N-Q 1 c92371nvq.txt QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM N-Q QUARTERLY SCHEDULE OF PORTFOLIO HOLDINGS OF REGISTERED MANAGEMENT INVESTMENT COMPANIES Investment Company Act file number 811-08236 --------- Northern Funds ----------------------------------------- (Exact name of registrant as specified in charter) 50 South LaSalle Street Chicago, IL 60675 ------------------------------------ (Address of principal executive offices) (Zip code) Lloyd A. Wennlund, President Northern Funds 50 South LaSalle Street Chicago, IL 60675 ------------------------------------ (Name and address of agent for service) Registrant's telephone number, including area code: (312) 557-2790 -------------- Date of fiscal year end: March 31 -------- Date of reporting period: December 31, 2004 ----------------- Form N-Q is to be used by management investment companies, other than small business investment companies registered on Form N-5 (Sections 239.24 and 274.5 of this chapter), to file reports with the Commission, not later than 60 days after the close of the first and third fiscal quarters, pursuant to rule 30b1-5 under the Investment Company Act of 1940 (17 CFR 270.30b1-5). The Commission may use the information provided on Form N-Q in its regulatory, disclosure review, inspection and policymaking roles. A registrant is required to disclose the information specified by Form N-Q, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-Q unless the Form displays a currently valid Office of Management and Budget ("OMB") control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to the Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. Section 3507. ITEM 1. SCHEDULE OF INVESTMENTS. The registrant's schedule of investments pursuant to Rule 30b1-5 under the Investment Company Act of 1940, as amended (the "1940 Act"), is as follows: EQUITY FUNDS SCHEDULE OF INVESTMENTS GROWTH EQUITY FUND
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 98.3% AEROSPACE/DEFENSE - 1.8% United Technologies Corp. 135,700 $ 14,025 -------- -------- AUTO MANUFACTURERS - 0.7% PACCAR, Inc. 72,725 5,853 -------- ------- AUTO PARTS & EQUIPMENT - 1.2% Johnson Controls, Inc. 144,900 9,192 -------- ------- BANKS - 1.8% Bank of America Corp. 305,900 14,374 -------- ------- BEVERAGES - 2.1% PepsiCo, Inc. 322,200 16,819 -------- ------- BIOTECHNOLOGY - 2.2% Amgen, Inc. * 267,150 17,138 -------- ------- CHEMICALS - 3.7% du Pont (E.I.) de Nemours & Co. 266,200 13,057 Praxair, Inc. 364,700 16,102 -------- ------- 29,159 -------- ------- COMMERCIAL SERVICES - 1.0% Accenture Ltd., Class A * 292,750 7,904 -------- ------- COMPUTERS - 2.8% Dell, Inc. * 190,900 8,045 EMC Corp. of Massachusetts * 929,000 13,814 -------- ------- 21,859 -------- ------- DIVERSIFIED FINANCIAL SERVICES - 10.5% American Express Co. 212,525 11,980 Citigroup, Inc. 350,125 16,869 Franklin Resources, Inc. 126,625 8,819 Goldman Sachs Group, Inc. 122,150 12,709 Lehman Brothers Holdings, Inc. 89,725 7,849 MBNA Corp. 589,550 16,619 Morgan (J.P.) Chase & Co. 193,716 7,557 -------- ------- 82,402 -------- ------- ELECTRIC - 2.2% Dominion Resources, Inc. of Virginia 134,775 9,130 Exelon Corp. 187,225 8,251 -------- ------- 17,381 -------- ------- ELECTRONICS - 1.9% Flextronics International Ltd. * 628,475 8,686 Gentex Corp. 167,675 6,207 -------- ------- 14,893 -------- ------- ENGINEERING & CONSTRUCTION - 1.2% Jacobs Engineering Group, Inc. * 191,950 9,173 -------- ------- ENTERTAINMENT - 0.5% International Game Technology 119,450 4,107 -------- ------- FOOD - 1.1% Sysco Corp. 233,875 8,927 -------- ------- HEALTHCARE - PRODUCTS - 6.8% Alcon, Inc. 127,100 10,244 Dentsply International, Inc. 137,925 7,752 Guidant Corp. 138,575 9,991 Medtronic, Inc. 84,875 4,216 St. Jude Medical, Inc. * 220,150 9,231 Zimmer Holdings, Inc. * 150,600 12,066 -------- ------- 53,500 -------- ------- HEALTHCARE - SERVICES - 0.6% Aetna, Inc. 39,025 4,868 -------- ------- INSURANCE - 8.3% AMBAC Financial Group, Inc. 138,150 11,346 American International Group, Inc. 256,600 16,851 Everest Re Group Ltd. 104,725 9,379 Hartford Financial Services Group, Inc. 245,625 17,024 Prudential Financial, Inc. 183,475 10,084 -------- ------- 64,684 -------- ------- LEISURE TIME - 1.5% Carnival Corp. 202,900 11,693 -------- ------- LODGING - 4.8% Harrah's Entertainment, Inc. 117,275 7,845 Las Vegas Sands Corp. * 62,466 2,998 Marriott International, Inc., Class A 230,875 14,540 Starwood Hotels & Resorts Worldwide, Inc. 114,300 6,675 Station Casinos, Inc. 99,025 5,415 -------- ------- 37,473 -------- ------- MACHINERY - DIVERSIFIED - 1.8% Rockwell Automation, Inc. 157,625 7,810 Zebra Technologies Corp., Class A * 115,725 6,513 -------- ------- 14,323 -------- ------- MINING - 0.6% Alcoa, Inc. 143,800 4,518 -------- ------- MISCELLANEOUS MANUFACTURING - 6.5% Eaton Corp. 193,300 13,987 General Electric Co. 757,950 27,665 Tyco International Ltd. 262,000 9,364 -------- ------- 51,016 -------- -------
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 98.3% - CONTINUED OIL & GAS - 7.0% Apache Corp. 263,625 $ 13,332 BP PLC ADR 181,000 10,570 EnCana Corp. 162,050 9,247 Exxon Mobil Corp. 416,525 21,351 -------- -------- 54,500 -------- -------- OIL & GAS SERVICES - 2.0% BJ Services Co. 173,000 8,052 Smith International, Inc. * 137,975 7,507 -------- -------- 15,559 -------- -------- PHARMACEUTICALS - 4.7% Bristol-Myers Squibb Co. 151,475 3,881 Pfizer, Inc. 536,525 14,427 Sepracor, Inc. * 111,750 6,635 Teva Pharmaceutical Industries Ltd. ADR 404,325 12,073 -------- -------- 37,016 -------- -------- RETAIL - 7.7% Darden Restaurants, Inc. 278,900 7,737 Dick's Sporting Goods, Inc. * 154,525 5,431 Lowe's Cos., Inc. 109,075 6,282 Staples, Inc. 499,175 16,827 Wal-Mart Stores, Inc. 304,325 16,074 Walgreen Co. 206,400 7,920 -------- -------- 60,271 -------- -------- SEMICONDUCTORS - 2.2% Intel Corp. 468,625 10,961 Kla-Tencor Corp. * 139,075 6,478 -------- -------- 17,439 -------- -------- SOFTWARE - 3.6% Cognos, Inc. * 177,750 7,831 Microsoft Corp. 764,275 20,414 -------- -------- 28,245 -------- -------- TELECOMMUNICATIONS - 2.9% Cisco Systems, Inc. * 782,175 15,096 Vodafone Group PLC ADR 284,775 7,797 -------- -------- 22,893 -------- -------- TRANSPORTATION - 2.6% Expeditors International Washington, Inc. 108,525 6,065 United Parcel Service, Inc., Class B 163,250 13,951 -------- -------- 20,016 -------- -------- TOTAL COMMON STOCKS -------- -------- (COST $684,064) 771,220
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- --------- SHORT-TERM INVESTMENT - 1.7% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 12,961 $ 12,961 --------- --------- TOTAL SHORT-TERM INVESTMENT --------- --------- (COST $12,961) 12,961 --------- --------- TOTAL INVESTMENTS - 100.0% --------- --------- (COST $697,025) $ 784,181
* Non-Income Producing Security At December 31, 2004, the Growth Equity Fund had open written call options as follows:
NUMBER VALUE COMMON STOCK/EXPIRATION DATE/EXERCISE PRICE OF CONTRACTS (000S) ------------------------------------------- ------------ -------- Aetna, Inc./January 05/125 (390) $ (101) ---- -------- TOTAL WRITTEN CALL OPTION ---- -------- (COST $115) $ (101)
At December 31, 2004, the industry sectors for the Growth Equity Fund were:
INDUSTRY SECTOR % OF INVESTMENTS -------------------------- ---------------- Consumer Discretionary 13.6% Consumer Staples 6.4 Energy 9.1 Financials 20.9 Health Care 14.6 Industrials 14.0 Information Technology 13.7 Materials 4.4 Telecommunication Services 1.0 Utilities 2.3 ----- Total 100.0%
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS GROWTH EQUITY FUND (continued) Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 697,025 --------- Gross tax appreciation of investments $ 111,796 Gross tax depreciation of investments (24,640) --------- Net tax appreciation of investments $ 87,156 ---------
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS GROWTH OPPORTUNITIES FUND
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% ADVERTISING - 1.8% Getty Images, Inc. * 2,800 $ 193 ------- ------ AEROSPACE/DEFENSE - 2.8% Esterline Technologies Corp. * 3,300 108 L-3 Communications Holdings, Inc. 2,500 183 ------- ------ 291 ------- ------ APPAREL - 2.2% Coach, Inc. * 2,400 136 Quiksilver, Inc. * 3,300 98 ------- ------ 234 ------- ------ BANKS - 1.4% East-West Bancorp, Inc. 3,500 147 ------- ------ BIOTECHNOLOGY - 1.3% Biogen Idec, Inc. * 2,100 140 ------- ------ COMMERCIAL SERVICES - 6.5% Alliance Data Systems Corp. * 3,200 152 Bright Horizons Family Solutions, Inc. * 1,600 103 ChoicePoint, Inc. * 2,300 106 Corporate Executive Board Co. 1,500 100 iPayment, Inc. * 2,600 129 Labor Ready, Inc. * 5,200 88 ------- ------ 678 ------- ------ COMPUTERS - 2.6% Manhattan Associates, Inc. * 3,000 71 Research In Motion Ltd. * 2,400 198 ------- ------ 269 ------- ------ ELECTRONICS - 2.7% Flextronics International Ltd. * 8,600 119 Symbol Technologies, Inc. 9,600 166 ------- ------ 285 ------- ------ ENTERTAINMENT - 3.0% Great Wolf Resorts, Inc. * 7,000 157 Penn National Gaming, Inc. * 2,500 151 ------- ------ 308 ------- ------ FOOD - 0.8% United Natural Foods, Inc. * 2,800 87 ------- ------ HEALTHCARE - PRODUCTS - 13.1% Advanced Medical Optics, Inc. * 2,500 103 American Medical Systems Holdings, Inc. * 2,500 105 Cooper Cos., Inc. 1,600 113 Gen-Probe, Inc. * 3,300 149 IDEXX Laboratories, Inc. * 2,200 120 Inamed Corp. * 2,500 158 Patterson Cos., Inc. * 2,800 122 Respironics, Inc. * 1,900 103 Sybron Dental Specialties, Inc. * 4,600 163 Zimmer Holdings, Inc. * 2,900 232 ------- ------ 1,368 ------- ------ HEALTHCARE - SERVICES - 1.7% Pediatrix Medical Group, Inc. * 1,500 96 Psychiatric Solutions, Inc. * 2,100 77 ------- ------ 173 ------- ------ INSURANCE - 1.5% Everest Re Group Ltd. 1,700 152 ------- ------ INTERNET - 2.2% eBay, Inc. * 1,400 163 Shopping.com Ltd. * 2,500 70 ------- ------ 233 ------- ------ IRON/STEEL - 1.0% Reliance Steel & Aluminum Co. 2,800 109 ------- ------ LEISURE TIME - 1.3% Life Time Fitness, Inc. * 5,100 132 ------- ------ LODGING - 3.6% La Quinta Corp. * 15,300 139 Las Vegas Sands Corp. * 1,800 87 Station Casinos, Inc. 2,800 153 ------- ------ 379 ------- ------ MACHINERY - CONSTRUCTION & MINING - 1.5% Caterpillar, Inc. 1,600 156 ------- ------ MACHINERY - DIVERSIFIED - 2.5% Rockwell Automation, Inc. 2,400 119 Zebra Technologies Corp., Class A * 2,600 146 ------- ------ 265 ------- ------ MINING - 0.7% Freeport-McMoRan Copper & Gold, Inc., Class B 2,000 76 ------- ------ MISCELLANEOUS MANUFACTURING - 2.9% Danaher Corp. 2,900 167 Dover Corp. 3,300 138 ------- ------ 305 ------- ------ OIL & GAS - 3.3% Apache Corp. 3,700 187 Bill Barrett Corp. * 998 32
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED OIL & GAS - 3.3% - (CONTINUED) Southwestern Energy Co. * 2,400 $ 122 ------- ------ 341 ------- ------ OIL & GAS SERVICES - 3.8% Cal Dive International, Inc. * 4,400 179 Smith International, Inc. * 2,600 142 Veritas DGC, Inc. * 3,400 76 ------- ------ 397 ------- ------ PACKAGING & CONTAINERS - 1.1% Greif Inc., Class A 2,100 118 ------- ------ PHARMACEUTICALS - 4.1% Gilead Sciences, Inc. * 3,000 105 Teva Pharmaceutical Industries Ltd. ADR 7,600 227 VCA Antech, Inc. * 4,800 94 ------- ------ 426 ------- ------ REITS - 1.6% Centerpoint Properties Corp. 3,400 163 ------- ------ RETAIL - 6.8% Aeropostale, Inc. * 3,400 100 BJ's Wholesale Club, Inc. * 5,300 154 Copart, Inc. * 4,100 108 Dick's Sporting Goods, Inc. * 4,200 148 McDonald's Corp. 3,400 109 Petsmart, Inc. 2,600 92 ------- ------ 711 ------- ------ SEMICONDUCTORS - 0.7% Integrated Circuit Systems, Inc. * 3,500 73 ------- ------ SOFTWARE - 9.6% Ansys, Inc. * 4,000 128 Autodesk, Inc. 3,600 137 Certegy, Inc. 4,600 163 Cognos, Inc. * 5,300 234 Global Payments, Inc. 2,100 123 Hyperion Solutions Corp. * 4,600 214 ------- ------ 999 ------- ------ TELECOMMUNICATIONS - 8.5% Adtran, Inc. 6,900 132 Andrew Corp. * 8,600 117 Nextel Partners, Inc., Class A * 5,200 101 Plantronics, Inc. 2,600 108 QUALCOMM, Inc. 3,600 153 RF Micro Devices, Inc. * 22,100 151 Western Wireless Corp., Class A * 4,300 126 ------ ------ 888 ------ ------ TRANSPORTATION - 1.8% Hunt (J.B.) Transport Services, Inc. 4,100 184 ------ ------ TOTAL COMMON STOCKS ------ ------ (COST $8,374) 10,280
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------ SHORT-TERM INVESTMENT - 1.6% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 172 172 ------- ------- TOTAL SHORT-TERM INVESTMENT ------- ------- (COST $172) 172 ------- ------- TOTAL INVESTMENTS - 100.0% ------- ------- (COST $8,546) $10,452
* Non-Income Producing Security At December 31, 2004, the industry sectors for the Growth Opportunities Fund were:
INDUSTRY SECTOR % OF INVESTMENTS -------------------------- ---------------- Consumer Discretionary 18.1% Consumer Staples 2.3 Energy 7.2 Financials 4.5 Health Care 20.5 Industrials 16.2 Information Technology 27.1 Materials 1.9 Telecommunication Services 2.2 ------------- Total 100.0%
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS GROWTH OPPORTUNITIES FUND (continued) Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 8,546 -------- Gross tax appreciation of investments $ 1,965 Gross tax depreciation of investments (59) -------- Net tax appreciation of investments $ 1,906 --------
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS INCOME EQUITY FUND
NUMBER VALUE OF SHARES (000S) --------- --------- COMMON STOCKS - 38.8% AGRICULTURE - 2.3% Altria Group, Inc. 60,000 $ 3,666 UST, Inc. 95,000 4,570 -------- --------- 8,236 -------- --------- BANKS - 1.1% Bank of America Corp. 80,000 3,759 -------- --------- BEVERAGES - 1.5% Coca-Cola (The) Co. 35,000 1,457 Coors (Adolph) Co., Class B 50,000 3,784 -------- --------- 5,241 -------- --------- BIOTECHNOLOGY - 0.7% Amgen, Inc. * 25,000 1,604 Vertex Pharmaceuticals, Inc. * 100,000 1,057 -------- --------- 2,661 -------- -------- COMMERCIAL SERVICES - 4.1% Coinmach Service Corp., * 403,000 5,521 Donnelley (R.R.) & Sons Co. 70,000 2,470 H&R Block, Inc. 65,000 3,185 Macquarie Infastructure * 120,000 3,522 -------- --------- 14,698 -------- --------- COMPUTERS - 2.0% Hewlett-Packard Co. 200,000 4,194 International Business Machines Corp. 30,000 2,957 -------- --------- 7,151 -------- --------- COSMETICS/PERSONAL CARE - 0.6% Colgate-Palmolive Co. 40,000 2,046 -------- --------- DIVERSIFIED FINANCIAL SERVICES - 0.5% Freddie Mac 25,000 1,843 -------- --------- ELECTRIC - 0.9% Scottish Power PLC ADR 100,000 3,116 -------- --------- FOOD - 2.1% Albertson's, Inc. 100,000 2,388 B&G Fold Holdings Corp. * 330,000 4,943 -------- --------- 7,331 -------- --------- HAND/MACHINE TOOLS - 1.2% Black & Decker Corp. 50,000 4,417 -------- --------- HEALTHCARE - PRODUCTS - 1.0% Johnson & Johnson 55,000 3,488 -------- --------- HOME BUILDERS - 0.4% KB HOME 15,000 1,566 -------- --------- INSURANCE - 1.1% Prudential Financial, Inc. 73,500 $ 4,040 -------- --------- MEDIA - 0.9% Disney (Walt) Co. 80,000 2,224 EchoStar Communications Corp., Class A * 30,000 997 -------- --------- 3,221 -------- --------- MISCELLANEOUS MANUFACTURING - 0.6% General Electric Co. 60,000 2,190 -------- --------- OIL & GAS - 9.0% Apache Corp. 80,000 4,045 BP PLC ADR 60,000 3,504 Burlington Resources, Inc. 100,000 4,350 ChevronTexaco Corp. 76,000 3,991 ConocoPhillips 48,000 4,168 Devon Energy Corp. 114,000 4,437 Marathon Oil Corp. 80,000 3,009 Royal Dutch Petroleum Co. - New York Shares 76,000 4,361 -------- --------- 31,865 -------- --------- PHARMACEUTICALS - 3.1% Abbott Laboratories 50,000 2,333 Bristol-Myers Squibb Co. 100,000 2,562 GlaxoSmithKline PLC ADR 90,000 4,265 Pfizer, Inc. 70,000 1,882 -------- --------- 11,042 -------- --------- REITS - 1.3% ProLogis 45,000 1,950 Simon Property Group, Inc. 40,000 2,587 -------- --------- 4,537 -------- --------- SOFTWARE - 0.9% Microsoft Corp. 125,000 3,339 -------- --------- TELECOMMUNICATIONS - 3.5% AT&T Corp. 150,000 2,859 Nokia OYJ ADR 150,000 2,350 Sprint Corp. (FON Group) 135,000 3,355 Vodafone Group PLC ADR 140,000 3,833 -------- --------- 12,397 -------- --------- TOTAL COMMON STOCKS -------- --------- (COST $119,654) 138,184
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- -------- CONVERTIBLE PREFERRED STOCKS - 27.1% AUTO MANUFACTURERS - 2.7% Ford Motor Co. Capital Trust II, 6.50% 115,000 $ 6,071 General Motors Corp., 6.25% 130,000 3,466 -------- -------- 9,537 -------- -------- BANKS - 0.8% Marshall & llsley Corp., 6.50% 100,000 2,841 -------- -------- BEVERAGES - 2.1% Constellation Brands, Inc., 5.75% 200,000 7,524 -------- -------- COMMERCIAL SERVICES - 1.2% United Rentals Trust I, 6.50% 100,000 4,312 -------- -------- DIVERSIFIED FINANCIAL SERVICES - 1.7% Capital One Financial Corp., 6.25% 60,000 3,386 Lehman Brothers Holdings, Inc., 6.25% 100,000 2,700 -------- -------- 6,086 -------- -------- ELECTRIC - 2.8% Cinergy Corp., 9.50% 40,000 2,536 FPL Group, Inc., 8.50% 100,000 6,151 NRG Energy, Inc., 4.00% (1) 1,000 1,100 -------- -------- 9,787 -------- -------- FOOD - 1.0% Albertson's, Inc., 7.25% 140,000 3,556 -------- -------- HEALTHCARE - PRODUCTS - 0.8% Baxter International, Inc., 7.00% 50,000 2,823 -------- -------- INSURANCE - 2.5% Chubb Corp., Series A, 7.00% 40,000 1,184 Chubb Corp., Series B, 7.00% 15,000 450 Conseco, Inc., 5.50% 50,000 1,325 Genworth Financial, Inc., 6.00% 50,000 1,620 Travelers Property Casualty Corp., 4.50% 180,000 4,145 -------- -------- 8,724 -------- -------- MACHINERY - DIVERSIFIED - 2.4% Cummins Capital Trust I, 7.00% (1) 95,000 8,681 -------- -------- OIL & GAS - 0.3% Chesapeake Energy Corp., 5.00% 10,000 1,224 -------- -------- PHARMACEUTICALS - 2.0% Omnicare, Inc., 4.00% 25,000 1,379 Schering-Plough Corp., 6.00% 100,000 5,610 -------- -------- 6,989 -------- -------- REITS - 1.7% Ramco-Gershenson Properties, 7.95% 176,500 6,040 -------- -------- RETAIL - 2.2% Toys R US, Inc., 6.25% 150,000 7,950 -------- -------- SAVINGS & LOANS - 2.2% Sovereign Capital Trust II, 4.38% 100,000 4,875 Washington Mutual, Inc., 5.38% 50,000 2,792 -------- -------- 7,667 -------- -------- TELECOMMUNICATIONS - 0.7% Alltel Corp., 7.75% 50,000 2,645 -------- -------- TOTAL CONVERTIBLE PREFERRED STOCKS -------- -------- (COST $81,254) 96,386
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------ CONVERTIBLE BONDS - 27.7% AUTO PARTS & EQUIPMENT - 2.8% Goodyear Tire & Rubber Co/The, (1) 4.00%, 6/15/34 $ 7,000 10,080 -------- ------ BIOTECHNOLOGY - 1.2% Amgen, Inc. 0.00%, 3/1/32 6,000 4,463 -------- ------ COMPUTERS - 0.6% Mentor Graphics Corp., 6.88%, 6/15/07 2,000 2,090 -------- ------ DIVERSIFIED FINANCIAL SERVICES - 0.6% IOS Capital LLC, (1) 5.00%, 5/1/07 2,000 2,045 -------- ------ HEALTHCARE - PRODUCTS - 0.6% Conmed Corp. (1) 2.50%, 11/15/24 2,100 2,184 -------- ------ HEALTHCARE - SERVICES - 0.8% Health Management Associates, Inc., (1) 1.50%, 8/1/23 2,625 2,756 -------- ------ HOUSEHOLD PRODUCTS/WARES - 1.8% Church & Dwight, Inc., (1) 5.25%, 8/15/33 5,000 6,538 -------- ------ INSURANCE - 2.8% AON Corp., 3.50%, 11/15/12 4,000 4,945 Radian Group, Inc., 2.25%, 1/1/22 5,000 5,075 -------- ------ 10,020 -------- ------
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS INCOME EQUITY FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- CONVERTIBLE BONDS - 27.7% - CONTINUED MACHINERY - DIVERSIFIED - 2.0% AGCO Corp. 1.75%, 12/31/33 $ 6,000 $ 7,028 -------- -------- MEDIA - 2.0% Liberty Media Corp., 0.75%, 3/30/23 4,000 4,815 Walt Disney Co., 2.13%, 4/15/23 2,000 2,227 -------- -------- 7,042 -------- -------- MINING - 2.1% AngloGold Holdings PLC, (1) 2.38%, 2/27/09 4,000 3,847 Freeport-McMoRan Copper & Gold, Inc., (1) 7.00%, 2/11/11 2,500 3,747 -------- -------- 7,594 -------- -------- MISCELLANEOUS MANUFACTURING - 4.0% Eastman Kodak Co., 3.38%, 10/15/33 (1) 2,000 2,512 3.38%, 10/15/33 4,000 5,024 Tyco International Group S.A., 2.75%, 1/15/18 (1) 1,000 1,598 2.75%, 1/15/18 1,000 1,598 3.13%, 1/15/23 (1) 1,000 1,689 3.13%, 1/15/23 1,000 1,689 -------- -------- 14,110 -------- -------- OIL & GAS - 0.6% Devon Energy Corp., 4.90%, 8/15/08 2,000 2,185 -------- -------- REITS - 0.2% Host Marriott LP, (1) 3.25%, 4/15/24 500 575 -------- -------- RETAIL - 2.1% CBRL Group, Inc., 0.00%, 4/3/32 6,000 3,060 PEP Boys - Manny Joe & Jack, 4.25%, 6/1/07 4,500 4,573 -------- -------- 7,633 -------- -------- SEMICONDUCTORS - 1.1% International Rectifier Corp., 4.25%, 7/15/07 4,000 3,940 -------- -------- TELECOMMUNICATIONS - 2.4% CenturyTel, Inc., 4.75%, 8/1/32 3,000 3,341 Nextel Communications, Inc., 5.25%, 1/15/10 5,000 5,125 -------- -------- 8,466 -------- -------- TOTAL CONVERTIBLE BONDS -------- -------- (COST $90,365) 98,749
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- SHORT-TERM INVESTMENT- 6.4% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 22,737 22,737 --------- -------- TOTAL SHORT-TERM INVESTMENT --------- -------- (COST $22,737) 22,737 --------- -------- TOTAL INVESTMENTS - 100.0% --------- -------- (COST $314,010) $356,056
(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available in accordance with procedures established by the Trustees of Northern Funds. At December 31, 2004, the value of these securities amounted to approximately $47,352,000 or 13.3% of total investments. * Non-Income Producing Security EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED) At December 31, 2004, the industry sectors for the Income Equity Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Communications 3.1% Consumer Discretionary 22.5 Consumer Staples 8.8 Energy 10.6 Financials 16.0 Health Care 11.0 Industrials 10.3 Information Technology 5.6 Materials 1.1 Telecommunication Services 7.1 Utilities 3.9 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $314,010 -------- Gross tax appreciation of investments $ 44,184 Gross tax depreciation of investments (2,138) -------- Net tax appreciation of investments $ 42,046 --------
NORTHERN FUNDS QUARTERLY REPORT 4 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS INTERNATIONAL GROWTH EQUITY FUND
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 100.0% AUSTRALIA - 2.7% AMP Ltd. 2,089,524 $ 11,888 John Fairfax Holdings Ltd. 4,297,693 15,324 Telstra Corp. Ltd. 294,753 1,134 --------- -------- 28,346 --------- -------- BELGIUM - 1.0% Belgacom S.A. * 238,243 10,298 --------- -------- CHINA - 0.2% PetroChina Co. Ltd. 3,396,000 1,814 --------- -------- FINLAND - 1.7% UPM-Kymmene OYJ 826,800 18,386 --------- -------- FRANCE - 10.4% AXA 616,398 15,232 Bouygues 312,626 14,448 Credit Agricole S.A. 513,794 15,504 Sanofi-Aventis 224,232 17,922 Societe Generale 200,166 20,257 Total S.A. 11,171 2,440 Veolia Environment 618,835 22,400 Vivendi Universal S.A. 50,901 1,625 --------- -------- 109,828 --------- -------- GERMANY - 12.4% Allianz A.G. (Registered) 138,608 18,388 Altana A.G. 16,392 1,036 Deutsche Boerse A.G. 17,090 1,029 Deutsche Post A.G. (Registered) 707,938 16,263 Deutsche Telekom A.G. (Registered) 521,681 11,807 Henkel KGaA - Preferred 11,581 1,007 Linde A.G. 297,531 18,628 Metro A.G. 315,372 17,357 RWE A.G. 277,842 15,371 SAP A.G. 82,764 14,782 Volkswagen A.G. 337,276 15,289 --------- -------- 130,957 --------- -------- ITALY - 4.3% Alleanza Assicurazioni S.p.A. 1,201,851 16,777 ENI S.p.A. 380,968 9,539 Sanpaolo IMI S.p.A. 1,221,990 17,607 Snam Rete Gas S.p.A 210,103 1,222 --------- -------- 45,145 --------- -------- JAPAN - 24.5% Ajinomoto Co., Inc. 1,252,000 14,906 Asahi Glass Co. Ltd. 1,633,000 18,008 Bank of Yokohama (The) Ltd. 1,661,000 10,472 Canon, Inc. 21,000 1,133 Chugai Pharmaceutical Co. Ltd. 1,055,700 17,453 Daiwa House Industry Co. Ltd. 1,206,000 13,711 Fuji Television Network, Inc. 3,942 8,540 Hitachi Ltd. 2,252,000 15,604 Ito-Yokado Co. Ltd. 413,000 17,331 Komatsu Ltd. 213,000 1,490 Mitsui Mining & Smelting Co. Ltd. 4,108,000 18,121 Mizuho Financial Group, Inc. 4,806 24,201 Nippon Telegraph & Telephone Corp. 4,184 18,783 Sony Corp. 404,400 15,628 Terumo Corp. 597,400 16,091 Tokyo Electric Power Co., Inc. 38,800 952 JS Group Corp. 962,700 17,484 West Japan Railway Co. 3,751 15,155 Yamaha Corp. 58,700 896 Yamanouchi Pharmaceutical Co. Ltd. 21,500 837 Yokogawa Electric Corp. 886,400 11,851 --------- -------- 258,647 --------- -------- LUXEMBOURG - 2.1% Arcelor 956,514 22,064 --------- -------- NETHERLANDS - 2.0% ASML Holding N.V. * 1,134,147 18,206 Koninklijke Philips Electronics N.V. 51,421 1,364 Royal KPN N.V. 107,994 1,026 --------- -------- 20,596 --------- -------- NORWAY - 2.0% DnB Holding ASA 2,072,600 20,447 Yara International ASA 38,673 509 --------- -------- 20,956 --------- -------- SPAIN - 1.7% Acerinox S.A. 78,060 1,253 ACS Actividades Cons y Serv 22,929 524 Banco de Sabadell S.A. 695,310 16,256 --------- -------- 18,033 --------- -------- SWEDEN - 2.1% Atlas Copco AB, Class A 32,058 1,447 Skandinaviska Enskilda Banken, Class A 1,051,702 20,338 --------- -------- 21,785 --------- --------
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ---------- COMMON STOCKS - 100.0% - CONTINUED SWITZERLAND - 9.0% Adecco S.A. (Registered) 22,217 $ 1,119 Logitech International S.A. (Registered) * 201,690 12,329 Novartis A.G. (Registered) 466,436 23,508 Swiss Reinsurance (Registered) 8,355 596 Syngenta A.G. 240,308 25,533 UBS A.G. (Registered) 256,200 21,486 Zurich Financial Services A.G. 63,434 10,579 --------- ---------- 95,150 --------- ---------- UNITED KINGDOM - 23.9% ARM Holdings PLC 2,438,465 5,172 Barclays PLC 2,159,923 24,294 BHP Billiton PLC 1,716,860 20,118 BP PLC 1,200,017 11,701 BT Group PLC 5,559,666 21,663 Cable & Wireless PLC 3,696,021 8,460 Centrica PLC 1,677,869 7,609 GKN PLC 2,738,027 12,429 GlaxoSmithKline PLC 777,500 18,236 Hilton Group PLC 1,475,485 8,057 HSBC Holdings PLC 51,762 873 ITV PLC 7,642,865 15,440 Lloyds TSB Group PLC 2,486,902 22,578 Marconi Corp. PLC * 1,338,673 14,453 Marks & Spencer Group PLC 2,325,618 15,311 Rank Group PLC 2,053,886 10,408 Shell Transport & Trading Co. PLC (Registered) 3,655,856 31,156 Unilever PLC 94,520 928 Vodafone Group PLC 914,335 2,479 --------- ---------- 251,365 --------- ---------- TOTAL COMMON STOCKS --------- ---------- (COST $898,421) 1,053,370
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ---------- SHORT-TERM INVESTMENT - 0.0% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 426 $ 426 --------- ---------- TOTAL SHORT-TERM INVESTMENT --------- ---------- (COST $426) 426 TOTAL INVESTMENTS - 100.0% ---------- (COST $898,847) $1,053,796
* Non-Income Producing Security At December 31, 2004, the industry sectors for the International Growth Equity Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Consumer Discretionary 12.7% Consumer Staples 4.9 Energy 5.4 Financials 27.4 Health Care 9.0 Industrials 6.8 Information Technology 8.9 Materials 11.8 Telecommunication Services 8.6 Utilities 4.5 ----- Total 100.0%
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS INTERNATIONAL GROWTH EQUITY FUND (continued) At December 31, 2004, the International Growth Equity Fund's investments were denominated in the following currencies:
CONCENTRATION BY CURRENCY PERCENTAGE ------------------------- ---------- Euro 35.6% Japanese Yen 24.5 British Pound 23.9 Swiss Franc 9.0 All other currencies less than 5% 7.0 ------- Total 100.0%
At December 31, 2004, the International Growth Equity Fund had outstanding forward foreign currency exchange contracts as follows:
AMOUNT IN AMOUNT CONTRACTS (LOCAL EXCHANGE (LOCAL UNREALIZED TO DELIVER CURRENCY) FOR CURRENCY) SETTLEMENT GAIN CURRENCY (000S) CURRENCY (000S) DATE (000S) ---------- --------- -------- --------- ---------- ---------- Japanese U.S. Dollar 1,400 Yen 144,564 1/05/05 $ 11
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $898,847 -------- Gross tax appreciation of investments $159,273 Gross tax depreciation of investments (4,324) -------- Net tax appreciation of investments $154,949 --------
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS LARGE CAP VALUE FUND
NUMBER VALUE OF SHARES (000S) --------- --------- COMMON STOCKS - 96.3% BANKS - 5.3% Comerica, Inc. 220,000 $ 13,425 Mellon Financial Corp. 785,000 24,421 Wachovia Corp. 450,000 23,670 --------- --------- 61,516 --------- --------- BEVERAGES - 2.2% Coca-Cola (The) Co. 603,000 25,103 --------- --------- BUILDING MATERIALS - 2.1% Masco Corp. 660,000 24,110 --------- --------- CHEMICALS - 3.4% Dow Chemical (The) Co. 506,000 25,052 Rohm & Haas Co. 316,000 13,977 --------- --------- 39,029 --------- --------- COMPUTERS - 2.1% Hewlett-Packard Co. 1,143,000 23,969 --------- --------- COSMETICS/PERSONAL CARE - 5.7% Avon Products, Inc. 572,000 22,136 Kimberly-Clark Corp. 333,000 21,915 Procter & Gamble Co. 405,000 22,308 --------- --------- 66,359 --------- --------- DIVERSIFIED FINANCIAL SERVICES - 8.6% CIT Group, Inc. 578,700 26,516 Citigroup, Inc. 503,000 24,234 Morgan (J.P.) Chase & Co. 615,000 23,991 Morgan Stanley 455,000 25,262 --------- --------- 100,003 --------- --------- ELECTRICAL COMPONENTS & EQUIPMENT - 2.1% Emerson Electric Co. 348,000 24,395 --------- --------- FOOD - 2.0% General Mills, Inc. 464,000 23,065 --------- --------- FOREST PRODUCTS & PAPER - 3.6% International Paper Co. 548,000 23,016 MeadWestvaco Corp. 560,000 18,978 --------- --------- 41,994 --------- --------- HEALTHCARE - PRODUCTS - 4.3% Baxter International, Inc. 718,000 24,800 Johnson & Johnson 385,000 24,416 --------- --------- 49,216 --------- --------- HOUSEHOLD PRODUCTS/WARES - 1.7% Avery Dennison Corp. 329,000 19,730 --------- --------- HOUSEWARES - 2.2% Newell Rubbermaid, Inc. 1,031,000 24,940 --------- --------- INSURANCE - 6.2% Allstate (The) Corp. 490,000 25,343 Hartford Financial Services Group, Inc. 369,000 25,575 Lincoln National Corp. 438,000 20,446 --------- --------- 71,364 --------- --------- MACHINERY - CONSTRUCTION & MINING - 2.2% Caterpillar, Inc. 267,000 26,035 --------- --------- MACHINERY - DIVERSIFIED - 1.8% Deere & Co. 283,000 21,055 --------- --------- MEDIA - 2.2% McGraw-Hill Cos. (The), Inc. 279,000 25,540 --------- --------- MINING - 1.6% Alcoa, Inc. 577,000 18,129 --------- --------- MISCELLANEOUS MANUFACTURING - 6.1% 3M Co. 294,000 24,128 General Electric Co. 654,000 23,871 Honeywell International, Inc. 653,000 23,123 --------- --------- 71,122 --------- --------- OFFICE/BUSINESS EQUIPMENT - 1.5% Pitney Bowes, Inc. 383,000 17,725 --------- --------- OIL & GAS - 7.8% ChevronTexaco Corp. 448,000 23,525 ConocoPhillips 286,000 24,833 Exxon Mobil Corp. 505,000 25,886 Royal Dutch Petroleum Co. - New York Shares 270,000 15,493 --------- --------- 89,737 --------- --------- OIL & GAS SERVICES - 2.2% Halliburton Co. 664,000 26,055 --------- --------- PHARMACEUTICALS - 6.9% Abbott Laboratories 545,000 25,424 Bristol-Myers Squibb Co. 1,075,000 27,542 Pfizer, Inc. 980,000 26,352 --------- --------- 79,318 --------- --------- RETAIL - 3.9% Limited Brands 972,000 22,376 Penney (J.C.) Co., Inc. (Holding Co.) 548,000 22,687 --------- --------- 45,063 --------- --------- TELECOMMUNICATIONS - 8.6% Alltel Corp. 401,000 23,563 BellSouth Corp. 885,000 24,594
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ---------- COMMON STOCKS - 96.3% - CONTINUED TELECOMMUNICATIONS - 8.6% - (CONTINUED) Nokia OYJ ADR 1,610,000 $ 25,229 SBC Communications, Inc. 1,000,000 25,770 --------- ---------- 99,156 --------- ---------- TOTAL COMMON STOCKS ---------- (COST $906,041) 1,113,728
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ---------- SHORT-TERM INVESTMENT - 3.7% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 42,961 42,961 --------- ---------- TOTAL SHORT-TERM INVESTMENT ---------- (COST $42,961) 42,961 TOTAL INVESTMENTS - 100.0% ---------- (COST $949,002) $1,156,689
At December 31, 2004, the industry sectors for the Large Cap Value Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Consumer Discretionary 8.6% Consumer Staples 10.3 Energy 10.4 Financials 20.9 Health Care 11.6 Industrials 18.2 Information Technology 4.4 Materials 8.9 Telecommunication Services 6.7 ----- Total 100.0%
Federal Tax Information: As of December 31,2004,the components of investments for federal income tax purposes were as follows: (Amounts in thousands)
Federal tax cost of investments $ 949,002 --------- Gross tax appreciation of investments $ 212,559 Gross tax depreciation of investments (4,872) --------- Net tax appreciation of investments $ 207,687 ---------
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS MID CAP GROWTH FUND
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 98.1% ADVERTISING - 2.6% Getty Images, Inc. * 67,200 $ 4,627 Lamar Advertising Co., Class A * 98,600 4,218 ------- -------- 8,845 ------- -------- AGRICULTURE - 1.7% Bunge Ltd. 98,700 5,627 BANKS - 2.5% East-West Bancorp, Inc. 124,700 5,232 Investors Financial Services Corp. 65,100 3,254 ------- -------- 8,486 ------- -------- BIOTECHNOLOGY - 4.2% Affymetrix, Inc. * 76,600 2,800 Biogen Idec, Inc. * 59,200 3,943 Genzyme Corp. * 70,500 4,094 Serologicals Corp. * 149,800 3,314 ------- -------- 14,151 ------- -------- COMMERCIAL SERVICES - 4.9% ChoicePoint, Inc. * 113,300 5,211 Corporate Executive Board Co. 93,100 6,232 Robert Half International, Inc. 176,400 5,191 ------- -------- 16,634 ------- -------- COSMETICS/PERSONAL CARE - 1.3% Estee Lauder Cos. (The), Inc., Class A 99,800 4,568 ------- -------- DATA PROCESSING - 5.5% Alliance Data Systems Corp. * 88,700 4,211 Certegy, Inc. 149,600 5,315 Global Payments, Inc. 60,500 3,542 NAVTEQ Corp. * 48,600 2,253 Paychex, Inc. 99,500 3,391 ------- -------- 18,712 ------- -------- DISTRIBUTION/WHOLESALE - 1.3% Fastenal Co. 70,700 4,352 ------- -------- DIVERSIFIED FINANCIAL SERVICES - 3.1% Calamos Asset Management, Inc., Class A 110,100 2,973 Legg Mason, Inc. 51,700 3,787 Price (T. Rowe) Group, Inc. 58,200 3,620 ------- -------- 10,380 ------- -------- ELECTRONICS - 1.4% Symbol Technologies, Inc. 272,400 4,712 ------- -------- ENTERTAINMENT - 4.4% DreamWorks Animation SKG, Inc., Class A * 30,500 1,144 Las Vegas Sands Corp. * 72,117 3,462 Penn National Gaming, Inc. * 79,200 4,796 Station Casinos, Inc. 98,500 5,386 ------- -------- 14,788 ------- -------- ENVIRONMENTAL CONTROL - 1.2% Stericycle, Inc. * 90,400 4,154 ------- -------- HARDWARE - 2.7% Network Appliance, Inc. * 97,500 3,239 Zebra Technologies Corp., Class A * 103,200 5,808 ------- -------- 9,047 ------- -------- HEALTHCARE - EQUIPMENT - 1.6% Waters Corp. * 112,400 5,259 ------- -------- HEALTHCARE - PRODUCTS - 4.9% Advanced Neuromodulation Systems, Inc. * 105,000 4,143 Gen-Probe, Inc. * 74,200 3,354 St. Jude Medical, Inc. * 93,300 3,912 Zimmer Holdings, Inc. * 63,300 5,072 ------- -------- 16,481 ------- -------- INTERNET - 2.1% McAfee, Inc. * 154,900 4,481 Symantec Corp. * 105,400 2,715 ------- -------- 7,196 ------- -------- LEISURE TIME - 3.5% Life Time Fitness, Inc. * 206,224 5,337 Royal Caribbean Cruises Ltd. 120,300 6,549 ------- -------- 11,886 ------- -------- LODGING - 3.1% Marriott International, Inc., Class A 91,550 5,766 Starwood Hotels & Resorts Worldwide, Inc. 84,300 4,923 ------- -------- 10,689 ------- -------- MACHINERY - DIVERSIFIED - 7.4% Danaher Corp. 99,900 5,735 Dover Corp. 81,900 3,435 ITT Industries, Inc. 65,700 5,548 Rockwell Automation, Inc. 121,000 5,996 Roper Industries, Inc. 69,000 4,193 ------- -------- 24,907 ------- -------- MEDIA - 1.4% Scripps (E.W.) Co., Class A 101,200 4,886 ------- --------
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 98.1% - CONTINUED OIL & GAS - 3.4% Bill Barrett Corp. * 30,853 $ 987 Devon Energy Corp. 130,400 5,075 XTO Energy, Inc. 149,400 5,286 ------- -------- 11,348 ------- -------- OIL & GAS SERVICES - 2.8% BJ Services Co. 93,600 4,356 Smith International, Inc. * 91,700 4,990 ------- -------- 9,346 ------- -------- PHARMACEUTICALS - 4.9% Caremark Rx, Inc. * 130,000 5,126 Endo Pharmaceuticals Holdings, Inc. * 142,500 2,995 Gilead Sciences, Inc. * 112,900 3,950 Sepracor, Inc. * 77,000 4,572 ------- -------- 16,643 ------- -------- RETAIL - 9.2% Applebee's International, Inc. * 136,700 3,616 Coach, Inc. * 119,300 6,729 Dick's Sporting Goods, Inc. * 182,300 6,408 Petsmart, Inc. 148,700 5,283 Starbucks Corp. * 91,500 5,706 Urban Outfitters, Inc. * 75,100 3,334 ------- -------- 31,076 ------- -------- SEMICONDUCTORS - 4.3% Broadcom Corp., Class A * 106,600 3,441 Integrated Circuit Systems, Inc. * 174,200 3,644 Kla-Tencor Corp. * 72,100 3,359 National Semiconductor Corp. 234,600 4,211 ------- -------- 14,655 ------- -------- SOFTWARE - 5.0% Cognos, Inc. * 94,700 4,172 Hyperion Solutions Corp. * 118,300 5,515 Manhattan Associates, Inc. * 177,200 4,232 Mercury Interactive Corp. * 68,800 3,134 ------- -------- 17,053 ------- -------- TELECOMMUNICATIONS - 1.2% Nextel Partners, Inc., Class A * 212,600 4,154 ------- -------- TELECOMMUNICATIONS EQUIPMENT - 3.8% Adtran, Inc. 225,600 4,318 Andrew Corp. * 242,700 3,308 Juniper Networks, Inc. * 188,400 5,123 ------- -------- 12,749 ------- -------- TRANSPORTATION - 2.7% Expeditors International Washington, Inc. 61,500 3,437 UTI Worldwide, Inc. 82,300 5,598 ------- -------- 9,035 ------- -------- TOTAL COMMON STOCKS (COST $275,743) 331,819
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- SHORT-TERM INVESTMENT - 1.9% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 6,307 6,307 ------- -------- TOTAL SHORT-TERM INVESTMENT ------- -------- (COST $6,307) 6,307 TOTAL INVESTMENTS - 100.0% (COST $282,050) $338,126
* Non-Income Producing Security At December 31, 2004, the industry sectors for the Mid Cap Growth Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Consumer Discretionary 24.8% Consumer Staples 3.1 Energy 6.2 Financials 5.7 Health Care 15.8 Industrials 17.8 Information Technology 25.3 Telecommunication Services 1.3 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for feder income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $282,050 -------- Gross tax appreciation of investments $ 61,861 Gross tax depreciation of investments (5,785) -------- Net tax appreciation of investments $ 56,076
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SELECT EQUITY FUND
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.1% AEROSPACE/DEFENSE - 3.0% Lockheed Martin Corp. 56,000 $ 3,111 Rockwell Collins, Inc. 67,000 2,643 United Technologies Corp. 43,700 4,516 ------- ------- 10,270 ------- ------- APPAREL - 1.2% NIKE, Inc., Class B 47,500 4,308 ------- ------- BEVERAGES - 2.3% Coca-Cola (The) Co. 84,600 3,522 PepsiCo, Inc. 83,000 4,332 ------- ------- 7,854 ------- ------- BIOTECHNOLOGY - 3.4% Amgen, Inc. * 107,000 6,864 Biogen Idec, Inc. * 44,000 2,931 Invitrogen Corp. * 30,600 2,054 ------- ------- 11,849 ------- ------- CHEMICALS - 0.9% Air Products & Chemicals, Inc. 31,400 1,820 Ecolab, Inc. 40,000 1,405 ------- ------- 3,225 ------- ------- COMPUTERS - 8.7% Apple Computer, Inc. * 60,000 3,864 Dell, Inc. * 256,800 10,822 EMC Corp. of Massachusetts * 420,000 6,245 International Business Machines Corp. 96,000 9,464 ------- ------- 30,395 ------- ------- COSMETICS/PERSONAL CARE - 5.2% Estee Lauder Cos. (The), Inc., Class A 22,000 1,007 Gillette (The) Co. 96,000 4,299 Procter & Gamble Co. 230,000 12,668 ------- ------- 17,974 ------- ------- DIVERSIFIED FINANCIAL SERVICES - 5.2% American Express Co. 150,000 8,456 Capital One Financial Corp. 44,000 3,705 Goldman Sachs Group, Inc. 43,400 4,515 Price (T. Rowe) Group, Inc. 25,000 1,555 ------- ------- 18,231 ------- ------- ELECTRICAL COMPONENTS & EQUIPMENT - 1.3% Emerson Electric Co. 49,700 3,484 Energizer Holdings, Inc. * 21,100 1,048 ------- ------- 4,532 ------- ------- ELECTRONICS - 0.3% Vishay Intertechnology, Inc. * 59,700 897 ------- ------- FOOD - 1.3% Sara Lee Corp. 100,400 2,424 Sysco Corp. 59,000 2,252 ------- ------- 4,676 ------- ------- HEALTHCARE - PRODUCTS - 7.3% Bausch & Lomb, Inc. 31,300 2,017 Becton, Dickinson & Co. 63,200 3,590 Biomet, Inc. 30,000 1,302 Guidant Corp. 49,000 3,533 Johnson & Johnson 234,000 14,840 ------- ------- 25,282 ------- ------- HEALTHCARE - SERVICES - 2.1% Health Management Associates, Inc., Class A 125,200 2,844 UnitedHealth Group, Inc. 52,500 4,622 ------- ------- 7,466 ------- ------- HOUSEHOLD PRODUCTS/WARES - 0.6% Clorox Co. 36,300 2,139 ------- ------- INSURANCE - 1.3% Prudential Financial, Inc. 85,000 4,672 ------- ------- INTERNET - 4.2% eBay, Inc. * 68,500 7,965 Yahoo!, Inc. * 180,000 6,783 ------- ------- 14,748 ------- ------- LODGING - 2.2% Marriott International, Inc., Class A 71,000 4,471 Starwood Hotels & Resorts Worldwide, Inc. 56,900 3,323 ------- ------- 7,794 ------- ------- MACHINERY - CONSTRUCTION & MINING - 1.8% Caterpillar, Inc. 62,500 6,094 ------- ------- MACHINERY - DIVERSIFIED - 0.6% Rockwell Automation, Inc. 38,600 1,913 ------- ------- MEDIA - 1.6% McGraw-Hill Cos. (The), Inc. 62,200 5,694 ------- ------- MINING - 1.4% Freeport-McMoRan Copper & Gold, Inc., Class B 45,000 1,720 Newmont Mining Corp. 71,000 3,153 ------- ------- 4,873 ------- ------- MISCELLANEOUS MANUFACTURING - 2.1% General Electric Co. 159,000 5,804
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 99.1% - CONTINUED MISCELLANEOUS MANUFACTURING - 2.1% - (CONTINUED) ITT Industries, Inc. 16,500 $ 1,393 -------- -------- 7,197 -------- -------- OIL & GAS SERVICES - 1.7% Baker Hughes, Inc. 98,000 4,182 BJ Services Co. 36,000 1,675 -------- -------- 5,857 -------- -------- PHARMACEUTICALS - 10.5% Abbott Laboratories 69,000 3,219 Cardinal Health, Inc. 81,000 4,710 Cephalon, Inc. * 38,000 1,933 Forest Laboratories, Inc. * 84,700 3,800 IVAX Corp. * 124,100 1,963 Medco Health Solutions, Inc. * 50,900 2,118 Pfizer, Inc. 399,900 10,753 Schering-Plough Corp. 160,000 3,341 Teva Pharmaceutical Industries Ltd. ADR 93,800 2,801 Watson Pharmaceuticals, Inc. * 61,000 2,001 -------- -------- 36,639 -------- -------- RETAIL - 6.9% Costco Wholesale Corp. 37,000 1,791 CVS Corp. 50,700 2,285 Staples, Inc. 157,500 5,310 Starbucks Corp. * 100,000 6,236 Wal-Mart Stores, Inc. 77,000 4,067 Yum! Brands, Inc. 95,000 4,482 -------- -------- 24,171 -------- -------- SEMICONDUCTORS - 6.5% Applied Materials, Inc. * 170,200 2,910 Freescale Semiconductor, Inc. * 50,000 891 Freescale Semiconductor, Inc., Class B * 21,700 398 Intel Corp. 206,000 4,818 International Rectifier Corp. * 19,900 887 Kla-Tencor Corp. * 60,000 2,795 Lam Research Corp. * 66,500 1,923 Marvell Technology Group Ltd. * 81,800 2,902 Texas Instruments, Inc. 206,000 5,072 -------- -------- 22,596 -------- -------- SOFTWARE - 8.0% Adobe Systems, Inc. 60,000 3,764 Computer Associates International, Inc. 149,100 4,631 Mercury Interactive Corp. * 14,000 638 Microsoft Corp. 495,300 13,230 NAVTEQ Corp. * 36,600 1,697 Symantec Corp. * 153,000 3,941 -------- -------- 27,901 -------- -------- TELECOMMUNICATIONS - 5.2% Juniper Networks, Inc. * 173,000 4,704 Motorola, Inc. 186,000 3,199 Nextel Communications, Inc., Class A * 135,000 4,050 Nextel Partners, Inc., Class A * 100,000 1,954 Sprint Corp. (FON Group) 166,000 4,125 -------- -------- 18,032 -------- -------- TRANSPORTATION - 2.3% Hunt (J.B.) Transport Services, Inc. 22,000 987 United Parcel Service, Inc., Class B 82,500 7,050 -------- -------- 8,037 -------- -------- TOTAL COMMON STOCKS -------- -------- (COST $306,145) 345,316
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- SHORT-TERM INVESTMENT - 0.9% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 3,088 3,088 -------- -------- TOTAL SHORT-TERM INVESTMENT -------- -------- (COST $3,088) 3,088 -------- -------- TOTAL INVESTMENTS - 100.0% -------- -------- (COST $309,233) $348,404
* Non-Income Producing Security NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SELECT EQUITY FUND (continued) At December 31, 2004, the industry sectors for the Select Equity Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Consumer Discretionary 12.1% Consumer Staples 12.1 Energy 1.7 Financials 6.6 Health Care 23.5 Industrials 10.7 Information Technology 28.0 Materials 2.4 Telecommunication Services 2.9 ----- Total 100.0% -----
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 309,233 ---------- Gross tax appreciation of investments $ 40,791 Gross tax depreciation of investments (1,620) ---------- Net tax appreciation of investments $ 39,171 ----------
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP GROWTH FUND
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 100.0% ADEVERTISING - 1.1% Getty Images, Inc. * 14,700 $ 1,012 ------- ------- AEROSPACE/DEFENSE - 1.1% Esterline Technologies Corp. * 30,600 999 ------- ------- APPAREL - 2.2% Deckers Outdoor Corp. * 22,600 1,062 Quiksilver, Inc. * 31,900 950 ------- ------- 2,012 ------- ------- BANKS - 1.9% East-West Bancorp, Inc. 42,700 1,792 ------- ------- BIOTECHNOLOGY - 1.4% Serologicals Corp. * 57,400 1,270 ------- ------- COMMERCIAL SERVICES - 9.2% Alliance Data Systems Corp. * 23,500 1,116 Bright Horizons Family Solutions, Inc. * 21,800 1,412 Corporate Executive Board Co. 21,600 1,446 CoStar Group, Inc. * 33,200 1,533 iPayment, Inc. * 34,800 1,723 Labor Ready, Inc. * 76,300 1,291 ------- ------- 8,521 ------- ------- COMPUTERS - 2.0% Manhattan Associates, Inc. * 47,100 1,125 Research In Motion Ltd. * 9,100 750 ------- ------- 1,875 ------- ------- DIVERSIFIED FINANCIAL SERVICES - 1.8% Chicago Mercantile Exchange 7,400 1,692 ------- ------- ELECTRONICS - 2.2% Cymer, Inc. * 67,300 1,988 ------- ------- ENTERTAINMENT - 4.7% Great Wolf Resorts, Inc. * 61,900 1,383 Lions Gate Entertainment Corp. * 129,300 1,373 Penn National Gaming, Inc. * 26,800 1,623 ------- ------- 4,379 ------- ------- ENVIRONMENTAL CONTROL - 1.6% Stericycle, Inc. * 32,600 1,498 ------- ------- FOOD - 1.2% United Natural Foods, Inc. * 35,400 1,101 ------- ------- HEALTHCARE - PRODUCTS - 13.0% Advanced Medical Optics, Inc. * 23,600 971 Advanced Neuromodulation Systems, Inc. * 36,500 1,440 American Medical Systems Holdings, Inc. * 36,900 1,543 Cooper Cos., Inc. 14,500 1,024 Gen-Probe, Inc. * 30,400 1,374 IDEXX Laboratories, Inc. * 25,800 1,408 Inamed Corp. * 21,500 1,360 Respironics, Inc. * 26,100 1,419 Sybron Dental Specialties, Inc. * 42,100 1,490 ------- ------- 12,029 ------- ------- HEALTHCARE - SERVICES - 2.1% Pediatrix Medical Group, Inc. * 20,000 1,281 Psychiatric Solutions, Inc. * 17,500 640 ------- ------- 1,921 ------- ------- INSURANCE - 1.1% Selective Insurance Group, Inc. 23,700 1,048 ------- ------- INTERNET - 0.7% Shopping.com Ltd. * 23,400 661 ------- ------- IRON/STEEL - 1.0% Reliance Steel & Aluminum Co. 22,700 884 ------- ------- LEISURE TIME - 1.4% Life Time Fitness, Inc. * 49,700 1,286 ------- ------- LODGING - 2.4% La Quinta Corp. * 139,300 1,266 Station Casinos, Inc. 18,000 984 ------- ------- 2,250 ------- ------- MACHINERY - DIVERSIFIED - 1.4% Zebra Technologies Corp., Class A * 23,500 1,323 ------- ------- MISCELLANEOUS MANUFACTURING - 2.1% Ceradyne, Inc. * 33,600 1,922 ------- ------- OIL & GAS - 4.6% Bill Barrett Corp. * 8,500 272 Edge Petroleum Corp. of Delaware * 42,400 618 Range Resources Corp. 59,400 1,216 Southwestern Energy Co. * 42,300 2,144 ------- ------- 4,250 ------- ------- OIL & GAS SERVICES - 3.3% Cal Dive International, Inc. * 62,100 2,531 Veritas DGC, Inc. * 22,000 493 ------- ------- 3,024 ------- ------- PACKAGING & CONTAINERS - 1.8% Greif Inc., Class A 30,400 1,702 ------- ------- PHARMACEUTICALS - 1.5% VCA Antech, Inc. * 68,700 1,347 ------- -------
EQUITY FUND 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 100.0% - CONTINUED REITS - 1.3% Centerpoint Properties Corp. 25,500 $ 1,221 ------- ------- RESTAURANTS - 1.3% Applebee's International, Inc. 44,600 1,180 ------- ------- RETAIL - 4.9% Aeropostale, Inc. * 31,100 915 Copart, Inc. * 61,400 1,616 Dick's Sporting Goods, Inc. * 56,200 1,976 ------- ------- 4,507 ------- ------- SEMICONDUCTORS - 1.2% Integrated Circuit Systems, Inc. * 53,700 1,123 ------- ------- SOFTWARE - 11.5% Ansys, Inc. * 60,900 1,952 Certegy, Inc. 40,500 1,439 Cognos, Inc. * 45,100 1,987 Global Payments, Inc. 29,500 1,727 Hyperion Solutions Corp. * 41,100 1,916 Quality Systems, Inc. * 26,000 1,555 ------- ------- 10,576 ------- ------- TELECOMMUNICATIONS - 6.9% Adtran, Inc. 61,100 1,170 Andrew Corp. * 103,700 1,413 Plantronics, Inc. 29,300 1,215 RF Micro Devices, Inc. * 201,100 1,376 Western Wireless Corp., Class A * 39,800 1,166 ------- ------- 6,340 ------- ------- TRANSPORTATION - 6.1% Forward Air Corp. * 19,000 849 General Maritime Corp. * 39,200 1,566 Hunt (J.B.) Transport Services, Inc. 34,200 1,534 UTI Worldwide, Inc. 24,200 1,646 ------- ------- 5,595 ------- ------- TOTAL COMMON STOCKS ------- ------- (COST $73,807) 92,328
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENT - 0.0% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 4 $ 4 --------- ------- TOTAL SHORT-TERM INVESTMENT --------- ------- (COST $4) 4 --------- ------- TOTAL INVESTMENTS - 100.0% --------- ------- (COST $73,811) $92,332
* Non-Income Producing Security At December 31, 2004, the industry sectors for the Small Cap Growth Fund were:
INDUSTRY SECTOR % OF INVESTMENTS ------------------ ---------------- Consumer Discretionary 16.1% Consumer Staples 1.2 Energy 9.5 Financials 6.2 Health Care 18.7 Industrials 17.8 Information Technology 27.4 Materials 1.8 Telecommunication Services 1.3 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $73,811 ------- Gross tax appreciation of investments $19,084 Gross tax depreciation of investments (563) ------- Net tax appreciation of investments $18,521 -------
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% ADVERTISING - 0.5% Advo, Inc. 9,962 $ 355 Catalina Marketing Corp. 17,300 512 Greenfield Online, Inc. * 1,500 33 Grey Global Group, Inc. 288 317 R.H. Donnelley Corp. * 7,700 455 Sitel Corp. * 20,600 51 ValueVision Media, Inc., Class A * 6,600 92 Ventiv Health, Inc. * 6,200 126 ------ ------ 1,941 ------ ------ AEROSPACE/DEFENSE - 1.3% AAR Corp. * 10,700 146 Armor Holdings, Inc. * 9,500 447 BE Aerospace, Inc. * 19,100 222 Curtiss-Wright Corp. 7,000 402 DRS Technologies, Inc. * 7,789 333 Ducommun, Inc. * 2,400 50 EDO Corp. 5,200 165 Engineered Support Systems, Inc. 7,375 437 Esterline Technologies Corp. * 8,100 264 GenCorp, Inc. * 15,400 286 Heico Corp. 6,100 138 Herley Industries, Inc. * 4,400 89 Innovative Solutions & Supports, Inc. * 2,400 80 Kaman Corp., Class A 7,800 99 Moog, Inc., Class A * 8,575 389 MTC Technologies, Inc. * 2,200 74 Orbital Sciences Corp. * 16,900 200 Sequa Corp., Class A * 2,000 122 Teledyne Technologies, Inc. * 10,800 318 Titan Corp. * 28,100 455 Triumph Group, Inc. * 5,300 209 United Industrial Corp. of New York 3,300 128 ------ ------ 5,053 ------ ------ AGRICULTURE - 0.3% Alico, Inc. 1,200 70 Delta & Pine Land Co. 12,600 344 DIMON, Inc. 14,800 99 Maui Land & Pineapple Co., Inc. * 1,100 43 Standard Commercial Corp. 3,500 68 Tejon Ranch Co. * 2,400 98 Universal Corp. of Virginia 8,400 402 Vector Group Ltd. 8,154 136 ------ ------ 1,260 ------ ------ AIRLINES - 0.6% Airtran Holdings, Inc. * 28,100 301 Alaska Air Group, Inc. * 9,900 331 America West Holdings Corp., Class B * 11,800 78 Continental Airlines, Inc., Class B * 22,100 299 Delta Air Lines, Inc. * 35,800 268 ExpressJet Holdings, Inc. * 12,500 161 FLYi, Inc. * 15,200 27 Frontier Airlines, Inc. * 11,950 136 Mesa Air Group, Inc. * 10,700 85 Northwest Airlines Corp. * 26,000 284 Pinnacle Airlines Corp., * 7,000 98 Skywest, Inc. 19,500 391 ------ ------ 2,459 ------ ------ APPAREL - 0.9% Carter , Inc. * 1,800 61 Cherokee, Inc. 2,200 78 Deckers Outdoor Corp. * 3,000 141 DHB Industries, Inc. * 6,900 131 Guess?, Inc. * 5,100 64 Gymboree Corp. * 10,200 131 Hartmarx Corp. * 8,400 65 K-Swiss, Inc., Class A 8,700 253 Kellwood Co. 9,050 312 Oshkosh B'Gosh, Inc., Class A 2,700 58 Oxford Industries, Inc. 4,400 182 Perry Ellis International, Inc. * 2,100 43 Phillips-Van Heusen Corp. 8,000 216 Quiksilver, Inc. * 18,600 554 Russell Corp. 9,600 187 Skechers U.S.A., Inc., Class A * 6,700 87 Steven Madden Ltd. * 3,500 66 Stride Rite Corp. 12,900 144 Warnaco Group (The), Inc. * 15,300 331 Weyco Group, Inc. 1,000 44 Wolverine World Wide, Inc. 13,200 415 ------ ------ 3,563 ------ ------ AUTO MANUFACTURERS - 0.1% A.S.V., Inc. * 2,600 125
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED AUTO MANUFACTURERS - 0.1% - (CONTINUED) Wabash National Corp. * 10,000 $ 269 ------ ------ 394 ------ ------ AUTO PARTS & EQUIPMENT - 1.0% Aftermarket Technology Corp. * 3,900 63 ArvinMeritor, Inc. 23,100 517 Bandag, Inc. 3,700 184 Collins & Aikman Corp. * 11,860 52 Commercial Vehicle Group, Inc. * 2,900 63 Cooper Tire & Rubber Co. 22,000 474 Exide Technologies * 7,300 101 Goodyear Tire & Rubber (The) Co. * 50,800 745 Hayes Lemmerz International, Inc. * 13,200 116 Keystone Automotive Industries, Inc. * 5,500 128 Modine Manufacturing Co. 7,800 263 Noble International Ltd. 2,500 51 Standard Motor Products, Inc. 3,500 55 Strattec Security Corp. * 1,100 69 Superior Industries International, Inc. 7,500 218 Tenneco Automotive, Inc. * 14,200 245 Tower Automotive, Inc. * 19,200 46 Visteon Corp. 43,500 425 ------ ------ 3,815 ------ ------ BANKS - 8.1% 1st Source Corp. 4,326 110 ABC Bancorp 3,600 76 Alabama National Bancorp 4,200 271 Amcore Financial, Inc. 8,282 267 AmericanWest Bancorp * 3,520 71 Arrow Financial Corp. 3,075 95 Bancfirst Corp. 1,300 103 Bancorp Inc./Wilmington DE * 2,185 35 BancorpSouth, Inc. 25,500 621 BancTrust Financial Group, Inc. 2,400 59 Bank of Granite Corp. 4,660 97 Bank of the Ozarks, Inc. 3,400 116 Banner Corp. 3,500 109 Boston Private Financial Holdings, Inc. 9,800 276 Bryn Mawr Bank Corp. 2,600 57 Camden National Corp. 3,000 118 Capital City Bank Group, Inc. 3,287 137 Capital Corp. of the West 1,800 85 Capitol Bancorp Ltd. 3,400 120 Cascade Bancorp 5,625 114 Cathay Bancorp, Inc. 14,400 540 Center Financial Corp. 3,200 64 Central Coast Bancorp * 3,263 75 Central Pacific Financial Corp. 9,280 336 Century Bancorp, Inc. of Massachusetts, Class A 1,100 32 Chemical Financial Corp. 7,719 331 Chittenden Corp. 15,416 443 Citizens Banking Corp. of Michigan 14,400 495 City Holding Co. 5,300 192 CityBank Lynwood of Washington 2,800 101 CoBiz, Inc. 4,350 88 Columbia Bancorp 2,000 68 Columbia Banking Systems, Inc. 5,166 129 Community Bank System, Inc. 8,600 243 Community Banks, Inc. 3,592 101 Community Trust Bancorp, Inc. 4,335 140 Corus Bankshares, Inc. 5,000 240 CVB Financial Corp. 11,890 316 East-West Bancorp, Inc. 16,700 701 EuroBancshares, Inc. * 2,500 53 Farmers Capital Bank Corp. 2,100 87 Financial Institutions, Inc. 2,900 67 First Bancorp of North Carolina 3,900 106 First BanCorp of Puerto Rico 11,400 724 First Busey Corp. 4,950 103 First Charter Corp. 10,500 275 First Citizens Bancshares, Inc., Class A 1,900 282 First Commonwealth Financial Corp. 23,028 354 First Community Bancorp of California 4,100 175 First Community Bancshares, Inc. 3,359 121 First Financial Bancorp 11,224 196 First Financial Bankshares, Inc. 4,846 217 First Financial Corp. of Indiana 4,806 168 First Indiana Corp. 4,162 94 First Merchants Corp. 6,527 185 First Midwest Bancorp, Inc. of Illinois 15,500 563 First National Bankshares of Florida, Inc. 19,829 474 First Oak Brook Bancshares, Inc. 2,250 73 First of Long Island (The) Corp. 1,200 61 First Republic Bank 4,400 233 First State Bancorporation 2,600 96
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITYY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND(continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED BANKS - 8.1% - (CONTINUED) FNB Corp. 16,500 $ 336 FNB Corp. of Virginia 2,000 57 Frontier Financial Corp. 5,400 209 GB&T Bancshares, Inc. 3,000 72 German American Bancorp 3,255 52 Glacier Bancorp, Inc. 7,837 267 Gold Banc Corp., Inc. 13,500 197 Great Southern Bancorp, Inc. 3,900 137 Greater Bay Bancorp 17,100 477 Hancock Holding Co. 9,024 302 Hanmi Financial Corp. 4,900 176 Harleysville National Corp. 8,809 234 Heartland Financial USA, Inc. 3,300 66 IBERIABANK Corp. 2,000 133 Independent Bank Corp. of Massachusetts 4,600 155 Independent Bank Corp. of Michigan 5,645 168 Integra Bank Corp. 5,443 126 Interchange Financial Services Corp. of New Jersey 4,000 104 Irwin Financial Corp. 5,600 159 Lakeland Bancorp, Inc. 4,860 85 Lakeland Financial Corp. 1,800 71 Macatawa Bank Corp. 3,150 102 Main Street Banks, Inc. 4,700 164 MainSource Financial Group, Inc. 3,463 83 MB Financial, Inc. 6,450 272 MBT Financial Corp. 5,500 128 Mercantile Bank Corp. 2,205 87 Mid-State Bancshares 7,500 215 Midwest Banc Holdings, Inc. 3,800 83 Nara Bancorp, Inc. 6,200 132 National Penn Bancshares, Inc. 10,952 303 NBC Capital Corp. 2,400 64 NBT Bancorp, Inc. 10,504 270 Oak Hill Financial, Inc. 1,700 66 Old National Bancorp of Indiana 21,900 566 Old Second Bancorp, Inc. 4,800 153 Omega Financial Corp. 3,778 130 Oriental Financial Group, Inc. 6,148 174 Pacific Capital Bancorp 15,033 511 Park National Corp. 4,725 640 Peapack Gladstone Financial Corp. 2,651 84 Pennrock Financial Services Corp. 2,676 104 Peoples Bancorp, Inc. of Ohio 3,760 103 Peoples Holding (The) Co. 3,000 99 Placer Sierra Bancshares 2,400 68 PrivateBancorp, Inc. 5,500 177 Prosperity Bancshares, Inc. 5,000 146 Provident Bankshares Corp. 10,956 399 R & G Financial Corp., Class B 9,350 364 Republic Bancorp, Inc. of Kentucky, Class A 2,625 67 Republic Bancorp, Inc. of Michigan 23,436 358 Riggs National Corp. * 5,800 123 Royal Bancshares of Pennsylvania, Inc., Class A 1,583 43 S & T Bancorp, Inc. 7,600 286 Sandy Spring Bancorp, Inc. 5,100 196 Santander BanCorp 1,879 57 SCBT Financial Corp. 3,032 102 Seacoast Banking Corp. of Florida 4,020 89 Security Bank Corp. 1,300 52 Signature Bank/New York 1,700 55 Silicon Valley Bancshares * 11,800 529 Simmons First National Corp., Class A 5,000 145 Smithtown Bancorp, Inc. 1,600 51 Southern Community Financial Corp. 4,100 42 Southside Bancshares , Inc. 3,292 75 Southwest Bancorp of Texas, Inc. 22,900 533 Southwest Bancorp, Inc. of Oklahoma 3,800 93 State Bancorp, Inc. 2,530 70 State Financial Services Corp., Class A 1,800 54 Sterling Bancorp of New York 5,442 154 Sterling Bancshares, Inc. of Texas 14,925 213 Sterling Financial Corp. of Pennsylvania 7,406 212 Suffolk Bancorp 3,900 136 Sun Bancorp, Inc. of New Jersey * 2,909 73 Susquehanna Bancshares, Inc. 15,479 386 SY Bancorp, Inc. 3,700 89 Taylor Capital Group, Inc. 1,300 44 Texas Capital Bancshares, Inc. * 7,100 154 Texas Regional Bancshares, Inc., Class A 13,751 449 Tompkins Trustco, Inc. 2,730 146 Trico Bancshares 3,800 89 Trustco Bank Corp. of New York 24,094 332 Trustmark Corp. 15,500 482 UMB Financial Corp. 4,856 275
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED BANKS - 8.1% - (CONTINUED) Umpqua Holdings Corp. 14,583 $ 368 Union Bankshares Corp. 2,700 104 United Bankshares, Inc. 12,500 477 United Community Banks, Inc. of Georgia 9,600 259 Univest Corp. of Pennsylvania 2,300 106 Unizan Financial Corp. 6,910 182 USB Holding Co., Inc. 54,357 109 Virginia Commerce Bancorp * 2,125 60 Virginia Financial Group, Inc. 2,500 92 Washington Trust Bancorp, Inc. 4,600 135 WesBanco, Inc. 6,300 201 West Bancorp 5,985 105 West Coast Bancorp of Oregon 5,600 142 Westamerica Bancorporation 10,600 618 Western Sierra Bancorp * 2,025 78 Wilshire Bancorp, Inc. * 4,700 78 Wintrust Financial Corp. 7,100 404 Yardville National Bancorp 2,900 99 ------ -------- 31,420 ------ -------- BEVERAGES - 0.1% Boston Beer Co., Inc., Class A * 2,400 51 Coca-Cola Bottling Co. Consolidated 1,527 87 Farmer Bros. Co. 2,400 58 Hansen Natural Corp. * 2,000 73 Peet's Coffee & Tea, Inc. * 4,200 111 ------ -------- 380 ------ -------- BIOTECHNOLOGY - 1.9% Aksys Ltd. * 3,400 19 Alexion Pharmaceuticals, Inc. * 9,000 227 Applera Corp. (Celera Genomics Group) * 24,200 333 Ariad Pharmaceuticals, Inc. * 17,400 129 Avant Immunotherapeutics, Inc. * 26,000 52 Axonyx, Inc. * 17,800 110 Bio-Rad Laboratories, Inc., Class A * 5,700 327 Biocryst Pharmaceuticals, Inc. * 5,800 34 Cambrex Corp. 8,700 236 CancerVax Corp. * 4,700 51 Cell Genesys, Inc. * 15,000 122 Ciphergen Biosystems, Inc. * 8,000 34 Corgentech, Inc. * 2,400 20 CuraGen Corp. * 15,100 108 Curis, Inc. * 14,800 77 Cytogen Corp. * 5,400 62 Cytokinetics, Inc. * 2,800 29 Decode Genetics, Inc. * 16,800 131 Digene Corp. * 4,700 123 Diversa Corp. * 7,300 64 Encysive Pharmaceuticals, Inc. * 19,000 189 Enzo Biochem, Inc. * 8,307 162 Enzon Pharmaceuticals, Inc. * 14,700 202 Exelixis, Inc. * 22,100 210 Genaera Corp. * 19,200 66 Genelabs Technologies, Inc. * 27,900 34 Genencor International, Inc. * 3,000 49 Geron Corp. * 15,000 120 Human Genome Sciences, Inc. * 43,200 519 Illumina, Inc. * 10,800 102 Immunogen, Inc. * 12,600 111 Immunomedics, Inc. * 14,300 43 Incyte Corp. * 23,300 233 Integra LifeSciences Holdings Corp. * 6,800 251 InterMune, Inc. * 9,600 127 Keryx Biopharmaceuticals, Inc. * 7,200 83 Kosan Biosciences, Inc. * 7,600 53 Lexicon Genetics, Inc. * 21,500 167 Lifecell Corp. * 9,500 97 Maxim Pharmaceuticals, Inc. * 10,100 31 Maxygen, Inc. * 8,000 102 Myogen, Inc. * 5,800 47 Myriad Genetics, Inc. * 10,100 227 Nanogen, Inc. * 11,300 83 Neose Technologies, Inc. * 6,000 40 Northfield Laboratories, Inc. * 6,400 144 Oscient Pharmaceuticals Corp. * 21,000 77 Peregrine Pharmaceuticals, Inc. * 39,700 46 Praecis Pharmaceuticals, Inc. * 18,600 35 Regeneration Technologies, Inc. * 8,500 89 Regeneron Pharmaceuticals, Inc. * 12,600 116 Seattle Genetics, Inc. * 11,400 74 Serologicals Corp. * 9,700 215 SuperGen, Inc. * 17,100 121 Telik, Inc. * 14,700 281
NORTHERN FUNDS QUARTERLY REPORT 4 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED BIOTECHNOLOGY - 1.9% - (CONTINUED) Third Wave Technologies, Inc. * 10,100 $ 87 Transkaryotic Therapies, Inc. * 9,800 249 Vertex Pharmaceuticals, Inc. * 26,300 278 -------- -------- 7,448 -------- -------- BUILDING MATERIALS - 1.1% Aaon, Inc. * 3,400 55 Apogee Enterprises, Inc. 10,000 134 Comfort Systems USA, Inc. * 14,100 108 Drew Industries, Inc. * 2,600 94 Eagle Materials, Inc. 6,300 544 ElkCorp 7,007 240 Genlyte Group, Inc. * 4,000 343 Lennox International, Inc. 14,900 303 LSI Industries, Inc. 6,312 72 NCI Building Systems, Inc. * 6,500 244 Simpson Manufacturing Co., Inc. 12,200 426 Texas Industries, Inc. 7,100 443 Trex Co., Inc. * 3,400 178 U.S. Concrete, Inc. * 5,700 44 Universal Forest Products, Inc. 5,300 230 USG Corp. * 10,800 435 York International Corp. 13,900 480 -------- -------- 4,373 -------- -------- CHEMICALS - 2.7% Aceto Corp. 5,750 109 Airgas, Inc. 20,200 535 Albemarle Corp. 10,700 414 American Vanguard Corp. 1,800 66 Arch Chemicals, Inc. 7,500 216 Cabot Microelectronics Corp. * 8,300 332 Crompton Corp. 38,510 454 Cytec Industries, Inc. 12,900 663 Ferro Corp. 13,950 323 FMC Corp. * 12,200 589 Fuller (H.B.) Co. 9,500 271 Georgia Gulf Corp. 9,500 473 Grace (W.R.) & Co. * 21,900 298 Great Lakes Chemical Corp. 16,700 476 Hercules, Inc. * 36,600 544 Kronos Worldwide, Inc. 1,364 56 MacDermid, Inc. 8,900 321 Minerals Technologies, Inc. 6,800 454 Mosaic Co.(The) * 38,700 632 NewMarket Corp. * 4,600 92 NL Industries, Inc. 2,600 57 Octel Corp. 4,200 87 Olin Corp. 23,100 509 OM Group, Inc. * 9,400 305 Omnova Solutions, Inc. * 12,200 69 PolyOne Corp. * 30,600 277 Quaker Chemical Corp. 2,800 70 Schulman (A.), Inc. 10,800 231 Sensient Technologies Corp. 15,200 365 Spartech Corp. 8,300 225 Stepan Co. 1,800 44 Symyx Technologies, Inc. * 9,800 295 Terra Industries, Inc. * 13,200 117 UAP Holding Corp. * 8,500 147 Valhi, Inc. 4,360 70 Wellman, Inc. 10,600 113 Westlake Chemical Corp. 3,700 124 -------- -------- 10,423 -------- -------- COMMERCIAL SERVICES - 4.2% Aaron Rents, Inc. 12,650 316 ABM Industries, Inc. 12,148 240 ACE Cash Express, Inc. * 3,300 98 Administaff, Inc. * 6,900 87 Advisory Board (The) Co. * 6,300 232 Albany Molecular Research, Inc. * 7,400 82 Alderwoods Group, Inc. * 13,200 150 AMN Healthcare Services, Inc. 3,800 60 Arbitron, Inc. * 10,400 408 Banta Corp. 8,150 365 Bowne & Co., Inc. 11,800 192 Bright Horizons Family Solutions, Inc. * 4,400 285 CDI Corp. 4,100 88 Central Parking Corp. 6,150 93 Century Business Services, Inc. * 22,100 96 Charles River Associates, Inc. * 3,600 168 Chemed Corp. 4,000 268 Clark, Inc. * 5,600 87 Coinstar, Inc. * 7,200 193 Consolidated Graphics, Inc. * 3,700 170 Cornell Cos., Inc. * 5,000 76
EQUITY FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED COMMERCIAL SERVICES - 4.2% - (CONTINUED) Corrections Corp. of America * 11,810 $ 478 Corvel Corp. * 2,250 60 CoStar Group, Inc. * 5,600 259 Cross Country Healthcare, Inc. * 7,600 137 DiamondCluster International, Inc., Class A * 8,200 118 Dollar Thrifty Automotive Group * 8,200 248 Educate, Inc. * 5,300 70 Electro Rent Corp. * 5,874 84 Euronet Worldwide, Inc. * 7,900 206 Exponent, Inc. * 1,800 50 First Health Group Corp. * 30,500 571 Forrester Research, Inc. * 4,900 88 FTI Consulting, Inc. * 14,025 296 Gartner, Inc., Class A * 21,200 264 Geo Group, Inc. * 3,100 82 Gevity HR, Inc. 8,200 169 Greg Manning Auctions, Inc. * 2,300 28 Healthcare Services Group 4,950 103 Heidrick & Struggles International, Inc. * 5,600 192 Hooper Holmes, Inc. 20,000 118 Hudson Highland Group, Inc. * 3,700 107 Insurance Auto Auctions, Inc. * 3,100 70 Integrated Electrical Services, Inc. * 10,800 52 Interactive Data Corp. * 12,000 261 Intersections, Inc. * 2,700 47 iPayment, Inc. * 3,700 183 Jackson Hewitt Tax Service, Inc. 12,600 318 Kelly Services, Inc., Class A 5,600 169 Kforce, Inc. * 9,200 102 Korn/Ferry International * 10,500 218 Labor Ready, Inc. * 13,900 235 Landauer, Inc. 3,000 137 Learning Tree International, Inc. * 3,200 43 LECG Corp. * 4,700 88 Magellan Health Services, Inc. * 9,100 311 MAXIMUS, Inc. * 6,100 190 McGrath Rentcorp 3,332 145 Medical Staffing Network Holdings, Inc. * 3,800 31 Midas, Inc. * 5,600 112 Monro Muffler, Inc. * 3,300 84 MPS Group, Inc. * 34,900 428 Navigant Consulting, Inc. * 15,300 407 NCO Group, Inc. * 8,950 231 Parexel International Corp. * 9,300 189 PDI, Inc. * 3,000 67 PRA International * 2,400 60 Pre-Paid Legal Services, Inc. * 3,500 131 PRG-Schultz International, Inc. * 15,350 77 Princeton Review, Inc. * 5,600 34 Quanta Services, Inc. * 23,800 190 Rent-Way, Inc. * 9,787 78 Resources Connection, Inc. * 7,700 418 Rewards Network, Inc. * 6,000 42 Rollins, Inc. 6,400 168 SFBC International, Inc. * 4,150 164 Sotheby's Holdings, Inc., Class A * 15,200 276 Source Interlink Cos., Inc. * 7,400 98 SOURCECORP, Inc. * 5,400 103 Spherion Corp. * 20,130 169 Startek, Inc. * 4,000 114 Stewart Enterprises, Inc., Class A * 35,500 248 Strayer Education, Inc. 4,900 538 TeleTech Holdings, Inc. * 12,600 122 TNS, Inc. 1,900 42 United Rentals, Inc. * 14,200 268 Universal Technical Institute, Inc. * 4,700 179 Valassis Communications, Inc. * 17,400 609 Vertrue, Inc. * 2,100 79 Volt Information Sciences, Inc. * 2,750 81 Watson Wyatt & Co. Holdings 10,600 286 --------- -------- 16,174 --------- -------- COMPUTERS - 3.1% ActivCard Corp. * 15,000 133 Advanced Digital Information Corp. * 21,200 212 AGILYSYS, Inc. 9,687 166 Ansoft Corp. * 2,400 48 Anteon International Corp. * 8,900 373 BISYS Group (The), Inc. * 40,100 660 Brocade Communications Systems, Inc. * 86,500 661 CACI International, Inc., Class A * 9,700 661 Carreker Corp. * 7,300 63 Catapult Communications Corp. * 2,500 60 CIBER, Inc. * 17,000 164
NORTHERN FUNDS QUARTERLY REPORT 6 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED COMPUTERS - 3.1% - (CONTINUED) Covansys Corp. * 7,100 $ 109 Cray, Inc. * 30,300 141 Cyberguard Corp. * 5,400 34 Digimarc Corp. * 5,100 48 Dot Hill Systems Corp. * 14,500 114 Echelon Corp. * 10,000 84 Electronics for Imaging, Inc. * 17,700 308 Factset Research Systems, Inc. 6,800 397 Gateway, Inc. * 74,600 448 Hutchinson Technology, Inc. * 8,815 305 iGate Corp. * 7,100 29 Imation Corp. 11,800 376 InFocus Corp. * 13,300 122 Intergraph Corp. * 11,000 296 InterVoice, Inc. * 12,000 160 Iomega Corp. * 16,980 94 Kanbay International, Inc. * 2,100 66 Komag, Inc. * 9,300 175 Kronos, Inc. * 10,318 528 LaserCard Corp. * 3,500 37 Lexar Media, Inc. * 23,600 185 Magma Design Automation, Inc. * 8,700 109 Manhattan Associates, Inc. * 10,000 239 Maxwell Technologies, Inc. 3,200 32 McData Corp., Class A * 39,100 233 Mentor Graphics Corp. * 25,300 387 Mercury Computer Systems, Inc. * 7,200 214 Merge Technologies, Inc. * 3,900 87 Micros Systems, Inc. * 5,400 422 Mobility Electronics, Inc. * 9,000 77 MTS Systems Corp. 7,100 240 Ness Technologies, Inc. * 3,900 58 Netscout Systems, Inc. * 7,300 51 Overland Storage, Inc. * 5,100 85 PalmOne, Inc. * 14,051 443 PEC Solutions, Inc. * 4,200 60 Perot Systems Corp., Class A * 25,300 406 Quantum Corp. * 59,100 155 Radisys Corp. * 6,200 121 SI International, Inc. * 1,900 58 Silicon Graphics, Inc. * 87,600 152 Silicon Storage Technology, Inc. * 26,500 158 SimpleTech, Inc. * 8,300 38 SRA International, Inc., Class A * 4,400 282 Stratasys, Inc. * 3,050 102 SYKES Enterprises, Inc. * 8,400 58 Synaptics, Inc. * 7,400 226 Syntel, Inc. 2,200 39 Talx Corp. 4,770 123 Tier Technologies, Inc., Class B * 6,000 55 Transact Technologies, Inc. * 3,100 66 Tyler Technologies, Inc. * 12,600 105 --------- ------ 12,138 --------- ------ COSMETICS/PERSONAL CARE - 0.2% Chattem, Inc. * 5,700 189 DEL Laboratories, Inc. * 1,649 57 Elizabeth Arden, Inc. * 7,200 171 Inter Parfums, Inc. 2,000 32 Revlon, Inc., Class A * 51,200 118 --------- ------ 567 --------- ------ DISTRIBUTION/WHOLESALE - 0.9% Advanced Marketing Services, Inc. 5,350 54 Aviall, Inc. * 7,800 179 Beacon Roofing Supply, Inc. * 4,200 84 Brightpoint, Inc. * 6,000 117 Building Material Holding Corp. 4,500 172 Central European Distribution Corp. * 4,300 127 Handleman Co. 7,500 161 LKQ Corp. * 4,400 88 Navarre Corp. * 7,300 129 NuCo2, Inc. * 2,700 60 Owens & Minor, Inc. 12,962 365 Scansource, Inc. * 4,200 261 SCP Pool Corp. 18,137 579 United Stationers, Inc. * 11,300 522 Watsco, Inc. 7,250 255 WESCO International, Inc. * 6,000 178 --------- ------ 3,331 --------- ------ DIVERSIFIED FINANCIAL SERVICES - 1.3% Accredited Home Lenders Holding Co. * 5,400 268 Advanta Corp., Class B 6,500 158 Affiliated Managers Group, Inc. * 8,150 552 Asset Acceptance Capital Corp. 2,200 47 Asta Funding, Inc. 2,800 75
EQUITY FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED DIVERSIFIED FINANCIAL SERVICES - 1.3% - (CONTINUED) BKF Capital Group, Inc. 1,800 $ 68 Calamos Asset Management, Inc., Class A 7,000 189 Charter Municipal Mortgage Acceptance Co. 15,400 376 Cityscape Financial Corp. * 3,800 - Collegiate Funding Services, Inc. * 3,100 44 CompuCredit Corp. * 6,000 164 Credit Acceptance Corp. * 3,800 97 Education Lending Group, Inc. * 4,600 71 Encore Capital Group, Inc. * 4,000 95 eSPEED, Inc., Class A * 8,000 99 Federal Agricultural Mortgage Corp., Class C * 3,100 72 Financial Federal Corp. 6,000 235 Gabelli Asset Management, Inc., Class A 2,200 107 Greenhill & Co., Inc. 1,200 34 Investment Technology Group, Inc. * 14,700 294 Knight Trading Group, Inc. * 39,000 427 LaBranche & Co., Inc. * 17,800 160 MarketAxess Holdings, Inc. * 2,200 37 Metris Cos., Inc. * 10,800 138 National Financial Partners Corp. 11,100 431 Nelnet, Inc., Class A * 3,000 81 Piper Jaffray Cos. * 6,600 316 Portfolio Recovery Associates, Inc. * 4,000 165 Sanders Morris Harris Group, Inc. 3,800 68 Stifel Financial Corp. * 2,133 45 SWS Group, Inc. 5,077 111 World Acceptance Corp. * 5,700 157 --------- ------ 5,181 --------- ------ ELECTRIC - 1.6% Aquila, Inc. * 79,300 293 Avista Corp. 16,000 283 Black Hills Corp. 11,500 353 Calpine Corp. * 147,900 583 Central Vermont Public Service Corp. 4,200 98 CH Energy Group, Inc. 5,100 245 Cleco Corp. 16,900 342 CMS Energy Corp. * 64,900 678 Duquesne Light Holdings, Inc. 25,400 479 El Paso Electric Co. * 15,900 301 Empire District Electric (The) Co. 8,000 181 Idacorp, Inc. 12,800 391 MGE Energy, Inc. 6,225 224 Ormat Technologies, Inc. * 600 10 Otter Tail Corp. 9,000 230 PNM Resources, Inc. 20,200 511 Sierra Pacific Resources * 38,688 406 UIL Holdings Corp. 4,100 210 Unisource Energy Corp. 11,320 273 --------- ------ 6,091 --------- ------ ELECTRICAL COMPONENTS & EQUIPMENT - 0.9% Advanced Energy Industries, Inc. * 7,100 65 American Superconductor Corp. * 8,100 121 Artesyn Technologies, Inc. * 11,491 130 Belden CDT, Inc. 15,612 362 C&D Technologies, Inc. 8,500 145 Capstone Turbine Corp. * 29,900 55 Cherokee International Corp. * 2,700 26 Encore Wire Corp. * 5,700 76 Energy Conversion Devices, Inc. * 6,800 131 EnerSys * 3,300 50 General Cable Corp. * 13,000 180 GrafTech International Ltd. * 32,400 306 Intermagnetics General Corp. * 9,293 236 Littelfuse, Inc. * 7,400 253 Magnetek, Inc. * 6,900 48 Medis Technologies Ltd. * 4,096 75 Powell Industries, Inc. * 2,300 43 Power-One, Inc. * 21,500 192 Rayovac Corp. * 11,300 345 Ultralife Batteries, Inc. * 5,200 101 Universal Display Corp. * 6,400 58 Valence Technology, Inc. * 20,400 63 Vicor Corp. 6,800 89 Wilson Greatbatch Technologies, Inc. * 7,200 161 --------- ------ 3,311 --------- ------ ELECTRONICS - 2.7% Analogic Corp. 3,800 170 BEI Technologies, Inc. 4,000 124 Bel Fuse, Inc., Class B 3,600 122 Benchmark Electronics, Inc. * 13,750 469 Brady Corp., Class A 6,069 380 California Micro Devices Corp. * 7,400 52 Checkpoint Systems, Inc. * 12,200 220
NORTHERN FUNDS QUARTERLY REPORT 8 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED ELECTRONICS - 2.7% - (CONTINUED) Coherent, Inc. * 10,100 $ 307 CTS Corp. 11,880 158 Cubic Corp. 5,000 126 CyberOptics Corp. * 2,600 39 Cymer, Inc. * 12,100 357 Daktronics, Inc. * 5,200 129 DDi Corp. * 9,800 31 Dionex Corp. * 6,200 351 Electro Scientific Industries, Inc. * 9,400 186 Excel Technology, Inc. * 3,800 99 Faro Technologies, Inc. * 3,500 109 FEI Co. * 8,400 176 Identix, Inc. * 29,700 219 II-VI, Inc. * 3,900 166 Itron, Inc. * 7,000 167 Keithley Instruments, Inc. 4,300 85 Kemet Corp. * 28,400 254 LeCroy Corp. * 2,500 58 Measurement Specialties, Inc. * 3,300 84 Merix Corp. * 6,000 69 Methode Electronics, Inc. 12,142 156 Metrologic Instruments, Inc. * 3,700 79 Molecular Devices Corp. * 4,900 99 Multi-Fineline Electronix, Inc. * 2,300 42 OSI Systems, Inc. * 4,900 111 Park Electrochemical Corp. 5,700 124 Paxar Corp. * 11,620 258 Photon Dynamics, Inc. * 5,900 143 Planar Systems, Inc. * 5,400 61 Plexus Corp. * 14,500 189 RAE Systems, Inc. * 12,400 91 Rofin-Sinar Technologies, Inc. * 5,000 212 Rogers Corp. * 5,500 237 SBS Technologies, Inc. * 5,500 77 Sonic Solutions * 6,000 135 Spatialight, Inc. * 8,300 74 Stoneridge, Inc. * 4,700 71 Sypris Solutions, Inc. 1,900 29 Taser International, Inc. * 16,000 505 Technitrol, Inc. * 13,300 242 Thomas & Betts Corp. * 19,600 603 Trimble Navigation Ltd. * 16,850 557 TTM Technologies, Inc. * 14,100 166 Varian, Inc. * 11,500 472 Viisage Technology, Inc. * 9,800 88 Watts Industries, Inc., Class A 7,600 245 Woodhead Industries, Inc. 3,500 56 Woodward Governor Co. 3,200 229 X-Rite, Inc. 7,100 114 Zygo Corp. * 6,300 74 --------- ------ 10,246 --------- ------ ENERGY-ALTERNATE SOURCES - 0.3% Danielson Holdings Corp. * 15,700 133 FuelCell Energy, Inc. * 14,200 140 Headwaters, Inc. * 11,300 322 KFX, Inc. * 15,000 218 Plug Power, Inc. * 16,171 99 Syntroleum Corp. * 10,400 83 --------- ------ 995 --------- ------ ENGINEERING & CONSTRUCTION - 0.6% Dycom Industries, Inc. * 16,200 494 EMCOR Group, Inc. * 5,100 230 Granite Construction, Inc. 11,162 297 Insituform Technologies, Inc., Class A * 9,500 215 Layne Christensen Co. * 3,000 54 Perini Corp. * 2,200 37 Shaw Group (The), Inc. * 20,700 370 URS Corp. * 10,400 334 Washington Group International, Inc. * 8,500 351 --------- ------ 2,382 --------- ------ ENTERTAINMENT - 1.2% Alliance Gaming Corp. * 16,900 233 Argosy Gaming Co. * 8,600 402 Bluegreen Corp. * 5,500 109 Carmike Cinemas, Inc. 2,600 95 Churchill Downs, Inc. 2,400 107 Dover Downs Gaming & Entertainment, Inc. 2,930 38 Empire Resorts, Inc. 3,200 36 Gaylord Entertainment Co. * 10,200 424 Isle of Capri Casinos, Inc. * 4,500 115 Lakes Gaming, Inc. * 5,100 83 Macrovision Corp. * 16,500 424 Magna Entertainment Corp., Class A * 12,700 77
EQUITY FUNDS 9 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED ENTERTAINMENT - 1.2% - (CONTINUED) Nevada Gold & Casinos, Inc. * 3,000 $ 37 Penn National Gaming, Inc. * 10,700 648 Pinnacle Entertainment, Inc. * 11,600 230 Scientific Games Corp., Class A * 25,600 610 Shuffle Master, Inc. * 7,700 363 Six Flags, Inc. * 30,400 163 Speedway Motorsports, Inc. 4,700 184 Steinway Musical Instruments * 2,000 58 Sunterra Corp. * 6,200 87 Vail Resorts, Inc. * 6,700 150 ------ ----- 4,673 ------ ----- ENVIRONMENTAL CONTROL - 0.6% Aleris International, Inc. * 4,500 76 Calgon Carbon Corp. 11,300 103 Casella Waste Systems, Inc., Class A * 6,600 97 Darling International, Inc. * 22,300 97 Duratek, Inc. * 3,400 85 Ionics, Inc. * 6,100 264 Metal Management, Inc. 6,000 161 Mine Safety Appliances Co. 7,200 365 Tetra Tech, Inc. * 18,591 311 TRC Cos., Inc. * 3,550 60 Waste Connections, Inc. * 16,050 550 ------ ----- 2,169 ------ ----- FOOD - 1.2% American Italian Pasta Co., Class A 5,400 126 Arden Group, Inc., Class A 500 50 Cal-Maine Foods, Inc. 5,100 62 Chiquita Brands International, Inc. 13,300 293 Corn Products International, Inc. 12,100 648 Flowers Foods, Inc. 11,750 371 Gold Kist, Inc. * 4,100 56 Great Atlantic & Pacific Tea Co. * 5,500 56 Hain Celestial Group, Inc. * 8,600 178 Ingles Markets, Inc., Class A 3,000 37 J & J Snack Foods Corp. 2,200 108 Lance, Inc. 9,500 181 M & F Worldwide Corp. * 3,600 49 MGP Ingredients, Inc. 3,300 28 Nash Finch Co. 4,100 155 Pathmark Stores, Inc. * 10,000 58 Performance Food Group Co. * 15,300 412 Provide Commerce, Inc. * 1,700 63 Ralcorp Holdings, Inc. * 10,000 419 Ruddick Corp. 10,500 228 Sanderson Farms, Inc. 3,500 151 Sanfilippo (John B.) & Son * 2,400 62 Seaboard Corp. 120 120 United Natural Foods, Inc. * 13,200 410 Weis Markets, Inc. 3,700 143 Wild Oats Markets, Inc. * 9,450 83 Winn-Dixie Stores, Inc. * 27,600 126 ------ ----- 4,673 ------ ----- FOREST PRODUCTS & PAPER - 0.5% Buckeye Technologies, Inc. * 9,400 122 Caraustar Industries, Inc. * 10,200 172 Deltic Timber Corp. 3,400 144 Glatfelter Co. 9,600 147 Longview Fibre Co. 17,200 312 Pope & Talbot, Inc. 5,400 92 Potlatch Corp. 9,800 496 Rock-Tenn Co., Class A 9,140 139 Schweitzer-Mauduit International, Inc. 5,000 170 Wausau-Mosinee Paper Corp. 14,742 263 ------ ----- 2,057 ------ ----- GAS - 1.5% Atmos Energy Corp. 26,322 720 Cascade Natural Gas Corp. 4,100 87 Energen Corp. 12,100 713 EnergySouth, Inc. 2,250 63 Laclede Group (The), Inc. 6,700 209 New Jersey Resources Corp. 9,050 392 NICOR, Inc. 14,800 547 Northwest Natural Gas Co. 9,050 305 Peoples Energy Corp. 12,500 549 Piedmont Natural Gas Co., Inc. 26,400 613 South Jersey Industries, Inc. 4,413 232 Southern Union Co. * 22,086 530 Southwest Gas Corp. 12,200 310 WGL Holdings, Inc. 16,300 503 ------ ----- 5,773 ------ ----- HAND/MACHINE TOOLS - 0.5% Baldor Electric Co. 10,853 299 Franklin Electric Co., Inc. 5,400 228
NORTHERN FUNDS QUARTERLY REPORT 10 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED HAND/MACHINE TOOLS - 0.5% - (CONTINUED) Kennametal, Inc. 12,100 $ 602 Lincoln Electric Holdings, Inc. 11,200 387 Milacron, Inc. * 11,727 40 Regal-Beloit Corp. 7,800 223 ------ ------ 1,779 ------ ------ HEALTHCARE - PRODUCTS - 3.6% Abaxis, Inc. * 6,400 93 Abiomed, Inc. * 5,600 86 Advanced Medical Optics, Inc. * 11,900 490 Advanced Neuromodulation Systems, Inc. * 6,650 262 Align Technology, Inc. * 17,300 186 American Medical Systems Holdings, Inc. * 8,400 351 Animas Corp. * 1,800 28 Arrow International, Inc. 6,300 195 Arthrocare Corp. * 7,000 224 Aspect Medical Systems, Inc. * 4,500 110 Biolase Technology, Inc. 7,300 79 Biosite, Inc. * 4,300 265 BioVeris Corp. * 7,300 53 Bruker BioSciences Corp. * 7,164 29 Candela Corp. * 7,100 81 Cardiac Science, Inc. * 27,100 58 Cardiodynamics International Corp. * 13,300 69 Cepheid, Inc. * 14,700 146 Closure Medical Corp. * 2,700 53 Conceptus, Inc. * 9,200 75 Conmed Corp. * 10,025 285 CTI Molecular Imaging, Inc. * 10,900 155 Cyberonics, Inc. * 5,800 120 Datascope Corp. 3,800 151 Diagnostic Products Corp. 7,500 413 DJ Orthopedics, Inc. * 6,000 129 Encore Medical Corp. * 11,100 75 Endocardial Solutions, Inc. * 7,900 92 EPIX Medical, Inc. * 7,900 141 Exactech, Inc. * 2,100 38 Haemonetics Corp. of Massachusetts * 6,600 239 Hanger Orthopedic Group, Inc. * 7,100 58 Hologic, Inc. * 6,800 187 ICU Medical, Inc. * 3,900 107 Immucor, Inc. * 14,888 350 Immunicon Corp. * 2,400 17 Intralase Corp., * 2,200 52 Intuitive Surgical, Inc. * 11,200 448 Invacare Corp. 8,612 398 Inverness Medical Innovations, Inc. * 4,200 105 Kensey Nash Corp. * 3,200 111 Kyphon, Inc. * 7,800 201 Laserscope * 6,000 215 LCA-Vision, Inc. 5,150 120 Lifeline Systems, Inc. * 3,400 88 Luminex Corp. * 8,100 72 Medical Action Industries, Inc. * 3,100 61 Mentor Corp. 14,500 489 Merit Medical Systems, Inc. * 8,467 129 Microtek Medical Holdings, Inc. * 12,700 52 Microvision, Inc. * 7,100 50 NuVasive, Inc. * 2,800 29 Oakley, Inc. 6,800 87 Ocular Sciences, Inc. * 6,900 338 OraSure Technologies, Inc. * 13,900 93 Orthologic Corp. * 11,900 74 Orthovita, Inc. * 14,400 60 Palatin Technologies, Inc. * 19,000 51 Palomar Medical Technologies, Inc. * 4,100 107 PolyMedica Corp. 8,600 321 Possis Medical, Inc. * 5,800 78 PSS World Medical, Inc. * 22,450 281 Quidel Corp. * 12,100 61 Sola International, Inc. * 10,500 289 Sonic Innovations, Inc. * 6,700 28 SonoSite, Inc. * 5,300 180 Steris Corp. * 23,300 553 SurModics, Inc. * 4,700 153 Sybron Dental Specialties, Inc. * 12,700 449 Techne Corp. * 13,700 533 Thermogenesis Corp. * 14,000 89 Thoratec Corp. * 14,985 156 TriPath Imaging, Inc. * 9,200 83 Urologix, Inc. * 5,100 33 Ventana Medical Systems, Inc. * 4,500 288 Viasys Healthcare, Inc. * 10,000 190 Visx, Inc. * 16,200 419 Vital Signs, Inc. 2,100 82
EQUITY FUNDS 11 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED HEALTHCARE - PRODUCTS - 3.6% - (CONTINUED) West Pharmaceutical Services, Inc. 9,552 $ 239 Wright Medical Group, Inc. * 8,800 251 Young Innovations, Inc. 1,400 47 Zila, Inc. * 14,100 60 Zoll Medical Corp. * 3,300 114 ------ ------ 13,897 ------ ------ HEALTHCARE - SERVICES - 2.1% Alliance Imaging, Inc. * 3,600 40 Amedisys, Inc. * 4,400 143 America Service Group, Inc. * 3,950 106 American Healthways, Inc. * 9,700 320 AMERIGROUP Corp. * 8,200 620 Amsurg Corp. * 10,200 301 Apria Healthcare Group, Inc. * 16,600 547 Beverly Enterprises, Inc. * 35,700 327 Bio-Reference Labs, Inc. * 2,800 49 Centene Corp. * 13,600 386 Genesis HealthCare Corp. * 6,650 233 Gentiva Health Services, Inc. * 8,600 144 Kindred Healthcare, Inc. * 8,900 267 LabOne, Inc. * 6,100 195 LifePoint Hospitals, Inc. * 12,600 439 Matria Healthcare, Inc. * 3,500 137 Medcath Corp. * 2,200 54 Molina Healthcare, Inc. * 3,300 153 National Healthcare Corp. 2,300 81 OCA, Inc. * 14,100 90 Odyssey HealthCare, Inc. * 12,175 167 Option Care, Inc. 4,900 84 Pediatrix Medical Group, Inc. * 7,500 480 Province Healthcare Co. * 6,350 365 Psychiatric Solutions, Inc. * 3,800 139 Radiation Theraphy Services, Inc. * 2,400 41 RehabCare Group, Inc. * 5,300 148 Res-Care, Inc. * 6,200 94 Select Medical Corp. 30,700 540 Sierra Health Services * 7,700 424 Specialty Laboratories * 2,500 28 Sunrise Senior Living, Inc. * 5,300 246 Symbion, Inc. * 3,300 73 United Surgical Partners International, Inc. * 9,400 392 VistaCare, Inc., Class A * 3,400 57 WellCare Health Plans, Inc. * 2,800 91 ------ ------ 8,001 ------ ------ HOLDING COMPANIES - DIVERSIFIED - 0.1% Resource America, Inc., Class A 5,400 176 Walter Industries, Inc. 7,900 266 ------ ------ 442 ------ ------ HOME BUILDERS - 1.0% Beazer Homes USA, Inc. 4,550 665 Brookfield Homes Corp. 5,000 170 Champion Enterprises, Inc. * 23,608 279 Coachmen Industries, Inc. 4,900 85 Dominion Homes, Inc. * 1,600 40 Fleetwood Enterprises, Inc. * 17,900 241 Levitt Corp. * 5,200 159 M/I Homes, Inc. 4,000 220 Meritage Corp. * 3,500 395 Monaco Coach Corp. 8,800 181 Orleans Homebuilders, Inc. * 1,200 24 Palm Harbor Homes, Inc. * 3,512 59 Skyline Corp. 2,100 86 Technical Olympic USA, Inc. 2,800 71 Thor Industries, Inc. 11,896 441 WCI Communities, Inc. * 11,300 332 William Lyon Homes, Inc. * 1,400 98 Winnebago Industries, Inc. 8,600 336 ------ ------ 3,882 ------ ------ HOME FURNISHINGS - 0.5% American Woodmark Corp. 3,800 166 Applica, Inc. * 6,853 41 Bassett Furniture Industries, Inc. 3,500 69 Digital Theater Systems, Inc. * 5,800 117 Ethan Allen Interiors, Inc. 11,000 440 Furniture Brands International, Inc. 16,400 411 Hooker Furniture Corp. 2,700 61 Kimball International, Inc., Class B 7,800 116 La-Z-Boy, Inc. 17,500 269 Stanley Furniture Co., Inc. 2,100 94 Tempur-Pedic International, Inc., * 6,400 136 TiVo, Inc. * 16,200 95 Universal Electronics, Inc. * 4,900 86 ------ ------ 2,101 ------ ------
NORTHERN FUNDS QUARTERLY REPORT 12 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED HOUSEHOLD PRODUCTS/WARES - 0.9% American Greetings Corp., Class A 21,100 $ 535 Blyth, Inc. 9,600 284 Central Garden and Pet Co. * 5,700 238 CSS Industries, Inc. 2,000 63 Ennis Business Forms, Inc. 8,500 164 Harland (John H.) Co. 9,500 343 Jarden Corp. * 9,000 391 Playtex Products, Inc. * 12,500 100 Russ Berrie & Co., Inc. 2,500 57 Standard Register (The) Co. 4,100 58 Tupperware Corp. 17,200 356 Water Pik Technologies, Inc. * 2,700 48 WD-40 Co. 6,070 172 Yankee Candle Co., Inc. * 16,600 551 ------ ------ 3,360 ------ ------ HOUSEWARES - 0.2% Libbey, Inc. 4,400 98 Lifetime Hoan Corp. 2,700 43 National Presto Industries, Inc. 1,700 77 Toro Co. 7,600 618 ------ ------ 836 ------ ------ INSURANCE - 2.4% 21st Century Insurance Group 8,200 112 Affirmative Insurance Holdings, Inc. 2,400 40 Alfa Corp. 12,100 184 American Equity Investment Life Holding Co. * 7,100 77 American Physicians Capital, Inc. * 2,800 101 AmerUs Group Co. 13,100 593 Argonaut Group, Inc. * 8,100 171 Baldwin & Lyons, Inc., Class B 2,650 71 Bristol West Holdings, Inc. 5,600 112 Ceres Group, Inc. 8,700 45 Citizens, Inc. * 11,326 72 CNA Surety Corp. * 5,600 75 Commerce Group, Inc. 8,100 494 Delphi Financial Group, Inc., Class A 8,178 377 Direct General Corp. 5,700 183 Donegal Group, Inc., Class A 1,600 37 Enstar Group, Inc. * 1,100 69 FBL Financial Group, Inc., Class A 4,100 117 First Acceptance Corp. * 5,700 51 FPIC Insurance Group, Inc. * 2,900 103 Great American Financial Resources, Inc. 2,360 41 Harleysville Group, Inc. 5,000 119 Hilb, Rogal & Hamilton Co. 10,200 370 Horace Mann Educators Corp. 14,400 275 Independence Holding Co. 1,980 37 Infinity Property & Casualty Corp. 6,900 243 Kansas City Life Insurance Co. 1,300 62 Landamerica Financial Group, Inc. 5,900 318 Midland (The) Co. 2,700 84 National Western Life Insurance Co., Class A * 800 133 Navigators Group, Inc. * 2,600 78 Ohio Casualty Corp. * 20,400 474 Penn-America Group, Inc. 3,900 59 Philadelphia Consolidated Holding Co. * 5,900 390 Phoenix Companies, Inc. 31,300 391 PMA Capital Corp., Class A * 9,100 94 Presidential Life Corp. 6,800 115 ProAssurance Corp. * 8,546 334 RLI Corp. 7,426 309 Safety Insurance Group, Inc. 3,300 103 Selective Insurance Group, Inc. 9,300 411 State Auto Financial Corp. 4,400 114 Stewart Information Services Corp. 5,500 229 Tower Group, Inc. 4,400 53 Triad Guaranty, Inc. * 3,000 181 UICI 12,700 431 United Fire & Casualty Co. 5,200 175 Universal American Financial Corp. * 8,700 135 USI Holdings Corp. * 11,700 135 Vesta Insurance Group, Inc. 13,100 48 Zenith National Insurance Corp. 3,600 179 ------ ------ 9,204 ------ ------ INTERNET - 3.5% 1-800 Contacts, Inc. * 2,200 48 1-800-FLOWERS.COM, Inc., Class A * 8,200 69 24/7 Real Media, Inc. * 11,100 48 Agile Software Corp. * 17,200 140 Alloy, Inc. * 11,800 95 Answerthink, Inc. * 16,300 76 Aquantive, Inc. * 15,800 141 Ariba, Inc. * 19,954 331 AsiaInfo Holdings, Inc. * 12,900 77
EQUITY FUNDS 13 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED INTERNET - 3.5% - (CONTINUED) At Road, Inc. * 12,000 $ 83 Autobytel.com, Inc. * 14,700 89 Blue Coat Systems, Inc. * 3,400 63 Blue Nile, Inc. * 1,400 39 Chordiant Software, Inc. * 26,100 59 CMGI, Inc. * 147,900 377 CNET Networks, Inc. * 42,500 477 Corillian Corp. * 11,900 59 CyberSource Corp. * 10,100 72 Digital Insight Corp. * 11,700 215 Digital River, Inc. * 10,700 445 Digitas, Inc. * 23,900 228 DoubleClick, Inc. * 38,000 296 Drugstore.com, Inc. * 16,100 55 E.piphany, Inc. * 24,000 116 Earthlink, Inc. * 43,800 505 eCollege.com, Inc. * 5,800 66 Entrust, Inc. * 23,000 87 Equinix, Inc. * 3,300 141 eResearch Technology, Inc. * 14,775 234 F5 Networks, Inc. * 11,500 560 FindWhat.com * 8,500 151 First Advantage Corp. * 1,400 29 GSI Commerce, Inc. * 6,200 110 Harris Interactive, Inc. * 17,400 137 Homestore, Inc. * 36,400 110 Infospace, Inc. * 10,700 509 Interchange Corp. * 1,300 24 Internet Capital Group, Inc. * 13,400 121 Internet Security Systems, Inc. * 12,800 298 Interwoven, Inc., * 14,100 153 Ipass, Inc. * 15,500 115 iVillage, Inc. * 9,900 61 j2 Global Communications, Inc. * 6,400 221 Jupitermedia Corp. * 5,500 131 Keynote Systems, Inc. * 5,500 77 Kintera, Inc. * 2,400 22 Lionbridge Technologies * 16,400 110 LookSmart Ltd. * 32,500 71 Marketwatch.com, Inc. * 3,500 63 Matrixone, Inc. * 17,000 111 Neoforma, Inc. * 2,800 22 Net2Phone, Inc. * 13,400 46 NetBank, Inc. 16,500 172 Netratings, Inc. * 3,800 73 NIC, Inc. * 11,000 56 Openwave Systems, Inc. * 21,533 333 Opsware, Inc. * 17,200 126 Overstock.com, Inc. * 3,900 269 PC-Tel, Inc. * 8,000 63 Portal Software, Inc. * 11,620 31 Priceline.com, Inc. * 7,866 186 Procurenet, Inc. * 7,500 - ProQuest Co. * 8,000 238 RealNetworks, Inc. * 37,500 248 Redback Networks, Inc. * 10,941 59 RightNow Technologies, Inc. * 2,600 42 RSA Security, Inc. * 23,200 465 S1 Corp. * 23,300 211 Safeguard Scientifics, Inc. * 42,200 89 Sapient Corp. * 26,000 206 Secure Computing Corp. * 11,800 118 Seebeyond Technology Corp. * 17,300 62 Sohu.com, Inc. * 7,300 129 SonicWALL, Inc. * 20,900 132 Stamps.com, Inc. * 5,950 94 Stellent, Inc. * 7,300 64 SupportSoft, Inc. * 13,200 88 Travelzoo, Inc. * 500 48 TriZetto Group, Inc. * 10,900 104 Tumbleweed Communications Corp. * 17,500 58 United Online, Inc. * 17,900 206 Valueclick, Inc. * 26,600 355 Verity, Inc. * 9,900 130 Verso Technologies, Inc. * 46,300 33 Vignette Corp. * 79,000 110 WatchGuard Technologies, Inc. * 11,800 52 WebEx Communications, Inc. * 10,000 238 webMethods, Inc. * 15,400 111 Websense, Inc. * 7,700 391 Zix Corp. * 7,600 39 ------- ------ 13,412 ------- ------ INVESTMENT COMPANIES - 0.2% Apollo Investment Corp. * 20,700 313
NORTHERN FUNDS QUARTERLY REPORT 14 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED INVESTMENT COMPANIES - 0.2% - (CONTINUED) Ares Capital Corp. 3,200 $ 62 Capital Southwest Corp. 800 63 Harris & Harris Group, Inc. * 5,200 85 MCG Capital Corp. 12,100 207 NGP Capital Resources Co. * 4,300 66 ------ ------ 796 ------ ------ IRON/STEEL - 1.0% AK Steel Holding Corp. * 36,200 524 Allegheny Technologies, Inc. 31,800 689 Carpenter Technology Corp. 8,000 468 Cleveland-Cliffs, Inc. 3,600 374 Gibraltar Industries, Inc. 7,850 185 Oregon Steel Mills, Inc. * 11,400 231 Reliance Steel & Aluminum Co. 9,450 368 Ryerson Tull, Inc. 7,932 125 Schnitzer Steel Industries, Inc., Class A 6,600 224 Steel Dynamics, Inc. 12,500 474 Steel Technologies, Inc. 3,300 91 Wheeling-Pittsburgh Corp. * 2,700 104 ------ ------ 3,857 ------ ------ LEISURE TIME - 0.4% Ambassadors Group, Inc. 2,500 89 Arctic Cat, Inc. 5,025 133 Callaway Golf Co. 22,600 305 Escalade, Inc. * 3,000 40 K2, Inc. * 14,000 222 Life Time Fitness, Inc. * 3,600 93 Marine Products Corp. 3,000 78 Multimedia Games, Inc. * 7,900 124 Nautilus Group, Inc. 9,337 226 Navigant International, Inc. * 5,400 66 Pegasus Solutions, Inc. * 7,900 100 WMS Industries, Inc. * 6,400 215 ------ ------ 1,691 ------ ------ LODGING - 0.5% Ameristar Casinos, Inc. 4,100 177 Aztar Corp. * 11,300 394 Boyd Gaming Corp. 15,200 633 La Quinta Corp. * 62,600 569 Marcus Corp. 6,725 169 MTR Gaming Group, Inc. * 8,500 90 ------ ------ 2,032 ------ ------ MACHINERY - CONSTRUCTION & MINING - 0.5% Astec Industries, Inc. * 4,800 82 Bucyrus International, Inc. 4,100 167 JLG Industries, Inc. 14,400 283 Joy Global, Inc. 16,900 734 Terex Corp. * 16,400 781 ------ ------ 2,047 ------ ------ MACHINERY - DIVERSIFIED - 1.4% Albany International Corp., Class A 8,667 305 Applied Industrial Technologies, Inc. 8,602 236 Cascade Corp. 3,500 140 Cognex Corp. 13,400 374 Flowserve Corp. * 17,900 493 Gardner Denver, Inc. * 6,550 238 Global Power Equipment Group, Inc. * 10,600 104 Gorman-Rupp (The) Co. 3,250 75 IDEX Corp. 16,712 677 Intevac, Inc. * 4,700 35 Kadant, Inc. * 4,320 89 Lindsay Manufacturing Co. 4,255 110 Manitowoc Co. (The), Inc. 8,850 333 Middleby Corp. * 1,700 86 NACCO Industries, Inc., Class A 1,500 158 Nordson Corp. 9,300 373 Presstek, Inc. * 8,900 86 Robbins & Myers, Inc. 4,000 95 Sauer-Danfoss, Inc. 3,500 76 Stewart & Stevenson Services, Inc. 9,500 192 Tecumseh Products Co., Class A 5,400 258 Tennant Co. 2,800 111 Thomas Industries, Inc. 4,623 184 UNOVA, Inc. * 16,000 405 Wabtec Corp. 13,274 283 ------ ------ 5,516 ------ ------ MEDIA - 1.3% 4Kids Entertainment, Inc. * 4,700 99 Charter Communications, Inc., Class A * 93,700 210 Courier Corp. 1,950 101 Crown Media Holdings, Inc., Class A * 4,000 34 Cumulus Media, Inc., Class A * 16,376 247
EQUITY FUNDS 15 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED MEDIA - 1.3% - (CONTINUED) Emmis Communications Corp., Class A * 16,300 $ 313 Entravision Communications Corp., Class A * 15,900 133 Fisher Communications, Inc. * 2,000 98 Gray Television, Inc. 14,600 226 Hollinger International, Inc. 19,300 303 Insight Communications Co., Inc., Class A * 14,800 137 Journal Communications, Inc., Class A 6,700 121 Journal Register Co. * 14,400 278 Liberty Corp. 5,200 229 Lin TV Corp., Class A * 9,000 172 Lodgenet Entertainment Corp. * 4,700 83 Martha Stewart Living Omnimedia, Inc., Class A * 3,900 113 Mediacom Communications Corp. * 23,400 146 Nexstar Broadcasting Group, Inc. * 3,800 35 Paxson Communications Corp. * 15,800 22 Playboy Enterprises, Inc., Class B * 6,500 80 Primedia, Inc. * 45,200 172 Pulitzer, Inc. 2,600 169 Readers Digest Association (The), Inc. 33,400 465 Regent Communications, Inc. * 12,500 66 Saga Communications, Inc., Class A * 4,881 82 Salem Communications Corp., Class A * 3,400 85 Scholastic Corp. * 10,100 373 Sinclair Broadcast Group, Inc., Class A 15,800 146 Spanish Broadcasting System, Inc., Class A * 13,400 141 Thomas Nelson, Inc. 3,600 81 Value Line, Inc. 500 20 World Wrestling Entertainment, Inc. 4,400 53 Young Broadcasting, Inc., Class A * 5,800 61 ------ ------ 5,094 ------ ------ METAL FABRICATION/HARDWARE - 0.6% CIRCOR International, Inc. 4,600 107 Commercial Metals Co. 9,620 486 Kaydon Corp. 9,400 310 Lawson Products, Inc. 1,700 86 Metals USA, Inc. * 6,800 126 Mueller Industries, Inc. 11,600 374 NN, Inc. 4,800 63 NS Group, Inc. * 6,100 170 Penn Engineering & Manufacturing Corp. 3,600 65 Quanex Corp. 5,400 370 Valmont Industries, Inc. 5,100 128 ------ ------ 2,285 ------ ------ MINING - 0.5% Amcol International Corp. 6,814 137 Brush Engineered Materials, Inc. * 6,300 117 Century Aluminum Co. * 6,300 165 Coeur D'alene Mines Corp. * 79,400 312 Compass Minerals International, Inc. 5,500 133 Hecla Mining Co. * 39,100 228 Royal Gold, Inc. 6,000 110 RTI International Metals, Inc. * 7,000 144 Stillwater Mining Co. * 13,250 149 Titanium Metals Corp. * 2,200 53 USEC, Inc. 28,200 273 ------ ------ 1,821 ------ ------ MISCELLANEOUS MANUFACTURING - 1.7% Actuant Corp., Class A * 8,755 456 Acuity Brands, Inc. 14,200 451 Ameron International Corp. 2,500 95 Applied Films Corp. * 4,900 106 Aptargroup, Inc. 12,200 644 Barnes Group, Inc. 4,532 120 Blount International, Inc. * 2,400 42 Ceradyne, Inc. * 5,300 303 Clarcor, Inc. 8,412 461 Cuno, Inc. * 5,650 336 EnPro Industries, Inc. * 7,000 207 ESCO Technologies, Inc. * 4,300 329 Federal Signal Corp. 15,800 279 Flanders Corp. * 5,100 49 Griffon Corp. * 7,763 209 Hexcel Corp. * 7,507 109 Jacuzzi Brands, Inc. * 25,200 219 Lancaster Colony Corp. 9,000 386 Matthews International Corp., Class A 10,600 390 Myers Industries, Inc. 7,406 95 Quixote Corp. 2,200 45 Raven Industries, Inc. 5,700 121 Smith (A.O.) Corp. 5,800 174 Standex International Corp. 3,900 111 Sturm Ruger & Co., Inc. 7,500 68 Tredegar Corp. 9,150 185
NORTHERN FUNDS QUARTERLY REPORT 16 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 98.4% - CONTINUED MISCELLANEOUS MANUFACTURING - 1.7% - (CONTINUED) Trinity Industries, Inc. 12,200 $ 416 ------ ------- 6,406 ------ ------- OFFICE FURNISHINGS - 0.0% Interface, Inc., Class A * 14,900 149 ------ ------- OFFICE/BUSINESS EQUIPMENT - 0.1% General Binding Corp. * 2,100 28 Global Imaging System, Inc. * 7,700 304 Imagistics International, Inc. * 5,600 188 ------ ------- 520 ------ ------- OIL & GAS - 3.4% Atwood Oceanics, Inc. * 3,800 198 Berry Petroleum Co., Class A 6,000 286 Brigham Exploration Co. * 8,300 75 Cabot Oil & Gas Corp. 10,900 482 Callon Petroleum Co. * 4,600 67 Cheniere Energy, Inc. * 8,500 541 Cimarex Energy Co. * 13,800 523 Clayton Williams Energy, Inc. * 2,100 48 Comstock Resources, Inc. * 11,300 249 Delta Petroleum Corp. * 6,800 107 Denbury Resources, Inc. * 18,100 497 Edge Petroleum Corp. of Delaware * 4,800 70 Encore Acquisition Co. * 7,900 276 Energy Partners Ltd. * 8,000 162 Forest Oil Corp. * 16,900 536 Frontier Oil Corp. 9,200 245 FX Energy, Inc. * 10,300 120 Giant Industries, Inc. * 3,500 93 Grey Wolf, Inc. * 61,200 323 Harvest Natural Resources, Inc. * 11,900 206 Helmerich & Payne, Inc. 16,600 565 Holly Corp. 6,800 190 Houston Exploration Co. * 4,200 237 KCS Energy, Inc. * 15,900 235 Magnum Hunter Resources, Inc. * 29,200 377 McMoRan Exploration Co. * 6,600 123 Meridian Resource Corp. * 19,512 118 Mission Resources Corp. * 14,400 84 Parker Drilling Co. * 30,700 121 Penn Virginia Corp. 6,000 243 Petroleum Development Corp. * 5,500 212 Plains Exploration & Production Co. * 25,703 668 Quicksilver Resources, Inc. * 9,800 360 Range Resources Corp. 22,500 460 Remington Oil & Gas Corp. * 7,100 193 Southwestern Energy Co. * 12,100 613 Spinnaker Exploration Co. * 8,300 291 St. Mary Land & Exploration Co. 9,500 397 Stone Energy Corp. * 7,576 342 Swift Energy Co. * 8,990 260 Tesoro Petroleum Corp. * 21,800 695 Todco * 4,000 74 Unit Corp. * 12,600 481 Vintage Petroleum, Inc. 17,100 388 Whiting Petroleum Corp. * 8,900 269 ------ ------- 13,100 ------ ------- OIL & GAS SERVICES - 1.4% Cal Dive International, Inc. * 12,700 518 CARBO Ceramics, Inc. 4,200 290 Dril-Quip, Inc. * 2,200 53 Global Industries Ltd. * 27,300 226 Gulf Island Fabrication, Inc. 3,100 68 Hanover Compressor Co. * 25,600 362 Hydril Co. * 5,300 241 Input/Output, Inc. * 21,000 186 Key Energy Services, Inc. * 43,500 513 Lone Star Technologies, Inc. * 9,500 318 Lufkin Industries, Inc. 2,100 84 Matrix Service Co. * 6,200 50 Maverick Tube Corp. * 14,000 424 Newpark Resources, Inc. * 26,880 138 Oceaneering International, Inc. * 8,200 306 Oil States International, Inc. * 9,800 189 RPC, Inc. 3,394 85 Seacor Holdings, Inc. * 6,100 326 Superior Energy Services, Inc. * 18,300 282 Tetra Technologies, Inc. * 7,400 209 Universal Compression Holdings, Inc. * 5,800 203 Veritas DGC, Inc. * 11,200 251 W-H Energy Services, Inc. * 8,900 199 ------ ------- 5,521 ------ ------- PACKAGING & CONTAINERS - 0.4% Anchor Glass Container Corp. * 3,000 20 Chesapeake Corp. 6,100 166
EQUITY FUNDS 17 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED PACKAGING & CONTAINERS - 0.4% - (CONTINUED) Crown Holdings, Inc. * 55,000 $ 756 Graphic Packaging Corp. * 21,500 155 Greif Inc., Class A 4,300 241 Silgan Holdings, Inc. 3,800 231 ------ ------ 1,569 ------ ------ PHARMACEUTICALS - 3.3% Abgenix, Inc. * 26,900 278 Able Laboratories, Inc. * 6,000 137 Accelrys, Inc. * 9,100 71 Adolor Corp. * 13,400 133 Alkermes, Inc. * 30,000 423 Alpharma, Inc., Class A 12,750 216 Antigenics, Inc. * 8,900 90 Array Biopharma, Inc. * 8,600 82 Atherogenics, Inc. * 12,400 292 Bentley Pharmaceuticals, Inc. * 4,500 48 Bioenvision, Inc. * 7,700 69 BioMarin Pharmaceuticals, Inc. * 22,300 143 Bone Care International, Inc. * 5,600 156 Bradley Pharmaceuticals, Inc. * 4,900 95 Cell Therapeutics, Inc. * 21,300 173 Connetics Corp. * 10,400 253 Corixa Corp. * 20,205 74 Cubist Pharmaceuticals, Inc. * 13,800 163 CV Therapeutics, Inc. * 10,600 244 Cypress Bioscience, Inc. * 10,400 146 Dendreon Corp. * 19,400 209 Depomed, Inc. * 8,000 43 Discovery Laboratories, Inc. * 16,600 132 Dov Pharmaceutical, Inc. * 5,100 92 Durect Corp. * 11,200 37 Dusa Pharmaceuticals, Inc. * 5,600 80 Dyax Corp. * 9,200 66 First Horizon Pharmaceutical Corp. * 8,800 201 Genta, Inc. * 20,800 37 Guilford Pharmaceuticals, Inc. * 15,400 76 HealthExtras, Inc. * 6,100 99 Hollis-Eden Pharmaceutical * 5,100 48 I-Flow Corp. * 6,000 109 Impax Laboratories, Inc. * 16,500 262 Indevus Pharmaceuticals, Inc. * 14,400 86 Inkine Pharmaceutical Co. * 17,100 93 Inspire Pharmaceuticals, Inc. * 13,600 228 Isis Pharmaceuticals, Inc. * 18,100 107 Isolagen, Inc. * 8,000 63 Ista Pharmaceuticals, Inc. * 2,900 29 Kos Pharmaceuticals, Inc. * 4,000 151 KV Pharmaceutical Co., Class A * 11,800 260 Lannett Co., Inc. * 2,050 20 Ligand Pharmaceuticals, Inc., Class B * 24,351 283 Mannatech, Inc. 5,100 97 MannKind Corp. * 4,700 74 Medarex, Inc. * 26,600 287 Medicines Co. * 15,900 458 Nabi Biopharmaceuticals * 19,400 284 Natures Sunshine Products, Inc. 3,200 65 NeighborCare, Inc. * 12,600 387 NeoPharm, Inc. * 6,010 75 Neurogen Corp. * 7,300 68 NitroMed, Inc. * 3,300 88 Noven Pharmaceuticals, Inc. * 7,900 135 NPS Pharmaceuticals, Inc. * 12,400 227 Nutraceutical International Corp. * 3,100 48 Nuvelo, Inc. * 10,133 100 Onyx Pharmaceuticals, Inc. * 11,600 376 Pain Therapeutics, Inc. * 11,500 83 Par Pharmaceutical Cos., Inc. * 11,500 476 Penwest Pharmaceuticals Co. * 5,800 69 Perrigo Co. 21,200 366 PetMed Express, Inc. * 3,600 27 Pharmacyclics, Inc. * 7,100 74 Pharmion Corp. * 5,000 211 Pharmos Corp. * 30,500 43 Pozen, Inc. * 8,500 62 Priority Healthcare Corp., Class B * 9,700 211 Progenics Pharmaceuticals, Inc. * 3,500 60 Renovis, Inc. * 2,500 36 Rigel Pharmaceuticals, Inc. * 3,600 88 Salix Pharmaceuticals Ltd. * 12,600 222 Santarus, Inc. * 2,500 23 Sciclone Pharmaceuticals, Inc. * 15,600 58 Star Scientific, Inc. * 9,300 47 Tanox, Inc. * 7,900 120 Trimeris, Inc. * 5,700 81
NORTHERN FUNDS QUARTERLY REPORT 18 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 98.4% - CONTINUED PHARMACEUTICALS - 3.3% - (CONTINUED) United Therapeutics Corp. * 6,300 $ 285 USANA Health Sciences, Inc. * 3,500 120 Valeant Pharmaceuticals International 27,900 735 Vicuron Pharmaceuticals, Inc. * 17,300 301 Vion Pharmaceuticals, Inc. * 18,400 86 Zymogenetics, Inc. * 6,200 143 ------ ------- 12,893 ------ ------- PIPELINES - 0.0% Transmontaigne, Inc. * 6,200 38 ------ ------- REAL ESTATE - 0.4% Avatar Holdings, Inc. * 1,800 87 CB Richard Ellis Group, Inc. * 8,600 289 Consolidated-Tomoka Land Co. 2,000 86 Jones Lang LaSalle, Inc. * 10,700 400 LNR Property Corp. 5,700 359 Reading International, Inc., Class A * 4,900 41 Tarragon Realty Investors, Inc. * 2,375 42 Trammell Crow Co. * 10,900 197 ZipRealty, Inc. * 800 14 ------ ------- 1,515 ------ ------- REITS - 7.0% Aames Investment Corp. 11,300 121 Acadia Realty Trust 7,900 129 Affordable Residential Communities 9,200 132 Alexander's, Inc. * 700 151 Alexandria Real Estate Equities, Inc. 6,400 476 American Campus Communities, Inc., 4,600 103 American Financial Realty Trust 36,600 592 American Home Mortgage Investment Corp. 11,505 394 AMLI Residential Properties Trust 8,100 259 Anthracite Capital, Inc. 17,700 219 Anworth Mortgage Asset Corp. 14,500 155 Arbor Realty Trust, Inc. 1,900 47 Ashford Hospitality Trust, Inc. 8,100 88 Bedford Property Investors, Inc. 4,800 136 BIMINI Mortgage Management , Inc. CL A 4,500 72 BioMed Realty Trust, Inc. 11,400 253 Brandywine Realty Trust 16,100 473 Capital Automotive 12,445 442 Capital Lease Funding, Inc. 8,500 106 Capital Trust, Class A 3,600 111 Capstead Mortgage Corp. 6,950 73 CarrAmerica Realty Corp. 18,100 597 Cedar Shopping Centers, Inc. 6,200 89 Colonial Properties Trust 6,300 247 Commercial Net Lease Realty * 16,600 342 Cornerstone Realty Income Trust, Inc. 18,500 185 Corporate Office Properties Trust 11,900 349 Correctional Properties Trust 3,600 104 Cousins Properties, Inc. 12,100 366 CRT Properties, Inc. 8,900 212 Digital Realty Trust, Inc. 5,500 74 EastGroup Properties, Inc. 6,700 257 Entertainment Properties Trust 8,200 365 Equity Inns, Inc. 15,900 187 Equity Lifestyle Properties, Inc. 6,200 222 Equity One, Inc. 11,200 266 Essex Property Trust, Inc. 7,600 637 Extra Space Storage, Inc. 7,500 100 FelCor Lodging Trust, Inc. * 16,500 242 First Industrial Realty Trust, Inc. 13,700 558 Gables Residential Trust 9,700 347 Getty Realty Corp. 5,500 158 Glenborough Realty Trust, Inc. 9,200 196 Glimcher Realty Trust 12,500 346 Global Signal, Inc. 2,700 74 GMH Communities Trust 8,800 124 Government Properties Trust, Inc. 7,200 71 Gramercy Capital Corp/New York 3,800 78 Healthcare Realty Trust, Inc. 15,900 647 Heritage Property Investment Trust 9,300 298 Highland Hospitality Corp. 11,500 129 Highwoods Properties, Inc. 18,000 499 Home Properties of New York, Inc. 10,700 460 HomeBanc Corp./Atlanta GA 12,400 120 IMPAC Mortgage Holdings, Inc. 24,800 562 Innkeepers USA Trust 10,900 155 Investors Real Estate Trust 12,600 132 Kilroy Realty Corp. 9,500 406 Kite Realty Group Trust 7,400 113 Kramont Realty Trust 7,500 176 LaSalle Hotel Properties 9,000 286 Lexington Corporate Properties Trust 15,600 352 LTC Properties, Inc. 4,700 94
EQUITY FUNDS 19 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED REITS - 7.0% - (CONTINUED) Luminent Mortgage Capital, Inc. 12,000 $ 143 Maguire Properties, Inc. 11,300 310 Meristar Hospitality Corp. * 27,946 233 MFA Mortgage Investments, Inc. 25,700 227 Mid-America Apartment Communities, Inc. 5,700 235 Mission West Properties 5,400 57 MortgageIT Holdings, Inc. 5,600 101 National Health Investors, Inc. 7,800 228 Nationwide Health Properties, Inc. 22,100 525 New Century Financial Corp. 13,300 850 Newcastle Investment Corp. 11,600 369 Novastar Financial, Inc. 8,900 441 OMEGA Healthcare Investors, Inc. 14,800 175 Parkway Properties, Inc. 3,800 193 Pennsylvania Real Estate Investment Trust 10,501 449 Post Properties, Inc. 13,200 461 Prentiss Properties Trust 14,800 565 PS Business Parks, Inc. 5,000 226 RAIT Investment Trust 8,000 224 Ramco-Gershenson Properties 5,400 174 Realty Income Corp. 13,200 668 Redwood Trust, Inc. 5,800 360 Saul Centers, Inc. 4,200 161 Saxon Capital, Inc. 17,200 413 Senior Housing Properties Trust 17,300 328 Sovran Self Storage, Inc. 5,400 228 Strategic Hotel Capital, Inc. 7,600 125 Summit Properties, Inc. 9,400 306 Sun Communities, Inc. 5,300 213 Sunstone Hotel Investors, Inc. 6,700 139 Tanger Factory Outlet Centers, Inc. 9,800 259 Taubman Centers, Inc. 16,700 500 Town & Country Trust (The) 6,400 177 U-Store-It Trust 7,900 137 U.S. Restaurant Properties, Inc. 8,500 154 Universal Health Realty Income, Inc. 3,800 122 Urstadt Biddle Properties, Class A 7,400 126 Washington Real Estate Investment Trust 13,700 464 Winston Hotels, Inc. 7,600 90 ------ ------ 26,910 ------ ------ RETAIL - 5.7% 99 Cents Only Stores * 16,100 260 AC Moore Arts & Crafts, Inc. * 4,900 141 Aeropostale, Inc. * 18,500 544 America's Car Mart, Inc. * 2,100 80 Asbury Automotive Group, Inc. * 4,500 62 Bebe Stores, Inc. 3,000 81 Big 5 Sporting Goods Corp. * 7,000 204 BJ's Restaurants, Inc. * 3,800 53 Blair Corp. 2,500 89 Bob Evans Farms, Inc. 11,600 303 Bombay (The) Co., Inc. * 12,900 71 Bon-Ton Stores 2,100 33 Brookstone, Inc. * 7,075 138 Brown Shoe Co., Inc. 6,000 179 Buckle (The), Inc. * 2,600 77 Buffalo Wild Wings, Inc. * 1,900 66 Build-A-Bear Workshop, Inc. * 3,200 113 Burlington Coat Factory Warehouse Corp. 6,060 138 Cache, Inc. * 3,600 65 California Pizza Kitchen, Inc. * 6,400 147 Casey's General Stores, Inc. 16,500 300 Cash America International, Inc. 9,400 279 Casual Male Retail Group, Inc. 10,300 56 Cato (The) Corp., Class A 6,200 179 CBRL Group, Inc. 16,500 691 CEC Entertainment, Inc. * 12,450 498 Charlotte Russe Holding, Inc. * 4,400 44 Charming Shoppes, Inc. * 38,700 363 Children's Place Retail Stores (The), Inc. * 5,700 211 Christopher & Banks Corp. 12,425 229 CKE Restaurants, Inc. * 17,400 253 Coldwater Creek, Inc. * 7,275 225 Cosi, Inc. * 7,300 44 Cost Plus, Inc. of California * 7,275 234 CSK Auto Corp. * 15,500 260 Dave & Buster's, Inc. * 3,700 75 Deb Shops, Inc. 1,500 38 Dick's Sporting Goods, Inc. * 10,000 352 Domino's Pizza, Inc. 8,600 153 Dress Barn, Inc. * 6,800 120 Electronics Boutique Holdings Corp. * 3,900 167 Finish Line (The), Inc., Class A * 12,400 227 First Cash Financial Services, Inc. * 4,200 112
NORTHERN FUNDS QUARTERLY REPORT 20 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED RETAIL - 5.7% - (CONTINUED) Fred's, Inc. 13,325 $ 232 GameStop Corp. * 12,400 278 Gander Mountain Co. 2,400 31 Genesco, Inc. * 7,000 218 Goody's Family Clothing, Inc. 6,200 57 Group 1 Automotive, Inc. * 6,300 198 Guitar Center, Inc. * 8,100 427 Hancock Fabrics, Inc. 6,700 69 Haverty Furniture Cos., Inc. 5,800 107 Hibbett Sporting Goods, Inc. * 8,162 217 Hollywood Entertainment Corp. * 17,800 233 HOT Topic, Inc. * 16,025 275 IHOP Corp. 6,700 281 Insight Enterprises, Inc. * 16,150 331 J. Jill Group (The), Inc. * 6,050 90 Jack in the Box, Inc. * 12,100 446 Jo-Ann Stores, Inc. * 6,110 168 Jos. A. Bank Clothiers, Inc. * 3,387 96 Kenneth Cole Productions, Inc., Class A 2,750 85 Kirkland's, Inc. * 4,100 50 Krispy Kreme Doughnuts, Inc. * 18,600 234 Landry's Restaurants, Inc. 7,200 209 Linens 'N Things, Inc. * 14,900 370 Lithia Motors, Inc., Class A 4,900 131 Lone Star Steakhouse & Saloon, Inc. 5,300 148 Longs Drug Stores Corp. 9,800 270 MarineMax, Inc. * 4,200 125 Men's Wearhouse, Inc. * 10,302 329 Movado Group, Inc. 5,200 97 Movie Gallery, Inc. 8,325 159 New York & Co., Inc. * 3,000 50 Nu Skin Enterprises, Inc., Class A 17,500 444 O'Charleys, Inc. * 7,100 139 P.F. Chang's China Bistro, Inc. * 8,500 479 Panera Bread Co., Class A * 9,400 379 Pantry (The), Inc. * 4,200 126 Papa John's International, Inc. * 3,725 128 Party City Corp. * 4,300 56 Payless Shoesource, Inc. * 22,500 277 PC Mall, Inc. * 2,800 63 Pep Boys - Manny, Moe & Jack 19,300 329 Rare Hospitality International, Inc. * 11,375 362 Red Robin Gourmet Burgers, Inc. * 4,000 214 Restoration Hardware, Inc. * 9,400 54 Retail Ventures, Inc. 5,200 37 Rush Enterprises, Inc., Class B * 2,500 43 Ryan's Restaurant Group, Inc. * 14,100 217 School Specialty, Inc. * 7,600 293 Select Comfort Corp. * 12,100 217 Sharper Image Corp. * 3,900 74 Shoe Carnival, Inc. * 2,600 34 ShopKo Stores, Inc. * 9,700 181 Smart & Final, Inc. * 4,150 60 Sonic Automotive, Inc. 9,000 223 Sonic Corp. * 19,764 603 Sports Authority (The), Inc. * 7,311 188 Stage Stores, Inc. * 6,300 262 Steak n Shake (The) Co. * 7,804 157 Stein Mart, Inc. * 8,300 142 TBC Corp. * 7,100 197 Texas Roadhouse, Inc. * 3,100 92 Too, Inc. * 11,400 279 Tractor Supply Co. * 10,400 387 Trans World Entertainment Corp. * 7,250 90 Triarc Cos., Inc., Class B 11,803 145 Tuesday Morning Corp. * 8,600 263 United Auto Group, Inc. 6,400 189 West Marine, Inc. * 4,800 119 World Fuel Services Corp. 4,000 199 Zale Corp. * 17,700 529 ------ ------ 22,235 ------ ------ SAVINGS & LOANS - 2.2% Anchor BanCorp Wisconsin, Inc. 6,300 184 Bank Mutual Corp. 25,606 312 BankAtlantic Bancorp, Inc., Class A 14,300 285 BankUnited Financial Corp., Class A * 9,100 291 Berkshire Hills Bancorp, Inc. 2,000 74 Beverly Hills Bancorp, Inc. 3,861 39 Brookline Bancorp, Inc. 19,703 322 Charter Financial Corp. of Georgia 1,400 61 Citizens First Bancorp, Inc. 3,000 73 Clifton Savings Bancorp, Inc. 3,400 41 Coastal Financial Corp. 4,543 87 Commercial Capital Bancorp, Inc. 12,129 281
EQUITY FUNDS 21 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED SAVINGS & LOANS - 2.2% - (CONTINUED) Commercial Federal Corp. 13,600 $ 404 Dime Community Bancshares 11,125 199 Downey Financial Corp. 6,500 370 Fidelity Bankshares, Inc. 4,600 197 First Financial Holdings, Inc. 4,500 147 First Niagara Financial Group, Inc. 28,298 395 First Place Financial Corp. of Ohio 4,200 94 FirstFed Financial Corp. * 5,650 293 Flagstar Bancorp, Inc. 10,600 240 Flushing Financial Corp. 5,025 101 Franklin Bank Corp. of Houston * 4,300 78 Harbor Florida Bancshares, Inc. 7,412 256 Horizon Financial Corp. 3,800 78 Hudson River Bancorp, Inc. 10,500 208 Itla Capital Corp. * 1,900 112 KNBT Bancorp, Inc. 9,700 164 MAF Bancorp, Inc. 9,336 418 NASB Financial, Inc. 1,100 44 Northwest Bancorp, Inc. 5,800 145 OceanFirst Financial Corp. 2,600 64 Ocwen Financial Corp. * 12,300 118 Partners Trust Financial Group, Inc. 11,330 132 PennFed Financial Services, Inc. 3,800 61 PFF Bancorp, Inc. 4,060 188 Provident Bancorp, Inc. 14,461 191 Provident Financial Holdings 1,800 52 Provident Financial Services, Inc. 24,829 481 Sterling Financial Corp. of Washington * 8,003 314 TierOne Corp. 6,200 154 United Community Financial Corp. of Ohio 9,900 111 Waypoint Financial Corp. 10,650 302 Westfield Financial, Inc. 1,700 44 WSFS Financial Corp. 2,300 139 ------ ------ 8,344 ------ ------ SEMICONDUCTORS - 2.9% Actel Corp. * 8,600 151 ADE Corp. * 3,500 66 Alliance Semiconductor Corp. * 7,700 29 AMIS Holdings, Inc. * 9,900 164 Asyst Technologies, Inc. * 16,700 85 ATMI, Inc. * 10,400 234 August Technology Corp. * 6,300 66 Axcelis Technologies, Inc. * 33,100 269 Brooks Automation, Inc. * 14,632 252 Cirrus Logic, Inc. * 28,100 155 Cohu, Inc. 7,700 143 Credence Systems Corp. * 31,780 291 Diodes, Inc. * 2,350 53 DSP Group, Inc. * 9,800 219 Dupont Photomasks, Inc. * 4,900 129 Emulex Corp. * 27,400 461 Entegris, Inc. * 14,500 144 ESS Technology, Inc. * 11,200 80 Exar Corp. * 13,700 194 Formfactor, Inc. * 9,300 252 FSI International, Inc. * 11,200 52 Genesis Microchip, Inc. * 10,900 177 Helix Technology Corp. 9,400 163 Integrated Device Technology, Inc. * 35,100 406 Integrated Silicon Solutions, Inc. * 12,100 99 IXYS Corp. * 7,000 72 Kopin Corp. * 23,100 89 Kulicke & Soffa Industries, Inc. * 16,900 146 Lattice Semiconductor Corp. * 38,100 217 Leadis Technology, Inc. * 2,400 26 LTX Corp. * 20,500 158 Mattson Technology, Inc. * 14,200 160 Micrel, Inc. * 22,600 249 Microsemi Corp. * 20,000 347 Microtune, Inc. * 17,100 105 Mindspeed Technologies, Inc. * 35,400 98 MIPS Technologies, Inc., Class A * 13,600 134 MKS Instruments, Inc. * 10,900 202 Monolithic System Technology, Inc. * 7,700 48 Mykrolis Corp. * 13,900 197 Omnivision Technologies, Inc. * 18,400 338 ON Semiconductor Corp. * 41,700 189 Pericom Semiconductor Corp. * 8,000 75 Photronics, Inc. * 11,000 182 Pixelworks, Inc. * 13,300 151 PLX Technology, Inc. * 7,800 81 Portalplayer, Inc. * 1,900 47 Power Integrations, Inc. * 9,000 178 Rudolph Technologies, Inc. * 4,800 82
NORTHERN FUNDS QUARTERLY 22 EQUITY FUNDS EQUITY FUND SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 98.4% - CONTINUED SEMICONDUCTORS - 2.9% - (CONTINUED) Semitool, Inc. * 5,800 $ 54 Sigmatel, Inc. * 8,100 288 Silicon Image, Inc. * 24,700 407 Siliconix, Inc. * 1,900 69 Sipex Corp. * 7,500 35 Sirf Technology Holdings, Inc. * 4,200 53 Skyworks Solutions, Inc. * 49,900 471 Standard Microsystems Corp. * 6,100 109 Supertex, Inc. * 3,100 67 Tessera Technologies, Inc. * 8,500 316 Transmeta Corp. of Delaware * 52,200 85 Tripath Technology, Inc. * 11,800 15 Triquint Semiconductor, Inc. * 44,854 200 Ultratech Stepper, Inc. * 7,000 132 Varian Semiconductor Equipment Associates Inc. * 12,000 442 Veeco Instruments, Inc. * 8,600 181 Vitesse Semiconductor Corp. * 71,700 253 Volterra Semiconductor Corp. * 1,800 40 Zoran Corp. * 14,465 168 ------ ------- 11,290 ------ ------- SOFTWARE - 3.4% Actuate Corp. * 18,800 48 Advent Software, Inc. * 7,800 160 Allscripts Healthcare Solutions, Inc. * 9,800 105 Altiris, Inc. * 6,900 244 Ansys, Inc. * 10,300 330 Ascential Software Corp. * 19,600 320 Aspen Technology, Inc. * 14,600 91 Atari, Inc. * 3,000 9 Authentidate Holding Corp. * 10,000 62 Borland Software Corp. * 26,900 314 Captaris, Inc. * 12,200 63 CCC Information Services Group, Inc. * 3,059 68 Cerner Corp. * 9,500 505 Computer Programs & Systems, Inc. 2,200 51 Concord Communications, Inc. * 6,500 72 Concur Technologies, Inc. * 9,300 83 CSG Systems International, Inc. * 17,400 325 Dendrite International, Inc. * 11,900 231 Digi International, Inc. * 7,100 122 Eclipsys Corp. * 12,100 247 eFunds Corp. * 15,900 382 Embarcadero Technologies, Inc. * 7,900 74 Epicor Software Corp. * 14,100 199 EPIQ Systems, Inc. * 5,050 74 FalconStor Software, Inc. * 9,400 90 Filenet Corp. * 13,800 355 Hyperion Solutions Corp. * 12,990 606 IDX Systems Corp. * 6,900 238 Infocrossing, Inc. * 5,600 95 Informatica Corp. * 28,900 235 infoUSA, Inc. * 10,350 116 InPhonic, Inc. * 2,300 63 Inter-Tel, Inc. 6,900 189 Intervideo, Inc. * 3,300 44 JDA Software Group, Inc. * 8,600 117 Keane, Inc. * 16,700 245 Lawson Software, Inc. * 19,600 135 Mantech International Corp., Class A * 5,600 133 Manugistics Group, Inc. * 18,900 54 MAPICS, Inc. * 8,000 84 MapInfo Corp. * 7,100 85 Micromuse, Inc. * 26,300 146 MicroStrategy, Inc., Class A * 4,000 241 Midway Games, Inc. * 15,289 161 MRO Software, Inc. * 6,800 89 MSC.Software Corp. * 9,100 95 NDCHealth Corp. 11,900 221 NetIQ Corp. * 19,224 235 Omnicell, Inc. * 7,900 87 Open Solutions, Inc. * 4,400 114 OPNET Technologies, Inc. * 4,300 36 Packeteer, Inc. * 11,500 166 PalmSource, Inc. * 4,864 62 Parametric Technology Corp. * 89,400 527 PDF Solutions, Inc. * 5,100 82 Pegasystems, Inc. * 3,400 29 Per-Se Technologies, Inc. * 8,099 128 Pinnacle Systems, Inc. * 22,900 140 PLATO Learning, Inc. * 7,300 54 Progress Software Corp. * 10,600 247 QAD, Inc. 4,900 44
EQUITY FUNDS 23 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED SOFTWARE - 3.4% - (CONTINUED) Quality Systems, Inc. * 1,100 $ 66 Quest Software, Inc. * 16,700 266 Renaissance Learning, Inc. 2,800 52 Retek, Inc. * 19,700 121 Salesforce.com Inc. * 4,200 71 ScanSoft, Inc. * 27,010 113 Schawk, Inc. 2,700 49 Seachange International, Inc. * 8,300 145 Serena Software, Inc. * 8,300 180 SoftBrands, Inc. * 1,520 3 SPSS, Inc. * 4,300 67 SS&C Technologies, Inc. 4,500 93 SYNNEX Corp. * 1,900 46 Take-Two Interactive Software, Inc. * 14,900 518 THQ, Inc. * 12,650 290 TradeStation Group, Inc. * 6,400 45 Transaction Systems Architects, Inc., Class A* 12,400 246 Trident Microsystems, Inc. * 6,300 105 Ulticom, Inc. * 3,500 56 Ultimate Software Group, Inc. * 5,600 71 Verint Systems, Inc. * 3,900 142 Wind River Systems, Inc. * 23,700 321 Witness Systems, Inc. * 7,200 126 ------ ------- 13,159 ------ ------- STORAGE/WAREHOUSING - 0.0% Mobile Mini, Inc. * 5,000 165 ------ ------- TELECOMMUNICATIONS - 3.1% Adaptec, Inc. * 36,700 279 Aeroflex, Inc. * 21,800 264 AirGate PCS, Inc. * 4,200 149 Airspan Networks, Inc. * 10,800 59 Alamosa Holdings, Inc. * 24,800 309 Anaren, Inc. * 7,100 92 Anixter International, Inc. * 9,800 353 Applied Signal Technology, Inc. 3,300 116 Arris Group, Inc. * 29,500 208 Aspect Communications Corp. * 13,600 151 Atheros Communications, Inc. 3,600 37 Audiovox Corp., Class A * 5,700 90 Avanex Corp. * 28,000 93 Black Box Corp. 5,400 259 Boston Communications Group * 6,100 56 Broadwing Corp. * 16,370 149 C-COR.net Corp. * 15,300 142 Carrier Access Corp. * 6,700 72 Centennial Communications Corp. * 3,500 28 Cincinnati Bell, Inc. * 83,100 345 Commonwealth Telephone Enterprises, Inc. * 7,233 359 CommScope, Inc. * 17,900 338 Comtech Telecommunications * 4,850 182 CT Communications, Inc. 6,200 76 D&E Communications, Inc. 4,500 54 Ditech Communications Corp. * 9,900 148 Dobson Communications Corp., Class A * 38,700 67 EMS Technologies, Inc. * 3,700 61 Enterasys Networks, Inc. * 69,800 126 Extreme Networks * 35,700 234 Finisar Corp. * 53,300 121 General Communication, Inc., Class A * 15,100 167 Golden Telecom, Inc. 4,700 124 Harmonic, Inc. * 24,000 200 Hypercom Corp. * 17,000 101 Infonet Services Corp., Class B * 20,800 42 Interdigital Communications Corp. * 18,600 411 Intrado, Inc. * 6,500 79 Iowa Telecommunications Services, Inc. 6,000 129 Ixia * 9,300 156 KVH Industries, Inc. * 5,500 54 Mastec, Inc. * 7,800 79 MRV Communications, Inc. * 37,434 137 Netgear, Inc. * 7,300 133 Network Equipment Technologies, Inc. * 8,500 83 Newport Corp. * 14,300 202 NMS Communciations Corp. * 16,100 102 North Pittsburgh Systems, Inc. 5,300 131 Novatel Wireless, Inc. * 6,200 120 Oplink Communications, Inc. * 37,300 73 Paradyne Networks Corp. * 13,800 50 Powerwave Technologies, Inc. * 34,500 293 Price Communications Corp. * 12,757 237 Primus Telecommunications Group, Inc. * 26,200 83 PTEK Holdings, Inc. * 21,100 226 Remec, Inc. * 20,700 149
NORTHERN FUNDS QUARTERLY REPORT 24 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 98.4% - CONTINUED TELECOMMUNICATIONS - 3.1% - (CONTINUED) RF Micro Devices, Inc. * 62,000 $ 424 SafeNet, Inc. * 7,927 291 SBA Communications Corp. * 14,900 138 Shenandoah Telecom Co. 2,400 72 Spectralink Corp. 7,100 101 Stratex Networks, Inc. * 29,100 66 SureWest Communications 5,100 145 Sycamore Networks, Inc. * 58,400 237 SymmetriCom, Inc. * 15,300 149 Talk America Holdings, Inc. * 9,500 63 Tekelec * 16,600 339 Terayon Communication Systems, Inc. * 23,900 65 Time Warner Telecom, Inc., Class A * 17,400 76 TippingPoint Technologies, Inc. * 1,000 47 Triton PCS Holdings, Inc., Class A * 11,000 38 Ubiquitel, Inc. * 23,700 169 USA Mobility, Inc. * 8,076 285 Viasat, Inc. * 7,200 175 Westell Technologies, Inc., Class A * 16,400 111 Wireless Facilities, Inc. * 16,300 154 WJ Communications, Inc. * 9,200 32 Zhone Technologies, Inc. * 17,050 44 ------ -------- 11,799 ------ -------- TEXTILES - 0.1% Angelica Corp. 3,300 89 G & K Services, Inc., Class A 5,750 250 Unifirst Corp. of Massachusetts 3,200 90 ------ -------- 429 ------ -------- TOYS, GAMES & HOBBIES - 0.2% Action Performance Cos., Inc. 5,100 56 Department 56, Inc. * 4,900 82 Jakks Pacific, Inc. * 8,550 189 Leapfrog Enterprises, Inc. * 9,100 124 RC2 Corp. * 5,600 182 Topps (The) Co. 11,000 107 ------ -------- 740 ------ -------- TRANSPORTATION - 2.1% Alexander & Baldwin, Inc. 14,200 602 Arkansas Best Corp. * 7,300 328 Central Freight Lines, Inc. * 3,500 22 Covenant Transport, Inc., Class A * 2,700 56 EGL, Inc. * 11,900 356 Florida East Coast Industries, Inc., Class A 7,000 316 Forward Air Corp. * 7,200 322 Genesee & Wyoming, Inc., Class A * 5,550 156 Gulfmark Offshore, Inc. * 5,400 120 Heartland Express, Inc. 15,078 339 HUB Group, Inc., Class A * 2,400 125 Kansas City Southern Industries, Inc. * 20,700 367 Kirby Corp. * 7,100 315 Knight Transportation, Inc. 12,093 300 Laidlaw International, Inc. * 34,600 740 Landstar System, Inc. * 9,900 729 Marten Transport Ltd. * 2,700 61 Offshore Logistics, Inc. * 6,727 218 Old Dominion Freight Line, Inc. * 5,650 197 Overnite Corp. 9,300 346 Overseas Shipholding Group 9,000 497 Pacer International, Inc. * 9,200 196 PAM Transportation Services, Inc. * 2,000 37 Quality Distribution, Inc. * 3,200 27 RailAmerica, Inc. * 12,700 166 SCS Transportation, Inc. * 4,900 115 Seabulk International, Inc. * 2,800 34 Swift Transportation Co., Inc. * 15,000 322 U.S. Xpress Enterprises, Inc., Class A * 2,000 59 USF Corp. 9,300 353 Werner Enterprises, Inc. 16,000 362 ------ -------- 8,183 ------ -------- TRUCKING & LEASING - 0.2% AMERCO, Inc. * 3,100 142 GATX Corp. 16,400 485 Greenbrier Cos., Inc. 2,300 78 ------ -------- 705 ------ -------- WATER - 0.2% American States Water Co. 5,400 140 California Water Service Group 5,200 196 Connecticut Water Service, Inc. 2,850 76 Middlesex Water Co. 3,733 71 Pico Holdings, Inc. * 2,300 48
EQUITY FUNDS 25 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 98.4% - CONTINUED WATER - 0.2% - (CONTINUED) SJW Corp. 2,400 $ 87 Southwest Water Co. 5,537 74 ------ -------- 692 ------ -------- TOTAL COMMON STOCKS ------ -------- (COST $290,556) 380,705
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- CORPORATE BONDS - 0.0% DISTRIBUTION/WHOLESALE - 0.0% Timco Aviation Services, Inc., (1) 8.00%, 1/2/07 $ 1 - ------ -------- TOTAL CORPORATE BONDS ------ -------- (COST $-) -
NUMBER VALUE OF SHARES (000S) --------- -------- OTHER - 0.0% Escrow Gladstone Capital Corp. * 3,800 90 Escrow MascoTech, Inc. * 3,700 - Escrow Position PetroCorp. * 1,900 - ------ -------- TOTAL OTHER ------ -------- (COST $73) 90 RIGHT - 0.0% CSF Holdings, Inc. * 4,212 - ------ -------- TOTAL RIGHT ------ -------- (COST $-) - WARRANTS - 0.0% Imperial Credit Industries, Exp. 1/31/08 * 33 - Optical Cable Corp. Exp. 10/24/07 * 52,547 - Redback Networks, Exp. 1/2/11 * 1,605 4 ------ -------- TOTAL WARRANTS ------ -------- (COST $-) 4
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- SHORT-TERM INVESTMENTS - 1.6% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $5,638 $ 5,638 U.S. Treasury Bill, (2) 2.17%, 3/24/05 615 612 ------ -------- TOTAL SHORT-TERM INVESTMENTS ------ -------- (COST $6,250) 6,250 ------ -------- TOTAL INVESTMENTS - 100.0% ------ -------- (COST $296,879) $387,049
(1) Fair valued security (2) Securities pledged as collateral to cover margin requirements for open futures contracts. * Non-Income Producing Security At December 31, 2004, the Small Cap Index Fund had open futures contracts as follows:
NOTIONAL UNREALIZED NUMBER OF AMOUNT CONTRACT CONTRACT GAIN TYPE CONTRACTS (000S) POSITION EXP. (000S) ---- --------- -------- -------- ---------- --------- Russell 2000 19 $ 6,213 Long 03/05 $ 97
NORTHERN FUNDS QUARTERLY REPORT 26 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP INDEX FUND (continued) At December 31, 2004, the industry sectors for the Small Cap Index Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Consumer Discretionary 14.9% Consumer Staples 2.7 Energy 5.3 Financials 22.1 Health Care 12.6 Industrials 14.5 Information Technology 17.5 Materials 6.0 Telecommunication Services 1.1 Utilities 3.3 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $296,879 -------- Gross tax appreciation of investments $104,674 Gross tax depreciation of investments (14,504) -------- Net tax appreciation of investments $ 90,170
EQUITY FUNDS 27 NORTHERN FUNDS QUARTERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP VALUE FUND
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 96.5% AEROSPACE/DEFENSE - 2.7% Curtiss-Wright Corp. 56,900 $ 3,267 Ducommun, Inc. * 9,462 197 Esterline Technologies Corp. * 96,821 3,161 GenCorp, Inc. * 5,138 95 Heico Corp. 17,760 401 Heico Corp., Class A 1,716 30 Herley Industries, Inc. * 34,694 706 Moog, Inc., Class A * 89,500 4,059 Triumph Group, Inc. * 27,814 1,099 --------- -------- 13,015 --------- -------- AGRICULTURE - 0.1% Alico, Inc. 1,814 106 DIMON, Inc. 43,431 292 Standard Commercial Corp. 7,163 139 --------- -------- 537 --------- -------- AIRLINES - 0.2% FLYi, Inc. * 3,722 6 Skywest, Inc. 51,084 1,025 --------- -------- 1,031 --------- -------- APPAREL - 1.5% Hampshire Group Ltd. * 109 3 Kellwood Co. 80,371 2,773 Phillips-Van Heusen Corp. 62,783 1,695 Russell Corp. 34,552 673 Skechers U.S.A., Inc., Class A * 10,000 130 Stride Rite Corp. 101,475 1,134 Superior Uniform Group, Inc. 14,800 221 Wolverine World Wide, Inc. 18,205 572 --------- -------- 7,201 --------- -------- AUTO PARTS & EQUIPMENT - 1.9% Aftermarket Technology Corp. * 89,650 1,443 Bandag, Inc. 71,300 3,552 Cooper Tire & Rubber Co. 103,354 2,227 Modine Manufacturing Co. 47,155 1,592 R & B, Inc. * 4,224 106 Standard Motor Products, Inc. 27,098 428 --------- -------- 9,348 --------- -------- BANKS - 8.5% 1st Source Corp. 47,320 1,207 1st State Bancorp, Inc. 2,899 83 ABC Bancorp 52,690 1,106 Alliance Financial Corp. 504 15 Bancfirst Corp. 11,695 924 Bancorp Rhode Island, Inc. 405 16 Banner Corp. 36,627 1,142 Berkshire Bancorp, Inc. 11,900 244 Capital Bank Corp. 3,991 73 Capital Crossing Bank * 12,212 375 Cathay Bancorp, Inc. 1,348 51 Center Financial Corp. 2,277 46 Central Pacific Financial Corp. 16,902 611 Chemical Financial Corp. 6,447 277 Citizens Banking Corp. of Michigan 26,392 907 Columbia Banking Systems, Inc. 847 21 Community Bank System, Inc. 144,400 4,079 Community Trust Bancorp, Inc. 32,743 1,060 Corus Bankshares, Inc. 12,793 614 Fidelity Southern Corp. 4,452 85 Financial Institutions, Inc. 7,928 184 First Charter Corp. 41,268 1,080 First Citizens Bancshares, Inc., Class A 10,487 1,555 First Commonwealth Financial Corp. 45,664 703 First Community Bancorp of California 5,831 249 First Financial Corp. of Indiana 46,724 1,637 First Indiana Corp. 18,304 412 First M & F Corp. 9,609 325 First Merchants Corp. 31,062 879 First Republic Bank 19,747 1,047 First State Bancorporation 2,015 74 First United Corp. 601 12 Gold Banc Corp., Inc. 65,176 953 Greater Bay Bancorp 70,718 1,972 Hancock Holding Co. 87,236 2,919 Hanmi Financial Corp. 10,168 365 Heritage Commerce Corp. * 4,022 76 Integra Bank Corp. 5,019 116 Irwin Financial Corp. 96,200 2,731 Macatawa Bank Corp. 1,117 36 MainSource Financial Group, Inc. 4,070 97 MB Financial, Inc. 2,037 86 Merchants & Manufacturers Bancorporation, Inc. 1,870 65 MetroCorp. Bancshares, Inc. 300 7 Mid-State Bancshares 6,447 185
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 96.5% - CONTINUED BANKS - 8.5% - (CONTINUED) Omega Financial Corp. 2,216 $ 76 Republic Bancorp, Inc. of Kentucky, Class A 14,742 379 Riggs National Corp. * 88,387 1,879 Silicon Valley Bancshares * 2,116 95 Simmons First National Corp., Class A 32,293 935 State Financial Services Corp., Class A 1,071 32 Sun Bancorp, Inc. of New Jersey * 106 3 Susquehanna Bancshares, Inc. 68,806 1,717 UMB Financial Corp. 68,578 3,886 Unizan Financial Corp. 7,943 209 Vail Banks, Inc. 100 1 Virginia Financial Group, Inc. 1,914 70 WesBanco, Inc. 13,111 419 Whitney Holding Corp. 4,097 184 Yardville National Bancorp 12,501 428 ------- ------- 41,014 ------- ------- BIOTECHNOLOGY - 0.8% Cambrex Corp. 47,143 1,278 Genencor International, Inc. * 147,212 2,414 Harvard Bioscience, Inc. * 42,652 198 Serologicals Corp. * 4,174 92 ------- ------- 3,982 ------- ------- BUILDING MATERIALS - 2.5% Apogee Enterprises, Inc. 7,960 107 Eagle Materials, Inc. 49,069 4,237 Genlyte Group, Inc. * 7,949 681 Lennox International, Inc. 127,872 2,602 LSI Industries, Inc. 42,338 485 NCI Building Systems, Inc. * 45,720 1,715 Universal Forest Products, Inc. 39,778 1,726 USG Corp. * 14,708 592 York International Corp. 3,828 132 ------- ------- 12,277 ------- ------- CHEMICALS - 2.2% Arch Chemicals, Inc. 65,571 1,887 Cytec Industries, Inc. 77,000 3,959 Fuller (H.B.) Co. 19,950 569 Great Lakes Chemical Corp. 1,100 31 Minerals Technologies, Inc. 22,752 1,518 NewMarket Corp. * 23,160 461 Octel Corp. 25,992 541 Omnova Solutions, Inc. * 1,300 7 Penford Corp. 17,597 277 Schulman (A.), Inc. 39,220 840 Stepan Co. 25,489 621 ------- ------- 10,711 ------- ------- COMMERCIAL SERVICES - 2.9% Albany Molecular Research, Inc. * 42,712 476 AMN Healthcare Services, Inc. * 6,500 103 Banta Corp. 6,950 311 Bowne & Co., Inc. 30,000 488 Central Parking Corp. 6,200 94 Century Business Services, Inc. * 254,195 1,108 Cenveo, Inc. * 20,200 63 Clark, Inc. * 56,723 880 Consolidated Graphics, Inc. * 45,853 2,105 Cornell Cos., Inc. * 2,400 36 Corrections Corp. of America * 42,590 1,723 Cross Country Healthcare, Inc. * 9,771 177 Dollar Thrifty Automotive Group * 31,000 936 Exponent, Inc. * 3,207 88 Healthcare Services Group 39,327 820 Integrated Electrical Services, Inc. * 13,171 64 MPS Group, Inc. * 273,500 3,353 On Assignment, Inc. * 33,482 174 PRG-Schultz International, Inc. * 11,310 57 SOURCECORP, Inc. * 27,238 520 Stewart Enterprises, Inc., Class A * 6,578 46 TeleTech Holdings, Inc. * 16,963 164 ------- ------- 13,786 ------- ------- COMPUTERS - 1.4% Catapult Communications Corp. * 7,055 171 CIBER, Inc. * 72,734 701 Hutchinson Technology, Inc. * 57,301 1,981 iGate Corp. * 5,278 21 Intergraph Corp. * 35,358 952 Iomega Corp. * 5,300 29 MTS Systems Corp. 28,515 964 NYFIX, Inc. * 6,440 40 Perot Systems Corp., Class A * 75,400 1,209 SYKES Enterprises, Inc. * 15,991 111 Talx Corp. 29,820 769 ------- ------- 6,948 ------- -------
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP VALUE FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------ COMMON STOCKS - 96.5% - CONTINUED DISTRIBUTION/WHOLESALE - 1.0% Brightpoint, Inc. * 23,209 $ 454 Building Material Holding Corp. 2,569 98 Bulova Corp. * 2,400 84 Handleman Co. 9,975 214 Timco Aviation Services, Inc. * 271 - Watsco, Inc. 109,801 3,867 ------- ------- 4,717 ------- ------- DIVERSIFIED FINANCIAL SERVICES - 1.2% California First National Bancorp 5,653 70 CompuCredit Corp. * 66,686 1,823 Credit Acceptance Corp. * 113,037 2,877 Financial Federal Corp. 9,771 383 First Albany Cos., Inc. 45,563 442 Municipal Mortgage & Equity 7,457 203 United PanAm Financial Corp. * 197 4 ------- ------- 5,802 ------- ------- ELECTRIC - 2.2% Avista Corp. 34,552 611 BayCorp Holdings Ltd. * 97 1 Black Hills Corp. 38,179 1,171 Central Vermont Public Service Corp. 58,535 1,362 Cleco Corp. 7,100 144 El Paso Electric Co. * 12,400 235 Empire District Electric (The) Co. 33,123 751 Green Mountain Power Corp. 1,508 43 UIL Holdings Corp. 58,937 3,023 Unisource Energy Corp. 129,800 3,130 ------- ------- 10,471 ------- ------- ELECTRICAL COMPONENTS & EQUIPMENT - 0.2% Belden CDT, Inc. 5,300 123 C&D Technologies, Inc. 37,978 647 Powell Industries, Inc. * 12,108 224 ------- ------- 994 ------- ------- ELECTRONICS - 3.1% Benchmark Electronics, Inc. * 120,024 4,093 Checkpoint Systems, Inc. * 5,715 103 Methode Electronics, Inc. 55,718 716 OSI Systems, Inc. * 47,950 1,089 Paxar Corp. * 63,766 1,413 Rofin-Sinar Technologies, Inc. * 28,146 1,195 Stoneridge, Inc. * 127,476 1,929 Sypris Solutions, Inc. 97,737 1,496 Watts Industries, Inc., Class A 96,400 3,108 ------- ------- 15,142 ------- ------- ENGINEERING & CONSTRUCTION - 0.6% EMCOR Group, Inc. * 14,305 646 Granite Construction, Inc. 5,410 144 Shaw Group (The), Inc. * 46,147 824 URS Corp. * 44,118 1,416 ------- ------- 3,030 ------- ------- ENTERTAINMENT - 0.5% Bluegreen Corp. * 17,912 355 Gaylord Entertainment Co. * 700 29 Steinway Musical Instruments * 29,519 854 Vail Resorts, Inc. * 56,329 1,263 ------- ------- 2,501 ------- ------- ENVIRONMENTAL CONTROL - 0.7% Aleris International, Inc. * 61,730 1,045 Calgon Carbon Corp. 31,805 289 Ionics, Inc. * 37,600 1,630 Met-Pro Corp. 3,118 41 TRC Cos., Inc. * 23,767 404 Waste Industries USA, Inc. 7,447 92 ------- ------- 3,501 ------- ------- FOOD - 3.0% Chiquita Brands International, Inc. 2,500 55 Corn Products International, Inc. 93,362 5,000 Flowers Foods, Inc. 123,650 3,905 J & J Snack Foods Corp. 3,117 153 Lance, Inc. 8,969 171 M & F Worldwide Corp. * 101 1 Nash Finch Co. 10,879 411 Ralcorp Holdings, Inc. * 7,457 313 Ruddick Corp. 75,452 1,637 Seaboard Corp. 2,055 2,051 Weis Markets, Inc. 17,408 671 ------- ------- 14,368 ------- ------- FOREST PRODUCTS & PAPER - 0.2% Glatfelter Co. 26,866 411 Rock-Tenn Co., Class A 28,586 433 Wausau-Mosinee Paper Corp. 17,636 315 ------- ------- 1,159 ------- -------
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 96.5% - CONTINUED GAS - 2.6% Laclede Group (The), Inc. 19,126 $ 596 Northwest Natural Gas Co. 38,380 1,295 SEMCO Energy, Inc. * 16,500 88 South Jersey Industries, Inc. 13,086 688 Southern Union Co. * 162,500 3,897 Southwest Gas Corp. 108,938 2,767 WGL Holdings, Inc. 109,900 3,389 ------- ------- 12,720 ------- ------- HAND/MACHINE TOOLS - 0.6% Kennametal, Inc. 31,536 1,570 Regal-Beloit Corp. 53,493 1,530 ------- ------- 3,100 ------- ------- HEALTHCARE - PRODUCTS - 1.1% Conmed Corp. * 40,975 1,165 Hanger Orthopedic Group, Inc. * 44,526 361 Microtek Medical Holdings, Inc. * 118,194 480 Ocular Sciences, Inc. * 27,400 1,343 PSS World Medical, Inc. * 7,430 93 Sola International, Inc. * 43,478 1,197 Viasys Healthcare, Inc. * 27,177 516 ------- ------- 5,155 ------- ------- HEALTHCARE - SERVICES - 2.1% AMERIGROUP Corp. * 65,900 4,986 OCA, Inc. * 140,930 895 Pediatrix Medical Group, Inc. * 14,305 916 Province Healthcare Co. * 64,739 1,447 Sunrise Senior Living, Inc. * 44,023 2,041 ------- ------- 10,285 ------- ------- HOLDING COMPANIES - DIVERSIFIED - 0.1% Resource America, Inc., Class A 6,650 216 Walter Industries, Inc. 3,900 132 ------- ------- 348 ------- ------- HOME BUILDERS - 0.3% Beazer Homes USA, Inc. 6,043 883 Coachmen Industries, Inc. 1,800 31 Dominion Homes, Inc. * 7,954 201 Levitt Corp. * 1,925 59 M/I Homes, Inc. 1,310 72 Modtech Holdings, Inc. * 14,232 112 Orleans Homebuilders, Inc. * 4,925 98 Palm Harbor Homes, Inc. * 2,779 47 Skyline Corp. 302 12 Technical Olympic USA, Inc. 22 1 ------- ------- 1,516 ------- ------- HOME FURNISHINGS - 0.1% Flexsteel Industries, Inc. 17,023 300 ------- ------- HOUSEHOLD PRODUCTS/WARES - 0.4% American Banknote Corp. * 27 - Central Garden and Pet Co. * 7,542 315 CSS Industries, Inc. 44,390 1,410 Russ Berrie & Co., Inc. 6,547 149 Water Pik Technologies, Inc. * 6,238 111 ------- ------- 1,985 ------- ------- HOUSEWARES - 0.1% Enesco Group, Inc. * 28,302 229 ------- ------- INSURANCE - 6.5% AmerUs Group Co. 8,465 383 Baldwin & Lyons, Inc., Class B 3,023 81 CNA Surety Corp. * 11,800 158 Commerce Group, Inc. 8,363 510 Crawford & Co., Class A 3,600 25 Delphi Financial Group, Inc., Class A 69,300 3,198 EMC Insurance Group, Inc. 6,519 141 Erie Family Life Insurance Co. 6,500 204 FBL Financial Group, Inc., Class A 19,750 564 Financial Industries Corp. 5,000 39 Great American Financial Resources, Inc. 62,892 1,092 Harleysville Group, Inc. 4,681 112 Horace Mann Educators Corp. 39,097 746 Independence Holding Co. 13,604 251 Kansas City Life Insurance Co. 106 5 Landamerica Financial Group, Inc. 42,923 2,315 Midland (The) Co. 6,586 206 Navigators Group, Inc. * 14,812 446 Penn-America Group, Inc. 1,850 28 ProAssurance Corp. * 54,609 2,136 PXRE Group Ltd. 900 23 RLI Corp. 77,200 3,209 Safety Insurance Group, Inc. 258 8 Selective Insurance Group, Inc. 77,489 3,428 Stewart Information Services Corp. 66,205 2,757 UICI 134,122 4,547 United Fire & Casualty Co. 31,970 1,078
NORTHERN FUNDS QUARTERLY REPORT 4 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP VALUE FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 96.5% - CONTINUED INSURANCE - 6.5% - (CONTINUED) Universal American Financial Corp. * 244,361 $ 3,780 ------- ------- 31,470 ------- ------- INTERNET - 0.4% AsiaInfo Holdings, Inc. * 10,674 63 ePlus, Inc. * 2,420 28 Neoforma, Inc. * 26,090 201 NetBank, Inc. 148,408 1,545 Valueclick, Inc. * 7,476 100 ------- ------- 1,937 ------- ------- IRON/STEEL - 2.0% Gibraltar Industries, Inc. 77,515 1,831 Material Sciences Corp. * 12,000 216 Reliance Steel & Aluminum Co. 75,165 2,928 Steel Dynamics, Inc. 121,720 4,611 Steel Technologies, Inc. 7,859 216 ------- ------- 9,802 ------- ------- LEISURE TIME - 0.2% K2, Inc. * 52,605 835 ------- ------- LODGING - 0.6% Aztar Corp. * 27,098 946 Marcus Corp. 70,588 1,775 ------- ------- 2,721 ------- ------- MACHINERY - CONSTRUCTION & MINING - 1.1% JLG Industries, Inc. 39,388 773 Terex Corp. * 89,554 4,267 ------- ------- 5,040 ------- ------- MACHINERY - DIVERSIFIED - 1.9% Alamo Group, Inc. 5,600 152 Applied Industrial Technologies, Inc. 73,584 2,016 Cascade Corp. 14,901 595 Flowserve Corp. * 61,122 1,683 Gardner Denver, Inc. * 7,744 281 Gerber Scientific, Inc. * 5,700 44 Kadant, Inc. * 29,321 601 Robbins & Myers, Inc. 5,541 132 Sauer-Danfoss, Inc. 115,185 2,512 Stewart & Stevenson Services, Inc. 25,200 510 Thomas Industries, Inc. 19,849 793 ------- ------- 9,319 ------- ------- MEDIA - 0.5% Liberty Corp. 12,200 536 Media General, Inc., Class A 16,924 1,097 Pulitzer, Inc. 2,519 163 Scholastic Corp. * 16,525 611 ------- ------- 2,407 ------- ------- METAL FABRICATION/HARDWARE - 1.3% CIRCOR International, Inc. 40,609 941 Commercial Metals Co. 73,150 3,698 Mueller Industries, Inc. 16,122 519 Quanex Corp. 15,405 1,056 ------- ------- 6,214 ------- ------- MINING - 0.3% Amcol International Corp. 57,935 1,164 USEC, Inc. 18,341 178 ------- ------- 1,342 ------- ------- MISCELLANEOUS MANUFACTURING - 2.2% Ameron International Corp. 39,205 1,486 Aptargroup, Inc. 72,200 3,811 ESCO Technologies, Inc. * 14,409 1,104 Flanders Corp. * 3,176 31 Griffon Corp. * 4,623 125 Jacuzzi Brands, Inc. * 19,248 167 Myers Industries, Inc. 38,699 495 Smith (A.O.) Corp. 71,916 2,153 Standex International Corp. 11,782 336 Tredegar Corp. 34,955 706 Trinity Industries, Inc. 9,771 333 ------- ------- 10,747 ------- ------- OIL & GAS - 3.9% Carrizo Oil & Gas, Inc. * 700 8 Clayton Williams Energy, Inc. * 29,812 683 Harvest Natural Resources, Inc. * 118,575 2,048 Houston Exploration Co. * 68,100 3,835 Magnum Hunter Resources, Inc. * 265,000 3,418 Petroleum Development Corp. * 855 33 Plains Exploration & Production Co. * 2,590 67 Range Resources Corp. 134,636 2,755 Stone Energy Corp. * 67,200 3,030 Vintage Petroleum, Inc. 128,553 2,917 ------- ------- 18,794 ------- ------- OIL & GAS SERVICES - 1.1% Lufkin Industries, Inc. 2,797 112
EQUITY FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 96.5% - CONTINUED OIL & GAS SERVICES - 1.1% - (CONTINUED) Oil States International, Inc. * 199,300 $ 3,844 Universal Compression Holdings, Inc. * 302 11 Willbros Group, Inc. * 57,000 1,314 --------- ------- 5,281 --------- ------- PACKAGING & CONTAINERS - 0.3% Chesapeake Corp. 43,697 1,187 Greif Inc., Class A 4,835 271 --------- ------- 1,458 --------- ------- PHARMACEUTICALS - 0.1% Omega Protein Corp. * 65,689 565 --------- ------- PIPELINES - 0.1% Magellan Midstream Partners 4,100 241 TC Pipelines LP 3,600 136 Transmontaigne, Inc. * 28,300 173 --------- ------- 550 --------- ------- REAL ESTATE - 0.9% Avatar Holdings, Inc. * 2,519 121 Bresler & Reiner, Inc. * 2,200 64 Jones Lang LaSalle, Inc. * 51,074 1,911 LNR Property Corp. 12,141 764 Trammell Crow Co. * 51,078 925 W.P. Carey & Co. LLC 19,300 678 --------- ------- 4,463 --------- ------- REITS - 9.7% Acadia Realty Trust 30,123 491 American Home Mortgage Investment Corp. 5,975 205 American Land Lease, Inc. 26,088 588 American Mortgage Acceptance Co. 4,900 84 AMLI Residential Properties Trust 5,237 168 Anthracite Capital, Inc. 3,200 40 Brandywine Realty Trust 36,768 1,081 Burnham Pacific Properties, Inc. 29,900 3 Capital Trust, Class A 13,019 400 Commercial Net Lease Realty 129,686 2,672 Correctional Properties Trust 17,628 509 CRT Properties, Inc. 74,849 1,786 EastGroup Properties, Inc. 22,365 857 Equity One, Inc. 167,128 3,966 Gables Residential Trust 33,169 1,187 Glenborough Realty Trust, Inc. 17,700 377 Healthcare Realty Trust, Inc. 84,500 3,439 Heritage Property Investment Trust 14,708 472 Highwoods Properties, Inc. 5,000 138 Home Properties of New York, Inc. 15,600 671 IMPAC Mortgage Holdings, Inc. 160,500 3,638 Innkeepers USA Trust 5,800 82 Investors Real Estate Trust 9,673 101 Kilroy Realty Corp. 90,900 3,886 LaSalle Hotel Properties 7,152 228 MFA Mortgage Investments, Inc. 110,306 973 Mid-America Apartment Communities, Inc. 302 12 Mission West Properties 4,735 50 National Health Investors, Inc. 37,071 1,082 National Health Realty, Inc. 400 8 Newcastle Investment Corp. 80,195 2,549 OMEGA Healthcare Investors, Inc. 12,995 153 Parkway Properties, Inc. 24,690 1,253 Pennsylvania Real Estate Investment Trust 86,800 3,715 Prentiss Properties Trust 57,923 2,213 PS Business Parks, Inc. 46,457 2,095 RAIT Investment Trust 30,829 862 Ramco-Gershenson Properties 12,681 409 Saxon Capital, Inc. 123,387 2,960 Senior Housing Properties Trust 59,539 1,128 Sovran Self Storage, Inc. 9,761 411 Summit Properties, Inc. 1,500 49 Winston Hotels, Inc. 10,700 126 --------- ------- 47,117 --------- ------- RETAIL - 6.4% Brookstone, Inc. * 10,931 214 Burlington Coat Factory Warehouse Corp. 50,600 1,149 Casey's General Stores, Inc. 16,223 294 Cash America International, Inc. 1,109 33 Charlotte Russe Holding, Inc. * 4,239 43 Charming Shoppes, Inc. * 147,981 1,387 Dave & Buster's, Inc. * 4,926 99 Dress Barn, Inc. * 349 6 Finlay Enterprises, Inc. * 9,564 189 Frisch's Restaurants, Inc. 800 19 GameStop Corp., Class A * 50,670 1,133 Goody's Family Clothing, Inc. 8,864 81 Group 1 Automotive, Inc. * 6,431 203 Haverty Furniture Cos., Inc. 12,475 231 IHOP Corp. 1,008 42
NORTHERN FUNDS QUARTERLY REPORT 6 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP VALUE FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 96.5% - CONTINUED RETAIL - 6.4% - (CONTINUED) Landry's Restaurants, Inc. 71,523 $ 2,078 Linens 'N Things, Inc. * 39,357 976 Lithia Motors, Inc., Class A 8,854 237 Lone Star Steakhouse & Saloon, Inc. 85,175 2,385 Longs Drug Stores Corp. 47,768 1,317 MarineMax, Inc. * 44,227 1,316 Men's Wearhouse, Inc. * 18,434 589 Movado Group, Inc. 8,952 167 Neiman Marcus Group (The), Inc., Class A 61,900 4,428 Noland Co. 2,560 118 O'Charleys, Inc. * 7,641 149 Pantry (The), Inc. * 53,792 1,619 Pep Boys - Manny, Moe & Jack 83,630 1,428 School Specialty, Inc. * 7,557 291 Shoe Carnival, Inc. * 6,544 85 ShopKo Stores, Inc. * 51,174 956 Smart & Final, Inc. * 49,985 719 Sonic Automotive, Inc. 64,148 1,591 Sports Authority (The), Inc. * 24,042 619 Stage Stores, Inc. * 7,341 305 Steak n Shake (The) Co. * 2,317 47 Stein Mart, Inc. * 3,653 62 TBC Corp. * 41,064 1,142 United Auto Group, Inc. 62,122 1,838 West Marine, Inc. * 55,390 1,371 Worldwide Restaurant Concepts, Inc. * 1,400 6 --------- ------- 30,962 --------- ------- SAVINGS & LOANS - 4.9% BankAtlantic Bancorp, Inc., Class A 67,419 1,342 BankUnited Financial Corp., Class A * 26,090 833 BostonFed Bancorp, Inc. 4,900 222 Brookline Bancorp, Inc. 92,110 1,503 Camco Financial Corp. 1,021 16 CFS Bancorp, Inc. 9,099 130 Citizens First Bancorp, Inc. 4,688 113 Commercial Capital Bancorp, Inc. 42,570 987 Commercial Federal Corp. 121,186 3,600 Downey Financial Corp. 18,031 1,028 EFC Bancorp, Inc. 9,570 249 First Defiance Financial Corp. 20,925 596 First Niagara Financial Group, Inc. 1,621 23 First Place Financial Corp. of Ohio 12,623 283 FirstBank NW Corp. 90 2 FirstFed Financial Corp. * 48,456 2,513 HMN Financial, Inc. 990 32 Itla Capital Corp. * 19,940 1,172 MAF Bancorp, Inc. 16,966 760 MASSBANK Corp. 6,169 231 MutualFirst Financial, Inc. 6,721 164 Partners Trust Financial Group, Inc. 11,945 139 PFF Bancorp, Inc. 32,826 1,521 Provident Financial Holdings 2,514 72 Sterling Financial Corp. of Washington * 50,405 1,979 Timberland Bancorp, Inc. 6,244 143 United Community Financial Corp. of Ohio 162,286 1,818 Waypoint Financial Corp. 59,897 1,698 Westfield Financial, Inc. 2,619 68 Woronoco Bancorp, Inc. 7,400 271 --------- ------- 23,508 --------- ------- SEMICONDUCTORS - 0.8% Emulex Corp. * 206,087 3,471 ESS Technology, Inc. * 63,766 453 --------- ------- 3,924 --------- ------- SOFTWARE - 1.5% Ascential Software Corp. * 217,423 3,546 eFunds Corp. * 105,982 2,545 JDA Software Group, Inc. * 55,808 760 Midway Games, Inc. * 11,900 125 Phoenix Technologies Ltd. * 30,689 253 --------- ------- 7,229 --------- ------- TELECOMMUNICATIONS - 1.0% Aeroflex, Inc. * 66,802 810 Anixter International, Inc. * 21,536 775 Atlantic Tele-Network, Inc. 1,400 45 Comtech Telecommunications * 8,151 307 CT Communications, Inc. 60,019 738 EMS Technologies, Inc. * 74,469 1,238 Hypercom Corp. * 166,102 983 Powerwave Technologies, Inc. * 3,097 26 Price Communications Corp. * 3,875 72 Sunrise Telecom, Inc. 15,455 44 --------- ------- 5,038 --------- -------
EQUITY FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 96.5% - CONTINUED TEXTILES - 0.3% Angelica Corp. 3,319 $ 90 G & K Services, Inc., Class A 5,741 249 Quaker Fabric Corp. 8,028 45 Unifirst Corp. of Massachusetts 35,371 1,000 ------- ------- 1,384 ------- ------- TOYS, GAMES & HOBBIES - 0.3% Department 56, Inc. * 37,061 617 Jakks Pacific, Inc. * 16,645 368 RC2 Corp. * 20,147 657 ------- ------- 1,642 ------- ------- TRANSPORTATION - 2.9% Alexander & Baldwin, Inc. 48,450 2,055 Covenant Transport, Inc., Class A * 23,669 493 Genesee & Wyoming, Inc., Class A * 11,064 311 Gulfmark Offshore, Inc. * 9,611 214 Kansas City Southern Industries, Inc. * 65,202 1,156 Marten Transport Ltd. * 8,000 182 Offshore Logistics, Inc. * 47,643 1,547 OMI Corp. 162,100 2,732 Overseas Shipholding Group 71,600 3,952 U.S. Xpress Enterprises, Inc., Class A * 9,842 289 USA Truck, Inc. * 254 4 USF Corp. 29,700 1,127 ------- ------- 14,062 ------- ------- TRUCKING & LEASING - 0.4% GATX Corp. 45,230 1,337 Greenbrier Cos., Inc. 3,828 130 Interpool, Inc. 8,600 202 ------- ------- 1,669 ------- ------- WATER - 0.1% American States Water Co. 5,541 144 California Water Service Group 2,305 87 ------- ------- 231 ------- ------- TOTAL COMMON STOCKS ------- ------- (COST $327,824) 466,884
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CONVERTIBLE BONDS - 0.0% DISTRIBUTION/WHOLESALE - 0.0% Timco Aviation Services, Inc., (1) 8.00%, 1/2/07 $ 1 $ - ------- ------- METAL FABRICATE/HARDWARE - 0.0% Mueller Industries, Inc., 6.00%, 11/1/14 137 134 ------- ------- TOTAL COVERTIBLE BONDS ------- ------- (COST $135) 134
NUMBER VALUE OF SHARES (000S) --------- ------- INVESTMENT COMPANY - 0.1% iShares Russell 2000 Value Index Fund 2,950 569 ------- ------- TOTAL INVESTMENT COMPANY ------- ------- (COST $514) 569 WARRANT - 0.0% Timco Aviation Services, Inc. Exp. 2/27/07 * 864 - ------- ------- TOTAL WARRANT ------- ------- (COST $-) -
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENTS - 3.4% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 15,351 15,351 U.S.Treasury Bill, (2) 2.17%, 3/24/05 1,225 1,219 ------- ------- TOTAL SHORT-TERM INVESTMENTS ------- ------- (COST $16,570) 16,570 ------- ------- TOTAL INVESTMENTS - 100.0% ------- ------- (COST $345,043) 484,157
(1) Fair valued security (2) Securities pledged as collateral to cover margin requirements for open futures contracts. * Non-Income Producing Security NORTHERN FUNDS QUARTERLY REPORT 8 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS SMALL CAP VALUE FUND (continued) At December 31, 2004, the Small Cap Value Fund had open futures contracts as follows:
NOTIONAL UNREALIZED NUMBER OF AMOUNT CONTRACT CONTRACT GAIN TYPE CONTRACTS (000S) POSITION EXP. (000S) ------------ --------- -------- -------- -------- ---------- Russell 2000 51 $ 16,676 Long 03/05 $ 611
At December 31, 2004, the industry sectors for the Small Cap Value Fund were:
INDUSTRY SECTOR % OF INVESTMENTS -------------------------- ---------------- Consumer Discretionary 13.8% Consumer Staples 3.9 Energy 7.1 Financials 33.7 Health Care 4.1 Industrials 16.7 Information Technology 7.3 Materials 8.0 Telecommunication Services 0.4 Utilities 5.0 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $345,043 -------- Gross tax appreciation of investments $140,531 Gross tax depreciation of investments (1,417) -------- Net tax appreciation of investments $139,114 --------
EQUITY FUNDS 9 NORTHERN FUNDS QUARTERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS STOCK INDEX FUND
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.2% ADVERTISING - 0.2% Interpublic Group of Cos. (The), Inc. * 14,800 $ 198 Omnicom Group 6,500 548 ------ ------- 746 ------ ------- AEROSPACE/DEFENSE - 1.7% Boeing (The) Co. 29,268 1,515 General Dynamics Corp. 7,000 732 Goodrich Corp. 4,200 137 L-3 Communications Holdings, Inc. 3,700 271 Lockheed Martin Corp. 15,446 858 Northrop Grumman Corp. 12,598 685 Raytheon Co. 15,800 613 Rockwell Collins, Inc. 6,200 245 United Technologies Corp. 17,800 1,840 ------ ------- 6,896 ------ ------- AGRICULTURE - 1.5% Altria Group, Inc. 71,600 4,375 Archer-Daniels-Midland Co. 22,792 508 Monsanto Co. 9,241 513 Reynolds American, Inc. 5,200 409 UST, Inc. 5,800 279 ------ ------- 6,084 ------ ------- AIRLINES - 0.1% Delta Air Lines, Inc. * 4,800 36 Southwest Airlines Co. 27,930 455 ------ ------- 491 ------ ------- APPAREL - 0.5% Coach, Inc. * 6,600 372 Jones Apparel Group, Inc. 4,400 161 Liz Claiborne, Inc. 3,800 160 NIKE, Inc., Class B 9,200 834 Reebok International Ltd. 2,100 93 VF Corp. 3,828 212 ------ ------- 1,832 ------ ------- AUTO MANUFACTURERS - 0.6% Ford Motor Co. 64,075 938 General Motors Corp. 19,800 793 Navistar International Corp. * 2,480 109 PACCAR, Inc. 6,035 486 ------ ------- 2,326 ------ ------- AUTO PARTS & EQUIPMENT - 0.2% Cooper Tire & Rubber Co. 2,600 56 Dana Corp. 5,272 91 Delphi Corp. 19,610 177 Goodyear Tire & Rubber (The) Co. * 6,258 92 Johnson Controls, Inc. 6,700 425 Visteon Corp. 4,699 46 ------ ------- 887 ------ ------- BANKS - 6.5% AmSouth Bancorp 12,550 325 Bank of America Corp. 140,940 6,623 Bank of New York Co. (The), Inc. 27,200 909 BB&T Corp. 20,600 866 Comerica, Inc. 6,050 369 Compass Bancshares, Inc. 3,300 160 Fifth Third Bancorp 19,961 944 First Horizon National Corp. NA 4,500 194 Huntington Bancshares, Inc. 8,272 205 KeyCorp 14,600 495 M&T Bank Corp. 4,300 464 Marshall & IIsley Corp. 8,100 358 Mellon Financial Corp. 14,800 460 National City Corp. 24,200 909 North Fork Bancorporation, Inc. 16,350 472 PNC Financial Services Group, Inc. 9,900 569 Regions Financial Corp. 16,200 576 State Street Corp. 11,600 570 SunTrust Banks, Inc. 12,500 923 Synovus Financial Corp. 11,050 316 U.S. Bancorp 66,277 2,076 Wachovia Corp. 56,187 2,955 Wells Fargo & Co. 59,257 3,683 Zions Bancorporation 3,200 218 ------ ------- 25,639 ------ ------- BEVERAGES - 2.2% Anheuser-Busch Cos., Inc. 27,588 1,400 Brown-Forman Corp., Class B 4,300 209 Coca-Cola (The) Co. 84,400 3,514 Coca-Cola Enterprises, Inc. 16,500 344 Coors (Adolph) Co., Class B 1,300 98 Pepsi Bottling Group, Inc. 8,700 235 PepsiCo, Inc. 58,780 3,068 ------ ------- 8,868 ------ -------
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.2% - CONTINUED BIOTECHNOLOGY - 1.2% Amgen, Inc. * 44,336 $ 2,844 Biogen Idec, Inc. * 11,655 776 Chiron Corp. * 6,600 220 Genzyme Corp. * 8,000 464 Medimmune, Inc. * 8,800 239 Millipore Corp. * 1,800 90 ------- ------- 4,633 ------- ------- BUILDING MATERIALS - 0.3% American Standard Companies, Inc. * 7,500 310 Masco Corp. 16,200 592 Vulcan Materials Co. 3,600 196 ------- ------- 1,098 ------- ------- CHEMICALS - 1.6% Air Products & Chemicals, Inc. 7,900 458 Ashland, Inc. 2,500 146 Dow Chemical (The) Co. 32,771 1,623 du Pont (E.I.) de Nemours & Co. 34,677 1,701 Eastman Chemical Co. 2,775 160 Ecolab, Inc. 9,100 320 Engelhard Corp. 4,362 134 Great Lakes Chemical Corp. 1,900 54 Hercules, Inc. * 3,900 58 International Flavors & Fragrances, Inc. 3,300 141 PPG Industries, Inc. 6,000 409 Praxair, Inc. 11,400 503 Rohm & Haas Co. 7,843 347 Sherwin-Williams (The) Co. 5,000 223 Sigma-Aldrich Corp. 2,400 145 ------- ------- 6,422 ------- ------- COMMERCIAL SERVICES - 0.9% Apollo Group, Inc., Class A * 6,800 549 Cendant Corp. 36,408 851 Convergys Corp. * 5,100 76 Donnelley (R.R.) & Sons Co. 7,700 272 Equifax, Inc. 4,700 132 H&R Block, Inc. 5,800 284 McKesson Corp. 10,341 325 Moody's Corp. 5,102 443 Paychex, Inc. 13,200 450 Robert Half International, Inc. 6,100 180 ------- ------- 3,562 ------- ------- COMPUTERS - 4.3% Affiliated Computer Services, Inc., Class A * 4,500 271 Apple Computer, Inc. * 13,800 889 Computer Sciences Corp. * 6,600 372 Dell, Inc. * 86,700 3,654 Electronic Data Systems Corp. 17,900 413 EMC Corp. of Massachusetts * 83,612 1,243 Gateway, Inc. * 13,000 78 Hewlett-Packard Co. 105,342 2,209 International Business Machines Corp. 58,040 5,722 Lexmark International, Inc. * 4,500 383 NCR Corp. * 3,300 228 Network Appliance, Inc. * 12,500 415 Sun Microsystems, Inc. * 117,300 631 Sungard Data Systems, Inc. * 10,200 289 Unisys Corp. * 12,000 122 ------- ------- 16,919 ------- ------- COSMETICS/PERSONAL CARE - 2.3% Alberto-Culver Co., Class B 3,200 155 Avon Products, Inc. 16,544 640 Colgate-Palmolive Co. 18,500 947 Gillette (The) Co. 34,588 1,549 Kimberly-Clark Corp. 17,036 1,121 Procter & Gamble Co. 88,512 4,875 ------- ------- 9,287 ------- ------- DISTRIBUTION/WHOLESALE - 0.1% Genuine Parts Co. 6,150 271 Grainger (W.W.), Inc. 3,200 213 ------- ------- 484 ------- ------- DIVERSIFIED FINANCIAL SERVICES - 8.4% American Express Co. 43,800 2,469 Bear Stearns Cos. (The), Inc. 3,576 366 Capital One Financial Corp. 8,500 716 Charles Schwab (The) Corp. 47,025 562 CIT Group, Inc. 7,400 339 Citigroup, Inc. 181,061 8,724 Countrywide Financial Corp. 19,700 729 E*TRADE Financial Corp. * 13,100 196 Fannie Mae 33,800 2,407 Federated Investors, Inc., Class B 3,814 116 Franklin Resources, Inc. 8,700 606 Freddie Mac 24,000 1,769 Goldman Sachs Group, Inc. 16,920 1,760
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS STOCK INDEX FUND ( continued )
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 99.2% - CONTINUED DIVERSIFIED FINANCIAL SERVICES - 8.4% (CONTINUED) Janus Capital Group, Inc. 8,400 $ 141 Lehman Brothers Holdings, Inc. 9,400 822 MBNA Corp. 44,707 1,260 Merrill Lynch & Co., Inc. 32,484 1,942 Morgan (J.P.) Chase & Co. 124,225 4,846 Morgan Stanley 38,218 2,122 Price (T. Rowe) Group, Inc. 4,500 280 Providian Financial Corp. * 10,400 171 SLM Corp. 15,000 801 --------- -------- 33,144 --------- -------- ELECTRIC - 2.7% AES Corp. * 22,600 309 Allegheny Energy, Inc. * 4,800 95 Ameren Corp. 6,800 341 American Electric Power Co. 13,940 479 Calpine Corp. * 14,700 58 Centerpoint Energy, Inc. 10,822 122 Cinergy Corp. 6,341 264 CMS Energy Corp. * 6,600 69 Consolidated Edison, Inc. 8,300 363 Constellation Energy Group, Inc. 6,100 267 Dominion Resources, Inc. of Virginia 11,593 785 DTE Energy Co. 6,100 263 Duke Energy Corp. 32,504 823 Edison International 11,400 365 Entergy Corp. 7,800 527 Exelon Corp. 23,024 1,015 FirstEnergy Corp. 11,615 459 FPL Group, Inc. 6,500 486 NiSource, Inc. 9,300 212 PG&E Corp. * 14,100 469 Pinnacle West Capital Corp. 3,200 142 PPL Corp. 6,400 341 Progress Energy, Inc. 8,700 394 Public Service Enterprise Group, Inc. 8,350. 432 Southern (The) Co. 25,700 862 TECO Energy, Inc. 6,800 104 TXU Corp. 8,384 541 Xcel Energy, Inc. 14,585 265 --------- -------- 10,852 --------- -------- ELECTRICAL COMPONENTS & EQUIPMENT - 0.4% American Power Conversion Corp. 6,700 143 Emerson Electric Co. 14,600 1,024 Molex, Inc. 6,575 197 Power-One, Inc. * 3,200 29 --------- -------- 1,393 --------- -------- ELECTRONICS - 0.6% Agilent Technologies, Inc. * 17,056 411 Applera Corp. - Applied Biosystems Group 6,900 144 Fisher Scientific International, Inc. * 4,000 250 Jabil Circuit, Inc. * 7,100 182 Parker-Hannifin Corp. 4,125 312 PerkinElmer, Inc. 4,500 101 Sanmina-SCI Corp. * 18,200 154 Solectron Corp. * 37,000 197 Symbol Technologies, Inc. 8,400 145 Tektronix, Inc. 3,100 94 Thermo Electron Corp. * 5,700 172 Waters Corp. * 4,100 192 --------- -------- 2,354 --------- -------- ENGINEERING & CONSTRUCTION - 0.0% Fluor Corp. 2,900 158 --------- -------- ENTERTAINMENT - 0.1% International Game Technology 12,000 413 --------- -------- ENVIRONMENTAL CONTROL - 0.2% Allied Waste Industries, Inc. * 11,100 103 Waste Management, Inc. 20,273 607 --------- -------- 710 --------- -------- FOOD - 1.7% Albertson's, Inc. 12,945 309 Campbell Soup Co. 14,400 430 ConAgra Foods, Inc. 18,000 530 General Mills, Inc. 12,700 631 Heinz (H.J.) Co. 12,200 476 Hershey Foods Corp. 8,600 478 Kellogg Co. 14,400 643 Kroger Co. * 25,800 453 McCormick & Co., Inc. 4,800 185 Safeway, Inc. * 15,700 310 Sara Lee Corp. 27,400 661 SUPERVALU, Inc. 4,800 166 Sysco Corp. 22,400 855 Wrigley (Wm.) Jr. Co. 7,800 540 --------- -------- 6,667 --------- --------
EQUITY FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.2% - CONTINUED FOREST PRODUCTS & PAPER - 0.6% Georgia-Pacific Corp. 9,094 $ 341 International Paper Co. 16,972 713 Louisiana-Pacific Corp. 3,816 102 MeadWestvaco Corp. 7,159 243 Plum Creek Timber Co., Inc. 6,500 250 Temple-Inland, Inc. 1,950 133 Weyerhaeuser Co. 8,300 558 --------- ------- 2,340 --------- ------- GAS - 0.2% KeySpan Corp. 5,600 221 NICOR, Inc. 1,500 56 Peoples Energy Corp. 1,300 57 Sempra Energy 8,071 296 --------- ------- 630 --------- ------- HAND/MACHINE TOOLS - 0.1% Black & Decker Corp. 2,800 247 Snap-On, Inc. 2,050 71 Stanley Works (The) 2,900 142 --------- ------- 460 --------- ------- HEALTHCARE - PRODUCTS - 3.6% Bard (C.R.), Inc. 3,700 237 Bausch & Lomb, Inc. 1,900 122 Baxter International, Inc. 21,500 743 Becton, Dickinson & Co. 8,800 500 Biomet, Inc. 9,450 410 Boston Scientific Corp. * 29,500 1,049 Guidant Corp. 11,000 793 Johnson & Johnson 103,500 6,564 Medtronic, Inc. 42,200 2,096 St. Jude Medical, Inc. * 12,400 520 Stryker Corp. 14,000 675 Zimmer Holdings, Inc. * 8,540 684 --------- ------- 14,393 --------- ------- HEALTHCARE - SERVICES - 1.4% Aetna, Inc. 5,123 639 HCA, Inc. 14,747 589 Health Management Associates, Inc., Class A 8,600 195 Humana, Inc. * 5,600 166 Laboratory Corp. of America Holdings * 4,900 244 Manor Care, Inc. 3,050 108 Quest Diagnostics, Inc. 3,500 335 Tenet Healthcare Corp. * 16,300 179 UnitedHealth Group, Inc. 22,800 2,007 WellPoint, Inc. * 10,300 1,185 ` --------- ------- 5,647 ` --------- ------- HOME BUILDERS - 0.2% Centex Corp. 4,400 262 KB HOME 1,586 166 Pulte Homes, Inc. 4,400 281 ` --------- ------- 709 ` --------- ------- HOME FURNISHINGS - 0.1% Leggett & Platt, Inc. 6,700 191 Maytag Corp. 2,800 59 Whirlpool Corp. 2,300 159 ` --------- ------- 409 ` --------- ------- HOUSEHOLD PRODUCTS/WARES - 0.2% Avery Dennison Corp. 3,900 234 Clorox Co. 5,300 312 Fortune Brands, Inc. 5,000 386 ` --------- ------- 932 ` --------- ------- HOUSEWARES - 0.1% Newell Rubbermaid, Inc. 9,708 235 ` --------- ------- INSURANCE - 4.5% ACE Ltd. 10,000 428 AFLAC, Inc. 17,700 705 Allstate (The) Corp. 23,914 1,237 AMBAC Financial Group, Inc. 3,800 312 American International Group, Inc. 90,889 5,969 AON Corp. 11,075 264 Chubb Corp. 6,700 515 CIGNA Corp. 4,700 383 Cincinnati Financial Corp. 5,895 261 Hartford Financial Services Group, Inc. 10,200 707 Jefferson-Pilot Corp. 4,812 250 Lincoln National Corp. 6,100 285 Loews Corp. 6,500 457 Marsh & McLennan Cos., Inc. 18,100 596 MBIA, Inc. 4,950 313 Metlife, Inc. 26,000 1,053 MGIC Investment Corp. 3,400 234 Principal Financial Group 10,700 438 Progressive (The) Corp. 7,013 595 Prudential Financial, Inc. 17,900 984 SAFECO Corp. 4,400 230
NORTHERN FUNDS QUARTERLY REPORT 4 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS STOCK INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.2% - CONTINUED INSURANCE - 4.5% - (CONTINUED) St. Paul Cos. (The), Inc. 23,313 $ 864 Torchmark Corp. 3,800 217 UnumProvident Corp. 10,461 188 XL Capital Ltd., Class A 4,800 373 ------ ------- 17,858 ------ ------- INTERNET - 1.3% eBay, Inc. * 23,112 2,687 Monster Worldwide, Inc. * 4,100 138 Symantec Corp. * 22,000 567 Yahoo!, Inc. * 48,600 1,831 ------ ------- 5,223 ------ ------- IRON/STEEL - 0.1% Allegheny Technologies, Inc. 3,332 72 Nucor Corp. 5,600 293 United States Steel Corp. 3,900 200 ------ ------- 565 ------ ------- LEISURE TIME - 0.5% Brunswick Corp. 3,400 168 Carnival Corp. 22,096 1,274 Harley-Davidson, Inc. 10,300 626 Sabre Holdings Corp. 4,881 108 ------ ------- 2,176 ------ ------- LODGING - 0.4% Harrah's Entertainment, Inc. 3,950 264 Hilton Hotels Corp. 13,600 309 Marriott International, Inc., Class A 7,800 491 Starwood Hotels & Resorts Worldwide, Inc. 7,200 421 ------ ------- 1,485 ------ ------- MACHINERY - CONSTRUCTION & MINING - 0.3% Caterpillar, Inc. 11,900 1,160 ------ ------- MACHINERY - DIVERSIFIED - 0.3% Cummins, Inc. 1,600 134 Deere & Co. 8,700 648 Rockwell Automation, Inc. 6,500 322 ------ ------- 1,104 ------ ------- MEDIA - 3.8% Clear Channel Communications, Inc. 20,000 670 Comcast Corp., Class A * 77,854 2,591 Disney (Walt) Co. 71,300 1,982 Dow Jones & Co., Inc. 2,900 125 Gannett Co., Inc. 8,900 727 Knight-Ridder, Inc. 2,700 181 McGraw-Hill Cos. (The), Inc. 6,600 604 Meredith Corp. 1,800 97 New York Times Co., Class A 5,200 212 News Corp., Class A 89,300 1,666 Time Warner, Inc. * 159,500 3,101 Tribune Co. 11,100 468 Univision Communications, Inc., Class A * 11,400 334 Viacom, Inc., Class B 59,448 2,163 ------ ------- 14,921 ------ ------- MINING - 0.6% Alcoa, Inc. 30,412 956 Freeport-McMoRan Copper & Gold, Inc., Class B 6,200 237 Newmont Mining Corp. 15,477 687 Phelps Dodge Corp. 3,330 329 ------ ------- 2,209 ------ ------- MISCELLANEOUS MANUFACTURING - 5.9% 3M Co. 27,100 2,224 Cooper Industries Ltd., Class A 3,200 217 Danaher Corp. 10,800 620 Dover Corp. 7,100 298 Eastman Kodak Co. 10,000 323 Eaton Corp. 5,300 384 General Electric Co. 368,845 13,463 Honeywell International, Inc. 30,112 1,066 Illinois Tool Works, Inc. 10,300 955 Ingersoll-Rand Co., Class A 6,050 486 ITT Industries, Inc. 3,200 270 Pall Corp. 4,366 126 Textron, Inc. 4,800 354 Tyco International Ltd. 70,290 2,512 ------ ------- 23,298 ------ ------- OFFICE/BUSINESS EQUIPMENT - 0.2% Pitney Bowes, Inc. 8,100 375 Xerox Corp. * 33,296 566 ------ ------- 941 ------ ------- OIL & GAS - 6.2% Amerada Hess Corp. 3,200 264 Anadarko Petroleum Corp. 8,606 558 Apache Corp. 11,406 577 Burlington Resources, Inc. 13,664 594 ChevronTexaco Corp. 73,906 3,881
EQUITY FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.2% - CONTINUED OIL & GAS - 6.2% - (CONTINUED) ConocoPhillips 24,051 $ 2,088 Devon Energy Corp. 17,000 662 EOG Resources, Inc. 4,100 293 Exxon Mobil Corp. 225,114 11,539 Kerr-McGee Corp. 5,249 303 Marathon Oil Corp. 12,100 455 Nabors Industries Ltd. * 5,200 267 Noble Corp. * 4,700 234 Occidental Petroleum Corp. 13,700 799 Rowan Cos., Inc. * 3,700 96 Sunoco, Inc. 2,600 212 Transocean, Inc. * 11,210 475 Unocal Corp. 9,200 398 Valero Energy Corp. 9,000 409 XTO Energy, Inc. 9,100 322 ------- ------- 24,426 ------- ------- OIL & GAS SERVICES - 0.7% Baker Hughes, Inc. 11,640 497 BJ Services Co. 5,700 265 Halliburton Co. 15,500 608 Schlumberger Ltd. 20,500 1,373 ------- ------- 2,743 ------- ------- PACKAGING & CONTAINERS - 0.1% Ball Corp. 4,000 176 Bemis Co. 3,800 111 Pactiv Corp. * 5,200 131 Sealed Air Corp. * 2,953 157 ------- ------- 575 ------- ------- PHARMACEUTICALS - 5.9% Abbott Laboratories 54,300 2,533 Allergan, Inc. 4,600 373 AmerisourceBergen Corp. 3,609 212 Bristol-Myers Squibb Co. 67,860 1,738 Cardinal Health, Inc. 15,024 874 Caremark Rx, Inc. * 15,900 627 Express Scripts, Inc. * 2,700 206 Forest Laboratories, Inc. * 12,800 574 Gilead Sciences, Inc. * 15,144 530 Hospira, Inc. * 5,480 184 King Pharmaceuticals, Inc. * 8,700 108 Lilly (Eli) & Co. 39,496 2,241 Medco Health Solutions, Inc. * 9,568 398 Merck & Co., Inc. 77,400 2,488 Mylan Laboratories, Inc. 9,600 170 Pfizer, Inc. 262,792 7,066 Schering-Plough Corp. 51,400 1,073 Watson Pharmaceuticals, Inc. * 3,800 125 Wyeth 46,600 1,985 ------- ------- 23,505 ------- ------- PIPELINES - 0.2% Dynegy, Inc., Class A * 13,300 61 El Paso Corp. 22,447 233 Kinder Morgan, Inc. 4,300 315 Williams Cos. (The), Inc. 19,400 316 ------- ------- 925 ------- ------- REITS - 0.5% Apartment Investment & Management Co., Class A 3,600 139 Archstone-Smith Trust 6,100 234 Equity Office Properties Trust 14,200 413 Equity Residential 9,800 355 ProLogis 6,335 274 Simon Property Group, Inc. 8,200 530 ------- ------- 1,945 ------- ------- RETAIL - 6.9% Autonation, Inc. * 9,500 183 Autozone, Inc. * 2,800 256 Bed Bath & Beyond, Inc. * 10,500 418 Best Buy Co., Inc. 11,350 675 Big Lots, Inc. * 4,200 51 Circuit City Stores, Inc. 6,800 106 Costco Wholesale Corp. 16,316 790 CVS Corp. 14,000 631 Darden Restaurants, Inc. 5,550 154 Dillard's, Inc., Class A 3,000 81 Dollar General Corp. 11,505 239 Family Dollar Stores, Inc. 6,000 187 Federated Department Stores, Inc. 5,900 341 Gap (The), Inc. 30,587 646 Home Depot (The), Inc. 76,555 3,272 Kohl's Corp. * 12,000 590 Limited Brands 14,100 325 Lowe's Cos., Inc. 26,900 1,549 May Department Stores (The) Co. 10,248 301 McDonald's Corp. 43,800 1,404
NORTHERN FUNDS QUARTERLY REPORT 6 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS STOCK INDEX FUND (continued)
NUMBER VALUE OF SHARES (000S) --------- ------- COMMON STOCKS - 99.2% - CONTINUED RETAIL - 6.9% - (CONTINUED) Nordstrom, Inc. 4,900 $ 229 Office Depot, Inc. * 11,100 193 OfficeMax, Inc. 3,033 95 Penney (J.C.) Co., Inc. (Holding Co.) 10,000 414 RadioShack Corp. 5,500 181 Sears, Roebuck & Co. 7,200 368 Staples, Inc. 17,450 588 Starbucks Corp. * 13,900 867 Target Corp. 31,300 1,625 Tiffany & Co. 5,200 166 TJX Cos., Inc. 16,800 422 Toys "R" US, Inc. * 7,475 153 Wal-Mart Stores, Inc. 147,800 7,807 Walgreen Co. 36,000 1,381 Wendy's International, Inc. 4,000 157 Yum! Brands, Inc. 10,200 481 ------- ------- 27,326 ------- ------- SAVINGS & LOANS - 0.6% Golden West Financial Corp. 10,700 657 Sovereign Bancorp, Inc. 12,013 271 Washington Mutual, Inc. 30,470 1,288 ------- ------- 2,216 ------- ------- SEMICONDUCTORS - 3.0% Advanced Micro Devices, Inc. * 12,700 280 Altera Corp. * 13,100 271 Analog Devices, Inc. 13,200 487 Applied Materials, Inc. * 59,400 1,016 Applied Micro Circuits Corp. * 11,600 49 Broadcom Corp., Class A * 11,300 365 Freescale Semiconductor, Inc., Class B * 13,627 250 Intel Corp. 220,600 5,160 Kla-Tencor Corp. * 6,900 321 Linear Technology Corp. 10,800 419 LSI Logic Corp. * 13,900 76 Maxim Integrated Products, Inc. 11,400 483 Micron Technology, Inc. * 21,700 268 National Semiconductor Corp. 12,500 224 Novellus Systems, Inc. * 5,000 139 NVIDIA Corp. * 5,900 139 PMC - Sierra, Inc. * 6,300 71 QLogic Corp. * 3,200 118 Teradyne, Inc. * 7,000 120 Texas Instruments, Inc. 60,400 1,487 Xilinx, Inc. 12,100 359 ------- ------- 12,102 ------- ------- SOFTWARE - 4.7% Adobe Systems, Inc. 8,300 521 Autodesk, Inc. 8,000 304 Automatic Data Processing, Inc. 20,400 905 BMC Software, Inc. * 7,900 147 Citrix Systems, Inc. * 6,000 147 Computer Associates International, Inc. 20,476 636 Compuware Corp. * 13,900 90 Electronic Arts, Inc. * 10,600 654 First Data Corp. 28,923 1,230 Fiserv, Inc. * 6,800 273 IMS Health, Inc. 8,104 188 Intuit, Inc. * 6,600 290 Mercury Interactive Corp. * 2,900 132 Microsoft Corp. 379,300 10,131 Novell, Inc. * 13,100 88 Oracle Corp. * 178,900 2,455 Parametric Technology Corp. * 9,400 55 Siebel Systems, Inc. * 17,800 187 Veritas Software Corp. * 14,700 420 ------- ------- 18,853 ------- ------- TELECOMMUNICATIONS - 5.9% ADC Telecommunications, Inc. * 28,200 76 Alltel Corp. 10,800 635 Andrew Corp. * 5,762 79 AT&T Corp. 27,871 531 Avaya, Inc. * 16,400 282 BellSouth Corp. 63,900 1,776 CenturyTel, Inc. 4,750 169 CIENA Corp. * 17,900 60 Cisco Systems, Inc. * 229,700 4,433 Citizens Communications Co. 11,600 160 Comverse Technology, Inc. * 6,800 166 Corning, Inc. * 48,800 574 JDS Uniphase Corp. * 50,900 161 Lucent Technologies, Inc. * 150,300 565 Motorola, Inc. 83,465 1,436 Nextel Communications, Inc., Class A * 38,800 1,164 QUALCOMM, Inc. 57,000 2,417
EQUITY FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) ---------- --------- COMMON STOCKS - 99.2% - CONTINUED TELECOMMUNICATIONS - 5.9% - (CONTINUED) Qwest Communications International, Inc. * 66,955 $ 297 SBC Communications, Inc. 115,592 2,979 Scientific-Atlanta, Inc. 5,400 178 Sprint Corp. (FON Group) 50,400 1,252 Tellabs, Inc. * 14,700 126 Verizon Communications, Inc. 96,570 3,912 ---------- --------- 23,428 ---------- --------- TEXTILES - 0.1% Cintas Corp. 6,000 263 ---------- --------- TOYS, GAMES & HOBBIES - 0.1% Hasbro, Inc. 6,312 122 Mattel, Inc. 14,641 286 ---------- --------- 408 ---------- --------- TRANSPORTATION - 1.6% Burlington Northern Santa Fe Corp. 13,028 616 CSX Corp. 7,524 302 FedEx Corp. 10,440 1,028 Norfolk Southern Corp. 13,800 499 Ryder System, Inc. 2,300 110 Union Pacific Corp. 9,100 612 United Parcel Service, Inc., Class B 39,100 3,342 ---------- --------- 6,509 ---------- --------- TOTAL COMMON STOCKS ---------- --------- (COST $288,203) 393,784
PRINCIPAL AMOUNT VALUE (000S) (000S) ---------- --------- SHORT-TERM INVESTMENTS - 0.8% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 2,778 $ 2,778 U.S.Treasury Bill,(1) 2.19%, 3/24/05 430 428 ---------- --------- TOTAL SHORT-TERM INVESTMENTS ---------- --------- (COST $3,206) 3,206 ---------- --------- TOTAL INVESTMENTS - 100.0% ---------- --------- (COST $291,409) $ 396,990
---------- (1) Securities pledged as collateral to cover margin requirements for open futures contracts. * Non-Income Producing Security NORTHERN FUNDS QUARTERLY REPORT 8 EQUITY FUNDS EQUITY FUNDS SCHEDULE OF INVESTMENTS STOCK INDEX FUND (continued) At December 31, 2004, the Stock Index Fund had open futures contracts as follows:
NOTIONAL UNREALIZED NUMBER OF AMOUNT CONTRACT CONTRACT GAIN TYPE CONTRACTS (000S) POSITION EXP. (000S) --------- --------- -------- -------- -------- ---------- S&P 500 13 $ 3,945 Long 03/05 $ 82
At December 31, 2004, the industry sectors for the Stock Index Fund were:
INDUSTRY SECTOR % OF INVESTMENTS -------------------------- ---------------- Consumer Discretionary 11.9% Consumer Staples 10.5 Energy 7.2 Financials 20.5 Health Care 12.7 Industrials 11.8 Information Technology 16.1 Materials 3.1 Telecommunication Services 3.3 Utilities 2.9 ---------------- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 291,409 ---------- Gross tax appreciation of investments $ 134,475 Gross tax depreciation of investments (28,894) ---------- Net tax appreciation of investments $ 105,581 ----------
EQUITY FUNDS 9 NORTHERN FUNDS QUATERLY REPORT EQUITY FUNDS SCHEDULE OF INVESTMENTS TECHNOLOGY FUND
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 99.4% COMMERCIAL SERVICES - 10.3% Accenture Ltd., Class A * 385,000 $ 10,395 Alliance Data Systems Corp. * 45,000 2,137 Automatic Data Processing, Inc. 126,200 5,597 Cognizant Technology Solutions Corp. * 80,000 3,386 Electronic Data Systems Corp. 160,000 3,696 First Data Corp. 180,100 7,661 --------- -------- 32,872 --------- -------- COMPUTERS - 12.4% Dell, Inc. * 265,000 11,167 EMC Corp. of Massachusetts * 791,700 11,773 Hewlett-Packard Co. 126,800 2,659 International Business Machines Corp. 60,000 5,915 Network Appliance, Inc. * 97,000 3,222 Seagate Technology * 283,900 4,903 --------- -------- 39,639 --------- -------- ELECTRONICS - 4.5% Agilent Technologies, Inc. * 215,000 5,181 Flextronics International Ltd. * 449,100 6,207 Symbol Technologies, Inc. 90,000 1,557 Zebra Technologies Corp., Class A * 25,800 1,452 --------- -------- 14,397 --------- -------- INTERNET - 14.0% 51job, Inc. ADR * 39,200 2,037 Amazon.com, Inc. * 75,000 3,322 eBay, Inc. * 131,000 15,233 Google, Inc., Class A * 18,900 3,650 IAC/InterActiveCorp. * 160,000 4,419 Shopping.com Ltd. * 47,900 1,353 Yahoo!, Inc. * 397,000 14,959 --------- -------- 44,973 --------- -------- SEMICONDUCTORS - 16.7% Altera Corp. * 80,000 1,656 Analog Devices, Inc. 4,400 162 Applied Materials, Inc. * 315,000 5,386 Broadcom Corp., Class A * 276,900 8,938 Cypress Semiconductor Corp. * 160,000 1,877 Integrated Circuit Systems, Inc. * 105,000 2,197 Intel Corp. 255,000 5,964 Linear Technology Corp. 62,400 2,419 Marvell Technology Group Ltd. * 10,000 355 Maxim Integrated Products, Inc. 50,000 2,119 Micron Technology, Inc. * 540,000 6,669 STMicroelectronics N.V., New York Shares 143,000 2,763 Teradyne, Inc. * 100,000 1,707 Texas Instruments, Inc. 190,000 4,678 Triquint Semiconductor, Inc. * 250,000 1,113 Xilinx, Inc. 180,000 5,337 --------- -------- 53,340 --------- -------- SOFTWARE - 21.1% Cognos, Inc. * 90,000 3,965 Computer Associates International, Inc. 190,000 5,901 Electronic Arts, Inc. * 152,300 9,394 Intuit, Inc. * 124,000 5,457 Internet Security Systems, Inc. * 66,000 1,534 Manhattan Associates, Inc. * 80,000 1,910 McAfee, Inc. * 76,000 2,199 Mercury Interactive Corp. * 70,000 3,189 Microsoft Corp. 310,000 8,280 NAVTEQ Corp. * 45,469 2,108 Novell, Inc. * 178,600 1,206 Oracle Corp. * 600,000 8,232 SAP A.G. ADR 100,000 4,421 Symantec Corp. * 46,000 1,185 Take-Two Interactive Software, Inc. * 40,000 1,392 Veritas Software Corp. * 245,900 7,020 --------- -------- 67,393 --------- -------- TELECOMMUNICATIONS - 20.4% Adtran, Inc. 75,500 1,445 Andrew Corp. * 130,000 1,772 CenturyTel, Inc. 4,000 142 Cisco Systems, Inc. * 403,000 7,778 Comcast Corp., Class A * 3,400 113 Commonwealth Telephone Enterprises, Inc. * 3,500 174 Juniper Networks, Inc. * 470,400 12,790 Motorola, Inc. 392,800 6,756 Nokia OYJ ADR 380,000 5,955 QUALCOMM, Inc. 246,900 10,469 RF Micro Devices, Inc. * 367,400 2,513 Telefonaktiebolaget LM Ericsson 475,000 14,958
EQUITY FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
NUMBER VALUE OF SHARES (000S) --------- -------- COMMON STOCKS - 99.4% - CONTINUED TELECOMMUNICATIONS - 20.4% - (CONTINUED) Viacom, Inc., Class B 3,500 $ 127 Vodafone Group PLC ADR 8,200 224 --------- -------- 65,216 --------- -------- TOTAL COMMON STOCKS --------- -------- (COST $246,050) 317,830 WARRANT - 0.1% Lucent Technologies, Exp. 12/10/07 * 197,785 313 --------- -------- TOTAL WARRANT --------- -------- (COST $-) 313
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- --------- SHORT-TERM INVESTMENT - 0.5% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $1,524 1,524 ------ -------- TOTAL SHORT-TERM INVESTMENT ------ -------- (COST $1,524) 1,524 TOTAL INVESTMENTS - 100.0% ------ -------- (COST $247,574) $319,667
* Non-Income Producing Security At December 31, 2004,the industry sectors for the Technology Fund were:
INDUSTRY SECTOR % OF INVESTMENTS --------------- ---------------- Commercial Services & Supplies 0.6% Communications Equipment 19.6 Computers & Peripherals 12.5 Electronic Equipments & Instruments 4.1 Information Technology & Services 10.3 Internet Catalog & Retail 7.2 Internet Software & Services 6.3 Office Electronics 0.5 Semiconductor Equipments & Products 17.6 Software 21.2 Other 0.1 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $247,574 -------- Gross tax appreciation of investments $ 85,993 Gross tax depreciation of investments (13,900) -------- Net tax appreciation of investments $ 72,093 --------
NORTHERN FUNDS QUARTERLY REPORT 2 EQUITY FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS ARIZONA TAX - EXEMPT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 98.9% ARIZONA - 94.0% Arizona School Facilities Board Revenue Bonds, State School Improvement, 5.25%, 7/1/16 $3,000 $3,333 5.00%, 7/1/17 675 733 5.25%, 7/1/18 2,845 3,141 Arizona State Transportation Board Highway Revenue Bonds, Prerefunded, 5.75%, 7/1/09 2,390 2,707 Arizona State University COP Bonds, Research Infrastructure Project (AMBAC Insured), 5.00%, 9/1/30 2,000 2,060 Arizona State University Revenue Bonds (FGIC Insured), 5.50%, 7/1/16 1,620 1,814 5.50%, 7/1/20 2,160 2,419 Avondale Municipal Development Corp. Excise TRB (FGIC Insured), 5.00%, 7/1/18 650 699 Chandler Street & Highway User Revenue Bonds (MBIA Insured), Prerefunded, 5.13%, 7/1/05 2,000 2,051 Chandler Water & Sewerage Revenue Bonds (MBIA Insured), 7.25%, 7/1/09 240 285 Glendale G.O. Revenue Bonds, 2.00%, 7/1/18 2,600 2,029 Glendale IDA Revenue Bonds, Series A, Midwestern University, 4.25%, 5/15/05 375 378 4.50%, 5/15/06 390 400 4.63%, 5/15/07 410 427 4.75%, 5/15/08 425 449 Maricopa County School District No. 8 Osborn G.O. Bonds, Series A (FGIC Insured), Prerefunded, 5.88%, 7/1/06 705 750 5.88%, 7/1/06 1,295 1,378 Maricopa County School District No. 8 Osborn G.O. Refunding Bonds, Bank Qualified (FGIC Insured), 4.70%, 7/1/14 1,000 1,091 Maricopa County Unified School District No. 89 Dysart G.O. Bonds, Series B, School Improvement Project of 2002 (FSA Insured), 5.25%, 7/1/15 1,600 1,800 Maricopa County Unified School District No. 11 Peoria G.O. Bonds, Unified Project of 1991, Prerefunded, 5.50%, 7/1/05 1,000 1,027 Maricopa County Unified School District No. 80 Chandler Capital Appreciation G.O. Refunding Bonds (FGIC Insured), 0.00%, 7/1/09 1,000 872 Mesa IDA Student Housing Revenue Bonds, Series A, ASU East/Maricopa College, 6.00%, 7/1/32 900 912 Mesa Street & Highway Revenue Bonds (FGIC Insured), 5.00%, 7/1/18 500 556 Mesa Utilities System Revenue Bonds (FGIC Insured), Prerefunded, 5.00%, 7/1/09 930 1,023 5.00%, 7/1/09 1,000 1,100 Mohave County Union High School District No. 30 Mohave G.O. Bonds, Series B (FGIC Insured), 8.50%, 7/1/05 1,000 1,032 Northern Arizona University Revenue Bonds (FGIC Insured), 5.13%, 6/1/19 785 850 5.13%, 6/1/20 770 824 Phoenix Civic Improvement Corp. Excise TRB, Series A, Senior Lien, Municipal Courthouse Project, 5.75%, 7/1/15 1,325 1,485 Phoenix Civic Improvement Corp. Municipal Facilities Subordinate Excise TRB (FGIC Insured), 5.75%, 7/1/15 1,000 1,131 Phoenix Civic Improvement Corp. Wastewater System Revenue Bonds, Junior Lien (FGIC Insured), Prerefunded, 6.25%, 7/1/10 1,000 1,177
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) -------- ------- MUNICIPAL BONDS - 98.9% - CONTINUED ARIZONA - 94.0% - (CONTINUED) Phoenix Civic Improvement Corp. Wastewater System Revenue Bonds, Junior Lien (MBIA Insured), 5.00%, 7/1/28 $ 1,800 $ 1,866 5.00%, 7/1/29 400 414 Phoenix Civic Improvement Corp. Water System Revenue Bonds, Junior Lien (FGIC Insured), 5.50%, 7/1/15 2,000 2,244 5.50%, 7/1/17 3,500 3,914 Phoenix Civic Plaza Building Corp. Excise TRB, Senior Lien, 5.70%, 7/1/07 1,160 1,192 Phoenix G.O. Bonds, 4.50%, 7/1/22 1,000 1,008 Phoenix G.O. Bonds, Series B, Various Purpose, 5.38%, 7/1/20 1,000 1,113 Phoenix G.O. Refunding Bonds, Series A, 4.50%, 7/1/15 1,500 1,550 Phoenix G.O. Refunding Bonds, Series B, 4.50%, 7/1/20 1,100 1,116 Pima County G.O. Bonds (FSA Insured), 4.00%, 7/1/14 750 767 Pima County Unified School District No. 10 Amphitheater G.O. Bonds, Series E, School Improvement Project, 6.50%, 7/1/05 1,900 1,942 Pima County Unified School District No. 12 Sunnyside G.O. Bonds (FGIC Insured), Prerefunded, 5.75%, 7/1/09 2,000 2,263 Pima County Unified School District No. 6 Marana G.O. Refunding Bonds (FGIC Insured), 5.40%, 7/1/14 1,300 1,450 Pinal County COP, 5.00%, 12/1/29 1,500 1,501 Prescott Valley Municipal Property Corp. Municipal Facilities Revenue Bonds (FGIC Insured), 5.00%, 1/1/16 580 627 Salt River Project Agricultural Improvement & Power District Electrical Systems Revenue Refunding Bonds, Series C, 4.90%, 1/1/08 470 476 Scottsdale Preservation Authority Excise TRB (FGIC Insured), Prerefunded, 6.00%, 7/1/08 370 418 -------- ------- 63,794 ------ PUERTO RICO - 4.9% Puerto Rico Commonwealth Infrastructure Financing Authority Special Obligation Bonds, Series A, Escrowed to Maturity, 5.50%, 10/1/20 2,500 2,759 5.50%, 10/1/40 500 544 -------- ------- 3,303 ------- TOTAL MUNICIPAL BONDS (COST $62,834) 67,097
NUMBER VALUE OF SHARES (000'S) --------- ------- INVESTMENT COMPANIES - 1.1% AIM Tax Exempt Cash Reserve Fund 729,016 729 Dreyfus Tax-Exempt Cash Management Fund 2,602 3 -------- ------- TOTAL INVESTMENT COMPANIES (COST $732) 732 TOTAL INVESTMENTS - 100.0% (COST $63,566) $67,829
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS ARIZONA TAX - EXEMPT FUND (continued) At December 31, 2004, the industry sectors for the Arizona Tax-Exempt Fund were:
INDUSTRY SECTOR % OF INVESTMENT --------------- --------------- Education 10.6% Facilities 6.5 General Obligation 11.2 Higher Education 15.5 School District 20.1 Transportation 7.8 Utilities 8.7 Water 9.1 All other sectors less than 5% 10.5 ----- Total 100.0%
At December 31, 2004, the quality distribution for the Arizona Tax-Exempt Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 77.8% AA 10.8 A 9.0 BBB 1.3 Cash Equivalents 1.1 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $63,566 ------- Gross tax appreciation of investments $ 4,268 Gross tax depreciation of investments (5) ------- Net tax appreciation of investments $ 4,263 -------
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA INTERMEDIATE TAX - EXEMPT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 99.0% CALIFORNIA - 97.4% Antelope Valley Union High School District Capital Appreciation G.O. Revenue Bonds, Series B, Election 2002 (MBIA Insured), 0.00%, 8/1/29 $3,500 $ 956 Arcade Water District Revenue COP (FGIC Insured), 5.00%, 11/1/17 1,000 1,075 California Infrastructure & Economic Development Bank Revenue Bonds, Series A, Scripps Research Institute, 5.75%, 7/1/30 1,000 1,058 California State Department of Water Resources Power Supply Revenue Bonds, Series A (FSA Insured), 5.25%, 5/1/12 2,000 2,252 California State Department of Water Resources Power Supply Revenue Bonds, Series A, 5.50%, 5/1/08 4,815 5,255 California State Economic Recovery Bonds, Series A, 5.00%, 7/1/16 1,500 1,603 5.00%, 7/1/17 250 266 California State G.O. Bonds, Various Purpose (FGIC Insured), 4.50%, 6/1/21 1,000 1,018 California State G.O. Refunding Bonds (FGIC Insured), 4.75%, 2/1/19 1,000 1,029 California State Public Works Board Lease Revenue Refunding Bonds, Series A, Department of Corrections State Prisons (AMBAC Insured), 5.25%, 12/1/13 1,350 1,529 California State Public Works Board Lease Revenue Refunding Bonds, Series A, Trustees California State University, 5.25%, 10/1/14 3,545 3,856 California Statewide Communities Development Authority Revenue COP, John Muir/Mount Diablo Health System (MBIA Insured), 5.50%, 8/15/12 4,030 4,607 California Statewide Communities Development Authority Student Housing Revenue Bonds, Series A, East Campus Apartments LLC (ACA Insured), 5.00%, 8/1/12 1,775 1,908 Contra Costa County Home Mortgage Revenue Bonds, GNMA Mortgage Backed Securities Program (Colld. by GNMA), Escrowed to Maturity, 7.50%, 5/1/14 1,000 1,306 Duarte Redevelopment Agency SFM Revenue Refunding Bonds, Series B, Mortgage Backed Securities Program (Colld. by FNMA), Escrowed to Maturity, 6.88%, 10/1/11 950 1,163 East Bay Regional Park District G.O Refunding Bonds, 5.00%, 9/1/17 250 267 Fremont-Newark Community College District G.O. Bonds, Series A (MBIA Insured), 5.38%, 8/1/18 1,350 1,501 5.38%, 8/1/19 625 693 Glendale California Unified School District G.O. Bonds, Series D (MBIA Insured), 5.38%, 9/1/18 1,000 1,110 Golden State Tobacco Securitization Corp. Tobacco Settlement Revenue Bonds, Series B, Enhanced Asset Backed, 2.88%, 6/1/08 1,800 1,794 5.00%, 6/1/10 2,000 2,145 5.38%, 6/1/17 750 772 Imperial Irrigation District COP, Electric Systems Project, 6.50%, 11/1/07 2,000 2,227 Los Angeles County Metropolitan Transportation Authority Sales Refunding TRB, Series B, Property A-First Tier (MBIA Insured), 4.50%, 7/1/21 1,000 1,014 Los Angeles County Metropolitan Transportation Authority Sales TRB, Series B, Property A-First Tier (FSA Insured), 4.75%, 7/1/15 1,250 1,317 4.75%, 7/1/16 850 891
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 99.0% - CONTINUED CALIFORNIA - 97.4% - (CONTINUED) Los Angeles Department of Water & Power Electric Plant Revenue Refunding Bonds, Prerefunded, 6.10%, 2/15/05 $ 1,495 $1,517 Los Angeles Department of Water & Power Electric Plant Revenue Refunding Bonds, Prerefunded, 6.10%, 2/15/05 505 513 Los Angeles Unified School District G.O. Bonds, Series E, Election of 1997 (MBIA Insured), Prerefunded, 5.50%, 7/1/12 1,060 1,221 Los Angeles Wastewater Systems Revenue Refunding Bonds, Series D (FGIC Insured), 4.70%, 11/1/19 1,000 1,005 Metropolitan Water District of Southern California Waterworks Revenue Bonds, Series A, Prerefunded, 5.50%, 7/1/09 1,350 1,536 Mountain View California Refunding COP, Revitalization Authority (MBIA Insured), Prerefunded, 6.00%, 10/1/05 850 892 Oakland Joint Powers Financing Authority Lease Revenue Bonds, Oakland Administration Buildings (AMBAC Insured), Prerefunded, 5.38%, 8/1/06 1,070 1,145 Orange County Water District COP, Series B (MBIA Insured), 5.38%, 8/15/18 1,000 1,109 Sacramento County Sanitation District Financing Authority Revenue Crossover Bonds, Series A, 5.60%, 12/1/16 1,500 1,560 5.75%, 12/1/18 1,250 1,302 San Francisco City & County Airport Commission International Airport Revenue Refunding Bonds, Second Series Issue 20 (MBIA Insured), 4.75%, 5/1/15 500 521 San Francisco City & County G.O. Bonds, Series A, Educational Facilities Community College Project, 5.75%, 6/15/20 700 778 San Gabriel Unified School District G.O. Bonds, Series A (FSA Insured), 5.38%, 8/1/18 1,555 1,729 San Jose Airport Revenue Bonds, Series A (FGIC Insured), 5.25%, 3/1/16 1,000 1,092 San Marcos PFA Capital Appreciation Custodial Receipts Revenue Bonds, Escrowed to Maturity, 0.00%, 7/1/11 1,000 801 San Mateo County Community College District G.O. Bonds, Series A, Election of 2001 (FGIC Insured), 5.00%, 9/1/21 1,000 1,061 Santa Rosa Wastewater Revenue Refunding Bonds, Series A, Subregional Wastewater Project (FGIC Insured), 4.75%, 9/1/16 1,000 1,029 Southern California Public Power Authority Capital Appreciation Subordinate Revenue Refunding Bonds, Southtran Transmission Project, 0.00%, 7/1/14 1,000 667 Southern California Public Power Authority Power Project Revenue Bonds, 6.75%, 7/1/12 2,100 2,518 Washington Township Healthcare District Revenue Bonds, 4.25%, 7/1/05 100 101 4.50%, 7/1/07 1,005 1,046 5.00%, 7/1/09 250 269 --------- ------ 66,024 ------ VIRGIN ISLANDS - 1.6% Virgin Islands PFA Revenue Bonds, Series A, Gross Receipts Tax Lien Note, 5.63%, 10/1/10 1,000 1,064 ------ TOTAL MUNICIPAL BONDS (COST $62,795) 67,088
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA INTERMEDIATE TAX - EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------ SHORT-TERM INVESTMENT - 1.0% California State G.O. VRDB, Series A-9 Kindergarten-University Public Education Facilities (Citibank LOC), 1.97%, 1/6/05 $ 650 $ 650 ------- TOTAL SHORT-TERM INVESTMENT (COST $650) 650 TOTAL INVESTMENTS - 100.0% (COST $63,445) $67,738
At December 31, 2004, the industry sectors for the California Intermediate Tax-Exempt Fund were:
INDUSTRY SECTOR % OF INVESTMENT --------------- --------------- Agriculture 7.0% Facilities 6.5 General Obligation 9.4 Higher Education 8.6 Medical 9.0 Power 19.3 School District 7.5 Utilities 10.3 Water 5.5 All other sectors less than 5% 16.9 ----- Total 100.0%
At December 31, 2004, the quality distribution for the California Intermediate Tax-Exempt Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 51.7% AA 15.1 A 29.0 BBB 1.6 Not Rated 1.6 Cash Equivalents 1.0 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $63,445 ------- Gross tax appreciation of investments $ 4,301 Gross tax depreciation of investments (8) ------- Net tax appreciation of investments $ 4,293 -------
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA TAX-EXEMPT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 99.5% CALIFORNIA - 91.6% ABAG Finance Authority for Nonprofit Corps. COP, Channing House, 4.65%, 2/15/06 $ 280 $ 285 Alameda City G.O. Bonds (MBIA Insured), 5.00%, 8/1/33 1,155 1,190 Alameda County Unified School District Capital Appreciation G.O. Bonds, Series A (FSA Insured), 0.00%, 8/1/29 2,000 546 Alameda County Water District Revenue Refunding Bonds (MBIA Insured), 4.75%, 6/1/20 2,000 2,047 Anaheim PFA Revenue Bonds, Electric System Distributing Facilities (MBIA Insured), 5.00%, 10/1/28 2,000 2,053 Anaheim PFA Tax Allocation Revenue Bonds, Series A, Redevelopment Project (MBIA Insured), 5.25%, 2/1/18 250 268 Anaheim Union High School District Capital Appreciation G.O. Bonds, Election 2002 (MBIA Insured), 0.00%, 8/1/28 575 167 Antelope Valley Union High School District Capital Appreciation G.O. Revenue Bonds, Series B, Election 2002 (MBIA Insured), 0.00%, 8/1/28 4,685 1,358 Aztec Shops Ltd. Auxiliary Organization Student Housing Revenue Bonds, San Diego State University, 6.00%, 9/1/31 2,000 2,081 Beverly Hills Unified School District G.O. Bonds, Series A, 5.38%, 8/1/19 1,370 1,519 California Educational Facilities Authority Capital Appreciation Revenue Bonds, Loyola Marymount (MBIA Insured), Prerefunded, 0.00%, 10/1/09 4,435 1,170 0.00%, 10/1/09 3,435 796 California Health Facilities Finance Authority Revenue Refunding Bonds, Series A, Cedars-Sinai Medical Center, 6.13%, 12/1/19 3,350 3,667 California Infrastructure & Economic Development Bank Revenue Bonds, Series A, Scripps Research Institute, 5.75%, 7/1/30 250 265 California State Department of Water Resources Power Supply Revenue Bonds, Series A, 5.50%, 5/1/08 185 202 California State Economic Recovery Bonds, Series A, 5.00%, 7/1/16 1,625 1,736 California State G.O. Bonds, 5.13%, 6/1/24 2,000 2,079 California State G.O. Refunding Bonds (FGIC Insured), 4.75%, 2/1/29 1,000 1,003 California State G.O. Refunding Bonds, 4.38%, 10/1/17 1,390 1,408 California State Public Works Board Lease Revenue Bonds, Series A, Department of Corrections (AMBAC Insured), 5.50%, 1/1/14 1,300 1,367 California State Public Works Board Lease Revenue Refunding Bonds, Series B, Various Community College Project (AMBAC Insured), 5.63%, 3/1/16 1,000 1,057 California State University Foundation Revenue Bonds, Series A, Sacramento Auxiliary (MBIA Insured), 5.50%, 10/1/27 500 545 5.50%, 10/1/32 500 540 California State G.O. Bonds, Various Purpose (FGIC Insured), 4.50%, 6/1/21 1,000 1,018 California Statewide Communities Development Authority Student Housing Revenue Bonds, Series A, East Campus Apartments LLC (ACA Insured), 5.63%, 8/1/34 1,000 1,037 Dry Creek Joint Elementary School District Capital Appreciation G.O. Bonds, Series A (FSA Insured), 0.00%, 8/1/09 400 349
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 99.5% - CONTINUED CALIFORNIA - 91.6% - (CONTINUED) East Bay Municipal Utilities District Water System Revenue Bonds (MBIA Insured), 5.00%, 6/1/26 $ 1,000 $ 1,033 4.75%, 6/1/34 1,000 1,001 East Bay Regional Park District G.O. Refunding Bonds, 5.00%, 9/1/17 2,250 2,403 Escondido Union High School District G.O. Bonds (MBIA Insured), Escrowed to Maturity, 5.60%, 11/1/09 150 162 Fillmore Unified School District Capital Appreciation G.O. Bonds, Series A (FGIC Insured), 0.00%, 7/1/10 515 429 Folsom G.O. Bonds, Series D, School Facilities Project (FGIC Insured), 5.70%, 8/1/13 200 219 Foothill/Eastern Transportation Corridor Agency Toll Road Senior Lien Capital Appreciation Revenue Bonds, Series A, Escrowed to Maturity, 0.00%, 1/1/05 375 375 Fremont-Newark Community College District G.O. Bonds, Series A (MBIA Insured), 5.38%, 8/1/19 750 831 Glendale California Unified School District G.O. Bonds, Series D (MBIA Insured), 5.38%, 9/1/18 665 738 Golden State Tobacco Securitization Corp. Revenue Bonds, Series B, Enhanced Asset Backed, 5.38%, 6/1/28 2,220 2,305 5.63%, 6/1/38 2,000 2,122 Imperial Irrigation District COP, Electric Systems Project, 6.50%, 11/1/07 1,600 1,782 Imperial Irrigation District Refunding COP, Electric Systems Project (MBIA Insured), 5.20%, 11/1/09 200 223 Lemoore Union High School District G.O. Bonds (AMBAC Insured), 6.00%, 1/1/12 200 234 Los Angeles County Metropolitan Transportation Authority Sales TRB, Series B, Property A-First Tier (FSA Insured), 4.75%, 7/1/15 1,750 1,844 4.75%, 7/1/16 1,150 1,205 Los Angeles Department of Water & Power Electric Plant Revenue Refunding Bonds, Prerefunded, 6.10%, 2/15/05 380 386 Los Angeles Harbor Department Revenue Bonds, Escrowed to Maturity, 7.60%, 10/1/18 35 45 Mid Peninsula Regional Open Space District G.O. Refunding Bonds, 7.00%, 9/1/14 1,050 1,069 Modesto Irrigation District Refunding COP, Series B, Capital Improvements Projects, 5.30%, 7/1/22 1,780 1,781 Monrovia Unified School District Capital Appreciation G.O. Bonds, Series A (MBIA Insured), 0.00%, 8/1/10 720 598 New Haven Unified School District G.O. Refunding Bonds (FSA Insured), 5.75%, 8/1/20 1,320 1,511 Oakland G.O. Bonds, Measure I (FGIC Insured), 5.60%, 12/15/14 200 216 Perris Union High School District Capital Appreciation G.O. Bonds, Series B (FGIC Insured), 0.00%, 9/1/26 1,000 329 Placentia-Yorba Linda Unified School District G.O. Bonds, Series A (FGIC Insured), 5.38%, 8/1/21 1,000 1,104 Rio Hondo Community College District G.O. Bonds, Series A, School Facilities Construction & Improvement (MBIA Insured), 5.25%, 6/1/29 2,000 2,133 Sacramento City Financing Authority Revenue Bonds, Series A (AMBAC Insured), 5.00%, 12/1/32 2,720 2,778
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA TAX-EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 99.5% - CONTINUED CALIFORNIA - 91.6% - (CONTINUED) Sacramento County Sanitation District Financing Authority Revenue Crossover Bonds, Series A, 5.60%, 12/1/16 $ 500 $ 520 6.00%, 12/1/20 2,500 2,609 San Francisco City & County Airport Commission International Airport Revenue Refunding Bonds, Second Series Issue 20 (MBIA Insured), 4.75%, 5/1/15 1,000 1,041 San Francisco City & County G.O. Bonds, Series A, Educational Facilities Community College Project, 5.75%, 6/15/20 1,200 1,334 San Francisco State Building Authority Lease Revenue Refunding Bonds, Series A, Department of General Services, 5.00%, 10/1/13 4,250 4,663 San Gabriel Unified School District G.O. Bonds, Series A (FSA Insured), 5.38%, 8/1/19 1,750 1,940 5.38%, 8/1/20 1,955 2,164 San Jose Airport Revenue Bonds, Series A (FGIC Insured), 5.25%, 3/1/16 440 481 San Jose Unified School District Santa Clara County G.O. Bonds, Series A (FSA Insured), 5.38%, 8/1/19 500 554 San Mateo County Transit District Revenue Bonds, Series A (MBIA Insured), 4.50%, 6/1/17 1,225 1,260 Santa Margarita-Dana Point Authority Revenue Bonds, Series B, California Improvements Districts 3, 3a, 4, & 4a (MBIA Insured), 7.25%, 8/1/09 1,150 1,378 Santa Rosa Wastewater Revenue Refunding Bonds, Series A (FGIC Insured), 5.25%, 9/1/16 35 39 Santa Rosa Wastewater Revenue Refunding Bonds, Series A, Subregional Wastewater Project (FGIC Insured), 4.75%, 9/1/16 200 206 South Placer Wastewater Authority Revenue Bonds, Series A (FGIC Insured), Prerefunded, 5.00%, 11/1/10 2,410 2,713 Torrance Hospital Revenue Bonds, Series A, Torrance Memorial Medical Center, 6.00%, 6/1/22 500 560 University of California Revenue Bonds, Limited Project, Series A (MBIA Insured), 4.75%, 5/15/27 1,315 1,327 University of California Revenue Bonds, Multiple Purpose Projects, Series Q (FSA Insured), 5.00%, 9/1/31 2,000 2,046 Vista Unified School District G.O. Bonds, Series A (FSA Insured), 5.38%, 8/1/16 1,000 1,116 5.38%, 8/1/17 1,885 2,102 Walnut Valley Unified School District G.O. Refunding Bonds, Series A (MBIA Insured), 7.20%, 2/1/16 1,000 1,247 Washington Township Healthcare District Revenue Bonds, 4.25%, 7/1/05 100 101 5.00%, 7/1/09 405 436 5.00%, 7/1/11 500 532 5.00%, 7/1/12 1,270 1,336 -------- ------- 90,314 -------- ------- PUERTO RICO - 6.3% Puerto Rico Commonwealth Highway & Transportation Authority Revenue Bonds, Series B (MBIA Insured), 5.75%, 7/1/18 1,600 1,821 Puerto Rico Commonwealth Infrastructure Financing Authority Special Obligation Bonds, Series A, Escrowed to Maturity, 5.50%, 10/1/40 4,000 4,354 -------- ------- 6,175 -------- -------
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 99.5% - CONTINUED VIRGIN ISLANDS - 1.6% Virgin Islands PFA Revenue Bonds, Series A, Gross Receipts Tax Lien Note, 5.63%, 10/1/10 $ 1,500 $ 1,596 ------- ------- TOTAL MUNICIPAL BONDS ------- ------- (COST $90,905) 98,085 SHORT-TERM INVESTMENT - 0.5% ABAG Finance Authority for Nonprofit Corps. Revenue VRDB, Elder Care Alliance (Sovereign Bank FSB LOC), 1.96%, 1/6/05 450 450 ------- ------- TOTAL SHORT-TERM INVESTMENT ------- ------- (COST $450) 450 ------- ------- TOTAL INVESTMENTS - 100.0% ------- ------- (COST $91,355) $98,535
At December 31, 2004, the industry sectors for the California Tax-Exempt Fund were:
INDUSTRY SECTOR % OF INVESTMENT --------------- --------------- Facilities 6.1% General 6.1 General Obligation 13.0 Higher Education 10.9 Medical 6.8 Power 6.2 School District 18.5 Transportation 6.7 Utilities 6.6 All other sectors less than 5% 19.1 ----- Total 100.0%
At December 31, 2004, the quality distribution for the California Tax-Exempt Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 58.5% AA 12.8 A 23.7 BBB 4.0 Not Rated 0.5 Cash Equivalents 0.5 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: Federal tax cost of investments $ 91,355 ---------- Gross tax appreciation of investments $ 7,180 Gross tax depreciation of investments - ---------- Net tax appreciation of investments $ 7,180 ----------
NORTHERN FUNDS QUARTERLY REPORT 4 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FIXED INCOME FUND
NUMBER VALUE OF SHARES (000S) --------- ------ CONVERTIBLE PREFERRED STOCK - 0.0% REITS - 0.0% iStar Financial, Inc., 7.50% 6,800 $ 174 ----- ------ TOTAL CONVERTIBLE PREFERRED STOCK ----- ------ (COST $170) 174
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- ASSET-BACKED SECURITIES - 12.4% AUTOMOBILE - 2.0% BMW Vehicle Owner Trust, Series 2003-A, Class A4, 2.53%, 2/25/08 $ 1,700 1,683 Capital Auto Receivables Asset Trust, Series 2003-1, Class A3A, 2.75%, 4/16/07 3,630 3,617 Honda Auto Receivables Owner Trust, Series 2004-2 A3, 3.30%, 3/17/08 3,000 2,999 Nissan Auto Receivables Owner Trust, Series 2004-A, Class A3, 2.01%, 11/15/07 2,600 2,563 Triad Auto Receivables Owner Trust, Series 2003-B, Class A3, 2.48%, 3/12/08 1,900 1,888 WFS Financial Owner Trust, Series 2004-2, Class A4, 3.54%, 11/21/11 3,000 2,998 --------- ------ 15,748 --------- ------ COMMERCIAL MORTGAGE SERVICES - 6.4% Chase Manhattan Bank-First Union National Bank, Series 1999-1, Class A2, 7.44%, 8/15/31 5,025 5,683 Citigroup Commercial Mortgage Trust, Series 2004-C1, Class A4, 5.29%, 4/15/40 3,630 3,791 Commercial Mortgage Asset Trust, Series 1999-C1, Class A3, 6.64%, 1/17/32 3,880 4,259 Credit Suisse First Boston Mortgage Securities Corp., Series 2002-CKN2, Class A3, 6.13%, 4/15/37 2,375 2,591 Donaldson Lufkin & Jenrette Commercial Mortgage Corp., Series 1998-CF2, Class A1B, 6.24%, 11/12/31 2,220 2,390 GMAC Commercial Mortgage Securities, Inc., Series 2002-C3, Class A2, 4.93%, 7/10/39 2,490 2,545 GMAC Mortgage Corp. Loan Trust, Series 2004-He5, Class A2, 3.69%, 9/25/34 2,145 2,138 JP Morgan Chase Commercial Mortgage Securities Corp., Series 2003-C1, Class A1, 4.28%, 1/12/37 2,736 2,749 JP Morgan Chase Commercial Mortgage Securities Corp., Series 2004-C2, Class A3, 5.39%, 5/15/41 3,350 3,464 Lehman Brothers Commercial Conduit Mortgage Trust, Series 1999-C1, Class A2, 6.78%, 6/15/31 2,405 2,649 Morgan Stanley Capital I, Series 2004-IQ7, Class A4, 5.56%, 6/15/38 3,625 3,806 Morgan Stanley Dean Witter Capital I, Series 2001-TOP1, Class A4, 6.66%, 2/15/33 3,300 3,666 Morgan Stanley Dean Witter Capital I, Series 2001-TOP3, Class A4, 6.39%, 7/15/33 2,300 2,545 Wachovia Bank Commercial Mortgage Trust, Series 2003-C5, Class A2, 3.99%, 6/15/35 2,940 2,807 Wachovia Bank Commercial Mortgage Trust, Series 2003-C6, Class A4, 5.13%, 8/15/35 4,360 4,480 --------- ------ 49,563 --------- ------ CREDIT CARD - 1.5% Bank One Issuance Trust, Series 2003-A9, Class 9, 3.86%, 6/15/11 3,600 3,608 Citibank Credit Card Issuance Trust, Series 2003-A3, Class A3, 3.10%, 3/10/10 3,300 3,241 Citibank Credit Card Issuance Trust, Series 2003-A8, Class A8, 3.50%, 8/16/10 2,020 2,001 Fleet Credit Card Master Trust II, Series 2002-C, Class A, 2.75%, 4/15/08 3,055 3,049 --------- ------ 11,899 --------- ------
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- ASSET-BACKED SECURITIES - 12.4% - CONTINUED HOME EQUITY - 0.5% Advanta Mortgage Loan Trust, Series 2000-1, Class A4, 8.61%, 3/25/28 $ 306 $ 315 Citifinancial Mortgage Securities, Inc., Series 2003-3, Class AF2, 3.08%, 8/25/33 1,421 1,414 Residential Asset Securities Corp., Series 2003-KS10, Class AI2 2.71%, 5/25/26 2,360 2,351 --------- ------ 4,080 --------- ------ OTHER - 1.1% Chase Funding Mortgage Loan Asset-Backed Certificates, Series 2003-4, Class 1A2, 2.14%, 5/25/36 1,070 1,066 Chase Funding Mortgage Loan Asset-Backed Certificates, Series 2003-4, Class 1A3, 2.73%, 9/25/24 480 476 Countrywide Asset-Backed Certificates, Series 2003-5, Class AF2, 3.04%, 4/25/25 1,335 1,333 Residential Asset Mortgage Products, Inc., Series 2003-RS10, Class AI3, 3.58%, 3/25/28 2,370 2,369 Residential Asset Mortgage Products, Inc., Series 2004-RS5, Class AI3, 4.48%, 9/25/29 3,460 3,493 --------- ------ 8,737 --------- ------ WHOLE LOAN - 0.9% PNC Mortgage Securities Corp., Series 1996-PR1, Class A, 0.00%, 4/28/27 15 15 Residential Accredit Loans, Inc., Series 2001-QS18, Class A1, 6.50%, 12/25/31 3,163 3,211 Washington Mutual, Series 2003-AR7, Class A5, 3.07%, 8/25/33 3,715 3,651 --------- ------ 6,877 --------- ------ TOTAL ASSET-BACKED SECURITIES --------- ------ (COST $96,877) 96,904 CORPORATE BONDS - 32.1% ADVERTISING - 0.1% Advanstar Communications, Inc., 12.00%, 2/15/11 150 162 Donnelley (R.H.) Finance Corp. I, 10.88%, 12/15/12 750 890 --------- ------ 1,052 --------- ------ AGRICULTURE - 0.3% Bunge Ltd. Finance Corp., 5.88%, 5/15/13 1,355 1,438 Gold Kist, Inc., 10.25%, 3/15/14 228 267 Hines Nurseries, Inc., 10.25%, 10/1/11 300 328 Seminis Vegetable Seeds, Inc., 10.25%, 10/1/13 200 225 --------- ------ 2,258 --------- ------ APPAREL - 0.0% Levi Strauss & Co., 12.25%, 12/15/12 125 139 --------- ------ AUTO MANUFACTURERS - 0.9% DaimlerChrysler N.A. Holding Corp., 7.25%, 1/18/06 1,500 1,558 4.05%, 6/4/08 875 873 8.50%, 1/18/31 1,425 1,781 Navistar Financial Corp. Owner Trust, 3.13%, 5/15/09 2,590 2,571 Navistar International Corp., 7.50%, 6/15/11 75 80 --------- ------ 6,863 --------- ------ AUTO PARTS & EQUIPMENT - 0.1% Dana Corp., 9.00%, 8/15/11 1 1 Delco Remy International, Inc., 9.38%, 4/15/12 225 231 Goodyear Tire & Rubber (The) Co., 7.86%, 8/15/11 100 101 --------- ------ 333 --------- ------ BANKS - 1.5% Chase Manhattan Corp., 7.13%, 2/1/07 250 269 JP Morgan Chase & Co., 5.63%, 8/15/06 680 704 5.13%, 9/15/14 7,250 7,297
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FIXED INCOME FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 32.1% - CONTINUED BANKS - 1.5% - (CONTINUED) RBS Capital Trust III, 5.51%, 9/29/49 $ 3,590 $3,670 --------- ------ 11,940 --------- ------ BUILDING MATERIALS - 0.0% Ply Gem Industries, Inc., 9.00%, 2/15/12 325 330 --------- ------ CABLE TELEVISION - 0.1% DirecTV Holdings LLC, 8.38%, 3/15/13 450 504 Insight Midwest LP, Senior Notes, 10.50%, 11/1/10 175 192 Mediacom Broadband LLC, 11.00%, 7/15/13 170 183 --------- ------ 879 --------- ------ CHEMICALS - 0.3% IMC Global, Inc., 10.88%, 6/1/08 1 1 ISP Chemco, Inc., 10.25%, 7/1/11 500 565 Lyondell Chemical Co., 9.63%, 5/1/07 420 462 Millennium American, Inc., 9.25%, 6/15/08 1 1 Nalco Co., 8.88%, 11/15/13 270 296 PolyOne Corp., 10.63%, 5/15/10 425 478 Resolution Performance Products, Inc., 13.50%, 11/15/10 305 332 --------- ------ 2,135 --------- ------ COAL - 0.0% Foundation PA Coal Co., (1) 7.25%, 8/1/14 75 80 --------- ------ COMMERCIAL SERVICES - 0.3% Corrections Corp. of America, 9.88%, 5/1/09 1,000 1,110 Dollar Financial Group, Inc., 9.75%, 11/15/11 450 488 Service Corp., 7.70%, 4/15/09 240 259 Williams Scotsman, Inc., 9.88%, 6/1/07 300 300 --------- ------ 2,157 --------- ------ COMPUTERS - 0.0% Stratus Technologies, Inc. 10.38%, 12/1/08 200 181 --------- ------ COSMETICS/PERSONAL CARE - 0.0% Elizabeth Arden, Inc., 7.75%, 1/15/14 175 186 --------- ------ DIVERSIFIED FINANCIAL SERVICES - 12.0% Allstate Life Global Funding Trusts, 4.50%, 5/29/09 3,305 3,366 American General Finance Corp., 3.88%, 10/1/09 4,010 3,946 Associates Corp. of North America, 6.25%, 11/1/08 2,815 3,051 BCP Crystal Holdings Corp., (1) 9.63%, 6/15/14 310 350 Capital One Bank, 4.88%, 5/15/08 1,155 1,186 CIT Group, Inc., 5.00%, 2/13/14 1,010 1,008 Citigroup, Inc., 5.85%, 12/11/34 3,000 3,086 Couche-Tard Finance Corp., 7.50%, 12/15/13 210 225 Countrywide Home Loans, Inc., 4.25%, 12/19/07 500 506 3.25%, 5/21/08 1,700 1,662 Ford Motor Credit Co., 5.70%, 1/15/10 12,810 12,927 General Electric Capital Corp., 6.00%, 6/15/12 1,220 1,330 6.75%, 3/15/32 930 1,089 General Motors Acceptance Corp., 8.00%, 11/1/31 7,445 7,653 Goldman Sachs Group LP, 5.00%, 10/1/14 2,705 2,701 Goldman Sachs Group, Inc., 6.88%, 1/15/11 7,465 8,422
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 32.1% - CONTINUED DIVERSIFIED FINANCIAL SERVICES - 12.0% - (CONTINUED) Household Finance Corp., 4.63%, 1/15/08 $ 1,750 $ 1,792 6.38%, 11/27/12 1,155 1,276 4.75%, 7/15/13 2,735 2,714 International Lease Finance Corp., 2.95%, 5/23/06 750 743 3.75%, 8/1/07 565 565 iPCS Escrow Co., (1) 11.50%, 5/1/12 100 114 Lehman Brothers Holdings, Inc., 7.00%, 2/1/08 1,310 1,431 Merrill Lynch & Co., Inc., 5.00%, 1/15/15 6,295 6,270 Morgan Stanley, 3.63%, 4/1/08 3,200 3,182 4.75%, 4/1/14 1,935 1,885 National Rural Utilities Cooperative Finance, 3.00%, 2/15/06 1,550 1,547 Power Receivable Finance LLC, (1) 6.29%, 1/1/12 1,703 1,792 SLM Corp., 3.63%, 3/17/08 860 856 TRAINS, (1) 8.22%, 8/1/15 15,713 17,187 UGS Corp., (1) 10.00%, 6/1/12 170 193 --------- ------- 94,055 --------- ------- ELECTRIC - 1.3% AES Corp., 9.50%, 6/1/09 875 995 Alabama Power Co., 5.70%, 2/15/33 895 921 Appalachian Power Co., 3.60%, 5/15/08 580 573 Calpine Generating Co. LLC, 8.31%, 4/1/10 90 88 11.50%, 4/1/11 270 257 CMS Energy Corp., 9.88%, 10/15/07 450 503 8.50%, 4/15/11 140 159 Columbus Southern Power Co., 5.50%, 3/1/13 860 899 Duke Energy Corp., 3.75%, 3/5/08 700 699 Power Contract Financing LLC, (1) 5.20%, 2/1/06 598 604 PSEG Energy Holdings, Senior Notes, 10.00%, 10/1/09 300 355 Public Service Electric & Gas, 4.00%, 11/1/08 1,300 1,301 Reliant Energy, Inc., 6.75%, 12/15/14 490 487 Sierra Pacific Power Co., 6.25%, 4/15/12 100 104 Sierra Pacific Resources, 8.63%, 3/15/14 100 113 South Carolina Electric & Gas, 5.80%, 1/15/33 815 849 TECO Energy, Inc., 7.20%, 5/1/11 200 219 Wisconsin Electric Power, 5.63%, 5/15/33 750 763 --------- ------- 9,889 --------- ------- ELECTRICAL COMPONENTS & EQUIPMENT - 0.0% Superior Essex Communications LLC/ Essex Group, Inc., 9.00%, 4/15/12 225 232 --------- ------- ELECTRONICS - 0.0% PerkinElmer, Inc., 8.88%, 1/15/13 225 256 --------- ------- ENTERTAINMENT - 0.1% Mohegan Tribal Gaming Authority, 7.13%, 8/15/14 260 274 Seneca Gaming Corp., 7.25%, 5/1/12 250 263 Six Flags, Inc., 9.63%, 6/1/14 125 125 --------- ------- 662 --------- ------- ENVIRONMENTAL CONTROL - 0.2% Allied Waste North America, 9.25%, 9/1/12 375 406 Waste Management, Inc., 6.38%, 11/15/12 1,000 1,108 --------- ------- 1,514 --------- -------
NORTHERN FUNDS QUARTERLY REPORT 4 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FIXED INCOME FUND (CONTINUED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 32.1% - CONTINUED FOOD - 1.2% Cadbury Schweppes U.S. Finance LLC, (1) 3.88%, 10/1/08 $ 1,330 $ 1,326 Delhaize America, Inc., 8.13%, 4/15/11 230 268 Kraft Foods, Inc., 5.25%, 6/1/07 3,765 3,900 Kroger Co., 6.75%, 4/15/12 3,650 4,121 --------- ------- 9,615 --------- ------- FOREST PRODUCTS & PAPER - 0.1% Boise Cascade LLC, (1) 7.13%, 10/15/14 280 296 Georgia-Pacific Corp., 8.88%, 2/1/10 650 757 --------- ------- 1,053 --------- ------- HEALTHCARE-PRODUCTS - 0.0% Medical Device Manufacturing, (1) 10.00%, 7/15/12 210 226 --------- ------- HEALTHCARE-SERVICES - 0.6% Beverly Enterprises, Inc., (1) 7.88%, 6/15/14 400 429 Pacificare Health Systems, 10.75%, 6/1/09 225 260 Triad Hospitals, Inc., 7.00%, 5/15/12 200 210 Wellpoint Inc., (1) 4.25%, 12/15/09 3,990 3,988 --------- ------- 4,887 --------- ------- HOME BUILDERS - 0.3% K Hovnanian Enterprises, Inc., 7.75%, 5/15/13 170 184 6.38%, 12/15/14 200 200 KB Home, 5.75%, 2/1/14 2,040 2,020 --------- ------- 2,404 --------- ------- HOUSEHOLD PRODUCTS/WARES - 0.0% American Achievement Corp., 8.25%, 4/1/12 85 88 --------- ------- INSURANCE - 0.9% American International Group, Inc., 4.25%, 5/15/13 1,575 1,522 Marsh & McLennan Cos, Inc., 5.38%, 7/15/14 2,175 2,125 Principal Life Income Funding Trusts, 3.20%, 4/1/09 1,500 1,450 5.10%, 4/15/14 2,010 2,032 --------- ------- 7,129 --------- ------- INVESTMENT COMPANIES - 0.6% Credit Suisse First Boston USA, Inc., 4.63%, 1/15/08 840 861 4.13%, 1/15/10 2,295 2,283 6.50%, 1/15/12 900 1,002 5.50%, 8/15/13 500 523 --------- ------- 4,669 --------- ------- IRON/STEEL - 0.1% AK Steel Corp., 7.88%, 2/15/09 220 224 International Steel Group, Inc., 6.50%, 4/15/14 325 349 --------- ------- 573 --------- ------- LEISURE TIME - 0.1% AMF Bowling Worldwide, Inc., 10.00%, 3/1/10 525 560 --------- ------- LODGING - 0.3% Aztar Corp., 7.88%, 6/15/14 250 276 Mandalay Resort Group, 6.50%, 7/31/09 350 369 7.63%, 7/15/13 310 340 MGM Mirage, 8.38%, 2/1/11 520 586 Premier Entertainment Biloxi LLC, 10.75%, 2/1/12 250 273 Starwood Hotels & Resorts Worldwide, Inc., 7.88%, 5/1/12 180 206 Station Casinos, Inc., 6.88%, 3/1/16 175 182 --------- ------- 2,232 --------- ------- MACHINERY - CONSTRUCTION & MINING - 0.1% Joy Global, Inc., 8.75%, 3/15/12 500 560
FIXED INCOME FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 32.1% - CONTINUED MACHINERY - CONSTRUCTION & MINING - 0.1% - (CONTINUED) Manitowoc Co., 10.50%, 8/1/12 $ 300 $ 345 ------ ------ 905 ------ ------ MEDIA - 3.5% American Media Operation, Inc., Series B, 10.25%, 5/1/09 750 790 AOL Time Warner, Inc., 6.95%, 1/15/28 1,885 2,103 Block Communications, Inc., 9.25%, 4/15/09 300 327 Cablevision Systems Corp., (1) 8.00%, 4/15/12 155 166 Charter Communications Holdings II LLC, 10.25%, 9/15/10 275 292 Charter Communications Holdings LLC, Senior Notes, 10.75%, 10/1/09 230 209 Comcast Cable Communications, 6.38%, 1/30/06 1,870 1,932 6.75%, 1/30/11 2,500 2,807 Comcast Corp., 7.05%, 3/15/33 1,535 1,756 COX Communication, Inc., (1) 4.63%, 1/15/10 4,100 4,091 CSC Holdings, Inc., (1) 6.75%, 4/15/12 275 283 Dex Media East LLC, 12.13%, 11/15/12 70 85 Houghton Mifflin Co., 9.88%, 2/1/13 350 383 Liberty Group Operating, Inc., 9.38%, 2/1/08 325 330 News America Holdings, Inc., 7.60%, 10/11/15 1,140 1,351 News America, Inc., 6.63%, 1/9/08 453 489 Reader's Digest Association (The), Inc., 6.50%, 3/1/11 350 366 Time Warner, Inc., 6.75%, 4/15/11 5,220 5,872 Univision Communications, Inc., 3.50%, 10/15/07 645 637 3.88%, 10/15/08 685 679 Viacom, Inc., 5.50%, 5/15/33 1,510 1,484 Xm Satellite Radio, Inc., 12.00%, 6/15/10 240 284 Young Broadcasting, Inc., 10.00%, 3/1/11 550 587 ------ ------ 27,303 ------ ------ METAL FABRICATION/HARDWARE - 0.1% Wolverine Tube, Inc., 10.50%, 4/1/09 360 392 ------ ------ MISCELLANEOUS MANUFACTURING - 0.3% General Electric Co., 5.00%, 2/1/13 1,750 1,795 Trinity Industries, Inc., 6.50%, 3/15/14 480 480 ------ ------ 2,275 ------ ------ OFFICE/BUSINESS EQUIPMENT - 0.1% Xerox Corp., 7.63%, 6/15/13 550 604 ------ ------ OIL & GAS - 1.1% Coastal Corp., 7.75%, 6/15/10 470 491 Devon Energy Corp., 7.95%, 4/15/32 1,220 1,559 Devon Financing Corp., 6.88%, 9/30/11 840 951 Giant Industries, Inc., 11.00%, 5/15/12 435 505 Magnum Hunter Resources, Inc., 9.60%, 3/15/12 292 331 Pemex Project Funding Master Trust, 7.38%, 12/15/14 2,370 2,634 Pride International, Inc., 7.38%, 7/15/14 125 137 Valero Energy Corp., 6.88%, 4/15/12 1,000 1,134 4.75%, 6/15/13 530 524 ------ ------ 8,266
------ ------ NORTHERN FUNDS QUARTERLY REPORT 6 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FIXED INCOME FUND (Continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 32.1% - CONTINUED OIL & GAS PRODUCERS - 0.1% Swift Energy Co., 9.38%, 5/1/12 $ 350 $ 392 ------- ------ OIL & GAS SERVICES - 0.0% Dresser, Inc., 9.38%, 4/15/11 150 164 ------- ------ PACKAGING & CONTAINERS - 0.1% Owens-Brockway, 7.75%, 5/15/11 160 173 Owens-Illinois, Inc., 8.10%, 5/15/07 450 479 ------- ------ 652 ------- ------ PHARMACEUTICALS - 0.0% Leiner Health Products, Inc., 11.00%, 6/1/12 180 197 ------- ------ PIPELINES - 0.8% Consolidated Natural Gas Co., 5.38%, 11/1/06 2,035 2,102 Duke Energy Corp., 5.50%, 3/1/14 2,450 2,503 Dynegy Holdings, Inc., (1) 9.88%, 7/15/10 510 570 Pacific Energy Partners LP, 7.13%, 6/15/14 90 96 Williams Cos, Inc., 7.88%, 9/1/21 525 585 ------- ------ 5,856 ------- ------ REAL ESTATE - 0.4% EOP Operating LP, 4.65%, 10/1/10 3,100 3,114 ------- ------ REITS - 0.7% Felcor Lodging LP, 8.50%, 6/1/11 350 396 Host Marriott LP, 7.13%, 11/1/13 650 695 Meristar Hospitality Corp., 9.00%, 1/15/08 325 342 Omega Healthcare Investors, Inc., 7.00%, 4/1/14 350 360 Simon Property Group LP, 4.88%, 3/18/10 3,725 3,795 ------- ------ 5,588 ------- ------ RETAIL - 0.4% AmeriGas Partners LP, 8.88%, 5/20/11 500 545 Crew (J.) Intermediate LLC, 0.00%, 5/15/08 90 86 Ferrellgas Corp., 6.75%, 5/1/14 75 77 Finlay Fine Jewelry Corp., 8.38%, 6/1/12 75 81 Friendly Ice Cream Corp., 8.38%, 6/15/12 300 295 Petro Stopping Centers LP, 9.00%, 2/15/12 400 423 Staples, Inc., 7.38%, 10/1/12 1,530 1,780 ------- ------ 3,287 ------- ------ SAVINGS & LOANS - 0.3% Washington Mutual Bank FA, 5.13%, 1/15/15 2,350 2,334 ------- ------ SEMICONDUCTORS - 0.1% AMI Semiconductor, Inc., 10.75%, 2/1/13 190 223 Amkor Technology, Inc., 7.13%, 3/15/11 250 235 Freescale Semiconductor, Inc., 7.13%, 7/15/14 200 217 ------- ------ 675 ------- ------ SUPERMARKETS - 0.0% Roundy's, Inc., 8.88%, 6/15/12 130 142 ------- ------ TELECOMMUNICATIONS - 1.8% AT&T Corp., Senior Notes, 7.30%, 11/15/11 560 645 AT&T Wireless Services, Inc., 7.50%, 5/1/07 750 815 7.88%, 3/1/11 545 642 8.75%, 3/1/31 875 1,180 Centennial Cellular Operating Co., 10.13%, 6/15/13 200 224 Citizens Communications Co., 6.25%, 1/15/13 140 141 9.00%, 8/15/31 140 160
FIXED INCOME FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 32.1% - CONTINUED TELECOMMUNICATIONS - 1.8% - (CONTINUED) Nextel Communications, Inc., 7.38%, 8/1/15 $ 200 $ 220 PanAmSat Corp., (1) 9.00%, 8/15/14 160 179 Qwest Capital Funding, Inc., 7.90%, 8/15/10 110 111 7.25%, 2/15/11 175 172 Qwest Services Corp., (1) 14.00%, 12/15/10 150 180 Sprint Capital Corp., 7.63%, 1/30/11 900 1,045 8.38%, 3/15/12 1,700 2,071 8.75%, 3/15/32 1,100 1,466 Time Warner Telecom, Inc., 10.13%, 2/1/11 150 147 U.S. Unwired, Inc., 10.00%, 6/15/12 70 79 U.S. West Communications, Inc., 6.88%, 9/15/33 375 345 UbiquiTel Operating Co., 9.88%, 3/1/11 100 112 Verizon New Jersey, Inc., 5.88%, 1/17/12 2,115 2,247 Verizon of New England, Inc., 6.50%, 9/15/11 1,600 1,760 ------- -------- 13,941 ------- -------- TRANSPORTATION - 0.8% CSX Corp., 6.30%, 3/15/12 4,640 5,097 Horizon Lines LLC, (1) 9.00%, 11/1/12 275 296 Norfolk Southern Corp., 7.25%, 2/15/31 735 882 Overseas Shipholding Group, 8.25%, 3/15/13 220 245 ------- -------- 6,520 ------- -------- TOTAL CORPORATE BONDS ------- -------- (COST $245,146) 251,184 FOREIGN ISSUER BONDS - 2.6% BANKS - 0.1% National Westminster Bank PLC, 7.38%, 10/1/09 770 877 ------- -------- BUILDING MATERIALS - 0.1% Ainsworth Lumber Co. Ltd., 6.75%, 3/15/14 450 440 ------- -------- ELECTRONICS - 0.0% Celestica, Inc., 7.88%, 7/1/11 75 80 Flextronics International Ltd., (1) 6.25%, 11/15/14 230 228 ------- -------- 308 ------- -------- FOREST PRODUCTS & PAPER - 0.0% Abitibi-Consolidated, Inc., 7.75%, 6/15/11 160 168 ------- -------- IRON/STEEL - 0.1% IPSCO, Inc., 8.75%, 6/1/13 375 429 ------- -------- LEISURE TIME - 0.0% Bombardier Recreational Products, Inc., 8.38%, 12/15/13 210 224 ------- -------- MEDIA - 0.0% Kabel Deutschland GmbH, (1) 10.63%, 7/1/14 150 173 ------- -------- OIL & GAS - 0.2% Anadarko Finance Co., 7.50%, 5/1/31 900 1,115 ------- -------- PACKAGING & CONTAINERS - 0.0% Stone Container Finance, 7.38%, 7/15/14 250 266 ------- -------- RETAIL - 0.0% Jean Coutu Group, Inc., (1) 8.50%, 8/1/14 250 256 ------- -------- SOVEREIGN - 0.5% Mexico Government International Bond, 6.38%, 1/16/13 3,530 3,760 ------- -------- TELECOMMUNICATIONS - 1.4% Deutsche Telekom International Finance BV, 8.25%, 6/15/05 1,320 1,351 8.75%, 6/15/30 525 693 France Telecom, 9.00%, 3/1/11 1,115 1,330
NORTHERN FUNDS QUARTERLY REPORT 8 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FIXED INCOME FUNDS (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- FOREIGN ISSUER BONDS - 2.6% - CONTINUED TELECOMMUNICATIONS - 1.4% - (CONTINUED) NTL Cable PLC, (1) 8.75%, 4/15/14 $ 200 $ 226 Rogers Wireless Communications, Inc., 6.38%, 3/1/14 145 144 Royal KPN N.V., 8.00%, 10/1/10 1,450 1,711 Telecom Italia Capital SA, 5.25%, 11/15/13 1,500 1,516 Telefonica Europe BV, 7.75%, 9/15/10 1,850 2,169 Telefonos de Mexico SA de CV, 4.50%, 11/19/08 900 906 Vodafone Group PLC, 6.25%, 11/30/32 1,050 1,144 ------- ------- 11,190 ------- ------- TEXTILES - 0.1% INVISTA, (1) 9.25%, 5/1/12 350 390 ------- ------- TRANSPORTATION - 0.1% General Maritime Corp., 10.00%, 3/15/13 375 431 OMI Corp., 7.63%, 12/1/13 100 107 ------- ------- 538 ------- ------- TOTAL FOREIGN ISSUER BONDS ------- ------- (COST $19,621) 20,134 U.S. GOVERNMENT AGENCIES - 35.3% (2) FANNIE MAE - 31.3% 3.00%, 3/2/07 2,610 2,594 3.75%, 5/17/07 6,160 6,172 6.00%, 1/18/12 1,030 1,031 6.25%, 5/15/29 3,750 4,268 Pool #254981, 6.00%, 11/1/33 15,100 15,624 Pool #255452, 5.50%, 10/1/19 13,407 13,851 Pool #535714, 7.50%, 1/1/31 508 544 Pool #535982, 7.50%, 5/1/31 1,186 1,271 Pool #535996, 7.50%, 6/1/31 1,326 1,421 Pool #545003, 8.00%, 5/1/31 37 41 Pool #545437, 7.00%, 2/1/32 1,145 1,214 Pool #545757, 7.00%, 6/1/32 5,973 6,332 Pool #555189, 7.00%, 6/1/32 3,674 3,894 Pool #555750, 5.00%, 9/1/18 3,048 3,100 Pool #581806, 7.00%, 6/1/32 1,617 1,714 Pool #713973, 5.00%, 7/1/33 7,277 7,234 Pool #720598, 5.00%, 6/1/33 3,352 3,332 Pool #725503, 5.50%, 4/1/34 41,693 42,352 Pool #725787, 5.00%, 9/1/19 26,499 26,940 Pool #733868, 6.00%, 12/1/32 7,301 7,559 Pool #740226, 5.00%, 9/1/33 6,108 6,072 Pool #765123, 6.00%, 1/1/34 9,215 9,533 Pool #770695, 5.00%, 4/1/34 8,128 8,069 Pool #772764, 5.00%, 4/1/34 3,427 3,402 Pool #775007, 5.00%, 4/1/34 6,968 6,917 Pool #779668, 5.50%, 7/1/34 8,507 8,642 Pool #780957, 4.50%, 5/1/19 29,006 28,932 Pool #793269, 5.00%, 12/15/33 11,570 11,485
FIXED INCOME FUNDS 9 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 35.3% (2) - CONTINUED FANNIE MAE - 31.3% - (CONTINUED) Pool #806661, 5.00%, 12/15/33 $ 11,000 $ 10,919 -------- -------- 244,459 -------- -------- FREDDIE MAC - 0.3% 2.88%, 12/15/06 380 377 4.75%, 12/8/10 2,355 2,367 -------- -------- 2,744 -------- -------- FREDDIE MAC GOLD - 2.8% Pool #A17500, 6.50%, 1/1/34 19,198 20,150 Pool #C00910, 7.50%, 1/1/30 1,634 1,752 -------- -------- 21,902 -------- -------- GOVERNMENT NATIONAL MORTGAGE ASSOCIATION - 0.9% Pool #627123, 5.50%, 3/15/34 6,914 7,065 -------- -------- TOTAL U.S. GOVERNMENT AGENCIES -------- -------- (COST $274,577) 276,170 U.S. GOVERNMENT OBLIGATIONS - 10.2% U.S. TREASURY BONDS - 2.7% 7.88%, 2/15/21 60 81 6.25%, 8/15/23 1,505 1,762 6.75%, 8/15/26 3,845 4,796 5.50%, 8/15/28 8,135 8,805 5.38%, 2/15/31 5,180 5,601 -------- -------- 21,045 -------- -------- U.S. TREASURY NOTES - 7.5% 2.50%, 5/31/06 5,157 5,127 2.63%, 11/15/06 3,785 3,757 3.13%, 5/15/07 1,040 1,040 3.00%, 11/15/07 16,045 15,946 3.63%, 7/15/09 5,265 5,280 4.25%, 11/15/14 27,334 27,406 -------- -------- 58,556 -------- -------- TOTAL U.S. GOVERNMENT OBLIGATIONS -------- -------- (COST $79,061) 79,601
NUMBER OF VALUE SHARES (000S) ------ ------ WARRANTS - 0.0% Leap Wireless International, Exp. 4/15/10 (1) * 500 $ - --- ---- TOTAL WARRANTS --- ---- (COST $5) -
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENT - 7.4% Barclays Bank, Global Treasury Services, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 57,714 57,714 --------- -------- TOTAL SHORT-TERM INVESTMENT --------- -------- (COST $57,714) 57,714 --------- -------- TOTAL INVESTMENTS - 100.0% --------- -------- (COST $773,171) $781,881
(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available in accordance with procedures established by the Trustees of Northern Funds. At December 31, 2004, the value of these securities amounted to approximately $33,623,000 or 4.3% of total investments. (2) The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury. * Non-Income Producing Security At December 31, 2004, the quality distribution for the Fixed Income Fund's percentage of long-term investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 64.7% AA 5.8 A 9.7 BBB 11.5 BB 4.5 B or Lower 3.8 ----- Total 100.0%
As of December 31, 2004, the components of investments for federal income tax purposes were as follows: Federal tax cost of investments $ 773,171 ------------ Gross tax appreciation of investments $ 10,701 Gross tax depreciation of investments (1,991) ------------ Net tax appreciation of investments $ 8,710 ------------
NORTHERN FUNDS QUARTERLY REPORT 10 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FLORIDA INTERMEDIATE TAX - EXEMPT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 92.2% CALIFORNIA - 3.7% Golden State Tobacco Securitization Corp. Revenue Bonds, Class B, Enhanced Asset Backed, 5.75%, 6/1/22 $ 2,000 $ 2,121 --------- -------- FLORIDA - 83.7% Broward County Airport System Revenue Bonds, Series L (AMBAC Insured), 5.00%, 10/1/13 1,805 1,996 Capital Projects Finance Authority Student Housing Revenue Bonds, Series F-1, Capital Projects Loan Program (MBIA Insured), 4.50%, 10/1/06 575 593 Crossings at Fleming Island Community Development District Special Assessment Revenue Refunding Bonds, Series C, 7.05%, 5/1/15 300 321 Dade County G.O. Unlimited Refunding Bonds (MBIA Insured), 6.50%, 10/1/10 400 473 Florida Municipal Loan Council Revenue Bonds, Series B (MBIA Insured) 5.25%, 12/1/18 1,000 1,096 Florida State Board of Education G.O. Bonds, Series A, Capital Outlay 5.25%, 6/1/17 1,100 1,209 Florida State Board of Education G.O. Unlimited Refunding Bonds, Series D, Capital Outlay, 5.38%, 6/1/15 2,085 2,330 Florida State Department of Environmental Protection Preservation Revenue Bonds, Series B (FGIC Insured), 5.25%, 7/1/16 2,380 2,638 Florida State Department of Transportation G.O. Unlimited Revenue Bonds, Right of Way, Prerefunded, 5.80%, 7/1/05 1,500 1,543 Florida State Division of Bond Finance Revenue Bonds, Series A, Department of General Services-Preservation 2000 (AMBAC Insured), Prerefunded, 5.75%, 7/1/05 6,500 6,685 Gainesville Utility Systems Revenue Bonds, Series A, 5.25%, 10/1/15 1,065 1,191 5.25%, 10/1/16 1,120 1,248 Jacksonville Excise Taxes Revenue Refunding Bonds, Series C (AMT) (MBIA Insured), 5.25%, 10/1/16 1,300 1,427 Jacksonville Sales TRB, River City Renaissance Project (FGIC Insured), Prerefunded, 5.65%, 10/1/05 1,000 1,036 JEA St. Johns River Refunding Revenue Bonds, Series 2-17th, 5.25%, 10/1/13 2,000 2,210 Lee County Transportation Facilities Revenue Refunding Bonds, Series A (AMBAC Insured), 5.50%, 10/1/14 900 1,011 Marco Island Utility System Revenue Bonds (MBIA Insured), 5.25%, 10/1/15 2,520 2,819 Miami-Dade County Aviation Revenue Refunding Bonds, Series D (AMT) (MBIA Insured), 5.25%, 10/1/18 1,645 1,766 Miami-Dade County Expressway Authority Toll System Revenue Bonds, Series B (FBIC Insured), 5.25%, 7/1/25 2,525 2,724 Miami-Dade County Special Obligation Bonds, Series A-1, Capital Asset Acquisition (AMBAC Insured), 5.00%, 4/1/09 3,000 3,284 Orlando Utilities Commission Water & Electricity Revenue Refunding Bonds, 5.75%, 10/1/05 100 103 Osceola County Infrastructure Sales Surtax Revenue Bonds (AMBAC Insured), 5.38%, 10/1/21 1,000 1,107 Osceola County School Board COP Bonds, Series A (FGIC Insured), 5.00%, 6/1/15 1,500 1,654 Palm Beach County G.O. Unlimited Refunding Bonds, Series B, 6.50%, 7/1/10 250 295
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 92.2% - CONTINUED FLORIDA - 83.7% - (CONTINUED) Palm Beach County School Board COP Revenue Refunding Bonds, Series E (AMBAC Insured), 5.25%, 8/1/11 $ 1,000 $ 1,121 Palm Coast Utility System Revenue Bonds (MBIA Insured), 5.25%, 10/1/21 1,000 1,096 Polk County Utility System Revenue Refunding Bonds, Series B (FGIC Insured), 5.00%, 10/1/14 1,500 1,671 Reedy Creek Improvement District G.O. Bonds, Series A (MBIA Insured), Prerefunded, 5.75%, 6/1/05 1,000 1,015 South Florida Water Management District Special Obligation Limited Acquisition Revenue Refunding Bonds (AMBAC Insured), 5.25%, 10/1/13 1,250 1,416 Tampa Bay Water Utility System Revenue Refunding Bonds, Series A (FGIC Insured), 5.00%, 10/1/16 1,000 1,084 --------- ------- 48,162 ------- PUERTO RICO - 2.0% Puerto Rico Municipal Financing Agency G.O. Unlimited Bonds, Series A (FSA Insured), 6.00%, 8/1/15 1,000 1,139 --------- ------- TEXAS - 1.0% Panhandle Regional Housing Finance Agency Revenue Bonds, Series A (Colld. by U.S. Government Securities), 6.50%, 7/20/21 500 553 --------- ------- VIRGIN ISLANDS - 1.8% Virgin Islands PFA Revenue Bonds, Series A, Gross Receipts Tax Lien Note, 5.63%, 10/1/10 1,000 1,064 --------- ------- TOTAL MUNICIPAL BONDS --------- ------- (COST $51,939) 53,039
NUMBER VALUE OF SHARES (000S) --------- ------ INVESTMENT COMPANY - 0. 2% Dreyfus Florida Municipal Money Market Fund 116,006 $ 116 --------- ------ TOTAL INVESTMENT COMPANY --------- ------ (COST $116) 116
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENTS - 7.6% Alachua County Health Facilities Authority Continuing Care VRDB, Series A, Oak Hammock University of Florida Project (BNP Paribas LOC), 2.22%, 1/3/05 $ 200 200 Brevard County Health Facilities Authority Health Care Revenue Refunding VRDB, Health First Project (Suntrust Bank LOC), 2.22%, 1/3/05 200 200 Broward County Educational Facilities Authority Revenue VRDB, Series C, Nova Southeastern (Bank of America LOC), 2.22%, 1/3/05 1,650 1,650 Highlands County Health Facilities Authority Revenue VRDB, Series A, Adventist/Sunbelt (Suntrust Bank LOC), 2.00%, 1/6/05 950 950 Jacksonville Electric Authority Subordinate Revenue VRDB, Series B, Electric System, 2.20%, 1/3/05 700 700 Pinellas County Health Facility Authority Revenue Refunding VRDB, Hospital Loan Program (AMBAC Insured), 2.17%, 1/3/05 700 700 --------- ------- TOTAL SHORT-TERM INVESTMENTS --------- ------- (COST $4,400) 4,400 --------- ------- TOTAL INVESTMENTS - 100.0% --------- ------- (COST $56,455) $57,555
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS FLORIDA INTERMEDIATE TAX - EXEMPT FUND (CONTINUED) At December 31, 2004, the industry sectors for the Florida Intermediate Tax-Exempt Fund were:
INDUSTRY SECTOR % OF INVESTMENT --------------- --------------- Airport 7.1% Education 5.2 General 36.6 General Obligation 6.3 School District 6.7 Transportation 7.0 Utilities 15.3 All other sectors less than 5% 15.8 ----- Total 100.0%
At December 31, 2004, the quality distribution for the Florida Intermediate Tax-Exempt Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 75.9% AA 10.2 A 3.7 BBB 1.8 Not Rated 0.6 Cash Equivalents 7.8 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 56,455 -------- Gross tax appreciation of investments $ 1,201 Gross tax depreciation of investments (101) -------- Net tax appreciation of investments $ 1,100 --------
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS GLOBAL FIXED INCOME FUND
PRINCIPAL AMOUNT VALUE (000S)(1) (000S) --------- ------- DEBT OBLIGATIONS - 99.8% BRITISH POUND STERLING - 13.8% Treasury of Great Britain, 7.50%, 12/7/06 300 $ 608 7.25%, 12/7/07 800 1,652 5.00%, 3/7/08 800 1,560 5.75%, 12/7/09 147 298 5.00%, 9/7/14 600 1,193 ---------- ------- 5,311 ---------- ------- CANADIAN DOLLAR - 2.9% Government of Canada, 6.00%, 9/1/05 1,290 1,100 ---------- ------- DANISH KRONER - 3.5% Government of Denmark, 8.00%, 3/15/06 2,000 389 4.00%, 8/15/08 5,000 948 ---------- ------- 1,337 ---------- ------- EURO - 42.7% Buoni Poliennali Del Tesoro, 2.75%, 1/15/07 350 478 4.50%, 5/1/09 500 720 5.25%, 11/1/29 590 906 Deutsche Bundesrepublik, 4.25%, 1/4/14 1,250 1,778 6.25%, 1/4/24 450 779 6.50%, 7/4/27 990 1,783 Government of Belgium, 5.75%, 9/28/10 500 770 5.00%, 9/28/11 400 597 Government of Finland, 5.00%, 7/4/07 500 719 3.00%, 7/4/08 700 958 Government of France O.A.T., 4.00%, 10/25/09 500 707 4.75%, 10/25/12 500 736 Government of Ireland, 3.25%, 4/18/09 1,000 1,373 Government of Netherlands, 5.75%, 2/15/07 500 724 Government of Spain, 4.25%, 10/31/07 600 850 4.20%, 7/30/13 400 569 Portugal Obrigacoes do Tesouro OT, 3.95%, 7/15/09 1,100 1,553 5.15%, 6/15/11 300 451 ---------- ------- 16,451 ---------- ------- JAPANESE YEN - 14.9% Government of Japan Ten Year Bonds, 1.80%, 9/21/09 60,000 620 1.90%, 6/21/10 75,000 780 1.40%, 9/20/11 90,000 907 1.50%, 3/20/12 15,000 152 0.80%, 3/20/13 290,000 2,744 Government of Japan Twenty Year Bonds, 1.90%, 3/22/21 55,000 541 ---------- ------- 5,744 ---------- ------- SWEDISH KRONA - 4.2% Kingdom of Sweden, 8.00%, 8/15/07 5,000 845 5.00%, 1/28/09 3,000 482 9.00%, 4/20/09 1,600 295 ---------- ------- 1,622 ---------- ------- UNITED STATES DOLLAR - 17.8% Freddie Mac, 5.13%, 7/15/12 750 789 U.S. Treasury Bonds, 8.75%, 5/15/17 600 841 6.38%, 8/15/27 750 901 U.S. Treasury Notes, 2.88%, 11/30/06 1,200 1,196 5.50%, 5/15/09 500 541 4.38%, 8/15/12 260 266 4.25%, 11/15/13 1,000 1,006 4.00%, 2/15/14 1,350 1,331 ---------- ------- 6,871 ---------- ------- TOTAL DEBT OBLIGATIONS ---------- ------- (COST $33,249) 38,436
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENT - 0.2% Barclays Bank, Global Treasury Services, London, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 94 $ 94 --------- ------- TOTAL SHORT-TERM INVESTMENT --------- ------- (COST $94) 94 --------- ------- TOTAL INVESTMENTS - 100.0% --------- ------- (COST $33,343) $38,530
(1) Principal amounts stated in local currencies. At December 31, 2004, the Global Fixed Income Fund's percentage of long-term investments was diversified as follows:
INDUSTRY SECTOR PERCENTAGE Foreign Governments 82.1% U.S. Government Obligations 15.8 U.S. Government Agencies 2.1 ----- Total 100.0%
At December 31, 2004, the Global Fixed Income Fund had outstanding forward foreign currency exchange contracts as follows:
AMOUNT IN AMOUNT CONTRACTS (LOCAL EXCHANGE (LOCAL UNREALIZED TO DELIVER CURRENCY) FOR CURRENCY) SETTLEMENT GAIN/(LOSS) CURRENCY (000S) CURRENCY (000S) DATE (000S) --------- -------- ----------- -------- ---------- ----------- U.S. Canadian Dollar 153 Dollar 194 1/18/05 $ 9 U.S. Dollar 1,717 Euro 1,328 1/18/05 88 U.S. Japanese Dollar 7,072 Yen 769,826 1/18/05 450 Swedish Euro 1,172 Krona 10,500 1/18/05 (13) Danish Krone 10,950 U.S. Dollar 1,812 1/18/05 (189) British Pound 1,607 U.S. Dollar 2,989 1/18/05 (92) Euro 1,130 U.S. Dollar 1,391 1/18/05 (145) Japanese Yen 158,001 U.S. Dollar 1,500 1/18/05 (44) Swedish Krona 7,942 U.S. Dollar 1,078 1/18/05 (117) ----------- Total $ (53)
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 33,343 ---------- Gross tax appreciation of investments $ 5,228 Gross tax depreciation of investments (41) ---------- Net tax appreciation of investments $ 5,187 ----------
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD FIXED INCOME FUND
NUMBER OF VALUE SHARES (000S) ------ ------ CONVERTIBLE PREFERRED STOCK - 0.3% REITS - 0.3% ISTAR FINANCIAL, INC., 7.50% 118,500 $3,023 -------- ------ TOTAL CONVERTIBLE PREFERRED STOCK (COST $2,968) 3,023
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CONVERTIBLE BOND - 0.1% AIRLINES - 0.1% Continental Airlines, Inc., 4.50%, 2/1/07 $ 1,310 1,099 -------- ------ TOTAL CONVERTIBLE BOND (COST $1,081) 1,099 CORPORATE BONDS - 86.5% ADVERTISING - 2.2% Advanstar Communications, Inc., 12.00%, 2/15/11 4,625 4,989 Donnelley (R.H.) Finance Corp. I, 10.88%, 12/15/12 6,230 7,398 Vertis, Inc.,(1) 13.50%, 12/7/09 7,250 7,640 -------- ------ 20,027 -------- ------ AGRICULTURE - 1.8% Gold Kist, Inc., 10.25%, 3/15/14 2,739 3,205 Hines Nurseries, Inc., 10.25%, 10/1/11 5,400 5,899 Reynolds (R.J.) Tobacco Holdings, Inc., 7.88%, 5/15/09 3,610 3,872 Seminis Vegetable Seeds, Inc., 10.25%, 10/1/13 3,200 3,600 -------- ------ 16,576 -------- ------ AIRLINES - 0.7% Continental Airlines, Inc., 8.00%, 12/15/05 2,630 2,564 Delta Air Lines, Inc., 10.00%, 8/15/08 4,950 3,651 -------- ------ 6,215 -------- ------ APPAREL - 0.4% Levi Strauss & Co., 12.25%, 12/15/12 3,450 3,838 -------- ------ AUTO MANUFACTURERS - 0.2% Navistar International Corp., 7.50%, 6/15/11 $ 1,625 $1,743 -------- ------ AUTO PARTS & EQUIPMENT - 1.6% Collins & Aikman Products Co., (1) 12.88%, 8/24/12 3,730 3,222 Delco Remy International, Inc., 9.38%, 4/15/12 3,820 3,915 Goodyear Tire & Rubber (The) Co., 7.86%, 8/15/11 1,800 1,827 RJ Tower Corp., 12.00%, 6/1/13 2,675 2,100 Stoneridge, Inc., 11.50%, 5/1/12 3,000 3,488 -------- ------ 14,552 -------- ------ BUILDING MATERIALS - 1.1% Ply Gem Industries, Inc., 9.00%, 2/15/12 5,075 5,151 Wolverine Tube, Inc., 10.50%, 4/1/09 4,490 4,894 -------- ------ 10,045 -------- ------ CABLE TELEVISION - 3.4% Charter Communications Holdings II LLC, 10.25%, 9/15/10 6,760 7,166 Charter Communications Holdings LLC, 8.63%, 4/1/09 1,640 1,423 Charter Communications Holdings LLC, Senior Notes 10.75%, 10/1/09 5,875 5,347 CSC Holdings, Inc., (1) 6.75%, 4/15/12 4,750 4,892 DirecTV Holdings LLC, 8.38%, 3/15/13 3,175 3,560 Echostar DBS Corp., 6.38%, 10/1/11 4,140 4,233 Insight Midwest LP, Senior Notes, 10.50%, 11/1/10 2,300 2,518 Mediacom Broadband LLC, 11.00%, 7/15/13 2,360 2,537 -------- ------ 31,676 -------- ------ CHEMICALS - 4.5% BCP Crystal U.S. Holdings Corp., (1) 9.63%, 6/15/14 3,050 3,439
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 86.5% - CONTINUED CHEMICALS - 4.5% - (CONTINUED) Huntsman International Holdings LLC, 0.00%, 12/31/09 $ 3,275 $1,834 Huntsman International LLC, (1) 7.38%, 1/1/15 3,800 3,809 Innophos, Inc.,(1) 8.88%, 8/15/14 4,175 4,509 ISP Chemco, Inc., 10.25%, 7/1/11 3,520 3,978 Lyondell Chemical Co., 9.63%, 5/1/07 6,250 6,875 Nalco Co., 8.88%, 11/15/13 4,100 4,500 PolyOne Corp., 10.63%, 5/15/10 6,000 6,750 Resolution Performance Products, Inc., 13.50%, 11/15/10 5,915 6,433 -------- ------ 42,127 -------- ------ COAL - 0.2% Foundation PA Coal Co., (1) 7.25%, 8/1/14 2,160 2,300 -------- ------ COMMERCIAL SERVICES - 2.9% Cenveo Corp., 7.88%, 12/1/13 4,800 4,464 Corrections Corp. of America, 9.88%, 5/1/09 5,600 6,216 Dollar Financial Group, Inc., 9.75%, 11/15/11 6,205 6,732 Service Corp. International, 7.70%, 4/15/09 2,450 2,646 Williams Scotsman, Inc., 9.88%, 6/1/07 6,925 6,925 -------- ------ 26,983 -------- ------ COMPUTERS - 0.3% Stratus Technologies, Inc., 10.38%, 12/1/08 3,310 2,987 -------- ------ CONSUMER PRODUCTS - 0.7% American Achievement Corp., 8.25%, 4/1/12 2,725 2,827 Jostens IH Corp.,(1) 7.63%, 10/1/12 3,730 3,879 -------- ------ 6,706 -------- ------ COSMETICS/PERSONAL CARE - 0.4% Elizabeth Arden, Inc., 7.75%, 1/15/14 $ 3,855 $4,086 -------- ------ DIVERSIFIED FINANCIAL SERVICES - 3.4% Dow Jones CDX, (1) 7.75%, 12/29/09 5,400 5,552 General Motors Acceptance Corp., 6.75%, 12/1/14 4,225 4,231 TRAINS,(1) 8.22%, 8/1/15 19,547 21,379 -------- ------ 31,162 -------- ------ ELECTRIC - 7.7% AES Corp., 9.50%, 6/1/09 8,300 9,441 Allegheny Energy Supply, 7.80%, 3/15/11 5,780 6,300 Aquila, Inc., 14.88%, 7/1/13 3,300 4,624 Calpine Corp., 8.75%, 7/15/07 3,280 2,870 Calpine Generating Co. LLC, 8.31%, 4/1/10 2,670 2,610 11.50%, 4/1/11 3,585 3,406 CMS Energy Corp., 9.88%, 10/15/07 5,220 5,833 8.50%, 4/15/11 1,350 1,534 Edison Mission Energy, 7.73%, 6/15/09 7,500 8,063 PSEG Energy Holdings, Senior Notes, 10.00%, 10/1/09 4,675 5,528 Reliant Energy, Inc., 6.75%, 12/15/14 9,250 9,192 Sierra Pacific Power Co., 6.25%, 4/15/12 1,300 1,357 Sierra Pacific Resources, 8.63%, 3/15/14 4,270 4,825 TECO Energy, Inc., 7.20%, 5/1/11 2,925 3,203
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD FIXED INCOME FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 86.5% - CONTINUED ELECTRIC - 7.7% - (CONTINUED) Texas Genco LLC,(1) 6.88%, 12/15/14 $ 2,710 $ 2,802 --------- -------- 71,588 --------- -------- ELECTRICAL COMPONENTS & EQUIPMENT - 0.5% Superior Essex Communications LLC/Essex Group, Inc., 9.00%, 4/15/12 4,350 4,481 --------- -------- ELECTRONICS - 0.4% PerkinElmer, Inc., 8.88%, 1/15/13 3,390 3,865 --------- -------- ENTERTAINMENT - 2.6% AMC Entertainment Inc., 8.00%, 3/1/14 5,500 5,473 AMF Bowling Worldwide, Inc., 10.00%, 3/1/10 5,400 5,765 Pinnacle Entertainment Inc., 8.25%, 3/15/12 3,620 3,846 Six Flags, Inc., 9.63%, 6/1/14 5,500 5,528 Warner Music Group,(1) 7.38%, 4/15/14 3,730 3,823 --------- -------- 24,435 --------- -------- ENVIRONMENTAL CONTROL - 0.4% Allied Waste North America, 9.25%, 9/1/12 3,580 3,875 --------- -------- FOOD - 1.9% Dole Food Co., Inc., 7.25%, 6/15/10 3,250 3,339 Great Atlantic & Pacific Tea Co., 7.75%, 4/15/07 3,050 3,019 Pinnacle Foods Holding Corp.,(1) 8.25%, 12/1/13 6,935 6,606 Smithfield Foods Inc., 7.00%, 8/1/11 4,070 4,345 --------- -------- 17,309 --------- -------- FOREST PRODUCTS & PAPER - 1.6% Boise Cascade LLC,(1) 5.54%, 10/15/12 900 934 7.13%, 10/15/14 5,075 5,367 Georgia - Pacific Corp., 8.88%, 2/1/10 1,200 1,396 8.00%, 1/15/24 6,500 7,540 --------- -------- 15,237 --------- -------- GAMING - 4.2% Aztar Corp., 7.88%, 6/15/14 2,425 2,674 Caesars Entertainment, Inc. 7.88%, 3/15/10 4,475 5,040 Mandalay Resort Group, 6.50%, 7/31/09 2,750 2,901 7.63%, 7/15/13 3,050 3,340 MGM Mirage, 8.38%, 2/1/11 6,920 7,802 Mohegan Tribal Gaming Authority, 7.13%, 8/15/14 2,650 2,789 Premier Entertainment Biloxi LLC, 10.75%, 2/1/12 3,435 3,753 River Rock Entertainment Authority, 9.75%, 11/1/11 3,220 3,610 Seneca Gaming Corp., 7.25%, 5/1/12 2,450 2,579 Station Casinos, Inc., 6.88%, 3/1/16 4,075 4,243 --------- -------- 38,731 --------- -------- HEALTHCARE-PRODUCTS - 0.2% Medical Device Manufacturing,(1) 10.00%, 7/15/12 2,030 2,187 --------- -------- HEALTHCARE-SERVICES - 2.4% Beverly Enterprises, Inc.,(1) 7.88%, 6/15/14 4,075 4,370 HCA, Inc., 6.38%, 1/15/15 5,420 5,442 Pacificare Health Systems, 10.75%, 6/1/09 4,350 5,024 Tenet Healthcare Corp.,(1) 9.88%, 7/1/14 3,620 3,946 Triad Hospitals, Inc., 7.00%, 5/15/12 3,275 3,447 --------- -------- 22,229 --------- --------
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 86.5% - CONTINUED HOME BUILDERS - 1.7% Hovnanian (K.) Enterprises, Inc., 7.75%, 5/15/13 $ 1,620 $ 1,750 6.38%, 12/15/14 4,800 4,812 KB Home, 5.75%, 2/1/14 5,410 5,356 WCI Communities, Inc., 10.63%, 2/15/11 3,295 3,657 --------- ------- 15,575 --------- ------- INSURANCE - 1.0% Crum & Forster Holdings Corp., 10.38%, 6/15/13 8,550 9,533 --------- ------- IRON/STEEL - 1.0% AK Steel Corp., 7.88%, 2/15/09 4,400 4,483 International Steel Group, Inc., 6.50%, 4/15/14 4,125 4,424 --------- ------- 8,907 --------- ------- LODGING - 0.5% Gaylord Entertainment Co., 6.75%, 11/15/14 2,300 2,311 Starwood Hotels & Resorts Worldwide, Inc., 7.88%, 5/1/12 2,050 2,342 --------- ------- 4,653 --------- ------- MACHINERY - CONSTRUCTION & MINING - 1.1% Joy Global, Inc., 8.75%, 3/15/12 3,325 3,724 Manitowoc Co., 10.50%, 8/1/12 2,925 3,364 Terex Corp., 7.38%, 1/15/14 2,800 3,003 --------- ------- 10,091 --------- ------- MACHINERY - DIVERSIFIED - 0.3% Dresser - Rand Group, Inc., 7.38%, 11/1/14 2,700 2,754 --------- ------- MEDIA - 5.9% American Media Operation, Inc., Series B, 10.25%, 5/1/09 7,575 7,982 Block Communications, Inc., 9.25%, 4/15/09 4,980 5,428 Cablevision Systems Corp.,(1) 8.00%, 4/15/12 3,810 4,067 Dexia Media East LLC/ Dex Media East Finance Co., 12.13%, 11/15/12 915 1,115 Houghton Mifflin Co., 9.88%, 2/1/13 7,125 7,802 Liberty Group Operating, Inc., 9.38%, 2/1/08 5,055 5,131 Paxson Communications Corp., 10.75%, 7/15/08 4,325 4,541 Reader's Digest Association, Inc., 6.50%, 3/1/11 6,070 6,343 XM Satellite Radio, Inc., 12.00%, 6/15/10 3,850 4,548 Young Broadcasting, Inc., 10.00%, 3/1/11 7,225 7,713 --------- ------- 54,670 --------- ------- MISCELLANEOUS MANUFACTURING - 1.0% Samsonite Corp., 8.88%, 6/1/11 2,860 3,096 Trinity Industries, Inc., 6.50%, 3/15/14 6,570 6,570 --------- ------- 9,666 --------- ------- OFFICE/BUSINESS EQUIPMENT - 0.6% Xerox Corp., 6.88%, 8/15/11 2,330 2,481 7.63%, 6/15/13 2,725 2,991 --------- ------- 5,472 --------- ------- OIL & GAS - 1.2% Giant Industries, Inc., 11.00%, 5/15/12 4,690 5,440 Magnum Hunter Resources, Inc., 9.60%, 3/15/12 2,256 2,561 Premcor Refining Group (The), Inc., 7.75%, 2/1/12 2,850 3,142 --------- ------- 11,143 --------- ------- OIL & GAS PRODUCERS - 0.7% Swift Energy Co., 9.38%, 5/1/12 5,525 6,188 --------- -------
NORTHERN FUNDS QUARTERLY REPORT 4 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD FIXED INCOME FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 86.5% - CONTINUED OIL & GAS SERVICES - 0.4% Dresser, Inc., 9.38%, 4/15/11 $ 2,450 $ 2,683 Pride International, Inc., 7.38%, 7/15/14 1,225 1,338 --------- ------- 4,021 --------- ------- PACKAGING & CONTAINERS - 1.0% Graham Packaging Co, Inc.,(1) 8.50%, 10/15/12 2,780 2,919 Owens-Brockway, 7.75%, 5/15/11 1,725 1,867 Owens-Illinois, Inc., 8.10%, 5/15/07 4,475 4,766 --------- ------- 9,552 --------- ------- PHARMACEUTICALS - 0.9% Athena Neurosciences Finance LLC, 7.25%, 2/21/08 3,700 3,866 Leiner Health Products, Inc., 11.00%, 6/1/12 4,280 4,676 --------- ------- 8,542 --------- ------- PIPELINES - 3.2% Coastal Corp., 7.75%, 6/15/10 8,950 9,353 Dynegy Holdings, Inc., 9.88%, 7/15/10 (1) 4,920 5,498 8.75%, 2/15/12 3,325 3,483 Pacific Energy Partners LP, 7.13%, 6/15/14 810 863 Williams Cos, Inc., 7.88%, 9/1/21 9,680 10,793 --------- ------- 29,990 --------- ------- REITS - 3.4% Felcor Lodging LP, 8.50%, 6/1/11 6,910 7,826 Host Marriott LP, 7.13%, 11/1/13 5,750 6,145 La Quinta Properties Inc., 7.00%, 8/15/12 3,950 4,177 Meristar Hospitality Corp., 9.00%, 1/15/08 6,570 6,923 Omega Healthcare Investors, Inc., 7.00%, 4/1/14 6,440 6,617 --------- ------- 31,688 --------- ------- REMEDIATION SERVICES - 0.4% Synagro Technologies, Inc., 9.50%, 4/1/09 3,850 4,197 --------- ------- RESTAURANTS - 1.0% Carrols Corp.,(1) 9.00%, 1/15/13 2,720 2,815 Friendly Ice Cream Corp., 8.38%, 6/15/12 6,400 6,280 --------- ------- 9,095 --------- ------- RETAIL - 4.4% AmeriGas Partners LP, 8.88%, 5/20/11 6,825 7,439 Blockbuster, Inc.,(1) 9.00%, 9/1/12 6,200 6,123 Couche-Tard Finance Corp., 7.50%, 12/15/13 3,475 3,727 Crew (J.) Intermediate LLC, 0.00%, 5/15/08 1,235 1,173 Denny's Corp.,(1) 10.00%, 10/1/12 5,600 6,027 Ferrellgas Corp., 6.75%, 5/1/14 4,750 4,881 Finlay Fine Jewelry Corp., 8.38%, 6/1/12 1,415 1,528 Penney (J.C.) Co., Inc., 9.00%, 8/1/12 4,710 5,805 Petro Stopping Centers LP, 9.00%, 2/15/12 3,920 4,145 --------- ------- 40,848 --------- ------- SEMICONDUCTORS - 1.2% AMI Semiconductor, Inc., 10.75%, 2/1/13 3,240 3,807 Amkor Technology, Inc., 7.13%, 3/15/11 2,425 2,280 7.75%, 5/15/13 1,620 1,523
FIXED INCOME FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE BONDS - 86.5% - CONTINUED SEMICONDUCTORS - 1.2% - (CONTINUED) Freescale Semiconductor, Inc., 7.13%, 7/15/14 $ 3,250 $ 3,526 -------- ------- 11,136 -------- ------- SUPERMARKETS - 1.1% Delhaize America, Inc., 8.13%, 4/15/11 3,040 3,544 Great Atlantic & Pacific Tea Co., 9.13%, 12/15/11 4,865 4,561 Roundy's, Inc., 8.88%, 6/15/12 2,000 2,185 -------- ------- 10,290 -------- ------- TECHNOLOGY - 0.2% UGS Corp.,(1) 10.00%, 6/1/12 1,620 1,843 -------- ------- TELECOMMUNICATIONS - 7.6% AT&T Corp., 7.30%, 11/15/11 10,775 12,405 Centennial Cellular Operating Co., 10.13%, 6/15/13 4,075 4,574 Citizens Communications Co., 6.25%, 1/15/13 2,520 2,539 9.00%, 8/15/31 2,530 2,891 iPCS Escrow Co., (1) 11.50%, 5/1/12 2,050 2,327 MCI, Inc., 8.74%, 5/1/14 6,800 7,310 Nextel Communications, Inc., 7.38%, 8/1/15 3,970 4,367 PanAmSat Corp.,(1) 9.00%, 8/15/14 1,630 1,819 Qwest Capital Funding, Inc., 7.90%, 8/15/10 2,470 2,495 7.25%, 2/15/11 3,450 3,381 Qwest Corp.,(1) 7.90%, 9/1/11 3,580 3,884 Qwest Services Corp., (1) 14.00%, 12/15/10 4,025 4,840 SBC Communications Corp., (1) 8.50%, 12/1/12 3,655 3,728 Time Warner Telecom, Inc., 10.13%, 2/1/11 2,730 2,682 UbiquiTel Operating Co., 9.88%, 3/1/11 2,000 2,245 U.S. Unwired, Inc., 10.00%, 6/15/12 1,650 1,860 U.S. West Communications, Inc., 6.88%, 9/15/33 7,575 6,969 -------- ------- 70,316 -------- ------- TRANSPORTATION - 1.0% Horizon Lines LLC,(1) 9.00%, 11/1/12 4,875 5,241 Overseas Shipholding Group, 8.25%, 3/15/13 3,625 4,033 -------- ------- 9,274 -------- ------- TOTAL CORPORATE BONDS (COST $772,676) 804,404 FOREIGN ISSUER BONDS - 9.6% BUILDING MATERIALS - 0.5% Ainsworth Lumber Co. Ltd., 6.75%, 3/15/14 4,390 4,297 -------- ------- COMPUTERS - 0.2% Seagate Technology Hdd Holdings, 8.00%, 5/15/09 1,580 1,706 -------- ------- DIVERSIFIED FINANCIAL SERVICES - 0.4% Harvest Operations Corp., (1) 7.88%, 10/15/11 3,850 3,879 -------- ------- ELECTRONICS - 1.1% Celestica, Inc., 7.88%, 7/1/11 2,625 2,816 Flextronics International Ltd., (1) 6.25%, 11/15/14 7,080 7,009 -------- ------- 9,825 -------- ------- ENTERTAINMENT - 0.4% IntrawestCorp.,(1) 7.50%, 10/15/13 3,730 3,968 -------- ------- FOREST PRODUCTS & PAPER - 0.6% Abitibi-Consolidated, Inc., 7.75%, 6/15/11 3,050 3,203 Norske Skog Canada Ltd., 7.38%, 3/1/14 2,000 2,085 -------- ------- 5,288 -------- -------
NORTHERN FUNDS QUARTERLY REPORT 6 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD FIXED INCOME FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- FOREIGN ISSUER BONDS - 9.6% - CONTINUED IRON/STEEL - 0.5% IPSCO, Inc., 8.75%, 6/1/13 4,050 4,637 -------- ------- LEISURE TIME - 1.2% Bombardier Recreational Products, Inc., 8.38%, 12/15/13 $ 5,040 $ 5,380 NCL Corp.,(1) 10.63%, 7/15/14 4,050 4,050 Royal Caribbean Cruises Ltd., 8.00%, 5/15/10 1,800 2,034 -------- ------- 11,464 -------- ------- MEDIA - 0.4% Kabel Deutschland GmbH,(1) 10.63%, 7/1/14 2,430 2,794 Rogers Cable Inc.,(1) 6.75%, 3/15/15 920 941 -------- ------- 3,735 -------- ------- PACKAGING & CONTAINERS - 0.6% Stone Container Finance, 7.38%, 7/15/14 5,325 5,671 -------- ------- PIPELINES - 0.3% Utilicorp Canada Finance Corp., 7.75%, 6/15/11 2,275 2,363 -------- ------- RETAIL - 0.5% Jean Coutu Group, Inc.,(1) 8.50%, 8/1/14 4,175 4,279 -------- ------- SEMICONDUCTORS - 0.3% MagnaChip Semiconductor SA,(1) 8.00%, 12/15/14 2,975 3,101 -------- ------- TELECOMMUNICATIONS - 1.0% NTL Cable PLC,(1) 8.75%, 4/15/14 3,700 4,172 Rogers Wireless Communications, Inc., 6.38%, 3/1/14 2,400 2,376 7.50%, 3/15/15(1) 2,710 2,859 -------- ------- 9,407 -------- ------- TEXTILES - 0.4% INVISTA,(1) 9.25%, 5/1/12 3,250 3,624 -------- ------- TRANSPORTATION - 1.2% General Maritime Corp., 10.00%, 3/15/13 8,080 9,292 OMI Corp., 7.63%, 12/1/13 2,000 2,140 -------- ------- 11,432 -------- ------- TOTAL FOREIGN ISSUER BONDS (COST $84,715) 88,676
NUMBER VALUE OF SHARES (000S) --------- ------- WARRANTS - 0.0% Horizon PCS, Inc., Exp. 10/1/10 * 2,000 - IPCS, Inc., Exp .7/15/10(1)* 1,500 - Leap Wireless International, Exp.4/15/10(1)* 2,500 - Leap Wireless, Exp. 4/15/10(1)* 2,000 - WRC Media,Inc., (1)* 4,059 - XM Satellite Radio, Exp.3/15/10(1)* 2,000 170 -------- ------- TOTAL WARRANTS (COST $10) 170
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENTS - 3.5% Barclays Bank, Global Treasury Services, Eurodollar Time Deposit, 2.25%, 1/3/05 $ 32,198 32,198 -------- ------- TOTAL SHORT-TERM INVESTMENT (COST $32,198) 32,198 TOTAL INVESTMENTS - 100.0% (COST $893,648) $929,570
(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may not be publicly sold without registration under the Securities Act of 1933. The value of these securities is determined by valuations supplied by a pricing service or brokers, or if not available in accordance with procedures established by the Trustees of Northern Funds. At December 31, 2004, the value of these securities amounted to approximately $182,633,000 or 19.6% of total investments. * Non-Income Producing Security FIXED INCOME FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED) At December 31, 2004, the quality distribution for the High Yield Fixed Income Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- BBB 0.5% BB 21.3 B 53.7 CCC 19.5 CC to D 1.5 Cash Equivalents 3.5 ------- Total 100.0%
As of December 31, 2004, the components of investments for federal income tax purposes were as follows: Federal tax cost of investments $893,648 -------- Gross tax appreciation of investments $ 39,225 Gross tax depreciation of investments (3,303) -------- Net tax appreciation of investments $ 35,922 --------
NORTHERN FUNDS QUARTERLY REPORT 8 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD MUNICIPAL FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% ALABAMA - 1.4% Alabama IDA Solid Waste Disposal Revenue Bonds (AMT), Pine City Fiber Co., 6.45%, 12/1/23 $ 600 $ 611 Camden Industrial Development Board Revenue Refunding Bonds, Series A, Weyerhaeuser Company, 6.13%, 12/1/24 1,000 1,069 ------- ------ 1,680 ------- ------ ARIZONA - 4.2% Arizona Health Facilities Authority Hospital System Revenue Bonds, John C. Lincoln Health Network, 6.88%, 12/1/20 1,000 1,124 Coconino County PCR Bonds, Series A (AMT), Tucson Electric Power Co., 7.13%, 10/1/32 1,000 1,047 Maricopa County PCR Refunding Bonds, Series A, El Paso Electric Co. Project, 6.25%, Mandatory Put 8/1/05 1,000 1,021 Navajo County IDA Revenue Bonds (AMT), Stone Container Corp. Project, 7.40%, 4/1/26 800 828 Peoria IDA Non-Profit Revenue Refunding Bonds, Series A, Sierra Winds Life, 6.25%, 8/15/20 500 506 Yavapai County IDA Hospital Facilities Revenue Bonds, Series A, Yavapai Regional Medical Center, 6.00%, 8/1/33 500 526 -------- ------ 5,052 -------- ------ ARKANSAS - 0.5% Little Rock Hotel & Restaurant Gross Receipts Refunding TRB, 7.38%, 8/1/15 500 620 --------- ------ CALIFORNIA - 5.5% Alameda Corridor Transportation Authority Capital Apprecation Refunding Bonds (AMBAC Insured), 0.00%, 10/1/24 1,000 700 California State Department of Water Resources Power Supply Revenue Bonds, Series A, 5.50%, 5/1/09 500 554 6.00%, 5/1/14 500 579 California State Economic Recovery G.O. Bonds, Series A, 5.00%, 7/1/16 1,000 1,069 California State Public Works Board Revenue Bonds, Series C, Department of Corrections, 5.50%, 6/1/15 1,000 1,116 Golden State Tobacco Securitization Corp. Revenue Bonds, Series A-5, 7.88%, 6/1/42 500 542 Golden State Tobacco Securitization Corp. Revenue Bonds, Series B, 5.50%, 6/1/33 1,000 1,056 Laguna Beach Unified School District G.O. Revenue Bonds, Election of 2001 (FSA Insured), 5.00%, 8/1/28 1,000 1,031 --------- ------ 6,647 --------- ------ COLORADO - 2.8% Colorado Department of Transportation Revenue Bonds, Series A (AMBAC Insured), Prerefunded, 5.25%, 12/15/13 2,000 2,282 Colorado Health Facilities Authority Revenue Bonds, Portercare Adventist Health Hospital, 6.50%, 11/15/31 500 550 Northwest Parkway Public Highway Authority Revenue Bonds, Series D, First Tier Subordinate, 7.13%, 6/15/41 500 542 --------- ------ 3,374 --------- ------ DELAWARE - 0.9% Delaware State Health Facility Authority Revenue Refunding Bonds, Series A, Beebe Medical Center Project, 5.50%, 6/1/24 1,000 1,037 --------- ------
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% - CONTINUED DISTRICT OF COLUMBIA - 0.3% District of Columbia Revenue Bonds, Methodist Home of the District of Columbia Issue, 6.00%, 1/1/20 $ 400 $ 382 -------- ------ FLORIDA - 12.3% Capital Projects Finance Authority Continuing Care Retirement Community Revenue Bonds, Series A, The Glenridge on Palmer Ranch Project, 8.00%, 6/1/32 750 783 Capital Trust Agency Revenue Bonds (AMT) Air Cargo, Fort Lauderdale Project, 5.75%, 1/1/32 525 519 Crossings at Fleming Island Community Development District Special Assessment Revenue Refunding Bonds, Series C, 7.05%, 5/1/15 400 428 Gateway Services Community Development District Special Assessment Bonds, Series B, Sun City Center - Fort Meyers Project, 5.50%, 5/1/10 760 778 Heritage Harbor South Community Development District Capital Improvement Special Assessment Bonds, Series B, 5.40%, 11/1/08 685 691 Heritage Palms Community Development District Capital Improvement Revenue Bonds, 6.25%, 11/1/07 1,080 1,088 Highlands County Health Facilities Authority Revenue Hospital Bonds, Series A, Adventist Health System/Sunbelt, 6.00%, 11/15/31 1,250 1,349 Islands at Doral III Community District Revenue Bonds, Series 2000-A, Florida Special Assessment, 5.90%, 5/1/35 1,000 1,014 Miami Beach Health Facilities Authority Revenue Refunding Bonds, Mount Sinai Medical Center, 6.75%, 11/15/29 1,000 1,066 Midtown Miami Community Development District Special Assessment Bonds, Series A, 6.25%, 5/1/37 1,000 1,035 Old Palm Community Development District Special Assessment Bonds, Series B, Palm Beach Gardens, 5.38%, 5/1/14 1,500 1,503 Poinciana Community Development District Special Assessment Bonds, Series A, 7.13%, 5/1/31 400 423 Polk County Transportation Improvement Revenue Bonds (FSA Insured), Prerefunded, 5.63%, 12/1/10 1,000 1,154 Reunion West Community Development District Special Assessment, 6.25%, 5/1/36 1,000 1,033 Sterling Hill Community Development District Capital Improvement Special Assessment Revenue Bonds, Series B, 5.50%, 11/1/10 1,000 1,017 Westchester Community Development District No. 1 Special Assessment Revenue Bonds, Community Infrastructure, 6.00%, 5/1/23 1,000 1,031 --------- ------ 14,912 --------- ------ GEORGIA - 2.4% Butler Industrial Development Board Solid Waste Disposal Revenue Refunding Bonds(AMT), Pacific Corp. Project, 5.75%, 9/1/28 1,000 1,003 Georgia State G.O. Bonds, Series D, Prerefunded, 5.75%, 10/1/10 705 809 Milledgeville-Baldwin County Development Authority Revenue Bonds, Georgia College & State University Funding, 6.00%, 9/1/33 1,000 1,065 --------- ------ 2,877 --------- ------
NORTHERN FUNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD MUNICIPAL FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% - CONTINUED ILLINOIS -3.9% Illinois Development Finance Authority Revenue Bonds, Series B, Midwestern University, 6.00%, 5/15/31 $ 500 $ 532 Illinois Educational Facilities Authority Adjustable Revenue Bonds, Field Museum of Natural History Project, 4.60%, Mandatory Put 11/1/15 800 829 Illinois Educational Facilities Authority Student Housing Revenue Bonds, Educational Advancement Fund University Center Project, 6.25%, 5/1/30 750 784 Illinois Finance Authority Student Housing Revenue Bonds, Series A, MJH Education Assistance IV, 5.13%, 6/1/35 1,000 977 Illinois Health Facilities Authority Revenue Bonds, Riverside Health System, 6.00%, 11/15/32 1,000 1,058 Illinois Health Facilities Authority Revenue Bonds, Series A, Lutheran Senior Ministries Obligation, 7.38%, 8/15/31 500 513 ------- ------ 4,693 ------- ------ INDIANA - 3.7% Indiana Development Finance Authority Environmental Refunding Bonds, USX Corp. Project, 5.25%, Mandatory Put 12/2/11 1,000 1,108 Indiana Health Facility Financing Authority Hospital Revenue Bonds, Series A, Community Foundation of Northwest Indiana, 6.38%, 8/1/31 500 517 6.00%, 3/1/34 1,000 1,013 North Manchester Revenue Bonds, Series A, Peabody Retirement Community Project, 7.25%, 7/1/33 750 768 Petersburg PCR Bonds (AMT), Indianapolis Power & Light, 6.38%, 11/1/29 1,000 1,065 ------- ------ 4,471 ------- ------ IOWA - 0.4% Bremer Count Healthcare & Residential Facilities Revenue Bonds, Bartels Lutheran Home Project, 7.25%, 11/15/29 500 506 ------- ------ KANSAS - 0.5% Olathe Kansas Senior Living Facility Revenue Bonds, Series A, Aberdeen Village, Inc., 8.00%, 5/15/30 500 548 ------- ------ LOUISIANA - 2.3% Beauregard Parish Revenue Refunding Bonds, Boise Cascade Corp. Project, 6.80%, 2/1/27 700 735 Plaquemines Port Harbor & Terminal District Revenue Refunding Bonds, Series B, Electro-Coal Tranfer Corp. Project (Gtd. TECO Energy, Inc.), 5.00%, 9/1/07 1,000 1,004 West Feliciana Parish PCR Bonds, Gulf States Utilities-I, 7.70%, 12/1/14 375 383 West Feliciana Parish PCR Bonds, Gulf States Utilities-II, 7.70%, 12/1/14 625 638 ------- ------ 2,760 ------- ------ MAINE - 0.8% Maine Finance Authority Solid Waste Recycling Facilities Revenue Bonds, Great Northern Paper Project, Bowater Inc., 7.75%, 10/1/22 1,000 1,005 ------- ------ MARYLAND - 2.7% Anne Arundel County Special Obligation Revenue Bonds, National Business Park Project, Prerefunded, 7.38%, 7/1/10 500 614 Maryland State Economic Development Corp. Student Housing Revenue Bonds, University of Maryland, College Park Project, 5.63%, 6/1/35 1,000 1,034
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% - CONTINUED MARYLAND - 2.7% - (CONTINUED) Maryland State Economic Development Corp. Student Housing Senior Revenue Bonds, Series A, University of Maryland, 5.75%, 10/1/33 $ 500 $ 521 Maryland State Health & Higher Educational Facilities Authority Revenue Bonds, Series A, Mercy Ridge, 6.00%, 4/1/35 1,000 1,023 ------- ------ 3,192 ------- ------ MASSACHUSETTS - 4.0% Massachusetts State Development Finance Agency Revenue Bonds, Hampshire College, 5.70%, 10/1/34 1,000 1,050 Massachusetts State Development Finance Agency Revenue Bonds, Series B, Briarwood, Prerefunded, 8.25%, 12/1/10 500 643 Massachusetts State Development Finance Agency Revenue Bonds, Waste Management Project, 5.50%, Mandatory Put 5/1//14 1,000 1,065 Massachusetts State Health & Educational Facilities Authority Revenue Bonds, Series A, Northern Berkshire Health System. 6.38%, 7/1/34 1,000 998 Massachusetts State Health & Educational Facilities Authority Revenue Bonds, Series B, Northern Berkshire Health System, 6.38%, 7/1/34 500 499 Massachusetts State Health & Educational Facilities Authority Revenue Bonds, Series E, Berkshire Health System (G.O. of Institution Insured), 6.25%, 10/1/31 500 530 ------- ------ 4,785 ------- ------ MICHIGAN - 5.5% Flint Hospital Building Authority Revenue Refunding Bonds, Hurley Medical Center, 6.00%, 7/1/20 1,000 1,017 Michigan State Strategic Fund Ltd. Obligation Revenue Bonds (AMT), Republic Services Inc., 4.25%, Mandatory Put 4/1/14 1,985 1,949 Michigan State Strategic Fund Ltd. Obligation Revenue Refunding Bonds (AMT), Dow Chemical Project, 5.50%, Mandatory Put 6/1/13 3,365 3,694 ------- ------ 6,660 ------- ------ MINNESOTA - 2.0% Cohasset PCR Refunding Bonds, Allete, Inc. Project, 4.95%, 7/1/22 1,000 1,020 Duluth Economic Development Authority Health Care Facilities Revenue Bonds, St. Luke's Hospital, 7.25%, 6/15/32 750 791 Minneapolis & State Paul Metropolitan Airports Commission Special Facilities Revenue Bonds, Series A (AMT), Northwest Airlines Project, 7.00%, 4/1/25 600 550 ------- ------ 2,361 ------- ------ MISSISSIPPI - 1.5% Lowndes County SWD & PCR Refunding Bonds, Series B, Weyerhaeuser Co. Project, 6.70%, 4/1/22 1,000 1,189 Mississippi Business Finance Corp. PCR Revenue Refunding Bonds, Systems Energy Resources, Inc. Project, 5.90%, 5/1/22 630 637 ------- ------ 1,826 ------- ------ NEW HAMPSHIRE - 0.4% New Hampshire Business Finance Authority PCR Refunding Bonds, Series D (AMT), Public Service Co. of New Hampshire, 6.00%, 5/1/21 500 525 ------- ------
NORTHERN FUNDS QUARTERLY REPORT 4 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD MUNICIPAL FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% - CONTINUED NEW JERSEY - 3.8% Middlesex County Improvement Authority Revenue Bonds, Series A, George Street Student Housing Project, 5.00%, 8/15/35 $ 1,000 $ 1,001 New Jersey Economic Development Authority Revenue Bonds, Cigarette Tax, 5.75%, 6/15/34 1,000 1,032 New Jersey Health Care Facilities Financing Authority Revenue Bonds, Series A, Capital Health Systems Obligated Group, 5.38%, 7/1/33 1,000 1,018 New Jersey State Educational Facilities Authority Revenue Bonds, Series D, Fairleigh Dickinson University, 6.00%, 7/1/25 1,000 1,072 Tobacco Settlement Financing Corp. Revenue Bonds, 6.75%, 6/1/39 500 500 ------- --------- 4,623 ------- --------- NEW MEXICO - 0.1% New Mexico Educational Assistance Foundation Student Loan Revenue Bonds, Series II-C(AMT),Second Subordinate, 6.00%, 12/1/08 125 127 ------- --------- NEW YORK - 3.4% Metropolitan Transportation Authority Dedicated Tax Fund Revenue Bonds, Series A (FGIC Insured), 5.25%, 11/15/14 1,695 1,928 New York City G.O. Bonds, Series B, 6.50%, 8/15/09 1,500 1,721 New York City Industrial Development Agency Airport Revenue Bonds, Series A(AMT), Airis JFK I LLC Project, 5.50%, 7/1/28 500 501 ------- --------- 4,150 ------- --------- NORTH CAROLINA - 3.1% North Carolina Eastern Municipal Power Agency Power System Revenue Refunding Bonds, Series B, 6.13%, 1/1/09 500 554 North Carolina Eastern Municipal Power Agency Power Systems Revenue Bonds, Series D, 6.45%, 1/1/14 385 429 North Carolina Eastern Municipal Power Agency Revenue Refunding Bonds, Series F, 5.38%, 1/1/13 1,000 1,089 North Carolina Municipal Power Agency No. 1 Catawba Electric Revenue Bonds, Series A, 5.50%, 1/1/13 1,000 1,101 North Carolina Municipal Power Agency No.1 Catawba Electric Revenue Bonds, Series B, 6.38%, 1/1/13 500 563 ------- --------- 3,736 ------- --------- OKLAHOMA - 0.8% Langston Economic Development Authority Student Housing Revenue Bonds, Series A, Langston Community Development Corp., 7.75%, 8/1/30 500 500 Oklahoma Development Finance Authority Revenue Bonds, Series A, Continuing Care Retirement, Inverness Village, 8.00%, 2/1/32 650 513 ------- --------- 1,013 ------- --------- OREGON - 0.6% Klamath Falls Electric Revenue Refunding Bonds, Senior Lien - Klamath Cogen, 5.88%, 1/1/16 750 762 ------- --------- PENNSYLVANIA - 10.0% Allegheny County Redevelopment Authority Tax Allocation Bonds, Pittsburgh Mills Project, 5.60%, 7/1/23 2,000 2,032 Beaver County IDA PCR Revenue Refunding Bonds, Series A, Cleveland Electric Illuminating Co., 7.75%, 7/15/25 100 105 Carbon County IDA Resource Recovery Refunding Bonds (AMT), Panther Creek Partners Project, 6.65%, 5/1/10 400 432
FIXED INCOME FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% - CONTINUED PENNSYLVANIA - 10.0% - (CONTINUED) Montgomery County Higher Education & Health Authority Revenue Bonds, Series A, Philadelphia Geriatric Center, 7.25%, 12/1/19 $ 500 $ 540 Pennsylvania Economic Development Financing Authority Exempt Facilities Revenue Bonds, Series A (AMT), Amtrak Project, 6.13%, 11/1/21 1,200 1,256 Pennsylvania Economic Development Financing Authority Exempt Facility Revenue Bonds, Series A (AMT), National Gypsum Co., Shippingport Project, 6.25%, 11/1/27 1,400 1,476 Pennsylvania Economic Development Financing Authority Revenue Bonds, Series A (AMT), Reliant Energy, 6.75%, 12/1/36 1,000 1,037 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, LaSalle University, 5.50%, 5/1/34 1,000 1,030 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, Series A, Philadelphia University, 5.25%, 6/1/32 1,250 1,243 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, Widener University, 5.40%, 7/15/36 750 775 Pennsylvania State Higher Educational Facilities Authority Student Housing Revenue Bonds, Series A, Student Association, Inc. Project, 6.75%, 9/1/32 490 514 Philadelphia Hospitals & Higher Education Facilities Revenue Bonds, Chestnut Hill College, 6.00%, 10/1/29 500 502 Philadelphia School District G.O. Bonds, Series A (FSA - State Aid Withholding), Prerefunded, 5.50%, 2/1/12 1,000 1,142 --------- ------- 12,084 --------- ------- PUERTO RICO - 0.9% Puerto Rico Highway & Transportation Authority Transmission Revenue Bonds, 5.00%, 7/1/09 1,000 1,084 --------- ------- SOUTH CAROLINA - 1.0% Berkeley County PCR Facilities Refunding Bonds, South Carolina Generating Co. Project, 4.88%, 10/1/14 1,000 1,068 Florence County IDR Revenue Bonds, Stone Container Corp., 7.38%, 2/1/07 165 166 --------- ------- 1,234 --------- ------- TENNESSEE - 0.7% Memphis-Shelby County Airport Authority Special Facilities Revenue Refunding Bonds, Federal Express Corp., 5.00%, 9/1/09 750 803 --------- ------- TEXAS - 8.4% Austin City Convention Center Revenue Bonds, Series A, Convention Enterprise, Inc., First Tier, 6.70%, 1/1/32 700 748 Brazos River Authority Revenue Refunding Bonds, Series A (AMT), Texas Utilities Electric Co. Project, 7.70%, 4/1/33 1,000 1,174 Dallas County Flood Control District No. 1 G.O. Unlimited Refunding Bonds, 7.25%, 4/1/32 1,000 1,046 Gulf Coast Waste Disposal Authority Revenue Bonds (AMT), Valero Energy Corp. Project, 6.65%, 4/1/32 1,000 1,082 Houston Industrial Development Corp. Revenue Bonds(AMT), Air Cargo, 6.38%, 1/1/23 500 518 Houston Water & Sewer System Junior Lien Revenue Bonds, Series A (FSA Insured), Prerefunded, 5.50%, 12/1/11 1,535 1,761
NORTHERN FUNDS QUARTERLY REPORT 6 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS HIGH YIELD MUNICIPAL FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 94.6% - CONTINUED TEXAS - 8.4% - (CONTINUED) Matagorda County Navigation District No. 1 Collateralized Revenue Refunding Bonds, Centerpoint Energy Houston Electric, LLC Project, 5.60%, 3/1/27 $ 500 $ 522 Port Corpus Christi Industrial Development Corp. Environmental Facilities Revenue Bonds (AMT), Citgo Petroleum Corp., 8.25%, 11/1/31 1,000 1,070 Sabine River Authority Revenue Refunding Bonds, Series B, TXU Energy Co. LLC Project, 6.15%, 8/1/22 500 551 Sam Rayburn Municipal Power Agency Revenue Refunding Bonds, 6.00%, 10/1/21 500 538 Texas State Turnpike Authority Central Texas Turnpike Systems Revenue Bonds, Series A, First Tier (AMBAC Insured), 5.50%, 8/15/39 1,000 1,079 ---------- -------- 10,089 ---------- -------- VERMONT - 0.3% Vermont Educational & Health Buildings Financing Agency Healthcare Facility Revenue Bonds, Copley Manor Project,(1) 6.15%, 4/1/19 500 351 ---------- -------- VIRGIN ISLANDS - 0.6% University of the Virgin Islands General Improvement Bonds, Series A, 5.38%, 6/1/34 750 774 ---------- -------- VIRGINIA - 2.1% Charles City County IDA Solid Waste Disposal Facilities Revenue Bonds (AMT), Waste Management, Inc. Project, 6.25%, Mandatory Put 4/1/12 500 557 West Point IDA Solid Waste Disposal Revenue Bonds, Series A (AMT), Chesapeake Corp Project, 6.38%, 3/1/19 2,000 2,019 ---------- -------- 2,576 ---------- -------- WISCONSIN - 0.8% Wisconsin Health & Educational Facilities Authority Revenue Bonds, Series A, Beaver Dam Community Hospitals, 6.75%, 8/15/34 1,000 1,009 ---------- -------- TOTAL MUNICIPAL BONDS ---------- -------- (COST $110,041) 114,328
NUMBER OF VALUE SHARES (000S) ---------- -------- INVESTMENT COMPANY - 2.6% AIM Tax Exempt Cash Reserve Fund 3,170,000 3,170 --------- -------- TOTAL INVESTMENT COMPANY --------- -------- (COST $3,170) 3,170
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENTS - 2.8% ABAG Finance Authority for Nonprofit Corps. Revenue VRDB, Elder Care Alliance (Soverign Bank LOC), 1.96%, 1/6/05 $ 100 100 ABAG Finance Authority for Nonprofit Corps. Variable Rate Refunding COP, Series C (U.S. Bank LOC), 2.15%, 1/3/05 400 400 Medical Center Educational Building Corp. Revenue VRDB, Adult Hospital Project (AMBAC Insured), 1.99%, 1/6/05 1,300 1,300 Monroe County Development Authority Revenue VRDB, Oglethorpe Power Corp. Project (AMBAC Insured), 2.22%, 1/3/05 400 400 New York City Transitional Finance Authority Revenue VRDB, Series 3, Subseries 3E, 2.20%, 1/3/05 1,200 1,200 ---------- -------- TOTAL SHORT-TERM INVESTMENTS ---------- -------- (COST $3,400) 3,400 ---------- -------- TOTAL INVESTMENTS - 100.0% ---------- -------- (COST $116,611) $120,898
FIXED INCOME FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED) (1) Non-Income Producing Security. Issuer has defaulted on terms of debt obligation. At December 31, 2004, value represents 0.3% of total investments. At December 31, 2004, the industry sectors for the High Yield Municipal Fund were:
INDUSTRY SECTOR % OF INVESTMENT --------------- --------------- Development 30.5% Higher Education 6.4 Medical 14.9 Pollution 12.9 Power 5.7 Transportation 8.3 All other sectors less than 5% 21.3 ----- Total 100.0%
At December 31, 2004, the quality distribution for the High Yield Municipal Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 10.3% AA 0.9 A 17.4 BBB 31.5 BB 11.7 B 0.9 Not Rated 21.9 Cash Equivalents 5.4 ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: Federal tax cost of investments $116,611 -------- Gross tax appreciation of investments $ 4,631 Gross tax depreciation of investments (344) -------- Net tax appreciation of investments $ 4,287 --------
NORTHERN FUNDS QUARTERLY REPORT 8 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS INTERMEDIATE TAX-EXEMPT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS-84.3% ALASKA - 0.7% Alaska International Airports (AMT), Series A (AMBAC Insured), 5.13%, 10/1/11 $ 3,905 $ 4,179 -------- ------- ARIZONA - 1.6% Maricopa County Peoria Unified School District No. 11 G.O. Unlimited Bonds, Project of 1991, Prerefunded, 5.60%, 7/1/05 2,000 2,055 Salt River Project Agricultural Improvement & Power District Electricity System Revenue Bands, Series A, 5.50%, 1/1/05 540 540 Salt River Project Agricultural Improvement & Power District Electricity System Revenue Bonds, Series A, Escrowed to Maturity, 5.50%, 1/1/05 460 460 Salt River Project Agricultural Improvement & Power District Electricity System Revenue Refunding Bonds, Series A, Salt River Project, 5.13%, 1/1/27 5,000 5,237 Tucson G.O. Refunding Bonds (FGIC Insured), 4.00%, 7/1/15 1,000 1,019 -------- ------- 9,311 -------- ------- CALIFORNIA - 14.9% Anaheim PFA Revenue Bonds, Electric System Distributing Facilities (MBIA Insured), 5.00%, 10/1/28 2,000 2,053 Californa State Department of Water Resources Power Supply Revenue Bonds, Series AC, Central Project, 5.00%, 12/1/14 6,445 7,216 California State Department of Water Resources Power Supply Revenue Bonds, Series A (AMBAC Insured), 5.50%, 5/1/14 5,000 5,689 California State Department of Water Resources Power Supply Revenue Bonds, Series A (FSA Insured), 5.25%, 5/1/12 4,190 4,717 California State Economic Recovery G.O. Bonds, Series A, 5.00%, 7/1/16 15,000 16,026 5.00%, 7/1/17 5,000 5,325 California State G.O. Unlimited Bonds, 5.75%, 5/1/30 2,500 2,737 California State G.O. Unlimited Bonds (AMBAC Insured), 5.00%, 10/1/18 3,110 3,313 California Statewide Communities Development Authority Revenue Bonds, Series A, East Campus Apartments LLC (ACA Insured), 5.25%, 8/1/14 2,395 2,569 Colton Joint Unified School District G.O. Unlimited Revenue Bonds, Series A (FGIC Insured), 5.38%, 8/1/26 2,500 2,720 Foothill/Eastern Transportation Corridor Agency Toll Road Senior Lien Capital Appreciation Revenue Bonds, Series A, Escrowed to Maturity, 0.00%, 1/1/05 1,000 1,000 Golden State Tobacco Securitization Corp. Revenue Bonds, Series B, 5.38%, 6/1/28 2,500 2,596 5.60%, 6/1/28 1,100 1,154 5.50%, 6/1/33 3,500 3,696 5.50%, 6/1/43 5,000 5,229 Los Angeles G.O. Unlimited Bonds, Series A (MBIA Insured), 5.25%, 9/1/12 10,000 11,328 Menlo Park G.O. Unlimited Bonds, 5.25%, 8/1/27 1,000 1,063 Moreland School District G.O. Unlimited Bonds, Series C, Election of 2002 (FGIC Insured), 0.00%, 8/1/29 3,500 892 Orange County Sanitation District COP (FGIC Insured), 5.25%, 2/1/28 5,000 5,294
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 84.3% CONTINUED CALIFORNIA - 14.9% - (CONTINUED) University of California Revenue Bonds, Multiple Purpose Projects, Series Q (FSA Insured), 5.00%, 9/1/31 $ 1,500 $ 1,535 -------- ------- 86,152 -------- ------- COLORADO - 0.6% Denver City & County Revenue Refunding Bonds, Series E (AMT) (FGIC Insured), 5.50%, 11/15/18 1,000 1,089 Metro Wastewater Reclamation District Gross Revenue Refunding Bonds, Sewer Project, 5.45%, 4/1/12 2,000 2,170 -------- ------- 3,259 -------- ------- CONNECTICUT - 1.4% Connecticut State Special Tax Obligation Revenue Refunding Bonds, Series B (AMBAC Insured), 5.00%, 7/1/15 5,000 5,566 New Haven G.O. Unlimited Bonds, Series C (MBIA Insured), Prerefunded, 5.13%, 11/1/12 2,500 2,795 -------- ------- 8,361 -------- ------- FLORIDA - 2.2% Florida State Division of Board Finance Department General Services Revenue Bonds, Department of Environmental Preservation 2000-A (AMBAC Insured), Prerefunded, 5.50%, 7/1/05 3,000 3,082 Polk County Utility System Revenue Refunding Bonds, Series B (FGIC Insured), 5.00%, 10/1/15 2,630 2,932 Sunrise Utility System Revenue Refunding Bonds, Series A (AMBAC Insured), 5.50%, 10/1/15 5,985 6,840 -------- ------- 12,854 -------- ------- GEORGIA - 2.9% Fulton County Facilities Corp. COP, Fulton County Public Purpose Project (AMBAC Insured), 5.50%, 11/1/18 6,500 7,277 Georgia Municipal Electric Authority Power Revenue Bonds, Series W, 6.40%, 1/1/07 1,780 1,916 Georgia Municipal Electric Authority Power Revenue Bonds, Series W, Escrowed to Maturity, Prerefunded, 6.40%, 1/1/07 220 238 Georgia State G.O. Unlimited Bonds, Series D, 5.00%, 11/1/12 6,000 6,628 Milledgeville-Baldwin County Development Authority Revenue Bonds, College & State University Funding, 5.50%, 9/1/24 1,000 1,057 -------- ------- 17,116 -------- ------- ILLINOIS - 4.9% Chicago City O'Hare International Airport Revenue Bonds, Series A, Passenger Facilities Charge (AMBAC Insured), 5.60%, 1/1/09 5,000 5,245 Chicago City Park District Parking Facilities Revenue Bonds (ACA Insured), Prerefunded, 6.25%, 1/1/10 5,480 6,332 Chicago City Wastewater Transmission Second Lien Revenue Bonds (MBIA Insured), Prerefunded, 6.00%, 1/1/10 2,000 2,314 Illinois Development Finance Authority Economic Development Revenue Bonds, Latin School of Chicago Project, 5.60%, 8/1/18 500 519 Illinois Development Finance Authority Revenue Bonds, Series B, Midwestern University Project, 5.75%, 5/15/16 500 541 Illinois Educational Facilities Authority Adjustable Revenue Bonds, Field Museum of Natural History Project, 4.60%, Mandatory Put 11/1/15 4,250 4,404 Illinois Educational Facilities Authority Revenue Bonds, Reserve 3, 4.75%, Mandatory Put 3/1/07 1,750 1,821
FIXED INCOME FUNDS 2 NORTHERN FUNDS QUARTERLY REPORT FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS INTERMEDIATE TAX - EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 84.3%-CONTINUED ILLINOIS - 4.9% - (CONTINUED) Illinois Educational Facilities Authority Student Housing Revenue Bonds, Educational Advancement Fund University Center Project, 6.00%, 5/1/22 $ 750 $ 801 Illinois Health Facilities Authority Revenue Bonds, Riverside Health System, 6.00%, 11/15/32 1,000 1,058 Metropolitan Pier & Exposition Authority Revenue Bonds, Series A, McCormick Place Expansion (MBIA Insured), 5.25%, 6/15/42 5,000 5,246 ------- ------- 28,281 ------- ------- INDIANA - 0.2% Indiana Development Finance Authority Environmental Revenue Refunding Bonds, USX Corp. Project, 5.25%, Mandatory Put 12/1/11 1,000 1,108 ------- ------- IOWA - 0.7% Iowa Finance Authority Hospital Facility Revenue Bonds, Mercy Medical Center Project (FSA Insured), 6.00%, 8/15/15 3,610 4,067 ------- ------- KANSAS - 1.0% Lenexa Improvement G.O. Unlimited Refunding Bonds, Series A, 5.00%, 9/1/11 2,185 2,431 Wichita Hospital Improvement Facilities Revenue Refunding Bonds, Series III, 5.25%, 11/15/15 1,385 1,476 6.25%, 11/15/18 1,600 1,791 ------- ------- 5,698 ------- ------- KENTUCKY - 0.5% Carrollton & Henderson Counties Public Energy Authority Gas Revenue Bonds, Series A (FSA Insured), 4.00%, 1/1/05 2,665 2,665 ------- ------- LOUISIANA - 3.5% Lafayette Utilities Revenue Bonds (MBIA Insured), 5.00%, 11/1/28 10,000 10,353 Louisiana State G.O. Unlimited Bonds, Series A (AMBAC Insured), 4.50%, 10/15/20 10,000 10,262 ------- ------- 20,615 ------- ------- MARYLAND - 0.6% Maryland State & Local Facilities Loan G.O. Unlimited Bonds, Second Series, 5.00%, 8/1/11 2,900 3,235 ------- ------- MASSACHUSETTS - 4.9% Lawrence City G.O. Limited Bonds (AMBAC Insured - State Aid Withholding), 5.50%, 2/1/16 2,625 2,924 Massachusetts State Consolidated Loan G.O. Unlimited Bonds, Series B, 5.75%, 6/1/10 3,000 3,405 Massachusetts State Health & Educational Facilities Authority Revenue Bonds, Series B, Partners Healthcare System, 5.25%, 7/1/12 3,450 3,726 Massachusetts State Housing Finance Agency Revenue Bonds, Series B, 3.70%, 12/1/09 10,000 10,148 4.15%, 6/1/11 5,000 5,095 Massachusetts State Housing Finance Agency Revenue Bonds, Series III (AMT), Single Family, 3.45%, 12/1/09 1,050 1,046 Massachusetts Water Resources Authority Revenue Bonds, Series C (G.O. of Authority), 4.75%, 12/1/23 2,000 2,000 ------- ------- 28,344 ------- ------- MICHIGAN - 1.3% Michigan State Strategic Fund Ltd. Obligation Revenue Refunding Bonds, Series CC, Detroit Edison Co. Project (AMBAC Insured), 4.85%, Mandatory Put 9/1/11 4,500 4,836
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004(UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 84.3% - CONTINUED MICHIGAN - 1.3%-(CONTINUED) Wayne Charter County Airport Revenue Bonds, Series B (MBIA Insured), 4.88%, 12/1/23 $ 2,500 $ 2,551 ------- ------- 7,387 ------- ------- MINNESOTA - 0.3% Cohasset PCR Refunding Bonds, Allete, Inc. Project, 4.95%, 7/1/22 1,000 1,020 Minnesota State Housing Finance Agency SFM Revenue Bonds, Series A (MBIA Insured), 5.35%, 7/1/17 770 806 ------- ------- 1,826 ------- ------- NEW JERSEY - 2.3% New Jersey Economic Development Authority Revenue Bonds, Cigarette Tax, 5.63%, 6/15/19 3,985 4,215 New Jersey Economic Development Authority Revenue Bonds, Series F, School Facilities (FGIC Insured), 5.25%, 6/15/14 7,000 7,825 New Jersey State Health Care Facilities Financing Authority Revenue Refunding Bonds, Atlantic City Medical Center, 6.25%, 7/1/17 1,000 1,134 ------- ------- 13,174 ------- ------- NEW MEXICO - 1.0% Santa Fe City Gross Receipts TRB, 6.00%, 6/1/11 5,250 5,799 ------- ------- NEW YORK - 16.0% Metropolitan Transportation Authority Dedicated Tax Fund Revenue Bonds, Series A (FGIC Insured), Prerefunded, 6.13%, 4/1/10 3,815 4,430 Metropolitan Transportation Authority Revenue Bonds, Series 8, Service Contract, Prerefunded, 5.25%, 7/1/13 8,750 9,971 Nassau County Interim Finance Authority Revenue Bonds, Series A, Sales Tax Secured, Prerefunded, 5.63%, 11/15/05 1,840 1,915 New York City G.O. Unlimited Bonds, Series H, 5.00%, 8/1/11 4,725 5,138 5.00%, 8/1/12 5,900 6,413 New York City G.O. Unlimited Refunding Bonds,Series B, 5.25%, 8/1/09 1,000 1,095 New York City IDA Special Airport Facilities Revenue Bonds, Series A (AMT) Airis JFK I LLC Project, 6.00%, 7/1/27 500 510 New York City Municipal Water Finance Authority Water & Sewer Systems Revenue Bonds, Series A (AMBAC-TCRS Insured), 5.13%, 6/15/21 2,000 2,108 New York City Municipal Water Finance Authority Water & Sewer Systems Revenue Bonds, Series A (MBIA-IBC Insured), 5.63%, 6/15/19 1,330 1,405 New York City Municipal Water Finance Authority Water & Sewer Systems Revenue Bonds, Series A (MBIA-IBC Insured), Prerefunded, 5.63%, 6/15/06 670 710 New York City Transit Authority Metropolitan Transportation Authority Triborough COP, Series A (AMBAC Insured), Prerefunded, 5.25%, 1/1/10 10,000 11,278 New York City Transitional Finance Authority Revenue Bonds, Series C, Future Tax Secured, 5.88%, 11/1/14 5,000 5,679 New York G.O. Bonds,Series A, 6.00%, 5/15/19 2,120 2,384 New York G.O. Bonds, Series A, Prerefunded, 6.00%, 5/15/10 880 1,025
NORTHERN FUNDS QUARTERLY REPORT 4 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS INTERMEDIATE TAX-EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 84.3% - CONTINUED NEW YORK - 16.0% -(CONTINUED) New York Municipal Bond Bank Agency Revenue Bonds, Series C (State-Aid Withholding), 5.25%, 6/1/17 $10,000 $10,900 New York State Environmental Facilities Corp. Revenue Bonds, Series A, State Clean Water & Drinking Revolving Funds, 6.00%, 6/15/16 1,330 1,497 New York State Environmental Facilities Corp. Revenue Bonds, Series A, State Clean Water & Drinking Revolving Funds, Prerefunded, 6.00%, 6/15/09 170 194 New York State Thruway Authority Highway & Bridge Trust Fund Revenue Bonds, Series A (FSA Insured), Prerefunded, 6.00%, 4/1/10 1,000 1,164 New York State Thruway Authority Service Contract Revenue Bonds, Local Highway & Bridge (AMBAC Insured), Prerefunded, 5.38%, 4/1/10 2,500 2,835 New York State Urban Development Corp. Subordinate Lien Revenue Bonds (G.O. of Corp.), 5.50%, 7/1/16 1,250 1,321 Port Authority of New York & New Jersey Revenue Bonds, Series 127 (AMT) (AMBAC Insured - G.O. of Authority), 5.50%, 12/15/12 1,735 1,949 Tobacco Settlement Financing Authority Revenue Bonds, Series A- 1, Asset-Backed, 5.00%, 6/1/09 1,370 1,373 5.25%, 6/1/12 2,000 2,078 5.25%, 6/1/13 4,000 4,285 Tobacco Settlement Financing Authority Revenue Bonds, Series C-1, 5.25%, 6/1/13 5,000 5,356 5.50%, 6/1/15 5,000 5,469 ----- ------ 92,482 ----- ------ NORTH CAROLINA - 2.8% North Carolina Eastern Municipal Power Agency Power System Revenue Refunding Bonds, Series A, 5.20%, 1/1/10 2,505 2,695 North Carolina Eastern Municipal Power Agency Power System Revenue Refunding Bonds, Series B, 6.00%, 1/1/06 1,500 1,549 6.13%, 1/1/09 5,000 5,542 North Carolina Municipal Power Agency No. 1 Catawba Revenue Bonds, Series A, 5.50%, 1/1/12 5,805 6,414 ------ ------- 16,200 ------ ------- OHIO - 0.6% Akron City G.O. Limited Bonds, 5.75%, 12/1/17 1,000 1,136 Ohio Housing Finance Agency Mortgage Revenue Bonds, Series C (AMT), Residential Mortgage-Backed Securities (Colld. by GNMA Securities), 5.15%, 3/1/13 1,160 1,209 River Valley Local School District School Facilities Construction & Improvement G.O. Bonds (FSA Insured), 5.25%, 11/1/20 1,235 1,351 ------ ------- 3,696 ------ ------- OREGON - 1.0% Port of Portland Revenue Bonds, Series A, Portland International Airport (AMBAC Insured), 5.50%, 7/1/24 2,000 2,186 Portland City Airport Way Urban Renewal & Redevelopment Tax Increment Bonds, Series A (AMBAC Insured), 6.00%, 6/15/16 3,450 3,935 ----- ----- 6,121 ----- ----- PENNSYLVANIA - 2.2% Allegheny County Port Authority Transportation Special Revenue Bonds (MBIA Insured), Prerefunded, 6.00%, 3/1/09 2,565 2,932
FIXED INCOME FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 84.3% - CONTINUED PENNSYLVANIA - 2.2% - (CONTINUED) Pennsylvania Economic Development Financing Authority Exempt Facilities Revenue Bonds, Series A (AMT), Amtrak Project, 6.13%, 11/1/21 $ 1,200 $ 1,256 Pennsylvania Housing Finance Agency SFM Revenue Bonds, Series 72A (AMT), 4.80%, 4/1/12 750 786 Pennsylvania State Higher Education Revenue Bonds, Capital Acquisition (MBIA Insured - G.O. of Agency), Prerefunded, 6.00%, 12/15/10 1,815 2,112 6.13%, 12/15/10 1,925 2,253 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, Series A, UPMC Health System, 6.00%, 1/15/22 2,000 2,189 Pennsylvania State Intergovernmental Cooperative Authority Special TRB, City of Philadelphia Funding Program (FGIC Insured), Prerefunded, 6.75%, 6/15/05 1,300 1,328 ------- ------- 12,856 ------- ------- PUERTO RICO - 1.8% Puerto Rico Commonwealth Highway & Transportation Authority Transportation Revenue Bonds, Series D, 5.25%, 7/1/38 10,000 10,376 ------- ------- SOUTH CAROLINA - 2.0% College Charleston Academic & Administrative Facility Revenue Bonds, Series B (XLCA Insured), 5.00%, 4/1/21 895 946 5.00%, 4/1/24 910 950 College of Charleston Academic & Administrative Facility Revenue Bonds, Series B (XLCA Insured), 5.00%, 4/1/22 1,095 1,152 5.00%, 4/1/23 950 996 Piedmont Municipal Power Agency Capital Appreciation Revenue Refunding Bonds, Subseries A-2 (AMBAC Insured), 0.00%, 1/1/28 5,000 1,471 0.00%, 1/1/29 5,000 1,382 South Carolina State Public Service Authority Revenue Refunding Bonds, Series B (FGIC Insured), 6.50%, 1/1/05 5,000 5,000 ------- ------- 11,897 ------- ------- TENNESSEE - 0.4% Memphis-Shelby County Airport Authority Revenue Bonds, Series D (AMT) (AMBAC Insured), 6.25%, 3/1/15 2,000 2,244 ------- ------- TEXAS - 2.6% Austin City Utilities System Revenue Refunding Bonds (FSA Insured), 5.13%, 11/15/17 3,000 3,190 Ennis Independent School District 903 Capital Appreciation G.O. Unlimited Refunding Bonds (PSF Gtd.), 0.00%, 8/15/26 3,365 945 Frisco Independent School District Building G.O. Unlimited Bonds (PSF Gtd.), 6.50%, 8/15/14 1,535 1,829 Harris County Health Facilities Development Authority Revenue Bonds, Series A, Christus Health (MBIA Insured), 5.25%, 7/1/07 500 534 Sam Rayburn Municipal Power Agency Revenue Refunding Bonds, 5.50%, 10/1/10 1,000 1,110 6.00%, 10/1/16 1,000 1,096 6.00%, 10/1/21 1,250 1,346 San Antonio Electricity & Gas Revenue Bonds, Series A, 5.25%, 2/1/14 1,625 1,780 San Antonio Electricity & Gas Revenue Bonds, Series A, Prerefunded, 5.25%, 2/1/09 875 974
NORTHERN FUNDS QUARTERLY PEPORT 6 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS INTERMEDIATE TAX-EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 84.3% - CONTINUED TEXAS - 2.6% - (CONTINUED) Texas Municipal Power Agency Revenue Refunding Bonds (AMBAC Insured), 4.00%, 9/1/12 $ 2,000 $ 2,018 ---------- -------- 14,822 ---------- -------- VIRGIN ISLANDS - 0.5% Virgin Islands PFA Revenue Bonds, Series A, Gross Receipts Tax Lien Note, 5.63%, 10/1/10 3,000 3,192 ---------- -------- VIRGINIA - 3.1% Virginia Housing Development Authority Commonwealth Mortgage Revenue Bonds, Subseries J-1 MBIA Insured - G.O. of Authority), 4.05%, 7/1/07 5,000 5,159 4.75%, 1/1/12 3,000 3,172 4.88%, 7/1/13 5,265 5,523 Virginia Public Building Authority Revenue Bonds, Series B, 8.13%, 8/1/16 3,995 4,073 ---------- -------- 17,927 ---------- -------- WASHINGTON - 4.4% King County Sewer Revenue Bonds, Second Series (FGIC Insured), Prerefunded, 6.25%, 1/1/09 5,020 5,774 Washington State G.O. Refunding Unlimited Bonds, Series R-2004D, Motor Vehicle Fuel Tax (MBIA Insured), 4.50%, 1/1/22 4,500 4,543 Washington State G.O. Unlimited Bonds, Series 3C, Motor Vehicle Fuel (MBIA Insured), 0.00%, 6/1/18 5,000 2,684 Washington State G.O. Unlimited Bonds, Series D, Motor Vehicle Fuel Tax (FGIC Insured), 5.38%, 1/1/22 1,250 1,306 Washington State G.O. Unlimited Bonds, Series S-4, 5.75%, 1/1/12 10,000 11,155 ---------- -------- 25,462 ---------- -------- WISCONSIN - 1.4% Wisconsin G.O. Bonds. Series F (FSA Insured), Prerefunded, 5.50%, 5/1/12 $ 7,000 $ 8,005 ---------- -------- TOTAL MUNICIPAL BONDS ---------- -------- (COST $466,740) 488,711
NUMBER VALUE OF SHARES (000S) INVESTMENT COMPANIES - 1.5% AIM Tax Exempt Cash Reserve Fund 7,789,952 7,790 Dreyfus Tax-Exempt Cash Management Fund 849,732 850 --------- ----- TOTAL INVESTMENT COMPANIES --------- ----- (COST $8,640) 8,640
PRINCIPAL AMOUNT VALUE (000S) (000S) ---------- -------- SHORT-TERM INVESTMENTS - 14.2% ABAG Finance Authority for Nonprofit Corps. Revenue VRDB, Elder Care Alliance (Soverign Bank LOC), 1.96%, 1/6/05 $ 2,750 2,750 Lee County IDA Refunding VRDB, Hope Hospice Project (Suntrust Bank LOC), 2.22%, 1/3/05 1,400 1,400 Medical Center Educational Building Corp. Revenue VRDB, Adult Hospital Project (AMBAC Insured), 1.99%, 1/6/05 2,000 2,000 Michigan State Hospital Finance Authority Revenue Refunding VRDB, Series A, Crittenton Hospital (Comerica Bank LOC), 1.99%, 1/3/05 60 60 Monroe County Development Authority PCR VRDB, Oglethorpe Power Corp. Project (AMBAC Insured), 2.22%, 1/3/05 5,365 5,365 Oconee County PCR Refunding VRDB, Duke Facilities (Bank One Trust Co. LOC), 2.00%, 1/6/05 10,000 10,000
FIXED INCOME FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- SHORT-TERM INVESTMENTS - 14.2% - CONTINUED Pima County IDA VRDB, Series A, Senior Living Facilities - La Posada (LaSalle Bank LOC), 2.00%, 1/6/05 $ 12,450 $ 12,450 Pitkin County IDR Refunding VRDB, Series A, Aspen Skiing Co. Project (Bank One N.A. LOC), 2.20%, 1/3/05 17,000 17,000 Rockford City Adjustable Revenue VRDB, Wesley Willows Obligation (M&I Marshall & llsley LOC), 2.23%, 1/3/05 10,000 10,000 Sevier County Public Buildings Authority Revenue VRDB, Local Goverment Public Improvement IV-D-1 (AMBAC Insured), 2.18%, 1/3/05 3,050 3,050 Smyrna Housing Authority Adjustable Revenue VRDB, F&M Villages Project (Coll. by FNMA Securities), 2.00%, 1/5/05 5,500 5,500 Tarrant County Housing Finance Corp. Revenue VRDB, Multifamily Housing - Gateway Apartments (Fannie Mae Insured), 2.00%, 1/6/05 12,600 12,600 --------- -------- TOTAL SHORT-TERM INVESTMENTS --------- -------- (COST $82,175) 82,175 --------- -------- TOTAL INVESTMENTS - 100.0% --------- -------- (COST $557,555) $579,526
At December 31, 2004, the industry sectors for the Intermediate Tax-Exempt Fund were:
INDUSTRY SECTOR % OF INVESTMENT --------------- --------------- Agriculture 6.3% Development 6.7 Education 5.0 General 5.3 General Obligation 19.3 Housing 6.1 Power 11.6 Transportation 9.2 Utilities 9.8 All other sectors less than 5% 20.7 ----- TOTAL 100.0%
At December 31, 2004, the quality distribution for the Intermediate Tax-Exempt Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 45.2% AA 18.7 A 15.5 BBB 4.3 Not Rated 0.6 Cash Equivalents 15.7 ------ TOTAL 100.00%
As of December 31, 2004, the components of investments for federal income tax purposes were as follows: Federal tax cost of investments $557,555 -------- Gross tax appreciation of investments $ 22,119 Gross tax depreciation of investments (148) -------- Net tax appreciation of investments $ 21,971 --------
NORTHERN FUNDS QUARTERLY REPORT 8 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS DECEMBER 31, 2004 (UNAUDITED) SHORT-INTERMEDIATE U.S. GOVERNMENT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 53.9% (1) FANNIE MAE - 45.6% 3.13%, 7/15/06 $ 15,000 $ 14,995 3.00%, 3/2/07 1,015 1,009 5.25%, 4/15/07 19,185 19,989 3.75%, 5/17/07 4,150 4,158 3.00%, 8/15/07 3,705 3,668 3.25%, 1/15/08 5,700 5,656 3.38%, 12/15/08 2,780 2,744 Pool #555649, 7.50%, 10/1/32 657 704 Pool #725185, 5.00%, 2/1/19 5,358 5,449 Pool #725787, 5.00%, 9/1/19 7,604 7,731 Pool #753715, 6.00%, 12/1/18 1,623 1,702 Pool #761468, 4.50%, 5/1/19 5,085 5,072 --------- -------- 72,877 --------- -------- FREDDIE MAC - 5.0% 4.25%, 5/4/09 1,330 1,332 4.25%, 7/15/09 5,865 5,967 4.75%, 12/8/10 700 704 Pool #410092, 3.67%, 11/1/24 62 64 --------- -------- 8,067 --------- -------- FREDDIE MAC GOLD - 3.3% Pool #A17500, 6.50%, 1/1/34 1,559 1,637 Pool #E91020, 5.50%, 8/1/17 3,526 3,646 --------- -------- 5,283 --------- -------- TOTAL U.S. GOVERNMENT AGENCIES --------- -------- (COST $86,380) 86,227 U.S. GOVERNMENT OBLIGATIONS - 43.7% U.S. TREASURY NOTES - 43.7% 2.50%, 5/31/06 17,168 17,070 2.63%, 11/15/06 16,945 16,820 3.50%, 11/15/06 3,000 3,025 2.75%, 8/15/07 8,550 8,456 3.00%, 11/15/07 10,170 10,107 3.63%, 7/15/09 14,364 14,405 --------- -------- 69,883 --------- -------- TOTAL U.S. GOVERNMENT OBLIGATIONS --------- -------- (COST $70,137) 69,883 SHORT-TERM INVESTMENT - 2.4% FHLB Discount Note, 1.01%, 1/3/05 3,768 3,768 --------- -------- TOTAL SHORT-TERM INVESTMENT --------- -------- (COST $3,768) 3,768 TOTAL INVESTMENTS - 100.0% --------- -------- (COST $160,285) $159,878
(1) The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury. At December 31, 2004, the quality distribution for the Short Intermediate U.S. Government Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------- ---------- AAA 100.0% ----- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $160,285 -------- Gross tax appreciation of investments $ 246 Gross tax depreciation of investments (653) -------- Net tax depreciation of investments $ (407) --------
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS TAX-EXEMPT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% ARIZONA - 3.4% Arizona Student Loan Acquisition Authority Revenue Refunding Bonds, Series A-1 (AMT) (Student Loans Gtd.), 5.90%, 5/1/24 $ 1,000 $ 1,071 Maricopa County Unified School District No. 11 Peoria G.O. Unlimited Bonds, Unified Project of 1991 , Prerefunded, 5.50%,7/1/05 1,500 1,541 Maricopa County Unified School District No. 41 Gilbert G.O. Unlimited Bonds, 6.25%, 7/1/15 235 253 Maricopa County Unified School District No. 41 Gilbert G.O. Unlimited Bonds, Prerefunded, 6.25%, 7/1/08 2,765 3,114 Maricopa County Unified School District No. 69 Paradise Valley G.O. Unlimited Bonds, Series B, 8.50%, 7/1/06 5,500 5,994 Mesa IDA Student Housing Revenue Bonds, Series A, ASU East/Maricopa College, 6.00%, 7/1/32 1,000 1,014 Pinal County COP, 5.00%, 12/1/29 2,500 2,502 Tucson G.O. Refunding Bonds (FGIC Insured), 4.00%, 7/1/15 1,000 1,019 ------- ------- 16,508 ------- ------- CALIFORNIA - 18.2% Anaheim PFA Revenue Bonds, Electric System Distributing Facilities (MBIA Insured), 5.00%, 10/1/28 2,345 2,407 California State Department of Water Resources Power Supply Revenue Bonds, Series A, 6.00%, 5/1/14 12,000 13,906 California State Economic Recovery G.O. Bonds, Series A, 5.00%, 7/1/16 15,000 16,026 California State G.O. Unlimited Bonds, 5.75%, 5/1/30 2,500 2,737 Castaic Lake Water Agency Capital Appreciation Revenue COP, Water System Improvement Project (AMBAC Insured), 0.00%, 8/1/28 3,275 945 Clovis Unified School District Capital Appreciation G.O. Unlimited Bonds, Series A, Election of 2004 (FGIC Insured), 0.00%, 8/1/25 5,000 1,763 Golden State Tobacco Securitization Corp. Revenue Bonds, Series B, 5.50%, 6/1/19 2,250 2,346 5.38%, 6/1/28 2,500 2,595 5.60%, 6/1/28 1,250 1,311 5.50%, 6/1/43 5,000 5,229 Huntington Beach Union High School District G.O. Bonds, Election 2004 (FSA Insured), 5.00%, 8/1/29 2,500 2,587 Kern High School District G.O. Unlimited Refunding Bonds, Series A (MBIA Insured), 6.60%, 2/1/17 1,845 2,183 6.60%, 8/1/17 1,825 2,160 Los Angeles Convention & Exhibition Center Authority COP, Prerefunded, 9.00%, 12/1/05 12,000 12,752 Los Angeles Department of Water & Power Electric Plant Revenue Bonds, Prerefunded, 6.00%, 2/15/05 1,060 1,076 Menlo Park G.O. Unlimited Bonds, 5.25%, 8/1/27 1,000 1,063 Moreland School District G.O. Unlimited Bonds, Series C, Election of 2002 (FGIC Insured), 0.00%, 8/1/28 3,000 815 North Orange County Community College district capital Appreciation G.O. Unlimited Bonds, Series B, Election of 2002 (FGIC Insured), 0.00%, 8/1/24 1,880 705
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% - CONTINUED CALIFORNIA - 18.2% - (CONTINUED) Orange County Sanitation District COP (FGIC Insured), 5.25%, 2/1/28 12,310 $13,033 University of California Revenue Bonds, Series Q, Multiple Purpose Projects (FSA Insured), 5.00%, 9/1/31 1,500 1,535 Walnut Valley Unified School District G.O. Unlimited Bonds, Series A (MBIA Insured), Escrowed to Maturity, 6.00%, 8/1/13 1,000 1,192 ---------- ------- 88,366 ---------- ------- COLORADO - 1.2% Colorado Health Facilities Authority Revenue Bonds, Portercare Adventist Health Hospital, 6.50%, 11/15/31 1,000 1,101 Denver City & County Revenue Refunding Bonds, Series E (AMT)(FGIC Insured), 5.50%, 11/15/18 1,000 1,089 Denver City & County Special Facilities Airport Revenue Bonds, Series A (AMT), Rental Car Project (MBIA Insured), 6.00%, 1/1/14 3,360 3,719 ---------- ------- 5,909 ---------- ------- CONNECTICUT - 3.3% Connecticut State Special Tax Obligation Revenue Bonds, Series A, Transportation Infrastructure, Partially Prerefunded, 7.13%, 6/1/10 8,625 10,263 Connecticut State Special Tax Obligation Revenue Refunding Bonds, Series B(AMBAC Insured), 5.00%, 7/1/15 5,000 5,566 ---------- ------- 15,829 ---------- ------- FLORIDA - 10.6% Crossings at Fleming Island Community Development District Special Assessment Revenue Refunding Bonds, Series C, 7.05%, 5/1/15 1,800 1,924 Florida State Board of Education Capital Outlay G.O. Unlimited Bonds, 9.13%, 6/1/14 2,090 2,809 Florida State Board of Education Capital Outlay G.O. Unlimited Refunding Bonds, Escrowed to Maturity, 9.13%, 6/1/14 325 436 Florida State Broward County G.O. Unlimited Bonds, Escrowed to Maturity, 10.00%, 7/1/14 15,950 22,724 Jacksonville Electric Systems Revenue Bonds, Series 3A, 5.50%, 10/1/41 4,500 4,774 Orlando Utilities Commission Water & Electric Revenue Refunding Bonds, Series D, Escrowed to Maturity, 6.75%, 10/1/17 7,700 9,606 Pinellas County Sewer Revenue Bonds (MBIA Insured), Escrowed to Maturity, 5.75%, 10/1/05 2,500 2,569 Poinciana Community Development District Special Assessment Bonds, Series A, 7.13%, 5/1/31 1,000 1,056 Sunrise Utility System Revenue Refunding Bonds, Series A (AMBAC Insured), 5.50%, 10/1/15 4,975 5,686 ---------- ------- 51,584 ---------- ------- GEORGIA - 3.4% De Kalb County Water & Sewer Revenue Bonds, 5.38%, 10/1/35 6,200 6,644 Forsyth County G.O. Unlimited Bonds, Prerefunded, 6.00%, 3/1/10 3,290 3,812 Gainesville & Hall County Development Authority Revenue Bonds, Series C, Senior Living Facilities - Lanier Village, 7.25%, 11/15/29 2,000 2,139
NORTHERN FURNDS QUARTERLY REPORT 2 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS TAX-EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% - CONTINUED GEORGIA - 3.4% - (CONTINUED) Georgia Municipal Electric Authority Power Revenue Bonds, Series B (FGIC Insured), 6.38%, 1/1/16 $ 2,300 $ 2,813 Private Colleges & Universities Authority Student Housing Revenue Bonds, Series A, Mercer Housing Corp. Project, 6.00%, 6/1/21 1,000 1,053 --------- ------- 16,461 --------- ------- ILLINOIS - 5.9% Bolingbrook Capital Appreciation G.O. Unlimited Bonds, Series B (MBIA Insured), 0.00%, 1/1/33 1,400 300 Chicago City O'Hare International Airport Third Lien Revenue Bonds, Series B-2 (AMT) (XLCA Insured), 6.00%, 1/1/29 11,000 12,210 Chicago Park District Parking Facilities Revenue Bonds (ACA Insured), Prerefunded, 6.00%, 1/1/10 3,000 3,432 Illinois Development Finance Authority Economic Development Revenue Bonds, Latin School of Chicago Project, 5.60%, 8/1/18 350 363 Illinois Educational Facilities Authority Student Housing Revenue Bonds, Educational Advancement Fund University Center Project, 6.00%, 5/1/22 750 801 Illinois Health Facilities Authority Revenue Bonds, Riverside Health System, 6.00%, 11/15/32 1,000 1,058 Illinois State G.O. Bonds (MBIA Insured), 4.50%, 9/1/22 5,155 5,215 Metropolitan Pier & Exposition Authority Revenue Bonds, Series A, McCormick Place Expansion (MBIA Insured), 5.25%, 6/15/42 5,000 5,246 --------- ------- 28,625 --------- ------- INDIANA - 7.1% Franklin Township Independent School Building Corp. Marion County First Mortgage Revenue Bonds, Prerefunded, 6.50%, 7/15/10 5,000 5,987 Hamilton County Independent Public Building Corp. First Mortgage G.O. Unlimited Bonds, 7.25%, 8/1/13 4,200 5,274 Indiana Development Finance Authority Environmental Revenue Refunding Bonds, USX Corp. Project, 5.25%, Mandatory Put 12/2/11 1,000 1,108 Indiana HFA SFM Revenue Bonds, Series C-3 (AMT), 6.30%, 7/1/31 90 90 Indiana Office Building Commission Capital Complex Revenue Bonds, Series B (MBIA Insured), 7.40%, 7/1/15 5,620 7,290 Indianapolis City Industrial Utilities District Revenue Refunding Bonds, Series B (FGIC Insured), 3.50%, 6/1/18 3,280 3,095 Indianapolis City Industrial Utilities District Revenue Refunding Bonds, Series B (FGIC Insured), Escrowed to Maturity, 5.00%, 6/1/06 1,740 1,808 4.00%, 6/1/08 2,275 2,392 Indianapolis Local Public Improvement Bond Bank Revenue Bonds, Series A, Waterworks Project (MBIA Insured), 5.25%, 7/1/33 5,000 5,259 Monroe County Hospital Authority Revenue Bonds, Series B, Bloomington Hospital Obligation Group (FSA Insured), 6.00%, 5/1/29 2,000 2,209 --------- ------- 34,512 --------- ------- KANSAS - 0.4% Wichita Hospital Improvement Facilities Revenue Refunding Bonds, Series III, 6.25%, 11/15/18 1,685 1,886 --------- -------
FIXED INCOME FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% - CONTINUED KENTUCKY - 2.2% Louisville & Jefferson County Metropolitan Sewer District Sewer & Drain System Revenue Bonds, Series A (MBIA Insured), 5.50%, 5/15/34 $ 10,000 $ 10,895 --------- -------- LOUISIANA - 1.9% Lafayette Utilities Revenue Bonds (MBIA Insured), 5.00%, 11/1/28 5,000 5,177 Louisiana Public Facilities Authority Revenue Bonds, Baton Rouge (MBIA Insured), 5.25%, 7/1/33 3,690 3,858 --------- -------- 9,035 --------- -------- MASSACHUSETTS - 2.5% Massachusetts State Development Finance Agency Revenue Bonds, Series P, Boston University (G.O. of Institution), 6.00%, 5/15/59 2,000 2,303 Massachusetts State Development Finance Agency Revenue Refunding Bonds, Series P, Boston University (XLCA-ICR G.O.of Institutional), 5.38%, 5/15/39 3,000 3,254 Massachusetts State Water Pollution Abatement Revenue Bonds, Series A, MWRA Program, 6.00%, 8/1/19 3,000 3,658 Massachusetts Water Resources Authority Revenue Bonds, Series C (G.O. of Authority), 4.75%, 12/1/23 2,900 2,901 --------- -------- 12,116 --------- -------- MICHIGAN - 0.8% Wayne Charter County Airport Revenue Bonds, Series B (MBIA Insured), 4.88%, 12/1/23 2,500 2,551 Wayne Charter County Revenue Refunding Bonds, Series C (FGIC Insured), 5.38%, 12/1/15 1,000 1,116 --------- -------- 3,667 --------- -------- MINNESOTA - 0.7% Cohasset PCR Refunding Bonds, Allete, Inc. Project, 4.95%, 7/1/22 1,000 1,020 Minnesota State Housing Finance Agency SFM Revenue Bonds, 5.70%, 1/1/17 1,445 1,482 Minnesota State Housing Finance Agency SFM Revenue Bonds, Series A (MBIA Insured), 5.35%, 7/1/17 770 806 --------- -------- 3,308 --------- -------- NEVADA - 0.5% Nevada State G.O. Limited Refunding Bonds, Nevada Municipal Bond Bank Project 20-23A, Escrowed to Maturity, 7.20%, 7/1/06 2,540 2,573 --------- -------- NEW JERSEY - 4.1% New Jersey Economic Development Authority Revenue Bonds, Cigarette Tax, 5.75%, 6/15/29 5,000 5,241 New Jersey Economic Development Authority Revenue Bonds, Series F, School Facilities Construction (FGIC Insured), 5.25%, 6/15/14 5,000 5,589 New Jersey State Health Care Facilities Financing Authority Revenue Refunding Bonds, Atlantic City Medical Center, 6.25%, 7/1/17 1,000 1,134 New Jersey State Turnpike Authority Growth & Income Section Revenue Bonds, Series B (AMBAC Insured), 0.00%, 1/1/35 5,000 3,042 New Jersey State Turnpike Authority Revenue Bonds, Series C-1 (AMBAC Insured), 5.00%, 1/1/35 5,000 5,082 --------- -------- 20,088 --------- -------- NEW YORK - 11.4% Dutchess County IDA Civic Facilities Revenue Bonds, Bard College Civic Facilities, 5.75%, 8/1/30 2,000 2,143
NORTHERN FUNDS QUARTERLY REPORT 4 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS TAX-EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% - CONTINUED NEW YORK - 11.4% - (CONTINUED) Nassau County Interim Finance Authority Revenue Bonds, Series A, Sales Tax Secured, Prerefunded, 5.63%, 11/15/05 $ 1,835 $ 1,910 New York City G.O. Unlimited Bonds, Series A, 6.00%, 5/15/30 1,005 1,125 New York City G.O. Unlimited Bonds, Series H, 5.00%, 8/1/12 8,000 8,696 New York City IDA Special Airport Facilities Revenue Bonds, Series A (AMT) Airis JFK I LLC Project, 6.00%, 7/1/27 500 510 New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series A (MBIA-IBC Insured), Prerefunded, 5.50%, 6/15/05 5,000 5,081 New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series B, Prerefunded, 6.00%, 6/15/10 1,940 2,263 New York City Municipal Water Finance Authority Water & Sewer System Revenue Bonds, Series E, 5.00%, 6/15/34 1,000 1,021 New York City Municipal Water Finance Authority Water & Sewer System Revenue Crossover Refunding Bonds, Series B, 6.00%, 6/15/33 1,160 1,347 New York City Transitional Finance Authority Revenue Bonds, Series B, Future Tax Secured, Prerefunded, 6.00%, 5/15/10 4,000 4,661 6.13%, 5/15/10 2,000 2,343 New York State Dormitory Authority Revenue Bonds, Series A, Court Facilities, 5.50%, 5/15/19 1,000 1,096 New York State Dormitory Authority Revenue Bonds, Series A, University Dormitory Facilities, Prerefunded, 6.25%, 7/1/10 1,115 1,316 New York State Dormitory Authority Revenue Bonds, St. John's University (MBIA Insured), 5.25%, 7/1/25 5,000 5,331 New York State Thruway Authority Service Contract Revenue Bonds, Local Highway & Bridge (AMBAC Insured), Prerefunded, 5.38%, 4/1/10 3,110 3,527 Port Authority New York & New Jersey Revenue Bonds, Series 109 (G.O. of Authority), 5.38%, 1/15/32 2,000 2,100 Tobacco Settlement Financing Authority Revenue Bonds, Series C-1, 5.50%, 6/1/16 10,000 11,032 ------- ------- 55,502 ------- ------- NORTH CAROLINA - 3.3% North Carolina State Eastern Municipal Power Agency Power System Revenue Refunding Bonds, Series A, Escrowed to Maturity, 6.50%, 1/1/18 2,655 3,366 North Carolina State Eastern Municipal Power Agency Power System Revenue Refunding Bonds, Series B, 7.00%, 1/1/08 10,000 11,130 North Carolina State Eastern Municipal Power Agency Power System Revenue Refunding Bonds, Series D, 6.75%, 1/1/26 1,250 1,389 ------- ------- 15,885 ------- ------- OHIO - 0.9% Columbus Ohio City School District G.O. Bonds, School Facilities Construction & Improvement (FSA Insured), 5.25%, 12/1/27 1,115 1,201
FIXED INCOME FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% - CONTINUED OHIO - 0.9% - (CONTINUED) Ohio Housing Finance Agency Mortgage Revenue Bonds, Series A-1, Residential Mortgage-Backed Securities (Colld. by GNMA Securities). 5.70%, 3/1/17 $ 775 $ 803 Ohio Housing Finance Agency Mortgage Revenue Bonds, Series C (AMT), Residential Mortgage-Backed Securities (Colld. by GNMA Securities), 5.15%, 3/1/13 1,170 1,220 Plain Local School District G.O. Unlimited Bonds (FGIC Insured), 6.00%, 12/1/25 190 219 Plain Local School District G.O. Unlimited Bonds (FGIC Insured), Prerefunded, 6.00%, 6/1/11 810 945 -------- -------- 4,388 -------- -------- OKLAHOMA - 1.9% McGee Creek Authority Water Revenue Bonds (MBIA Insured), 6.00%, 1/1/13 6,000 6,906 Payne County Economic Development Authority Student Housing Revenue Bonds, Series A, Collegiate Housing Foundation, Prerefunded, 6.38%, 6/1/11 2,000 2,354 -------- -------- 9,260 -------- -------- OREGON - 0.6% Oregon State Housing & Community Services Department Mortgage Revenue Bonds, Series E, SFM Program (FHA Insured) 6.15%, 7/1/30 675 708 Oregon State Housing & Community Services Department Mortgage Revenue Bonds, Series F, SFM Project, 5.55%, 7/1/30 2,265 2,338 -------- -------- 3,046 -------- -------- PENNSYLVANIA - 2.2% Allegheny County Port Authority Special Revenue Bonds, Transportation (MBIA Insured), Prerefunded, 6.13%, 3/1/09 1,635 1,877 Montgomery County Higher Education & Health Authority Revenue Bonds, Series A, Philadelphia Geriatric Center, 7.38%, 12/1/30 3,000 3,170 Pennsylvania Housing Finance Agency SFM Revenue Bonds, Series 72A (AMT), 4.80%, 4/1/12 750 786 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, LaSalle University, 5.50%, 5/1/34 1,330 1,370 Pennsylvania State Higher Educational Facilities Authority Revenue Bonds, Series A, UPMC Health System, 6.00%, 1/15/22 1,750 1,915 Pennsylvania State Higher Educational Facilities Authority Student Housing Revenue Bonds, Series A, Student Association, Inc. Project, 6.75%, 9/1/32 1,475 1,547 -------- -------- 10,665 -------- -------- PUERTO RICO - 2.9% Puerto Rico Commonwealth Highway & Transportation Authority Transportation Revenue Bonds, Series B, Prerefunded, 6.00%, 7/1/10 2,000 2,311 Puerto Rico Commonwealth Highway & Transportation Authority Transportation Revenue Bonds, Series D, 5.25%, 7/1/38 11,260 11,684 -------- -------- 13,995 -------- -------- RHODE ISLAND - 0.7% Rhode Island Economic Development Corp. Airport Revenue Bonds, Series B (FGIC Insured), 6.50%, 7/1/18 3,000 3,494 -------- --------
NORTHERN FUNDS QUARTERLY REPORT 6 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS TAX - EXEMPT FUND (continued)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL BONDS - 97.2% - CONTINUED SOUTH CAROLINA - 0.6% Piedmont Municipal Power Agency Capital Appreciation Revenue Refunding Bonds, Subseries A-2 (AMBAC Insured), 0.00%, 1/1/28 $ 5,000 $ 1,471 0.00%, 1/1/29 5,000 1,382 ---------- -------- 2,853 ---------- -------- TEXAS - 4.4% Austin Independent School District G.O. Refunding Bonds (PSF Gtd.), 5.00%, 8/1/11 4,000 4,425 Birdville Independent School District Capital Appreciation G.O. Unlimited Bonds (PSF Gtd.), 0.00%, 2/15/19 1,795 804 Denton Utility System Improvement Revenue Refunding Bonds (FSA Insured), 4.50%, 12/1/22 1,000 1,008 Harris County Health Facilities Development Corp. Christus Health Revenue Bonds, Series A (MBIA Insured), 5.50%, 7/1/09 1,500 1,663 Judson Independent School District G.O. Unlimited Bonds, Series B, School Building (FSA Insured), 5.00%, 2/1/19 1,505 1,611 Lamar Consolidated Independent School District G.O. Unlimited Bonds (PSF Gtd.), 6.00%, 2/15/13 2,400 2,679 Parker County Hospital District Revenue Bonds, Campbell Health System, 6.25%, 8/15/19 1,000 1,031 Sam Rayburn Municipal Power Agency Revenue Refunding Bonds, 5.50%, 10/1/10 1,000 1,110 6.00%, 10/1/16 1,000 1,096 6.00%, 10/1/21 1,250 1,346 Texas Municipal Power Agency Revenue Refunding Bonds (AMBAC Insured), 4.00%, 9/1/12 1,150 1,160 Texas State Veterans Housing Assistance G.O. Unlimited Bonds, Series C (AMT), Fund II, 6.10%, 6/1/21 3,000 3,249 Waxahachie Independent School District Capital Appreciation G.O. Unlimited Bonds (PSF Gtd.), 0.00%, 8/15/16 240 130 0.00%, 8/15/23 190 63 0.00%, 8/15/28 305 73 0.00%, 8/15/30 320 67 ---------- -------- 21,515 ---------- -------- WASHINGTON - 2.1% Washington State G.O. Unlimited Bonds, Series B & AT-7, 6.40%, 6/1/17 5,200 6,349 Washington State G.O. Unlimited Bonds, Series 3C, Motor Vehicle Fuel (MBIA Insured), 0.00%, 6/1/18 5,000 2,684 Washington State G.O. Unlimited Bonds, Series D, Motor Vehicle Fuel Tax (FGIC Insured), 5.38%, 1/1/22 1,000 1,044 ---------- -------- 10,077 ---------- -------- TOTAL MUNICIPAL BONDS ---------- -------- (COST $439,449) 472,042
NUMBER VALUE OF SHARES (000S) ---------- ---------- INVESTMENT COMPANIES - 2.8% AIM Tax Exempt Cash Fund 13,656,841 13,657 Dreyfus Tax-Exempt Cash Management Fund 32,039 32 ---------- --------- TOTAL INVESTMENT COMPANIES ---------- --------- (COST $13,689) 13,689 ---------- --------- TOTAL INVESTMENTS - 100.0% ---------- --------- (COST $453,138) $ 485,731
FIXED INCOME FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT DECEMBER 31, 2004 (UNAUDITED) At December 31, 2004, the industry sectors for the Tax-Exempt Fund were:
INDUSTRY SECTOR % OF INVESTMENT ------------------------------ -------------- Airport 5.1% Development 5.1 Facilities 7.8 General Obligation 12.5 Higher Education 5.2 Power 9.8 School District 7.6 Transportation 8.2 Utilities 15.0 All other sectors less than 5% 23.7 --------------- Total 100.0%
At December 31, 2004, the quality distribution for the Tax-Exempt Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE -------------------------- ---------------- AAA 51.3% AA 20.0 A 16.2 BBB 7.7 Not Rated 2.0 Cash & Equivalents 2.8 ---------------- Total 100.0%
As of December 31, 2004, the components of investments for federal income tax purposes were as follows: Federal tax cost of investments $ 453,138 -------------- Gross tax appreciation of investments $ 32,662 Gross tax depreciation of investments (69) -------------- Net tax appreciation of investments $ 32,593 --------------
NORTHERN FUNDS QUARTERLY REPORT 8 FIXED INCOME FUNDS FIXED INCOME FUNDS SCHEDULE OF INVESTMENTS DECEMBER 31, 2004 (UNAUDITED) US GOVERNMENT FUND
PRINCIPAL AMOUNT VALUE (000S) (000S) ---------- ---------- U.S. GOVERNMENT AGENCIES - 62.2% (1) FANNIE MAE - 39.7% 3.00%, 3/2/07 $ 1,365 $ 1,356 3.75%, 5/17/07 5,560 5,570 4.25%, 7/15/07 26,500 27,055 3.00%, 8/15/07 2,450 2,426 6.00%, 5/15/08 11,000 11,836 4.38%, 9/15/12 1,800 1,801 4.13%, 4/15/14 2,350 2,278 Pool #555649, 7.50%, 10/1/32 1,077 1,154 Pool #725185, 5.00%, 2/1/19 9,502 9,663 Pool #725787, 5.00%, 9/1/19 7,823 7,954 Pool #753715, 6.00%, 12/1/18 2,404 2,521 Pool #761468, 4.50%, 5/1/19 2,000 1,995 Pool #777357, 4.50%, 5/1/19 9,411 9,387 ---------- ---------- 84,996 ---------- ---------- FREDDIE MAC - 21.5% 2.88%, 12/15/06 19,595 19,458 4.25%, 5/4/09 1,850 1,853 4.25%, 7/15/09 5,870 5,972 6.63%, 9/15/09 15,000 16,775 4.75%, 12/8/10 1,640 1,648 Pool #410092, 3.67%, 11/1/24 261 268 ---------- ---------- 45,974 ---------- ---------- FREDDIE MAC GOLD - 1.0% Pool #A17500, 6.50%, 1/1/34 1,972 2,070 ---------- ---------- GOVERNMENT NATIONAL MORTGAGE ASSOCIATION - 0.0% Pool #268360, 10.00%, 4/15/19 46 51 Pool #270288, 10.00%, 6/15/19 28 32 ---------- ---------- 83 ---------- ---------- TOTAL U.S. GOVERNMENT AGENCIES ---------- ---------- (COST $130,954) 133,123 U.S. GOVERNMENT OBLIGATIONS - 35.6% U.S. TREASURY NOTES - 35.6% 2.63%, 11/15/06 15,270 15,157 3.13%, 5/15/07 13,425 13,418 3.00%, 11/15/07 9,615 9,556 3.63%, 7/15/09 4,220 4,232 5.00%, 8/15/11 14,485 15,421 4.00%, 11/15/12 4,200 4,193 4.25%, 11/15/14 14,168 14,205 ---------- ---------- 76,182 ---------- ---------- TOTAL U.S. GOVERNMENT OBLIGATIONS ---------- ---------- (COST $75,681) 76,182 SHORT-TERM INVESTMENT - 2.2% FHLB Discount Note, 1.01%, 1/3/05 4,640 4,639 ---------- ---------- TOTAL SHORT-TERM INVESTMENT ---------- ---------- (COST $4,639) 4,639 ---------- ---------- TOTAL INVESTMENTS - 100.0% ---------- ---------- (COST $211,274) $ 213,944
(1) The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury. At December 31, 2004 the quality distribution for the U.S. Government Fund's percentage of investments was as follows:
QUALITY DISTRIBUTION PERCENTAGE ------------------------ ------------------- AAA 100.0% ------------------- Total 100.0%
Federal Tax Information: As of December 31, 2004, the components of investments for federal income tax purposes were as follows: (Amounts in thousands) Federal tax cost of investments $ 211,274 --------- Gross tax appreciation of investments $ 3,064 Gross tax depreciation of investments (394) --------- Net tax appreciation of investments $ 2,670
FIXED INCOME FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% CALIFORNIA - 100.0% ABAG Financing Authority for Non-Profit Corp. Multifamily Revenue Bonds, $2,545 $2,545 Series 2000A, East Ridge Apartments (FNMA LOC), 2.06%, 1/7/05 ABAG Financing Authority for Non-Profit Corp. Revenue Bonds, Series 1998B, American Baptist Homes West Project (U.S. Bank LOC), 2.15%, 1/3/05 1,000 1,000 ABAG Financing Authority for Non-Profit Corp. Revenue Bonds, Series 2002A (AMT), Action Courtyard Apartments Project (Wells Fargo Bank LOC), 2.02%, 1/7/05 6,245 6,245 ABAG Financing Authority for Non-Profit Corp. Revenue Bonds, Series 2002 (AMT), The Bachenheimer Building Project (FNMA Gtd.), 2.02%, 1/7/05 7,720 7,720 ABAG Financing Authority for Non-Profit Corp. Revenue Bonds, Series 2002A (AMT), Darling Florist Building Project (FNMA Gtd.), 2.02%, 1/7/05 4,710 4,710 ABAG Financing Authority for Coros California, Series 2004, Thacher Schools, (Thacher Schools CA ABAC Finance Authority), 1.95% 1/7/05 4700 4,700 Alameda-Contra Costa California School Financing Authorities Variable COP, Series 2002J (KBC Bank LOC), 2.08%, 1/7/05 2,440 2,440 Series 2002K (KBC Bank LOC), 2.08%, 1/7/05 2,800 2,800 Alameda County IDA Revenue Bonds, Series 1997A, Tool Family Partnership (Wells Fargo Bank LOC), 2.02%, 1/7/05 1,245 1,245 Alameda County IDA Revenue Bonds, Series 1998A (AMT), Nguyen Family Trust (BNP Paribas LOC), 2.02%, 1/7/05 5,255 5,255 Alameda County IDA Revenue Bonds, Series 1999A (AMT), West Coast Pack Project (LaSalle Bank LOC), 2.02%, 1/7/05 3,200 3,200 Series 2000A (AMT), Niles Machine & Tool Project (Wells Fargo Bank LOC), 2.02%, 1/7/05 3,350 3,350 Series 2001(AMT), Pacific Paper Tube Project (Wells Fargo Bank LOC), 2.02%, 1/7/05 2,395 2,395 Alameda County IDA Revenue Bonds, Series 2004 (AMT), Autumn Press, Inc. Project (Wells Fargo Bank LOC), 2.09%, 1/7/05 2,332 2,332 Alameda County IDA Revenue Bonds, Series 1995A (AMT), Heat and Control, Inc. Project (Comerica Bank LOC), 2.05%, 1/7/05 1,610 1,610
MONEY MARKET FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) Barstow Multifamily Housing Revenue Bonds, Series 1999 (AMT), Rimrock Village Apartments Project (FHLB Indianapolis LOC), 2.00%, 1/7/05 3,150 3,150 California Department of Water Resources Power Supply Revenue Bonds, Series 2002B-1 (Bank of New York LOC), 2.20%, 1/3/05 21,200 21,200 Series 2002B-2 (BNP Paribas LOC), 2.25%, 1/3/05 600 600 Series 2002C-7 (FSA Insured), 2.00%, 1/7/05 10,100 10,100 California Economic Development Financing Authority Revenue Bonds, Series 1998 (AMT), Fricke-Parks Press Project (Wells Fargo Bank LOC), 2.05%, 1/7/05 1,990 1,990 California Economic Development Financing Authority Revenue Bonds, Series 1999 (AMT), Joseph Schmidt Confections Project (BNP Paribas LOC), 2.02%, 1/7/05 2,900 2,900 California Educational Facilities Authority Revenue Bonds, Series 2003-45A, SocGen Municipal Trust Receipts, University of Southern California, (1) 2.02%, 1/7/05 5,000 5,000 California FHLMC Multifamily VRD Certificates, Series M001A (AMT), Class A (FHLMC LOC), 2.14% 1/7/05 39,756 39,756 California HFA Revenue Bonds (AMT), Series 2002B, (FSA Insured), 2.30%, 1/3/05 13,400 13,400 California HFA Revenue Bonds, Series 2004E-1 (AMT), 1.65%, 1/7/05 5,000 5,000 California HFA Revenue Bonds, Series 2002M (AMT), 2.14%, 1/3/05 2,500 2,500 California HFA Revenue Bonds, Variable Rate Daily Series 2002M (AMT), 2.14%, 1/3/05 13,790 13,790 California Housing Authority Revenue Bonds (AMT), Single Family Mortgage Series A-2, P-Floats PT-258, (1) 2.04%, 1/7/05 3,325 3,325
MONEY MARKET FUNDS 2 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) California Infrastructure & Economic Development IDR Bonds, Series 1999 (AMT), Starter Alternator Project (California State Teachers Retirement System LOC), 2.04%, 1/7/05 2,700 2,700 California Infrastructure & Economic Development Revenue Bonds, J Paul Getty Trust, Series 2003A, 1.17%, 2/1/05 6,700 6,700 Series 2003C, 1.17%, 2/1/05 14,000 14,000 Series 2003D, 1.17%, 2/1/05 14,000 14,000 California Infrastructure & Economic Development Revenue Bonds, Series 2002 (AMT), 7/11 Material Inc. Project (California State Teachers Retirement LOC), 2.05%, 1/7/05 4,220 4,220 California Infrastructure & Economic Development Revenue Bonds, Series 2002A (AMT), Block & Brick Project (U.S. Bank LOC), 2.00%, 1/7/05 5,815 5,815 California Pollution Control Finance Authority Bonds, Merrill Lynch P-Floats PA-538R, San Diego Gas & Electric (MBIA Insured), (1) 2.04%, 10/7/04 5,300 5,300 California Pollution Control Finance Authority Bonds, Merrill Lynch P-Floats PA-633R, San Diego Gas & Electric (MBIA Insured), (1) 2.04%, 1/7/05 11,850 11,850 California Pollution Control Financing Authority PCR Bonds, Series 1997B, Pacific Gas & Electric (JPMorgan Chase Bank LOC), 2.22%, 1/3/05 3,900 3,900 California Pollution Control Finance Authority Environmental Improvement Revenue Bonds, Series 1997B (AMT) (Air Products & Chemicals Corp. Gtd.), 2.01%, 1/7/05 6,000 6,000 California Pollution Control Finance Authority Bonds, Series 1994 (AMT), Atlantic Richfield Company Project (BP PLC LOC), 2.21%, 1/3/05 7,350 7,350 California State RANs Series 2004-5, (California 2004-05 Revenue Anticipated), 1.74%, 6/30/05 7,400 7,446 California State Bonds, Series 2004C-2, Economic Recovery Bonds, 2.20%, 1/3/05 1,000 1,000
MONEY MARKET FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) California State Department of Water Control Valley Project Revenue Bonds, Merrill Lynch P-Floats PT-1183, (1) 2.01%, 1/7/05 8,525 8,525 California State Economic Recovery Bonds, Series L19J, (Lehman Floating Rate Trust Receipts), (1) 2.05%, 1/7/05 7,750 7,750 Series L20J, (Lehman Floating Rate Trust Receipts), (1) 2.05%, 1/7/05 7,600 7,600 California State G.O. Bonds, Eagle Trust Series 20000507 (XLCA Insured), (1) 2.03%, 1/07/05 10,000 10,000 California State G.O. Bonds, MERLOTS Series 2003-A29 (AMBAC Insured), (1) 2.03%, 1/7/05 12,305 12,305 California State G.O. Bonds, Merrill Lynch P-Floats Series PT-1257 (XLCA Insured), (1) 2.03%,1/7/05 11,475 11,475 California State G.O. Bonds, Series 2003B-4, Floating Rate Certificates (Bank of New York LOC), 1.95%, 1/07/05 19,750 19,750 California State G.O. Bonds, Series 2003-1, ABN AMRO MuniTops Trust Certificates (AMBAC Insured), (1) 2.02%, 1/7/05 6,000 6,000 California State G.O. Bonds, Series 2004 C11, Wachovia MERLOTS (AMBAC Insured), (1) 2.03%, 1/7/05 20,140 20,140 California State G.O. Bonds, Kindergarten-University Public Education Facilities, Series 2004A (Citibank LOC), 1.97%, 1/7/05 12,900 12,900 California State University Financial Authority Revenue Bonds, Series 2001, Rental Housing (Citibank LOC), 1.60%, 8/1/05 4,410 4,410 California State Public Works Board, Series 2004, Regents of University of California Lease Revenue, 3.00%, 11/1/05 1,575 1,589
MONEY MARKET FUNDS 4 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) California Statewide Community Development Authority Multifamily Revenue Bonds, Series 2002B, Olen Jones Senior Apartments Project (Citibank LOC), 2.12%, 1/7/05 480 480 California Statewide Community Development Authority Multifamily Revenue Bonds, Series 2002S (AMT), Concord Green Apartments (FHLB LOC), 2.01%, 1/7/05 4,900 4,900 California Statewide Community Development Authority Multifamily Revenue Bonds, Series 2002X (AMT), Sharps & Flats Apartments, (FNMA LOC), 2.02%, 1/7/05 9,700 9,700 California Statewide Community Development Authority Revenue Bonds, Series 2001B, Kaiser Permanente Project, 1.75%, 1/1/05 5,000 5,000 Series 2003B, Kaiser Permanente Project, 2.00%, 1/7/05 3,400 3,400 Series 2004M, Kaiser Permanente Project, 2.00%, 1/7/05 7,800 7,800 Series 2004M, Kaiser Permanente Project, 2.00%, 1/7/05 6,100 6,100 California Statewide Community Development Authority Revenue Bonds (AMT), Arms Apartments Project, Merrill Lynch P-Floats PT-1863 (Merrill Lynch Gtd.), (1) 2.10%, 1/7/05 3,575 3,575 California Statewide Community Development Authority Revenue Bonds, Series 1999-176, Morgan Stanley Floating Rate Certificates (FSA Insured), (1) 2.01%, 1/7/05 10,595 10,595 California Statewide Community Development Authority Revenue Bonds, Series 2000V (AMT), Aqua Vista Apartment Project (FNMA LOC), 2.02%, 1/7/05 6,700 6,700 California Statewide Community Development Authority Revenue Bonds, Series 2001JJ (AMT), La Puente Apartments Project (U.S. Bank LOC), 2.27%, 1/3/05 6,775 6,775 California Statewide Community Development Authority Revenue Bonds, Series 2001S (AMT), Birchcrest Apartment Project (U.S. Bank LOC), 2.27%, 01/3/05 800 800 California Statewide Community Development Authority Revenue Bonds, Series 2003-00 (AMT), Dublin Ranch Apartments (Bank of America, N.A. LOC), 2.05%, 1/7/05 14,900 14,900 California Statewide Community Development Authority Revenue Bonds, Series 2003NN1 (AMT), Bay Vista Meadow Park Project (Wells Fargo Bank LOC), 2.05%, 1/7/05 7,500 7,500
MONEY MARKET FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) California Statewide Community Development Authority Revenue Bonds, Series 2004A (AMT), Maple Square Apartments Project (Citibank LOC), 2.05%, 1/7/05 4,600 4,600 California Statewide Community Development Authority Revenue Bonds, Series 2004 C (AMT), Avian Glen Apartments Project (Citibank LOC), 2.05% 1/7/05 8,150 8,150 California Statewide Community Development Authority Revenue Bonds, Series 2001, Gemological Institute (AMBAC Insured Obligation) 1.96%, 1/7/05 16,150 16,150 Charter Mac, Certificates Series 2001, (MBIA Insured), (1) 2.05%, 1/7/05 31,900 31,900 Contra Costa Water District Bonds, Series 750, Morgan Stanley Floating Certificates (FSA Insured), (1) 2.01%, 1/7/05 6,330 6,330 Contra Costa, Series 2003F, Park Regency (FNMA LOC) 2.00%, 1/7/05 $ 6,900 $ 6,900 Emeryville Redevelopment Agency Multifamily Revenue Bonds, Series 2002A (AMT), Bay Street Apartments (KeyBank LOC), 2.00%, 1/7/05 3,400 3,400 Hayward Multifamily Housing Revenue Bonds, Series 1984A, Shorewood Apartment Project (FNMA LOC), 2.00%, 1/7/05 4,500 4,500 Livermore Redevelopment Housing Revenue Bonds, Series 2002A (AMT), Senior Housing Project (Bank of America LOC), 2.20%, 1/3/05 20,450 20,450 Los Angeles County Revenue Bonds, Series 2003 (AMT), Castaic Senior Apartments Project (FNMA LOC), 2.02%, 1/7/05 9,300 9,300 Los Angeles Housing Revenue Bonds, Series 1994 (AMT), Loans to Lenders Program (FHLB LOC), 2.20%, 1/3/05 2,991 2,991 Los Angeles IDA Empowerment Zone Facilities Revenue Bonds, Series 2003, Green Farms Project (Comerica Bank LOC), 2.00%, 1/7/05 3,000 3,000 Los Angeles IDA Empowerment Zone Revenue Bonds, Series 2001 (AMT), Megatoys Project (California State Teachers Retirement LOC), 2.04%, 1/7/05 2,100 2,100
MONEY MARKET FUNDS 6 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) Los Angeles IDA Revenue Bonds, Series 1998 (AMT), Delta Tau Data System Project (California State Teachers Retirement LOC), 2.04%, 1/7/05 5,110 5,110 Los Angeles IDA Revenue Bonds, Series 2001 (AMT), Wing Hing Noodle Co. Project (Comerica Bank California LOC), 2.04%, 1/7/05 2,900 2,900 Los Angeles Multifamily Revenue Bonds, Series 1997D (AMT), Mission Village Terrace Project (FHLB LOC), 2.02%, 1/7/05 3,540 3,540 Los Angeles Multifamily Revenue Bonds, Series 2002E, Harvard Yard Apartments Project (FHLB LOC), 2.02%, 1/7/05 $ 5,875 $ 5,875 Los Angeles Multifamily Revenue Bonds, Series 2003A (AMT), Asbury Apartments Project (Citibank LOC), 2.01%,1/7/05 5,600 5,600 Los Angeles Redevelopment Agency Revenue Bonds, Series 2003A, Wilshire Station Apartments (Fleet National Bank LOC), 2.20%, 1/3/05 5,000 5,000 Los Angeles Unified School District, MERLOTS, Series 2003A22 (FSA Insured), (1) 2.03%, 1/7/05 15,405 15,405 Los Angeles Unified School District TRAN, Series 2004A, 3.00%, 9/1/05 20,000 20,197 Los Angeles Wastewater Revenue Bonds, Series 2001A (FGIC Insured), 2.15%, 12/15/05 10,000 10,000 Series 2001B (FGIC Insured), 2.15%, 12/15/05 12,000 12,001 Metropolitan Water District of Southern California Waterworks Revenue Bonds, Citigroup ROCS RR II R 2040, (1) 2.02%, 1/7/05 8,895 8,895 Metropolitan Water District of Southern California Waterworks Revenue Bonds, Series 2004C, 1.96%, 1/7/05 5,000 5,000 MSR Public Power Agency, Series 1998F, San Juan Project Sub Lien (MBIA Insured) 2.20%, 1/3/05 850 850 Oakland California Revenue Bonds, Series 2003-A, ABN AMRO MuniTops Trust Certificates (MBIA Insured), (1) 2.02%, 1/7/05 8,935 8,935
MONEY MARKET FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) Oakland California TRAN, Series 2004-2005, 3.00%, 7/27/05 5,000 5,043 Oakland California Revenue Bonds, 1800 Harrison Found, MERLOTS Series 2000M (AMBAC Insured), (1) 2.03%, 1/7/05 3,000 3,000 Orange County Sanitation District Revenue Bonds, Series 2000-A, 2.15%, 1/3/05 550 550 Series 2000-B, 2.15%, 1/3/05 805 805 Orange County Housing Authority Revenue Bonds, Series 1998 I, Oasis Martinique Project (FNMA Gtd.), 1.97%, 1/7/05 3,600 3,600 Oxnard California Financing Authority Revenue Bonds, Headworks & Septic Systems Conv-B (AMBAC Insured), 2.00%, 1/7/05 8,000 8,000 Palmdale Community Redevelopment Mortgage Revenue Bonds, MERLOTS Series 2000-TTT (AMT) (Colld. by U.S. Government Securities), (1) 2.08%, 1/7/05 6,025 6,026 Pasadena COP, Series 1991, Rose Bowl Improvements Project (Bank of New York LOC), 2.00%, 1/7/05 875 875 Sacramento County Multifamily Housing Authority Revenue Bonds, Series 1992A (AMT), Shadowood Apartment Project (General Electric Capital Corp LOC), (1) 2.05%, 1/7/05 18,500 18,500 Sacramento County Sanitation District Revenue Bonds, MERLOTS Series 2000-SSS (Colld. by U.S. Government Securities), (1) 2.03%, 1/7/05 7,500 7,500 Sacramento County TRAN, Series 2004A, 3.00%, 7/11/05 4,725 4,757 Sacramento Housing Roaring Fork Trust Receipts (AMT) (Colld. by FNMA Securities), (1) 2.06%, 1/7/05 7,245 7,245 Sacramento Multifamily Housing Authority Revenue Bonds, Series 2001B (AMT), California Place Apartments (FNMA Gtd.), 2.00%, 1/7/05 4,500 4,500
MONEY MARKET FUNDS 8 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) ---------- ------ MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) Sacramento-Yolo Port District VRDB, Series 1997A (AMT), California Free Trade Zone Project (Wells Fargo Bank LOC), 2.03%, 1/7/05 $ 1,400 $ 1,400 San Bernardino Country Multifamily Housing Revenue Bonds, Series 1993, Monterey Villas Apartments Project (FHLB LOC), 2.01%, 1/7/05 1,700 1,700 San Diego Multifamily Housing Authority Revenue Bonds, Series 2000A (AMT), Stratton Apartments Project (FNMA Gtd.), 2.02%, 1/7/05 3,300 3,300 San Francisco City & County Airports Commission International Airport Revenue Bonds (AMT), Merrill P-Floats PA-661 R-A (FSA Insured), (1) 2.07%, 1/7/05 6,905 6,905 San Francisco City & County Redevelopment Agency Multifamily Housing Revenue Bonds, Bayside Village Project (JPMorgan Chase Bank LOC), Series 1985A 1.98%, 1/7/05 5,200 5,200 Series 1985B 1.98%, 1/7/05 5,400 5,400 San Francisco City & County Redevelopment Agency Multifamily Housing Revenue Bonds, Series 2001B (AMT), Ocean Beach Apartments Project (Citibank LOC), 2.07%, 1/7/05 1,300 1,300 San Francisco City & County Redevelopment Agency Multifamily Housing Revenue Bonds, Series 2002A (AMT), Leland Polk Senior Community (Citibank LOC), 2.10%, 1/7/05 4,965 4,965 San Jose Multifamily Housing Revenue Bonds, Series 2004A, Tresles Apartments Project (FHLMC LOC), 2.04%, 1/7/05 3,675 3,675 San Leandro Multifamily Revenue Bonds, Series 1997A (AMT), Carlton Plaza (FNMA LOC), 2.00%, 1/7/05 11,220 11,220 Santa Cruz Redevelopment Agency Multifamily Housing Revenue Bonds, Series 2002A (AMT), Shaffer Road Apartments Project (Bank of America LOC), 2.05%, 1/7/05 10,000 10,000
MONEY MARKET FUNDS 9 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) CALIFORNIA - 100.0% - (CONTINUED) Sequoia Unified High School District Revenue Bonds, Series 2003-2, ABN AMRO MuniTops Certificates (MBIA Insured), (1) 2.02%, 1/7/05 12,945 12,945 Simi Valley Unified School District, Series 2004, ABN AMRO MuniTops Certificates (MBIA Insured), (1) 2.02%, 1/7/05 $ 6,995 $ 6,995 South Coast Local Education Agencies, Series 2004, TRAN, 3.00%, 6/30/05 10,000 10,075 State of California TRAN, Series 2004 L71J-Reg D, Lehman Trust Receipts, (1) 2.05%, 1/7/05 20,000 20,000 SunAmerica Pooled Puttable Floating Option Tax-Exempt Receipts, Series 2001-1 (AMT), Class A Certificates (FHLMC Gtd.), (1) 2.07%, 1/07/05 36,050 36,050 Western Placer Unified School District COP, Series 2003 (Bank of America LOC), 2.03%, 1/7/05 5,575 5,575 Windsor Multifamily Housing Revenue Bonds, Series 1995A (AMT), Oakmont at Windsor Project (FNMA LOC), 2.02%, 1/7/05 4,015 4,015 -------- -------- 925,408 -------- -------- FLORIDA - 0.0% Brevard County, Florida Health Center Facility Revenue Bonds, Series 2003, Health First Incorporated Project (Sun Trust Bank LOC), 2.22%, 1/3/05 400 400 -------- -------- TOTAL MUNICIPAL INVESTMENTS (COST $925,808) 925,808 -------- -------- TOTAL INVESTMENTS - 100.0% (COST $925,808) (2) $925,808
MONEY MARKET FUNDS 10 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) At December 31, 2004, the California Municipal Money Market Fund's investments were diversified as follows:
INDUSTRY SECTOR PERCENTAGE ----------------------------------------------- ---------- Air, Water Services & Solid Waste Management 6.3% Educational Services 5.9 Executive, Legislative & General Government 22.1 Gas & Electrical Services & Combined Utilities 6.2 Housing Programs 17.8 Real Estate 6.9 Urban & Community Development 11.1 All other sectors less than 5% 23.7 ------- Total 100.0%
(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2004, the value of these securities amounted to approximately $320,071,000 or 34.6% of total investments. (2) The cost for federal income tax purposes was $925,808. MONEY MARKET FUNDS 11 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the total investments. Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate. Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities. EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS ABAG Association of Bay Area Governments Assurance Corp. AMBAC American Municipal Bond Assurance Corporation AMT Alternative Minimum Tax Colld. Collateralized FGIC Financial Guaranty Insurance Corporation FHLB Federal Home Loan Bank FHLMC Freddie Mac FNMA Fannie Mae FSA Financial Security Assurance G.O. General Obligation Gtd. Guaranteed HFA Housing Finance Authority IDA Industrial Development Authority IDR Industrial Development Revenue LOC Letter of Credit MBIA Municipal Bond Insurance Association MERLOTS Municipal Exempt Receipts Liquidity Optional Tender PCR Pollution Control Revenue P-Floats Puttable Floating Rate Security RAN Revenue Anticipation Note MONEY MARKET FUNDS 12 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION CALIFORNIA MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) ROCS Reset Option Certificates TRAN Tax and Revenue Anticipation Notes VRD Variable Rate Demand VRDB Variable Rate Demand Bonds XLCA XL Capital Assurance MONEY MARKET FUNDS 13 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- ASSET-BACKED NOTES - 1.1% AUTO RECEIVABLES - 0.0% Wachovia Auto Owner Trust, Series 2004-A, Class A1, 1.57%, 6/20/05 1,287 1,287 -------- -------- INTERNATIONAL RECEIVABLES - 1.1% Permanent Financing PLC, Series 5, Class 1A, FRN, 2.35%, 1/10/05 38,000 38,000 Series 6, Class 1A, FRN, 2.34%, 1/10/05 40,000 40,000 -------- -------- 78,000 -------- -------- OTHER RECEIVABLES - 0.0% CIT Equipment Collateral Trust, Series 2004-VT1, Class A1, 1.12%, 3/20/05 619 619 -------- -------- TOTAL ASSET-BACKED NOTES (COST $79,906) 79,906 -------- -------- CERTIFICATES OF DEPOSIT - 21.0% DOMESTIC CERTIFICATES OF DEPOSIT - 0.4% Marshall & llsley Bank, 2.50%, 3/29/05 13,000 12,999 2.51%, 3/29/05, FRN 14,000 13,994 -------- -------- 26,993 -------- -------- FOREIGN CERTIFICATES OF DEPOSIT - 20.6% Alliance & Leicester, London Branch, 1.94%, 2/28/05 10,000 10,000 2.30%, 5/9/05 10,000 10,000 Australia & New Zealand Bank, New York Branch, 1.36%, 2/14/05 15,000 14,999 Banco Bilbao Viscaya Argentaria, London Branch, 1.94%, 2/25/05 10,000 10,000 1.94%, 2/28/05 20,000 19,999 Bank of Nova Scotia, New York Branch, FRN, 2.35%, 1/28/05 50,000 49,996 2.36%, 1/28/05 20,000 19,999 Banque Paribas, New York Branch, FRN, 2.13%, 2/8/05 16,000 15,999 Barclays Bank, London Branch, 1.90%, 2/25/05 53,000 53,000 Barclays Bank, New York Branch, FRN, 2.32%, 1/11/05 15,000 14,999 2.33%, 1/15/05 19,000 18,994 2.35%, 1/24/05 50,000 49,997 2.57%, 1/25/05 25,000 24,996 2.45%, 1/26/05 15,000 14,999 2.35%, 1/31/05 37,000 36,996 BNP Paribas, London Branch, 2.16%, 6/7/05 20,000 19,999
MONEY MARKET FUNDS 1 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CERTIFICATES OF DEPOSIT - 21.0% - CONTINUED FOREIGN CERTIFICATES OF DEPOSIT - 20.6% - (CONTINUED) BNP Paribas, New York Branch, 1.34%, 2/7/05 20,000 19,999 1.36%, 2/14/05 30,000 29,999 2.27%, 2/23/05, FRN, 36,000 35,998 2.47%, 3/24/05, FRN, 19,000 18,999 CAYLON, London Branch, 1.98%, 3/7/05 15,000 15,000 CIBC, New York Branch, FRN, 2.22%, 1/4/05 30,000 29,999 Credit Suisse First Boston, New York Branch, 2.08%, 1/10/05, FRN, 8,400 8,400 2.36%, 2/22/05, FRN, 34,000 34,006 2.15%, 6/8/05 15,000 15,000 Fortis Bank, New York Branch, 1.94%, 2/28/05 25,000 24,999 HBOS Treasury Services, London Branch, 1.91%, 2/28/05 60,000 60,000 2.31%, 5/5/05 21,000 21,000 HBOS Treasury Services, New York Branch, 1.27%, 1/10/05 14,000 14,000 ING Bank, London Branch, 1.37%, 2/7/05 15,000 14,999 Lloyds Bank, New York Branch, FRN, 2.00%, 1/25/05 9,000 8,994 2.29%, 2/25/05 11,000 10,999 2.31%, 3/1/05 10,000 9,994 2.45%, 3/29/05 35,000 34,995 Monte Dei Paschi di Siena, London Branch, 2.02%, 1/12/05 19,000 19,000 National Australia Bank, London Branch, 1.28%, 4/5/05 31,000 31,000 Nordea Bank, New York Branch, FRN, 2.30%, 2/28/05, 15,000 14,998 2.40%, 3/14/05, 20,000 19,985 Nordea Bank Finland, New York Branch, 2.35%, 1/31/05, FRN 10,000 9,998 1.34%, 2/7/05 10,000 10,000 1.36%, 2/14/05 20,000 19,999 Rabobank Nederland, New York Branch, FRN, 2.45%, 3/24/05 35,000 34,997 Royal Bank of Canada, New York Branch, FRN, 2.33%, 1/18/05 19,000 18,994 2.35%, 1/31/05 50,000 49,998 Royal Bank of Scotland, New York Branch, FRN, 2.29%, 1/10/05 50,000 49,992 2.35%, 3/7/05 20,000 19,991 2.46%, 3/30/05 20,000 19,988
MONEY MARKET FUNDS 2 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CERTIFICATES OF DEPOSIT - 21.0% - CONTINUED FOREIGN CERTIFICATES OF DEPOSIT - 20.6% - (CONTINUED) Societe Generale, London Branch, 2.38%, 5/11/05 25,000 25,000 2.61%, 6/6/05 40,000 40,000 2.16%, 6/7/05 15,000 15,000 Societe Generale, New York Branch, FRN, 2.48%, 3/30/05 25,000 24,999 Toronto Dominion Bank, New York Branch, 1.28%, 4/5/05 10,000 9,999 2.30%, 5/3/05 45,000 45,000 2.30%, 5/9/05 30,000 30,000 2.20%, 6/10/05 12,000 12,000 UBS AG, Stamford Branch, 2.34%, 3/8/05, FRN 40,000 39,980 2.53%, 8/9/05 17,000 17,000 Unicredito Italiano, London Branch, 1.97%, 2/10/05 16,000 15,999 2.43%, 3/14/05 35,000 35,000 -------- --------- 1,421,269 -------- --------- TOTAL CERTIFICATES OF DEPOSIT (COST $1,448,262) 1,448,262 -------- --------- COMMERCIAL PAPER - 22.9% AUTO RECEIVABLES - 4.0% FCAR1, Owner Trust, 1.91%, 2/15/05 15,000 14,964 2.01%, 3/3/05 20,000 19,932 2.00%, 3/7/05 18,000 17,935 2.14%, 3/15/05 30,000 29,869 Ford Credit Floorplan Master Owner Trust A, Motown Funding LLC, Series 2002-1, (1) 2.18%, 1/7/05 30,000 29,989 2.38%, 1/24/05 75,000 74,886 2.35%, 2/2/05 15,000 14,969 2.40%, 2/10/05 29,000 28,922 2.42%, 2/17/05 44,000 43,860 -------- --------- 275,326 -------- --------- CREDIT CARD MASTER TRUSTS - 4.4% Capital One Multi Execution Trust, (1) 2.23%, 1/13/05 15,000 14,988 2.24%, 1/19/05 10,000 9,988 Citibank Credit Card Master Trust, Dakota Certificates, 2.34%, 1/7/05 25,000 24,990 2.18%, 1/10/05 35,000 34,980 2.22%, 1/18/05 15,000 14,984 2.36%, 2/3/05 30,000 29,934 2.36%, 2/4/05 15,000 14,966 2.31%, 2/7/05 25,000 24,941
MONEY MARKET FUNDS 3 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- COMMERCIAL PAPER - 22.9% - CONTINUED CREDIT CARD MASTER TRUSTS - 4.4% -(CONTINUED) MBNA Credit Card Master Trust, Emerald Certificates, (1) 2.08%, 1/5/05 30,000 29,993 2.27%, 1/19/05 17,000 16,981 2.36%, 2/9/05 25,000 24,936 2.39%, 2/16/05 25,000 24,923 2.41%, 2/22/05 40,000 39,859 -------- -------- 306,463 -------- -------- FOREIGN DEPOSITORY INSTITUTIONS - 2.3% Banco Santander Central Hispano, 2.08%, 3/22/05 40,000 39,815 2.55%, 6/1/05 75,000 74,199 2.54%, 6/2/05 14,000 13,849 Northern Rock, 2.13%, 2/3/05 15,000 14,971 SwedBank Inc., 2.61%, 6/2/05 20,000 19,780 -------- -------- 162,614 -------- -------- INTERNATIONAL RECEIVABLES - 0.3% Bills Securitization Ltd., 1.89%, 2/18/05 17,000 16,957 -------- -------- MULTI-SELLER CONDUITS - 5.2% Amstel Funding Corp., 1.89%, 1/31/05 18,000 17,972 1.94%, 2/14/05 20,000 19,952 2.39%, 3/7/05 10,000 9,956 2.00%, 3/17/05 30,000 29,875 2.10%, 3/29/05 18,000 17,909 Corporate Receivables Corp., 2.07%, 1/5/05 14,000 13,996 Edison Asset Securitization Corp., 2.00%, 3/15/05 55,000 54,777 Eiffel Funding LLC, 2.10%, 1/5/05 20,000 19,995 2.08%, 1/25/05 (1) 62,936 62,848 Legacy Capital LLC, 2.29%, 2/15/05 7,000 6,980 2.03%, 3/4/05 16,000 15,994 Lexington Parker Capital, 2.24%, 1/4/05, FRN 20,000 20,000 2.34%, 1/14/05, FRN 13,000 13,000 2.07%, 1/25/05 10,000 9,986 1.98%, 3/1/05 (1) 40,000 39,870 Sheffield Receivables Corp., FRN 2.37%, 1/25/05 6,000 6,000 -------- -------- 359,110 -------- -------- NONDEPOSITORY PERSONAL CREDIT - 0.6% General Electric Capital Corp., 1.99%, 3/8/05 45,000 44,836 -------- --------
MONEY MARKET FUNDS 4 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- COMMERCIAL PAPER - 22.9% - CONTINUED OTHER RECEIVABLES - 0.7% Thornburg Mortgage Capital Resources, 2.32%, 1/4/05 17,000 16,996 2.42%, 1/18/05 32,000 31,963 -------- --------- 48,959 -------- --------- STRUCTURED INVESTMENT VEHICLES - 5.4% CC USA Inc., 2.02%, 3/10/05 25,000 24,905 Dorada Finance, Inc., 2.14%, 2/1/05 14,000 13,974 Grampian Funding Ltd., 2.43%, 3/16/05 44,000 43,780 2.66%, 6/17/05 32,000 31,605 2.68%, 6/20/05 25,000 24,684 Mane Funding Corp., 2.22%, 1/18/05 5,000 4,995 2.06%, 1/19/05 25,000 24,974 Sigma Finance, Inc., 1.97%, 1/4/05 56,000 55,991 Solitaire Funding LLC, 2.07%, 1/21/05 15,000 14,983 2.47%, 3/17/05 25,000 24,871 Surrey Funding Corp., 2.07%, 1/20/05 13,000 12,986 2.13%, 2/2/05 13,000 12,975 2.13%, 2/3/05 22,000 21,957 White Pine Finance LLC, 2.24%, 1/3/05, FRN 15,000 15,000 2.35%, 1/18/05, FRN 18,000 17,999 2.37%, 1/20/05, FRN 6,000 6,000 2.04%, 3/22/05 20,212 20,120 -------- --------- 371,799 -------- --------- TOTAL COMMERCIAL PAPER (COST $1,586,064) 1,586,064 -------- --------- CORPORATE NOTES/BONDS - 20.6% BANK HOLDING COMPANIES - 0.4% JP Morgan Chase & Co., FRN, 2.61%, 2/24/05 26,000 26,012 -------- --------- DOMESTIC DEPOSITORY INSTITUTIONS - 3.7% American Express Bank, FRN, 2.38%, 1/31/05 10,000 9,999 American Express Centurion Bank, FRN, 2.35%, 1/12/05 27,000 27,000 2.38%, 1/25/05 15,000 14,999 Bank One N.A., FRN, 2.20%, 2/3/05 47,000 47,001 2.48%, 3/14/05 15,000 15,001 National City Bank, Cleveland, FRN, 2.21%, 1/4/05 14,000 13,996 2.36%, 1/19/05 16,000 15,999 2.19%, 2/9/05 13,000 13,001 2.26%, 2/22/05 27,000 26,998
MONEY MARKET FUNDS 5 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE NOTES/BONDS - 20.6% - CONTINUED DOMESTIC DEPOSITORY INSTITUTIONS - 3.7% - (CONTINUED) SunTrust Bank, FRN, 2.02%, 1/4/05, 25,000 25,004 U.S. Bank, N.A., 1.27%, 1/10/05 15,000 15,000 2.44%, 3/7/05, FRN 30,000 30,008 -------- -------- 254,006 -------- -------- FOREIGN DEPOSITORY INSTITUTIONS - 1.7% HBOS Treasury Services PLC, FRN, (1) 2.17%, 1/31/05 20,000 20,009 2.49%, 3/10/05 8,000 8,003 Nationwide Building Society, FRN, (1) 2.58%, 3/28/05 20,000 20,000 Royal Bank of Canada, FRN, 2.38%, 1/10/05 24,000 24,000 UBS AG Stamford CT., FRN, 2.42%, 3/22/05 28,000 27,985 Westpac Banking Corp., FRN, 2.45%, 3/11/05 15,000 14,999 -------- -------- 114,996 -------- -------- INSURANCE CARRIERS - 1.7% Allstate Life Global Funding II, FRN, (1) 2.45%, 1/18/05 25,000 24,999 ASIF Global Financing XV, FRN, (1) 2.60%, 3/2/05 44,000 44,061 MET Life GIC Backed, FRN, (1) 2.44%, 1/18/05 50,000 49,999 -------- -------- 119,059 -------- -------- NONDEPOSITORY BUSINESS CREDIT - 0.3% CIT Group, Inc., FRN, 2.56%, 1/31/05 24,500 24,563 -------- -------- NONDEPOSITORY PERSONAL CREDIT - 3.1% American Express Credit, FRN, 2.41%, 1/18/05 10,000 10,002 American Honda Finance Corp., FRN, (1) 2.14%, 2/4/05 10,000 9,999 General Electric Capital Corp., FRN, 2.47%, 1/4/05 50,000 50,009 2.46%, 1/10/05 35,000 35,016 2.30%, 2/3/05 19,000 19,003 2.62%, 3/15/05 42,050 42,066 SLM Corp., FRN, (1) 2.31%, 1/4/05 50,000 50,000 -------- -------- 216,095 -------- -------- SECURITY AND COMMODITY BROKERS - 6.7% Bear Stearns, FRN, 2.35%, 1/5/05 20,000 20,000 Goldman Sachs Group, Inc., 2.08%, 3/16/05 85,000 85,000 2.17%, 3/28/05 20,000 20,000 2.29%, 4/27/05 27,000 27,000
MONEY MARKET FUNDS 6 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- CORPORATE NOTES/BONDS - 20.6% - CONTINUED SECURITY AND COMMODITY BROKERS - 6.7% - (CONTINUED) Lehman Brothers Holdings, 2.19%, 1/22/05, FRN 8,000 8,005 2.48%, 1/24/05 80,000 80,000 Merrill Lynch & Co., MTN, FRN, 2.33%, 1/4/05 40,000 40,000 2.54%, 1/11/05 35,000 35,025 2.30%, 1/28/05 8,000 8,005 2.51%, 2/23/05 16,000 16,012 2.87%, 3/14/05 10,000 10,018 Morgan Stanley & Co., FRN, 2.40%, 1/18/05 22,000 22,000 2.46%, 1/27/05 92,800 92,800 -------- --------- 463,865 -------- --------- STUCTURED INVESTMENT VEHICLES - 2.9% Beta Finance, Inc., MTN, FRN, (1) 2.33%, 1/20/05 38,000 37,993 2.01%, 1/18/05 39,000 38,998 2.40%, 2/28/05 20,000 20,006 CC USA Inc., MTN, FRN, (1) 2.36%, 1/10/05 19,000 19,003 2.38%, 1/18/05 30,000 30,002 2.26%, 2/22/05 25,000 24,998 Dorada Finance, Inc., FRN, (1) 2.39%, 1/1/05 15,000 15,000 2.21%, 2/14/05 12,000 11,998 -------- --------- 197,998 -------- --------- TRANSPORTATION EQUIPMENT - 0.1% American Honda Finance, FRN, (1) 2.40%, 2/22/05 10,000 10,007 -------- --------- Total Corporate Notes/Bonds (cost $1,426,601) 1,426,601 -------- --------- EURODOLLAR TIME DEPOSITS - 10.0% DOMESTIC DEPOSITORY INSTITUTIONS - 0.5% Bank of America, Grand Cayman, 2.65%, 6/14/05 20,000 20,000 Citibank, London, 2.39%, 3/7/05 20,000 20,000 -------- --------- 40,000 FOREIGN DEPOSITORY INSTITUTIONS - 9.5% Banco Popular Espanol, Madrid, 2.05%, 3/10/05 10,000 10,000 2.02%, 3/21/05 25,000 25,000 Barclays Bank, Global Treasury Services, London, 2.41%, 3/8/05 13,000 13,000 BNP Paribas, Paris, 2.28%, 1/3/05 100,000 100,000 Dexia Bank Belgium, Brussels, 2.00%, 3/7/05 20,000 20,000
MONEY MARKET FUNDS 7 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- EURODOLLAR TIME DEPOSITS - 10.0% - CONTINUED FOREIGN DEPOSITORY INSTITUTIONS - 9.5% - (CONTINUED) HBOS Treasury Services, London, 2.28%, 1/3/05 50,000 50,000 2.02%, 3/9/05 15,000 15,000 ING Bank, Amsterdam, 2.40%, 3/7/05 22,000 22,000 ING Belgium, Brussels, 2.44%, 1/3/05 90,000 90,000 Lloyds Bank, London, 2.04%, 3/10/05 25,000 25,000 Natexis Banques Populaires, Grand Cayman, 2.35%, 1/4/05 100,000 100,000 Societe Generale, Grand Cayman, 2.32%, 1/3/05 185,000 185,000 -------- -------- 655,000 -------- -------- TOTAL EURODOLLAR TIME DEPOSITS (COST $695,000) 695,000 -------- -------- MUNICIPAL INVESTMENTS - 1.9% ADMINISTRATION OF ENVIRONMENTAL AND HOUSING - 0.2% State of Texas G.O. Taxable, VRN, Veteran's Land Refunding Bonds, 2.40%, 1/7/05 14,960 14,960 -------- -------- BUSINESS SERVICES - 0.4% Bonbright Distributors, Inc. VRDN, 2.48%, 1/7/05 3,550 3,550 FBC Chemical Corp. Taxable VRDN, Series 2000 (National City Bank LOC), 2.48%, 1/7/05 2,760 2,760 JCM Properties, L.P. VRDN, Series 1998, 2.48%, 1/7/05 2,015 2,015 Malone College Project Taxable VRDN (National City Bank LOC), 2.48%, 1/7/05 2,025 2,025 Mubea, Inc. Project Taxable VRDN, Series 1998, 2.55%, 1/7/05 4,400 4,400 Schreiber Industrial Park - North Co. Taxable VRDN, Series 1997, 2.48%, 1/7/05 4,545 4,545 Smith Clinic Project Taxable VRDN, Series 2000, 2.48%, 1/7/05 5,140 5,140 -------- -------- 24,435 -------- -------- DOMESTIC DEPOSITORY INSTITUTIONS - 0.1% Mubea, Inc. Project Taxable VRDN, Series 1999, 2.12%, 1/7/05 3,000 3,000 -------- --------
MONEY MARKET FUNDS 8 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 1.9% - CONTINUED ENGINEERING ACCOUNTING - 0.1% California PCR Environmental Improvement Taxable CP, Series 1997, Browning Ferris Project, 2.38%, 2/4/05 10,000 10,000 -------- -------- EXECUTIVE, LEGISLATIVE & GENERAL - 0.5% Cook County, Illinois, G.O. Taxable Bonds, Series 2002A, 2.44%, 1/7/05 16,500 16,500 Cook County, Illinois, G.O. Taxable Bonds, Series 2004D, 2.44%, 1/7/05 10,000 10,000 State of Michigan Taxable Bonds, Series 2004B, 2.85%, 8/10/05 6,930 6,930 State of Texas G.O. Taxable Refunding Bonds, Series B, 2.42%, 1/7/05 2,600 2,600 -------- -------- 36,030 -------- -------- HEALTH SERVICES - 0.4% Healthcare Network Properties, LLC Loan Program VRN, Series 1999A (National City Bank LOC), 2.44%, 1/7/05 17,750 17,750 Integris Health, Inc. Taxable VRDB, Baptist Medical Plaza Association, 2.55%, 1/7/05 12,060 12,060 -------- -------- 29,810 -------- -------- MEMBERSHIP ORGANIZATIONS - 0.1% American Association of Retired Persons VRDN, 2.40%, 1/7/05 3,100 3,100 -------- -------- REAL ESTATE - 0.0% Wilmington Pike LLC Project Taxable VRDN, Series 2000, 2.48%, 1/7/05 2,980 2,980 -------- -------- WHOLESALE TRADE - DURABLE GOODS - 0.1% Jackson County, Georgia, IDA, Taxable Revenue Bonds, Series 2002, John W. Rooker, LLC Project, 2.40%, 1/7/05 5,860 5,860 -------- -------- TOTAL MUNICIPAL INVESTMENTS (COST $130,175) 130,175 -------- -------- U.S. GOVERNMENT AGENCIES - 5.6% (2) FANNIE MAE - 3.6% FNMA Discount Notes, 2.04%, 1/3/05 26,703 26,700 2.29%, 4/1/05 15,000 14,914 2.19%, 4/20/05 30,000 29,801 FNMA FRN, 2.08%, 2/7/05 60,000 59,952 2.33%, 3/9/05 70,000 69,960 FNMA Note, 1.55%, 5/4/05 50,000 50,000 -------- -------- 251,327 -------- --------
MONEY MARKET FUNDS 9 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 5.6% - (2) CONTINUED FEDERAL HOME LOAN BANK - 1.6% FHLB FRN, 1.96%, 1/5/05 35,000 35,000 FHLB Notes, 1.50%, 2/28/05 25,000 25,000 1.45%, 3/11/05 18,000 17,999 FHLB Discount Notes, 2.24%, 5/4/05 20,000 19,846 2.25%, 5/6/05 10,000 9,922 -------- --------- 107,767 -------- --------- FREDDIE MAC - 0.4% FHLMC Discount Note, 2.19%, 4/19/05 25,206 25,040 -------- --------- TOTAL U.S. GOVERNMENT AGENCIES (COST $384,134) 384,134 -------- --------- REPURCHASE AGREEMENTS - 16.9% (COLLD. AT A MINIMUM OF 102% BY U.S. TREASURY BONDS/NOTES) JOINT REPURCHASE AGREEMENTS - 1.3% Bank of America Securities LLC, dated 12/31/04 repurchase price $29,801 1.60%, 1/3/05 29,797 29,797 Morgan Stanley & Co., dated 12/31/04 repurchase price $19,867 1.50%, 1/3/05 19,865 19,865 Societe Generale - New York Branch, dated 12/31/04, repurchase price $9,934 1.60%, 1/3/05 9,933 9,933 UBS Securities LLC, dated 12/31/04, repurchase price $29,801 1.60%, 1/3/05 29,797 29,797 -------- --------- 89,392 -------- --------- (COLLD. AT A MINIMUM OF 102% BY U.S. TREASURY BONDS/NOTES) REPURCHASE AGREEMENTS - 15.6% Bank of America N.A., dated 12/31/04, repurchase price $250,016 2.29%, 1/3/05 250,000 250,000 Bank of America Securities LLC, dated 12/31/04, repurchase price $75,005 2.32%, 1/3/05 75,000 75,000 Bear Stearns Inc., dated 12/31/04 repurchase price $100,011 2.35%, 1/3/05 100,000 100,000 Goldman Sachs & Co., Inc., dated 12/31/04 repurchase price $250,016 2.33%, 1/3/05 250,000 250,000 Lehman Brothers Inc., dated 12/31/04 repurchase price $200,659 2.33%, 1/3/05 200,646 200,646 Merrill Lynch, dated 12/31/04 repurchase price $100,006 2.32%, 1/3/05 100,000 100,000 UBS Securities LLC, dated 12/31/04 repurchase price $100,006 2.29%, 1/3/05 100,000 100,000 -------- --------- 1,075,646 -------- --------- TOTAL REPURCHASE AGREEMENTS (COST $1,165,038) 1,165,038 -------- --------- TOTAL INVESTMENTS - 100.0% (COST $6,915,180) (3) 6,915,180
MONEY MARKET FUNDS 10 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) (1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2004, the value of these securities amounted to approximately $892,087,000 or 12.9% of total investments. (2) The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury. (3) The cost for federal income tax purposes was $6,915,180. With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the total investments. Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate. Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities. EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS CP Commercial Paper FHLB Federal Home Loan Bank FHLMC Freddie Mac FNMA Fannie Mae FSA Financial Security Assurance FRN Floating Rate Notes G.O. General Obligation IDA Industrial Development Authority LOC Letter of Credit MTN Medium Term Notes PCR Pollution Control Revenue VRDN Variable Rate Demand Notes VRN Variable Rate Notes MONEY MARKET FUNDS 11 NORTHERN FUNDS QUARTERLY REPORTS MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% ALABAMA - 0.3% Eutaw Industrial Development Board Pollution Control VRDB, Green County Project (Mississippi Power Co. Gtd.), 2.20%, 1/3/05 6,550 6,550 Mobile Spring Hill College VRDB, Series 2004B, Spring Hill College Project (Regions Bank LOC), 2.00%, 1/7/05 5,200 5,200 --------- ------- 11,750 --------- ------- ALASKA - 0.2% Alaska International Airports Revenue VRDB, Series 1999-I (AMT), Wachovia MERLOTS (AMBAC Insured), (1) 2.11%, 1/7/05 3,750 3,750 Anchorage Higher Education Revenue Refunding Bonds VRDB, Series 1993, Alaska Pacific University (Bank of America LOC), 2.05%, 1/7/05 3,090 3,090 --------- ------- 6,840 --------- ------- ARIZONA - 0.6% Apache County IDA VRDN, Series 1996 (AMT), Imperial Components Inc. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 900 900 Arizona Health Facilities Authority Revenue Bonds, Series 1985, Pooled Loan Program (FGIC Insured), 2.00%, 1/7/05 2,155 2,155 Maricopa County IDA SFM Revenue Bonds, Series 2001-2B (AMT), First Union MERLOTS Series 2001-A126 (Colld. By Maricopa County IDA SFMR), (1) 2.11%, 1/7/05 640 640 Mesa Arizona Industrial Development Authority VRDB, Series 1999B, Discovery Health (MBIA Insured), 1.99%, 1/7/05 1,635 1,635 Northern Arizona Capital Facilities Finance VRDB, Series 2001A, Northern Arizona University Project Corporate Student Housing (Wachovia Bank LOC), 2.07%, 1/7/05 7,000 7,000 Phoenix Civic Improvement Corp. Water System Revenue BAN, Series 2003B, (Dexia Credit LOC), 1.50%, 3/10/05 1,400 1,400 Phoenix IDA SFM, Series 2001-2A (AMT), Merrill Lynch P-Floats PT-1344, (1) 2.04%, 1/7/05 2,610 2,610
MONEY MARKET FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ARIZONA - 0.6% - (CONTINUED) Salt River Project System Revenue Refunding Bonds, Citicorp Eagle Trust Series 2002A, (1) 2.04%, 1/7/05 8,000 8,000 Yuma Arizona Industrial Development Authority Multifamily, Series 2003, Encanto Apartments Project (FNMA LOC), 2.00%, 1/7/05 635 635 --------- ------- 24,975 --------- ------- ARKANSAS - 0.4% Arkansas Development Finance Authority VRDB, Series 2000 (AMT), ENSCO, Inc. Project (Wachovia Bank LOC), 2.04%, 1/7/05 7,000 7,000 Benton County Public Facilities Board VRDB, Series 2002 (AMT), Bentonville Apartments (FHLMC Gtd.), 2.03%, 1/7/05 9,500 9,500 --------- ------- 16,500 --------- ------- CALIFORNIA - 1.6% California Pollution Control Finance Authority PCR Bonds, Series 1997B (AMT), Pacific Gas and Electric (JPMorgan Chase Bank LOC), 2.22%, 1/3/05 200 200 California Pollution Control Finance Authority San Diego Gas and Electric, Series 1999, Merrill Lynch P-Floats PA-538R (MBIA Insured), (1) 2.04%, 1/7/05 18,860 18,860 Contra Costa County Multifamily Housing VRDB, Series 2003B (AMT), Creekview Apartments (FHLMC LOC), 2.02%, 1/7/05 14,500 14,500 Emeryville Redevelopment Agency VRDB, Series 2002A (AMT), Bay Street Apartments (Key Bank LOC), 2.00%, 1/7/05 18,000 18,000 San Jose Multifamily Housing VRDB, Series 2002H (AMT), Evans Land Apartments (Bank of America LOC), 1.98%, 1/7/05 2,500 2,500 SunAmerica Pool Multifamily FMAC (AMT), Series 2001-1, Class A Certificate, (FHLMC Gtd.), (1) 2.07%, 1/7/05 10,435 10,435 --------- ------- 64,495 --------- ------- COLORADO - 2.7% Castle Pines North Metropolitan District VRDB, Series 1999, Limited Tax G.O. Bonds (U.S. Bank LOC), 2.07%, 1/7/05 2,195 2,195
MONEY MARKET FUNDS 2 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) COLORADO - 2.7% - (CONTINUED) City of Greenwood Village VRDB, Series 2003, Fiddlers Business Improvement District (U.S. Bank LOC), 2.05%, 1/7/05 3,000 3,000 Colorado Education & Cultural Facilities Authority, Series 2000, Vail Mountain School Project (KeyBank LOC), 2.05%, 1/7/05 5,000 5,000 Colorado Education & Cultural Facilities Authority, Series 2001, Denver Museum Project (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 3,500 3,500 Colorado HFA Economic Development Revenue Bonds (AMT), Metal Sales Manufacturing Corp. Project (U.S. Bank LOC), 2.13%, 1/7/05 1,000 1,000 Colorado HFA Economic Development Revenue Bonds (AMT), Walker Manufacturing Co. Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 3,165 3,165 Colorado HFA Revenue Bonds (AMT), First Union MERLOTS Series 2002A6 (MBIA Insured), (1) 2.11%, 1/7/05 6,995 6,995 Colorado HFA Revenue Bonds (AMT), Genesis Innovations LLC (JPMorgan Chase Bank LOC), 2.34%, 1/7/05 1,675 1,675 Colorado HFA SFM Revenue Bonds, First Union MERLOTS Series 2001-A2 (AMT), (1) 2.11%, 1/7/05 2,985 2,985 Colorado HFA SFM Revenue Bonds, Series 2001C2, Roaring Fork Trust Receipts Series 2001-6A, (1) 2.14%, 1/7/05 6,700 6,700 Denver Airport System Revenue VRDB, Series 2000A (AMT), Merrill Lynch P-Floats PA-763 (AMBAC Insured), (1) 2.08%, 1/7/05 4,995 4,995 Denver Airport System Revenue VRDB, Series 2002C (AMT), Airport Revenue Refunding Bonds (Societe Generale LOC), 2.05%, 1/7/05 18,300 18,300 Denver Single Family VRDB, Series 2004A (AMT), Draw Down (General Electric Capital Corp. Gtd.), 2.38%, 1/25/05 23,292 23,292 Eagle County Metropolitan District VRDB, Series 1999B, Eagle Ranch Golf Course Enterprise (Fleet National Bank LOC), 2.05%, 1/7/05 6,580 6,580
MONEY MARKET FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) COLORADO - 2.7% - (CONTINUED) Summit County Recreational Facilities Revenue Bond, Series 1992, Copper Mountain (Bank of Nova Scotia LOC), 2.10%, 1/7/05 10,425 10,425 Summit County School District No. 1 TAN, Series 2004, 2.00%, 6/30/05 7,000 7,017 --------- ------- 106,824 --------- ------- DELAWARE - 0.6% Delaware EDA VRDB, Series 1998A (AMT), Solid Waste Disposal & Sewer (Ciba Specialty Corp. Gtd.), 2.23%, 1/3/05 9,350 9,350 New Castle County Airport Revenue Bonds, Series 2002 (AMT), Flightsafety International, Inc. Project (Berkshire Hathaway, Inc. Gtd.), 2.02%, 1/7/05 16,615 16,615 --------- ------- 25,965 --------- ------- DISTRICT OF COLUMBIA - 0.8% District of Columbia Multifamily Housing Finance Agency, Merrill Lynch P-Floats PT-2391 (Merrill Lynch & Co. Gtd.), (1) 2.12%, 1/7/05 4,310 4,310 District of Columbia Metropolitan Airport Authority Revenue Bonds (AMT), Citigroup ROCS No. 54 (MBIA Insured), (1) 2.14%, 1/7/05 2,495 2,495 District of Columbia Revenue Bonds, Henry J. Kaiser Foundation (Kaiser Family Foundation Gtd.), 2.03%, 1/7/05 10,100 10,100 District of Columbia Revenue Bonds, Series 1998, Lowell School, Inc. Project (Wachovia Bank LOC), 2.04%, 1/7/05 3,665 3,665 District of Columbia Water & Sewer Authority VRDB, Series 1998, Citibank Eagle Trust 985201 (FSA Corp. Insured), (1) 2.04%, 1/7/05 3,300 3,300 District of Columbia Water & Sewer Revenue Bonds, Citicorp Eagle Trust 8121A (FSA Corp. Insured), (1) 2.04%, 1/7/05 7,590 7,590 --------- ------- 31,460 --------- ------- FLORIDA - 1.8% Capital Trust Agency - Air Cargo VRDB, Series 2004A (AMT), Aero Miami FX LLC Project (JPMorgan Chase Bank LOC), 2.05%, 1/7/05 8,400 8,400
MONEY MARKET FUNDS 4 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) FLORIDA - 1.8 - (CONTINUED) Dade County Special Obligation Refunding Bonds, Morgan Stanley Floating Rate Trust Certificates, Series 2000-415 (AMBAC Insured), (1) 1.15%, 3/3/05 8,995 8,995 Duval County Housing Revenue Bonds, Series 2003 (AMT), Camri Green Apartments (FNMA LOC), 2.03%, 1/7/05 3,000 3,000 Florida Board of Education Capital Outlay Revenue Bonds, Citicorp Eagle Trust Series 20000902, (1) 2.02%, 1/7/05 4,550 4,550 Florida Department of Juvenile Justice COP, First Union MERLOTS Series 2000-000 (MBIA Insured), (1) 2.06%, 1/7/05 5,875 5,875 Florida Higher Education Facilities Finance Authority VRDB, Series 2003, St. Thomas University Project (SunTrust Bank LOC), 2.22%, 1/3/05 60 60 Florida Housing Finance Corp. Revenue VRDB (AMT), Merrill Lynch P-Floats PT-451, Homeowner Mortgage Services (FSA Corp. Insured), (1) 2.07%, 1/7/05 1,820 1,820 Highlands County Health Facilities Authority VRDB, Series 1997A, Adventist Health System Sunbelt (SunTrust Bank LOC), 2.00%, 1/7/05 2,700 2,700 Hillsborough County Aviation Authority VRDB, Series 2003A, Wachovia MERLOTS Series 2003-A18 (MBIA Insured), (1) 2.11%, 1/7/05 3,975 3,975 Miami-Dade County HFA, Series 2002-8 (AMT), Ward Towers Assisted (Bank of America LOC), 2.05%, 1/7/05 1,700 1,700 Miami-Dade County IDA IDR, Series 2004 (AMT), Tarmac America Project (Bank of America LOC), 2.05%, 1/7/05 3,000 3,000 Orange County Health Facility Revenue Bonds, Morgan Stanley Floating Rate Trust Certificates Series 17, Adventist-Health (AMBAC Insured), (1) 2.09%, 1/7/05 9,345 9,345 Orange County Multifamily Housing VRDB, Series 1997, Palm Key Apartments Project (FHLMC LOC), 2.00%, 1/7/05 4,400 4,400
MONEY MARKET FUNDS 5 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) FLORIDA - 1.8 - (CONTINUED) Orlando Greater Aviation Authority VRDB, Series 2003A, Flightsafety International, Inc. Project (Berkshire Hathaway, Inc. Gtd.), 2.06%, 1/7/05 5,000 5,000 Pinellas County HFA VRDB, Series 2004, Alta Largo Apartments Project (Amsouth Bank Birmingham LOC), 2.07%, 1/7/05 5,000 5,000 Polk County IDA Revenue, Series 2004, Lifepath Hospice Project (SunTrust Bank LOC), 2.00%, 1/7/05 3,000 3,000 St. Lucie County IDA Revenue, Series 2000, Freedom Plastics Project (LaSalle Bank LOC), 2.06%, 1/7/05 2,000 2,000 --------- ------- 72,820 --------- ------- GEORGIA - 6.1% Atlanta Airport Authority Revenue Bonds (AMT), First Union MERLOTS Series 2000CCC (FGIC Insured), (1) 2.11%, 1/7/05 5,800 5,800 Atlanta Airport Authority Revenue (AMT), Wachovia MERLOTS Series 2004C14 (FSA Corp. Insured), (1) 2.11%, 1/7/05 4,000 4,000 Atlanta Urban Residential Finance Authority Revenue Bonds, Series 2000 (AMT), Carver Redevelopment Project (SunTrust Bank LOC), 2.06%, 1/7/05 1,200 1,200 Atlanta Urban Residential Authority VRDB, Series 2002A (AMT), Auburn Glenn Apartments (Wachovia Bank LOC), 2.04%, 1/7/05 4,900 4,900 Carollton County Housing Authority VRDB, Series 2003, Magnolia Lake Apartments (SunTrust Bank LOC), 2.06%, 1/7/05 11,920 11,920 Clayton County Development Authority VRDB, Delta Airlines Project (General Electric Capital Corp. LOC), Series 2000B (AMT), 2.05%, 1/7/05 18,300 18,300 Series 2000C (AMT), 2.05%, 1/7/05 39,355 39,355 Clayton County Housing Authority VRDB, Series 2003A, Forest Club Estates Project (FHLB of San Francisco LOC), 2.20%, 1/3/05 9,500 9,500
MONEY MARKET FUNDS 6 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) GEORGIA - 6.1 - (CONTINUED) Cobb County Housing Authority VRDB, Series 2003 (AMT), Woodchase Village Apartments (Regions Bank LOC), 2.06%, 1/7/05 4,000 4,000 De Kalb County Housing Authority VRDB, Series 2002A1 (AMT), Mountain Crest Apartments Project (SunTrust Bank LOC), 2.06%, 1/7/05 4,000 4,000 De Kalb County Multifamily Housing Authority VRDB, Series 2002 (AMT), Wesley Club Apartments (SunTrust Bank LOC), 2.06%, 1/7/05 3,000 3,000 De Kalb Private Hospital Authority VRDB, Series 1994B, Egleston Children's Hospital (SunTrust Bank LOC), 1.98%, 1/7/05 900 900 East Point Multifamily Housing Authority VRDB, Series 2004 (AMT), Village Highlands Apartments (SunTrust Bank LOC), 2.06%, 1/7/05 3,000 3,000 Gainesville & Hall County Development Authority VRDB (AMT), Sheperd Construction Co. Project (SunTrust Bank LOC), 2.11%, 1/7/05 2,000 2,000 Georgia Medical Center Hospital Authority VRDB, Series 2004, Spring Harbor at Green Island (HBOS Treasury Service LOC), 2.00%, 1/7/05 6,800 6,800 Georgia State G.O. VRDB, Eagle Trust Series 97C1001, (1) 2.04%, 1/7/05 15,500 15,500 Eagle Trust Series 97C1002, (1) 2.04%, 1/7/05 15,100 15,100 Eagle Trust Series 99D1002, (1) 2.04%, 1/7/05 24,280 24,280 Georgia State Ports Authority Bonds (AMT), Colonel Island Terminal Project (SunTrust Bank LOC), 2.06%, 1/7/05 3,710 3,710 Gwinnet County Development Authority IDR Bonds (AMT), CBD Management LLC Project (Wachovia Bank LOC), 2.09%, 1/7/05 2,100 2,100 Gwinnet County Housing Authority Revenue Bonds (AMT), Herrington Mill Apartments Project (SunTrust Bank LOC), 2.06%, 1/7/05 8,000 8,000 Gwinnet County Multifamily Housing VRDB, Series 1997, Post Chase Project (Colld. By FNMA), 2.00%, 1/7/05 5,500 5,500
MONEY MARKET FUNDS 7 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) GEORGIA - 6.1 - (CONTINUED) Haralson County Development Authority IDR Bonds, Series 1995 (AMT), Gold Kist, Inc. Project (Harris Trust & Savings LOC), 2.05%, 1/7/05 7,500 7,500 Kennesaw Development Authority VRDB, Series 2004 (AMT), Walton Ridenour Apartments (SunTrust Bank LOC), 2.06%, 1/7/05 5,000 5,000 Monroe County Development Authority PCR, Series 2002, Oglethorpe Power Corp. Project (MBIA Insured), 2.22%, 1/3/05 2,400 2,400 Richmond County Authority Revenue Anticipation Certificates, Series 2003, University Health Services Inc. Project (SunTrust Bank LOC), 2.00%, 1/7/05 4,400 4,400 Rockdale County Hospital Authority RAN, Series 2002, Rockdale Hospital (SunTrust Bank LOC), 2.00%, 1/7/05 7,965 7,965 Savannah EDA Revenue VRDN, Series 1997 (AMT), Georgia Kaolin Terminals (Bank of America LOC), 2.05%, 1/7/05 5,000 5,000 Smyrna Multifamily Housing Authority VRDB, Series 1996, Gardens Post Village Project (FNMA Gtd.), 2.00%, 1/7/05 6,950 6,950 Thomasville Hospital Authority Revenue Anticipation Certificates, Series 2003, JD Archibald Memorial Hospital Project (SunTrust Bank LOC), 2.00%, 1/7/05 5,400 5,400 Waleska Downtown Development Authority Revenue Bonds, Reinhardt College Project (Regions Bank of Alabama LOC), 2.03%, 1/7/05 3,600 3,600 Whitfield County IDA Revenue Bonds (AMT), H&S Whitting, Inc. Project (Bank of America LOC), 2.05%, 1/7/05 1,000 1,000 --------- ------- 242,080 --------- ------- HAWAII - 0.2% Hawaii Department of Finance VRDB, Series 2003D, Kahala Nui Project (LaSalle Bank LOC), 2.00%, 1/7/05 3,400 3,400 Hawaii State G.O. Bonds, Citicorp Eagle Trust 2000-1101 (FGIC Insured), (1) 2.04%, 1/7/05 6,000 6,000 --------- ------- 9,400 --------- -------
MONEY MARKET FUNDS 8 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) IDAHO - 0.5% Boise City Housing Authority VRDB, Series 2002B (AMT), Civic Plaza Housing Project (KeyBank LOC), 2.12%, 1/7/05 12,825 12,825 Idaho Housing and Financial Association SFM Revenue VRDB, Series 2004C, 1.80%, 1/1/05 8,000 8,000 --------- ------- 20,825 --------- ------- ILLINOIS - 12.4% Arlington Heights IDR Bonds, Series 1997 (AMT), 3E Graphics & Printing Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 1,975 1,975 Aurora IDR Bonds, Series 2001 (AMT), Kenson Industries, Inc. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 3,060 3,060 Bolingbrook Will-Dupage County Special Service Area 2 VRDB, Series 2001B, Bloomfield West Project (JPMorgan Chase Bank LOC), 2.10%, 1/7/05 2,000 2,000 Chicago Board of Education VRDB, Series 2000A, School Reform Board (FGIC Insured), (1) 2.09%, 1/7/05 6,200 6,200 Chicago Board of Education G.O. Bonds, Wachovia MERLOTS Series 2001-A47, School Reform (FGIC Insured), (1) 2.06%, 1/7/05 9,330 9,330 Chicago Board of Education G.O. Unlimited VRDB, Series A PA 616, School Reform Board (FGIC Insured), (1) 2.04%, 1/7/05 6,705 6,705 Chicago G.O. Project & Refunding Bonds, Series 1998M, Bank of America Partnership (FGIC Insured), (1) 2.09%, 1/7/05 15,000 15,000 Chicago G.O. Refunding VRDB, Series 1998, Citicorp Eagle Trust 981302 (FSA Corp. Insured), (1) 2.04%, 1/7/05 11,600 11,600 Chicago IDR Bonds, Series 1998 (AMT), Freedman Seating Co. Project (LaSalle Bank LOC), 2.08%, 1/7/05 3,160 3,160 Chicago IDR VRDB, Series 2001 (AMT), John Hofmeister & Sons (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 5,300 5,300
MONEY MARKET FUNDS 9 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ILLINOIS - 12.4% Chicago Meter Water District G.O. VRDB, Series 2002A, 1.97%, 1/7/05 16,200 16,200 Chicago Multifamily Housing Revenue VRDB (AMT), Churchview Supportive Living (Harris Trust & Savings LOC), 2.06%, 1/7/05 3,000 3,000 Chicago Multifamily Housing Revenue VRDB (AMT), Renaissance Center LP Project (Harris Trust & Savings Bank LOC), Series 1999A, 2.06%, 1/7/05 2,920 2,920 Series 1999B, 2.06%, 1/7/05 1,900 1,900 Chicago Multifamily Housing Revenue VRDB, Series 2004A, Central Station Project (FNMA LOC), 2.05%, 1/7/05 23,000 23,000 Chicago O'Hare International Airport Revenue VRDB, Series 2002 (AMT), O'Hare Technology Center II Project (LaSalle Bank LOC), 2.08%, 1/7/05 5,000 5,000 Chicago O'Hare International Airport Revenue VRDB, Series 2003 (AMT), Citigroup ROCS Series RR II R 239 (FSA Corp. Insured), (1) 2.08%, 1/7/05 5,200 5,200 Chicago Park District G.O. VRDB, Wachovia MERLOTS Series 2001-A61, Tax Park Project (FGIC Insured), (1) 2.06%, 1/7/05 7,110 7,110 Chicago Park District TAW, Series 2004, 3.00%, 5/2/05 10,000 10,047 Chicago School Reform Board G.O. VRDB, Series 1996, Bank of America (MBIA Insured), (1) 2.09%, 1/7/05 13,300 13,300 Chicago SFM Revenue Bonds, Series 1998C1 (AMT), Merrill Lynch P-Floats PT-233 (Merrill Lynch Capital Services SPA), (1) 2.08%, 1/7/05 1,380 1,380 Chicago SFM Revenue Bonds, Series 2001A (AMT), Roaring Fork LLC Series 2002-13 (Colld. By Chicago SFM Revenue), (1) 2.14%, 1/7/05 4,150 4,150 Chicago SFM Revenue Bonds, Series 2003-9 (AMT), Roaring Fork Municipal Products LLC (MBIA Insured), (1) 2.09%, 1/7/05 16,095 16,095 Chicago SFM Revenue VRDB, Series C (AMT), Wachovia MERLOTS Series 2000-A31, (1) 2.11%, 1/7/05 325 325
MONEY MARKET FUNDS 10 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ILLINOIS - 12.4% - (CONTINUED) Chicago Tender Notes, Series 2004 (State Street Bank & Trust LOC), 1.05%, 1/13/05 26,500 26,500 Des Plaines City VRDB, Series 1996 (AMT), Finzer Roller, Inc. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 930 930 Elgin City Industrial Project Revenue VRDB (AMT), 1925 Holmes Road Project (Harris Trust & Savings Bank LOC) 2.06%, 1/7/05 2,925 2,925 Elgin City IDR VRDB, Series 1996A (AMT), Bailey Development LLC Project (LaSalle Bank LOC), 2.08%, 1/7/05 2,400 2,400 Elgin City IDR VRDB, Series 1999 (AMT), Questek Manufacturing Corp. (JPMorgan Chase Bank LOC), 2.13%, 1/7/05 2,900 2,900 Frankfort IDR VRDB, Series 1996 (AMT), Bimba Manufacturing Co. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 2,450 2,450 Fulton IDR VRDB, Series 1998 (AMT), Drives, Inc. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 3,375 3,375 Illinois Development Finance Authority Revenue Bonds, Series 1999D2, AMR Pooled Finance Program (Firth Third Bank LOC), 2.07%, 1/7/05 6,505 6,505 Illinois Development Finance Authority Revenue Bonds, Series 1994 (AMT), NU-Way Industries, Inc. Project (LaSalle Bank LOC), 2.08%, 1/7/05 800 800 Illinois Development Finance Authority IDR VRDB, Series 1999 (AMT), Amtex Steel, Inc. Project (LaSalle Bank LOC), 2.08%, 1/7/05 4,900 4,900 Illinois Development Finance Authority IDR VRDB, Series 1997A (AMT), Randall Metals Corp. Project (LaSalle Bank LOC), 2.25%, 1/7/05 1,860 1,860 Illinois Development Finance Authority IDR VRDB, Series 2000 (AMT), Olson International Limited Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 1,330 1,330
MONEY MARKET FUNDS 11 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ILLINOIS - 12.4% - (CONTINUED) Illinois Development Finance Authority IDR VRDB, Series 1990B, Tajon Warehouse Project (JPMorgan Chase Bank LOC), 2.03%, 1/7/05 2,225 2,225 Illinois Development Finance Authority Revenue VRDB, Series 2001 (AMT), Val-Matic (LaSalle Bank LOC), 2.08%, 1/7/05 6,465 6,465 Illinois Development Finance Authority Revenue Bonds, Series 1998 (AMT), Flying Food Fare, Inc. (Harris Trust & Savings Bank LOC), 2.05%, 1/7/05 2,900 2,900 Illinois Development Finance Authority Revenue VRDN, Series 1999A (AMT), Nuevo Hombres LLC Project (JPMorgan Chase Bank LOC), 2.13%, 1/7/05 4,700 4,700 Illinois Development Finance Authority IDR VRDN (AMT), Bimba Manufacturing Co. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 1,690 1,690 Illinois Development Finance Authority Revenue Bonds, Series 1995, Council for Jewish Elderly (LaSalle Bank LOC), 2.00%, 1/7/05 2,650 2,650 Illinois Development Finance Authority Revenue Bonds, Series 2004, Robert Morris College (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 11,675 11,675 Illinois Development Finance Authority Industrial Project Revenue VRDN, Series 1990 (AMT), Solar Press, Inc. Project (LaSalle Bank LOC), 2.08%, 1/7/05 3,500 3,500 Illinois Development Finance Authority VRDN, Series 1997 (AMT), Ciccone Food Products, Inc. (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 4,100 4,100 Illinois Development Finance Authority Water Facilities Revenue VRDB (AMT), Illinois-American Water (MBIA Insured), 2.05%, 1/7/05 5,000 5,000 Illinois Educational Facilities Authority Revenue Bonds, Series 1999B, National Louis University (JPMorgan Chase Bank), 2.00%, 1/7/05 9,600 9,600 Illinois Educational Facilities Authority Revenue Bonds, Series 2002 (AMT), Aurora University (Fifth Third Bank LOC), 2.05%, 1/7/05 3,300 3,300
MONEY MARKET FUNDS 12 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ILLINOIS - 12.4% - (CONTINUED) Illinois Educational Facilities Authority Revenue Bonds, Series 1985, Cultural Pool (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 1,295 1,295 Illinois Educational Facilities Authority Revenue Bonds, University of Chicago, 1.65%, 5/25/05 15,000 15,000 1.65%, 7/28/05 10,000 10,000 Illinois Finance Authority Revenue Bonds, Series 2004, Community Action Partnership (Citibank LOC), 2.02%, 1/7/05 3,125 3,125 Illinois Finance Authority Revenue Bonds, Series 2004-05A, Jewish Charities (Harris Trust and Savings Bank LOC), 2.00%, 1/7/05 7,700 7,700 Illinois First G.O., Series 2002, Wachovia MERLOTS Series 2003-A9 (MBIA Insured), (1) 2.06%, 1/7/05 5,650 5,650 Illinois Health Facilities Authority Revenue Bonds, Series 2003A, Advocate Health Care Network, 1.73%, 7/6/05 11,100 11,100 Illinois Health Facilities Authority Revenue Bonds, Series 1995, Evanston Hospital Corp. (Evanston Northwestern Healthcare Gtd.), 1.60%, 3/31/05 8,000 8,000 Illinois Health Facilities Authority VRDB, Series 1996, Franciscan Eldercare Village (LaSalle Bank LOC), 2.00%, 1/7/05 200 200 Illinois Health Facilities Authority VRDB, Series 2003, Memorial Health Systems (JPMorgan Chase Bank LOC), 2.27%, 1/3/05 2,600 2,600 Illinois Health Facilities Authority VRDB, Series 1996, Proctor Hospital (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 7,000 7,000 Illinois Housing Development Authority VRDB, Series 2004 (AMT), Danbury Court Apartments Project Phase II (LaSalle Bank LOC), 2.08%, 1/7/05 2,200 2,200 Illinois IDR Bonds, Series 1996, Elis Chicago's Finest Inc. Project (LaSalle Bank LOC), 2.08%, 1/7/05 1,265 1,265 Illinois State G.O. Bonds, Series 2002, Tax-Exempt Eagle Trust 20021301, Illinois First (FGIC Insured), (1) 2.04%, 1/7/05 5,000 5,000
MONEY MARKET FUNDS 13 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ILLINOIS - 12.4% - (CONTINUED) Illinois State Sales Tax Revenue Bonds, Salomon Smith Barney Eagle Trust, (1) 2.04%, 1/7/05 5,045 5,045 Justice VRDB, Series 2000 (AMT), Candlewood Apartments Project (FNMA LOC), 2.09%, 1/7/05 10,700 10,700 Lake County Multifamily Housing Revenue Bonds, Series 2004 (AMT), Rosewood Apartments Project (FHLMC Gtd.), 2.05%, 1/7/05 4,400 4,400 Metropolitan Pier & Exposition Authority TRB, Citicorp Eagle Trust Series 20026001 (1) (MBIA Insured), 2.04%, 1/7/05 10,000 10,000 Metropolitan Pier & Exposition Authority TRB, Wachovia MERLOTS Series 2000-VVV (FGIC Insured), (1) 2.06%, 1/7/05 6,000 6,000 Peoria Multifamily Revenue Bonds, Series 2003 (AMT), Oak Woods Apartments (FNMA Gtd.), 2.07%, 1/7/05 3,900 3,900 Regional Transportation Authority Revenue Bonds, Citicorp Eagle Trust Series 20001303 (MBIA Insured), (1) 2.04%, 1/7/05 14,510 14,510 Roaring Forks O'Hare Municipal Certificates Class A2004-7, (MBIA Insured), (1) 2.14%, 1/7/05 3,600 3,600 Romeoville IDR VRDB, Series 1997 (AMT), Metropolitan Industries, Inc. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 2,000 2,000 Savanna IDR VRDB, Series 1994 (AMT), Metform Corp. Project (JPMorgan Chase Bank LOC), 2.03%, 1/7/05 6,500 6,500 Southwestern IDA VRDB, Series 2002 (AMT), Waste Management Inc. Project, 2.05%, 1/7/05 4,700 4,700 St. Clair County IDR VRDN (AMT), Stellar Manufacturing Project (Bank of America LOC), 2.10%, 1/7/05 4,050 4,050
MONEY MARKET FUNDS 14 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) ILLINOIS - 12.4% - (CONTINUED) University of Illinois Auxiliary Facility Revenue Bonds, Eagle Trust Series 20001301 (MBIA Insured), (1) 2.04%, 1/7/05 3,000 3,000 University of Illinois Revenue Bonds, Auxiliary Facility System, Wachovia MERLOTS Series 2000-S (MBIA Insured), (1) 2.06%, 1/7/05 3,500 3,500 University of Illinois Revenue Bonds, Auxiliary Facility System, Wachovia MERLOTS Series 2003-A38 (AMBAC Insured), (1) 1.65%, 8/10/05 20,610 20,610 Village of Niles IDR VRDB, Series 1996 (AMT), Lewis Spring & Manufacturing Co. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 1,550 1,550 Village of Vernon Hills IDR Bonds, Series 1983 (AMT), Accurate Transmissions, Inc. (LaSalle Bank LOC), 2.08%, 1/7/05 3,620 3,620 Warren County Industrial Project Revenue Bonds, Series 2002, Monmouth College Project (Allied Irish Bank LOC), 2.00%, 1/7/05 6,150 6,150 West Chicago City IDR VRDB, Series 1999 (AMT), Royal Gold Ribbons Foods Project (JPMorgan Chase Bank LOC), 2.13%, 1/7/05 1,700 1,700 Will County Solid Waste Bonds, Series 1997 (AMT), (BASF Corp. Gtd.), 2.21%, 1/3/05 9,000 9,000 Will-Kankakee Regional Development Authority Revenue Bonds (AMT), T.H. Davidson & Co., Inc. Project (LaSalle Bank LOC), 2.08%, 1/7/05 3,075 3,075 --------- ------- 496,382 --------- ------- INDIANA - 2.9% Anderson City Economic Development Revenue VRDB, Series 1996 (AMT), Gateway Village Project (FHLB LOC) 2.02%, 1/7/05 2,670 2,670 Avilla Economic Development Revenue Bonds, Series 1996 (AMT), Pent Assemblies, Inc. Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 3,000 3,000 Columbus Economic Development Revenue VRDB, Series 2004 (AMT), Arbors at Water Edge Apartments Project (FHLB LOC), 2.05%, 1/7/05 3,850 3,850
MONEY MARKET FUNDS 15 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) INDIANA - 2.9% - (CONTINUED) Dekko Foundation Education Facilities COP, Series 2001-1 (JPMorgan Chase Bank LOC), 2.20%, 1/7/05 4,565 4,565 Fort Wayne Economic Development Revenue Bonds, Series 2002 (AMT), Ottenweller Co., Inc. Project (JPMorgan Chase Bank LOC), 2.24%, 1/7/05 2,690 2,690 Fort Wayne Economic Development VRDB, Series 2004, University of St. Francis (JPMorgan Chase Bank LOC), 2.02%, 1/7/05 2,300 2,300 Hammond City Economic Development VRDN, Series 1996A (AMT), Annex at Douglas Point Project, 2.02%, 1/7/05 2,735 2,735 Indiana Development Finance Authority IDR VRDB (AMT), Red Gold, Inc. Project (Harris Trust & Savings Bank LOC), Series 1994A, 2.06%, 1/7/05 4,200 4,200 Series 1994B, 2.06%, 1/7/05 2,600 2,600 Indiana Development Finance Authority Industrial Revenue Bonds, Youth Opportunity Center Project (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 1,600 1,600 Indiana Development Finance Authority VRDB, Series 2001 (AMT), Bhar Co. Project (JPMorgan Chase Bank LOC), 2.34%, 1/7/05 1,800 1,800 Indiana Development Finance Authority VRDB, Series 2002, Indianapolis Museum of Art (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 14,500 14,500 Indiana Health Facilities Finance Authority Revenue Bonds, Series 2001A3, Ascension Health Credit Group, 1.05%, 3/1/05 13,000 13,000 Indiana Health Facilities Finance Authority Revenue Bonds, Series 2004A, Clark Memorial Hospital (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 9,500 9,500 Indiana Health Facilities Finance Authority VRDB, Fayette Memorial Hospital Association (Fifth Third Bank LOC), 2.27%, 1/3/05 1,900 1,900 Indiana State Development Finance Authority VRDB, Indiana Historical Society Inc. Project (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 3,040 3,040
MONEY MARKET FUNDS 16 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) INDIANA - 2.9% - (CONTINUED) Indiana State HFA SFM Revenue Bonds (AMT) Wachovia MERLOTS (Wachovia Bank SPA), Series 2000B6, (1) 2.11%, 1/7/05 840 840 Series 2001A2, (1) 2.11%, 1/7/05 1,385 1,385 Indianapolis Public Improvement Bond Bank, Series 2004E, 2.00%, 1/6/05 10,450 10,451 Laporte City VRDB, Series 2001 (AMT), Alpha Baking Co., Inc. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 2,130 2,130 Marshall County Economic Development Revenue Bonds, Series 2003, Culver Educational Foundation Project (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 4,100 4,100 Noblesville Economic Development Revenue Bonds (AMT), Princeton Lakes Apartments (FHLB LOC), Series PJ-2003A, 2.08%, 1/7/05 8,900 8,900 Series PJ-2003B, 2.13%, 1/7/05 1,100 1,100 North Vernon Economic Development Revenue Bonds (AMT), Oak Meadows Apartments Project (FHLB LOC), 2.10%, 1/7/05 3,010 3,010 Shelby Eastern School Building Corp. VRDB, Wachovia MERLOTS Series 2001-A84 (FGIC Insured), (1) 2.06%, 1/7/05 2,000 2,000 Tippecanoe County PCR Bonds (AMT), Caterpillar, Inc. Project (Caterpillar Inc., Gtd.) 2.19%, 1/7/05 8,750 8,750 -------- ------- 116,616 -------- ------- Iowa - 0.6% Iowa Finance Authority Single Family Revenue Bonds (AMT), Wachovia MERLOTS Series 2002-A46 (Colld. by U.S. Government Agency Securities), (1) 2.11%, 1/7/05 3,755 3,755 Iowa Finance Authority Retirement Community Revenue Bonds, Series 2003A, Deerfield Retirement (LaSalle Bank LOC), 2.00%, 1/7/05 7,100 7,100 Iowa Finance Authority Retirement Community, Series 2004, Western Home Community's Project (U.S. Bank LOC), 2.05%, 1/7/05 3,000 3,000
MONEY MARKET FUNDS 17 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) IOWA - 0.6% - (CONTINUED) Iowa Higher Education Authority Private College Facilities, Series 2000, Grand View Project (U.S. Bank LOC), 2.27%, 1/3/05 2,135 2,135 Iowa Higher Education Authority Private College, Series 2003, Des Moines University Project (Allied Irish Bank LOC), 2.27%, 1/3/05 5,000 5,000 Iowa Higher Education Authority, Series 2003, Graceland College (Bank of America LOC), 2.05%, 1/7/05 1,900 1,900 -------- ------ 22,890 -------- ------ KANSAS - 0.4% Kansas Development Finance Authority VRDB, Series 2001 (AMT), Oak Ridge Park II Apartments Project (FHLB LOC), 2.18%, 1/7/05 3,650 3,650 Kansas Development Finance Authority VRDB, Series 2002G1 (AMT), Summit Woods Project (FNMA LOC), 2.05%, 1/7/05 1,100 1,100 Kansas State Department of Transportation Highway Revenue VRDB, Eagle Series 20001601, (1) 2.04%, 1/7/05 5,975 5,975 Kansas State Finance Authority VRDB, Series 2000N, Hays Medical Center (U.S. Bank LOC), 2.27%, 1/3/05 850 850 Wichita Airport Facilities Revenue VRDB, Series VIII 2003 (AMT), Flight Safety International, Inc. (Berkshire Hathaway, Inc. Gtd.), 2.04%, 1/7/05 4,500 4,500 -------- ------ 16,075 -------- ------ KENTUCKY - 1.5% Carroll County Solid Waste Disposal Revenue Bonds (AMT), BPB Acquisition Project (Bank of America LOC), 2.02%, 1/7/05 5,000 5,000 Carroll County Solid Waste Disposal Revenue VRDB (AMT), Celotex Corp. (Bank of America LOC), 2.02%, 1/7/05 15,790 15,790 Clark County Industrial Building Revenue VRDB, Series 1996 (AMT), Bluegrass Art Cast Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 1,620 1,620 Franklin County G.O. Refunding Notes, Series 2001, (JPMorgan Chase Bank LOC), 2.09%, 1/7/05 4,800 4,800
MONEY MARKET FUNDS 18 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) KENTUCKY - 1.5% - (CONTINUED) Henderson County Revenue Bond, Murray-Calloway County Public Hospital Project, (Branch Banking & Trust Co. LOC), 2.07%, 1/7/05 5,165 5,165 Henderson County VRDB, Series 2002B1, Kentucky Hospital Association Health Facilities (Branch Banking & Trust Co. LOC), 2.07%, 1/7/05 9,005 9,005 Kentucky Development Finance Authority Revenue Bonds (AMT), Republic Services, Inc. Project (Bank of America LOC), 2.05%, 1/7/05 8,500 8,500 Kentucky Development Finance Authority Revenue Bonds, Series 2003 (AMT), Republic Services, Inc. Project (JPMorgan Chase Bank LOC), 2.05%, 1/7/05 6,175 6,175 Pulaski County Solid Waste Disposal Revenue Bonds, Series 1993B, East Kentucky Power (National Rural Utilities - Cooperative Finance Corp. Gtd.), 1.50%, 2/15/05 2,350 2,350 -------- ------ 58,405 -------- ------ LOUISIANA - 1.0% Ascension Parish Revenue VRDB (AMT), BASF Corp. Project (BASF Corp. Gtd.), Series 1995, 2.21%, 1/3/05 300 300 Series 1997, 2.21%, 1/3/05 7,000 7,000 Series 1998, 2.21%, 1/3/05 11,600 11,600 Jefferson Parish Economic Development Corp. VRDB, Series 2000 (AMT), Walle Corp. Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 3,900 3,900 Jefferson Parish Home Mortgage Authority Bonds (AMT), Merrill Lynch P-Floats Series PT-264, (1) 2.08%, 1/7/05 1,725 1,725 Jefferson Parish Home Mortgage Authority SFM Revenue Bonds (AMT), Wachovia MERLOTS Series 2001-A79 (Colld. by U.S. Government Securities), (1) 2.11%, 1/7/05 2,870 2,870
MONEY MARKET FUNDS 19 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) LOUISIANA - 1.0% - (CONTINUED) Louisiana Environment Facilities Development Bonds VRDB, Series 2004, Sacred Heart Project (SunTrust Bank LOC), 2.05%, 1/7/05 1,000 1,000 Louisiana Housing Finance Agency Mortgage Revenue VRDB, Merrill Lynch P-Floats Series PT-634 (Colld. by FNMA Securities), (1) 2.10%, 1/7/05 3,840 3,840 Louisiana Public Facilities Authority Multifamily Housing Revenue VRDB, Series 2002, Huntington Park Apartments (FNMA Gtd.), 2.04%, 1/7/05 4,050 4,050 Louisiana State Offshore Terminal Authority Deepwater Revenue Bonds, Series 2003B, (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 5,700 5,700 -------- ------- 41,985 -------- ------- MAINE - 0.3% Maine State Housing Authority Mortgage Purchase VRDB, Series 1998F2 (AMT), (1) 2.19%, 1/7/05 9,995 9,995 Maine State Turnpike Authority Revenue Bonds, Eagle Trust Series 20001901 (FGIC Insured), (1) 2.04%, 1/7/05 3,000 3,000 -------- ------- 12,995 -------- ------- MARYLAND - 0.5% Baltimore County Dunfield Townhouses VRDB, Series 2003, Roaring Fork Trust Receipts (Colld. by GNMA Securities), (1) 2.14%, 1/7/05 10,025 10,025 Howard County VRDB, Series 2002A, Vantage House Facilities (LaSalle Bank LOC), 2.00%, 1/7/05 4,800 4,800 Maryland State Economic Development Corp. Revenue Bonds, Series 1997 (AMT), Unisite Design, Inc. (Mellon Bank LOC), 2.15%, 1/7/05 1,725 1,725 Northeast Maryland Waste Disposal Authority Revenue Bonds, Reserve Eagle Trust Series 96C2001 (MBIA Insured), (1) 2.04%, 1/7/05 4,385 4,385 -------- ------- 20,935 -------- ------- MASSACHUSETTS - 0.5% Brockton Housing Development Corp. VRDN, Series 1992A, Lehman Floating Rate Trust Receipts Series 2002-L48 (FNMA Gtd.), (1) 2.05%, 1/7/05 2,785 2,785
MONEY MARKET FUNDS 20 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MASSACHUSETTS - 0.5% - (CONTINUED) Massachusetts State Development Finance Agency VRDB, Series 2003, Lesley University (Fleet National Bank LOC), 2.02%, 1/7/05 4,900 4,900 Massachusetts State Development Finance Agency VRDB, Series 2004, Groton School, 2.02%, 1/7/05 7,500 7,500 Massachusetts State Development Finance Agency VRDN, Series 1999, Waste Management, Inc. Project (SunTrust Bank LOC), 2.06%, 1/7/05 5,500 5,500 -------- ------ 20,685 -------- ------ MICHIGAN - 4.5% Avondale School District VRDB, Series 2003, Citigroup ROCS RR II R 2047, (1) 2.04%, 1/7/05 6,440 6,440 Detroit Sewage Disposal System VRDN, Series 2000A, Wachovia MERLOTS (FGIC Insured), (1) 2.06%, 1/7/05 6,800 6,800 Farmington Hills Hospital Finance Authority Revenue Bonds, Series 1991, Botsford General Hospital (MBIA Insured), 2.27%, 1/3/05 3,350 3,350 Germantown IDR VRDB, Series 1999 (AMT), Great Lakes Packaging Corp. (Marshall & Ilsley Bank LOC), 2.12%, 1/7/05 2,090 2,090 Grand Rapids Economic Development Corporation VRDB, Series 1991A, Amway Hotel (Standard Federal Bank LOC), 2.12%, 1/7/05 1,100 1,100 Jackson County Economic Development Corp. VRDN, Series 1999 (AMT), Production Saw & Machine Co. (Comerica Bank LOC), 2.15%, 1/7/05 3,470 3,470 Jackson County Economic Development Corp. VRDN, Series 2000 (AMT), Kellog Crankshaft Co. Project (Comerica Bank LOC), 2.15%, 1/7/05 3,585 3,585 Macomb County Hospital Finance Authority VRDB, Mt. Clemens General (Comerica Bank LOC), Series 2003A1, 2.30%, 1/3/05 15,350 15,350 Series 2003A2, 2.14%, 1/3/05 4,600 4,600
MONEY MARKET FUNDS 21 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MICHIGAN - 4.5% - (CONTINUED) Michigan Municipal Bond Authority Revenue Notes, Series 2004B1, 3.00%, 8/19/05 6,000 6,054 Michigan Municipal Bond Authority Revenue Notes, Series 2004B2, (JP Morgan Chase Bank LOC), 3.00%, 8/23/05 37,000 37,334 Michigan State G.O. Notes, Series 2005A, 3.50%, 9/30/05 26,000 26,286 Michigan State Hospital Authority Revenue Bonds VRDB, Series 1999A, Covenant Retirement (LaSalle Bank LOC), 2.00%, 1/7/05 400 400 Michigan State Hospital Finance Authority VRDB, Series 2003A, Crittenton Hospital (Comerica Bank LOC), 1.99%, 1/3/05 40 40 Michigan State Housing Development Authority Revenue VRDB, Series 1999 (AMT), Baldwin Villas (Comerica Bank LOC), 2.15%, 1/7/05 4,720 4,720 Michigan State Strategic Fund VRDB, Series 2002 (AMT), Pioneer Labs, Inc. Project (JPMorgan Chase Bank LOC), 2.05%, 1/7/05 1,300 1,300 Michigan State Strategic Fund VRDN, Series 2001 (AMT), Plymouth Packaging Project (Comerica Bank LOC), 2.15%, 1/7/05 3,785 3,785 Michigan State Strategic Fund VRDN, Electro-Chemical Finishing Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 4,500 4,500 Michigan State Strategic Fund VRDN, Series 2001 (AMT), Behr Systems Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 3,300 3,300 Michigan State Strategic Fund VRDB, Series 2001 (AMT), Roesler Metal Finishing Project (Standard Federal Bank LOC), 2.13%, 1/7/05 4,980 4,980 Michigan State Strategic Fund VRDN, Series 2001 (AMT), Advanced Tooling System Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 3,610 3,610 Michigan State Strategic Fund VRDN (AMT), Serta Restokraft Mattress Co. Project (Comerica Bank LOC), 2.15%, 1/7/05 3,885 3,885 Michigan State Strategic Fund VRDN, Series 1999 (AMT), Great Lakes Metal Stamping (JPMorgan Chase Bank LOC), 2.13%, 1/7/05 1,600 1,600
MONEY MARKET FUNDS 22 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MICHIGAN - 4.5% - (CONTINUED) Michigan Strategic Fund VRDN, Series 2001 (AMT), Mold Masters Co. Project (JPMorgan Chase Bank LOC), 2.34%, 1/7/05 4,100 4,100 Michigan State Strategic Fund Limited Obligation VRDN (AMT), Dirksen Screw Co. Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 3,000 3,000 Michigan State Strategic Fund Limited Obligation Revenue Bonds (AMT), Grand Haven Plastics Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 4,400 4,400 Michigan State Strategic Fund Limited Obligation Revenue Bonds (AMT), Leader Dogs for the Blind Project (Comerica Bank LOC), 2.05%, 1/7/05 3,250 3,250 Michigan State Strategic Fund Limited Obligation Revenue Bonds (AMT), Corlett-Turner Co. Project (Comerica Bank LOC), 2.15%, 1/7/05 2,005 2,005 Michigan State Strategic Fund Variable Limited Obligation Revenue Bonds (AMT), NYX Technologies LLC Project (Comerica Bank LOC), 2.15%, 1/7/05 7,050 7,050 Oakland County Economic Development Corp. VRDN, Series 1998 (AMT), Richard Tool & Die Corp. Project (Comerica Bank LOC), 2.15%, 1/7/05 4,240 4,240 Oakland County Economic Development Corp. VRDN, Series 2004 (AMT), General Mill Supply (LaSalle Bank LOC), 2.15%, 1/7/05 4,740 4,740 -------- ------- 181,364 -------- ------- MINNESOTA - 3.9% Arden Hills Housing & Healthcare Facilities Revenue Bond, Presbyterian Homes (U.S. Bank LOC), Series 1999A, 2.27%, 1/3/05 4,548 4,548 Series 1999B, 2.27% 1/3/05 3,194 3,194 Austin Housing and Redevelopment Authority VRDB, Series 2004A, Cedars of Austin Project (LaSalle Bank LOC), 2.15%, 1/7/05 2,000 2,000 Becker Tax Increment, Series 1994D (AMT), Piper Jaffray Funding LLC Trust Certificates Series 2004F (MBIA Insured), (1) 2.12%, 1/7/05 9,995 9,995
MONEY MARKET FUNDS 23 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MINNESODA - 3.9% - (CONTINUED) Brooklyn Center Revenue VRDB, Series 2001, Brookdale Corp II Project (U.S. Bank LOC), 2.27%, 1/3/05 3,000 3,000 Dakota County Community Development Authority VRDB, Series 2003, Brentwood Hills Apartments Project (LaSalle Bank LOC), 2.32%, 1/3/05 5,000 5,000 Dakota County Community Development Authority VRDB, Series 2004, View Pointe Apartments Project (LaSalle Bank LOC), 2.15%, 1/7/05 4,000 4,000 Duluth EDA Healthcare Facilities VRDB, Series 1997, Miller-Dawn Medical Center Project (U.S. Bank LOC), 2.27%, 1/3/05 2,450 2,450 Eden Prairie VRDB, Series 2003 (AMT), Eden Prairie Leased Housing Association Project (LaSalle Bank LOC), 2.15%, 1/7/05 8,000 8,000 Little Canada Bond Securities, Series 2004S1 (AMT), Class A Trust Certificates (LaSalle Bank LOC), (1) 2.19%, 1/7/05 3,780 3,780 Mankato Multifamily Housing VRDB, Series 1997, Highland Hills Project (LaSalle Bank LOC), 2.27%, 1/3/05 200 200 Maple Grove Economic Development VRDB, Series 2004, Heritage Christian Academy (U.S. Bank LOC), 2.00%, 1/7/05 3,400 3,400 Minneapolis VRDB, Series 2000, People Serving People Project (U.S. Bank LOC), 2.27%, 1/3/05 2,025 2,025 Minneapolis Multifamily Housing VRDB, Series 2002 (AMT), Second Street Acquisition Project (LaSalle Bank LOC), 2.15%, 1/7/05 2,780 2,780 Minnesota Housing Finance Agency Residential Housing Bonds, (Transamerica Life and Annuity GIC), Series 2003H, 1.62%, 7/21/05 18,055 18,055 Series 2004G, 2.05%, 1/7/05 12,000 12,000 Series 2004H, 1.62%, 7/21/05 16,130 16,130
MONEY MARKET FUNDS 24 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MINNESODA - 3.9% - (CONTINUED) Minnesota Water PCR VRDB, Series 2002A, Wachovia MERLOTS Series 2003-B06, (1) 2.06%, 1/7/05 9,985 9,985 Northfield Multifamily Housing Revenue Bonds, Series 2003A, Summerfield Investments LLC (LaSalle Bank LOC), 2.15%, 1/7/05 1,865 1,865 Oakdale Bond Securities, Series 2004S2 (AMT), Class A Trust Certificate (LaSalle Bank LOC), (1) 2.19%, 1/7/05 3,660 3,660 Ramsey County Housing & Redevelopment Authority VRDB, Series 2003A (AMT), Gateway Apartments Partnership Project (LaSalle Bank LOC), 2.15%, 1/7/05 13,000 13,000 Ramsey County Housing & Redevelopment Authority VRDB, St. Paul Leased Housing Association (LaSalle Bank LOC), Series 2002 (AMT), 2.15%, 1/7/05 6,950 6,950 Series 2003 (AMT), 2.15%, 1/7/05 2,900 2,900 Robbinsdale Multifamily Housing Revenue Bonds, Series 2004A (AMT), Copperfield (LaSalle Bank LOC), 2.15%, 1/7/05 2,545 2,545 St. Anthony Multifamily Housing Revenue Bonds, Series 2004 (AMT), Landings at Silver Lake Village Project (LaSalle Bank LOC), 2.15%, 1/7/05 7,000 7,000 St. Paul Housing and Redevelopment Authority VRDB, Series 2004 (AMT), Bridgecreek Senior Place (LaSalle Bank LOC), 2.15%, 1/7/05 7,750 7,750 Winona Port Authority IDR VRDB, Series 2001A (AMT), Bay State Milling Co. Project (Harris Bank & Trust LOC), 2.06%, 1/7/05 795 795 -------- ------- 157,007 -------- ------- MISSISSIPPI - 1.0% Jackson Redevelopment Authority VRDB, Jackson Medical Mall Foundation Project (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 4,300 4,300 Mississippi Business Finance Corp. Solid Waste Disposal Revenue Bonds, Series 2003, Waste Management, Inc. Project (Fleet National Bank LOC), 2.06%, 1/7/05 5,000 5,000
MONEY MARKET FUNDS 25 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MISSISSIPPI - 1.0% - (CONTINUED) Mississippi Home Corp. Multifamily Housing Revenue Bonds, Series 2001-2 (AMT), Chapel Ridge Apartments (Regions Bank LOC), 2.11%, 1/7/05 6,300 6,300 Mississippi Home Corp. SFM, Series 2000A-2 (AMT), Roaring Fork Trust Receipts Series 2000-18A, (1) 2.24%, 1/7/05 4,615 4,615 Mississippi Home Corp. SFM VRDB, Series 2002C2 (AMT), Lehman Floating Rate Trust Receipts Series 2002L47, (1) 2.10%, 1/7/05 4,205 4,205 Mississippi Home Corp. Single Family Revenue VRDB, Series 2001A8 (AMT) (GNMA Gtd.), (1) 2.11%, 1/7/05 11,515 11,515 Mississippi Home Corp. Single Family Revenue VRDB (AMT), Merrill Lynch P-Floats PT-218B (Colld. by Mississippi Home Corp.), (1) 2.08%, 1/7/05 3,020 3,020 -------- ------ 38,955 -------- ------ MISSOURI - 2.1% Blue Springs IDA VRDB, Series 2004 (AMT), Autumn Place Apartments Project (FNMA Gtd.), 2.03%, 1/7/05 5,500 5,500 Missouri Development Finance Board Lease Revenue Bond, Series 2003, Missouri Association Municipal Utilities (U.S. Bank LOC), 2.27%, 1/3/05 10,095 10,095 Missouri Health & Educational Facilities VRDB, Series 1999, Drury College Project (U.S. Bank LOC), 2.27%, 1/3/05 6,090 6,090 Missouri Health & Educational acilities VRDB, Series 2002A, Christian Brothers (U.S. Bank LOC), 2.27%, 1/3/05 900 900 Missouri Housing Development Community Mortgage Revenue Bonds, Series 1994A (AMT), Merrill Lynch P-Floats PA-116, (1) 2.10%, 1/7/05 520 520 Missouri Housing Development Community SFM Revenue Bonds, Series 2000-3 (AMT), Roaring Fork Trust Receipts, (1) 2.24%, 1/7/05 6,305 6,305 Missouri Housing Development Community SFM Revenue Bonds (AMT), Wachovia MERLOTS Series 2001-A81 (Colld. by U.S. Government Securities), (1) 2.11%, 1/7/05 2,320 2,320
MONEY MARKET FUNDS 26 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MISSOURI - 2.1% - CONTINUED) Missouri State Development Finance Board Infrastructure Facilities VRDB, Series 2000C, St. Louis Convention Center (U.S. Bank LOC), 2.27%, 1/3/05 8,300 8,300 Missouri State Health & Education Authority Revenue Bonds, Lutheran Senior Services (U.S. Bank LOC) , 2.00%, 1/7/05 100 100 Missouri State Housing Development Single Family Revenue, Series 2004 (AMT), (General Electric Capital Corp. GIC), 2.39%, 1/31/05 28,205 28,205 St. Charles IDA VRDB, Series 2004 (AMT), Peine Lakes Apartments (Wachovia Bank LOC), 2.04%, 1/7/05 2,150 2,150 St. Louis City IDA VRDB, Series 1995 (AMT), Whispering Lakes Apartment Project (Colld. by FNMA Securities), 2.08%, 1/7/05 7,435 7,435 St. Louis City IDA VRDB, Series 1997 (AMT), Black Forest Apartment Project (Colld. by FNMA Securities), 2.08%, 1/7/05 4,000 4,000 -------- ------ 81,920 -------- ------ MONTANA - 0.1% Montana Board of Housing Single Family Revenue Bonds (AMT), Wachovia MERLOTS 02-19A, (1) 2.11%, 1/7/05 2,575 2,575 -------- ------ NEBRASKA - 0.6% Douglas County School District G.O., Series 2003, Citigroup ROCS RR II R Series 4058, (1) 2.04%, 1/7/05 2,400 2,400 Lincoln Electric System VRDB, Series 2001, Wachovia MERLOTS Series 2003-B01, (1) 2.06%, 1/7/05 11,295 11,295 Nebraska Investment Finance Authority Revenue Bonds, Series 2000E (AMT) (GNMA Gtd.), (1) 2.11%, 1/7/05 890 890 Nebraska Investment Finance Authority Single Family Housing Revenue Bonds (AMT), Wachovia MERLOTS Series 2001-A12 (Colld. by FNMA Securities), (1) 2.11%, 1/7/05 630 630
MONEY MARKET FUNDS 27 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) NEBRASKA - 0.6% - (CONTINUED) Omaha Convention Center and Arena VRDB, Citigroup Eagle Trust Series 20040009 CL A, (1) 2.04%, 1/7/05 8,000 8,000 -------- ------ 23,215 -------- ------ NEVADA - 1.0% Clark County IDA VRDB, Series 2003A, Southwest Gas Corp. Project (Fleet National Bank LOC), 2.03%, 1/7/05 12,250 12,250 Clark County Schools Revenue Bonds, Citicorp Eagle Trust Series 982801 (FSA Corp. Insured), 2.04%, 1/7/05 4,800 4,800 Las Vegas Water VRDB, Series 2003B, MERLOTS Series 2003B10 (MBIA Insured), (1) 2.06%, 1/7/05 18,765 18,765 Nevada Housing SFM Revenue Bonds (AMT), Wachovia MERLOTS Series 2000-A7, (1) 2.11%, 1/7/05 365 365 Nevada State VRDB, Series 1997SGB31, (FGIC Insured), (1) 2.04%, 1/7/05 1,900 1,900 -------- ------ 38,080 -------- ------ NEW HAMPSHIRE - 0.2% New Hampshire Health & Education Facilities Authority Revenue Bonds, Bishop Guertin High School (Allied Irish Bank LOC), 2.05%, 1/7/05 6,200 6,200 New Hampshire Health & Education Facilities VRDB, New Hampshire Medical Center (Fleet National Bank LOC), 2.05%, 1/7/05 280 280 New Hampshire Housing Finance Authority SFM Bonds (AMT), Wachovia MERLOTS Series 2001-A82, (1) 2.11%, 1/7/05 1,380 1,380 -------- ------ 7,860 -------- ------ NEW JERSEY - 0.9% New Jersey EDA, Series 2003A (AMT) (Washington Mutual LOC), 2.19%, 1/7/05 2,215 2,215 New Jersey State TANS, Series 2004A, 3.00%, 6/24/05 33,220 33,455 -------- ------ 35,670 -------- ------
MONEY MARKET FUNDS 28 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) NEW MEXICO - 1.0% New Mexico Educational Assistance Foundation Revenue Bonds (AMT), Wachovia MERLOTS Series 2002-A26, (1) 2.11%, 1/7/05 9,145 9,145 New Mexico Mortgage Finance Authority VRDB, Series 2004 (AMT), SFM Program (AIG Matched Funding GIC), 2.28%, 1/1/05 28,041 28,041 New Mexico SFM Finance Authority VRDN, Series 2001A9, First Union TOB (Colld. by FNMA Securities), (1) 2.11%, 1/7/05 1,490 1,490 New Mexico SFM Finance Authority VRDN, Series B2 PT-196 (AMT) (Colld. by GNMA Securities), (1) 2.08%, 1/7/05 3,055 3,055 -------- ------- 41,731 -------- ------- NEW YORK - 3.0% New York State G.O. Bonds, Series 2000B, (Dexia Bank Belgium LOC), 1.58%, 8/4/05 18,000 18,000 New York City Multifamily Housing Development Corporation VRDB, Series 2004A (AMT), West End Towers (FNMA Gtd.), 2.00%, 1/7/05 23,000 23,000 New York State Housing Finance Agency VRDB, Series 1999 (AMT), 101 West End Avenue Project (FNMA LOC), 1.99%, 1/7/05 37,150 37,150 New York State Housing Finance Agency VRDB, Series 2003A (AMT), West 23rd Street Housing (FNMA LOC), 1.99%, 1/7/05 43,100 43,100 -------- ------- 121,250 -------- ------- NORTH CAROLINA - 0.8% Capital Region Airport Commission Passenger Facilities Charges Revenue VRDB (AMT) (Wachovia Bank LOC), 2.05%, 1/7/05 2,760 2,760 Catawba County IDR PCR Bonds, Series 1996 (AMT), Hooker Furniture Corp. Project (Bank of America LOC), 2.05%, 1/7/05 4,600 4,600 Columbus County Industrial Facilities PCR VRDB, Series 1998 (AMT), Conflandey, Inc. Project (BNP LOC), 2.10%, 1/7/05 2,200 2,200
MONEY MARKET FUNDS 29 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) NORTH CAROLINA - 0.8% - (CONTINUED) North Carolina Medical Care VRDB, Wachovia MERLOTS Series 2001-A39 (GNMA Gtd.), (1) 2.06%, 1/7/05 5,645 5,645 North Carolina State G.O. VRDB, Wachovia MERLOTS Series 2004C22, (1) 1.70%, 3/1/05 10,960 10,960 Sampson County Industry Facilities Pollution Control Financing Revenue Bonds, Series 2003, Samson County Disposal LLC Project (Wachovia Bank LOC), 2.04%, 1/7/05 3,500 3,500 Union County IDR Bonds, Series 2000 (AMT), C&M No. 1 Investment Partnership Project (Bank of America LOC), 2.05%, 1/7/05 1,900 1,900 -------- ------ 31,565 -------- ------ NORTH DAKOTA - 0.4% North Dakota State Housing Finance Agency Revenue Bonds (AMT), Merrill Lynch P-Floats PT-1189, (1) 2.08%, 1/7/05 2,390 2,390 North Dakota State Housing Finance Agency Revenue Bonds Home Mortgage, Series 2003B (AMT), 2.01%, 1/7/05 5,000 5,000 Oliver County PCR VRDB, Wachovia MERLOTS Series 2003-B07 (AMBAC Insured), (1) 2.06%, 1/7/05 5,980 5,980 Ward County Health Care Facilities VRDB, Series 2002A, Trinity Obligation Group (U.S. Bank LOC), 2.27%, 1/3/05 1,150 1,150 -------- ------ 14,520 -------- ------ OHIO - 1.0% Cincinnati Water System Revenue Bonds, Series 2003, Citigroup ROCS II R 212 (FSA Corp. Insured), (1) 2.03%, 1/7/05 7,000 7,000 Clinton County Hospital Revenue VRDB, Series 2002A1, Memorial Hospital Project (Fifth Third Bank LOC), 2.07%, 1/7/05 1,185 1,185 Clinton County Hospital Revenue VRDB, Series 2003A1, HB Magruder Memorial Hospital Project (Fifth Third Bank LOC), 2.07%, 1/7/05 5,910 5,910
MONEY MARKET FUNDS 30 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) OHIO - 1.0% - (CONTINUED) Clinton County Hospital Revenue VRDB, Series 2003D, Kettering Medical Center Osteopathic Service (Fifth Third Bank LOC), 2.07%, 1/7/05 1,700 1,700 Franklin County Hospital Revenue Bonds, Series 2001 II-R-55, Smith Barney ROCS (U.S. Treasuries Escrowed), (1) 2.03%, 1/7/05 10,395 10,395 Ohio State G.O., Citigroup ROCS Series RR II R 4037, (1) 2.03%, 1/7/05 7,590 7,590 State of Ohio PCR Bonds (AMT), Ross Incineration Services Project (JPMorgan Chase Bank LOC), 2.34%, 1/7/05 955 955 Summit County IDR Bonds (AMT), Arch Aluminum & Glass Co., Inc. (Comerica Bank LOC), 2.15%, 1/7/05 4,000 4,000 Warren County Industrial Development Revenue Bonds, Series 2000 (AMT), PAC Manufacturing Project (Bank of America LOC), 2.32%, 1/3/05 1,375 1,375 -------- ------ 40,110 -------- ------ OKLAHOMA - 3.7% Edmond EDA Student Housing Revenue VRDB, Series 2001A (Wachovia Bank LOC), 2.02%, 1/7/05 2,000 2,000 Garfield County Industrial Authority Revenue Bonds, Series A, Oklahoma Gas and Electric Co. Project, 2.12%, 1/7/05 22,300 22,300 Muskogee Industrial Trust VRDB, Series 1997A, Oklahoma Gas and Electric Co. (Oklahoma Gas & Electric Gtd.), 2.25%, 1/7/05 1,000 1,000 Oklahoma Development Finance Authority Hospital Revenue VRDB, Series 2000, Deaconess Health Care Corp. Project (KBC Bank LOC), 2.12%, 1/7/05 185 185 Oklahoma Development Finance Authority VRDB, Series 2002C, Continuing Care Community (KBC Bank LOC), 2.27%, 1/3/05 1,380 1,380 Oklahoma HFA SFM Revenue VRDB, Series 2000D2 (AMT), Merrill Lynch P-Floats PT-462, Home Ownership Loan Program (GNMA Gtd.), (1) 2.08%, 1/7/05 1,990 1,990
MONEY MARKET FUNDS 31 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) OKLAHOMA - 3.7% - (CONTINUED) Oklahoma HFA SFM Revenue VRDB, Series 2003 (AMT), Draw Down (General Electric Capital Corp. GIC), 2.38%, 1/31/05 65,246 65,246 Franklin County Hospital Revenue Bonds, Series 2001 II-R-55, Oklahoma Water Resources Board State Loan Program Revenue Bonds, Series 1995, 1.35%, 3/1/05 8,105 8,105 Series 1997, 1.35%, 3/1/05 9,895 9,895 Tulsa Airports Improvement Variable Rate Certificates (MBIA Insured), Series B1 (AMT), (1) 2.19%, 1/7/05 6,260 6,260 Series B2, (1) 2.14%, 1/7/05 14,190 14,190 Tulsa County Industrial Authority Capital Improvement Revenue Bonds, Series 2003A, 2.05%, 5/16/05 15,000 15,000 -------- ------- 147,551 -------- ------- OREGON - 1.5% Metropolitan Service District VRDN (AMT), Riedel Compost Waste Disposal (U.S. Bank LOC), 2.20%, 1/7/05 1,100 1,100 Oregon Economic Development Revenue VRDB, Series 176 (AMT), Cascade Steel Rolling Mills Project (Wells Fargo Bank LOC), 2.03%, 1/7/05 7,700 7,700 Oregon Health Housing Education & Cultural Facilities Authority VRDB, Evangelical Lutheran Good Samaritan (U.S. Bank LOC), 2.05%, 1/7/05 3,200 3,200 Oregon Housing and Community Services Department Revenue Bonds, SFM Program, Series 2004E, 1.21%, 5/5/05 13,300 13,300 Series 2004R-3 2.23%, 12/1/05 10,000 10,000 Oregon State Facilities Authority VRDB, Series 2002A, Hazelden Springbrook Project (Allied Irish Bank LOC), 2.05%, 1/7/05 3,700 3,700
MONEY MARKET FUNDS 32 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) OREGON - 1.5% - (CONTINUED) State of Oregon Revenue VRDN, Series 181 (AMT), Oregon Metal Slitters, Inc. (KeyBank LOC), 2.07%, 1/7/05 6,250 6,250 Washington County Multifamily Housing VRDB, Series 1995 (AMT), Cedar Mills Project (Manufacturers & Traders Bank LOC), 2.13%, 1/7/05 16,200 16,200 ------ ------ 61,450 ------ ------ PENNSYLVANIA - 1.4% Beaver County IDA Environmental VRDB, Series 1997 (AMT), BASF Corp. Project (BASF Corp. Gtd.), 2.21%, 1/3/05 10,800 10,800 Delaware Valley Regional Financing Authority Local Government Revenue VRDN, Merrill Lynch P-Floats PT-152 (AMBAC Insured), (1) 2.04%, 1/7/05 9,305 9,305 Emmaus General Authority Bond Pool Program, Local Government Revenue Bonds (Depfa Bank PLC LOC), Series 1989D-24, 2.02%, 1/7/05 10,000 10,000 Series 1989D-25, 2.02%, 1/7/05 10,000 10,000 Series 1989H-20, 2.02%, 1/7/05 15,000 15,000 ------ ------ 55,105 ------ ------ RHODE ISLAND - 0.7% Rhode Island Student Loan Authority VRDB, Series 1996-2 (AMT), Student Loan Program (AMBAC Insured), 2.01%, 1/7/05 13,100 13,100 Warwick BAN, Series 2004, 1.50%, 1/20/05 15,000 15,003 ------ ------ 28,103 ------ ------ SOUTH CAROLINA - 0.8% Cherokee County IDR VRDB, Series 1989 (AMT), Oshkosh Truck Corp. Project (Bank of America LOC), 2.10%, 1/7/05 5,600 5,600 Oconee County Pollution Center Revenue VRDB, Series 1993, Duke Energy Corp. (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 6,200 6,200
MONEY MARKET FUNDS 33 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- -------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) SOUTH CAROLINA - 0.8% - (CONTINUED) South Carolina Jobs EDA Revenue VRDB, Series 2000 (AMT), Concept Packaging Group Project (Bank of America LOC), 2.10%, 1/7/05 900 900 South Carolina Jobs EDA Revenue VRDB, Series 2000 (AMT), Giant Cement Holding Inc. (Citibank LOC), 2.01%, 1/7/05 11,250 11,250 South Carolina Jobs EDA Revenue VRDB, Series 2001 (AMT), Pharmaceutical Association Project (Wachovia Bank LOC), 2.09%, 1/7/05 2,850 2,850 South Carolina Jobs EDA Revenue VRDB, Series 2002A, Wuref Development Project (Wachovia Bank LOC), 1.99%, 1/7/05 4,280 4,280 ------ ------ 31,080 ------ ------ SOUTH DAKOTA - 0.9% Lower Brule Sioux Tribe G.O. VRDB, Series 1999, Tribal Purposes (Wells Fargo Bank LOC), 1.99%, 1/7/05 930 930 South Dakota Economic Development Finance Authority Revenue VRDB, Series 1996 (AMT), Hastings Filters, Inc. Project (Fifth Third Bank LOC), 2.06%, 1/7/05 6,210 6,210 South Dakota Housing Development Authority VRDB, Series 2003C2 (AMT), Merrill Lynch P-Floats PT-837, (General Electric Capital Corp. Insured), (1) 2.09%, 1/7/05 60 60 South Dakota Housing Development Authority VRDB, Series 2003C2 (AMT), Merrill Lynch P-Floats PT-889 (General Electric Capital Corp. Insured), (1) 2.09%, 1/7/05 3,610 3,610 South Dakota Housing Development Authority VRDB, Series 2003-11 (AMT), State Street Clipper Trust, (1) 2.11%, 1/7/05 24,815 24,815 ------ ------ 35,625 ------ ------ TENNESSEE - 2.5% Blount County Public Building Authority VRDB, Series A-2-G, Local Public Improvement Bonds (AMBAC Insured), 2.18%, 1/3/05 1,410 1,410 Chattanooga Industrial Development Board Lease Rent Revenue Bonds, Citicorp Eagle Trust Series 20004202 (AMBAC Insured), (1) 2.04%, 1/7/05 6,000 6,000
MONEY MARKET FUNDS 34 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TENNESSEE - 2.5% - (CONTINUED) Gordon County Hospital Authority VRDB, Series 1996A, Adventist Health System Sunbelt (SunTrust Bank LOC), 2.14%, 1/7/05 770 770 Jackson City Industrial Development Board Waste Facilities VRDB, Series 1995 (AMT), Florida Steel Corp. Project (Bank of America LOC), 2.05%, 1/7/05 6,000 6,000 Loudon IDR VRDB, Series 2002 (AMT), Continental Carbonic Products (JPMorgan Chase Bank LOC), 2.29%, 1/7/05 3,125 3,125 Memphis-Shelby County Airport Authority Revenue VRDB, Series 1999C (AMT), Wachovia MERLOTS (AMBAC Insured), (1) 2.11%, 1/7/05 14,815 14,815 Metropolitan Government Nashville & Davidson Counties Revenue Bonds, Series 2001B1, (Ascension Health Gtd.), 1.65%, 8/3/05 5,000 5,000 Series 2001B2, (Ascension Health Gtd.), 1.20%, 1/4/05 18,000 18,000 Metropolitan Government Nashville & Davidson Counties Electric Revenue Bonds, Citicorp Eagle Trust Series 984201, (1) 2.04%, 1/7/05 5 5 Metropolitan Government Nashville & Davidson Health & Education Revenue Bonds, Vanderbilt University Project, 1.05%, 1/15/05 5,000 5,000 1.05%, 1/15/05 15,000 15,000 Metropolitan Nashville Airport Authority Revenue Bonds, Series 2003, Passenger Facility Charge (SunTrust Bank LOC), 2.06%, 1/7/05 7,225 7,225 Metropolitan Nashville & Davidson Counties Educational Facilities Authority VRDB, Series 2002A, Belmont University Project (SunTrust Bank LOC), 2.00%, 1/7/05 2,910 2,910 Metropolitan Nashville & Nashville Health & Education Service VRDB, Series 1996A, Adventist Health System (SunTrust Bank LOC), 2.00%, 1/7/05 4,055 4,055 Nashville & Davidson Counties Housing Revenue VRDB, Series 1995A (AMT), Old Hickory Towers Project (FHLB LOC), 2.12%, 1/7/05 1,700 1,700
MONEY MARKET FUNDS 35 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TENNESSEE - 2.5% - (CONTINUED) Rutherford County Industrial Development Board VRDB, Series 1999A (AMT), Tennessee Farmers Co-Op Project (Amsouth Bank of Birmingham LOC), 2.10%, 1/7/05 2,110 2,110 Sevier County Public Building Authority VRDB, Series 2000 IV-B-8, Local Government Improvement Bonds (FSA Corp. Insured), 2.18%, 1/3/05 625 625 Shelby County Health, Educational and Housing Facilities Board VRDB, Memphis University School Project (SunTrust Bank LOC), 2.02%, 1/7/05 4,800 4,800 Shelby County Health, Educational and Housing Facilities Board VRDB, Series 2001, Youth Villages (Allied Irish Bank LOC), 2.03%, 1/7/05 2,200 2,200 Sumner County School Capital Outlay Notes, (SunTrust Bank LOC), 2.00%, 1/7/05 2,000 2,000 ------ ------- 102,750 ------ ------- TEXAS - 18.4% Aldine Independent School District G.O. Refunding VRDB, Soc Gen Municipal Securities Trust Receipts Series 1997 SGB29 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 8,950 8,950 Austin Airport System Notes VRDN, Series 1998A (AMT), (JPMorgan Chase Bank LOC), 2.02%, 1/7/05 25,200 25,200 Austin Water and Wastewater System Revenue Bonds, Wachovia MERLOTS Series 2000LLL (MBIA Insured), (1) 2.06%, 1/7/05 7,470 7,470 Austin Water and Wastewater System Revenue Bonds, Series 2003, Wachovia MERLOTS Series 2003-B27 (MBIA Insured), (1) 2.06%, 1/7/05 9,990 9,990 Bastrop Independent School District VRDN, Series 1997, Soc Gen Municipal Securities Trust Receipts Series SGB37 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 18,870 18,870 Bexar County Housing Finance Corp. VRDB, Series 2003 (AMT), Primrose Jefferson Plaza (Bank of America LOC), 2.06%, 1/7/05 12,000 12,000
MONEY MARKET FUNDS 36 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TEXAS - 18.4% - (CONTINUED) Bexar County Revenue Bonds, Series 2001-3, State Street Clipper Trust (MBIA Insured), (1) 1.60%, 3/10/05 12,620 12,620 Bexar County Housing Finance Corp. VRDB, Series 2004 (AMT), Rosemont at Acme Apartments Project (Wachovia Bank LOC), 2.03%, 1/7/05 6,750 6,750 Brazos River Harbor Naval District VRDB, Series 1996 (AMT), BASF Corp. Project (BASF Corp. Gtd.), 2.21%, 1/3/05 25,000 25,000 Brazos River Harbor Naval District VRDB, Series 2002 (AMT), BASF Corp. Project (BASF Corp. Gtd.), 2.05%, 1/7/05 1,100 1,100 Brazos River Texas Naval District Brazoria County VRDB (AMT), BASF Corp. Project (BASF Corp. Gtd.), 2.21%, 1/3/05 15,000 15,000 Brazos River Texas PCR Bonds (AMT), TXU Electric Company Project (Credit Suisse First Boston LOC), Series 2001D-1, 2.03%, 1/7/05 30,800 30,800 Series 2001D-2, 2.03%, 1/7/05 23,400 23,400 Calhoun County Navigation IDA, Series 1994(AMT), Formosa Plastic Corp. (Bank of America LOC), 2.03%, 1/7/05 35,700 35,700 Calhoun County Navigation District VRDB, Series 2004 (AMT), Formosa Plastic Corp. (Wachovia Bank LOC), 2.04%, 1/7/05 6,890 6,890 Calhoun County Navigation IDA Port Revenue VRDB, Series 1998 (AMT), (BP PLC Gtd.), 2.21%, 1/3/05 2,000 2,000 Comal Independent School District VRDB, ABN AMRO MuniTops Certificates Series 1999-9 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 1,800 1,800 Cypress-Fairbanks Independent School District VRDB, Citicorp Eagle Trust Series 20004304 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 7,640 7,640
MONEY MARKET FUNDS 37 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TEXAS - 18.4% - (CONTINUED) Dallas Fort Worth Airport VRDB, Series 1999 (AMT), Flight Safety Project (OBH, Inc. Gtd.), 2.02%, 1/7/05 10,000 10,000 Dallas Fort Worth International Airport Revenue VRDB, Series 2001A (AMT), Wachovia MERLOTS Series 2002-A13 (FGIC Insured), (1) 2.11%, 1/7/05 9,605 9,605 Dallas Fort Worth Regional Airport Revenue Refunding Bonds, Series 1995, SocGen Municipal Trust SGB5 (FGIC Insured), (1) 2.04%, 1/7/05 13,310 13,310 Dallas G.O. Refunding VRDB, Series 1998, Morgan Stanley Floating Rate Trust Certificates, Series 93, (1) 2.03%, 1/7/05 3,400 3,400 Dallas HFA Multifamily Revenue Bonds (AMT), Southern Terrace Apartments (JP Morgan Chase Bank LOC), 2.06%, 1/7/05 6,990 6,990 Denton Industrial School District Variable Rate Certificates, Series 2004C, Piper Jaffray Funding LLC (PSF of Texas Gtd.), (1) 2.07%, 1/7/05 12,705 12,705 El Paso City Housing Financing Corp. Housing Revenue Bonds, Series 1993 (AMT), Viva Apartments Project (General Electric Capital Corp. LOC), 2.08%, 1/7/05 3,500 3,500 El Paso Housing Finance Corp. SFM Revenue VRDB, Series 2001E, (1) 2.07%, 1/7/05 8,995 8,995 Galveston County Housing Finance Corp. SFM VRDN (AMT), Merrill Lynch P-Floats Series PT-205 (Colld. by GNMA Securities), (1) 2.08%, 1/7/05 3,260 3,260 Gulf Coast Waste Disposal Authority Revenue Bonds, Series 2001 (AMT), American Acrylic Project (JPMorgan Chase Bank LOC), 2.05%, 1/7/05 25,000 25,000 Gulf Coast Waste Disposal Authority Revenue Bonds, Series 1999 (AMT), Air Products & Chemicals Project (Air Products & Chemicals Gtd.), 2.10%, 1/7/05 7,000 7,000 Gulf Coast Waste Disposal Authority Revenue Bonds, Series 2004A (AMT), Waste Management Project (JPMorgan Chase Bank LOC), 2.05%, 1/7/05 4,500 4,500
MONEY MARKET FUNDS 38 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TEXAS - 18.4% - (CONTINUED) Haltom Industrial Development Corp. Revenue Bonds, Series 1995, Molded Products Co. Project (Bank of America LOC), 2.08%, 1/7/05 2,200 2,200 Harris County Development Corp. IDR VRDB, Series 2000 (AMT), North American Galvanizing (JPMorgan Chase Bank LOC), 2.13%, 1/7/05 3,510 3,510 Harris County Health Facilities Development Corp. Revenue Bonds, Wachovia MERLOTS Series 2001-A87 (United States Treasuries Escrowed), (1) 2.06%, 1/7/05 2,850 2,850 Harris County Industrial Development Corp. Solid Waste Disposal VRDB (AMT), Series 2004A, Deer Park Refining (Deer Park Refining Gtd.), 2.25%, 1/3/05 50,100 50,100 Harris County Senior Lien Toll Road VRDB, Series 2002, Wachovia MERLOTS Series 2003-B16 (FSA Corp. Insured), (1) 2.06%, 1/7/05 12,995 12,995 Houston Housing Finance Corp. Revenue Bonds, Series 2004 (AMT), Mayfair Park Apartments (FNMA LOC), 2.03%, 1/7/05 3,000 3,000 Houston Utilities System Revenue Bonds, Series 2004C13, Wachovia MERLOTS (MBIA Insured), (1) 2.06%, 1/7/05 7,700 7,700 Irving Independent School District VRDB, Series 2004A, (PSF of Texas Gtd.), 2.10%, 8/1/05 10,000 10,029 Keller Independent School District VRDB, ABN AMRO MuniTops 2001-26 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 6,500 6,500 La Marque Independent School District, Series 2003, Citigroup ROC 1058 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 8,190 8,190 Leander Independent School District Revenue Bonds, ABN AMRO MuniTops Series 2002-16 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 5,500 5,500 Northside Independent School District School Building Bonds, Series 2002A, ABN AMRO MuniTops 2003-28 (PSF of Texas Gtd.), (1) 2.04%, 1/7/05 9,870 9,870 Northside Independent School District School Building Bonds, Series 2003 (PSF of Texas Gtd.), 1.67%, 6/15/05 6,245 6,245
MONEY MARKET FUNDS 39 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TEXAS - 18.4% - (CONTINUED) Nueces River Authority Water Supply VRDN, Eagle Trust Series 97430, Corpus Christi Lake Project (FSA Corp. Insured), (1) 2.04%, 1/7/05 16,600 16,600 Port Arthur Navigation District Industrial Development VRDB (AMT), Air Products & Chemicals, Inc. (Air Products & Chemicals, Inc. Gtd.), 2.10%, 1/7/05 17,500 17,500 Port Arthur Navigation District Revenue VRDN, Series 1998 (AMT), BASF Corp. Project (BASF Corp. Gtd.), 2.21%, 1/3/05 5,000 5,000 Richmond Higher Education Corp. VRDB, Series 2003A, Bayou University Project (AMBAC Insured), 2.02%, 1/7/05 6,500 6,500 San Antonio Independent School District Revenue Bonds, Series 2001B, ABN AMRO MuniTops 2001-29 (PSF of Texas Gtd.), (1) 1.13%, 2/16/05 19,995 19,995 San Antonio Multifamily Housing Revenue Bond, Series 2002 (AMT), Roaring Fork Series 2002-10 (GNMA Colld.), (1) 2.14%, 1/7/05 7,285 7,285 State of Texas TRAN, Series 2004, 3.00%, 8/31/05 126,400 127,401 Tarrant County Housing Finance Corp. Multifamily VRDB, Merrill Lynch P-Floats Series PT-473 (FHLMC Gtd.), (1) 2.04%, 1/7/05 5,755 5,755 Texas City Industrial Development Corp. VRDB, Wachovia MERLOTS Series 2000-A34, Arco Pipeline Project (BP PLC Gtd.), (1) 2.06%, 1/7/05 3,925 3,925 Texas State Department Housing and Community Affairs Residential Mortgage Revenue Bonds (AMT), Merrill Lynch P-Floats PT-1192 (Colld. by GNMA Securities), (1) 2.08%, 1/7/05 1,355 1,355 Texas State Department Housing and Community Affairs Residential Mortgage Revenue Bonds, Series B (AMT), State Street Clipper Trust 2001-1, (1) 1.65%, 3/10/05 9,596 9,596 Texas State Department Housing and Community Affairs VRDB, Merrill Lynch P-Floats PT-1868 (Merrill Lynch & Co., Inc. Gtd.), (1) 2.12%, 1/7/05 3,975 3,975
MONEY MARKET FUNDS 40 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) TEXAS - 18.4% - (CONTINUED) Texas State Department of Housing & Community Affairs VRDB, Series 1996D (AMT), Wachovia MERLOTS Series 2002-A58 (MBIA Insured), (1) 2.11%, 1/7/05 3,450 3,450 Texas State Department of Housing & Community Affairs VRDB, Series 2002A (AMT), Wachovia MERLOTS Series 2003-A08 (Colld. by U.S. Government Agency Securities), (1) 2.11%, 1/7/05 4,700 4,700 Texas University VRDB, Series 2003B, Wachovia MERLOTS Series 2003-B14, (1) 2.04%, 1/7/05 7,800 7,800 Texas Veterans Housing Assistance G.O. VRDB (AMT), Merrill Lynch P-Floats Series PT-524, (1) 2.08%, 1/7/05 5,745 5,745 Wallis Higher Education Facilities VRDB, Series 2003, St. Marks Episcopal School Project (JPMorgan Chase Bank LOC), 2.00%, 1/7/05 1,270 1,270 ----- ------- 735,986 ----- ------- UTAH - 1.6% Intermountain Power Agency Supply Revenue VRDN, Citicorp Eagle Trust CR-331 (FSA Corp. Insured), (1) 2.04%, 1/7/05 4,800 4,800 Salt Lake City Utah Assessment Revenue Bonds VRDB, Series 2003, Gateway Project (Citibank LOC), 2.00%, 1/7/05 7,300 7,300 Utah Associate Municipal Power System VRDB, Citigroup ROCS Series RR II R 2016 (FSA Corp. Insured), (1) 2.04%, 1/7/05 5,250 5,250 Utah HFA SFM VRDB, Series 2001A2-CLIII (AMT), Wachovia MERLOTS Series 2001-A14, (1) 2.11%, 1/7/05 3,390 3,390 Utah HFA VRDB (AMT), Wachovia MERLOTS Series 2001-A62, (1) 2.11%, 1/7/05 3,410 3,410 Utah Housing Corp. Multifamily Revenue Bonds, Series 2004A (AMT), Tanglewook Apartments Project (Citibank LOC), 2.03%, 1/7/05 9,000 9,000
MONEY MARKET FUNDS 41 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) UTAH - 1.6% - (CONTINUED) Utah Water Finance Agency Revenue VRDB, (AMBAC Insured), Series 2002A5, 2.05%, 1/7/05 5,450 5,450 Series 2003A7, 2.05%, 1/7/05 9,600 9,600 Series 2003A9, 2.02%, 1/7/05 15,000 15,000 ------ ------ 63,200 ------ ------ VERMONT - 0.2% Vermont Education Health Building Finance Agency VRDB, Series 2004A, Stratton Mountain School Ski (SunTrust Bank LOC), 2.02%, 1/7/05 6,800 6,800 ------ ------ VIRGINIA - 0.2% Botetourt County IDA VRDN (AMT), Valley Forge Co. Project (Harris Trust & Savings Bank LOC), 2.06%, 1/7/05 2,200 2,200 Emporia City IDA IDR Bonds, Series 1999 (AMT), (Bank of America LOC), 2.05%, 1/7/05 1,910 1,910 University of Virginia Rector & Visitors VRDB, Series 2003B, Wachovia MERLOTS Series 2003-B31, (1) 2.06%, 1/7/05 3,585 3,585 ------ ------ 7,695 ------ ------ WASHINGTON - 5.0% Bremerton County Revenue Bonds, Series 2000, Kitsap Regional Conference Center Parking (Bank of America LOC), 2.05%, 1/7/05 2,500 2,500 Chelan County Public Utilities District Revenue VRDB (AMT), Wachovia MERLOTS Series 2000-R, (1) 2.11%, 1/7/05 10,000 10,000 Columbia Energy Northwest VRDB, Series 2002A, Wachovia MERLOTS Series 2004-A04 (MBIA Insured), (1) 2.06%, 1/7/05 4,200 4,200 King County Housing Authority VRDN (AMT), Overlake Todd Project (Bank of America LOC), 2.05%, 1/7/05 5,785 5,785
MONEY MARKET FUNDS 42 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) WASHINGTON - 5.0% - (CONTINUED) King County Housing Authority VRDN, Series 2001B (AMT), Overlake Todd Project (Bank of America LOC), 2.05%, 1/7/05 4,000 4,000 King County Sewer Revenue VRDB, Wachovia MERLOTS Series 2000-E (FGIC Insured), (1) 2.06%, 1/7/05 9,525 9,525 Port Bellingham Industrial Development Corp. VRDB, Series 2003 (AMT), BP Amoco West Coast Products LLC (BP PLC Gtd.), 2.23%, 1/3/05 9,825 9,825 Port Seattle VRDB, Series 1999B (AMT), Wachovia MERLOTS Series 2002-B04 (FGIC Insured), (1) 2.11%, 1/7/05 3,970 3,970 Washington Economic Development Finance Authority VRDB, Series 2000C (AMT), American Millwork Project (KeyBank LOC), 2.08%, 1/7/05 3,825 3,825 Washington Economic Development Finance Authority VRDB, Series 2002E (AMT), Waste Management, Inc. Project (JP Morgan Chase Bank LOC), 2.05%, 1/7/05 5,000 5,000 Washington State G.O. Refunding VRDB, Citicorp Eagle Trust Series 1993C, (1) 2.04%, 1/7/05 12,047 12,047 Washington State G.O. Various Purpose Bonds, Citicorp Eagle Trust Series 2000B, (1) 2.04%, 1/7/05 10,365 10,365 Washington State G.O. VRDN, Wachovia MERLOTS Series 2001-A54, (1) 2.06%, 1/7/05 4,115 4,115 Washington State Finance Commission VRDB, Series 2000A (AMT), Carlyle Care Center Project (U.S. Bank LOC), 2.15%, 1/3/05 3,055 3,055 Washington State Higher Education Facilities VRDB, Series 2003A, Cornish College of Arts Project (Bank of America LOC), 2.05%, 1/7/05 2,100 2,100 Washington State Housing Finance Authority SFM Revenue Bonds (AMT), Merrill Lynch P-Floats PT-838 (AIG Matched Funding Insured), (1) 2.09%, 1/7/05 2,520 2,520
MONEY MARKET FUNDS 43 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) WASHINGTON - 5.0% - (CONTINUED) Washington State Housing Finance Commission VRDB, Series 2002A (AMT), Bridgewood Four Seasons (FNMA Gtd.), 2.03%, 1/7/05 5,860 5,860 Washington State Housing Finance Commission VRDB, Series 2002A (AMT), Heatherwood Apartments (U.S. Bank LOC), 2.32%, 1/3/05 2,815 2,815 Washington State Housing Finance Commission VRDB (AMT), Rosemont Apartment Project (BNP Paribas LOC), 2.16%, 1/3/05 2,890 2,890 Washington State Housing Finance Commission VRDB, Series 2004A (AMT), Silver Creek Retirement Project (Wells Fargo Bank LOC), 2.14%, 1/3/05 7,140 7,140 Washington State Housing Finance Commission, Series 2003A (AMT), Woodland Retirement Project (Wells Fargo Bank LOC), 2.14%, 1/3/05 3,425 3,425 Washington State Housing Finance Authority VRDB, Series 1994 (AMT), Canyon Lakes II Project (Wells Fargo Bank LOC), 2.02%, 1/7/05 6,530 6,530 Washington State Housing Finance Commission Revenue Bonds, Series 2003A (AMT), Auburn Meadows Project (Wells Fargo Bank LOC), 2.15%, 1/3/05 6,020 6,020 Washington State Housing Finance Commission SFM Revenue VRDB, Series 2002-3AR (AMT), Wachovia MERLOTS Series 2002-A29, (1) 2.11%, 1/7/05 4,145 4,145 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 1994 (AMT), Arbors on the Park Project (General Electric Capital Corp. LOC), 2.08%, 1/7/05 8,450 8,450 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 1999A (AMT), Assisted Living Project (U.S. Bank LOC), 2.10%, 1/7/05 1,130 1,130 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 1999A, Mill Pointe Apartments Project (U.S. Bank LOC), 2.32%, 1/3/05 6,725 6,725 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 2001 (AMT), Springfield Meadows Apartments Project (U.S. Bank LOC), 2.32%, 1/3/05 8,050 8,050 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 2001A (AMT), Monticello Park Project (FNMA Gtd.), 2.03%, 1/7/05 6,285 6,285
MONEY MARKET FUNDS 44 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) WASHINGTON - 5.0% - (CONTINUED) Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 2004 (AMT), Ballinger Court Senior Apartments Project (FNMA Gtd.), 2.03%, 1/7/05 4,640 4,640 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 2004 (AMT), Rolling Hills Apartments Project (Bank of America LOC), 2.20%, 1/3/05 6,125 6,125 Washington State Housing Finance Commission Multifamily Revenue VRDB, Series 2004A (AMT), Terrace Senior Apartments (FNMA LOC), 2.03%, 1/7/05 8,520 8,520 Washington State Housing Finance Commission VRDB, Series 1994, Rockwood Retirement Community Program (Wells Fargo LOC), 2.10%, 1/3/05 100 100 Washington State Housing Finance Commission Non Profit Revenue VRDB, Series 2002, Rockwood Retirement Communities (Wells Fargo Bank LOC), 2.10%, 1/3/05 4,560 4,560 Washington State Housing Finance Commission Non Profit Revenue VRDB, Series 2000, University Prep Academy Project (Bank of America LOC), 2.05%, 1/7/05 4,300 4,300 Washington State Housing Finance Commission Non Profit Revenue VRDB, Series 2003, Franke Tobey Jones Project (Wells Fargo Bank LOC), 2.10%, 1/3/05 4,200 4,200 Washington State VRDB, Series 2003, Association of Commercial & Migrant Health Centers (U.S. Bank LOC), 2.05%, 1/7/05 5,370 5,370 ----- ------- 200,112 ----- ------- WEST VIRGINIA - 0.2% Cabell County Revenue VRDB, Series 2001, Huntington YMCA (JPMorgan Chase Bank LOC), 2.10%, 1/7/05 3,345 3,345 Marion County Solid Waste Disposal Revenue VRDB, Series B (AMT), Granttown Project (National Westminster Bank LOC), 2.00%, 1/7/05 2,800 2,800 West Virginia EDA IDR VRDN, Series 1999 (AMT), Rubberlite, Inc. Project (JPMorgan Chase Bank LOC), 2.13%, 1/7/05 3,600 3,600 ----- ------- 9,745 ----- -------
MONEY MARKET FUNDS 45 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) WISCONSIN - 1.8% Marshfield City IDR VRDB, Series 2001 (AMT), Wick Building Systems, Inc. Project (JPMorgan Chase Bank LOC), 2.19%, 1/7/05 4,275 4,275 Mequon IDR Bonds Series 2001A (AMT), Gateway Plastic (JPMorgan Chase Bank LOC), 2.24%, 1/7/05 1,000 1,000 Milwaukee IDR VRDB (AMT), R & B Wagner (JPMorgan Chase Bank LOC), 2.19%, 1/7/05 4,470 4,470 Milwaukee Redevelopment Authority Revenue VRDB, Series 2000 (AMT), Capital Stampings Corp. Project (JPMorgan Chase Bank LOC), 2.15%, 1/7/05 5,970 5,970 Oak Creek IDR VRDB, Series 1999A (AMT), Fort Howard Steel, Inc. Project (Marshall & Ilsley Bank LOC), 2.13%, 1/7/05 5,325 5,325 Oostburg IDR VRDB, Series 2002 (AMT), Dutchland Plastics Corp. (U.S. Bank LOC), 2.10%, 1/7/05 2,510 2,510 University of Wisconsin Hospital and Clinics Revenue Bonds, Wachovia MERLOTS Series 2000-RR (FSA Corp. Insured), (1) 2.06%, 1/7/05 4,000 4,000 Wisconsin Health and Educational Facilities Authority VRDB, Meriter Hospital, Inc. Project (Marshall & Ilsley Bank LOC), 2.27%, 1/3/05 1,400 1,400 Wisconsin Health and Educational Facilities Authority VRDB, Series 2001, Riverview Hospital Association (U.S. Bank LOC), 2.27%, 1/3/05 4,850 4,850 Wisconsin Health and Educational Facilities Authority VRDB, Series 2003, Mequon Jewish Project (JPMorgan Chase Bank LOC), 2.03%, 1/7/05 3,600 3,600 Wisconsin Health and Educational Facilities Revenue Bonds, St. Joseph Community Hospital (Marshall & Ilsley Bank LOC), 2.03%, 1/7/05 7,215 7,215
MONEY MARKET FUNDS 46 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) WISCONSIN - 1.8% - (CONTINUED) Wisconsin Health and Educational Facilities VRDB, Pooled Financing Program (Marshall & Ilsley Bank LOC), Series 2002C, 2.14%, 1/7/05 1,950 1,950 Series 2002D, 2.14%, 1/7/05 2,690 2,690 Series 2002G, 2.14%, 1/7/05 1,250 1,250 Wisconsin Health and Educational Facilities VRDB, Series 2001, Lutheran College (U.S. Bank LOC), 2.27%, 1/3/05 4,100 4,100 Wisconsin Health and Educational Facilities VRDB, Series 2002A, Vernon Memorial Hospital (U.S. Bank LOC), 2.27%, 1/3/05 5,200 5,200 Wisconsin State Health and Education Facilities Revenue VRDB, Series 2003, Agnesian Healthcare Project (Marshall & Ilsley Bank LOC), 2.27%, 1/3/05 4,500 4,500 Wisconsin State Health and Education Facilities Revenue VRDB, Series 2003, Mercy Health Systems (Marshall &Ilsley Bank LOC), 2.03%, 1/7/05 7,520 7,520 ------ ------ 71,825 ------ ------ WYOMING - 0.3% Green River PCR VRDB, Series 1992 (AMT), Rhone-Poulene (Comerica Bank LOC), 2.25%, 1/7/05 10,800 10,800 ------ ------ MULTIPLE STATES POOLED SECURITIES - 4.4% Charter Mac Floater Certificates Trust I, Series 2000 (AMT), (MBIA Insured), (1) 2.12%, 1/7/05 6,100 6,100 Charter Mac Floater Certificates, Series 2001 (AMT), (1) National-2 (MBIA Insured), 2.12%, 1/7/05 20,000 20,000 Charter Mac Low Floater Certificates Trust I, Series 2002 (AMT), National-3 (MBIA Insured), (1) 2.12%, 1/7/05 15,000 15,000
MONEY MARKET FUNDS 47 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- MUNICIPAL INVESTMENTS - 100.0% - (CONTINUED) MULTIPLE STATES POOLED SECURITIES - 4.4% - (CONTINUED) Clipper Tax-Exempt Certificates, Multistate Tax-Exempt Certificates, Series 1998A, (1) 2.11%, 1/7/05 33,140 33,140 Series 1999-3, (1) 2.19%, 1/7/05 25,365 25,365 National FHLMC Multifamily VRDN, Series M002 (AMT) (FHLMC Gtd.), 2.19%, 1/7/05 31,488 31,488 SunAmerica Pooled Multifamily Series 2001-2A (AMT) (FHLMC Gtd.), (1) 2.09%, 1/7/05 46,855 46,855 ------ --------- 177,948 ------ --------- TOTAL MUNICIPAL INVESTMENTS (COST $4,002,499) 4,002,499 ------ ---------
NUMBER OF SHARES VALUE (000S) (000S) --------- ------- INVESTMENT COMPANIES - 0.0% AIM Tax-Exempt Cash Fund 65 65 Dreyfus Tax-Exempt Cash Management Fund 62 62 Merrill Lynch Institutional Tax-Exempt Fund 285 285 --- ---------- TOTAL INVESTMENT COMPANIES (COST 412) 412 --- ---------- TOTAL INVESTMENTS - 100.0% (COST $4,002,911) (2) $4,002,911
MONEY MARKET FUNDS 48 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) At December 31, 2004, the Municipal Money Market Fund's investments were diversified as follows:
INDUSTRY SECTOR PERCENTAGE --------------- ---------- Air Transportation & Transportation Services 5.6% Air, Water Services & Solid Waste Management 6.6 Educational Services 7.1 Electrical and Water Services 6.7 Executive, Legislative & General Government 18.0 General Medical, Health Services, and Nursing Facilities 5.6 Housing Programs 18.7 Miscellaneous Manufacturing and Mining 5.8 Real Estate 5.5 All other sectors less than 5% 20.4 ----- TOTAL 100.0%
(1) Securities exempt from registration under Rule 144A of the Securities Act of 1933. These securities may be resold in transactions exempt from registration, normally to qualified institutional buyers. At December 31, 2004, the value of these securities amounted to approximately $1,175,038,000 or 29.4% of total investments. (2) The cost for federal income tax purposes was $4,202,911 MONEY MARKET FUNDS 49 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the total investments. Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate. Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities. EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS AMBAC American Municipal Bond Assurance Corporation AMT Alternative Minimum Tax BAN Bond Appreciation Notes Colld. Collateralized COP Certificate of Participation EDA Economic Development Authority FGIC Financial Guaranty Insurance Corporation FHLB Federal Home Loan Bank FHLMC Freddie Mac FNMA Fannie Mae FSA Financial Security Assurance GIC Guaranteed Investment Contract GNMA Government National Mortgage Association G.O. General Obligation Gtd. Guaranteed HFA Housing Finance Authority IDA Industrial Development Authority IDR Industrial Development Revenue MONEY MARKET FUNDS 50 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION MUNICIPAL MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) LOC Letter of Credit MBIA Municipal Bond Insurance Association MERLOTS Municipal Exempt Receipts Liquidity Optional Tender PCR Pollution Control Revenue P-Floats Puttable Floating Rate Security PCR Pollution Control Revenue PSF Permanent School Fund RAN Revenue Anticipation Note ROCS Reset Option Certificates SFM Single Family Mortgage SGB Societe Generale Bank Soc Gen Societe Generale TAN Tax Anticipation Notes TAW Tax Anticipation Warrants TOB Tender Option Bond TRAN Tax and Revenue Anticipation Notes TRB Tax Revenue Bonds VRD Variable Rate Demand VRDB Variable Rate Demand Bonds VRDN Variable Rate Demand Notes MONEY MARKET FUNDS 51 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS U.S. GOVERNMENT MONEY MARKET FUND DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 82.4% (1) FANNIE MAE - 52.2% FNMA Discount Notes, 2.03%, 1/12/05 $ 1,108 $ 1,107 2.29%, 1/24/05 1,009 1,008 2.06%, 2/1/05 9,000 8,984 2.30%, 2/1/05 9,796 9,776 2.27%, 2/2/05 8,369 8,352 2.02%, 2/4/05 1,000 998 2.20%, 2/4/05 5,000 4,990 2.30%, 2/16/05 1,046 1,043 2.30%, 2/23/05 3,254 3,243 2.38%, 2/23/05 2,878 2,868 2.34%, 3/1/05 15,209 15,151 2.35%, 3/4/05 1,000 996 1.95%, 3/9/05 21,315 21,238 2.42%, 3/9/05 5,563 5,538 1.95%, 3/16/05 10,000 9,960 2.38%, 3/16/05 2,000 1,990 2.45%, 3/16/05 4,536 4,513 2.45%, 3/23/05 28,095 27,939 2.46%, 3/23/05 5,000 4,972 2.45%, 3/30/05 5,000 4,970 2.47%, 3/30/05 5,000 4,970 2.00%, 4/1/05 1,157 1,151 2.10%, 4/15/05 10,000 9,939 2.51%, 6/1/05 5,000 4,947 2.61%, 6/15/05 20,000 19,761 2.62%, 6/15/05 2,819 2,785 2.10%, 6/24/05 1,005 995 2.15%, 6/24/05 7,103 7,029 FNMA FRN, 1.92%, 1/7/05 25,000 25,000 2.23%, 1/7/05 5,000 4,997 1.96%, 1/18/05 5,000 5,000 2.29%, 1/18/05 5,000 4,999 2.02%, 1/28/05 3,000 3,000 2.30%, 1/31/05 3,000 2,998 2.31%, 3/6/05 15,000 14,990 2.33%, 3/9/05 10,000 9,994 FNMA Notes, 7.13%, 2/15/05 9,150 9,203 5.75%, 6/15/05 1,000 1,015 --------- -------- 272,409 --------- -------- FEDERAL FARM CREDIT BANK - 9.6% FFCB FRN, 2.32%, 1/17/05 20,000 19,999 2.33%, 1/25/05 25,000 24,996 2.34%, 1/25/05 5,000 4,999 --------- -------- 49,994 --------- --------
MONEY MARKET FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS U.S. GOVERNMENT MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 82.4% (1) - CONTINUED FEDERAL HOME LOAN BANK - 4.2% FHLB Discount Notes, 2.24%, 5/4/05 $ 3,000 $ 2,977 FHLB FRN, 2.34%, 1/25/05 2,000 2,000 2.11%, 2/9/05 5,000 4,996 2.17%, 2/16/05 5,000 4,996 2.41%, 3/15/05 5,000 5,000 FHLB Notes, 1.41%, 5/9/05 2,000 1,992 --------- --------- 21,961 --------- --------- FREDDIE MAC - 14.4% FHLMC Discount Notes, 2.00%, 1/11/05 2,600 2,600 2.29%, 1/24/05 2,407 2,403 1.99%, 3/8/05 2,000 1,993 1.95%, 3/15/05 5,000 4,980 2.38%, 3/15/05 5,000 4,976 2.00%, 3/21/05 1,200 1,195 2.10%, 3/29/05 3,396 3,379 2.00%, 4/5/05 3,500 3,482 2.10%, 4/5/05 1,930 1,919 2.07%, 6/30/05 5,000 4,948 FHLMC FRN, 2.09%, 2/4/05 25,000 24,999 2.42%, 3/9/05 3,000 3,000 FHLMC Notes, 1.88%, 1/15/05 13,500 13,496 6.88%, 1/15/05 1,700 1,703 --------- --------- 75,073 --------- --------- OVERSEAS PRIVATE INVESTMENT CORP. - 2.0% Participation Certificates Series 33IG, 2.40%, 1/5/05 4,345 4,345 Series 118-2003-475-IG, 2.40%, 1/5/05 6,000 6,000 --------- --------- 10,345 --------- --------- TOTAL U.S. GOVERNMENT AGENCIES (COST $429,782) 429,782 --------- ---------
MONEY MARKET FUNDS 2 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS U.S. GOVERNMENT MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- REPURCHASE AGREEMENTS - 17.6% (COLLD. AT A MINIMUM OF 102% BY U.S. TREASURY BONDS/NOTES) JOINT REPURCHASE AGREEMENTS - 8.0% Bank of America Securities LLC, dated 12/31/04, repurchase price $13,957 1.60%, 1/3/05 $ 13,955 $ 13,955 Morgan Stanley & Co., Inc., dated 12/31/04, repurchase price $9,305 1.50%, 1/3/05 9,303 9,303 Societe Generale - New York Branch, dated 12/31/04, repurchase price $4,652 1.60%, 1/3/05 4,652 4,652 UBS Securiites LLC, dated 12/31/04, repurchase price $13,957 1.60%, 1/3/05 13,955 13,955 --------- --------- 41,865 --------- --------- (COLLD. AT A MINIMUM OF 102% BY U.S. TREASURY BONDS/NOTES) REPURCHASE AGREEMENTS - 9.6% Lehman Brothers, Inc., dated 12/31/04, repurchase price $25,186 2.34%, 1/3/05 25,184 25,184 Bear Stearns, Inc., dated 12/31/04, repurchase price $25,003 2.36%, 1/3/05 25,000 25,000 --------- --------- 50,184 --------- TOTAL REPURCHASE AGREEMENTS (COST $92,049) 92,049 --------- --------- TOTAL INVESTMENTS - 100.0% (COST $521,831) (2) $ 521,831
(1) The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury (2) The cost for federal income tax purposes was $521,831. MONEY MARKET FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION U.S. GOVERNMENT MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the total investments. Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate. Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities. Colld. Collateralized FFCB Federal Farm Credit Bank FHLB Federal Home Loan Bank FHLMC Freddie Mac FNMA Fannie Mae FRN Floating Rate Notes MONEY MARKET FUNDS 4 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS U.S. GOVERNMENT SELECT MONEY MARKET FUND DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 100% (1) FEDERAL FARM CREDIT BANK - 14.9 FFCB Discount Notes, 1.97%, 1/3/05 $ 14,000 $ 13,999 2.20%, 1/13/05 1,400 1,399 2.25%, 1/19/05 1,000 999 1.85%, 2/2/05 2,892 2,887 2.07%, 4/18/05 5,000 4,969 FFCB FRN, 2.21%, 1/4/05 25,000 24,994 2.26%, 1/4/05 15,000 14,997 2.24%, 1/7/05 25,000 24,995 2.33%, 1/13/05 25,000 24,995 2.36%, 1/13/05 10,000 9,999 2.32%, 1/17/05 20,000 19,999 2.30%, 1/18/05 8,000 7,996 2.32%, 1/20/05 5,000 5,000 2.33%, 1/21/05 1,300 1,299 2.34%, 1/24/05 10,000 9,999 2.33%, 1/25/05 25,000 24,996 2.34%, 1/25/05 10,000 9,999 2.35%, 1/25/05 20,000 19,997 2.33%, 1/29/05 5,000 4,999 --------- --------- 228,517 --------- --------- FEDERAL HOME LOAN BANK - 76.9% FHLB Discount Notes, 1.25%, 1/3/05 180,723 180,710 1.85%, 1/3/05 23,527 23,524 1.86%, 1/3/05 20,000 19,998 2.02%, 1/3/05 200,000 199,978 2.05%, 1/4/05 25,000 24,996 2.00%, 1/5/05 4,900 4,899 1.90%, 1/7/05 1,500 1,500 2.05%, 1/7/05 4,200 4,198 2.25%, 1/7/05 1,800 1,799 2.25%, 1/13/05 10,282 10,274 2.00%, 1/14/05 1,400 1,399 2.16%, 1/14/05 5,600 5,596 2.26%, 1/14/05 9,000 8,993 2.28%, 1/14/05 1,296 1,295 2.20%, 1/19/05 3,950 3,946 2.22%, 1/19/05 1,267 1,265 2.25%, 1/19/05 5,550 5,544 2.00%, 1/21/05 1,000 999 2.20%, 1/21/05 3,100 3,096 2.18%, 1/26/05 7,000 6,989 2.24%, 1/26/05 20,000 19,969
MONEY MARKET FUNDS 1 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS U.S. GOVERNMENT SELECT MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ------- U.S. GOVERNMENT AGENCIES - 100% (1) - (CONTINUED) FEDERAL HOME LOAN BANK - 76.9% - (CONTINUED) FHLB Discount Notes - (Continued) 2.25%, 1/26/05 $ 25,000 $ 24,961 2.26%, 1/26/05 150,000 149,765 2.21%, 1/28/05 85,000 84,859 2.22%, 2/1/05 30,000 29,943 2.28%, 2/11/05 11,111 11,082 2.34%, 2/14/05 1,091 1,088 1.85%, 2/18/05 15,872 15,833 2.30%, 2/18/05 1,800 1,794 2.32%, 3/2/05 1,300 1,295 1.98%, 3/9/05 1,000 996 2.30%, 3/9/05 15,000 14,935 2.31%, 3/9/05 23,697 23,596 1.94%, 3/11/05 20,000 19,925 2.00%, 3/15/05 1,000 996 1.94%, 3/16/05 25,000 24,900 2.04%, 3/23/05 1,495 1,488 2.07%, 4/15/05 24,500 24,353 2.10%, 4/20/05 15,000 14,905 2.24%, 5/4/05 10,000 9,923 FHLB FRN, 1.96%, 1/5/05 15,000 15,000 2.23%, 1/5/05 20,000 19,993 2.31%, 1/18/05 20,000 19,993 2.34%, 1/25/05 5,000 5,000 2.11%, 2/9/05 10,000 9,992 2.17%, 2/16/05 15,000 14,986 2.41%, 3/15/05 19,000 18,999 2.45%, 3/21/05 20,000 19,998 FHLB Notes, 4.13%, 1/14/05 19,315 24,330 6.20%, 1/21/05 1,000 1,002 4.00%, 2/15/05 1,050 1,052 4.38%, 2/15/05 1,000 1,002 1.63%, 4/15/05 5,875 5,862 2.08%, 4/15/05 12,570 12,554 1.41%, 5/9/05 5,000 4,981 1.63%, 6/15/05 7,245 7,215 1.80%, 6/15/05 7,000 6,973 6.96%, 6/15/05 4,200 4,283 --------- ----------- 1,180,819 --------- -----------
MONEY MARKET FUNDS 2 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS SCHEDULE OF INVESTMENTS U.S. GOVERNMENT SELECT MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED)
PRINCIPAL AMOUNT VALUE (000S) (000S) --------- ----------- U.S. GOVERNMENT AGENCIES - 100% (1) - (CONTINUED) TENNESSE VALLEY AUTHORITY - 8.2% Tennessee Valley Authority Bond, 6.38%, 6/15/05 $ 11,850 $ 12,047 Tennessee Valley Authority Discount Notes, 2.22%, 1/20/05 1,500 1,498 1.93%, 1/3/05 113,000 112,988 --------- ----------- 126,533 --------- ----------- TOTAL U.S. GOVERNMENT AGENCIES (COST $1,535,869) 1,535,869 --------- ----------- TOTAL INVESTMENTS - 100% (COST $1,535,869) (2) $ 1,535,869 --------- -----------
(1) The obligations of certain U.S. Government-sponsored entities are neither issued nor guaranteed by the United States Treasury. (2) The cost for federal income tax purposes was $1,535,869. MONEY MARKET FUNDS 3 NORTHERN FUNDS QUARTERLY REPORT MONEY MARKET FUNDS ABBREVIATIONS AND OTHER INFORMATION U.S. GOVERNMENT SELECT MONEY MARKET FUND (CONTINUED) DECEMBER 31, 2004 (UNAUDITED) With respect to the Schedule of Investments, the percentage shown for each investment category reflects the value of investments in that category as a percentage of the total investments. Interest rates represent either the stated coupon rate, annualized yield on date of purchase for discounted notes, or, for floating rate securities, the current reset rate. Maturity dates represent either the stated date on the security or the next interest reset/puttable date for floating and variable rate securities. EXPLANATION OF ABBREVIATIONS USED THROUGHOUT THE SCHEDULE OF INVESTMENTS FFCB Federal Farm Credit Bank FHLB Federal Home Loan Bank FRN Floating Rate Notes MONEY MARKET FUNDS 4 NORTHERN FUNDS QUARTERLY REPORT ITEM 2. CONTROLS AND PROCEDURES. (a) The registrant's principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant's disclosure controls and procedures (as defined in Rule 30a-3(c) under the 1940 Act) are effective, based on the evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act and Rule 15d-15(b) under the Securities Exchange Act of 1934, as amended, as of a date within 90 days of the filing date of this report. (b) There were no changes in the registrant's internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act that occurred during the registrant's last fiscal quarter that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting. ITEM 3. EXHIBITS. (a) Separate certifications for the principal executive and principal financial officers of the registrant as required by Rule 30a-2(a) under the 1940 Act are attached hereto. 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. (Registrant) Northern Funds -------------- By: /s/ Lloyd A. Wennlund -------------------------------------------- Lloyd A. Wennlund, President (Principal Executive Officer) Date: February 28, 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. (Registrant) Northern Funds -------------- By: /s/ Lloyd A. Wennlund -------------------------------------------- Lloyd A. Wennlund, President (Principal Executive Officer) Date: February 28, 2005 ----------------- By: /s/ Stuart N. Schuldt -------------------------------------------- Stuart Schuldt, Treasurer (Principal Financial Officer) Date: February 28, 2005 ----------------- -3-