 250,000 233,750 --------------- 879,009 Total Non-Convertible Corporate Bonds and Notes (Cost $8,051,067) 8,035,724 INDEXED INSTRUMENTS -- 2.9% Citibank CD, 16.00%, 5/3/95(5) 64,500,000(2) 154,311 Financiera Energetica Nacional Nts., 6.625%, 2/13/96(5) 150,000 144,938 Lehman Brothers, S&P 500 Index Linked Nts. 4.5626%, 8/9/94(8) 7,000 9,525 Swiss Bank Corporation Investment Banking, Inc., 10% CD Sterling Rate Linked Nts., 7/3/95 160,000 158,320 --------------- Total Derivative Securities (Cost $462,528) 467,094 RIGHTS, WARRANTS AND CERTIFICATES -- 0.0% UNITS ------------ Mexican Value Recov Rights(1) 250,000 0 Terex Corp., Rts., 6/3/94(1)(8) 36 51 --------------- Total Rights, Warrants and Certificates (Cost $55) 51 PREFERRED STOCKS -- 2.4% SHARES ------------ AMR Corp., $3.00 Cum. Cv. Depositary Shares, Series A(8) 2,000 88,500 Glendale Federal Bank, F.S.B., $6.375 Non-Cum. Cv. Series E 5,000 141,875 Prime Retail, Inc., $19.00 Cv., Series B 6,000 147,750 --------------- Total Preferred Stocks (Cost $381,925) 378,125
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Strategic Bond Fund
Market COMMON STOCKS -- 0.2% SHARES Value -- Note 1 ------------ --------------- Celcaribe SA(1)(8) 24,390 $ 29,959 --------------- Total Common Stocks (Cost $29,024) 29,959 Total Investments, at Value (Cost $16,951,135) 103.1% 16,302,679 Liabilities in Excess of Other Assets (3.1) (496,091) ------------ --------------- Net Assets 100.0% $15,806,588 ------------ --------------- ------------ ---------------
(1) Non-income producing security. (2) Face amount reported in foreign currency. (3) Represents a zero coupon bond that converts to a fixed rate of interest at a designated future date. (4) Represents the current interest rate for a variable security. (5) Indexed instrument for which the prinicipal amount due at maturity is affected by the relative value of a foreign security. (6) Interest is paid in kind. (7) Securities with an aggregate market value of $672,465 are segregated to collateralize outstanding forward foreign currency exchange contracts. See Note 5 of Notes to Financial Statements. (8) The Fund owns securities purchased in private placement transactions, without registration under the Securities Act of 1933 (the Act). The securities are valued under methods approved by the Board of Trustees as reflecting fair value. The fund intends to invest no more than 10% of its net assets (determined at the time of purchase) in restricted and illiquid securities, excluding securities eligible for resale pursuant to Rule 144A of the Act that are determined to be liquid by the Board of Trustees or by the Manager under Board-approved guidelines. Restricted and illiquid securities amount to $454,644 or 2.88% of the Fund's net assets at June 30, 1994.
Valuation Per Acquisition Cost Unit as of Security Date Per Unit June 30, 1994 - ----------------------------------------------------------------------------------- ---------------- -------- ------------- AMR Corp., $3.00 Cum. Cv. Depositary Shares, Series A(9) 1/31/94 $ 53.75 $ 44.25 Banco Do Nordeste Brasil, 9.0% Sr. Unsec. Debs., 11/12/96(9) 4/19/94 $ 92.58 $ 95.00 Bonds, Banco Nacional De Desenvolvimento Economico e Social: 10.375%, 4/27/98(9) 5/03/94 $ 97.10 $ 94.00 Celcaribe SA, 0/13.50% Sr. Sec. Nts., 3/15/04 CICS INV(9) 5/17/94 $ 60.78 $ 61.53 Celcaribe SA(9) 5/17/94 $ 1.19 $ 1.23 Empresa Columbiana de Petroleos, Nts., 7.25%, 7/8/98(9) 4/25/94 $ 93.25 $ 96.00 GPA Holland, 8.625%, 1/15/99 1/10/94 $ 78.13 $ 79.38 Imax Corp., 7% Sr. Nts., 3/1/01(9) 2/22/94 $ 92.39 $ 91.75 Lehman Brothers, S&P 500 Index Linked Nts. 4.5626%, 8/9/94 5/06/94 $ 1.55 $ 1.36 Morocco (Kingdom of) Loan Participation Agreement: Tranche A, 4.5% 1/1/09 2/23/94-4/19/94 $ 78.83 $ 69.96 Tranche B, 4.312% 1/1/04 5/26/94 $ 80.00 $ 73.54 Penda Industries, 10.75% Sr. Nts., 3/1/04(9) 4/11/94 $ 97.75 $ 98.00
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Strategic Bond Fund
Valuation Per Acquisition Cost Unit as of Security Date Per Unit June 30, 1994 - ----------------------------------------------------------------------------------- ---------------- -------- ------------- Petacalco Topolobampo TR, 8.125% Sr., 12/15/03(9) 5/18/94 $ 87.38 $ 84.75 Polymer Group, 12.25%, 7/15/02(9) 6/17/94 $ 100.00 $100.25 Subic Power Corp., 9.50% Sr. Sec. Nts., Series A, 12/28/08(9) 12/20/93 $ 99.93 $ 93.50 Terex Corp., Rts., 6/3/94(9) 4/05/94 $ 1.52 $ 1.50 Tribasa Toll Road Trust, 10.50% Nts., Series 1993-A 12/1/11(9) 11/18/93 $ 100.00 $ 90.25 Venezuela (Republic of): 6.75% Debs., 9/20/95(9) 4/6/94-5/19/94 $ 95.14 $ 95.56 9.00% Sr., 5/27/96(9) 5/19/94 $ 95.90 $ 97.50
9. Transferable under Rule 144A of the Act. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Global Securities Fund
Face Market CORPORATE BONDS AND NOTES -- 1.4% Amount Value -- Note 1 ------------ --------------- Industrial Credit and Investment Corp. India Ltd., 2.50% Cv. Debs., 4/30/00 (4) 1,375,000 $ 1,189,375 Jindal Strips Ltd., 4.25% Cv. Debs., 3/31/99 (4) 300,000 345,000 Mediobanca, 4.25% Debs., 1/1/00 497,120,000(3) 315,597 Scici Ltd.: 3.50% Cv. Bonds, 4/1/04 (4) 375,000 474,141 3.50% Cv. Bonds, 4/1/04 285,000 354,825 --------------- Total Corporate Bonds and Notes (Cost $2,871,169) 2,678,938 --------------- RIGHTS, WARRANTS AND CERTIFICATES -- 0.4% Units ------------ China Aerospace International Holdings Ltd. Wts., Exp. 12/95 (2) 480,000 37,261 Ciba-Geigy AG Wts. Exp. 6/95 (2) 100 598 Eurotunnel SA Wts., Exp. 10/95 (2) 30,000 6,430 La Rinascente SpA di Risp (2) 62,140 37,879 La Rinascente SpA, Ordinary (2) 62,140 75,661 RWE AG Wts., Exp. 3/96 (2) 2,500 241,918 Societa Finanziora Telefonica SPA Wts., Exp. 9/94 (2) 30,000 409,393 --------------- Total Rights, Warrants and Certificates (Cost $528,320) 809,140 --------------- PREFERRED STOCKS -- 2.1% Shares ------------ Marschollek, Lautenschlaeger und Partner AG (Cost $3,418,291) 6,500 4,063,909 --------------- COMMON STOCKS -- 94.9% BASIC MATERIALS -- 12.8% Chemicals: Specialty -- 1.4% Indo Gulf Fertilizer, GDR (1)(2)(4) 147,000 524,849 Minerals Technologies, Inc. 40,000 1,160,000 PT Argha Karya Prima Industry (1)(2) 700,000 1,048,433 --------------- 2,733,282 --------------- Metals: Miscellaneous -- 1.5% Capex SA-GDR (1)(2)(4) 124,000 2,464,500 Hindalco Industries Ltd., GDR (1)(2) 12,000 438,000 --------------- 2,902,500 --------------- Paper and Forest Products -- 6.1% Empresa Nacional de Cellulosas SA (1)(2) 100,000 1,838,895 Enso-Gutzeit Oy, Cl. A Free (1) 40,000 301,712 Forsheda B Free (1)(2) 100,000 1,431,456 Hansol Paper (1)(2) 25,000 1,232,883 Indah Kiat (1)(2) 600,000 760,402 Mo och Domsjo AB, Series B Free (1)(2) 75,000 2,957,257
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- BASIC MATERIALS (CONTINUED) Paper and Forest Products (Continued) PT Sumalindo Lestari Jaya (1)(2) 191,000 756,992 PT Sumalindo Lestari Jaya, Ordinary (1)(2) 159,000 630,166 Rottneros Bruks AB, Free (1)(2) 2,000,000 1,938,972 --------------- 11,848,735 --------------- Steel -- 3.8% China Steel Corp., GDR (1)(2)(4) 87,200 1,569,600 Dofasco, Inc. 120,000 1,617,766 Korea Iron & Steel Works (1)(2) 50,000 1,614,859 Pohang Iron & Steel Co. Ltd. (1) 5,000 556,660 Ugine SA 34,600 2,053,627 --------------- 7,412,512 --------------- CONSUMER CYCLICALS -- 14.8% Automobiles -- 5.2% CIADEA SA (1)(2) 126,620 1,395,447 CONSORCIO G GRUPO DINA SA, Sponsored ADR (1) 20,000 210,000 Fiat SpA di Risp. (1) 768,000 1,833,825 Fiat SpA, Preference 1,000 2,486 Mahindra & Mahindra Ltd., GDR (1)(2) 120,000 1,444,092 Mayne Nickless Ltd. (1) 85,000 491,874 Nissan Motor Co. (1) 250,000 2,217,619 Volvo AB, Series B Free (1) 28,500 2,484,877 --------------- 10,080,220 --------------- Auto Parts: After Market -- 1.1% Epeda-Bertrand Faure SA (1) 14,000 2,128,662 --------------- Broadcast Media -- 0.2% Television Broadcast (1) 100,000 394,605 --------------- Household Furnishings and Appliances -- 3.4% Battery Technologies, Inc. (2) 90,000 293,152 Electrolux AB, Series B Free (1) 40,000 1,837,469 Moulinex Espana 2,500 78,837 Philips Gloeilamp NV (1) 150,000 4,319,402 --------------- 6,528,860 --------------- Publishing -- 0.6% Roto Smeets de Boer (1) 60,000 1,260,526 --------------- Retail: Specialty -- 2.1% Vereinigte Baubeschlag (2) 7,000 4,057,626 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- CONSUMER CYCLICALS (CONTINUED) Retail Stores: General Merchandise Modelo Supermercados SA (2) 20,000 560,350 Chains -- 1.2% Rinascente SpA di Risp 112,000 403,272 Rinascente SpA, Ordinary (1) 223,700 1,413,094 --------------- 2,376,716 --------------- Textiles: Apparel Manufacturers1.0% Indian Rayon and Industries Ltd., GDR (2)(4) 30,000 640,758 Pang Rim Spinning Co. (1)(2) 20,000 1,267,043 --------------- 1,907,801 --------------- CONSUMER NON-CYCLICALS -- 7.3% Beverages: Alcoholic -- 0.2% Jinro Ltd. (2) 19,000 469,675 --------------- Drugs -- 0.8% Astra AB Free, Series A 50,000 1,008,526 Pharmavit (2) 40,000 485,000 --------------- 1,493,526 --------------- Food Processing -- 1.2% Grupo Herdez SA 700,000 836,933 Molinos Rio de la Plata SA (2) 75,000 984,350 PT Sinar Mass Agro Resources & Technology (2) 68,000 97,147 United Foods Co. Ltd. 300,600 456,197 --------------- 2,374,627 --------------- Healthcare: Miscellaneous -- 1.6% Genzyme Corp. (1)(2) 60,000 1,567,500 Plant Genetics Systems International NV (2)(4) 9,104 98,323 Takare PLC (1) 450,000 1,479,445 --------------- 3,145,268 --------------- Hospital Management -- 0.9% Community Psychiatric Centers 100,000 1,187,500 Rhoen Klinikum AG 120 85,582 Rhoen Klinikum AG, Preference 660 373,245 --------------- 1,646,327 --------------- Housewares -- 0.4% Srithai Superware Co. Ltd. (2) 105,100 839,484 --------------- Medical Products -- 0.3% Elekta Instrument AB, Series B Free (2) 29,700 591,335 --------------- Retail Stores: Food Chains -- 1.9% Carulla SA (2) 107,000 1,270,625 President Enterprises Corp. (2)(4) 37,070 546,783 PT Fast Food Indonesia (2) 105,000 290,335 Spar Handels AG, Non-Vtg. 6,500 1,490,781 --------------- 3,598,524 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- ENERGY -- 6.0% Oil: Integrated International -- 2.2% Elf Gabon SA 8,000 1,553,447 OeMV AG (2) 13,500 1,063,045 YPF Sociedad Anonima, Sponsored ADR 47,300 1,129,288 YuKong Ltd. 11,605 493,018 YuKong Ltd., New 698 29,653 --------------- 4,268,451 --------------- Oil and Gas Drilling -- 3.4% Compania Naviera Perez SA (2) 250,000 1,194,745 Morgan Hydrocarbons, Inc. (2) 300,000 1,194,324 Petroleum Geo-Services AS 172,000 2,526,347 Transocean Drilling AS (2) 279,960 1,652,892 --------------- 6,568,308 --------------- Oil Well Services and Equipment -- 0.4% Coflexip SA, Sponsored ADR (2) 25,000 512,500 TH Loy Industries Berhad (2) 127,500 328,198 --------------- 840,698 --------------- FINANCIAL -- 11.2% Financial Services: Miscellaneous -- 3.2% Central Investment & Finance Corp. (2) 22,320 443,614 Coryo Securities Corp. 20,000 387,566 Hyundai Securities Co. 200 5,739 Industrial Finance Corp. (2) 540,000 1,099,876 Instituto Mobilare Italiano 231,900 1,564,505 KLB Securities (2) 11,988 238,264 Sang Up Securities Co. Ltd. (2) 15,000 419,242 Sangyoug Investment & Securities (2) 20,600 593,672 Sturge Holdings PLC 480,000 400,075 Taipei Fund, Cl. B, IDR (2)(4) 8 604,960 Taiwan Fund, Inc. 14,800 397,750 --------------- 6,155,263 --------------- Insurance: Multi-Line -- 0.4% Union Des Assurances Fed. (2) 7,500 785,883 --------------- Insurance: Property and Casualty -- 1.1% Reinsurance Australia Corp. (2) 1,474,100 2,046,399 --------------- Major Banks: Other -- 6.5% Akbank T.A.S. (2) 5,158,752 2,435,788 Banco Frances del Rio de la Plata SA (2) 109,326 815,390 Banco de Galicia, Series B 132,500 889,421 Grupo Financiero Banamex Accival SA, Class C 250,000 1,631,061 Grupo Financiero Bancomer, Series C 504,000 568,371 Korea First Bank (2) 80,000 1,182,573 Kwangju Bank (2) 100,000 1,163,941 PT Panin Bank (4) 700,000 1,161,341
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- FINANCIAL (CONTINUED) Major Banks: Other (Continued) Shin Han Bank Ltd. 18,050 347,536 Skandinaviska Enskilda Banken Group (2) 300,000 1,780,211 Turkiye Garanti Bankasi AS, Sponsored ADR (4) 460,000 721,510 --------------- 12,697,143 --------------- INDUSTRIAL -- 30.9% Building Materials Group -- 0.9% Ceramicas Carabobo CA, Sponsored ADR, Cl. B (2) 120,000 110,064 Internacional de Ceramica SA, Series B (2) 25,000 137,865 Internacional de Ceramica SA, Series B ADR (2) 10,000 275,730 Sung Shin Cement (2) 28,000 1,217,355 --------------- 1,741,014 --------------- Commercial Services -- 2.4% BIS SA (2) 50,000 2,990,569 Eurotunnel SA, ESA-Unites (2) 224,000 913,017 PT Intraco Penta (2) 100,000 162,910 PT Wicaksana (2) 375,000 561,661 --------------- 4,628,157 --------------- Conglomerates -- 5.4% Catena AB, Series A Free (2) 425,000 3,871,438 Commercial del Plata (2) 37,700 221,716 Grupo Carso SA, ADS (2)(4) 80,000 1,443,008 Hutchison Whampoa Ltd. 250,000 1,026,943 Jardine Matheson Holdings Ltd. 443,400 3,413,306 Nederlandse Participatie Maatschappij NV (2) 20,000 593,848 --------------- 10,570,259 --------------- Containers: Metal and Glass -- 0.6% M C Packaging Corp Ltd. 3,000,000 1,077,077 --------------- Electrical Equipment -- 0.8% PT Kabelmetal Indonesia 800,000 1,179,775 PT Supreme Cable Manufacturing Corp. 94,500 435,503 --------------- 1,615,278 --------------- Engineering and Construction -- 3.3% BAU Holdings AF, Preference (2) 15,000 1,481,479 BAU Holdings AG (2) 500 50,053 Babcock International Group PLC (2) 4,400,000 2,020,442 Cubiertas Y Mzov SA Compania General 10,000 763,673 Leighton Holdings Ltd. 627,803 963,280 SNC Lavalin Group 44,800 486,415 VA Technologie AG (2)(4) 8,100 666,062 --------------- 6,431,404 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- INDUSTRIAL (CONTINUED) Machinery: Diversified -- 4.7% Bobst Bearers AG 2,306 2,981,749 Maschinenfabrik Berthold Hermle AG (2) 5,101 673,104 Powerscreen International PLC 430,000 1,792,004 Tampella AB (2) 505,000 1,552,212 Tampella AB, Free (2) 133,333 409,824 Traub AG (2) 12,000 1,696,568 --------------- 9,105,461 --------------- Manufacturing: Diversified Industrials -- 3.4% Aalberts Industries NV 43,800 1,852,637 Autoliv AB (2) 125,000 2,830,379 Valmet Corp., Cl. A (2) 76,000 1,232,492 Vitro Sociedad Anonima, ADR 40,000 760,000 --------------- 6,675,508 --------------- Transportation: Miscellaneous -- 6.4% Brambles Industries Ltd. (2) 200,000 1,905,537 Kvaerner Industrier AS 25,132 1,013,327 Lisnave-Estal Naval Lisboa (2) 291,250 1,154,311 Malaysian International Shipping Corp. 400,000 1,390,783 Royal Nedlloyd Groep NV (2) 85,000 3,004,814 Singmarine Industries Ltd. 437,500 918,009 Unitor Ships Service AS (2) 100,000 1,713,608 Westmont Berhad 200,000 1,283,208 --------------- 12,383,597 --------------- Truckers -- 3.0% ASG AB, Series B Free 35,000 537,447 Aktiengesellschaft fuer Industrie und Verkehrswesen AG 5,000 1,759,404 Danzas Holding AG 1,400 1,695,152 Koninklijke Frans Maas Groep NV 61,300 1,820,144 --------------- 5,812,147 --------------- TECHNOLOGY -- 6.6% Aerospace/Defense -- 0.0% China Aerospace International Holdings Ltd. (2) 400 77 --------------- Computer Software and Services -- 1.1% Sap AG, Preference 650 1,304,944 Sligos SA 10,500 843,835 --------------- 2,148,779 --------------- Electronics: Semiconducters -- 2.3% Austria Mikro Systems AG 60,000 3,448,293 Samsung Electronics Co. Ltd., Sponsored GDR (2)(4) 18,000 1,057,500 --------------- 4,505,793 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- TECHNOLOGY (CONTINUED) Telecommunications -- 3.2% Airtouch Communications, Inc. (2) 85,000 2,008,125 Grupo Iusacell SA (2) 3,483 91,864 Grupo Iusacell SA, ADR (2) 8,127 211,302 International CableTel, Inc. 6,700 140,700 Millicom International Cellular SA (2) 121,678 2,524,819 Netas Telekomunik (2) 1,320,000 623,259 Technology Resources Industries (2) 140,000 570,144 --------------- 6,170,213 --------------- UTILITIES -- 5.3% Electric Companies -- 2.3% Calcutta Electric Supply (2) 15,000 757,500 Central Puerto SA, ADR (4) 20,000 644,210 Enersis SA, ADR 25,000 528,125 Korea Electric Power Co. (2) 25,000 832,273 Tata Electric Cos. (2)(4) 500 225,000 Veba AG (2) 5,000 1,572,467 --------------- 4,559,575 --------------- Telephone -- 3.0% Societa Finanziora Telefonica SPA 115,000 352,689 Societa Italiana per L'Eserrcizio delle Telecomunicazioni SPA 900,000 2,239,978 Telefonica de Espana, ADS 225,000 3,026,198 Telefonos de Mexico SA, Sponsored ADR 3,000 167,625 --------------- 5,786,490 --------------- Total Common Stocks (Cost $186,166,458) 184,363,785 Total Investments, at Value (Cost $192,984,238) 98.8% 191,915,772 Other Assets Net of Liabilities 1.2 2,400,967 ------------ --------------- Net Assets 100.0% $ 194,316,739 ------------ --------------- ------------ ---------------
(1) Securities with an aggregate market value of $45,922,683 are segregated to collateralize outstanding forward foreign currency exchange contracts. See Note 5 of Notes to Financial Statements. (2) Non-income producing security. (3) Face amount is reported in foreign currency. (4) The Fund owns securities purchased in private placement transactions, without registration under the Securities Act of 1933 (the Act). The securities are valued under methods approved by the Board of Trustees as reflecting fair value. The Fund intends to invest no more than 10% of its net assets (determined at the time of purchase) in restricted and illiquid securities, excluding securities eligible for resale pursuant to Rule 144A of the Act that are determined to be liquid by The Board of Trustees or by the Manager under Board-approved guidelines. Restricted and illiquid securities amount to $703,283, or 0.36% of the Fund's net assets, at June 30, 1994. STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Global Securities Fund
Valuation Cost Per Unit as of Security Acquisition Date Per Unit June 30, 1994 - ---------------------------------------------------------------------------- --------------------- ---------- -------------- Capex SA-GDR(5) 6/13/94 $ 20.00 $ 123.23 Central Puerto SA, ADR(5) 11/23/93 $ 26.50 $ 32.21 China Steel Corp., GDR(5) 3/29/94-6/8/94 $ 20.53 $ 18.00 Grupo Carso SA, ADS(5) 1/26/94-6/17/94 $ 18.03 $ 18.04 Indian Rayon and Industries Ltd., GDR(5) 1/28/94 $ 22.51 $ 21.36 Indo Gulf Fertilizer, GDR(5) 1/17/94 $ 4.51 $ 3.57 Industrial Credit and Investment Corp. India Ltd., 2.50% Cv. Debs., 4/30/00(5) 2/3/94 $ 1.08 $ .87 Jindal Strips Ltd., 4.25% Cv. Debs., 3/31/99(5) 11/9/93 $ 100.00 $ 115.00 Plant Genetics Systems International NV 5/27/92 $ 11.18 $ 10.80 President Enterprises Corp.(5) 2/7/94 $ 25.25 $ 14.75 PT Panin Bank(5) 7/28/94-4/14/94 $ 1.30 $ 1.66 Samsung Electronics Co., Ltd., Sponsored GDR(5) 11/4/93-5/31/94 $ 48.25 $ 58.75 Scici Ltd., 3.50% Cv. Bonds, 4/1/04(5) 10/19/93 $ 100.00 $ 1.26 Taipei Fund, Cl. B, IDR. 12/29/93 $80,000.00 $ 75,620.00 Tata Electric Cos.(5) 2/22/94 $ 710.00 $ 450.00 Turkiye Garanti Bankasi AS, Sponsored ADR(5) 10/29/93-6/9/94 $ 2.23 $ 1.57 VA Technologie AG(5) 5/19/94 $ 77.29 $ 82.23
5. Transferable under Rule 144A of the Act. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Growth Fund
Face Market REPURCHASE AGREEMENTS -- 12.2% Amount Value -- Note 1 ------------ --------------- Repurchase agreement with The First Boston Corp., 4.125%, dated 6/30/94, to be repurchased at $7,100,814 on 7/1/94, collateralized by U.S. Treasury Nts., 4%, 1/31/96, with a value of $7,250,331 (Cost $7,100,000) $ 7,100,000 $ 7,100,000 --------------- COMMON STOCKS -- 87.7% Shares ------------ BASIC MATERIALS -- 1.3% Chemicals -- 0.9% Great Lakes Chemical Corp. 10,000 541,250 --------------- Chemicals: Diversified -- 0.4% FMC Corp. (1) 4,000 216,500 --------------- CONSUMER CYCLICALS -- 13.7% Auto Parts: After Market -- 1.0% Goodyear Tire & Rubber Co. 15,000 540,000 --------------- Automobiles -- 1.0% Harley-Davidson, Inc. 13,000 594,750 --------------- Broadcast Media -- 1.1% Multimedia, Inc. (1) 12,000 348,000 Tele-Communications, Inc., Cl. A (1) 15,000 305,625 --------------- 653,625 --------------- Entertainment -- 1.0% King World Productions, Inc. (1) 14,000 558,250 --------------- Leisure Time -- 1.4 Acclaim Entertainment, Inc. (1) 25,000 405,470 Caesar's World, Inc. (1) 7,000 253,750 International Game Technology 8,000 151,000 --------------- 810,220 --------------- Publishing -- 0.1% Marvel Entertainment Group, Inc. (1) 4,000 73,000 --------------- Restaurants -- 1.2% McDonald's Corp. 9,000 259,875 Shoney's, Inc. (1) 28,000 427,000 --------------- 686,875 --------------- Retail: Specialty -- 3.3% Blockbuster Entertainment Corp. 16,000 414,000 Circuit City Stores, Inc. 10,000 205,000 CML Group, Inc. 17,000 199,750 Home Depot, Inc. (The) 14,000 589,750
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Growth Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- CONSUMER CYCLICALS (CONTINUED) Retail: Specialty (Continued) Intelligent Electronics, Inc. 11,000 $ 166,375 Michaels Stores, Inc. (1) 10,000 336,250 --------------- 1,911,125 --------------- Retail: Specialty Apparel -- 0.7% Gap, Inc. (The) 9,000 384,750 --------------- Retail Stores: Department Stores -- 0.9% May Department Stores Co. 14,000 549,500 --------------- Retail Stores: General Merchandise Chains -- 0.9% Wal-Mart Stores, Inc. 21,000 509,250 --------------- Textiles: Apparel Manufacturers -- 0.5% Fruit of the Loom, Inc., Cl. A (1) 12,000 313,500 --------------- Toys -- 0.6% Mattel, Inc. 13,750 348,906 --------------- CONSUMER NON-CYCLICALS -- 20.6% Beverages: Soft Drinks -- 2.5% Coca-Cola Co. (The) 23,000 934,375 PepsiCo, Inc. 16,000 490,000 --------------- 1,424,375 --------------- Drugs -- 3.5% Forest Laboratories, Inc. (1) 6,500 282,750 Merck & Co., Inc. 7,500 223,125 Pfizer, Inc. 13,000 820,625 Schering-Plough Corp. 9,000 551,250 Upjohn Co. 6,000 174,750 --------------- 2,052,500 --------------- Food Processing -- 0.8% ConAgra, Inc. 4,000 122,000 General Mills, Inc. 3,000 163,875 Heinz (H.J.) Co. 6,000 191,250 --------------- 477,125 --------------- Healthcare: Diversified -- 3.9% Abbott Laboratories 25,000 725,000 American Home Products Corp. 4,500 255,375 Bristol-Myers Squibb Co. 4,500 241,312 IVAX Corp. 10,500 171,938 Johnson & Johnson 6,000 257,250 Smithkline Beecham PLC ADR Equity Unit 4,000 112,500
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Growth Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- CONSUMER NON-CYCLICALS (CONTINUED) Healthcare: Diversified (Continued) Warner-Lambert Co. 8,000 $ 528,000 --------------- 2,291,375 --------------- Healthcare: Miscellaneous -- 4.0% Amgen, Inc. (1) 9,000 385,875 National Health Laboratories, Inc. 21,000 254,625 United Healthcare Corp. 22,000 1,009,250 U.S. Healthcare, Inc. 18,000 666,000 --------------- 2,315,750 --------------- Hospital Management -- 1.5% Columbia/HCA Healthcare Corp. 12,000 450,000 HealthCare COMPARE Corp. (1) 16,000 284,000 Healthtrust, Inc.-The Hospital Co. (1) 4,000 111,000 --------------- 845,000 --------------- Household Products -- 1.0% Colgate-Palmolive Co. 6,000 312,000 Procter & Gamble Co. 5,500 293,562 --------------- 605,562 --------------- Medical Products -- 2.2% Cordis Corp. (1) 10,000 388,125 Medtronic, Inc. 9,000 721,125 St. Jude Medical, Inc. 5,000 162,500 --------------- 1,271,750 --------------- Tobacco -- 1.2% Philip Morris Cos., Inc. 10,000 515,000 UST, Inc. 6,000 162,750 --------------- 677,750 --------------- ENERGY -- 2.4% Coal -- 0.5% Pittston Co. 10,000 267,500 --------------- Oil: Exploration and Production -- 0.4% Maxus Energy Corp. (1) 52,000 260,000 --------------- Oil: Integrated Domestic -- 0.7% Pennzoil Co. 3,500 179,375 Quaker State Corp. 15,500 217,000 --------------- 396,375 --------------- Oil: Integrated International -- 0.6 Royal Dutch Petroleum Co. 3,500 366,188 --------------- Oil and Gas Drilling -- 0.2% Rowan Cos., Inc. (1) 16,200 141,750 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Growth Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- FINANCIAL -- 25.1% Financial Services: Miscellaneous -- 11.0% Advanta Corp., Cl. A 22,000 $ 783,750 Bear Stearns Cos., Inc. (The) 17,293 293,981 Countrywide Credit Industries, Inc. 33,000 474,375 Credit Local De France 8,250 563,723 Federal Home Loan Mortgage Corp. 8,000 484,000 Federal National Mortgage Assn. 8,700 726,450 Green Tree Financial Corp. 16,000 896,000 MBIA, Inc. 5,000 286,875 Paine Webber Group, Inc. 29,250 457,031 Student Loan Marketing Assn. 7,000 252,000 SunAmerica, Inc. 13,000 531,375 Travelers, Inc. 20,000 645,000 --------------- 6,394,560 --------------- Insurance: Life -- 3.7 AFLAC, Inc. 11,250 379,687 Conseco, Inc. 14,000 652,750 Lincoln National Corp. 10,000 423,750 Torchmark Corp. 6,000 234,000 UNUM Corp. 10,000 447,500 --------------- 2,137,687 --------------- Insurance: Property and Casualty -- 1.3% Continental Corp. 6,000 93,000 Progressive Corp. 10,200 339,150 USF&G Corp. 27,800 340,550 --------------- 772,700 --------------- Major Banks: Other -- 1.6% Bank of Boston Corp. 21,000 517,125 Mellon Bank Corp. 7,000 393,750 --------------- 910,875 --------------- Major Banks: Regional -- 6.5% Banc One Corp. 12,788 437,989 First Fidelity Bancorporation 5,000 231,875 First Interstate Bancorp 11,000 847,000 Midlantic Corp. 19,000 555,750 Shawmut National Corp. 18,000 396,000 Signet Banking Corp. 20,000 807,500 SunTrust Banks, Inc. 5,000 241,875 UJB Financial Corp. 9,000 248,625 --------------- 3,766,614 --------------- Money Center Banks -- 1.0% Chase Manhattan Corp. 15,000 573,750 --------------- INDUSTRIAL -- 4.0% Conglomerates -- 0.6% ITT Corp. 4,000 326,500 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Growth Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- INDUSTRIAL (CONTINUED) Containers: Metal and Glass -- 0.3% Crown Cork & Seal Co., Inc. (1) 5,000 $ 186,250 --------------- Electrical Equipment -- 0.9% General Electric Co. 11,000 512,875 --------------- Machinery: Diversified -- 1.2% Novellus Systems, Inc. (1) 8,000 278,000 Varity Corp. (1) 11,000 400,125 --------------- 678,125 --------------- Railroads -- 0.6% Illinois Central Corp. 10,000 331,250 --------------- Transportation: Miscellaneous -- 0.4% American President Cos. Ltd. 10,000 223,750 --------------- TECHNOLOGY -- 19.1% Aerospace/Defense -- 0.2% Northrop Corp. 4,000 148,500 --------------- Computer Software and Services -- 6.8% Automatic Data Processing, Inc. 8,000 425,000 BMC Software, Inc. (1) 10,000 437,500 Ceridian Corp. (1) 14,600 359,525 Computer Associates International, Inc. 12,000 480,000 Computer Sciences Corp. (1) 6,000 249,750 Electronic Arts, Inc. (1) 10,000 140,000 EMC Corp. (1) 31,000 418,500 Microsoft Corp. (1) 16,400 844,600 Novell, Inc. (1) 16,000 268,000 Oracle Systems Corp. (1) 8,000 300,000 --------------- 3,922,875 --------------- Computer Systems -- 5.7% AST Research, Inc. (1) 13,000 185,250 Cabletron Systems, Inc. (1) 8,000 773,000 Cisco Systems, Inc. (1) 25,000 584,375 Compaq Computer Corp. (1) 10,500 338,625 Seagate Technology (1) 13,500 266,625 3Com Corp. (1) 8,000 411,000 Unisys Corp. (1) 40,500 374,625 Western Digital Corp. (1) 29,000 369,750 --------------- 3,303,250 --------------- Electronics: Defense -- 0.8% General Motors Corp., Cl. H 12,500 448,438 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Growth Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- TECHNOLOGY (CONTINUED) Electronics: Instrumentation -- 1.8% American Power Conversion Corp. (1) 32,000 $ 516,000 Belden, Inc. 30,000 555,000 --------------- 1,071,000 --------------- Electronics: Semiconductors -- 1.5% Intel Corp. 12,000 702,000 National Semiconductor Corp. (1) 10,000 172,500 --------------- 874,500 --------------- Telecommunications -- 2.3% Airtouch Communications, Inc. (1) 4,300 101,588 American Telephone & Telegraph Co. 12,000 652,500 Hong Kong Telecommunications Ltd., Sponsored ADR 30,000 562,500 --------------- 1,316,588 --------------- UTILITIES -- 1.5% Electric Cos. -- 0.1% Niagara Mohawk Power Corp. 4,000 60,500 --------------- Telephone -- 1.4% BellSouth Corp. 2,500 154,375 Telefonos de Mexico SA, Sponsored ADR 12,000 670,500 --------------- 824,875 --------------- Total Common Stocks (Cost $45,214,124) 50,869,963 --------------- Total Investments, at Value (Cost $52,314,124) 99.9% 57,969,963 Other Assets Net of Liabilities .1 47,172 ------------ --------------- Net Assets 100.0% $58,017,135 ------------ --------------- ------------ ---------------
1. Non-income producing security. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Capital Appreciation Fund
Face Market REPURCHASE AGREEMENTS -- 22.8% Amount Value -- Note 1 ------------ --------------- Repurchase agreement with The First Boston Corp., 4.125% dated 6/30/94, to be repurchased at $33,003,781 on 7/1/94, collateralized by U.S. Treasury Nts., 4%, 1/31/96, with a value of $33,698,723 (Cost $33,000,000) $ 33,000,000 $ 33,000,000 --------------- CORPORATE BONDS AND NOTES -- 1.9% Intelcom Group, Inc., 7% Cv. Sub. Nts., 10/30/98 1,035,000 523,292 Medaphis Corp., 6.50% Cv. Sub. Debs., 1/1/00 (2) 1,000,000 1,113,750 Solectron Corp., 0% Liq. Yld. Opt. Sub. Nts., 5/5/12 2,000,000 1,085,000 --------------- Total Corporate Bonds and Notes (Cost $2,652,772) 2,722,042 --------------- RIGHTS AND WARRANTS -- 0.0% Units ------------ Tapistron International, Inc., Wts., Exp. 06/97(1) 120,000 60,000 Windmere Corp., Wts., Exp.01/98(1) 381 -- --------------- Total Rights and Warrants (Cost $52,860) 60,000 --------------- COMMON STOCKS -- 77.7% Shares ------------ BASIC MATERIALS -- 2.9% Chemicals -- 1.8% Geon Co. (The) 30,000 780,000 Georgia Gulf Corp.(1) 25,000 856,250 Methanex Corp.(1) 85,000 998,750 --------------- 2,635,000 --------------- Metals: Diversified -- 1.1% Birmingham Steel Corp. 59,000 1,593,000 --------------- CONSUMER CYCLICALS -- 28.0% Airlines -- 0.9% Atlantic Southeast Airlines, Inc. 55,000 1,333,750 --------------- Auto Parts: After Market -- 1.0% AutoZone, Inc.(1) 60,000 1,462,500 --------------- Broadcast Media -- 0.7% IDB Communications Group, Inc.(1) 113,750 1,052,187 --------------- Entertainment -- 1.0% Autotote Corp.(1) 21,000 330,750 Iwerks Entertainment, Inc.(1) 47,000 311,375 Players International, Inc.(1) 32,000 480,000 RIO HOTEL & CASINO, INC.(1) 24,000 312,000 --------------- 1,434,125 --------------- Homebuilding -- 0.5% Lennar Corp. 40,500 764,437 --------------- Hotels/Motels -- 3.0% Carnival Cruise Lines, Inc., Cl. A 22,000 973,500 Hospitality Franchise Systems, Inc.(1) 50,000 1,225,000 Mirage Resorts, Inc.(1) 50,000 937,500 Promus Cos., Inc. (The)(1) 40,000 1,185,000 --------------- 4,321,000 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Capital Appreciation Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- CONSUMER CYCLICALS (CONTINUED) Household Furnishings and Appliances -- 1.7% Heilig-Meyers Co. 22,500 $ 610,313 Rhodes, Inc. 30,000 480,000 Sunbeam-Oster, Inc. 66,000 1,320,000 --------------- 2,410,313 --------------- Leisure Time -- 2.8% Brunswick Corp. 62,000 1,364,000 Caesar's World, Inc.(1) 20,000 725,000 Grand Casinos, Inc.(1) 29,000 398,750 Innovative Gaming Corp. of America(1) 105,000 761,250 International Game Technology 20,000 377,500 Outboard Marine Corp. 25,000 500,000 --------------- 4,126,500 --------------- Publishing -- 0.7% Scientific Games Holdings Corp.(1) 28,000 973,000 --------------- Restaurants -- 1.7% Apple South, Inc. 67,500 978,750 Outback Steakhouse, Inc.(1) 60,500 1,459,562 --------------- 2,438,312 --------------- Retail Stores: Department Stores -- 3.3% Dollar General Corp. 66,000 1,650,000 Kohl's Corp.(1) 17,000 799,000 Nordstrom, Inc. 55,000 2,337,500 --------------- 4,786,500 --------------- Retail: Specialty -- 6.5% Ann Taylor Stores, Inc.(1) 20,000 767,500 Bed Bath & Beyond, Inc.(1) 20,000 572,500 Blockbuster Entertainment Corp. 45,000 1,164,375 CML Group, Inc. 21,000 246,750 General Nutrition Cos., Inc.(1) 51,400 886,650 Intelligent Electronics, Inc. 24,000 363,000 Lowe's Cos., Inc. 38,000 1,301,500 Office Depot, Inc.(1) 30,000 600,000 Rex Stores Corp.(1) 35,000 577,500 Spiegel, Inc., Cl. A 30,000 570,000 Staples Inc.(1) 30,000 810,000 Sunglass Hut International, Inc.(1) 5,000 136,250 Viking Office Products, Inc.(1) 59,000 1,475,000 --------------- 9,471,025 --------------- Shoes -- 1.9% Nike, Inc., Cl. B 46,000 2,748,500 --------------- Textiles: Apparel Manufacturers -- 2.3% Mohawk Industries, Inc.(1) 36,000 630,000 Norton McNaughton, Inc.(1) 30,900 625,725 Phillips-Van Heusen Corp. 15,000 376,875 Tapistron International, Inc.(1) 60,000 138,750 Tommy Hilfiger Corp.(1) 38,700 1,538,325 --------------- 3,309,675 --------------- CONSUMER NON-CYCLICALS -- 9.5% Drugs -- 1.4% Nature's Bounty, Inc.(1) 19,900 159,200 R.P. Scherer Corp.(1) 35,000 1,155,000 Roberts Pharmaceutical Corp.(1) 35,000 726,250 --------------- 2,040,450 --------------- Healthcare: Diversified -- 0.7% Value Health, Inc.(1) 25,500 975,375 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Capital Appreciation Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- CONSUMER NON-CYCLICALS (CONTINUED) Healthcare: Miscellaneous -- 4.8% Athena Neurosciences, Inc.(1) 16,700 $ 112,725 Celtrix Pharmaceuticals, Inc.(1) 20,000 125,000 Cephalon, Inc.(1) 15,000 135,000 Elan Corp. PLC(1) 40,000 1,390,000 Ethical Holdings, Sponsored ADR(1) 50,000 275,000 Genesis Health Ventures, Inc.(1) 38,000 964,250 Genetic Therapy, Inc.(1) 23,000 224,250 Horizon Healthcare Corp.(1) 92,700 2,120,513 Intergroup Healthcare Corp.(1) 13,000 572,000 Isis Pharmaceuticals, Inc.(1) 20,000 135,000 Martek Biosciences Corp.(1) 50,000 500,000 Matrix Pharmaceutical, Inc.(1) 20,000 205,000 PerSeptive Biosystems, Inc.(1) 15,000 243,750 --------------- 7,002,488 --------------- Agriculture Biotechnology -- 0.7% Dentsply International, Inc.(1) 30,000 1,050,000 --------------- Hospital Management -- 1.9% American Medical Response, Inc.(1) 15,000 386,250 Lincare Holdings, Inc.(1) 59,000 1,143,125 Mariner Health Group, Inc.(1) 30,000 581,250 Quorum Health Group, Inc.(1) 36,000 630,000 --------------- 2,740,625 --------------- ENERGY -- 2.9% Natural Gas: Processing -- 0.6% Louis Dreyfus Natural Gas Corp.(1) 27,400 383,600 Newfield Exploration Co.(1) 20,000 452,500 --------------- 836,100 --------------- Oil: Integrated Domestic -- 0.3% Trident NGL Holding, Inc. 40,000 390,000 --------------- Oil and Gas Drilling -- 1.2% Cross Timbers Oil Co. 30,800 431,200 International Colin Energy Corp.(1) 25,000 290,625 St. Mary Land & Exploration Co. 50,000 612,500 Stone Energy Corp.(1) 35,000 393,750 --------------- 1,728,075 --------------- Oil Well Services and Equipment -- 0.8% NUMAR Corp.(1) 30,000 330,000 Weatherford International, Inc.(1) 60,000 810,000 --------------- 1,140,000 --------------- FINANCIAL -- 6.4% Financial Services: Miscellaneous -- 3.7% Advanta Corp., Cl. B 60,000 1,935,000 First USA, Inc. 48,400 1,857,350 Foothill Group, Inc. (The), Cl. A 41,000 481,750 Green Tree Financial Corp. 15,000 840,000 Servicios Financieros Quadrum SA, Sponsored ADR(1) 15,000 231,563 --------------- 5,345,663 --------------- Insurance: Life -- 1.3% Bankers Life Holding Corp. 10,000 201,250 Mid Atlantic Medical Services(1) 18,000 801,000 Physicians Health Services, Inc., Cl. A(1) 38,400 873,600 --------------- 1,875,850 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Capital Appreciation Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- FINANCIAL (CONTINUED) Insurance: Property And Casualty -- 0.6% Mid Ocean Ltd.(1) 22,000 $ 552,750 Partnerre Holdings, Ltd. 17,000 344,250 --------------- 897,000 --------------- Major Banks: Regional -- 0.8% First Interstate Bancorp 15,000 1,155,000 --------------- INDUSTRIAL -- 7.6% Building Materials Group -- 0.4% Martin Marietta Materials, Inc.(1) 27,000 594,000 --------------- Commercial Services -- 0.5% Manpower, Inc. 36,000 756,000 --------------- Conglomerates -- 0.9% Grupo Carso SA, ADS(1)(2) 70,000 1,262,632 --------------- Electrical Equipment -- 0.8% AER Energy Resources, Inc.(1) 52,000 273,000 C-Cube Microsystems, Inc.(1) 32,000 504,000 GaSonics International Corp.(1) 25,000 306,250 --------------- 1,083,250 --------------- Machinery: Diversified -- 1.1% Duracraft Corp. 20,000 875,000 Novellus Systems, Inc.(1) 20,000 695,000 --------------- 1,570,000 --------------- Manufacturing: Diversified Industrials -- 1.6% Johnstown America Industries, Inc.(1) 48,000 972,000 Trinity Industries, Inc. 40,000 1,405,000 --------------- 2,377,000 --------------- Railroads -- 0.9% Southern Pacific Rail Corp.(1) 66,000 1,295,250 --------------- Transportation: Miscellaneous -- 1.4% Federal Express Corp.(1) 27,000 2,014,875 --------------- TECHNOLOGY -- 20.4% Communication: Equipment Manufacturers -- 1.4% Aspect Telecommunications Corp.(1) 20,000 557,500 Glenayre Technologies, Inc.(1) 31,000 1,216,750 Transaction Network Services, Inc.(1) 25,000 221,875 --------------- 1,996,125 --------------- Computer Software And Services -- 7.5% Cadence Design Systems, Inc.(1) 80,000 1,340,000 Cornerstone Imaging, Inc.(1) 45,200 655,400 CUC International, Inc.(1) 41,000 1,096,750 Danka Business System PLC, Sponsored ADR 11,100 442,612 Davidson & Associates, Inc.(1) 29,000 449,500 EMC Corp.(1) 99,000 1,336,500 FTP Software, Inc.(1) 40,000 610,000 HBO & Co. 40,000 1,010,000 Network Peripherals, Inc.(1) 100,000 625,000 Reynolds & Reynolds Co., Cl. A 35,000 809,375 Sap AG, Preference 444 880,244
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Capital Appreciation Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 ------------ --------------- TECHNOLOGY (CONTINUED) Computer Software And Services (Continued) Sierra On-Line, Inc.(1) 50,000 $ 825,000 Sybase, Inc.(1) 17,000 833,000 --------------- 10,913,381 --------------- Computer Systems -- 2.3% Cabletron Systems, Inc.(1) 8,000 773,000 First Data Corp. 25,000 1,034,375 Pyxis Corp.(1) 80,000 1,520,000 --------------- 3,327,375 --------------- Electronics -- 0.8% California Micro Devices Corp.(1) 55,000 1,182,500 --------------- Electronics: Instrumentation -- 4.5% American Power Conversion Corp.(1) 26,000 419,250 CMC Industries, Inc.(1) 55,000 192,500 Gentex Corp.(1) 35,000 892,500 Linear Technology Corp. 17,500 770,000 Molex, Inc., CL. A 45,000 1,653,750 Recoton Corp.(1) 30,000 952,500 Sanmina Corp.(1) 30,000 517,500 Symbol Technologies, Inc.(1) 45,000 1,125,000 --------------- 6,523,000 --------------- Electronics: Semiconductors -- 1.2% Advanced Technology Materials, Inc.(1) 47,800 239,000 Altera Corp.(1) 20,000 565,000 Applied Materials, Inc.(1) 17,000 726,750 MRS Technology, Inc.(1) 32,100 272,850 --------------- 1,803,600 --------------- Telecommunications -- 2.7% LCI International, Inc.(1) 41,700 1,334,400 LDDS Communications, Inc.(1) 86,354 1,511,195 Millicom International Cellular, S.A.(1) 50,000 1,037,500 --------------- 3,883,095 --------------- Total Common Stocks (Cost $113,822,232) 112,618,533 --------------- Total Investments, at Value (Cost $149,527,864) 102.4% 148,400,575 Liabilities in Excess of Other Assets (2.4) (3,477,384) ------------ --------------- Net Assets 100.0% $144,923,191 ------------ --------------- ------------ ---------------
1. Non-income producing security 2. The Fund owns securities purchased in private placement transactions, without registration under the Securities Act of 1933 (the Act). The securities are valued under methods approved by the Board of Trustees as reflecting fair value. The Fund intends to invest no more than 10% of its net assets (determined at the time of purchase) in restricted and illiquid securities, excluding securities eligible for resale pursuant to Rule 144A of the Act that are determined to be liquid by the STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Capital Appreciation Fund Board of Trustees or by the Manager under Board-approved guidelines. Restricted and illiquid securities amount to $523,292 or .36% of the Fund's net assets, at June 30, 1994.
Valuation Per Cost Unit as of Security Acquisition Date Per Unit June 30, 1994 - ---------------------------------------- --------------------- -------- ------------- Grupo Carso SA, ADS(3) 1/26/93 $ 12.37 $ 18.04 Intelcom Group, Inc., 7%, Cvv. Sub. Nts., 10/30/98 11/2/93-4/27/94 $ 99.43 $ 50.56 Medaphis Corp., 6.50% Cvv. Sub Debs., 1/1/00(3) 12/22/92 $ 100.00 $111.38
3. Transferable under Rule 144A of the Act See accompanying Notes to Financial Statements STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Bond Fund
Face Market REPURCHASE AGREEMENTS -- 20.3% Amount Value -- Note 1 -------------- --------------- Repurchase agreement with The First Boston Corp., 4.125%, dated 6/30/94, to be repurchased at $24,802,842 on 7/1/94, collateralized by U.S. Treasury Nts., 4%, 1/31/96, with a value of $25,325,101 (Cost $24,800,000) $ 24,800,000 $ 24,800,000 --------------- GOVERNMENT OBLIGATIONS -- 38.5% Bank Negara Indonesia Bonds, 0%, 5/12/95 3,000,000,000(1) 1,214,627 Corporacion Andina de Fomento: Bonds, 6.625%, 10/14/98 (5) 1,000,000 920,000 Nts., 7.25%, 4/30/98 (5) 1,000,000 960,000 Czechoslovakia National Bank Nts., 7%, 4/16/96 (5) 1,000,000 1,000,000 Denmark (Kingdom of), 9% Nts., 11/15/98 7,000,000(1) 1,165,206 Empresa Columbiana de Petroleos Nts.: 7.25%, 7/8/98 (5) 1,250,000 1,190,625 7.25%, 7/8/98 (5) 750,000 720,000 Federal National Mortgage Assn., Collateralized Mtg. Obligations, Guaranteed Real Estate Mortgage Investment Conduit Pass-Through Certificates: 8.75%, 11/25/05 3,000,000 3,109,560 10.40%, 4/25/19 2,000,000 2,140,560 Interest-Only Stripped Mtg.-Backed Security: Trust 240, Class 2, 7%, 9/25/23 (4) 1,736,485 639,515 Trust 257, Class 2, 7%, 2/25/24 (4) 2,861,573 1,062,806 Financiera Energetica Nacional Nts., 6.625%, 12/13/96 1,850,000 1,787,562 Germany (Federal Republic of) Treuhandanstalt Bonds, 7.375%, 12/2/02 1,500,000(1) 957,241 Italy (Republic of) Treasury Bonds, Buoni Poliennali del Tes: 12.50%, 6/16/97 2,100,000,000(1) 1,403,492 12%, 1/17/99 800,000,000(1) 524,809 Mexico (United Mexican States) CETES, 0%, 10/16/94 7,057,840 1,992,525 Spain (Kingdom of) Bonds, 11.45%, 8/30/98 135,000,000(1) 1,074,352 United Kingdom Treasury Nts.: 12.25%, 3/26/99 500,000(1) 880,519 10%, 9/8/03 1,075,000(1) 1,772,819 U.S. Treasury Bonds: 8%, 11/15/21 5,000,000 5,165,625 7.25%, 8/15/22 6,000,000 5,705,621 7.125%, 2/15/23 3,000,000 2,807,811 U.S. Treasury Nts.: 6.875%, 8/15/94 1,000,000 1,003,438 5.875%, 5/15/95 3,000,000 3,011,250 7.875%, 6/30/96 1,000,000 1,032,500 6.375%, 6/30/97 1,000,000 997,500 6%, 12/31/97 3,000,000 2,939,061 --------------- Total Government Obligations (Cost $47,806,803) 47,179,024 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Bond Fund
Face Market MUNICIPAL BONDS AND NOTES -- 5.4% Amount Value -- Note 1 -------------- --------------- City of New York Taxable General Obligation Bonds, Series D: 9%, 2/1/13 $ 500,000 $ 527,495 9.90%, 2/1/15 500,000 553,877 Connecticut State Taxable General Obligation Bonds, 6.625%, 12/15/97 650,000 650,972 Dade County, Florida Educational Facilities Authority Taxable Exchange Revenue Bonds, University of Miami, MBIA Insured: 7.65%, 4/1/10 325,000 368,958 9.70%, 4/1/10 175,000 198,685 New York State Environmental Facilities Corp. State Service Contract Taxable Revenue Bonds: Series A, 9.625%, 3/15/21 375,000 395,204 Series B: 7.30%, 3/15/97 200,000 202,751 8.15%, 3/15/02 800,000 826,108 Pinole, California Redevelopment Agency Tax Allocation Taxable Bonds, Pinole Vista Redevelopment, Series B, 8.35%, 8/1/17 1,320,000 1,385,738 Port of Portland, Oregon Taxable Special Obligation Revenue Bonds, PAMCO Project, 9.20%, 5/15/22 1,500,000 1,569,618 --------------- Total Municipal Bonds and Notes (Cost $6,308,344) 6,679,406 --------------- CORPORATE BONDS AND NOTES -- 34.1% BASIC MATERIALS -- 2.9% Chemicals -- 1.9% Quantum Chemical Corp., 10.375% Fst. Mtg. Bonds, 6/1/01 2,100,000 2,372,553 --------------- Paper and Forest Products -- 1.0% R.P. Scherer International Corp., 6.75% Sr. Nts., 2/1/04 1,250,000 1,168,750 --------------- CONSUMER CYCLICALS -- 9.2% Automotive -- 0.7% Chrysler Corp., 10.95% Debs., 8/1/17 800,000 899,273 --------------- Entertainment -- 2.1% Circus Circus Enterprises, Inc., 6.75% Sr. Sub. Nts., 7/15/03 1,225,000 1,089,026 Columbia Pictures Entertainment, Inc., 9.875% Sr. Sub. Nts., 2/1/98 500,000 533,355 Eastman Kodak Co., 10% Nts., 6/15/01 250,000 264,980 Mattel, Inc., 6.875% Sr. Nts., 8/1/97 700,000 692,331 --------------- 2,579,692 --------------- Home Building/Development -- 1.9% Noranda Forest, Inc., 11% Debs., 7/15/98 1,000,000(1) 746,452 Scotia Pacific Holding Co., 7.95% Timber Collateralized Nts., 7/20/15 1,628,719 1,525,352 --------------- 2,271,804 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Bond Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- CONSUMER CYCLICALS (CONTINUED) Hotels -- 0.7% Host Marriott Hospitality, Inc.: 10.125% Sr. Nts., Series F, 1/15/99 $ 228,000 $ 231,420 10.625% Sr. Nts., Series B, 2/1/00 190,000 191,900 11% Sr. Nts., Series L, 5/1/07 475,000 477,375 --------------- 900,695 --------------- Media -- 3.0% GSPI Corp., 10.15% Fst. Mtg. Bonds, 6/24/10 (5) 1,177,635 1,284,359 News America Holdings, Inc.: 12% Sr. Nts., 12/15/01 500,000 574,028 10.125% Gtd. Sr. Debs., 10/15/12 500,000 527,610 Time Warner Entertainment Co. LP, 8.375% Sr. Debs., 3/15/23 500,000 447,500 Time Warner, Inc., 7.45% Nts., 2/1/98 800,000 792,000 --------------- 3,625,497 --------------- Textiles/Apparel -- 0.8% Fruit of the Loom, Inc., 7% Debs., 3/15/11 1,097,000 946,163 --------------- CONSUMER NON-CYCLICALS -- 1.9% Food -- 1.3% Philip Morris Cos., Inc., 8.875% Nts., 7/1/96 500,000 516,446 RJR Nabisco, Inc., 10.50% Sr. Nts., 4/15/98 1,000,000 1,060,986 --------------- 1,577,432 --------------- Food and Drug Distribution -- 0.6% Revco D.S., Inc., 9.125% Sr. Nts., 1/15/00 750,000 753,750 --------------- ENERGY -- 2.2% Oil and Gas: Integrated -- 0.9% Tenneco Inc.: 7.875% Nts., 10/1/02 650,000 643,083 10% Debs., 3/15/08 400,000 432,007 --------------- 1,075,090 --------------- Oil and Gas: Equipment and Services -- 1.0% McDermott, Inc., 9.375% Nts., 3/15/02 400,000 420,584 Sonat, Inc., 9.50% Nts., 8/15/99 250,000 268,804 Southwest Gas Corp., 9.75% Debs., Series F, 6/15/02 500,000 512,092 --------------- 1,201,480 --------------- Oil and Gas: Exploration and Production -- 0.3% Atlantic Richfield Co., 10.375% Nts., 7/15/95 375,000 390,371 --------------- FINANCIAL -- 7.3% Banks/Savings and Loans -- 1.5% Chemical New York Corp., 9.75% Sub. Cap. Nts., 6/15/99 200,000 216,820 First Chicago Corp., 11.25% Sub. Nts., 2/20/01 750,000 877,288
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Bond Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- FINANCIAL (CONTINUED) Banks/Savings and Loans (Continued) First Fidelity Bancorporation, 8.50% Sub. Cap. Nts., 4/1/98 $ 100,000 $ 102,955 Heller Financial, Inc., 7.75% Nts., 5/15/97 475,000 483,375 NBD Bancorp, Inc., 7.25% Sub. Debs., 8/15/04 165,000 156,546 --------------- 1,836,984 --------------- Financial/Insurance -- 5.8% First Boston Mortgage Securities Corp., 7.04% Mtg. Pass-Through Ctfs., 10/25/02 1,982,310 1,883,195 General Motors Acceptance Corp.: 8% Nts., 10/1/96 700,000 713,941 7.75% Nts., 4/15/97 700,000 707,650 5.50% Nts., 12/15/01 300,000 255,739 Paine Webber Group, Inc., 7.75% Sub. Nts., 9/1/02 450,000 427,078 Resolution Trust Corp. Commercial Mtg. Pass-Through Certificates: 9%, Series 1991-M5, Cl. A, 3/25/17 1,585,896 1,617,615 8.25%, Series 1992-CHF, Cl. C, 12/25/20 1,129,005 1,103,779 Shearson Lehman Brothers Holdings, Inc., 8.375% Nts., 2/15/99 350,000 354,588 --------------- 7,063,585 --------------- INDUSTRIAL -- 0.9% Railroads/Equipment -- 0.9% American Car Line Co., 8.25% Equipment Trust Ctfs., Series 1993-A, 4/15/08 660,000 643,500 Union Pacific Corp., 9.65% Med.-Term Nts., 4/17/00 400,000 436,848 --------------- 1,080,348 --------------- TECHNOLOGY -- 4.4% Aerospace/Defense -- 0.8% AMR Corp., 10% Debs., 4/15/21 975,000 960,200 --------------- Cable Television -- 3.2% TKR Cable I, Inc., 10.50% Sr. Debs., 10/30/07 3,600,000 3,924,000 --------------- Communication -- 0.4% GTE Corp., 9.375% Debs., 12/1/00 500,000 540,491 --------------- UTILITIES -- 5.3% Boise Cascade Corp., 9.90% Nts., 3/15/00 750,000 804,401 BP America, Inc., 10.875% Nts., 8/1/01 650,000(1) 486,076 Coastal Corp., 11.75% Sr. Debs., 6/15/06 2,000,000 2,252,500 Commonwealth Edison Co.: 6.50% Nts., 7/15/97 550,000 536,282 6.40% Nts., 10/15/05 275,000 229,162 Long Island Lighting Co., 7% Debs., 3/1/04 500,000 409,485 Mitchell Energy & Development Corp., 9.25% Sr. Nts., 1/15/02 1,000,000 1,053,348
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Bond Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- UTILITIES (CONTINUED) Public Service Company of Colorado, 8.75% Fst. Mtg. Bonds, 3/1/22 $ 750,000 $ 750,477 --------------- 6,521,731 --------------- Total Corporate Bonds and Notes (Cost $43,461,270) 41,689,889 --------------- INDEXED INSTRUMENTS -- 1.3% Citibank CD: 17.35%, 7/28/94 (3) 204,200,000(1) 488,533 17.30%, 7/29/94 (3) 202,900,000(1) 485,422 Morgan Guaranty Trust Co. of New York (Singapore Branch) 12.15% CD, 2/3/95 1,267,950,000(1) 584,334 --------------- Total Indexed Instruments (Cost $1,607,367) 1,558,289 --------------- Total Investments, at Value (Cost $123,983,784) 99.6% 121,906,608 Other Assets Net of Liabilities .4 482,138 -------------- --------------- Net Assets 100.0% $ 122,388,746 -------------- --------------- -------------- ---------------
(1) Face amount is reported in foreign currency. (2) Represents the current interest rate for a variable rate security. (3) Indexed instrument for which the principal amount due at maturity is affected by the relative value of a foreign security. (4) Interest-Only Strips represent the right to receive the monthly interest payments on an underlying pool of mortgage loans. These securities are subject to the risk of accelerated principal paydowns as interest rates decline. The principal amount represents the notional amount on which current interest is calculated. (5) The Fund owns securities purchased in private placement transactions, without registration under the Securities Act of 1933 (the Act). The securities are valued under methods approved by the Board of Trustees as reflecting fair value. The Fund intends to invest no more than 10% of its net assets (determined at the time of purchase) in restricted and illiquid securities, excluding securities eligible for resale pursuant to Rule 144A of the Act that are determined to be liquid by the Board of Trustees or by the Manager under Board-approved guidelines.
Valuation Per Acquistion Cost Unit as of Security Date Per Unit June 30, 1994 - -------------------------------------------------- ----------- -------- ------------- Corporacion Andina de Fomento: Bonds, 6.625%, 10/14/98(6) 9/23/93 $ 99.95 $ 92.00 Nts., 7.25%, 4/30/98(6) 4/15/93 $ 99.38 $ 96.00 Czechoslovakia National Bank Nts., 7%, 4/16/96(6) 3/11/93 $ 99.70 $100.00 Empresa Columbiana de Petroleos Nts., 7.25%, 7/8/98 (6) 6/24/93 $ 99.63 $ 95.25 Empresa Columbiana de Petroleos Nts., 7.25%, 7/8/98(6) 4/25/94 $ 99.63 $ 96.00 GSPI Corp., 10.15% Fst. Mtg. Bonds, 6/24/10(6) 1/29/93 $ 102.40 $109.06
6. Transferable under Rule 144A of the Act. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- High Income Fund
Face Market REPURCHASE AGREEMENTS -- 10.8% Amount Value -- Note 1 -------------- --------------- Repurchase agreement with The First Boston Corp., 4.125%, dated 6/30/94, to be repurchased at $11,801,352 on 7/1/94, collateralized by U.S. Treasury Nts., 4%, 1/31/96, with a value of 12,049,846 (Cost $11,800,000) $ 11,800,000 $ 11,800,000 --------------- GOVERNMENT OBLIGATIONS -- 10.6% Argentina (Republic of): Bonds, Bonos de Consolidacion de Deudas, Series I, 3.704%, 4/1/01 (4)(6) 1,254,100(2) 687,638 Series I, 4.375%, 4/1/07 (4)(6) 284,225 156,699 Past Due Interest Bonds, 5%, 3/31/05 (4) 1,650,000 1,193,156 Bank Negara Indonesia Bonds, 0%, 5/12/95 2,000,000,000(2) 809,752 Italy (Republic of) Treasury Bonds, Buoni Poliennali del Tes, 12.50%, 6/16/97 (7) 2,300,000,000(2) 1,537,158 Mexico (United Mexican States): CETES: 0%, 10/16/94 7,057,830(2) 1,992,522 0%, 11/3/94 3,591,690(2) 1,003,231 Par Bonds, Series A, 6.25%, 12/31/19 1,500,000 955,313 Morocco (Kingdom of) Loan Participation Agreement, Tranche A, 4.50%, 1/1/09 (4)(8) 1,000,000 699,625 Polish People's Republic Loan Participation Agreement: 5.0625%, 2/3/24 (1) 1,500,000 547,500 7.9375%, 2/8/24 (1) 2,000,000(2) 455,560 7.9375%, 2/8/24 (1) 250,000(2) 67,268 Spain (Kingdom of) Bonds, 11.45%, 8/30/98 135,000,000(2) 1,074,352 Venezuela (Republic of) Nts., 9%, 5/27/96 (8) 500,000 487,500 --------------- Total Government Obligations (Cost $12,332,416) 11,667,274 --------------- MUNICIPAL BONDS AND NOTES -- 2.0% Pinole, California Redevelopment Agency Tax Allocation Taxable Bonds, Pinole Vista Redevelopment, Series B, 7.65%, 8/1/07 975,000 979,325 Port of Portland, Oregon Taxable Special Obligation Revenue Bonds, Pamco Project, 9.20%, 5/15/22 500,000 523,206 San Joaquin Hills, California Transportation Corridor Agency Toll Road Capital Appreciation Revenue Bonds, Jr. Lien, 0%, 1/1/28 12,500,000 713,887 --------------- Total Municipal Bonds and Notes (Cost $2,114,954) 2,216,418 --------------- CORPORATE BONDS AND NOTES -- 67.9% BASIC MATERIALS -- 8.2% Chemicals -- 3.1% Banco do Nordeste do Brasil, 10.375% Sr. Debs., 11/6/95 (8) 750,000 746,250 Carbide/Graphite Group, Inc., 11.50% Sr. Nts., 9/1/03 1,000,000 1,027,500 NL Industries, Inc., 0%/13% Sr. Sec. Disc. Nts., 10/15/05 (3) 1,100,000 676,500
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- BASIC MATERIALS (CONTINUED) Chemicals (Continued) Rexene Corp.: 9% Fst. Priority Nts., 11/15/99 (4) $ 300,000 $ 292,500 10% 2nd Priority Nts., 11/15/02 (6) 668,000 619,384 --------------- 3,362,134 --------------- Metals -- 2.3% Jorgensen (Earle M.) Co., 10.75% Sr. Nts., 3/1/00 500,000 505,000 Kaiser Aluminum & Chemical Corp.: 9.875% Sr. Nts., 2/15/02 350,000 324,625 12.75% Sr. Sub. Nts., 2/1/03 1,250,000 1,275,000 Stelco, Inc., 9.75% Debs., 4/1/95 500,000(2) 356,940 --------------- 2,461,565 --------------- Paper and Forest Products -- 2.8% Equitable Bag, Inc., 12.375% Sr. Nts., 8/15/02 (1) 100,000 70,500 Pacific Lumber Co., 10.50% Sr. Nts., 3/1/03 1,000,000 965,000 PT Inti Indorayon Utama, 9.125% Sr. Nts., 10/15/00 400,000 346,000 Riverwood International Corp., 10.375% Sr. Sub. Nts., 6/30/04 400,000 401,000 Stone Consolidated Corp., 10.25% Sr. Sec. Nts., 12/15/00 200,000 195,000 Stone Container Corp.: 12.625% Sr. Nts., 7/15/98 500,000 525,000 9.875% Sr. Nts., 2/1/01 650,000 607,750 --------------- 3,110,250 --------------- CONSUMER CYCLICALS -- 23.4% Automotive -- 2.7% Foamex LP/ JPS Automotive Corp., Units (8) 1,000,000 520,000 JPS Automotive Products Corp., 11.125% Sr. Nts., 6/15/01 300,000 301,500 NewCity Communications, Inc., 11.375% Sr. Sub. Nts., 11/1/03 1,200,000 1,239,000 Penda Industries, Inc., 10.75% Sr. Nts., 3/1/04 (8) 675,000 661,500 SPX Corp., 11.75% Sr. Sub. Nts., 6/1/02 250,000 256,250 --------------- 2,978,250 --------------- Construction Supplies and Development -- 2.0% Dal-Tile International, Inc., 0% Sr. Sec. Nts., 7/15/98 250,000 154,375 Hillsborough Holdings Corp., 7.50% Participation Agreement, 12/30/99 (1)(8) 1,000,000 1,408,750 Walter Industries, Inc., 14.625% Sr. Nts., Series B, 1/1/99 (1) 400,000 656,500 --------------- 2,219,625 --------------- Consumer Goods and Services -- 5.4% Amstar Corp., 11.375% Sr. Sub. Nts., 2/15/97 500,000 497,500 Coleman Holdings, Inc., 0% Sr. Sec. Disc. Nts., Series B, 5/27/98 500,000 335,000
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- CONSUMER CYCLICALS (CONTINUED) Consumer Goods and Services (Continued) Collins & Aikman Group, Inc., 11.875% Sr. Sub. Debs., 6/1/01 $ 1,000,000 $ 1,015,000 Harman International Industries, Inc., 12% Sr. Sub. Nts., 8/1/02 1,000,000 1,085,000 Mary Kay Corp., 12.75% Gtd. Sr. Nts., Series B, 12/6/00 (8) 1,000,000 1,045,000 Protection One Alarm Monitoring, Inc., 12% Sr. Sub. Nts., 11/1/03 1,000,000 955,000 PT Polysindo Eka Perkasa, 13% Sr. Nts., 6/15/01 500,000 498,195 Revlon Consumer Products Corp., 9.375% Sr. Nts., 4/1/01 400,000 344,000 Revlon Worldwide Corp., 0% Sr. Sec. Disc. Nts., 3/15/98 350,000 148,750 --------------- 5,923,445 --------------- Entertainment -- 4.1% Capital Gaming International, Inc., Units (8) 950,000 973,750 Gillett Holdings, Inc., 12.25% Sr. Sub. Nts., Series A, 6/30/02 521,305 555,190 Hollywood Casino Corp., 13.50% Fst. Mtg. Nts., 9/30/98 300,000 301,500 Lady Luck Gaming Finance Corp., 10.50% Fst. Mtg. Nts., 3/1/01 450,000 389,250 Marvel (Parent) Holdings, Inc.: 0% Sr. Sec. Disc. Nts., 4/15/98 1,300,000 806,000 0% Sr. Sec. Disc. Nts., Series B, 4/15/98 1,000,000 622,500 Treasure Bay Gaming & Resorts, Inc.: Units (8) 125,000 120,625 12.25% Fst. Mtg. Nts., 11/15/00 (8) 375,000 339,375 United Gaming, Inc., 7.50% Cv. Sub. Debs., 9/15/03 500,000 401,250 --------------- 4,509,440 --------------- Media -- 4.8% Ackerley Communications, Inc., 10.75% Sr. Sec. Nts., Series A, 10/1/03 750,000 746,250 Act III Broadcasting, Inc., 9.625% Sr. Sub. Nts., 12/15/03 430,000 410,650 Argyle Television Operations, 9.875% Sr. Sub. Nts., 12/30/03 500,000 507,500 General Media, Inc., 10.625% Sr. Sec. Nts., 12/31/00 (8) 500,000 467,500 GSPI Corp., 10.15% Fst. Mtg. Bonds, 6/24/10 (8) 490,681 535,150 Lamar Advertising Co., 11% Sr. Sec. Nts., 5/15/03 500,000 495,000 SCI Television, Inc.: 7.50% Fst. Sec. Loan Nts., 6/30/98 486,000 478,710 11% Sr. Sec. Nts., Series 1, 6/30/05 450,000 461,250 Sinclair Broadcasting Group, Inc., 10% Sr. Sub. Nts., 12/15/03 445,000 441,663 Univision Television Group, Inc., 11.75% Sr. Sub. Nts., 1/15/01 700,000 745,500 --------------- 5,289,173 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- CONSUMER CYCLICALS (CONTINUED) Real Estate Development -- 1.4% Casino Magic Finance Corp., 11.50% Fst. Mtg. Nts., Series B, 10/15/01 $ 290,000 $ 268,250 Olympia & York First Canadian Place Ltd., 11% Debs., Series 3, 11/4/49 (1) 1,000,000(2) 456,919 Saul (B.F.) Real Estate, 11.625% Sr. Nts., 4/1/02 500,000 490,000 Trizec Corp. Ltd., 10.25% Sr. Debs., 6/22/99 (1) 500,000(2) 323,010 --------------- 1,538,179 --------------- Retail -- 3.0% Cole National Group, Inc., 11.25% Sr. Nts., 10/1/01 1,000,000 1,015,000 Eye Care Centers of America, Inc., 12% Sr. Nts., 10/1/03 700,000 689,500 R.H. Macy & Co., Inc., 14.50% Sr. Sub. Debs., 10/15/98 (1) 900,000 562,500 Waban, Inc., 11% Sr. Sub. Nts., 5/15/04 500,000 501,250 Zale Delaware, Inc., 11% Gtd. 2nd Priority Sr. Sec. Nts., 6/1/00 500,000 502,500 --------------- 3,270,750 --------------- CONSUMER NON-CYCLICALS -- 2.8% Food -- 0.6% Farm Fresh, Inc., 12.25% Sr. Nts., 10/1/00 500,000 492,500 Kash 'N Karry Food Stores, Inc., 14% Sub. Debs., 2/1/01 300,000 109,500 --------------- 602,000 --------------- Food and Drug Distribution -- 1.9% Di Giorgio Corp., 12% Sr. Nts., 2/15/03 700,000 721,000 Duane Reade, 12% Sr. Nts., Series B, 9/15/02 250,000 260,000 Purity Supreme, Inc., 11.75% Sr. Sec. Nts., Series B, 8/1/99 700,000 686,000 Thrifty Payless Holdings, Inc., Units 375,000 395,625 --------------- 2,062,625 --------------- Healthcare -- 0.3% Charter Medical Corp., 11.25% Sr. Sub. Nts., 4/15/04 (8) 350,000 357,875 --------------- ENERGY -- 5.3% BP America, Inc., 10.875% Nts., 8/1/01 350,000(2) 261,733 Ferrellgas LP/Ferrellgas Finance Corp., 10% Sr. Nts., 8/1/01 500,000 502,500 Maxus Energy Corp.: 8.50% Debs., 4/1/08 1,000,000 870,000 11.50% Debs., 11/15/15 800,000 814,000 Mesa Capital Corp.: 0%/12.75% Disc. Nts., 6/30/96 (3) 1,000 890 0%/12.75% Sec. Disc. Nts., 6/30/98 (3) 1,707,000 1,553,370 OPI International, Inc., 12.875% Gtd. Sr. Nts., 7/15/02 750,000 873,750
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- ENERGY (CONTINUED) Presidio Oil Co., 11.50% Sr. Sec. Nts., Series B, 9/15/00 $ 925,000 $ 925,000 --------------- 5,801,243 --------------- FINANCIAL -- 3.7% Banco Nacional de Mexico SA, 7% Exch. Sub. Debs., 12/15/99 (8) 500,000 535,000 Card Establishment Services, Inc., 10% Sr. Sub. Nts., Series B, 10/1/03 1,600,000 1,528,000 ECM Fund, L.P.I., 14% Sub. Nts., 6/10/02 (8) 497,386 547,125 Residential Funding Corp., 7.97% Real Estate Trust Pass-Through Ctfs., Series 1993-J2, Cl. B-1, 6/15/23 (8) 1,204,823 931,856 Tribasa Toll Road Trust, 10.50% Nts., Series 1993-A, 12/1/11 (8) 500,000 451,250 --------------- 3,993,231 --------------- INDUSTRIAL -- 4.4% Containers -- 0.7% Trans Ocean Container Corp., 12.25% Sr. Sub. Nts., 7/1/04 700,000 703,500 --------------- General Industrial 1.9% EnviroSource, Inc., 9.75% Sr. Nts., 6/15/03 500,000 455,000 Farley, Inc., 0% Sub. Debs., 12/30/12 115,000 12,075 Polymer Group, Inc., 12.25% Sr. Nts., 7/15/02 (8) 700,000 701,750 Southdown, Inc., 14% Sr. Sub. Nts., Series B, 10/15/01 640,000 726,400 Triangle Wire & Cable, Inc., 13.50% Sr. Nts., 1/15/02 (1)(8) 500,000 225,000 --------------- 2,120,225 --------------- Transportation -- 1.8% Sea Containers Ltd.: 12.50% Sr. Sub. Debs., Series A, 12/1/04 500,000 523,750 12.50% Sr. Sub. Debs., Series B, 12/1/04 350,000 373,625 Transtar Holdings LP/Transtar Capital Corp., 0%/ 13.375% Sr. Disc. Nts., Series B, 12/15/03 (3) 2,000,000 1,095,000 --------------- 1,992,375 --------------- TECHNOLOGY -- 15.9% Aerospace/Defense -- 2.9% AMR Corp., 10% Debs., 4/15/21 825,000 818,975 GPA Delaware, Inc., 8.75% Gtd. Nts., 12/15/98 500,000 402,500 GPA Holland BV: 8.625% Med.-Term Nts., 1/15/99 (8) 750,000 595,385 9.50% Med.-Term Nts., 12/5/01 (8) 500,000 375,000 Rohr, Inc., 11.625% Sr. Nts., 5/15/03 400,000 406,000
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- TECHNOLOGY (CONTINUED) Aerospace/Defense (Continued) Talley Industries, Inc., 0%/12.25% Sr. Disc. Debs., 10/15/05 (3) $ 1,000,000 $ 590,000 --------------- 3,187,860 --------------- Cable Television -- 6.5% American Telecasting, Inc., Units 700,000 367,500 Cablevision Systems Corp.: 10.75% Sr. Sub. Debs., 4/1/04 500,000 508,750 9.875%, Sr. Sub. Debs., 2/15/13 500,000 457,500 Celcaribe SA, Units (8) 1,250,000 769,090 Continental Broadcasting Ltd./Continental Broadcasting Capital Corp., 10.625% Sr. Sub. Nts., 7/1/03 600,000 609,000 Echostar Communications Corp., Units 2,000,000 1,065,000 Helicon Group LP/Helicon Capital Corp., 9% Sr. Sec. Nts., 11/1/03 (4) 1,000,000 915,000 International CableTel, Inc., 0%/10.875% Sr. Def. Cpn. Nts., 10/15/03 (3) 635,000 381,000 Outlet Broadcasting, Inc., 10.875% Sr. Sub. Nts., 7/15/03 1,000,000 997,500 TKR Cable I, Inc., 10.50% Sr. Debs., 10/30/07 1,000,000 1,090,000 --------------- 7,160,340 --------------- Communications -- 4.2% Cellular, Inc., 0%/11.75% Sr. Sub. Disc. Nts., 9/1/03 (3) 2,000,000 1,240,000 Centennial Cellular Corp., 8.875% Sr. Nts., 11/1/01 500,000 462,500 Comcast Cellular Corp., 0% Nts., Series B, 3/5/00 1,200,000 720,000 Horizon Cellular Telephone LP/Horizon Finance Corp., 0%/11.375% Sr. Sub. Disc. Nts., 10/1/00 (3) 650,000 445,250 Panamsat LP/Panamsat Capital Corp.: 9.75% Sr. Sec. Nts., 8/1/00 500,000 497,500 0%/11.375% Sr. Sub. Disc. Nts., 8/1/03 (3) 2,000,000 1,290,000 --------------- 4,655,250 --------------- Technology -- 2.3% Bell & Howell Holdings Co., 0%/10.75% Sr. Disc. Debs., Series B, 3/1/05 (3) 1,000,000 545,000 Dell Computer Corp., 11% Sr. Nts., 8/15/00 500,000 518,750 Imax Corp., 7% Sr. Nts., 3/1/01 (8) 1,600,000 1,468,000 --------------- 2,531,750 --------------- UTILITIES -- 4.2% Beaver Valley Funding Corp., 9% Debs., 6/1/17 1,500,000 1,261,255 El Paso Electric Co., 10.375% Lease Obligation Debs., 1/2/11 (1) 1,550,000 1,118,153 El Paso Funding Co., 10.75% Debs., 4/1/13 (1) 750,000 551,250 First PV Funding Corp., Public Service of New Mexico, 10.30% Debs., 1/15/14 1,250,000 1,197,542
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- UTILITIES (CONTINUED) Subic Power Corp., 9.50% Sr. Sec. Nts., Series A, 12/28/08 (8) $ 500,000 $ 467,500 --------------- 4,595,700 --------------- Total Corporate Bonds and Notes (Cost $76,346,033) 74,426,785 --------------- INDEXED INSTRUMENTS -- 1.3% Citibank, 17.30% CD, 7/29/94 (5) 405,800,000(2) 970,845 Presidio Oil Co., 14.125% Sr. Sub. Gas Indexed Nts., 7/15/02 (4) 450,000 450,000 --------------- Total Indexed Instruments (Cost $1,377,700) 1,420,845 --------------- RIGHTS, WARRANTS AND CERTIFICATES -- 0.5% Units -------------- Ames Department Stores, Inc.: Excess Cash Flow Payment Ctfs., Series AG-7A 12,400 124 Litigation Trust Units 39,658 397 Capital Gaming International, Inc. Wts., Exp. 2/99 (8) 1,875 938 Casino America, Inc. Wts., Exp. 11/96 1,631 408 Digicon, Inc. Wts., Exp. 7/96 4,699 881 Gaylord Container Corp. Wts., Exp. 7/96 71,950 274,309 General Media, Inc. Wts., Exp. 12/00 (8) 500 6,250 Hollywood Casino Corp. Wts., Exp. 4/98 1,904 190,000 Protection One, Inc. Wts., Exp. 11/03 28,000 89,880 Purity Supreme, Inc. Wts., Exp. 8/97 (8) 2,599 52 Southland Corp. Wts., Exp. 3/96 400 1,700 Terex Corp. Rts., Exp. 7/96 (8) 141 212 UGI Corp. Wts., Exp. 3/98 6,000 21,000 --------------- Total Rights, Warrants and Certificates (Cost $281,912) 586,151 --------------- PREFERRED STOCKS -- 3.1% Shares -------------- AMR Corp., $3.00 Cum. Cv. Depositary Shares, Series A (8) 5,000 $ 221,250 Berg Electronics Holdings Corp. (1) 10,429 260,725 Collins & Aikman Holdings Corp., $15.50 Exch (6) 5,182 129,550 Dell Computer Corp., $7.00 Cv., Series A (1)(8) 4,500 513,000 Finlay Enterprises, Inc., Cl. A (1) 2,000 25,000 Glendale Federal Bank, F.S.B., $6.375 Non-Cum. Cv., Series E 22,600 641,275 K-III Communications Corp., $11.625 Exch., Series B (6) 6,145 608,443 Navistar International Corp., $6.00 Cv., Series G 5,000 252,500 Offshore Pipelines, Inc., $2.25 Cum. Cv. Exch. 5,000 220,000 Prime Retail, Inc., $19.00 Cv., Series B 14,000 344,750 Trizec Ltd., Sr. Cl. B, Series 3 (1) 50,000 19,905 Unisys Corp., $3.75 Cv., Series A 5,000 171,875 --------------- Total Preferred Stocks (Cost $3,424,734) 3,408,273 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Market COMMON STOCKS -- 1.8% Shares Value -- Note 1 -------------- --------------- Berg Electronics Holdings Corp. (1)(8) 46,220 $ 92,440 Celcaribe SA (1)(8) 203,250 249,660 ECM Fund L.P.I. (8) 150 150,000 Gillett Holdings, Inc., Cl. 1 (1)(8) 10,355 191,568 Leaseway Transportation Corp. (1) 17,142 167,135 Marriott International, Inc. 300 7,988 Petrolane, Inc., Cl. B 45,360 487,619 New World Communications Group, Inc., Cl. A (1) 4,964 60,808 Zale Corp. (1) 56,802 525,418 --------------- Total Common Stocks (Cost $1,824,492) 1,932,636 --------------- Total Investments, at Value (Cost $109,502,241) 98.0% 107,458,382 Other Assets Net of Liabilities 2.0 2,184,753 -------------- --------------- Net Assets 100.0% $ 109,643,135 -------------- --------------- -------------- ---------------
(1) Non-income producing security. (2) Face amount is reported in foreign currency. (3) Represents a zero coupon bond that converts to a fixed rate of interest at a designated future date. (4) Represents the current interest rate for a variable rate security. (5) Indexed instrument for which the principal amount due at maturity is affected by the relative value of a foreign currency. (6) Interest or dividend is paid in kind. (7) Securities with an aggregate market value of $1,537,158 are segregated to collateralize outstanding forward foreign currency exchange contracts. See Note 5 of Notes to Financial Statements. (8) The Fund owns securities purchased in private placement transactions, without registration under the Securities Act of 1933 (the Act). The securities are valued under methods approved by the Board of Trustees as reflecting fair value. The Fund intends to invest no more than 10% of its net assets (determined at the time of purchase) in restricted and illiquid securities, excluding securities eligible for resale pursuant to Rule 144A of the Act that are determined to be liquid by the Board of Trustees or by the Manager under Board-approved guidelines. Restricted and illiquid securities amount to $6,212,193, or 5.67% of the Fund's net assets, at June 30, 1994.
Valuation Per Acquisition Cost Unit as of Security Date Per Unit June 30, 1994 - -------------------------------------------------- ----------------- --------- ------------- AMR Corp., $3.00 Cum. Cv. Depositary Shares, Series A Preferred Stock (9) 1/7/94-1/11/94 $ 54.13 $ 44.25 Banco do Nordeste do Brasil, 10.375% Sr. Debs., 11/6/95 (9) 4/26/93 $ 99.80 $ 100.00 Banco Nacional de Mexico SA, 7% Exch. Sub. Debs., 12/15/99 (9) 5/24/93 $ 104.00 $ 107.00 Berg Electronics Holdings Corp. Common Stock (9) 4/28/93-8/11/93 $ 1.19 $ 2.00 Capital Gaming International, Inc.: Units 1/10/94-6/03/94 $ 112.00 $ 102.50 Wts., Exp. 2/99 2/7/94-2/18/94 $ 0.00 $ 0.50 Celcaribe SA: Common Stock (9) 5/17/94 $ 1.19 $ 1.23 Units (9) 5/17/94 $ 60.78 $ 61.53 Charter Medical Corp., 11.25% Sr. Sub. Nts., 4/15/04 (9) 4/22/94 $ 100.00 $ 102.25
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- High Income Fund
Valuation Per Acquisition Cost Unit as of Security Date Per Unit June 30, 1994 - -------------------------------------------------- ----------------- --------- ------------- Dell Computer Corp., 7.00 Cv., Series A Preferred Stock (9) 8/19/93-1/24/94 $ 103.11 $ 114.00 ECM Fund L.P.I.: Common Stock 4/14/92 $1,000.00 $1,000.00 14% Sub. Nts., 6/10/02 4/14/92 $ 100.00 $ 110.00 Foamex LP/JPS Automotive Corp., Units (9) 6/21/94 $ 51.39 $ 52.00 General Media, Inc.: 10.625% Sr. Sec. Nts., 12/31/00 (9) 12/14/93 $ 99.39 $ 93.50 Wts., Exp. 12/00 (9) 12/14/93 $ 0.01 $ 12.50 Gillett Holdings, Inc., Cl. 1 Common Stock 12/1/92 $ 10.50 $ 18.50 GPA Holland BV: 8.625% Med.-Term Nts., 1/15/99 1/10/94 $ 78.13 $ 79.38 9.50% Med.-Term Nts., 12/5/01 1/27/94 $ 79.96 $ 75.00 GSPI Corp., 10.15% Fst. Mtg. Bonds, 6/24/10 (9) 1/29/93 $ 102.40 $ 109.06 Hillsborough Holdings Corp., 7.50% Participation Agreement, 12/30/99 1/6/94 $ 128.50 $ 140.88 Imax Corp., 7% Sr. Nts., 3/1/01 (9) 2/22/94 $ 92.39 $ 91.75 Mary Kay Corp., 12.75% Gtd. Sr. Nts., Series B, 12/6/00 12/11/92-3/22/93 $ 106.50 $ 104.50 Morocco (Kingdom of) Loan Participation Agreement, Tranche A, 4.50%, 1/1/09 2/28/94-4/20/94 $ 70.19 $ 69.96 Penda Industries, Inc., 10.75% Sr. Nts., 3/1/04 (9) 4/14/94-6/3/94 $ 99.05 $ 98.00 Polymer Group, Inc., 12.25% Sr. Nts., 7/15/02 (9) 6/17/94 $ 100.00 $ 100.25 Purity Supreme, Inc. Wts., Exp. 8/97 7/29/92 $ 0.00 $ 0.02 Residential Funding Corp., 7.97% Real Estate Trust Pass-Through Ctfs., Series 1993-J2, Cl. B-1, 6/15/23 (9) 6/29/93 $ 83.97 $ 77.34 Subic Power Corp., 9.50% Sr. Sec. Nts., Series A, 12/28/08 (9) 12/20/93 $ 99.93 $ 93.50 Terex Corp. Rts., Exp. 7/96 (9) 4/5/94 $ 1.54 $ 1.50 Treasure Bay Gaming & Resorts, Inc.: Units (9) 11/10/93 $ 100.00 $ 96.50 12.25% Fst. Mtg. Nts., 11/15/00 (9) 4/21/94-4/22/94 $ 90.95 $ 90.50 Triangle Wire & Cable Inc., 13.50% Sr. Nts., 1/15/02 1/13/92 $ 100.00 $ 45.00 Tribasa Toll Road Trust, 10.50% Nts., Series 1993-A, 12/1/11 (9) 11/8/93 $ 100.00 $ 90.25 Venezuela (Republic of) Nts., 9%, 5/27/96 (9) 5/19/94 $ 95.90 $ 97.50
9. Transferable under Rule 144A of the Act. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Money Fund
Face Market REPURCHASE AGREEMENTS -- 3.9% Amount Value -- Note 1 -------------- --------------- Repurchase agreement with Morgan Guaranty Trust Co., 4.30%, dated 6/30/94, to be repurchased at $3,800,454 on 7/1/94, collateralized by GNMA, 7%, 6/15/24, with a value of $3,885,027 (Cost $3,800,000) $ 3,800,000 $ 3,800,000 --------------- BANKERS' ACCEPTANCES -- 4.1% Chase Manhattan Bank, N.A., 4.60%, 9/26/94 (Cost $3,955,533) 4,000,000 3,955,533 --------------- CERTIFICATES OF DEPOSIT -- 4.1% Domestic Certificates of Deposit -- 4.1% Huntington National Bank, 4.41%, 7/6/94(1) (Cost $3,997,830) 4,000,000 3,997,830 --------------- DIRECT BANK OBLIGATIONS -- 2.6% First National Bank of Boston, 3.44%, 7/11/94 (Cost $2,500,000) 2,500,000 2,500,000 --------------- LETTERS OF CREDIT -- 4.1% Mitsubishi Bank, Ltd., guaranteeing commercial paper of: Mitsubishi Motors Credit of America, 4.69%, 9/30/94 (Cost $3,952,579) 4,000,000 3,952,579 --------------- SHORT-TERM NOTES -- 72.4% Asset-Backed -- 7.2% Corporate Asset Funding Co., Inc., 4.30%, 7/1/94 4,000,000 4,000,000 Structured Enhanced Return Trust 1994 Series A-07, 4.46%, 7/6/94(1)(3)(4) 3,000,000 3,000,000 --------------- 7,000,000 --------------- Broker/Dealers -- 21.2% Bear Stearns Cos., Inc., 4.45%, 7/1/94(1) 2,000,000 2,000,000 CS First Boston Corp., 4.63%, 11/3/94 4,000,000 3,935,694 Lehman Brothers Holdings, Inc., 4.1125%-4.595%, 7/1/94-7/20/94(1) 4,500,000 4,500,000 Merrill Lynch & Co., Inc.: 4%, 7/5/94 2,000,000 1,999,111 4.46%, 7/6/94(1) 1,500,000 1,499,819 Morgan Stanley Group, Inc., 4.15%, 7/1/94(1) 4,115,000 4,115,000 Republic New York Securities Corp., 4.675%, 12/7/94(1) 2,500,000 2,500,000 --------------- 20,549,624 --------------- Building Materials -- 2.1% Compagnie de Saint-Gobain SA, 3.65%, 7/25/94 2,000,000 1,995,133 --------------- Commercial Finance -- 3.7% CIT Group Holdings, Inc., 4.4963%, 7/13/94(1)(2) 1,000,000 1,000,000 Heller Financial, Inc., 4.3759%, 7/6/94(1) 2,600,000 2,600,000 --------------- 3,600,000 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Money Fund
Face Market SHORT-TERM NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- Conglomerates -- 7.1% Grand Metropolitan Investment Corp., guaranteed by Grand Metropolitan PLC, 4.65%, 11/7/94 $ 2,250,000 $ 2,211,945 Mitsubishi International Corp., 4.85%, 11/30/94 2,700,000 2,644,710 Pacific Dunlop Ltd., 4.25%, 9/6/94(3) 2,000,000 1,984,181 --------------- 6,840,836 --------------- Consumer Non-Cyclicals -- 5.1% American Brands, Inc., 4.025%-4.10%, 8/15/94-9/6/94(3) 5,000,000 4,967,046 --------------- Diversified Finance -- 5.2% General Motors Acceptance Corp., 4.05%, 7/5/94-8/5/94 5,000,000 4,994,263 --------------- Foreign Government Obligations -- 2.0% New South Wales Treasury Corp., supported by the Commonwealth of Australia, State of New South Wales, 4.69%, 11/14/94 2,000,000 1,964,564 --------------- Industrial -- 2.6% BICC Cables Corp., guaranteed by BICC PLC, 3.25%, 7/18/94 2,500,000 2,496,163 --------------- Leasing -- 6.4% International Lease Finance Corp., 4.65%, 11/14/94 4,000,000 3,929,733 Sanwa Business Credit Corp., 4.35%, 7/7/94(1) 2,256,000 2,254,364 --------------- 6,184,097 --------------- Lubricants and Fuels -- 1.0% Burmah Castrol Finance PLC, guaranteed by Burmah Castrol PLC, 4.87%, 10/26/94(3) 1,000,000 984,173 --------------- Oil: Integrated International -- 4.7% Statoil, guaranteed by Den Norske Stats Oljeselskap AS, 4.35%, 7/1/94 4,500,000 4,500,000 --------------- Telecommunications -- 4.1% NYNEX Corp., 4.55%, 8/17/94 4,000,000 3,976,239 --------------- Total Short-Term Corporate Notes (Cost $70,052,138) 70,052,138 --------------- SHORT-TERM U.S. GOVERNMENT OBLIGATIONS -- 8.2% Federal Home Loan Bank, 4.46%, 7/6/94(1) 3,000,000 3,000,000 --------------- Small Business Administration, 7.875%-9.125%, 7/1/94(1) 4,657,932 4,934,251 --------------- Total Short-Term U.S. Government Obligations (Cost $7,934,251) 7,934,251 --------------- Total Investments, at Value (Cost $96,192,331) 99.4% 96,192,331 Other Assets Net of Liabilities .6 620,856 -------------- --------------- Net Assets 100.0% $ 96,813,187 -------------- --------------- -------------- ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Money Fund Short-term notes, bankers' acceptances, direct bank obligations, and letters of credit are generally traded on a discount basis: the interest rate is the discount rate received by the Fund at the time of purchase. Other securities normally bear interest at the rates shown. (1) Variable rate security. The interest rate which is based on specific, or an index of, market interest rates, is subject to change periodically and is the effective rate on June 30, 1994. (2) Put obligation redeemable at full face value on the date reported. (3) Security purchased in private placement transaction, without registration under the Securities Act of 1933 (the Act). The securities were acquired between March 7, 1994 and June 30, 1994, are carried at amortized cost, and amount to $11,935,400 or 12.33% of the Fund's net assets. (4) In addition to being restricted, the security is considered illiquid by virtue of the absence of a readily available market or because of legal or contractual restrictions on resale. Illiquid securities amount to $4,000,000, or 4.13% of the Fund's net assets, at June 30, 1994. The Fund may not invest more than 10% of its net assets (determined at the time of purchase) in illiquid securities. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Face Market REPURCHASE AGREEMENTS -- 8.1% Amount Value -- Note 1 -------------- --------------- Repurchase agreement with The First Boston Corp., 4.125%, dated 6/30/94, to be repurchased at $22,802,613 on 7/1/94, collateralized by U.S. Treasury Nts., 1/31/96, with a value of $23,282,754 (Cost $22,800,000) 22,800,000 $ 22,800,000 --------------- GOVERNMENT OBLIGATIONS -- 24.0% Argentina (Republic of) Bonds, Bonos de Consolidacion de Deudas, Series 1, 4.375%, 4/01/01 (3)(4) 1,705,350 1,171,755 Argentina (Republic of) Par Bonds, 4%, 3/31/23 3,000,000 1,511,250 Australia (Government of) Bonds, 12%, 5/15/06 1,400,000(2) 1,129,079 Canada (Government of) Bonds: 9.75%, 6/1/01 2,000,000(2) 1,488,923 9.75%, 12/1/01 3,000,000(2) 2,235,557 8.50%, 4/1/02 1,500,000(2) 1,043,947 Government National Mortgage Assn.: 8%, 7/15/22 1,893,216 1,867,204 8%, 4/15/23 4,087,975 4,030,212 Mex Par A, 6.25%, 12/31/19 2,000,000 1,273,750 Queensland (Government of) Development Authority Global Transferrable Registered Nts., 10.50%, 5/15/03 3,600,000(2) 2,734,774 Spain (Kingdom of) Bonds: 13.45%, 4/15/96 175,000,000(2) 1,421,933 11.45%, 8/30/98 50,000,000(2) 397,908 United Mexican States Gtd. Cv. Bonds, Series B, 6.25%, 12/31/19 2,000,000 1,273,750 U.S. Treasury Bonds, STRIPS: 0%, 08/15/02 3,900,000 2,162,815 0%, 8/15/03 2,500,000 1,275,842 U.S. Treasury Nts.: 7.625%, 5/31/96 12,500,000 12,828,125 6.75%, 5/31/97 10,300,000 10,364,375 9.25%, 8/15/98 9,000,000 9,773,432 6.375%, 8/15/02 5,000,000 4,721,875 Venezuela (Republic of) Collateralized Par Bonds, Series W-A, 6.75%, 3/31/20 4,500,000 2,233,125 Venezuela (Republic of) Collateralized Par Bonds, Series W-B, 6.75%, 3/31/20 3,000,000 1,488,750 Venezuela (Republic of) Front-Loaded Interest Reduction Bonds, Series A, 6%, 3/31/07 (3) 2,000,000 911,875 --------------- Total Government Obligations (Cost $71,029,788) 67,340,256 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Face Market CORPORATE BONDS AND NOTES -- 19.5% Amount Value -- Note 1 -------------- --------------- Abbey Healthcare Group, Inc., 9.50% Sr. Sub. Nts., 11/1/02 250,000 232,500 Adelphia Communications Corp.: 12.50% Sr. Nts., 5/15/02 500,000 512,500 9.875% Sr. Debs., Series B, 3/1/05 500,000 441,250 Alco Health Distribution Corp., 11.25% Sr. Debs., 7/15/05 (4) 789,000 783,330 American Medical International, Inc., 13.50% Sr. Sub. Nts., 8/15/01 500,000 565,000 American Standard, Inc., 9.875% Sr. Sub. Nts., 6/1/01 500,000 483,750 American Telecasting, Inc., 12.5%, 6/15/04 1,100,000 577,500 Amstar Corp., 11.375% Sr. Sub. Nts., 2/15/97 800,000 796,000 Argyle Television Operations, 9.875% Sr. Sub. Nts., 12/30/03 750,000 761,250 Armco, Inc., 8.50% SF Debs., 9/1/01 200,000 187,250 Auburn Hills Trust, 12.375% Gtd. Exch. Ctfs., 5/1/20 (3) 400,000 544,000 Aztar Corp., 11% Sr. Sub. Nts., 10/1/02 475,000 448,875 Baldwin Co., 10.375% Sr. Nts., 8/1/03 500,000 452,500 Beaver Valley Funding Corp., 9.00% Debs., 6/1/17 500,000 420,419 Bell & Howell Holdings Co., 0%/10.75% Sr. Disc. Debs., Series B, 3/1/05 (5) 1,000,000 545,000 B.F. Saul Real Estate, 11.625% Sr. Nts., 4/1/02 600,000 588,000 Cablevision Industries Corp., 9.25% Sr. Debs., Series B, 4/1/08 500,000 442,500 Calmar, Inc., 12% Sr. Sec. Nts., 12/15/97 500,000 497,500 Carbide/Graphite Group, Inc., 11.50% Sr. Nts., 9/1/03 500,000 513,750 Card Establishment Services, Inc., 10% Sr. Sub. Nts., Series B, 10/1/03 1,400,000 1,337,000 Casino Magic Finance Corp., 11.50% First Mtg. Nts., 10/15/01 500,000 462,500 Centennial Cellular Corp., 8.875% Sr. Nts., 11/1/01 500,000 462,500 Charter Medical Corp., 11.25% Sr. Sub. Nts., 4/15/04 (6) 500,000 511,250 Chrysler Financial Corp., 13.25% Sr. Nts., 10/15/99 500,000 616,223 Coastal Corp., 11.75% Sr. Debs., 6/15/06 500,000 563,125 Cole National Group, Inc., 11.25% Sr. Nts., 10/1/01 1,000,000 1,015,000 Coleman Holdings, Inc., 0% Sr. Sec. Disc. Nts., 5/27/98 1,000,000 670,000 Collins & Aikman Group, Inc., 9.50% Sr. Sub. Debs., 6/1/01 500,000 507,500 Continental Cablevision, Inc., 9.50% Sr. Debs., 8/1/13 600,000 555,000 Di Giorgio Corp., 12% Sr. Nts., 2/15/03 250,000 257,500 Echostar Communications Corp., 12.875%, Sr. Sec. Disc. Nts., 6/1/04 800,000 426,000 Envirosource, Inc., 9.75% Sr. Nts., 6/15/03 1,250,000 1,137,500 Family Restaurant, Inc., 9.75% Sr. Nts., 2/1/02 1,500,000 1,365,000
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- Farm Fresh, Inc., 12.25% Sr. Nts., 10/1/00 750,000 738,750 Finlay Fine Jewelry Corp., 10.625% Sr. Nts., 5/1/03 750,000 751,875 First Chicago Corp.: 9% Sub. Nts., 6/15/99 250,000 263,681 11.25% Sub. Nts., 2/20/01 250,000 292,429 First PV Funding Corp., Public Service of New Mexico 10.15% Debs., 1/15/16 1,000,000 948,405 Flagstar Corp., 10.875% Sr. Nts., 12/1/02 400,000 385,000 Foodmaker, Inc.: 14.25% Sr. Sub. Nts., 5/15/98 500,000 525,625 9.25% Sr. Nts., 3/1/99 500,000 466,250 Gaylord Container Corp., 11.50% Sr. Sub. Disc. Nts., 5/15/01 500,000 520,000 GNF Corp., 10.625% Gtd. Fst. Mtg. Nts., 4/1/03 500,000 370,000 GPA Delaware, Inc., 8.75% Gtd. Nts., 12/15/98 250,000 201,250 GPA Holland, 9.75%, 6/10/96 1,000,000 940,000 Grand Union Co., 11.25% Sr. Nts., 7/15/00 400,000 395,000 Gulf Canada Resources Ltd., 9.25% Sr. Sub. Deb., 01/15/04 500,000 450,170 Harris Chemical North America, Inc., 0%/10.25% Gtd. Sr. Sec. Disc. Nts., 7/15/01 1,000,000 805,000 Harmon International Industries, Inc., 12% Sr. Sub. Nts., 8/1/02 500,000 542,500 Horsehead Industries, Inc., 14% Sub. Nts., 6/1/99 400,000 400,000 Imax Corp., 7% Sr. Nts., 3/1/01 (6) 600,000 550,500 International Cabletel, Inc., 0%/10.875% Sr. Def. Cpn. Nts., 10/15/03 (5) 500,000 300,000 Kaiser Aluminum & Chemical Corp., 12.75% Sr. Sub. Nts., 2/1/03 1,000,000 1,020,000 Lamar Advertising Co., 11% Sr. Sec. Nts., 5/15/03 750,000 742,500 Marvel Holdings, Inc., 0% Sr. Sec. Disc. Nts., Series B, 4/15/98 1,200,000 744,000 Mediq, Inc., 7.50% Exch. Sub. Debs., 7/15/03 1,000,000 810,000 Mesa Capital Corp., 0%/12.75% Sec. Disc. Nts., 6/30/98 (5) 1,022,000 930,020 Nextel Communications, Inc., 0%/9.75% Sr. Disc. Nts., 8/15/04 (5) 280,000 163,800 NVR, Inc., 11% Gtd. Sr. Nts., 4/15/03 500,000 492,500 OPI International, Inc., 12.875% Gtd. Sr. Nts., 7/15/02 1,000,000 1,165,000 Outlet Broadcasting, Inc., 10.875% Sr. Sub. Nts., 7/15/03 1,000,000 997,500 Owens-Illinois, Inc., 10% Sr. Sub. Nts., 8/1/02 500,000 500,625 Pace Industries, 10.625% Sr. Nts., 12/1/02 500,000 472,500 Pacific Lumber Co., 10.50% Sr. Nts., 3/1/03 925,000 892,625 Panamsat LP/Panamsat Capital Corp.: 9.75% Sr. Sec. Nts., 8/1/00 500,000 497,500 0%/11.375% Sr. Sub. Disc. Nts., 8/1/03 (5) 250,000 161,250 Penda Industries, 10.75% Sr. Nts., 3/1/04 (6) 825,000 808,500 Pioneer Finance, 13.50% First Mtg., 12/1/98 1,000,000 1,005,000 Purity Supreme, Inc., 11.75% Sr. Sec. Nts., Series B, 8/1/99 800,000 784,000
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Face Market CORPORATE BONDS AND NOTES (CONTINUED) Amount Value -- Note 1 -------------- --------------- Quantum Chemical Corp., 10.375% First Mtg. Bonds, 6/1/01 500,000 564,894 Revlon Worldwide Corp., 0% Sr. Sec. Disc. Nts., 3/15/98 300,000 127,500 RJR Nabisco, Inc.: 10.50% Sr. Nts., 4/15/98 400,000 424,394 8.625% Medium-Term Nts., 12/1/02 500,000 435,738 SCI Television, Inc., 11% Sr. Sec. Nts., 6/30/05 500,000 512,500 Sequa Corp., 9.375% Sr. Sub. Nts., 12/15/03 500,000 467,500 Snydergeneral Corp., 14.25% Sr. Sub. Debs., 11/15/00 1,000,000 1,065,000 Station Casinos, Inc., 9.625% Sr. Sub. Nts., 6/1/03 1,000,000 915,000 Stone Container Corp., 9.875% Sr. Nts., 2/1/01 1,000,000 935,000 Synthetic Industries, Inc., 12.75% Sr. Sub. Debs., 12/1/02 300,000 327,750 Talley Industries, Inc., 12.25% Sr. Disc. Debs., 10/15/05 1,750,000 1,032,500 Thrifty Payless, Inc., 11.75% Sr. Nts., 4/15/03 500,000 510,000 Time Warner, Inc./Time Warner Entertainment LP, 10.15% Sr. Nts., 5/1/12 500,000 560,000 Tiphook Finance Corp., 10.75% Sr. Gtd. Nts., 11/1/02 592,000 464,720 TKR Cable I, Inc., 10.50% Sr. Debs., 10/30/07 1,000,000 1,090,000 Unisys Corp.: 15% Credit Sensitive Nts., 7/1/97 500,000 543,712 9.75% Sr. Nts., 9/15/16 500,000 457,500 United States Banknote Corp., 11.625%, 8/1/02 (6) 380,000 380,000 USA Mobile Communication, 9.50% Sr. Nts., 2/1/04 1,000,000 915,000 USG Corp.: 10.25% Sr. Sec. Nts., 12/15/02 500,000 502,500 8.75% Debs., 3/1/17 300,000 263,250 Walter Industries, Inc., 14.625% Sr. Nts., Series B, 1/1/99 300,000 492,375 --------------- Total Corporate Bonds and Notes (Cost $56,781,378) 54,699,560 --------------- MUNICIPAL BONDS -- 0.2% Port of Portland, Oregon Special Obligation Taxable Revenue Bonds, PAMCO Project, 9.20%, 5/15/22 (Cost $500,000) 500,000 523,206 --------------- RIGHTS, WARRANTS AND CERTIFICATES -- 0.0% Units -------------- Gaylord Container Corp. Wts., Exp. 7/96 (Cost $36,927) 16,412 62,571 --------------- PREFERRED STOCKS -- 0.9% Shares -------------- Alumax, Inc., $19.50 Cv., Series A 3,000 345,000 Chiquita Brands International, Inc., $1.32 Depositary Shares 26,000 357,500 Cyprus Amax Minerals Co., $4.00 Cv., Series A 6,000 404,250
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market PREFERRED STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- Delta Airlines, Inc., $3.50 Cv. Depositary Shares Series C 13,200 597,300 K-III Communications Corp., Sr. Exch. 20,000 530,000 Liposome Co., Inc. (The), $1.9375 Cum. Cv. Exch. Depositary Shares, Series A 10,000 166,250 --------------- Total Preferred Stocks (Cost $2,280,927) 2,400,300 --------------- COMMON STOCKS -- 46.4% BASIC MATERIALS -- 4.2% Chemicals -- 1.2% Air Products and Chemicals, Inc. 10,000 423,750 biosys (1) 40,000 250,000 Dow Chemical Co. (The) 8,500 555,688 Great Lakes Chemical Corp. 5,400 292,275 IMC Fertilizer Group, Inc. (1) 19,000 657,875 Praxair, Inc. 39,500 770,250 Sybron Chemical Industries, Inc. (1) 32,500 780,000 --------------- 3,729,838 --------------- Chemicals: Diversified -- 0.9% ARCO Chemical Co. 24,200 1,098,075 Bayer AG ADR 7,000 1,515,286 --------------- 2,613,361 --------------- Chemicals: Specialty -- 0.1% Goldschmidt (T.H.) AG 750 329,888 --------------- Metals: Miscellaneous -- 0.8% Brush Wellman, Inc. 69,300 1,100,137 Custom Chrome, Inc. (1) 43,000 612,750 Inco Ltd. 22,700 553,313 --------------- 2,266,200 --------------- Paper and Forest Products -- 0.7% Kimberly-Clark de Mexico, Series A 30,000 557,070 Lousiana-Pacific Corp. 26,200 799,100 Macmillian Bloedel Ltd. 57,800 729,725 --------------- 2,085,895 --------------- Steel -- 0.5% Allegheny Ludlum Corp 30,000 555,000 Inland Steel Industries, Inc. (1) 20,600 718,425 --------------- 1,273,425 --------------- CONSUMER CYCLICALS -- 10.0% Automobiles -- 0.4% Fiat SpA 280,000 1,124,916 --------------- Auto Parts -- After Market -- 0.2% Excel Industries, Inc. 30,000 465,000 --------------- Broadcast Media -- 1.1% Capital Cities/ABC, Inc. 10,000 711,250 Comcast Corp., Cl. A Special 63,950 1,151,100 Grupo Televisa SA, Sponsored ADR (6) 7,500 380,625 SFX Broadcasting, Inc., Cl. A (1) 66,000 907,500 --------------- 3,150,475 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- CONSUMER CYCLICALS (CONTINUED) Entertainment -- 1.1% Disney (Walt) Co. 23,000 957,375 King World Productions, Inc. (1) 23,000 917,125 MGM Grand Inc. (1) 27,000 631,125 WMS Industries, Inc. (1) 33,200 630,800 --------------- 3,136,425 --------------- Homebuilding -- 0.1% Miles Homes, Inc. (1) 50,000 221,875 --------------- Household Furnishings and Appliances -- 0.6% Chromcraft Revington Inc. (1) 50,000 962,500 Shaw Industries, Inc. 40,000 660,000 --------------- 1,622,500 --------------- Leisure Time -- 0.7% Caesar's World, Inc. (1) 23,100 837,375 Eastman Kodak Co. 14,000 673,750 Funco, Inc. (1) 35,000 472,500 --------------- 1,983,625 --------------- Publishing -- 0.7% Bowne & Co., Inc 40,000 830,000 Time Warner, Inc. 17,100 600,638 Wolters Kluwer NV 10,167 600,917 --------------- 2,031,555 --------------- Restaurants -- 0.3% Quantum Restaurant Group, Inc. (1) 95,000 795,625 --------------- Retail Stores: Department Stores -- 0.3% Dillard Department Strores, Inc., Cl. A 26,300 812,013 --------------- Retail Stores: General Merchandise Chains -- 0.6% Price/Costco, Inc. (1) 50,000 746,875 Waban, Inc. (1) 55,000 914,375 --------------- 1,661,250 --------------- Retail: Specialty -- 1.5% Brock Candy Co. 40,000 310,000 Blockbuster Entertainment Corp. 9,700 250,988 CML Group, Inc. 57,400 674,450 Castorama Dubois Investissements LP 4,086 505,993 CompUSA, Inc. (1) 55,000 488,124 Inacom Corp. (1) 40,500 329,063 Toys 'R' US, Inc. 25,200 825,300 Venture Stores, Inc. 42,000 829,500 --------------- 4,213,418 --------------- Shoes -- 0.6% Baker (J.), Inc. 57,600 1,116,000 Justin Industries, Inc 50,000 600,000 --------------- 1,716,000 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- CONSUMER CYCLICALS (CONTINUED) Textiles: Apparel Manufacturers -- 1.1% Authentic Fitness Corp. (1) 59,400 831,600 Cone Mills Corp. (1) 42,200 543,325 Fruit of the Loom, Inc., Cl. A (1) 27,300 713,212 Warnaco Group, Inc. (The), Cl. A (1) 36,000 1,057,500 --------------- 3,145,637 --------------- Toys -- 0.7% Mattel, Inc. 38,150 968,056 Nintendo Co. 7,000 506,680 SLM International Inc. (1) 46,000 506,000 --------------- 1,980,736 --------------- CONSUMER NON-CYCLICALS -- 8.9% Beverages: Alcoholic -- 0.2% Guinness PLC 100,000 674,510 --------------- Beverages: Soft Drinks -- 0.4% Whitman Corp. 70,000 1,085,000 --------------- Cosmetics -- 0.5% Avon Products, Inc. (1) 16,400 965,550 Neutrogena Corp 30,000 570,000 --------------- 1,535,550 --------------- Drugs -- 1.8% Agouron Pharmaceuticals, Inc. (1) 22,000 247,500 Astra AB Free, Series A 15,500 312,643 Ciba-Geigy AG 950 560,230 Lilly (Eli) & Co. 16,000 910,000 Medeva PLC 185,000 382,634 Mylan Laboratories, Inc. 48,400 1,028,500 Nature's Bounty, Inc. (1) 70,000 560,000 Sandoz AG 600 311,226 Upjohn Co. 31,500 917,437 --------------- 5,230,170 --------------- Food Processing -- 1.0% CP Pokphand Co. 927,000 251,861 Chiquita Brands International, Inc. 600 7,500 Nestle SA, Sponsored ADR (1) 20,000 839,353 Sanfilippo (John B.) & Son, Inc. 60,000 592,500 Sara Lee Corp. 46,200 981,750 --------------- 2,672,964 --------------- Healthcare: Diversified -- 1.3% Abbott Laboratories 28,800 835,200 Bristol-Myers Squibb Co. 25,000 1,340,625 Carter-Wallace, Inc. 44,000 819,500 Schering AG 1,025 613,796 --------------- 3,609,121 --------------- Healthcare: Miscellaneous -- 2.1% Amgen, Inc. (1) 17,900 767,463 Chiron Corp. (1) 8,400 459,900 FHP International Corp. (1) 45,000 1,080,000 Genzyme Corp. (1) 25,100 655,738 Manor Care, Inc. 45,785 1,150,348 Matrix Pharmaceutical, Inc. (1) 18,000 184,500
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- CONSUMER NON-CYCLICALS (CONTINUED) Healthcare: Miscellaneous (Continued) Protein Design Labs, Inc. (1) 9,000 164,250 Quintiles Transnational Corp. (1) 10,000 180,000 U.S. Healthcare, Inc. 28,800 1,065,600 --------------- 5,707,799 --------------- Hospital Management -- 0.3% Medical Care America, Inc. (1) 26,000 705,250 --------------- Medical Products -- 0.8% Medtronic, Inc. 9,000 721,125 Mitek Surgical Products, Inc. 54,000 945,000 Nellcor, Inc. (1) 23,000 615,250 --------------- 2,281,375 --------------- Retail Stores: Food Chains -- 0.1% Giant Food, Inc., Cl. A 17,900 351,288 --------------- Tobacco -- 0.4% Philip Morris Cos., Inc. 20,000 1,030,000 --------------- ENERGY -- 2.0% Coal -- 0.2% Ashland Coal, Inc. 24,200 647,350 --------------- Oil and Gas Drilling -- 0.2% Santa Fe Energy Resources, Inc. 63,500 595,313 --------------- Oil: Integrated Domestic -- 0.7% Ashland Oil, Inc. 15,000 504,375 Atlantic Richfield Co. 7,000 714,875 Unocal Corp. 22,000 629,750 --------------- 1,849,000 --------------- Oil: Integrated International -- 0.7% Royal Dutch Petroleum Co. 10,000 1,046,250 Saga Petroleum AS, Cl. A 12,000 140,832 Saga Petroleum AS, Cl. B 19,000 220,249 Total SA, Sponsored ADR 15,373 441,974 --------------- 1,849,305 --------------- Oil Well Services and Equipment -- 0.2% Schlumberger, Ltd. 11,000 650,375 --------------- FINANCIAL -- 4.5% Financial Services: American Express Co. 31,500 811,125 Miscellaneous -- H & R Block Incorporated 15,400 604,450 1.1% Merrill Lynch & Co., Inc. 25,000 875,000 Peregrine Investment Holdings Ltd. (1) 200,000 328,622 Santa Anita Realty Enterprises, Inc. (6) 30,000 532,500 --------------- 3,151,697 --------------- Insurance: Life -- 0.3% Bankers Life Holding Corp. 37,700 758,713 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- FINANCIAL (CONTINUED) Insurance: Multi-Line -- 0.8% American International Group, Inc. 12,000 1,039,500 American Re Corp. (1) 36,000 1,111,500 --------------- 2,151,000 --------------- Insurance: Property and Casualty -- 0.3% W.R. Berkley 21,000 813,750 --------------- Major Banks: Other -- 0.2% Deutsche Bank AG, ADR 1,325 569,482 --------------- Major Banks: Regional -- 0.8% BancOne Corp. 19,600 671,300 NationsBank Corp. 30,700 1,577,213 --------------- 2,248,513 --------------- Money Center Banks -- 0.7% Bankers Trust New York Corp. 15,700 1,046,013 Chemical Banking Corp. 25,000 962,500 --------------- 2,008,513 --------------- Savings and Loans/Holding Cos. -- 0.3% Golden West Financial Corp. 20,000 772,500 --------------- INDUSTRIAL -- 7.0% Building Materials Masco Corp. 15,000 412,500 Group -- 0.4% Owens-Corning Fiberglass Corp. (1) 25,400 790,575 --------------- 1,203,075 --------------- Commercial Services -- 0.4% Borg-Warner Corp. (1) 35,000 393,750 Sylvan Learning Sys. Inc (1) 50,000 787,500 --------------- 1,181,250 --------------- Conglomerates -- 0.7% Jardine Matheson Holdings Ltd. 50,000 384,901 Tenneco, Inc. 18,400 853,300 Wharf Holdings 175,000 645,276 --------------- 1,883,477 --------------- Containers: Metal and Glass -- 0.2% Interpool, Inc. (1) 39,000 448,500 --------------- Electrical Equipment -- 1.1% ASEA AB, Sponsored ADR 10,000 745,000 C-Cube Microsystems, Inc. (1) 33,000 519,750 General Electric Co. 20,000 932,500 Methode Electronics, Inc., Cl. A 50,000 850,000 --------------- 3,047,250 --------------- Engineering and Construction -- 0.8% Empresas ICA Sociedad Controladora S.A. de C.V. 23,000 552,000 Foster Wheeler Corp. 17,000 618,375 Huarte SA 44,150 570,323 Insituform Mid-America, Inc., Cl. A 60,000 630,000 --------------- 2,370,698 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- INDUSTRIAL (CONTINUED) Heavy Duty Trucks and Parts -- 0.1% Spartan Motors, Inc. 24,000 306,000 --------------- Machinery Tools -- 0.1% FANUC Ltd. 7,000 336,368 --------------- Machinery: Diversified -- 0.1% Cognex Corp. (1) 25,000 356,250 --------------- Manufacturing: Diversified Industrials -- 1.2% AlliedSignal, Inc. 18,000 623,250 Instrument Systems Corp. (1) 65,000 479,375 Mannesmann AG 3,287 833,395 Olin Corp. 11,000 592,625 Siemens AG, ADR 10,000 811,839 --------------- 3,340,484 --------------- Pollution Control -- 0.2% WMX Technologies, Inc. 20,000 530,000 --------------- Railroads -- 0.6% Burlington Northern, Inc. 17,000 907,375 Chicago & North Western Holdings Corp. 35,000 809,375 --------------- 1,716,750 --------------- Transportation: Miscellaneous -- 0.8% Consolidated Freightways, Inc. (1) 25,000 593,750 DS Svendborg B (1) 10 285,259 OMI Corp. 105,000 630,000 Stolt-Nielsen SA 40,000 682,500 --------------- 2,191,509 --------------- Truckers -- 0.3% Roadway Services, Inc (1) 14,300 900,900 --------------- TECHNOLOGY -- 7.9% Aerospace/Defense -- 0.4% General Dynamics Corp. 12,800 523,200 McDonnell Douglas Corp. 4,000 468,000 --------------- 991,200 --------------- Computer Software and Services -- 3.0% BMC Software, Inc. (1) 17,000 743,750 Computer Associates International, Inc. 27,500 1,100,000 Electronic Arts, Inc. (1) 51,500 721,000 Legent Corp. (1) 23,000 621,000 Lotus Development Corp. (1) 13,800 507,150 Marcam Corp. (1) 48,300 543,375 Microsoft Corp. (1) 12,600 648,900 Novell, Inc. (1) 54,600 914,550 Pyxis Corp. (1) 48,000 912,000 Sap AG, Preference 500 1,003,802 Sierra On-Line, Inc. (1) 31,157 514,091 Trinzic Corp. (1) 80,000 290,000 --------------- 8,519,618 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market COMMON STOCKS (CONTINUED) Shares Value -- Note 1 -------------- --------------- TECHNOLOGY (CONTINUED) Computer Systems -- 1.0% Cabletron Systems, Inc. (1) 5,000 483,125 Radius, Inc. 40,000 195,000 Seagate Technology (1) 16,000 316,000 Sun Microsystems Inc. (1) 33,000 680,625 Synoptics Communications, Inc. (1) 43,800 596,775 Tandem Computers, Inc. (1) 59,400 668,250 --------------- 2,939,775 --------------- Electionics: Defense -- 0.2% CAE, Inc. 115,000 551,470 --------------- Electronics: Instrumentation -- 0.4% Hewlett-Packard Co. 11,500 866,813 Molecular Dynamics, Inc. (1) 25,000 162,500 --------------- 1,029,313 --------------- Electronics: Semiconductors -- 1.0% Intel Corp. 34,500 2,018,250 Samsung Electronics Co. Ltd., Sponsored GDR (1)(6) 11,500 675,625 --------------- 2,693,875 --------------- Office Equipment and Supplies -- 0.3% Xerox Corp. 8,500 830,875 --------------- Telecommunications -- 1.6% Airtouch Communications, Inc. (1) 46,000 1,086,750 American Telephone & Telegraph Co. 16,000 870,000 MCI Communications Corp. 46,300 1,024,388 Nextel Communications, Inc., Cl. A (1) 19,900 601,975 Rogers Cantel Mobile Communications, Inc., Sub. Cl. B (1) 33,900 822,075 --------------- 4,405,188 --------------- UTILITIES -- 1.9% Electric Public Service Enterprise Group, Inc. 35,000 910,000 Companies -- 0.5% Verbund Oest Electriz 9,400 536,872 --------------- 1,446,872 --------------- Natural Gas -- 0.4% Hong Kong & China Gas 244,800 468,744 Southwestern Energy Co. 40,000 690,000 --------------- 1,158,744 --------------- Telephone -- 1.0% BCE, Inc. 22,000 712,250 Pacific Telesis Group 25,000 771,875 U S West Communications, Inc. 30,500 1,277,187 --------------- 2,761,312 --------------- Total Common Stocks (Cost $118,513,157) 130,448,949 ---------------
STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund
Market Value -- Note 1 --------------- Total Investments, at Value (Cost $271,942,177) 99.1% 278,274,841 Other Assets Net of Liabilities 0.9 2,483,349 -------------- --------------- Net Assets 100.0% $ 280,758,190 -------------- --------------- -------------- ---------------
(1) Non-income producing security. (2) Face amount is reported in foreign currency. (3) Represents the current interest rate for a variable rate security. (4) Interest is paid in kind. (5) Represents a zero coupon bond that converts to a fixed rate of interest at a designated future date. (6) The Fund owns securities purchased in private placement transactions, without registration under the Securities Act of 1933 (the Act). The securities are valued under methods approved by the Board of Trustees as reflecting fair value. The Fund intends to invest no more than 10% of its net assets (determined at the time of purchase) in restricted and illiquid securities, excluding securities eligible for resale pursuant to Rule 144A of the Act that are determined to be liquid by the Board of Trustees or by the Manager under Board-approved guidelines. Restricted and illiquid securities amount to $3,839,000, or 1.37% of the Fund's net assets at June 30, 1994.
Valuation Per Acquisition Cost Unit as of Security Date Per Unit June 30, 1994 - -------------------------------------------------- --------------------- -------- ------------- Charter Medical Corp., 11.25% Sr.N Sub. Nts., 4/15/04 (7) 4/22/94 $ 1.00 $ 1.03 Grupo Televisa SA, Sponsored ADR (7) 8/20/92 - 8/26/92 $27.68 $ 50.75 Imax Corp., 7% Sr. Nts., 3/1/01 (7) 2/22/94 $ 0.93 $ 0.92 Penda Industries, 10.75% Sr. MNts., 3/1/04 (7) 3/11/94 - 4/11/94 $ 0.99 $ 0.98 Samsung Electronics Co., Ltd., Sponsored GDR (7) 11/4/93 $34.75 $ 58.75 Santa Anita Realty Enterprises, Inc. 5/28/93 - 11/29/93 $17.96 $ 17.75 United States Banknote SCorp., 11.625%, 8/1/02 (7) 4/26/94 $ 0.98 $ 1.00
(7) Transferable under Rule 144A of the Act. See accompanying Notes to Financial Statements. STATEMENT OF INVESTMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds -- Multiple Strategies Fund (8) Securities with an aggregate market value of $4,854,438 are held to cover outstanding call options, as follows:
Shares Subject Expiration Exercise Premium Market Value -- to Call Date Price Received Note 1 ------- ---------- -------- -------- --------------- Amgen, Inc. .................... 4,000 10/94 $ 50.00 $11,380 $ 4,500 Avon Products Inc. ............. 7,200 10/94 60.00 30,383 21,150 Blockbuster Entertainment Corp. ......................... 9,700 9/94 25.00 26,989 21,219 Burlington Northern, Inc. ...... 2,800 7/94 65.00 6,566 525 Computer Associates, Inc. ...... 5,500 10/94 45.00 13,584 11,000 Disney (Walt) Co. .............. 4,000 10/94 40.00 19,379 15,000 Golden West Financial Corp. .... 3,000 11/94 40.00 8,910 6,375 Grupo Televisa SA, ADS.......... 3,700 10/94 55.00 19,776 10,637 Grupo Televisa SA, ADS.......... 3,800 10/94 60.00 12,710 5,700 Hewlett-Packard Co. ............ 2,000 11/04 95.00 4,690 1,750 King World Productions, Inc. ... 4,600 8/94 40.00 9,062 12,650 King World Productions, Inc. ... 4,600 8/94 45.00 9,062 6,325 King World Productions, Inc. ... 4,600 11/94 45.00 15,961 12,650 Legent Corp. ................... 7,000 10/94 30.00 17,289 10,500 Lotus Development Corp. ........ 3,900 10/94 60.00 31,082 1,219 McDonnell Douglas Corp. ........ 1,000 8/94 120.00 6,970 3,500 Medtronic, Inc. ................ 1,800 8/94 90.00 7,146 1,125 Merrill Lynch & Co., Inc. ...... 3,000 7/94 47.50 5,535 188 Microsoft Corp. ................ 1,200 10/94 47.50 3,864 15,600 Nellcor, Inc. .................. 4,500 7/94 30.00 9,990 1,406 Nellcor, Inc. .................. 4,600 10/94 30.00 8,022 4,313 Neutrogena Corp. ............... 7,500 1/95 22.50 11,962 8,437 Nextel Communications, Inc., Cl. A.............................. 4,000 11/94 45.00 5,380 2,500 Philip Morris Cos., Inc. ....... 5,000 12/94 60.00 10,475 4,375 Spartan Motors, Inc. ........... 10,400 12/94 22.50 17,887 3,250 Time Warner, Inc. .............. 4,000 9/94 45.00 5,880 750 U.S. Healthcare, Inc. .......... 3,800 7/94 43.375 25,535 2,138 U.S. Healthcare, Inc. .......... 3,800 7/94 46.625 16,985 712 Xerox Corp. .................... 2,000 7/94 95.00 7,440 8,500 -------- ------ $379,894 $ 197,994 -------- ------ -------- ------
See accompanying Notes to Financial Statements. STATEMENTS OF ASSETS AND LIABILITIES June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds
OPPENHEIMER OPPEHEIMER OPPENHEIMER OPPENHEIMER CAPITAL OPPENHEIMER MONEY HIGH INCOME BOND APPRECIATION GROWTH FUND FUND FUND FUND FUND ---------------------------------------------------------------------------------------------- ASSETS: Investments, at value (cost*) -- see accompanying statements $96,192,331 $107,458,382 $121,906,608 $148,400,575 $57,969,963 Unrealized appreciation on forward foreign currency exchange contracts -- Note 5 -- -- -- -- -- Cash -- -- 1,971,891 -- 52,959 Receivables: Dividends and interest 233,032 1,791,154 1,823 68,576 62,042 Shares of beneficial interest sold 1,923,479 264,495 122,031 1,638,071 1,266,773 Investments sold 84,631 3,345,537 1,247,134 791,796 Other 3,841 807,928 75,710 6,174 904 ---------------------------------------------------------------------------------------------- Total assets 98,437,314 113,667,496 124,078,063 151,360,530 60,144,437 ---------------------------------------------------------------------------------------------- LIABILITIES: Bank overdraft 1,465,532 616,852 -- 73,429 -- Options written, at value (premiums received $635,122 and $1,594) -- see accompanying statements -- Note 4 -- -- -- -- -- Unrealized depreciation on forward foreign exchange contracts -- Note 5 -- 28,865 -- -- -- Payables and other liabilities: Dividends 146,888 -- -- -- -- Investments purchased -- 2,524,487 1,408,057 5,755,252 611,160 Shares of beneficial interest redeemed -- 585,034 176,610 591,059 1,505,115 Other 11,707 269,123 104,650 17,599 11,027 ---------------------------------------------------------------------------------------------- Total liabilities 1,624,127 4,024,361 1,689,317 6,437,339 2,127,302 ---------------------------------------------------------------------------------------------- NET ASSETS $96,813,187 $109,643,135 $122,388,746 $144,923,191 $58,017,135 ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------- COMPOSITION OF NET ASSETS: Paid-in capital $96,813,187 $109,499,796 $122,767,358 $144,753,243 $52,673,138 Undistributed (distributions in excess of) net investment income -- 1,447,395 1,840,933 387,234 420,134 Accumulated net realized gain (loss) from investment, written option and foreign currency transactions -- 746,761 (152,327) 910,003 (731,976) Net unrealized appreciation (depreciation) on investments, options written and translation of assets and liabilities denominated in foreign currencies -- (2,050,817) (2,067,218) (1,127,289) 5,655,839 ---------------------------------------------------------------------------------------------- NET ASSETS $96,813,187 $109,643,135 $122,388,746 $144,923,191 $58,017,135 ---------------------------------------------------------------------------------------------- ---------------------------------------------------------------------------------------------- SHARES OF BENEFICIAL INTEREST OUTSTANDING 96,813,187 10,562,705 10,956,821 6,147,913 3,481,692 NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $1.00 $10.38 $11.17 $23.57 $16.66 *Cost $96,192,331 $109,502,241 $123,983,784 $149,527,864 $52,314,124 OPPENHEIMER OPPENHEIMER OPPENHEIMER MULTIPLE GLOBAL STRATEGIC STRATEGIES SECURITIES BOND FUND FUND FUND ------------------------------------------------------ ASSETS: Investments, at value (cost*) -- see accompanying statements $278,274,841 $191,915,772 $16,302,679 Unrealized appreciation on forward foreign currency exchange contracts -- Note 5 -- 6,810 -- Cash -- -- -- Receivables: Dividends and interest 2,531,532 517,263 402,943 Shares of beneficial interest sold 404,006 73,936 65,707 Investments sold 2,228,458 3,107,536 353,945 Other 44,016 37,983 120,861 ------------------------------------------------------ Total assets 283,482,853 195,659,300 17,246,135 ------------------------------------------------------ LIABILITIES: Bank overdraft 127,238 370,105 1,195,045 Options written, at value (premiums received $635,122 and $1,594) -- see accompanying statements -- Note 4 197,994 -- 1,275 Unrealized depreciation on forward foreign exchange contracts -- Note 5 -- -- 10,277 Payables and other liabilities: Dividends -- -- -- Investments purchased 2,046,912 585,096 200,000 Shares of beneficial interest redeemed 291,457 321,808 585 Other 61,062 65,552 32,365 ------------------------------------------------------ Total liabilities 2,724,663 1,342,561 1,439,547 ------------------------------------------------------ NET ASSETS $280,758,190 $194,316,739 $15,806,588 ------------------------------------------------------ ------------------------------------------------------ COMPOSITION OF NET ASSETS: Paid-in capital $ 266,588,126 $ 190,781,256 $ 16,570,937 Undistributed (distributions in excess of) net investment income 2,454,075 933,006 189,081 Accumulated net realized gain (loss) from investment, written option and foreign currency transactions 5,197,309 3,668,311 (301,169) Net unrealized appreciation (depreciation) on investments, options written and translation of assets and liabilities denominated in foreign currencies 6,518,680 (1,065,834) (652,261) ------------------------------------------------------ NET ASSETS $280,758,190 $194,316,739 $15,806,588 ------------------------------------------------------ ------------------------------------------------------ SHARES OF BENEFICIAL INTEREST OUTSTANDING 21,580,744 12,738,903 3,272,731 NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $13.01 $15.25 $4.83 *Cost $271,942,177 $192,984,238 $16,951,135
See accompanying Notes to Financial Statements. STATEMENTS OF OPERATIONS For the Six Months Ended June 30, 1994 (Unaudited) Oppenheimer Variable Account Funds
OPPENHEIMER OPPENHEIMER OPPENHEIMER OPPENHEIMER CAPITAL OPPENHEIMER MONEY HIGH INCOME BOND APPRECIATION GROWTH FUND FUND FUND FUND FUND ----------- ------------ ------------ ------------- ------------ INVESTMENT INCOME: Interest $1,620,619 $ 4,405,878 $ 4,351,596 $ 540,279 $ 153,411 Dividends -- 141,201 99 141,414 389,871 ----------- ------------ ------------ ------------- ------------ Total income 1,620,619 4,547,079 4,351,695 681,693 543,282 ----------- ------------ ------------ ------------- ------------ EXPENSES: Management fees -- Note 6 139,053 265,430 225,035 279,588 114,962 Custodian fees and expenses 10,112 6,727 7,019 10,250 7,008 Legal and auditing fees 6,904 6,496 6,178 1,190 6,069 Trustees' fees and expenses 1,976 1,062 787 2,394 815 Other 2,734 1,802 6,001 16,921 1,689 ----------- ------------ ------------ ------------- ------------ Total expenses 160,779 281,517 245,020 310,343 130,543 ----------- ------------ ------------ ------------- ------------ NET INVESTMENT INCOME 1,459,840 4,265,562 4,106,675 371,350 412,739 ----------- ------------ ------------ ------------- ------------ REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS WRITTEN AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) from: Investments 18,535 1,212,808 (68,826 ) 978,991 (121,043) Expiration of option contracts written - Note 4 -- -- -- -- -- Foreign currency transactions -- (60,930 ) (65,651 ) -- -- Net change in unrealized appreciation or depreciation on: Investments and options written -- (6,928,091 ) (6,376,238 ) (27,076,241 ) (3,480,281) Translation of assets and liabilities denominated in foreign currencies -- (64,343 ) (23,767 ) -- -- ----------- ------------ ------------ ------------- ------------ Net realized and unrealized loss on investments, options written and foreign currency transactions 18,535 (5,840,556 ) (6,534,482 ) (26,097,250 ) (3,601,324) ----------- ------------ ------------ ------------- ------------ NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $1,478,375 $(1,574,994 ) $(2,427,807 ) $(25,725,900 ) $(3,188,585) ----------- ------------ ------------ ------------- ------------ ----------- ------------ ------------ ------------- ------------ OPPENHEIMER OPPENHEIMER OPPENHEIMER MULTIPLE GLOBAL STRATEGIC STRATEGIES SECURITIES BOND FUND FUND FUND ------------- ------------- ----------- INVESTMENT INCOME: Interest $ 5,969,118 $ 283,417 $ 595,699 Dividends 1,140,449 1,376,228 6,969 ------------- ------------- ----------- Total income 7,109,567 1,659,645 602,668 ------------- ------------- ----------- EXPENSES: Management fees -- Note 6 520,568 552,317 43,184 Custodian fees and expenses 38,084 88,256 6,516 Legal and auditing fees 3,854 4,652 8,799 Trustees' fees and expenses 12,189 2,639 1,072 Other 20,120 69,079 11,861 ------------- ------------- ----------- Total expenses 594,815 716,943 71,432 ------------- ------------- ----------- NET INVESTMENT INCOME 6,514,752 942,702 531,236 ------------- ------------- ----------- REALIZED AND UNREALIZED GAIN (LOSS) ON INVESTMENTS, OPTIONS WRITTEN AND FOREIGN CURRENCY TRANSACTIONS: Net realized gain (loss) from: Investments 4,959,289 6,897,889 (249,724 ) Expiration of option contracts written - Note 4 430,504 -- 8,551 Foreign currency transactions 1,465 (3,193,620 ) (60,090 ) Net change in unrealized appreciation or depreciation on: Investments and options written (23,250,438 ) (21,844,099 ) (791,990 ) Translation of assets and liabilities denominated in foreign currencies (603,332 ) 4,605,647 55,148 ------------- ------------- ----------- Net realized and unrealized loss on investments, options written and foreign currency transactions (18,462,512 ) (13,534,183 ) (1,038,105 ) ------------- ------------- ----------- NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS $(11,947,760 ) $(12,591,481 ) $ (506,869 ) ------------- ------------- ----------- ------------- ------------- -----------
See accompanying Notes to Financial Statements. STATEMENTS OF CHANGES IN NET ASSETS Oppenheimer Variable Account Funds
OPPENHEIMER OPPENHEIMER OPPENHEIMER MONEY HIGH INCOME BOND FUND FUND FUND --------------------------- ---------------------------- ----------------------------- 1994(1) 1993(2) 1994(1) 1993(2) 1994(1) 1993(2) ------------ ------------ ------------- ------------ ------------- ------------- OPERATIONS: Net investment income $ 1,459,840 $ 1,795,672 $ 4,265,562 $ 7,032,421 $ 4,106,675 $ 6,281,918 Net realized gain (loss) on investments, options written and foreign currency transactions 18,535 972 1,151,878 2,870,765 (134,477) 431,623 Net change in unrealized appreciation or depreciation on investments, options written and translation of assets and liabilities denominated in foreign currencies -- -- (6,992,434) 4,936,980 (6,400,005) 3,179,352 ------------ ------------ ------------- ------------ ------------- ------------- Net increase (decrease) in net assets resulting from operations 1,478,375 1,796,644 (1,574,994) 14,840,166 (2,427,807) 9,892,893 NET CHANGE IN EQUALIZATION -- -- 1,194,413 747,196 DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: Dividends from net investment income (1,459,840) (1,795,672) (2,377,952) (7,933,113) (2,288,298) (6,021,196) Distributions from net realized gain on investments, options written and foreign currency transactions (19,507) -- (2,106,024) -- (283,274) -- BENEFICIAL INTEREST TRANSACTIONS: Net increase (decrease) in net assets resulting from beneficial interest transactions -- Note 2 35,592,540 2,954,149 22,690,772 44,092,559 15,542,004 43,872,915 ------------ ------------ ------------- ------------ ------------- ------------- NET ASSETS: Total increase (decrease) 35,591,568 2,955,121 16,631,802 52,194,025 10,542,625 48,491,808 Beginning of period 61,221,619 58,266,498 93,011,333 40,817,308 111,846,121 63,354,313 ------------ ------------ ------------- ------------ ------------- ------------- End of period $ 96,813,187 $ 61,221,619 $ 109,643,135 $ 93,011,333 $ 122,388,746 $ 111,846,121 ------------ ------------ ------------- ------------ ------------- ------------- ------------ ------------ ------------- ------------ ------------- ------------- OPPENHEIMER CAPITAL APPRECIATION FUND ----------------------------- 1994(1) 1993(2) ------------- ------------- OPERATIONS: Net investment income $ 371,350 $ 221,843 Net realized gain (loss) on investments, options written and foreign currency transactions 978,991 17,171,028 Net change in unrealized appreciation or depreciation on investments, options written and translation of assets and liabilities denominated in foreign currencies (27,076,241) 8,012,743 ------------- ------------- Net increase (decrease) in net assets resulting from operations (25,725,900) 25,405,614 NET CHANGE IN EQUALIZATION DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: Dividends from net investment income (218,275) (173,608) Distributions from net realized gain on investments, options written and foreign currency transactions (17,112,748) (3,478,465) BENEFICIAL INTEREST TRANSACTIONS: Net increase (decrease) in net assets resulting from beneficial interest transactions -- Note 2 51,095,011 31,796,464 ------------- ------------- NET ASSETS: Total increase (decrease) 8,038,088 53,550,005 Beginning of period 136,885,103 83,335,098 ------------- ------------- End of period $ 144,923,191 $ 136,885,103 ------------- ------------- ------------- -------------
(1) For the six months ended June 30 -- unaudited. (2) For the year ended December 31. See accompanying Notes to Financial Statements. STATEMENTS OF CHANGES IN NET ASSETS Oppenheimer Variable Account Funds
OPPENHEIMER OPPENHEIMER GROWTH MULTIPLE STRATEGIES FUND FUND --------------------------- ----------------------------- 1994(1) 1993(2) 1994(1) 1993(2) ------------ ------------ ------------- ------------- OPERATIONS: Net investment income $ 412,739 $ 521,913 $ 6,514,752 $ 8,871,280 Net realized gain (loss) on investments, options written and foreign currency transactions (121,043 ) (416,658 ) 5,391,258 3,175,446 Net change in unrealized appreciation or depreciation on investments, options written and translation of assets and liabilities denominated in foreign currencies (3,480,281 ) 3,377,578 (23,853,770 ) 17,718,371 ------------ ------------ ------------- ------------- Net increase (decrease) in net assets resulting from operations (3,188,585 ) 3,482,833 (11,947,760 ) 29,765,097 DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: Dividends from net investment income (516,871 ) (339,216 ) (4,455,534 ) (8,601,104) Distributions from net realized gain on investments, options written and foreign currency transactions (127,540 ) (768,083 ) (1,925,053 ) -- BENEFICIAL INTEREST TRANSACTIONS: Net increase (decrease) in net assets resulting from beneficial interest transactions -- Note 2 5,149,083 17,831,569 48,796,489 69,662,484 ------------ ------------ ------------- ------------- NET ASSETS: Total increase (decrease) 1,316,087 20,207,103 30,468,142 90,826,477 Beginning of period 56,701,048 36,493,945 250,290,048 159,463,571 ------------ ------------ ------------- ------------- End of period $58,017,135 $56,701,048 $280,758,190 $250,290,048 ------------ ------------ ------------- ------------- ------------ ------------ ------------- ------------- OPPENHEIMER OPPENHEIMER GLOBAL SECURITIES STRATEGIC BOND FUND FUND ---------------------------- -------------------------- 1994(1) 1993(2) 1994(1) 1993(3) ------------- ------------ ------------ ----------- OPERATIONS: Net investment income $ 942,702 $ 228,462 $ 531,236 $ 161,471 Net realized gain (loss) on investments, options written and foreign currency transactions 3,704,269 2,546,181 (301,263 ) 23,918 Net change in unrealized appreciation or depreciation on investments, options written and translation of assets and liabilities denominated in foreign currencies (17,238,452 ) 16,954,257 (736,842 ) 84,581 ------------- ------------ ------------ ----------- Net increase (decrease) in net assets resulting from operations (12,591,481 ) 19,728,900 (506,869 ) 269,970 DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: Dividends from net investment income (359,955 ) -- (355,561 ) (155,087 ) Distributions from net realized gain on investments, options written and foreign currency transactions (2,441,859 ) -- (16,802 ) -- BENEFICIAL INTEREST TRANSACTIONS: Net increase (decrease) in net assets resulting from beneficial interest transactions -- Note 2 113,285,523 63,158,438 6,799,302 9,771,635 ------------- ------------ ------------ ----------- NET ASSETS: Total increase (decrease) 97,892,228 82,887,338 5,920,070 9,886,518 Beginning of period 96,424,511 13,537,173 9,886,518 -- ------------- ------------ ------------ ----------- End of period $194,316,739 $96,424,511 $15,806,588 $9,886,518 ------------- ------------ ------------ ----------- ------------- ------------ ------------ -----------
(1) For the six months ended June 30 -- unaudited. (2) For the year ended December 31. (3) For the period from May 3, 1993 (commencement of operations) to December 31, 1993. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER MONEY FUND -------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(1) 1992(1) 1991(1) 1990(1) 1989(1) (Unaudited) ------------- -------- -------- -------- -------- -------- PER SHARE OPERATING DATA: Net asset value, beginning of year $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 Income from investment operations -- net investment income and net realized gain on investments .02 .03 .04 .06 .08 .09 Dividends and distributions to shareholders (.02) (.03 ) (.04 ) (.06 ) (.08 ) (.09 ) ----- -------- -------- -------- -------- -------- Net asset value, end of year $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 ----- -------- -------- -------- -------- -------- ----- -------- -------- -------- -------- -------- RATIOS/SUPPLEMENTAL DATA: Net assets, end of year (in thousands) $96,813 $61,221 $58,266 $58,709 $89,143 $68,440 Average net assets (in thousands) $82,686 $57,654 $61,317 $75,747 $82,966 $67,586 Number of shares outstanding at end of year (in thousands) 96,813 61,221 58,266 58,703 89,141 68,439 Ratios to average net assets: Net investment income 3.56%(2) 3.12 % 3.76 % 5.97 % 7.80 % 8.82 % Expenses .39%(2) .43 % .50 % .49 % .51 % .53 %
(1) For the year ended December 31. (2) Annualized. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER HIGH INCOME FUND -------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(1) 1992(1) 1991(1) 1990(1) 1989(1) (Unaudited) ------------- -------- -------- -------- -------- -------- PER SHARE OPERATING DATA: Net asset value, beginning of period $11.02 $ 9.74 $9.40 $7.90 $8.59 $9.30 Income from investment operations: Net investment income .42 .82 1.19 1.28 1.21 1.09 Net realized and unrealized gain (loss) on investments and foreign currency transactions (.59) 1.65 .43 1.30 (.82 ) (.65 ) ------ -------- -------- -------- -------- -------- Total income from investment operations (.17) 2.47 1.62 2.58 .39 .44 ------ -------- -------- -------- -------- -------- Dividends and distributions to shareholders: Dividends from net investment income (.23) (1.19 ) (1.28 ) (1.08 ) (1.08 ) (1.08 ) Distributions from net realized gain on investments (.24) -- -- -- -- (.07 ) ------ -------- -------- -------- -------- -------- Total dividends and distributions to shareholders (.47) (1.19 ) (1.28 ) (1.08 ) (1.08 ) (1.15 ) ------ -------- -------- -------- -------- -------- Net asset value, end of period $ 10.38 $ 11.02 $ 9.74 $ 9.40 $ 7.90 $ 8.59 ------ -------- -------- -------- -------- -------- ------ -------- -------- -------- -------- -------- TOTAL RETURN, AT NET ASSET VALUE(2) (1.61)% 26.34 % 17.92 % 33.91 % 4.65 % 4.84 % RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $ 109,643 $93,011 $40,817 $27,308 $19,172 $23,698 Average net assets (in thousands) $ 98,592 $67,000 $36,861 $23,663 $21,493 $26,040 Number of shares outstanding at end of period (in thousands) 10,563 8,443 4,189 2,905 2,427 2,760 Ratios to average net assets: Net investment income 8.73%(3) 10.50 % 12.08 % 14.26 % 14.32 % 11.52 % Expenses .58%(3) .68 % .73 % .75 % .75 % .75 % Portfolio turnover rate(4) 51.5% 135.7 % 144.2 % 108.0 % 95.1 % 78.7 %
(1) For the year ended December 31. (2) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (3) Annualized. (4) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER BOND FUND --------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(1) 1992(1) 1991(1) 1990(1) 1989(1) (Unaudited) ------------- --------- -------- -------- -------- -------- PER SHARE OPERATING DATA: Net asset value, beginning of period $ 11.65 $ 10.99 $ 11.15 $ 10.33 $ 10.49 $ 10.15 Income from investment operations: Net investment income .21 .65 .87 .95 .97 .98 Net realized and unrealized gain (loss) on investments and foreign currency transactions (.45) .76 (.17) .80 (.18) .32 ------ --------- -------- -------- -------- -------- Total income from investment operations (.24) 1.41 .70 1.75 .79 1.30 ------ --------- -------- -------- -------- -------- Dividends and distributions to shareholders: Dividends from net investment income (.21) (.75) (.86) (.93) (.95) (.96) Distributions from net realized gain on investments (.03) -- -- -- -- -- ------ --------- -------- -------- -------- -------- Total dividends and distributions to shareholders (.24) (.75) (.86) (.93) (.95) (.96) ------ --------- -------- -------- -------- -------- Net asset value, end of period $ 11.17 $ 11.65 $ 10.99 $ 11.15 $ 10.33 $ 10.49 ------ --------- -------- -------- -------- -------- ------ --------- -------- -------- -------- -------- TOTAL RETURN, AT NET ASSET VALUE(2) (2.07)% 13.04% 6.50% 17.63% 7.92% 13.32% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $ 122,389 $ 111,846 $ 63,354 $ 32,762 $ 16,576 $ 13,422 Average net assets (in thousands) $ 115,574 $ 87,215 $ 45,687 $ 22,169 $ 15,088 $ 11,167 Number of shares outstanding at end of period (in thousands) 10,957 9,602 5,766 2,939 1,604 1,280 Ratios to average net assets: Net investment income 7.17%(3) 7.20% 7.81% 8.73% 9.30% 9.34% Expenses .43%(3) .46% .56% .64% .61% .64% Portfolio turnover rate(4) 16.5% 36.3% 41.3% 7.6% 7.4% 5.4%
(1) For the year ended December 31. (2) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (3) Annualized. (4) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER CAPITAL APPRECIATION FUND --------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(1) 1992(1) 1991(1) 1990(1) 1989(1) (Unaudited) ------------- --------- -------- -------- -------- -------- PER SHARE OPERATING DATA: Net asset value, beginning of period $ 31.64 $ 26.04 $ 23.24 $ 15.24 $ 20.40 $ 16.31 Income from investment operations: Net investment income .05 .05 .06 .08 .32 .50 Net realized and unrealized gain (loss) on investments and foreign currency transactions (4.55) 6.71 3.43 8.18 (3.54) 3.93 ------ --------- -------- -------- -------- -------- Total income from investment operations (4.50) 6.76 3.49 8.26 (3.22) 4.43 ------ --------- -------- -------- -------- -------- Dividends and distributions to shareholders: Dividends from net investment income (.04) (.06) (.14) (.26) (.53) (.34) Distributions from net realized gain on investments (3.53) (1.10) (.55) -- (1.41) -- ------ --------- -------- -------- -------- -------- Total dividends and distributions to shareholders (3.57) (1.16) (.69) (.26) (1.94) (.34) ------ --------- -------- -------- -------- -------- Net asset value, end of period $ 23.57 $ 31.64 $ 26.04 $ 23.24 $ 15.24 $ 20.40 ------ --------- -------- -------- -------- -------- ------ --------- -------- -------- -------- -------- TOTAL RETURN, AT NET ASSET VALUE(2) (16.07)% 27.32% 15.42% 54.72% (16.82)% 27.57% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $ 144,923 $ 136,885 $ 83,335 $ 49,371 $ 23,295 $ 27,523 Average net assets (in thousands) $ 143,458 $ 98,228 $ 56,371 $ 34,887 $ 24,774 $ 21,307 Number of shares outstanding at end of period (in thousands) 6,148 4,326 3,201 2,125 1,528 1,349 Ratios to average net assets: Net investment income .52%(3) .23% .30% .81% 1.93% 3.27% Expenses .44%(3) .47% .54% .63% .71% .68% Portfolio turnover rate(4) 55.3% 122.8% 78.9% 122.3% 222.0% 130.5%
(1) For the year ended December 31. (2) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (3) Annualized. (4) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER GROWTH FUND -------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(1) 1992(1) 1991(1) 1990(1) 1989(1) (Unaudited) ------------- -------- -------- -------- -------- -------- PER SHARE OPERATING DATA: Net asset value, beginning of period $ 17.70 $ 26.96 $ 15.17 $ 12.54 $ 16.38 $ 13.64 Income (loss) from investment operations: Net investment income .15 .46 .16 .30 .56 .66 Net realized and unrealized gain (loss) on investments (1.00) .74 1.99 2.82 (1.79) 2.50 ------ -------- -------- -------- -------- -------- Total income (loss) from investment operations .85 1.20 2.15 3.12 (1.23) 3.16 ------ -------- -------- -------- -------- -------- Dividends and distributions to shareholders: Dividends from net investment income (.15) (.14) (.36) (.49) (.62) (.35) Distributions from net realized gain on investments (.04) (.32) -- -- (1.99) (.07) ------ -------- -------- -------- -------- -------- Total dividends and distributions to shareholders (1.04) (.46) (.36) (.49) (2.61) (.42) ------ -------- -------- -------- -------- -------- Net asset value, end of period $ 16.66 $ 17.70 $ 16.96 $ 15.17 $ 12.54 $ 16.38 ------ -------- -------- -------- -------- -------- ------ -------- -------- -------- -------- -------- TOTAL RETURN, AT NET ASSET VALUE(2) (4.86)% 7.25% 14.53% 25.54% (8.21)% 23.59% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $ 58,017 $ 56,701 $ 36,494 $ 22,032 $ 15,895 $ 19,301 Average net assets (in thousands) $ 58,894 $ 46,389 $ 25,750 $ 18,810 $ 17,235 $ 18,596 Number of shares outstanding at end of period (in thousands) 3,482 3,203 2,152 1,453 1,267 1,179 Ratios to average net assets: Net investment income 1.41%(3) 1.13% 1.36% 2.82% 4.09% 3.72% Expenses .45%(3) .50% .61% .70% .71% .70% Portfolio turnover rate(4) 15.8% 12.6% 48.7% 133.9% 267.9% 148.0%
(1) For the year ended December 31. (2) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (3) Annualized. (4) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER MULTIPLE STRATEGIES FUND ------------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(1) 1992(1) 1991(1) 1990(1) 1989(1) (Unaudited) ------------- --------- --------- --------- --------- --------- PER SHARE OPERATING DATA: Net asset value, beginning of period $ 13.88 $ 12.47 $ 11.96 $ 10.90 $ 12.30 $ 11.58 Income (loss) from investment operations: Net investment income .30 .55 .55 .69 .73 .73 Net realized and unrealized gain (loss) on investments (.86) 1.41 .50 1.15 (.97) 1.04 ------ --------- --------- --------- --------- --------- Total income (loss) from investment operations (.56) 1.96 1.05 1.84 (.24) 1.77 ------ --------- --------- --------- --------- --------- Dividends and distributions to shareholders: Dividends from net investment income (.21) (.55) (.54) (.78) (.70) (.68) Distributions from net realized gain on investments (.10) -- -- -- (.46) (.37) ------ --------- --------- --------- --------- --------- Total dividends and distributions to shareholders (.31) (.55) (.54) (.78) (1.16) (1.05) ------ --------- --------- --------- --------- --------- Net asset value, end of period $ 13.01 $ 13.88 $ 12.47 $ 11.96 $ 10.90 $ 12.30 ------ --------- --------- --------- --------- --------- ------ --------- --------- --------- --------- --------- TOTAL RETURN, AT NET ASSET VALUE(2) (4.07)% 15.95% 8.99% 17.48% (1.91)% 15.76% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $ 280,758 $ 250,290 $ 159,464 $ 124,634 $ 118,888 $ 121,286 Average net assets (in thousands) $ 268,023 $ 199,954 $ 139,011 $ 117,000 $ 123,231 $ 101,057 Number of shares outstanding at end of period (in thousands) 21,581 18,026 12,792 10,421 10,908 9,860 Ratios to average net assets: Net investment income 4.90%(3) 4.44% 4.63% 5.95% 6.53% 6.36% Expenses .45%(3) .48% .55% .54% .55% .57% Portfolio turnover rate(4) 20.0% 32.4% 57.8% 80.3% 99.2% 66.9%
(1) For the year ended December 31. (2) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (3) Annualized. (4) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER GLOBAL SECURITIES FUND -------------------------------------------------------------------- Six Months Ended June 30, 1994 1993(2) 1992(2) 1991(2) 1990(1) (Unaudited) ---------------- ------------ ---------- ------------- ------------- PER SHARE OPERATING DATA: Net asset value, beginning of period $ 16.30 $9.57 $10.38 $10.04 $10.00 Income (loss) from investment operations: Net investment income .05 (.02) .07 .04 -- Net realized and unrealized gain (loss) on investments (.81) 6.75 (.80) .30 .04 ---------------- ------------ ---------- ------------- ------------- Total income (loss) from investment operations (.76) 6.73 (.73) .34 .04 ---------------- ------------ ---------- ------------- ------------- Dividends and distributions to shareholders: Dividends from net investment income (.04) -- (.04) -- -- Distributions from net realized gain on investments (.25) -- (.04) -- -- ---------------- ------------ ---------- ------------- ------------- Total dividends and distributions to shareholders (.29) -- (.08) -- -- ---------------- ------------ ---------- ------------- ------------- Net asset value, end of period $15.25 $16.30 $9.57 $10.38 $10.04 ---------------- ------------ ---------- ------------- ------------- ---------------- ------------ ---------- ------------- ------------- TOTAL RETURN, AT NET ASSET VALUE(3) (4.72)% 70.32% (7.11)% 3.39% .40% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $194,317 $96,425 $13,537 $7,339 $ 432 Average net assets (in thousands) $162,931 $31,696 $11,181 $3,990 $ 263 Number of shares outstanding at end of period (in thousands) 12,739 5,917 1,415 707 43 Ratios to average net assets: Net investment income 1.17%(4) .72% 1.04% .75% .08%(4) Expenses .89%(4) .92% 1.06% 1.32% 6.84%(4) Portfolio turnover rate(5) 36.6% 65.1% 34.1% 29.5% 0.0%
(1) For the period from November 12, 1990 (commencement of operations) to December 31, 1990. (2) For the year ended December 31. (3) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (4) Annualized. (5) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. FINANCIAL HIGHLIGHTS Oppenheimer Variable Account Funds
OPPENHEIMER STRATEGIC BOND FUND ---------------------------------- Six Months Ended June 30, 1994 1993(1) (Unaudited) ------------------- ------------- PER SHARE OPERATING DATA: Net asset value, beginning of period $5.12 $5.00 Income (loss) from investment operations: Net investment income .17 .10 Net realized and unrealized gain (loss) on investments (.34) .11 ------------------- ------------- Total income (loss) from investment operations 4.95 5.21 ------------------- ------------- Dividends and distributions to shareholders: Dividends from net investment income (.11) (.09) Distributions from net realized gain on investments (.01) -- ------------------- ------------- Total dividends and distributions to shareholders (.12) (.09) ------------------- ------------- Net asset value, end of period $4.83 $5.12 ------------------- ------------- ------------------- ------------- TOTAL RETURN, AT NET ASSET VALUE(2) (3.41)% 4.25% RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $15,807 $9,887 Average net assets (in thousands) $13,599 $4,259 Number of shares outstanding at end of period (in thousands) 3,273 1,930 Ratios to average net assets: Net investment income 7.80%(3) 5.67%(3) Expenses 1.06%(3) .96%(3) Portfolio turnover rate(4) 40.5% 10.9%
(1) For the period from May 3, 1993 (commencement of operations) to December 31, 1993. (2) Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. (3) Annualized. (4) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. See accompanying Notes to Financial Statements. NOTES TO FINANCIAL STATEMENTS (Unaudited) Oppenheimer Variable Account Funds 1. SIGNIFICANT ACCOUNTING POLICIES Oppenheimer Money Fund (OMF), Oppenheimer High Income Fund (OHIF), Oppenheimer Bond Fund (OBF), Oppenheimer Capital Appreciation Fund (OCAP), Oppenheimer Growth Fund (OGF), Oppenheimer Multiple Strategies Fund (OMSF), Oppenheimer Global Securities Fund (OGSF) and Oppenheimer Strategic Bond Fund (OSBF) (collectively, the Funds) are separate series of Oppenheimer Variable Account Funds (the Trust), a diversified, open-end management investment company registered under the Investment Company Act of 1940, as amended. The Trust's investment advisor is Oppenheimer Management Corporation (the Manager). The following is a summary of significant accounting policies consistently followed by the Funds. INVESTMENT VALUATION. Portfolio securities of OMF are valued on the basis of amortized cost, which approximates market value. Portfolio securities of OHIF, OBF, OCAP, OGF, OMSF, OGSF and OSBF are valued at 4:00 p.m. (New York time) on each trading day. Listed and unlisted securities for which such information is regularly reported are valued at the last sale price of the day or, in the absence of sales, at values based on the closing bid or asked price or the last sale price on the prior trading day. Long-term debt securities are valued by a portfolio pricing service approved by the Board of Trustees. Long-term debt securities which cannot be valued by the approved portfolio pricing service are valued by averaging the mean between the bid and asked prices obtained from two active market makers in such securities. Short-term debt securities having a remaining maturity of 60 days or less are valued at cost (or last determined market value) adjusted for amortization to maturity of any premium or discount. Securities for which market quotes are not readily available are valued under procedures established by the Board of Trustees to determine fair value in good faith. A call option is valued based upon the last sales price on the principal exchange on which the option is traded or, in the absence of any transactions that day, the value is based upon the last sale on the prior trading date if it is within the spread between the closing bid and asked prices. If the last sale price is outside the spread, the closing bid or asked price closest to the last reported sale price is used. Forward foreign currency contracts are valued at the forward rate on a daily basis. SECURITY CREDIT RISK. OHIF invests in high yield securities, which may be subject to a greater degree of credit risk, greater market fluctuations and risk of loss of income and principal, and may be more sensitive to economic conditions than lower yielding, higher rated fixed income securities. The Fund may acquire securities in default, and is not obligated to dispose of securities whose issuers subsequently default. At June 30, 1994, securities with an aggregate market value of $6,442,910, representing 5.67% of the Fund's total assets, were in default. FOREIGN CURRENCY TRANSLATION. The accounting records of the Funds are maintained in U.S. dollars. Prices of securities purchased by OHIF, OBF, OGF, OMSF, OGSF and OSBF that are denominated in foreign currencies are translated into U.S. dollars at the closing rates of exchange. Amounts related to the purchase and sale of securities and investment income are translated at the rates of exchange prevailing on the respective dates of such transactions. Forward foreign currency exchange contracts are generally entered into as a hedge, upon the purchase or sale of a security denominated in a foreign currency. In addition, OHIF, OGSF and OSBF may enter into such contracts as a hedge against changes in foreign currency exchange rates on portfolio positions. A forward exchange contract is a commitment to purchase or sell a foreign currency at a future date, at a negotiated rate. Risks may arise from the potential inability of the counterparty to meet the terms of the contract and from unanticipated movements in the value of a foreign currency relative to the U.S. dollar. OGF, OMSF and OGSF account for gains and losses on foreign currency transactions with the transactions that gave rise to the exchange gain or loss. The net gain or loss resulting from changes in foreign currency exchange rates is reported separately in the Statement of Operations by OHIF, OBF and OSBF. REPURCHASE AGREEMENTS. The Funds require the custodian to take possession, to have legally segregated in the Federal Reserve Book Entry System or to have segregated within the custodian's vault, all securities held as collateral for repurchase agreements. If the seller of the agreement defaults and the value of the collateral declines, or if the seller enters an insolvency proceeding, realization of the value of the collateral by the Funds may be delayed or limited. NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds CALL OPTIONS WRITTEN. OHIF, OCAP, OGF, OMSF, OGSF and OSBF may write covered call options. When an option is written by a Fund, the Fund receives a premium and becomes obligated to sell the underlying security at a fixed price, upon exercise of the option. In writing an option, the Fund bears the market risk of an unfavorable change in the price of the security underlying the written option. Exercise of an option written by the Fund could result in the Fund selling a security at a price different from the current market value. All securities covering call options written are held in escrow by the custodian bank. FEDERAL INCOME TAXES. The Trust intends for each Fund to continue to comply with provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income, including any net realized gain on investments not offset by loss carryovers, to shareholders. Therefore, no federal income tax provision is required. EQUALIZATION. Prior to September 25, 1993, OHIF and OBF followed the accounting practice of equalization, by which a portion of the proceeds from sales and costs of redemptions of Fund shares equivalent on a per share basis to the amount of undistributed net investment income were credited or charged to undistributed income. The cumulative effect of the change in accounting practice resulted in a reclassification for OHIF and OBF of $2,119,310 and $1,577,200, respectively, from undistributed net investment income to paid-in capital. DISTRIBUTIONS TO SHAREHOLDERS. Dividends and distributions to shareholders of OHIF, OBF, OCAP, OGF, OMSF, OGSF and OSBF are recorded on the ex-dividend date. OMF intends to declare dividends from net investment income each day the New York Stock Exchange is open for business and pay such dividends monthly. To effect its policy of maintaining a net asset value of $1.00 per share, OMF may withhold dividends or make distributions of net realized gains. OTHER. Investment transactions are accounted for on the date the investments are purchased or sold (trade date) and dividend income is recorded on the ex-dividend date. Discount on securities purchased by OHIF, OBF, OCAP, OGF, OMSF, OGSF and OSBF is amortized over the life of the respective securities, in accordance with federal income tax requirements. Realized gains and losses on investments and unrealized appreciation and depreciation are determined on an identified cost basis, which is the same basis used for federal income tax purposes. Dividends in kind are recognized as income on the ex-dividend date, at the current market value of the underlying security. Interest on payment-in-kind debt instruments is accrued as income at the coupon rate and a market adjustment is made on the ex-date. NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds 2. SHARES OF BENEFICIAL INTEREST The Funds have authorized an unlimited number of no par value shares of beneficial interest. Transactions in shares of beneficial interest were as follows:
OPPENHEIMER MONEY FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 105,757,254 $ 105,757,254 102,985,240 $ 102,985,240 Dividends and distributions reinvested 1,410,396 1,410,396 1,805,107 1,805,107 Redeemed (71,575,110) (71,575,110) (101,836,198) (101,836,198) ------------ ------------- ------------ ------------- Net increase (decrease) 35,592,540 $ 35,592,540 2,954,149 $ 2,954,149 ------------ ------------- ------------ ------------- ------------ ------------- ------------ ------------- OPPENHEIMER HIGH INCOME FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 7,916,751 $ 60,787,462 10,942,819 $ 113,254,844 Dividends and distributions reinvested 422,415 4,483,976 743,446 7,814,552 Redeemed (6,219,419) (42,580,666) (7,432,492) (76,976,837) ------------ ------------- ------------ ------------- Net increase (decrease) 2,119,747 $ 22,690,772 4,253,773 $ 44,092,559 ------------ ------------- ------------ ------------- ------------ ------------- ------------ -------------
OPPENHEIMER BOND FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 2,649,708 $ 30,366,170 4,694,025 $ 53,668,794 Dividends and distributions reinvested 228,979 2,571,572 518,084 5,957,407 Redeemed (1,523,662) (17,395,738) (1,375,924) (15,753,286) ------------ ------------- ------------ ------------- Net increase (decrease) 1,355,025 $ 15,542,004 3,836,185 $ 43,872,915 ------------ ------------- ------------ ------------- ------------ ------------- ------------ ------------- OPPENHEIMER CAPITAL APPRECIATION FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 4,459,425 $ 86,159,606 4,925,361 $ 134,864,285 Dividends and distributions reinvested 614,575 17,331,023 151,099 3,652,073 Redeemed (3,251,940) (52,395,618) (3,951,312) (106,719,894) ------------ ------------- ------------ ------------- Net increase (decrease) 1,822,060 $ 51,095,011 1,125,148 $ 31,796,464 ------------ ------------- ------------ ------------- ------------ ------------- ------------ -------------
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds
OPPENHEIMER GROWTH FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 1,724,316 $ 30,210,759 3,164,464 $ 53,547,991 Dividends and distributions reinvested 36,305 644,411 66,987 1,107,299 Redeemed (1,481,633) (25,706,087) (2,180,502) (36,823,721) ------------ ------------- ------------ ------------- Net increase (decrease) 278,988 $ 5,149,083 1,050,949 $ 17,831,569 ------------ ------------- ------------ ------------- ------------ ------------- ------------ ------------- OPPENHEIMER MULTIPLE STRATEGIES FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 7,650,351 $ 56,023,848 6,332,739 $ 84,477,261 Dividends and distributions reinvested 481,181 6,380,588 644,161 8,601,104 Redeemed (4,594,735) (13,607,947) (1,742,975) (23,415,881) ------------ ------------- ------------ ------------- Net increase (decrease) 3,536,797 $ 48,796,489 5,233,925 $ 69,662,484 ------------ ------------- ------------ ------------- ------------ ------------- ------------ -------------
OPPENHEIMER GLOBAL SECURITIES FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993 ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 12,346,274 $ 178,593,473 4,921,273 $ 68,947,505 Dividends and distributions reinvested 178,687 2,801,813 -- -- Redeemed (5,703,171) (68,109,763) (419,042) (5,789,067) ------------ ------------- ------------ ------------- Net increase (decrease) 6,821,790 $ 113,285,523 4,502,231 $ 63,158,438 ------------ ------------- ------------ ------------- ------------ ------------- ------------ ------------- OPPENHEIMER STRATEGIC BOND FUND ----------------------------------------------------------- SIX MONTHS ENDED YEAR ENDED JUNE 30, 1994 DECEMBER 31, 1993(1) ---------------------------- ---------------------------- SHARES AMOUNT SHARES AMOUNT ------------ ------------- ------------ ------------- Sold 1,890,040 $ 9,545,195 2,316,566 $ 11,749,598 30,366 Dividends and distributions reinvested 76,573 372,363 155,087 Redeemed (623,840) (3,118,256) (416,974) (2,133,050) ------------ ------------- ------------ ------------- Net increase (decrease) 1,342,773 $ 6,799,302 1,929,958 $ 9,771,635 ------------ ------------- ------------ ------------- ------------ ------------- ------------ -------------
1. For the period from May 3, 1993 (commencement of operations) to December 31, 1993. NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds 3. UNREALIZED GAINS AND LOSSES ON INVESTMENTS AND OPTIONS WRITTEN At June 30, 1994, net unrealized appreciation or depreciation on investments and options written consisted of the following:
OPPENHEIMER OPPENHEIMER OPPENHEIMER CAPITAL OPPENHEIMER HIGH INCOME BOND APPRECIATION GROWTH FUND FUND FUND FUND ------------ ------------ ------------ ------------ Gross appreciation $ 1,935,043 $ 1,452,063 $11,539,655 $ 8,967,753 Gross depreciation (3,978,902 ) (3,529,239 ) (12,666,944 ) (3,311,914) ------------ ------------ ------------ ------------ Net unrealized appreciation (depreciation) $(2,043,859 ) $ 2,077,176 $(1,127,289 ) $ 5,655,839 ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ Purchases and sales of investment securities (excluding short-term securities) for the six months ended June 30, 1994 were as follows: Purchases $66,344,015 $29,414,186 $86,250,645 $13,580,746 ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ Sales $47,386,083 $15,363,874 $67,491,793 $ 7,973,959 ------------ ------------ ------------ ------------ ------------ ------------ ------------ ------------ OPPENHEIMER OPPENHEIMER OPPENHEIMER MULTIPLE GLOBAL STRATEGIC STRATEGIES SECURITIES BOND FUND FUND FUND ------------- ------------- ------------ Gross appreciation $ 21,451,906 $ 13,005,691 $ 85,754 Gross depreciation (14,933,226) (14,074,157) (733,891 ) ------------- ------------- ------------ Net unrealized appreciation (depreciation) $ 6,518,680 $ (1,068,466) $ (648,137 ) ------------- ------------- ------------ ------------- ------------- ------------ Purchases and sales of investment securities (excluding short-term securities) for the six months ended June 30, 1994 were as follows: Purchases $ 88,101,954 $ 167,784,484 $14,544,566 ------------- ------------- ------------ ------------- ------------- ------------ Sales $ 51,131,521 $ 48,733,192 $ 5,449,287 ------------- ------------- ------------ ------------- ------------- ------------
4. OPTION ACTIVITY OMSF option activity for the six months ended June 30, 1994 was as follows:
CALL OPTIONS ---------------------- NUMBER OF AMOUNT OF OPTIONS PREMIUM --------- --------- Options outstanding at December 31, 1993 2,385 $ 654,848 Options purchased 1,882 630,508 Options cancelled in closing transactions (977) (213,576) Options expired prior to exercise (1,017) (258,482) Options exercised (975) (178,176) --------- --------- Options outstanding at June 30, 1994 1,298 $ 635,122 --------- --------- --------- ---------
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds OSBF option activity for the period ended June 30, 1994 was as follows:
PUT OPTIONS ----------------------- NUMBER OF AMOUNT OF OPTIONS PREMIUM ---------- --------- Options outstanding at December 31, 1993 -- $ -- Options purchased 3,340,000 2,020 Options cancelled in closing transactions (3,000,000) (426) Options expired prior to exercise -- -- Options exercised -- -- ----------------------- Options outstanding at June 30, 1994 340,000 $ 1,594 ----------------------- -----------------------
CALL OPTIONS ---------------------- NUMBER OF AMOUNT OF OPTIONS PREMIUM --------- --------- Options outstanding at December 31, 1993 -- $ -- Options purchased 5,000 8,125 Options cancelled in closing transactions (5,000) ( 8,125) Options expired prior to exercise -- -- Options exercised -- -- --------- --------- Options outstanding at June 30, 1994 -- $ -- --------- --------- --------- ---------
Premiums received on expired options resulted in a short-term capital gain of $8,551. NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds 5. FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS At June 30, 1994, outstanding forward foreign currency exchange contracts to purchase and sell foreign currencies were as follows: OPPENHEIMER GLOBAL SECURITIES FUND
UNREALIZED EXPIRATION CONTRACT VALUATION AS OF APPRECIATION CONTRACTS TO SELL DATE AMOUNT JUNE 30, 1994 (DEPRECIATION) - ------------------------------------------------------ ---------- ----------- --------------- -------------- British Pound 7/25/94 $ 5,000,000 $ 4,998,112 $ 1,888 Deutsche Mark 7/25/94 $ 4,000,000 $ 4,000,734 $ (734) Finnish Markka 7/25/94 $ 2,300,000 $ 2,296,418 $ 3,582 French Franc 7/25/94 $ 5,500,000 $ 5,483,543 $ 16,457 Italian Lira 7/25/94 $ 1,500,000 $ 1,491,645 $ 8,355 Nether Guilder 7/25/94 $ 6,000,000 $ 5,995,705 $ 4,295 Norwegian Krone 7/25/94 $ 3,000,000 $ 2,994,047 $ 5,953 Port Escudo 7/25/94 $ 1,400,000 $ 1,419,895 $(19,895) Spanish Peseta 7/25/94 $ 2,500,000 $ 2,524,438 $(24,438) Swedish Krona 7/25/94 $11,000,000 $10,975,550 $ 24,450 Swiss Franc 7/25/94 $ 2,800,000 $ 2,813,103 $(13,103) ----------- --------------- -------------- $45,000,000 $44,993,190 $ 6,810 ----------- --------------- -------------- ----------- --------------- --------------
OPPENHEIMER STRATEGIC BOND FUND
UNREALIZED EXPIRATION CONTRACT VALUATION AS OF APPRECIATION CONTRACTS TO PURCHASE DATE AMOUNT JUNE 30, 1994 (DEPRECIATION) - ----------------------------------------------------- ---------- ------------ --------------- -------------- Deutsche Mark 7/13/94 $ 186,461 $ 468,172 $ 194 ------------ --------------- -------------- ------------ --------------- -------------- CONTRACTS TO SELL - ---------------------------------------------------- Spanish Peseta 7/22/94 $ 45,440,194 515,916 (10,319) Italian Lira 7/22/94 $116,970,526 73,714 (152) ------------ --------------- -------------- $162,410,717 $ 589,630 (10,277) ------------ --------------- -------------- ------------ --------------- --------------
OPPENHEIMER HIGH INCOME FUND
UNREALIZED EXPIRATION CONTRACT VALUATION AS OF APPRECIATION CONTRACTS TO SELL DATE AMOUNT JUNE 30, 1994 (DEPRECIATION) - ---------------------------------------------------------- ---------- -------- --------------- ------------ Deutsche Mark 7/08/94 $572,811 $ 601,676 $(28,865) ---------- -------- --------------- ------------ ---------- -------- --------------- ------------
NOTES TO FINANCIAL STATEMENTS (Unaudited)(Continued) Oppenheimer Variable Account Funds 6. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES Management fees paid to the Manager were in accordance with the investment advisory agreements with the Trust. Except as stated below, the annual fees are .50% on the first $250 million of aggregate Trust net assets, .45% on the next $50 million, .40% on the next $100 million, .35% on the next $400 million and .30% on net assets in excess of $800 million. OMF fees are reduced by .05% on the first $250 million of Fund net assets, as well as on Fund net assets in excess of $4 billion. OHIF pays an additional management fee of .15% of its net assets annually. OGSF fees are .75% on the first $200 million of aggregate Trust net assets with a reduction of .03% on each $200 million thereafter to $800 million, and .60% on net assets in excess of $800 million. OSBF fees are .65% of net assets annually. Fees are allocated ratably to each Fund based on the relative value of Fund net assets to total Trust net assets as of the close of business each day. The Manager has agreed to reimburse OMF, OHIF, OBF, OCAP, OGF, OMSF and OSBF if aggregate Fund expenses (with specified exceptions) exceed 2% of the first $10 million of average annual net assets, 1.50% of the next $20 million and 1% of average annual net assets in excess of $30 million. The Manager and Monarch Life Insurance Company, Bankers Security Life Insurance Society (Bankers), Confederation Life Insurance and Annuity Company and Massachusetts Mutual Life Insurance Company have also voluntarily undertaken to limit the expenses of OMF, OHIF, OBF, OCAP, OGF and OMSF to .75% of average annual net assets, after any other reimbursement by the Manager. The reimbursement is based on the proportionate number of shares in the accounts of the respective insurance companies. The undertaking by Bankers extends to OMSF only. OPPENHEIMER VARIABLE ACCOUNT FUNDS OFFICERS AND TRUSTEES James C. Swain, Chairman and Chief Executive Officer Robert G. Avis, Trustee William A. Baker, Trustee Charles Conrad, Jr., Trustee Jon S. Fossel, Trustee and President Raymond J. Kalinowski, Trustee C. Howard Kast, Trustee Robert M. Kirchner, Trustee Ned M. Steel, Trustee Robert C. Doll, Jr., Vice President Andrew J. Donohue, Vice President George R. Evans, Vice President David P. Negri, Vice President Richard H. Rubinstein, Vice President Arthur J. Zimmer, Vice President Paul LaRocco, Assistant Vice President George C. Bowen, Vice President, Secretary and Treasurer Robert J. Bishop, Assistant Treasurer Scott Farrar, Assistant Treasurer Robert G. Zack, Assistant Secretary INVESTMENT ADVISOR Oppenheimer Management Corporation TRANSFER AGENT Oppenheimer Shareholder Services CUSTODIAN OF PORTFOLIO SECURITIES The Bank of New York INDEPENDENT AUDITORS Deloitte & Touche LEGAL COUNSEL Myer, Swanson & Adams, P.C. The financial statements included herein have been taken from the records of the Funds without examination by the independent auditors. This is a copy of a report to shareholders of Oppenheimer Variable Account Funds. This report must be preceded or accompanied by a Prospectus of Oppenheimer Variable Account Funds. For material information concerning the Funds, see the Prospectus. -----END PRIVACY-ENHANCED MESSAGE-----