<PAGE>
TO THE SHAREHOLDERS
During the first six months of 1999, continued concerns regarding inflation
pushed yields for fixed-income securities higher. Although economic data
indicated a benign inflationary environment, market participants correctly
anticipated that the Federal Reserve Board would raise rates at its June 30
meeting in response to the improved global outlook and continued US economic
strength. This tightening was a partial reversal of the Fed's actions last fall,
when it lowered interest rates three times in response to the global financial
crisis.
At its June meeting, in addition to raising rates by 25 basis points, the Fed
surprised markets by changing its bias from a tightening stance to neutral.
This shift was primarily in response to current economic data, which did not
suggest any dramatic reversal of the generally positive operating environment.
The Fed's announcement immediately pushed the Dow Jones Industrial Average 155
points higher and pushed the yield on the 30-year Treasury bond back below 6%.
Since then, however, fears of additional interest rate hikes have surfaced,
sending the market averages lower and the 30-year Treasury bond yield above 6%.
As the millennium approaches, we have become concerned that the media's focus
on the Year 2000 (Y2K) computer issue, and the fears that this attention may
spark, will cause some investors to take actions that are not in their best
long-term interests. In our view, the primary danger to investors is losing
sight of their long-term financial goals and altering their portfolios and
asset allocation, in an attempt to respond to the confusion surrounding this
issue.
In the US, governments and businesses have committed substantial resources to
this issue and, while there may be scattered inconveniences, we believe that
the US will enter the year 2000 relatively seamlessly, and that much of the
rest of the developed world is also well positioned to deal with the new
millennium.
For the past several years, J. & W. Seligman & Co. Incorporated (Seligman),
your Fund's manager, and Seligman Data Corp. (Seligman Data), your Fund's
shareholder service agent, have been working to ensure that shareholders do
not experience any Y2K-related inconveniences. We are pleased to report that
the early start has paid off. During the spring of this year, Seligman and
Seligman Data participated in Y2K testing conducted by the Securities Industry
Association. These tests were completed without any Y2K-related problems on the
part of Seligman or Seligman Data. Tests with key service providers were also
conducted, all of which were successfully completed in a Y2K environment.
Thank you for your continued support of Seligman Cash Management Fund. We look
forward to serving your investment needs for many years to come.
By order of the Board of Directors,
/s/ William C. Morris
William C. Morris
Chairman
/s/ Brian T. Zino
Brian T. Zino
President
August 6, 1999
1
<PAGE>
INTERVIEW WITH YOUR PORTFOLIO MANAGER, GARY S. ZELTZER
Q. What economic and market factors influenced Seligman Cash Management Fund's
results during the first half of 1999?
A. During the past six months, bond yields rose more dramatically than
anticipated. In May, the Federal Reserve Board announced a bias toward
tighter monetary policy and markets began to expect not only a June rate
increase, but an additional hike in August. On June 30, the Fed delivered
the much-anticipated rate hike of 25 basis points, but announced a bias
shift to neutral. Markets had not expected this change and the news
sparked a bond market rally that day, pushing long-term US Treasury bond
yields back below 6%.
While this rising-rate environment of the past six months has resulted in
falling bond prices, the higher yields have benefited Seligman Cash
Management Fund. At the end of the Fund's fiscal year on December 31,
1998, the Fund's 30-day effective yield for Class A shares was 3.79%. At
the end of its mid-year reporting period on June 30, its yield had risen
to 4.14%.
Q. What was your investment strategy?
A. As rates moved higher during the period, we took advantage of what we saw as
a relatively brief window of opportunity to lock in higher rates. During
this time, we purchased US Treasury bills just about the time these rates
peaked. As always, we maintained high credit quality and high liquidity for
the Fund.
Q. What is your outlook?
A. The fundamentals underlying the US economy remain positive, with robust
economic growth and low inflation. We believe that interest rates will hold
steady and possibly trend lower for the balance of the year. Markets are
already expecting an August interest rate hike by the Fed, and this increase
is now mostly reflected in market rates.
A TEAM APPROACH
Seligman Cash Management Fund is managed by the Seligman Taxable Fixed Income
Team, headed by Gary S. Zeltzer. Mr. Zeltzer is assisted by seasoned research
professionals who are responsible for identifying quality money market
instruments in order to preserve investors' capital and to maximize liquidity
and current income.
Taxable Fixed Income Team: (standing, from left) Deborah Joseph (Administrative
Assistant), Nicholas Walsh, Brian Turner, (seated) Susan Egan, Gary S. Zeltzer
(Portfolio Manager)
2
<PAGE>
INVESTMENT RESULTS
June 30, 1999
CLASS A CLASS B CLASS C* CLASS D
------- ------- -------- -------
Net Assets................. $259,334,213 $40,648,698 $329,416 $41,758,075
Net Asset Value per Share.. $1.00 $1.00 $1.00 $1.00
Number of Shareholders..... 10,726 1,860 7 1,742
Dividends**................ $0.020 $0.015 $0.003 $0.015
Annualized Net Yield per
Share**.................. 3.98% 2.97% 3.06% 2.97%
Annualized Effective Yield
per Share With Dividends
Invested Monthly**....... 4.02% 2.99% 3.10% 2.99%
- ------------------
* Commenced May 27, 1999.
** For the six months ended June 30, 1999, except Class C shares, which are for
the period May 27, 1999 to June 30, 1999. Investment in the Fund is neither
insured nor guaranteed by the US government, and there is no assurance that
the Fund will be able to maintain a stable net asset value of $1.00 per
share.
3
<PAGE>
PORTFOLIO OF INVESTMENTS
June 30, 1999
<TABLE>
<CAPTION>
ANNUALIZED
YIELD ON PRINCIPAL
PURCHASE DATE AMOUNT VALUE
---------------- ------------- ----------------
<S> <C> <C> <C>
US GOVERNMENT SECURITIES 82.6%
US Treasury Bills, 7/8/1999......................................... 4.41% $35,000,000 $ 34,970,600
US Treasury Bills, 7/8/1999......................................... 4.52 50,000,000 49,957,028
US Treasury Bills, 7/22/1999........................................ 4.48 40,000,000 39,897,917
US Treasury Bills, 8/5/1999......................................... 4.51 40,000,000 39,829,083
US Treasury Bills, 8/19/1999........................................ 4.53 35,000,000 34,789,912
US Treasury Bills, 11/26/1999....................................... 4.93 25,000,000 24,511,806
US Treasury Bills, 12/2/1999........................................ 5.03 25,000,000 24,482,389
US Treasury Notes, 6.875%, 7/31/1999................................ 4.59 34,000,000 34,060,632
------------
TOTAL US GOVERNMENT SECURITIES (COST $282,499,367).................. 282,499,367
------------
FIXED TIME DEPOSITS 20.0%
Bank of Montreal, Grand Cayman, 5.625%, 7/1/1999.................... 5.70 10,000,000 10,000,000
Bayerische Vereinsbank, Grand Cayman, 5.625%, 7/1/1999.............. 5.70 10,000,000 10,000,000
Canadian Imperial Bank of Commerce, Grand Cayman, 5.50%, 7/1/1999... 5.58 10,000,000 10,000,000
Credit Communal de Belgique, Grand Cayman, 5.8125%, 7/1/1999........ 5.89 10,000,000 10,000,000
First National Bank of Chicago, Grand Cayman, 5.50%, 7/1/1999....... 5.58 10,000,000 10,000,000
National Westminster Bank, Nassau, 5.625%, 7/1/1999................. 5.70 8,600,000 8,600,000
UBS, Grand Cayman, 5.625%, 7/1/1999................................. 5.70 10,000,000 10,000,000
------------
TOTAL FIXED TIME DEPOSITS (COST $68,600,000)........................ 68,600,000
------------
TOTAL INVESTMENTS (Cost $351,099,367) 102.6%........................ 351,099,367
OTHER ASSETS LESS LIABILITIES (2.6)%................................ (9,028,965)
------------
NET ASSETS 100.0%................................................... $342,070,402
============
- ------------------
See Notes to Financial Statements.
</TABLE>
4
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1999
<TABLE>
<S> <C> <C>
ASSETS:
Investments, at value:
US Government securities (Cost $282,499,367) .............. $282,499,367
Fixed time deposits (Cost $68,600,000) .................... 68,600,000 $351,099,367
Cash ................................................................................ 274,923
Receivable for Capital Stock sold ................................................... 13,717,005
Interest receivable ................................................................. 985,736
Investment in, and expenses prepaid to, shareholder service agent ................... 63,927
Other ............................................................................... 244,588
------------
Total Assets ........................................................................ 366,385,546
------------
Liabilities:
Payable for Capital Stock redeemed .................................................. 23,673,137
Accrued expenses and other .......................................................... 642,007
------------
Total Liabilities ................................................................... 24,315,144
------------
Net Assets .......................................................................... $342,070,402
============
Composition of Net Assets:
Capital Stock, at par ($0.01 par value; 1,400,000,000 shares authorized;
342,084,506 shares outstanding):
Class A .......................................................................... $ 2,593,455
Class B .......................................................................... 406,471
Class C .......................................................................... 3,294
Class D .......................................................................... 417,625
Additional paid-in capital .......................................................... 338,663,562
Accumulated net realized loss ....................................................... (14,005)
------------
Net Assets:
Applicable to 259,345,469 Class A shares, 40,647,135 Class B shares, 329,413
Class C shares, and 41,762,489 Class D shares, equivalent to $1.00 per share...... $342,070,402
============
- ------------------
See Notes to Financial Statements.
</TABLE>
5
<PAGE>
STATEMENT OF OPERATIONS
For the Six Months Ended June 30, 1999
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
Interest ............................................................................ $8,970,855
EXPENSES:
Management fee ............................................... $ 775,512
Distribution and service fees ................................ 466,928
Shareholder account services ................................. 332,442
Registration ................................................. 89,426
Custody and related services ................................. 37,174
Auditing and legal fees ...................................... 26,494
Shareholder reports and communications ....................... 22,838
Directors' fees and expenses ................................. 14,493
Miscellaneous ................................................ 10,575
----------
Total Expenses Before Fee Waiver ............................. 1,775,882
Fee Waiver.................................................... (171,530)
----------
Total Expenses After Fee Waiver ..................................................... 1,604,352
----------
Net Investment Income ............................................................... 7,366,503
NET REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Net Realized Gain on Investments .................................................... 13,487
----------
Increase in Net Assets from Operations .............................................. $7,379,990
==========
- ------------------
See Notes to Financial Statements.
</TABLE>
6
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
SIX MONTHS ENDED YEAR ENDED
JUNE 30, 1999 DECEMBER 31, 1998
------------------ -------------------
<S> <C> <C>
OPERATIONS:
Net investment income................................................... $ 7,366,503 $ 13,401,519
Net realized gain (loss) on investments ................................ 13,487 (22,865)
--------------- ---------------
Increase in Net Assets from Operations ................................. 7,379,990 13,378,654
--------------- ---------------
DISTRIBUTIONS TO SHAREHOLDERS:
Net investment income:
Class A ................................................................ (5,956,632) (11,137,647)
Class B ................................................................ (511,810) (649,323)
Class C ................................................................ (428) --
Class D ................................................................ (897,633) (1,614,549)
--------------- ---------------
Decrease in Net Assets from Distributions .............................. (7,366,503) (13,401,519)
--------------- ---------------
CAPITAL SHARE TRANSACTIONS:
Proceeds from sales of shares .......................................... 282,512,102 504,180,586
Investment of dividends ................................................ 5,554,383 10,848,889
Exchanged from associated Funds......................................... 4,660,369,634 6,095,906,910
--------------- ---------------
Total .................................................................. 4,948,436,119 6,610,936,385
--------------- ---------------
Cost of shares redeemed................................................. (325,880,380) (565,615,022)
Exchanged into associated Funds......................................... (4,630,357,929) (5,937,011,542)
--------------- ---------------
Total................................................................... (4,956,238,309) (6,502,626,564)
--------------- ---------------
Increase (Decrease) in Net Assets from Capital Share Transactions ...... (7,802,190) 108,309,821
--------------- ---------------
Increase (Decrease) in Net Assets ...................................... (7,788,703) 108,286,956
NET ASSETS:
Beginning of period .................................................... 349,859,105 241,572,149
--------------- ---------------
End of Period .......................................................... $ 342,070,402 $ 349,859,105
=============== ===============
- ------------------
See Notes to Financial Statements.
</TABLE>
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS
1. Multiple Classes of Shares -- Seligman Cash Management Fund, Inc.(the "Fund")
offers four classes of shares: Class A shares, Class B shares, Class C shares,
and Class D shares, each of which may be acquired by investors at net asset
value. Class A shares acquired by an exchange from another Seligman investment
company originally purchased in an amount of $1,000,000 or more without an
initial sales charge are subject to a contingent deferred sales charge ("CDSC")
of 1% if redeemed within 18 months of original purchase. Class B shares are
subject to a distribution fee of 0.75% and a service fee of up to 0.25% on an
annual basis, and a CDSC, if applicable, of 5% on redemptions in the first year
of purchase, declining to 1% in the sixth year and 0% thereafter. Class B shares
will automatically convert to Class A shares on the last day of the month that
precedes the eighth anniversary of their date of purchase. The Fund began
offering Class C shares on May 27, 1999. Class C shares acquired by an exchange
from another Seligman investment company are subject to a distribution fee of up
to
7
<PAGE>
NOTES TO FINANCIAL STATEMENTS
0.75% and a service fee of up to 0.25% on an annual basis, and a CDSC, if
applicable, of 1% imposed on redemptions made within 18 months of the original
purchase. Class D shares are subject to a distribution fee of up to 0.75% and a
service fee of up to 0.25% on an annual basis, and a CDSC, if applicable, of 1%
imposed on redemptions made within one year of purchase. The four classes of
shares represent interests in the same portfolio of investments, have the same
rights, and are generally identical in all respects except that each class bears
its separate distribution and certain other class expenses, and has exclusive
voting rights with respect to any matter on which a separate vote of any class
is required.
2. Significant Accounting Policies -- The financial statements have been
prepared in conformity with generally accepted accounting principles which
require management to make certain estimates and assumptions at the date of
the financial statements. The following summarizes the significant accounting
policies of the Fund:
a. Security Valuation -- The Fund uses the amortized cost method for valuing
its short-term securities. Under this method, all investments purchased at
a discount or premium are valued by amortizing the difference between the
original purchase price and the maturity value of the issue over the period
to maturity. Investments of certain other funds in the Seligman Group of
Investment Companies purchased to offset the Fund's liability for deferred
directors' fees are valued at current market values.
b. Federal Taxes -- There is no provision for federal income tax. The Fund has
elected to be taxed as a regulated investment company and intends to
distribute substantially all taxable net income and net gain realized.
c. Security Transactions and Related Investment Income -- Investment
transactions are recorded on trade dates. Identified cost of investments
sold is used for both financial statement and federal income tax purposes.
The cost of investments for federal income tax purposes is substantially the
same as the cost for financial reporting purposes. Interest income,
including the amortization of discount or premium, is recorded as earned.
Dividends are declared daily and paid monthly.
d. Repurchase Agreements -- The Fund may enter into repurchase agreements with
commercial banks and with broker/dealers deemed to be creditworthy by J.& W.
Seligman & Co. Incorporated (the "Manager"). Securities received as
collateral subject to repurchase agreements are deposited with the Fund's
custodian and, pursuant to the terms of the repurchase agreements, must
have an aggregate market value greater than or equal to the repurchase price
plus accrued interest at all times. Procedures have been established to
monitor, on a daily basis, the market value of repurchase agreements'
underlying securities to ensure the existence of the proper level of
collateral.
e. Multiple Class Allocations -- All income, expenses (other than
class-specific expenses), and realized and unrealized gains or losses, if
any, are allocated daily to each class of shares based upon the relative
value of shares of each class. Class-specific expenses, which include
distribution and service fees and any other items that are specifically
attributable to a particular class, are charged directly to such class. For
the six months ended June 30, 1999, distribution and service fees were the
only class-specific expenses.
8
<PAGE>
NOTES TO FINANCIAL STATEMENTS
3. Capital Share Transactions -- The Fund has authorized 1,400,000,000 shares of
$0.01 par value Capital Stock. Transactions in shares of Capital Stock, each at
a value of $1.00 per share, were as follows:
Six Months
Ended Year Ended
June 30, 1999 December 31, 1998
------------- -----------------
Class A
Proceeds from sales
of shares................... 267,363,137 460,655,703
Investment of
dividends................... 4,589,209 9,076,847
Exchanged from
associated Funds............ 3,199,050,169 4,153,086,377
-------------- --------------
Total........................ 3,471,002,515 4,622,818,927
-------------- --------------
Cost of shares
redeemed.................... (297,321,605) (525,764,601)
Exchanged into
associated Funds............ (3,187,784,539) (4,030,213,963)
-------------- --------------
Total........................ (3,485,106,144) (4,555,978,564)
-------------- --------------
Increase (Decrease)
in Shares................... (14,103,629) 66,840,363
============== ==============
Class B
Proceeds from sales
of shares................... 3,670,436 10,830,398
Investment of
dividends................... 432,162 538,909
Exchanged from
associated Funds............ 87,490,226 96,955,102
-------------- --------------
Total........................ 91,592,824 108,324,409
-------------- --------------
Cost of shares
redeemed.................... (7,031,458) (7,423,097)
Exchanged into
associated Funds............ (68,104,267) (87,569,652)
-------------- --------------
Total........................ (75,135,725) (94,992,749)
-------------- --------------
Increase in Shares........... 16,457,099 13,331,660
============== ==============
May 27, 1999*
To
June 30, 1999
--------------
Class C
Proceeds from sales
of shares................... 329,083
Investment of
dividends................... 330
-------
Total........................ 329,413
-------
Increase in Shares........... 329,413
=======
- -----------------
* Commencement of offering of shares.
Six Months
Ended Year Ended
June 30, 1999 December 31, 1998
------------- -----------------
Class D
Proceeds from sales
of shares................... 11,149,446 32,694,485
Investment of
dividends................... 532,682 1,233,133
Exchanged from
associated Funds............ 1,373,829,239 1,845,865,431
-------------- --------------
Total........................ 1,385,511,367 1,879,793,049
-------------- --------------
Cost of shares
redeemed.................... (21,527,318) (32,427,324)
Exchanged into
associated Funds............ (1,374,469,123) (1,819,227,927)
-------------- --------------
Total........................ (1,395,996,441) (1,851,655,251)
-------------- --------------
Increase (Decrease)
in Shares................... (10,485,074) 28,137,798
============== ==============
4. Management Fee, Distribution Services, and Other Transactions -- The
Manager manages the affairs of the Fund and provides the necessary personnel and
facilities. Compensation of all officers of the Fund, all directors of the
Fund who are employees or consultants of the Manager, and all personnel of the
Fund and the Manager is paid by the Manager. The Manager receives a fee,
calculated daily and paid monthly, equal to a per annum percentage of the Fund's
average daily net assets.
The management fee rate is calculated on a sliding scale of 0.45% to 0.375%
based on average daily net assets of all the investment companies managed by
the Manager. Effective January 25, 1999, the Manager, at its discretion, agreed
to waive a portion of its management fee equal to an annual rate of 0.10%. The
management fee for the six months ended June 30, 1999, was equivalent to an
annual rate of 0.31% of the Fund's average daily net assets.
The Fund has an Administration, Shareholder Services and Distribution
Plan (the "Plan") with respect to distribution of its shares. Under the Plan,
with respect to Class A shares, service organizations can enter into agreements
with Seligman Advisors, Inc. (the "Distributor") and receive a continuing fee
of up to 0.25% on an annual basis of the average daily net
9
<PAGE>
NOTES TO FINANCIAL STATEMENTS
assets of Class A shares, attributable to the particular service
organizations for providing personal services and/or the maintenance of
shareholder accounts. The Distributor, and likewise the Fund, did not make
payments under the Plan with respect to Class A shares during the six months
ended June 30, 1999.
Under the Plan, with respect to Class B shares, Class C shares issued in
exchange from another Seligman investment company and Class D shares, service
organizations can enter into agreements with the Distributor and receive a
continuing fee for providing personal services and/or the maintenance of share-
holder accounts of up to 0.25% on an annual basis of the average daily net
assets of the Class B, Class C, and Class D shares for which the organizations
are responsible; and, for Class C and Class D shares, fees for providing other
distribution assistance of up to 0.75% on an annual basis of such average daily
net assets. Such fees are paid monthly by the Fund to the Distributor pursuant
to the Plan.
With respect to Class B shares, a distribution fee of 0.75% on an annual
basis of average daily net assets is payable monthly by the Fund to the
Distributor; however, the Distributor has sold its rights to this fee to a third
party (the "Purchaser"), which provides funding to the Distributor to enable it
to pay commissions to dealers at the time of the sale of the related Class B
shares.
For the six months ended June 30, 1999, fees incurred under the Plan,
equivalent to 1% per annum of the average daily net assets of Class B and Class
D shares, amounted to $170,193 and $296,735, respectively.
The Distributor is entitled to retain any CDSC imposed on certain
redemptions of Class A and Class C shares occurring within 18 months of purchase
and on redemptions of Class D shares occurring within one year of purchase. For
the six months ended June 30, 1999, such charges amounted to $187,240.
The Distributor has sold its rights to collect any CDSC imposed on
redemptions of Class B shares to the Purchaser. In connection with the sale of
its rights to collect any CDSC and the distribution fees with respect to Class B
shares described above, the Distributor receives payments from the Purchaser
based on the value of Class B shares sold. The aggregate of such payments
retained by the Distributor, for the six months ended June 30, 1999, amounted to
$5,469.
Seligman Services, Inc., an affiliate of the Manager, is eligible to receive
commissions from certain sales of shares of the Fund, as well as distribution
and service fees pursuant to the Plan. For the six months ended June 30, 1999,
Seligman Services, Inc. received commissions of $4,847 from the sale of shares
of the Fund. Seligman Services, Inc. also received distribution and service fees
of $6,231, pursuant to the Plan.
Seligman Data Corp., owned by the Fund and certain associated investment
companies, charged the Fund at cost $332,442 for shareholder account services.
The Fund's investment in Seligman Data Corp. is recorded at a cost of $3,719.
Certain officers and directors of the Fund are officers or directors of the
Manager, the Distributor, Seligman Services, Inc., and/or Seligman Data Corp.
The Fund has a compensation arrangement under which directors who receive
fees may elect to defer receiving such fees. Directors may elect to have their
deferred fees accrue interest or earn a return based on the performance of the
Fund or other funds in the Seligman Group of Investment Companies. The cost of
such fees and earnings accrued thereon is included in directors' fees and
expenses, and the accumulated balance thereof at June 30, 1999, of $137,106, is
included in other liabilities. Deferred fees and related accrued earnings are
not deductible for federal income tax purposes until such amounts are paid.
5. Capital Loss Carryforward -- At December 31, 1998, the Fund had a net capital
loss carryforward for federal income tax purposes of $10,413, which is available
for offset against future taxable net capital gains, expiring in various amounts
through 2006.
10
<PAGE>
FINANCIAL HIGHLIGHTS
The tables below are intended to help you understand each Class's financial
performance for the past five and one-half years or from its inception if less
than five and one-half years. Certain information reflects financial results for
a single share of a Class that was held throughout the periods shown. Per share
amounts are calculated using average shares out standing. "Total return" shows
the rate that you would have earned (or lost) on an investment in each Class,
assuming you reinvested all your dividends. Total returns do not reflect any
sales charges and are not annualized for periods of less than one year.
<TABLE>
<CAPTION>
CLASS A
------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED DECEMBER 31,
----------------------------------------------------------
6/30/99 1998 1997 1996 1995 1994
--------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
PER SHARE DATA:
Net Asset Value, Beginning of Period........ $1.000 $1.000 $1.000 $1.000 $1.000 $1.000
------ ------ ------ ------ ------ ------
Income from Investment Operations:
Net investment income....................... 0.020 0.045 0.047 0.046 0.051 0.034
------ ------ ------ ------ ------ ------
Total from Investment Operations............ 0.020 0.045 0.047 0.046 0.051 0.034
------ ------ ------ ------ ------ ------
Less Distributions:
Dividends from net investment income........ (0.020) (0.045) (0.047) (0.046) (0.051) (0.034)
------ ------ ------ ------ ------ ------
Total Distributions......................... (0.020) (0.045) (0.047) (0.046) (0.051) (0.034)
------ ------ ------ ------ ------ ------
Net Asset Value, End of Period.............. $1.000 $1.000 $1.000 $1.000 $1.000 $1.000
====== ====== ====== ====== ====== ======
TOTAL RETURN: 1.97% 4.59% 4.80% 4.71% 5.18% 3.46%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000s omitted).... $259,334 $273,427 $206,604 $208,950 $177,395 $194,406
Ratio of expenses to average net assets..... 0.58%+ 0.71% 0.78% 0.79% 0.86% 0.82%
Ratio of net income to average net assets... 3.98%+ 4.50% 4.70% 4.61% 5.06% 3.41%
Without management fee waiver:**
Ratio of expenses to average net assets.. 0.67%+
Ratio of net income to average net assets 3.89%+
- ------------------
See footnotes on page 13.
</TABLE>
11
<PAGE>
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
CLASS B CLASS C
---------------------------------------------- -----------------
SIX MONTHS YEAR ENDED 4/22/96* 5/27/99*
ENDED DECEMBER 31, TO TO
--------------------
6/30/99 1998 1997 12/31/96 6/30/99
------------ --------- -------- -------- --------
<S> <C> <C> <C> <C> <C>
PER SHARE DATA:
Net Asset Value, Beginning of Period.............. $1.000 $1.000 $1.000 $1.000 $1.000
------ ------ ------ ------ ------
Income from Investment Operations:
Net investment income............................. 0.015 0.035 0.037 0.025 0.003
------ ------ ------ ------ ------
Total from Investment Operations.................. 0.015 0.035 0.037 0.025 0.003
------ ------ ------ ------ ------
Less Distributions:
Dividends from net investment income.............. (0.015) (0.035) (0.037) (0.025) (0.003)
------ ------ ------ ------ ------
Total Distributions............................... (0.015) (0.035) (0.037) (0.025) (0.003)
------ ------ ------ ------ ------
Net Asset Value, End of Period.................... $1.000 $1.000 $1.000 $1.000 $1.000
====== ====== ====== ====== ======
TOTAL RETURN: 1.47% 3.56% 3.77% 2.44% 0.28%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000s omitted).......... $40,649 $24,189 $10,858 $2,493 $329
Ratio of expenses to average net assets........... 1.58%+ 1.71% 1.78% 1.78%+ 1.54%+
Ratio of net income to average net assets......... 2.98%+ 3.50% 3.70% 3.58%+ 2.97%+
Without management fee waiver:**
Ratio of expenses to average net assets........ 1.67%+ 1.64%+
Ratio of net income to average net assets...... 2.89%+ 2.87%+
- ------------------
See footnotes on page 13.
</TABLE>
12
<PAGE>
FINANCIAL HIGHLIGHTS
<TABLE>
<CAPTION>
CLASS D
------------------------------------------------------------------------
SIX MONTHS
ENDED YEAR ENDED DECEMBER 31,
----------------------------------------------------------
6/30/99 1998 1997 1996 1995 1994
--------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
PER SHARE DATA:
Net Asset Value, Beginning of Period........ $1.000 $1.000 $1.000 $1.000 $1.000 $1.000
------ ------ ------ ------ ------ ------
Income from Investment Operations:
Net investment income....................... 0.015 0.035 0.037 0.036 0.040 0.024
------ ------ ------ ------ ------ ------
Total from Investment Operations............ 0.015 0.035 0.037 0.036 0.040 0.024
------ ------ ------ ------ ------ ------
Less Distributions:
Dividends from net investment income........ (0.015) (0.035) (0.037) (0.036) (0.040) (0.024)
------ ------ ------ ------ ------ ------
Total Distributions......................... (0.015) (0.035) (0.037) (0.036) (0.040) (0.024)
------ ------ ------ ------ ------ ------
Net Asset Value, End of Period.............. $1.000 $1.000 $1.000 $1.000 $1.000 $1.000
====== ====== ====== ====== ====== ======
TOTAL RETURN: 1.47% 3.56% 3.77% 3.67% 4.08% 2.35%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (000s omitted).... $41,758 $52,243 $24,110 $22,309 $14,554 $3,458
Ratio of expenses to average net assets..... 1.58%+ 1.71% 1.78% 1.79% 1.90% 1.90%
Ratio of net income to average net assets... 2.98%+ 3.50% 3.70% 3.61% 4.02% 2.32%
Without management fee waiver:**
Ratio of expenses to average net assets.. 1.67%+ 3.23%
Ratio of net income to average net assets 2.89%+ 0.99%
- ------------------
* Commencement of offering of shares.
** The Manager, at its discretion, waived a portion of its fees for the period
ended June 30, 1999, and reimbursed certain expenses for Class D shares in
1994.
+ Annualized.
See Notes to Financial Statements.
</TABLE>
13
<PAGE>
REPORT OF INDEPENDENT AUDITORS
The Board of Directors and Shareholders,
Seligman Cash Management Fund, Inc.:
We have audited the accompanying statement of assets and liabilities, including
the portfolio of investments, of Seligman Cash Management Fund, Inc. as of June
30, 1999, the related statements of operations for the six months then ended and
of changes in net assets for the six months then ended and for the year ended
December 31,1998, and the financial highlights for each of the periods
presented. These financial statements and financial highlights are the
responsibility of the Fund's management. Our responsibility is to express an
opinion on these financial statements and financial highlights based on our
audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned as of June
30, 1999, by correspondence with the Fund's custodian. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, such financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Seligman Cash Management Fund, Inc. as of June 30, 1999, the results of its
operations, the changes in its net assets, and the financial highlights for the
respective stated periods in conformity with generally accepted accounting
principles.
DELOITTE & TOUCHE LLP
New York, New York
August 6, 1999
FOR MORE INFORMATION
Manager
J. & W. Seligman & Co.
Incorporated
100 Park Avenue
New York, NY 10017
General Counsel
Sullivan & Cromwell
Independent Auditors
Deloitte & Touche LLP
General Distributor
Seligman Advisors, Inc.
100 Park Avenue
New York, NY 10017
Shareholder Service Agent
Seligman Data Corp.
100 Park Avenue
New York, NY 10017
Important Telephone Numbers
(800) 221-2450 Shareholder Services
(800) 445-1777 Retirement Plan
Services
(212) 682-7600 Outside the
United States
(800) 622-4597 24-Hour
Automated Telephone
Access Service
14
<PAGE>
BOARD OF DIRECTORS
John R. Galvin 2, 4
Dean, Fletcher School of Law and Diplomacy
at Tufts University
Director, Raytheon Company
Alice S. Ilchman 3, 4
Trustee, Committee for Economic Development
Chairman, The Rockefeller Foundation
Frank A. McPherson 2, 4
Director, Kimberly-Clark Corporation
Director, Baptist Medical Center
Director, Conoco Inc.
John E. Merow 2, 4
Retired Chairman and Senior Partner,
Sullivan & Cromwell, Law Firm
Director, Commonwealth Industries, Inc.
Director, New York Presbyterian Hospital
Betsy S. Michel 2, 4
Trustee, The Geraldine R. Dodge Foundation
William C. Morris 1
Chairman
Chairman of the Board,
J. & W. Seligman & Co. Incorporated
Chairman, Carbo Ceramics Inc.
Director, Kerr-McGee Corporation
James C. Pitney 3, 4
Retired Partner, Pitney, Hardin, Kipp & Szuch,
Law Firm
James Q. Riordan 3, 4
Director, KeySpan Energy Corporation
Trustee, Committee for Economic Development
Director, Public Broadcasting Service
Robert L. Shafer 3, 4
Retired Vice President, Pfizer Inc.
James N. Whitson 2, 4
Director and Consultant, Sammons Enterprises, Inc.
Director, C-SPAN
Director, CommScope, Inc.
Brian T. Zino 1
President
President, J. & W. Seligman & Co. Incorporated
Chairman, Seligman Data Corp.
Director, ICI Mutual Insurance Company
Member of the Board of Governors,
Investment Company Institute
Director Emeritus
Fred E. Brown
Director and Consultant,
J. & W. Seligman & Co. Incorporated
- ----------------
Member: 1 Executive Committee
2 Audit Committee
3 Director Nominating Committee
4 Board Operations Committee
EXECUTIVE OFFICERS
William C. Morris
Chairman
Brian T. Zino
President
Lawrence P. Vogel
Vice President
Gary S. Zeltzer
Vice President
Thomas G. Rose
Treasurer
Frank J. Nasta
Secretary
15
<PAGE>
SELIGMAN
--------
CASH MANAGEMENT
FUND, INC.
MID-YEAR REPORT
JUNE 30, 1999
A Money Market Mutual Fund
Seeking to Preserve Capital
and to Maximize Liquidity
and Current Income
SELIGMAN ADVISORS, INC.
an affiliate of
J. & W. SELIGMAN & CO.
INCORPORATED
ESTABLISHED 1864
This report is intended only for the information of shareholders or those who
have received the offering prospectus covering shares of Capital Stock of
Seligman Cash Management Fund, Inc., which contains information about the sales
charges, management fee, and other costs. Please read the prospectus carefully
before investing or sending money.
TXCM3 6/99
