-----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, KvQSE1kxnt+cPjTXZZAZUqns2EbeyLkYMVWmuZzQ/VHHIfNYpcOAvr6Dzig78CxT WRvvRXQYL4FwspE/vMv5dA== 0001145443-06-002341.txt : 20060707 0001145443-06-002341.hdr.sgml : 20060707 20060707132538 ACCESSION NUMBER: 0001145443-06-002341 CONFORMED SUBMISSION TYPE: 497 PUBLIC DOCUMENT COUNT: 1 FILED AS OF DATE: 20060707 DATE AS OF CHANGE: 20060707 EFFECTIVENESS DATE: 20060707 FILER: COMPANY DATA: COMPANY CONFORMED NAME: LOOMIS SAYLES FUNDS II CENTRAL INDEX KEY: 0000872649 IRS NUMBER: 043113285 STATE OF INCORPORATION: MA FISCAL YEAR END: 0930 FILING VALUES: FORM TYPE: 497 SEC ACT: 1933 Act SEC FILE NUMBER: 033-39133 FILM NUMBER: 06950646 BUSINESS ADDRESS: STREET 1: 399 BOYLSTON STREET CITY: BOSTON STATE: MA ZIP: 02116 BUSINESS PHONE: 800-399-7788 MAIL ADDRESS: STREET 1: 399 BOYLSTON STREET CITY: BOSTON STATE: MA ZIP: 02116 FORMER COMPANY: FORMER CONFORMED NAME: LOOMIS SAYLES FUNDS I DATE OF NAME CHANGE: 20031119 FORMER COMPANY: FORMER CONFORMED NAME: LOOMIS SAYLES FUNDS DATE OF NAME CHANGE: 20031015 FORMER COMPANY: FORMER CONFORMED NAME: LOOMIS SAYLES FUNDS II DATE OF NAME CHANGE: 20030718 0000872649 S000006701 Loomis Sayles Investment Grade Bond Fund C000018237 Class J LIGJX 497 1 d19645_497.txt MHM Final SEMI-ANNUAL REPORT (During The Tenth Term) From: October 1, 2005 To: March 31, 2006 LOOMIS SAYLES FUNDS II - LOOMIS SAYLES INVESTMENT GRADE BOND FUND SEMI-ANNUAL REPORT (During The Tenth Term) From: October 1, 2005 To: March 31, 2006 To: Director of Kanto Local Finance Bureau Filing Date: June 30, 2006 Name of the Fund: LOOMIS SAYLES INVESTMENT GRADE BOND FUND Name of the Registrant Trust: LOOMIS SAYLES FUNDS II Name and Official Title of Trustees: Michael Kardok Treasurer of the Trust Address of Principal Office: 399 Boylston Street Boston, Massachusetts 02116 U. S. A. Name and Title of Registration Agent: Harume Nakano Attorney-at-Law Signature [Harume Nakano] ------------------------- (Seal) Ken Miura Attorney-at-Law Signature [Ken Miura] --------------------- (Seal) Address or Place of Business Marunouchi Kitaguchi Building 6-5, Marunouchi 1-chome Chiyoda-ku, Tokyo Name of Liaison Contact: Harume Nakano Ken Miura Attorneys-at-Law Place of Liaison Contact: Mori Hamada & Matsumoto Marunouchi Kitaguchi Building 6-5, Marunouchi 1-chome Chiyoda-ku, Tokyo Phone Number: 03-6212-8316 Places where a copy of this Semi-Annual Report is available for --------------------------------------------------------------- Public Inspection ----------------- Not applicable. C O N T E N T S --------------- This English translation I. STATUS OF INVESTMENT PORTFOLIO 1 (1) Diversification of Investment Portfolio 1 (2) Results of Past Operations 3 (a) Record of Changes in Net Assets 3 (b) Record of Distributions Paid 5 (c) Record of Earnings Ratio 8 II. OUTLINE OF THE FINANCIAL CONDITIONS OF THE FUND 9 III. RECORD OF SALES AND REPURCHASES 9 IV. OUTLINE OF THE TRUST 9 (1) Amount of Capital 9 (2) Description of Business and Outline of Operation 10 (3) Miscellaneous 13 V. OUTLINE OF THE FINANCIAL STATUS OF THE INVESTMENT MANAGEMENT COMPANY 13 I. STATUS OF INVESTMENT PORTFOLIO (LOOMIS SAYLES INVESTMENT GRADE BOND FUND (hereinafter referred to as the "Fund")) (1) Diversification of Investment Portfolio
(As of the end May, 2006) - ------------------------------------------------------------------------------------------------------------------ Types of Assets Name of Country Dollar (%) - ------------------------------------------------------------------------------------------------------------------ Corporate Bond U.S. 157,909,055 37.01% Great Britain 14,627,709 3.43% Australia 7,868,580 1.84% Canada 6,922,592 1.62% Chile 6,807,958 1.59% Multi-National 4,110,400 0.96% South Korea 3,186,639 0.75% Brazil 1,692,750 0.40% Philippines 1,534,217 0.36% Malaysia 1,157,615 0.27% France 1,038,765 0.24% Mexico 954,857 0.22% Argentina 666,663 0.16% Netherlands 593,846 0.14% Venezuela 328,000 0.08% - ------------------------------------------------------------------------------------------------------------------ Convertible Bonds U.S. 23,752,203 5.57% - ------------------------------------------------------------------------------------------------------------------ Government/agencies U.S. 53,071,038 12.44% - ------------------------------------------------------------------------------------------------------------------ Foreign Government Bonds Canada 78,581,532 18.42% Supranational 14,149,036 3.32% Sweden 10,377,183 2.43% Norway 10,126,277 2.37% Mexico 10,066,808 2.36% Brazil 4,223,084 0.99% Denmark 3,140,793 0.74% South Africa 684,995 0.16% Singapore 318,364 0.07% Peru 231,890 0.05% - ------------------------------------------------------------------------------------------------------------------ Repurchase Agreement 1,819,000 0.43% - ------------------------------------------------------------------------------------------------------------------ Sub-Total 419,941,849 98.42% - ------------------------------------------------------------------------------------------------------------------ Cash, Deposit and other Assets 6,760,287 1.58% - ------------------------------------------------------------------------------------------------------------------ Total 426,702,136 100% (Net Asset Value) - ------------------------------------------------------------------------------------------------------------------
Note 1: The investment ratio is calculated by dividing each asset at its market value by the total net asset value of the Fund. The same applies hereinafter. Note 2: The exchange rate of U.S. Dollars ("dollar" or "$") into Japanese Yen is (Y)112.26 for one U.S. Dollar, which is the actual middle point between the selling and buying currency rate by telegraphic transfer of The Bank of Mitsubishi-Tokyo UFJ, Ltd. as of May 31, 2006. The same applies hereinafter. - 2 - Note 3: In this report, money amounts and percentages have been rounded. Therefore, there are cases in which the amount for the "total" column is not equal to the aggregate amount. Also, conversion into other currencies is done simply by multiplying the corresponding amount by the conversion rate specified and rounded up when necessary. As a result, in this report, there are cases in which figures for the same information differ from each other. - 3 - (2) Results of Past Operations (a) Record of Changes in Net Assets Record of changes in net assets at the end of each of during the one year period up to and including the end of May, 2006 is as follows:
Total Net Asset Value Net Asset Value per Share - ------------------------------------------------------------------------------------------------------------------------------------ US$ Yen (thousands) (millions) US$ Yen - ------------------------------------------------------------------------------------------------------------------------------------ 2005 end of June Class Y 21,139 2,373 11.68 1,311 Class J 333,854 37,478 11.66 1,309 Class B 3,225 362 11.64 1,307 ClassC 21,549 2,419 11.64 1,307 Class A 26,510 2,976 11.68 1,311 - ------------------------------------------------------------------------------------------------------------------------------------ July Class Y 23,399 2,627 11.61 1,303 Class J 325,722 36,566 11.59 1,301 Class B 3,287 369 11.57 1,299 ClassC 23,262 2,611 11.57 1,299 Class A 30,518 3,426 11.61 1,303 - ------------------------------------------------------------------------------------------------------------------------------------ August Class Y 24,959 2,802 11.77 1,321 Class J 326,504 36,653 11.75 1,319 Class B 3,426 385 11.73 1,317 ClassC 26,649 2,992 11.72 1,316 Class A 35,647 4,002 11.77 1,321 - ------------------------------------------------------------------------------------------------------------------------------------ September Class Y 26,012 2,920 11.71 1,315 Class J 314,418 35,297 11.69 1,312 Class B 3,443 387 11.67 1,310 ClassC 27,992 3,142 11.66 1,309 Class A 39,168 4,397 11.71 1,315 - ------------------------------------------------------------------------------------------------------------------------------------ October Class Y 25,124 2,820 11.55 1,297 Class J 301,209 33,814 11.53 1,294 Class B 3,514 394 11.51 1,292 ClassC 29,064 3,263 11.50 1,291 Class A 51,382 5,768 11.55 1,297 - ------------------------------------------------------------------------------------------------------------------------------------ November Class Y 25,020 2,809 11.57 1,299 Class J 288,881 32,430 11.55 1,297 Class B 3,750 421 11.52 1,293 Class C 31,055 3,486 11.52 1,293 Class A 54,130 6,077 11.56 1,298 - ------------------------------------------------------------------------------------------------------------------------------------ December Class Y 25,925 2,910 11.12 1,248 Class J 267,668 30,048 11.11 1,247 Class B 3,753 421 11.09 1,245 Class C 34,249 3,845 11.08 1,244 Class A 56,989 6,398 11.12 1,248 - ------------------------------------------------------------------------------------------------------------------------------------
- 4 - Record of Changes in Net Assets (continued)
Total Net Asset Value Net Asset Value per Share - ------------------------------------------------------------------------------------------------------------------------------------ US$ Yen (thousands) (millions) US$ Yen - ------------------------------------------------------------------------------------------------------------------------------------ 2006 end of January Class Y 26,369 2,960 11.30 1,269 Class J 268,130 30,100 11.28 1,266 Class B 3,942 443 11.26 1,264 Class C 38,413 4,312 11.25 1,263 Class A 65,998 7,409 11.30 1,269 - ------------------------------------------------------------------------------------------------------------------------------------ February Class Y 27,473 3,084 11.30 1,269 Class J 258,285 28,995 11.28 1,266 Class B 4,167 468 11.26 1,264 Class C 43,642 4,899 11.25 1,263 Class A 71,949 8,077 11.30 1,269 - ------------------------------------------------------------------------------------------------------------------------------------ March Class Y 29,440 3,305 11.09 1,245 Class J 246,083 27,625 11.07 1,243 Class B 4,101 460 11.05 1,240 Class C 47,926 5,380 11.04 1,239 Class A 81,403 9,138 11.09 1,245 - ------------------------------------------------------------------------------------------------------------------------------------ April Class Y 30,905 3,469 11.23 1,261 Class J 245,466 27,556 11.21 1,258 Class B 4,252 477 11.18 1,255 Class C 52,129 5,852 11.17 1,254 Class A 85,442 9,592 11.22 1,260 - ------------------------------------------------------------------------------------------------------------------------------------ May Class Y 34,690 3,894 11.12 1,248 Class J 240,480 26,996 11.10 1,246 Class B 4,209 473 11.08 1,244 Class C 55,085 6,184 11.06 1,242 Class A 92,238 10,355 11.11 1,247 - ------------------------------------------------------------------------------------------------------------------------------------
- 5 - (b) Record of Distributions Paid
- ---------------------------------------------------------------------------------------------------------------------------------- Payment date Ex-dividend date Class US$ JPY - ---------------------------------------------------------------------------------------------------------------------------------- 9th FY October 6, 2004 October 1, 2004 Class Y US$ 0.0520 (\ 5.84 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0469 (\ 5.26 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0422 (\ 4.74 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0419 (\ 4.70 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0488 (\ 5.48 ) - ---------------------------------------------------------------------------------------------------------------------------------- November 4, 2004 November 1, 2004 Class Y US$ 0.0535 (\ 6.01 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0458 (\ 5.14 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0428 (\ 4.80 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0423 (\ 4.75 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0496 (\ 5.57 ) - ---------------------------------------------------------------------------------------------------------------------------------- December 6, 2004 December 1, 2004 Class Y US$ 0.0471 (\ 5.29 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0397 (\ 4.46 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0364 (\ 4.09 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0361 (\ 4.05 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0434 (\ 4.87 ) - ---------------------------------------------------------------------------------------------------------------------------------- January 4, 2005 December 30, 2004 Class Y US$ 0.4372 (\ 49.08 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.4292 (\ 48.18 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.4260 (\ 47.82 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.4258 (\ 47.80 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.4337 (\ 48.69 ) - ---------------------------------------------------------------------------------------------------------------------------------- February 4, 2005 February 1, 2005 Class Y US$ 0.0496 (\ 5.57 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0422 (\ 4.74 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0384 (\ 4.31 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0390 (\ 4.38 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0457 (\ 5.13 ) - ---------------------------------------------------------------------------------------------------------------------------------- March 4, 2005 March 1, 2005 Class Y US$ 0.0463 (\ 5.20 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0397 (\ 4.46 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0361 (\ 4.05 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0366 (\ 4.11 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0428 (\ 4.80 ) - ---------------------------------------------------------------------------------------------------------------------------------- April 6 , 2005 April 1, 2005 Class Y US$ 0.0477 (\ 5.35 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0404 (\ 4.54 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0368 (\ 4.13 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0370 (\ 4.15 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0438 (\ 4.92 ) - ---------------------------------------------------------------------------------------------------------------------------------- May 5, 2005 May 2, 2005 Class Y US$ 0.0471 (\ 5.29 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0400 (\ 4.49 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0365 (\ 4.10 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0365 (\ 4.10 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0430 (\ 4.83 ) - ----------------------------------------------------------------------------------------------------------------------------------
- 6 - Record of Distributions Paid (continued)
- --------------------------------------------------------------------------------------------------------------------------------- Payment date Ex-dividend date Class US$ JPY - --------------------------------------------------------------------------------------------------------------------------------- June 6, 2005 June 1, 2005 Class Y US$ 0.0398 (\ 4.47 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0325 (\ 3.65 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0288 (\ 3.23 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0294 (\ 3.30 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0359 (\ 4.03 ) - --------------------------------------------------------------------------------------------------------------------------------- July 7, 2005 July 1, 2005 Class Y US$ 0.0458 (\ 5.14 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0382 (\ 4.29 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0352 (\ 3.95 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0355 (\ 3.99 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0424 (\ 4.76 ) - --------------------------------------------------------------------------------------------------------------------------------- August 4, 2005 August 1, 2005 Class Y US$ 0.0469 (\ 5.26 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0392 (\ 4.40 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0357 (\ 4.01 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0360 (\ 4.04 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0435 (\ 4.88 ) - --------------------------------------------------------------------------------------------------------------------------------- September 7, 2005 September 1, 2005 Class Y US$ 0.0469 (\ 5.26 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0393 (\ 4.41 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0358 (\ 4.02 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0365 (\ 4.10 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0434 (\ 4.87 ) - --------------------------------------------------------------------------------------------------------------------------------- 10th FY October 6, 2005 October 3, 2005 Class Y US$ 0.0467 (\ 5.24 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0390 (\ 4.38 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0355 (\ 3.99 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0359 (\ 4.03 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0430 (\ 4.83 ) - --------------------------------------------------------------------------------------------------------------------------------- November 4, 2005 November 1, 2005 Class Y US$ 0.0435 (\ 4.88 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0361 (\ 4.05 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0331 (\ 3.72 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0329 (\ 3.69 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0418 (\ 4.69 ) - --------------------------------------------------------------------------------------------------------------------------------- December 6, 2005 December 1, 2005 Class Y US$ 0.0485 (\ 5.44 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0410 (\ 4.60 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0381 (\ 4.28 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0383 (\ 4.30 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0449 (\ 5.04 ) - --------------------------------------------------------------------------------------------------------------------------------- January 4, 2006 December 29, 2005 Class Y US$ 0.4791 (\ 53.78 ) - --------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.4716 (\ 52.94 ) - --------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.4680 (\ 52.54 ) - --------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.4685 (\ 52.59 ) - --------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.4753 (\ 53.36 ) - ---------------------------------------------------------------------------------------------------------------------------------
- 7 - Record of Distributions Paid (continued)
- ---------------------------------------------------------------------------------------------------------------------------------- Payment date Ex-dividend date Class US$ JPY - ---------------------------------------------------------------------------------------------------------------------------------- February 6, 2006 February 1, 2006 Class Y US$ 0.0489 (\ 5.49 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0417 (\ 4.68 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0381 (\ 4.28 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0387 (\ 4.34 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0455 (\ 5.11 ) - ---------------------------------------------------------------------------------------------------------------------------------- March 6, 2006 March 1, 2006 Class Y US$ 0.0470 (\ 5.28 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0403 (\ 4.52 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0375 (\ 4.21 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0378 (\ 4.24 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0437 (\ 4.91 ) - ---------------------------------------------------------------------------------------------------------------------------------- April 6, 2006 April 3, 2006 Class Y US$ 0.0485 (\ 5.44 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0413 (\ 4.64 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0375 (\ 4.21 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0383 (\ 4.30 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0449 (\ 5.04 ) - ---------------------------------------------------------------------------------------------------------------------------------- May 8, 2006 May 1, 2006 Class Y US$ 0.0505 (\ 5.67 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class J US$ 0.0436 (\ 4.89 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class B US$ 0.0402 (\ 4.51 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class C US$ 0.0405 (\ 4.55 ) - ---------------------------------------------------------------------------------------------------------------------------------- Class A US$ 0.0470 (\ 5.28 ) - ----------------------------------------------------------------------------------------------------------------------------------
- 8 - (c) Record of Earnings Ratio Record of earnings ratio during one year up to and including the end of May, 2006 is as follows:
----------------------------- ----------------------------------- Earning ratio (%) 1) 2) ----------------------------- ----------------------------------- Class Y 4.41 ----------------------------- ----------------------------------- Class J 3.66 ----------------------------- ----------------------------------- Class B 3.41 ----------------------------- ----------------------------------- Class C 3.28 ----------------------------- ----------------------------------- Class A 4.07 ----------------------------- -----------------------------------
(Note) The earning ratio of each class is calculated based on the following formula: NAV per share 5/31/06 + Distributions for one year - NAV per share 5/31/05 - -------------------------------------------------------------------------- X 100 NAV per share 5/31/05 1) Includes capital gain distributions. 2) Distributions used for the period ended 5/31/06 are based on payment date. - 9 - II. OUTLINE OF THE FINANCIAL CONDITIONS OF THE FUND The Fund shall use as the auditors the professional services of PricewaterhouseCoopers LLP, an independent registered public accounting firm. [The Japanese translation of the financial statement of the Fund to be incorporated.] III RECORD OF SALES AND REPURCHASES Record of sales and repurchases during one year period up to and including the end of May, 2006 and number of outstanding shares of the Fund as of the end of May, 2006 are as follows:
- -------------------------------------------------------------------------------------------- Number of Number of Units Number of Outstanding Units Sold Repurchased Units - -------------------------------------------------------------------------------------------- Class Y 1,957,953.237 464,614.132 3,120,003.837 (0) (0) (0) - -------------------------------------------------------------------------------------------- Class J 2,215,800.000 9,680,670.000 21,666,730.000 (2,215,800.000) (9,680,670.000) (21,666,730.000) - -------------------------------------------------------------------------------------------- Class B 183,698.829 68,358.873 379,970.650 (0) (0) (0) - -------------------------------------------------------------------------------------------- Class C 3,673,782.518 379,039.384 4,978,488.911 (0) (0) (0) - -------------------------------------------------------------------------------------------- Class A 7,620,645.997 1,362,124.581 8,299,102.100 (0) (0) (0) - --------------------------------------------------------------------------------------------
Note: The numbers of shares sold, redeemed and outstanding in the parenthesis represents those sold, redeemed and outstanding in Japan. IV. OUTLINE OF THE TRUST (1) Amount of Capital: 1. Trust Not applicable. 2. Loomis, Sayles & Company, L.P. (Investment Management Company) 1) Amount of Capital (issued capital stock at par value): Not applicable. Provided, however, that the partner capital was $54,369,868 ((Y)613.56 million) as of May 31, 2006. 2) Number of authorized shares of capital stock: Not applicable. 3) Number of outstanding shares of capital stock: Not applicable. 4) Increase/decrease in amount of capital for the last 5 years: Not applicable. - 10 - (2) Description of Business and Outline of Operation: 1. Trust The Trust may carry out any administrative and managerial act, including the purchase, sale, subscription and exchange of any securities, and the exercise of all rights directly or indirectly pertaining to the Fund's assets. The Trust has retained Loomis Sayles & Company, L.P., the investment adviser, to render investment advisory services, IXIS Asset Management Advisors, L.P., to render administrative services, and State Street Bank and Trust Company, to hold the assets of the Fund in custody and act as Transfer, Dividend Payment and Shareholder Servicing Agent. 2. Loomis, Sayles & Company, L.P. (Investment Management Company) Investment Management Company is engaged in the business of providing investment management and investment advisory services to mutual funds, among other clients. As of the end of May, 2006, Investment Management Company administers and manages the following 49 portfolio, including 12 portfolios of the Trust with the total net asset value is US$ 4,887 million.
Fund List (as of the end of May, 2006) - ----------------------------- --------------- ----------------------- ------------------------- ------------------ Fund Month Principal Total NAV NAV per share ($) /Date Characteristics ($ thousand) /Year Established - ------------------------------------------------------------------------------------------------------------------ LOOMIS SAYLES FUNDS I (10 portfolios) - -------------------------------- ------------ ----------------------- ----------- ------------- --------- -------- Loomis Sayles Bond Fund 5/16/91 Fixed Income/Open Retail 1,558,461 Retail 13.81 Inst. 4,083,277 Inst. 13.85 Admin 93,332 Admin 13.78 - -------------------------------- ------------ ----------------------- ----------- ------------- --------- -------- Loomis Sayles Global Bond Fund 5/10/91 Global/Open Retail 512,535 Retail 15.07 Inst. 594,432 Inst. 15.19 - -------------------------------- ------------ ----------------------- ----------- ------------- --------- -------- Loomis Sayles Fixed Income 1/17/95 Fixed Income/Open Inst. 386,689 13.28 Fund - -------------------------------- ------------ ----------------------- ----------- ------------- --------- -------- Loomis Sayles Institutional 6/5/96 Fixed Income/Open Inst. 139,155 7.75 High Income Fund - -------------------------------- ------------ ----------------------- ----------- ------------- --------- -------- Loomis Sayles Intermediate 1/28/98 Fixed Income/Open Inst. 40,762 9.34 Duration Fixed Income Fund - -------------------------------- ------------ ----------------------- ----------- ------------- --------- -------- Loomis Sayles Investment 7/1/94 Fixed Income/Open Inst. 170,626 12.29 Grade Fixed Income Fund - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Small Cap Value 5/13/91 Equity/Open Retail 292,557 Retail 27.42 Fund Inst. 444,559 Inst. 27.62 Admin 68,466 Admin 27.12 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Inflation 5/21/91 Fixed Income/Open Inst. 8,996 Inst. 10.26 Protected Securities Fund - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles High Income 4/13/04 Fixed Income/Open Inst. 31,685 Inst. 10.26 Opportunities Fund - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Securitized 3/2/06 Fixed Income/Open Inst. 25,537 Inst. 9.92 Asset Fund - ------------------------------------------------------------------------------------------------------------------
- 11 - LOOMIS SAYLES FUNDS II (12 portfolios) - ------------------------------------------------------------------------------------------------------------------ Loomis Sayles Aggressive Growth 12/31/96 Equity/Open Retail 29,793 Retail 20.40 Fund Inst. 18,088 Inst. 20.84 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Research Fund 7/31/00 Equity/Open A 1,038 A 9.02 B 334 B 8.87 C 865 C 8.84 Y 22,856 Y 9.06 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Growth Fund 5/16/91 Equity/Open A 137,104 A 5.76 B 35,122 B 5.64 C 45,569 C 5.64 Y 125,490 Y 5.98 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Value Fund 5/13/91 Equity/Open Inst. 47,152 Inst. 19.71 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Investment Grade 12/31/96 Fixed Income/Open Y 34,690 Y 11.12 Bond Fund J 240,480 J 11.10 A 92,238 A 11.11 B 4,209 B 11.08 C 55,085 C 11.06 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Small Cap Growth 12/31/96 Equity/Open R 3,963 R 11.96 Fund Inst. 20,927 Inst. 12.25 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Global Markets 5/1/96 Global/Open Y 70,924 Y 12.12 Fund A 6,575 A 12.11 C 14,698 C 12.09 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Tax-Managed 10/1/95 Equity/Open Inst. 9,478 9.60 Equity Fund - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles 1/3/89 Fixed Income/Open A 120,888 A 10.85 Limited Term B 10,964 B 10.83 Government and Agency Fund C 4,377 C 10.85 Y 2,345 Y 10.89 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Municipal Income 5/9/77 Fixed Income/Open A 94,195 A 7.39 Fund B 5,836 B 7.40 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles High Income Fund 2/22/84 Fixed Income/Open A 27,003 A 4.99 B 8,421 B 4.99 C 3,524 C 4.99 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Strategic Income 5/1/95 Fixed Income/Open A 1,953,713 A 14.19 Fund B 155,789 B 14.24 C 1,312,232 C 14.24 Y 170,583 Y 14.18 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- IXIS ADVISOR FUNDS TRUSTS I, II and III (7 portfolios) - ------------------------------------------------------------------------------------------------------------------ IXIS U.S. Diversified Portfolio 7/7/94 Equity/Open A 386,974 A 21.02 B 161,755 B 18.71 C 46,777 C 18.74 Y 20,896 Y 22.35 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- IXIS Value Fund 6/5/70 Equity/Open A 99,083 A 8.69 B 19,577 B 7.81 C 2,825 C 7.81 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Massachusetts 3/23/84 Fixed Income/Open A 72,199 A 16.42 Tax Free Income Fund B 2,594 B 16.38 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- Loomis Sayles Core Plus Bond 11/7/73 Fixed Income/Open A 92,732 A 10.98 Fund B 112,367 B 10.99 C 5,800 C 11.00 - ------------------------------------------------------------------------------------------------------------------
- 12 - - ------------------------------------------------------------------------------------------------------------------ Y 8,149 Y 11.03 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- IXIS Moderate Diversified 7/15/04 Fixed Income/Equity/ A 32,602 A 10.87 Portfolio Open C 81,504 C 10.82 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- IXIS Equity Diversified 1/31/05 Equity/Open A 12,393 A 10.84 Portfolio C 20,628 C 10.74 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- IXIS Income Diversified 11/17/05 Fixed Income/Open A 11,538 A 10.22 Portfolio C 8,712 C 10.20 - --------------------------------- ----------- ----------------------- ----------- ------------- --------- -------- UNRELATED FUNDS (20 portfolios) - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Metropolitan Series 5/2/94 Equity/Open A 351,279* A 234.50 Fund-Loomis Sayles B 25,364* B 232.00 Small Cap Series E 50,554* E 232.75 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Met Investors Series 5/1/06 Balanced/Open A 386,652 A 9.38 Trust--Loomis Sayles Global B 1,607 B 9.37 Markets Portfolio - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Managers Bond Fund 5/84 Fixed Income/Open 426,448* 23.68 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Managers Global Bond Fund 3/12/02 Fixed Income/Open 43,131* 20.87 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Managers Fixed Income Fund 5/18/04 Fixed Income/Open A 7,591* 10.08 B 16,837* 10.02 C 11,480* 10.08 Y 25,641* 10.12 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Managers Balanced Fund 5/18/04 Fixed Income/Open A 1,677* 11.72 B 9,692* 11.50 C 5,081* 11.61 Y 7,501* 11.81 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Maxim Loomis Sayles 11/1/94 Equity/Open 187,357* 22.00 Small-Cap Value Portfolio - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Maxim Loomis Sayles Bond 11/1/94 Fixed Income/Open 293,374* 12.30 Portfolio - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- GuideStone Funds 8/27/01 Fixed GS-2 57,372* GS-2 7.91 Extended Duration Income/Open GS-4 393,851* GS-4 14.07 Bond Fund GS-6 15,100* GS-6 7.91 GS-8 5,339* GS-8 7.90 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- USAA Growth Fund 4/5/71 Equity/Open 997,277** 14.30 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- USAA First Start Growth Fund 8/1/97 Equity/Open 253,039** 9.86 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- USAA Growth & Income Fund 6/1/93 Equity/Open 1,433,302** 18.44 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- USAA Balanced Strategy Fund 1/11/89 Balanced/Open 636,246*** 14.97 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Roszel/Loomis Sayles Large 7/1/02 Equity/Open 1,343* 10.81 Cap Growth Portfolio - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Pacific Select Funds Large 1/2/02 Equity/Open 1,179,493* 7.34 Cap Growth Portfolio - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Pacific Funds--Loomis Sayles 9/28/01 Equity/Open A 19,366**** 9.75 Large Cap Growth Fund B 594**** 9.53 C 1,654**** 9.52 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Absolute Strategies Fund 7/27/05 Absolute Return A 38,545***** 10.25 I 7,967***** 10.25 - ------------------------------------------------------------------------------------------------------------------
- 13 - - ------------------------------------------------------------------------------------------------------------------ AssetMark Large Cap Growth 6/29/01 Equity/Open 671,147* 9.25 Fund - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Saratoga Financial Services 1/7/03 Equity/Open A 1,183****** 13.47 Portfolio B 1,130****** 12.98 C .16****** 12.97 I 1,403****** 13.66 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- --------- Saratoga Large 9/1/94 Equity/Open B 396****** 13.60 Capitalization Growth C 2,842****** 13.63 Portfolio I 43,106****** 14.66 - ------------------------------- ------------ -------------------------- ------ ----------------- ------- ---------
* As of December 31, 2005. ** As of January 31, 2006. *** As of November 30, 2005. **** As of March 31, 2006. ***** As of September 30, 2005. ****** As of February 28, 2006. (3) Miscellaneous: 1. Trust During the six months prior to the filing of this document, there has been, or is, no litigation which had or is expected to have a material effect on the Fund or the Trust during the six months before the filing of this report. 2. Loomis, Sayles & Company, L.P. (Investment Management Company) During the six months prior to the filing of this document, there has been no litigation or fact which caused or would cause, a material effect to the Fund or the Investment Management Company. V. OUTLINE OF THE FINANCIAL STATUS OF THE INVESTMENT MANAGEMENT COMPANY The Investment Management Company shall use as the auditors the professional services of Pricewaterhouse Coopers. [The Japanese translation of the financial statement of the Management Company to be incorporated.] -----END PRIVACY-ENHANCED MESSAGE-----