-----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, CMbBXzKzHTKAyxhMUCd2jDsBjjoFy4RroP0sxJp6kBAG9vfV3bjUwLpihCWiUX1q 9+ME7OYX3NuYEyd5TxLyRQ== 0000902259-05-000017.txt : 20051129 0000902259-05-000017.hdr.sgml : 20051129 20051129105221 ACCESSION NUMBER: 0000902259-05-000017 CONFORMED SUBMISSION TYPE: N-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20050930 FILED AS OF DATE: 20051129 DATE AS OF CHANGE: 20051129 EFFECTIVENESS DATE: 20051129 FILER: COMPANY DATA: COMPANY CONFORMED NAME: T. Rowe Price Blue Chip Growth Fund, Inc. CENTRAL INDEX KEY: 0000902259 IRS NUMBER: 521827505 FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-Q SEC ACT: 1940 Act SEC FILE NUMBER: 811-07059 FILM NUMBER: 051230296 BUSINESS ADDRESS: STREET 1: 100 EAST PRATT STREET CITY: BALTIMORE STATE: MD ZIP: 21202 BUSINESS PHONE: 410-345-2000 MAIL ADDRESS: STREET 1: 100 EAST PRATT STREET CITY: BALTIMORE STATE: MD ZIP: 21202 FORMER COMPANY: FORMER CONFORMED NAME: PRICE T ROWE BLUE CHIP GROWTH FUND INC DATE OF NAME CHANGE: 19930426 N-Q 1 bcg_nq.htm NQ~ BLUE CHIP GROWTH FUND T. Rowe Price Blue Chip Growth Fund
Item 1. Schedule of Investments    
 
T. ROWE PRICE BLUE CHIP GROWTH FUND    
Unaudited September 30, 2005 
PORTFOLIO OF INVESTMENTS(1)
Shares 
Value 
(Cost and value in $ 000s)     

COMMON STOCKS 99.8%     
 
CONSUMER DISCRETIONARY 15.0%     
Diversified Consumer Services 1.0%     
Apollo Group, Class A *  1,420,000  94,274 
    94,274 
Hotels, Restaurants & Leisure 3.2%     
Carnival  1,900,000  94,962 
Harrah's Entertainment  415,000  27,054 
International Game Technology  2,050,000  55,350 
Marriott, Class A  610,000  38,430 
McDonald's  790,000  26,457 
Wynn Resorts *  1,000,000  45,150 
    287,403 
Household Durables 0.6%     
Fortune Brands  325,000  26,432 
Harman International  250,000  25,568 
    52,000 
Internet & Catalog Retail 1.3%     
Amazon.com *  1,210,000  54,813 
eBay *  1,500,000  61,800 
    116,613 
Media 4.4%     
Comcast, Class A *  1,500,000  43,170 
McGraw-Hill  625,000  30,025 
News Corp., Class A  3,580,000  55,812 
Omnicom  325,000  27,180 
Rogers Communications, Class B  1,150,000  45,367 
Scripps, Class A  1,060,000  52,968 
Time Warner  4,600,000  83,306 
Viacom, Class B  1,600,000  52,816 
    390,644 
Multiline Retail 2.5%     
Kohl's *  1,900,000  95,342 
Target  2,440,000  126,709 
    222,051 
Specialty Retail 2.0%     
Best Buy  1,425,000  62,030 
Home Depot  3,160,000  120,523 
    182,553 
Total Consumer Discretionary    1,345,538 
 
CONSUMER STAPLES 5.5%     
Beverages 1.4%     
Coca-Cola  885,000  38,223 
PepsiCo  1,530,000  86,766 
    124,989 
Food & Staples Retailing 2.1%     
CVS  1,150,000  33,362 
Sysco  1,000,000  31,370 
Wal-Mart  2,800,000  122,696 
    187,428 
Household Products 0.5%     
Procter & Gamble  700,000  41,622 
    41,622 
Personal Products 1.1%     
Gillette  1,700,000  98,940 
    98,940 
Tobacco 0.4%     
Altria Group  520,000  38,329 
    38,329 
Total Consumer Staples    491,308 
 
ENERGY 6.6%     
Energy Equipment & Services 4.7%     
Baker Hughes  2,000,000  119,360 
BJ Services  920,000  33,111 
Schlumberger  1,810,000  152,728 
Smith International  2,800,000  93,268 
Transocean *  400,000  24,524 
    422,991 
Oil, Gas & Consumable Fuels 1.9%     
ExxonMobil  1,600,000  101,664 
Murphy Oil  300,000  14,961 
Total ADR  365,000  49,574 
    166,199 
Total Energy    589,190 
 
FINANCIALS 19.8%     
Capital Markets 10.0%     
AmeriTrade *  3,000,000  64,440 
Bank of New York  100,000  2,941 
Charles Schwab  4,700,000  67,821 
E*TRADE Financial *  1,000,000  17,600 
Franklin Resources  1,540,000  129,298 
Goldman Sachs  700,000  85,106 
Legg Mason  1,100,000  120,659 
Mellon Financial  1,400,000  44,758 
Merrill Lynch  1,570,000  96,320 
Morgan Stanley  100,000  5,394 
Northern Trust  1,780,000  89,979 
State Street  3,070,000  150,185 
UBS (CHF)  250,000  21,334 
    895,835 
Commercial Banks 1.1%     
U.S. Bancorp  950,000  26,676 
Wells Fargo  1,240,000  72,627 
    99,303 
Consumer Finance 2.2%     
American Express  2,100,000  120,624 
SLM Corporation  1,475,000  79,119 
    199,743 
Diversified Financial Services 2.6%     
Citigroup  5,200,000  236,704 
    236,704 
Insurance 3.9%     
AFLAC  400,000  18,120 
American International Group  2,810,000  174,107 
Hartford Financial Services  1,060,000  81,800 
Marsh & McLennan  2,000,000  60,780 
Willis Group Holdings  325,000  12,204 
    347,011 
Total Financials    1,778,596 
 
HEALTH CARE 17.9%     
Biotechnology 4.2%     
Amgen *  2,275,000  181,249 
Biogen Idec *  10,000  395 
Genentech *  1,180,000  99,368 
Gilead Sciences *  2,000,000  97,520 
    378,532 
Health Care Equipment & Supplies 2.9%     
Biomet  700,000  24,297 
Medtronic  2,230,000  119,572 
St. Jude Medical *  1,450,000  67,860 
Stryker  925,000  45,723 
    257,452 
Health Care Providers & Services 6.9%     
Aetna  100,000  8,614 
Caremark RX *  1,150,000  57,420 
Quest Diagnostics  500,000  25,270 
UnitedHealth Group  5,830,000  327,646 
WellPoint *  2,710,000  205,472 
    624,422 
Pharmaceuticals 3.9%     
Abbott Laboratories  250,000  10,600 
Johnson & Johnson  1,780,000  112,638 
Novartis (CHF)  340,000  17,317 
Pfizer  3,130,000  78,156 
Roche Holding (CHF)  130,000  18,133 
Schering-Plough  300,000  6,315 
Sepracor *  610,000  35,984 
Teva Pharmaceutical ADR  250,000  8,355 
Wyeth  1,300,000  60,151 
    347,649 
Total Health Care    1,608,055 
 
INDUSTRIALS & BUSINESS SERVICES 8.8%     
Aerospace & Defense 1.9%     
General Dynamics  358,000  42,799 
Honeywell International  1,810,000  67,875 
Lockheed Martin  770,000  47,001 
Rockwell Collins  220,000  10,630 
    168,305 
Air Freight & Logistics 0.1%     
UPS, Class B  185,000  12,789 
    12,789 
Commercial Services & Supplies 0.3%     
Cendant  400,000  8,256 
ChoicePoint *  300,000  12,951 
Cintas  160,000  6,568 
    27,775 
Industrial Conglomerates 3.9%     
GE  8,490,000  285,858 
Tyco International  2,410,000  67,119 
    352,977 
Machinery 2.6%     
Danaher  3,470,000  186,790 
Deere  700,000  42,840 
    229,630 
Road & Rail 0.0%     
Union Pacific  25,000  1,793 
    1,793 
Total Industrials & Business Services    793,269 
 
INFORMATION TECHNOLOGY 22.9%     
Communications Equipment 3.8%     
Cisco Systems *  5,800,000  103,994 
Corning *  3,250,000  62,822 
Juniper Networks *  1,850,000  44,012 
Nokia ADR  3,250,000  54,958 
QUALCOMM  1,670,000  74,732 
Research In Motion *  58,957  4,033 
    344,551 
Computers & Peripherals 2.5%     
Dell *  4,700,000  160,740 
EMC *  4,600,000  59,524 
    220,264 
Electronic Equipment & Instruments 0.0%     
Symbol Technologies  23,472  227 
    227 
Internet Software & Services 2.6%     
Google, Class A *  369,400  116,900 
IAC/InterActiveCorp *  680,000  17,238 
Yahoo! *  3,000,000  101,520 
    235,658 
IT Services 2.7%     
Accenture, Class A *  1,500,000  38,190 
Affiliated Computer Services, Class A *  25,000  1,365 
Automatic Data Processing  1,825,000  78,548 
First Data  1,600,000  64,000 
Fiserv *  790,000  36,237 
Paychex  680,000  25,215 
    243,555 
Semiconductor & Semiconductor Equipment 6.2%     
Analog Devices  2,080,000  77,251 
Intel  5,320,000  131,138 
Linear Technology  730,000  27,441 
Marvell Technology Group *  1,030,000  47,493 
Maxim Integrated Products  2,590,000  110,463 
Samsung Electronics (KRW)  20,000  11,281 
Texas Instruments  2,100,000  71,190 
Xilinx  2,780,000    77,423 
      553,680 
Software 5.1%       
Adobe Systems  1,400,000    41,790 
Intuit *  500,000    22,405 
Microsoft  11,100,000    285,603 
Oracle *  6,220,000    77,066 
Symantec *  1,500,000    33,990 
      460,854 
Total Information Technology      2,058,789 
 
MATERIALS 1.1%       
Chemicals 0.6%       
Monsanto  830,000    52,083 
      52,083 
Metals & Mining 0.5%       
BHP Billiton (AUD)  1,600,000    27,209 
Nucor  370,000    21,826 
      49,035 
Total Materials      101,118 
 
TELECOMMUNICATION SERVICES 2.2%       
Diversified Telecommunication Services 0.5%       
Telus (Non-voting shares)  1,200,000    48,888 
      48,888 
Wireless Telecommunication Services 1.7%       
America Movil ADR, Series L  1,725,000    45,402 
American Tower Systems, Class A *  1,270,000    31,686 
Sprint Nextel  3,100,000    73,718 
      150,806 
Total Telecommunication Services      199,694 
Total Common Stocks (Cost $6,806,642)      8,965,557 
 
SHORT-TERM INVESTMENTS 0.1%       
Money Market Fund 0.1%       
T. Rowe Price Reserve Investment Fund, 3.79% #†  4,136,612    4,137 
Total Short-Term Investments (Cost $4,137)      4,137 
 
Total Investments in Securities       
99.9% of Net Assets (Cost $6,810,779)    $  8,969,694 
(1)  Denominated in U.S. dollars unless otherwise noted 
#  Seven-day yield 
*  Non-income producing 
  Affiliated company - See Note 3 
ADR  American Depository Receipts 
AUD  Australian dollar 
CHF  Swiss franc 
KRW  South Korean won 

The accompanying notes are an integral part of this Portfolio of Investments.





T. ROWE PRICE BLUE CHIP GROWTH FUND    
Unaudited September 30, 2005 
NOTES TO PORTFOLIO OF INVESTMENTS
   

NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES

T. Rowe Price Blue Chip Growth Fund, Inc. (the fund) is registered under the Investment Company Act of 1940 (the 1940 Act) as a diversified, open-end management investment company. The fund seeks to provide long-term capital growth. Income is a secondary objective.

The accompanying portfolio of investments was prepared in accordance with accounting principles generally accepted in the United States of America, which require the use of estimates made by fund management. Fund management believes that estimates and security valuations are appropriate; however actual results may differ from those estimates, and the security valuations reflected in the portfolio of investments may differ from the value the fund receives upon sale of the securities.

Valuation

The fund values its investments and computes its net asset value per share at the close of the New York Stock Exchange (NYSE), normally 4 p.m. ET, each day that the NYSE is open for business. Equity securities listed or regularly traded on a securities exchange or in the over-the-counter market are valued at the last quoted sale price or, for certain markets, the official closing price at the time the valuations are made, except for OTC Bulletin Board securities, which are valued at the mean of the latest bid and asked prices. A security that is listed or traded on more than one exchange is valued at the quotation on the exchange determined to be the primary market for such security. Listed securities not traded on a particular day are valued at the mean of the latest bid and asked prices for domestic securities and the last quoted sale price for international securities.

Investments in mutual funds are valued at the mutual fund's closing net asset value per share on the day of valuation.

Other investments and those for which the above valuation procedures are inappropriate or are deemed not to reflect fair value are stated at fair value as determined in good faith by the T. Rowe Price Valuation Committee, established by the fund's Board of Directors.

Most foreign markets close before the close of trading on the NYSE. If the fund determines that developments between the close of a foreign market and the close of the NYSE will, in its judgment, materially affect the value of some or all of its portfolio securities, which in turn will affect the fund's share price, the fund will adjust the previous closing prices to reflect the fair value of the securities as of the close of the NYSE, as determined in good faith by the T. Rowe Price Valuation Committee, established by the fund's Board of Directors. A fund may also fair value securities in other situations, such as when a particular foreign market is closed but the fund is open. In deciding whether to make fair value adjustments, the fund reviews a variety of factors, including developments in foreign markets, the performance of U.S. securities markets, and the performance of instruments trading in U. S. markets that represent foreign securities and baskets of foreign securities. The fund uses outside pricing services to provide it with closing market prices and information used for adjusting those prices. The fund cannot predict when and how often it will use closing prices and when it will adjust those prices to reflect fair value. As a means of evaluating its fair value process, the fund routinely compares closing market prices, the next day's opening prices in the same markets, and adjusted prices.

Investment Transactions

Investment transactions are accounted for on the trade date.

NOTE 2 - FEDERAL INCOME TAXES

At September 30, 2005, the cost of investments for federal income tax purposes was $6,810,779,000. Net unrealized gain aggregated $2,158,919,000 at period-end, of which $2,226,767,000 related to appreciated investments and $67,848,000 related to depreciated investments.

NOTE 3 - RELATED PARTY TRANSACTIONS

The fund may invest in the T. Rowe Price Reserve Investment Fund and the T. Rowe Price Government Reserve Investment Fund (collectively, the Reserve Funds), open-end management investment companies managed by Price Associates and affiliates of the fund. The T. Rowe Price Reserve Funds are offered as cash management options to mutual funds, trusts, and other accounts managed by Price Associates and/or its affiliates, and are not available for direct purchase by members of the public. The T. Rowe Price Reserve Funds pay no investment management fees. During the nine months ended September 30, 2005, dividend income from the T. Rowe Price Reserve Funds totaled $495,000, and the value of shares of the T. Rowe Price Reserve Funds held at September 30, 2005 and December 31, 2004 was $4,137,000 and $69,489,000, respectively.





Item 2. Controls and Procedures.

(a) The registrant's principal executive officer and principal financial officer have evaluated the registrant's disclosure controls and procedures within 90 days of this filing and have concluded that the registrant's disclosure controls and procedures were effective, as of that date, in ensuring that information required to be disclosed by the registrant in this Form N-Q was recorded, processed, summarized, and reported timely.

(b) The registrant's principal executive officer and principal financial officer are aware of no change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting.

Item 3. Exhibits.

Separate certifications by the registrant's principal executive officer and principal financial officer, pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 and required by Rule 30a-2(a) under the Investment Company Act of 1940, are attached.





SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

T. Rowe Price Blue Chip Growth Fund, Inc.

By /s/ James S. Riepe 
  James S. Riepe
  Principal Executive Officer
 
Date November 18, 2005

Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

By  /s/ James S. Riepe 
  James S. Riepe 
  Principal Executive Officer 
 
Date  November 18, 2005 
 
 
 
By  /s/ Joseph A. Carrier 
Joseph A. Carrier
  Principal Financial Officer 
 
Date  November 18, 2005 

EX-99.CERT 2 bcg_cert.htm 302 CERTIFICATION~ BLUE CHIP GROWTH FUND 302 Certification~ Dividend Growth Fund
 Item 3.     
 
CERTIFICATIONS
 
 I, James S. Riepe, certify that:   
 
 1.  I have reviewed this report on Form N-Q of T. Rowe Price Blue Chip Growth Fund, Inc.; 
 
 2.  Based on my knowledge, this report does not contain any untrue statement of a material fact or omit 
 
to state a material fact necessary to make the statements made, in light of the circumstances under 
  which such statements were made, not misleading with respect to the period covered by this report; 
 
 3. 
Based on my knowledge, the schedules of investments included in this report fairly present in all 
 
material respects the investments of the registrant as of the end of the fiscal quarter for which the 
  report is filed;   
 
 4.  The registrant's other certifying officer(s) and I are responsib le for establishing and maintaining 
  disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act 
  of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the 
  Investment Company Act of 1940) for the registrant and have: 
 
         (a)  Designed such disclosure controls and procedures, or caused such disclosure controls and 
    procedures to be designed under our supervision, to ensure that material information relating 
    to the registrant, including its consolidated subsidiaries, is made known to us by others 
    within those entities, particularly during the period in which this report is being prepared; 
 
         (b)  Designed such internal control over financial reporting, or caused such internal control over 
    financial reporting to be designed under our supervision, to provide reasonable assurance 
    regarding the reliability of financial reporting and the preparation of financial statements for 
external purposes in accordance with generally accepted accounting principles;
 
         (c)  Evaluated the effectiveness of the registrant's disclosure controls and procedures and 
    presented in this report our conclusions about the effectiveness of the disclosure controls and 
    procedures, as of a date within 90 days prior to the filing date of this report, based on such 
    evaluation; and   
 
         (d)  Disclosed in this report any change in the registrant's internal control over financial reporting 
    that occurred during the registrant's most recent fiscal quarter that has materially affected, or 
    is reasonably likely to materially affect, the registrant's internal control over financial 
    reporting; and   
 
 5. 
The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the 
  audit committee of the registrant's board of directors (or persons performing the equivalent 
  functions):   
 
         (a)  All significant deficiencies and material weaknesses in the design or operation of internal 
    control over financial reporting which are reasonably likely to adversely affect the 
    registrant's ability to record, process, summarize, and report financial information; and 
 
         (b)  Any fraud, whether or not material, that involves management or other employees who have 
    a significant role in the registrant's internal control over financial reporting. 
 
 
 
Date: November 18, 2005 
/s/ James S. Riepe 
     
James S. Riepe 
     
Principal Executive Officer 
 
 
BCG       







CERTIFICATIONS
 
 I, Joseph A. Carrier, certify that:   
 
 1.  I have reviewed this report on Form N-Q of T. Rowe Price Blue Chip Growth Fund, Inc.; 
 
 2.  Based on my knowledge, this report does not contain any untrue statement of a material fact or omit 
 
to state a material fact necessary to make the statements made, in light of the circumstances under 
  which such statements were made, not misleading with respect to the period covered by this report; 
 
 3. 
Based on my knowledge, the schedules of investments included in this report fairly present in all 
 
material respects the investments of the registrant as of the end of the fiscal quarter for which the 
  report is filed;   
 
 4.  The registrant's other certifying officer(s) and I are responsible for establishing and maintaining 
  disclosure controls and procedures (as defined in rule 30a-3(c) under the Investment Company Act 
  of 1940) and internal control over financial reporting (as defined in Rule 30a-3(d) under the 
  Investment Company Act of 1940) for the registrant and have: 
 
         (a)  Designed such disclosure controls and procedures, or caused such disclosure controls and 
    procedures to be designed under our supervision, to ensure that material information relating 
    to the registrant, including its consolidated subsidiaries, is made known to us by others 
    within those entities, particularly during the period in which this report is being prepared; 
 
         (b)  Designed such internal control over financial reporting, or caused such internal control over 
    financial reporting to be designed under our supervision, to provide reasonable assurance 
    regarding the reliability of financial reporting and the preparation of financial statements for 
external purposes in accordance with generally accepted accounting principles;
 
         (c)  Evaluated the effectiveness of the registrant's disclosure controls and procedures and 
    presented in this report our conclusions about the effectiveness of the disclosure controls and 
    procedures, as of a date within 90 days prior to the filing date of this report, based on such 
    evaluation; and   
 
         (d)  Disclosed in this report any change in the registrant's internal control over financial reporting 
    that occurred during the registrant's most recent fiscal quarter that has materially affected, or 
    is reasonably likely to materially affect, the registrant's internal control over financial 
    reporting; and   
 
 5. 
The registrant's other certifying officer(s) and I have disclosed to the registrant's auditors and the 
  audit committee of the registrant's board of directors (or persons performing the equivalent 
  functions):   
 
         (a)  All significant deficiencies and material weaknesses in the design or operation of internal 
    control over financial reporting which are reasonably likely to adversely affect the 
    registrant's ability to record, process, summarize, and report financial information; and 
 
         (b)  Any fraud, whether or not material, that involves management or other employees who have 
    a significant role in the registrant's internal control over financial reporting. 
 
 
 
Date: November 18, 2005 
/s/ Joseph A. Carrier 
     
Joseph A. Carrier 
     
Principal Financial Officer 
 
 
BCG       

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