N-Q 1 tftonq.txt TAX-FREE TRUST OF OREGON 12/31/08 N-Q FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANY Investment Company Act file number: 811-4626 Tax-Free Trust of Oregon (Exact Name of Registrant as Specified in Charter) 380 Madison Avenue, Suite 2300 New York, New York 10017 (Address of Principal Executive Offices)(Zip Code) Registrant's Telephone Number, including Area Code: (212) 697-6666 Joseph P. DiMaggio, Chief Financial Officer and Treasurer 380 Madison Avenue, Suite 2300 New York, New York 10017 (Name and address of Agent for Service) Date of fiscal year end: September 30, 2008 Date of reporting period: December 31, 2008 Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection, and policymaking roles. A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. ss. 3507. Item 1. Schedule of Investments. Schedule of investments as of the close of the reporting period as set forth in subsection 210.12-12 - 12-14 of Regulation S-X (17 CFR 210.12-12 - 12-14) TAX-FREE TRUST OF OREGON SCHEDULE OF INVESTMENTS December 31, 2008 (unaudited)
Rating Principal Moody's/ Amount State of Oregon General Obligation Bonds (40.1%) S&P Value (a) Bend, Oregon Transportation Highway System (MBIA Corporation Insured) $ 1,135,000 5.300%, 09/01/17 A1/NR $ 1,169,697 Benton and Linn Counties, Oregon School District #509J (Financial Security Assurance Insured) 4,670,000 5.000%, 06/01/21 pre-refunded Aa2/NR** 5,259,634 Chemeketa, Oregon Community College District (Financial Guaranty Insurance Corporation Insured), 1,385,000 5.500%, 06/01/14 Escrowed to Maturity NR/NR* 1,580,202 Chemeketa, Oregon Community College District (State School Guaranty Program) 1,235,000 5.000%, 06/15/25 NR/AA 1,251,660 1,540,000 5.000%, 06/15/26 NR/AA 1,548,008 Clackamas, Oregon Community College District (Financial Guaranty Insurance Corporation Insured) 3,955,000 5.250%, 06/15/17 pre-refunded Aa2/AA 4,295,328 Clackamas, Oregon Community College District (MBIA Corporation Insured) 1,535,000 5.000%, 05/01/25 A1/AA 1,544,241 Clackamas, Oregon School District #12 (North Clackamas) Convertible Capital Appreciation Bonds (Financial Security Assurance Insured) (converts to a 5% coupon on 06/15/11) 4,250,000 zero coupon, 06/15/29 Aa2/AAA 3,506,803 Clackamas County, Oregon School District #12 (North Clackamas) (Financial Security Assurance Insured) 2,000,000 4.500%, 06/15/30 Aa2/AAA 1,778,040 3,115,000 4.750%, 06/15/31 Aa2/AAA 2,860,224 Clackamas County, Oregon School District #62 (Oregon City) (State School Bond Guaranty Program) 1,055,000 5.500%, 06/15/20 pre-refunded Aa2/AAA 1,119,946 Clackamas County, Oregon School District #86 (Canby) (Financial Security Assurance Insured) 2,240,000 5.000%, 06/15/19 Aa2/AAA 2,364,746 Clackamas County, Oregon School District #108 (Estacada) (Financial Security Assurance Insured) 1,295,000 5.375%, 06/15/17 pre-refunded Aa3/AAA 1,411,913 2,000,000 5.000%, 06/15/25 pre-refunded Aa3/AAA 2,162,680 Clackamas County, Oregon School District #115 (Gladstone) (MBIA Corporation Insured) (State School Bond Guaranty Program) 5,000,000 zero coupon, 06/15/27 Baa1/AA 1,640,500 Clackamas County, Oregon Tax Allocation 705,000 6.500%, 05/01/20 NR/NR* 606,871 Columbia County, Oregon School District #502 (Financial Guaranty Insurance Corporation Insured) 2,070,000 zero coupon, 06/01/15 A2/NR 1,582,349 Deschutes County, Oregon (Financial Security Assurance Insured) 2,260,000 5.000%, 12/01/16 Aa3/NR** 2,409,770 Deschutes County, Oregon Administrative School District #1 (Bend-LaPine) (Financial Security Assurance Insured) 1,145,000 5.500%, 06/15/14 pre-refunded Aa2/NR** 1,251,794 1,300,000 5.500%, 06/15/16 pre-refunded Aa2/NR** 1,421,251 1,355,000 5.500%, 06/15/18 pre-refunded Aa2/NR** 1,481,381 3,000,000 5.125%, 06/15/21 pre-refunded Aa2/NR** 3,252,960 Deschutes County, Oregon School District #6 (Sisters) (Financial Security Assurance Insured) 1,735,000 5.250%, 06/15/19 Aa3/AAA 1,951,719 1,030,000 5.250%, 06/15/21 Aa3/AAA 1,127,665 Deschutes and Jefferson Counties, Oregon School District #02J (Redmond) (Financial Guaranty Insurance Corporation Insured) 1,000,000 5.000%, 06/15/21 Aa2/NR 1,021,450 2,330,000 zero coupon, 06/15/22 Aa2/NR 1,123,619 Deschutes and Jefferson Counties, Oregon School District #02J (Redmond) (School Bond Guaranty Program) 1,025,000 zero coupon, 06/15/23 Aa2/NR 461,660 2,775,000 zero coupon, 06/15/29 Aa2/NR 833,721 5,000,000 6.000%, 06/15/31 Aa2/NR 5,341,450 Douglas County, Oregon School District #116 (Winston-Dillard) (State School Bond Guaranty Program) 1,020,000 5.625%, 06/15/20 pre-refunded NR/AA 1,085,372 Gresham, Oregon (Financial Security Assurance Insured) 1,155,000 5.375%, 06/01/18 Aa3/NR** 1,222,348 Jackson County, Oregon School District #4 (Phoenix-Talent) (Financial Security Assurance Insured) 1,395,000 5.500%, 06/15/18 pre-refunded Aa3/AAA 1,525,112 Jackson County, Oregon School District #9 (Eagle Point) (MBIA Corporation Insured) 2,080,000 5.500%, 06/15/15 Aa2/NR 2,382,494 1,445,000 5.500%, 06/15/16 Aa2/NR 1,665,565 Jackson County, Oregon School District #9 (Eagle Point) (State School Bond Guaranty Program) 1,120,000 5.625%, 06/15/17 pre-refunded Aa2/NR 1,227,800 1,880,000 5.000%, 06/15/21 pre-refunded Aa2/NR 2,032,919 Jackson County, Oregon School District #549 (Medford) (State School Bond Guaranty Program) 1,750,000 5.000%, 06/15/12 Aa2/NR 1,904,858 Jackson County, Oregon School District #549C (Medford) (Financial Security Assurance Insured) 2,000,000 4.750%, 12/15/29 Aa2/AAA 1,874,120 3,000,000 5.000%, 12/15/32 Aa2/AAA 2,890,440 Jackson County, Oregon School District #549C (Medford) (School Board Guaranty) 1,000,000 4.625%, 06/15/27 Aa2/AA 938,500 1,000,000 4.625%, 06/15/30 Aa2/AA 907,170 1,000,000 5.000%, 06/15/33 Aa2/AA 953,860 Jefferson County, Oregon School District #509J (Financial Guaranty Insurance Corporation Insured) 1,215,000 5.250%, 06/15/14 NR/AA 1,290,245 1,025,000 5.250%, 06/15/17 NR/AA 1,073,175 Josephine County, Oregon Three Rivers School District (Financial Security Assurance Insured) 1,780,000 5.250%, 06/15/18 pre-refunded Aa2/NR** 1,935,394 Keizer, Oregon 2,500,000 5.200%, 06/01/31 A3/NR 2,251,725 Lane County, Oregon School District #19 (Springfield) (Financial Security Assurance Insured) 3,425,000 zero coupon, 06/15/29 Aa2/NR** 996,949 Lane County, Oregon School District #40 (Creswell) (State School Bond Guaranty Program) 1,430,000 5.375%, 06/15/20 pre-refunded NR/AA 1,516,558 Linn County, Oregon School District #7 (Harrisburg) (State School Bond Guaranty Program) 1,660,000 5.500%, 06/15/19 pre-refunded NR/AA 1,763,435 Linn County, Oregon School District #9 (Lebanon) (Financial Guaranty Insurance Corporation Insured) (State School Bond Guaranty Program) 3,000,000 5.600%, 06/15/30 pre-refunded NR/AA 3,437,550 Linn County, Oregon School District #9 (Lebanon) (MBIA Corporation Insured) (State School Bond Guaranty Program) 2,500,000 5.000%, 06/15/30 Baa1/AA 2,432,600 Metro, Oregon 1,100,000 5.000%, 06/01/18 Aaa/AAA 1,221,726 Morrow County, Oregon School District #1 (Financial Security Assurance Insured) 1,710,000 5.250%, 06/15/19 Aa3/AAA 1,923,596 Multnomah County, Oregon School District #7 (Reynolds) (State School Bond Guaranty Program) 500,000 5.625%, 06/15/17 pre-refunded Aa2/AA 547,495 2,375,000 5.125%, 06/15/19 pre-refunded Aa2/AA 2,572,291 Multnomah and Clackamas Counties, Oregon School District #10 (Gresham-Barlow) (Financial Security Assurance Insured) 1,500,000 5.500%, 06/15/18 pre-refunded Aa3/AAA 1,639,905 4,275,000 5.250%, 06/15/19 Aa2/AAA 4,808,990 2,650,000 5.000%, 06/15/21 pre-refunded Aa3/AAA 2,865,551 Multnomah and Clackamas Counties, Oregon School District #28JT (Centennial) (Financial Security Assurance Insured) 2,680,000 5.250%, 12/15/18 Aa3/NR** 3,032,393 Oregon Coast Community College District (MBIA Corporation Insured) (State School Bond Guaranty Program) 1,590,000 5.250%, 06/15/17 Aa2/NR 1,703,955 Pacific City, Oregon Joint Water - Sanitary Authority 1,830,000 4.800%, 07/01/27 NR/NR* 1,712,276 Polk, Marion & Benton Counties, Oregon School District #13J (Central) (Financial Security Assurance Insured) 1,520,000 5.000%, 06/15/21 Aa3/AAA 1,585,862 Portland, Oregon 1,000,000 4.600%, 06/01/14 Aaa/NR 1,028,190 2,975,000 zero coupon, 06/01/15 Aa2/NR 2,339,302 1,120,000 5.125%, 06/01/18 Aaa/NR 1,127,739 9,570,000 4.350%, 06/01/23 Aa1/NR 9,428,651 Portland, Oregon Community College District 2,350,000 5.000%, 06/01/21 pre-refunded Aa2/AA 2,535,251 Portland, Oregon Community College District (Financial Guaranty Insurance Corporation Insured) 1,395,000 5.000%, 06/01/17 pre-refunded Aa2/AA 1,504,968 Salem-Keizer, Oregon School District #24J (Financial Security Assurance Insured) 1,000,000 5.000%, 06/15/19 Aaa/AAA 1,048,440 Southwestern Oregon Community College District (MBIA Corporation Insured) 1,120,000 6.000%, 06/01/25 pre-refunded A2/AA 1,192,430 State of Oregon 2,115,000 5.250%, 10/15/14 Aa2/AA 2,308,840 500,000 6.000%, 10/01/29 Aa2/AA 532,965 State of Oregon Board of Higher Education 820,000 zero coupon, 08/01/16 Aa2/AA 611,671 2,000,000 5.000%, 08/01/21 Aa2/AA 2,085,140 State of Oregon Elderly and Disabled Housing 30,000 6.250%, 08/01/13 Aa2/AA 30,009 State of Oregon Veterans' Welfare 565,000 5.200%, 10/01/18 Aa2/AA 567,283 550,000 4.800%, 12/01/22 Aa2/AA 525,806 400,000 4.900%, 12/01/26 Aa2/AA 379,212 The Dalles, Oregon 230,000 4.000%, 06/01/20 NR/A 235,614 155,000 4.000%, 06/01/21 NR/A 155,963 130,000 4.125%, 06/01/22 NR/A 130,147 100,000 4.200%, 06/01/23 NR/A 99,782 Wasco County, Oregon School District #12 (The Dalles) (Financial Security Assurance Insured) 1,135,000 6.000%, 06/15/15 pre-refunded Aa3/AAA 1,213,814 1,400,000 5.500%, 06/15/17 Aa3/AAA 1,616,370 1,790,000 5.500%, 06/15/20 Aa3/AAA 2,011,763 Washington County, Oregon 2,465,000 5.000%, 06/01/23 Aa2/NR 2,541,366 Washington County, Oregon School District #15 (Forest Grove) (Financial Security Assurance Insured) 1,760,000 5.375%, 06/15/16 pre-refunded Aa2/NR** 1,918,893 2,000,000 5.000%, 06/15/21 pre-refunded Aa2/NR** 2,162,680 Yamhill County, Oregon School District #40 (McMinnville) (Financial Security Assurance Insured) 1,375,000 5.000%, 06/15/22 Aa2/NR** 1,408,248 ------------------- Total General Obligation Bonds 159,024,048 ------------------- State of Oregon Revenue Bonds (55.1%) --------------------------------------------------------------------- Airport Revenue Bonds (0.9%) --------------------------------------------------------------------- Jackson County, Oregon Airport Revenue (Syncora Guarantee Inc.) 750,000 5.250%, 12/01/32 Baa1/BBB- 574,298 Port of Portland, Oregon Airport (AMBAC Indemnity Corporation Insured) 2,950,000 5.500%, 07/01/24 Baa1/A 2,949,971 ------------------- Total Airport Revenue Bonds 3,524,269 ------------------- Certificates of Participation Revenue Bonds (5.5%) --------------------------------------------------------------------- Oregon State Department of Administration Services (AMBAC Indemnity Corporation Insured) 500,000 5.375%, 05/01/14 Aa3/AA- 536,665 3,500,000 6.000%, 05/01/26 pre-refunded Aaa/A+ 3,737,790 Oregon State Department of Administrative Services (Financial Guaranty Insurance Corporation Insured) 2,000,000 5.000%, 11/01/20 Aa3/AA 2,065,160 2,660,000 5.000%, 11/01/23 Aa3/AA 2,687,238 2,945,000 5.000%, 11/01/24 Aa3/AA 2,941,613 1,475,000 5.000%, 11/01/26 Aa3/AA 1,447,609 3,880,000 5.000%, 11/01/27 Aa3/AA 3,782,728 Oregon State Department of Administrative Services (Financial Security Assurance Insured) 1,000,000 5.000%, 05/01/22 Aa3/AAA 1,014,850 2,280,000 4.500%, 11/01/32 Aa3/AAA 1,955,966 1,645,000 4.750%, 05/01/33 Aa3/AAA 1,469,643 ------------------- Total Certificates of Participation Revenue Bonds 21,639,262 ------------------- Development Revenue Bonds (1.1%) --------------------------------------------------------------------- Portland, Oregon Economic Development (Broadway Project) 5,000,000 6.500%, 04/01/35 A2/A+ 4,292,600 ------------------- Total Development Revenue Bonds 4,292,600 ------------------- Hospital Revenue Bonds (9.9%) --------------------------------------------------------------------- Clackamas County, Oregon Hospital Facilities Authority (Legacy Health System) 2,000,000 5.250%, 02/15/17 A2/A+ 2,011,980 2,980,000 5.250%, 02/15/18 A2/A+ 2,989,178 4,025,000 5.250%, 05/01/21 A2/A+ 3,900,507 Clackamas County, Oregon Hospital Facilities Authority (Legacy Health System) (MBIA Corporation Insured) 2,650,000 4.750%, 02/15/11 A1/AA 2,712,620 Deschutes County, Oregon Hospital Facilities Authority (Cascade Health) 2,000,000 5.600%, 01/01/27 pre-refunded A3/NR 2,219,360 3,500,000 8.000%, 01/01/28 A3/NR 3,608,605 3,000,000 5.600%, 01/01/32 pre-refunded A3/NR 3,329,040 Deschutes County, Oregon Hospital Facilities Authority (Cascade Health) (AMBAC Insured) 3,300,000 5.375%, 01/01/35 A3/NR 2,895,123 Klamath Falls, Oregon Inter Community Hospital (Merle West) (Assured Guaranty Corporation Insured) 5,000,000 5.000%, 09/01/36 NR/AAA 3,970,550 Medford, Oregon Hospital Facilities Authority (MBIA Corporation Insured) 345,000 5.000%, 08/15/18 Baa1/AA 317,483 Multnomah County, Oregon Hospital Facilities Authority (Providence Health System) 1,390,000 5.250%, 10/01/22 Aa2/AA 1,311,938 Multnomah County, Oregon Hospital Facilities Authority (Terwilliger Plaza Project) 1,250,000 5.250%, 12/01/36 NR/NR* 678,288 Oregon Health Sciences University Series B (MBIA Corporation Insured) 1,400,000 5.250%, 07/01/15 Baa1/AA 1,390,130 Salem, Oregon Hospital 2,000,000 5.750%, 08/15/23 NR/A+ 1,927,200 3,300,000 4.500%, 08/15/30 NR/A+ 2,431,044 State of Oregon Health Housing Educational and Cultural Facilities Authority (Peacehealth) (AMBAC Indemnity Corporation Insured) 2,300,000 5.250%, 11/15/17 Baa1/AA- 2,385,974 1,430,000 5.000%, 11/15/32 Baa1/AA- 1,240,539 ------------------- Total Hospital Revenue Bonds 39,319,559 ------------------- Housing, Educational, and Cultural Revenue Bonds (7.7%) --------------------------------------------------------------------- Forest Grove, Oregon (Pacific University) (Radian Insured) 4,000,000 5.000%, 05/01/22 A3/BBB+ 3,466,640 Forest Grove, Oregon Student Housing (Oak Tree Foundation) 5,750,000 5.500%, 03/01/37 NR/NR* 3,822,370 Multnomah County, Oregon Educational Facility (University of Portland) 1,000,000 6.000%, 04/01/20 pre-refunded NR/BBB+ 1,058,320 Oregon Health Sciences University (MBIA Corporation Insured) 11,550,000 zero coupon, 07/01/21 Baa1/AA 5,306,417 3,140,000 5.250%, 07/01/22 Baa1/AA 2,709,977 Oregon State Facilities Authority (Linfield College) 2,115,000 5.000%, 10/01/25 Baa1/NR 1,471,723 Oregon State Facilities Authority Revenue (University of Portland) 5,000,000 5.000%, 04/01/32 NR/BBB+ 3,376,550 Oregon State Facilities Authority Revenue (Willamette University) 5,000,000 5.000%, 10/01/32 NR/A 4,330,200 State of Oregon Housing and Community Services 5,000 5.900%, 07/01/12 Aa2/NR 5,026 65,000 6.700%, 07/01/13 Aa2/NR 65,131 270,000 6.000%, 07/01/20 Aa2/NR 268,580 2,500,000 4.650%, 07/01/25 Aa2/NR 2,128,700 915,000 5.400%, 07/01/27 Aa2/NR 859,185 2,000,000 5.350%, 07/01/30 Aa2/NR 1,807,560 ------------------- Total Housing, Educational, and Cultural Revenue Bonds 30,676,379 ------------------- Transportation Revenue Bonds (6.1%) --------------------------------------------------------------------- Oregon St. Department Transportation Highway Usertax 3,025,000 5.500%, 11/15/18 pre-refunded Aa2/AAA 3,422,183 2,555,000 5.375%, 11/15/18 pre-refunded Aa2/AAA 2,729,404 1,200,000 5.000%, 11/15/22 Aa2/AAA 1,232,400 1,260,000 5.000%, 11/15/23 Aa2/AAA 1,287,506 4,545,000 5.125%, 11/15/26 pre-refunded Aa2/AAA 5,078,719 2,155,000 5.000%, 11/15/28 Aa2/AAA 2,161,810 1,000,000 5.000%, 11/15/29 Aa2/AAA 999,940 2,165,000 4.500%, 11/15/32 Aa2/AAA 1,930,552 Tri-County Metropolitan Transportation District, Oregon 1,440,000 5.750%, 08/01/16 pre-refunded NR/AAA 1,543,190 1,775,000 5.000%, 09/01/16 Aa3/AAA 1,896,108 Tri-County Metropolitan Transportation District, Oregon (LOC: U.S. Bank NA) 1,650,000 5.400%, 06/01/19 pre-refunded NR/AAA 1,696,200 ------------------- Total Transportation Revenue Bonds 23,978,012 ------------------- Urban Renewal Revenue Bonds (3.7%) --------------------------------------------------------------------- Portland, Oregon Airport Way Renewal and Redevelopment (AMBAC Indemnity Corporation Insured) 1,640,000 6.000%, 06/15/14 pre-refunded Aa3/NR 1,770,019 1,765,000 5.750%, 06/15/20 pre-refunded Aa3/NR 1,898,628 Portland, Oregon River District Urban Renewal and Redevelopment (AMBAC Indemnity Corporation Insured) 1,915,000 5.000%, 06/15/20 A3/NR 1,956,192 Portland, Oregon Urban Renewal Tax Allocation (AMBAC Indemnity Corporation Insured) (Convention Center) 1,150,000 5.750%, 06/15/18 Aa3/NR 1,189,411 2,000,000 5.450%, 06/15/19 Aa3/NR 2,053,680 Portland, Oregon Urban Renewal Tax Allocation (Interstate Corridor) (Financial Guaranty Insurance Corporation Insured) 1,890,000 5.250%, 06/15/20 A3/NR 1,862,803 1,990,000 5.250%, 06/15/21 A3/NR 1,942,021 2,030,000 5.000%, 06/15/23 A3/NR 1,883,536 ------------------- Total Urban Renewal Revenue Bonds 14,556,290 ------------------- Utility Revenue Bonds (1.7%) --------------------------------------------------------------------- Emerald Peoples Utility District, Oregon (Financial Security Assurance Insured) 1,455,000 5.250%, 11/01/22 Aa3/NR** 1,417,243 Eugene, Oregon Electric Utility 5,635,000 5.000%, 08/01/30 A1/AA- 5,426,054 ------------------- Total Utility Revenue Bonds 6,843,297 ------------------- Water and Sewer Revenue Bonds (16.9%) --------------------------------------------------------------------- Klamath Falls, Oregon Wastewater (AMBAC Indemnity Corporation Insured) 1,545,000 5.650%, 06/01/20 pre-refunded Baa1/A 1,641,902 Klamath Falls, Oregon Water (Financial Security Assurance Insured) 1,575,000 5.500%, 07/01/16 Aa3/AAA 1,666,256 Lane County, Oregon Metropolitan Wastewater 2,500,000 5.250%, 11/01/28 A1/AA- 2,499,800 Lebanon, Oregon Wastewater (Financial Security Assurance Insured) 1,000,000 5.700%, 03/01/20 Aa3/AAA 1,029,170 Portland, Oregon Sewer System 5,000,000 5.000%, 06/15/33 A1/AA- 4,730,150 Portland, Oregon Sewer System (Financial Guaranty Insurance Corporation Insured) 2,500,000 5.750%, 08/01/19 pre-refunded Aa3/AA- 2,677,125 Portland, Oregon Sewer System (Financial Security Assurance Insured) 2,760,000 5.250%, 06/01/17 Aa3/AAA 2,979,944 4,595,000 5.000%, 06/01/17 Aa3/AAA 5,045,172 3,470,000 5.000%, 06/01/21 Aa3/AAA 3,570,561 Portland, Oregon Sewer System (MBIA Corporation Insured) 4,410,000 5.000%, 06/15/25 Aa3/AA 4,461,773 4,630,000 5.000%, 06/15/26 Aa3/AA 4,667,040 1,610,000 5.000%, 06/15/27 Aa3/AA 1,615,909 Portland, Oregon Water System 7,420,000 5.500%, 08/01/19 pre-refunded Aa1/NR 7,922,928 1,235,000 5.500%, 08/01/20 pre-refunded Aa1/NR 1,318,708 Portland, Oregon Water System (MBIA Corporation Insured) 2,725,000 4.500%, 10/01/27 Aa2/NR 2,487,544 Salem, Oregon Water & Sewer (Financial Security Assurance Insured) 1,000,000 5.375%, 06/01/15 Aa3/AAA 1,131,170 1,970,000 5.375%, 06/01/16 pre-refunded Aa3/AAA 2,086,033 3,025,000 5.500%, 06/01/20 pre-refunded Aa3/AAA 3,208,436 Sunrise Water Authority, Oregon (Financial Security Assurance Insured) 2,630,000 5.000%, 03/01/19 Aa3/AAA 2,752,479 1,350,000 5.250%, 03/01/24 Aa3/AAA 1,376,730 Sunrise Water Authority, Oregon (Syncora Guarantee Inc.) 1,000,000 5.000%, 09/01/25 NR/BBB- 907,660 Washington County, Oregon Clean Water Services (Financial Guaranty Insurance Corporation Insured) 995,000 5.000%, 10/01/13 A1/AA 1,050,611 3,525,000 5.125%, 10/01/17 A1/AA 3,648,798 Washington County, Oregon Clean Water Services (MBIA Corporation Insured) 2,235,000 5.250%, 10/01/15 A1/AA 2,532,255 ------------------- Total Water and Sewer Revenue Bonds 67,008,154 ------------------- Other Revenue Bonds (1.6%) --------------------------------------------------------------------- Oregon State Department of Administration Services (Lottery Revenue) (Financial Security Assurance Insured) 3,040,000 5.000%, 04/01/19 Aa3/AAA 3,196,803 3,000,000 5.000%, 04/01/27 Aa3/AAA 3,017,880 ------------------- Total Other Revenue Bonds 6,214,683 ------------------- Total Revenue Bonds 218,052,505 ------------------- U.S. Territory (3.7%) --------------------------------------------------------------------- Puerto Rico Commonwealth Aqueduct & Sewer Authority (Assured Guaranty Corporation Insured) 3,000,000 5.000%, 07/01/28 Aa2/AAA 2,502,780 Puerto Rico Commonwealth General Obligation 1,000,000 5.500%, 07/01/32 Baa3/BBB- 759,780 2,000,000 5.375%, 07/01/33 Baa3/BBB- 1,481,060 Puerto Rico Commonwealth General Obligation (MBIA Insured) 1,500,000 6.000%, 07/01/28 A2/AA 1,288,845 Puerto Rico Electric Power Authority 1,000,000 5.250%, 07/01/33 A3/BBB+ 744,090 Puerto Rico Municipal Finance Agency (Financial Security Assurance Insured) 500,000 5.250%, 08/01/16 Aa3/AAA 482,625 5,000,000 5.250%, 08/01/20 Aa3/AAA 4,719,700 Puerto Rico Public Buildings Authority Revenue (Commonwealth Guaranteed) 3,000,000 6.250%, 07/01/31 Baa3/BBB- 2,575,620 ------------------- Total U.S. Territory Bonds 14,554,500 ------------------- Total Municipal Bonds (cost $398,200,745-note b) 98.9% 391,631,053 Other assets less liabilities 1.1 4,464,373 ----------------------------------- Net Assets 100.0% $ 396,095,426 ================== =============== * Any security not rated (NR) by either rating service has been determined by the Investment Sub-Adviser to have sufficient quality to be ranked in the top four credit ratings if a credit rating were to be assigned by a rating service. ** Rated AAA by Fitch. Percent of Portfolio Distribution By Quality Rating Portfolio + ---------------------------------------- ----------- Aaa of Moody's or AAA of S&P or AAA of Fitch 38.5 % Aa of Moody's or AA of S&P 42.0 A of Moody's or S&P 14.3 Baa of Moody's or BBB of S&P 3.1 Not rated* 2.1 --------- 100.0 % =========
+ Calculated using the highest rating of the three rating services. PORTFOLIO ABBREVIATIONS: AMBAC - American Municipal Bond Assurance Corp. LOC - Letter of Credit MBIA - Municipal Bond Investors Assurance NR - Not Rated See accompanying notes to financial statements. TAX-FREE TRUST OF OREGON NOTES TO FINANCIAL STATEMENTS (unaudited) (a) Securities valuation policies and other investment related disclosures are hereby incorporated by reference in the annual and semi-annual reports previously filed with the Securities and Exchange Commission on Form N-CSR. (b) At December 31, 2008, the net unrealized depreciation on investments, based on cost for federal income tax purposes of $397,722,899 amounted to $6,091,846, which consisted of aggregate gross unrealized appreciation of $12,933,359 and aggregate gross unrealized depreciation of $19,025,205. (c) Fair Value Measurements The Trust adopted Financial Accounting Standards Board Statement of Financial Accounting Standards No. 157 (FAS 157), "Fair Value Measurements", effective October 1, 2008. FAS 157 established a three-tier hierarchy of inputs to establish classification of fair value measurements for disclosure purposes. Inputs may be observable or unobservable. Observable inputs reflect the assumptions market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the reporting entity. Unobservable inputs reflect the reporting entity's own assumptions about the assumptions market participants would use in pricing the asset or liability developed based on the best information available in the circumstances. The Trust's investments in their entirety are assigned levels based upon the observability. The three-tier hierarchy of inputs is summarized below: Level 1 - quoted prices in active markets for identical securities Level 2 - other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds, credit risk, etc.) Level 3 - significant unobservable inputs (including the Trust's own ssumptions in determining the fair value of investments) The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities. The following is a summary of the valuation inputs, representing 100% of the Trust's investments, used to value the Trust's net assets as of December 31, 2008: Investments in Valuation Inputs Securities ------------------ ----------- Level 1 - Quoted Prices $ - Level 2 - Other Significant Observable Inputs $ 391,631,053 Level 3 - Significant Unobservable Inputs $ - -------------- Total $ 391,631,053 ============== Item 2. Controls and Procedures. (a) The Fund's chief financial and executive officers have evaluated the Fund's disclosure controls and procedures within 90 days of this filing and have concluded that the Fund's disclosure controls and procedures were effective, as of this date, in ensuring that information required to be disclosed by the Fund in this Form N-Q was recorded, processed, summarized and reported timely. (b) The Fund's chief financial and executive officers are aware of no changes in the Fund's internal control over financial reporting that occurred during the Fund's latest fiscal quarter that has materially affected, or is reasonably likely to materially affect, the Fund's internal control over financial reporting. Item 3. Exhibits. Filed as exhibits as part of this Form are separate certifications for each chief financial and executive officer of the registrant as required by Rule 30a-2(a) under the Act(17 CFR 270.30a-2(a)). Signatures Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. TAX-FREE TRUST OF OREGON By: /s/ Diana P. Herrmann ------------------------------- Diana P. Herrmann Vice Chair, President and Trustee February 20, 2009 Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. By: /s/ Diana P. Herrmann --------------------------------- Diana P. Herrmann Vice Chair, President and Trustee February 20, 2009 By: /s/ Joseph P. DiMaggio ----------------------------------- Joseph P. DiMaggio Chief Financial Officer and Treasurer February 20, 2009