-----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, mznJIQPtEZv6TsQ53PYvIKAqYLKt/RqdEgyEF2A0SA1AifpKeW8qlb8HLN0eeY+9 hF8zP4s8wKsz2/kTti9RNw== 0000854437-95-000005.txt : 19950907 0000854437-95-000005.hdr.sgml : 19950907 ACCESSION NUMBER: 0000854437-95-000005 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19950630 FILED AS OF DATE: 19950906 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: CENTENNIAL CALIFORNIA TAX EXEMPT TRUST CENTRAL INDEX KEY: 0000854437 STANDARD INDUSTRIAL CLASSIFICATION: UNKNOWN SIC - 0000 [0000] IRS NUMBER: 841121370 STATE OF INCORPORATION: MA FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: N-30D SEC ACT: 1940 Act SEC FILE NUMBER: 811-05871 FILM NUMBER: 95570356 BUSINESS ADDRESS: STREET 1: 3410 SOUTH GALENA ST CITY: DENVER STATE: CO ZIP: 80231 BUSINESS PHONE: 3036713200 MAIL ADDRESS: STREET 1: 3410 S GALENA STREET STREET 2: 3410 S GALENA STREET CITY: DENVER STATE: CO ZIP: 80231 N-30D 1 1995 ANNUAL REPORT CENTENNIAL CALIFORNIA TAX EXEMPT TRUST - ------------------------------------------------------------------- June 30, 1995 RA0180.001.0695 DEAR SHAREHOLDER: As the fixed income markets began to rally at the start of the year, rates began to decline. Your Trust's managers have been actively following the dramatic performance of the fixed income markets and, as a result, their strategy allowed the Trust a position among the top 25% of all California tax-exempt money market funds tracked by IBC/Donoghue.(1) One of the main factors affecting performance this year was the favorable supply and demand relationship. Because there has been relatively short supply and increased demand for municipal bonds, prices have remained high, which consequently put downward pressure on yields in the shorter end of this market. The Trust's compounded annualized yield for the 12 months ended June 30, 1995 was 3.03%. The corresponding yield without compounding was 2.99%. For investors in the 42.4% combined federal and state tax bracket, this is equal to a taxable yield of 5.26% with compounding and 5.19% without compounding.(2) The Trust's seven-day annualized yields with and without compounding for the year ended June 30, 1995 were 3.42% and 3.37%, respectively. With the Federal Reserve's recent rate cut, plus ongoing strong demand, we are optimistic about the market and the domestic economy. And as noted before, the portfolio has been able to maintain a strong yield in the face of both a drop in interest rates and unusually strong demand in our market -- but as this additional demand stabilizes as the year continues, we could again see yields increase. We're pleased to provide an investment that continues to offer tax- exempt income, a stable share price, and complete liquidity.(3) We appreciate the confidence you have placed in Centennial California Tax Exempt Trust and look forward to helping you continue to meet your financial goals in the future. Sincerely, /s/ Jon S. Fossel Jon S. Fossel President, Centennial California Tax Exempt Trust /s/ James C. Swain James C. Swain Chairman, Centennial California Tax Exempt Trust July 24, 1995 1. IBC/Donoghue, Inc., an independent fund monitoring service. Ranking for the six months ended June 30, 1995. 2. Compounded yields assume reinvestment of dividends. A portion of the Trust's distributions may be subject to federal and state income taxes. For investors subject to the federal and/or state alternative minimum tax, a portion of the Trust's distributions may increase this tax. 3. The Trust is neither insured nor guaranteed by the U.S. Government. There is no assurance that the Trust will maintain a stable $1 share price in the future. STATEMENT OF INVESTMENTS Centennial California Tax Exempt Trust
FACE AMORTIZED COST AMOUNT SEE NOTE 1 - --------------------------------------------------------------------------------------- SHORT-TERM TAX-EXEMPT OBLIGATIONS - 97.0% - -------------------------------------------------------------------------------------- CALIFORNIA - 97.0% ------------------------------------------------------------------------------ Anaheim, California Housing Authority Multifamily Housing Revenue Bonds, Bel Page Project, Series A, Remarketed, 4.05% (1) $1,000,000 $ 1,000,000 ---------------------------------------------------------------------------- Anaheim, California Housing Authority Multifamily Housing Revenue Refunding Bonds, Park Vista Apts., Series A, 4.10% (1) 3,000,000 3,000,000 ---------------------------------------------------------------------------- California Health Facilities Financing Authority Revenue Refunding Bonds, Memorial Health Services Project, 4% (1) 3,800,000 3,800,000 ---------------------------------------------------------------------------- California Health Facilities Financing Revenue Bonds, Santa Barbara Cottage Project, Series C, 3.80% (1) 500,000 500,000 ---------------------------------------------------------------------------- California Housing Finance Agency Home Mtg. Revenue Bonds, Series 1995-E, FGIC Insured, 4.60%, 2/1/96 (2) 3,500,000 3,500,000 ---------------------------------------------------------------------------- California Pollution Control Financing Authority Revenue Bonds, Chevron USA, Inc. Project, 4.50%, 5/15/96 (2) 700,000 701,476 ---------------------------------------------------------------------------- California Pollution Control Financing Authority Revenue Bonds, Pacific Gas & Electric Co. Project, 4.15%, 9/7/95 (2) 5,000,000 5,000,000 ---------------------------------------------------------------------------- California Pollution Control Financing Authority Revenue Bonds, Pacific Gas & Electric Co. Project, Series C, 4.05%, 9/8/95 (2) 4,000,000 4,000,000 ---------------------------------------------------------------------------- California Pollution Control Financing Authority Revenue Bonds, Pacific Gas & Electric Co. Project, Series E, 4.10%, 7/17/95 (2) 3,000,000 3,000,000 ---------------------------------------------------------------------------- California Pollution Control Financing Authority Revenue Bonds, Southern California Edison Co. Project, Series A, 4.10%, 8/21/95 (2) 1,200,000 1,200,000 ---------------------------------------------------------------------------- California Pollution Control Finan- cing Authority Solid Waste Disposal Revenue Bonds, Western Waste Industries, Series A, 4.25% (1) 1,500,000 1,500,000 ---------------------------------------------------------------------------- California State General Obligation Bonds, Series A-3, MBIA Insured, 4.35% (1) 3,000,000 3,000,000 ---------------------------------------------------------------------------- California State Revenue Anticipation Wts., Series C, FGIC Insured, 5.75%, 4/25/96 600,000 605,461 ---------------------------------------------------------------------------- California Statewide Communities Development Corp. Industrial Development Revenue Bonds, Propak California Corp., Series B, 3.75% (1) 1,000,000 1,000,000 ---------------------------------------------------------------------------- Costa Mesa, California Certificates of Participation, Orange County Performing Arts Center, 4.182% (1) 2,820,000 2,820,000 ---------------------------------------------------------------------------- Covina, California Redevelopment Agency Multifamily Revenue Refunding Bonds, Housing-Shadowhills Apts., Inc., Series A, CCSB Insured, 4.80% (1) 3,000,000 3,000,000 ---------------------------------------------------------------------------- Fairfield, California Industrial Development Authority Revenue Bonds, Herman G. Rowland, 4.182% (1) 400,000 400,000 ---------------------------------------------------------------------------- Los Angeles County, California Metropolitan Transportation Authority Revenue Anticipation Nts., Series 1995A, Swiss Bank Letter of Credit, 5%, 4/25/96 5,000,000 5,030,335 ---------------------------------------------------------------------------- Los Angeles, California Convention and Exhibition Center Authority, Series 1989 A, 4.05% (1) 2,000,000 2,000,000 ---------------------------------------------------------------------------- Northern California Public Power Agency Revenue Bonds, Geothermal Project No. 3, Prerefunded, Series 84A, 11.50%, 7/1/95 (2) 70,000 70,000 ---------------------------------------------------------------------------- Northern California Public Power Agen- cy Revenue Bonds, Series PW 9, 4.05% (1) 2,855,000 2,855,000
3 STATEMENT OF INVESTMENTS (CONTINUED) Centennial California Tax Exempt Trust
FACE AMORTIZED COST AMOUNT SEE NOTE 1 - -------------------------------------------------------------------------------------- SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED) - -------------------------------------------------------------------------------------- CALIFORNIA (CONTINUED) ---------------------------------------------------------------------------- Oakland, California Redevelopment Agency Certificates of Participation, Prerefunded, 9.25%, 8/1/95 (2) $3,775,000 $ 3,864,211 ---------------------------------------------------------------------------- Oakland, California Redevelopment Agency Refunding Tax Allocation Bonds, Central District Redevelopment Project, Prerefunded, 7.50%, 2/1/96 (2) 1,250,000 1,297,010 ---------------------------------------------------------------------------- Ontario, California Multifamily Residential Mtg. Revenue Bonds, Park Centre Project, Series A, 3.80% (1) 100,000 100,000 ---------------------------------------------------------------------------- Orange County, California Municipal Water District Refunding Certificates of Participation, Allen McColloch Project, Series A, 4.45% (1) 3,000,000 3,000,000 ---------------------------------------------------------------------------- Palm Springs, California Community Redevelopment Agency Certificates of Participation, Headquarters Hotel, Series 7, 4.55% (1) 400,000 400,000 ---------------------------------------------------------------------------- Pittsburg, California Mtg. Obligation Gtd. Revenue Bonds, Series A, 4.30% (1) 1,700,000 1,700,000 ---------------------------------------------------------------------------- Pittsburg, California Multifamily Mtg. Revenue Bonds, Fountain Plaza Project, 4.05% (1) 1,600,000 1,600,000 ---------------------------------------------------------------------------- Sacramento, California Municipal Utility District Tax-Exempt Commercial Paper, 4.10%, 8/3/95 (2) 6,000,000 6,000,000 ---------------------------------------------------------------------------- San Bernardino County, California Housing Authority Multifamily Housing Revenue Refunding Bonds, Arrowview Park Apts. Project, Series A, Federal Home Loan Bank Letter of Credit, 4.55% (1) 3,730,000 3,730,000 ---------------------------------------------------------------------------- San Bernardino County, California Multifamily Housing Authority Revenue Refunding Bonds, Monterey Villas Apts. Project, Series A, 4.25% (1) 1,525,000 1,525,000 ---------------------------------------------------------------------------- San Diego County, California Regional Transportation Commission Second Senior Sales Tax Revenue Bonds, Series A, FGIC Insured, 4.75%, 4/1/96 4,200,000 4,223,138 ---------------------------------------------------------------------------- San Diego, California Industrial Development Revenue Refunding Bonds, San Diego Gas & Electric Co. Project, 3.10%, 10/12/95 (2) 1,000,000 1,000,000 ---------------------------------------------------------------------------- San Diego, California Industrial Development Revenue Refunding Bonds, San Diego Gas & Electric Co. Project, Series B, 3.30%, 11/8/95 (2) 1,500,000 1,500,000 ---------------------------------------------------------------------------- San Diego, California Multifamily Housing Revenue Refunding Bonds, Coral Point Apts. Project, Series A, 4.30% (1) 2,500,000 2,500,000 ---------------------------------------------------------------------------- San Francisco, California City & County Sewer Revenue Refunding Bonds, AMBAC Insured, 5.50%, 10/1/95 1,000,000 1,003,418 ---------------------------------------------------------------------------- San Leandro, California Multifamily Mtg. Revenue Bonds, Parkside Commons Project, Series A, 3.95% (1) 1,000,000 1,000,000 ---------------------------------------------------------------------------- San Marcos, California Redevelopment Agency Multifamily Housing Bonds, San Marcos Retirement Village Project, 4.73% (1) 2,500,000 2,500,000 ---------------------------------------------------------------------------- Southern California Rapid Transit District Certificates of Partici- pation, Series BT-10, MBIA Insured, 4.05% (1) 1,000,000 1,000,000 ---------------------------------------------------------------------------- Visalia, California Industrial Development Revenue Bonds, Akers West Assn., 4.15% (1) 1,150,000 1,150,000 ---------------------------------------------------------------------------- West & Central Basin California Finance Authority Tax & Revenue Anticipation Nts., 4.10%, 8/3/95 (2) 2,500,000 2,500,000
4 STATEMENT OF INVESTMENTS (CONTINUED) Centennial California Tax Exempt Trust --------------------------------------------------------------------
TOTAL INVESTMENTS, AT AMORTIZED COST 97.0% $89,575,049 ---------------------------------------------------------------------------- OTHER ASSETS NET OF LIABILITIES 3.0 2,742,786 ------- ----------- NET ASSETS 100.0% $92,317,835 ======= ===========
[FN] 1. Floating or variable rate obligation maturing in more than one year. 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, 1995. This instrument may also have a demand feature which allows the recovery of principal at any time, or at specified intervals not exceeding one year, on up to 30 days' notice. Maturity date shown represents effective maturity based on variable rate and, if applicable, demand feature. 2. Put obligation redeemable at full face value on the date reported. See accompanying Notes to Financial Statements. 5 STATEMENT OF ASSETS AND LIABILITIES June 30, 1995 Centennial California Tax Exempt Trust
ASSETS: Investments, at amortized cost - see accompanying statement $89,575,049 Cash 300,214 Receivables: Shares of beneficial interest sold 3,038,132 Interest 771,260 Other 8,333 ----------- Total assets 93,692,988 ----------- LIABILITIES: Payables and other liabilities: Shares of beneficial interest redeemed 1,179,171 Dividends 120,319 Service plan fees - Note 3 41,835 Transfer and shareholder servicing agent fees - Note 3 2,006 Trustees' fees 90 Other 31,732 ----------- Total liabilities 1,375,153 ----------- NET ASSETS $92,317,835 =========== COMPOSITION OF NET ASSETS: Paid-in capital $92,329,399 Accumulated net realized loss from investment transactions (11,564) ----------- Net assets - Applicable to 92,329,399 shares of beneficial interest outstanding $92,317,835 =========== NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $1.00 =====
See accompanying Notes to Financial Statements. 6 STATEMENT OF OPERATIONS For the Year Ended June 30, 1995 Centennial California Tax Exempt Trust
INVESTMENT INCOME - Interest $2,703,820 ---------- EXPENSES: Management fees - Note 3 356,181 Service plan fees - Note 3 141,609 Transfer and shareholder servicing agent fees - Note 3 33,954 Shareholder reports 13,522 Registration and filing fees 11,940 Custodian fees and expenses 11,612 Legal and auditing fees 10,556 Trustees' fees and expenses 1,981 Other 11,869 ---------- Total expenses 593,224 Less assumption of expenses by Centennial Asset Management Corporation - Note 3 (23,310) ---------- Net expenses 569,914 ---------- NET INVESTMENT INCOME 2,133,906 NET REALIZED LOSS ON INVESTMENTS (11,564) ---------- NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $2,122,342 ==========
See accompanying Notes to Financial Statements. 7 STATEMENTS OF CHANGES IN NET ASSETS Centennial California Tax Exempt Trust
YEAR ENDED JUNE 30, 1995 1994 ----------- ----------- OPERATIONS: Net investment income $ 2,133,906 $ 1,174,691 Net realized gain (loss) on investments (11,564) 80 ----------- ----------- Net increase in net assets resulting from operations 2,122,342 1,174,771 DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS (2,133,965) (1,177,627) BENEFICIAL INTEREST TRANSACTIONS: Net increase in net assets resulting from beneficial interest transactions - Note 2 31,953,795 2,299,586 ----------- ----------- NET ASSETS: Total increase 31,942,172 2,296,730 Beginning of year 60,375,663 58,078,933 ----------- ----------- End of year $92,317,835 $60,375,663 =========== ===========
See accompanying Notes to Financial Statements. 8 FINANCIAL HIGHLIGHTS Centennial California Tax Exempt Trust
YEAR ENDED JUNE 30, 1995 1994 1993 1992 1991 1990(1) ---- ---- ---- ---- ---- PER SHARE OPERATING DATA: Net asset value, beginning of period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 ------- ------- ------- ------- ------- ------- Income from investment operations - net investment income and net realized gain on investments .03 .02 .02 .03 .04 .003 Dividends and distributions to to shareholders (.03) (.02) (.02) (.03) (.04) (.003) ------- ------- ------- ------- ------- ------- Net asset value, end of period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 ======= ======= ======= ======= ======= ======= TOTAL RETURN AT NET ASSET VALUE (2) 3.00% 1.82% 2.00% 3.29% 4.79% N/A RATIOS/SUPPLEMENTAL DATA: Net assets, end of period (in thousands) $92,318 $60,376 $58,079 $48,483 $32,337 $2,018 Average net assets (in thousands) $71,278 $65,520 $56,082 $40,684 $16,150 $1,914 Number of shares outstanding at end of period (in thousands) 92,329 60,376 58,076 48,484 32,337 2,018 Ratios to average net assets: Net investment income 2.99% 1.79% 1.90% 3.13% 4.09% 6.29%(3) Expenses, before voluntary assumption by the Manager .83% .87% .86% .91% 1.09% 2.53%(3) Expenses, net of voluntary assumption by the Manager .80% .80% .80% .80% .84% .90%(3)
[FN] 1. For the period from June 12, 1990 (commencement of operations) to June 30, 1990. 2. Assumes a hypothetical initial investment on the business day before the first day of the fiscal period, with all dividends 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. Total returns are not annualized for periods of less than one full year. Total returns reflect changes in net investment income only. 3. Annualized. See accompanying Notes to Financial Statements. 9 NOTES TO FINANCIAL STATEMENTS Centennial California Tax Exempt Trust 1. SIGNIFICANT ACCOUNTING POLICIES Centennial California Tax Exempt Trust (the Trust) is registered under the Investment Company Act of 1940, as amended, as a non-diversified, open-end management investment company. The Trust's investment advisor is Centennial Asset Management Corporation (the Manager), a subsidiary of Oppenheimer Management Corporation (OMC). The following is a summary of significant accounting policies consistently followed by the Trust. INVESTMENT VALUATION. Portfolio securities are valued on the basis of amortized cost, which approximates market value. FEDERAL TAXES. The Trust intends to continue to comply with provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income to shareholders. Therefore, no federal income or excise tax provision is required. DISTRIBUTIONS TO SHAREHOLDERS. The Trust 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, the Trust 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). Realized gains and losses on investments are determined on an identified cost basis, which is the same basis used for federal income tax purposes. 2. SHARES OF BENEFICIAL INTEREST The Trust has authorized an unlimited number of no par value shares of beneficial interest. Transactions in shares of beneficial interest were as follows:
YEAR ENDED JUNE 30, 1995 YEAR ENDED JUNE 30, 1994 ------------------------ ------------------------ Shares Amount Shares Amount ------ ------ ------ ------ Sold 279,468,671 $ 279,468,671 231,741,608 $ 231,741,608 Dividends and distri- butions reinvested 2,013,397 2,013,397 1,131,972 1,131,972 Redeemed (249,528,273) (249,528,273) (230,573,994) (230,573,994) ------------- -------------- ------------- -------------- Net increase 31,953,795 $ 31,953,795 2,299,586 $ 2,299,586 ============= ============== ============= ==============
3. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES Management fees paid to the Manager were in accordance with the investment advisory agreement with the Trust which provides for a fee of .50% on the first $250 million of average annual net assets with a reduction of .025% on each $250 million thereafter, to .40% on net assets in excess of $1 billion. The Manager has agreed to assume Trust expenses (with specified exceptions) in excess of the regulatory limitation of the State of California. In addition, the Manager has voluntarily undertaken to assume Trust expenses in excess of .80% of average annual net assets. Shareholder Services, Inc. (SSI), a subsidiary of OMC, is the transfer and shareholder servicing agent for the Trust, and for other registered investment companies. SSI's total costs of providing such services are allocated ratably to these companies. Under an approved plan of distribution, the Trust may expend up to .20% of its net assets annually to reimburse Centennial Asset Management Corporation, as distributor, for costs incurred in connection with the personal service and maintenance of accounts that hold shares of the Trust, including amounts paid to brokers, dealers, banks and other institutions. 10 INDEPENDENT AUDITORS' REPORT Centennial California Tax Exempt Trust The Board of Trustees and Shareholders of Centennial California Tax Exempt Trust: We have audited the accompanying statement of assets and liabilities, including the statement of investments, of Centennial California Tax Exempt Trust as of June 30, 1995, the related statement of operations for the year then ended, the statements of changes in net assets for the years ended June 30, 1995 and 1994, and the financial highlights for the period June 12, 1990 (commencement of operations) to June 30, 1995. These financial statements and financial highlights are the responsibility of the Trust's management. Our responsibility is to express an opinion on these financial statements and financial highlights based on our audits. We conducted our audits in accordance with generally accepted auditing standards. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements and financial highlights are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. Our procedures included confirmation of securities owned at June 30, 1995 by correspondence with the custodian. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion. In our opinion, such financial statements and financial highlights present fairly, in all material respects, the financial position of Centennial California Tax Exempt Trust at June 30, 1995, the results of its operations, the changes in its net assets, and the financial highlights for the respective stated periods, in conformity with generally accepted accounting principles. DELOITTE & TOUCHE LLP Denver, Colorado July 24, 1995 11 FEDERAL INCOME TAX INFORMATION (Unaudited) Centennial California Tax Exempt Trust In early 1996, shareholders will receive information regarding all dividends and distributions paid to them by the Trust during calendar year 1995. Regulations of the U.S. Treasury Department require the Trust to report this information to the Internal Revenue Service. None of the dividends paid by the Trust during the fiscal year ended June 30, 1995 are eligible for the corporate dividend-received deduction. The dividends were derived from interest on municipal bonds and are not subject to federal income tax. To the extent a shareholder is subject to any state or local tax laws, some or all of the dividends received may be taxable. The foregoing information is presented to assist shareholders in reporting distributions received from the Trust to the Internal Revenue Service. Because of the complexity of the federal regulations which may affect your individual tax return and the many variations in state and local tax regulations, we recommend that you consult your tax advisor for specific guidance. 12 CENTENNIAL CALIFORNIA TAX EXEMPT TRUST 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 Michael A. Carbuto, Vice President Andrew J. Donohue, 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 AND DISTRIBUTOR Centennial Asset Management Corporation TRANSFER AND SHAREHOLDER SERVICING AGENT Shareholder Services, Inc. CUSTODIAN OF PORTFOLIO SECURITIES Citibank, N.A. INDEPENDENT AUDITORS Deloitte & Touche LLP LEGAL COUNSEL Myer, Swanson, Adams & Wolf, P.C. This is a copy of a report to shareholders of Centennial California Tax Exempt Trust. This report must be preceded or accompanied by a Prospectus of Centennial California Tax Exempt Trust. For material information concerning the Trust, see the Prospectus. Shares of Centennial California Tax Exempt Trust are not deposits or obligations of any bank, are not guaranteed by any bank, and are not insured by the FDIC or any other agency, and involve investment risks, including possible loss of the principal amount invested. For shareholder servicing, call: 1-800-525-7048 (in U.S.) 303-671-3200 (outside U.S.) Or write: Shareholder Services, Inc. P.O. Box 5270 Denver, CO 80217-5270 13 -----END PRIVACY-ENHANCED MESSAGE-----