Report of Independent Accountants
To the Shareholders and Board of Trustees of
Target Funds
In planning and performing our audit of the financial statements of
Target Funds (the
"Funds", consisting of Large Capitalization Growth Fund,
Large Capitalization Value
Fund, Small Capitalization Growth Fund, Small Capitalization Value Fund,
International Equity Fund and Total Return Bond Fund) for the
year ended July 31,
2000, we considered its internal control, including control activities
for safeguarding
securities, in order to determine our auditing procedures for the
urpose of expressing
our opinion on the financial statements and to comply with the
requirements of Form N-
SAR, not to provide assurance on internal control.
The management of the Funds is responsible for establishing and
maintaining internal
control. In fulfilling this responsibility, estimates and judgments
by management are
required to assess the expected benefits and related costs of controls.
Generally, controls that are relevant to an audit pertain to the entity's
objective of preparing
financial statements for external purposes that are fairly presented
in conformity with generally accepted accounting principles.
Those controls include the safeguarding of
assets against unauthorized acquisition, use or disposition.
Because of inherent limitations in internal control, errors or fraud
may occur and not be detected. Also, projection of any evaluation
of internal control to future periods is
subject to the risk that controls may become inadequate because of
changes in
conditions or that the effectiveness of their design and operation
may deteriorate. Our consideration of internal control would not
necessarily disclose all matters in internal control that might
be material weaknesses under standards established by the
American Institute of Certified Public Accountants. A material
weakness is a condition
in which the design or operation of one or more of the internal
control components does
not reduce to a relatively low level the risk that misstatements
caused by error or fraud
in amounts that would be material in relation to the financial
statements being audited
may occur and not be detected within a timely period by
employees in the normal
course of performing their assigned functions. However, we
noted no matters involving
internal control and its operation, including controls for
safeguarding securities, that we
consider to be material weaknesses as defined above as
of July 31, 2000.
This report is intended solely for the information and use of
the Board of Trustees,
management and the Securities and Exchange Commission and
is not intended to be
and should not be used by anyone other than these specified parties.
PricewaterhouseCoopers LLP
September 22, 2000
To the Shareholders and Board of Trustees of
Target Funds
(2)
