-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, JnUCRa80hynuZK1TnIKhhEZ5Gj+kfsw2RhCBeNKWT08YgWNOZd0UtM7kCp1VA1Fj YEUme2k/3C4K+cTXW4UWCA== 0000852254-05-000015.txt : 20050916 0000852254-05-000015.hdr.sgml : 20050916 20050916090832 ACCESSION NUMBER: 0000852254-05-000015 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050731 FILED AS OF DATE: 20050916 DATE AS OF CHANGE: 20050916 EFFECTIVENESS DATE: 20050916 FILER: COMPANY DATA: COMPANY CONFORMED NAME: T ROWE PRICE INSTITUTIONAL INTERNATIONAL FUNDS INC CENTRAL INDEX KEY: 0000852254 IRS NUMBER: 521640430 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-05833 FILM NUMBER: 051087827 BUSINESS ADDRESS: STREET 1: 100 EAST PRATT STREET STREET 2: LEGAL DEPARTMENT 8TH FLOOR CITY: BALTIMORE STATE: MD ZIP: 21202 BUSINESS PHONE: 4103452230 MAIL ADDRESS: STREET 1: 100 EAST PRATT STREET CITY: BALTIMORE STATE: MD ZIP: 21202 FORMER COMPANY: FORMER CONFORMED NAME: INSTITUTIONAL INTERNATIONAL FUNDS INC DATE OF NAME CHANGE: 19920703 N-Q 1 poi_iif.txt N-Q~INSTITUTIONAL INTERNATIONAL FUNDS Item 1 Schedule of Investments T. Rowe Price Institutional Foreign Equity Fund Unaudited July 31, 2005 PORTFOLIO OF INVESTMENTS (1) Shares Value (Cost and value in $ 000s) AUSTRALIA 1.2% Common Stocks 1.2% AMP 264,600 1,354 BHP Billiton 80,682 1,197 Brambles Industries ss. 149,500 939 Total Australia (Cost $2,498) 3,490 AUSTRIA 0.2% Common Stocks 0.2% Telekom Austria 37,200 750 Total Austria (Cost $726) 750 BELGIUM 1.9% Common Stocks 1.9% Fortis 102,307 2,987 SES Global GDR 119,100 1,869 UCB 16,629 896 Total Belgium (Cost $4,107) 5,752 BRAZIL 2.2% Common Stocks 2.2% Companhia Vale do Rio Doce ADR (USD) 44,800 1,248 Petroleo Brasileiro (Petrobras) ADR (USD) 82,360 3,765 Tele Norte Leste ADR (USD) 95,100 1,490 Total Brazil (Cost $3,359) 6,503 CANADA 0.9% Common Stocks 0.9% Research In Motion (USD) * 17,900 1,265 Telus (Non-voting shares) (USD) 42,200 1,473 Total Canada (Cost $2,275) 2,738 CHINA 0.7% Common Stocks 0.7% China Telecom (HKD) 842,000 324 China Telecom, 144A (HKD) 2,296,000 884 China Unicom (HKD) 950,000 848 Total China (Cost $1,765) 2,056 DENMARK 0.9% Common Stocks 0.9% Novo Nordisk, Series B 49,701 2,573 Total Denmark (Cost $1,393) 2,573 FINLAND 1.0% Common Stocks 1.0% Nokia OYJ 182,065 2,905 Total Finland (Cost $257) 2,905 FRANCE 9.3% Common Stocks 9.3% AXA ss. 118,336 3,223 France Telecom 99,424 3,062 Hermes International ss. 9,197 1,905 L'Oreal 9,396 742 LVMH ss. 47,485 3,938 Sanofi-Aventis ss. 70,457 6,087 Societe Generale ss. 28,559 3,117 Total 23,543 5,887 Total France (Cost $10,887) 27,961 GERMANY 2.2% Common Stocks 2.2% Allianz 7,399 938 Commerzbank 131,800 2,937 Hypo Real Estate Holding 70,704 2,872 Total Germany (Cost $5,063) 6,747 GREECE 3.1% Common Stocks 3.1% Hellenic Telecommunications * 81,940 1,671 National Bank of Greece 91,590 3,352 OPAP 131,200 4,271 Total Greece (Cost $7,914) 9,294 HONG KONG 2.1% Common Stocks 2.1% Cheung Kong Holdings 157,000 1,686 Esprit Holdings 152,000 1,129 Johnson Electric 1,042,000 994 Li & Fung 520,000 1,088 Sun Hung Kai Properties 129,000 1,329 Total Hong Kong (Cost $4,255) 6,226 INDIA 0.9% Common Stocks 0.9% I-Flex Solutions 79,500 1,545 Reliance Industries 63,117 1,015 Total India (Cost $1,950) 2,560 IRELAND 1.3% Common Stocks 1.3% Anglo Irish Bank 212,600 2,862 CRH 35,600 1,016 Total Ireland (Cost $3,623) 3,878 ITALY 6.7% Common Stocks 6.7% Alleanza Assicurazioni ss. 127,290 1,463 Assicurazioni Generali ss. 105,516 3,448 Banca Intesa S.p.A. 543,900 2,492 Enel 312,700 2,676 Eni S.p.A. ss. 105,295 2,987 Mediobanca ss. 97,200 1,854 UniCredito ss. 970,470 5,132 Total Italy (Cost $17,225) 20,052 JAPAN 21.1% Common Stocks 21.1% AIFUL 19,600 1,415 Astellas Pharmaceutical 74,700 2,429 Benesse 24,500 813 Canon 24,700 1,216 Credit Saison 33,200 1,104 Dai Nippon Printing 103,000 1,614 Daikin Industries 36,900 895 Fanuc ss. 25,600 1,814 HOYA ss. 10,800 1,333 INPEX 172 1,102 JSR 54,500 1,080 KDDI 521 2,515 Keyence 5,800 1,393 Kyocera 14,200 997 Leopalace21 65,200 1,065 Marui 89,500 1,311 Matsushita Electric Industries 103,000 1,674 Mitsubishi 236,300 3,379 Mitsubishi Estate 82,000 909 Mitsubishi Tokyo Financial ss. 306 2,572 Mitsui Fudosan ss. 211,000 2,394 Mitsui Trust Holdings 119,000 1,199 Nidec 12,000 1,299 Nissan 143,700 1,494 Nitto Denko 25,600 1,403 Nomura Securities 120,200 1,425 ORIX 10,800 1,598 Resona Holdings *ss. 872,000 1,530 Secom 59,000 2,622 Sega Sammy Holdings 18,200 1,126 Shin-Etsu Chemical 40,400 1,532 SMC 6,600 750 Sony 30,700 1,004 Sumitomo Mitsui Financial 558 3,682 Suzuki Motor 63,900 1,014 T&D Holdings 19,850 936 Takeda Chemical Industries 23,800 1,219 Toray Industries ss. 257,000 1,204 Toyota Motor 75,900 2,880 Trend Micro 34,000 1,220 USS ss. 13,700 915 Total Japan (Cost $51,475) 63,076 MEXICO 2.8% Common Stocks 2.8% America Movil ADR, Series L (USD) 130,800 2,912 Grupo Financiero Banorte ss. 113,300 952 Grupo Modelo, Series C 284,000 936 Grupo Televisa ADR (USD) 20,800 1,372 Wal-Mart de Mexico, Series V 531,373 2,377 Total Mexico (Cost $4,044) 8,549 NETHERLANDS 1.0% Common Stocks 1.0% Koninklijke Numico * 69,137 2,913 Total Netherlands (Cost $1,366) 2,913 NORWAY 0.9% Common Stocks 0.9% Norsk Hydro 14,095 1,336 Statoil ASA 67,300 1,454 Total Norway (Cost $2,399) 2,790 RUSSIA 0.1% Common Stocks 0.1% NovaTek GDR, 144A (USD) * 9,700 201 Total Russia (Cost $162) 201 SINGAPORE 0.6% Common Stocks 0.6% DBS Group 76,000 720 Venture 106,000 1,018 Total Singapore (Cost $1,711) 1,738 SOUTH AFRICA 0.8% Common Stocks 0.8% Naspers (N shares) 116,600 1,704 Standard Bank Group 63,400 681 Total South Africa (Cost $2,110) 2,385 SOUTH KOREA 1.6% Common Stocks 1.6% Hyundai GDR, 144A (USD) 30,900 1,050 Hyundai Motor 5,400 375 Kookmin Bank 19,650 1,041 Samsung Electronics 4,373 2,404 Total South Korea (Cost $1,912) 4,870 SPAIN 5.6% Common Stocks 5.6% Banco Bilbao Vizcaya Argenta 304,983 5,132 Cia Distrib Integral Logista 54,100 2,828 Cintra Concesiones 135,100 1,624 Enagas 117,900 2,062 Indra Sistemas 63,500 1,262 Sacyr Vallehermoso *ss. 2,600 60 Telefonica 62,275 1,047 Telefonica ADR (USD) 18,735 945 Vallehermoso 83,200 1,925 Total Spain (Cost $13,991) 16,885 SWEDEN 1.0% Common Stocks 1.0% Securitas, Series B ss. 181,735 3,070 Total Sweden (Cost $2,485) 3,070 SWITZERLAND 6.2% Common Stocks 6.2% Cie Financ Richemont, Equity Units, Class A 61,900 2,179 Credit Suisse Group 86,720 3,626 Nestle 18,594 5,101 Roche Holding 13,750 1,869 UBS 70,131 5,759 Total Switzerland (Cost $8,500) 18,534 TAIWAN 0.8% Common Stocks 0.8% Acer * 566,000 1,077 Far Eastone Telecom GDR (USD) 64,700 1,194 Total Taiwan (Cost $2,198) 2,271 THAILAND 0.7% Common Stocks 0.7% Bangkok Bank NVDR, GDR 432,200 1,032 Kasikornbank NVDR, GDR 860,100 1,197 Total Thailand (Cost $2,211) 2,229 TURKEY 0.9% Common Stocks 0.9% Turkiye Garanti Bankasi 380,800 1,045 Turkiye Is Bankasi 279,480 1,582 Total Turkey (Cost $1,768) 2,627 UNITED KINGDOM 19.0% Common Stocks 19.0% AstraZeneca 67,943 3,077 Barclays 282,558 2,762 BP 365,224 4,025 British Sky Broadcasting 339,017 3,180 Capita Group 396,700 2,520 Carnival 25,321 1,361 GlaxoSmithKline 301,203 7,094 GUS 174,600 2,774 iSOFT Group 183,800 1,377 Kingfisher 542,403 2,450 Reed Elsevier 331,478 3,061 Royal Bank of Scotland 157,254 4,677 Royal Dutch Shell, Series B * 126,198 4,009 Signet Group 767,600 1,576 Unilever 180,366 1,743 Vodafone 2,440,607 6,277 William Hill 227,100 2,299 WPP Group 237,560 2,515 Total United Kingdom (Cost $45,157) 56,777 UNITED STATES 0.6% Common Stocks 0.6% Carnival 36,400 1,907 Total United States (Cost $1,826) 1,907 SHORT-TERM INVESTMENTS 5.0% Money Market Funds 5.0% T. Rowe Price Reserve Investment Fund 3.39% #+ 14,960,898 14,961 Total Short-Term Investments (Cost $14,961) 14,961 SECURITIES LENDING COLLATERAL 10.2% Money Market Pooled Account 10.2% Investment in money market pooled account managed by JP Morgan Chase Bank, London 3.355% # 30,688,139 30,688 Total Securities Lending Collateral (Cost $30,688) 30,688 Total Investments in Securities 113.5% of Net Assets (Cost $256,261) $ 339,956 (1) Denominated in currency of country of incorporation unless otherwise noted # Seven-day yield * Non-income producing ss. All or a portion of this security is on loan at July 31, 2005 - See Note 2 + Affiliated company - See Note 4 144A Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration only to qualified institutional buyers - - total value of such securities at period-end amounts to $2,135 and represents 0.7% of net assets ADR American Depository Receipts GDR Global Depository Receipts HKD Hong Kong dollar NVDR Non Voting Depository Receipt USD U.S. dollar The accompanying notes are an integral part of this Portfolio of Investments. T. Rowe Price Institutional Foreign Equity Fund Unaudited July 31, 2005 Notes To Portfolio of Investments NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES T. Rowe Price Institutional International Funds, Inc. (the corporation) is registered under the Investment Company Act of 1940 (the 1940 Act). The Institutional Foreign Equity Fund (the fund), a diversified, open-end management investment company, is one portfolio established by the corporation. The fund seeks long-term growth of capital through investments primarily in the common stocks of established, non-U.S. companies. The accompanying portfolio of investments was prepared in accordance with accounting principles generally accepted in the United States of America, which require the use of estimates made by fund management. Fund management believes that estimates and security valuations are appropriate; however actual results may differ from those estimates, and the security valuations reflected in the portfolio of investments may differ from the value the fund receives upon sale of the securities. Valuation The fund values its investments and computes its net asset value per share at the close of the New York Stock Exchange (NYSE), normally 4 p.m. ET, each day that the NYSE is open for business. Equity securities listed or regularly traded on a securities exchange or in the over-the-counter market are valued at the last quoted sale price or, for certain markets, the official closing price at the time the valuations are made, except for OTC Bulletin Board securities, which are valued at the mean of the latest bid and asked prices. A security that is listed or traded on more than one exchange is valued at the quotation on the exchange determined to be the primary market for such security. Listed securities not traded on a particular day are valued at the mean of the latest bid and asked prices for domestic securities and the last quoted sale price for international securities. Investments in mutual funds are valued at the mutual fund's closing net asset value per share on the day of valuation. Other investments and those for which the above valuation procedures are inappropriate or are deemed not to reflect fair value are stated at fair value as determined in good faith by the T. Rowe Price Valuation Committee, established by the fund's Board of Directors. Most foreign markets close before the close of trading on the NYSE. If the fund determines that developments between the close of a foreign market and the close of the NYSE will, in its judgment, materially affect the value of some or all of its portfolio securities, which in turn will affect the fund's share price, the fund will adjust the previous closing prices to reflect the fair value of the securities as of the close of the NYSE, as determined in good faith by the T. Rowe Price Valuation Committee, established by the fund's Board of Directors. A fund may also fair value securities in other situations, such as when a particular foreign market is closed but the fund is open. In deciding whether to make fair value adjustments, the fund reviews a variety of factors, including developments in foreign markets, the performance of U.S. securities markets, and the performance of instruments trading in U. S. markets that represent foreign securities and baskets of foreign securities. The fund uses outside pricing services to provide it with closing market prices and information used for adjusting those prices. The fund cannot predict when and how often it will use closing prices and when it will adjust those prices to reflect fair value. As a means of evaluating its fair value process, the fund routinely compares closing market prices, the next day's opening prices in the same markets, and adjusted prices. Investment Transactions Investment transactions are accounted for on the trade date. NOTE 2 - INVESTMENT TRANSACTIONS Consistent with its investment objective, the fund engages in the following practices to manage exposure to certain risks or enhance performance. The investment objective, policies, program, and risk factors of the fund are described more fully in the fund's prospectus and Statement of Additional Information. Emerging Markets The fund may invest in securities of companies located in emerging markets or denominated in or linked to the currencies of emerging market countries. Future economic or political developments could adversely affect the liquidity or value, or both, of such securities. Restricted Securities The fund may invest in securities that are subject to legal or contractual restrictions on resale. Although certain of these securities may be readily sold, for example, under Rule 144A, others may be illiquid, and their sale may involve substantial delays and additional costs, and prompt sale at an acceptable price may be difficult. Securities Lending The fund lends its securities to approved brokers to earn additional income. It receives as collateral cash and U.S. government securities valued at 102% to 105% of the value of the securities on loan. Cash collateral is invested in a money market pooled account managed by the fund's lending agent in accordance with investment guidelines approved by fund management. Collateral is maintained over the life of the loan in an amount not less than the value of loaned securities, as determined at the close of fund business each day; any additional collateral required due to changes in security values is delivered to the fund the next business day. Although risk is mitigated by the collateral, the fund could experience a delay in recovering its securities and a possible loss of income or value if the borrower fails to return the securities. At July 31, 2005, the value of loaned securities was $29,084,000; aggregate collateral consisted of $30,688,000 in the money market pooled account. NOTE 3 - FEDERAL INCOME TAXES At July 31, 2005, the cost of investments for federal income tax purposes was $256,261,000. Net unrealized gain aggregated $83,703,000 at period-end, of which $85,619,000 related to appreciated investments and $1,916,000 related to depreciated investments. The amount and character of tax-basis distributions and composition of net assets are finalized at fiscal year-end; accordingly, tax-basis balances have not been determined as of July 31, 2005. NOTE 4 - RELATED PARTY TRANSACTIONS The fund may invest in the T. Rowe Price Reserve Investment Fund and the T. Rowe Price Government Reserve Investment Fund (collectively, the T. Rowe Price Reserve Funds), open-end management investment companies managed by Price Associates and affiliates of the fund. The T. Rowe Price Reserve Funds are offered as cash management options to mutual funds, trusts, and other accounts managed by Price Associates and/or its affiliates, and are not available for direct purchase by members of the public. The T. Rowe Price Reserve Funds pay no investment management fees. During the nine months ended July 31, 2005, dividend income from the T. Rowe Price Reserve Funds totaled $215,000, and the value of shares of the T. Rowe Price Reserve Funds held at July 31, 2005 and October 31, 2004 was $14,961,000 and $12,633,000, respectively. T. Rowe Price Institutional Emerging Markets Equity Fund Unaudited July 31, 2005 PORTFOLIO OF INVESTMENTS (1) Shares Value (Cost and value in $ 000s) ARGENTINA 1.2% Common Stocks 1.2% Tenaris ADR (USD) 14,300 1,342 Total Argentina (Cost $755) 1,342 BRAZIL 10.5% Common Stocks 8.6% Banco do Brasil * 24,500 321 Cia Energetica Minas Gerais (Cemig) 16,044,000 520 Companhia Siderurgica Nacional 16,600 311 Companhia Vale do Rio Doce ADR (1 ADR represents 1 preference 'A' share) (USD) 25,700 716 Companhia Vale do Rio Doce ADR (1 ADR represents 1 common share) (USD) 39,540 1,287 Energias Do Brasil * 30,900 283 Gol-Linhas Aereas Inteligentes ADR (USD) 8,600 255 Natura Cosmeticos 18,300 613 Petroleo Brasileiro (Petrobras) ADR (1 ADR represents 1 preference share) (USD) 62,600 2,862 Petroleo Brasileiro (Petrobras) ADR (1 ADR represents 1 common share) (USD) 28,600 1,504 Tele Norte Leste ADR (USD) 13,200 207 Tele Norte Leste GDR * 233 5 Tele Norte Leste Participaco 33,399 711 9,595 Preferred Stocks 1.9% Banco Itau Holdings Financiera 8,731 1,649 Caemi Mineracao e Metalurgica 297,100 320 Perdigao 3,500 82 2,051 Total Brazil (Cost $8,871) 11,646 CHINA 4.1% Common Stocks 4.1% China Insurance International (HKD) * 916,000 314 China Netcom (HKD) 264,000 403 China Shenhua Energy (HKD) * 433,500 460 China Telecom (HKD) 1,040,000 400 China Unicom (HKD) 454,000 406 Gome Electrical Appliances (HKD) 272,000 168 Luen Thai Holdings (HKD) 550,000 169 PetroChina (HKD) 1,338,000 1,194 Shanghai Forte Land Company (HKD) 706,000 203 Silver Grant (HKD) 506,000 159 tom.com (HKD) * 1,416,000 272 ZTE (HKD) 137,600 393 Total China (Cost $4,530) 4,541 COLOMBIA 0.1% Common Stocks 0.1% Bancolombia SA ADR (USD) 8,200 158 Total Colombia (Cost $148) 158 CZECH REPUBLIC 0.4% Common Stocks 0.4% Komercni Banka 3,656 487 Total Czech Republic (Cost $442) 487 EGYPT 4.9% Common Stocks 4.9% Commercial International Bank 132,535 1,102 Egyptian Company for Mobile Services 31,987 959 Orascom Construction Industries 52,300 1,553 Orascom Telecom 11,770 1,172 Orascom Telecom Holding GDR (USD) 500 24 Vodafone Egypt 39,200 611 Total Egypt (Cost $3,696) 5,421 EUROPE/FAR EAST 1.8% Common Stocks 1.8% iShares MSCI Emerging Markets Index Fund (USD) 25,500 1,966 Total Europe/Far East (Cost $1,715) 1,966 HONG KONG 0.2% Common Stocks 0.2% Kingboard Chemical Holdings 94,000 266 Total Hong Kong (Cost $220) 266 HUNGARY 1.0% Common Stocks 1.0% OTP Bank 28,800 1,081 Total Hungary (Cost $914) 1,081 INDIA 7.4% Common Stocks 7.4% Arvind Mills * 183,236 537 Ballarpur Industries 49,600 129 Ballarpur Industries, 144A 26,518 69 Ballarpur Industries (Regulation S shares) 3,403 9 Bharti Televentures * 121,000 809 I-Flex Solutions 32,600 634 Infosys Technologies 19,182 1,000 ITC 18,040 697 National Thermal Power 423,900 915 Petronet LNG * 578,300 655 Power Trading * 180,500 197 Reliance Industries 54,276 873 Videsh Sanchar Nigam 163,800 1,548 Videsh Sanchar Nigam ADR (USD) 9,400 184 Total India (Cost $6,411) 8,256 INDONESIA 0.8% Common Stocks 0.8% Indosat 947,300 560 Telekomunikasi 665,500 380 Total Indonesia (Cost $769) 940 ISRAEL 1.1% Common Stocks 1.1% Bank Hapoalim 134,100 450 Bank Leumi 162,700 458 Makhteshim-Agan Industries 63,200 360 Total Israel (Cost $1,013) 1,268 MALAYSIA 3.7% Common Stocks 3.7% Astro All Asia (Ordinary shares) * 595,000 912 CIMB Berhad 393,100 660 CIMB Berhad, Rights, 7/27/05 * 41,922 20 Hong Leong Bank 269,200 398 IJM Berhad 233,100 311 IJM Berhad, Rights, 7/7/05 * 42,560 6 Malayan Banking Berhad 277,400 843 Malaysia International Shipping 104,700 516 MK Land Holdings 246,300 68 Tenaga Nasional 137,000 405 Total Malaysia (Cost $3,917) 4,139 MEXICO 8.3% Common Stocks 8.3% America Movil ADR, Series L (USD) 144,500 3,217 Grupo Aeroportuario del Sureste ADR (USD) 11,500 395 Grupo Financiero Banorte 146,800 1,233 Grupo Modelo, Series C 127,000 419 Grupo Televisa ADR (USD) 15,424 1,017 Organizacion Soriana, Series B * 140,400 564 Urbi Desarrollos Urbanos * 120,600 752 Wal-Mart de Mexico, Series V 377,512 1,688 Total Mexico (Cost $6,729) 9,285 RUSSIA 3.8% Common Stocks 3.8% Lukoil (USD) 9,110 374 Lukoil ADR (USD) 24,220 1,001 Mobile Telesystems ADR (USD) 15,400 546 NovaTek GDR 144A (USD) * 5,400 112 NovaTek OAO (USD) 251 515 Pyaterochka Holding GDR (USD) 6,500 105 Pyaterochka Holding GDR (Regulation S shares) (USD) * 54,900 881 RBC Information Systems (USD) * 31,200 156 Sberbank RF (USD) 690 520 Total Russia (Cost $3,202) 4,210 SOUTH AFRICA 11.1% Common Stocks 11.1% Absa Group 67,660 944 African Bank Investments 209,200 637 Edgars Consolidated Store 186,500 906 FirstRand 311,711 753 Investec 14,700 468 JD Group 68,510 769 Massmart Holdings 65,100 488 MTN Group 195,000 1,381 Naspers (N shares) 167,500 2,448 Pick 'N Pay Stores 73,700 298 SABMiller 38,200 668 Sanlam 234,200 441 Standard Bank Group 79,396 853 Sun International 54,300 611 Truworths International 241,400 690 Total South Africa (Cost $10,100) 12,355 SOUTH KOREA 18.1% Common Stocks 15.7% Amorepacific 3,345 917 Cheil Communications 2,430 474 Daelim Industrial 6,370 391 Daewoo Shipbuilding & Marine Engineering 11,920 225 Hynix Semiconductor * 31,910 739 Hyundai Department Store 3,950 209 Hyundai GDR 144A (USD) 8,600 292 Hyundai Heavy Industries 6,260 350 Hyundai Motor 1,760 122 KKC 4,175 762 Kookmin Bank 32,140 1,703 Kookmin Bank ADR (USD) 2,300 121 LG Electronics 4,940 319 LG Philips LCD ADR (USD) * 17,100 394 LG Philips LCD Local * 5,710 265 Lotte Chilsung Beverage 706 648 NCsoft * 6,590 490 S-Oil 8,050 612 Samsung Electronics 9,320 5,123 Shinhan Financial 21,400 648 Shinsegae 3,070 1,090 SK Corporation 8,490 418 Woori Finance Holdings 95,050 1,175 17,487 Preferred Stocks 2.4% Hyundai Motor 31,920 1,410 Samsung Electronics 3,310 1,248 2,658 Total South Korea (Cost $15,904) 20,145 TAIWAN 8.5% Common Stocks 8.5% Acer * 517,000 984 Advantech 286,795 752 Basso Industry * 172,900 404 Cathay Financial Holdings 205,000 410 Chinatrust Financial Holding 864,733 915 E.Sun Financial Holding 941,000 768 Far Eastern Department Stores * 266,000 174 Far Eastern Textile 717,505 581 Formosa Petrochemical * 162,198 296 Foxconn Technology * 82,000 381 Hon Hai Precision Industry 85,000 477 MediaTek * 57,000 598 Polaris Securities 355,000 180 Quanta Computer * 423,226 779 Taishin Financial Holdings 532,723 381 Via Technologies * 416,537 325 Yageo * 24,000 9 Yuanta Core Pacific 314,063 229 Zyxel Communications 304,000 760 Total Taiwan (Cost $8,597) 9,403 THAILAND 2.8% Common Stocks 2.8% Bangkok Bank NVDR, GDR 317,200 758 C.P. 7-Eleven 1,197,600 162 Kasikornbank NVDR, GDR 573,700 799 Land & Houses NVDR 1,991,300 344 PTT Exploration & Production 62,300 634 Ratchaburi Electricity Generating Holding 363,700 364 Total Thailand (Cost $3,015) 3,061 TURKEY 6.3% Common Stocks 6.3% Akbank 85,420 471 Anadolou Efes Biracilik ve Malt Sanayii 15,500 350 Arcelik 61,200 372 Denizbank * 252,449 1,128 Finansbank * 225,700 983 Hurriyet Gazetecilik ve Matbaacilik 303,100 796 Turkcell Iletisim Hizmet 83,625 460 Turkcell Iletisim Hizmet ADR (USD) 5,369 74 Turkiye Garanti Bankasi 313,025 860 Turkiye Is Bankasi 266,400 1,508 Total Turkey (Cost $5,017) 7,002 SHORT-TERM INVESTMENTS 10.6% Money Market Funds 10.6% T. Rowe Price Reserve Investment Fund, 3.39% #+ 11,843,257 11,843 Total Short-Term Investments (Cost $11,843) 11,843 Total Investments in Securities 106.7% of Net Assets (Cost $97,808) $ 118,815 (1) Denominated in currency of country of incorporation unless otherwise noted # Seven-day yield * Non-income producing + Affiliated company - See Note 4. 144A Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may be resold in transactions exempt from registration only to qualified institutional buyers - - total value of such securities at period-end amounts to $473 and represents 0.4% of net assets ADR American Depository Receipts GDR Global Depository Receipts HKD Hong Kong dollar NVDR Non Voting Depository Receipt USD U.S. dollar The accompanying notes are an integral part of this Portfolio of Investments. T. Rowe Price Institutional Emerging Markets Equity Fund Unaudited July 31, 2005 Notes To Portfolio of Investments NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES T. Rowe Price Institutional International Funds, Inc. (the corporation) is registered under the Investment Company Act of 1940 (the 1940 Act). The Institutional Emerging Markets Equity Fund (the fund), a diversified, open-end management investment company, is one portfolio established by the corporation. The fund seeks long-term growth of capital through investments primarily in the common stocks of companies located (or with primary operations) in emerging markets. The accompanying portfolio of investments was prepared in accordance with accounting principles generally accepted in the United States of America, which require the use of estimates made by fund management. Fund management believes that estimates and security valuations are appropriate; however actual results may differ from those estimates, and the security valuations reflected in the portfolio of investments may differ from the value the fund receives upon sale of the securities. Valuation The fund values its investments and computes its net asset value per share at the close of the New York Stock Exchange (NYSE), normally 4 p.m. ET, each day that the NYSE is open for business. Equity securities listed or regularly traded on a securities exchange or in the over-the-counter market are valued at the last quoted sale price or, for certain markets, the official closing price at the time the valuations are made, except for OTC Bulletin Board securities, which are valued at the mean of the latest bid and asked prices. A security that is listed or traded on more than one exchange is valued at the quotation on the exchange determined to be the primary market for such security. Listed securities not traded on a particular day are valued at the mean of the latest bid and asked prices for domestic securities and the last quoted sale price for international securities. Investments in mutual funds are valued at the mutual fund's closing net asset value per share on the day of valuation. Other investments and those for which the above valuation procedures are inappropriate or are deemed not to reflect fair value are stated at fair value as determined in good faith by the T. Rowe Price Valuation Committee, established by the fund's Board of Directors. Most foreign markets close before the close of trading on the NYSE. If the fund determines that developments between the close of a foreign market and the close of the NYSE will, in its judgment, materially affect the value of some or all of its portfolio securities, which in turn will affect the fund's share price, the fund will adjust the previous closing prices to reflect the fair value of the securities as of the close of the NYSE, as determined in good faith by the T. Rowe Price Valuation Committee, established by the fund's Board of Directors. A fund may also fair value securities in other situations, such as when a particular foreign market is closed but the fund is open. In deciding whether to make fair value adjustments, the fund reviews a variety of factors, including developments in foreign markets, the performance of U.S. securities markets, and the performance of instruments trading in U. S. markets that represent foreign securities and baskets of foreign securities. The fund uses outside pricing services to provide it with closing market prices and information used for adjusting those prices. The fund cannot predict when and how often it will use closing prices and when it will adjust those prices to reflect fair value. As a means of evaluating its fair value process, the fund routinely compares closing market prices, the next day's opening prices in the same markets, and adjusted prices. Investment Transactions Investment transactions are accounted for on the trade date. NOTE 2 - INVESTMENT TRANSACTIONS Consistent with its investment objective, the fund engages in the following practices to manage exposure to certain risks or enhance performance. The investment objective, policies, program, and risk factors of the fund are described more fully in the fund's prospectus and Statement of Additional Information. Emerging Markets The fund may invest in securities of companies located in emerging markets or denominated in or linked to the currencies of emerging market countries. Future economic or political developments could adversely affect the liquidity or value, or both, of such securities. Restricted Securities The fund may invest in securities that are subject to legal or contractual restrictions on resale. Although certain of these securities may be readily sold, for example, under Rule 144A, others may be illiquid, and their sale may involve substantial delays and additional costs, and prompt sale at an acceptable price may be difficult. NOTE 3 - FEDERAL INCOME TAXES At July 31, 2005, the cost of investments for federal income tax purposes was $97,808,000. Net unrealized gain aggregated $20,977,000 at period-end, of which $21,660,000 related to appreciated investments and $683,000 related to depreciated investments. NOTE 4 - RELATED PARTY TRANSACTIONS The fund may invest in the T. Rowe Price Reserve Investment Fund and the T. Rowe Price Government Reserve Investment Fund (collectively, the T. Rowe Price Reserve Funds), open-end management investment companies managed by Price Associates and affiliates of the fund. The T. Rowe Price Reserve Funds are offered as cash management options to mutual funds, trusts, and other accounts managed by Price Associates and/or its affiliates, and are not available for direct purchase by members of the public. The T. Rowe Price Reserve Funds pay no investment management fees. During the nine months ended July 31, 2005, dividend income from the T. Rowe Price Reserve Funds totaled $59,000, and the value of shares of the T. Rowe Price Reserve Funds held at July 31, 2005 and October 31, 2004 was $11,843,000 and $2,093,000, respectively. Item 2. Controls and Procedures. (a) The registrant's principal executive officer and principal financial officer have evaluated the registrant's disclosure controls and procedures within 90 days of this filing and have concluded that the registrant's disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-Q was recorded, processed, summarized, and reported timely. (b) The registrant's principal executive officer and principal financial officer are aware of no change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting. Item 3. Exhibits. Separate certifications by the registrant's principal executive officer and principal financial officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached. 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. T. Rowe Price Institutional International Funds, Inc. By /s/ James S. Riepe ----------------------------------- James S. Riepe Principal Executive Officer Date September 16, 2005 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/ James S. Riepe ----------------------------------- James S. Riepe Principal Executive Officer Date September 16, 2005 By /s/ Joseph A. Carrier ----------------------------------- Joseph A. Carrier Principal Financial Officer Date September 16, 2005 EX-99.CERT 2 cer_iif.txt 302 CERTIFICATION~INSTITUTIONIAL INTERNATIONAL Item 3. CERTIFICATIONS I, James S. Riepe, certify that: 1. I have reviewed this report on Form N-Q of T. Rowe Price Institutional International Funds, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: (a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; (c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and (d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: September 16, 2005 /s/ James S. Riepe -------------------------------- James S. Riepe Principal Executive Officer CERTIFICATIONS I, Joseph A. Carrier, certify that: 1. I have reviewed this report on Form N-Q of T. Rowe Price Institutional International Funds, Inc.; 2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report; 3. Based on my knowledge, the schedules of investments included in this report fairly present in all material respects the investments of the registrant as of the end of the fiscal quarter for which the report is filed; 4. The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the Investment Company Act of 1940) for the registrant and have: (a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared; (b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles; (c) Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of a date within 90 days prior to the filing date of this report, based on such evaluation; and (d) Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and 5. The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions): (a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize, and report financial information; and (b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting. Date: September 16, 2005 /s/ Joseph A. Carrier -------------------------------- Joseph A. Carrier Principal Financial Officer <> -----END PRIVACY-ENHANCED MESSAGE-----