<PAGE> 1
[AIM LOGO APPEARS HERE]
[GRAPHIC COLLAGE APPEARS HERE]
AIM GLOBAL UTILITIES FUND
SEMIANNUAL REPORT
JUNE 30, 1995
<PAGE> 2
AIM GLOBAL UTILITIES FUND
For shareholders who seek high current income and capital appreciation
through a portfolio primarily of common and preferred stocks of public
utility companies.
ABOUT FUND PERFORMANCE DATA THROUGHOUT THIS REPORT:
o Unless otherwise indicated, fund results were computed at net asset
value without reflecting sales charges.
o When sales charges are included in performance figures, Class A share
performance reflects the maximum 5.50% sales charge, and Class B
share performance reflects the applicable contingent deferred sales
charge (CDSC) for the period involved. The CDSC declines from 5% to
reach 0% at the beginning of the seventh year. The performance of the
Fund's Class B shares will differ from that of Class A shares. Total
return reflects reinvestment of all distributions.
o The Fund's investment return and principal value will fluctuate so
that an investor's shares, when redeemed, may be worth more or less
than their original cost.
o Past performance cannot guarantee comparable future results.
o The Fund's portfolio composition is subject to change, and there is no
assurance the Fund will continue to hold these same securities or stay
invested in any one particular country.
o On May 1, 1995, AIM Utilities Fund broadened its investment strategy
to permit up to 80% of its total assets to be invested in foreign
securities, and was renamed AIM Global Utilities Fund.
ABOUT INDEXES AND OTHER PERFORMANCE BENCHMARKS CITED IN THIS REPORT:
o The unmanaged Lipper Utilities Fund Category represents an average of
the performance of all utilities funds charted by Lipper Analytical
Services, Inc., an independent mutual fund performance monitor.
Results shown reflect reinvestment of dividends.
o An investment cannot be made in an index. Index results do not reflect
sales charges; results shown reflect reinvestment of dividends.
================================================================================
AVERAGE ANNUAL TOTAL RETURNS
For periods ended June 30, 1995
<TABLE>
<CAPTION>
Without With
Sales Charge Sales Charge
------------ ------------
<S> <C> <C>
CLASS A SHARES
Inception (1/18/88) 11.81% 10.96%
5 Years 8.50 7.28
1 Year 13.22 7.03
6 Months 12.43 6.25
CLASS B SHARES
Inception (9/1/93) -3.94% -5.88%
1 Year 12.16 7.16
6 Months 11.96 6.96
</TABLE>
Six-month performance includes distributions of $0.24 and $0.186 for Class A
and Class B shares, respectively.
- --------------------------------------------------------------------------------
<PAGE> 3
CHAIRMAN'S LETTER
Dear Shareholder:
Capitalizing on a strong rally in securities markets, AIM
Global Utilities Fund closed the six months ended June 30,
[PHOTO of 1995, with impressive total returns of 12.43% and 11.96%
Charles T. Bauer, for Class A and Class B shares, respectively. This
Chairman of performance outpaced the 11.15% total return of the
the Board of Lipper Utilities Fund Category, an average of the
the Fund, performance of all utilities funds charted by Lipper.
APPEARS HERE] Combined net assets of the Fund's A and B shares were
$212.8 million, up from $193.1 million six months earlier.
AIM Global Utilities Fund's performance has rebounded from the last
reporting period, which was marked by turmoil in bond markets and poor
performance by utilities markets as a result of interest rate increases by the
Federal Reserve Board and fear of increasing competition in the utilities
markets. As markets stabilized during the first half of 1995, Fund management
was able to turn the bullishness of the stock market and the upswing in the
bond market to the Fund's advantage. A more detailed discussion of the
economy, your Fund's portfolio strategy, and our outlook for the months ahead
appears in this report's DISCUSSION & ANALYSIS on the following page.
In the past, both your Fund and the stock market in general have
experienced a variety of up and down years. Although past performance does not
ensure comparable future results, we believe shareholders who keep a long-term
perspective will have greater opportunity for reaping rewards over time.
We remain confident in our consistent investment management discipline,
which emphasizes credit quality and earnings history in any market environment.
We believe our faithful application of this philosophy has been a major
contributor to the growth of The AIM Family of Funds(R). In the first six months
of this year, total assets under AIM's management increased more than 18%, from
approximately $27.5 billion to approximately $32.5 billion. While part of this
growth can be attributed to favorable market conditions, it also reflects the
opening of more than 320,000 new shareholder accounts during the same period.
We are pleased to send you this shareholder report for AIM Global Utilities
Fund. If you have any questions concerning your AIM account, remember that you
can now access information on current yield and total return of your AIM Fund in
addition to data on your individual account by calling 800-246-5463 at any time.
Or if you prefer, you can speak with a customer service representative by
calling AIM Client Services at 800-959-4246 during normal business hours.
Respectfully submitted,
/s/ CHARLES T. BAUER
Charles T. Bauer
<PAGE> 4
DISCUSSION & ANALYSIS
-------------
The portfolio
remains heavily
weighted in
domestic electric
utilities, which
have provided the
most attractive
investments.
-------------
INVESTMENT DISCIPLINE YIELDS
IMPRESSIVE RESULTS
Following the lackluster performance of securities markets during 1994,
investors were ready for good news. That news came in evidence the Federal
Reserve Board's much-sought "soft landing"--slowing economic growth but not to
the point of recession--was occurring. A 2.7% annual growth rate in the first
quarter of 1995 showed the economy had slowed decidedly from the 5.1% annual
rate of 1994's fourth quarter. During the second quarter of 1995, economic
growth dropped below an annual rate of 1%, and markets began to discount the
possibility that the Federal Reserve Board would ease short-term interest rates.
As the economy cooled, corporations continued to report profits higher
than analysts' expectations and investors recognized investment opportunities.
Both stock and bond markets boomed.
Utilities mutual funds participated in the bull market. The Lipper
Utilities Fund Category, which averages the performance of all utilities funds
charted by Lipper, rose 11.15% during the reporting period. AIM Global
Utilities Fund outpaced this benchmark, producing total return of 12.43% for
Class A shares and 11.96% for Class B during the reporting period.
================================================================================
TOP 5 DOMESTIC HOLDINGS*
1. U.S. Treasury Securities
2. Northern States Power Company
3. Ameritech Corp.
4. Houston Industries, Inc.
5. FPL Group, Inc.
================================================================================
TOP 5 FOREIGN HOLDINGS*
1. Telefonaktiebolaget
L.M. Ericsson (Sweden)
2. Nokia Corp. (Finland)
3. Telecom Corp. of New Zealand Ltd.
4. Veba A.G. (Germany)
5. IPL Energy (Canada)
*Holdings may include equities, bonds, and convertible bonds.
This is based on the Fund's portfolio as of June 30, 1995.
YOUR INVESTMENT
PORTFOLIO
The Fund achieved this handsome performance by adhering to AIM's earnings-driven
investment philosophy domestically and internationally.
As of May 1, the Fund had broadened its investment universe, increasing from
20% to 80% the proportion of the portfolio that may be invested in foreign
securities to enable the Fund to take advantage of promising opportunities in
global markets.
By the close of the reporting period, 28% of equity holdings consisted of
foreign securities, up from 15% six months earlier. The addition of Scottish
Power PLC, South Wales Electricity PLC, and London Electricity PLC reflects
movement toward deregulation of utilities in the United Kingdom.
The portfolio remains heavily weighted in domestic electric utilities, which
have provided the most attractive investments. Markets seemed less skittish
than last year about the advent of competition in the U.S. utilities industry.
That, coupled with declining interest rates, made electric utilities very
attractive. Fund management also tilted the portfolio more toward the
telecommunications industry in pursuit of attractive opportunities. Holdings of
providers of traditional phone services were reduced.
For the Fund's fixed-income holdings, the booming U.S. bond market has been
advantageous. Holdings of U.S. Treasury securities were increased early in the
year when these issues offered attractive yields well over 7%. As interest
rates started to decline, the value of these holdings rose.
OUTLOOK FOR THE FUTURE
On July 6, shortly after the period covered by this report closed, the
Federal Reserve Board lowered the Federal Funds rate by 0.25%. Markets
speculated whether further cuts would be made. A more accommodative monetary
policy can be expected to spur continued growth in the U.S.
The global outlook is upbeat. The International Monetary Fund (IMF) projected
inflation-adjusted economic growth in the industrialized nations at 3.0% for
1995 and 2.7% for 1996. In the developing nations, the IMF anticipated growth
of 5.6% this year, rising to 6.1% for 1996. Low inflation is expected. The
Organization for Economic Cooperation and Development projects low inflation in
the industrialized world, and the IMF projects 1995 inflation in the developing
world at half the 1994 rate.
Even the best-informed experts cannot predict the future economic events with
perfect accuracy. Therefore, AIM remains committed to its earnings-driven
strategy, which seeks attractive portfolio positions based on known performance
rather than projections. In global and domestic markets, AIM's challenge is to
find the companies that are going to produce superior earnings and earnings
growth, which is what we believe we do best.
See important Fund disclosure on inside front cover.
2
<PAGE> 5
FOR CONSIDERATION
-----------
In a mature
industrial society
such as the
United States,
utilities services
are virtually
universal.
-----------
UTILITIES: INVESTMENT OPPORTUNITIES ABROAD
COMPLEMENT THOSE IN U.S.
Reliable utilities--electricity, water, telecommunications--are essential to a
modern society. This is one reason utilities are generally regarded as
relatively durable, nonspeculative investments: We all flip light switches or
turn on faucets every day.
In a mature industrial society such as the United States, utilities services
are virtually universal. Recent innovations in telecommunications have made
that sector an attractive place to invest for several years, but the domestic
market for utilities such as electricity and water is fully served. Prospects
for spectacular growth in these latter sectors are therefore limited, though
investors can anticipate continued slow and steady growth.
Two trends make the basic utilities sector a different--and potentially
promising--kind of investment market in many foreign nations:
First, in several other advanced economies such as the United Kingdom,
privatization of former government monopolies is under way, making available
previously nonexistent investment opportunities.
Second, utilities are inextricably tied to economic growth the world over.
As a number of developing nations embrace free-market principles, their economic
growth accelerates--fueling demand for better utilities services. This is one
reason why, as investments, utilities can be more attractive in less
advanced countries.
================================================================================
THE CHANGING UTILITIES UNIVERSE
% OF GLOBAL UTILITY MARKET (MARKET CAPITALIZATION)
[PIE CHART APPEARS HERE]
<TABLE>
<CAPTION>
1980 1994
---- ----
<S> <C> <C>
Foreign 34% 58%
U.S. 66% 42%
</TABLE>
From Statistics Compiled by Merrill Lynch
================================================================================
GROWTH OF ELECTRICAL SERVICE COMPANIES
<TABLE>
<CAPTION>
ESTIMATED ANNUAL GROWTH
IN EARNINGS PER SHARE
MARKET 1993-1998
- --------------------------------------------------------------------------------
<S> <C>
Pacific Rim/Hong Kong 20%
Latin America 13
Europe 10
United Kingdom 7
Japan 5
United States 2
</TABLE>
Source: Morgan Stanley
These two trends have changed the nature of utilities investing. Statistics
compiled by Merrill Lynch show that at the beginning of the 1980s, the
utilities investment market was decidedly domestic; in the past decade or so,
the U.S. share of the market has shrunk to approximately 40% as foreign
governments have privatized public monopolies. And because of the connection
between economic growth and utilities growth, utilities companies overseas are
expected to grow much faster than those in the United States. Small economies
have the potential to grow faster than mature economies such as the U.S.
For example, the table displays Morgan Stanley's projection of growth rates
for electric service companies in various nations and regions. It adds up to a
forceful argument for diversifying a utilities portfolio into overseas
markets.
In addition, diversifying a portfolio to include foreign stocks can actually
reduce the volatility of that portfolio. Domestic utilities tend to offer slow
rates of growth, but they have long been known for high, regularly scheduled
dividends. Foreign utilities tend to offer just the opposite: lower dividends
paid less often but heightened prospects for rapid appreciation of capital.
This combination is well suited to the investment objectives of AIM Global
Utilities Fund.
- --------------------------------------------------------------------------------
See important Fund disclosure on inside front cover.
3
<PAGE> 6
FINANCIALS
SCHEDULE OF INVESTMENTS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
SHARES MARKET VALUE
<S> <C> <C>
DOMESTIC COMMON STOCKS-57.07%
CONGLOMERATES-0.47%
21,800 Tenneco Inc. $ 1,002,800
- --------------------------------------------------------------------------------------------------
ELECTRIC SERVICES-35.06%
204,000 Boston Edison Co. 5,329,500
- --------------------------------------------------------------------------------------------------
35,400 Consolidated Edison Co. of New York, Inc. 1,044,300
- --------------------------------------------------------------------------------------------------
108,000 Detroit Edison Co. 3,186,000
- --------------------------------------------------------------------------------------------------
220,000 DPL Inc. 4,867,500
- --------------------------------------------------------------------------------------------------
89,500 DQE, Inc. 2,103,250
- --------------------------------------------------------------------------------------------------
106,400 Duke Power Co. 4,415,600
- --------------------------------------------------------------------------------------------------
51,000 Florida Progress Corp. 1,593,750
- --------------------------------------------------------------------------------------------------
147,600 FPL Group, Inc. 5,701,050
- --------------------------------------------------------------------------------------------------
135,000 General Public Utilities Corp. 4,016,250
- --------------------------------------------------------------------------------------------------
137,000 Houston Industries, Inc. 5,771,125
- --------------------------------------------------------------------------------------------------
172,300 Illinova Corp. 4,372,112
- --------------------------------------------------------------------------------------------------
53,500 LG & E Energy Corp. 2,086,500
- --------------------------------------------------------------------------------------------------
134,600 Northern States Power Co. 6,208,425
- --------------------------------------------------------------------------------------------------
200,000 Ohio Edison Co. 4,525,000
- --------------------------------------------------------------------------------------------------
50,000 PacifiCorp 937,500
- --------------------------------------------------------------------------------------------------
75,000 Peco Energy Co. 2,071,875
- --------------------------------------------------------------------------------------------------
150,000 Pinnacle West Capital Corp. 3,675,000
- --------------------------------------------------------------------------------------------------
98,200 Public Service Enterprise Group, Inc. 3,191,500
- --------------------------------------------------------------------------------------------------
227,400 Southern Co. (The) 5,088,075
- --------------------------------------------------------------------------------------------------
49,300 Teco Energy, Inc. 1,078,437
- --------------------------------------------------------------------------------------------------
50,000 Unicom Corp. 1,331,250
- --------------------------------------------------------------------------------------------------
33,200 Western Resources, Inc. 1,025,050
- --------------------------------------------------------------------------------------------------
35,000 Wisconsin Energy Corp. 980,000
- --------------------------------------------------------------------------------------------------
74,599,049
- --------------------------------------------------------------------------------------------------
NATURAL GAS PIPELINE-7.10%
36,000 Columbia Gas System, Inc.(a) 1,143,003
- --------------------------------------------------------------------------------------------------
37,400 Enron Corp. 1,313,675
- --------------------------------------------------------------------------------------------------
14,500 KN Energy, Inc. 367,937
- --------------------------------------------------------------------------------------------------
31,700 MCN Corp. 626,075
- --------------------------------------------------------------------------------------------------
100,000 NIPSCO Industries, Inc. 3,400,000
- --------------------------------------------------------------------------------------------------
115,000 Pacific Enterprises 2,817,500
- --------------------------------------------------------------------------------------------------
93,300 Panhandle Eastern Corp. 2,274,187
- --------------------------------------------------------------------------------------------------
91,000 Williams Companies Inc. (The) 3,173,625
- --------------------------------------------------------------------------------------------------
15,116,002
- --------------------------------------------------------------------------------------------------
</TABLE>
4
<PAGE> 7
FINANCIALS
<TABLE>
<CAPTION>
SHARES MARKET VALUE
<S> <C> <C>
REAL ESTATE INVESTMENT TRUSTS-1.60%
44,300 Bay Apartment Communities $ 863,850
- --------------------------------------------------------------------------------------------------
21,300 Meditrust 726,862
- --------------------------------------------------------------------------------------------------
12,600 National Health Investors, Inc. 343,353
- --------------------------------------------------------------------------------------------------
5,500 Nationwide Health Properties, Inc. 214,500
- --------------------------------------------------------------------------------------------------
22,300 Oasis Residential Inc. 485,025
- --------------------------------------------------------------------------------------------------
16,500 RFS Hotel Investors Inc. 251,625
- --------------------------------------------------------------------------------------------------
32,000 Storage Equities Inc. 524,000
- --------------------------------------------------------------------------------------------------
3,409,215
- --------------------------------------------------------------------------------------------------
TELECOMMUNICATIONS-1.05%
58,300 Frontier Corp. 1,399,200
- --------------------------------------------------------------------------------------------------
40,200 Mobilemedia Corp. 824,100
- --------------------------------------------------------------------------------------------------
2,223,300
- --------------------------------------------------------------------------------------------------
TELEPHONE-11.79%
33,200 ALC Communications Corp.(a) 1,195,312
- --------------------------------------------------------------------------------------------------
136,700 Ameritech Corp. 6,014,800
- --------------------------------------------------------------------------------------------------
22,500 AT&T Corp. 1,498,150
- --------------------------------------------------------------------------------------------------
72,900 BellSouth Corp. 4,629,150
- --------------------------------------------------------------------------------------------------
75,700 Century Telephone Enterprises, Inc. 2,147,987
- --------------------------------------------------------------------------------------------------
95,400 Cincinnati Bell, Inc. 2,408,850
- --------------------------------------------------------------------------------------------------
25,000 GTE Corp. 853,125
- --------------------------------------------------------------------------------------------------
91,400 SBC Communications, Inc. 4,352,925
- --------------------------------------------------------------------------------------------------
30,000 Southern New England Telecommunications Corp. 1,057,500
- --------------------------------------------------------------------------------------------------
22,500 US West, Inc. 936,562
- --------------------------------------------------------------------------------------------------
25,094,361
- --------------------------------------------------------------------------------------------------
Total Domestic Common Stocks 121,444,727
- --------------------------------------------------------------------------------------------------
FOREIGN STOCKS-21.86%
ARGENTINA-1.72%
368,200 Central Costanera S.A.-Class B (Electric Services) 1,160,062
- --------------------------------------------------------------------------------------------------
98,800 Central Puerto S.A.-Class B (Electric Services) 365,633
- --------------------------------------------------------------------------------------------------
22,500 Telecom Argentina S.A.-ADR (Telephone) 1,023,750
- --------------------------------------------------------------------------------------------------
44,600 Telefonica de Argentina-ADR (Telephone) 1,103,850
- --------------------------------------------------------------------------------------------------
3,653,295
- --------------------------------------------------------------------------------------------------
AUSTRIA-0.43%
12,500 Oesterreichisch Elektrizitatswirtschafts AG (Verbundgesellschaft)-Class A
(Electric Services) 916,324
- --------------------------------------------------------------------------------------------------
CANADA-0.61%
87,800 Westcoast Energy, Inc. (Natural Gas Pipeline) 1,295,050
- --------------------------------------------------------------------------------------------------
</TABLE>
5
<PAGE> 8
FINANCIALS
<TABLE>
<CAPTION>
SHARES MARKET VALUE
<S> <C> <C>
CHILE-1.82%
40,000 Chilgener S.A.-ADR (Electric Services) $ 1,265,000
- -------------------------------------------------------------------------------------------------
14,600 Compania de Telefonos de Chile S.A.-ADR (Telecommunications) 1,188,078
- -------------------------------------------------------------------------------------------------
47,800 Enersis S.A.-ADR (Electric Services) 1,410,100
- -------------------------------------------------------------------------------------------------
3,863,178
- -------------------------------------------------------------------------------------------------
DENMARK-0.44%
33,600 Tele Danmark A/S-ADR(a) (Telephone) 940,800
- -------------------------------------------------------------------------------------------------
FINLAND-2.03%
72,400 Nokia Corp.-ADR (Telecommunications) 4,316,850
- -------------------------------------------------------------------------------------------------
GERMANY-0.86%
4,650 Veba A.G. (Electric Services) 1,827,518
- -------------------------------------------------------------------------------------------------
HONG KONG-0.78%
281,000 Consolidated Electric Power Asia Ltd. (Electric Services) 651,858
- -------------------------------------------------------------------------------------------------
51,000 Hong Kong Telecom Ltd.-ADR (Telephone) 1,013,625
- -------------------------------------------------------------------------------------------------
1,665,483
- -------------------------------------------------------------------------------------------------
INDONESIA-0.50%
27,700 PT Indostat-ADR(a) (Telephone) 1,059,525
- -------------------------------------------------------------------------------------------------
ITALY-0.49%
383,300 Telecom Italia S.p.A. (Telephone) 1,038,921
- -------------------------------------------------------------------------------------------------
KOREA-0.53%
49,500 Korea Electric Power Corp.-ADR (Electric Services) 1,119,940
- -------------------------------------------------------------------------------------------------
NETHERLANDS-0.67%
39,570 Royal PTT Nederland N.V. ADR(b) (Acquired 06/13/94; cost $1,058,446)
(Telephone) 1,427,012
- -------------------------------------------------------------------------------------------------
NEW ZEALAND-1.44%
50,600 Telecom Corp. of New Zealand Ltd.-ADR (Telephone) 3,067,625
- -------------------------------------------------------------------------------------------------
NORWAY-0.59%
45,000 Nera AS-ADR(a) (Telecommunications) 1,265,625
- -------------------------------------------------------------------------------------------------
PERU-0.23%
287,100 CPT Telefonica Del Peru-Class B (Telephone) 490,441
- -------------------------------------------------------------------------------------------------
PORTUGAL-0.59%
65,700 Portugal Telecom S.A.-ADR(a) (Telecommunications) 1,248,300
- -------------------------------------------------------------------------------------------------
SPAIN-1.06%
19,300 Empresa Nacional de Electricidad S.A.-ADR (Electric Services) 950,525
- -------------------------------------------------------------------------------------------------
11,000 Gas Natural SDG-E S.A. (Natural Gas Pipeline) 1,313,188
- -------------------------------------------------------------------------------------------------
2,263,713
- -------------------------------------------------------------------------------------------------
SWEDEN-2.15%
121,120 Telefonaktiebolaget L.M. Ericsson (Telecommunications) 2,422,400
- -------------------------------------------------------------------------------------------------
108,080 Telefonaktiebolaget L.M. Ericsson-ADR (Telecommunications) 2,155,327
- -------------------------------------------------------------------------------------------------
4,577,727
- -------------------------------------------------------------------------------------------------
</TABLE>
6
<PAGE> 9
FINANCIALS
<TABLE>
<CAPTION>
SHARES MARKET VALUE
<S> <C> <C>
UNITED KINGDOM-4.92%
265,600 British Gas PLC (Natural Gas Pipeline) $ 1,223,018
- ---------------------------------------------------------------------------------------------------------
28,600 London Electricity PLC (Electric Services) 292,050
- ---------------------------------------------------------------------------------------------------------
52,700 Midlands Electricity PLC (Electric Services) 528,089
- ---------------------------------------------------------------------------------------------------------
120,000 National Power PLC (Electric Services) 850,326
- ---------------------------------------------------------------------------------------------------------
40,000 National Power PLC-ADR (Electric Services) 495,000
- ---------------------------------------------------------------------------------------------------------
153,300 North West Water PLC (Water Supply) 1,353,292
- ---------------------------------------------------------------------------------------------------------
45,500 NYNEX CableComms Group(a) (Telecommunications) 921,375
- ---------------------------------------------------------------------------------------------------------
119,000 PowerGen PLC (Electric Services) 913,273
- ---------------------------------------------------------------------------------------------------------
26,600 PowerGen PLC-ADR (Electric Services) 325,850
- ---------------------------------------------------------------------------------------------------------
138,550 Scottish Power PLC (Electric Services) 712,914
- ---------------------------------------------------------------------------------------------------------
47,925 Seeboard PLC (Electric Services) 296,529
- ---------------------------------------------------------------------------------------------------------
26,775 South Wales Electricity PLC (Electric Services) 296,837
- ---------------------------------------------------------------------------------------------------------
88,500 Wessex Water PLC (Water Supply) 418,076
- ---------------------------------------------------------------------------------------------------------
46,730 Yorkshire Electricity PLC (Electric Services) 512,863
- ---------------------------------------------------------------------------------------------------------
145,800 Yorkshire Water PLC (Water Supply) 1,335,784
- ---------------------------------------------------------------------------------------------------------
10,475,276
- ---------------------------------------------------------------------------------------------------------
Total Foreign Stocks 46,512,603
- ---------------------------------------------------------------------------------------------------------
<CAPTION>
PRINCIPAL
AMOUNT
<S> <C> <C>
DOMESTIC CONVERTIBLE BONDS-2.91%
COMPUTER SOFTWARE/SERVICES-0.39%
$ 900,000 Network Equipment Technologies, Conv. Sub. Deb.,
7.25%, 05/15/14 832,500
- ---------------------------------------------------------------------------------------------------------
ELECTRIC SERVICES-0.47%
1,100,000 California Energy Co., Inc., Conv. Sub. Deb.,
5.00%, 07/31/00(b) (Acquired 04/26/95; cost $988,625) 999,955
- ---------------------------------------------------------------------------------------------------------
ELECTRONIC COMPONENTS/MISCELLANEOUS-1.66%
7,000,000 ADT Operations Inc., Conv. Liquid Yield Option Notes,
6.50%, 07/06/10(c) 2,764,790
- ---------------------------------------------------------------------------------------------------------
730,000 Altera Corp., Conv. Sub. Notes,
5.75%, 06/15/02(b) (Acquired 06/16/95; cost $730,000) 772,522
- ---------------------------------------------------------------------------------------------------------
3,537,312
- ---------------------------------------------------------------------------------------------------------
TELECOMMUNICATIONS-0.39%
2,620,000 United States Cellular Corp., Conv. Liquid Yield Option Notes,
6.00%, 06/15/15(c) 818,750
- ---------------------------------------------------------------------------------------------------------
Total Domestic Convertible Bonds 6,188,517
- ---------------------------------------------------------------------------------------------------------
</TABLE>
7
<PAGE> 10
FINANCIALS
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MARKET VALUE
<S> <C> <C>
DOMESTIC NON-CONVERTIBLE BONDS-8.97%
ELECTRIC SERVICES-3.90%
$ 1,900,000 Central Power & Light Co., First Mortgage Series Z Bonds,
9.375%, 12/01/19 $ 2,034,710
- -------------------------------------------------------------------------------------------------
2,308,000 Ohio Power Co., First Mortgage Bonds,
9.875%, 08/01/20 2,480,776
- -------------------------------------------------------------------------------------------------
1,750,000 Pennsylvania Power & Light Co., First Mortgage Bonds,
9.25%, 10/01/19 1,885,992
- -------------------------------------------------------------------------------------------------
1,640,000 San Diego Gas & Electric Co., First Mortgage Series JJ Bonds,
9.625%, 04/15/20 1,905,942
- -------------------------------------------------------------------------------------------------
8,307,420
- -------------------------------------------------------------------------------------------------
FINANCE-(CONSUMER CREDIT)-1.32%
2,400,000 ITT Corp., Sub. Notes,
8.85%, 07/15/05 2,799,984
- -------------------------------------------------------------------------------------------------
NATURAL GAS PIPELINE-2.83%
3,750,000 Enron Corp., Sr. Sub. Deb.,
6.75%, 07/01/05 3,675,601
- -------------------------------------------------------------------------------------------------
2,205,000 Panhandle Eastern Pipeline, Deb.,
7.875%, 08/15/04 2,336,616
- -------------------------------------------------------------------------------------------------
6,012,217
- -------------------------------------------------------------------------------------------------
TELECOMMUNICATIONS-0.92%
1,850,000 AT&T Corp., Sr. Notes,
7.75%, 03/01/07 1,977,059
- -------------------------------------------------------------------------------------------------
Total Domestic Non-Convertible Bonds 19,096,680
- -------------------------------------------------------------------------------------------------
FOREIGN NON-CONVERTIBLE BONDS-1.56%
CANADA-1.56%
1,800,000* Bell Canada, Deb. (Telecommunications),
10.875%*, 10/11/04 1,499,893
- -------------------------------------------------------------------------------------------------
2,350,000* IPL Energy, Deb. (Oil & Gas Services),
9.67%*, 02/23/00 1,811,903
- -------------------------------------------------------------------------------------------------
Total Foreign Non-Convertible Bonds 3,311,796
- -------------------------------------------------------------------------------------------------
REPURCHASE AGREEMENTS-3.58%(d)
620,217 Daiwa Securities America Inc.,
6.20%, 07/03/95(e) 620,217
- -------------------------------------------------------------------------------------------------
7,000,000 SBC Government Securities, Inc.,
6.22%, 07/03/95(f) 7,000,000
- -------------------------------------------------------------------------------------------------
Total Repurchase Agreements 7,620,217
- --------------------------------------------------------------------------------------------------
</TABLE>
* Canadian dollars
8
<PAGE> 11
FINANCIALS
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT MARKET VALUE
<S> <C> <C>
U.S. TREASURY SECURITIES-5.07%
$ 3,000,000 U.S. Treasury Notes, 7.125%, 02/29/00 $ 3,134,430
- -------------------------------------------------------------------------------------------------
2,500,000 U.S. Treasury Notes, 7.25%, 08/15/04 2,672,200
- -------------------------------------------------------------------------------------------------
2,500,000 U.S. Treasury Notes, 7.50%, 02/15/05 2,722,875
- -------------------------------------------------------------------------------------------------
2,000,000 U.S. Treasury Bonds, 7.625%, 02/15/25 2,257,020
- -------------------------------------------------------------------------------------------------
Total U.S. Treasury Notes 10,786,525
- -------------------------------------------------------------------------------------------------
TOTAL INVESTMENT SECURITIES -- 101.02% 214,961,065
- -------------------------------------------------------------------------------------------------
OTHER ASSETS LESS LIABILITIES -- (1.02)% (2,179,953)
- -------------------------------------------------------------------------------------------------
NET ASSETS -- 100.00% $212,781,112
=================================================================================================
</TABLE>
Notes to Schedule of Investments:
(a) Non-income producing security.
(b) Restricted securities. May be resold to qualified institutional buyers in
accordance with provisions of Rule 144A under the Securities Act of 1933,
as amended. The valuation of these securities has been determined in
accordance with procedures established by the Board of Trustees. The
aggregate market value of these securities at June 30, 1995, was
$3,199,489, which represents 1.50% of net assets.
(c) Zero coupon bond. The interest rate shown represents the rate of original
issue discount.
(d) Collateral on repurchase agreements, including the Fund's pro-rata
interest in joint repurchase agreements, is taken into possession by the
Fund upon entering into the repurchase agreement. The collateral is
marked to market daily to ensure its market value as being 102 percent of
the sales price of the repurchase agreement. The investments in some
repurchase agreements are through participation in joint accounts with
other mutual funds managed by the investment advisor.
(e) Joint repurchase agreement entered into 06/30/95 with a maturing value of
$186,890,118. Collateralized by $195,572,000 U.S. Treasury obligations,
0% to 8.375% due 06/27/96 to 08/15/08.
(f) Joint repurchase agreement entered into 06/30/95 with a maturing value of
$200,103,667. Collateralized by $233,420,000 U.S. Treasury obligations,
0% to 8.25%, due 07/05/95 to 02/15/02.
Abbreviations:
ADR -American Depositary Receipt
Conv. -Convertible
Deb. -Debentures
Sr. -Senior
Sub. -Subordinated
See Notes to Financial Statements.
9
<PAGE> 12
FINANCIALS
STATEMENT OF ASSETS AND LIABILITIES
June 30, 1995
(Unaudited)
<TABLE>
<S> <C>
ASSETS:
Investments, at market value (cost $196,324,044) $214,961,065
- -----------------------------------------------------------------------------------------------
Foreign currencies, at market value (cost $78,046) 79,864
- -----------------------------------------------------------------------------------------------
Receivables for:
Fund shares sold 1,066,098
- -----------------------------------------------------------------------------------------------
Dividends and interest 1,783,805
- -----------------------------------------------------------------------------------------------
Investment for deferred compensation plan 4,652
- -----------------------------------------------------------------------------------------------
Other assets 280,780
- -----------------------------------------------------------------------------------------------
Total assets 218,176,264
- -----------------------------------------------------------------------------------------------
LIABILITIES:
Payables for:
Investments purchased 4,714,062
- -----------------------------------------------------------------------------------------------
Fund shares reacquired 226,786
- -----------------------------------------------------------------------------------------------
Dividends 94,034
- -----------------------------------------------------------------------------------------------
Deferred compensation 4,652
- -----------------------------------------------------------------------------------------------
Accrued advisory fees 103,637
- -----------------------------------------------------------------------------------------------
Accrued administrative services fees 5,759
- -----------------------------------------------------------------------------------------------
Accrued distribution fees 154,911
- -----------------------------------------------------------------------------------------------
Accrued trustees' fees 1,400
- -----------------------------------------------------------------------------------------------
Accrued transfer agent fees 47,458
- -----------------------------------------------------------------------------------------------
Accrued operating expenses 42,453
- -----------------------------------------------------------------------------------------------
Total liabilities 5,395,152
- -----------------------------------------------------------------------------------------------
Net assets applicable to shares outstanding $212,781,112
===============================================================================================
NET ASSETS:
Class A $160,501,532
===============================================================================================
Class B $ 52,279,580
===============================================================================================
SHARES OUTSTANDING, $.01 PAR VALUE PER SHARE:
Class A 12,281,026
===============================================================================================
Class B 4,001,795
===============================================================================================
Class A:
Net asset value and redemption price per share $ 13.07
===============================================================================================
Offering price per share:
(Net asset value of $13.07 divided by 94.50%) $ 13.83
===============================================================================================
Class B:
Net asset value and offering price per share $ 13.06
===============================================================================================
</TABLE>
See Notes to Financial Statements.
10
<PAGE> 13
FINANCIALS
STATEMENT OF OPERATIONS
For the six months ended June 30, 1995
(Unaudited)
<TABLE>
<S> <C>
INVESTMENT INCOME:
Dividends $ 4,574,658
- -----------------------------------------------------------------------------------------------
Interest 1,483,898
- -----------------------------------------------------------------------------------------------
Total investment income 6,058,556
- -----------------------------------------------------------------------------------------------
EXPENSES:
Advisory fees 601,606
- -----------------------------------------------------------------------------------------------
Administrative services fees 35,447
- -----------------------------------------------------------------------------------------------
Custodian fees 36,463
- -----------------------------------------------------------------------------------------------
Trustees' fees 2,666
- -----------------------------------------------------------------------------------------------
Distribution fees -- Class A 192,163
- -----------------------------------------------------------------------------------------------
Distribution fees -- Class B 239,318
- -----------------------------------------------------------------------------------------------
Transfer agent fees -- Class A 179,057
- -----------------------------------------------------------------------------------------------
Transfer agent fees -- Class B 93,193
- -----------------------------------------------------------------------------------------------
Other 97,852
- -----------------------------------------------------------------------------------------------
Total expenses 1,477,765
- -----------------------------------------------------------------------------------------------
Net investment income 4,580,791
- -----------------------------------------------------------------------------------------------
REALIZED AND UNREALIZED GAIN (LOSS) FROM INVESTMENT SECURITIES AND FOREIGN
CURRENCY TRANSACTIONS:
NET REALIZED GAIN (LOSS) FROM:
Investment securities (3,616,493)
- -----------------------------------------------------------------------------------------------
Foreign currency transactions (99,710)
- -----------------------------------------------------------------------------------------------
(3,716,203)
- -----------------------------------------------------------------------------------------------
UNREALIZED APPRECIATION OF:
Investment securities 22,682,474
- -----------------------------------------------------------------------------------------------
Foreign currencies 27,681
- -----------------------------------------------------------------------------------------------
22,710,155
- -----------------------------------------------------------------------------------------------
Net gain from investment securities and foreign currencies 18,993,952
- -----------------------------------------------------------------------------------------------
Net increase in net assets resulting from operations $23,574,743
===============================================================================================
</TABLE>
See Notes to Financial Statements.
11
<PAGE> 14
FINANCIALS
STATEMENT OF CHANGES IN NET ASSETS
For the six months ended June 30, 1995 and the year ended December 31, 1994
(Unaudited)
<TABLE>
<CAPTION>
JUNE 30, DECEMBER 31,
1995 1994
<S> <C> <C>
OPERATIONS:
Net investment income $ 4,580,791 $ 9,265,901
- ---------------------------------------------------------------------------------------------------------
Net realized gain (loss) on sales of investment securities and foreign
currencies (3,716,203) (19,935,052)
- ---------------------------------------------------------------------------------------------------------
Net unrealized appreciation (depreciation) of investment securities and
foreign currencies 22,710,155 (15,936,523)
- ---------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets resulting from operations 23,574,743 (26,605,674)
- ---------------------------------------------------------------------------------------------------------
Distributions to shareholders from net investment income:
Class A (3,007,793) (8,024,593)
- ---------------------------------------------------------------------------------------------------------
Class B (722,718) (1,429,850)
- ---------------------------------------------------------------------------------------------------------
Returns of capital:
Class A -- (407,762)
- ---------------------------------------------------------------------------------------------------------
Class B -- (72,656)
- ---------------------------------------------------------------------------------------------------------
Share transactions-net:
Class A (5,155,891) (18,722,360)
- ---------------------------------------------------------------------------------------------------------
Class B 5,009,670 24,437,899
- ---------------------------------------------------------------------------------------------------------
Net increase (decrease) in net assets 19,698,011 (30,824,996)
- ---------------------------------------------------------------------------------------------------------
NET ASSETS:
Beginning of period 193,083,101 223,908,097
- ---------------------------------------------------------------------------------------------------------
End of period $212,781,112 $193,083,101
=========================================================================================================
NET ASSETS CONSIST OF:
Shares of beneficial interest $217,504,214 $217,650,435
- ---------------------------------------------------------------------------------------------------------
Undistributed net investment income 850,280 --
- ---------------------------------------------------------------------------------------------------------
Undistributed net realized gain (loss) on sales of investment securities
and foreign currencies (24,210,859) (20,494,656)
- ---------------------------------------------------------------------------------------------------------
Unrealized appreciation (depreciation) of investment securities and
foreign currencies 18,637,477 (4,072,678)
- ---------------------------------------------------------------------------------------------------------
$212,781,112 $193,083,101
=========================================================================================================
</TABLE>
See Notes to Financial Statements.
12
<PAGE> 15
FINANCIALS
NOTES TO FINANCIAL STATEMENTS
June 30, 1995
(Unaudited)
NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES
AIM Global Utilities Fund (the "Fund") (formerly, "AIM Utilities Fund") is a
series portfolio of AIM Funds Group (the "Trust"). The Trust is a Delaware
business trust registered under the Investment Company Act of 1940, as amended
(the "1940 Act"), as an open-end series management investment company consisting
of nine separate series portfolios, each having an unlimited number of shares of
beneficial interest. The Fund currently offers two different classes of shares:
the Class A shares and the Class B shares. Class A shares are sold with a
front-end sales charge. Class B shares are sold with a contingent deferred sales
charge. Matters affecting each portfolio or class will be voted on exclusively
by the shareholders of such portfolio or class. The assets, liabilities and
operations of each portfolio are accounted for separately. Information presented
in these financial statements pertains only to the Fund. The following is a
summary of significant accounting policies followed by the Fund in the
preparation of its financial statements.
A. Security Valuations - Except as provided in the next sentence, a security
listed or traded on an exchange is valued at its last sales price on the
exchange where the security is principally traded, or lacking any sales on a
particular day, the security is valued at the mean between the closing bid
and asked prices on that day. Exchange listed convertible bonds are valued at
the mean between the closing bid and asked prices obtained from a
broker-dealer. Each security traded in the over-the-counter market (but not
including securities reported on the NASDAQ National Market System) is valued
at the mean between the last bid and asked prices based upon quotes furnished
by market makers for such securities. Each security reported on the NASDAQ
National Market System is valued at the last sales price on the valuation
date. Non-convertible bonds and notes are valued on the basis of prices
provided by an independent pricing service. Prices provided by the pricing
service may be determined without exclusive reliance on quoted prices, and
may reflect appropriate factors such as institution-size trading in similar
groups of securities, developments related to special securities, yield,
quality, coupon rate, maturity, type of issue, individual trading
characteristics and other market data. Securities for which market quotations
are not readily available are valued at fair value as determined in good
faith by or under the supervision of the Trust's officers in a manner
specifically authorized by the Board of Trustees. Short-term obligations
having 60 days or less to maturity are valued at amortized cost which
approximates market value. Generally, trading in foreign securities is
substantially completed each day at various times prior to the close of the
New York Stock Exchange. The values of such securities used in computing the
net asset value of the Fund's shares are determined as of such times. Foreign
currency exchange rates are also generally determined prior to the close of
the New York Stock Exchange. Occasionally, events affecting the values of
such securities and such exchange rates may occur between the times at which
they are determined and the close of the New York Stock Exchange which will
not be reflected in the computation of the Fund's net asset value. If events
materially affecting the value of such securities occur during the period,
then these securities will be valued at their fair value as determined in
good faith by or under the supervision of the Board of Trustees.
B. Securities Transactions, Investment Income and Distributions - Securities
transactions are accounted for on a trade date basis. Realized gains or
losses on sales are computed on the basis of specific identification of the
securities sold. Interest income is recorded as earned from settlement date
and is recorded on the accrual basis. Dividend income is recorded on the
ex-dividend date. It is the policy of the Fund to declare daily dividends
from net investment income. Such dividends are paid monthly. Distributions
from net realized capital gains, if any, are recorded on ex-dividend date and
are paid annually.
C. Foreign Currency Translation - Portfolio securities and other assets and
liabilities denominated in foreign currencies are translated into U.S. dollar
amounts at date of valuation. Purchases and sales of portfolio securities and
income items denominated in foreign currencies are translated into U.S.
dollar amounts on the respective dates of such transactions.
13
<PAGE> 16
FINANCIALS
NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES (continued)
D. Foreign Currency Contracts - A forward currency contract is an obligation to
purchase or sell a specific currency for an agreed-upon price at a future
date. The Fund may enter into a forward contract to attempt to minimize the
risk to the Fund from adverse changes in the relationship between currencies.
The Fund may also enter into a forward contract for the purchase or sale of a
security denominated in a foreign currency in order to "lock in" the U.S.
dollar price of that security. The Fund could be exposed to risk if
counterparties to the contracts are unable to meet the terms of their
contracts or if the value of the foreign currency changes unfavorably.
E. Federal Income Taxes - The Fund intends to comply with the requirements of
the Internal Revenue Code necessary to qualify as a regulated investment
company and, as such, will not be subject to federal income taxes on
otherwise taxable income (including net realized capital gains) which is
distributed to shareholders. Therefore, no provision for federal income taxes
is recorded in the financial statements. The Fund has a capital loss
carryforward of $17,997,616 (which may be carried forward to offset future
taxable capital gains, if any) which expires, if not previously utilized, in
the year 2002.
F. Expenses - Operating expenses directly attributable to a class of shares are
charged to that class' operations. Expenses which are applicable to both
classes, e.g. advisory fees, are allocated between them.
NOTE 2 - ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES
The Trust has entered into a master investment advisory agreement with A I M
Advisors, Inc. ("AIM"). Under the terms of the master investment advisory
agreement, the Fund pays an advisory fee to AIM at an annual rate of 0.60% of
the first $200 million of the Fund's average daily net assets, plus 0.50% of the
Fund's average daily net assets in excess of $200 million to and including $500
million, plus 0.40% of the Fund's average daily net assets in excess of $500
million to and including $1 billion, plus 0.30% of the Fund's average daily net
assets in excess of $1 billion. This agreement requires AIM to reduce its fees
or, if necessary, make payments to the Fund to the extent required to satisfy
any expense limitations imposed by the securities laws or regulations thereunder
of any state in which the Fund's shares are qualified for sale.
The Fund, pursuant to a master administrative services agreement with AIM,
has agreed to reimburse AIM for certain administrative costs incurred in
providing accounting services to the Fund. During the six months ended June
30, 1995, AIM was reimbursed $35,447 for such services.
The Fund, pursuant to a transfer agency and service agreement, has agreed to
pay A I M Fund Services, Inc. ("AFS") a fee for providing transfer agency
services to the Fund. During the six months ended June 30, 1995, AFS was paid
$194,984 for such services.
The Trust has entered into master distribution agreements with A I M
Distributors, Inc. ("AIM Distributors") to serve as the distributor for the
Class A shares and the Class B shares of the Fund. The Trust has adopted Plans
pursuant to Rule 12b-1 under the 1940 Act with respect to the Fund's Class A
shares (the "Class A Plan") and with respect to the Fund's Class B shares (the
"Class B Plan") (collectively, the "Plans"). The Fund, pursuant to the Class A
Plan, pays AIM Distributors compensation at an annual rate of 0.25% of the
average daily net assets attributable to the Class A shares. The Class A Plan is
designed to compensate AIM Distributors for certain promotional and other sales
related costs, and to implement a program which provides periodic payments to
selected dealers and financial institutions who furnish continuing personal
shareholder services to their customers who purchase and own Class A shares of
the Fund. The Fund, pursuant to the Class B Plan, pays AIM Distributors
compensation at an annual rate of 1.00% of the average daily net assets
attributable to the Class B shares. Of this amount, the Fund may pay a service
fee of 0.25% of the average daily net assets of the Class B shares to selected
dealers and financial institutions who furnish continuing personal shareholder
services to their customers who purchase and own Class B shares of the Fund. Any
amounts not paid as a service fee under such Plans would constitute an
asset-based sales charge. The Plans also impose a cap on the total sales
charges, including asset-based sales charges, that may be paid by the respective
classes. During the six months ended June 30, 1995, the Class A shares and the
Class B shares paid AIM Distributors $192,163 and $239,318, respectively, as
compensation under the Plans.
14
<PAGE> 17
FINANCIALS
NOTE 2 - ADVISORY FEES AND OTHER TRANSACTIONS WITH AFFILIATES (continued)
AIM Distributors received commissions of $47,159 from sales of the Class A
shares of the Fund during the six months ended June 30, 1995. Such commissions
are not an expense of the Fund. They are deducted from, and are not included in,
the proceeds from sales of Class A shares. During the six months ended June 30,
1995, AIM Distributors received $107,977 in contingent deferred sales charges
imposed on redemptions of Fund shares. Certain officers and trustees of the
Trust are officers and directors of AIM, AIM Distributors and AFS.
During the six months ended June 30, 1995, the Fund paid legal fees of $3,084
for services rendered by Kramer, Levin, Naftalis, Nessen, Kamin & Frankel as
counsel to the Board of Trustees. A member of that firm is a trustee of the
Trust.
NOTE 3 - TRUSTEES' FEES
Trustees' fees represent remuneration paid or accrued to each trustee who is not
an "interested person" of the Trust. The Trust may invest trustees' fees, if so
elected by a trustee, in mutual fund shares in accordance with a deferred
compensation plan.
NOTE 4 - INVESTMENT SECURITIES
The aggregate amount of investment securities (other than short-term securities)
purchased and sold by the Fund during the six months ended June 30, 1995 was
$124,562,509 and $116,581,751, respectively.
The amount of unrealized appreciation (depreciation) of investment securities on
a tax basis as of June 30, 1995 is as follows:
<TABLE>
<S> <C>
Aggregate unrealized appreciation of investment securities $20,835,766
- ------------------------------------------------------------------------------------------------------------
Aggregate unrealized (depreciation) of investment securities (2,673,583)
- ------------------------------------------------------------------------------------------------------------
Net unrealized appreciation of investment securities $18,162,183
============================================================================================================
</TABLE>
Cost of investments for tax purposes is $196,798,882.
NOTE 5 - SHARE INFORMATION
Changes in shares outstanding during the six months ended June 30, 1995 and the
year ended December 31, 1994 were as follows:
<TABLE>
<CAPTION>
JUNE 30, 1995 DECEMBER 31, 1994
------------------------ -----------------------
SHARES VALUE SHARES VALUE
--------- ---------- -------- ----------
<S> <C> <C> <C> <C>
Sold:
Class A 1,437,212 $17,817,310 4,097,001 $52,451,904
- -------------------------------------------------------------------------------------------------------------
Class B 946,547 11,658,774 2,720,021 34,681,563
- -------------------------------------------------------------------------------------------------------------
Issued as reinvestment of dividends:
Class A 215,484 2,653,865 572,553 7,178,342
- -------------------------------------------------------------------------------------------------------------
Class B 48,895 609,603 99,414 1,232,102
- -------------------------------------------------------------------------------------------------------------
Reacquired:
Class A (2,075,837) (25,627,066) (6,158,134) (78,352,606)
- -------------------------------------------------------------------------------------------------------------
Class B (587,886) (7,258,707) (921,686) (11,475,766)
- -------------------------------------------------------------------------------------------------------------
(15,585) $ (146,221) 409,169 $5,715,539
=============================================================================================================
</TABLE>
15
<PAGE> 18
FINANCIALS
NOTE 6 - FINANCIAL HIGHLIGHTS
Shown below are the condensed financial highlights for a Class A share
outstanding during the six months ended June 30, 1995, each of the years in the
six-year period ended December 31, 1994 and the period January 18, 1988 (date
operations commenced) through December 31, 1988 and for a Class B share
outstanding during the six months ended June 30, 1995, the year ended December
31, 1994 and the period September 1, 1993 (date sales commenced) through
December 31, 1993.
<TABLE>
<CAPTION>
CLASS A SHARES
-----------------------------------------------------------------------------------
DECEMBER 31,
JUNE 30, -----------------------------------------------------------------------
1995 1994 1993 1992(a) 1991 1990 1989
-------- -------- -------- -------- ------- ------- -------
<S> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 11.85 $ 14.09 $ 13.31 $ 13.75 $ 12.45 $ 13.73 $ 10.99
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Income from investment operations:
Net investment income 0.29 0.59 0.60 0.67 0.70 0.66 0.77
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Net gains (losses) on securities
(both realized and unrealized) 1.17 (2.20) 1.02 0.36 2.12 (1.10) 3.06
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Total from investment operations 1.46 (1.61) 1.62 1.03 2.82 (0.44) 3.83
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Less distributions:
Dividends from net investment income (0.24) (0.60) (0.61) (0.68) (0.66) (0.70) (0.69)
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Distributions from net realized
capital gains -- -- (0.23) (0.79) (0.86) (0.14) (0.40)
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Returns of capital -- (0.03) -- -- -- -- --
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Total distributions (0.24) (0.63) (0.84) (1.47) (1.52) (0.84) (1.09)
- ------------------------------------- -------- -------- -------- -------- ------- ------- -------
Net asset value, end of period $ 13.07 $ 11.85 $ 14.09 $ 13.31 $ 13.75 $ 12.45 $ 13.73
==================================== ======== ======== ======== ======== ======= ======= =======
Total return(b) 12.43% (11.57)% 12.32% 7.92% 23.65% (2.98)% 36.11%
==================================== ======== ======== ======== ======== ======= ======= =======
Ratios/supplemental data:
Net assets, end of period (000s
omitted) $160,501 $150,515 $200,016 $111,771 $91,939 $69,541 $58,307
==================================== ======== ======== ======== ======== ======= ======= =======
Ratio of expenses to average net
assets 1.19%(c) 1.18% 1.16% 1.17% 1.23% 1.21%(d) 1.05%(d)
==================================== ======== ======== ======== ======== ======= ======= =======
Ratio of net investment income to
average net assets 4.75%(c) 4.67% 4.21% 4.96% 5.36% 5.21%(e) 6.13%(e)
==================================== ======== ======== ======== ======== ======= ======= =======
Portfolio turnover rate 61% 101% 76% 148% 169% 123% 115%
==================================== ======== ======== ======== ======== ======= ======= =======
<CAPTION>
CLASS B SHARES
-------------------------------
DECEMBER 31,
JUNE 30, -------------------
1988 1995 1994 1993
------- -------- ------- -------
<S> <C> <C> <C> <C>
Net asset value, beginning of period $ 10.00 $ 11.84 $ 14.08 $ 15.30
- ------------------------------------- ------- -------- ------- -------
Income from investment operations:
Net investment income 0.82 0.24 0.47 0.17
- ------------------------------------- ------- -------- ------- -------
Net gains (losses) on securities
(both realized and unrealized) 0.83 1.17 (2.19) (0.98)
- ------------------------------------- ------- -------- ------- -------
Total from investment operations 1.65 1.41 (1.72) (0.81)
- ------------------------------------- ------- -------- ------- -------
Less distributions:
Dividends from net investment income (0.66) (0.19) (0.49) (0.17)
- ------------------------------------- ------- -------- ------- -------
Distributions from net realized
capital gains -- -- -- (0.24)
- ------------------------------------- ------- -------- ------- -------
Returns of capital -- -- (0.03) --
- ------------------------------------- ------- -------- ------- -------
Total distributions (0.66) (0.19) (0.52) (0.41)
- ------------------------------------- ------- -------- ------- -------
Net asset value, end of period $ 10.99 $ 13.06 $ 11.84 $ 14.08
===================================== ======= ======= ======= =======
Total return(b) 17.03% 11.96% (12.35)% (5.32)%
===================================== ======= ======= ======= =======
Ratios/supplemental data:
Net assets, end of period (000s
omitted) $20,104 $52,280 $42,568 $23,892
===================================== ======= ======= ======= =======
Ratio of expenses to average net
assets 1.22%(d)(f) 2.07%(c) 2.07% 1.99%(f)
===================================== ======= ======= ======= =======
Ratio of net investment income to
average net assets 7.63%(e)(f) 3.87%(c) 3.78% 3.38%(f)
===================================== ======= ======= ======= =======
Portfolio turnover rate 87% 61% 101% 76%
===================================== ======= ======= ======= =======
</TABLE>
(a) The Fund changed investment advisors on June 30, 1992.
(b) Total returns do not deduct sales charges and for periods less than one year
are not annualized.
(c) Ratios for Class A are annualized and based on average daily net assets of
$155,004,242. Ratios for Class B are annualized and based on average daily
net assets of $48,260,158.
(d) Ratios of expenses to average net assets prior to reduction of advisory fees
were 1.22%, 1.11% and 1.69% (annualized) for 1990-88, respectively.
(e) Ratios of net investment income to average net assets prior to reduction of
advisory fees were 5.20%, 6.07% and 7.16% (annualized) for 1990-88,
respectively.
(f) Annualized.
16
<PAGE> 19
TRUSTEES & OFFICERS
<TABLE>
<S> <C> <C>
BOARD OF TRUSTEES OFFICERS OFFICE OF THE FUND
11 Greenway Plaza
Charles T. Bauer Charles T. Bauer Suite 1919
Chairman and Chief Executive Officer Chairman Houston, TX 77046
A I M Management Group Inc.
Robert H. Graham
Bruce L. Crockett President INVESTMENT ADVISOR
Director, President, and
Chief Executive Officer John J. Arthur A I M Advisors, Inc.
COMSAT Corporation Senior Vice President and Treasurer 11 Greenway Plaza
Suite 1919
Owen Daly II Gary T. Crum Houston, TX 77046
Director Senior Vice President
Cortland Trust Inc.
Carol F. Relihan TRANSFER AGENT
Carl Frischling Vice President and Secretary
Partner A I M Fund Services, Inc.
Kramer, Levin, Naftalis, Nessen, Dana R. Sutton P.O. Box 4739
Kamin & Frankel Vice President Houston, TX 77210-4739
and Assistant Treasurer
Robert H. Graham
President Robert G. Alley CUSTODIAN
A I M Management Group Inc. Vice President
State Street Bank and Trust Company
John F. Kroeger Stuart W. Coco 225 Franklin Street
Formerly, Consultant Vice President Boston, MA 02110
Wendell & Stockel Associates, Inc.
Melville B. Cox
Lewis F. Pennock Vice President COUNSEL TO THE FUND
Attorney
Karen Dunn Kelley Ballard Spahr
Ian W. Robinson Vice President Andrews & Ingersoll
Consultant; Former Executive 1735 Market Street
Vice President and Jonathan C. Schoolar Philadelphia, PA 19103
Chief Financial Officer Vice President
Bell Atlantic Management
Services, Inc. P. Michelle Grace COUNSEL TO THE TRUSTEES
Assistant Secretary
Louis S. Sklar Kramer, Levin, Naftalis,
Executive Vice President Nancy L. Martin Nessen, Kamin & Frankel
Hines Interests Assistant Secretary 919 Third Avenue
Limited Partnership New York, NY 10022
Ofelia M. Mayo
Assistant Secretary
DISTRIBUTOR
Kathleen J. Pflueger
Assistant Secretary A I M Distributors, Inc.
11 Greenway Plaza
Samuel D. Sirko Suite 1919
Assistant Secretary Houston, TX 77046
Stephen I. Winer
Assistant Secretary
Mary J. Benson
Assistant Treasurer
</TABLE>
This report may be distributed only to current shareholders or to persons
who have received a current Fund prospectus.
17
<PAGE> 20
A I M Distributors, Inc. ---------------
[AIM LOGO 11 Greenway Plaza, Suite 1919 BULK RATE
APPEARS HERE] Houston, Texas 77046 U.S. POSTAGE
PAID
Houston, TX
THE AIM FAMILY OF FUNDS(R) Permit No. 2332
---------------
AGGRESSIVE GROWTH
AIM Aggressive Growth Fund*
AIM Constellation Fund
AIM Global Aggressive Growth Fund
GROWTH
AIM Global Growth Fund
AIM Growth Fund
AIM International Equity Fund
AIM Value Fund
AIM Weingarten Fund
GROWTH AND INCOME
AIM Balanced Fund
AIM Charter Fund
INCOME AND GROWTH [FULL PAGE PHOTO OF
AIM Global Utilities Fund** AIM MANAGEMENT GROUP
HIGH CURRENT INCOME OFFICE BUILDING]
AIM High Yield Fund
CURRENT INCOME
AIM Global Income Fund
AIM Income Fund
CURRENT TAX-FREE INCOME
AIM Municipal Bond Fund
AIM Tax-Exempt Bond Fund of Conn.
AIM Tax-Free Intermediate Shares
CURRENT INCOME AND HIGH DEGREE OF SAFETY
AIM Government Securities Fund
HIGH DEGREE OF SAFETY AND CURRENT INCOME
AIM Limited Maturity Treasury Shares
STABILITY, LIQUIDITY, AND CURRENT INCOME
AIM Money Market Fund
STABILITY, LIQUIDITY, AND CURRENT TAX-FREE INCOME
AIM Tax-Exempt Cash Fund
*AIM Aggressive Growth Fund was closed to new investors on
July 18, 1994. **On May 1, 1995, AIM Utilities Fund broadened its investment
strategy to permit up to 80% of its total assets to be invested in foreign
securities, and was renamed AIM Global Utilities Fund. For more complete
information about any AIM Fund, including sales charges and expenses, ask your
financial consultant or securities dealer for a free prospectus(es). Please
read the prospectus(es) carefully before you invest or send money.
