FEDERATED MUNICIPAL SECURITIES FUND INC, N-30D, 2000-05-26

FEDERATED MUNICIPAL SECURITIES FUND INC
N-30D, 2000-05-26
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<P>

<B>Federated Investors</B><BR>World-Class Investment Manager </P>
<P>

</P>

<H5>

</H5>
<P>

<B>J. Christopher Donahue</B></P>
<P>

President</P>
<P>

Federated Municipal Securities Fund, Inc.</P>
<H2>

President's Message</H2>
<P>

Dear Shareholder:</P>
<P>

Federated Municipal Securities Fund, Inc. was created in 1976, and I am pleased to
present its 23rd Annual Report. The fund has net assets of more than $554 million.
More than 82% of the fund's assets are invested in municipal bonds rated A or better,
11.2% are invested in BBB-rated bonds, and 7.3% are invested in non-rated bonds. The
fund holds over 120 issues, each of which provides tax-free income to
shareholders.<SUP>1</SUP></P>
<P>

This report covers the 12-month reporting period from April 1, 1999 through March 31,
2000. It begins with a review by J. Scott Albrecht, Vice President, who co-manages
the fund with Mary Jo Ochson, Senior Vice President, both of Federated Investment
Management Company. Following their discussion covering the fund's performance and
investment strategy are three additional items of shareholder interest. First is a
series of graphs showing the fund's long-term investment performance. Second is a
complete listing of the fund's municipal bond holdings. Third is the publication of
the fund's financial statements.</P>
<P>

During the fund's fiscal year ended March 31, 2000, the overall bond market was weak
from a total return perspective as rising interest rates caused all bond prices to
decline. While municipal bond prices also suffered from this trend, municipal bonds
continued to offer historically high yields compared to the yields available on
Treasury securities. As a result, the fund produced a very competitive stream of
tax-free income, with a 30-day SEC yield of 4.59% on March 31, 2000 for Class A
Shares, based on offering price.<SUP>2</SUP> This translates into the equivalent of
taxable yields of 6.65%, 7.17% and 7.60% to investors in the 31%, 36% and 39.6%
federal tax</P>
<P>

1     Income may be subject to the federal alternative minimum tax, and state and
local taxes.</P>
<P>

2     The Fund's 30-day SEC yields as of March 31, 2000 for Class B and C Shares were
3.93% and 3.94%, based on offering price, respectively (i.e., less any applicable
sales charge). </P>
<P>

brackets, respectively.<SUP>3</SUP> Individual share class total return performance
for the 12-month reporting period, including income distributions and capital gains,
follows.<SUP>4</SUP></P>
<P>

</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
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<P ALIGN=CENTER><B> </B></P>
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   </P>
</TD>
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<P>

<P ALIGN=CENTER><B>Total Return</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
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<P>

<P ALIGN=CENTER><B>Income<BR>
Distributions</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Capital Gains<BR>
Distributions</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Net Asset Value Change</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class A Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
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<P>

(4.01%)</P>
</TD>
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<P>

 </P>
</TD>
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<P>

$0.50</P>
</TD>
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<P>

 </P>
</TD>
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<P>

$0.03</P>
</TD>
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<P>

</P>
</TD>
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<P>

$10.87 to $9.90 = (8.92%)</P>
</TD>
</TR>
<TR>
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<P>

Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
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<P>

(4.85%)</P>
</TD>
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<P>

 </P>
</TD>
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<P>

$0.41</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

$0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

$10.87 to $9.90 = (8.92%)</P>
</TD>
</TR>
<TR>
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<P>

Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
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<P>

(4.85%)</P>
</TD>
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 </P>
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<P>

$0.41</P>
</TD>
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<P>

 </P>
</TD>
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<P>

$0.03</P>
</TD>
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<P>

</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

$10.87 to $9.90 = (8.92%)</P>
</TD>
</TR>
</TABLE>
<P>

Thank you for selecting Federated Municipal Securities Fund, Inc. as a convenient,
diversified way to earn tax-free income. Of course, you have the option of receiving
income from the fund or building your account by reinvesting your monthly dividends
and compounding tax-free.</P>
<P>

Sincerely yours,</P>
<P>

 <B>John Christopher Donahue</B></P>
<P>

J. Christopher Donahue<BR>
President<BR>
May 15, 2000</P>
<P>

3     The taxable equivalents for investors in the 31%, 36% and 39.6% federal tax
brackets are: Class B Shares [5.70%, 6.14% and 6.51%]; and Class C Shares [5.71%,
6.16% and 6.52%].</P>
<P>

4     Performance quoted is based on net asset value, represents past performance,
and is no guarantee of future results. 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. Total returns for the 12-month reporting period based on
offering price (i.e., less any applicable sales charge), for Class A, B and C Shares
were (8.31%), (9.86%) and (5.76%), respectively.</P>


<H5>

</H5>
<P>

<B>J. Scott Albrecht</B></P>
<P>

Vice President</P>
<P>

Federated Investment Management Company</P>


<H5>

</H5>
<P>

<B>Mary Jo Ochson</B></P>
<P>

Senior Vice President</P>
<P>

Federated Investment Management Company</P>
<H2>

Investment Review</H2>
<H3>

How would you describe the market environment for municipal bonds over the fiscal
year ended March 31, 2000?</H3>
<P>

Municipal bond market yields continued to follow the rising trend in general interest
rates over the reporting period, as a result of concern over accelerating real
economic growth, valuations in the stock market and potential Federal Reserve Board
policy changes. Over the reporting period, cash flows in municipal bond funds
throughout the industry continued to be net negative, as investors used tax-loss
selling in their bond funds to offset capital gains in the equity portion of their
investment portfolios. The municipal market experienced a significant shift in supply
and demand relationships with a lighter new issuance calendar (a decline of 32% over
last year) and a lack of institutional demand from mutual funds, insurance companies,
and arbitrageurs. This technical situation, which existed for most of the fund's
fiscal year, kept municipal and Treasury yield ratios within a historically cheap
range. Yields increased across the municipal yield curve over the 12-month reporting
period ended March 31, 2000. Yields increased by 69 basis points to 5.02% in the
10-year area of the AAA-rated general obligation municipal yield curve and by 63
basis points to 5.69% for 30-year maturities.</P>
<H3>

How did Federated Municipal Securities Fund, Inc. perform with respect to total
return for the fiscal year ended March 31, 2000?</H3>
<P>

The fund's Class A, B and C Shares returned (4.01%), (4.85%) and (4.85%), based on
net asset value, respectively, for the fiscal year ended March 31, 2000.<SUP>1</SUP>
The fund lagged the Lipper General Municipal Fund Average 1-year total return of
(2.40%).<SUP>2</SUP></P>
<P>

The fund continued to have very competitive income performance. As of March 31, 2000,
Class A Shares had a 30-day SEC yield of 4.59% based on offering price.<SUP>3</SUP>
The performance is even more impressive on a tax-equivalent basis--yields range from
6.65% for an investor in the 31% bracket to 7.60% for an investor in the 39.6%
bracket.</P>
<P>

In general, the total return performance for municipal bond funds was negatively
impacted by the general increase in interest rates. Credit spread widening in the
health sector impacted those municipal bond funds with exposure to hospitals and
continuing care retirement centers. Individual bond structure also impacted
performance, with many bonds that were premium, callable bonds at the beginning of
the year becoming discount bonds, and then market discount bonds, increasing their
duration in a rising interest rate environment.</P>
<H3>

What strategies are you employing to take advantage of the current market
environment?</H3>
<P>

The fund attempts to emphasize the tax-exempt income. The strategy over the reporting
period involved taking advantage of rising interest rates by swapping into securities
with higher book yields but similar structural characteristics, i.e., duration,
maturity, call protection and credit quality. Portfolio duration was managed by
adjusting cash positions and using a futures hedging strategy which utilizes the
municipal futures contract. The strategy involved continuously swapping into
securities with higher book yields within a rising interest rate environment, while
managing portfolio duration within highly defined parameters.</P>
<P>

We continued to concentrate the fund's security selection on credit quality. Credit
spreads remained narrow by historical standards, providing little incentive to buy
lower-quality paper. We continuously looked for securities with favorable liquidity
characteristics and structural features. Call protection and coupon selection are
important determinants of how a bond will perform as interest rates vary. The
municipal yield curve continues to offer the best "roll down" value in the
15 year range. The value of this "roll down the curve" effect, combined
with the municipal yield curve's flatness beyond the 20 year sector, has forced us to
concentrate purchases in the 15 to 20 year area.</P>
<P>

1     Past performance is no guarantee of future results. 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. Total returns for the period, based on
offering price (i.e., less any applicable sales charge), for Class A, B and C Shares
were (8.31%), (9.86%) and (5.76%), respectively.</P>
<P>

2     Lipper figures represent the average of the total returns reported by all of
the mutual funds designated by Lipper Analytical Services, Inc. as falling into the
category indicated. These figures do not reflect sales charges.</P>
<P>

3     The 30-day SEC yields as of March 31, 2000 for Class B and C Shares were 3.93%
and 3.94%, based on offering price, respectively.</P>
<H3>

How were the fund's assets allocated on March 31, 2000 in terms of credit
quality?</H3>
<P>

The fund had an average portfolio quality rating equivalent to AA. The allocation is
as follows:</P>
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<P ALIGN=LEFT><B> </B></P>
</TD>
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<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Percentage of<BR>
Net Assets</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

43.2%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

26.0%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

A</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

13.1%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

BBB</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

11.2%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Non-Rated</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  7.3%</P>
</TD>
</TR>
</TABLE>
<H3>

What were the fund's top five holdings as of March 31, 2000?</H3>
<P>

The top five holdings were as follows:</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
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<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Issuer/Coupon/Maturity</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Percentage of<BR>
Net Assets</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Indianapolis, IN Airport Authority-FDX Corp., Special Facilities Revenue Bonds,
7.100% due 01/15/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  3.57%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Salt Lake City, UT Hospital Authority-IHC Hospital 8.125% due 05/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  2.97%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Springfield, TN Health & Educational Facilities Board-NorthCrest Medical Center,
Hospital Revenue Bonds 8.500% due 04/01/2024</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  2.81%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Dallas-Fort Worth, TX International Airport Facilities-American Airlines Inc.,
Revenue Bonds 7.250% due 11/01/2030</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  2.36%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Illinois Health Facilities Authority-Edgewater Hospital & Medical Center, IL,
Hospital Revenue Bonds (Series A) 9.250% due 07/01/2024</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  2.34%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

14.05%</P>
</TD>
</TR>
</TABLE>
<H3>

What is your outlook for the municipal bond market in the year 2000?</H3>
<P>

Municipal credit quality in general has benefited from the strong U.S. economy.
Municipal tax receipts at all levels of government have exceeded forecasts, which has
allowed municipal fund balances and reserves to expand. There are sectors of the
municipal revenue bond market that have experienced credit weakness. For example, the
hospital sector, in particular, has experienced credit downgrades as a result of the
reductions in Medicare reimbursement by the federal government and overly ambitious
expansion plans.</P>
<P>

We are currently focusing on sectors of the market that include state and local
general obligations, infrastructure financings, and high quality industrial
development and pollution control bonds.</P>
<P>

Concerning supply, the total issuance of long-term municipal bonds is expected to be
in the $200 to $230 billion range during the year 2000. The amount of outstanding
municipal debt is expected to grow by approximately $80 billion while the stock of
Treasury debt is falling. This should bias the municipal and Treasury yield ratio
upward. Relative performance of the municipal market should improve as most of the
damage of higher municipal ratios and rising interest rates should have been absorbed
in the fiscal year 1999. Liquidity should continue to be an issue for the municipal
market due to a lack of Wall Street analytical resources and reduced institutional
demand from arbitrageur and cross-over buyers. Liquidity in the municipal market will
also continue to be impacted by the significant amount of bonds in the secondary
market with poor structural characteristics (market discounts) that currently have
limited appeal for investors.</P>
<H2>

Two Ways You May Seek to Invest for Success:</H2>
<H3>

INITIAL INVESTMENT</H3>
<P>

<B>If you had made an initial investment of $24,000 in the Class A Shares of
Federated Municipal Securities Fund, Inc. on 10/4/76, reinvested your dividends and
capital gains, and did not redeem any shares, your account would have been worth
$90,487 on 3/31/00. You would have earned a 5.81%<SUP>1</SUP> average annual total
return for the investment life span.</B></P>
<P>

One key to investing wisely is to reinvest all distributions in fund shares. This
increases the number of shares on which you can earn future dividends, and you gain
the benefit of compounding.</P>
<P>

As of 3/31/00, the Class A Shares' average annual 1-year, 5-year, and 10-year total
returns were (8.31%), 2.71%, and 5.16%, respectively. Class B Shares' average annual
1-year, 5-year and since inception (7/26/94) total returns were (9.86%), 2.42% and
2.89%, respectively. Class C Shares' average annual 1-year, 5-year, and since
inception (4/21/93) total returns were (5.76%), 2.76%, and 2.71%,
respectively.<SUP>2</SUP></P>
<P>

 [Graphic Representation Omitted - See Appendix]</P>
<P>

1     Total return represents the change in the value of an investment after
reinvesting all income and capital gains, and takes into account the 4.50% sales
charge applicable to an initial investment in Class A Shares. Data quoted represents
past performance and is no guarantee future results. 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.</P>
<P>

2     The total returns stated take into account all applicable sales charges. The
maximum sales charges and contingent deferred sales charges for the fund are as
follows: Class A Shares, 4.50% sales charge; Class B Shares, 5.50% contingent
deferred sales charge; Class C Shares, 1.00% contingent deferred sales charge.</P>
<H2>

</H2>
<H3>

ONE STEP AT A TIME:</H3>
<P>

<B>$1,000 initial investment and subsequent investments of $1,000 each year for 23
years (reinvesting all dividends and capital gains) would have grown to
$54,680.</B></P>
<P>

With this approach, the key is consistency.</P>
<P>

If you had started investing $1,000 annually in the Class A Shares of Federated
Municipal Securities Fund, Inc. on 10/4/76, reinvested your dividends and capital
gains, and did not redeem any shares, you would have invested only $24,000, but your
account would have reach a total value of $54,680<SUP>1</SUP> by 3/31/00. You would
have earned an average annual total return of 6.35%.</P>
<P>

A practical investment plan helps you pursue a high level of income through tax-free
municipal bonds. Through systematic investing, you buy shares on a regular basis and
reinvest all earnings. An investment plan can work for you when you invest only
$1,000 annually. You can take it one step at a time. Put time, money, and compounding
to work.</P>
<P>

 [Graphic Representation Omitted - See Appendix]</P>
<P>

1     This chart assumes that the subsequent annual investments are made on the last
day of each anniversary month. No method of investing can guarantee a profit or
protect against loss in down markets.</P>
<H2>

Hypothetical Investors Profile--Investing for Tax-Free Income</H2>
<P>

Larry and Barbara Bartlett are a fictional couple who, like all other tax-sensitive
shareholders, want to keep more of what they earn.</P>
<P>

Larry owns a successful architectural firm and Barbara is a marketing executive.
Their combined income puts them in the 39.6% federal tax bracket. On March 31, 1989,
the Bartletts invested $26,000 in the Class A Shares of Federated Municipal
Securities Fund, Inc.</P>
<P>

As this chart shows, in 11 years, their original $26,000 investment has grown to
$46,851. This represents a 6.52% average annual total return. As far as the Bartletts
are concerned, this fund has made all the difference.<SUP>1</SUP></P>
<P>

 [Graphic Representation Omitted - See Appendix]</P>
<P>

1     Income may be subject to the federal alternative minimum tax, and state and
local taxes.</P>
<P>

      This hypothetical scenario is provided for illustrative purposes only and does
not represent the results obtained by any particular shareholder. Past performance is
no guarantee of future results.</P>
<H2>

Federated Municipal Securities Fund, Inc.--Class A Shares</H2>
<H3>

GROWTH OF $10,000 INVESTMENT</H3>
<P>

The graph below illustrates the hypothetical investment of $10,000<SUP>1</SUP> in
Federated Municipal Securities Fund, Inc. (Class A Shares) (the "Fund")
from March 31, 1990 to March 31, 2000 compared to the Lehman Brothers Municipal Bond
Index (LBMBI),<SUP>2</SUP> and the Lipper General Municipal Funds Average
(LGMFA).<SUP>3</SUP></P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="3">
<P>

<P ALIGN=LEFT><B>Average Annual Total Return<SUP>4</SUP> as of March 31, 2000</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

1 Year</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

(8.31%)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

5 Years</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 2.71%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

10 Years</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 5.16%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Start of Performance (10/4/76)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 5.81%</P>
</TD>
</TR>
</TABLE>
<P>

</P>
<P>

 [Graphic Representation Omitted - See Appendix]</P>
<P>

<B>Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate, so when shares are redeemed, they may be worth more
or less than their original cost. Mutual funds are not obligations of or guaranteed
by any bank and are not federally insured.</B></P>
<P>

1     Represents a hypothetical investment of $10,000 in the Fund after deducting the
maximum sales charge of 4.50% ($10,000 investment minus $450 sales charge = $9,550).
The Fund's performance assumes the reinvestment of all dividends and distributions.
The LBMBI and LGMFA have been adjusted to reflect reinvestment of dividends on
securities in the index and average.</P>
<P>

2     The LBMBI is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the Fund's
performance. The index is unmanaged.</P>
<P>

3     The LGMFA represents the average of the total returns reported by all of the
mutual funds designated by Lipper Analytical Services, Inc. as falling in the
category indicated, and is not adjusted to reflect any sales charges. However, these
total returns are reported net of expenses or other fees that the Securities and
Exchange Commission requires to be reflected in a fund's performance.</P>
<P>

4     Total return quoted reflects all applicable sales charges.</P>
<H2>

Federated Municipal Securities Fund, Inc.--Class B Shares</H2>
<H3>

GROWTH OF $10,000 INVESTMENT</H3>
<P>

The graph below illustrates the hypothetical investment of $10,000<SUP>1</SUP> in
Federated Municipal Securities Fund, Inc. (Class B Shares) (the "Fund")
from July 26, 1994 (start of performance) to March 31, 2000 compared to the Lehman
Brothers Municipal Bond Index (LBMBI),<SUP>2</SUP> and the Lipper General Municipal
Funds Average (LGMFA).<SUP>3</SUP></P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="3">
<P>

<P ALIGN=LEFT><B>Average Annual Total Return<SUP>4</SUP> as of March 31, 2000</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

1 Year</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

(9.86%)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

5 Years</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 2.42%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Start of Performance (7/26/94)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 2.89%</P>
</TD>
</TR>
</TABLE>
<P>

</P>
<P>

 [Graphic Representation Omitted - See Appendix]</P>
<P>

<B>Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate, so when shares are redeemed, they may be worth more
or less than their original cost. Mutual funds are not obligations of or guaranteed
by any bank and are not federally insured.</B></P>
<P>

1     Represents a hypothetical investment of $10,000 in the Fund. The ending value
of the Fund reflects a 1.00% contingent deferred sales charge on any redemption less
than six years from the purchase date. The maximum contingent deferred sales charge
is 5.50% on any redemption less than one year from the purchase date. The Fund's
performance assumes the reinvestment of all dividends and distributions. The LBMBI
and LGMFA have been adjusted to reflect reinvestment of dividends on securities in
the index and average.</P>
<P>

2     The LBMBI is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the Fund's
performance. The index is unmanaged.</P>
<P>

3     The LGMFA represents the average of the total returns reported by all of the
mutual funds designated by Lipper Analytical Services, Inc. as falling in the
category indicated, and is not adjusted to reflect any sales charges. However, these
total returns are reported net of expenses or other fees that the Securities and
Exchange Commission requires to be reflected in a fund's performance.</P>
<P>

4     Total return quoted reflects all applicable sales charges and contingent
deferred sales charges.</P>
<H2>

Federated Municipal Securities Fund, Inc.--Class C Shares</H2>
<H3>

GROWTH OF $10,000 INVESTMENT</H3>
<P>

The graph below illustrates the hypothetical investment of $10,000<SUP>1</SUP> in
Federated Municipal Securities Fund, Inc. (Class C Shares) (the "Fund")
from April 21, 1993 (start of performance) to March 31, 2000 compared to the Lehman
Brothers Municipal Bond Index (LBMBI),<SUP>2</SUP> and the Lipper General Municipal
Funds Average (LGMFA).<SUP>3</SUP></P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="3">
<P>

<P ALIGN=LEFT><B>Average Annual Total Return<SUP>4</SUP> as of March 31, 2000</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

1 Year</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

(5.76%)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

5 Years</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 2.76%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Start of Performance (4/21/93)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 2.71%</P>
</TD>
</TR>
</TABLE>
<P>

</P>
<P>

 [Graphic Representation Omitted - See Appendix]</P>
<P>

<B>Past performance is no guarantee of future results. Your investment return and
principal value will fluctuate, so when shares are redeemed, they may be worth more
or less than their original cost. Mutual funds are not obligations of or guaranteed
by any bank and are not federally insured.</B></P>
<P>

1     Represents a hypothetical investment of $10,000 in the Fund. A maximum 1.00%
contingent deferred sales charge would be applied on any redemption less than one
year from the purchase date. The Fund's performance assumes the reinvestment of all
dividends and distributions. The LBMBI and LGMFA have been adjusted to reflect
reinvestment of dividends on securities in the index and average.</P>
<P>

2     The LBMBI is not adjusted to reflect sales charges, expenses, or other fees
that the Securities and Exchange Commission requires to be reflected in the Fund's
performance. The index is unmanaged.</P>
<P>

3     The LGMFA represents the average of the total returns reported by all of the
mutual funds designated by Lipper Analytical Services, Inc. as falling in the
category indicated, and is not adjusted to reflect any sales charges. However, these
total returns are reported net of expenses or other fees that the Securities and
Exchange Commission requires to be reflected in a fund's performance.</P>
<P>

4     Total return quoted reflects all applicable sales charges and contingent
deferred sales charges.</P>
<H2>

Portfolio of Investments</H2>
<P>

MARCH 31, 2000</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--97.7%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>California--5.4%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>9,400,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

California PCFA, Refunding Revenue Bonds, Series A, 5.90% (San Diego Gas &
Electric)/ (Original Issue Yield: 5.934%), 6/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>9,941,722</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

California State Public Works Board, Lease Revenue Refunding Bonds, Series A, 5.25%
(Trustees of the California State University), 10/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,893,700</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,495,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

California Statewide Communities Development Authority, Certificates of
Participation, 6.00% (Sutter Health), 8/15/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,602,864</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,930,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

California Statewide Communities Development Authority, Certificates of
Participation, 6.00% (Sutter Health), 8/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,037,385</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Foothill/Eastern Transportation Corridor Agency, CA, Toll Road Refunding Revenue
Bonds, Series 1999, 5.25%, 1/15/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,525,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Foothill/Eastern Transportation Corridor Agency, CA, Toll Road Refunding Revenue
Bonds, Series 1999, 5.375%, 1/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,023,960</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,590,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Los Angeles, CA Department of Water & Power, Electric Plant Revenue Bonds, 5.90%,
2/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,696,213</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>29,720,844</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Colorado--3.1%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,580,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Denver (City & County), CO, Excise Tax Revenue Refunding Bonds, Series 1999A,
5.50% (FSA INS), 9/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,636,349</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,650,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Denver (City & County), CO, Excise Tax Revenue Refunding Bonds, Series 1999A,
5.50% (FSA INS), 9/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,715,369</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Jefferson County, CO School District No. R-001, Refunding UT GO Bonds, 6.50%,
12/15/2011</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,713,280</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>17,064,998</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Connecticut--1.5%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Connecticut State, UT GO Bonds, Series 1999A, 5.25%, 6/15/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,043,900</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

University of Connecticut, UT GO Bonds, Series 2000A, 5.25% (Connecticut State),
3/1/2011</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,053,520</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>8,097,420</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>District of Columbia--2.0%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>8,275,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

District of Columbia Hospital Authority, Revenue Refunding Bonds, Series A, 7.125%
(Medlantic Healthcare Group)/(Original Issue Yield: 7.30%), 8/15/2019</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A3</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>8,828,184</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

District of Columbia Hospital Authority, Revenue Refunding Bonds, Series B, 7.00%
(Medlantic Healthcare Group)/(Original Issue Yield: 7.282%), 8/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A3</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,140,520</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,968,704</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Florida--6.2%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,335,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Florida State Board of Education Administration, UT GO Capital Outlay Bonds, 9.125%
(Florida State)/(Original Issue Yield: 9.173%), 6/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,785,144</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>665,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Florida State Board of Education Administration, UT GO Capital Outlay Bonds, 9.125%
(Florida State)/(United States Treasury COL)/(Original Issue Yield: 9.173%),
6/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>878,392</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,070,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Florida State Board of Education Lottery, Revenue Bonds, Series 2000A, 5.75%,
7/1/2010</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,403,729</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,635,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Florida State Department of Transportation, Right of Way Acquisition & Bridge
Construction Bonds, Series 1997A, 5.00% (Original Issue Yield: 5.10%), 7/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,382,538</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Florida State, UT GO Bonds, Broward County Expressway Authority, 10.00% (Original
Issue Yield: 10.105%), 7/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,247,010</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Miami-Dade County, FL, Expressway Authority, Toll System Revenue Bonds, 6.00%,
7/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,066,080</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Miami-Dade County, FL, School District, Refunding, UT GO Bonds, 5.375%, 8/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,062,220</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,135,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Orange County, FL, Health Facilities Authority, Hospital Revenue Bonds, Series 1999D,
5.75% (Orlando Regional Healthcare System)/(MBIA INS), 10/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,341,075</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>34,166,188</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Georgia--0.5%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Savannah, GA EDA, Revenue Bonds, 6.80% (Savannah College of Art and Design, Inc.),
10/1/2019</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,516,450</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Hawaii--1.7%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>10,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Hawaii State Department of Budget & Finance, Special Purpose Revenue Refunding
Bonds, Series A, 4.95% (Hawaiian Electric Company, Inc.)/(MBIA INS), 4/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>9,682,700</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Illinois--5.4%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,250,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Chicago, IL, Refunding UT GO Bonds, Series 1996A-2, 6.125%, 1/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,484,910</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>8,295,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Cook County, IL, Refunding GO Bonds, Series 1997A, 6.25%, 11/15/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>9,005,799</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Illinois Development Finance Authority, Housing Revenue Bonds, 6.10% (Catholic
Charities Housing Development Corp.), 1/1/2020</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,576,500</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>11,160,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Illinois Health Facilities Authority, Hospital Revenue Bonds, Series A, 9.25%
(Edgewater Hospital & Medical Center, IL)/(United States Treasury COL),
7/1/2024</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>Aaa</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>12,962,898</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>30,030,107</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Indiana--5.0%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,200,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Indiana Health Facility Financing Authority, Hospital Revenue Bonds, 6.625% (Floyd
Memorial Hospital, IN)/(Original Issue Yield: 6.902%), 2/15/2022</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,500,204</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Indiana Health Facilty Financing Authority, Hospital Revenue Refunding Bonds, 5.25%
(Floyd Memorial Hospital, IN)/(Original Issue Yield: 5.50%), 2/15/2022</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,696,760</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>19,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Indianapolis, IN Airport Authority, Special Facilities Revenue Bonds, 7.10% (FDX
Corp.)/ (Original Issue Yield: 7.178%), 1/15/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>19,756,770</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>27,953,734</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Kansas--0.8%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,060,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Kansas Development Finance Authority, Water Pollution Control Revolving Fund Revenue
Bonds, Series II, 6.00%, 11/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,299,540</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Louisiana--3.7%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

De Soto Parish, LA, Environmental Improvement Authority, Revenue Bonds, 7.70%
(International Paper Co.), 11/1/2018</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A3</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,503,340</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,550,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

St. Charles Parish, LA, Solid Waste Disposal Revenue Bonds, Series A, 7.00%
(Louisiana Power & Light Co.)/(Original Issue Yield: 7.04%), 12/1/2022</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,655,187</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>10,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

St. James Parish, LA, Solid Waste Disposal Revenue Bonds, 7.70% (Freeport McMoRan,
Inc.)/(Original Issue Yield: 7.75%), 10/1/2022</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,386,600</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>20,545,127</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Maryland--1.8%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Maryland State, UT GO Bonds, 2nd Series, 5.25% (Original Issue Yield: 5.55%),
6/15/2011</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,072,600</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Prince Georges County, MD, Consolidated Public Improvement UT GO Bonds, 5.50%,
10/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,135,150</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,207,750</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Massachusetts--2.6%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,965,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Boston, MA, UT GO, Series 2000A, 5.75%, 2/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,051,067</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Massachusetts Port Authority, PFC Revenue Bonds Series 1999A, 5.125% (Original Issue
Yield: 5.25%), 7/1/2016</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,857,290</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Massachusetts Port Authority, PFC Revenue Bonds, Series 1999A, 5.125% (Original Issue
Yield: 5.29%), 7/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,836,110</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,035,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Worcester, MA, LT GO Bonds, Series A, 5.75% (FSA INS), 4/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,161,984</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,120,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Worcester, MA, LT GO Bonds, Series A, 5.75% (FSA INS), 4/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,230,885</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>14,137,336</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Minnesota--3.6%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Northern Municipal Power Agency, MN, Electric System Revenue Bonds, 5.40% (Original
Issue Yield: 5.52%), 1/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,976,950</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,695,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

St. Paul, MN Housing & Redevelopment Authority, Hospital Revenue Refunding Bonds,
Series A, 6.625% (Healtheast, MN)/(Original Issue Yield: 6.687%), 11/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,315,450</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

St. Paul, MN Housing & Redevelopment Authority, Revenue Bonds, Series 1997A,
5.70% (Healtheast, MN)/(Original Issue Yield: 5.756%), 11/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>818,640</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

University of Minnesota, Revenue Bonds, Series A, 5.75%, 7/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,148,980</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

University of Minnesota, Revenue Bonds, Series A, 5.75%, 7/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,125,340</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,200,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

University of Minnesota, Revenue Bonds, Series A, 5.75%, 7/1/2016</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,364,220</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>19,749,580</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Missouri--1.9%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>855,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Kansas City, MO, IDA, Multifamily Housing Revenue Bonds, 6.70% (Woodbridge Apartments
Project), 8/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>816,345</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>8,010,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Kansas City, MO, UT GO Bonds, Series B, 5.125% (Original Issue Yield: 5.25%),
2/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>7,662,046</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,960,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Missouri State Housing Development Commission, Single Family Mortgage Revenue Bonds,
Series 1997C-1, 6.55% (GNMA COL), 9/1/2028</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,064,194</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,542,585</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>New Jersey--4.6%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,100,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New Jersey EDA, Kapkowski Road Landfill Revenue Bonds, 6.50% (New Jersey Metromall
Urban Renewal, Inc.)/(Original Issue Yield: 6.55%), 4/1/2018</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,052,162</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,210,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New Jersey Health Care Facilities Financing Authority, Revenue Bonds, Series 1999,
5.625% (Meridian Health System Obligated Group)/(FSA INS), 7/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,389,717</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,625,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New Jersey State Transportation Trust Fund Authority, Revenue Bonds, Series 1997A,
5.50%, 6/15/2009</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,834,416</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,265,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New Jersey State Transportation Trust Fund Authority, Transportation System Bonds,
Series 2000B, 6.00%, 6/15/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,495,907</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New Jersey State, Refunding UT GO Bonds, Series F, 5.25%, 8/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,948,880</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>25,721,082</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>New York--12.9%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>8,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Long Island Power Authority, Electric System Revenue Bonds, Series A, 5.50% (FSA
INS), 12/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>8,231,280</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York City, NY, Transit Authority Metropolitan Transportation Authority Triborough
Bridge and Tunnel Authority, Certificates of Participation, Series 1999A, 5.625%
(AMBAC INS), 1/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,097,470</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York City, NY, Transit Authority Metropolitan Transportation Authority Triborough
Bridge and Tunnel Authority, Certificates of Participation, Series 1999A, 5.625%
(AMBAC INS), 1/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,082,560</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,595,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York City, NY Transitional Finance Authority, Future Tax Secured Revenue Bonds,
Series C, 5.25%, 5/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,554,059</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York City, NY Transitional Finance Authority, Future Tax Secured Revenue Bonds,
Series A, 6.00% (FGIC INS), 8/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,304,800</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Dormitory Authority, Revenue Bonds, Series A, 5.50% (University of
Rochester, NY)/(Original Issue Yield: 5.60%), 7/1/2016</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,482,525</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Dormitory Authority, Revenue Bonds, 6.00% (New York State University),
5/15/2016</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,246,400</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Environmental Facilities Corp., Refunding Notes, Series F, 5.25%,
6/15/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,466,575</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Environmental Facilities Corp., State Clean Water & Drinking
Revolving Fund, Series 1998C, 5.25%, 6/15/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,978,960</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,050,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Local Government Assistance Corp., Residual Interest Tax-Exempt
Securities Series PA-207B, 7.169% (AMBAC INS), 4/1/2008</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,661,606</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,025,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Local Government Assistance Corp., Residual Interest Tax-Exempt
Securities Series PA-207A, 7.169%, 4/1/2007</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,707,753</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Thruway Authority, Local Highway & Bridge Service Contract Revenue
Bonds, 5.625%, 4/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,109,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Thruway Authority, Service Contract Revenue Bonds, Series 1998A-2,
5.375%, 4/1/2016</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,949,360</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,595,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Urban Development Corp., Revenue Bonds, Series 1999C, 6.00%
(Correctional Facilities Service Contract), 1/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,722,596</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Suffolk County, NY, Water Authority, Waterworks Refunding Revenue Bonds, 6.00% (MBIA
INS), 6/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,221,070</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,320,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Triborough Bridge & Tunnel Authority, NY, General Purpose Revenue Bonds, Series
1999B, 5.75%, 1/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,436,934</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>71,252,948</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>North Carolina--1.8%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,935,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

North Carolina Municipal Power Agency No. 1, Revenue Bonds, 6.00% (Catawba Electric),
1/1/2008</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,150,008</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

North Carolina State, Public Improvement UT GO Bonds, Series 1999A, 5.25% (Original
Issue Yield: 5.38%), 3/1/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,947,680</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,097,688</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Ohio--2.5%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Columbus, OH, UT GO Bonds, Series 2, 5.75%, 6/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,116,670</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Franklin County, OH, Health Care Facilities, Revenue Refunding Bonds, 5.50% (Ohio
Presbyterian Retirement Services)/(Original Issue Yield: 5.64%), 7/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,493,660</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Ohio State Building Authority, State Facilities Bonds, Series 1999, 5.50%,
10/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,065,400</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,135,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Ohio State, Infrastructure Improvement UT GO Bonds, Series 1999A, 5.75%, 2/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,233,454</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>13,909,184</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Oklahoma--1.4%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>7,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Tulsa, OK, Municipal Airport, Revenue Bonds, 7.60% (American Airlines Inc.)/(Original
Issue Yield: 7.931%), 12/1/2030</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>7,712,325</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Oregon--0.5%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,980,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Salem-Keizer, OR, School District 24J, UT GO Bonds, 5.25% (Oregon School Boards
Assoc. GTD), 6/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,991,622</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Pennsylvania--3.8%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,310,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Allegheny County, PA HDA, Refunding Revenue Bonds, Series 1998A, 5.125% (South Hills
Health System)/(Original Issue Yield: 5.34%), 5/1/2023</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A2</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,884,290</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Allegheny County, PA HDA, Refunding Revenue Bonds, Series 1998A, 5.125% (South Hills
Health System)/(Original Issue Yield: 5.40%), 5/1/2029</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A2</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,589,300</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,695,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Allegheny County, PA IDA, Cargo Facilities Lease Revenue Bonds, Series 1999, 6.625%
(AFCO Cargo PIT LLC Project)/(Original Issue Yield: 6.75%), 9/1/2024</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,614,725</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Allegheny County, PA, Port Authority, Special Revenue Transportation Bonds, Series
1999, 6.00%, 3/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,109,160</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Commonwealth of Pennsylvania, UT GO Bonds, 6.00%, 1/15/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,276,450</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,300,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Latrobe, PA, IDA, College Revenue Bonds, 6.75% (St. Vincent College, PA)/(Original
Issue Yield: 7.00%), 5/1/2024</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,412,073</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Pennsylvania Intergovernmental Co-op Authority, Special Tax Refunding Revenue Bonds,
5.25% (Philadelphia Funding Program), 6/15/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,955,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Pennsylvania--continued</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Sayre, PA, Health Care Facilities Authority, Revenue Bonds, Series A, 7.10% (Guthrie
Healthcare System, PA)/(Original Issue Yield: 7.175%), 3/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,078,420</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>20,919,418</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Puerto Rico--0.8%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Puerto Rico Highway and Transportation Authority, Residual Interest Tax-Exempt
Securites, Series PA 331A, 6.80% (AMBAC INS), 7/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,142,640</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Puerto Rico Highway and Transportation Authority, Residual Interest Tax-Exempt
Securities, Series PA 331B, 6.80% (AMBAC INS), 7/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,121,400</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,264,040</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>South Carolina--1.1%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

South Carolina Transportation Infrastructure Bank, Revenue Bonds, 5.50% (AMBAC INS),
10/1/2011</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>Aaa</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,166,260</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Tennessee--3.6%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>13,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Springfield, TN Health & Educational Facilities Board, Hospital Revenue Bonds,
8.50% (NorthCrest Medical Center)/(Original Issue Yield: 8.875%), 4/1/2024</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>Aaa</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>15,553,200</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,280,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Tennessee Housing Development Agency, Home Ownership Program Revenue Bonds, Series
1999-2A, 5.35%, 7/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,254,008</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,405,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Tennessee Housing Development Agency, Home Ownership Program Revenue Bonds, Series
1999-2A, 5.40%, 7/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,370,801</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>20,178,009</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Texas--8.1%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Brazos River Authority, TX, PCR Revenue Bonds, Series A, 7.875% (Texas Utilities
Electric Co.), 3/1/2021</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A3</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,154,880</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>12,750,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Dallas-Fort Worth, TX International Airport Facilities, Revenue Bonds, 7.25%
(American Airlines Inc.)/(Original Issue Yield: 7.428%), 11/1/2030</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>13,052,047</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,200,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Harris County, TX HFDC, Hospital Revenue Bonds, Series 1997A, 6.00% (Memorial
Hospital System), 6/1/2011</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,333,122</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Harris County, TX HFDC, Hospital Revenue Bonds, Series 1997A, 6.00% (Memorial
Hospital System), 6/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,246,560</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Lufkin, TX HFDC, Health System Revenue Bonds, Series 1998, 5.70% (Memorial Health
System of East Texas)/(Original Issue Yield: 5.75%), 2/15/2028</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,561,380</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,700,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Red River Authority, TX, PCR Bonds, 6.875% (Hoechst Celanese Corp.)/(Original Issue
Yield: 6.939%), 4/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,737,851</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Texas--continued</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,630,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Richardson, TX Hospital Authority, Refunding Revenue Bonds, 6.50% (Baylor/Richardson
Medical Center, TX)/(Original Issue Yield: 6.72%), 12/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,506,762</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>385,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Richardson, TX Hospital Authority, Refunding Revenue Bonds, 6.75% (Baylor/Richardson
Medical Center, TX)/(Original Issue Yield: 6.82%), 12/1/2023</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>BBB+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>413,505</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>11,915,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

San Antonio, TX Electric & Gas, Revenue Bonds, 5.00% (Original Issue Yield:
6.10%), 2/1/2017</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>11,012,915</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,085,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Texas State, UT GO Veterans Housing Assistance, 7.00%, 12/1/2025</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,125,102</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>45,144,124</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Utah--3.0%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>13,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Salt Lake City, UT Hospital Authority, Hospital Revenue Refunding Bonds, Series A,
8.125% (IHC Hospitals Inc., UT)/(United States Treasury COL)/(Original Issue Yield:
8.17%), 5/15/2015</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>16,451,910</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Virginia--2.4%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>2,500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Fairfax County, VA, UT GO Bonds, Series A, 5.25% (Original Issue Yield: 5.35%),
6/1/2009</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,534,625</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,360,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Greater Richmond Convention Center Authority, VA, Hotel Tax Revenue Bonds, 6.00%
(Convention Center Expansion Project), 6/15/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,537,139</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,185,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Greater Richmond Convention Center Authority, VA, Hotel Tax Revenue Bonds, 6.00%
(Convention Center Expansion Project), 6/15/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,337,561</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>3,805,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Virginia Beach, VA, UT GO Bonds, 5.25%, 3/1/2009</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,873,947</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>13,283,272</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Washington--2.9%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,905,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Seattle, WA, Library Facilities UT GO Bonds, Series 1999A, 5.375%, 12/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,966,648</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Washington State Public Power Supply System, (Nuclear Project No. 2) Refunding
Revenue Bonds, Series 1998A, 5.00% (Original Issue Yield: 5.18%), 7/1/2012</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,742,550</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>5,595,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Washington State, Convention and Trade Center Certificates of Participation, 5.125%
(Original Issue Yield: 5.30%), 7/1/2013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AAA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,417,862</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>16,127,060</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

LONG-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>West Virginia--1.1%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT> $</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>6,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

West Virginia State, GO State Road Bonds, Series 1999, 5.75%, 6/1/2014</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA-</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,191,700</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Wisconsin--2.0%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>4,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Wisconsin Health and Educational Facilities Authority, Revenue Bonds, Series 1998A,
5.375% (The Richland Hospital, Inc.)/ (American Capital Access INS)/(Original Issue
Yield: 5.46%), 6/1/2028</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,402,480</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>7,460,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Wisconsin State, UT GO Bonds, Series A, 5.50%, 5/1/2009</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>AA+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>7,688,127</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>11,090,607</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL LONG-TERM MUNICIPALS (IDENTIFIED COST $529,421,015)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>541,184,312</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

SHORT-TERM MUNICIPALS--3.1%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Indiana--0.2%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>100,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Portage, IN, Revenue Bonds, Series 1998B, Weekly VRDNs (American Iron Oxide Co.
Project)/(Bank of Tokyo-Mitsubishi Ltd. LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>100,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>900,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Spencer County, IN, PCR Bonds, Weekly VRDNs (American Iron Oxide Co. Project)/(Bank
of Tokyo-Mitsubishi Ltd. LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>VMIG-1</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>900,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,000,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>New York--2.4%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,900,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York City, NY, IDA, IDR Bonds, Daily VRDNs (Nippon Cargo Airlines
Co.)/(Industrial Bank of Japan Ltd., Tokyo LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A-2</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,900,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>11,000,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

New York State Energy Research & Development Authority, PCR Bonds, Series 1987B,
Daily VRDNs (Niagara Mohawk Power Corp.)/(Morgan Guaranty Trust Co., New York LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A-1+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>11,000,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

St. Lawrence County, NY IDA, Civic Facility Revenue Bonds, Series 1990, Weekly VRDNs
(Clarkson University)/(Sumitomo Bank Ltd., Osaka LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>VMIG-2</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>500,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>13,400,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>North Carolina--0.0%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>200,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Person County, NC, Industrial Facilities & PCFA Daily VRDNs (Carolina Power &
Light Co.)/(SunTrust Bank, Atlanta LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>P-1</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>200,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=LEFT><B>Principal<BR>
Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Credit<BR>
Rating </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B><SUP>1</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="2">
<P>

<P ALIGN=RIGHT><B>Value</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

SHORT-TERM MUNICIPALS--continued</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Ohio--0.4%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>300,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Cuyahoga County, OH, Hospital Authority, Series 1997D, Daily VRDNs (Cleveland
Clinic)/(Bank of America, N.A. LIQ)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A-1+</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$ </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>300,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>1,980,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Stark County, OH, IDR, Weekly VRDNs (Shearer's Foods, Inc.)/(Bank One, N.A. (Ohio)
LOC)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>NR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,980,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,280,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>Puerto Rico--0.1%</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>500,000</P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

Puerto Rico Commonwealth Infrastructure Financing Authority, Floater Certificates,
Series 1998-139, Weekly VRDNs (AMBAC INS)/ (Morgan Stanley, Dean Witter Municipal
Funding, Inc. LIQ)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>A-1C</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>500,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL SHORT-TERM MUNICIPALS (AT AMORTIZED COST)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>17,380,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="TOP">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  TOTAL INVESTMENTS (IDENTIFIED COST $546,801,015)<SUP>2</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>558,564,312</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

      Securities that are subject to alternative minimum tax represent 16.7% of the
portfolio as calculated based upon total portfolio market value.</P>
<P>

1     Please refer to the Appendix of the Statement of Additional Information for an
explanation of the credit ratings. Current credit ratings are unaudited.</P>
<P>

2     The cost of investments for federal tax purposes amounts to $546,801,015. The
net unrealized appreciation of investments on a federal tax basis amounts to
$11,763,297, which is comprised of $17,951,347 appreciation and $6,188,050
depreciation at March 31, 2000.</P>
<P>

Note: The categories of investments are shown as a percentage of net assets
($554,171,928) at March 31, 2000.</P>
<P>

The following acronyms are used throughout this portfolio:</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

AMBAC</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --American Municipal Bond Assurance Corporation</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

COL</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Collateralized</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

EDA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Economic Development Authority</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

FGIC</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Financial Guaranty Insurance Company</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

FSA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Financial Security Assurance</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

GNMA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Government National Mortgage Association</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

GO</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --General Obligation</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

GTD</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Guaranteed</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

HDA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Hospital Development Authority</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

HFDC</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Health Facility Development Corporation</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

IDA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Industrial Development Authority</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

IDR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Industrial Development Revenue</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

INS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Insured</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

LIQ</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Liquidity Agreement</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

LOC</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Letter of Credit</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

LT</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Limited Tax</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

MBIA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Municipal Bond Investors Assurance</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

PCR</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Pollution Control Revenue</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

PCFA</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Pollution Control Finance Authority</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

PFC</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Public Finance Commission</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

UT</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Unlimited Tax</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

VRDNs</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

- --Variable Rate Demand Notes</P>
</TD>
</TR>
</TABLE>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Statement of Assets and Liabilities</H2>
<P>

MARCH 31, 2000</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Assets:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Total investments in securities, at value (identified and tax cost $546,801,015)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>558,564,312</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Income receivable</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,267,341</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Receivable for investments sold</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5,000</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Receivable for shares sold</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>557,306</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL ASSETS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>569,393,959</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Liabilities:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Payable for investments purchased</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>12,617,499</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Payable for shares redeemed</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,575,575</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Income distribution payable</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>800,981</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Payable to bank</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,621</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Accrued expenses</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>224,355</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL LIABILITIES</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>15,222,031</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net assets for 55,971,501 shares outstanding</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>554,171,928</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Assets Consist of:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Paid-in capital</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>587,871,301</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net unrealized appreciation of investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>11,763,297</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Accumulated net realized loss on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(47,036,013</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Accumulated undistributed net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,573,343</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL NET ASSETS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>554,171,928</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, Offering Price and Redemption Proceeds Per Share</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Class A Shares:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net Asset Value Per Share ($471,475,129 ÷ 47,619,224 shares outstanding)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.90</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Offering Price Per Share (100/95.50 of $9.90)<SUP>1</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$10.37</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Redemption Proceeds Per Share </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.90</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Class B Shares:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net Asset Value Per Share ($72,095,338 ÷ 7,281,605 shares outstanding)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.90</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Offering Price Per Share </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.90</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Redemption Proceeds Per Share (94.50/100 of $9.90)<SUP>1</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.36</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Class C Shares:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net Asset Value Per Share ($10,601,461 ÷ 1,070,672 shares outstanding)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.90</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Offering Price Per Share </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.90</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Redemption Proceeds Per Share (99.00/100 of $9.90)<SUP>1</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$9.80</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="8">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

1     See "What Do Shares Cost?" in the Prospectus.</P>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Statement of Operations</H2>
<P>

YEAR ENDED MARCH 31, 2000</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Investment Income:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Interest</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>34,926,033</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Expenses:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Investment adviser fee</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,369,773</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Administrative personnel and services fee</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>452,152</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Custodian fees</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>48,688</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Transfer and dividend disbursing agent fees and expenses</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>623,581</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Directors'/Trustees' fees</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>19,373</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Auditing fees</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>28,883</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Legal fees</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>11,271</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Portfolio accounting fees</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>142,044</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distribution services fee--Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>601,120</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distribution services fee--Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>104,490</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shareholder services fee--Class A Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,264,561</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shareholder services fee--Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>200,373</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shareholder services fee--Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>34,830</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Share registration costs</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>47,138</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Printing and postage</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>102,391</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Insurance premiums</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>2,199</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Miscellaneous</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3,932</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL EXPENSES</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>7,056,799</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Waivers:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Waiver of shareholder services fee--Class A Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(708,154</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Waiver of shareholder services fee--Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(1,393</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL WAIVERS </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(709,547</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net expenses</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>6,347,252</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>28,578,781</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Realized and Unrealized Loss on Investments: </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net realized loss on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(30,801,658</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net change in unrealized appreciation of investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(26,542,320</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net realized and unrealized loss on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(57,343,978</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Change in net assets resulting from operations</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(28,765,197</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="13">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Statement of Changes in Net Assets</H2>
<P>

</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Increase (Decrease) in Net Assets</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Operations:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>28,578,781</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>32,466,474</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net realized loss on investments ($(43,980,229) and $2,566,287, respectively, as
computed for federal tax purposes)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(30,801,658</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(10,509,648</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net change in unrealized appreciation of investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(26,542,320</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>7,900,594</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  CHANGE IN NET ASSETS RESULTING FROM OPERATIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(28,765,197</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>29,857,420</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Distributions to Shareholders:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class A Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(24,804,613</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(27,771,720</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(3,215,677</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(3,383,778</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(558,491</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(670,339</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net realized gain on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class A Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(1,587,020</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(249,229</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(45,144</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  CHANGE IN NET ASSETS RESULTING FROM DISTRIBUTIONS <BR>
TO SHAREHOLDERS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(30,460,174</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(31,825,837</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Share Transactions:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Proceeds from sale of shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>128,643,376</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>134,901,460</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net asset value of shares issued to shareholders in payment of distributions
declared</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>19,111,909</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>19,740,788</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Cost of shares redeemed</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(202,867,424</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(180,394,469</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  CHANGE IN NET ASSETS RESULTING FROM SHARE TRANSACTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(55,112,139</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(25,752,221</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Change in net assets</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(114,337,510</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(27,720,638</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Assets:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Beginning of period</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>668,509,438</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>696,230,076</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

End of period (including undistributed net investment income of $1,573,343 and $0
respectively)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>554,171,928</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>668,509,438</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="9">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Financial Highlights--Class A Shares</H2>
<P>

(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B><SUP>1</SUP> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1998</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1997</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1996</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, Beginning of Period</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.87</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.91</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.82</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.92</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Income From Investment Operations:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.58</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.53</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.46</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.55</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.66</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net realized and unrealized gain (loss) on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(1.02</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.05</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.64</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.36</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.09</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL FROM INVESTMENT OPERATIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.44</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.48</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.10</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.19</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.57</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Less Distributions:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.50</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.52</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.46</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.55</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.66</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions in excess of net investment income<SUP>2</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.05</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Total distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.50</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.52</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.47</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.60</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.66</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net realized gain on investments</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.10</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL DISTRIBUTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.53</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.52</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.50</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.70</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.67</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, End of Period</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$  9.90</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.87</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.91</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.82</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Total Return<SUP>3</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(4.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.46</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>11.28</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.84</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5.32</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Ratios to Average Net Assets:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Expenses</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.92</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.87</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.86</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.93</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.98</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5.72</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.86</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.70</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5.37</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5.97</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Expense waiver/reimbursement<SUP>4</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.14</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.14</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.14</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.14</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.13</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Supplemental Data:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net assets, end of period (000 omitted)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$471,475</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$562,883</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$591,310</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$595,515</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$663,538</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Portfolio turnover</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>68</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>31</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>64</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>33</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>29</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

1     For the year ended March 31, 2000, the Fund was audited by Ernst & Young
LLP. Each of the previous years was audited by other auditors.</P>
<P>

2     Distributions are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These distributions do not
represent a return of capital for federal income tax purposes.</P>
<P>

3     Based on net asset value, which does not reflect the sales charge or contingent
deferred sales charge, if applicable.</P>
<P>

4     This voluntary expense decrease is reflected in both the expense and the net
investment income ratios shown above.</P>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Financial Highlights--Class B Shares</H2>
<P>

(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B><SUP>1</SUP> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1998</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1997</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1996</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, Beginning of Period</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>$10.87</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>$10.91</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>$10.31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>$10.82</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B>$10.92</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Income From Investment Operations:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.48</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.43</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.38</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.47</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.56</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net realized and unrealized gain (loss) on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(1.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.05</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.64</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.37</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.09</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL FROM INVESTMENT OPERATIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.53</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.38</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.02</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.10</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.47</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Less Distributions:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.41</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.38</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.47</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.56</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions in excess of net investment income<SUP>2</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.04</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Total distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.41</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.39</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.51</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.56</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net realized gain on investments</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.10</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL DISTRIBUTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.44</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.61</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.57</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, End of Period</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$  9.90</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.87</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.91</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.82</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Total Return<SUP>3</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(4.85</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3.53</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10.30</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.94</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.40</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Ratios to Average Net Assets:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Expenses</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.81</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.76</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.75</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.82</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.86</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.68</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3.97</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3.81</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.50</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5.23</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Supplemental Data:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net assets, end of period (000 omitted)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$72,095</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$88,756</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$87,304</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$77,536</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$58,296</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Portfolio turnover</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>68</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>31</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>64</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>33</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>29</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

1     For the year ended March 31, 2000, the Fund was audited by Ernst & Young
LLP. Each of the previous years was audited by other auditors.</P>
<P>

2     Distributions are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These distributions do not
represent a return of capital for federal income tax purposes.</P>
<P>

3     Based on net asset value, which does not reflect the sales charge or contingent
deferred sales charge, if applicable.</P>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Financial Highlights--Class C Shares</H2>
<P>

(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31 </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B><SUP>1</SUP> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1998</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1997</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>1996</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, Beginning of Period</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.87</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.91</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.82</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.92</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Income From Investment Operations:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.48</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.43</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.37</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.46</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.56</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net realized and unrealized gain (loss) on investments </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(1.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.05</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.65</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.36</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.09</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL FROM INVESTMENT OPERATIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.53</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.38</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.02</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.10</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.47</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Less Distributions:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.41</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.37</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.46</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.56</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions in excess of net investment income<SUP>2</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.02</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.05</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Total distributions from net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.41</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.39</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.51</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.56</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Distributions from net realized gain on investments</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>--</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.03</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.10</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL DISTRIBUTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.44</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.61</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(0.57</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Net Asset Value, End of Period</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$  9.90</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.87</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.91</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>$10.82</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Total Return<SUP>3</SUP></B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(4.85</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3.54</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10.31</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.95</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.42</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Ratios to Average Net Assets:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Expenses</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.80</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.75</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.74</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.81</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1.82</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net investment income</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.68</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3.98</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>3.83</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4.51</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>5.16</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Expense waiver/reimbursement<SUP>4</SUP></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.01</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>0.04</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<B>Supplemental Data:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Net assets, end of period (000 omitted)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$10,601</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$16,870</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$17,616</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$20,544</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$25,914</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Portfolio turnover</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>68</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>31</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>64</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>33</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>29</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="16">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

1     For the year ended March 31, 2000, the Fund was audited by Ernst & Young
LLP. Each of the previous years was audited by other auditors.</P>
<P>

2     Distributions are determined in accordance with income tax regulations which
may differ from generally accepted accounting principles. These distributions do not
represent a return of capital for federal income tax purposes.</P>
<P>

3     Based on net asset value, which does not reflect the sales charge or contingent
deferred sales charge, if applicable.</P>
<P>

4     This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.</P>
<P>

See Notes which are an integral part of the Financial Statements</P>
<H2>

Notes to Financial Statements</H2>
<P>

MARCH 31, 2000</P>
<H3>

ORGANIZATION</H3>
<P>

Federated Municipal Securities Fund, Inc. (the "Fund") is registered under
the Investment Company Act of 1940, as amended (the "Act"), as a
diversified, open-end management investment company. The Fund offers three classes of
shares: Class A Shares, Class B Shares and Class C Shares. The investment objective
of the Fund is to provide for its shareholders a high level of current income which
is exempt from federal regular income tax.</P>
<H3>

SIGNIFICANT ACCOUNTING POLICIES</H3>
<P>

The following is a summary of significant accounting policies consistently followed
by the Fund in the preparation of its financial statements. These policies are in
conformity with generally accepted accounting principles.</P>
<H3>

Investment Valuation</H3>
<P>

Municipal bonds are valued by an independent pricing service, taking into
consideration yield, liquidity, risk, credit quality, coupon, maturity, type of
issue, and any other factors or market data the pricing service deems relevant.
Short-term securities are valued at the prices provided by an independent pricing
service. However, short-term securities with remaining maturities of 60 days or less
at the time of purchase may be valued at amortized cost, which approximates fair
market value.</P>
<H3>

Investment Income, Expenses and Distributions</H3>
<P>

Interest income and expenses are accrued daily. Bond premium and discount, if
applicable, are amortized as required by the Internal Revenue Code, as amended (the
"Code"). Distributions to shareholders are recorded on the ex-dividend
date. Non-cash dividends included in dividend income, if any, are recorded at fair
value. The Fund offers multiple classes of shares, which differ in their respective
distribution and service fees. All shareholders bear the common expenses of the Fund
based on average daily net assets of each class, without distinction between share
classes. Dividends are declared separately for each class. No class has preferential
dividend rights; differences in per share dividend rates are generally due to
differences in separate class expenses.</P>
<P>

Income and capital gain distributions are determined in accordance with income tax
regulations which may differ from generally accepted accounting principles.</P>
<P>

The following reclassifications have been made to the financial statements.</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>Increase (Decrease)</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Paid-In Capital</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Accumulated <BR>
Undistributed Net<BR>
Investment Income</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT><B>Accumulated<BR>
Net Realized<BR>
Loss on<BR>
Investments</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

$(3,240,789)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$4,758,587</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$(1,517,798)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<HR>
</TD>
</TR>
</TABLE>
<P>

Net investment income, net realized gains/losses, and net assets were not affected by
this reclassification.</P>
<H3>

Federal Taxes</H3>
<P>

It is the Fund's policy to comply with the provisions of the Code applicable to
regulated investment companies and to distribute to shareholders each year
substantially all of its income. Accordingly, no provision for federal tax is
necessary.</P>
<P>

At March 31, 2000, the Fund, for federal tax purposes, had a capital loss
carryforward of $43,980,229, which will reduce the Fund's taxable income arising from
future net realized gain on investments, if any, to the extent permitted by the Code,
and thus will reduce the amount of the distributions to shareholders which would
otherwise be necessary to relieve the Fund of any liability for federal tax. Pursuant
to the Code, such capital loss carryforward will expire in 2008. Additionally, net
capital losses of $6,969,168 attributable to security transactions after October 31,
1999, are treated as arising on April 1, 2000, the first day of the Fund's next
taxable year.</P>
<H3>

When-Issued and Delayed Delivery Transactions</H3>
<P>

The Fund may engage in when-issued or delayed delivery transactions. The Fund records
when-issued securities on the trade date and maintains security positions such that
sufficient liquid assets will be available to make payment for the securities
purchased. Securities purchased on a when-issued or delayed delivery basis are
marked-to-market daily and begin earning interest on the settlement date. Losses may
occur on these transactions due to changes in market conditions or the failure of
counterparties to perform under the contract.</P>
<H3>

Use of Estimates</H3>
<P>

The preparation of financial statements in conformity with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the amounts of assets, liabilities, expenses and revenues reported in the
financial statements. Actual results could differ from those estimated.</P>
<H3>

Other</H3>
<P>

Investment transactions are accounted for on a trade date basis.</P>
<H3>

CAPITAL STOCK</H3>
<P>

At March 31, 2000, par values shares ($0.01 per share) authorized were as follows:</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Share Class Name</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Number of <BR>
Par Value <BR>
Capital Stock <BR>
Authorized</B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class A Shares </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  375,000,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  250,000,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

  375,000,000</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  TOTAL </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

1,000,000,000</P>
</TD>
</TR>
</TABLE>
<P>

Transactions in capital stock were as follows:</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Class A Shares:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Shares</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Shares</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares sold</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>9,897,073</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>99,768,199</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,327,327</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>113,274,145</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares issued to shareholders in payment of distributions declared</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,698,867</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>17,136,432</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,619,511</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>17,770,129</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares redeemed</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(15,749,468</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(158,525,358</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(14,392,026</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(157,856,794</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  NET CHANGE RESULTING FROM CLASS A SHARE TRANSACTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(4,153,528</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(41,620,727</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(2,445,188</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(26,812,520</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Class B Shares:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Shares</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Shares</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares sold</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,034,706</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>10,573,834</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,554,992</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>17,066,503</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares issued to shareholders in payment of distributions declared</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>158,380</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,597,023</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>140,590</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,542,609</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares redeemed</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(2,075,020</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(20,875,144</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(1,537,205</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(16,860,862</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  NET CHANGE RESULTING FROM CLASS B SHARE TRANSACTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(881,934</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(8,704,287</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>158,377</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,748,250</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Year Ended March 31</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>2000</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="5">
<P>

<P ALIGN=CENTER><B>1999</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Class C Shares:</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Shares</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Shares</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B>Amount</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=CENTER><B> </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares sold</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>1,858,031</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>18,301,343</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>414,516</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>4,560,812</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares issued to shareholders in payment of distributions declared</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>37,330</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>378,454</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>39,027</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>428,050</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Shares redeemed</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(2,376,325</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(23,466,922</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(517,122</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(5,676,813</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  NET CHANGE RESULTING FROM CLASS C SHARE TRANSACTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(480,964</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(4,787,125</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(63,579</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(687,951</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

  NET CHANGE RESULTING FROM <BR>
SHARE TRANSACTIONS</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(5,516,426</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(55,112,139</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(2,350,390</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>(25,752,221</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT>)</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="15">
<P>

<HR>
</TD>
</TR>
</TABLE>
<H3>

INVESTMENT ADVISER FEE AND OTHER TRANSACTIONS WITH AFFILIATES</H3>
<H3>

Investment Adviser Fee</H3>
<P>

Federated Investment Management Company, the Fund's investment adviser (the
"Adviser"), receives for its services an annual investment adviser fee
equal to (a) a maximum of 0.30% of the average daily net assets of the Fund, and (b)
4.50% of the gross income of the Fund, excluding capital gains or losses.</P>
<H3>

Administrative Fee</H3>
<P>

Federated Services Company ("FServ"), under the Administrative Services
Agreement, provides the Fund with administrative personnel and services. The fee paid
to FServ is based on a scale that ranges from 0.15% to 0.075% of the average
aggregate daily net assets of all funds advised by subsidiaries of Federated
Investors, Inc., subject to a $125,000 minimum per portfolio and $30,000 per each
additional class.</P>
<H3>

Distribution Services Fee</H3>
<P>

The Fund has adopted a Distribution Plan (the "Plan") pursuant to Rule
12b-1 under the Act. Under the terms of the Plan, the Fund will compensate Federated
Securities Corp. ("FSC"), the principal distributor, from the net assets of
the Fund to finance activities intended to result in the sale of the Fund's Class B
Shares and Class C Shares. The Plan provides that the Fund may incur distribution
expenses according to the following schedule annually, to compensate FSC.</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Share Class Name</B></P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=LEFT><B>Percentage of <BR>
Average Daily <BR>
Net Assets </B></P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class B Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

0.75%</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Class C Shares</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

 </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

0.75%</P>
</TD>
</TR>
</TABLE>
<H3>

Shareholder Services Fee</H3>
<P>

Under the terms of a Shareholder Services Agreement with Federated Shareholder
Services Company ("FSSC"), the Fund will pay FSSC up to 0.25% of average
daily net assets of the Fund for the period. The fee paid to FSSC is used to finance
certain services for shareholders and to maintain shareholder accounts. FSSC may
voluntarily choose to waive any portion of its fee. FSSC can modify or terminate this
voluntary waiver at any time at its sole discretion.</P>
<H3>

Transfer and Dividend Disbursing Agent Fees and Expenses</H3>
<P>

FServ, through its subsidiary FSSC, serves as transfer and dividend disbursing agent
for the Fund. The fee paid to FSSC is based on the size, type and number of accounts
and transactions made by shareholders.</P>
<H3>

Portfolio Accounting Fees</H3>
<P>

FServ maintains the Fund's accounting records for which it receives a fee. The fee is
based on the level of the Fund's average daily net assets for the period, plus
out-of-pocket expenses.</P>
<H3>

Interfund Transactions</H3>
<P>

During the period ended March 31, 2000, the Fund engaged in purchase and sale
transactions with funds that have a common investment adviser (or affiliated
investment advisers), common Directors/Trustees, and/or common Officers. These
purchase and sale transactions complied with Rule 17a-7 under the Act and amounted to
$443,545,000 and $521,020,000, respectively.</P>
<H3>

General</H3>
<P>

Certain of the Officers and Trustees of the Fund are Officers and Directors or
Trustees of the above companies.</P>
<H3>

INVESTMENT TRANSACTIONS</H3>
<P>

Purchases and sales of investments, excluding short-term securities, for the period
ended March 31, 2000, were as follows:</P>
<TABLE CELLSPACING=0 CELLPADDING=1>
<TR>
<TD VALIGN="BOTTOM">
<P>

Purchases</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>389,375,205</P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="4">
<P>

<HR>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM">
<P>

Sales</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>   </P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>$</P>
</TD>
<TD VALIGN="BOTTOM">
<P>

<P ALIGN=RIGHT>454,116,469 </P>
</TD>
</TR>
<TR>
<TD VALIGN="BOTTOM" ROWSPAN="1" COLSPAN="4">
<P>

<HR>
</TD>
</TR>
</TABLE>
<H3>

CONCENTRATION OF CREDIT RISK</H3>
<P>

At March 31, 2000, 17.8% of the securities in the portfolio of investments are backed
by letters of credit or bond insurance of various financial institutions and
financial guaranty assurance agencies. The percentage of investments insured by or
supported (backed) by a letter of credit from any one institution or agency did not
exceed 5.6% of total investments.</P>
<H3>

CHANGE OF INDEPENDENT AUDITOR</H3>
<P>

On May 19, 1999, the Fund's Board of Directors (the "Directors"), upon the
recommendation of the Audit Committee, requested and subsequently accepted the
resignation of Deloitte & Touche LLP ("D&T") as the Fund's
independent auditors. D&T's reports on the Fund's financial statements for the
fiscal years ended March 31, 1998 and March 31, 1999, contained no adverse opinion or
disclaimer of opinion nor were they qualified or modified as to uncertainty, audit
scope or accounting principles. During the Fund's fiscal years ended March 31, 1998
and March 31, 1999: (i) there were no disagreements with D&T on any matter of
accounting principles or practices, financial statement disclosure or auditing scope
or procedure, which disagreements, if not resolved to the satisfaction of D&T,
would have caused it to make reference to the subject matter of the disagreements in
connection with its reports on the financial statements for such years; and (ii)
there were no reportable events of the kind described in Item 304(a)(1)(v) of
Regulation S-K under the Securities Exchange Act of 1934, as amended.</P>
<P>

The Fund, by action of its Directors, upon the recommendation of the Audit Committee,
has engaged Ernst & Young LLP ("E&Y") as the independent auditors
to audit the Fund's financial statements for the fiscal year ended March 31, 2000.
During the Fund's fiscal years ended March 31, 1998 and March 31, 1999, neither the
Fund nor anyone on its behalf has consulted E&Y on items which: (i) concerned the
application of accounting principles to a specified transaction, either completed or
proposed, or the type of audit opinion that might be rendered on the Fund's financial
statements; or (ii) concerned the subject of a disagreement (as defined in paragraph
(a)(1)(iv) of Item 304 of Regulation S-K) of reportable events (as described in
paragraph (a)(1)(v) of said Item 304).</P>
<H2>

Report of Ernst & Young LLP, Independent Auditors</H2>
<P>

TO THE BOARD OF DIRECTORS AND SHAREHOLDERS OF<BR>
FEDERATED MUNICIPAL SECURITIES FUND, INC.:</P>
<P>

We have audited the accompanying statement of assets and liabilities, including the
portfolio of investments, of Federated Municipal Securities Fund, Inc. (the
"Fund"), as of March 31, 2000, and the related statement of operations,
statement of changes in net assets, and financial highlights for the year then ended.
These financial statements and financial highlights are the responsibility of the
Fund's management. Our responsibility is to express an opinion on these financial
statements and financial highlights based on our audit. The statement of changes in
net assets for the year ended March 31, 1999, and the financial highlights for each
of the four years in the period then ended were audited by other auditors whose
report, dated May 14, 1999, expressed an unqualified opinion on that statement and
those financial highlights.</P>
<P>

We conducted our audit in accordance with auditing standards generally accepted in
the United States. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and financial
highlights are free of material misstatement. An audit includes examining, on a test
basis, evidence supporting the amounts and disclosures in the financial statements.
Our procedures included confirmation of securities owned as of March 31, 2000 by
correspondence with the custodian and brokers. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our audit
provides a reasonable basis for our opinion.</P>
<P>

In our opinion, the financial statements and financial highlights referred to above
present fairly, in all material respects, the financial position of the Federated
Municipal Securities Fund, Inc. at March 31, 2000, and the results of its operations,
the changes in its net assets, and the financial highlights for the year then ended,
in conformity with accounting principles generally accepted in the United States.</P>
<P>

 <B>Ernst & Young LLP</B></P>
<P>

Boston, Massachusetts<BR>
May 15, 2000</P>
<H2>

Directors</H2>
<H3>

JOHN F. DONAHUE</H3>
<H3>

THOMAS G. BIGLEY</H3>
<H3>

JOHN T. CONROY, JR.</H3>
<H3>

NICHOLAS P. CONSTANTAKIS</H3>
<H3>

JOHN F. CUNNINGHAM</H3>
<H3>

J. CHRISTOPHER DONAHUE</H3>
<H3>

LAWRENCE D. ELLIS, M.D.</H3>
<H3>

PETER E. MADDEN</H3>
<H3>

CHARLES F. MANSFIELD, JR.</H3>
<H3>

JOHN E. MURRAY, JR., J.D., S.J.D.</H3>
<H3>

MARJORIE P. SMUTS</H3>
<H3>

JOHN S. WALSH</H3>
<H2>

Officers</H2>
<H3>

JOHN F. DONAHUE</H3>
<P>

Chairman</P>
<H3>

J. CHRISTOPHER DONAHUE</H3>
<P>

President</P>
<H3>

EDWARD C. GONZALES</H3>
<P>

Executive Vice President</P>
<H3>

JOHN W. MCGONIGLE</H3>
<P>

Executive Vice President and Secretary</P>
<H3>

RICHARD B. FISHER</H3>
<P>

Vice President</P>
<H3>

RICHARD J. THOMAS</H3>
<P>

Treasurer</P>
<H3>

LESLIE K. ROSS</H3>
<P>

Assistant Secretary</P>
<P>

Mutual funds are not bank deposits or obligations, are not guaranteed by any bank,
and are not insured or guaranteed by the U.S. government, the Federal Deposit
Insurance Corporation, the Federal Reserve Board, or any other government agency.
Investment in mutual funds involves investment risk, including the possible loss of
principal.</P>
<P>

This report is authorized for distribution to prospective investors only when
preceded or accompanied by the fund's prospectus which contains facts concerning its
objective and policies, management fees, expenses and other information.</P>
<P>

<B>Federated<BR>World-Class Investment Manager</B></P><P><B>ANNUAL REPORT</B> </P>
<P>

AS OF MARCH 31, 2000</P>
<H2>

Federated Municipal Securities Fund, Inc.</H2>
<P>

Established 1976</P>
<H3>

23RD ANNUAL REPORT</H3>
<P>

<B>Federated</B><BR>Federated Municipal Securities Fund, Inc.<BR>Federated Investors
Funds<BR>5800 Corporate Drive<BR>Pittsburgh, PA
15237-7000<BR>1-800-341-7400<BR><B>www.federatedinvestors.com</B><BR>Federated
Securities Corp., Distributor </P>
<P>

Cusip 313913105<BR>
Cusip 313913204<BR>
Cusip 313913303</P>
<P>

8042830 (5/00)</P>
<P>

 Federated is a registered mark of Federated Investors, Inc. 2000 ©Federated
Investors, Inc.</P>
<P>

</P>




                                  APPENDIX FOR

                    FEDERATED MUNICIPAL SECURITIES FUND, INC.

                        ANNUAL REPORT DATED MAY 31, 2000

Page 6 of Report

A1. The graphic presentation here displayed consists of a legend in the upper
left quadrant indicating the components of the corresponding mountain chart. The
color coded mountain chart is a visual representation of the narrative text
above it. The "x" axis is measured in increments of $20,000 ranging from $0 to
$100,000 and indicates that the ending value of hypothetical initial investment
of $24,000 in the fund's Class A Shares, assuming the reinvestment of capital
gains and dividends, would have grown to $90,487 on 3/31/00. The "y" axis
reflects computation periods from 10/4/76 to 3/31/00.

Page 7 of Report

A2. The graphic presentation here displayed consists of a legend in the upper
left quadrant indicating the components of the corresponding mountain chart. The
color coded mountain chart is a visual representation of the narrative text
above it. The "x" axis is measured in increments of $10,000 ranging from $0 to
$60,000 and indicates that the ending value of hypothetical initial investment
of $1,000 and subsequent investments of $1,000 each year for 23 years in the
Fund's Class A Shares, assuming the reinvestment of capital gains and dividends,
would have grown to $54,680 on 3/31/2000. The "y" axis reflects computation
periods from 10/4/76 to 3/31/00.

Page 8 of Report

A3. The graphic presentation here displayed consists of a legend in the upper
left quadrant indicating the components of the corresponding mountain chart. The
color coded mountain chart is a visual representation of the narrative text
above it. The "x" axis is measured in increments of $10,000 ranging from $0 to
$50,000 and indicates that the ending value of hypothetical initial investment
of $26,000 after 11 years in the Fund's Class A Shares, assuming the
reinvestment of capital gains and dividends, would have grown to $46,851 on
3/31/00. The "y" axis reflects computation periods from 3/31/89 to 3/31/00.

Page 9 of Report

A4. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed above. The Class A Shares
of Federated Municipal Securities Fund, Inc. (the "Fund") are represented by a
solid line. The Lehman Brothers Municipal Bond Index (the "LBMBI") is
represented by a dotted line and the Lipper General Municipal Funds Average (the
"LGMFA") is represented by a broken line. The line graph is a visual
representation of a comparison of change in value of a $10,000 hypothetical
investment in the Class A Shares of the Fund, the LBMBI and the LGMFA. The "x"
axis reflects the cost of the investment. The right margin reflects the ending
value of the hypothetical investment in the Fund's Class A Shares as compared to
the LBMBI and the LGMFA. The ending values were $16,534, $19,950 and $18,541,
and, respectively. The "y" axis reflects computation periods from 3/31/90 to
3/31/00.

Page 10 of Report

A5. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed above. The Class B Shares
of Federated Municipal Securities Fund, Inc. (the "Fund") are represented by a
solid line. The Lehman Brothers Municipal Bond Index (the "LBMBI") is
represented by a dotted line and the Lipper General Municipal Funds Average (the
"LGMFA") is represented by a broken line. The line graph is a visual
representation of a comparison of change in value of a $10,000 hypothetical
investment in the Class B Shares of the Fund, the LBMBI and the LGMFA. The "x"
axis reflects the cost of the investment. The right margin reflects the ending
value of the hypothetical investment in the Fund's Class B Shares as compared to
the LBMBI and the LGMFA. The ending values were $11,751, $14,010, and $13,192,
and respectively. The "y" axis reflects computation periods from 7/26/94 to
3/31/00.

Page 11 of Report

A6. The graphic presentation here displayed consists of a line graph. The
corresponding components of the line graph are listed above. The Class C Shares
of Federated Municipal Securities Fund, Inc. (the "Fund") are represented by a
solid line. The Lehman Brothers Municipal Bond Index (the "LBMBI") is
represented by a dotted line and the Lipper General Municipal Funds Average (the
"LGMFA") is represented by a broken line. The line graph is a visual
representation of a comparison of change in value of a $10,000 hypothetical
investment in the Class C Shares of the Fund, the LBMBI and the LGMFA. The "x"
axis reflects the cost of the investment. The right margin reflects the ending
value of the hypothetical investment in the Fund's Class C Shares as compared to
the LBMBI and the LGMFA. The ending values were $12,044, $14,610 and $13,606,
and respectively. The "y" axis reflects computation periods from 4/21/93 to
3/31/00.


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