-----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, T7TAlXz+ndBeSvJeQ9mPhNX09AyiLKVbVntiAdsrIWQ4jnA7hFcrZ59LFrkdKl3L kCT+/fjLUm1n62l9kCIX+Q== 0000935069-00-000034.txt : 20000203 0000935069-00-000034.hdr.sgml : 20000203 ACCESSION NUMBER: 0000935069-00-000034 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19991130 FILED AS OF DATE: 20000131 FILER: COMPANY DATA: COMPANY CONFORMED NAME: STI CLASSIC FUNDS CENTRAL INDEX KEY: 0000883939 STANDARD INDUSTRIAL CLASSIFICATION: [] STATE OF INCORPORATION: MA FISCAL YEAR END: 0531 FILING VALUES: FORM TYPE: N-30D SEC ACT: SEC FILE NUMBER: 811-06557 FILM NUMBER: 518076 BUSINESS ADDRESS: STREET 1: 2 OLIVER STREET CITY: BOSTON STATE: MA ZIP: 02109 BUSINESS PHONE: 6109896602 MAIL ADDRESS: STREET 1: 530 E SWEDESFORD ROAD CITY: WAYNE STATE: PA ZIP: 19087-1693 N-30D 1 STI CLASSIC RETAIL BOOK SEMI-ANNUAL SEMI-ANNUAL - ---------------------------------------------------------------------- FINANCIAL REPORT - ---------------------------------------------------------------------- STI CLASSIC FUNDS - ---------------------------------------------------------------------- A Family of Mutual Funds - ---------------------------------------------------------------------- PRIME QUALITY MONEY MARKET FUND TAX-EXEMPT MONEY MARKET FUND TAX-FREE MONEY MARKET FUND U.S. GOVERNMENT SECURITIES MONEY MARKET FUND U.S. TREASURY MONEY MARKET FUND November 30, 1999 [STI Classic Funds Logo Omitted] [blank page] Dear Valued STI Classic Trust Shareholder: As of November 30, 1999, your STI Classic Funds' assets totaled $20.5 billion or 2.7% more than the totals reported to you as of May 31, 1999, the Funds' fiscal year end. The U.S. economic expansion is approaching nine years duration and remains strong with modest inflation. However, interest rates have risen over a full percentage point in 1999, as bond investors feared the strong economy and a tight employment situation would lead to an inflationary surge. Inflation continues to be well controlled due to strong productivity gains and little pricing power at corporations. Thus, we believe yields are quite high and attractive. The Federal Reserve has increased money market rates by three-quarters of a percentage point in hopes of slowing the growth pace and to preempt inflationary pressures. Stocks continue to advance as a result of the excellent economic environment. At some point, we think additional FED rate increases will drain liquidity from the system and increase competition for stocks. The STI Classic Funds introduced two new funds in the fourth quarter of this year: the Core Equity Fund will focus on companies in the $1 billion plus market capitalization range with superior growth in earnings, sales and other traditional valuation measures. The second fund, the E-Commerce Opportunity Fund, a growth fund, invests in companies that are expected to benefit substantially from electronic commerce. With 34 funds now available, the STI Classic Funds are well positioned, as we approach the new millennium, with a broad range of high quality mutual funds that utilize a time tested and disciplined investment management approach. Sincerely, /s/ signature omitted Anthony R. Gray Chairman, Chief Investment Officer STI Capital Management, N.A. /s/ signature omitted Douglas S. Phillips, CFA President, Chief Investment Officer Trusco Capital Management, Inc. 1 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 PRIME QUALITY MONEY MARKET FUND - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- COMMERCIAL PAPER (25.4%) FINANCE (17.5%) Allstate 5.800%, 01/19/00 $ 7,650 $ 7,590 Arco British 5.950%, 01/18/00 9,745 9,668 Beta Finance 5.440%, 01/24/00 6,000 5,951 5.800%, 03/20/00 33,453 32,860 Cargill 5.420%, 01/20/00 23,000 22,827 First Chicago Finance 5.710%, 01/27/00 27,000 26,755 5.970%, 01/27/00 1,000 991 General Electric Capital 4.740%, 12/01/99 25,000 25,000 Ford Motor Credit 5.630%, 12/08/99 2,700 2,697 GMAC 5.950%, 02/17/00 50,000 49,355 Mobile Australia Finance 5.700%, 12/03/99 2,166 2,165 Morgan Stanley Dean Witter (C) 5.860%, 01/20/00 136,000 135,999 Nestle Capital 5.520%, 12/03/99 3,253 3,252 Northwest Financial 5.690%, 02/01/00 80,000 79,216 Progress Capital 6.100%, 01/31/00 42,800 42,358 6.150%, 02/02/00 15,178 15,015 5.900%, 12/03/99 12,200 12,196 Sigma Finance (C) 5.630%, 03/15/00 50,000 49,999 6.243%, 04/04/00 48,000 48,000 Sony Capital 5.800%, 01/31/00 47,500 47,033 5.810%, 01/31/00 33,300 32,972 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- FINANCE -- CONTINUED Toyota Motor Credit 5.600%, 12/15/99 $ 4,296 $ 4,287 UBS Finance 4.890%, 12/13/99 8,815 8,801 USB Financial 4.780%, 12/20/99 25,000 24,937 --------- 689,924 --------- INDUSTRIAL (5.3%) American Home Products 5.750%, 01/24/00 12,700 12,590 5.800%, 01/26/00 1,500 1,486 5.770%, 02/11/00 39,695 39,237 5.770%, 02/14/00 10,305 10,181 American Greetings 5.650%, 12/07/99 13,000 12,988 Becton Dickinson 5.950%, 01/24/00 5,000 4,955 Edison International 5.730%, 02/10/00 25,000 24,717 General Electric 5.920%, 01/25/00 25,000 24,774 Lubrizol 5.550%, 12/07/99 12,000 11,989 Merck 5.640%, 02/04/00 8,000 7,919 PPG Industries 5.550%, 12/09/99 2,000 1,998 Rio Tinto 5.570%, 12/07/99 500 500 Times Mirror 5.760%, 03/28/00 25,000 24,528 Wal-Mart Stores 5.600%, 12/13/99 16,658 16,627 5.570%, 12/13/99 4,100 4,092 5.570%, 12/17/99 12,200 12,170 --------- 210,751 --------- 2 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- UTILITIES (2.6%) Consolidated Natural Gas 5.450%, 01/27/00 $10,000 $ 9,914 5.580%, 12/10/99 6,149 6,140 Georgia Power 5.750%, 02/24/00 25,000 24,661 Kansas City Power & Light 6.030%, 01/27/00 25,000 24,761 6.050%, 01/31/00 25,000 24,744 Pacific Gas & Electric 5.930%, 01/27/00 11,300 11,194 ---------- 101,414 ---------- Total Commercial Paper (Cost $1,002,089) 1,002,089 ---------- CORPORATE OBLIGATIONS (36.3%) FINANCE (29.7%) American General Finance 8.000%, 02/15/00 10,993 11,045 Amsouth Bank (C) 5.643%, 09/22/00 50,000 49,988 Associates Corporation of North America 8.250%, 12/01/99 3,000 3,000 AT&T Capital, MTN (C) 6.963%, 06/14/00 50,000 50,371 6.830%, 12/01/00 30,000 30,206 Banc One, MTN (C) 5.288%, 03/24/00 1,803 1,802 5.514%, 06/23/00 33,945 33,931 5.571%, 10/06/00 40,000 39,987 6.090%, 11/17/00 500 500 Bear Stearns, MTN (C) 5.573%, 01/18/00 15,000 15,000 Bear Stearns, Ser B, MTN 5.300%, 03/09/00 20,000 20,000 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- FINANCE -- CONTINUED Bear Stearns Co, Ser B, MTN (C) 5.650%, 09/15/00 $ 5,000 $ 5,003 6.020%, 10/05/00 50,000 50,000 Bear Stearns Inc, Ser B, MTN (C) 6.236%, 10/10/00 5,450 5,445 Bear Stearns (C) 5.689%, 10/24/00 15,000 14,992 Beneficial, MTN 7.180%, 12/20/99 2,500 2,503 Beneficial, MTN (C) 5.583%, 06/01/00 40,000 40,023 Beta Finance (A) 5.200%, 03/01/00 50,000 49,982 Beta Finance, MTN 6.250%, 02/18/00 631 632 Branch Banking & Trust (C) 5.930%, 09/15/00 25,000 24,984 Cargill, MTN (A) 5.950%, 05/15/37 2,250 2,248 Caterpillar Finance, MTN (C) 6.104%, 07/10/00 18,000 18,000 5.479%, 09/25/00 25,000 24,994 Chrysler Financial 9.500%, 12/15/99 22,000 22,036 Chrysler Financial, MTN 6.375%, 01/28/00 17,000 17,033 Credit Suisse First Boston International Gue, MTN (A) 5.400%, 03/20/00 50,000 50,000 CS First Boston (A) 5.290%, 03/20/00 15,000 15,000 Diageo Capital PLC 5.475%, 08/24/00 80,000 80,002 Export Development, MTN 8.625%, 03/24/00 3,000 3,029 Fleet Boston, MTN (C) 6.274%, 07/28/00 40,000 39,997 3 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 PRIME QUALITY MONEY MARKET FUND--CONTINUED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- FINANCE -- CONTINUED Ford Motor Credit 6.375%, 04/15/00 $ 5,750 $ 5,759 Ford Motor Credit, MTN 5.730%, 02/23/00 4,750 4,757 Ford Motor Credit, MTN (C) 6.126%, 05/10/00 15,000 15,003 5.900%, 02/01/00 6,000 6,002 GMAC 7.000%, 03/01/00 1,500 1,507 GMAC (A) 6.500%, 01/17/00 1,750 1,753 GMAC, MTN 6.250%, 01/11/00 2,100 2,103 8.625%, 01/10/00 10,000 10,037 GMAC, MTN 7.500%, 06/09/00 1,650 1,667 GMAC, MTN (C) 5.770%, 02/03/00 7,500 7,499 6.573%, 10/23/00 3,000 3,005 Goldman Sachs Group, MTN (A) 5.280%, 02/24/00 25,000 25,000 Goldman Sachs, MTN (C) 6.601%, 05/23/00 5,000 5,011 Goldman Sachs Group, MTN (C) 5.960%, 08/23/00 50,000 50,000 Household Finance, MTN (C) 5.950%, 09/14/00 50,000 49,976 International Lease Finance 6.375%, 01/18/00 5,000 5,008 J.P. Morgan 5.700%, 02/15/00 2,000 2,001 J.P. Morgan (C) 5.505%, 12/24/99 60,000 60,000 J.P. Morgan, MTN (C) 5.800%, 05/04/00 80,000 80,000 Merrill Lynch (C) 5.830%, 02/17/00 60,000 60,000 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- FINANCE -- CONTINUED Norwest Financial 7.250%, 03/15/00 $ 1,250 $ 1,254 NYNEX Credit Co, Ser E, MTN (A) (C) 5.610%, 12/15/99 8,500 8,500 Paccar Financial, MTN 6.570%, 12/15/99 5,000 5,003 6.110%, 12/15/99 5,000 5,002 Paccar Financial, MTN (C) 5.620%, 12/04/00 20,000 20,020 Paccar Financial, MTN 6.600%, 01/18/00 5,000 5,003 Prudential Funding Notes (A) 6.840%, 12/30/99 4,000 4,003 Texaco Capital 9.450%, 03/01/00 1,600 1,617 Transamerica Finance Senior, MTN 5.970%, 12/06/99 1,500 1,500 Transamerica Finance, MTN 7.570%, 12/09/99 1,000 1,000 ---------- 1,170,723 ---------- INDUSTRIAL (6.3%) American Home Products 7.700%, 02/15/00 10,520 10,575 Anheuser Busch 8.750%, 12/01/99 12,850 12,850 AT&T (C) 6.163%, 08/07/00 98,000 98,000 AT&T, MTN 8.250%, 01/11/00 7,250 7,271 Ford Holdings 9.250%, 03/01/00 7,650 7,722 May Department Stores, MTN 9.560%, 12/01/99 1,000 1,000 Mobil Oil 9.170%, 02/29/00 1,687 1,697 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- INDUSTRIAL -- CONTINUED Philip Morris 7.125%, 12/01/99 $ 1,000 $ 1,000 9.250%, 02/15/00 2,000 2,011 6.150%, 03/15/10 64,530 64,643 United Technologies, MTN 8.300%, 12/15/99 2,000 2,002 Wal-Mart 5.650%, 02/01/10 22,000 22,018 Xerox, MTN (C) 6.044%, 12/08/00 20,000 19,992 ---------- 250,781 ---------- UTILITIES (0.3%) Carolina Power & Light 1st Mortgage Bond 6.125%, 02/01/00 300 300 GTE Southwest 5.820%, 12/01/99 5,900 5,900 Southern California Edison 6.750%, 01/15/00 2,000 2,004 8.250%, 02/01/00 3,500 3,518 ---------- 11,722 ---------- Total Corporate Obligations (Cost $1,433,226) 1,433,226 ---------- ASSET-BACKED SECURITIES (2.3%) Americredit Auto Recievables Trust, Ser 1999-B, Cl A1 4.917%, 06/12/00 1,550 1,550 Case Equipment Loan Trust 1999-B A1 5.674%, 09/15/00 11,074 11,074 Honda Auto Lease Trust Series 1999-A Cl A1 5.445%, 08/15/00 19,733 19,731 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- ASSET-BACKED SECURITIES -- CONTINUED Household Auto Recievables Trust Series 1999-1 Cl A1 5.106%, 07/17/00 $15,224 $ 15,224 Nissan Auto Receivables Owner Trust, Ser 1999-A, Cl A1 5.619%, 09/15/00 5,289 5,283 Union Acceptance Series 1999-C Cl A1 5.473%, 08/08/00 32,953 32,953 Union Acceptance, Ser 1999-B, Cl A1 4.960%, 06/08/00 2,777 2,777 WFS Financial Owner Trust 1999-B Cl A1 5.399%, 07/20/00 3,786 3,785 --------- Total Asset-Backed Securities (Cost $92,377) 92,377 --------- SOVERIGN AGENCY (0.3%) Province of Quebec 9.125%, 03/01/00 12,500 12,619 --------- Total Soverign Agency (Cost $12,619) 12,619 --------- BANK NOTES (7.0%) American Express Centurion (C) 5.800%, 05/08/00 85,000 85,000 Banker Trust (C) 6.156%, 04/10/00 25,000 24,991 Comerica Bank (C) 5.533%, 01/20/00 25,000 24,997 First Union (C) 5.780%, 05/11/00 75,000 74,993 First USA 6.500%, 12/23/99 2,200 2,202 5 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 PRIME QUALITY MONEY MARKET FUND--CONTINUED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- BANK NOTES -- CONTINUED Fleet National Bank (C) 6.219%, 10/26/00 $40,000 $ 39,986 Inter-American Development 9.500%, 04/11/00 760 771 Key Bank (C) 6.236%, 07/17/00 8,000 8,003 6.186%, 04/17/00 10,000 10,001 Nations Bank (C) 5.830%, 03/13/00 5,000 5,000 -------- Total Bank Notes (Cost $275,944) 275,944 -------- CERTIFICATES OF DEPOSIT (5.1%) Bayerische Hypo 5.270%, 03/03/00 50,000 49,987 Branch Banking and Trust (C) 5.800%, 02/01/00 50,000 49,997 Canadian Imperial Bank 5.120%, 02/23/00 50,000 49,994 Commerzbank AG 5.160%, 02/25/00 22,000 21,997 Toronto Dominion Bank 5.270%, 03/03/00 30,000 29,992 -------- Total Certificates of Deposit (Cost $201,967) 201,967 -------- CASH EQUIVALENTS (3.2%) Aim Liquid Assets Portfolio (C) 5.750%, 120,000,000 120,000 Aim Short Term Prime Obligation (C) 5.700%, 5,000,000 5,000 -------- Total Cash Equivalents (Cost $125,000) 125,000 -------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- U.S. GOVERNMENT AGENCY OBLIGATIONS (0.1%) SLMA, Ser 1996-3, Cl A1 (C) 5.746%, 10/25/04 $ 2,080 $ 2,068 SLMA, Ser 1996-4, Cl A1 (C) 5.736%, 07/25/04 736 735 ------- Total U.S. Government Agency Obligations (Cost $2,803) 2,803 ------- REPURCHASE AGREEMENTS (19.8%) Barclays 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $66,283,348 (collateralized by FHLMC and FNMA obligations: total market value $67,609,015) (B) 66,283 66,283 Deutsche Bank 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $50,653,781 (collateralized by a FHLMC obligation: total market value $51,666,857) (B) 50,654 50,654 Greenwich, 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $63,657,391 (collateralized by a FNMA obligation: market value $64,932,655) (B) 63,657 63,657 Merrill Lynch 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $47,031,801 (collateralized by various GNMA obligations: total market value $47,972,437) (B) 47,032 47,032 6 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- CONTINUED J.P.Morgan 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $151,483,951 (collateralized by various FNMA obligaions: total market value $154,513,631) (B) $151,484 $151,484 Morgan Stanley, 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $35,002,383 (collateralized by various FHLMC and FNMA obligations: total market value $35,741,621) (B) 35,002 35,002 Salomon Brothers 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $40,000,000 (collateralized by various FNMA obligations: total market value $48,800,000) (B) 40,000 40,000 Merrill Lynch 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $40,000,000 (collateralized by FNMA obligations: total market value $40,800,000) (B) 40,000 40,000 Warburg 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $20,015,946 (collateralized by FNMA obligation: total market value $20,416,512) (B) 20,016 20,016 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- CONTINUED ABN AMRO 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $111,862,789 (collateralized by FNMA obligations: total market value $111,100,045) (B) $111,863 $ 111,863 Barclays 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $150,000,000 (collateralized by FHLMC and FNMA obligations: total market value $153,000,000) (B) 150,000 150,000 Salomon Brothers 5.65%, dated 11/30/99, matures 12/01/99, repurchase price $6,711,862 (collateralized by various FNMA obligations: total market value $6,846,099) (B) 6,712 6,712 ---------- Total Repurchase Agreements (Cost $782,703) 782,703 ---------- Total Investments (99.5%) (Cost $3,928,728) 3,928,728 ---------- OTHER ASSETS AND LIABILITIES, NET (0.4%) 17,377 ---------- 7 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 PRIME QUALITY MONEY MARKET FUND--CONCLUDED - -------------------------------------------------------------------------------- VALUE (000) - -------------------------------------------------------------------------------- NET ASSETS: Fund shares of the Trust Class (unlimited authorization -- no par value) based on 3,005,709,887 outstanding shares of beneficial interest $3,005,597 Fund shares of the Investor Class (unlimited authorization -- no par value) based on 938,533,740 outstanding shares of beneficial interest 938,565 Fund shares of the Flex Class (unlimited authrorization -- no par value) based on 2,007,764 outstanding shares of beneficial interest 2,008 Undistributed net investment income 296 Accumulated net realized loss on investments (361) ---------- Total Net Assets (100.0%) $3,946,105 ========== Net Asset Value, Offering and Redemption Price Per Share -- Trust Shares $1.00 ========== Net Asset Value, Offering and Redemption Price Per Share -- Investor Shares $1.00 ========== Net Asset Value, Offering and Redemption Price Per Share -- Flex Shares $1.00 ========== THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. FOR DESCRIPTIONS OF ABBREVIATIONS, PLEASE SEE PAGE 26. 8 ================================================================================ (UNAUDITED) TAX-EXEMPT MONEY MARKET FUND - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- MUNICIPAL BONDS (97.9%) ALABAMA (2.7%) Cherokee, Industrial Development, Board Boc Group Project, RB, VRDN (C) (D) (E) 3.900%, 04/01/08 $ 3,500 $ 3,500 Lauderdale County, Healthcare Authority, Coffee Health Group, Ser A, GO, (MBIA) 3.700%, 07/01/00 1,265 1,265 Special Care Facilities, Montgomery Hospital, RB, VRDN (FGIC) (C) (D) 3.850%, 04/01/15 1,085 1,085 State, Public School & College, Ser 101, RB, VRDN (FSA) (C) (D) 3.990%, 11/01/13 9,985 9,985 -------- 15,835 -------- ARIZONA (1.9%) Salt River Project Arizona, Agriculture Import & Power District Electric System Ser Sg-10, RB, VRDN (C) (D) 3.980%, 01/01/30 7,570 7,570 State, Transportation Board Maricopa County Regional Area Rd-A , RB 4.500%, 07/01/00 1,000 1,003 State, Educational Loan Marketing, Ser A, RB, VRDN, AMT (C) (D) (E) 4.000%, 12/01/20 2,500 2,500 ------- 11,073 ------- COLORADO (1.6%) Cherry Creek, South Metropolitian District Number 1, GO, VRDN (C) (D) (E) 3.900%, 06/01/06 1,350 1,350 Lowry Economic, Redevelopment Authority, Ser B, RB, VRDN (C) (D) (E) 3.900%, 12/01/20 2,000 2,000 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- COLORADO -- CONTINUED State, Multifamily Housing Finance Authority, St Moritz Project, Series H, RB, VRDN (C) (D) 3.950%, 10/15/16 $ 5,915 $ 5,915 -------- 9,265 -------- DELAWARE (0.3%) State, Educational Development Authority, VRDN (C) (D) (E) 4.225%, 10/01/19 1,875 1,875 -------- FLORIDA (0.4%) Hillsborough County, Industrial Development Authority, Pollution Control Revenue, Tampa Electric Project, RB, VRDN, AMT (C) (D) 3.900%, 11/01/20 1,100 1,100 State, Housing Financial Agency Heron Park Project, Ser U, RB, VRDN, AMT (C) (D) (E) 3.800%, 12/01/29 1,190 1,190 -------- 2,290 -------- GEORGIA (5.8%) Burke County, Development Authority, TECP 3.700%, 02/08/00 10,000 10,000 Cobb County, Development Authority, Educational Facilities, Kennesaw State University Project, RB, VRDN (AMBAC) (C) (D) 3.900%, 11/01/18 6,290 6,290 Conyers-Rockdale-Big Haynes, Impoundment Authority, RB, VRDN (FSA) (C) (D) 3.900%, 07/01/22 3,000 3,000 9 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 TAX-EXEMPT MONEY MARKET FUND--CONTINUED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- GEORGIA -- CONTINUED Fulton County, Industrial Development Authority, American Red Cross Project, RB, VRDN (C) (D) (E) 3.900%, 08/01/05 $ 1,100 $ 1,100 Gordon County, Developement Authority, Sara Lee Corporation, VRDN (C) (D) 3.950%, 03/01/02 1,400 1,400 Lafayette, Industrial Development Authority, Blue-Bird Project, Ser 1991, RB, VRDN (C) (D) 3.900%, 03/01/01 1,000 1,000 Monroe County, Industrial Development Authority, Forsyth Inns Project, RB, VRDN (C) (D) 3.900%, 11/01/15 2,325 2,325 State, Municipal Electric Authority, RB, VRDN (C) (D) (E) 3.800%, 01/01/26 4,000 4,000 State, Ser E, GO 4.000%, 02/01/00 3,130 3,135 Summerville, Development Authority, Ser 1997, RB, VRDN, AMT (C) (D) (E) 3.950%, 09/01/17 2,000 2,000 ------- 34,250 ------- HAWAII (0.8%) State, Highway, RB, VRDN (C) (D) 3.980%, 07/01/18 4,790 4,790 ------- 4,790 ------- ILLINOIS (9.9%) Bloomington, Airport Authority, GO, VRDN (C) (D) 3.950%, 01/01/12 1,300 1,300 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- ILLINOIS -- CONTINUED Chicago, Industrial Development, Midwest Project, RB, AMT, VRDN (C) (D) 4.100%, 11/01/17 $ 1,910 $ 1,910 Chicago, Airport Facilities, Centerpoint O'Hare, RB, VRDN (C) (D) (E) 4.000%, 09/01/32 3,500 3,500 Chicago, O'Hare International Airport, RB, VRDN (C) (D) (E) 3.850%, 1,840 1,840 Chicago, Single Family Mortage, RB, VRDN, AMT (C) (D) (E) 3.250%, 09/01/29 5,595 5,595 Lockport, Industrial Development Panduit Project, RB, VRDN (C) (D) (E) 4.000%, 04/01/25 2,000 2,000 Savanna, Industrial Development Authority, Metform Project, Ser A, RB, VRDN (C) (D) (E) 4.000%, 05/01/14 500 500 Savanna, Industrial Development Authority, Metform Project, Ser B, RB, VRDN (C) (D) (E) 4.000%, 06/01/09 1,400 1,400 State, Development Financial Authority, Derby Project, RB, VRDN, AMT (C) (D) 4.100%, 10/01/07 800 800 State, Development Financial Authority, Pollution Control, Illinois Power, Ser A, RB, VRDN (C) (D) (E) 3.850%, 11/01/28 5,000 5,000 State, Educational Facilities Authority, Chicago Childrens Museum, RB, VRDN (C) (D) (E) 3.900%, 02/01/28 1,600 1,600 10 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- ILLINOIS -- CONTINUED State, Educational Facilities Authority, Museum of Science and Industry, RB, VRDN (C) (D) (E) 3.900%, 11/01/15 $ 5,400 $ 5,400 State, GO 4.250%, 06/01/00 2,500 2,505 State, Health Facilities Authority Proctor Hospital Project, RB, VRDN (C) (D) (E) 3.900%, 01/01/12 5,400 5,400 State, Health Facilities Authority, Advocate Health Care, Ser B, RB, VRDN (C) (D) 3.950%, 08/15/22 2,900 2,900 State, Health Facilities Authority, Streeterville Corporation, RB, VRDN (C) (D) (E) 3.900%, 08/15/24 2,000 2,000 State, Health Facilities Authority, Streeterville Corporation, Ser A, RB, VRDN (C) (D) (E) 3.900%, 08/15/22 3,500 3,500 State, Health Facilities Authority, University of Chicago Hospital Project, Ser C, RB, VRDN (MBIA) (C) (D) 4.000%, 08/15/26 4,000 4,000 State, Industrial Development Authority, Illinois Power Company, Ser C, RB, AMT, VRDN (C) (D) (E) 4.000%, 03/01/17 3,000 3,000 State, RB (FGIC) 4.000%, 01/01/00 1,875 1,876 Wheeling, Industrial Development Circuit Service Project, RB, VRDN (C) (D) (E) 4.100%, 04/01/18 2,800 2,800 --------- 58,826 --------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- INDIANA (4.2%) Elkhart County, Economic Development, Godfrey Conveyor, RB, VRDN, AMT (C) (D) (E) 4.100%, 04/01/13 $ 1,900 $ 1,900 Elkhart County, Economic Development, Holly Park, RB, VRDN, AMT (C) (D) (E) 4.100%, 02/01/10 2,100 2,100 Fort Wayne, Economic Development Authority, ND Tech Project, RB, VRDN, AMT (C) (D) (E) 4.000%, 07/01/09 1,000 1,000 Indianapolis, Industrial Economic Development Authority, RB, VRDN (C) (D) 4.050%, 04/01/01 3,500 3,500 Indianapolis, Local Public Improvements, Ser B, RB (MBIA) 3.350%, 06/01/00 1,550 1,550 Indianapolis, Multi-Family Housing, RB, VRDN, AMT (C) (D) (E) 4.100%, 03/01/31 2,700 2,700 Jasper, Economic Development, Wabash Valley Produce Project, RB, VRDN, AMT (C) (D) (E) 4.100%, 06/01/05 2,000 2,000 La Porte County, Economic Development Revenue, Pedcor Investments-Woodland, RB, VRDN, AMT (C) (D) (E) 4.000%, 10/01/29 2,000 2,000 Michigan City, Industrial Economic Development, Performance Packaging, RB, VRDN, AMT (C) (D) (E) 4.150%, 09/01/06 700 700 11 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 TAX-EXEMPT MONEY MARKET FUND--CONTINUED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- INDIANA -- CONTINUED State, Development Financial Authority, Culver Educational Facilities, RB, VRDN (C) (D) (E) 3.900%, 01/01/32 $ 2,000 $ 2,000 State, Development Financial Authority, Educational Facility, Indiana Historical Society, RB, VRDN (C) (D) (E) 3.900%, 08/01/31 1,200 1,200 State, Educational Facilities Authority, Indiana Wesleyan Project, Ser B, RB, VRDN (C) (D) (E) 3.950%, 06/01/28 2,500 2,500 State, Health Facility Financing Authority, Clarian Health Partners, Ser B, RB, VRDN (C) (D) 3.800%, 02/15/26 2,000 2,000 ------- 25,150 ------- IOWA (0.4%) West Des Moines, Commercial Development, Greyhound Lines Project, RB, VRDN (C) (D) (E) 3.850%, 12/01/14 2,500 2,500 ------- 2,500 ------- KENTUCKY (1.1%) Jefferson County, Industrial Building, Fisher-Klosterman Project, RB, VRDN, AMT (C) (D) (E) 4.100%, 05/01/17 2,170 2,170 State, Higher Education, Student Loan, Ser B, RB, AMT 6.400%, 12/01/99 4,125 4,125 ------- 6,295 ------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- LOUISIANA (2.9%) Calcasieu Parish, Industrial Development Board, Hydroserve Westlake, RB, VRDN, AMT (C) (D) (E) 4.050%, $ 5,000 $ 5,000 State, Eagle Trust Ser 94180, RB, VRDN (C) (D) 3.970%, 05/01/09 8,000 8,000 State, Offshore Terminal Authority, Deepwater Port, First Stage A-Loop Project, Ser A, RB, VRDN (C) (D) (E) 3.900%, 09/01/08 2,000 2,000 State, Public Facilites Authority, Pollution Control, Ciba-Geigy Project, RB, VRDN (C) (D) (E) 3.900%, 12/01/04 2,400 2,400 -------- 17,400 -------- MARYLAND (1.9%) Baltimore County, Allied Signal Project, VRDN (C) (D) 4.000%, 03/01/14 1,000 1,000 State, Community Development, Department Housing & Community, RB, AMT (E) 3.100%, 01/13/00 4,655 4,655 University of Maryland, Revolving Equipment Loan Program, Ser B, RB, VRDN (C) (D) 3.750%, 07/01/15 4,100 4,100 Washington Suburban, General Construction, Prerefunded at 102, GO (D) 6.750%, 12/01/03 1,400 1,428 -------- 11,183 -------- 12 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- MICHIGAN (1.6%) Oakland County, Economic Development Authority, Moody Family Ltd. Project, RB, VRDN, AMT (C) (D) 4.100%, 09/01/12 $ 900 $ 900 State, Housing Development Authority, RB, VRDN, AMT (C) (D) (E) 3.950%, 03/01/13 1,000 1,000 State, Industrial Development Authority, RB, VRDN (C) (D) (E) 3.700%, 12/01/00 3,000 3,000 State, Municipal Bond Authority, School Loan, RB 3.500%, 12/01/99 2,000 2,000 State, Strategic Fund, Consolidated Industrial Project, RB, VRDN, AMT (C) (D) (E) 4.100%, 01/01/19 2,500 2,500 ------- 9,400 ------- MISSISSIPPI (0.5%) State, Business Finance, Solid Waste Disposal, Choctaw Generation, VRDN, AMT (C) (D) (E) 4.000%, 10/01/28 3,000 3,000 ------- MISSOURI (2.4%) Carthage, Industrial Development Authority, Schrieber Project, RB, VRDN, AMT (C) (D) (E) 4.000%, 11/01/10 3,100 3,100 Independence, Industrial Development Authority, Multifamily Housing, RB, VRDN (C) (D) 4.050%, 01/01/05 7,480 7,480 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- MISSOURI -- CONTINUED Saint Charles County, Industrial Development Authority, Casalon Apartment Project, Ser 95, RB, VRDN (C) (D) (E) 3.750%, 09/01/25 $ 3,100 $ 3,100 State, Environmental Improvement & Energy Resource Authority, Utilicorp United Project, RB, VRDN, AMT (C) (D) (E) 4.000%, 05/01/28 700 700 -------- 14,380 -------- NEVADA (3.0%) Clark County, Airport Improvement Authority, Ser A-1, RB, VRDN (C) (D) (E) 3.750%, 07/01/25 4,200 4,200 Clark County, Nevada Airport Improvement Ser A-1, RB, AMT, VRDN (C) (D) (E) 3.950%, 07/01/25 4,955 4,955 Clark County, School District, VRDN (C) 3.970%, 06/15/15 8,345 8,345 -------- 17,500 -------- NEW HAMPSHIRE (0.8%) State, Housing Finance Authority, Multi-Family Housing, Fairways Project, RB, VRDN, AMT (C) (D) (E) 3.950%, 01/01/24 5,000 5,000 -------- NEW JERSEY (0.5%) Parsippany, Troy Hills Township, GO 4.500%, 12/01/99 1,055 1,055 State, Ser D, GO (D) 5.100%, 02/15/00 2,000 2,008 ------- 3,063 ------- 13 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 TAX-EXEMPT MONEY MARKET FUND--CONTINUED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - ------------------------------------------------------------------------------- NEW MEXICO (0.2%) State, Financial Authority, Ser B, RB, VRDN (FGIC) (D) 3.000%, 07/01/17 $ 1,305 $ 1,305 -------- NEW YORK (3.6%) New York, Industrial Development, Special Facilities, Korean Airlines Co., Ser A , RB, VRDN (C) (D) (E) 3.850%, 11/01/24 3,000 3,000 New York, Ser A51, RB, VRDN (C) (D) (E) 3.950%, 04/14/00 4,000 4,000 Southeast New York, Industrial Development, Unilock New York Inc. Project, RB, VRDN, AMT (C) (D) (E) 4.000%, 12/01/12 2,200 2,200 State, VRDN (C) (D) (E) 3.910%, 06/15/12 12,085 12,085 -------- 21,285 -------- NORTH CAROLINA (2.1%) Cleveland County, Family YMCA, Recreational Facilities Revenue, RB, VRDN (C) (D) (E) 3.950%, 08/01/18 2,840 2,840 Mecklenburg County, Industrial Facilities & Pollution Control, Sterigenics International Project, RB, VRDN, AMT (C) (D) (E) 4.050%, 03/01/16 1,800 1,800 State, Educational Facilities, Guilford College, VRDN (MBIA) (C) (D) 3.850%, 05/01/24 2,200 2,200 State, RB, VRDN (C) (D) 3.980%, 04/01/11 5,340 5,340 -------- 12,180 -------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- OHIO (5.5%) Hamilton County, RB, VRDN (MBIA) (C) (D) 3.850%, 01/01/18 $ 8,400 $ 8,400 State Higher Education, RB , VRDN (C) (D) (E) 4.000%, 09/01/18 4,835 4,835 State, Air Quality Development Authority, Edison Project, Ser A, RB, VRDN (C) (D) (E) 2.950%, 02/01/15 8,000 8,000 State, Air Quality Development Authority, JMG Limited Partnership, Ser A, RB, VRDN, AMT (C) (D) (E) 3.900%, 04/01/28 3,000 3,000 State, Pollution Control Authority, Duquesne Project, RB, VRDN, AMT (C) (D) 4.050%, 10/01/23 3,000 3,000 Warrren County, Health Care Facilities Revenue, RB, VRDN (C) (D) (E) 3.850%, 07/01/21 5,545 5,545 -------- 32,780 -------- OREGON (0.3%) Oregon State Housing & Community Services, Department Mortgage Single Family Pg - Ser H, RB, AMT (D) 3.480%, 06/29/00 1,895 1,895 -------- PENNSYLVANIA (4.0%) Beaver County, Industrial Development Authority, Duquesne Light Company Project, Ser B, RB, VRDN (C) (D) 4.000%, 08/01/09 1,000 1,000 14 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- PENNSYLVANIA -- CONTINUED Delaware Valley, Regional Finance Authority, Ser B, RB, VRDN (C) (D) (E) 3.800%, 12/01/20 $ 8,100 $ 8,100 Philadelphia, Ser A, TRAN 4.250%, 06/30/00 5,000 5,021 State, Intergovernmental Cooperation Authority, Special Tax Revenue, VRDN (C) (D) 3.980%, 06/15/20 9,630 9,630 ------- 23,751 ------- RHODE ISLAND (1.7%) State, Women & Infants Hospital, RB (FSA) (D) 3.850%, 09/01/04 3,365 3,365 State, GO, VRDN (C) (D) 3.980%, 11/01/12 6,635 6,635 ------- 10,000 ------- SOUTH CAROLINA (2.5%) Piedmont, Municipal Power Agency, Ser C, RB, VRDN (MBIA) (C) (D) 3.900%, 01/01/19 5,900 5,900 Piedmont, Municipal Power Agency, Electrical Revenue, Ser D, RB, VRDN (MBIA) (C) (D) 3.900%, 01/01/25 3,100 3,100 State, Economic Development Authority, Kiswire Inc. Project, RB, VRDN, AMT (C) (D) (E) 4.100%, 09/01/07 3,000 3,000 State, Public Service Authority, Ser A, RB 4.500%, 01/01/00 1,500 1,502 State, Ser W, GO Prerefunded at 102 (E) 5.750%, 05/01/06 1,500 1,542 ------- 15,044 ------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- TENNESSEE (6.8%) Covington, Industrial Development Board, Charms Project, RB, VRDN, AMT (C) (D) (E) 4.000%, 06/01/27 $ 3,000 $ 3,000 Eagle Trust, GO, VRDN (C) (D) 3.840%, 11/15/18 10,000 10,000 Memphis-Shelby County, Industrial Development Board, Ponderosa Fibres American Project, RB, AMT, VRDN (C) (D) (E) 4.000%, 04/01/05 1,200 1,200 Nashville & Davidson County, Industrial Development Authority, Rodgers/Welch Venture, RB, VRDN (C) (D) (E) 3.900%, 12/01/14 5,645 5,645 Nashville & Davidson County, Industrial Development Authority, Multi-Family Mortgage, Chimneytop II Project, RB, VRDN (C) (D) (E) 3.970%, 09/01/06 1,325 1,325 Nashville & Davidson County, Vanderbilt University, RB, VRDN (C) (D) 3.100%, 01/15/15 7,000 7,000 Rutherford County, Industrial Development, RB, VRDN, AMT (C) (D) (E) 4.000%, 10/01/14 4,500 4,500 State, Ser 108, GO, VRDN (C) (D) 3.970%, 05/01/14 2,500 2,500 Sumner County, Health, RB, VRDN (C) (D) 4.020%, 06/01/29 5,000 5,000 -------- 40,170 -------- 15 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 TAX-EXEMPT MONEY MARKET FUND--CONTINUED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- TEXAS (15.6%) Dallas, GO 5.500%, 02/15/00 $ 2,105 $ 2,115 Eagle Trust, RB, VRDN (C) (D) (E) 3.970%, 05/15/26 10,925 10,925 Eagle Trust, Ser 991301, GO, VRDN (C) (D) (E) 3.970%, 06/01/25 9,900 9,900 Fort Worth, Water & Sewer, Ser B, RB 5.875%, 02/15/00 1,325 1,333 Georgetown, Higher Education Financing Authority, Southwestern University Project, Ser 1984, RB, VRDN (C) (D) (E) 3.850%, 10/01/14 2,000 2,000 Harris County, Industrial Development Authority, Lubrizol Project, RB, VRDN (C) (D) 3.950%, 07/01/00 1,600 1,600 Houston, Water & Sewer, RB, VRDN (FGIC) (C) (D) 3.980%, 12/01/25 8,835 8,835 Lone Star, Airport Improvement Authority, RB, VRDN (C) (D) (E) 3.700%, 12/01/14 1,700 1,700 Pearland, Independent School District Tr Rcpts - Sg 106, RB, VRDN (C) (D) 3.980%, 02/15/22 6,245 6,245 San Antonio, Electric & Gas, RB (MBIA) 6.375%, 02/01/00 1,350 1,358 Southwest, Higher Education Authority, Southern Methodist University Project, Ser B, RB, VRDN (C) (D) (E) 3.900%, 10/01/29 5,000 5,000 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- TEXAS -- CONTINUED State, Public Facilities, RB, VRDN (C) (D) (E) 3.970%, 10/23/23 $ 7,180 $ 7,180 State, Public Finance Authority, State Preservation Board, Ser A, RB (AMBAC) 4.250%, 02/01/00 1,200 1,202 State, TECP 3.700%, 02/07/00 10,000 10,000 State, TRAN 4.500%, 08/31/00 20,000 20,116 University of Houston, RB 5.500%, 02/15/00 2,850 2,864 ------- 92,373 ------- UTAH (1.8%) State, Housing Finance Agency, RB, AMT, VRDN (FHA) (C) (D) 3.100%, 01/13/00 10,950 10,950 VIRGINIA (3.1%) Braxton County, Solid Waste Disposal, Weyerhaeuser Co. Project, RB, VRDN, AMT (C) (D) 4.050%, 03/01/29 7,650 7,650 Chesterfield County, Industrial Development Authority, Allied Signal Project, RB, VRDN (C) (D) 4.050%, 08/01/09 3,000 3,000 Front Royal & Warren County, Industrial Development Authority, Pen Tab Industries Project, RB, VRDN, AMT (C) (D) (E) 4.000%, 04/01/15 2,700 2,700 16 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- VIRGINIA -- CONTINUED Prince George County, Industrial Development Authority, Industrial Development Revenue, RB, VRDN, AMT (C) (D) (E) 4.100%, 09/01/19 $ 4,800 $ 4,800 -------- 18,150 -------- WASHINGTON (3.5%) Pierce County, Washington Economic Development, Weyerhaeuser Real Estate Project, RB, VRDN (C) (D) (E) 3.950%, 01/01/27 3,000 3,000 Port of Seattle, GO, VRDN (C) (D) 3.850%, 01/01/05 1,200 1,200 Seattle, Water Systems Revenue, RB, VRDN (C) (D) (E) 3.850%, 09/01/25 4,200 4,200 South Columbia, RB 5.700%, 12/01/99 1,000 1,000 State, GO, VRDN (C) (D) 3.200%, 12/09/99 3,335 3,335 State, Public Power Supply System, Nuclear Project No. 1, Ser 1A-1, RB, VRDN (C) (D) (E) 3.800%, 07/01/17 4,535 4,535 State, Public Power Supply System, Nuclear Project No. 1, Ser 1A-3, RB, VRDN (C) (D) (E) 3.700%, 07/01/17 3,200 3,200 ------- 20,470 ------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- WEST VIRGINIA (1.8%) Marshall County, Pollution Control Authority, Allied Signal Project, RB, VRDN (C) (D) 4.050%, 03/01/26 $ 8,630 $ 8,630 Marshall County, Pollution Control Authority, PPG Industries Project, RB, VRDN (C) (D) 4.050%, 11/01/12 2,000 2,000 ------- 10,630 ------ WISCONSIN (1.9%) Appleton, Industrial Development Revenue, Pro Lable Project, RB, VRDN, AMT (C) (D) (E) 4.200%, 11/01/12 870 870 Germantown, Industrial Revenue, Speaker Project RB, VRDN, AMT (C) (D) 4.200%, 08/01/11 855 855 Holland, Industrial Development Revenue, White Clover Dairy Project, RB, VRDN, AMT (C) (D) (E) 4.100%, 06/01/13 1,500 1,500 Oconomowoc, Industrial Development Revenue, Quest Technologies Project, RB, VRDN, AMT (C) (D) (E) 4.100%, 05/01/18 1,550 1,550 State, Health Facilities, Franciscan Health Care, Ser A-1, RB, VRDN (C) (D) (E) 3.850%, 01/01/16 6,105 6,105 State, Health Facilities, Saint Lukes Medical Center, RB, VRDN (C) (D) (E) 3.900%, 12/01/17 300 300 -------- 11,180 -------- 17 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 TAX-EXEMPT MONEY MARKET FUND--CONCLUDED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- WYOMING (0.8%) Sweetwater, RB, VRDN (C) (D) (E) 3.750%, 07/01/15 $ 4,600 $ 4,600 -------- Total Municipal Bonds (Cost $579,838) 579,838 -------- CASH EQUIVALENTS (1.8%) Financial Square Tax Free Portfolio 9,801 9,801 SEI Institutional Tax Free Portfolio 1,053 1,053 -------- Total Cash Equivalents (Cost $10,854) 10,854 -------- Total Investments (99.7%) (Cost $590,692) 590,692 -------- OTHER ASSETS AND LIABILITIES, NET (0.4%) 2,349 -------- - -------------------------------------------------------------------------------- VALUE (000) - -------------------------------------------------------------------------------- NET ASSETS: Fund shares of the Trust Class (unlimited authorization -- no par value) based on 466,177,078 outstanding shares of beneficial interest $466,177 Fund shares of the Investor Class (unlimited authorization -- no par value) based on 126,910,911 outstanding shares of beneficial interest 126,911 Distributions in excess of net investment income (12) Accumulated net realized loss on investments (35) -------- TOTAL NET ASSETS 100.0% $593,041 ======== Net Asset Value, Offering and Redemption Price Per Share -- Trust Shares $1.00 ======== Net Asset Value, Offering and Redemption Price Per Share -- Investor Shares $1.00 ======== THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. FOR DESCRIPTIONS OF ABBREVIATIONS, PLEASE SEE PAGE 26. 18 ================================================================================ (UNAUDITED) TAX-FREE MONEY MARKET FUND - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- MUNICIPAL BONDS (95.3%) ARIZONA (3.3%) City of Mesa Arizona, Industrial Development Authority Discovery Health Ser B, RB, VRDN (MBIA) (C) 3.900%, 01/01/29 $10,000 $ 10,000 --------- DISTRICT OF COLUMBIA (1.3%) District of Columbia, RB (C) (E) 3.900%, 07/01/23 4,000 4,000 --------- ILLINOIS (6.6%) Chicago, O'Hare International Airport, RB, AMT (C) 4.030%, 07/01/10 5,000 5,000 State Pollution Control Finance Authority Central Illinois Public Service, Ser 93 C-1, RB, VRDN (C) (E) 3.850%, 08/15/26 10,000 10,000 State, Toll Highway Authority, RB (FSA) (C) 3.900%, 01/01/16 5,000 5,000 -------- 20,000 -------- LOUISIANA (2.5%) Jefferson Parish, Home Mortgage, RB (C) 4.030%, 12/01/24 7,720 7,720 --------- MARYLAND (4.8%) Elkton, Highway Service Ventures, RB, VRDN (C) (E) 3.950%, 11/01/14 620 620 Montgomery County, Housing Opportunity Commission, Issue 1, RB, AMT (C) (E) 3.950%, 06/01/30 10,000 10,000 State, Economic Development, Dietz & Watson Inc. Project, RB, VRDN (C)(E) 4.050%, 03/01/19 1,000 1,000 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- MARYLAND -- CONTINUED State, Health & Higher Educational Facilities Authority, Pooled Loan Project, Ser D, RB (C) (E) 3.850%, 01/01/24 $ 2,875 $ 2,875 --------- 14,495 --------- MICHIGAN (3.3%) Detroit, Sewer Disposal, Ser B, RB (MBIA) (C) 3.900%, 07/01/23 10,000 10,000 --------- MISSOURI (4.2%) St Charles County, RB, VRDN (C) 3.750%, 02/01/23 12,700 12,700 --------- NEVADA (2.2%) Clark County, Airport Improvement Authority, Ser A-1, RB, VRDN (C) (D) (E) 3.750%, 07/01/25 2,947 2,947 Clark County, Industrial Development, RB, VRDN (C) 4.180%, 10/01/30 3,700 3,700 --------- 6,647 --------- NEW YORK (8.2%) Long Island, Power Authority, Electric System Project, RB (C) 4.080%, 12/01/24 4,000 4,000 New York City, GO (C) 4.010%, 06/01/27 11,960 11,960 New York City, Municipal Water Financing Authority, RB (FSA) (C) 3.940%, 06/15/24 9,000 9,000 --------- 24,960 --------- NORTH CAROLINA (0.7%) State, Educational Facilities, Bowman Gray School of Medicine Project, RB, VRDN (C) 3.850%, 09/01/20 2,100 2,100 --------- 19 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 TAX-FREE MONEY MARKET FUND--CONCLUDED - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- PENNSYLVANIA (2.6%) Pittsburgh, GO (FGIC) (C) 3.980%, 03/01/11 $ 8,000 $ 8,000 -------- SOUTH CAROLINA (2.7%) Florence County, McLeod Regional Medical Center Project, Ser A, RB (FGIC) (C) (E) 3.900%, 11/01/15 8,200 8,200 -------- TENNESSEE (1.6%) Shelby County, Health, Educational & Housing Facilities, Multi Family Housing, Ser A, RB, AMT (C) (E) 4.100%, 12/01/37 5,000 5,000 -------- TEXAS (5.8%) Harris County, Multi Family Housing Idelwood Park, Ser A, RB, VRDN (C) 3.970%, 06/01/05 2,700 2,700 Houston, Water & Sewer System, RB (FGIC) (C) 3.980%, 12/01/23 5,000 5,000 State, TRAN 4.500%, 08/31/00 10,000 10,058 ------- 17,758 ------- VIRGINIA (41.1%) Alexandria Industrial Development Authority, American Red Cross Project, RB, VRDN (C) (E) 3.900%, 01/01/09 4,485 4,485 Alexandria, Industrial Development, Pooled Loan Project, Ser A, RB (C) (E) 3.900%, 07/01/26 7,075 7,075 Alexandria, Industrial Development, Ser A, RB (C) 3.900%, 07/01/26 3,500 3,500 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- Almermarle County, Industrial Development, Health Services, RB (C) 3.900%, 10/01/22 $ 4,400 $ 4,400 Ashland, Industrial Development Authority, RB, AMT, VRDN (C) 4.050%, 07/01/19 7,000 7,000 Culpeper Baptist Homes Res Care Facility, RB, VRDN (C) (E) 3.900%, 11/01/17 800 800 Fairfax County, Industrial Development Authority Fairfax Hospital Project, Ser B , RB, VRDN (C) 3.850%, 10/01/25 9,600 9,600 Fairfax County, Economic Development, Flint Hill School Project, RB (C) (E) 3.850%, 09/01/21 4,340 4,340 Fairfax County, Public Improvements, GO (C) 3.980%, 06/01/13 6,300 6,300 Hanover County, Residential Care Facility Ida Covenant Woods Project, RB, VRDN (C) (E) 3.950%, 07/01/29 12,000 12,000 Louisa County, Industrial Development, RB (C) (E) 3.900%, 01/01/20 2,975 2,975 Norfolk, Industrial Development Authority, Children Hospital Project, RB, VRDN (C) (E) 3.900%, 06/01/20 11,900 11,900 Prince William County, GO 5.000%, 08/01/00 1,000 1,009 Richmond, Redevelopment & Housing Authority, Multi Family Housing, RB (C) 4.130%, 11/01/29 13,000 13,000 20 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- VIRGINIA -- CONTINUED Roanoke, Industrial Development Authority, Memorial Hospital Projects, RB, Prerefunded 07/01/00 @100 (MBIA) (D) 6.500%, 07/01/25 $ 5,000 $ 5,085 Roanoke, Industrial Development Authority, Roanoke Memorial Hospital Project, Ser C, RB (C) (E) 3.850%, 07/01/19 1,935 1,935 Roanoke, Industrial Development Authority, Carilion Health System Ser B, RB, VRDN (C) 3.800%, 07/01/27 4,000 4,000 State, Public School Authority, RB 5.000%, 08/01/00 4,335 4,377 State, Public School Authority, Ser B, GO 5.000%, 08/01/00 4,665 4,701 State, Port Authority, RB, AMT (MBIA) (C) 4.030%, 07/01/24 10,100 10,100 State, University & Hospital & Public Improvements, GO 5.000%, 06/01/00 2,000 2,017 Suffolk, Redevelopment & Housing Authority, Multi Family Housing, Windsor Fieldstone Project, RB (C) 4.400%, 12/01/07 4,218 4,218 -------- 124,817 -------- WASHINGTON (4.4%) Eagle Trust, TECP 3.850%, 03/22/00 13,300 13,300 -------- Total Municipal Bonds (Cost $289,697) 289,697 -------- - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- CASH EQUIVALENTS (4.2%) Financial Square Tax Free Portfolio $ 5,890 $ 5,890 SEI Institutional Tax Free Portfolio 7,014 7,014 -------- Total Cash Equivalents (Cost $12,904) 12,904 -------- Total Investments (99.5%) (Cost $302,601) 302,601 -------- OTHER ASSETS AND LIABILITIES, NET (0.5%) 1,442 -------- NET ASSETS: Fund shares of the Trust Class (unlimited authorization -- no par value) based on 295,666,361 outstanding shares of beneficial interest 295,643 Fund shares of the Investor Class (unlimited authorization -- no par value) based on 8,408,509 outstanding shares of beneficial interest 8,408 Distributions in excess of net investment income (1) Accumulated net realized loss on investments (7) s -------- TOTAL NET ASSETS (100.0%) $304,043 ======== Net Asset Value, Offering and Redemption Price Per Share -- Trust Shares $1.00 Net Asset Value, Offering and Redemption Price Per Share -- Investor Shares $1.00 ======== THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. FOR DESCRIPTIONS OF ABBREVIATIONS, PLEASE SEE PAGE 26. 21 STATEMENT OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 U.S. GOVERNMENT SECURITIES MONEY MARKET FUND - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- U.S. TREASURY OBLIGATION (11.8%) U.S. Treasury Note 5.500%, 02/29/00 $50,000 $ 50,084 --------- Total U.S. Treasury Obligation (Cost $50,084) 50,084 --------- CASH EQUIVALENTS (8.9%) AIM Institutional Treasury Portfolio 19,000 19,000 SEI Daily Income Trust Treasury II Portfolio 19,000 19,000 -------- Total Cash Equivalents (Cost $38,000) 38,000 -------- REPURCHASE AGREEMENTS (79.5%) ABN-AMRO 5.62%, dated 11/30/99, matures 12/01/99, repurchse price $9,089,046 (collateralized by U.S. Treasury Note: total market value $9,271,005) (B) 9,089 9,089 Barclays 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $19,020,757 (collateralized by U.S. Treasury Note: total market value $19,401,277) (B) 19,021 19,021 Deutsche Bank 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $19,513,570 (collateralized by U.S. Treasury Note: total market value $19,904,606) (B) 19,514 19,514 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- CONTINUED Goldman Sachs 5.40%, dated 11/30/99, matures 12/01/99, repurchase price $15,000,000 (collateralized by U.S. Treasury Note: total market value $15,300,000) (B) 5.400%, 12/01/99 $15,000 $ 15,000 Greenwich 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $19,343,054 (collateralized by U.S. Treasury Note: total market value $19,731,928) (B) 19,343 19,343 J.P. Morgan 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $17,003,150 (collateralized by U.S. Treasury Note: total market value $17,343,271) (B) 17,003 17,003 Merrill Lynch 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $103,307,996 (collateralized by various GNMA obligations: total market value $105,375,152) (B) 103,308 103,308 Morgan Stanley 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $102,970,112 (collateralized by various GNMA obligations: total market value $106,589,578) (B) 102,970 102,970 22 - -------------------------------------------------------------------------------- VALUE (000) - -------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- CONTINUED Salomon Brothers 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $14,079,779 (collateralized by U.S. Treasury Note: total market value $15,030,775) (B) $14,080 $ 14,080 SBC Warburg 5.62%, dated 11/30/99, matures 12/01/99, repurchase price $19,096,451 (collateralized by U.S. Treasury Bond: total market value $19,482,240) (B) 19,096 19,096 --------- Total Repurchase Agreements (Cost $338,424) 338,424 --------- Total Investments (100.2%) (Cost $426,508) 426,508 --------- OTHER ASSETS AND LIABILITIES, NET (-0.2%) (874) --------- - -------------------------------------------------------------------------------- VALUE (000) - -------------------------------------------------------------------------------- NET ASSETS: Fund shares of the Trust Class (unlimited authorization -- no par value) based on 366,513,591 outstanding shares of beneficial interest $366,514 Fund shares of the Investor Class (unlimited authorization -- no par value) based on 58,843,366 outstanding shares of beneficial interest 58,843 Accumulated net realized gain on investments 277 -------- TOTAL NET ASSETS (100.0%) $425,634 ======== Net Asset Value, Offering and Redemption Price Per Share -- Trust Shares $1.00 ======== Net Asset Value, Offering and Redemption Price Per Share -- Investor Shares $1.00 ======== THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. FOR DESCRIPTIONS OF ABBREVIATIONS, PLEASE SEE PAGE 26. 23 STATEMENTS OF NET ASSETS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 U.S. TREASURY MONEY MARKET FUND - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- U.S. TREASURY OBLIGATIONS (15.9%) U.S. Treasury Notes 5.625%, 12/31/99 $15,000 $ 15,011 5.875%, 02/15/00 15,000 15,029 5.500%, 03/31/00 25,000 25,041 6.375%, 05/15/00 30,000 30,177 5.375%, 07/31/00 15,000 14,997 5.125%, 08/31/00 15,000 14,970 -------- Total U.S. Treasury Obligations (Cost $115,225) 115,225 -------- REPURCHASE AGREEMENTS (84.3%) ABN-AMRO 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $34,926,383 (collateralized by a U.S. Treasury Note: total market value $35,624,958) (B) 34,926 34,926 Barclays 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $34,551,241 (collateralized by a U.S. Treasury Note: total market value $35,242,905) (B) 34,551 34,551 Deutsche Bank 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $36,966,774 (collateralized by U.S. Treasury Note: total market value $35,666,273) (B) 34,967 34,967 Greenwich Bank 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $178,811,704 (collateralized by various U.S. Treasury obligations: total market value $182,390,917) (B) 178,812 178,812 - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- CONTINUED J.P. Morgan 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $35,006,247 (collateralized by a U.S. Treasury Bond: total market value $35,707,048) (B) $34,455 $ 34,455 Merrill Lynch 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $34,654,348 (collateralized by a U.S. Treasury Note: total market value $35,347,656) (B) 34,654 34,654 Morgan Stanley 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $34,454,608 (collateralized by a U.S. Treasury Note: total market value $35,321,745) (B) 35,006 35,006 SBC Warburg 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $178,348,011 (collateralized by a U.S. Treasury Note: total market value $181,917,918) (B) 178,348 178,348 Dresdner Bank 5.25%, dated 11/30/99, matures 12/01/99, repurchase price $10,000,000 (collateralized by a U.S. Treasury Note: total market value $10,200,000) (B) 10,000 10,000 24 ================================================================================ (UNAUDITED) - -------------------------------------------------------------------------------- FACE AMOUNT (000) VALUE (000) - -------------------------------------------------------------------------------- REPURCHASE AGREEMENTS -- CONTINUED Salomon Brothers 5.61%, dated 11/30/99, matures 12/01/99, repurchase price $35,169,104 (collateralized by various U.S. Treasury Notes: total market value $36,023,616) (B) $35,169 $ 35,169 -------- Total Repurchase Agreements (Cost $610,888) 610,888 -------- Total Investments (100.2%) (Cost $726,113) 726,113 -------- OTHER ASSETS AND LIABILITIES, NET (-0.2%) (1,846) -------- NET ASSETS: Fund shares of the Trust Class (unlimited authorization -- no par value) based on 724,348,814 outstanding shares of beneficial interest 724,265 Undistributed net investment income 2 -------- TOTAL NET ASSETS (100.0%) $724,267 ======== Net Asset Value, Offering and Redemption Price Per Share -- Trust Shares $1.00 ======== THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. FOR DESCRIPTIONS OF ABBREVIATIONS, PLEASE SEE PAGE 26. 25 ================================================================================ (UNAUDITED) KEY TO ABBREVIATIONS USED IN THE STATEMENT OF NET ASSETS AMBAC Security insured by the American Municipal Bond Assurance Corporation AMT Alternative Minimum Tax Cl Class FGIC Security insured by the Financial Guaranty Insurance Company FHA Federal Housing Authority FHLMC Federal Home Loan Mortgage Corporation FNMA Federal National Mortgage Association FSA Security insured by Financial Securities Assurance GNMA Government National Mortgage Association GO General Obligation MBIA Security insured by the Municipal Bond Insurance Association MTN Medium Term Note RB Revenue Bond Ser Series SLMA Student Loan Marketing Association TECP Tax Exempt Commercial Paper TRAN Tax & Revenue Anticipation Note VRDN Variable Rate Demand Note (A) Private Placement Security (B) Tri-Party Repurchase Agreement (C) Adjustable Rate Security. The rate reported on the Statement of Net Assets is the rate in effect on November 30, 1999. The date shown is the next scheduled reset date. (D) Put and demand features exist requiring the issuer to repurchase the instrument prior to maturity. (E) Securities are held in connection with a letter of credit issued by a major bank. 26 STATEMENTS OF OPERATIONS (000) ================================================================================ STI CLASSIC FUNDS FOR THE PERIOD ENDED NOVEMBER 30, 1999 (UNAUDITED)
TAX-EXEMPT TAX-FREE U.S. GOVERNMENT PRIME QUALITY MONEY MONEY SECURITIES U.S. TREASURY MONEY MARKET MARKET MARKET MONEY MARKET MONEY FUND FUND FUND FUND MARKET FUND ------------ ---------- ---------- ------------ ------------- 06/01/99- 06/01/99- 06/01/99- 06/01/99- 06/01/98- 11/30/99 11/30/99 11/30/99 11/30/99 05/31/99 ---------- ---------- --------- -------- ----------- Interest Income ........................ $113,767 $12,908 $4,759 $11,044 $18,899 -------- ------- ------ ------- ------- Expenses: Investment Advisory Fees ............ 14,060 2,128 562 1,514 2,446 Less: Investment Advisory Fees Waived/Reimbursed ........ (3,223) (504) (9) (269) (491) Administrator Fees 1,533 274 100 156 266 Transfer Agent Fees-- Trust Shares .. 3 6 10 6 11 Transfer Agent Fees-- Investor Shares 10 -- 8 16 -- Transfer Agent Fees-- Flex Shares ... 2 -- -- -- -- Transfer Agent Out of Pocket Fees ... 150 34 13 20 34 Printing Expenses ................... 108 19 9 11 19 Custody Fees ........................ 128 15 6 9 15 Professional Fees ................... 87 15 6 9 15 Trustee Fees ........................ 22 4 1 2 4 Registration Fees ................... 87 15 10 9 29 Distribution Fees-- Investor Shares . 940 102 21 53 -- Less: Distribution Fees Waived -- Investor Shares ................ (150) (20) (21) (25) -- Distribution Fees-- Flex Shares ..... 2 -- -- -- -- Less: Distribution Fees Waived-- Flex Shares .................... (2) -- -- -- -- Insurance and Other Fees ............ 21 -- 9 3 (21) Amortization of Deferred Organizational Costs ........... -- -- -- -- 43 ------- ------- ------ ------- ------- Total Expenses ...................... 13,778 2,088 725 1,514 2,370 ------- ------- ------ ------- ------- Net Investment Income ............... 99,989 10,820 4,034 9,530 16,529 ------- ------- ------ ------- ------- Net Realized Gain (Loss) on Securities Sold ................ (13) (30) -- 86 -- ------- ------- ------ ------- -------- Net Increase in Net Assets FROM OPERATIONS ................ $99,976 $10,790 $4,034 $ 9,616 $16,529 ======= ======= ====== ======= ======== Amounts designated as "--" are either $0 or round to $0. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS.
27 STATEMENTS OF CHANGES IN NET ASSETS (000) ================================================================================
STI CLASSIC FUNDS FOR THE PERIODS ENDED NOVEMBER 30, 1999, MAY 31, 1999, AND NOVEMBER 30, 1998 PRIME QUALITY TAX-EXEMPT TAX-FREE MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND ------------------ ------------------- ---------------------------- 06/01/99- 06/01/98- 06/01/99- 06/01/98- 06/01/99- 12/01/98- 12/01/97- 11/30/99 05/31/99 11/30/99 05/31/99 11/30/99 05/31/99 11/30/98 --------- --------- --------- --------- -------- ---------- -------- NET INVESTMENT INCOME ..... $ 99,989 $ 125,543 $ 10,820 $ 20,454 $ 4,034 $ 3,806 $ 7,024 Net Realized Gain (Loss) on Investments (13) (19) (30) (1) -- -- (9) --------- -------- -------- -------- -------- ------- ------- Increase in Net Assets from Operations 99,976 125,524 10,790 20,453 4,034 3,808 7,015 --------- -------- -------- -------- -------- ------- ------- Distributions to Shareholders: Net Investment Income: Trust Shares .............. (78,547) (99,427) (8,978) (16,665) (3,894) (3,739) (6,778) Investor Shares ........... (21,094) (26,132) (1,854) (3,788) (140) (91) (239) Flex Shares................ (9) -- -- -- -- -- -- --------- -------- -------- -------- -------- ------- ------- Total Distributions ..... (99,650) (125,559) (10,832) (20,453) (4,034) (3,830) (7,017) --------- -------- -------- -------- -------- ------- ------- Capital Transactions (1): Trust Shares: Proceeds from Shares Issued 3,497,130 4,698,805 295,775 984,432 204,843 246,896 369,536 Shares Issued in Connection with Crestar Merger ... -- 1,179,761 -- -- -- -- -- Reinvestment of Cash Distributions 4,055 4,306 -- -- -- -- -- Cost of Shares Redeemed ... (4,399,167)(3,859,828) (471,237) (790,815)(179,639) (247,343) (325,471) ---------- ---------- -------- -------- -------- -------- -------- Increase (Decrease) in Net Assets From Trust Share Transactions (897,982) 2,023,044 (175,462) 193,617 25,204 (447) 44,065 ---------- ---------- -------- -------- -------- -------- -------- Investor Shares: Proceeds from Shares Issued 568,351 1,199,739 227,234 356,214 16,385 5,749 22,060 Shares Issued in Connection with Crestar Merger ... -- 187,089 -- -- -- -- -- Reinvestment of Cash Distributions 23,857 24,846 2,137 3,497 155 110 237 Cost of Shares Redeemed ... (571,787) (905,401) (231,320) (365,395) (14,087) (8,754) (21,081) ---------- ---------- -------- -------- -------- -------- -------- Increase (Decrease) in Net Assets From Investor Share Transactions 20,421 506,273 (1,949) (5,684) 2,453 (2,895) 1,216 ---------- ---------- -------- -------- -------- -------- -------- Flex Shares: Proceeds from Shares Issued 2,237 -- -- -- -- -- -- Reinvestment of Cash Distributions 9 -- -- -- -- -- -- Cost of Shares Redeemed ... (238) -- -- -- -- -- -- ---------- ---------- -------- -------- -------- -------- -------- Increase (Decrease) in Net Assets From Flex Share Transactions 2,008 -- -- -- -- -- -- ---------- ---------- -------- -------- -------- -------- -------- Increase (Decrease) in Net Assets From Share Transactions (875,553) 2,529,317 (177,411) 187,933 27,657 (2,895) 45,281 ---------- ---------- -------- -------- -------- -------- -------- Total Increase (Decrease) in Net Assets.......... (875,227) 2,529,282 (177,453) 187,933 27,657 (3,364) 5,279 ---------- ---------- -------- -------- -------- -------- --------
STI CLASSIC FUNDS FOR THE PERIODS ENDED NOVEMBER 30, 1999, MAY 31, 1999, AND NOVEMBER 30, 1998 U.S. GOVERNMENT U.S. TREASURY SECURITIES SECURITIES MONEY MARKET FUND MONEY MARKET FUND ------------------- --------------------------- 06/01/99-06/01/98- 06/01/99 12/01/98- 12/01/97- 11/30/99 05/31/99 11/30/99 05/31/99 11/30/98 --------- -------- -------- --------- --------- NET INVESTMENT INCOME ..... $ 9,530 $ 20,487 $ 16,529 $ 15,437 $ 29,481 Net Realized Gain (Loss) on Investments 86 191 -- -- -- --------- -------- -------- -------- --------- Increase in Net Assets from Operations 9,616 20,678 16,529 15,437 29,481 --------- -------- -------- -------- --------- Distributions to Shareholders: Net Investment Income: Trust Shares .............. (8,297) (17,844) (16,527) (15,522) (29,476) Investor Shares ........... (1,319) (2,641) -- -- -- Flex Shares................ -- -- -- -- -- --------- -------- -------- -------- --------- Total Distributions ..... (9,616) (20,485) (16,527) (15,522) (29,476) --------- -------- -------- -------- --------- Capital Transactions (1): Trust Shares: Proceeds from Shares Issued 289,826 739,766 535,124 681,589 1,131,937 Shares Issued in Connection with Crestar Merger ... -- -- -- -- -- Reinvestment of Cash Distributions 827 1,170 7 1 4 Cost of Shares Redeemed ... (328,348) (714,135) (571,699) (620,595)(1,064,404) --------- -------- -------- -------- ---------- Increase (Decrease) in Net Assets From Trust Share Transactions (37,695) 26,801 (36,568) 60,995 67,537 --------- -------- -------- -------- ---------- Investor Shares: Proceeds from Shares Issued 129,598 294,871 -- -- -- Shares Issued in Connection with Crestar Merger ... -- -- -- -- -- Reinvestment of Cash Distributions 1,475 2,578 -- -- -- Cost of Shares Redeemed ... (133,675) (294,755) -- -- -- --------- -------- -------- -------- ---------- Increase (Decrease) in Net Assets From Investor Share Transactions (2,602) 2,694 -- -- -- --------- -------- -------- -------- ---------- Flex Shares: Proceeds from Shares Issued -- -- -- -- -- Reinvestment of Cash Distributions -- -- -- -- -- Cost of Shares Redeemed ... -- -- -- -- -- --------- -------- -------- -------- ---------- Increase (Decrease) in Net Assets From Flex Share Transactions -- -- -- -- -- --------- -------- -------- -------- ---------- Increase (Decrease) in Net Assets From Share Transactions (40,297) 29,495 (36,568) 60,995 67,537 --------- -------- -------- -------- ---------- Total Increase (Decrease) in Net Assets.......... (40,297) 29,688 (36,566) 60,910 67,542 --------- -------- -------- -------- ----------
Amounts designated as "--" are either $0 or round to $0. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 28 STATEMENTS OF CHANGES IN NET ASSETS (000) ================================================================================ (UNAUDITED)
PRIME QUALITY TAX-EXEMPT TAX-FREE MONEY MARKET FUND MONEY MARKET FUND MONEY MARKET FUND ------------------ --------------------- ----------------------------- 06/01/99-06/01/98- 06/01/99- 06/01/98- 06/01/99- 12/01/98- 12/01/97- 11/30/99 05/31/99 11/30/99 05/31/99 11/30/99 05/31/99 11/30/98 -------- --------- --------- --------- --------- --------- --------- Net Assets: Beginning of Period ......... $4,821,332 $2,292,050 $770,494 $ 582,561 $ 276,386 $279,750 $234,471 ---------- ---------- -------- ---------- --------- -------- -------- END OF PERIOD ............... 3,946,105 4,821,332 593,041 770,494 304,043 276,386 279,750 ========== ========== ======== ========== ========= ======== ======== (1) Shares Issued and Redeemed: Trust Shares: Shares Issued ............. 3,497,130 4,698,805 295,775 984,432 204,843 246,896 369,536 Shares Issued in Connection with Crestar Merger ... -- 1,179,840 -- -- -- -- -- Shares Issued in Lieu of Cash Distributions 4,055 4,306 -- -- -- -- -- Shares Redeemed ........... (4,399,004)(3,859,828) (471,237) (790,815) (179,639) (247,343)(325,471) ---------- ---------- -------- ---------- --------- -------- -------- Net Trust Share Transactions (897,819) 2,023,123 (175,462) 193,617 25,204 (447) 44,065 ---------- ---------- -------- ---------- --------- -------- -------- Investor Shares: Shares Issued ............. 568,351 1,199,740 227,234 356,214 16,385 5,749 22,060 Shares Issued in Connection with Crestar Merger ... -- 187,089 -- -- -- -- -- Shares Issued in Lieu of Cash Distributions 23,857 24,846 2,137 3,497 155 110 237 Shares Redeemed ........... (571,786) (905,433) (231,320) (365,395) (14,087) (8,754) (21,081) ---------- --------- -------- ---------- --------- -------- -------- Net Investor Share Transactions 20,422 506,242 (1,949) (5,684) 2,453 (2,895) 1,216 --------- --------- -------- ---------- --------- -------- -------- Flex Shares: Shares Issued............ 2,237 -- -- -- -- -- -- Shares Issued in Lieu of Cash Distributions 9 -- -- -- -- -- -- Shares Redeemed.......... (238) -- -- -- -- -- -- --------- --------- -------- ---------- --------- -------- -------- Net Flex Share Transactions 2,008 -- -- -- -- -- -- --------- --------- -------- ---------- --------- -------- -------- Net Change in Capital Shares (875,389) 2,529,365 177,411 187,933 27,657 (3,342) 45,281 --------- --------- -------- ---------- --------- -------- --------
U.S. GOVERNMENT U.S. TREASURY SECURITIES SECURITIES MONEY MARKET FUND MONEY MARKET FUND --------------------- --------------------------- 06/01/99- 06/01/98- 06/01/9- 12/01/98- 12/01/97- 11/30/99 05/31/99 11/30/99 05/31/99 11/30/98 ---------- --------- ---------------------------- Net Assets: Beginning of Period ......... $465,931 $436,243 $760,833 $ 699,923 $ 632,381 -------- -------- -------- --------- --------- END OF PERIOD ............... 425,634 465,931 724,267 760,833 699,923 ======== ======== ======== ========= ========= (1) Shares Issued and Redeemed: Trust Shares: Shares Issued ............. 289,826 739,766 535,124 681,589 1,131,937 Shares Issued in Connection with Crestar Merger ... -- -- -- -- -- Shares Issued in Lieu of Cash Distributions 827 1,170 7 1 4 Shares Redeemed ........... (328,348) (714,135) (571,699) (620,595)(1,064,404) -------- -------- -------- --------- --------- Net Trust Share Transactions (37,695) 26,801 (36,568) 60,995 67,537 -------- -------- -------- --------- --------- Investor Shares: Shares Issued ............. 129,598 294,871 -- -- -- Shares Issued in Connection with Crestar Merger ... -- -- -- -- -- Shares Issued in Lieu of Cash Distributions 1,475 2,578 -- -- -- Shares Redeemed ........... (133,675) (294,755) -- -- -- -------- -------- -------- --------- --------- Net Investor Share Transactions (2,602) 2,694 -- -- -- -------- -------- -------- --------- --------- Flex Shares: Shares Issued............ -- -- -- -- -- Shares Issued in Lieu of Cash Distributions -- -- -- -- -- Shares Redeemed.......... -- -- -- -- -- -------- -------- -------- --------- --------- Net Flex Share Transactions -- -- -- -- -- -------- -------- -------- --------- --------- Net Change in Capital Shares (40,297) 29,495 (36,568) 60,995 67,537 -------- -------- -------- --------- ---------
Amounts designated as "--" are either $0 or round to $0. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 29 FINANCIAL HIGHLIGHTS ================================================================================ STI CLASSIC FUNDS FOR THE PERIOD ENDED NOVEMBER 30, 1999 AND THE YEARS ENDED MAY 31, (UNLESS OTHERWISE NOTED) FOR A SHARE OUTSTANDING THROUGHOUT THE PERIODS NET NET ASSET VALUE INVESTMENT BEGINNING OF PERIOD INCOME ------------------- ---------- PRIME QUALITY MONEY MARKET FUND Trust Shares 1999* $1.00 $ 0.02 1999 1.00 0.05 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.05 Investor Shares 1999* $1.00 $ 0.02 1999 1.00 0.05 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.05 Flex Shares 1999* $1.00 $ 0.01 TAX-EXEMPT MONEY MARKET FUND Trust Shares 1999* $1.00 $ 0.01 1999 1.00 0.03 1998 1.00 0.03 1997 1.00 0.03 1996 1.00 0.03 1995 1.00 0.03 Investor Shares 1999* $1.00 $ 0.01 1999 1.00 0.03 1998 1.00 0.03 1997 1.00 0.03 1996 1.00 0.03 1995 1.00 0.03 TAX-FREE MONEY MARKET FUND (A) Trust Shares 1999* $1.00 $0.01 1999** 1.00 0.01 For the Year Ended November 30: 1998 1.00 0.03 1997 1.00 0.03 1996 1.00 0.03 1995 1.00 0.03 Investor Shares 1999* $1.00 $0.01 1999** 1.00 0.01 For the Year Ended November 30: 1998 1.00 0.03 1997 1.00 0.03 1996 1.00 0.03 1995 1.00 0.03 NET ASSET DISTRIBUTIONS FROM VALUE END NET INVESTMENT INCOME OF PERIOD ------------------- ---------- PRIME QUALITY MONEY MARKET FUND Trust Shares 1999* $(0.02) $1.00 1999 (0.05) 1.00 1998 (0.05) 1.00 1997 (0.05) 1.00 1996 (0.05) 1.00 1995 (0.05) 1.00 Investor Shares 1999* $(0.02) $1.00 1999 (0.05) 1.00 1998 (0.05) 1.00 1997 (0.05) 1.00 1996 (0.05) 1.00 1995 (0.05) 1.00 Flex Shares 1999* $(0.01) $1.00 TAX-EXEMPT MONEY MARKET FUND Trust Shares 1999* $(0.01) $1.00 1999 (0.03) 1.00 1998 (0.03) 1.00 1997 (0.03) 1.00 1996 (0.03) 1.00 1995 (0.03) 1.00 Investor Shares 1999* $(0.01) $1.00 1999 (0.03) 1.00 1998 (0.03) 1.00 1997 (0.03) 1.00 1996 (0.03) 1.00 1995 (0.03) 1.00 TAX-FREE MONEY MARKET FUND (A) Trust Shares 1999* $(0.01) $1.00 1999** (0.01) 1.00 For the Year Ended November 30: 1998 (0.03) 1.00 1997 (0.03) 1.00 1996 (0.03) 1.00 1995 (0.03) 1.00 Investor Shares 1999* $(0.01) $1.00 1999** (0.01) 1.00 For the Year Ended November 30: 1998 $(0.03) 1.00 1997 (0.03) 1.00 1996 (0.03) 1.00 1995 (0.03) 1.00 + Total return is for the period indicated and has not been annualized. * For the six month period ended November 30, 1999. All ratios have been annualized. Total return is for the period indicated and has not been annualized. ** For the period December 1, 1998 to May 31, 1999. All ratios for the period have been annualized. (A) On May 24, 1999, the CrestFund Tax-Free Money Fund exchanged all of its assets and certain liabilities for shares of the Tax-Free Money Market Fund. The CrestFund Tax-Free Money Fund is the accounting survivor in this transaction, and as a result, its basis of accounting for assets and liabilities and its operating results for the periods prior to May 24, 1999 have been carried forward in these financial highlights. Amounts designated as "--" are either $0 or round to $0. ================================================================================ NET ASSETS RATIO OF TOTAL END OF EXPENSES TO RETURN+ PERIOD (000) AVERAGE NET ASSETS -------- ---------- ------------------ 2.36% $3,005,510 0.60% 4.83% 3,903,232 0.60% 5.22% 1,880,229 0.59% 5.01% 1,086,555 0.58% 5.25% 1,050,800 0.58% 4.79% 799,189 0.58% 2.27% $ 938,587 0.77% 4.66% 918,100 0.77% 5.04% 411,821 0.76% 4.84% 283,544 0.75% 5.08% 215,696 0.75% 4.62% 157,616 0.75% 0.63% $ 2,008 0.48% 1.43% $ 466,143 0.52% 2.81% 641,640 0.52% 3.21% 448,023 0.51% 3.09% 333,006 0.50% 3.28% 273,613 0.50% 3.10% 215,413 0.45% 1.37% $ 126,898 0.63% 2.69% 128,854 0.64% 3.09% 134,538 0.62% 2.97% 102,013 0.62% 3.16% 95,223 0.62% 3.00% 87,647 0.55% 1.45% $ 295,634 0.51% 1.27% 270,431 0.67% 2.97% 270,899 0.66% 3.06% 226,837 0.66% 3.14% 182,320 0.66% 3.26% 202,333 0.66% 1.37% $ 8,409 0.67% 1.27% 5,955 0.67% 2.96% 8,851 0.67% 3.05% 7,634 0.68% 3.13% 2,994 0.67% 3.25% 1,627 0.67% RATIO OF NET INVESTMENT RATIO OF EXPENSES TO INCOME TO NET INVESTMENT AVERAGE NET ASSETS AVERAGE NET ASSETS INCOME TO (EXCLUDING WAIVERS (EXCLUDING WAIVERS AVERAGE NET ASSETS AND REIMBURSEMENTS) AND REIMBURSEMENTS) ------------------ ------------------ ------------------ 4.66% 0.75% 4.51% 4.69% 0.77% 4.52% 5.10% 0.77% 4.92% 4.90% 0.76% 4.72% 5.11% 0.78% 4.91% 4.77% 0.79% 4.56% 4.50% 0.92% 4.35% 4.52% 0.97% 4.32% 4.93% 0.98% 4.71% 4.74% 0.97% 4.52% 4.94% 1.00% 4.69% 4.55% 1.01% 4.29% 1.29% 0.78% 0.99% 2.81% 0.65% 2.68% 2.75% 0.66% 2.61% 3.14% 0.67% 2.98% 3.04% 0.66% 2.88% 3.23% 0.68% 3.05% 3.12% 0.70% 2.87% 2.72% 0.79% 2.56% 2.66% 0.82% 2.48% 3.04% 0.83% 2.83% 2.92% 0.83% 2.71% 3.10% 0.85% 2.87% 3.00% 0.87% 2.68% 2.88% 0.52% 2.87% 2.51% 0.82% 2.36% 2.92% 0.81% 2.77% 3.02% 0.81% 2.87% 2.88% 0.81% 2.73% 3.19% 0.81% 3.04% 2.70% 1.07% 2.30% 2.52% 1.06% 2.13% 2.92% 1.07% 2.52% 3.42% 1.08% 3.02% 2.86% 1.07% 2.46% 3.16% 1.07% 2.76% THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 31 FINANCIAL HIGHLIGHTS (concluded) ================================================================================ STI CLASSIC FUNDS FOR THE PERIOD ENDED NOVEMBER 30, 1999 AND THE YEARS ENDED MAY 31, (UNLESS OTHERWISE NOTED) FOR A SHARE OUTSTANDING THROUGHOUT THE PERIOD NET NET ASSET VALUE INVESTMENT BEGINNING OF PERIOD INCOME ------------------- ---------- U.S. GOVERNMENT SECURITIES MONEY MARKET FUND Trust Shares 1999*** $1.00 $ 0.02 1999 1.00 0.04 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.05 Investor Shares 1999*** $1.00 $ 0.02 1999 1.00 0.04 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.04 U.S. TREASURY MONEY MARKET FUND (A) Trust Shares 1999*** $1.00 $ 0.02 1999** 1.00 0.02 For the Year Ended November 30: 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.05 NET ASSET DISTRIBUTIONS FROM VALUE END NET INVESTMENT INCOME OF PERIOD ------------------- ---------- U.S. GOVERNMENT SECURITIES MONEY MARKET FUND Trust Shares 1999*** $1.00 $ 0.02 1999 1.00 0.04 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.05 Investor Shares 1999*** $1.00 $ 0.02 1999 1.00 0.04 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.04 U.S. TREASURY MONEY MARKET FUND (A) Trust Shares 1999*** $1.00 $ 0.02 1999** 1.00 0.02 For the Year Ended November 30: 1998 1.00 0.05 1997 1.00 0.05 1996 1.00 0.05 1995 1.00 0.05 + Total return is for the period indicated and has not been annualized. * For the six month period ended November 30, 1999. All ratios have been annualized. Total return is for the period indicated and has not been annualized. ** For the period December 1, 1998 to May 31, 1999. All ratios for the period have been annualized. (A) On May 24, 1999, the CrestFund Tax-Free Money Fund exchanged all of its assets and certain liabilities for shares of the Tax-Free Money Market Fund. The CrestFund Tax-Free Money Fund is the accounting survivor in this transaction, and as a result, its basis of accounting for assets and liabilities and its operating results for the periods prior to May 24, 1999 have been carried forward in these financial highlights. 32 ================================================================================ (UNAUDITED) NET ASSETS RATIO OF TOTAL END OF EXPENSES TO RETURN+ PERIOD (000) AVERAGE NET ASSETS -------- ---------- ------------------ 2.23% $ 366,763 0.63% 4.57% 404,459 0.63% 5.04% 377,490 0.62% 4.83% 344,350 0.61% 5.14% 325,493 0.61% 4.67% 434,111 0.61% 2.16% $ 58,871 0.77% 4.41% 61,472 0.77% 4.90% 58,753 0.76% 4.69% 63,178 0.75% 4.99% 58,608 0.75% 4.51% 46,639 0.75% 2.22% $ 724,267 0.63% 2.08% 760,833 0.68% 4.89% 699,923 0.66% 4.91% 632,381 0.65% 4.80% 389,051 0.66% 5.29% 370,454 0.66% RATIO OF RATIO OF NET INVESTMENT RATIO OF EXPENSES TO INCOME TO NET INVESTMENT AVERAGE NET ASSETS AVERAGE NET ASSETS INCOME TO (EXCLUDING WAIVERS (EXCLUDING WAIVERS AVERAGE NET ASSETS AND REIMBURSEMENTS) AND REIMBURSEMENTS) ------------------ ------------------ ------------------ 4.40% 0.75% 4.27% 4.47% 0.76% 4.34% 4.92% 0.78% 4.76% 4.73% 0.76% 4.58% 5.02% 0.78% 4.85% 4.64% 0.80% 4.45% 4.26% 0.97% 4.06% 4.32% 0.98% 4.11% 4.79% 0.96% 4.59% 4.59% 0.96% 4.38% 4.88% 0.99% 4.64% 4.51% 1.02% 4.24% 4.39% 0.76% 4.26% 4.10% 0.83% 3.95% 4.77% 0.81% 4.62% 4.82% 0.80% 4.67% 4.69% 0.81% 4.54% 5.16% 0.81% 5.01% THE ACCOMPANYING NOTES ARE AN INTEGRAL PART OF THE FINANCIAL STATEMENTS. 33 NOTES TO FINANCIAL STATEMENTS ================================================================================ STI CLASSIC FUNDS NOVEMBER 30, 1999 1. Organization: The STI Classic Funds (the "Trust") was organized as a Massachusetts business trust under a Declaration of Trust dated January 15, 1992. The Trust is registered under the Investment Company Act of 1940, as amended, as an open-end management investment company with thirty-six portfolios as of November 30, 1999: the Balanced Fund, the Capital Appreciation Fund (formerly Capital Growth Fund), the Emerging Markets Equity Fund, the Growth and Income Fund, the International Equity Fund, the International Equity Index Fund, the Life Vision Balanced Portfolio, the Life Vision Growth and Income Portfolio, the Life Vision Maximum Growth Portfolio, the Mid-Cap Equity Fund, the Small Cap Equity Fund, the Small Cap Growth Stock Fund, the Sunbelt Equity Fund, the Tax Sensitive Growth Stock Fund, the Value Income Stock Fund, the Core Equity Fund, the E-Commerce Opportunity Fund, (collectively the "Equity Funds"), the Florida Tax-Exempt Bond Fund, the Georgia Tax-Exempt Bond Fund, Investment Grade Bond Fund, the Investment Grade Tax-Exempt Bond Fund, the Limited-Term Federal Mortgage Securities Fund, the Maryland Municipal Bond Fund, the Short-Term Bond Fund, the Short-Term U.S. Treasury Securities Fund, the U.S. Government Securities Fund, the Virginia Intermediate Municipal Bond Fund, the Virginia Municipal Bond Fund, (collectively the "Fixed Income Funds"), the Prime Quality Money Market Fund, the Tax-Exempt Money Market Fund, the Tax-Free Money Market Fund, the U.S. Government Securities, the U.S. Treasury Money Market Fund (collectively the "Retail Money Market Funds" or the "Funds"), the Classic Institutional Cash Management Money Market Fund, the Classic Institutional U.S. Government Securities Money Market Fund and the Classic Institutional U.S. Treasury Securities Money Market Fund, (collectively the "Institutional Money Market Funds"). The assets of each portfolio are segregated, and a shareholder's interest is limited to the fund in which shares are held. Each fund's prospectus provides a description of the fund's investment objectives, policies and strategies. The financial statements presented herein are those of the Retail Money Market Funds. The financial statements of the Equity Funds, the Fixed Income Funds and the Institutional Money Market Funds are not presented herein, but are presented separately. On February 17, 1999 and February 19, 1999, respectively, the Board of Trustees of the STI Classic Funds and Board of Directors of the CrestFunds Inc. ("CrestFunds") approved an Agreement and Plan of Reorganization (the "Reorganization Agreement") providing for the transfer of all assets and certain stated liabilities of the CrestFunds in exchange for the issuance of shares in the Trust in a tax-free reorganization (see Note 7). 2. Significant Accounting Policies: The following is a summary of significant accounting policies followed by the Trust: BASIS OF PRESENTATION OF STATEMENTS -- As more fully described in Note 7, the STI Classic Funds acquired certain CrestFunds in a tax-free business combination. While each Fund now exists as a STI Classic Fund, a number of the surviving funds for accounting purposes are CrestFunds. In accordance with generally accepted accounting principles, the financial statements presented herein represent those of accounting survivors. Accordingly, the Statements of Changes in Net Assets and Financial Highlights presented reflect periods beginning on the first day of the accounting survivor's fiscal year. SECURITY VALUATION -- Investment securities held by the Funds are stated at amortized cost, which approximates market value. FEDERAL INCOME TAXES -- It is each Fund's intention to qualify as a regulated investment company for Federal income tax purposes and distribute 34 ================================================================================ (UNAUDITED) all of its taxable income and net capital gains. Accordingly, no provisions for Federal income taxes are required. SECURITY TRANSACTIONS AND INVESTMENT INCOME -- Security transactions are accounted for on the date the security is purchased or sold (trade date). Interest income is recognized on an accrual basis. Costs used in determining net realized gains and losses on the sales of investment securities are those of the specific securities sold adjusted for the accretion and amortization of purchase discounts and premiums during the respective holding period. Purchase discounts and premiums on securities held by the Funds are accreted and amortized ratably to maturity and are included in interest income. REPURCHASE AGREEMENTS -- Securities pledged as collateral for repurchase agreements are held by the custodian bank until the respective agreements mature. Provisions of the repurchase agreements ensure that the market value of the collateral, including accrued interest thereon, is sufficient in the event of default of the counterparty. If the counterparty defaults and the value of the collateral declines or if the counterparty enters into an insolvency proceeding, realization of the collateral by the Funds may be delayed or limited. NET ASSET VALUE PER SHARE -- The net asset value per share of each Fund is calculated each business day, by dividing the total value of each Fund's assets, less liabilities, by the number of shares outstanding. OTHER -- Expenses that are directly related to a specific Fund are charged to that Fund. Class specific expenses are borne by that class. Other operating expenses of the Trust are pro-rated to the Funds on the basis of relative net assets. Fund expenses are pro-rated to the respective classes on the basis of relative net assets. Distributions from net investment income of each of the Funds are declared on each business day and paid to shareholders on a monthly basis. Any net realized capital gains on sales of securities are distributed to shareholders at least annually. USE OF ESTIMATES -- The preparation of the financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that effect the reported amount of assets and liabilities, disclosure of contingent assets and liabilities at the date of the financial statements, and reported amounts of revenues and expenses during the reporting period. Actual amounts could differ from these estimates. 3. Transactions with Affiliates: Certain officers of the Trust are also officers of SEI Investments Mutual Funds Services (the "Administrator"), and/or SEI Investments Distribution Co. (the "Distributor"). Such officers are paid no fees by the Trust for serving as officers of the Trust. The Fund has entered into an agreement with SEI Investments to manage the investments of repurchase agreements for the Funds. For its services the Liquidity Desk received $905,023 for the year ended November 30, 1999. 4. Administration and Transfer Agency Servicing Agreements: The Trust and the Administrator are parties to an Administration Agreement dated May 29, 1995, as amended November 19, 1997 and March 1, 1999, under which the Administrator provides administrative services for an annual fee (expressed as a percentage of the combined average daily net assets of the Trust and STI Classic Variable Trust) of: .12% up to $1 billion, .09% on the next $4 billion, .07% on the next $3 billion, .065% on the next $2 billion and .06% for over $10 billion. 35 Prior to May 24, 1999, administrative and accounting services were provided to the CrestFunds by SEI Investments Mutual Funds Services who was entitled to receive a fee at an annual rate of .15% of the average daily net assets of the CrestFunds. The Trust and Federated Services Company are parties to a Transfer Agency servicing agreement dated May 14, 1994 under which Federated Services Company provides transfer agency services to the Trust. 5. Investment Advisory and Custodian Agreements: The Trust and Trusco Capital Management, Inc. (the "Investment Advisor") have entered into an advisory agreement dated July 15, 1993. Under terms of the agreements, the Funds are charged the following annual fees based upon average daily net assets: MAXIMUM MAXIMUM MAXIMUM TRUST INVESTOR INVESTOR FLEX FLEX ANNUAL SHARE SHARE SHARE SHARE SHARE ADVISORY MAXIMUM DISTRIBUTION MAXIMUM DISTRIBUTION MAXIMUM FEE EXPENSE FEE EXPENSE FEE EXPENSE -------- --------- ------------ ---------- ------------ ---------- Prime Quality Money Market Fund .65% .60% .20% .77% .75% 1.50% Tax-Exempt Money Market Fund .55 .62 .15 .64 -- -- Tax-Free Money Market Fund .40 .51 .40 .67 -- -- U.S. Government Securities Money Market Fund .65 .63 .17 .77 -- -- U.S. Treasury Money Market Fund .65 .63 -- -- -- -- The Investment Advisor has voluntarily agreed to waive all or a portion of their fees (and to reimburse Funds' expenses) in order to limit operating expenses to an amount as outlined in the table above. Fee waivers and expense reimbursements are voluntary and may be terminated at any time. Prior to May 24, 1999, Crestar Asset Management Company ("CAMCO") provided investment advisory services to the CrestFunds. CAMCO was paid for advisory services to each CrestFund money market fund at an annual rate of .40% of each CrestFund money market fund's average daily net assets for the first $500 million of net assets, .35% of each Fund's average daily net assets on the next $500 million of net assets, .30% of each money market fund's average daily net assets on all remaining net assets. SunTrust Bank, Atlanta, acts as custodian for the Funds. Fees of the Custodian are paid on the basis of the net assets of the Funds. The Custodian plays no role in determining the investment policies of the Trust or which securities are to be purchased or sold in the Funds. 6. Investment Transactions: At May 31, 1999, the Prime Quality Money Market Fund and the Tax-Exempt Money Market Fund had capital loss carryforwards for Federal tax purposes of $314,064 and $3,830, respectively, resulting from security sales. For tax purposes, the losses in the Funds can be carried forward for a maximum of eight years to offset any net realized capital gains. The carryforward for the Prime Quality Money Market Fund expires between May 2003 and May 2005 and the carryforward for the Tax-Exempt Money Market Fund expires between May 2004 and May 2007. 36 ================================================================================ (UNAUDITED) 7. CrestFunds Merger: The Board of Directors and shareholders of the CrestFunds approved a reorganization of the CrestFunds into the STI Classic Funds which was effective on May 17, 1999 for the Prime Quality Money Market Fund and May 24, 1999 for the Tax-Free Money Market Fund and U.S. Treasury Money Market Fund. The following table summarizes certain relevant information of the Funds prior to and immediately after business combinations on May 17, 1999 and May 24, 1999 and is unaudited:
SHARES OUTSTANDING SHARES ISSUED NET ASSETS NAV ON MERGER IN BUSINESS AFTER PER CRESTFUND DATE STI CLASSIC FUND COMBINATION COMBINATION SHARE ------------ ------------- ------------------------- ------------ -------------- ------------ Cash Reserve Prime Quality Money Market (2) Trust Shares 1,179,840,320 Trust Shares 1,179,992,513 3,898,000,842 $1.00 Investor Class A 187,019,982 Investor Shares 187,134,402 897,327,829 1.00 Investor Class B (1) 68,609 Flex Shares n/a n/a n/a U.S. Treasury Money Fund (2) U.S. Treasury Money Market Trust Shares 278,919,943 Trust Shares 278,919,943 278,898,164 1.00 Investor Class A 5,967,857 Investor Shares 5,967,857 5,968,442 1.00 Tax Free Money Fund (2) Tax-Free Money Market Trust Shares 732,825,211 Trust Shares 732,825,211 732,779,926 1.00
(1) Investor Class B Shares of the CrestFunds Cash Reserve Fund were exchanged for Investor Shares of the STI Classic Prime Quality Money Market Fund. (2) Represents the accounting survivor in this business combination. 8. Concentration of Credit Risk: The Prime Quality Money Market Fund invests primarily in high quality money market instruments rated in the highest short-term rating category by Standard & Poor's Ratings Group ("S&P") or Moody's Investors Services, Inc. (Moody's) or, if not rated, are determined by the Investment Advisor to be of comparable quality. The Tax-Exempt Money Market and Tax-Free Money Market Funds invest in high quality, U.S. dollar denominated municipal securities rated in one of the two highest short-term rating categories or, if not rated, are determined by the Investment Advisor to be of comparable quality. The U.S. Government Securities Money Market and U.S. Treasury Money Market Funds invest exclusively in U.S. Treasury obligations, U.S. Government subsidiary corporation securities which are backed by the full faith and credit of the U.S. Government and repurchase agreements with approved dealers collateralized by U.S. Treasury securities and U.S. Government subsidiary corporation securities. 37 INVESTMENT ADVISOR Trusco Capital Management, Inc. STI Classic Funds are not deposits, are not insured or guaranteed by the FDIC or any other government agency, and are not endorsed by and do not constitute obligations of SunTrust Banks, Inc. or any other of its affiliates. Investment in the Funds involves risk, including the possible loss of principal. There is no guarantee that any STI Classic Fund will achieve its investment objective. The STI Classic Funds are advised by affiliates of SunTrust Banks, Inc. DISTRIBUTOR SEI Investments Distribution Co. This information must be preceded or accompanied by a current prospectus for each Fund described. -----END PRIVACY-ENHANCED MESSAGE-----