Washington Mutual
Investors Fund
(Photo)
Semi-Annual Report
October 31, 1996
(Logo)
The American Funds Group
Washington Mutual Investors Fund seeks to produce income and to provide an
opportunity for growth of principal.
THE FIGURES IN THE REPORT REFLECT PAST RESULTS AND WERE CALCULATED WITHOUT
A SALES CHARGE. ALL INVESTMENTS ARE SUBJECT TO CERTAIN RISKS. FOR EXAMPLE,
THOSE WHICH INCLUDE COMMON STOCKS ARE AFFECTED BY FLUCTUATING STOCK PRICES
SO YOU MAY GAIN OR LOSE MONEY BY INVESTING IN THE FUND.
INVESTORS SHOULD MAINTAIN A LONG-TERM INVESTMENT PERSPECTIVE. FUND SHARES
ARE NOT DEPOSITS OR OBLIGATIONS OF, OR INSURED OR GUARANTEED BY, THE U.S.
GOVERNMENT, ANY FINANCIAL INSTITUTION, THE FEDERAL DEPOSIT INSURANCE
CORPORATION, OR ANY OTHER AGENCY, ENTITY OR PERSON.
Washington Mutual Investors Fund / 1996 Semi-Annual Report
Fellow Shareholders:
Investors seemed relieved that the November elections maintained the status
quo in Washington. The major stock market indexes, which were already
trading in new high territory in October, rose sharply after the elections.
We are pleased to report that for the first half of its current fiscal
year - the six months ended October 31 - Washington Mutual recorded a 10.3%
gain versus a 9.1% increase for the unmanaged Standard & Poor's 500
Composite Index. Both figures measure total return and assume reinvestment
of dividends.
These results were achieved against a backdrop of favorable economic
news. Interest rates remained relatively stable, with longer term rates
declining slightly. Consumer and producer prices generally showed only
modest increases. Many major corporations continued to issue favorable
earnings reports and raise their dividends. Thirty-six companies in your
Fund's portfolio declared dividend increases during the six months,
continuing a pattern which began a few years ago.
The first six months of Washington Mutual's fiscal year again saw
substantial merger and acquisition activity among companies in the
portfolio, including a bid for Conrail by Norfolk Southern, the spinoffs of
Lucent Technologies by AT&T and of Union Pacific Resources by Union
Pacific.
The portfolio appearing in this report reflects ownership of 139
companies in 27 industries. On October 31, the largest industry positions
as a percentage of net assets were Banking (16.3%), Health & Personal Care
(11.8%), Energy Sources (11.2%), Telecommunications (8.0%), Electric & Gas
Utilities (7.6%), and Insurance (6.0%). Seven new names have appeared in
the portfolio since July 31: Louisiana-Pacific, PPG Industries, PanEnergy
(formerly Panhandle Eastern), Rockwell International, Sara Lee, Union Pac-
ific Resources, and Lucent Technologies. Meanwhile, two holdings were
eliminated: NYNEX and Student Loan Marketing.
Our investment adviser made a number of changes which, due to the
substantial appreciation in our portfolio, resulted in significant capital
gains in the current calendar year. These gains, and an extra income
dividend, will be distributed to our shareholders by December 31 to avoid
payment of Federal excise taxes.
As always, we welcome your questions and comments.
Cordially,
(SIGNATURES)
Stephen Hartwell James H. Lemon, Jr. Harry J. Lister
Chairman of the Board Vice Chairman of the Board President
December 12, 1996
Washington Mutual Investors Fund / 1996 Semi-Annual Report
Investment Portfolio
October 31, 1996
Unaudited
Market Percent
Value of Net
Common Stocks Shares (000) Assets
ENERGY
Energy Sources (11.24%)
Amoco Corp. 7,400,000 $ 560,550 2.33%
Ashland Inc. 2,800,000 119,000 .50
Atlantic Richfield Co. 3,742,500 495,881 2.06
Chevron Corp. 7,250,000 476,688 1.98
Exxon Corp. 3,860,000 342,092 1.42
Kerr-McGee Corp. 1,800,000 112,950 .47
Mobil Corp. 425,000 49,619 .21
Texaco Inc. 3,377,900 343,279 1.43
Union Pacific Resources Group Inc. 2,453,090 67,460 .28
Unocal Corp. 3,662,700 134,146 .56
2,701,665 11.24
Utilities: Electric & Gas (7.62%)
American Electric Power Company, Inc. 3,050,000 126,575 .53
Atlantic Energy, Inc. 1,650,000 29,081 .12
Baltimore Gas and Electric Co. 2,000,000 54,500 .23
Brooklyn Union Gas Co. 900,000 26,100 .11
Carolina Power & Light Co. 500,000 18,063 .08
Central and South West Corp. 1,900,000 50,350 .21
CINergy Corp. 700,000 23,188 .10
Consolidated Edison Co. of New York,Inc. 6,000,000 175,500 .73
Consolidated Natural Gas Co. 2,100,000 111,563 .46
Dominion Resources, Inc. 595,000 22,461 .09
DTE Energy Co. 1,944,800 58,587 .24
Duke Power Co. 1,600,000 78,200 .33
Edison International 6,471,000 127,802 .53
Florida Progress Corp. 2,196,000 73,291 .30
Houston Industries Inc. 4,980,000 113,918 .47
Northeast Utilities 5,300,000 56,975 .24
Oklahoma Gas and Electric Co. 400,000 15,650 .06
Pacific Gas and Electric Co. 4,050,000 95,175 .40
PanEnergy Corp. 2,180,000 83,930 .35
PECO Energy Co. 1,350,000 34,087 .14
PP & L Resources, Inc. 4,700,000 109,863 .46
Public Service Enterprise Group Inc. 3,820,000 102,662 .43
Puget Sound Power & Light Co. 810,000 17,921 .07
Southern Co. 5,967,900 132,040 .55
Union Electric Co. 2,425,000 93,666 .39
1,831,148 7.62
Total Energy 4,532,813 18.86
MATERIALS
Building Materials & Components (.16%)
Masco Corp. 1,250,000 $ 39,219 .16%
Chemicals (4.20%)
E.I. du Pont de Nemours and Co. 7,292,500 676,379 2.81
Monsanto Co. 3,400,000 134,725 .56
PPG Industries, Inc. 2,169,800 123,679 .52
Sherwin-Williams Co. 1,500,000 75,188 .31
1,009,971 4.20
Forest Products & Paper (2.66%)
International Paper Co. 10,050,000 429,638 1.79
Louisiana-Pacific Corp. 2,500,000 52,187 .22
Westvaco Corp. 5,501,350 156,788 .65
638,613 2.66
Total Materials 1,687,803 7.02
CAPITAL EQUIPMENT
Aerospace & Military Technology (1.16%)
Boeing Co. 765,800 73,038 .30
Raytheon Co. 2,718,800 133,901 .56
United Technologies Corp. 550,000 70,813 .30
277,752 1.16
Data Processing & Reproduction (.85%)
Xerox Corp. 4,425,000 205,209 .85
Electrical & Electronics (1.51%)
Emerson Electric Co. 850,000 75,650 .31
General Electric Co. 1,850,000 178,988 .75
Lucent Technologies Inc. 2,298,000 108,006 .45
362,644 1.51
Electronic Components (.18%)
Thomas & Betts Corp. 1,020,000 43,222 .18
Energy Equipment (.23%)
Dresser Industries, Inc. 1,700,000 55,887 .23
Industrial Components (2.12%)
Dana Corp. 2,840,000 $ 84,135 .35%
Eaton Corp. 2,100,000 125,475 .52
Goodyear Tire & Rubber Co. 2,000,000 91,750 .38
Johnson Controls, Inc. 200,000 14,600 .06
Rockwell International Corp. 1,210,000 66,550 .28
TRW Inc. 1,400,000 126,700 .53
509,210 2.12
Machinery & Engineering (.28%)
Ingersoll-Rand Co. 500,000 20,813 .09
Parker Hannifin Corp. 1,200,000 45,450 .19
66,263 .28
Total Capital Equipment 1,520,187 6.33
CONSUMER GOODS
Appliances & Household Durables (.12%)
Maytag Corp. 1,400,000 27,825 .12
Beverages (.77%)
PepsiCo, Inc. 6,224,600 184,404 .77
Food & Household Products (3.14%)
Colgate-Palmolive Co. 1,850,000 170,200 .71
CPC International Inc. 1,990,000 156,961 .65
General Mills, Inc. 4,765,600 272,235 1.13
Procter & Gamble Co. 950,000 94,050 .39
Sara Lee Corp. 1,750,000 62,125 .26
755,571 3.14
Health & Personal Care (11.84%)
American Home Products Corp. 8,260,000 505,925 2.11
Bristol-Myers Squibb Co. 2,960,000 313,020 1.30
Johnson & Johnson 1,000,000 49,250 .20
Kimberly-Clark Corp. 2,170,600 202,409 .84
Eli Lilly and Co. 5,762,300 406,242 1.69
McKesson Corp. 375,000 18,656 .08
Merck & Co., Inc. 5,250,000 389,156 1.62
Pfizer Inc 1,410,600 116,727 .49
Pharmacia & Upjohn, Inc. 5,429,500 195,462 .81
Schering-Plough Corp. 2,750,000 176,000 .73
Tambrands Inc. 1,067,800 45,515 .19
Warner-Lambert Co. 6,714,200 427,191 1.78
2,845,553 11.84
Recreation & Other Consumer Products (.17%)
Eastman Kodak Co. 500,000 $ 39,875 .17%
Textiles & Apparel (.16%)
VF Corp. 600,000 39,225 .16
Total Consumer Goods 3,892,453 16.20
SERVICES
Broadcasting & Publishing (.39%)
Dow Jones & Co., Inc. 746,900 24,648 .10
Gannett Co., Inc. 900,000 68,288 .29
92,936 .39
Business & Public Services (4.47%)
Browning-Ferris Industries, Inc. 7,000,000 183,750 .76
Deluxe Corp. 600,000 19,575 .08
Dun & Bradstreet Corp. 7,175,000 415,253 1.73
Pitney Bowes Inc. 4,475,000 250,041 1.04
WMX Technologies, Inc. 6,000,000 206,250 .86
1,074,869 4.47
Merchandising (3.78%)
Albertson's, Inc. 2,000,000 68,750 .29
J.C. Penney Co., Inc. 8,600,000 451,500 1.88
Walgreen Co. 2,200,000 83,050 .34
Wal-Mart Stores, Inc. 11,495,000 306,054 1.27
909,354 3.78
Telecommunications (7.97%)
ALLTEL Corp. 2,500,000 76,250 .32
Ameritech Corp. 8,495,400 465,123 1.94
AT&T Corp. 13,100,000 456,863 1.90
Bell Atlantic Corp. 1,472,100 88,694 .37
GTE Corp. 2,000,000 84,250 .35
Pacific Telesis Group 5,900,000 200,600 .83
SBC Communications Inc. 1,410,000 68,561 .29
Sprint Corp. 720,000 28,260 .12
U S WEST Communications Group 14,670,000 445,601 1.85
1,914,202 7.97
Transportation: Rail (2.79%)
Conrail, Inc. 1,156,500 110,012 .46
Norfolk Southern Corp. 3,635,000 323,969 1.35
Union Pacific Corp. 4,200,000 235,725 .98
669,706 2.79
Total Services 4,661,067 19.40
FINANCE
Banking (16.31%)
Banc One Corp. 5,890,000 $ 249,589 1.04%
Bank of New York Co., Inc. 13,800,000 457,125 1.90
BankAmerica Corp. 2,275,000 208,162 .87
Bankers Trust New York Corp. 1,625,000 137,312 .57
Barnett Banks, Inc. 1,850,000 70,531 .29
Chase Manhattan Corp. 3,700,000 317,275 1.32
Comerica Inc. 950,000 50,469 .21
CoreStates Financial Corp 4,646,400 225,931 .94
First Chicago NBD Corp. 4,505,600 229,786 .96
First Union Corp. 2,975,000 216,431 .90
Fleet Financial Group, Inc. 5,840,000 291,270 1.21
KeyCorp 2,250,000 104,906 .44
J.P. Morgan & Co. Inc. 2,530,000 218,529 .91
National City Corp. 3,000,000 130,125 .54
NationsBank Corp. 3,300,000 311,025 1.30
Norwest Corp. 3,800,000 166,725 .69
PNC Bank Corp. 4,900,000 177,625 .74
Signet Banking Corp. 1,400,000 40,425 .17
SunTrust Banks, Inc. 3,710,000 172,979 .72
Wachovia Corp. 2,650,000 142,438 .59
3,918,658 16.31
Financial Services (3.54%)
American Express Co. 4,025,000 189,175 .79
Beneficial Corp. 2,100,880 122,901 .51
Federal National Mortgage Assn. 7,800,000 305,175 1.27
Household International, Inc. 2,650,000 234,525 .97
851,776 3.54
Insurance (6.01%)
Aetna Inc. 2,400,000 160,500 .67
Allstate Corp. 5,500,000 308,688 1.28
American General Corp. 6,900,000 257,025 1.07
CIGNA Corp. 1,150,000 150,075 .62
General Re Corp. 1,500,000 220,875 .92
Lincoln National Corp. 2,600,000 126,100 .52
Marsh & McLennan Companies, Inc. 1,100,000 114,537 .48
St. Paul Companies, Inc. 1,975,000 107,391 .45
1,445,191 6.01
Total Finance 6,215,625 25.86
MULTI-INDUSTRY
Multi-Industry (1.06%)
AlliedSignal Inc. 1,075,000 $ 70,412 .29%
Minnesota Mining and Manufacturing Co. 1,900,000 145,588 .61
Whitman Corp. 1,625,000 39,406 .16
Total Multi-Industry 255,406 1.06
MISCELLANEOUS
Common stocks in initial period of acquisition 297,465 1.24
TOTAL INVESTMENT SECURITIES
(cost: $15,781,170,000) 23,062,819 95.97
Excess of United States Treasury bills,
cash, and receivables over payables 968,836 4.03
NET ASSETS $24,031,655 100.00%
See Notes to Financial Statements
Financial Statements
Statement of Assets and Liabilities
October 31, 1996
Unaudited (dollars in thousands)
Assets:
Investment securities at market
(cost: $15,781,170) $23,062,819
United States Treasury bills
(cost: $989,666) 989,648
Cash 83
Receivables for-
Sales of investments $ 15,853
Sales of Fund's shares 44,554
Dividends and interest 51,518 111,925
24,164,475
Liabilities:
Payables for-
Purchases of investments 101,027
Repurchases of Fund's shares 16,113
Management services 6,457
Accrued expenses 9,223 132,820
Net Assets at October 31, 1996
Equivalent to $24.81 per share on
968,654,382 shares of $1 par value
capital stock outstanding (authorized
capital stock - 2,000,000,000 shares) $24,031,655
See Notes to Financial Statements
Statement of Operations
for the six months ended October 31, 1996
Unaudited (dollars in thousands)
Investment Income:
Income:
Dividends $ 344,512
Interest 23,350 $ 367,862
Expenses:
Investment management fee 22,695
Business management fee 13,283
Distribution expenses 23,042
Transfer agent fee 8,034
Reports to shareholders 413
Registration statement and prospectus 1,461
Postage, stationery and supplies 1,982
Directors' and Advisory Board fees 222
Auditing and legal fees 99
Custodian fee 139
Other expenses 33 71,403
Net investment income 296,459
Realized Gain and Unrealized
Appreciation on Investments:
Net realized gain 511,793
Net unrealized appreciation:
Beginning of period 5,887,714
End of period 7,281,630
Net change in unrealized
appreciation 1,393,916
Net realized gain and change in
unrealized appreciation 1,905,709
Net Increase in Net Assets
Resulting from Operations $2,202,168
See Notes to Financial Statements
Washington Mutual Investors Fund / 1996 Semi-Annual Report
Statement of Changes in Net Assets
Six Months Ended Year Ended
(dollars in thousands) Oct. 31, 1996<F1> April 30, 1996
Operations:
Net investment income $ 296,459 $ 522,254
Net realized gain on investments 511,793 1,227,501
Net change in unrealized appreciation on
investments 1,393,916 2,757,898
Net Increase in Net Assets Resulting
from Operations 2,202,168 4,507,653
Dividends and Distributions Paid to
Shareholders:
Dividends from net investment income (271,719) (503,739)
Distributions from net realized gain
on investments - (879,840)
Total Dividends and Distributions (271,719) (1,383,579)
Capital Share Transactions:
Proceeds from shares sold:
95,173,865 and 172,566,749
shares, respectively 2,227,042 3,741,201
Proceeds from shares issued in
reinvestment of net investment income
dividends and distributions of net
realized gain on investments:
10,617,432 and 61,317,672 shares,
respectively 249,630 1,323,273
Cost of shares repurchased:
45,715,806 and 89,667,381 shares,
respectively (1,064,868) (1,924,927)
Net Increase in Net Assets Resulting
from Capital Share Transactions 1,411,804 3,139,547
Total Increase in Net Assets 3,342,253 6,263,621
Net Assets:
Beginning of period 20,689,402 14,425,781
End of period (including undistributed
net investment income: $96,684 and
$71,944, respectively) $24,031,655 $20,689,402
[FN]
<F1> Unaudited
[/FN]
See Notes to Financial Statements
Notes to Financial Statements<F1>
1. Washington Mutual Investors Fund (the "Fund") is registered under the
Investment Company Act of 1940 as an open-end, diversified management
investment company. The Fund's investment objective is to produce income
and to provide an opportunity for growth of principal consistent with sound
common stock investing. The following paragraphs summarize the significant
accounting policies consistently followed by the Fund in the preparation of
its financial statements:
Investment securities are stated at market value based upon closing
sales prices reported on a national securities exchange on the last
business day of the period or, for listed securities having no sales
reported, upon last-reported bid prices on that date. Treasury bills
with original or remaining maturities in excess of 60 days are valued at
the mean of their quoted bid and asked prices obtained from a major
dealer in short-term securities. Treasury bills with 60 days or less to
maturity are valued at amortized cost, which approximates market value.
As is customary in the mutual fund industry, securities
transactions are accounted for on the date the securities are purchased
or sold. Realized gains and losses from securities transactions are
reported on an identified cost basis. Dividend and interest income is
reported on the accrual basis. Dividends and distributions paid to
shareholders are recorded on the ex-dividend date.
Pursuant to the custodian agreement, the Fund receives credits
against its custodian fee for imputed interest on certain balances with
the custodian bank. The custodian fee of $139,000 included $9,000 that
was paid by these credits rather than in cash.
2. It is the Fund's policy to continue to comply with the requirements
of the Internal Revenue Code applicable to regulated investment
companies and to distribute all of its net taxable income, including any
net realized gain on investments, to its shareholders. Therefore, no
federal income tax provision is required.
As of October 31, 1996, net unrealized appreciation on investments
for book and federal income tax purposes aggregated $7,281,630,000, of
which $7,440,763,000 related to appreciated securities and $159,133,000
related to depreciated securities. There was no difference between book
and tax realized gains on securities transactions for the six months
ended October 31, 1996. The cost of portfolio securities for book and
federal income tax purposes was $16,770,836,000 at October 31, 1996.
3. Officers of the Fund received no remuneration from the Fund in such
capacities. Their remuneration was paid by Washington Management
Corporation (WMC), a wholly owned subsidiary of The Johnston-Lemon
Group, Incorporated. WMC, business manager of the Fund, was paid a fee
of $13,283,000 for business management services. The business management
agreement provides for monthly fees, accrued daily, based on an annual
rate of 0.175% of the first $3 billion of net assets; 0.15% of such
assets in excess of $3 billion but not exceeding $5 billion; 0.135% of such
assets in excess of $5 billion but not exceeding $8 billion; 0.12% of such
assets in excess of $8 billion but not exceeding $12 billion; 0.095% of
such assets in excess of $12 billion but not exceeding $21 billion, and
0.075% of such assets in excess of $21 billion. Under this agreement all
expenses chargeable to the Fund, including compensation to the business
manager, shall not exceed 1% of the average net assets of the Fund on an
annual basis. Johnston, Lemon & Co. Incorporated, a wholly owned subsidiary
of The Johnston-Lemon Group, Incorporated, has informed the Fund that it
has earned $381,000 on its retail sales of shares and under the
distribution plan of the Fund but received no net brokerage commissions
resulting from purchases and sales of securities for the investment account
of the Fund. All officers of the Fund and four of its directors are
affiliated with The Johnston-Lemon Group, Incorporated. Capital Research
and Management Company, investment manager of the Fund, was paid a fee of
$22,695,000 for investment management services. The investment advisory
agreement provides for monthly fees, accrued daily, based on an annual rate
of 0.225% of the first $3 billion of net assets; 0.21% of such assets in
excess of $3 billion but not exceeding $8 billion; 0.20% of such assets in
excess of $8 billion but not exceeding $21 billion; and 0.195% of such
assets in excess of $21 billion.
Pursuant to a Plan of Distribution, the Fund may expend up to 0.25%
of its average net assets annually for any activities primarily intended
to result in sales of Fund shares, provided the categories of expenses
for which reimbursement is made are approved by the Fund's Board of
Directors. Fund expenses under the Plan include payments to dealers to
compensate them for their selling and servicing efforts and
reimbursements to American Funds Distributors, Inc. (AFD), the principal
underwriter of the Fund's shares, for its activities and expenses related
to the sales of Fund shares or servicing of shareholder accounts. During
the six months ended October 31, 1996, distribution expenses under the Plan
were $23,042,000 including accrued expenses of $7,066,000.
American Funds Service Company, the transfer agent for the Fund,
was paid a fee of $8,034,000. AFD has informed the Fund that it has
received $9,989,000 (after allowances to dealers) as its portion of the
sales charges paid by purchasers of the Fund's shares. Such sales
charges are not an expense of the Fund and, hence, are not reflected in
the accompanying Statement of Operations.
Directors and Advisory Board members of the Fund who are
unaffiliated with WMC may elect to defer part or all of the fees earned
for such services. Amounts deferred are not funded and are general
unsecured liabilities of the Fund. As of October 31, 1996, aggregate
amounts deferred and earnings thereon were $161,000.
4. As of October 31, 1996, accumulated undistributed net realized gain
on investments was $1,167,884,000 and additional paid-in capital was
$14,516,803,000.
The Fund made purchases and sales of investment securities,
excluding short-term securities, of $3,263,767,000 and $1,939,778,000,
respectively, during the six months ended October 31, 1996.
[FN]
<F1> Unaudited
[/FN]
Washington Mutual Investors Fund / 1996 Semi-Annual Report
Per-Share Data and Ratios
Six Months
Ended Year Ended April 30
10/31/96<F1> 1996 1995 1994 1993 1992
Net Asset Value,
Beginning of Period $22.77 $18.87 $17.11 $17.59 $16.22 $15.02
Income from Investment
Operations:
Net investment income .31 .63 .63 .59 .56 .56
Net realized and
unrealized gain (loss)
on investments 2.02 4.98 2.16 (.12) 1.55 1.50
Total income from
investment operations 2.33 5.61 2.79 .47 2.11 2.06
Less Distributions:
Dividends from net
investment income (.29) (.62) (.62) (.56) (.56) (.56)
Distributions from net
realized gains - (1.09) (.41) (.39) (.18) (.30)
Total distributions (.29) (1.71) (1.03) (.95) (.74) (.86)
Net Asset Value,
End of Period $24.81 $22.77 $18.87 $17.11 $17.59 $16.22
Total Return<F2> 10.31<F3>% 30.40% 17.01% 2.55% 13.36% 14.24%
Ratios/Supplemental Data:
Net assets, end of
period (in millions) $24,032 $20,689 $14,426 $12,405 $11,306 $8,896
Ratio of expenses to
average net assets .33%<F3> .66% .69% .69% .70% .74%
Ratio of net income to
average net assets 1.35%<F3> 2.98% 3.57% 3.29% 3.33% 3.58%
Average commissions
paid (in cents)<F1><F4> 5.57c 6.24c 6.87c 6.85c 7.49c 7.51c
Portfolio turnover rate 9.22%<F3> 23.41% 25.45% 23.86% 18.60% 10.36%
[FN]
<F1> Unaudited
<F2> Excludes maximum sales charge of 5.75% of the Fund's offering price.
Total Return figures for 1992 and 1993 have been revised. Previously shown
for these years were 14.27% and 13.38%, respectively.
<F3> Based on operations for the period shown and, accordingly, not
representative of a full year's operations.
<F4> Brokerage commissions paid on portfolio transactions increase the
cost of securities purchased or reduce the proceeds of securities sold
and are not reflected in the Fund's Statement of Operations. Shares
traded on a principal basis are excluded.
[/FN]
Board of Directors
Stephen Hartwell
Chairman of the Board
James H. Lemon, Jr.
Vice Chairman of the Board
Harry J. Lister
President of the Fund
Cyrus A. Ansary
John A. Beck
James C. Miller III
Thomas J. Owen
Jean Head Sisco
T. Eugene Smith
Margita E. White
Stephen G. Yeonas
Directors Emeritus
Bernard J. Nees,
Chairman Emeritus
Charles T. Akre
Nathan A. Baily
Frank M. Ewing
Advisory Board
Mary K. Bush
Daniel J. Callahan III
Vernon W. Holleman, Jr.
William B. Snyder
Leonard P. Steuart II
Robert F. Tardio
Other Officers
Howard L. Kitzmiller
Senior Vice President, Secretary
and Assistant Treasurer of the Fund
Ralph S. Richard
Vice President and
Treasurer of the Fund
Lois A. Erhard
Vice President of the Fund
Michael W. Stockton
Assistant Treasurer of the Fund
For information about your account or any of the Fund's services, please
contact your financial adviser or call the American Funds Service Company,
toll-free, at 800/421-0180.
Washington Mutual Investors Fund / 1996 Semi-Annual Report
Office of the Fund
and of the Business Manager
Washington Management Corporation
1101 Vermont Avenue, NW
Washington, DC 20005-3585
202/842-5665
Investment Manager
Capital Research and
Management Company
333 South Hope Street
Los Angeles, CA 90071-1443
135 South State College Boulevard
Brea, CA 92821-5804
Transfer Agent
American Funds Service Company
(Please write to the address nearest you.)
P.O. Box 2205
Brea, CA 92822-2205
P.O. Box 659522
San Antonio, TX 78265-9522
P.O. Box 6007
Indianapolis, IN 46206-6007
P.O. Box 2280
Norfolk, VA 23501-2280
Custodian
The Chase Manhattan Bank
One Chase Manhattan Plaza
New York, NY 10081-0001
Counsel
Thompson, O'Donnell, Markham,
Norton & Hannon
805 Fifteenth Street, NW
Washington, DC 20005-2216
Principal Underwriter
American Funds Distributors, Inc.
333 South Hope Street
Los Angeles, CA 90071-1462
This report is for the information of shareholders of Washington Mutual
Investors Fund, Inc., but it may also be used as sales literature when
preceded or accompanied by the current prospectus, which gives details
about charges, expenses, investment objectives and operating policies of
the Fund. If used as sales material after December 31, 1996, this report
must be accompanied by an American Funds Group Statistical Update for
the most recently completed calendar quarter.
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