-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, UvwNgxOos9lQfxrg/XcW0YWJCgNBvDYkDPnG43F3DD7j4MHkk9OeKvFhPxnoT7vx /6sHbgqYU3hJsukdKAKzHQ== 0000093621-00-000007.txt : 20000309 0000093621-00-000007.hdr.sgml : 20000309 ACCESSION NUMBER: 0000093621-00-000007 CONFORMED SUBMISSION TYPE: N-30D PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19991231 FILED AS OF DATE: 20000308 FILER: COMPANY DATA: COMPANY CONFORMED NAME: ROCHESTER FUND MUNICIPALS CENTRAL INDEX KEY: 0000093621 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-GROCERY STORES [5411] IRS NUMBER: 160473255 STATE OF INCORPORATION: MA FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: N-30D SEC ACT: SEC FILE NUMBER: 811-03614 FILM NUMBER: 563588 BUSINESS ADDRESS: STREET 1: 350 LINDEN OAKS CITY: ROCHESTER STATE: NY ZIP: 14625-2807 BUSINESS PHONE: 7163838700 MAIL ADDRESS: STREET 1: 350 LINDEN OAKS CITY: ROCHESTER STATE: NY ZIP: 14625-2807 FORMER COMPANY: FORMER CONFORMED NAME: ROCHESTER FUND MUNICIPALS INC DATE OF NAME CHANGE: 19920521 FORMER COMPANY: FORMER CONFORMED NAME: MARTEK INVESTORS INC/NY DATE OF NAME CHANGE: 19860302 FORMER COMPANY: FORMER CONFORMED NAME: STAR SUPERMARKETS INC DATE OF NAME CHANGE: 19830104 N-30D 1 ROCHESTER FUND MUNICIPALS [logo] Rochester Fund Municipal [graphic of NY state map] [Rochester Fund Municipals bullet logo] ANNUAL REPORT December 31, 1999 Tax-Free Income for New York Investors [logo] OppenheimerFunds(R) The Right Way to Invest (front cover) "The more you dig, the better Rochester Fund Municipals looks. - ------------------------- Its long-term returns all rank in its category's best decile, and its yield is well above average." [Rochester Fund Municipals bullet logo] Morningstar's Rochester Fund Municipals Analysis August 20, 1999 Morningstar, Inc. is a nationally recognized mutual fund rating service. (inside front cover) [photo] Bridget A. Macaskill President Rochester Fund Municipals DEAR SHAREHOLDER, - -------------------------------------------------------------------------------- Whenever a new year begins -- let alone a new decade or century -- it makes sense to pause a moment to assess where we've been and where we're going. In retrospect, U.S. stocks and bonds in 1999 were subject to sudden and substantial swings in investor sentiment because of economic uncertainty. When the year began, investors were concerned that growth in the United States might slow in response to economic weakness overseas. At mid-year, investors were concerned that the economy was too strong, potentially rekindling inflationary pressures. Yet, by year end, it became clearer that while the U.S. economy grew robustly in 1999, inflation remained at low levels. Indeed, investors appeared more comfortable with the economy after the Federal Reserve Board demonstrated its inflation-fighting resolve by raising interest rates three times between June and November. As is normal in a rising-interest-rate environment, bond prices generally declined in 1999, led lower by U.S. Treasury bonds. In the stock market, while most major indices advanced, strong performance was mostly limited to a handful of large-capitalization growth companies, principally in the technology arena. Smaller and value-oriented stocks provided particularly lackluster returns, and overall, foreign stocks outperformed U.S. stocks in 1999. Looking forward, we expect the U.S. economy to remain on a moderate-growth, low-inflation course. As recent revisions of 1999's economic statistics demonstrated, the economy has defied many analysts' forecasts by growing at a strong rate, which should be positive for the bond market. Similarly, positive economic forces could help the stock market's performance broaden to include value-oriented and smaller stocks. We see particularly compelling opportunities outside of the U.S. market. Many foreign stocks also ended 1999 more attractively valued than large-cap U.S. stocks, and economic trends in overseas markets could lead to higher stock prices. In Europe, corporate restructuring has just begun, giving companies there the same potential for cost-cutting and productivity improvements that U.S. companies enjoyed ten years ago. In Japan and Asia, economic recovery is expected to gain strength, which could allow stocks to rally from relatively low levels. Another 1999 trend that should remain in force in 2000 is the growth of businesses related to the Internet. The rise of e-commerce has been good for consumers and the economy because of greater price competition, which has helped keep inflation under control. The Internet has also been good for investors, as even companies with no earnings have seen their stock prices soar. Clearly, while the Internet is here to stay, not all "dot-com" companies will survive, and many of these high-flying Internet stocks will eventually -- and perhaps very suddenly -- return to more reasonable levels. The long-term winners are most likely to be companies that support the Internet's growth with content or infrastructure. What else is in store for investors in 2000? While we do not have an infallible crystal ball, we believe that in almost any investment environment, consistent success stems from an unwavering focus on fundamental investment principles such as maintaining a long-term perspective, using diversification to manage risks, and availing oneself of the services of a knowledgeable financial advisor. Indeed, these principles serve as the foundation for every investment we offer, helping to make OppenheimerFunds The Right Way to Invest in 2000 and beyond. Sincerely, /s/ Bridget A. Macaskill Bridget A. Macaskill January 24, 2000 These general market views represent opinions of OppenheimerFunds, Inc. and are not intended to predict or depict performance of any particular fund. Specific discussion, as it applies to your Fund, is contained in the pages that follow. 1 ROCHESTER FUND MUNICIPALS THE "ROCHESTER" WAY WITH MUNICIPAL BONDS - -------------------------------------------------------------------------------- [Rochester Fund Municipals bullet] [Oppenheimer PA Municipal Fund bullet] [Limited Term NY Municipal Fund bullet] OppenheimerFunds, Inc. has operated as an investment advisor since 1960. As of December 31, 1999, OppenheimerFunds, Inc. (including subsidiaries) manages assets of more than $120 billion, including investment companies with more than 5 million shareholder accounts. The Rochester Division of OppenheimerFunds, Inc., located in Rochester, New York, is dedicated to the investment management and distribution of regional municipal bond funds. These Funds -- Rochester Fund Municipals, the Limited Term New York Municipal Fund, and the Oppenheimer Pennsylvania Municipal Fund -- pursue an investment approach that is intentionally limited to specific sectors and regions of the municipal market.(1) Most investors recognize that the greatest advantage of mutual fund investing is professional management: the devotion of an investment team to broadly diversify the fund's portfolio, continually review each holding and analyze new issues. All to reduce the potential impact of adversity and create an investment with the potential to earn high yields. Here in Rochester, we believe that the strengths of our portfolio management style go even further. In addition to reviewing the broad spectrum of New York municipal issues generally available, Rochester Fund Municipals pursues special situations often overlooked by the market in general. When properly investigated, selected for their potential and folded into the portfolio, these issues not only broaden diversity but have the potential to increase the Fund's yield as well. We look to smaller issuers throughout the State, because they typically provide higher yields than larger issuers of equivalent credit quality. Smaller issuers are also receptive to our preference for graduated payment of principal, creating a "sinking fund" payment schedule that enables us to accelerate the debt schedule, thereby both increasing the return on investment and reducing the duration of the loan. We believe that careful credit research on unrated issues can also be very rewarding, as some highly creditworthy issuers intentionally opt to forego the expense of obtaining a credit rating. We analyze unrated issues to determine the true risks weighed against their yield, in hopes of providing shareholders with a favorable risk/reward trade-off. Our commitment to internal investment research also enables us to focus our attention on premium callable bonds, delving beyond the call date and analyzing the bonds' structure and covenants. This process helps us isolate characteristics that indicate whether the issue may go 2 ROCHESTER FUND MUNICIPALS uncalled long after a stated call date, thereby providing above-market yields and very low price volatility. And we "scavenger hunt" in the secondary markets, seeking to purchase bonds in small quantities -- below $100,000 -- that add incrementally small but eventually significant yield to the portfolio. Refined since the inception of Rochester Fund Municipals in May of 1986, the unique investment approach of each of these Funds has proven to be beneficial. Evaluating and negotiating these opportunities takes time and effort, but we believe if you are paying for portfolio management, you should demand and receive the extra effort and resourcefulness necessary to enhance the portfolio. 1. The Oppenheimer Pennsylvania Municipal Fund is not available in all states. Please consult your financial advisor for more details. THE FUND'S DIVERSIFIED PORTFOLIO - -------------------------------------------------------------------------------- Diversification is one way Rochester Fund Municipals really stands out from the competition. We feel that merely concentrating the portfolio in a few, highly rated issues would dilute a primary advantage of mutual fund investing -- professional management. Instead, we strategically arrange a variety of bonds from many municipal sectors throughout New York State. We rely on our own research to assess the value of those under consideration. And we capitalize on our market experience and trading strategies when buying investments that have met our criteria. As of December 31, 1999, Rochester Fund Municipals' portfolio consisted of nearly 1,100 different securities. Here's the percentage breakdown: BY MUNICIPAL SECTOR ON 12/31/99 AS A PERCENTAGE OF INVESTMENTS Portfolio data are subject to change and are dollar-weighted based on the total market value of investments. Hospital/Healthcare* 16.4% - --------------------------------------- Multifamily Housing 9.3% - --------------------------------------- Electric Utilities 8.2% - --------------------------------------- General Obligation 7.3% - --------------------------------------- Municipal Leases 6.7% - --------------------------------------- Special Assessment 6.3% - --------------------------------------- Adult Living Facilities 5.5% - --------------------------------------- Manufacturing, Non-Durable Goods 5.1% - --------------------------------------- Single Family Housing 5.1% - --------------------------------------- Marine/Aviation Facilities 5.0% - --------------------------------------- Resource Recovery 5.0% - --------------------------------------- Nonprofit Organization 4.2% - --------------------------------------- Manufacturing, Durable Goods 3.6% - --------------------------------------- Higher Education 3.2% - --------------------------------------- Water Utilities 2.2% - --------------------------------------- Education 2.1% - --------------------------------------- Sales Tax Revenue 1.6% - --------------------------------------- Highways/Railways 1.3% - --------------------------------------- Other 1.9% - --------------------------------------- TOTAL 100.0% HOSPITAL/HEALTHCARE IN DETAIL Insured (Private Municipal Bond Insurance) 4.8% - ------------------------------------------------------------ Insured (FHA or SONYMA Insurance) 4.0% - ------------------------------------------------------------ Backed, New York State Appropriations 1.9% - ------------------------------------------------------------ Backed, (Financial Institution Letter of Credit) 0.5% - ------------------------------------------------------------ Backed, New York City Moral Obligation 0.5% - ------------------------------------------------------------ Prerefunded 0.3% - ------------------------------------------------------------ Neither insured or otherwise enhanced 4.4% - ------------------------------------------------------------ TOTAL 16.4% * While the Fund's largest municipal sector continues to be Hospital/Healthcare, investors should note that the majority of these holdings have a "belt-and-suspenders" credit support of both the hospitals' revenues and backup guarantees of U.S. government FHA insurance, bank letters of credit, or New York State appropriations. 3 ROCHESTER FUND MUNICIPALS [photo] Ronald H. Fielding, CFA Founded the Rochester Funds in May, 1983. Ron is joined by his portfolio management team of Anthony A. Tanner, CFA and Daniel G. Loughran, CFA DEAR FELLOW SHAREHOLDERS, - -------------------------------------------------------------------------------- We are pleased to provide shareholders of Rochester Fund Municipals with the Fund's 1999 Annual Report. In this time of high taxes, the Fund has continued its efforts to provide tax relief by seeking a high level of tax-free income for shareholders.(1) The Fund experienced only one dividend adjustment throughout the year -- an increase from $0.085 to $0.087 per Class A share, effective with the May 1999 monthly distribution. (Please note your May statement for details, including the proportional increase in Class B and Class C shares.) As we enter the new year, we believe the Fund's yield is very compelling when compared to other New York municipal funds. In fact, according to Lipper Analytical Services, Inc., and as of December 31, 1999, the Fund's distribution yield of 6.22% at Net Asset Value was significantly higher than the 5.01% median yield of 102 long-term New York municipal bond funds.(2) The New York State economy grew significantly last year, with declining unemployment rates and generally stronger government revenues. New York City in particular, our largest credit in the portfolio, was upgraded during the year by Fitch IBCA from A- to A, and many of our state agency bonds were also upgraded. The one significant issue in New York State whose credit was downgraded in 1999, Nassau County General Obligation bonds, is not held by the Fund at all. But, while the improving national economy helped produce budget surpluses and credit upgrades in New York, it caused the Federal Reserve Board and investors to worry about higher inflation rates in the future. As a result, interest rates rose, and this adversely affected bond prices, including those held by Rochester Fund Municipals. In general, municipals did fare better than U.S. government bonds, but nearly all bond indices posted negative returns for the year. Which may lead you to ask 'what should I do now?' We would like to take this opportunity to encourage you to concentrate not on short-term market cycles, but rather on your long-term financial goals. The financial markets have always moved in cycles, and they will continue to do so. We further suggest that you continue to seek the advice of your financial advisor, to help you maintain a focused, balanced investment portfolio. Lastly, as your municipal bond portfolio managers, we ask you to consider the current market environment with the same enthusiasm that we share. Down markets can create exceptional buying opportunities for investors who choose to seek good long-term value. We currently see those values throughout New York State and look forward to reporting on the Fund's progress in coming quarters. Sincerely, /s/ Ronald Fielding Ronald H. Fielding, CFA Senior Vice President, OppenheimerFunds, Inc. February 10, 2000 1. During the last fiscal year, Rochester Fund Municipals did not pay capital gains distributions. However, some investors may still be subject to the alternative minimum tax, in which case a portion of the Fund's distributions may increase that tax. Please see page 43 for details. 2. Rochester Fund Municipals' (Class A shares) provided a 30-day SEC yield of 4.85%, also higher than the 4.68% median yield of 102 long-term New York municipal bond funds calculated by Lipper. Lipper calculations of performance rankings do not reflect sales charges, but do assume the reinvestment of dividends and capital gains distributions. Distribution yield at NAV (based on last distribution) is annualized and divided by period-end Net Asset Value. Standardized yield (based on net investment income for the 30-day period ended 12/31/99) is annualized and divided by the period-end offering price. Falling net asset values will tend to artificially raise yields. All performance information provided represents past performance and is not predictive of future investment performance. The investment return and principal value of an investment in the Fund will fluctuate with market conditions, so that shares, on any given day or when redeemed, may be worth more or less than their original cost. 4 ROCHESTER FUND MUNICIPALS [photo] The Rochester Funds Investment Team (l to r) RONALD H. FIELDING, CFA Senior Vice President, Portfolio Manager and Chief Strategist, Rochester Division ANTHONY A. TANNER, CFA Vice President and Portfolio Manager, Rochester Division DANIEL G. LOUGHRAN, CFA Vice President and Senior Research Analyst, Rochester Division RICHARD A. STEIN, CFA Vice President-Credit Analysis, Rochester Division JAMES E. BRAGG Credit Analyst, Rochester Division CHRISTOPHER D. WEILER, CFA Assistant Vice President-Credit Analysis, Rochester Division MANAGEMENT DISCUSSION AND ANALYSIS - -------------------------------------------------------------------------------- The past year was a challenging year for bond investors. The Federal Reserve Board believed that sustained economic growth had created the potential for inflationary pressures, and in June began raising short-term interest rates. Under the leadership of Chairman Alan Greenspan, the Federal Reserve raised the target on "Fed funds" (the overnight borrowing rate between banks) by 0.25% on three separate occasions -- June 30, August 24 and November 16, 1999. Investors should recall that these increases only offset the three distinct 0.25% decreases which occured in the last quarter of 1998. Such a market downturn reminds us of the nine months ended November, 1994 - -- what many analysts reported to be the sharpest decline in bond prices in over 60 years. And, while as of December 31, 1999, the decline has been of smaller magnitude, some comparisons can offer insight into both the market and our consistent investment philosophy. In 1999, the Bond Buyer 40 Bond Index, (a broad national index of municipal bond prices), declined in value 13.8%.(1) During the same period the Net Asset Value (NAV) of Rochester Fund Municipals Class A shares declined 10.8%.(2) (Please remember, this is a decline in share value and not representative of the Fund's overall performance. See the table of Average Annual Total Returns for complete details.) In other words, the Fund's Class A shares experienced only 78% of the overall market's price decline. In comparison, 1994's Bond Buyer 40 Bond Index declined 18.1%, while the Fund's Class A NAV declined only 14.2%. That year, the Fund's Class A shares also experienced 78% of the overall market's price decline. This exhibits a fairly consistent ability to outperform this index in down markets. More importantly, it indicates the value of active management to reduce the impact of adversity. Can active management eliminate the impact of an overall market decline? No. By their very nature, municipal bond funds cannot run too far removed from the market cycles of municipal bonds. In fact, not one of the 102 New York State municipal debt funds tracked by Lipper Analytical Services, Inc. recorded a gain during the course of 1999.(3) The value of an investment through market cycles will exhibit volatility -- and, against a backdrop of record-breaking highs in the equity markets, even small losses can be considered significant. But remember, Rochester Fund Municipals also seeks to earn tax-free income, and the Fund continued to accomplish that goal throughout the year, providing Class A shareholders an annualized tax-free dividend yield of 6.22% (computed without sales charges) as of December 31, 1999. (Please note the charts indicating both the complete standardized yields and the 1999 fiscal year dividend history for the Fund.) In light of the year's performance, we remind our shareholders that, when you maintain a consistent investment philosophy and invest for the long term, you do not need to outperform in every calendar year in order to outperform in the long term. It would be nice to post only positive returns for every time period, but it is precisely the ebb and flow of financial markets that enables us to capture opportunity and seek healthy long-term performance. In fact, 1999 produced investment opportunities seldom seen in the municipal market. For the better part of the year, municipal bonds and municipal bond funds represented good value compared to most other asset classes. Typically, municipal bond yields are 80-85% of Treasury bond yields. They are lower because their exemption from federal income tax makes them more in demand by individual taxpayers. Yet toward the end of the year, we purchased bonds producing 95-100% of yields generated by comparable U.S. Treasury securities. (This market condition continues to exist -- see the section entitled "Why Now is a Good Time for Municipal Bonds," in this report.) And, as interest rates rose, the yield advantage offered by lower-rated issues increased, rewarding the efforts of our own internal research group. In our experience, we can remember few other times when the market has so clearly favored municipals -- especially considering that municipal income is generally free of federal, New York State and New York City personal income taxes.(4) The New York economy remained healthy through this reporting period, with numerous state agencies experiencing increases in their credit rating. New York State Appropriation Debt was also raised from a BBB+ to an A- credit by Standard and Poor's. New York municipal bonds have also been less volatile than other fixed income securities, including Treasury issues, during the period. As a matter of management style in virtually any economic environment, we seek to diversify the Fund's portfolio in an effort to minimize the potential impact of adversity in any one particular market sector, region or maturity. Despite the increased market demand for smaller issues (a direct result of the scarcity of larger, more popular paper), the Fund's investment strategy continued to successfully emphasize very broad diversification 5 ROCHESTER FUND MUNICIPALS MANAGEMENT DISCUSSION AND ANALYSIS continued - -------------------------------------------------------------------------------- with 1,135 different bonds (as of 12/31/99) from across New York State and qualified U.S. Possessions. Naturally, as we uncover new opportunities, the Fund's portfolio holdings and allocations are subject to change, and maintaining a well-balanced portfolio also requires selling issues that no longer provide the risk/reward characteristics that most benefit our shareholders. As such, we reduced our investments in both escrow-to-maturity bonds and zero-coupon bonds. There was also an increase in the number of older issues in our portfolio that were "called" away, causing us to return to the markets and secure issues typically of longer maturities. As issues were traded, the Fund remained fully invested throughout the year. During the last few weeks of 1999, the municipal market was much less liquid than normal, which we believe was due to many factors, but primarily an unwarranted Y2K anxiety. As a result, many municipal issues considered less liquid were priced at much lower levels than we felt they deserved. As the year progresses, we fully expect to see improvement in overall liquidity and pricing of municipal issues, including many in our portfolio, that more truly reflects the value of assets in this class. Further into 2000, can we anticipate continued growth in the U.S. economy? We agree with the Federal Reserve's view that the U.S. economy is very strong, and that they must remain vigilant for signs of inflation which could lead to further increases in interest rates. But, as 1994 proved, economic cycles are just that -- cycles. Rising rates and declining prices can create buying opportunities, and the widening of credit spreads can only benefit buyers capable of conducting their own internal research to seek out real values. As markets stabilize -- which we fully anticipate at some point -- we expect Rochester Fund Municipals to provide investors with market-leading after-tax yields and to produce strong returns on a relative basis. 1. The Bond Buyer 40 Index is a broad national index of municipal bond prices, and is presented here for illustrative purposes only. Source: Bloomberg Business News. Used by permission. All rights reserved. Comparison to the Lehman Brothers Municipal Bond Index, another popular index more typically used in a comparison of the Fund's total return, is also included and can be found on page 7. 2. Rochester Fund Municipal's NAV calculations performed by the Rochester Division of OppenheimerFunds, Inc. 3. Source: Lipper Analytical Services, Inc. 4. A portion of the Fund's income distributions may be subject to income taxes. Capital gains distributions, if any, are taxable as capital gains. For investors subject to the alternative minimum tax, a portion of the Fund's distributions may increase that tax. TOTAL RETURN As of 12/31/99 Cumulative Average Annual NAV MOP NAV MOP - --------------------------------------------------------------- A SHARES - --------------------------------------------------------------- 1-Year -5.51% -9.99% -5.51% -9.99% - --------------------------------------------------------------- 5-Year 38.62% 32.04% 6.75% 5.72% - --------------------------------------------------------------- 10-Year 95.99% 86.67% 6.96% 6.44% - --------------------------------------------------------------- Life (5/15/86) 163.85% 151.31% 7.38% 7.00% - --------------------------------------------------------------- B SHARES - --------------------------------------------------------------- 1-Year -6.27% -10.73% -6.27% -10.73% - --------------------------------------------------------------- Life (3/17/97) 7.64% 4.82% 2.67% 1.70% - --------------------------------------------------------------- C SHARES - --------------------------------------------------------------- 1-Year -6.32% -7.21% -6.32% -7.21% - --------------------------------------------------------------- Life (3/17/97) 7.60% 7.60% 2.66% 2.66% - --------------------------------------------------------------- Total returns include changes in share price and reinvestment of dividends and capital gains distributions in a hypothetical investment for the periods shown. MOP stands for Maximum Offering Price, and calculations for Class A returns at MOP include the 4.75% maximum initial sales charge. Class B returns at MOP include the applicable contingent deferred sales charge of 5% (1-year) and 3% (life of class). Class C returns for the one-year period include the contingent deferred sales charge of 1%. An explanation of the different performance calculations is in the Fund's prospectus. Class B and C shares are subject to an annual 0.75% asset-based sales charge. NAV stands for Net Asset Value, and returns at NAV do not reflect payment of any sales charge. The Fund's performance may from time to time be subject to substantial short-term changes, particularly during periods of market or interest rate volatility. For updates on the Fund's performance, please contact your financial advisor, call us at 1-800-525-7048 or visit our website, www.oppenheimerfunds.com YIELDS As of 12/31/99 Dividend Yield Standardized At NAV At MOP Yield CLASS A 6.22% 5.93% 4.85% - --------------------------------------------------- CLASS B 5.19% 5.19% 4.22% - --------------------------------------------------- CLASS C 5.21% 5.21% 4.24% Dividend yield at MOP (based on last distribution) and standardized yield (based on net investment income for the 30-day period ended 12/31/99) are annualized and divided by period-end offering price. Dividend yield at NAV does not include sales charges. Falling share prices may artificially increase yields. DIVIDEND DISTRIBUTIONS 1/1/99 - 12/31/99 Dividend per Share (in cents) MONTH CLASS A CLASS B CLASS C - ------------------------------------------- January 8.5 7.3 7.3 - ------------------------------------------- February 8.5 7.2 7.3 - ------------------------------------------- March 8.5 7.3 7.3 - ------------------------------------------- April 8.5 6.9 7.0 - ------------------------------------------- May 8.7 7.5 7.5 - ------------------------------------------- June 8.7 7.5 7.5 - ------------------------------------------- July 8.7 7.2 7.2 - ------------------------------------------- August 8.7 7.5 7.5 - ------------------------------------------- September 8.7 7.5 7.6 - ------------------------------------------- October 8.7 7.3 7.3 - ------------------------------------------- November 8.7 7.6 7.6 - ------------------------------------------- December 8.7 7.3 7.3 This assumes shares were purchased and held for the entire accrual period. Since dividends accrue daily, your actual distributions will vary depending on the date you purchased your shares and any account activity during the month. Income distributions include all accrued income earned by the Fund during the reporting period. The Fund attempts to pay dividends on Class A shares at a constant level. There is no assurance that it will be able to do so. The Board of Trustees may change the targeted dividend rate at any time without prior notice to shareholders. Additionally, the amount of those dividends and the dividends paid on Class B and Class C shares may vary over time, depending upon market conditions, the composition of the Fund's portfolio, and expenses borne by the particular class of shares. Dividends and distributions paid on Class A shares will generally be higher than dividends for Class B and Class C shares, which normally have higher expenses than Class A. The Fund cannot guarantee that it will pay any dividends or distributions. The Fund's policy of seeking to maintain a steady dividend for its Class A shares did not materially affect portfolio strategies during its last fiscal year. 6 ROCHESTER FUND MUNICIPALS COMPARING THE FUND'S PERFORMANCE TO THE MARKET - -------------------------------------------------------------------------------- The graphs detail the performance of a hypothetical $10,000 investment in each class of shares of the Fund held until December 31, 1999. In the case of Class A shares, performance is measured over a 10-year period. In the case of Class B and Class C shares, performance is measured from inception of the respective class on March 17, 1997. The Fund's performance reflects the deduction of the 4.75% maximum initial sales charge on Class A shares, and the applicable contingent deferred sales charge for Class B and Class C shares. The graphs assume that all dividends and capital gains distributions, if any, were reinvested in additional shares. COMPARISON OF CHANGE IN VALUE OF $10,000 HYPOTHETICAL INVESTMENTS IN: Rochester Fund Municipals and Lehman Brothers Municipal Bond Index [line graph] CLASS A SHARES Rochester Fund Lehman Brothers Consumer Price Municipals Municipal Bond Index Index - ------------------------------------------------------------------- 12/31/89 9,525 10,000 10,000 - ------------------------------------------------------------------- 12/31/90 10,224 10,729 10,611 - ------------------------------------------------------------------- 12/31/91 11,531 12,031 10,936 - ------------------------------------------------------------------- 12/31/92 12,822 13,092 11,253 - ------------------------------------------------------------------- 12/31/93 14,694 14,700 11,562 - ------------------------------------------------------------------- 12/31/94 13,468 13,940 11,872 - ------------------------------------------------------------------- 12/31/95 15,972 16,374 12,173 - ------------------------------------------------------------------- 12/31/96 16,824 17,099 12,577 - ------------------------------------------------------------------- 12/31/97 18,541 18,671 12,791 - ------------------------------------------------------------------- 12/31/98 19,754 19,880 12,998 - ------------------------------------------------------------------- 12/31/99 18,668 19,472 13,386 - ------------------------------------------------------------------- Average Annual Total Return of Class A Shares of the Fund at 12/31/99(1) 1 Year -9.99% 5 Year 5.72% 10 Year 6.44% [line graph] CLASS B SHARES Rochester Fund Lehman Brothers Consumer Price Municipals Municipal Bond Index Index - ------------------------------------------------------------------ 03/17/97 10,000 10,000 10,000 - ------------------------------------------------------------------ 12/31/97 10,871 10,945 10,081 - ------------------------------------------------------------------ 12/31/98 11,485 11,655 10,244 - ------------------------------------------------------------------ 12/31/99 10,482 11,415 10,550 - ------------------------------------------------------------------ Average Annual Total Return of Class B Shares of the Fund at 12/31/99(2) 1 Year -10.73% Life of Class 1.70% [line graph] CLASS C SHARES Rochester Fund Lehman Brothers Consumer Price Municipals Municipal Bond Index Index - ------------------------------------------------------------------ 03/17/97 10,000 10,000 10,000 - ------------------------------------------------------------------ 12/31/97 10,887 10,945 10,081 - ------------------------------------------------------------------ 12/31/98 11,486 11,655 10,244 - ------------------------------------------------------------------ 12/31/99 10,760 11,415 10,550 - ------------------------------------------------------------------ Average Annual Total Return of Class C Shares of the Fund at 12/31/99(3) 1 Year -7.21% Life of Class 2.66% [key] (orange) Rochester Fund Municipals (green) Lehman Brothers Municipal Bond Index (black) Consumer Price Index 1. The average annual total returns are shown net of the applicable 4.75% maximum initial sales charge. 2. Class B shares of the Fund were first publicly offered on March 17, 1997. The average annual total returns are shown net of the applicable 5% and 3% contingent deferred sales charges (CDSC), respectively, for the one-year period and the life of class. The ending account value in the graph is net of the applicable 3% CDSC. 3. Class C shares of the Fund were first publicly offered on March 17, 1997. The average annual total returns are shown net of the applicable 1% CDSC for the one-year period. The performance information for the Lehman Brothers Municipal Bond Index in the graphs begins on 12/31/89 for Class A, and 3/31/97 for Class B and Class C. Index values use end-of-month values, and are available only in 1-month increments. Past performance is not predictive of future performance. Please note: graphs are not drawn to the same scale. The Fund's triple tax-free performance is compared to the performance of that of the Lehman Brothers Municipal Bond Index, an unmanaged index of a broad range of investment-grade municipal bonds that is widely regarded as a measure of the performance of the general municipal bond market, i.e. municipal bonds that are exempt from federal tax but not necessarily New York State or New York City taxes. Index performance reflects the reinvestment of dividends but does not consider the effect of capital gains or transaction costs, and none of the data in the graphs shows the effect of taxes. The Fund's performance reflects the effects of Fund business and operating expenses. While index comparisons may be useful to provide a benchmark for the Fund's performance, it must be noted that the Fund's investments are not limited to the securities in the index. The performance of the Fund is also compared to the Consumer Price Index, a non-securities index which measures changes in the inflation rate. 7 ROCHESTER FUND MUNICIPALS [bar chart] Yield Percentage Comparison As of 12/31/99 30-Year Treasury Yield 6.5% 30-Year Insured New York City Bond Yield 6.0% Taxable Equivalent Yield 11.1% Data Source: Bloomberg Business News. Taxable Equivalent Yield assumes the maximum combined federal, New York State and New York City personal income tax bracket. All figures are calculated as of 12/31/99 Although municipal bonds may be supported by private insurance or the taxing authority of a municipal issuer, they are subject to greater risk of default than U.S. Treasury bonds, which are guaranteed as to principal and interest by the U.S. government. WHY NOW IS A GOOD TIME FOR MUNICIPAL BONDS - -------------------------------------------------------------------------------- As of December 31, 1999, the opinion of many municipal bond fund managers - -- including us -- is that municipal bonds are "cheap to Treasuries." And, while that may be a convoluted turn of phrase, it means good news to municipal bond and bond fund investors as they ponder investment outcomes during the coming year. Early in 1999, as investors regained their confidence to return to riskier financial assets such as stocks and corporate bonds, the price of U.S. Treasuries declined sharply while municipal bond prices remained stable. As the year progressed, these riskier markets strengthened, raising fears of inflation and, ultimately, producing increased interest rates. And while higher rates continued to drive down the price of all fixed income investments, the spread, or difference, between the yields on Treasuries and the yields on municipal bonds of comparative maturities remained fairly constant. Consider this example: On December 31, 1999, AAA rated insured 30-year New York City municipal bonds yielded 6.0%, while the 30-year Treasury yielded 6.5%. But, while the highest rated municipal bond yields only 92% of its comparative Treasury, this is before any tax implications. And, while the income from either investment is generally exempt from state and local taxes, the municipal bond's income is also exempt from federal taxes. This means that, on a pre-tax basis, the taxable equivalent yield on such a hypothetical municipal bond fund investment is 11.1% for investors in the highest tax bracket. Municipal bonds aren't typically this cheap relative to Treasuries. The spread between the two yields tends to be considerably wider because both investors and issuers of municipal debt recognize the significance of taxable equivalent yields. To help you appreciate the significance, refer to the chart below. It will help you determine what you would need to earn from a taxable investment to match the hypothetical tax-free yields shown. TAX EXEMPT VS. TAXABLE YIELDS
Effective Effective Tax Taxable Rate Tax Taxable Rate Bracket Needed to Equal Bracket Needed to Equal 2000 Taxable Income NYC Residents Current Tax-free Rate NYS Residents Current Tax-free Rate - ----------------------------------------------------------------------------------------------------------------------------- Single Return Joint Return 5.5% 6.0% 6.5% 5.5% 6.0% 6.5% - ----------------------------------------------------------------------------------------------------------------------------- $ 25,001 - $ 26,250 $ 40,001 - $ 43,850 24.0% 7.2% 7.9% 8.6% 20.8% 7.0% 7.6% 8.2% - ----------------------------------------------------------------------------------------------------------------------------- $ 26,251 - $ 63,550 $ 43,851 - $105,950 35.6% 8.5% 9.3% 10.1% 32.9% 8.2% 9.0% 9.7% - ----------------------------------------------------------------------------------------------------------------------------- $ 63,551 - $132,600 $105,951 - $161,450 38.3% 8.9% 9.7% 10.5% 35.7% 8.6% 9.3% 10.1% - ----------------------------------------------------------------------------------------------------------------------------- $132,601 - $288,350 $161,451 - $288,350 42.8% 9.6% 10.5% 11.4% 40.4% 9.2% 10.1% 10.9% - ----------------------------------------------------------------------------------------------------------------------------- over $288,350 over $288,350 46.0% 10.2% 11.1% 12.0% 43.7% 9.8% 10.7% 11.6% - -----------------------------------------------------------------------------------------------------------------------------
The tax information and brackets listed above are believed to be current. The table assumes that an investor's highest tax bracket applies to the change in taxable income resulting from a switch between taxable and non-taxable investments, that the investor is not subject to the alternative minimum tax and that state tax payments are fully deductible from federal tax payments. Your actual tax bracket will vary depending on your income, investments and deductions. You should consult your tax advisor regarding current tax legislation and how tax laws affect your own personal financial situation. These calculations are for illustrative purposes only and are not intended to show the Fund's performance. FINANCIALS 8 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== MUNICIPAL BONDS AND NOTES--102.7% - ------------------------------------------------------------------------------------------------------------------------------------ New York--94.4% $ 185,000 Albany County IDA (Upper Hudson Library) 8.750 % 05/01/2007 $ 186,151 955,000 Albany County IDA (Upper Hudson Library) 8.750 05/01/2022 989,122 366,247 Albany Hsg. Authority 0.000 10/01/2012 (p) 110,713 620,000 Albany Hsg. Authority (Lark Drive) 5.500 12/01/2028 537,422 1,270,000 Albany IDA (Albany Medical Center) 6.000 05/01/2019 1,099,058 2,460,000 Albany IDA (Albany Medical Center) 6.000 05/01/2029 2,066,080 1,965,000 Albany IDA (Albany Medical Center) 8.250 08/01/2004 2,044,072 400,000 Albany IDA (Albany Municipal Golf Course Clubhouse) 7.500 05/01/2012 416,748 1,000,000 Albany IDA (Albany Rehab.) 8.375 06/01/2023 1,054,890 1,715,000 Albany IDA (MARA Mansion Rehab.) 6.500 02/01/2023 1,735,803 1,395,000 Albany IDA (Port of Albany) 7.250 02/01/2024 1,444,718 1,135,000 Albany IDA (Sage Colleges) 5.250 04/01/2019 995,577 1,760,000 Albany IDA (Sage Colleges) 5.300 04/01/2029 1,492,797 1,770,000 Albany Parking Authority 0.000 11/01/2017 597,835 2,170,000 Allegany County IDA (Cuba Memorial Hospital) 6.500 11/01/2009 2,009,203 4,230,000 Allegany County IDA (Cuba Memorial Hospital) 7.250 11/01/2019 3,790,165 4,200,000 Allegany County IDA (Houghton College) 5.250 01/15/2024 3,505,698 2,190,000 Amherst IDA (Amherst Rink) 5.650 10/01/2022 (p) 2,295,054 920,000 Amherst IDA (Asbury Pointe) 5.800 02/01/2015 815,276 3,000,000 Amherst IDA (Asbury Pointe) 6.000 02/01/2029 2,516,280 3,000,000 Appleridge Retirement Community 5.750 09/01/2041 2,757,960 915,000 Babylon IDA (JFB & Sons Lithographers) 7.625 12/01/2006 931,497 2,570,000 Babylon IDA (JFB & Sons Lithographers) 8.625 12/01/2016 2,664,807 1,330,000 Babylon IDA (WWH Ambulance) 7.375 09/15/2008 1,406,661 515,000 Batavia Hsg. Authority (Washington Towers) 6.500 01/01/2023 524,970 1,050,000 Battery Park City Authority 5.800 11/01/2022 999,568 700,000 Battery Park City Authority 0.000 06/01/2023 703,346 1,430,000 Bayshore HDC 7.500 02/01/2023 1,486,328 325,000 Beacon IDA (Craig House) 9.000 07/01/2011 325,611 1,000,000 Bethany Retirement Home 7.450 02/01/2024 1,102,150 1,065,000 Blauvelt Volunteer Fire Company 6.250 10/15/2017 987,873 35,000 Bleeker Terrace HDC 8.100 07/01/2001 35,229 45,000 Bleeker Terrace HDC 8.350 07/01/2004 45,348 900,000 Bleeker Terrace HDC 8.750 07/01/2007 908,703 6,965,000 Brookhaven IDA (Dowling College) 6.750 03/01/2023 7,062,371 690,000 Brookhaven IDA (Farber) (a) 6.375 (v) 12/01/2002 689,931 490,000 Brookhaven IDA (Farber) (a) 6.375 (v) 12/01/2004 489,951 410,000 Brookhaven IDA (Interdisciplinary School) 8.500 12/01/2004 431,012 3,220,000 Brookhaven IDA (Interdisciplinary School) 9.500 12/01/2019 3,514,244 2,425,000 Brookhaven IDA (Stony Brook Foundation) 6.500 11/01/2020 2,352,104 1,050,000 Brookhaven IDA (TDS Realty) (w) 6.550 12/01/2019 1,052,509 345,000 Broome County IDA (Binghamton Simulator) 8.250 01/01/2002 345,704 190,000 Broome County IDA (Industrial Park) 7.550 12/01/2000 189,865 195,000 Broome County IDA (Industrial Park) 7.600 12/01/2001 194,980 600,000 Capital District Youth Center 6.000 02/01/2017 585,270 500,000 Carnegie Redevelopment Corp. (a) 7.000 09/01/2021 510,380 6,250,000 Castle Rest Residential Health Care Facility 5.750 08/01/2037 5,762,875 1,745,000 Cattaraugus County IDA (Cherry Creek) 9.800 09/01/2010 1,830,051 4,360,000 Cattaraugus County IDA (Olean General Hospital) 5.250 08/01/2023 3,663,054 1,465,000 Cattaraugus County IDA (St. Bonaventure University) 5.450 09/15/2019 1,324,653 8,615,000 Cayuga County COP (Auburn Memorial Hospital) 6.000 01/01/2021 8,340,612
9 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 2,900,000 Chautauqua County IDA (Jamestown Devel. Corp.) 5.250 % 08/01/2028 $ 2,459,809 1,580,000 Chautauqua County IDA (Jamestown Devel. Corp.) 7.125 11/01/2008 1,496,323 3,395,000 Chautauqua County IDA (Jamestown Devel. Corp.) 7.125 11/01/2018 3,137,591 9,800,000 Chemung County IDA (St. Joseph's Hospital) 6.000 01/01/2013 8,984,150 10,165,000 Chemung County IDA (St. Joseph's Hospital) 6.350 01/01/2013 9,504,377 4,910,000 Chemung County IDA (St. Joseph's Hospital) 6.500 01/01/2019 4,483,910 1,000,000 Clifton Park Water Authority 5.000 10/01/2029 839,600 1,960,000 Clifton Springs Hospital & Clinic 7.650 01/01/2012 2,032,108 4,075,000 Clifton Springs Hospital & Clinic 8.000 01/01/2020 4,233,599 35,000 Cohoes GO 6.200 03/15/2012 33,471 25,000 Cohoes GO 6.200 03/15/2013 23,643 25,000 Cohoes GO 6.250 03/15/2014 23,465 25,000 Cohoes GO 6.250 03/15/2015 23,359 25,000 Cohoes GO 6.250 03/15/2016 23,083 530,000 Columbia County IDA (ARC) 7.750 06/01/2005 552,695 2,650,000 Columbia County IDA (ARC) 8.650 06/01/2018 2,845,517 520,000 Columbia County IDA (Berkshire Farms) 6.900 12/15/2004 530,962 1,855,000 Columbia County IDA (Berkshire Farms) 7.500 12/15/2014 1,934,839 30,000 Cortland County IDA (Paul Bunyon Products) 8.000 07/01/2000 30,293 3,500,000 Dutchess County IDA (Bard College) 7.000 11/01/2017 3,665,900 1,000,000 Dutchess County Res Rec (Solid Waste) 5.450 01/01/2014 976,390 1,700,000 Dutchess County Res Rec (Solid Waste) 6.800 01/01/2010 (p) 1,825,970 1,805,000 Dutchess County Res Rec (Solid Waste) 7.000 01/01/2010 (p) 1,947,884 1,540,000 Dutchess County Water & Wastewater Authority 0.000 06/01/2025 304,489 1,540,000 Dutchess County Water & Wastewater Authority 0.000 06/01/2026 284,946 1,000,000 Dutchess County Water & Wastewater Authority 0.000 06/01/2027 173,400 2,000,000 East Rochester Hsg. Authority (Linden Knoll) 5.350 02/01/2038 1,757,740 3,125,000 East Rochester Hsg. Authority (St. John's Meadows) 5.250 08/01/2038 2,687,375 3,250,000 East Rochester Hsg. Authority (St. John's Meadows) 5.675 08/01/2022 3,094,260 4,250,000 East Rochester Hsg. Authority (St. John's Meadows) 5.700 08/01/2027 4,017,142 4,095,000 East Rochester Hsg. Authority (St. John's Meadows) 5.950 08/01/2027 3,700,324 25,000 Elmira HDC 7.500 08/01/2007 25,280 3,320,000 Erie County IDA (Affordable Hospitality) (b) 9.250 12/01/2015 3,075,980 1,175,000 Erie County IDA (Air Cargo) 8.250 10/01/2007 1,203,376 2,380,000 Erie County IDA (Air Cargo) 8.500 10/01/2015 2,487,838 41,500,000 Erie County IDA (Canfibre Lackawanna) 9.050 12/01/2025 43,965,100 25,000 Erie County IDA (Episcopal Church Home) 5.875 02/01/2018 21,524 9,050,000 Erie County IDA (Episcopal Church Home) (w) 6.000 02/01/2028 7,646,254 3,230,000 Erie County IDA (Medaille College) 8.000 12/30/2022 3,415,531 2,655,000 Erie County IDA (Mercy Hospital) 6.250 06/01/2010 2,473,982 1,850,000 Essex County IDA (International Paper Co.) 5.500 08/15/2022 1,599,861 5,720,000 Franklin County IDA (Adirondack Medical Center) 5.500 12/01/2029 5,054,650 4,245,000 Franklin County SWMA 6.250 06/01/2015 4,118,244 535,000 Geneva IDA (Finger Lakes Cerebral Palsy) 8.250 11/01/2004 558,882 1,000,000 Geneva IDA (Finger Lakes Cerebral Palsy) 8.500 11/01/2016 1,047,470 890,000 Glen Cove IDA (SLCD) 6.875 07/01/2008 866,860 3,775,000 Glen Cove IDA (SLCD) 7.375 07/01/2023 3,552,539 16,855,000 Glen Cove IDA (The Regency at Glen Cove) 0.000 10/15/2019 (p) 4,596,527 1,055,000 Glen Cove IDA (The Regency at Glen Cove) 0.000 10/15/2019 287,709 2,375,000 Grand Central BID (Grand Central District Management) 5.250 01/01/2022 2,081,569 2,015,000 Groton Community Health Care Center 7.450 07/15/2021 2,207,050 735,000 Hamilton EHC (Hamilton Apartments) 11.250 01/01/2015 761,658 6,175,000 Hempstead IDA (Engel Burman Senior Hsg.) 6.250 11/01/2010 5,819,814 18,825,000 Hempstead IDA (Engel Burman Senior Hsg.) 6.750 11/01/2024 17,366,439
10 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 4,810,000 Hempstead IDA (Franklin Hospital Medical Center) 5.750 % 11/01/2008 $ 4,454,397 9,375,000 Hempstead IDA (Franklin Hospital Medical Center) 6.375 11/01/2018 8,332,781 6,355,000 Hempstead IDA (South Shore Y JCC) 6.750 11/01/2024 5,880,154 525,000 Herkimer County IDA (Burrows Paper) 7.250 01/01/2001 526,659 14,440,000 Herkimer County IDA (Burrows Paper) 8.000 01/01/2009 15,067,562 430,000 Herkimer Hsg. Authority 7.150 03/01/2011 438,019 60,000 Hsg. NY Corp. 5.500 11/01/2020 54,922 3,595,000 Hsg. NY Corp. 5.500 11/01/2020 3,310,420 990,000 Hudson IDA (Have) 8.125 12/01/2017 1,024,551 1,300,000 Hudson IDA (Wittcomm) 7.125 11/01/2009 906,750 1,000,000 Huntington Hsg. Authority (GJSR) 6.000 05/01/2029 863,880 2,500,000 Huntington Hsg. Authority (GJSR) 6.000 05/01/2039 2,120,125 935,000 Islip IDA (Leeway School) 9.000 08/01/2021 977,524 50,000 Islip IDA (WJL Realty) 7.800 03/01/2003 50,931 100,000 Islip IDA (WJL Realty) 7.850 03/01/2004 102,057 100,000 Islip IDA (WJL Realty) 7.900 03/01/2005 102,058 500,000 Islip IDA (WJL Realty) 7.950 03/01/2010 510,875 2,000,000 Islip Res Rec 6.500 07/01/2009 2,173,200 3,000,000 Kenmore Hsg. Authority (SUNY at Buffalo) 5.500 08/01/2024 2,686,320 410,000 L.I. Power Authority 5.125 12/01/2022 358,922 14,900,000 L.I. Power Authority 5.250 12/01/2026 13,120,940 6,800,000 L.I. Power Authority 5.500 12/01/2029 6,050,300 21,000,000 L.I. Power Authority RITES (a) 0.567 (f) 12/01/2022 10,535,280 5,905,000 L.I. Power Authority RITES (a) 0.579 (f) 12/01/2022 2,962,420 12,500,000 L.I. Power Authority RITES (a) 1.079 (f) 12/01/2026 6,530,000 13,000,000 L.I. Power Authority RITES (a) 2.057 (f) 12/01/2029 8,563,880 11,250,000 L.I. Power Authority RITES (a) 4.300 (f) 12/01/2029 7,411,050 2,650,000 Lockport HDC 6.000 10/01/2018 2,570,023 100,000 Lowville GO 7.200 09/15/2005 109,090 75,000 Lowville GO 7.200 09/15/2007 82,947 100,000 Lowville GO 7.200 09/15/2012 113,749 100,000 Lowville GO 7.200 09/15/2013 113,447 100,000 Lowville GO 7.200 09/15/2014 113,223 5,350,000 Lyons Community Health Initiatives Corp. 6.800 09/01/2024 5,493,487 4,585,000 Macleay Hsg. Corp. (Larchmont Woods) 8.500 01/01/2031 4,781,055 1,805,000 Madison County IDA (Oneida Healthcare Center) 6.100 07/01/2014 1,663,903 2,475,000 Mechanicsville HDC 6.900 08/01/2022 2,516,258 190,000 Middleton IDA (Flanagan Design & Display) 7.000 11/01/2006 181,456 690,000 Middleton IDA (Flanagan Design & Display) 7.500 11/01/2018 631,736 905,000 Middleton IDA (Fleurchem) 8.000 12/01/2016 943,653 3,955,000 Middletown IDA (Southwinds Retirement Home) 6.375 03/01/2018 3,575,241 3,740,000 Middletown IDA (Southwinds Retirement Home) 8.375 03/01/2018 (p) 4,176,159 660,000 Middletown IDA (YMCA) 6.250 11/01/2009 618,644 1,255,000 Middletown IDA (YMCA) 7.000 11/01/2019 1,149,078 75,000 Monroe County Airport Authority (GRIA) 7.250 01/01/2019 76,500 415,000 Monroe County COP 8.050 01/01/2011 422,375 4,260,000 Monroe County IDA (Al Sigl Center) 6.600 12/15/2017 3,983,100 1,590,000 Monroe County IDA (Al Sigl Center) 7.250 12/15/2015 1,595,183 3,080,000 Monroe County IDA (Brazill Merk) 7.900 12/15/2014 3,190,634 900,000 Monroe County IDA (Canal Ponds) 7.000 06/15/2013 951,768 10,000 Monroe County IDA (Cohber Press) 7.550 12/01/2001 10,018 10,000 Monroe County IDA (Cohber Press) 7.650 12/01/2002 10,181 10,000 Monroe County IDA (Cohber Press) 7.700 12/01/2003 10,185 170,000 Monroe County IDA (Cohber Press) 7.850 12/01/2009 173,669
11 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 1,265,000 Monroe County IDA (Collegiate Hsg. Foundation - RIT) 5.375 % 04/01/2029 $ 1,077,742 2,074,584 Monroe County IDA (Cottrone Devel.) 9.500 12/01/2010 2,164,248 950,000 Monroe County IDA (Dayton Rogers Manufacturing) 6.100 12/01/2009 906,461 5,750,000 Monroe County IDA (DePaul Community Facilities) 5.950 08/01/2028 5,053,732 880,000 Monroe County IDA (DePaul Community Facilities) 6.450 02/01/2014 924,959 1,285,000 Monroe County IDA (DePaul Community Facilities) 6.500 02/01/2024 1,302,090 4,485,000 Monroe County IDA (DePaul Properties) 6.150 09/01/2021 4,120,863 260,000 Monroe County IDA (DePaul Properties) 8.300 09/01/2002 275,564 4,605,000 Monroe County IDA (DePaul Properties) 8.800 09/01/2021 4,986,432 14,565,000 Monroe County IDA (Genesee Hospital) 7.000 11/01/2018 12,837,300 1,000,000 Monroe County IDA (Jewish Home) 6.875 04/01/2017 954,760 4,945,000 Monroe County IDA (Jewish Home) 6.875 04/01/2027 4,658,882 545,000 Monroe County IDA (Machine Tool Research) 7.750 12/01/2006 539,452 600,000 Monroe County IDA (Machine Tool Research) 8.000 12/01/2011 582,498 300,000 Monroe County IDA (Machine Tool Research) 8.500 12/01/2013 295,956 1,345,000 Monroe County IDA (Melles Groit) 9.500 12/01/2009 1,362,700 1,790,000 Monroe County IDA (Morrell/Morrell) 7.000 12/01/2007 1,794,010 500,000 Monroe County IDA (Nazareth College) 5.250 04/01/2023 446,090 4,330,000 Monroe County IDA (Piano Works) 7.625 11/01/2016 4,488,911 2,625,000 Monroe County IDA (Roberts Wesleyan College) 6.700 09/01/2011 2,652,982 3,075,000 Monroe County IDA (St. John Fisher College) 5.375 06/01/2024 2,696,683 1,215,000 Monroe County IDA (St. Joseph's Parking Garage) 7.000 11/01/2008 1,152,500 4,345,000 Monroe County IDA (St. Joseph's Parking Garage) 7.500 11/01/2022 3,954,341 7,420,000 Monroe County IDA (The Children's Beverage Group) 8.750 11/01/2010 7,375,925 915,000 Monroe County IDA (Volunteers of America) 5.700 08/01/2018 816,720 2,710,000 Monroe County IDA (Volunteers of America) 5.750 08/01/2028 2,358,730 400,000 Monroe County IDA (West End Business) 6.750 12/01/2004 403,444 95,000 Monroe County IDA (West End Business) 6.750 12/01/2004 95,818 55,000 Monroe County IDA (West End Business) 6.750 12/01/2004 55,474 1,375,000 Monroe County IDA (West End Business) 8.000 12/01/2014 1,444,960 345,000 Monroe County IDA (West End Business) 8.000 12/01/2014 362,554 170,000 Monroe County IDA (West End Business) 8.000 12/01/2014 178,650 515,000 Monroe County IDA (West End Business) 8.000 12/01/2014 541,203 465,000 Monroe HDC (Multifamily Hsg.) 7.000 08/01/2021 474,639 5,860,000 Montgomery County IDA (ASMF) (a) (b) (c) 7.250 01/15/2019 4,049,260 970,000 Montgomery County IDA (New Dimensions in Living) 8.900 05/01/2016 1,007,830 495,000 Mt. Vernon IDA (Meadowview) 6.150 06/01/2019 438,233 2,500,000 Mt. Vernon IDA (Meadowview) 6.200 06/01/2029 2,152,800 3,800,000 MTA Dedicated Tax Fund RITES (a) 0.079 (f) 04/01/2023 1,642,968 10,000,000 MTA IVRC (a) 4.863 (f) 06/15/2029 10,100,000 9,400,000 MTA YCR (a) 6.933 (f) 07/01/2013 8,834,308 3,000,000 MTA YCR (a) 6.933 (f) 07/01/2022 2,579,820 12,500,000 MTA, Series B 4.750 07/02/2026 10,142,375 50,000 MTA, Series J 5.500 07/01/2022 46,498 802,824 Municipal Assistance Corp. for Troy, NY 0.000 07/15/2021 215,510 1,218,573 Municipal Assistance Corp. for Troy, NY 0.000 01/15/2022 315,927 2,725,000 Nassau County IDA (ACLDD) 8.125 10/01/2022 2,850,595 2,290,000 Nassau County IDA (NSCFGA) 6.750 05/01/2024 2,115,273 3,900,000 Nassau County IDA (NY Institute of Technology) 6.150 03/01/2029 3,446,781 245,000 Nassau County IDA (RJS Scientific) 8.050 12/01/2005 256,118 2,700,000 Nassau County IDA (RJS Scientific) 9.050 12/01/2025 2,956,986 2,850,000 Nassau County IDA (Sharp International) 7.375 12/01/2007 2,080,500 1,810,000 Nassau County IDA (Sharp International) 7.375 12/01/2007 1,321,300 2,610,000 Nassau County IDA (Sharp International) 7.875 12/01/2012 1,905,300
12 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 1,650,000 Nassau County IDA (Sharp International) 7.875 % 12/01/2012 $ 1,204,500 2,050,000 Nassau County IDA (United Cerebral Palsy) (w) 6.250 11/01/2014 2,003,301 25,000,000 Nassau County IDA (Westbury Senior Living) (w) 7.900 11/01/2031 25,019,750 1,715,000 Nassau County Tobacco Settlement Corp. 6.250 07/15/2019 1,661,441 3,295,000 Nassau County Tobacco Settlement Corp. 6.250 07/15/2020 3,185,935 2,040,000 Nassau County Tobacco Settlement Corp. 6.250 07/15/2021 1,966,397 4,900,000 Nassau County Tobacco Settlement Corp. 6.300 07/15/2021 4,734,282 1,320,000 Nassau County Tobacco Settlement Corp. 6.300 07/15/2022 1,276,084 29,885,000 Nassau County Tobacco Settlement Corp. 6.400 07/15/2033 28,444,543 21,070,000 Nassau County Tobacco Settlement Corp. 6.500 07/15/2027 20,447,592 26,685,000 Nassau County Tobacco Settlement Corp. 6.600 07/15/2039 25,802,527 20,000 New Hartford HDC (Village Point) 7.375 01/01/2024 20,662 1,485,000 New Hartford Sunset Wood Project 5.950 08/01/2027 1,439,945 13,010,000 New Rochelle IDA (College of New Rochelle) 5.250 07/01/2027 11,019,340 3,500,000 New Rochelle IDA (College of New Rochelle) 5.500 07/01/2019 3,197,285 3,000,000 New Rochelle IDA (College of New Rochelle) 6.750 07/01/2022 3,195,810 4,950,000 Newark-Wayne Community Hospital 5.875 01/15/2033 4,675,275 2,290,000 Newark-Wayne Community Hospital 7.600 09/01/2015 2,377,799 185,000 Newburgh GO 7.100 09/15/2007 (p) 205,881 185,000 Newburgh GO 7.100 09/15/2008 (p) 205,881 180,000 Newburgh GO 7.150 09/15/2009 (p) 200,693 150,000 Newburgh GO 7.150 09/15/2010 (p) 167,244 155,000 Newburgh GO 7.200 09/15/2011 (p) 173,141 155,000 Newburgh GO 7.200 09/15/2012 (p) 173,141 160,000 Newburgh GO 7.250 09/15/2013 (p) 179,061 155,000 Newburgh GO 7.250 09/15/2014 (p) 173,465 2,310,000 Newburgh IDA (ARMA Textile Printers) 7.125 11/01/2007 2,079,000 4,880,000 Newburgh IDA (ARMA Textile Printers) 8.000 11/01/2017 4,392,000 1,900,000 Niagara County IDA (Sevenson Hotel) 6.600 05/01/2007 1,910,583 1,700,000 Niagara Falls COP (High School Facility) 5.375 06/15/2028 1,414,349 715,000 North Babylon Volunteer Fire Company 5.750 08/01/2022 681,631 1,555,000 North Country Devel. Authority (Clarkson University) 5.500 07/01/2019 1,407,555 3,145,000 North Country Devel. Authority (Clarkson University) 5.500 07/01/2029 2,732,628 585,000 North Tonawanda HDC (Bishop Gibbons Associates) 6.800 12/15/2007 611,237 3,295,000 North Tonawanda HDC (Bishop Gibbons Associates) 7.375 12/15/2021 3,576,657 25,000 Nunda GO 8.000 05/01/2010 29,874 20,000,000 NY Convention Center COP (w) 6.500 12/01/2004 20,022,400 270,000 NYC GO 0.000 05/15/2011 143,281 4,990,000 NYC GO 0.000 11/15/2011 2,575,289 200,000 NYC GO 0.000 05/15/2012 99,540 40,000 NYC GO 0.000 10/01/2012 19,488 9,025,000 NYC GO 5.000 08/01/2023 7,598,328 12,125,000 NYC GO 5.000 08/01/2023 10,208,280 8,900,000 NYC GO 5.000 08/15/2028 7,350,599 23,000,000 NYC GO 5.000 03/15/2029 18,961,430 250,000 NYC GO 5.125 08/01/2013 233,272 855,000 NYC GO 5.125 08/01/2025 727,631 12,250,000 NYC GO 5.125 08/01/2025 10,425,117 11,265,000 NYC GO 5.250 08/01/2020 9,987,662 22,970,000 NYC GO 5.250 08/01/2021 20,279,524 1,015,000 NYC GO 5.250 08/15/2023 888,775 500,000 NYC GO 5.250 08/01/2024 436,180 5,910,000 NYC GO 5.300 08/01/2024 5,197,786 570,000 NYC GO 5.375 08/01/2019 517,965
13 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 1,170,000 NYC GO 5.375 % 08/01/2027 $ 1,033,625 13,170,000 NYC GO 5.375 11/15/2027 11,627,003 85,000 NYC GO 5.500 10/01/2018 79,116 15,015,000 NYC GO 5.500 11/15/2037 13,300,888 20,000 NYC GO 5.625 08/01/2016 19,228 35,000 NYC GO 5.750 02/01/2020 33,376 1,155,000 NYC GO 6.000 02/01/2011 (p) 1,229,844 4,845,000 NYC GO 6.000 02/01/2011 4,989,962 50,000 NYC GO 6.000 10/15/2016 50,086 50,000 NYC GO 6.000 02/15/2020 49,108 160,000 NYC GO 6.000 05/15/2020 157,128 75,000 NYC GO 6.000 02/15/2024 73,174 80,000 NYC GO 6.000 10/15/2026 (p) 85,459 13,680,000 NYC GO 6.125 02/01/2025 13,557,974 8,735,000 NYC GO 6.125 08/01/2025 8,656,472 7,070,000 NYC GO 6.250 04/15/2027 (p) 7,637,226 5,130,000 NYC GO 6.250 04/15/2027 5,145,133 103,000 NYC GO 6.500 08/01/2014 (p) 111,773 397,000 NYC GO 6.500 08/01/2014 422,610 420,000 NYC GO 6.500 08/01/2015 (p) 455,771 1,580,000 NYC GO 6.500 08/01/2015 1,655,413 1,580,000 NYC GO 6.625 08/01/2025 1,657,799 5,000 NYC GO 7.000 02/01/2010 5,011 620,000 NYC GO 7.000 10/01/2012 (p) 665,923 5,000 NYC GO 7.000 10/01/2012 5,322 5,000 NYC GO 7.000 02/01/2018 5,301 20,000 NYC GO 7.000 02/01/2018 21,041 650,000 NYC GO 7.000 02/01/2020 (p) 689,195 5,000 NYC GO 7.000 02/01/2020 5,298 5,000 NYC GO 7.000 02/01/2020 5,260 190,000 NYC GO 7.000 02/01/2022 200,087 915,000 NYC GO 7.100 02/01/2009 (p) 971,968 85,000 NYC GO 7.100 02/01/2009 89,780 315,000 NYC GO 7.100 02/01/2010 332,712 140,000 NYC GO 7.100 02/01/2011 147,872 220,000 NYC GO 7.200 02/01/2015 232,540 5,000 NYC GO 7.250 08/15/2024 5,187 5,000 NYC GO 7.400 02/01/2002 5,251 30,000 NYC GO 7.500 02/01/2016 (p) 32,128 15,000 NYC GO 7.500 02/01/2016 15,928 10,000 NYC GO 7.500 02/01/2018 10,618 1,000,000 NYC GO 7.500 08/01/2021 (p) 1,082,780 265,000 NYC GO 7.625 02/01/2014 (p) 284,451 5,000 NYC GO 7.625 02/01/2014 5,327 15,000 NYC GO 7.750 08/15/2012 15,966 5,000 NYC GO 8.250 08/01/2012 (p) 5,353 5,000 NYC GO 8.250 08/01/2014 5,333 1,750,000 NYC GO CAB 0.000 (v) 05/15/2014 1,457,907 500,000 NYC GO CAB 0.000 (v) 08/01/2014 399,195 16,387,000 NYC GO CARS 7.070 (f) 08/12/2010 17,534,090 8,387,000 NYC GO CARS 7.070 (f) 09/01/2011 8,932,155 95,000 NYC GO DIAMONDS 0.000 (v) 08/15/2016 89,271 100,000 NYC GO DIAMONDS 0.000 (v) 08/01/2025 59,661 13,640,000 NYC GO Indexed Inverse Floater 3.185 (f) 08/01/2014 13,383,432
14 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 =================================================================================================================================== $ 6,200,000 NYC GO RIBS 6.521 % (f) 08/13/2009 $ 6,378,250 4,200,000 NYC GO RIBS 6.521 (f) 07/29/2010 4,305,000 5,400,000 NYC GO RIBS 6.619 (f) 08/22/2013 5,332,500 3,050,000 NYC GO RIBS 6.619 (f) 08/01/2015 2,935,625 13,150,000 NYC GO RIBS 8.107 (f) 08/01/2013 13,643,125 15,000,000 NYC GO RITES 5.494 (f) 10/01/2011 15,978,750 3,375,000 NYC GO RITES (a) 0.079 (f) 05/15/2023 1,395,630 3,500,000 NYC GO RITES (a) 0.079 (f) 05/15/2028 1,227,940 308,211 NYC HDC (Albert Einstein Staff Hsg.) 6.500 12/15/2017 312,160 1,451,213 NYC HDC (Atlantic Plaza Towers) 7.034 02/15/2019 1,500,671 1,045,000 NYC HDC (Barclay Avenue) 6.450 04/01/2017 1,049,504 4,055,000 NYC HDC (Barclay Avenue) 6.600 04/01/2033 4,072,355 361,502 NYC HDC (Bay Towers) 6.500 08/15/2017 366,087 2,701,648 NYC HDC (Boulevard Towers) 6.500 08/15/2017 2,735,419 462,319 NYC HDC (Bridgeview III) 6.500 12/15/2017 468,241 488,215 NYC HDC (Cadman Plaza North) 7.000 12/15/2018 502,310 1,247,581 NYC HDC (Cadman Towers) 6.500 11/15/2018 1,270,637 183,049 NYC HDC (Candia House) 6.500 06/15/2018 179,387 3,511,604 NYC HDC (Clinton Towers) 6.500 07/15/2017 3,555,570 299,804 NYC HDC (Contello III) 7.000 12/15/2018 309,038 1,448,878 NYC HDC (Cooper Gramercy) 6.500 08/15/2017 1,466,989 1,105,483 NYC HDC (Court Plaza) 6.500 08/15/2017 1,125,404 1,659,285 NYC HDC (Crown Gardens) 7.250 01/15/2019 1,742,648 3,520,554 NYC HDC (East Midtown Plaza) 6.500 11/15/2018 3,566,427 3,393,631 NYC HDC (Esplanade Gardens) 7.000 01/15/2019 3,499,275 81,027 NYC HDC (Essex Terrace) 6.500 07/15/2018 79,504 496,372 NYC HDC (Forest Park Crescent) 6.500 12/15/2017 502,667 1,618,163 NYC HDC (Gouverneur Gardens) 7.034 02/15/2019 1,673,861 356,275 NYC HDC (Heywood Towers) 6.500 10/15/2017 360,739 4,017,870 NYC HDC (Hudsonview Terrace) 6.500 09/15/2017 4,068,094 1,134,926 NYC HDC (Janel Towers) 6.500 09/15/2017 1,149,113 396,457 NYC HDC (Kingsbridge Arms) 6.500 08/15/2017 401,413 225,185 NYC HDC (Kingsbridge Arms) 6.500 11/15/2018 228,104 1,214,952 NYC HDC (Leader House) 6.500 03/15/2018 1,230,370 1,695,358 NYC HDC (Lincoln-Amsterdam) 7.250 11/15/2018 1,780,092 202,409 NYC HDC (Middagh St. Studio Apartments) 6.500 01/15/2018 204,982 2,638,737 NYC HDC (Montefiore Hospital Hsg. Sec. II) 6.500 10/15/2017 2,671,800 895,000 NYC HDC (Multifamily Hsg.), Series A 5.750 11/01/2018 864,006 100,000 NYC HDC (Multifamily Hsg.), Series A 5.850 05/01/2025 95,793 38,880,000 NYC HDC (Multifamily Hsg.), Series A 6.600 04/01/2030 40,515,682 30,000 NYC HDC (Multifamily Hsg.), Series A 7.300 06/01/2010 31,477 1,145,000 NYC HDC (Multifamily Hsg.), Series A 7.350 06/01/2019 1,202,158 3,275,000 NYC HDC (Multifamily Hsg.), Series B 5.850 05/01/2026 3,143,214 4,390,000 NYC HDC (Multifamily Hsg.), Series B 5.850 05/01/2026 4,202,327 775,000 NYC HDC (Multifamily Hsg.), Series C 5.700 05/01/2031 720,641 854,781 NYC HDC (New Amsterdam House) 6.500 08/15/2018 838,618 873,777 NYC HDC (New Amsterdam House) 6.500 08/15/2018 873,899 1,060,742 NYC HDC (Riverbend) 6.500 11/15/2018 1,074,681 6,524,642 NYC HDC (Riverside Park Community) 7.250 11/15/2018 6,852,440 464,016 NYC HDC (RNA House) 7.000 12/15/2018 478,429 666,124 NYC HDC (Robert Fulton Terrace) 6.500 12/15/2017 674,658 242,478 NYC HDC (Rosalie Manning Apartments) 7.034 11/15/2018 250,791 644,839 NYC HDC (Scott Tower) 7.000 12/15/2018 641,531 884,634 NYC HDC (Seaview Towers) 6.500 01/15/2018 895,878
15 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 1,645,875 NYC HDC (Sky View Towers) 6.500 % 11/15/2018 $ 1,667,206 3,135,000 NYC HDC (South Bronx Cooperatives) 8.100 09/01/2023 3,236,856 364,917 NYC HDC (St. Martin Tower) 6.500 11/15/2018 369,647 1,680,654 NYC HDC (Stevenson Commons) 6.500 05/15/2018 1,702,134 481,400 NYC HDC (Strycker's Bay Apartments) 7.034 11/15/2018 476,394 1,683,790 NYC HDC (Tivoli Towers) 6.500 01/15/2018 1,705,410 228,723 NYC HDC (Town House West) 6.500 01/15/2018 231,631 351,439 NYC HDC (Tri-Faith House) 7.000 01/15/2019 362,292 1,491,871 NYC HDC (University River View) 6.500 08/15/2017 1,510,789 447,855 NYC HDC (Washington Square Southeast) 7.000 01/15/2019 459,254 403,736 NYC HDC (West Side Manor) 6.500 11/15/2018 408,969 4,424,118 NYC HDC (West Village) 6.500 11/15/2013 4,472,076 258,903 NYC HDC (Westview Apartments) 6.500 10/15/2017 262,202 597,602 NYC HDC (Woodstock Terrace) 7.034 02/15/2019 591,961 5,235,000 NYC HDC, Series B 5.875 11/01/2018 5,069,522 24,100,000 NYC Health & Hospital Corp. 5.250 02/15/2017 21,251,621 26,500,000 NYC Health & Hospital Corp. LEVRRS 6.242 (f) 02/15/2011 26,201,875 5,875,000 NYC Health & Hospital Corp. RITES (a) 0.067 (f) 02/15/2020 2,668,425 300,000 NYC IDA (A Very Special Place) 5.750 01/01/2029 242,895 3,600,000 NYC IDA (Acme Architectural Products) 6.375 11/01/2019 3,247,128 1,035,000 NYC IDA (ALA Realty) 7.500 12/01/2010 1,064,694 1,450,000 NYC IDA (ALA Realty) 8.375 12/01/2015 1,565,101 680,000 NYC IDA (A-Lite Vertical Products) 6.750 11/01/2009 637,099 1,330,000 NYC IDA (A-Lite Vertical Products) 7.500 11/01/2019 1,260,042 425,000 NYC IDA (Allied Metal) 6.375 12/01/2014 398,641 940,000 NYC IDA (Allied Metal) 7.125 12/01/2027 885,386 3,500,000 NYC IDA (Amboy Properties) 6.750 06/01/2020 3,318,805 2,595,000 NYC IDA (American Airlines) 5.400 07/01/2019 2,258,740 29,260,000 NYC IDA (American Airlines) 5.400 07/01/2020 25,374,857 17,685,000 NYC IDA (American Airlines) 6.900 08/01/2024 18,043,475 1,255,000 NYC IDA (Amplaco Group) 7.250 11/01/2008 1,142,050 2,645,000 NYC IDA (Amplaco Group) 8.125 11/01/2018 2,406,950 1,635,000 NYC IDA (Atlantic Paste & Glue Co.) 6.000 11/01/2007 1,547,854 4,620,000 NYC IDA (Atlantic Paste & Glue Co.) 6.625 11/01/2019 4,214,364 1,160,000 NYC IDA (Atlantic Veal & Lamb) 8.375 12/01/2016 1,223,835 525,000 NYC IDA (Bark Frameworks) 6.000 11/01/2007 499,453 1,500,000 NYC IDA (Bark Frameworks) 6.750 11/01/2019 1,384,620 11,480,000 NYC IDA (Berkeley Carroll School) 6.100 11/01/2028 10,090,461 500,000 NYC IDA (Blood Center) 7.200 05/01/2012 (p) 544,465 3,000,000 NYC IDA (Blood Center) 7.250 05/01/2022 (p) 3,272,580 14,745,000 NYC IDA (British Airways) 5.250 12/01/2032 12,142,950 130,000 NYC IDA (Brooklyn Heights Montessori School) 8.400 09/01/2002 130,231 3,075,000 NYC IDA (Brooklyn Heights Montessori School) 8.500 01/01/2027 3,349,690 660,000 NYC IDA (Brooklyn Heights Montessori School) 8.900 09/01/2011 702,313 1,690,000 NYC IDA (Brooklyn Heights Montessori School) 9.200 09/01/2021 1,838,247 53,285,000 NYC IDA (Brooklyn Navy Yard Cogeneration Partners) 5.650 10/01/2027 47,011,757 107,825,000 NYC IDA (Brooklyn Navy Yard Cogeneration Partners) 5.750 10/01/2036 95,002,451 450,000 NYC IDA (Cellini Furniture Crafters) 6.625 11/01/2009 437,688 885,000 NYC IDA (Cellini Furniture Crafters) 7.125 11/01/2019 852,627 2,235,000 NYC IDA (Chardan Corp.) 7.750 11/01/2020 2,223,892 1,550,000 NYC IDA (CNC Associates NY) 6.500 11/01/2007 1,511,482 4,685,000 NYC IDA (CNC Associates NY) 7.500 11/01/2019 4,549,088 6,390,000 NYC IDA (College of Aeronautics) 5.500 05/01/2028 5,519,043 2,500,000 NYC IDA (College of New Rochelle) 5.750 09/01/2017 2,383,875
16 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 2,900,000 NYC IDA (College of New Rochelle) 5.800 % 09/01/2026 $ 2,694,187 3,765,000 NYC IDA (Community Hospital of Brooklyn) 6.875 11/01/2010 3,506,495 3,975,000 NYC IDA (Comprehensive Care Management) 6.375 11/01/2028 3,456,978 1,575,000 NYC IDA (Comprehensive Care Management) 6.375 11/01/2028 1,374,282 1,770,000 NYC IDA (Comprehensive Care Management) 7.875 12/01/2016 1,833,065 1,810,000 NYC IDA (Comprehensive Care Management) 8.000 12/01/2011 1,895,323 7,750,000 NYC IDA (Crowne Plaza-LaGuardia) 6.000 11/01/2028 6,696,387 1,280,000 NYC IDA (Dioni) 6.000 11/01/2007 1,217,421 3,600,000 NYC IDA (Dioni) 6.625 11/01/2019 3,310,200 1,600,000 NYC IDA (Display Creations) 9.250 06/01/2008 1,673,456 310,000 NYC IDA (Eden II School) 7.750 06/01/2004 319,443 2,505,000 NYC IDA (Eden II School) 8.750 06/01/2019 2,668,000 10,255,000 NYC IDA (Elmhurst Parking Garage) 7.500 07/30/2003 10,765,494 3,705,000 NYC IDA (Friends Seminary School) 7.000 12/01/2017 3,803,516 1,000,000 NYC IDA (Fund for NYC Project) 7.625 07/01/2010 1,025,960 3,280,000 NYC IDA (Gabrielli Truck Sales) 8.125 12/01/2017 3,394,472 2,325,000 NYC IDA (Gateway School of NY) 6.200 11/01/2012 2,194,800 2,265,000 NYC IDA (Gateway School of NY) 6.500 11/01/2019 2,124,479 2,175,000 NYC IDA (Good Shepherd Services) 5.875 06/01/2014 2,037,301 1,235,000 NYC IDA (Graphic Artists) 8.250 12/30/2023 1,286,117 775,000 NYC IDA (Gutmann Plastics) 7.750 12/01/2007 769,660 2,235,000 NYC IDA (Hebrew Academy) 10.000 03/01/2021 2,416,571 690,000 NYC IDA (Herbert G. Birch Childhood Project) 7.375 02/01/2009 708,092 2,195,000 NYC IDA (Herbert G. Birch Childhood Project) 8.375 02/01/2022 2,350,625 80,000 NYC IDA (HiTech Res Rec) 8.750 08/01/2000 80,499 695,000 NYC IDA (HiTech Res Rec) 9.250 08/01/2008 721,473 5,000,000 NYC IDA (Holiday Inn/JFK Airport) 6.000 11/01/2028 4,320,250 220,000 NYC IDA (House of Spices) 9.000 10/15/2001 226,530 2,140,000 NYC IDA (House of Spices) 9.250 10/15/2011 2,254,533 3,170,000 NYC IDA (Japan Airlines) 6.000 11/01/2015 3,276,100 6,040,000 NYC IDA (JBFS) 6.750 12/15/2012 6,116,829 1,605,000 NYC IDA (Julia Gray) (w) 7.500 11/01/2020 1,588,212 1,675,000 NYC IDA (Koenig Iron Works) 8.375 12/01/2025 1,767,577 2,490,000 NYC IDA (L&M Optical Disc) 7.125 11/01/2010 2,362,462 1,000,000 NYC IDA (Lighthouse) 6.500 07/01/2022 (p) 1,060,650 3,025,000 NYC IDA (Little Red Schoolhouse) 6.750 11/01/2018 2,781,457 805,000 NYC IDA (Lucky Polyethylene Manufacturing Co.) 7.000 11/01/2009 792,353 2,995,000 NYC IDA (Lucky Polyethylene Manufacturing Co.) 7.800 11/01/2024 2,942,318 3,500,000 NYC IDA (Marymount Manhattan College) 7.000 07/01/2023 (p) 3,623,060 19,335,000 NYC IDA (MediSys Health Network) 6.250 03/15/2024 17,938,046 2,510,000 NYC IDA (Mesorah Publications) (w) 6.450 02/01/2011 2,489,267 4,790,000 NYC IDA (Mesorah Publications) (w) 6.950 02/01/2021 4,718,294 2,275,000 NYC IDA (Morrisons Pastry) 6.500 11/01/2019 2,085,538 5,320,000 NYC IDA (Nekboh) 9.625 05/01/2011 5,480,770 13,600,000 NYC IDA (Northwest Airlines) 6.000 06/01/2027 12,131,744 740,000 NYC IDA (NY Hostel Co.) 6.750 01/01/2004 737,573 4,400,000 NYC IDA (NY Hostel Co.) 7.600 01/01/2017 4,416,544 695,000 NYC IDA (NY Vanities & Manufacturing) 7.000 11/01/2009 666,227 1,405,000 NYC IDA (NY Vanities & Manufacturing) 7.500 11/01/2019 1,331,097 3,435,000 NYC IDA (Ohel Children's Home & Family Services) 8.250 03/15/2023 3,839,334 960,000 NYC IDA (Paradise Products) 7.125 11/01/2007 957,398 4,475,000 NYC IDA (Paradise Products) 8.250 11/01/2022 4,627,821 1,525,000 NYC IDA (Petrocelli Electric) 7.250 11/01/2007 1,542,263 425,000 NYC IDA (Petrocelli Electric) 7.250 11/01/2008 430,257
17 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 3,780,000 NYC IDA (Petrocelli Electric) 8.000 % 11/01/2017 $ 3,896,424 940,000 NYC IDA (Petrocelli Electric) 8.000 11/01/2018 970,625 785,000 NYC IDA (Pop Display) 6.750 12/15/2004 804,994 2,645,000 NYC IDA (Pop Display) 7.900 12/15/2014 2,782,461 1,910,000 NYC IDA (Precision Gear) 6.375 11/01/2024 1,747,421 2,240,000 NYC IDA (Precision Gear) 6.375 11/02/2024 2,049,331 930,000 NYC IDA (Precision Gear) 7.625 11/01/2024 927,694 815,000 NYC IDA (PRFF) 7.000 10/01/2016 844,984 1,575,000 NYC IDA (Priority Mailers) 9.000 03/01/2010 1,642,441 710,000 NYC IDA (Promotional Slideguide) 7.500 12/01/2010 728,006 1,065,000 NYC IDA (Promotional Slideguide) 7.875 12/01/2015 1,109,815 665,000 NYC IDA (Psycho Therapy) 9.625 04/01/2010 681,625 3,705,000 NYC IDA (Riverdale Terrace Hsg. Devel. Fund) 6.250 11/01/2014 3,433,868 8,595,000 NYC IDA (Riverdale Terrace Hsg. Devel. Fund) 6.750 11/01/2028 7,841,734 2,170,000 NYC IDA (Sahadi Fine Foods) 6.250 11/01/2009 2,083,352 4,085,000 NYC IDA (Sahadi Fine Foods) 6.750 11/01/2019 3,901,543 115,000 NYC IDA (Sequins International) 8.500 04/30/2000 115,827 4,555,000 NYC IDA (Sequins International) 8.950 01/30/2016 4,813,314 4,255,000 NYC IDA (Special Needs Facilities Pooled Program) 6.650 07/01/2023 3,888,730 1,830,000 NYC IDA (Special Needs Pooled Program) (w) 7.125 08/01/2006 1,823,595 7,010,000 NYC IDA (Special Needs Pooled Program) (w) 7.875 08/01/2025 6,984,764 5,115,000 NYC IDA (St. Bernard's School) 7.000 12/01/2021 5,272,286 4,140,000 NYC IDA (St. Christopher Ottilie) 7.500 07/01/2021 4,311,769 585,000 NYC IDA (Streamline Plastics) 7.750 12/01/2015 598,835 1,275,000 NYC IDA (Streamline Plastics) 8.125 12/01/2025 1,327,683 130,000 NYC IDA (Summit School) 7.250 12/01/2004 131,977 1,485,000 NYC IDA (Summit School) 8.250 12/01/2024 1,556,295 15,050,000 NYC IDA (Terminal One Group Association) 6.000 01/01/2019 14,692,111 8,525,000 NYC IDA (Terminal One Group Association) 6.125 01/01/2024 8,346,827 12,250,000 NYC IDA (Touro College) 6.350 06/01/2029 11,386,497 4,485,000 NYC IDA (Ulano) 6.950 11/01/2019 4,320,400 90,000 NYC IDA (Ultimate Display) 8.750 10/15/2000 91,513 1,910,000 NYC IDA (Ultimate Display) 9.000 10/15/2011 2,013,274 10,465,000 NYC IDA (United Air Lines) 5.650 10/01/2032 9,050,132 1,000,000 NYC IDA (United Nations School) 6.350 12/01/2015 955,080 1,720,000 NYC IDA (Urban Health Plan) 6.250 09/15/2009 1,640,760 9,830,000 NYC IDA (Urban Health Plan) 7.050 09/15/2026 9,082,134 230,000 NYC IDA (Utleys) 6.625 11/01/2006 225,292 1,335,000 NYC IDA (Utleys) 7.375 11/01/2023 1,297,834 1,180,000 NYC IDA (Van Blarcom Closures) 7.125 11/01/2007 1,189,511 2,965,000 NYC IDA (Van Blarcom Closures) 8.000 11/01/2017 3,067,470 1,125,000 NYC IDA (Visual Display) 7.250 11/01/2008 1,068,244 2,375,000 NYC IDA (Visual Display) 8.325 11/01/2018 2,254,207 10,500,000 NYC IDA (Visy Paper) 7.800 01/01/2016 11,088,105 26,750,000 NYC IDA (Visy Paper) 7.950 01/01/2028 28,323,702 1,660,000 NYC IDA (World Casing Corp.) 6.700 11/01/2019 1,620,359 530,000 NYC Municipal Water Finance Authority 0.000 06/15/2018 173,909 530,000 NYC Municipal Water Finance Authority 0.000 06/15/2019 162,185 6,030,000 NYC Municipal Water Finance Authority 0.000 06/15/2020 1,725,967 75,000 NYC Municipal Water Finance Authority 5.500 06/15/2023 69,466 65,000 NYC Municipal Water Finance Authority 5.500 06/15/2027 59,550 40,000 NYC Municipal Water Finance Authority 5.750 06/15/2020 38,761 12,500,000 NYC Municipal Water Finance Authority IRS 5.920 (f) 06/15/2013 11,625,000 30,000,000 NYC Municipal Water Finance Authority IVRC (a) 6.045 (f) 06/15/2017 30,300,000
18 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 10,000,000 NYC Municipal Water Finance Authority LEVRRS 6.611 % (f) 06/15/2019 $ 9,150,000 4,775,000 NYC Municipal Water Finance Authority RITES (a) 0.079 (f) 06/15/2021 2,186,759 2,805,000 NYC Municipal Water Finance Authority RITES (a) 0.079 (f) 06/15/2027 1,045,704 18,240,000 NYC Municipal Water Finance Authority RITES (a) 0.567 (f) 06/15/2030 7,513,421 5,000,000 NYC Municipal Water Finance Authority RITES (a) 0.579 (f) 06/15/2030 2,059,600 5,000,000 NYC Municipal Water Finance Authority RITES (a) 0.579 (f) 06/15/2030 2,059,600 4,030,000 NYC Municipal Water Finance Authority RITES (a) 0.579 (f) 06/15/2030 1,660,038 2,150,000 NYC TFA RITES (a) 0.067 (f) 08/15/2027 778,214 10,000,000 NYC TFA, Series B 4.750 11/15/2023 8,178,200 21,328,164 NYS Certificate of Lease (a) 5.875 01/02/2023 19,175,300 315,000 NYS COP (BOCES) (a) 7.875 10/01/2000 318,988 135,000 NYS COP (Hanson Redevelopment) 8.250 11/01/2001 137,766 10,000 NYS DA (Bethel Springvale Home) 6.000 02/01/2035 9,603 4,950,000 NYS DA (Brookdale Hospital) 5.200 02/15/2015 4,470,592 1,355,000 NYS DA (Brookdale Hospital) 5.300 02/15/2017 1,219,026 11,615,000 NYS DA (Brooklyn Hospital) 5.200 02/01/2039 9,849,404 14,360,000 NYS DA (Buena Vida Nursing Home) 5.250 07/01/2028 12,254,537 8,435,000 NYS DA (Center for Nursing) 5.550 08/01/2037 7,500,486 1,100,000 NYS DA (Chapel Oaks) 5.375 07/01/2017 1,009,954 2,855,000 NYS DA (Chapel Oaks) 5.450 07/01/2026 2,539,894 11,485,000 NYS DA (City University) 5.000 07/01/2028 9,298,026 21,180,000 NYS DA (City University) 5.250 07/01/2025 18,078,824 11,845,000 NYS DA (City University) 5.375 07/01/2024 10,346,608 20,000 NYS DA (Cornell University) 7.375 07/01/2030 20,678 4,750,000 NYS DA (Dept. of Health) 5.000 07/01/2024 3,920,222 410,000 NYS DA (Dept. of Health) 5.500 07/01/2020 372,756 525,000 NYS DA (Dept. of Health) 5.500 07/01/2021 475,613 150,000 NYS DA (Dept. of Health) 5.500 07/01/2025 134,259 265,000 NYS DA (Episcopal Health Services) 7.550 08/01/2029 270,859 6,480,000 NYS DA (Frances Schervier Home & Hospital) 5.500 07/01/2027 5,748,926 2,500,000 NYS DA (German Masonic Home) 6.000 08/01/2036 2,397,225 1,000,000 NYS DA (Grace Manor Health Care Facility) 6.150 07/01/2018 1,006,640 2,000,000 NYS DA (Highland Hospital) 5.450 08/01/2037 1,781,020 10,600,000 NYS DA (Hospital for Special Surgery) 5.000 02/01/2038 8,676,418 140,510,000 NYS DA (Insured Hospital) 0.000 08/15/2036 14,102,989 10,735,000 NYS DA (Interfaith Medical Center) 5.300 02/15/2019 9,466,982 38,650,000 NYS DA (Interfaith Medical Center) 5.400 02/15/2028 33,424,133 1,000,000 NYS DA (Jones Memorial Hospital) 5.375 08/01/2034 881,960 35,000 NYS DA (KMH Homes) 6.950 08/01/2031 36,457 1,800,000 NYS DA (L.I. University) 5.125 09/01/2023 1,530,702 1,400,000 NYS DA (L.I. University) 5.250 09/01/2028 1,195,320 4,380,000 NYS DA (Lakeside Home) 6.000 02/01/2037 4,197,485 25,000 NYS DA (Lakeside Memorial Hospital) 6.000 02/01/2021 24,458 9,650,000 NYS DA (LSSUNY) RITES (a) 3.944 (f) 02/01/2038 7,043,921 2,000,000 NYS DA (Marymount Manhattan College) 6.250 07/01/2029 1,980,060 7,400,000 NYS DA (Menorah Campus) 6.100 02/01/2037 7,201,606 23,300,000 NYS DA (Menorah Home & Hospital) 5.150 08/01/2038 19,576,660 3,115,000 NYS DA (Menorah Home & Hospital) RITES (a) 0.444 (f) 08/01/2038 1,282,259 25,000,000 NYS DA (Mental Health Services Facility) 5.125 08/15/2021 21,807,750 4,625,000 NYS DA (Mental Health) RITES (a) 0.079 (f) 02/15/2023 1,885,520 2,810,000 NYS DA (Mental Health) RITES (a) 0.079 (f) 02/15/2028 965,853 7,230,000 NYS DA (Methodist Hospital) 6.050 02/01/2034 7,143,168 3,465,000 NYS DA (Millard Hospital) 5.375 02/01/2032 3,070,510 1,500,000 NYS DA (Montefiore Medical Center) 5.500 08/01/2038 1,347,615
19 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 2,850,000 NYS DA (Municipal Health Facilities) RITES (a) 0.079 % (f) 01/15/2023 $ 1,165,080 9,800,000 NYS DA (North General Hospital) 5.300 02/15/2019 8,662,220 29,440,000 NYS DA (NY & Presbyterian Hospital) 4.750 08/01/2027 23,585,267 15,120,000 NYS DA (NY & Presbyterian Hospital) 5.000 08/01/2032 12,536,597 2,200,000 NYS DA (NY & Presbyterian Hospital) 6.500 08/01/2034 2,242,812 10,700,000 NYS DA (NY Downtown Hospital) 5.300 02/15/2020 9,392,032 7,000,000 NYS DA (NY Hospital Medical Center) 5.600 02/15/2039 6,404,160 25,000 NYS DA (NY Medical College) 6.875 07/01/2021 26,729 14,157,461 NYS DA (Our Lady of Mercy Medical Center) Computer Lease (a)6.200 08/15/2006 13,842,174 855,000 NYS DA (Park Ridge Hsg.) 7.850 02/01/2029 874,109 12,750,000 NYS DA (Rochester General Hospital) RITES (a) 4.630 (f) 08/01/2033 10,678,635 3,230,000 NYS DA (Rosalind & Joseph Gurwin Geriatric Home) 5.700 02/01/2037 3,014,462 5,000,000 NYS DA (Ryan-Clinton Community Health Center) (w) 6.100 07/01/2019 4,858,600 600,000 NYS DA (Sarah Neumann Home) 5.450 08/01/2027 544,002 1,900,000 NYS DA (Sarah Neumann Home) 5.500 08/01/2037 1,708,765 3,045,000 NYS DA (Special Surgery) RITES (a) 0.079 (f) 02/01/2028 1,104,239 4,500,000 NYS DA (St. Agnes Hospital) 5.300 02/15/2019 3,977,550 9,000,000 NYS DA (St. Agnes Hospital) 5.400 02/15/2025 7,870,770 3,000,000 NYS DA (St. Barnabas Hospital) 5.450 08/01/2035 2,680,200 1,500,000 NYS DA (St. Clare's Hospital) 5.300 02/15/2019 1,325,850 2,970,000 NYS DA (St. Clare's Hospital) 5.400 02/15/2025 2,597,354 2,580,000 NYS DA (St. James Mercy Hospital) 5.400 02/01/2038 2,226,617 1,500,000 NYS DA (St. Thomas Aquinas College) 5.250 07/01/2028 1,272,645 3,885,000 NYS DA (St. Vincent's Hospital) 5.300 07/01/2018 3,498,171 5,000 NYS DA (St. Vincent's Hospital) 7.400 08/01/2030 5,262 50,000 NYS DA (State University Educational Facilities) 0.000 05/15/2007 33,854 30,000 NYS DA (State University Educational Facilities) 6.000 05/15/2017 29,917 225,000 NYS DA (State University Educational Facilities) 7.000 05/15/2016 (p) 231,842 3,315,000 NYS DA (Suffolk County Judicial Facilities) 9.500 04/15/2014 3,818,118 3,990,000 NYS DA (Teresian House) 5.250 07/01/2017 3,475,091 5,000,000 NYS DA (Upstate Community Colleges) 5.000 07/01/2028 4,064,500 50,000 NYS DA (Upstate Community Colleges) 5.700 07/01/2021 46,599 1,700,000 NYS DA (Vassar Brothers) 5.375 07/01/2025 1,520,480 1,750,000 NYS DA (Victory Memorial Hospital) 5.375 08/01/2025 1,575,158 2,250,000 NYS DA (Victory Memorial Hospital) 5.500 08/01/2038 2,021,423 5,000,000 NYS DA (W.K. Nursing Home) 6.050 02/01/2026 4,881,850 4,200,000 NYS DA (W.K. Nursing Home) 6.125 02/01/2036 4,106,592 32,915,000 NYS DA (Wyckoff Heights Medical Center) 5.300 08/15/2021 28,714,388 1,840,000 NYS EFC (Consolidated Water) 7.150 11/01/2014 1,900,830 7,500,000 NYS EFC (NYS Water Services) 8.375 01/15/2020 7,730,400 8,955,000 NYS EFC (Occidental Petroleum) 5.700 09/01/2028 7,738,553 15,300,000 NYS EFC (Occidental Petroleum) 6.100 11/01/2030 14,009,751 1,700,000 NYS ERDA (Brooklyn Union Gas) RIBS 6.626 (f) 07/08/2026 1,413,125 7,000,000 NYS ERDA (Brooklyn Union Gas) RIBS 8.143 (f) 04/01/2020 7,341,250 10,300,000 NYS ERDA (Brooklyn Union Gas) RIBS 8.652 (f) 07/01/2026 12,205,500 11,040,000 NYS ERDA (Con Ed) 6.375 12/01/2027 11,078,971 290,000 NYS ERDA (Con Ed) 6.375 12/01/2027 291,523 40,000 NYS ERDA (Con Ed) 7.500 01/01/2026 40,491 100,000 NYS ERDA (Con Ed) 7.500 01/01/2026 101,232 9,350,000 NYS ERDA (Con Ed) RITES (a) 3.844 (f) 08/15/2020 7,507,676 10,000,000 NYS ERDA (LILCO) 5.150 03/01/2016 8,894,500 7,500,000 NYS ERDA (LILCO) 5.300 11/01/2023 6,480,225 300,000 NYS ERDA (LILCO) 5.300 10/01/2024 258,222 2,500,000 NYS ERDA (LILCO) 5.300 08/01/2025 2,144,450
20 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 14,810,000 NYS ERDA (LILCO) 7.150 % 09/01/2019 (p) $ 15,855,734 4,775,000 NYS ERDA (LILCO) 7.150 09/01/2019 (p) 5,112,163 11,740,000 NYS ERDA (LILCO) 7.150 09/01/2019 12,308,333 2,575,000 NYS ERDA (LILCO) 7.150 06/01/2020 (p) 2,756,821 12,625,000 NYS ERDA (LILCO) 7.150 06/01/2020 13,236,176 7,545,000 NYS ERDA (LILCO) 7.150 12/01/2020 (p) 8,086,806 3,530,000 NYS ERDA (LILCO) 7.150 12/01/2020 3,700,887 10,975,000 NYS ERDA (LILCO) 7.150 02/01/2022 (p) 11,749,945 11,115,000 NYS ERDA (LILCO) 7.150 02/01/2022 (p) 11,899,830 4,135,000 NYS ERDA (LILCO) 7.150 02/01/2022 4,335,175 3,485,000 NYS ERDA (NIMO) RITES (a) 0.679 (f) 11/01/2025 1,673,358 400,000 NYS ERDA (NYSEG) 5.700 12/01/2028 371,064 30,000 NYS ERDA (NYSEG) 5.950 12/01/2027 28,874 3,625,000 NYS ERDA (RG&E) Residual Certificates (a) 6.220 (f) 09/01/2033 3,004,944 3,555,000 NYS HFA (Children's Rescue) 7.625 05/01/2018 3,689,592 2,200,000 NYS HFA (Dominican Village) 6.600 08/15/2027 2,295,172 4,205,000 NYS HFA (Fulton Manor) 6.100 11/15/2025 4,161,478 20,000 NYS HFA (General Hsg.) 6.600 11/01/2008 20,432 13,080,000 NYS HFA (HELP-Bronx Hsg.) 8.050 11/01/2005 13,356,904 1,210,000 NYS HFA (HELP-Suffolk Hsg.) 8.100 11/01/2005 1,211,609 2,000 NYS HFA (Hospital & Nursing Home) 6.875 11/01/2010 (p) 2,246 205,000 NYS HFA (Hospital & Nursing Home) 7.000 11/01/2017 227,755 5,000 NYS HFA (Meadow Manor) 7.750 11/01/2019 5,011 15,730,000 NYS HFA (Multifamily Hsg.) 0.000 11/01/2014 6,687,610 14,590,000 NYS HFA (Multifamily Hsg.) 0.000 11/01/2015 5,766,114 50,000 NYS HFA (Multifamily Hsg.) 0.000 11/01/2016 18,214 12,695,000 NYS HFA (Multifamily Hsg.) 0.000 11/01/2017 4,156,470 745,000 NYS HFA (Multifamily Hsg.) 5.250 11/15/2028 643,248 1,340,000 NYS HFA (Multifamily Hsg.) 5.300 08/15/2024 1,174,899 1,700,000 NYS HFA (Multifamily Hsg.) 5.300 11/15/2039 1,446,309 2,860,000 NYS HFA (Multifamily Hsg.) 5.350 08/15/2031 2,475,244 1,135,000 NYS HFA (Multifamily Hsg.) 5.400 08/15/2031 990,015 2,075,000 NYS HFA (Multifamily Hsg.) 5.500 08/15/2030 1,840,567 1,215,000 NYS HFA (Multifamily Hsg.) 5.550 08/15/2019 1,114,362 1,385,000 NYS HFA (Multifamily Hsg.) 5.600 08/15/2019 1,278,023 1,255,000 NYS HFA (Multifamily Hsg.) 5.650 08/15/2030 1,138,511 3,200,000 NYS HFA (Multifamily Hsg.) 5.650 08/15/2030 2,902,976 1,000,000 NYS HFA (Multifamily Hsg.) 5.650 08/15/2031 906,210 500,000 NYS HFA (Multifamily Hsg.) 5.700 08/15/2030 456,950 95,000 NYS HFA (Multifamily Hsg.) 5.950 08/15/2024 90,632 2,000,000 NYS HFA (Multifamily Hsg.) 6.050 08/15/2032 1,936,320 1,285,000 NYS HFA (Multifamily Hsg.) 6.100 11/15/2036 1,264,517 4,700,000 NYS HFA (Multifamily Hsg.) 6.125 08/15/2038 4,594,250 50,000 NYS HFA (Multifamily Hsg.) 6.200 08/15/2012 51,326 25,000 NYS HFA (Multifamily Hsg.) 6.200 08/15/2016 25,348 100,000 NYS HFA (Multifamily Hsg.) 6.250 08/15/2027 100,301 5,000,000 NYS HFA (Multifamily Hsg.) 6.300 08/15/2026 5,043,450 725,000 NYS HFA (Multifamily Hsg.) 6.300 02/15/2032 716,075 4,100,000 NYS HFA (Multifamily Hsg.) 6.350 08/15/2023 4,215,415 1,255,000 NYS HFA (Multifamily Hsg.) 6.400 11/15/2027 1,275,243 2,905,000 NYS HFA (Multifamily Hsg.) 6.500 08/15/2024 2,992,092 11,980,000 NYS HFA (Multifamily Hsg.) 6.700 08/15/2025 12,201,630 5,655,000 NYS HFA (Multifamily Hsg.) 6.750 11/15/2036 5,870,116 75,000 NYS HFA (Multifamily Hsg.) 6.950 08/15/2012 78,860
21 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 2,790,000 NYS HFA (Multifamily Hsg.) 6.950 % 08/15/2024 $ 2,854,756 5,375,000 NYS HFA (Multifamily Hsg.) 7.050 08/15/2024 5,622,949 1,551,000 NYS HFA (Multifamily Hsg.) 7.450 11/01/2028 1,584,719 2,485,000 NYS HFA (Multifamily Hsg.) 7.550 11/01/2029 2,547,050 50,000 NYS HFA (Multifamily Hsg.) 7.850 02/15/2030 52,073 500,000 NYS HFA (Multifamily Hsg.) 8.000 11/01/2008 517,865 3,035,000 NYS HFA (NH&HC) RITES (a) 0.679 (f) 11/01/2016 1,872,352 15,000 NYS HFA (Nonprofit Hsg.) 6.400 11/01/2010 15,317 25,000 NYS HFA (Nonprofit Hsg.) 6.400 11/01/2013 25,529 20,000 NYS HFA (Nonprofit Hsg.) 6.600 11/01/2010 20,432 20,000 NYS HFA (Nonprofit Hsg.) 6.600 11/01/2013 20,429 5,000,000 NYS HFA (Phillips Village) 7.750 08/15/2017 5,340,150 8,920,000 NYS HFA (Service Contract) 5.375 03/15/2023 7,855,844 4,185,000 NYS HFA (Service Contract) 5.500 09/15/2022 3,771,438 5,600,000 NYS HFA (Service Contract) 5.500 09/15/2022 5,046,608 5,525,000 NYS HFA (Service Contract) 5.500 03/15/2025 4,934,654 125,000 NYS HFA (Service Contract) 5.875 09/15/2014 124,500 25,000 NYS HFA (Service Contract) 6.125 03/15/2020 24,641 255,000 NYS HFA (Service Contract) 6.500 03/15/2025 258,121 5,000 NYS HFA (Service Contract) 7.700 03/15/2006 5,261 1,010,000 NYS HFA (Shorehill Hsg.) 7.500 05/01/2008 1,021,514 1,395,000 NYS HFA, Series A 6.125 11/01/2020 1,396,214 80,000 NYS LGAC 5.500 04/01/2023 73,466 810,000 NYS LGSC (SCSB) (a) 7.375 12/15/2016 828,816 4,600,000 NYS Medcare (Brookdale Hospital Medical Center) 6.850 02/15/2017 (p) 5,064,002 1,015,000 NYS Medcare (Central Suffolk Hospital) 6.125 11/01/2016 910,313 2,255,000 NYS Medcare (Downtown Hospital) 6.800 02/15/2020 (p) 2,477,839 45,000 NYS Medcare (Hospital & Nursing Home) 5.750 08/15/2019 43,134 4,450,000 NYS Medcare (Hospital & Nursing Home) 5.850 02/15/2033 4,163,732 10,000 NYS Medcare (Hospital & Nursing Home) 6.200 08/15/2022 10,004 95,000 NYS Medcare (Hospital & Nursing Home) 6.200 02/15/2023 95,004 60,000 NYS Medcare (Hospital & Nursing Home) 6.375 08/15/2029 60,340 1,000,000 NYS Medcare (Hospital & Nursing Home) 6.375 08/15/2033 1,004,880 30,000 NYS Medcare (Hospital & Nursing Home) 6.500 02/15/2019 30,432 2,090,000 NYS Medcare (Hospital & Nursing Home) 6.500 02/15/2034 2,114,369 12,230,000 NYS Medcare (Hospital & Nursing Home) 6.650 08/15/2032 12,774,113 4,505,000 NYS Medcare (Hospital & Nursing Home) 7.400 11/01/2016 4,655,918 1,740,000 NYS Medcare (Hospital & Nursing Home) 9.000 02/15/2026 1,796,550 3,560,000 NYS Medcare (Hospital & Nursing Home) 9.375 11/01/2016 3,681,289 2,620,000 NYS Medcare (Hospital & Nursing Home) 0.000 11/01/2006 2,790,824 2,000,000 NYS Medcare (Insured Mortgage Nursing) 6.375 08/15/2024 (p) 2,161,620 70,000 NYS Medcare (Insured Mortgage Nursing) 6.500 11/01/2015 73,348 1,650,000 NYS Medcare (M.G. Nursing Home) 6.375 02/15/2035 1,660,626 630,000 NYS Medcare (Mental Health) 10.000 08/15/2018 152,271 600,000 NYS Medcare (Mental Health) 5.250 08/15/2023 528,066 250,000 NYS Medcare (Mental Health) 5.500 08/15/2024 227,593 890,000 NYS Medcare (Mental Health) 5.800 08/15/2022 853,715 305,000 NYS Medcare (Mental Health) 7.500 02/15/2021 319,341 295,000 NYS Medcare (Mental Health) 7.625 08/15/2017 312,505 3,330,000 NYS Medcare (Mental Health) 7.700 02/15/2018 3,341,422 35,000 NYS Medcare (Mental Health) 7.750 08/15/2011 36,793 220,000 NYS Medcare (Mental Health) 7.875 08/15/2015 222,750 1,725,000 NYS Medcare (Mental Health) 8.875 08/15/2007 1,731,107 25,000 NYS Medcare (Montefiore Medical Center) 5.750 02/15/2025 23,681
22 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 3,000,000 NYS Medcare (NY & Presbyterian Hospital) 5.375 % 02/15/2025 $ 2,674,470 25,000 NYS Medcare (Secured Hospital) 6.250 02/15/2024 24,798 1,350,000 NYS Medcare (St. Charles Memorial Hospital) 6.375 08/15/2034 1,464,170 10,000 NYS Medcare (St. Luke's Hospital) 7.375 02/15/2019 10,233 22,000,000 NYS Medcare (St. Luke's Hospital) IVRC (a) 5.434 (f) 02/15/2029 18,645,000 12,500,000 NYS Medcare (St. Luke's Hospital) RITES (a) 4.572 (f) 02/15/2029 10,655,000 8,400,000 NYS Medcare (St. Luke's Hospital) RITES (a) 4.630 (f) 02/15/2029 7,160,160 5,750,000 NYS Medcare (St. Luke's Hospital) RITES (a) 4.630 (f) 02/15/2029 4,901,300 10,000,000 NYS Medcare (St. Luke's Hospital) RITES (a) 4.630 (f) 02/15/2029 8,524,000 5,925,000 NYS Medcare RITES (a) 3.844 (f) 02/15/2019 4,691,652 10,000,000 NYS Medcare RITES (a) 4.094 (f) 02/15/2025 7,783,600 10,000 NYS Power Authority 6.750 01/01/2018 10,448 1,000,000 NYS Thruway Authority 0.000 01/01/2003 860,780 2,000,000 NYS Thruway Authority 0.000 01/01/2004 1,630,640 260,000 NYS Thruway Authority 0.000 01/01/2005 200,455 25,000,000 NYS Thruway Authority Convertible INFLOS 5.195 (f) 01/01/2024 17,531,250 7,140,000 NYS Thruway Authority RITES (a) 0.067 (f) 01/01/2025 2,765,465 15,000 NYS UDC (Correctional Facilities) 0.000 01/01/2003 12,969 900,000 NYS UDC (Correctional Facilities) 0.000 01/01/2008 584,910 3,500,000 NYS UDC (Correctional Facilities) 5.000 01/01/2019 2,981,055 12,845,000 NYS UDC (Correctional Facilities) 5.000 01/01/2020 10,864,173 13,270,000 NYS UDC (Correctional Facilities) 5.000 01/01/2028 10,835,220 2,555,000 NYS UDC (Correctional Facilities) 5.250 01/01/2021 2,232,840 8,775,000 NYS UDC (Correctional Facilities) 5.375 01/01/2023 7,752,362 5,590,000 NYS UDC (Correctional Facilities) 5.375 01/01/2025 4,908,411 3,500,000 NYS UDC (Correctional Facilities) 5.375 01/01/2025 3,153,885 1,000,000 NYS UDC (Correctional Facilities) 5.500 01/01/2025 920,540 3,200,000 NYS UDC (Correctional Facilities) RITES (a) 0.079 (f) 01/01/2028 1,163,392 103,335,000 NYS UDC (South Mall) 0.000 01/01/2011 51,975,438 65,000 NYS UDC (South Mall) 0.000 01/01/2011 33,359 95,000 NYS UDC (South Mall) 0.000 01/01/2011 48,756 5,480,000 Oneida County IDA (Bonide Products) 6.250 11/01/2018 5,177,778 1,180,000 Oneida County IDA (Mobile Climate Control) 8.000 11/01/2008 1,237,596 2,825,000 Oneida County IDA (Mobile Climate Control) 8.750 11/01/2018 2,958,679 450,000 Oneida County IDA (Mohawk Valley Handicapped Services) 5.300 03/15/2019 400,275 740,000 Oneida County IDA (Mohawk Valley Handicapped Services) 5.350 03/15/2029 637,192 1,190,000 Oneida County IDA (Presbyterian Home) 5.250 03/01/2019 1,026,446 10,000 Oneida Healthcare Corp. 7.100 08/01/2011 10,419 130,000 Oneida Healthcare Corp. 7.200 08/01/2031 135,637 555,000 Onondaga County IDA (Coltec Industries) 7.250 06/01/2008 564,380 770,000 Onondaga County IDA (Coltec Industries) 9.875 10/01/2010 807,961 1,770,000 Onondaga County IDA (Community General Hospital) 5.500 11/01/2018 1,488,641 8,345,000 Onondaga County IDA (Community General Hospital) 6.625 01/01/2018 8,069,698 1,520,000 Onondaga County IDA (Gear Motion) 8.900 12/15/2011 1,564,278 6,765,000 Onondaga County IDA (Iroquois Nursing Home) 5.250 02/01/2039 5,673,535 5,000,000 Onondaga County IDA (Solvay Paperboard) 6.800 11/01/2014 4,872,050 32,400,000 Onondaga County IDA (Solvay Paperboard) 7.000 11/01/2030 31,972,320 750,000 Onondaga County IDA (Syracuse Home) 5.200 12/01/2018 645,780 27,850,000 Onondaga County Res Rec 6.875 05/01/2006 27,907,093 68,510,000 Onondaga County Res Rec 7.000 05/01/2015 69,991,871 995,000 Ontario County IDA (Ontario Design) 6.500 11/01/2005 960,046 3,250,000 Orange County IDA (Glen Arden) 5.625 01/01/2018 2,706,600 4,590,000 Orange County IDA (Glen Arden) 5.700 01/01/2028 3,711,245 22,450,000 Orange County IDA (Glen Arden) 8.875 01/01/2025 (p) 26,464,285
23 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 7,600,000 Orange County IDA (Kingston Manufacturing) 8.000 % 11/01/2017 $ 7,834,688 495,000 Orange County IDA (Mental Retardation Project) 7.800 07/01/2011 507,459 8,000,000 Orange County IDA (Tuxedo Place) 7.000 08/01/2032 7,718,640 2,500,000 Orange County IDA (Tuxedo Place) 7.000 08/01/2033 2,411,725 2,770,000 Oswego County IDA (Bishop's Common) 5.375 02/01/2049 2,352,783 4,750,000 Oswego County IDA (SLRHF) 5.400 02/01/2038 4,099,393 3,260,000 Oswego IDA (Seneca Hill Manor) 5.650 08/01/2037 2,943,682 2,970,000 Otsego County IDA (Bassett Healthcare Project) 5.350 11/01/2020 2,695,691 1,280,000 Otsego County IDA (Bassett Healthcare Project) 5.375 11/01/2020 1,166,349 3,000,000 Otsego County IDA (Hartwick College) 5.500 07/01/2019 2,724,870 10,900,000 Peekskill IDA (Drum Hill) 6.375 10/01/2028 9,534,993 1,403,659 Peekskill IDA (Karta) 9.000 07/01/2010 1,426,216 1,080,000 Pilgrim Village HDC (Multifamily Hsg.) 6.800 02/01/2021 1,090,519 10,000 Port Authority NY/NJ (JFK International Air Terminal) 5.750 12/01/2025 9,528 465,000 Port Authority NY/NJ (KIAC) 6.750 10/01/2019 471,519 7,650,000 Port Authority NY/NJ (US Airways) 9.000 12/01/2006 8,012,840 590,000 Port Authority NY/NJ (US Airways) 9.000 12/01/2010 617,984 22,785,000 Port Authority NY/NJ (US Airways) 9.125 12/01/2015 23,901,237 45,000 Port Authority NY/NJ, 67th Series 6.875 01/01/2025 45,537 220,000 Port Authority NY/NJ, 68th Series 7.250 02/15/2025 222,851 70,000 Port Authority NY/NJ, 69th Series 7.125 06/01/2025 71,456 85,000 Port Authority NY/NJ, 70th Series 7.250 08/01/2025 87,026 15,000 Port Authority NY/NJ, 70th Series 7.250 08/01/2025 15,358 65,000 Port Authority NY/NJ, 71st Series 6.500 01/15/2026 66,767 70,000 Port Authority NY/NJ, 73rd Series 6.750 04/15/2026 72,073 15,000 Port Authority NY/NJ, 73rd Series 6.750 04/15/2026 15,444 15,000 Port Authority NY/NJ, 74th Series 6.750 08/01/2026 15,602 85,000 Port Authority NY/NJ, 76th Series 6.500 11/01/2026 86,117 4,255,000 Port Jervis IDA (Franciscan Health Partnership) 5.500 11/01/2016 (p) 3,621,643 60,000 Portchester CDC (Southport) 7.300 08/01/2011 60,721 25,000 Portchester CDC (Southport) 7.375 08/01/2022 25,320 1,990,000 Putnam County IDA (Brewster Plastics) 8.500 12/01/2016 2,085,480 15,000 Rensselaer Hsg. Authority (Renwyck) 7.650 01/01/2011 15,923 30,000 Rensselaer IDA (Millbrook Millwork) 8.500 12/15/2002 30,282 15,000,000 Rensselaer Municipal Leasing Corp. 6.900 06/01/2024 15,519,900 40,000 Riverhead HDC 8.250 08/01/2010 41,022 20,990,000 Rochester Hsg. Authority (Crossroads Apartments) 7.700 01/01/2017 22,409,344 6,790,000 Rochester Museum & Science Center 6.125 12/01/2015 6,277,898 2,000,000 Rockland County IDA (Dominican College) 6.250 05/01/2028 1,794,600 2,090,000 Rockland County IDA (Dominican College) 8.000 03/01/2013 (p) 2,319,545 1,705,000 Rockland County IDA (SWMA) 5.750 12/15/2018 1,610,117 1,395,000 Saratoga County IDA (ARC) 8.400 03/01/2013 1,481,434 490,000 Schroon Lake Fire District (a) 7.250 03/01/2009 496,826 175,000 Scotia Hsg. Authority (Holyrood House) 7.000 06/01/2009 180,388 25,000 SONYMA, Series 27 6.450 04/01/2004 25,759 5,000 SONYMA, Series 28 6.450 10/01/2020 4,895 10,000,000 SONYMA, Series 28 6.650 04/01/2022 10,167,200 8,830,000 SONYMA, Series 28 7.050 10/01/2023 9,105,496 610,000 SONYMA, Series 30 5.800 10/01/2025 574,272 10,000 SONYMA, Series 30-A 4.375 10/01/2023 9,643 16,005,000 SONYMA, Series 30-B 6.650 10/01/2025 16,388,320 100,000 SONYMA, Series 30-C1 5.850 10/01/2025 94,292 15,000 SONYMA, Series 30-C2 5.800 10/01/2025 14,215 11,510,000 SONYMA, Series 36-A 6.625 04/01/2025 11,826,755
24 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 12,895,000 SONYMA, Series 38 RITES (a) 5.394 % (f) 04/01/2025 $ 12,711,891 80,000 SONYMA, Series 40-A 6.350 04/01/2021 80,007 7,595,000 SONYMA, Series 40-A 6.700 04/01/2025 7,833,483 75,000 SONYMA, Series 40-B 6.400 10/01/2012 77,017 5,885,000 SONYMA, Series 40-B 6.600 04/01/2025 6,042,188 40,000 SONYMA, Series 42 6.000 10/01/2023 40,356 13,605,000 SONYMA, Series 42 6.650 04/01/2026 14,008,388 110,000 SONYMA, Series 42 6.650 04/01/2026 113,687 11,990,000 SONYMA, Series 44 7.500 04/01/2026 12,933,613 100,000 SONYMA, Series 46 6.500 04/01/2013 103,127 65,000 SONYMA, Series 46 6.600 10/01/2019 67,025 23,050,000 SONYMA, Series 46 6.650 10/01/2025 23,780,455 535,000 SONYMA, Series 48 6.100 04/01/2025 529,500 6,690,000 SONYMA, Series 50 6.625 04/01/2025 6,902,474 180,000 SONYMA, Series 52 6.100 04/01/2026 179,980 915,000 SONYMA, Series 52 6.100 04/01/2026 905,447 30,000 SONYMA, Series 53 5.900 10/01/2017 29,672 100,000 SONYMA, Series 54 6.100 10/01/2015 101,215 55,000 SONYMA, Series 54 6.200 10/01/2026 55,205 45,000 SONYMA, Series 54 6.200 10/01/2026 45,167 6,015,000 SONYMA, Series 58 6.400 04/01/2027 6,143,420 540,000 SONYMA, Series 60 6.000 10/01/2022 529,443 12,635,000 SONYMA, Series 60 6.050 04/01/2026 12,373,329 9,700,000 SONYMA, Series 63 6.125 04/01/2027 9,686,129 10,180,000 SONYMA, Series 65 5.850 10/01/2028 9,548,331 3,000,000 SONYMA, Series 67 5.700 10/01/2017 2,873,790 11,660,000 SONYMA, Series 67 5.800 10/01/2028 10,859,658 200,000 SONYMA, Series 69 5.400 10/01/2019 180,846 4,725,000 SONYMA, Series 69 RITES (a) 4.287 (f) 10/01/2028 3,702,794 1,255,000 SONYMA, Series 7 9.250 10/01/2014 1,264,174 940,000 SONYMA, Series 71 5.350 10/01/2018 861,792 10,150,000 SONYMA, Series 71 RITES (a) 4.087 (f) 04/01/2029 7,671,573 5,500,000 SONYMA, Series 73 RITES (a) 1.107 (f) 10/01/2028 2,566,520 1,675,000 SONYMA, Series 73A 5.300 10/01/2028 1,451,656 10,830,000 SONYMA, Series 79 5.300 04/01/2029 9,249,686 3,000,000 SONYMA, Series 84 5.900 04/01/2022 2,905,860 400,000 SONYMA, Series 8-A 6.875 04/01/2017 400,224 95,000 SONYMA, Series EE-2 7.450 10/01/2010 96,982 190,000 SONYMA, Series EE-2 7.500 04/01/2016 193,971 245,000 SONYMA, Series EE-3 7.700 10/01/2010 251,078 15,000 SONYMA, Series EE-3 7.750 04/01/2016 15,372 85,000 SONYMA, Series EE-4 7.750 10/01/2010 87,373 350,000 SONYMA, Series HH-2 7.700 10/01/2009 355,156 10,000 SONYMA, Series HH-2 7.850 04/01/2022 10,212 5,000 SONYMA, Series II (a) 0.000 04/01/2006 3,085 5,000 SONYMA, Series II (a) 0.000 04/01/2008 2,631 25,000 SONYMA, Series MM-1 7.750 10/01/2005 25,381 100,000 SONYMA, Series MM-2 7.700 04/01/2005 101,359 15,000 SONYMA, Series NN 7.550 10/01/2017 15,314 15,000 SONYMA, Series QQ 7.700 10/01/2012 15,331 70,000 SONYMA, Series RR 7.700 10/01/2010 71,981 5,000 SONYMA, Series TT 6.950 10/01/2002 5,156 50,000 SONYMA, Series VV 0.000 10/01/2023 8,376 70,000 SONYMA, Series VV 7.375 10/01/2011 72,445
25 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 2,370,000 St. Lawrence County IDA (Clarkson University) 5.500 % 07/01/2029 $ 2,064,791 2,805,000 St. Lawrence County IDA (Hepburn Medical Center) 5.375 12/01/2019 2,511,260 3,595,000 St. Lawrence County IDA (Hepburn Medical Center) 5.500 12/01/2024 3,204,655 725,000 Suffolk County GO 6.375 11/01/2016 (p) 770,218 1,310,000 Suffolk County IDA (ACLDD) 6.500 03/01/2018 1,228,177 490,000 Suffolk County IDA (ALIA - ACLDD) 6.375 06/01/2014 456,832 395,000 Suffolk County IDA (ALIA - ADD) (w) 6.950 12/01/2014 390,999 2,085,000 Suffolk County IDA (ALIA - DDI) 6.375 06/01/2014 1,943,866 850,000 Suffolk County IDA (ALIA - DDI) (w) 6.950 12/01/2014 841,390 1,080,000 Suffolk County IDA (ALIA - FREE) 6.375 06/01/2014 1,006,895 2,455,000 Suffolk County IDA (ALIA - FREE) (w) 6.950 12/01/2014 2,430,131 870,000 Suffolk County IDA (ALIA - IGHL) 6.375 06/01/2014 811,110 840,000 Suffolk County IDA (ALIA - IGHL) (w) 6.950 12/01/2014 831,491 515,000 Suffolk County IDA (ALIA - LIHIA) 6.375 06/01/2014 480,140 1,000,000 Suffolk County IDA (ALIA - LIHIA) (w) 6.950 12/01/2014 989,870 845,000 Suffolk County IDA (ALIA - MCH) 6.375 06/01/2014 787,802 2,540,000 Suffolk County IDA (ALIA - MCH) (w) 6.950 12/01/2014 2,514,270 365,000 Suffolk County IDA (ALIA - UCPAGS) 6.375 06/01/2014 340,293 1,460,000 Suffolk County IDA (ALIA - UCPAGS) (w) 6.950 12/01/2014 1,445,210 515,000 Suffolk County IDA (ALIA - WORCA) (w) 6.950 12/01/2014 509,783 23,000,000 Suffolk County IDA (Camelot Village) (w) 7.900 11/01/2031 23,018,170 865,000 Suffolk County IDA (CPCLI) 6.000 06/01/2009 823,523 3,230,000 Suffolk County IDA (CPCLI) 6.875 06/01/2024 3,028,610 390,000 Suffolk County IDA (CPCLI) 7.250 11/01/2007 390,519 1,825,000 Suffolk County IDA (CPCLI) 8.250 11/01/2010 1,896,869 1,505,000 Suffolk County IDA (DDI) 6.250 03/01/2009 1,444,454 5,270,000 Suffolk County IDA (DDI) 7.250 03/01/2024 5,014,458 655,000 Suffolk County IDA (DDI) 7.375 03/01/2003 654,882 9,675,000 Suffolk County IDA (DDI) 8.750 03/01/2023 10,417,847 2,000,000 Suffolk County IDA (Dowling College) 6.625 06/01/2024 1,923,500 3,115,000 Suffolk County IDA (Dowling College) 6.700 12/01/2020 3,046,657 920,000 Suffolk County IDA (Dowling College) 8.250 12/01/2020 (p) 968,870 445,000 Suffolk County IDA (Fil-Coil Corp.) 9.000 12/01/2015 442,775 1,060,000 Suffolk County IDA (Fil-Coil Corp.) 9.250 12/01/2025 1,054,700 3,860,000 Suffolk County IDA (Huntington First Aid Squad) 6.650 11/01/2017 3,709,537 12,265,000 Suffolk County IDA (Huntington Res Rec) 5.950 10/01/2009 12,743,580 13,190,000 Suffolk County IDA (Huntington Res Rec) 6.000 10/01/2010 13,716,413 14,170,000 Suffolk County IDA (Huntington Res Rec) 6.150 10/01/2011 14,864,047 17,155,000 Suffolk County IDA (Huntington Res Rec) 6.250 10/01/2012 18,071,592 3,250,000 Suffolk County IDA (Jefferson's Ferry) 6.125 11/01/2029 3,152,500 6,500,000 Suffolk County IDA (Jefferson's Ferry) 7.200 11/01/2019 6,378,190 10,000,000 Suffolk County IDA (Jefferson's Ferry) 7.250 11/01/2028 9,785,800 195,000 Suffolk County IDA (Microwave Power) 7.750 06/30/2002 197,424 4,320,000 Suffolk County IDA (Microwave Power) 8.500 06/30/2022 4,558,248 2,500,000 Suffolk County IDA (Nissequogue Cogeneration Partners) 5.500 01/01/2023 2,132,425 715,000 Suffolk County IDA (OBPWC) 7.500 11/01/2022 746,346 290,000 Suffolk County IDA (Rainbow Chimes) 7.000 05/01/2007 287,999 2,210,000 Suffolk County IDA (Rainbow Chimes) 8.000 11/01/2024 2,213,426 1,670,000 Suffolk County IDA (Rimland Facilities) (a) 6.375 (v) 12/01/2009 1,670,234 1,260,000 Suffolk County IDA (Wireless Boulevard Realty) 7.875 12/01/2012 1,308,044 4,005,000 Suffolk County IDA (Wireless Boulevard Realty) 8.625 12/01/2026 4,265,846 2,890,000 Sunnybrook EHC 11.250 12/01/2014 2,991,208 9,590,000 Syracuse Hsg. Authority (LRRHCF) 5.800 08/01/2037 8,963,294 625,000 Syracuse Hsg. Authority (LRRHCF) 7.500 08/01/2010 595,219
26 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 1,990,000 Syracuse Hsg. Authority (Seneca Heights) 7.500 % 12/01/2007 $ 1,771,100 4,720,000 Syracuse Hsg. Authority (Seneca Heights) 8.500 12/01/2017 4,160,491 470,000 Syracuse IDA (Anoplate Corp.) 7.250 11/01/2007 479,588 2,195,000 Syracuse IDA (Anoplate Corp.) 8.000 11/01/2022 2,270,859 40,975,000 Syracuse IDA (James Square) 0.000 08/01/2025 7,598,404 7,050,000 Syracuse IDA (Pavilion on James Senior Hsg.) 7.500 08/01/2030 6,752,772 1,150,000 Syracuse IDA (Rockwest Center I) (a) 8.000 06/01/2013 1,158,625 980,000 Syracuse IDA (Rockwest Center II) (a) 7.625 12/01/2010 833,000 1,470,000 Syracuse IDA (Rockwest Center II) (a) 8.625 12/01/2015 1,249,500 8,085,000 Syracuse IDA (Spectrum Medsystems Corp.) 8.500 11/01/2010 7,993,154 25,000 34th Street BID (34th Street Partnership) 5.500 01/01/2023 22,518 3,750,000 Tompkins County IDA (Ithacare Center) 6.200 02/01/2037 3,737,325 50,000 Tompkins County IDA (Kendall at Ithaca) 7.250 06/01/2003 49,854 10,000 Tompkins County IDA (Kendall at Ithaca) 7.625 06/01/2009 10,020 2,790,000 Tompkins County IDA (Kendall at Ithaca) 7.875 06/01/2015 2,833,747 5,735,000 Tompkins County IDA (Kendall at Ithaca) 7.875 06/01/2024 5,872,124 220,000 Tompkins Healthcare Corp. (Reconstruction Home) 10.800 02/01/2007 254,375 60,000 Tompkins Healthcare Corp. (Reconstruction Home) 10.800 02/01/2028 72,293 730,000 Tonawanda SCHC 6.500 12/01/2010 705,100 3,525,000 TSASC, Inc. (TFABs) 6.000 07/15/2020 3,386,362 1,505,000 TSASC, Inc. (TFABs) 6.000 07/15/2020 1,445,808 1,940,000 TSASC, Inc. (TFABs) 6.000 07/15/2021 1,861,915 23,000,000 TSASC, Inc. (TFABs) 6.250 07/15/2034 22,044,350 84,200,000 TSASC, Inc. (TFABs) (w) 6.375 07/15/2039 81,489,602 65,000 Tupper Lake HDC 8.125 10/01/2010 65,164 995,000 UCP/HCA of Chemung County 6.600 08/01/2022 1,019,616 4,870,000 UFA Devel. Corp. (Loretto-Utica Corp.) 5.950 07/01/2035 4,627,377 725,000 Ulster County IDA (Benedictine Hospital) 6.400 06/01/2014 678,122 1,945,000 Ulster County IDA (Benedictine Hospital) 6.450 06/01/2024 1,747,563 360,000 Ulster County IDA (Brooklyn Bottling) 7.800 06/30/2002 363,874 1,915,000 Ulster County IDA (Brooklyn Bottling) 8.600 06/30/2022 2,002,190 4,000,000 Ulster County IDA (Kingston Hospital) 5.650 11/15/2024 3,561,120 1,465,000 Ulster County IDA (Mid-Hsg. Family Health) 5.350 07/01/2023 1,276,616 2,250,000 Ulster County Res Rec 6.000 03/01/2014 2,242,350 2,470,000 Union Hsg. Authority (Methodist Homes) 7.625 11/01/2016 2,587,325 110,000 Union Hsg. Authority (Methodist Homes) 8.150 04/01/2000 110,636 120,000 Union Hsg. Authority (Methodist Homes) 8.250 04/01/2001 123,368 150,000 Union Hsg. Authority (Methodist Homes) 8.350 04/01/2002 157,193 2,010,000 Union Hsg. Authority (Methodist Homes) 8.500 04/01/2012 2,169,192 20,005,000 United Nations Devel. Corp., Series B 5.600 07/01/2026 17,966,090 17,150,000 United Nations Devel. Corp., Series C 5.600 07/01/2026 15,420,080 540,000 Upper Mohawk Valley Water Finance Authority 5.750 08/01/2029 515,284 100,000 Utica GO 5.900 12/01/2002 98,524 580,000 Utica GO 6.000 01/15/2006 554,961 560,000 Utica GO 6.250 01/15/2007 538,294 3,000,000 Utica IDA (Utica College) 5.750 08/01/2028 2,704,620 25,000 Utica SCHC (Brook Apartments) 0.000 07/01/2002 19,759 3,410,000 Utica SCHC (Brook Apartments) 0.000 07/01/2026 272,936 20,000 Valley Health Devel. Corp. 7.850 08/01/2035 21,375 375,000 Valley Health Devel. Corp. 11.300 02/01/2007 423,409 165,000 Valley Health Devel. Corp. 11.300 02/01/2023 185,054 950,000 Vigilant EHL (Thomaston Volunteer Fire Dept.) 7.500 11/01/2012 983,184 8,440,000 Warren & Washington Counties IDA (Adirondack Res Rec) 8.000 12/15/2012 7,797,125 8,555,000 Warren & Washington Counties IDA (Adirondack Res Rec) 8.200 12/15/2010 8,079,855
27 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 8,965,000 Warren & Washington Counties IDA (Adirondack Res Rec) 8.200 % 12/15/2010 $ 8,467,084 100,000 Watervliet EHC 8.000 11/15/2003 100,814 95,000 Watervliet EHC 8.000 11/15/2004 95,773 95,000 Watervliet EHC 8.000 11/15/2005 95,773 100,000 Watervliet EHC 8.000 11/15/2006 100,814 100,000 Watervliet EHC 8.000 11/15/2007 100,814 100,000 Watervliet EHC 8.000 11/15/2008 100,814 100,000 Watervliet EHC 8.000 11/15/2009 100,814 315,000 Wayne County IDA (ARC) 7.250 03/01/2003 315,252 2,925,000 Wayne County IDA (ARC) 8.375 03/01/2018 3,073,005 1,870,000 Westchester County IDA (Beth Abraham Hospital) 8.375 12/01/2025 2,017,674 1,285,200 Westchester County IDA (Clearview School) 9.375 01/01/2021 1,385,420 2,220,000 Westchester County IDA (JBFS) 6.750 12/15/2012 2,239,647 1,560,000 Westchester County IDA (JDAM) 6.750 04/01/2016 1,542,980 3,250,000 Westchester County IDA (Lawrence Hospital) 5.000 01/01/2028 2,522,000 800,000 Westchester County IDA (Lawrence Hospital) 5.125 01/01/2018 674,168 1,750,000 Westchester County IDA (Rippowam-Cisqua School) 5.750 06/01/2029 1,591,450 65,000 Westchester County IDA (Westchester Airport) 5.950 08/01/2024 59,487 19,860,000 Westchester County Tobacco Asset Securitization Corp. 0.000 (v) 07/15/2029 16,409,524 70,275,000 Westchester County Tobacco Asset Securitization Corp. 0.000 (v) 07/15/2039 36,221,843 1,815,000 Yates County IDA (Keuka College) 8.750 08/01/2015 2,022,745 975,000 Yates County IDA (Keuka College) 9.000 08/01/2011 1,037,488 3,825,000 Yates County IDA (SSMH) 5.650 02/01/2039 3,459,483 4,685,000 Yonkers IDA (Hudson Scenic Studio) 6.625 11/01/2019 4,331,704 4,520,000 Yonkers IDA (Michael Malotz Skilled Nursing Pavilion) 5.650 02/01/2039 4,173,587 1,590,000 Yonkers IDA (Philipsburgh Hall) (w) 7.500 11/01/2030 1,593,657 720,000 Yonkers IDA (St. Joseph's Hospital) 7.500 12/30/2003 726,228 3,270,000 Yonkers IDA (St. Joseph's Hospital) 8.500 12/30/2013 3,496,284 2,200,000 Yonkers IDA (St. Joseph's Hospital), Series 98-A 6.150 03/01/2015 1,965,326 2,100,000 Yonkers IDA (St. Joseph's Hospital), Series 98-B 6.150 03/01/2015 1,875,993 1,000,000 Yonkers IDA (St. Joseph's Hospital), Series 98-C 6.200 03/01/2020 878,570 250,000 Yonkers IDA (Westchester School) 7.375 12/30/2003 254,178 3,375,000 Yonkers IDA (Westchester School) 8.750 12/30/2023 3,646,654 800,000 Yonkers Parking Authority 6.000 06/15/2018 747,160 1,215,000 Yonkers Parking Authority 6.000 06/15/2024 1,105,905 655,000 Yonkers Parking Authority 7.750 12/01/2004 672,377 ----------------- 3,947,227,235 ----------------- - ------------------------------------------------------------------------------------------------------------------------------------ U.S. POSSESSIONS--8.3% 400,000 American Samoa Power Authority 6.800 09/01/2000 404,824 400,000 American Samoa Power Authority 6.850 09/01/2001 409,888 400,000 American Samoa Power Authority 6.900 09/01/2002 414,524 500,000 American Samoa Power Authority 6.950 09/01/2003 523,475 500,000 American Samoa Power Authority 7.000 09/01/2004 528,030 800,000 American Samoa Power Authority 7.100 09/01/2001 821,584 800,000 American Samoa Power Authority 7.200 09/01/2002 834,856 3,675,000 Guam Airport Authority, Series B 6.600 10/01/2010 3,838,097 60,730,000 Guam Airport Authority, Series B 6.700 10/01/2023 62,654,534 2,995,000 Guam EDA (Harmon Village Apartments) (b) (d) 9.375 11/01/2018 2,396,359 2,530,000 Guam EDA (Royal Socio Apartments) 9.500 11/01/2018 2,544,472 1,500,000 Guam GO, Series A 5.400 11/15/2018 1,325,805 1,500,000 Guam Hsg. Corp., Series A 5.750 09/01/2031 1,401,240 837,866 Puerto Rico Dept. of Corrections Equipment Lease (a) 8.000 04/17/2003 839,333 17,800,000 Puerto Rico Electric Power Authority LEVRRS 7.478 (f) 07/01/2023 19,357,500
28 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 834,900 Puerto Rico Family Dept. Furniture Lease (a) 8.000 % 08/18/2003 $ 839,810 2,643,177 Puerto Rico Family Dept. Furniture Lease (a) 12.725 08/12/2003 2,859,336 30,000 Puerto Rico GO 5.875 07/01/2018 31,411 1,600,000 Puerto Rico GO RITES (a) 6.740 (f) 07/01/2022 1,578,000 40,250,000 Puerto Rico GO YCN 7.982 (f) 07/01/2020 38,891,563 1,000,000 Puerto Rico GO YCN (a) 7.745 (f) 07/01/2015 (p) 1,092,960 5,599,899 Puerto Rico Health Dept. Computer Lease (a) 7.438 03/26/2003 5,564,788 790,000 Puerto Rico HFA (Affordable Hsg.) 6.250 04/01/2029 792,141 10,000 Puerto Rico HFC 7.300 10/01/2006 10,252 210,000 Puerto Rico HFC 7.500 10/01/2015 215,384 5,240,000 Puerto Rico HFC 7.500 04/01/2022 5,375,192 25,000 Puerto Rico HFC 7.650 10/15/2022 25,729 185,000 Puerto Rico IMEPCF (Instituto Medico) 9.500 04/01/2003 187,329 557,951 Puerto Rico Industrial Commission Computer Lease (a) 8.000 03/26/2003 559,882 1,215,000 Puerto Rico Infrastructure 7.500 07/01/2009 1,230,090 660,000 Puerto Rico Infrastructure 7.750 07/01/2008 668,336 165,000 Puerto Rico Infrastructure 7.900 07/01/2007 167,104 2,500,000 Puerto Rico ITEMECF (Ana G. Mendez University) 5.375 02/01/2029 2,135,925 485,000 Puerto Rico ITEMECF (Mennonite General Hospital) 5.625 07/01/2017 419,186 985,000 Puerto Rico ITEMECF (Mennonite General Hospital) 5.625 07/01/2027 811,936 12,205,000 Puerto Rico ITEMECF (Mennonite General Hospital) 6.500 07/01/2026 11,418,510 5,000 Puerto Rico ITEMECF (Polytech University) 5.700 08/01/2013 4,815 750,000 Puerto Rico ITEMECF (Ryder Memorial Hospital) 6.400 05/01/2009 765,893 2,150,000 Puerto Rico ITEMECF (Ryder Memorial Hospital) 6.600 05/01/2014 2,100,185 5,250,000 Puerto Rico ITEMECF (Ryder Memorial Hospital) 6.700 05/01/2024 5,213,880 4,000,000 Puerto Rico ITEMECF (San Lucas & Cristo Redentor Hospitals) 5.750 06/01/2029 3,551,440 172,492 Puerto Rico Medical Services Equipment Lease (a) (b) 7.300 02/27/2003 171,458 592,049 Puerto Rico Medical Services Ventilator Lease (a) 7.500 04/01/2003 590,652 15,000 Puerto Rico Port Authority 7.300 07/01/2007 15,014 4,300,000 Puerto Rico Port Authority (American Airlines) 6.250 06/01/2026 4,167,474 1,520,000 Puerto Rico Port Authority (American Airlines) 6.300 06/01/2023 1,484,478 15,124,296 Puerto Rico Public Buildings Authority Computer Lease (a) 6.528 05/01/2004 14,873,082 788,582 Puerto Rico Rio Grande Computer Lease (a) 8.000 09/02/2003 777,070 2,247,808 Puerto Rico Rio Grande Equipment Lease (a) 8.800 10/13/2003 2,302,587 127,454 Puerto Rico Rio Grande Vehicle Lease (a) 9.000 01/23/2003 126,227 537,240 Puerto Rico San Sebastian Garage Lease (a) 10.000 09/16/2005 567,933 355,013 Puerto Rico State Courts Vehicle Lease (a) 8.000 03/26/2003 358,748 16,550,000 Puerto Rico Telephone Authority RIBS 6.560 (f) 01/16/2015 17,646,438 15,000,000 Puerto Rico Telephone Authority RIBS (a) 6.382 (f) 01/01/2022 16,240,800 2,000,000 University of V.I. 6.250 12/01/2029 1,969,280 1,205,000 University of V.I. 7.250 10/01/2004 1,327,067 3,570,000 University of V.I. 7.700 10/01/2019 (p) 4,065,802 5,175,000 University of V.I. 7.750 10/01/2024 (p) 5,904,572 298,000 V.I. GO (Hugo Insurance Claims Program) 7.750 10/01/2006 314,095 60,000 V.I. HFA 6.450 03/01/2016 61,024 3,000,000 V.I. Public Finance Authority 5.500 10/01/2014 2,801,340 5,000,000 V.I. Public Finance Authority 5.500 10/01/2015 4,627,100 1,250,000 V.I. Public Finance Authority 5.500 10/01/2022 1,099,738 7,500,000 V.I. Public Finance Authority 5.625 10/01/2025 6,649,950 7,750,000 V.I. Public Finance Authority 5.875 10/01/2018 7,100,705 6,500,000 V.I. Public Finance Authority 6.000 10/01/2022 5,962,515 18,000,000 V.I. Public Finance Authority 6.125 10/01/2029 17,424,360 7,750,000 V.I. Public Finance Authority 6.500 10/01/2024 7,673,740 1,135,000 V.I. Public Finance Authority 7.125 10/01/2004 (p) 1,205,211
29 ROCHESTER FUND MUNICIPALS STATEMENT OF INVESTMENTS December 31, 1999
Face Market Value Amount Coupon Maturity See Note 1 ==================================================================================================================================== $ 1,735,000 V.I. Public Finance Authority 7.375 % 10/01/2010 (p) $ 1,966,518 13,550,000 V.I. Public Finance Authority Computer Lease (a) 6.250 01/01/2005 13,125,750 75,000 V.I. Water & Power Authority 5.300 07/01/2018 66,686 2,515,000 V.I. Water & Power Authority 5.300 07/01/2021 2,200,927 2,500,000 V.I. Water & Power Authority 5.500 07/01/2017 2,220,625 5,655,000 V.I. Water & Power Authority 7.400 07/01/2011 (p) 5,943,066 6,850,000 V.I. Water & Power Authority 7.600 01/01/2012 (p) 7,454,924 -------------- 345,292,554 -------------- - ---------------------------------------------------------------------------------------------------------------------------------- TOTAL INVESTMENTS, AT VALUE (COST $4,516,970,748)--102.7% 4,292,519,789 - ---------------------------------------------------------------------------------------------------------------------------------- -------------- LIABILITIES IN EXCESS OF OTHER ASSETS--(2.7%) (111,290,646) -------------- NET ASSETS --100.0% $4,181,229,143 ==============
FOOTNOTES TO STATEMENT OF INVESTMENTS (a) Illiquid security--See Note 5 of Notes to Financial Statements. (b) Non-income accruing security. (c) Partial interest payment received. (d) Issuer is in default. (f) Represents the current interest rate for a variable rate bond known as an "inverse floater" which pays interest at a rate that varies inversely with short-term interest rates. As interest rates rise, inverse floaters produce less current income. Their price may be more volatile than the price of a comparable fixed-rate security. Inverse floaters amount to $874,845,440, or 19.98% of the Fund's total assets as of December 31, 1999. (p) This issue has been prerefunded to an earlier date. (v) Represents the current interest rate for a variable or increasing rate security. (w) When-issued security or forward purchase commitment to be delivered and settled after December 31, 1999. See accompanying Notes to Financial Statements. 30 ROCHESTER FUND MUNICIPALS FOOTNOTES TO STATEMENT OF INVESTMENTS Continued ========================================================================== PORTFOLIO ABBREVIATIONS To simplify the listing of securities in the Statement of Investments, abbreviations are used per the table below:
ACLDD Adults and Children with Learning and LSSUNY Lutheran Social Services of Upstate New York Developmental Disabilities MCH Maryhaven Center of Hope ADD Aid to the Developmentally Disabled MTA Metropolitan Transportation Authority ALIA Alliance of Long Island Agencies NH&HC Nursing Home and Health Care ARC Association of Retarded Citizens NIMO Niagara Mohawk Power Corporation ASMF Amsterdam Sludge Management Facility NJ New Jersey BID Business Improvement District NSCFGA North Shore Child and Family Guidance Association BOCES Board of Cooperative Educational Services NY New York CAB Capital Appreciation Bond NYC New York City CARS Complimentary Auction Rate Security NYS New York State CDC Community Development Corporation NYSEG New York State Electric and Gas Con Ed Consolidated Edison Company OBPWC Ocean Bay Park Water Corporation COP Certificates of Participation PRFF Puerto Rican Family Foundation CPCLI Community Programs Center of Long Island Res Rec Resource Recovery Facility DA Dormitory Authority RG&E Rochester Gas and Electric DDI Developmental Disabilities Institute RIBS Residual Interest Bonds DIAMONDS Direct Investment of Accrued Municipals RIT Rochester Institute of Technology EDA Economic Development Authority RITES Residual Interest Tax Exempt Security EFC Environmental Facilities Corporation SCHC Senior Citizen Housing Corporation EHC Elderly Housing Corporation SCSB Schuyler Community Services Board EHL Engine Hook and Ladder SLCD School for Language and Communication ERDA Energy Research and Development Authority Development FREE Family Residences and Essential Enterprises SLRHF St. Luke Residential Healthcare Facility GJSR Gurwin Jewish Senior Residences SONYMA State of New York Mortgage Agency GO General Obligation SSMH Soldiers and Sailors Memorial Hospital GRIA Greater Rochester International Airport SUNY State University of New York HDC Housing Development Corporation SWMA Solid Waste Management Authority HELP Homeless Economic Loan Program TFA Transitional Finance Authority HFA Housing Finance Agency TFABs Tobacco Flexible Amortization Bonds HFC Housing Finance Corporation UCPAGS United Cerebral Palsy Association of Greater Suffolk IDA Industrial Development Agency UCP/HCA United Cerebral Palsy and Handicapped Children's IGHL Independent Group Home for Living Association IMEPCF Industrial, Medical and Environmental Pollution UDC Urban Development Corporation Control Facilities UFA Utica Free Academy INFLOS Inverse Floating Rate Securities V.I. United States Virgin Islands IRS Inverse Rate Security WORCA Working Organization for Retarded Children and Adults ITEMECF Industrial, Tourist, Educational, Medical and WWH Wyandach/Wheatley Heights Environmental Community Facilities YCN Yield Curve Note IVRC Inverse Variable Rate Certificate YCR Yield Curve Receipt JBFS Jewish Board of Family Services YMCA Young Men's Christian Association JCC Jewish Community Center JDAM Julia Dyckman Angus Memorial JFK John Fitzgerald Kennedy L.I. Long Island LEVRRS Leveraged Reverse Rate Security LGAC Local Government Assistance Corporation LGSC Local Government Services Corporation LIHIA Long Island Head Injury Association LILCO Long Island Lighting Corporation LRRHCF Loretto Rest Residential Health Care Facility
31 ROCHESTER FUND MUNICIPALS FOOTNOTES TO STATEMENT OF INVESTMENTS Continued ========================================================================== INDUSTRY CONCENTRATIONS December 31, 1999 Distribution of investments by industry of issue, as a percentage of total investments at value, is as follows:
INDUSTRY MARKET VALUE PERCENT - --------------------------------------------------------------------------------------------- Hospital/Healthcare $701,852,878 16.4 % Multifamily Housing 396,644,715 9.3 Electric Utilities 350,755,968 8.2 General Obligation 314,344,796 7.3 Municipal Leases 288,720,362 6.7 Special Assessment 270,448,382 6.3 Adult Living Facilities 236,880,143 5.5 Manufacturing, Non-Durable Goods 220,206,959 5.1 Single Family Housing 219,179,652 5.1 Marine/Aviation Facilities 215,988,270 5.0 Resource Recovery 214,162,874 5.0 Nonprofit Organization 181,110,534 4.2 Manufacturing, Durable Goods 154,098,548 3.6 Higher Education 138,794,342 3.2 Water Utilities 92,000,804 2.2 Education 91,830,039 2.1 Sales Tax Revenue 68,138,024 1.6 Highways/Railways 56,334,559 1.3 Other 81,027,940 1.9 --------------------------------- $4,292,519,789 100.0 % =================================
================================================================================ SUMMARY OF RATINGS December 31, 1999 Unaudited Distribution of investments by rating category, as a percentage of total investments at value, is as follows:
RATING PERCENT - --------------------------------------------------------------------------------------------- AAA 22.6 % AA 12.9 A 22.4 BBB 19.7 BB 1.6 B 0.7 CCC 0.0 CC 0.0 C 0.0 Not Rated 20.1 ----------- 100.0 % ===========
Bonds rated by any nationally recognized statistical rating organization are included in the equivalent Standard & Poor's rating category. As a general matter, unrated bonds may be backed by mortgage liens or equipment liens on the underlying property, and also may be guaranteed. Bonds which are backed by a letter of credit or by other financial institutions or agencies may be assigned an investment grade rating by the Manager, which reflects the quality of the guarantor, institution or agency. Unrated bonds may also be assigned a rating when the issuer has rated bonds outstanding with comparable credit characteristics, or when, in the opinion of the Manager, the bond itself possesses credit characteristics which allow for rating. The unrated bonds in the portfolio are predominantly smaller issuers which have not applied for a bond rating. Only those unrated bonds which subsequent to purchase have not been designated investment grade by the Manager are included in the "Not Rated" category. 32 ROCHESTER FUND MUNICIPALS STATEMENT OF ASSETS AND LIABILITIES December 31, 1999
===================================================================================================== ASSETS Investments, at value (cost $4,516,970,748)--see accompanying statement $4,292,519,789 - ------------------------------------------------------------------------------------------------------ Cash 4,069,723 - ------------------------------------------------------------------------------------------------------ Receivables and other assets: Interest 72,894,297 Shares of beneficial interest sold 8,170,488 Investments sold 1,450,205 Other 52,491 --------------- Total assets 4,379,156,993 ====================================================================================================== LIABILITIES Payables and other liabilities: Investments purchased 114,441,298 Note payable to bank (interest rate 5.625% at 12/31/99) 62,700,000 Shares of beneficial interest redeemed 18,987,348 Trustees' compensation 1,025,131 Dividends 181,093 Other 592,980 --------------- Total liabilities 197,927,850 ====================================================================================================== NET ASSETS $4,181,229,143 =============== ===================================================================================================== COMPOSITION OF NET ASSETS Paid-in capital $4,514,701,382 - ------------------------------------------------------------------------------------------------------ Undistributed net investment income 1,944,562 - ------------------------------------------------------------------------------------------------------ Accumulated net realized loss on investment transactions (110,965,842) - ------------------------------------------------------------------------------------------------------ Net unrealized depreciation on investments (224,450,959) --------------- Net assets $4,181,229,143 =============== ===================================================================================================== NET ASSET VALUE PER SHARE Class A Shares: Net asset value and redemption price per share (based on net assets of $3,288,073,809 and 195,977,917 shares of beneficial interest outstanding) $16.78 Maximum offering price per share (net asset value plus sales charge of 4.75% of offering price) $17.62 - ------------------------------------------------------------------------------------------------------ Class B Shares: Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $673,384,711 and 40,159,104 shares of beneficial interest outstanding) $16.77 - ------------------------------------------------------------------------------------------------------ Class C Shares: Net asset value, redemption price (excludes applicable contingent deferred sales charge) and offering price per share (based on net assets of $219,770,623 and 13,110,029 shares of beneficial interest outstanding) $16.76
See accompanying Notes to Financial Statements. 33 ROCHESTER FUND MUNICIPALS STATEMENT OF OPERATIONS For the Year Ended December 31, 1999
====================================================================================================== INVESTMENT INCOME Interest $289,084,667 ====================================================================================================== EXPENSES Management fees 20,655,696 - ------------------------------------------------------------------------------------------------------ Distribution and service plan fees: Class A 5,198,680 Class B 6,346,313 Class C 2,211,014 - ------------------------------------------------------------------------------------------------------ Transfer and shareholder servicing agent fees: Class A 1,428,360 Class B 347,367 Class C 88,252 - ------------------------------------------------------------------------------------------------------ Accounting service fees 1,327,586 - ------------------------------------------------------------------------------------------------------ Trustees' compensation 522,376 - ------------------------------------------------------------------------------------------------------ Custodian fees and expenses 409,548 - ------------------------------------------------------------------------------------------------------ Other 1,153,885 - ------------------------------------------------------------------------------------------------------ Interest 1,832,697 -------------- Total expenses 41,521,774 Less expenses paid indirectly (153,276) -------------- Net expenses 41,368,498 ====================================================================================================== NET INVESTMENT INCOME 247,716,169 ====================================================================================================== REALIZED AND UNREALIZED LOSS Net realized loss on investments (41,602,735) - ------------------------------------------------------------------------------------------------------- Net change in unrealized appreciation or depreciation on investments (471,101,165) --------------- Net realized and unrealized loss (512,703,900) ======================================================================================================= NET DECREASE IN NET ASSETS RESULTING FROM OPERATIONS $(264,987,731) ===============
See accompanying Notes to Financial Statements. 34 ROCHESTER FUND MUNICIPALS STATEMENTS OF CHANGES IN NET ASSETS
Year Ended December 31, 1999 1998 =========================================================================================================================== OPERATIONS Net investment income $247,716,169 $193,865,904 - --------------------------------------------------------------------------------------------------------------------------- Net realized loss (41,602,735) (4,390,468) - --------------------------------------------------------------------------------------------------------------------------- Net change in unrealized appreciation or depreciation (471,101,165) 30,719,166 --------------------------------------- Net increase (decrease) in net assets resulting from operations (264,987,731) 220,194,602 =========================================================================================================================== DIVIDENDS AND/OR DISTRIBUTIONS TO SHAREHOLDERS Dividends from net investment income: Class A (204,429,524) (175,270,973) Class B (30,543,603) (14,972,126) Class C (10,772,109) (5,050,170) =========================================================================================================================== BENEFICIAL INTEREST TRANSACTIONS Net increase in net assets resulting from beneficial interest transactions: Class A 261,241,800 565,102,760 Class B 255,736,157 320,057,221 Class C 72,307,141 123,988,335 ========================================================================================================================== NET ASSETS Total increase 78,552,131 1,034,049,649 - --------------------------------------------------------------------------------------------------------------------------- Beginning of period 4,102,677,012 3,068,627,363 --------------------------------------- End of period (including undistributed net investment income of $1,944,562 and excess of distributions over net investment income of $26,371, respectively) $4,181,229,143 $4,102,677,012 =======================================
See accompanying Notes to Financial Statements. 35 ROCHESTER FUND MUNICIPALS FINANCIAL HIGHLIGHTS
CLASS A Year Ended December 31, 1999 1998 1997 1996 (1) 1995 ================================================================================================================================ PER SHARE OPERATING DATA Net asset value, beginning of period $18.81 $18.67 $18.00 $18.18 $16.31 - -------------------------------------------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income 1.04 1.04 1.10 (2) 1.10 (2) 1.10 (2) Net realized and unrealized gain (loss) (2.03) 0.15 0.67 (0.18) 1.86 -------------------------------------------------------------------- Total income (loss) from investment operations (0.99) 1.19 1.77 0.92 2.96 - -------------------------------------------------------------------------------------------------------------------------------- Dividends and distributions to shareholders: Dividends from net investment income (1.04) (1.04) (1.10) (1.10) (1.09) Undistributed net investment income - prior year ----- (0.01) ----- ----- ----- -------------------------------------------------------------------- Total dividends and distributions to shareholders (1.04) (1.05) (1.10) (1.10) (1.09) - -------------------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $16.78 $18.81 $18.67 $18.00 $18.18 ==================================================================== ================================================================================================================================ Total Return, at Net Asset Value (3) (5.51)% 6.52% 10.20% 5.37% 18.58% ================================================================================================================================ Ratios/Supplemental Data Net assets, end of period (in millions) $3,288 $3,435 $2,848 $2,308 $2,145 - -------------------------------------------------------------------------------------------------------------------------------- Average net assets (in millions) $3,559 $3,161 $2,539 $2,191 $2,005 - -------------------------------------------------------------------------------------------------------------------------------- Ratios to average net assets: (4) Net investment income 5.78% 5.50% 5.96% 6.20% 6.25% Expenses 0.77% 0.78% (5) 0.76% 0.82% 0.82% Expenses, net of indirect expenses and interest (6) (7) 0.73% 0.75% 0.74% 0.77% 0.78% - -------------------------------------------------------------------------------------------------------------------------------- Portfolio turnover rate (8) 30% 25% 5% 13% 15%
(1) On January 4, 1996, OppenheimerFunds, Inc. became the investment advisor to the Fund. (2) Based on average shares outstanding for the period. (3) Assumes a $1,000 hypothetical initial investment on the business day before the first day of the fiscal period (or inception of offering), with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. (4) Annualized for periods of less than one full year. (5) Expense ratio has not been grossed up to reflect the effect of expenses paid indirectly. (6) During the periods shown above, the Fund's interest expense was substantially offset by the incremental interest income generated on bonds purchased with borrowed funds. (7) Prior year ratios have been restated to conform to current year presentation. (8) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. Purchases and sales of investment securities (excluding short-term securities) for the period ended December 31, 1999, were $1,930,375,402 and $1,337,576,882, respectively. See accompanying Notes to Financial Statements. 36 ROCHESTER FUND MUNICIPALS FINANCIAL HIGHLIGHTS Continued
CLASS B Year Ended December 31, 1999 1998 1997 (9) ================================================================================================================== PER SHARE OPERATING DATA Net asset value, beginning of period $18.79 $18.65 $17.89 - ------------------------------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income 0.89 0.89 0.74 (2) Net realized and unrealized gain (loss) (2.03) 0.14 0.76 ------------------------------------------- Total income (loss) from investment operations (1.14) 1.03 1.50 - ------------------------------------------------------------------------------------------------------------------- Dividends and distributions to shareholders: Dividends from net investment income (0.88) (0.89) (0.74) Undistributed net investment income - prior year ----- ----- ----- ------------------------------------------- Total dividends and distributions to shareholders (0.88) (0.89) (0.74) - ------------------------------------------------------------------------------------------------------------------- Net asset value, end of period $16.77 $18.79 $18.65 ========================================== ================================================================================================================== TOTAL RETURN, AT NET ASSET VALUE (3) (6.27)% 5.61% 8.74% ================================================================================================================== RATIOS/SUPPLEMENTAL DATA Net assets, end of period (in millions) $673 $494 $172 - ------------------------------------------------------------------------------------------------------------------- Average net assets (in millions) $635 $329 $76 - ------------------------------------------------------------------------------------------------------------------- Ratios to average net assets: (4) Net investment income 4.91% 4.57% 4.91% Expenses 1.64% 1.64% (5) 1.59% Expenses, net of indirect expenses and interest (6) (7) 1.59% 1.61% 1.58% - ------------------------------------------------------------------------------------------------------------------- Portfolio turnover rate (8) 30% 25% 5%
(1) On January 4, 1996, OppenheimerFunds, Inc. became the investment advisor to the Fund. (2) Based on average shares outstanding for the period. (3) Assumes a $1,000 hypothetical initial investment on the business day before the first day of the fiscal period (or inception of offering), with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. (4) Annualized for periods of less than one full year. (5) Expense ratio has not been grossed up to reflect the effect of expenses paid indirectly. (6) During the periods shown above, the Fund's interest expense was substantially offset by the incremental interest income generated on bonds purchased with borrowed funds. (7) Prior year ratios have been restated to conform to current year presentation. (8) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. Purchases and sales of investment securities (excluding short-term securities) for the period ended December 31, 1999, were $1,930,375,402 and $1,337,576,882, respectively. (9) For the period from March 17, 1997 (inception of offering) to December 31, 1997. See accompanying Notes to Financial Statements. 37 ROCHESTER FUND MUNICIPALS FINANCIAL HIGHLIGHTS Continued
CLASS C Year Ended December 31, 1999 1998 1997 (9) =============================================================================================================== PER SHARE OPERATING DATA Net asset value, beginning of period $18.79 $18.66 $17.89 - --------------------------------------------------------------------------------------------------------------- Income (loss) from investment operations: Net investment income 0.89 0.89 0.74 (2) Net realized and unrealized gain (loss) (2.04) 0.13 0.77 ------------------------------------------- Total income (loss) from investment operations (1.15) 1.02 1.51 - --------------------------------------------------------------------------------------------------------------- Dividends and distributions to shareholders: Dividends from net investment income (0.88) (0.89) (0.74) Undistributed net investment income - prior year ----- ----- ----- ------------------------------------------- Total dividends and distributions to shareholders (0.88) (0.89) (0.74) - --------------------------------------------------------------------------------------------------------------- Net asset value, end of period $16.76 $18.79 $18.66 =========================================== =============================================================================================================== TOTAL RETURN, AT NET ASSET VALUE (3) (6.32)% 5.56% 8.80% =============================================================================================================== RATIOS/SUPPLEMENTAL DATA Net assets, end of period (in millions) $220 $174 $49 - --------------------------------------------------------------------------------------------------------------- Average net assets (in millions) $221 $111 $21 - --------------------------------------------------------------------------------------------------------------- Ratios to average net assets: (4) Net investment income 4.92% 4.57% 4.92% Expenses 1.63% 1.63% (5) 1.58% Expenses, net of indirect expenses and interest (6) (7) 1.58% 1.59% 1.56% - --------------------------------------------------------------------------------------------------------------- Portfolio turnover rate (8) 30% 25% 5%
(1) On January 4, 1996, OppenheimerFunds, Inc. became the investment advisor to the Fund. (2) Based on average shares outstanding for the period. (3) Assumes a $1,000 hypothetical initial investment on the business day before the first day of the fiscal period (or inception of offering), with all dividends and distributions reinvested in additional shares on the reinvestment date, and redemption at the net asset value calculated on the last business day of the fiscal period. Sales charges are not reflected in the total returns. Total returns are not annualized for periods of less than one full year. (4) Annualized for periods of less than one full year. (5) Expense ratio has not been grossed up to reflect the effect of expenses paid indirectly. (6) During the periods shown above, the Fund's interest expense was substantially offset by the incremental interest income generated on bonds purchased with borrowed funds. (7) Prior year ratios have been restated to conform to current year presentation. (8) The lesser of purchases or sales of portfolio securities for a period, divided by the monthly average of the market value of portfolio securities owned during the period. Securities with a maturity or expiration date at the time of acquisition of one year or less are excluded from the calculation. Purchases and sales of investment securities (excluding short-term securities) for the period ended December 31, 1999, were $1,930,375,402 and $1,337,576,882, respectively. (9) For the period from March 17, 1997 (inception of offering) to December 31, 1997. See accompanying Notes to Financial Statements. 38 ROCHESTER FUND MUNICIPALS NOTES TO FINANCIAL STATEMENTS ================================================================================ 1. SIGNIFICANT ACCOUNTING POLICIES Rochester Fund Municipals (the Fund) is registered under the Investment Company Act of 1940, as amended, as a diversified, open-end management investment company. The Fund's investment objective is to provide as high a level of income exempt from federal income tax and New York State and New York City personal income taxes as is consistent with its investment policies and prudent investment management while seeking preservation of shareholders' capital. The Fund's investment advisor is OppenheimerFunds, Inc. (the Manager). The Fund offers Class A, Class B and Class C shares. Class A shares are sold at their offering price, which is normally net asset value plus an initial sales charge. Class B and Class C shares are sold without an initial sales charge but may be subject to a contingent deferred sales charge (CDSC). All classes of shares have identical rights to earnings, assets and voting privileges, except that each class has its own expenses directly attributable to that class and exclusive voting rights with respect to matters affecting that class. Classes A, B and C have separate distribution and/or service plans. Class B shares will automatically convert to Class A shares six years after the date of purchase. The following is a summary of significant accounting policies consistently followed by the Fund. - -------------------------------------------------------------------------------- SECURITIES VALUATION. Portfolio securities are valued as of the close of the New York Stock Exchange on each trading day. Long-term debt securities are valued by a portfolio pricing service approved by the Board of Trustees. Such securities which cannot be valued by an approved portfolio pricing service are valued using dealer-supplied valuations provided the Manager is satisfied that the firm rendering the quotes is reliable and that the quotes reflect current market value, or are valued under consistently applied procedures established by the Board of Trustees to determine fair value in good faith. - -------------------------------------------------------------------------------- SECURITIES PURCHASED ON A WHEN-ISSUED BASIS. Delivery and payment for securities that have been purchased by the Fund on a forward commitment or when-issued basis can take place a month or more after the transaction date. Normally the settlement date occurs within six months after the transaction date; however, the Fund may, from time to time, purchase securities whose settlement date extends beyond six months and possibly as long as two years or more beyond trade date. During this period, such securities do not earn interest, are subject to market fluctuation and may increase or decrease in value prior to their delivery. The Fund maintains segregated assets with a market value equal to or greater than the amount of its purchase commitments. The purchase of securities on a when-issued or forward commitment basis may increase the volatility of the Fund's net asset value to the extent the Fund makes such purchases while remaining substantially fully invested. As of December 31, 1999, the Fund had entered into outstanding when-issued or forward commitments of $113,728,615. - -------------------------------------------------------------------------------- SECURITY CREDIT RISK. The Fund invests in high yield securities, which may be subject to a greater degree of credit risk, greater market fluctuations and risk of loss of income and principal, and may be more sensitive to economic conditions than lower yielding, higher rated fixed income securities. The Fund may acquire securities in default, and is not obligated to dispose of securities whose issuers subsequently default. As of December 31, 1999, securities with an aggregate market value of $6,445,619, representing 0.15% of the Fund's net assets, were in default. - -------------------------------------------------------------------------------- ALLOCATION OF INCOME, EXPENSES, GAINS AND LOSSES. Income, expenses (other than those attributable to a specific class), gains and losses are allocated daily to each class of shares based upon the relative proportion of net assets represented by such class. Operating expenses directly attributable to a specific class are charged against the operations of that class. - -------------------------------------------------------------------------------- FEDERAL TAXES. The Fund intends to continue to comply with provisions of the Internal Revenue Code applicable to regulated investment companies and to distribute all of its taxable income, including any net realized gain on investments not offset by loss carryovers, to shareholders. Therefore, no federal income or excise tax provision is required. As of December 31, 1999, the Fund had available for federal income tax purposes an unused capital loss carryover of approximately $110,651,000, which expires between 2000 and 2007. - -------------------------------------------------------------------------------- TRUSTEES' COMPENSATION. In June, 1998, the Fund adopted an unfunded retirement plan for the Fund's independent Board of Trustees. Benefits are based on years of service and fees paid to each trustee during the years of service. During the year ended December 31, 1999, a provision of $351,858 was made for the Fund's projected benefit obligations, resulting in an accumulated liability of $510,934 as of December 31, 1999. In January, 1995, the then existing Board of Trustees of the Fund adopted an unfunded retirement plan for its independent trustees. The retirement plan, as amended and restated in October, 1995, provides that no independent trustee of the Fund who is elected after September, 1995 may be eligible to receive benefits thereunder. Upon retirement, eligible trustees receive annual payments based upon their years of service. In connection with the sale of certain assets of Rochester Capital Advisors, L.P. (the Fund's former investment advisor) to the Manager, all but one of the existing independent trustees retired effective January 4, 1996. The retirement plan expense, which is included in trustees' compensation, amounted to $65,335 for the year ended December 31, 1999. Payments of $67,500 were made to retired trustees during the year ended December 31, 1999. As of December 31, 1999, the Fund had recognized an accumulated liability of $506,016. The Board of Trustees has adopted a deferred compensation plan for independent trustees that enables trustees to elect to defer receipt of all or a portion of annual compensation they are entitled to receive from the Fund. Under the plan, the compensation deferred is periodically adjusted as though an equivalent amount had been invested for the Board of Trustees in shares of one or more Oppenheimer funds selected by the trustee. The amount paid to the Board of Trustees under the plan will be determined based upon the performance of the selected funds. Deferral of trustees' fees under the plan will not affect the net assets of the Fund, and will not materially affect the Fund's assets, liabilities or net investment income per share. 39 ROCHESTER FUND MUNICIPALS NOTES TO FINANCIAL STATEMENTS Continued ================================================================================ DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS. Dividends and distributions to shareholders, which are determined in accordance with income tax regulations, are recorded on the ex-dividend date. - -------------------------------------------------------------------------------- CLASSIFICATION OF DISTRIBUTIONS TO SHAREHOLDERS. Net investment income (loss) and net realized gain (loss) may differ for financial statement and tax purposes. The character of distributions made during the year from net investment income or net realized gains may differ from its ultimate characterization for federal income tax purposes. Also, due to timing of dividend distributions, the fiscal year in which amounts are distributed may differ from the fiscal year in which the income or realized gain was recorded by the Fund. - -------------------------------------------------------------------------------- EXPENSE OFFSET ARRANGEMENTS. Expenses paid indirectly represent a reduction of custodian fees for earnings on cash balances maintained by the Fund. - -------------------------------------------------------------------------------- OTHER. Investment transactions are accounted for as of trade date. Original issue discount is accreted and premium is amortized in accordance with federal income tax requirements. For municipal bonds acquired after April 30, 1993, on disposition or maturity, taxable ordinary income is recognized to the extent of the lesser of gain or market discount that would have accrued over the holding period. Realized gains and losses on investments and unrealized appreciation and depreciation are determined on an identified cost basis, which is the same basis used for federal income tax purposes. There are certain risks arising from geographic concentration in any state. Certain revenue or tax related events in a state may impair the ability of certain issuers of municipal securities to pay principal and interest on their obligations. The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of income and expenses during the reporting period. Actual results could differ from those estimates. ================================================================================ 2. SHARES OF BENEFICIAL INTEREST The Fund has authorized an unlimited number of no par value shares of beneficial interest of each class. Transactions in shares of beneficial interest were as follows:
Year Ended December 31, 1999 Year Ended December 31, 1998 Shares Amount Shares Amount - ------------------------------------------------------------------------------------------------------------ CLASS A Sold 44,147,686 $802,354,647 44,149,177 $828,290,736 Dividends and/or distributions reinvested 6,141,926 110,148,797 5,034,167 94,396,140 Redeemed (36,952,671) (651,261,644) (19,054,473) (357,584,116) ---------------------------------------------------------------- Net increase 13,336,941 $261,241,800 30,128,871 $565,102,76 ================================================================ - ------------------------------------------------------------------------------------------------------------ CLASS B Sold 18,541,189 $337,286,647 17,637,855 $330,613,878 Dividends and/or distributions reinvested 1,104,735 19,720,059 514,626 9,646,518 Redeemed (5,768,976) (101,270,549) (1,077,120) (20,203,175) ---------------------------------------------------------------- Net increase 13,876,948 $255,736,157 17,075,361 $320,057,221 ================================================================ - ------------------------------------------------------------------------------------------------------------ CLASS C Sold 7,558,824 $137,341,468 7,026,163 $131,632,053 Dividends and/or distributions reinvested 417,688 7,463,417 187,218 3,511,228 Redeemed (4,122,846) (72,497,744) (594,948) (11,154,946) --------------------------------------------------------------- Net increase 3,853,666 $72,307,141 6,618,433 $123,988,335 ===============================================================
40 ROCHESTER FUND MUNICIPALS NOTES TO FINANCIAL STATEMENTS Continued ================================================================================ 3. SECURITIES INFORMATION As of December 31, 1999, net unrealized depreciation on securities of $224,450,959 was composed of gross appreciation of $75,959,680, and gross depreciation of $300,410,639. As of December 31, 1999, unrealized appreciation (depreciation) based on cost of securities for federal income tax purposes of $4,517,285,576 was: Gross unrealized appreciation $ 75,852,676 Gross unrealized depreciation (300,618,463) ------------- Net unrealized depreciation $(224,765,787) ============= ================================================================================ 4. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES MANAGEMENT FEES. Management fees paid to the Manager were in accordance with the investment advisory agreement with the Fund which provides for a fee of 0.54% of the first $100 million of average daily net assets, 0.52% on the next $150 million, 0.47% on the next $1.75 billion of average daily net assets, 0.46% on the next $3 billion, and 0.45% of average daily net assets over $5 billion. The Fund's management fee for the year ended December 31, 1999 was 0.47% of average annual net assets for each class of shares. - -------------------------------------------------------------------------------- ACCOUNTING FEES. Accounting fees paid to the Manager were in accordance with the accounting services agreement with the Fund, which provides for an annual fee of $12,000 for the first $30 million of net assets and $9,000 for each additional $30 million of net assets. During the year ended December 31, 1999, the Fund paid $1,327,586 to the Manager for accounting and pricing services. - -------------------------------------------------------------------------------- TRANSFER AGENT FEES. OppenheimerFunds Services (OFS), a division of the Manager, is the transfer and shareholder servicing agent for the Fund and for other Oppenheimer funds. The Fund pays OFS an annual maintenance fee for each Fund shareholder account and reimburses OFS for its out-of-pocket expenses. During the year ended December 31, 1999, the Fund paid OFS $1,863,979. - -------------------------------------------------------------------------------- DISTRIBUTION AND SERVICE PLAN FEES. Under its General Distributor's Agreement with the Manager, the Distributor acts as the Fund's principal underwriter in the continuous public offering of the different classes of shares of the Fund. The compensation paid to (or retained by) the Distributor from the sale of shares or on the redemption of shares is shown in the table below for the period indicated.
Aggregate Class A Commissions Commissions Commissions Front-End Front-End on Class A on Class B on Class C Sales Charges Sales Charges Shares Shares Shares on Class A Retained by Advanced by Advanced by Advanced by Year Ended Shares Distributor Distributor(1) Distributor(1) Distributor(1) - ------------------------------------------------------------------------------------------------------------------ December 31, 1999 $15,666,528 $2,234,617 $2,064,409 $13,060,682 $1,290,419
1. The Distributor advances commission payments to dealers for certain sales of Class A shares and for sales of Class B and Class C shares from its own resources at the time of sale.
Class A Class B Class C Contingent Deferred Contingent Deferred Contingent Deferred Sales Charges Sales Charges Sales Charges Year Ended Retained by Distributor Retained by Distributor Retained by Distributor - -------------------------------------------------------------------------------------------------- December 31, 1999 $308,596 $2,142,722 $163,332
The Fund has adopted a Service Plan for Class A shares and Distribution and Service Plans for Class B and Class C shares under Rule 12b-1 of the Investment Company Act. Under those plans the Fund pays the Distributor for all or a portion of its costs incurred in connection with the distribution and/or servicing of the shares of the particular class. - -------------------------------------------------------------------------------- CLASS A SERVICE PLAN FEES. Under the Class A service plan, the Distributor currently uses the fees it receives from the Fund to pay brokers, dealers and other financial institutions. The Class A service plan permits reimbursements to the Distributor at a rate of up to 0.25% of average annual net assets of Class A shares. Currently, the Board of Trustees has limited the rate to 0.15% per year on Class A shares. The Distributor makes payments to plan recipients quarterly at an annual rate not to exceed 0.15% of the average annual net assets consisting of Class A shares of the Fund. For the fiscal year ended December 31, 1999, payments under the Class A Plan totaled $5,198,680, all of which was paid by the Distributor to recipients. That included $34,603 paid to an affiliate of the Manager. Any unreimbursed expenses the Distributor incurs with respect to Class A shares in any fiscal year cannot be recovered in subsequent years. 41 ROCHESTER FUND MUNICIPALS NOTES TO FINANCIAL STATEMENTS Continued ================================================================================ CLASS B AND CLASS C DISTRIBUTION AND SERVICE PLAN FEES. Under each plan, service fees and distribution fees are computed on the average of the net asset value of shares in the respective class, determined as of the close of each regular business day during the period. The Class B and Class C plans provide for the Distributor to be compensated at a flat rate, whether the Distributor's distribution expenses are more or less than the amounts paid by the Fund under the plan during the period for which the fee is paid. The Distributor retains the asset-based sales charge on Class B shares. The Distributor retains the asset-based sales charge on Class C shares during the first year the shares are outstanding. The asset-based sales charges on Class B and Class C shares allow investors to buy shares without a front-end sales charge while allowing the Distributor to compensate dealers that sell those shares. The Distributor's actual expenses in selling Class B and Class C shares may be more than the payments it receives from the contingent deferred sales charges collected on redeemed shares and asset-based sales charges from the Fund under the plans. If any plan is terminated by the Fund, the Board of Trustees may allow the Fund to continue payments of the asset-based sales charge to the Distributor for distributing shares before the plan was terminated. The plans allow for the carry-forward of distribution expenses, to be recovered from asset-based sales charges in subsequent fiscal periods. Distribution fees paid to the Distributor for the year ended December 31, 1999 were as follows:
Distributor's Unreimbursed Distributor's Expenses Amount Aggregate as % Retained Unreimburse of Net Total Payments by Expenses Assets Under Plan Distributor Under Plan of Class ------------------------------------------------------------------------------------------------- Class B Plan $6,346,313 $5,705,745 $29,900,996 4.44 % Class C Plan 2,211,014 1,432,799 3,167,350 1.44
================================================================================ 5. ILLIQUID OR RESTRICTED SECURITIES As of December 31, 1999, investments in securities included issues that are illiquid. A security may be considered illiquid if it lacks a readily available market or if its valuation has not changed for a certain period of time. The Fund intends to invest no more than 15% of its net assets (determined at the time of purchase and reviewed periodically) in illiquid securities. Certain restricted securities, eligible for resale to qualified institutional investors, are not subject to that limit. The aggregate value of illiquid or restricted securities subject to this limitation as of December 31, 1999 was $350,968,358, which represents 8.39% of the Fund's net assets. ================================================================================ 6. BANK BORROWINGS The Fund may borrow up to 5% of its total assets from a bank to purchase portfolio securities, or for temporary and emergency purposes. The Fund has entered into an agreement which enables it to participate with certain other Oppenheimer funds in an unsecured line of credit with a bank, which permits borrowings up to $100 million, collectively. Interest is charged to each fund, based on its borrowings, at a rate equal to the Federal Funds Rate plus 0.625%. The Fund also pays a commitment fee equal to its pro rata share of the average unutilized amount of the credit facility at a rate of 0.09% per annum. The commitment fee allocated to the Fund for the year ended December 31, 1999 was $28,272. The Fund had borrowings outstanding of $62,700,000 at December 31, 1999. For the year ended December 31, 1999, the average monthly loan balance was $31,014,339 at an average interest rate of 5.708%. The maximum amount of borrowings outstanding at any month-end was $90,400,000. 42 ROCHESTER FUND MUNICIPALS REPORT OF INDEPENDENT ACCOUNTANTS ================================================================================ TO THE BOARD OF TRUSTEES AND SHAREHOLDERS OF ROCHESTER FUND MUNICIPALS In our opinion, the accompanying statement of assets and liabilities, including the statement of investments, and the related statements of operations and of changes in net assets and the financial highlights present fairly, in all material respects, the financial position of Rochester Fund Municipals (the Fund) at December 31, 1999, the results of its operations for the year then ended, the changes in its net assets for each of the two years in the period then ended and the financial highlights for each of the periods indicated, in conformity with accounting principles generally accepted in the United States. These financial statements and financial highlights (hereafter referred to as financial statements) are the responsibility of the Fund's management; our responsibility is to express an opinion on these financial statements based on our audits. We conducted our audits of these financial statements in accordance with auditing standards generally accepted in the United States, which require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits, which included confirmation of securities at December 31, 1999 by correspondence with the custodian and brokers, provide a reasonable basis for the opinion expressed above. /s/ PricewaterhouseCoopers LLP PricewaterhouseCoopers LLP Denver, Colorado January 24, 2000 ================================================================================ FEDERAL INCOME TAX INFORMATION Unaudited In early 2000, shareholders received information regarding all dividends and distributions paid to them by the Fund during calendar year 1999. Regulations of the U.S. Treasury Department require the Fund to report this information to the Internal Revenue Service. None of the dividends paid by the Fund during the year ended December 31, 1999 are eligible for the corporate dividend-received deduction. 100% of the dividends were derived from interest on municipal bonds and are not subject to federal, New York State and New York City income taxes. For the state income tax reporting purposes of non-New York State shareholders, the distribution breaks down as follows: New York State (91.3%), Guam (2.0%), Puerto Rico (4.3%), Virgin Islands (2.3%), American Samoa (0.1%). During 1999, 32.7% of this tax-exempt income was derived from "private activity bonds". These are municipal bonds used to finance privately operated facilities. The interest on these bonds is not taxable for most investors. For the few investors subject to the alternative minimum tax, the interest from these bonds is considered a preference item. The foregoing information is presented to assist shareholders in reporting distributions received from the Fund to the Internal Revenue Service. Because of the complexity of the federal regulations which may affect your individual tax return and the many variations in state and local tax regulations, we recommend that you consult your tax advisor for specific guidance. 43 ROCHESTER FUND MUNICIPALS ROCHESTER FUND MUNICIPALS ================================================================================ Officers and Trustees Bridget A. Macaskill, Chairman of the Board of Trustees and President John Cannon, Trustee Paul Y. Clinton, Trustee Thomas W. Courtney, Trustee Robert G. Galli, Trustee Lacy B. Herrmann, Trustee George Loft, Trustee Ronald H. Fielding, Vice President Andrew J. Donohue, Secretary Brian W. Wixted, Treasurer Robert G. Zack, Assistant Secretary Robert J. Bishop, Assistant Treasurer Adele A. Campbell, Assistant Treasurer Scott T. Farrar, Assistant Treasurer ================================================================================ Investment Advisor OppenheimerFunds, Inc. ================================================================================ Distributor OppenheimerFunds Distributor, Inc. ================================================================================ Transfer and Shareholder OppenheimerFunds Services Servicing Agent ================================================================================ Custodian of Citibank, N.A. Portfolio Securities ================================================================================ Independent Accountants PricewaterhouseCoopers LLP ================================================================================ Legal Counsel Kirkpatrick & Lockhart LLP This is a copy of a report to shareholders of Rochester Fund Municipals. This report must be preceded or accompanied by a Prospectus of Rochester Fund Municipals. For material information concerning the Fund, see the Prospectus. Shares of Oppenheimer funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including the possible loss of the principal amount invested. 44 ROCHESTER FUND MUNICIPALS MUNICIPAL BONDS--THE COMMUNITY INVESTMENT - -------------------------------------------------------------------------------- When you invest in municipal securities through a mutual fund, your dollars are being put to work primarily in your state's communities -- helping finance the development of buildings and school systems, homes for the elderly and fire districts. To encourage and reward private investor support of these municipal activities, the interest paid on them is often exempt from federal and state personal income taxes. In New York, the interest is also free from New York City local income taxes. Many investors consider this the primary advantage of a municipal bond fund like Rochester Fund Municipals. But another reason to own municipal bonds is that they provide financing for much of the infrastructure of the communities in which we live. During the past year, your investment in the Fund helped provide financing for a wide variety of worthwhile projects in New York. Private colleges, primary schools for special education, waste water treatment facilities and mortgages for first-time home buyers are just a few of the programs that benefit from your investment. When you review the enclosed listing of the Fund's portfolio of issues, you're likely to find many projects that help to improve the standard of living in your community. It's one of the -- admittedly few -- advantages of the current tax code: the ability to earn tax-free income and be supportive of the great State of New York.(1) 1. A portion of the Fund's income may be subject to income taxes. Capital gains distributions, if any, are taxable as capital gains. For investors subject to the alternative minimum tax, a portion of the Fund's distributions may increase that tax. INFORMATION AND SERVICES ------------------------------------- As an Oppenheimer fund shareholder, you can benefit from special services designed to make investing simple. Whether it's automatic investment plans, timely market updates, or immediate account access, you can count on us whenever you need assistance. So call us today, or visit our website -- we're here to help. Internet www.oppenheimerfunds.com ---------------------------------------------------------------- 24-hr access to account information and transactions General Information 1-800-525-7048 ---------------------------------------------------------------- Mon-Fri 8:30am-9pm ET, Sat 10am-4pm ET Telephone Transactions 1-800-852-8457 ---------------------------------------------------------------- Mon-Fri 8:30am-9pm ET, Sat 10am-4pm ET PhoneLink 1-800-533-3310 ---------------------------------------------------------------- 24-hr automated information and automated transactions Telecommunications Device for the Deaf (TDD) 1-800-843-4461 ---------------------------------------------------------------- Mon-Fri 8:30am-7pm ET OppenheimerFunds Information Hotline 1-800-835-3104 ---------------------------------------------------------------- 24 hours a day, timely and insightful messages on the economy and issues that may affect your investments Transfer and Shareholder Servicing Agent OppenheimerFunds Services P.O. Box 5270, Denver, CO 80217-5270 (inside back cover) [logo] Rochester Fund Municipals The Rochester Funds - ------------------------------------------ A Division of OppenheimerFunds, Inc. 350 Linden Oaks Rochester, New York 14625-2807 716-383-1300 Investment Advisor - ------------------------------------------ OppenheimerFunds, Inc. Two World Trade Center New York, NY 10048-0203 Distributor - ------------------------------------------ OppenheimerFunds Distributor, Inc. Two World Trade Center New York, NY 10048-0203 Independent Accountants - ------------------------------------------ PricewaterhouseCoopers LLP Denver, CO Custodian - ------------------------------------------ Citibank, N.A. New York, NY Transfer and Shareholder Servicing Agent - ------------------------------------------ OppenheimerFunds Services P.O. Box 5270 Denver, CO 80217-5270 800-552-1129 This Annual Report is for the information of shareholders of Rochester Fund Municipals. It must be preceded or accompanied by a current prospectus for the Fund. Shares of Oppenheimer funds are not deposits or obligations of any bank, are not guaranteed by any bank, are not insured by the FDIC or any other agency, and involve investment risks, including the possible loss of the principal amount invested. Call our Toll-Free Customer Service today at 1-800-525-7048 for more information on how to take advantage of your financial relationship with the OppenheimerFunds Family. RA0365.001.0100 February 29, 2000 - -------------------------------------------------------------------------------- [logo] OppenheimerFunds (R) The Right Way to Invest OppenheimerFunds Distributor, Inc. Rochester Division 350 Linden Oaks Rochester, NY 14625-2807 -----END PRIVACY-ENHANCED MESSAGE-----