DEAR SHAREHOLDER:
As the fixed income markets began to rally at the start of the year, rates began
to decline. Your Trust's managers have been actively following the dramatic
performance of the fixed income markets and, as a result, their strategy allowed
the Trust a position among the top 15% of all tax-exempt money market funds
tracked by IBC/Donoghue.(1)
One of the main factors affecting performance this year was the favorable
supply and demand relationship. Because there has been relatively short supply
and increased demand for municipal bonds, prices have remained high, which
consequently put downward pressure on yields in the shorter end of this market.
The Trust's compounded annualized yield for the 12 months ended June 30,
1995 was 3.20%. The corresponding yield without compounding was 3.15%. For
investors in the 36% federal tax bracket, this is equal to a taxable yield of
5.00% with compounding and 4.92% without compounding.(2)
The Trust's seven-day annualized yields with and without compounding for
the year ended June 30, 1995 were 3.57% and 3.51%, respectively.
With the Federal Reserve's recent rate cut, plus ongoing strong demand, we
are optimistic about the market and the domestic economy. And as noted before,
the portfolio has been able to maintain a strong yield in the face of both a
drop in interest rates and unusually strong demand in our market--but as this
additional demand stabilizes as the year continues, we could again see yields
increase.
We're pleased to provide an investment that continues to offer tax-exempt
income, a stable share price, and complete liquidity.(3) We appreciate the
confidence you have placed in Centennial Tax Exempt Trust and look forward to
helping you continue to meet your financial goals in the future.
Sincerely,
/s/ JON S. FOSSEL
Jon S. Fossel
President, Centennial Tax Exempt Trust
/s/ JAMES C. SWAIN
James C. Swain
Chairman, Centennial Tax Exempt Trust
July 24, 1995
1. IBC/Donoghue, Inc., an independent fund monitoring service. Ranking for
the six months ended June 30, 1995.
2. Compounded yields assume reinvestment of dividends. A portion of the
Trust's distributions may be subject to federal and state income taxes. For
investors subject to the federal and/or state alternative minimum tax, a portion
of the Trust's distributions may increase this tax.
3. The Trust is neither insured nor guaranteed by the U.S. Government.
There is no assurance that the Trust will maintain a stable $1 share price in
the future.
<PAGE>
STATEMENT OF INVESTMENTS June 30, 1995
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS--103.3%
ALABAMA--0.4%
Bessemer, Alabama Industrial Development Revenue Bonds, Big B,
Inc. Project, Series A, 4.25% (1) $ 3,150,000 $ 3,150,000
Winfield City, Alabama Industrial Development Revenue Bonds,
Union Underwear Co., 4.25% (1) 1,900,000 1,900,000
-------------
5,050,000
-------------
ALASKA--0.3%
Alaska Industrial Development Authority Revenue Bonds, Providence Medical
Office Building, 3.65% (1) 3,880,000 3,880,000
-------------
ARIZONA--2.3%
Maricopa County, Arizona Industrial Development Authority Revenue Bonds, Grand
Canyon University Project, 4.20% (1) 5,500,000 5,500,000
Phoenix, Arizona Industrial Development Authority Multifamily Housing Revenue
Refunding Bonds, Paradise Lakes Apts. Project, 1995 Series, 3.40% (2) 18,000,000 18,000,000
Pima County, Arizona Industrial Development Authority Revenue Bonds, Tucson
Electric Power Project, Series 1983-A, 3.95% (1) 6,300,000 6,300,000
-------------
29,800,000
-------------
ARKANSAS--0.4%
Harrison, Arkansas Industrial Development Revenue Refunding Bonds, McKesson
Corp. Project, 4.15% (1) 3,940,000 3,940,000
Jonesboro, Arkansas Industrial Development Revenue Bonds, Farr Co. Project,
4.25% (1) 645,000 645,000
Subiaco, Arkansas Industrial Development Revenue Bonds, Cloves Gear & Products,
Inc., 4.35% (1) 550,000 550,000
-------------
5,135,000
-------------
CALIFORNIA--7.2%
California Health Facilities Financing Authority Revenue Bonds, Adventist
Health System, Series B, 3.80% (1) 1,000,000 1,000,000
California Health Facilities Financing Authority Revenue Bonds, Kaiser
Permanente Medical Center Project, Series B, 3.90% (1) 3,000,000 3,000,000
California Health Facilities Financing Authority Revenue Refunding Bonds,
Memorial Health Services Project, 4% (1) 1,200,000 1,200,000
California Health Facilities Financing Revenue Bonds, Huntington Memorial
Hospital, 3.75% (1) 1,900,000 1,900,000
California Health Facilities Financing Revenue Bonds, Pooled Loan Program,
Series B, FGIC Insured, 4.05% (1) 500,000 500,000
California Health Facilities Financing Revenue Bonds, Santa Barbara Cottage
Project, Series C, 3.80% (1) 6,300,000 6,300,000
</TABLE>
2
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
CALIFORNIA (CONTINUED)
California Health Facilities Financing Revenue Bonds, Scripps Memorial
Hospital, Series A, MBIA Insured, 4.05% (1) $ 500,000 $ 500,000
California Higher Education Loan Authority Student Loan Revenue Refunding
Bonds, Series 1987A, 4.35%, 5/1/96 (3) 13,750,000 13,750,804
California Higher Education Loan Authority Student Loan Revenue Refunding
Bonds, Series 1992A-2, 4.35%, 5/1/96 (3) 14,000,000 14,000,819
California Housing Finance Agency Home Mtg. Revenue Bonds, Series 1995-E, FGIC
Insured, 4.60%, 2/1/96 (3) 4,000,000 4,000,000
California Pollution Control Financing Authority Revenue Bonds, Chevron USA,
Inc. Project, 4.50%, 5/15/96 (3) 1,800,000 1,803,797
California Pollution Control Financing Authority Solid Waste Disposal Revenue
Bonds, Western Waste Industries, Series A, 4.25% (1) 3,000,000 3,000,000
California State General Obligation Bonds, Series A-3, MBIA Insured, 4.35% (1) 500,000 500,000
California State Revenue Anticipation Wts., Series C, FGIC Insured, 5.75%,
4/25/96 400,000 403,869
California Statewide Communities Development Authority Apt. Development Revenue
Refunding Bonds, Series 1995A, 3.75% (1) 1,560,000 1,560,000
Fairfield, California Industrial Development Authority Revenue Bonds, Herman G.
Rowland, 4.182% (1) 950,000 950,000
Huntington Park, California Redevelopment Agency Multifamily Housing Revenue
Bonds, Casa Rita Apts., Series A, 4.30% (1) 1,500,000 1,500,000
Kern County, California Union High School District Certificates of
Participation, Finance Project, 3.85% (1) 1,500,000 1,500,000
Los Angeles County, California Housing Authority Revenue Bonds, Park Sierra
Project, 4.05% (1) 2,000,000 2,000,000
Los Angeles County, California Metropolitan Transportation Authority Revenue
Anticipation Nts., Series 1995A, Swiss Bank Letter of Credit, 5%, 4/25/96 12,000,000 12,072,352
Oceanside, California Multifamily Revenue Bonds, Lakeridge Apts. Project, CCSB
Insured, 4.30% (1) 10,000,000 10,000,000
Ontario, California Multifamily Residential Mtg. Revenue Bonds, Park Centre
Project, Series A, 3.80% (1) 2,300,000 2,300,000
Orange County, California Apt. Development Revenue Refunding Bonds,
Series A, 4.05% (1) 1,000,000 1,000,000
Orange County, California Municipal Water District Refunding Certificates of
Participation, Allen McColloch Project, Series A, 4.45% (1) 1,000,000 1,000,000
Pittsburg, California Mtg. Obligation Gtd. Revenue Bonds, Series A, 4.30% (1) 3,300,000 3,300,000
San Bernardino County, California Housing Authority Multifamily Housing Revenue
Refunding Bonds, Arrowview Park Apts. Project, Series A, Federal Home Loan
Bank Letter of Credit, 4.55% (1) 1,400,000 1,400,000
San Bernardino County, California Multifamily Housing Authority Revenue
Refunding Bonds, Monterey Villas Apts. Project, Series A, 4.25% (1) 600,000 600,000
</TABLE>
3
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
CALIFORNIA (CONTINUED)
San Diego County, California Regional Transportation Commission Second Senior
Sales Tax Revenue Bonds, Series A, FGIC Insured, 4.75%, 4/1/96 $ 800,000 $ 804,407
San Francisco, California City & County Redevelopment Agency Multifamily
Revenue Refunding Bonds, Fillmore Center Housing Project,
Series A-1, 3.90% (1) 500,000 500,000
Southern California Public Power Authority Sub. Revenue Refunding Bonds,
Southern Transmission Project, AMBAC Insured, 3.90% (1) 2,000,000 2,000,000
Visalia, California Certificates of Participation, Visalia Convention Center
Expansion Project, 4.70% (1) 400,000 400,000
-------------
94,746,048
-------------
COLORADO--5.9%
Arapahoe County, Colorado Capital Improvement Trust Fund Highway Revenue Bonds,
E-470 Project, Series E, 4.45%, 8/31/95 (3) 20,000,000 20,001,447
Arapahoe County, Colorado Capital Improvement Trust Fund Highway Revenue Bonds,
E-470 Project, Series G, 4.45%, 8/31/95 (3) 5,015,000 5,015,000
Arapahoe County, Colorado Multifamily Revenue Refunding Bonds, Hunters Run
Rental Housing, 4.30% (1) 25,600,000 25,600,000
Aurora, Colorado Industrial Development Revenue Refunding Bonds, La Quinta
Motor Inns, 4.25% (1) 3,000,000 3,000,000
Colorado Health Facilities Authority Revenue Bonds, Sisters of Charity Project,
Series S, 4.20% (1) 4,400,000 4,400,000
Westminster, Colorado Multifamily Revenue Bonds, Wexford Station Apts., Series
A, CCSB Insured, 4.875%, 12/1/95 (3) 17,095,000 17,095,000
Wheat Ridge, Colorado Industrial Development Revenue Refunding Bonds, La Quinta
Motor Inns, 4.25% (1) 2,275,000 2,275,000
-------------
77,386,447
-------------
CONNECTICUT--0.5%
Connecticut State Special Assessment Unemployment Compensation Advance Funding
Revenue Bonds, Series B, 4.20% (1)(2) 6,100,000 6,100,000
-------------
DELAWARE--0.5%
Sussex County, Delaware Economic Development Revenue Bonds, Route 113 LP
Project, 3.95% (1) 6,000,000 6,000,000
-------------
FLORIDA--7.3%
Dade County, Florida Industrial Development Authority Pollution Control Revenue
Refunding Bonds, Florida Power & Light Co. Project, 4.30% (1) 2,235,000 2,235,000
Dade County, Florida School District General Obligation Bonds, Series A, 4.25%
(1) 2,000,000 2,000,000
Dade County, Florida School District General Obligation Bonds, Series B, 4.25%
(1) 2,000,000 2,000,000
</TABLE>
4
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
FLORIDA (CONTINUED)
Dade County, Florida School District General Obligation School Improvement
Bonds, FGIC Insured, 7%, 8/1/95 $ 2,000,000 $ 2,004,588
Dade County, Florida Water & Sewer System Revenue Bonds, FGIC Insured,
4.20% (1) 14,400,000 14,400,000
Escambia County, Florida Health Facilities Authority Revenue Refunding Bonds,
Florida Convertible Centers Project, Series A, 4.05% (1) 1,400,000 1,400,000
Florida State Board of Education Public Education Capital Outlay Refunding
Bonds, Series A, 4.188% (1) 13,230,000 13,230,000
Hillsborough County, Florida Industrial Development Authority Pollution Control
Revenue Bonds, Tampa Electric Co. Project, 5.40% (1) 17,975,000 17,975,000
Jacksonville, Florida Electric Authority Revenue Refunding Bonds, St. John's
River Power Park System Project, Series 11, 5%, 10/1/95 2,575,000 2,583,137
Jacksonville, Florida Pollution Control Revenue Bonds, Florida Power & Light
Co. Project, 4.05%, 12/4/95 (3) 5,000,000 5,000,000
Jacksonville, Florida Pollution Control Revenue Refunding Bonds, Florida Power
& Light Co. Project, 4.05%, 12/4/95 (3) 10,510,000 10,510,000
Orange County, Florida Housing Finance Authority Revenue Refunding Bonds,
Monterey Multifamily Housing Project, Series B, 4.30% (1) 4,965,000 4,965,000
Putnam County, Florida Development Authority Pollution Control Revenue Bonds,
National Rural Utilities-Seminole Electric Project, Series H-4, 4.30%,
9/15/95 (3) 10,000,000 10,000,000
Putnam County, Florida Development Authority Pollution Control Revenue
Refunding Bonds, Seminole Electric Co-op, Series D, 3.40%, 12/15/95 (3) 8,565,000 8,565,000
-------------
96,867,725
-------------
GEORGIA--3.9%
Burke County, Georgia Development Authority Pollution Control Revenue Bonds,
Oglethorpe Power Corp., Series A, 3.652% (1) 27,940,000 27,940,000
De Kalb County, Georgia Housing Authority Apts. Development Revenue Refunding
Bonds, Winter Peachtree Project, 4.30% (1) 5,000,000 5,000,000
Floyd County, Georgia Development Authority Pollution Control Revenue Refunding
Bonds, Inland-Rome, Inc. Project, 4.35% (1) 4,735,000 4,735,000
Georgia State General Obligation Bonds, Series 1995B, 4.30% (1) 12,000,000 12,000,000
Newton County, Georgia Industrial Development Authority Revenue Refunding
Bonds, John H. Harland Co. Project, 4.20% (1) 1,000,000 1,000,000
-------------
50,675,000
-------------
HAWAII--0.2%
Hawaii State Department of Budget & Finance Special Purpose Mtg. Revenue Bonds,
Kuakini Medical Center Project, FGIC Insured, 4% (1) 2,900,000 2,900,000
-----------
</TABLE>
5
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
ILLINOIS--10.8%
Centralia City, Illinois Industrial Development Revenue Bonds, Consolidated
Foods Corp./Hollywood Brands, Inc., 4.15% (1) $ 5,500,000 $ 5,500,000
Chicago, Illinois General Obligation Tender Nts., Series A, 4.60%, 10/31/95
(3) 15,300,000 15,300,000
Elk Grove Village, Illinois Industrial Development Revenue Bonds, La Quinta
Motor Inns, Inc., 3.95% (1) 3,700,000 3,700,000
Illinois Development Finance Authority Pollution Control Revenue Bonds, Diamond
Star Motors Co. Project, 4.60% (1) 12,700,000 12,700,000
Illinois Development Finance Authority Pollution Control Revenue Bonds,
Illinois Power Co. Project, Series C, 3.90%, 8/3/95 (3) 4,000,000 4,000,000
Illinois Development Finance Authority Revenue Bonds, Latin School of Chicago
Project, 3.60% (1) 9,000,000 9,000,000
Illinois Educational Facilities Authority Revenue Bonds, National-Louis
University, 4.05% (1) 6,500,000 6,500,000
Illinois Health Facilities Authority Revenue Bonds, Lake Forest Hospital
Project, 4.50% (1) 13,000,000 13,000,000
Lakemoor Village, Illinois Multifamily Housing Mtg. Revenue Bonds, Lakemoor
Apts. Project, 5%, 3/1/96 (3) 4,832,000 4,832,000
Lakemoor Village, Illinois Multifamily Housing Mtg. Revenue Bonds, Lakemoor
Apts. Project, 5.25%, 3/1/96 (3) 15,000,000 15,000,000
Oakbrook Terrace, Illinois Multifamily Housing Mtg. Revenue Bonds, 5.25%,
3/1/96 (3) 35,000,000 35,033,652
Oakbrook Terrace, Illinois Multifamily Housing Mtg. Revenue Bonds, Renaissance
Project, Series 1985A, 4.75%, 4/1/96 (3) 14,000,000 14,000,000
West Chicago, Illinois Industrial Development Revenue Refunding Bonds, Liquid
Container Project, 4.25% (1) 3,810,000 3,810,000
-------------
142,375,652
-------------
INDIANA--4.1%
Crawfordsville, Indiana Economic Development Revenue Refunding Bonds, Pedcor
Investments-Shady Knoll I Apts. Project, 4.30% (1) 3,475,000 3,475,000
Gary, Indiana Industrial Environmental Improvement Revenue Bonds, U.S. Steel
Corp. Project, 3.60% (1) 1,000,000 1,000,000
Hobart, Indiana Economic Development Revenue Refunding Bonds, MMM Invest, Inc.
Project, 4.20% (1) 2,220,000 2,220,000
Indiana Bond Bank, Advance Funding Program Nts., Series A-2, 5.75%, 1/10/96 12,530,000 12,577,218
Indiana Health Facilities Finance Authority Revenue Bonds, Cardinal Center
Project, 4.313% (1) 3,000,000 3,000,000
Indiana State Development Finance Authority Economic Development Revenue Bonds,
Saroyan Hardwoods, Inc., 4.35% (1) 2,300,000 2,300,000
</TABLE>
6
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
INDIANA (CONTINUED)
Indianapolis, Indiana Local Public Improvement Bond Bank Nts., Series F, 5.25%,
7/14/95 $18,850,000 $18,852,606
Indianapolis, Indiana Local Public Improvement Bond Bank Nts., Series G, 5.25%,
7/14/95 2,675,000 2,675,370
Marion County, Indiana Hospital Authority Hospital Facility Revenue Bonds,
Indianapolis Osteopathic, 4.313% (1) 4,100,000 4,100,000
St. Joseph County, Indiana Hospital Authority Special Obligation Bonds, Madison
Center, Inc. Project, 4.41% (1) 3,000,000 3,000,000
St. Joseph County, Indiana Industrial Educational Facilities Revenue Bonds,
Holy Cross College, 4.20% (1) 1,000,000 1,000,000
-------------
54,200,194
-------------
IOWA--1.8%
Des Moines, Iowa Commercial Development Revenue Bonds, Series A, 4.10% ((1)) 6,900,000 6,900,000
Iowa School Corp. Warrant Certificates, Series B, CGIC Insured, 5.75%, 2/1/96 15,000,000 15,107,100
Mason City, Iowa Industrial Development Revenue Bonds, SuperValu Stores, Inc.
Project, 4.30% (1) 2,000,000 2,000,000
-------------
24,007,100
-------------
KANSAS--0.6%
Kansas City, Kansas Private Activity Revenue Refunding Bonds, Inland Container
Corp., 4.35% (1) 5,200,000 5,200,000
Olathe, Kansas Industrial Revenue Refunding Bonds, William F. Bieber Project,
5.60% (1) 1,925,000 1,925,000
Ottawa, Kansas Industrial Development Revenue Bonds, Laich Industries Project,
4.35% (1) 800,000 800,000
-------------
7,925,000
-------------
KENTUCKY--0.1%
Jamestown, Kentucky Industrial Building Revenue Bonds, Union Underwear Co.,
4.25% (1) 1,000,000 1,000,000
-------------
LOUISIANA--0.2%
East Baton Rouge Parish, Louisiana Industrial Development Board Revenue
Refunding Bonds, La Quinta Motor Inns, Inc., 4.25% (1) 2,625,000 2,625,000
-------------
MARYLAND--4.1%
Hartford County, Maryland Revenue Refunding Bonds, 1001 Participation Facility
Project, 3.95% (1) 2,850,000 2,850,000
Maryland State Health & Higher Educational Facilities Authority Revenue Bonds,
Carroll General Pooled Loan Program, Series A, 4.20% (1) 1,555,000 1,555,000
</TABLE>
7
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
MARYLAND (CONTINUED)
Maryland State Health & Higher Educational Facilities Authority Revenue Bonds,
University of Maryland Pooled Loan Program, Series B, 3.95% (1) $ 1,285,000 $ 1,285,000
Montgomery County, Maryland Consolidated Public Improvement General Obligation
Bonds, Series A, 5.20%, 10/1/95 5,000,000 5,005,000
Montgomery County, Maryland Multifamily Housing Opportunities Commission
Revenue Bonds, Grosvenor House Project, Series A, 3.95% (1) 19,700,000 19,700,000
Montgomery County, Maryland Multifamily Housing Opportunities Commission
Revenue Bonds, Issue A, 4.15% (1) 15,800,000 15,800,000
Worcester County, Maryland Revenue Refunding Bonds, White Marlin Mall Project,
3.95% (1) 8,250,000 8,250,000
-------------
54,445,000
-------------
MASSACHUSETTS--2.7%
Massachusetts Bay Transportation Authority Tax-Exempt Commercial Paper, 3.50%,
9/8/95 (3) 12,000,000 12,000,000
Massachusetts State Commonwealth General Obligation Bonds, Series C, 4.056% (1) 15,400,000 15,400,000
Massachusetts State Housing Finance Agency Single Family Housing Revenue Bonds,
Series 34, FGIC Insured, 4.15%, 6/1/96 (3) 2,750,000 2,750,000
Massachusetts State Housing Finance Agency Single Family Housing Revenue Bonds,
Series 35, FGIC Insured, 4.10%, 6/1/96 (3) 5,000,000 5,000,000
Massachusetts State Industrial Finance Agency Revenue Bonds, Hazen Paper, 4.48%
(1) 400,000 400,000
North Andover Town, Massachusetts Industrial Revenue Bonds, Atlee-Oak Realty
Trust of Delaware, Inc., 4.48% (1) 450,000 450,000
-------------
36,000,000
-------------
MICHIGAN--4.8%
Madison Heights, Michigan Economic Development Revenue Bonds, Red Roof Inns
Project, 4.15% (1) 1,000,000 1,000,000
Michigan State Full Faith & Credit General Obligation Nts., 5%, 9/29/95 60,000,000 60,130,222
Michigan State Job Development Authority Revenue Bonds, East Lansing Residence
Associates Project, 4% (1) 1,900,000 1,900,000
-------------
63,030,222
-------------
MINNESOTA--4.6%
Anoka, Minnesota Multifamily Housing Revenue Bonds, Walker Plaza, Series B,
4.10% (1) 1,950,000 1,950,000
Austin, Minnesota Industrial Development Revenue Refunding Bonds, SuperValu
Stores, Inc. Project, 4.30% (1) 4,600,000 4,600,000
Bloomington, Minnesota Port Authority Tax Revenue Refunding Bonds, Mall of
America Project, Series C, FSA Insured, 4.15% (1) 8,300,000 8,300,000
</TABLE>
8
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
MINNESOTA (CONTINUED)
Burnsville, Minnesota Commercial Development Revenue Bonds, SuperValu Stores,
Inc. Project, Series 83, 4.30% (1) $5,500,000 $ 5,500,000
Dakota County, Minnesota Housing & Redevelopment Multifamily Mtg. Revenue
Bonds, Westwood Ridge Rental Housing Project, Series A, 4.10% (1) 2,500,000 2,500,000
Eden Prairie, Minnesota Commercial Development Revenue Refunding Bonds,
Lakeview Business Center, 4.10% (1) 1,200,000 1,200,000
Eden Prairie, Minnesota Industrial Development Revenue Bonds, SuperValu Stores,
Inc. Project, 4.30% (1) 1,000,000 1,000,000
Maplewood, Minnesota Revenue Bonds, 5.58% (1) 1,145,000 1,145,000
Minneapolis, Minnesota Commercial Development Revenue Refunding
Bonds, Minnehaha/Lake Partners Project, 4.15% (1) 2,750,000 2,750,000
Minneapolis, Minnesota Housing Development Revenue Refunding Bonds, One Ten
Grant Project, 3.645% (1) 3,000,000 3,000,000
New Ulm, Minnesota Hospital Facilities Revenue Bonds, Health Center Systems,
4.25% (1) 2,500,000 2,500,000
North Suburban Hospital District, Minnesota Revenue Bonds, Anoka & Ramsey
Counties Hospital Health Center, 4.25% (1) 3,400,000 3,400,000
Southern Minnesota Municipal Power Agency Power Supply Systems Revenue Bonds,
Prerefunded, Series A, 9.50%, 1/1/96 (3) 1,700,000 1,775,767
St. Paul, Minnesota Port Authority Parking Revenue Refunding Bonds, City
Walking Ramp Project, 4.10%, (1) 2,410,000 2,410,000
St. Paul, Minnesota Port Authority Tax Increment Revenue Bonds, Westgate Office
& Industrial Center Project, 4.10% (1) 5,500,000 5,500,000
Stillwater, Minnesota Industrial Development Revenue Refunding Bonds, SuperValu
Stores, Inc. Project, 4.30% (1) 5,500,000 5,500,000
Western Minnesota Municipal Power Agency Revenue Refunding Bonds, Prerefunded,
Series 1985A, 9.50%, 1/1/96 (3) 7,000,000 7,310,178
-------------
60,340,945
-------------
MISSOURI--0.5%
St. Charles County, Missouri Industrial Development Revenue Refunding Bonds,
Remington Apts. Project, 4.30% (1) 6,300,000 6,300,000
-------------
MONTANA--0.1%
Great Falls, Montana Industrial Development Revenue Refunding Bonds, SuperValu
Stores, Inc. Project, 4.30% (1) 1,000,000 1,000,000
-------------
NEBRASKA--0.6%
Nebraska Investment Finance Authority Single Family Mtg. Revenue Refunding
Bonds, GNMA Mtg. Series B, FGIC Insured, 4.75%, 7/15/95 (3) 4,765,000 4,765,000
</TABLE>
9
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
NEBRASKA (CONTINUED)
Norfolk, Nebraska Industrial Development Revenue Refunding Bonds, SuperValu
Stores, Inc. Project, 4.30% (1) $ 2,800,000 $ 2,800,000
-------------
7,565,000
-------------
NEVADA--1.9%
Nevada State General Obligation Bonds, Colorado River Commission, 3.85% (1) 25,000,000 25,000,000
-------------
NEW JERSEY--0.7%
New Jersey Economic Development Authority Manufacturing Facilities Revenue
Bonds, VPR Commerce Center Project, 4.20% (1) 3,750,000 3,750,000
New Jersey State General Obligation Revenue Refunding Bonds, 7.90%, 8/1/95 5,000,000 5,013,189
-------------
8,763,189
-------------
NEW MEXICO--0.8%
Albuquerque, New Mexico Airport Revenue Refunding Bonds, Sub. Lien, AMBAC
Insured, 2.55% (1) 11,000,000 11,000,000
-------------
NEW YORK--3.3%
Albany County, New York General Obligation Revenue Refunding Bonds, South Mall
Construction Project, Series A, FGIC Insured, 4.30%, 4/1/96 1,000,000 1,001,490
Babylon, New York General Obligation Bonds, Series B, AMBAC Insured, 3.95% (1) 700,000 700,000
City of New York Development Corp. Mtg. Revenue Bonds, Columbus Multi-
family Project, Series A, 4% (1) 2,700,000 2,700,000
City of New York Housing Development Corp. Mtg. Revenue Bonds, East 96th Street
Project, Series A, 3.75% (1) 400,000 400,000
City of New York Housing Development Corp. Mtg. Revenue Bonds, Multifamily-
James Tower Development, Series A, 3.85% (1) 3,000,000 3,000,000
City of New York Trust Cultural Resources Revenue Refunding Bonds, American
Museum of Natural History, Series A, MBIA Insured, 3.95% (1) 2,400,000 2,400,000
City of New York Trust Cultural Resources Revenue Refunding Bonds, American
Museum of Natural History, Series B, MBIA Insured, 3.95% (1) 900,000 900,000
Erie County, New York General Obligation Revenue Anticipation Nts., 4.75%,
8/15/95 1,800,000 1,799,938
Erie County, New York Water Authority Revenue Bonds, Series A, AMBAC Insured,
4% (1) 1,000,000 1,000,000
New York State Environmental Facilities Corp. Solid Waste Disposal Revenue
Refunding Bonds, General Electric Co. Project, Series A, 3.95%, 9/8/95 (3) 800,000 800,000
New York State Job Development Authority Gtd. Revenue Bonds, 1984 Series E-1 to
E-55, 3.60% (1) 355,000 355,000
</TABLE>
10
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
NEW YORK (CONTINUED)
New York State Job Development Authority Gtd. Revenue Bonds, 1984 Series F-1 to
F-17, 3.60% (1) $ 160,000 $ 160,000
New York State Job Development Authority Gtd. Revenue Bonds, Series C-1 to
C-30, 4.60% (1) 895,000 895,000
New York State Job Development Authority Gtd. Revenue Bonds, Special Purpose,
Series C-1, 3.70% (1) 815,000 815,000
New York State Local Government Assistance Corp. Revenue Bonds, Series A,
3.70% (1) 700,000 700,000
New York State Medical Care Facilities Finance Agency Revenue Bonds, Mt. Sinai
Hospital Project, Prerefunded, Series C, FHA Insured, 8.875%, 1/15/96 (3) 3,000,000 3,131,324
New York State Medical Care Facilities Finance Agency Revenue Bonds, St. Mary's
Hospital-Private Insurance Program, Prerefunded, AMBAC Insured, 8.375%,
11/1/95 (3) 3,300,000 3,401,546
New York State Urban Development Corp. Correctional Facilities Revenue Bonds,
Prerefunded, Series B, 8%, 1/1/96 (3) 8,300,000 8,609,396
New York State Urban Development Corp. Revenue Refunding Bonds, Prerefunded,
8%, 1/1/96 (3) 6,500,000 6,723,139
North Hempstead, New York Solid Waste Management Authority Revenue Refunding
Bonds, Series A, 3.75% (1) 700,000 700,000
Suffolk County, New York Industrial Development Agency Revenue Bonds,
Nissequogue Cogen Partners Project, 4.30% (1) 700,000 700,000
Triborough Bridge & Tunnel Authority of New York Revenue Bonds, FGIC Insured,
3.75% (1) 2,000,000 2,000,000
-------------
42,891,833
-------------
NORTH CAROLINA--0.9%
North Carolina National Bank Pooled Tax-Exempt Trust Certificates of
Participation, Series 1990A, 4.50% (1) 8,080,000 8,080,000
North Carolina National Bank Pooled Tax-Exempt Trust Certificates of
Participation, Series 1990B, 4.50% (1) 4,500,000 4,500,000
-------------
12,580,000
-------------
NORTH DAKOTA--0.2%
Bismarck, North Dakota Industrial Development Revenue Bonds, SuperValu Stores,
Inc. Project, 4.30% (1) 1,500,000 1,500,000
Bismarck, North Dakota Industrial Development Revenue Refunding Bonds,
SuperValu Stores, Inc. Project, 4.30% (1) 800,000 800,000
-------------
2,300,000
-------------
OHIO--5.4%
Cuyahoga County, Ohio Industrial Development Revenue Bonds, Southwest LP,
4.70%, 12/1/95 (3) 500,000 500,000
</TABLE>
11
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
OHIO (CONTINUED)
Gallia County, Ohio Industrial Development Mtg. Revenue Refunding Bonds,
Jackson Pike Assn., 3.85%, 12/15/95 (3) $ 1,750,000 $ 1,750,000
Greene County, Ohio Industrial Development Revenue Refunding Bonds, SuperValu
Holdings, Inc. Project, 4.30% (1) 1,000,000 1,000,000
Licking County, Ohio Industrial Development Revenue Bonds, Power Industries,
Inc. Project, 4.20%, 12/1/95 (3) 315,000 315,000
Lucas County, Ohio Industrial Development Revenue Refunding Bonds, H.H. Motel,
Inc. Project, 4.20% (1) 3,905,000 3,905,000
Marion County, Ohio Hospital Revenue Bonds, Pooled Lease Program, 4.20% (1) 6,960,000 6,960,000
Marion County, Ohio Hospital Revenue Bonds, Pooled Lease Program, 4.25%,
11/1/95 (3) 9,150,000 9,150,000
Miami Valley, Ohio Tax-Exempt Mtg. Trust Revenue Bonds, Series 86, 4.88%,
10/15/95 (3) 2,835,000 2,835,000
Ohio State Air Quality Development Authority Pollution Control Revenue
Refunding Bonds, Series B, 4.95%, 10/4/95 (3) 4,655,000 4,655,000
Ohio State Water Development Authority Pollution Control Facilities Revenue
Refunding Bonds, Duquesne Light Co., Series A, 4.95%, 10/4/95 (3) 33,955,000 33,955,000
Scioto County, Ohio Health Care Facilities Revenue Bonds, Hill View Retirement
Center, 4.20%, 12/1/95 (3) 2,895,000 2,895,000
Warren County, Ohio Industrial Development Revenue Refunding Bonds, Liquid
Container Project, 4.25% (1) 1,670,000 1,670,000
Whitehall, Ohio Industrial Development Revenue Refunding Bonds, First Mtg.
Continental Commercial, 4.70%, 8/1/95 (3) 1,590,000 1,590,000
-------------
71,180,000
-------------
OKLAHOMA--0.9%
Claremore, Oklahoma Industrial & Redevelopment Authority Revenue Refunding
Bonds, Worthington Cylinder Project, 4.25% (1) 2,370,000 2,370,000
Cleveland County, Oklahoma Public Facilities Revenue Bonds, Hunt Development
Project, Series A, 4.55% (1) 1,000,000 1,000,000
Mid-West Tax-Exempt Mtg. Board Trust Revenue Bonds, 3.85% (1) 1,635,000 1,635,000
Tulsa, Oklahoma Industrial Authority Revenue Bonds, 4.15% (1) 6,500,000 6,500,000
-------------
11,505,000
-------------
OREGON--2.2%
Clackamas County, Oregon Hospital Facility Authority Revenue Bonds, Kaiser
Permanente Medical Center Project, 4.20%, 10/1/95 (3) 2,300,000 2,300,000
Hillsboro, Oregon Revenue Bonds, Oregon Graduate Institute, 4.20% (1) 7,000,000 7,000,000
Klamath Falls, Oregon Electric Revenue Bonds, Salt Caves Hydroelectric Project,
Series D, 4.40%, 5/1/96(3) 16,000,000 16,000,000
</TABLE>
12
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
OREGON (CONTINUED)
Oregon State Economic & Industrial Development Commission Revenue Bonds,
Eagel-Picher Industries Project, 4.80% (1) $ 3,600,000 $ 3,600,000
-------------
28,900,000
-------------
PENNSYLVANIA--1.2%
Commonwealth of Pennsylvania Tax-Exempt Mtg. Bond Trust Certificates, Series A,
4.50%, 11/1/95 (3) 3,470,000 3,470,000
Littlestown, Pennsylvania Industrial Development Authority Revenue Refunding
Bonds, Hanover House Industries Project, 4.20% (1) 3,000,000 3,000,000
Montgomery County, Pennsylvania Industrial Development Authority Revenue Bonds,
Quaker Chemical Corp. Project, 3.90% (1) 1,600,000 1,600,000
Philadelphia, Pennsylvania Authority for Industrial Development Revenue Bonds,
Commercial Development, 1100 Walnut St. Assn., 3.90% (1) 7,400,000 7,400,000
-------------
15,470,000
-------------
SOUTH CAROLINA--2.0%
Charleston Center Tax-Exempt Bonds, Grantor Trust No. 2, 4.30%, 11/1/95 (3) 4,407,500 4,407,500
Charleston Center Tax-Exempt Bonds, Grantor Trust No. 3, 4.80%, 7/1/95 (3) 9,452,500 9,452,500
Charleston Center Tax-Exempt Bonds, Grantor Trust No. 6, 4.35%, 10/1/95 (3) 8,075,000 8,075,000
Dorchester County, South Carolina Pollution Control Facilities Revenue
Refunding Bonds, The BOC Group, Inc. Project, 4.15% (1) 3,500,000 3,500,000
South Carolina Jobs & Economic Development Authority Revenue Bonds, Wellman
Income Project, 4.25% (1) 1,000,000 1,000,000
-------------
26,435,000
-------------
SOUTH DAKOTA--2.7%
Grant County, South Dakota Pollution Control Revenue Refunding Bonds, Otter
Tail Power Co. Project, 4.15% (1) 10,400,000 10,400,000
South Dakota State Health & Educational Bonds, Sioux Valley Hospital
Issue, 4.15% (1) 20,600,000 20,600,000
Watertown, South Dakota Industrial Development Revenue Bonds, SuperValu Stores,
Inc. Project, 4.30% (1) 3,900,000 3,900,000
-------------
34,900,000
-------------
TENNESSEE--2.4%
Clarksville, Tennessee Public Building Authority Revenue Bonds, Pooled
Financing-Tennessee Municipal Bond Fund, 4.20% (1) 12,000,000 12,000,000
Covington, Tennessee Industrial Development Board, Charms Co. Project, 4.10%
(1) 4,100,000 4,100,000
Dayton, Tennessee Industrial Development Board Revenue Refunding Bonds,
La-Z Boy Chair Co. Project, 4.15% (1) 4,350,000 4,350,000
</TABLE>
13
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
TENNESSEE (CONTINUED)
Knox County, Tennessee Industrial Development Board Revenue Bonds, Weisgarber
Partners, FGIC Insured, 4.10% (1) $ 3,000,000 $ 3,000,000
Metropolitan Government of Nashville & Davidson County, Tennessee Health &
Educational Facilities Board Revenue Bonds, Vanderbilt University Project,
Series 1985B, 4.35%, 5/1/96 (3) 2,250,000 2,250,000
Metropolitan Government of Nashville & Davidson County, Tennessee Health &
Educational Facilities Board Revenue Bonds, Vanderbilt University Project,
Series 85A, 5.10%, 1/15/96 (3) 1,000,000 1,000,000
Metropolitan Government of Nashville & Davidson County, Tennessee Health &
Educational Facilities Board Revenue Bonds, Vanderbilt University Project,
Series 85A, 5.10%, 1/15/96 (3) 700,000 700,000
Metropolitan Government of Nashville & Davidson County, Tennessee Multifamily
Housing Revenue Bonds, Arbor Crest Project, Series B, 4.20% (1) 3,550,000 3,550,000
Rutherford County, Tennessee Industrial Development Board Industrial Building
Revenue Bonds, Derby Industries, Inc. Project, 4.35% (1) 1,000,000 1,000,000
-------------
31,950,000
-------------
TEXAS--9.0%
Angelina & Neches River Authority Texas Pollution Control Revenue Refunding
Bonds, Temple-Inland Forest Project, 4.35% (1) 7,350,000 7,350,000
Austin, Texas Travis & Williamson Counties Combined Utility Systems Tax-Exempt
Commercial Paper, Swiss Bank Insured, 4.20%, 10/5/95 (3) 8,200,000 8,200,000
Harris County, Texas Custodial Receipts, Series A, 3.65% (1) 5,000,000 5,000,000
Hockley County, Texas Industrial Development Corp. Pollution Control Revenue
Bonds, Amoco Project-Standard Oil Co., 4.75%, 9/1/95 (3) 20,000,000 20,011,993
Lower Neches Valley Authority Texas Revenue Bonds, Chevron USA, Inc. Project,
4.45%, 8/15/95 (3) 9,400,000 9,400,000
Texas State Tax & Revenue Anticipation Nts., 5%, 8/31/95 60,050,000 60,075,386
Texas Water Resource Finance Authority Revenue Bonds, Series 1989, 7%, 8/15/95 4,455,000 4,469,129
Travis County, Texas Housing Finance Corp. Multifamily Housing Revenue Bonds,
Bent Oaks Apts., 4.665% (1) 4,400,000 4,400,000
-------------
118,906,508
-------------
UTAH--1.3%
Intermountain Power Agency of Utah Power Supply Revenue Refunding Bonds,
Series E, 3.85%, 6/17/96 (3) 2,100,000 2,100,000
Intermountain Power Agency of Utah Power Supply Revenue Refunding Bonds,
Series F, 4.15%, 9/15/95 (3) 5,500,000 5,500,000
</TABLE>
14
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
UTAH (CONTINUED)
Utah State Housing Finance Agency Multifamily Housing Revenue Refunding Bonds,
Candlestick Apts. Project, 4.15% (1) $ 6,400,000 $ 6,400,000
Weber County, Utah Industrial Development Revenue Refunding Bonds, Parker
Properties, Inc. Project, 3.90% (1) 2,600,000 2,600,000
-------------
16,600,000
-------------
VERMONT--0.4%
Vermont Educational & Health Buildings Financing Agency Revenue Bonds,
Middlebury College Project, Series 1988A, 4.35%, 5/1/96 (3) 3,500,000 3,500,000
Vermont Industrial Development Authority Revenue Bonds, Sherburne Corp.,
4.48% (1) 1,885,000 1,885,000
-------------
5,385,000
-------------
VIRGINIA--0.8%
Roanoke, Virginia Industrial Development Authority Hospital Revenue Bonds,
Roanoke Memorial Hospital Project, Series A, 4.50% (1) 100,000 100,000
Virginia State Housing Development Authority Commonwealth Mtg. Bonds, Series D,
4.12%, 9/12/95 (3) 4,000,000 4,000,140
Virginia State Housing Development Authority Commonwealth Mtg. Bonds, Series F,
4.12%, 9/12/95 (3) 7,000,000 7,000,244
-------------
11,100,384
-------------
WASHINGTON--1.4%
Port Longview, Washington Industrial Development Revenue Bonds, Longview Fibre
Co. Project, 4.10% (1) 2,500,000 2,500,000
Redmond, Washington Public Corp. Industrial Revenue Refunding Bonds, Genie
Industries, Lot 1, 4.25% (1) 1,100,000 1,100,000
Redmond, Washington Public Corp. Industrial Revenue Refunding Bonds, Genie
Industries, Lot 2, 4.25% (1) 1,770,000 1,770,000
Seattle, Washington Industrial Development Corp. Revenue Bonds, RICS LP,
4.30% (1) 5,700,000 5,700,000
Washington State Housing Finance Commission Non-profit Housing Revenue Bonds,
Horizon House Project, 3.80% (1) 4,505,000 4,505,000
Washington State Housing Finance Commission Single Family Program Bonds, FGIC
Insured, 4.10%, 6/1/96 (3) 2,500,000 2,500,000
-------------
18,075,000
-------------
WEST VIRGINIA--1.9%
Grant County, West Virginia Pollution Control Revenue Bonds, Virginia Electric
& Power Co. Project, Series 1994, 3.80%, 9/13/95 (3) 19,500,000 19,500,000
Harrison County, West Virginia Industrial Development Revenue Refunding Bonds,
Fox Grocery Co. Project, 4.25% (1) 4,140,000 4,140,000
</TABLE>
15
<PAGE>
STATEMENT OF INVESTMENTS (Continued)
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Face Amortized Cost
Amount See Note 1
---------- ---------------
<S> <C> <C>
SHORT-TERM TAX-EXEMPT OBLIGATIONS (CONTINUED)
WEST VIRGINIA (CONTINUED)
West Virginia School Building Authority Capital Improvement Revenue Bonds,
MBIA Insured, 5%, 7/1/95 $1,795,000 $ 1,795,000
-------------
25,435,000
-------------
Total Investments, at Amortized Cost 103.3% 1,357,731,247
Liabilities in Excess of Other Assets (3.3) (42,810,270)
----- -------------
Net Assets 100.0% $1,314,920,977
===== =============
</TABLE>
1. Floating or variable rate obligation maturing in more than one year. The
interest rate, which is based on specific, or an index of, market interest
rates, is subject to change periodically and is the effective rate on June
30, 1995. This instrument may also have a demand feature which allows the
recovery of principal at any time, or at specified intervals not exceeding
one year, on up to 30 days' notice. Maturity date shown represents effective
maturity based on variable rate and, if applicable, demand feature.
2. When-issued security to be delivered and settled after June 30, 1995.
3. Put obligation redeemable at full face value on the date reported.
See accompanying Notes to Financial Statements.
16
<PAGE>
STATEMENT OF ASSETS AND LIABILITIES June 30, 1995
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
<S> <C>
ASSETS:
Investments, at amortized cost--see accompanying statement $1,357,731,247
Cash 2,477,832
Receivables:
Interest 12,804,526
Shares of beneficial interest sold 33,622,017
Other 279,760
-----------
Total assets 1,406,915,382
-----------
LIABILITIES:
Payables and other liabilities:
Investments purchased 71,707,195
Shares of beneficial interest redeemed 18,068,864
Dividends 1,906,239
Service plan fees--Note 3 120,368
Transfer and shareholder servicing agent fees--Note 3 23,467
Trustees' fees 1,113
Other 167,159
-----------
Total liabilities 91,994,405
-----------
NET ASSETS $1,314,920,977
===========
COMPOSITION OF NET ASSETS:
Paid-in capital $1,314,882,597
Accumulated net realized gain from investment transactions 38,380
-----------
NET ASSETS -- applicable to 1,314,898,565 shares of beneficial interest
outstanding $1,314,920,977
===========
NET ASSET VALUE, REDEMPTION PRICE AND OFFERING PRICE PER SHARE $1.00
</TABLE>
See accompanying Notes to Financial Statements.
17
<PAGE>
STATEMENT OF OPERATIONS For the Year Ended June 30, 1995
Centennial Tax Exempt Trust
<TABLE>
<S> <C>
INVESTMENT INCOME:
Interest $43,517,674
EXPENSES:
Management fees -- Note 3 5,050,991
Service plan fees -- Note 3 2,246,219
Transfer and shareholder servicing agent
fees -- Note 3 579,024
Registration and filing fees 166,390
Shareholder reports 77,337
Legal and auditing fees 42,350
Trustees' fees and expenses 19,421
Custodian fees and expenses 12,774
Other 50,383
----------
Total expenses 8,244,889
----------
NET INVESTMENT INCOME 35,272,785
NET REALIZED GAIN ON INVESTMENTS 69,768
----------
NET INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS $35,342,553
==========
</TABLE>
See accompanying Notes to Financial Statements.
18
<PAGE>
STATEMENTS OF CHANGES IN NET ASSETS
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Year Ended June 30,
--------------------------------
1995 1994
--------------- --------------
<S> <C> <C>
OPERATIONS:
Net investment income $ 35,272,785 $ 19,775,488
Net realized gain on investments 69,768 2,423
-------------- --------------
Net increase in net assets resulting from operations 35,342,553 19,777,911
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS (35,284,282) (19,846,407)
BENEFICIAL INTEREST TRANSACTIONS:
Net increase in net assets resulting from beneficial interest
transactions--Note 2 275,476,883 58,297,214
-------------- --------------
NET ASSETS
Total increase 275,535,154 58,228,718
Beginning of period 1,039,385,823 981,157,105
-------------- --------------
End of period $1,314,920,977 $1,039,385,823
============== ==============
</TABLE>
See accompanying Notes to Financial Statements.
19
<PAGE>
FINANCIAL HIGHLIGHTS
Centennial Tax Exempt Trust
<TABLE>
<CAPTION>
Year Ended June 30, SIX MONTHS YEAR ENDED
---------------------------------------------------------------------- ENDED JUNE 30, DECEMBER 31
1995 1994 1993 1992 1991 1990 1989 1988 1987 1986 1985
----- ----- ----- ----- ----- ----- ----- ----- ----- ------------ -----------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C> <C>
PER SHARE OPERATING DATA:
Net asset value, beginning of
period $ 1.00 $ 1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Income from investment
operations--net investment
income and net realized gain
on investments .03 .02 .02 .03 .04 .05 .05 .04 .04 .02 .05
Dividends and distributions to
shareholders (.03) (.02) (.02) (.03) (.04) (.05) (.05) (.04) (.04) (.02) (.05)
----- ---- - ---- ----- ---- ---- ----- ---- ---- ---- ----
Net asset value, end of period $ 1.00 $ 1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
====== ====== ===== ===== ===== ===== ===== ===== ===== ===== =====
TOTAL RETURN, AT NET ASSET
VALUE(1) 3.17% 1.90% 2.19% 3.55% 5.09% 5.70% 5.55% 4.35% 3.83% 2.25% 5.00%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period (in
millions) $1,315 $1,039 $ 981 $ 917 $787 $ 575 $ 486 $ 518 $ 459 $ 469 $ 212
Average net assets (in
millions) $1,127 $1,057 $ 977 $ 900 $711 $ 561 $ 504 $ 485 $ 522 $ 385 $ 154
Number of shares outstanding at
end of period (in millions) 1,315 1,039 981 917 787 575 486 518 459 469 212
Ratios to average net assets:
Net investment income 3.13% 1.87% 2.08% 3.40% 4.84% 5.44% 5.45% 4.30% 3.71% 4.34%(2) 4.59%
Expenses .73% .76% .76% .75% .77% .79% .78% .78% .79% .82%(2) .82%
</TABLE>
1. Assumes a hypothetical initial investment on the business day before the
first day of the fiscal period, with all dividends reinvested in additional
shares on the reinvestment date, and redemption at the net asset value
calculated on the last business day of the fiscal period. Total returns are
not annualized for periods of less than one full year. Total returns reflect
changes in net investment income only.
2. Annualized.
See accompanying Notes to Financial Statements.
20
<PAGE>
NOTES TO FINANCIAL STATEMENTS
Centennial Tax Exempt Trust
1. SIGNIFICANT ACCOUNTING POLICIES
Centennial Tax Exempt Trust (the Trust) is registered under the Investment
Company Act of 1940, as amended, as a diversified, open-end management
investment company. The Trust's investment advisor is Centennial Asset
Management Corporation (the Manager), a subsidiary of Oppenheimer Management
Corporation (OMC). The following is a summary of significant accounting
policies consistently followed by the Trust.
Investment Valuation--Portfolio securities are valued on the basis of
amortized cost, which approximates market value.
Federal Taxes--The Trust intends to continue to comply with provisions of
the Internal Revenue Code applicable to regulated investment companies and to
distribute all of its taxable income to shareholders. Therefore, no federal
income or excise tax provision is required.
Distributions to Shareholders--The Trust intends to declare dividends from
net investment income each day the New York Stock Exchange is open for
business and pay such dividends monthly. To effect its policy of maintaining
a net asset value of $1.00 per share, the Trust may withhold dividends or
make distributions of net realized gains.
Other--Investment transactions are accounted for on the date the investments
are purchased or sold (trade date). Realized gains and losses on investments
are determined on an identified cost basis, which is the same basis used for
federal income tax purposes.
2. SHARES OF BENEFICIAL INTEREST
The Trust has authorized an unlimited number of no par value shares of
beneficial interest. Transactions in shares of beneficial interest were as
follows:
<TABLE>
<CAPTION>
Year Ended June 30, 1995 Year Ended June 30, 1994
---------------------------- ------------------------------
Shares Amount Shares Amount
------------ ------------ ------------ --------------
<S> <C> <C> <C> <C>
Sold 3,745,799,353 $ 3,745,799,210 3,351,917,791 $ 3,351,918,751
Dividends and distributions
reinvested 33,490,524 33,490,524 19,299,307 19,299,307
Issued in connection with
the acquisition of
Oppenheimer Tax-Exempt
Cash Reserves-- Note 4 31,152,605 31,152,738 -- --
Redeemed (3,534,964,703) (3,534,965,589) (3,312,920,844) (3,312,920,844)
-------------- -------------- -------------- ---------------
Net increase 275,477,779 $ 275,476,883 58,296,254 $ 58,297,214
============== ============= ============== ===============
</TABLE>
3. MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
Management fees paid to the Manager were in accordance with the investment
advisory agreement with the Trust which provides for a fee of .50% on the
first $250 million of average annual net assets with a reduction of .025% on
each $250 million thereafter to $1.5 billion,
21
<PAGE>
NOTES TO FINANCIAL STATEMENTS (Continued)
Centennial Tax Exempt Trust
.35% on the next $500 million of net assets and .325% on net assets in excess
of $2 billion. Until Trust net assets reach $1.5 billion, the annual fee
payable to the Manager will be reduced by $100,000. The Manager has agreed to
assume Trust expenses (with specified exceptions) in excess of the most
stringent state regulatory limit on Trust expenses.
Shareholder Services, Inc. (SSI), a subsidiary of OMC, is the transfer and
shareholder servicing agent for the Trust, and for other registered
investment companies. SSI's total costs of providing such services are
allocated ratably to these companies.
Under an approved service plan, the Trust may expend up to .20% of its net
assets annually to reimburse Centennial Asset Management Corporation, as
distributor, for costs incurred in connection with the personal service and
maintenance of accounts that hold shares of the Trust, including amounts paid
to brokers, dealers, banks and other institutions. During the year ended June
30, 1995, the Trust paid $13,658 to a broker/dealer affiliated with the
Manager as reimbursement for distribution-related expenses.
4. ACQUISITION OF OPPENHEIMER TAX-EXEMPT CASH RESERVES
On July 22, 1994, the Trust acquired all of the net assets of Oppenheimer
Tax-Exempt Cash Reserves (OTECR), pursuant to an Agreement and Plan of
Reorganization approved by the OTECR shareholders on July 12, 1994. The Trust
issued 31,152,605 shares of beneficial interest, valued at $31,152,738, in
exchange for the net assets, resulting in combined net assets of
$1,086,765,782 on July 22, 1994. The exchange qualifies as a tax-free
reorganization for federal income tax purposes.
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FEDERAL INCOME TAX INFORMATION (Unaudited)
Centennial Tax Exempt Trust
In early 1996, shareholders will receive information regarding all dividends
and distributions paid to them by the Trust during calendar year 1995.
Regulations of the U.S. Treasury Department require the Trust to report this
information to the Internal Revenue Service.
None of the dividends paid by the Trust during the fiscal year ended June
30, 1995 are eligible for the corporate dividend-received deduction. The
dividends were derived from interest on municipal bonds and are not subject
to federal income tax. To the extent a shareholder is subject to any state or
local tax laws, some or all of the dividends received may be taxable.
The foregoing information is presented to assist shareholders in reporting
distributions received from the Trust to the Internal Revenue Service.
Because of the complexity of the federal regulations which may affect your
individual tax return and the many variations in state and local tax
regulations, we recommend that you consult your tax advisor for specific
guidance.
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INDEPENDENT AUDITORS' REPORT
Centennial Tax Exempt Trust
The Board of Trustees and Shareholders of Centennial Tax Exempt Trust:
We have audited the accompanying statement of assets and liabilities,
including the statement of investments, of Centennial Tax Exempt Trust as of
June 30, 1995, the related statement of operations for the year then ended,
the statements of changes in net assets for the years ended June 30, 1995 and
1994, and the financial highlights for the period January 1, 1985 to June 30,
1995. These financial statements and financial highlights are the
responsibility of the Trust's management. Our responsibility is to express an
opinion on these financial statements and financial highlights based on our
audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to
obtain reasonable assurance about whether the financial statements and
financial highlights are free of material misstatement. An audit includes
examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statements. Our procedures included confirmation of
securities owned at June 30, 1995 by correspondence with the custodian and
brokers; where replies were not received from brokers, we performed other
auditing procedures. An audit also includes assessing the accounting
principles used and significant estimates made by management, as well as
evaluating the overall financial statement presentation. We believe that our
audits provide a reasonable basis for our opinion.
In our opinion, such financial statements and financial highlights present
fairly, in all material respects, the financial position of Centennial Tax
Exempt Trust at June 30, 1995, the results of its operations, the changes in
its net assets, and the financial highlights for the respective stated
periods, in conformity with generally accepted accounting principles.
DELOITTE & TOUCHE LLP
Denver, Colorado
July 24, 1995
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CENTENNIAL TAX EXEMPT TRUST
Officers and Trustees
James C. Swain, Chairman and
Chief Executive Officer
Robert G. Avis, Trustee
William A. Baker, Trustee
Charles Conrad, Jr., Trustee
Jon S. Fossel, Trustee and President
Raymond J. Kalinowski, Trustee
C. Howard Kast, Trustee
Robert M. Kirchner, Trustee
Ned M. Steel, Trustee
Michael A. Carbuto, Vice President
Andrew J. Donohue, Vice President
George C. Bowen, Vice President,
Secretary and Treasurer
Robert J. Bishop, Assistant Treasurer
Scott Farrar, Assistant Treasurer
Robert G. Zack, Assistant Secretary
Investment Advisor and Distributor
Centennial Asset Management
Corporation
Transfer and Shareholder Servicing Agent
Shareholder Services, Inc.
Custodian of Portfolio Securities
Citibank, N.A.
Independent Auditors
Deloitte & Touche LLP
Legal Counsel
Myer, Swanson, Adams & Wolf, P.C.
This is a copy of a report to shareholders of
Centennial Tax Exempt Trust. This report must be
preceded or accompanied by a Prospectus of
Centennial Tax Exempt Trust. For material infor-
mation concerning the Trust, see the Prospectus.
Shares of Centennial Tax Exempt Trust are not deposits or obligations of any
bank, are not guaranteed by any bank, and are not insured by the FDIC or any
other agency, and involve investment risks, including possible loss of the
principal amount invested.
For shareholder servicing, call:
1-800-525-7048 (in U.S.)
303-671-3200 (outside U.S.)
Or write:
Shareholder Services, Inc.
P.O. Box 5270
Denver, CO 80217-5270
RA0160.001.0895 (RECYCLED LOGO) Printed on recycled paper.
1995 Annual Report
Centennial
Tax Exempt Trust
JUNE 30, 1995
