|
|
|
|
|
|
|
|
|
|
|
|
|
|
Previous: CHESAPEAKE CAPITAL MANAGEMENT INC, 13F-HR, 2000-11-06 |
Next: U S ENERGY SYSTEMS INC, 8-K/A, 2000-11-06 |
BMC Fund, Inc.
Financial Statements and
Additional Information for the
Six Months Ended September 30, 2000
<PAGE>
BMC FUND, INC.
TABLE OF CONTENTS
--------------------------------------------------------------------------------
Page
Directors and Officers 1
Letter to Shareholders 2
Statement of Assets and Liabilities 3
Statement of Operations 4
Statements of Changes in Net Assets 5
Notes to Financial Statements 6-9
Financial Highlights 10
Schedules:
I Investments in Securities of Unaffiliated Issuers 11-24
II Investments - Other than Securities 25
III Investments in Affiliates 26
<PAGE>
BMC FUND, INC.
DIRECTORS AND OFFICERS
--------------------------------------------------------------------------------
DIRECTORS
E. D. Beach Lenoir, North Carolina
James T. Broyhill Winston-Salem, North Carolina
Paul H. Broyhill Lenoir, North Carolina
William E. Cooper Dallas, Texas
Lawrence Z. Crockett Vero Beach, Florida
Willard A. Gortner Naples, Florida
Allene B. Heilman Clearwater, Florida
Harry Heltzer Lenoir, North Carolina
Gene A. Hoots Charlotte, North Carolina
Michael G. Landry Fort Lauderdale, Florida
L. Glenn Orr, Jr. Winston-Salem, North Carolina
Dolph W. von Arx Naples, Florida
OFFICERS
Paul H. Broyhill Chairman
E. D. Beach President, Secretary and Treasurer
Carol Frye Assistant Secretary and Assistant
Treasurer
DIRECTORS EMERITUS
Clarence A. Holden Lenoir, North Carolina
- 1 -
<PAGE>
TO OUR SHAREHOLDERS:
We are happy to present to you our semi-annual report, which we believe contains
complete and pertinent financial information.
BMC Fund, Inc. became a Regulated Investment Company (RIC) on April 1, 1981.
During the six months ended September 30, 2000, the Fund paid the following
dividends per share:
June 10, 2000 to shareholders of record May 25, 2000 $ .33
September 10, 2000 to shareholders of record August 25, 2000 .33
-------
Total $ .66
=======
Prior to April 1, 1999 at least 50% of the market value of the Fund consisted of
tax exempt municipal bonds. At a board of directors meeting held in July 1998,
the board approved a plan to change the Fund's investment strategy. The amount
invested in municipal bonds was to remain at a level of at least 50% of the
total value of the Fund until April 1, 1999 and at that time or as soon as
practical thereafter all municipal bonds would be redeemed or sold. The tax
exempt securities were redeemed with no loss as follows:
April 1999 $69,340,000
May 1999 4,220,000
-----------
Total $73,560,000
===========
The proceeds from the tax exempt securities were added to the then existing
marketable securities. Schedule I is a listing of all the Fund's diversified
securities at September 30, 2000, with a total market value of $141,407,235.
It is our intent to render reports to shareholders each six months.
Paul H. Broyhill, Chairman E. D. Beach, President
- 2 -
<PAGE>
BMC FUND, INC.
STATEMENT OF ASSETS AND LIABILITIES
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<S> <C>
ASSETS AT MARKET VALUE:
Investment securities (cost - $116,322,433) $141,407,235
Investment in affiliates - wholly owned subsidiaries (equity value - $11,524,361) 14,020,006
Investment real estate (cost - $146,599) 150,000
Cash 3,631,192
Receivables, principally accrued interest 627,113
Other assets 16,853
------------
Total assets 159,852,399
------------
LIABILITIES:
Due to brokers 2,344,713
Accounts payable and accrued expenses 94,421
------------
Total liabilities 2,439,134
------------
NET ASSETS AT SEPTEMBER 30, 2000 - EQUIVALENT TO $31.91 PER
SHARE ON 4,933,281 SHARES OF $5.00 PAR VALUE COMMON STOCK
OUTSTANDING - Authorized capital 70,000,000 shares $157,413,265
============
SUMMARY OF SHAREHOLDERS' EQUITY:
Common stock, par value $5.00 per share; authorized, 70,000,000 shares;
outstanding, 4,933,281 shares $ 24,666,405
Retained earnings prior to becoming investment company 92,939,370
Undistributed net investment income 5,142,426
Realized gain on investments 1,886,502
Undistributed nontaxable gain 5,194,714
Unrealized appreciation of investments 27,583,848
------------
NET ASSETS, APPLICABLE TO COMMON STOCK OUTSTANDING $157,413,265
============
</TABLE>
See accompanying notes to financial statements.
- 3 -
<PAGE>
BMC FUND, INC.
STATEMENT OF OPERATIONS
SIX MONTHS ENDED SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
INVESTMENT INCOME:
Income:
Interest - corporate bonds $ 900,950
Other interest and dividends 1,392,335
Earnings of wholly owned subsidiaries 612,491
-----------
Total income 2,905,776
-----------
Expenses:
Legal and professional fees 42,282
Directors' fees (Note 2) 17,500
Officers' remuneration (Note 2) 34,400
Interest expense 41,452
Investment expense 147,106
Salaries and commissions 25,324
Property and liability insurance 8,720
Depreciation expense 1,208
Taxes and licenses 23,042
Rent 7,050
Office supplies and expense 3,958
Travel and entertainment 15,068
Miscellaneous 575
-----------
Total expenses 367,685
-----------
Investment income, net 2,538,091
-----------
REALIZED AND UNREALIZED GAIN ON INVESTMENTS:
Realized gain from investment securities sold 1,886,502
Change in unrealized appreciation of investments for the period (812,589)
-----------
Net gain on investments 1,073,913
-----------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $ 3,612,004
===========
See accompanying notes to financial statements.
- 4 -
<PAGE>
BMC FUND, INC.
STATEMENTS OF CHANGES IN NET ASSETS
SIX MONTHS ENDED SEPTEMBER 30, 2000 AND 1999
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
2000 1999
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS FROM
OPERATIONS:
Net investment income $ 2,538,091 $ 7,627,843
Net realized gain on investments 1,886,502 1,206,359
Change in unrealized appreciation (812,589) (3,441,916)
------------- -------------
Net increase (decrease) in net assets resulting from
operations 3,612,004 5,392,286
Distributions to shareholders from investment income - net 3,255,965 3,255,965
------------- -------------
TOTAL INCREASE (DECREASE) IN NET ASSETS 356,039 2,136,321
NET ASSETS - Beginning of period 157,057,226 143,092,147
------------- -------------
NET ASSETS AT END OF PERIOD (INCLUDING
UNDISTRIBUTED NET INVESTMENT INCOME
(2000 - $5,142,426; 1999 - $5,252,684) $ 157,413,265 $ 145,228,468
============= =============
</TABLE>
See accompanying notes to financial statements.
- 5 -
<PAGE>
BMC FUND, INC.
NOTES TO FINANCIAL STATEMENTS
SIX MONTHS ENDED SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
1. SIGNIFICANT ACCOUNTING POLICIES
BMC Fund, Inc. (the "Company") is a closed-end, diversified investment
company registered under the Investment Company Act of 1940, as amended.
Prior to becoming a regulated investment company on April 1, 1981, BMC
Fund, Inc. operated as a regular corporation. The following is a summary
of significant accounting policies followed by the Company in the
preparation of its financial statements. The policies are in conformity
with generally accepted accounting principles for investment companies.
A. Investment Valuations - The investment securities are stated at
market value as determined by closing prices on national securities
exchanges. Investment securities include corporate bonds, government
agency bonds, mutual funds and common stocks. The investments in
limited partnerships are at the market value provided by the
partnerships.
B. Investment Transactions - Investment transactions are accounted for
on the date the order to buy or sell is executed. Realized gains and
losses on investments are determined on the basis of specific
identification of issues sold or matured.
C. Income Taxes - No federal tax provision is required as it is the
Company's policy to comply with the provisions of Subchapter M of
the Internal Revenue Code of 1954, as amended, including the
distribution to its shareholders of substantially all of its income
and any capital gains not offset by capital losses. Also, no state
income tax provision has been provided because the states in which
the Company has income recognize the tax exempt status of a
regulated investment company.
D. Dividend Policy - It is the Company's policy to pay dividends during
the year in sufficient amounts to meet the requirements to maintain
its status as a regulated investment company.
E. Temporary Cash and Short-term Investments - For purposes of
financial reporting, the Company considers all investments at
financial institutions with original maturities of three months or
less (repurchase agreements at September 30, 2000) to be equivalent
to cash. Short-term money market investments managed by third party
investors are included in investment securities.
F. Use of Estimates - The preparation of financial statements in
conformity with accounting principles generally accepted in the
United States of America requires management to make estimates and
assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at
the date of the financial statements and the reported amounts of
revenues and expenses during the reporting period. Actual results
could differ from those estimates.
- 6 -
<PAGE>
G. Recent Accounting Pronouncements - Statement of Financial Accounting
Standards No. 133, Accounting for Derivative Instruments and Hedging
Activities (SFAS 133), was issued in June 1998. SFAS 133 is
effective for the Company in the year beginning March 31, 2001. SFAS
133 requires that an entity recognize all derivatives as either
assets or liabilities in the balance sheet and measure those
instruments at fair value. Management is currently evaluating the
impact of the adoption of SFAS 133 and its effect on the Company's
financial statements.
2. LINE OF CREDIT
On August 24, 1999 the Company entered into an agreement with a bank for a
line of credit in the amount of $10,000,000 to provide the Company more
flexibility in its payment of dividends and management of its investments.
The interest rate on any borrowings will be at the LIBOR market index rate
plus 125 basis points. No commitment fee is charged on any unused balance.
As of September 30, 2000, the Company had no amount due related to this
line of credit.
3. ADVISORY BOARD AND REMUNERATION OF DIRECTORS
The Company does not have an advisory board. During the current six
months, the Chairman was paid $9,400 and the President was paid $25,000.
The independent directors are paid an annual fee of $3,000 plus $1,000 for
each meeting attended. Each such independent director is paid an
additional $1,000 for each day of attending a committee meeting other than
on the date of a board meeting. In addition, all directors are reimbursed
for their reasonable expenses incurred in attending meetings.
4. SUPPLEMENTAL PROXY INFORMATION 2000 ANNUAL MEETING OF SHAREHOLDERS
The Annual Meeting of Shareholders of BMC Fund, Inc. was held on July 28,
2000 at Hound Ears Club, Blowing Rock, North Carolina. The meeting was
held for the following purposes:
1. To elect the following 12 directors to serve as follows:
Director Term Expiring
E. D. Beach 1 year 2001
James T. Broyhill 1 year 2001
Paul H. Broyhill 1 year 2001
William E. Cooper 1 year 2001
Lawrence Z. Crockett 1 year 2001
Willard A. Gortner 1 year 2001
Allene B. Heilman 1 year 2001
Harry Heltzer 1 year 2001
Gene A. Hoots 1 year 2001
Michael G. Landry 1 year 2001
L. Glenn Orr, Jr 1 year 2001
Dolph W. von Arx 1 year 2001
2. To approve an amendment to the Corporation's Investment Advisory
Agreement with IBJ Whitehall Bank & Trust Company to adjust the
advisory fee rate.
- 7 -
<PAGE>
3. To approve an amendment to the Corporation's Investment Advisory
Agreement with IBJ Whitehall Bank & Trust Company to remove the
limitation on the maximum amount of assets IBJ Whitehall is
authorized to manage.
4. To ratify the selection of Deloitte & Touche LLP as the Company's
auditor for the fiscal year beginning April 1, 2000.
5. To vote upon such other business as may come before the meeting.
The results of the proxy solicitation on the above matters were as
follows:
<TABLE>
<CAPTION>
Votes Votes Votes
Director For Against Withheld Abstentions
<S> <C> <C>
1. E. D. Beach 4,750,945 -- 182,336 --
James T. Broyhill 4,750,945 -- 182,336 --
Paul H. Broyhill 4,750,945 -- 182,336 --
William E. Cooper 4,750,945 -- 182,336 --
Lawrence Z. Crockett 4,750,945 -- 182,336 --
Willard A. Gortner 4,750,945 -- 182,336 --
Allene B. Heilman 4,750,945 -- 182,336 --
Harry Heltzer 4,750,945 -- 182,336 --
Gene A. Hoots 4,750,945 -- 182,336 --
Michael G. Landry 4,750,945 -- 182,336 --
L. Glenn Orr, Jr 4,750,945 -- 182,336 --
Dolph W. von Arx 4,750,945 -- 182,336 --
2. IBJ Whitehall to adjust the
fee rate 4,750,945 -- 182,336 --
3. IBJ Whitehall to remove
limitation 4,750,945 -- 182,336 --
4. Deloitte & Touche LLP 4,851,622 -- 81,659 --
5. There was no other business voted upon at the Annual Meeting of Shareholders.
</TABLE>
SUPPLEMENTAL INFORMATION
Paul H. Broyhill, Chairman of the Board, and E. D. Beach, President, are
primarily responsible for the day-to-day management of the Company's
portfolio and have had such responsibility since the inception of the
Fund. In addition, portions of the Company's portfolio are managed by IBJ
Whitehall Bank & Trust Company ("IBJ Whitehall"), which is responsible for
approximately $25.8 million of the Fund's portfolio, W. H. Reaves & Co.,
Inc. ("Reaves & Co."), which is responsible for approximately $10.3
million of the Fund's portfolio, The Northern Trust Company, N.A.
("Northern Trust"), which is responsible for approximately $13.2 million
of the Fund's portfolio, and Wellington Management Company, LLP
("Wellington"), which is responsible for approximately $13.6 million of
the Fund's portfolio. Paul Blaustein, a Senior Investment Officer of IBJ
Whitehall, is the portfolio manager responsible for the portion of the
Company's portfolio managed by IBJ Whitehall; William H. Reaves,
- 8 -
<PAGE>
who is the Chief Investment Officer of Reaves & Co., is the portfolio
manager responsible for the portion of the Company's portfolio managed by
Reaves & Co; Robert A. Mitchell, a Vice President with Northern Trust, is
the portfolio manager responsible for the portion of the Company's
portfolio managed by Northern Trust; and Michael Rodier, Vice President
with Wellington, is the portfolio manager responsible for the portion of
the Company's portfolio managed by Wellington. Mr. Blaustein has held his
current position with IBJ Whitehall for more than two years. Mr. Reaves,
Mr. Mitchell and Mr. Rodier have held their current positions with their
respective companies for more than five years.
**********
- 9 -
<PAGE>
BMC FUND, INC.
FINANCIAL HIGHLIGHTS
TEN YEAR PERIOD ENDED MARCH 31, 2000
AND SIX MONTH PERIOD ENDED SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
The following table presents financial information divided into three parts: per
share operating performance, total investment return and ratios and supplemental
data for each of the years in the ten year period ended March 31, 2000 and in
the six month period ended September 30, 2000. The first part, per share
operating performance, details the changes on a per share basis of the fund's
beginning net asset value to its ending net asset value. The second part, total
investment return, is based on the market price of the fund's shares of stock.
Part three, ratios and supplemental data, provides additional financial
information related to the fund's performance.
<TABLE>
<CAPTION>
Six
Months
Ended Years Ended March 31
PER SHARE OPERATING September 30, ------------------------------------------------------------------------
PERFORMANCE 2000 2000 1999 1998 1997 1996
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 31.84 $ 29.01 $ 30.55 $ 29.33 $ 29.40 $ 28.23
----------- ----------- ----------- ----------- ----------- -----------
Net investment income .51 2.11 1.04 1.26 1.29 1.22
Net gains (losses) on investments .22 2.11 (.16) 1.95 .54 1.69
----------- ----------- ----------- ----------- ----------- -----------
Total from investment operations 0.73 4.22 .88 3.21 1.83 2.91
----------- ----------- ----------- ----------- ----------- -----------
Less distributions:
Dividends from net investment income 0.66 1.10 1.49 1.14 1.16 1.05
Distributions from capital gains -- .29 .93 .85 .74 .69
----------- ----------- ----------- ----------- ----------- -----------
Total distributions .66 1.39 2.42 1.99 1.90 1.74
----------- ----------- ----------- ----------- ----------- -----------
Net asset value, end of period $ 31.91 $ 31.84 $ 29.01 $ 30.55 $ 29.33 $ 29.40
=========== =========== =========== =========== =========== ===========
Per share market value, end of period* $ 26.00 $ 26.00 $ 26.00 $ 26.00 $ 26.00 $ 26.00
=========== =========== =========== =========== =========== ===========
TOTAL INVESTMENT RETURN 5.63%** 16.23% 3.38% 12.33% 7.05% 11.17%
=========== =========== =========== =========== =========== ===========
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in thousands) $ 157,413 $ 157,057 $ 143,092 $ 150,705 $ 144,702 $ 145,036
Ratio of expenses to average net assets .47%** .40% .32% .27% .27% .29%
Ratio of net investment income to
average net assets 3.24%** 6.99% 3.50% 4.18% 4.39% 4.21%
Portfolio turnover rate 17.66% 94.21% 80.17% 26.98% 31.23% 21.75%
<CAPTION>
Years Ended March 31
PER SHARE OPERATING ----------------------------------------------------------------------------
PERFORMANCE 1995 1994 1993 1992 1991
<S> <C> <C> <C> <C> <C>
Net asset value, beginning of period $ 28.02 $ 28.59 $ 27.77 $ 27.71 $ 27.69
----------- ----------- ----------- ----------- -----------
Net investment income 1.28 1.30 1.42 1.62 1.76
Net gains (losses) on investments .46 (.46) 1.14 .31 .30
----------- ----------- ----------- ----------- -----------
Total from investment operations 1.74 .84 2.56 1.93 2.06
----------- ----------- ----------- ----------- -----------
Less distributions:
Dividends from net investment income 1.20 1.21 1.45 1.72 1.83
Distributions from capital gains .33 .20 .29 .15 .21
----------- ----------- ----------- ----------- -----------
Total distributions 1.53 1.41 1.74 1.87 2.04
----------- ----------- ----------- ----------- -----------
Net asset value, end of period $ 28.23 $ 28.02 $ 28.59 $ 27.77 $ 27.71
=========== =========== =========== =========== ===========
Per share market value, end of period* $ 26.00 $ 26.00 $ 26.00 $ 26.00 $ 26.00
=========== =========== =========== =========== ===========
TOTAL INVESTMENT RETURN 6.68% 3.25% 9.83% 7.39% 7.93%
=========== =========== =========== =========== ===========
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in thousands) $ 139,248 $ 138,230 $ 141,023 $ 136,994 $ 136,735
Ratio of expenses to average net assets .30% .30% .27% .29% .31%
Ratio of net investment income to
average net assets 4.55% 4.60% 5.02% 5.82% 6.36%
Portfolio turnover rate 32.29% 22.48% 30.12% 32.74% 29.17%
</TABLE>
* Unaudited - Based on stock trades during that year.
** Annualized
- 10 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Coupon Percent
Interest Maturity Maturity Market of Net
Debt Issuer Rate Date Value Value Assets
<S> <C> <C> <C> <C> <C>
CORPORATE BONDS &
GOVERNMENT ISSUES:
General Elec Cap Corp Mtn Be 6.330% 9/17/2001 $ 200,000 $ 199,228
Times Mirror Co New 6.650% 10/15/2001 200,000 199,421
Safeway Inc 5.875% 11/15/2001 125,000 123,016
Sprint Cap Corp Mtn Be 7.625% 6/10/2002 80,000 81,063
Cit Group Holdings Mtn 6.500% 6/14/2002 200,000 198,718
Nabisco Inc 6.700% 6/15/2002 450,000 440,384
Bank One Corp 6.400% 8/1/2002 20,000 19,843
Raytheon Co 6.450% 8/15/2002 125,000 123,527
Federal Natl Mtg Assn 6.750% 8/15/2002 180,000 180,788
Federal Home Ln Bks 6.750% 8/15/2002 1,000,000 1,004,375
Transamerica Fin Corp 7.250% 8/15/2002 170,000 170,314
Heller Financial Inc 7.500% 8/23/2002 40,000 40,166
Wells Fargo & Co Del 6.500% 9/3/2002 200,000 198,929
Occidental Pete Corp Del 6.750% 11/15/2002 462,000 459,047
Boeing Co 6.350% 6/15/2003 200,000 198,302
Carnival Corp 6.150% 10/1/2003 158,000 151,826
Lehman Bros Hldgs Inc 7.250% 10/15/2003 1,000,000 1,004,629
General Mtrs Accep Corp 5.750% 11/10/2003 200,000 192,918
Ccb Finl Corp 6.750% 12/1/2003 605,000 594,684
Eastman Chem Co 6.375% 1/15/2004 1,000,000 961,920
Oakwood Homes Corp 7.875% 3/1/2004 1,000,000 350,000
Conoco Inc 5.900% 4/15/2004 175,000 169,404
Hertz Corp 7.000% 7/1/2004 1,000,000 988,040
Hilton Hotels Corp 7.000% 7/15/2004 430,000 418,074
Textron Inc 6.375% 7/15/2004 200,000 193,758
Ford Motor Cr Co 6.700% 7/16/2004 200,000 195,879
Albertsons Inc 6.550% 8/1/2004 150,000 145,065
Caterpillar Finl Svcs Corp 6.875% 8/1/2004 200,000 197,831
Duke Cap Corp 7.250% 10/1/2004 400,000 402,582
Du Pont E I De Nemours & Co 6.750% 10/15/2004 200,000 199,621
Electronic Data Sys Corp 6.850% 10/15/2004 200,000 199,556
First Union Corp 7.700% 2/15/2005 100,000 101,628
Target Corp 7.500% 2/15/2005 200,000 203,830
United Dominion Rlty Tr Mtnsbe 7.730% 4/5/2005 1,000,000 978,604
Rite Aid Corp 7.625% 4/15/2005 1,000,000 365,000
Federal Home Ln Bks Cons Bd 6.005% 4/29/2005 500,000 483,906
National City Corp 7.200% 5/15/2005 200,000 198,620
Ryder Sys Inc 6.500% 5/15/2005 725,000 683,697
Repsol Intl Fin 7.450% 7/15/2005 50,000 50,532
</TABLE>
- 11 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Coupon Percent
Interest Maturity Maturity Market of Net
Debt Issuer Rate Date Value Value Assets
<S> <C> <C> <C> <C> <C>
CORPORATE BONDS &
GOVERNMENT ISSUES (Continued):
Worldcom Inc Ga 6.400% 8/15/2005 $ 200,000 $ 193,755
Mbna Amer Bank Na Sr Mtn 144A 7.750% 9/15/2005 5,000 5,039
Fleetboston Financial Corp 7.250% 9/18/2005 155,000 156,075
Federal Home Ln Bks Cons Bd 6.000% 12/14/2005 500,000 480,938
Paine Webber Group Inc 6.750% 2/1/2006 800,000 781,442
Philip Morris Cos Inc 6.375% 2/1/2006 1,000,000 927,837
Federal Rlty Invt Tr Mtn 6.990% 3/10/2006 500,000 468,739
Keycorp New 7.500% 6/15/2006 500,000 501,386
Avalon Bay Cmntys Inc 6.800% 7/15/2006 500,000 474,160
Bank Of America Corporation 7.125% 9/15/2006 200,000 199,931
First Natl Bk Boston Mass 7.375% 9/15/2006 500,000 499,351
Federal Home Ln Bks Cons Bd 6.310% 10/27/2006 1,000,000 964,375
Seagram Ltd 8.350% 11/15/2006 590,000 621,144
United Dominion Realty Tr Inc 7.250% 1/15/2007 500,000 465,202
Norfolk Southern Corp 7.350% 5/15/2007 150,000 147,899
Federal Natl Mtg Assn 6.610% 4/23/2008 2,000,000 1,933,550
Owens Corning 7.700% 5/1/2008 660,000 231,000
Household Fin Corp 6.400% 6/17/2008 200,000 186,940
Federal Home Ln Mtg Deb 6.250% 2/3/2009 1,500,000 1,410,938
At&T Corp 6.000% 3/15/2009 200,000 180,104
Federal Home Ln Bks Cons Bd 6.680% 3/30/2009 1,000,000 956,875
Federal Home Ln Bks Cons Bd 6.585% 4/27/2009 500,000 476,250
Coca Cola Bottling Co Cons 6.375% 5/1/2009 500,000 452,974
Federal Home Ln Mtg Deb 6.750% 5/5/2009 500,000 479,375
Goodrich B F Co 6.600% 5/15/2009 500,000 458,986
Federal Home Ln Bks 7.300% 6/30/2009 500,000 488,750
Daimler Chrysler North Amer Hl 7.200% 9/1/2009 200,000 195,613
Allstate Corp 7.200% 12/1/2009 125,000 122,930
------------ ------------
TOTAL INVESTMENTS IN
CORPORATE BONDS AND
GOVERNMENT AGENCIES $ 15,485,000 $ 14,461,558
============ ============
</TABLE>
- 12 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
----------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Company Name Held Cost Value Net Assets
<S> <C> <C> <C> <C>
MUTUAL FUNDS:
Cornercap Group Fds Growth Fund 35,049 $ 376,332 $ 345,586
Dreyfus Growth & Value Emerg Leader 3,819 150,000 149,504
Dreyfus Invt Grade Bd Sht-Trm Income 69,124 811,764 812,902
Firsthand Funds Tech Leaders 1,783 90,000 91,409
Ivy Fund Emerging Growth A 11,123 318,223 531,811
Ivy Fund Glb Science & Tech A 14,930 261,488 746,194
Loomis Sayles Funds Bond Fund 36,470 422,237 420,497
Midcap Spdr Tr Unit Ser 1 5,300 323,628 520,725
Morgan Stanley Dean Witter Asia Com 7,000 71,910 66,062
Neuberger & Berman Inc Ltd Mat Bond Fund 55,898 545,046 523,764
Pimco Funds Pac Invt High Yield Fund 2 18 18
Rcm Equity Funds Global Tech I 5,008 315,000 387,547
Richard T O Sector Rotation Fund Com 148,497 2,075,907 2,395,252
Spdr Tr Unit Ser 1 1,000 77,942 143,625
Strong Short Term Bond Fund Com 57,455 549,909 537,781
Van Kampen Sr Income Tr Com 21,000 192,927 183,750
Vanguard Bond Index Fund Short Trm Ptfl 54,403 541,530 535,322
Vanguard Fxd Income Secs Inter Tm Treas 100,962 1,050,000 1,054,038
Vanguard Fxd Inc Sec Inv Grade Cp Ptf 30,637 250,000 250,919
Vanguard Fixed Inc Secs Short Term Cp Ptfl 50,783 546,383 536,777
Warburg Pincus Fixed Sh Ben Int 249 2,386 2,448
Wasatch Advisors Funds Micro-Cap 13,986 80,000 91,329
----------- -----------
TOTAL INVESTMENTS IN MUTUAL FUNDS 9,052,631 10,327,260 6.56%
----------- ----------- ----
</TABLE>
- 13 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Company Name Held Cost Value Net Assets
<S> <C> <C> <C> <C>
OTHER INVESTMENTS:
Limited Partnerships:
Bay Harbour 90-1, Lp $ 750,000 $ 859,786
Global Tech Investors Fund Llc (Bessemer) 4,000,000 3,526,324
Jmg Capital Partners Lp 1,000,000 1,199,717
Mariner Partners, Lp 750,000 916,487
Onyx Capital Fund, Lp 1,000,000 1,133,557
Rose Glen Capital Partners I, Lp 750,000 1,397,218
Safe Harbor Fund, Lp 1,500,000 1,996,168
Stark Investments Lp 1,000,000 1,504,934
Strategic Remainder Fund, Lp 4,662 3,079
Ulq Hedge Fund Ltd Partnership 1,025,002 1,510,171
Walnut Investment Partners Lp 150,000 150,000
Wpg Merger Arbitrage Fund, Lp 500,000 534,550
----------- -----------
12,429,664 14,731,991 9.36%
----------- ----------- -----
Other Investments:
Serves"Certificates-Bank Of America 500,000 500,000 0.32%
----------- ----------- -----
Venture Capital:
Buildnet Inc Series C Pfd 500,000 500,000
Golfsouth 1994 Lp 380,000 100,000
Learningstation.Com 500,000 500,000
Piedmont Venture Partners 100,000 100,000
Piedmont Venture Partners Ii Lp 244,776 244,776
----------- -----------
1,724,776 1,444,776 0.92%
----------- ----------- -----
TOTAL OTHER INVESTMENTS $14,654,440 $16,676,767 10.59%
=========== =========== =====
</TABLE>
- 14 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS:
Aerospace/Defense 4,000 Boeing Co Com $ 203,200 $ 252,000
6,100 Raytheon Co Com 162,351 173,469
---------- ----------
365,551 425,469 0.27%
---------- ---------- ----
Aluminum 11,600 Alcoa Inc 93,670 293,625 0.19%
---------- ---------- ----
Apparel 7,400 Jones Apparel Group Com 55,234 196,100 0.12%
---------- ---------- ----
Auto Parts 2,096 Delphi Auto Sys Corp Com 24,014 31,702 0.02%
---------- ---------- ----
Auto & Truck 3,000 General Mtrs Corp Com 121,406 195,000 0.12%
---------- ---------- ----
Banking 3,900 Banc One Corp Com 139,981 150,637
10,248 Banco Santander Central Hisp Adr 99,839 112,087
3,500 Bankamerica Corp New Com 61,206 183,312
1,050 Capital One Finl Corp Com 56,509 73,566
975 Chase Manhattan New Com 45,508 45,033
11,358 Citigroup Inc Com 384,454 614,042
3,825 Fleetboston Financial Corp 141,195 149,175
19,160 Mellon Financial Corp Com 203,452 888,545
1,800 State Str Corp Com 133,395 234,000
8,550 Wells Fargo & Co Del Com 279,004 392,766
---------- ----------
1,544,543 2,843,163 1.81%
---------- ---------- ----
Beverage - 2,800 Coca-Cola Co Inc 148,520 154,350
Nonalcoholic 13,850 Pepsico Inc Com 516,816 637,100
---------- ----------
665,336 791,450 0.50%
---------- ---------- ----
Biotech 2,000 Biotech Holders Tr 302,075 389,875 0.25%
---------- ---------- ----
Building Materials 5,875 Home Depot Inc Com 256,794 311,742
4,672 Lowes Cos Inc Com 141,353 209,656
---------- ----------
398,147 521,398 0.33%
---------- ---------- ----
Broadcasting/ 10,000 At&T Corp Com Lib Grp A 169,458 180,000
Cable Tv 3,300 Gannett Inc Com 225,159 174,900
---------- ----------
394,617 354,900 0.23%
---------- ---------- ----
Canadian Energy 13,600 Imperial Oil Ltd Com New 287,095 354,552 0.23%
---------- ---------- ----
Chemical - Diversified 4,600 Air Prods & Chems Inc Com 118,101 165,600
3,800 Dow Chemical Co Com 137,284 94,762
725 Lilly Eli & Co Com 70,255 58,816
---------- ----------
325,640 319,178 0.20%
---------- ---------- ----
</TABLE>
- 15 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS -
(Continued):
Communication 1,601 Agilent Technologies Com $ 13,133 $ 78,349
Products/Services 1,075 Comcast Corp Cl A Spl 43,588 44,008
2,500 Jds Uniphase Corp Com 256,664 236,719
---------- ----------
313,385 359,076 0.23%
---------- ---------- ----
Computers & 7,500 Dell Computer Corp Com 347,952 231,094
Peripherals 3,425 E M C Corp Mass Com 198,749 339,503
6,600 Hewlett Packard Co Com 294,990 640,200
6,000 Honeywell Intl Inc Com 155,680 213,750
14,200 Micron Technology Inc Com 349,520 653,200
2,025 Sun Microsystems Inc Com 121,260 236,419
---------- ----------
1,468,151 2,314,166 1.47%
---------- ---------- ----
Computer Software 13,500 Automatic Data Process Com 312,949 902,812
And Services 13,000 Cisco Sys Inc Com 553,165 718,250
700 Computer Sciences Corp Com 51,588 51,975
3,000 Electronic Data Sys Nw Com 158,115 124,500
296 Integrated Telecom Exp Com 5,735 6,142
2,875 International Bus Mach Com 345,183 323,437
9,025 Microsoft Corp Com 747,658 544,320
1,550 Oracle Corp Com 130,639 122,063
1,625 Paychex Inc Com 47,349 85,312
3,000 Peoplesoft Inc Com 49,948 83,813
675 Siebel Sys Inc Com 36,481 75,136
18,900 Solectron Corp Com 802,396 871,763
3,500 Trend Micro Inc Sponsored Adr 57,466 45,500
1,050 Veritas Software Co Com 104,669 149,100
---------- ----------
3,403,341 4,104,123 2.61%
---------- ---------- ----
Consumer Products 8,900 Kimberly Clark Corp Com 477,229 496,731
4,000 Newell Rubbermaid Inc Com 195,871 91,250
5,300 Schering Plough Corp Com 225,106 246,450
---------- ----------
898,206 834,431 0.53%
---------- ---------- ----
Construction 5,700 Halliburton Co Com 226,405 278,944 0.18%
---------- ---------- ----
Diversified Companies 50 Capital Southwest Corp Com 3,128 2,988
650 Corning Inc Com 48,355 193,050
1,100 Illinois Tool Works Inc Com 66,778 61,462
4,375 Tyco Intl Ltd New Com 221,557 226,953
7,300 United Technologies Cp Com 300,220 505,525
---------- ----------
640,038 989,978 0.63%
---------- ---------- ----
</TABLE>
- 16 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS -
(Continued):
Drugs 5,100 American Home Prods Cp Com $ 235,849 $ 288,469
20,775 Amgen Inc Com 350,338 1,450,679
5,095 Cardinal Health Inc Com 256,594 449,315
825 Forest Labs Inc Com 98,990 94,617
26,275 Johnson & Johnson Com 835,061 2,468,208
20,000 Maxim Integrated Prods Com 400,142 1,608,750
4,275 Merck & Co Inc Com 282,346 318,220
26,925 Pfizer Inc Com 561,344 1,209,942
4,500 Pharmaceutical Hldr Tr Dep Rcpt 377,159 455,906
6,857 Pharmacia Corp Com 147,536 412,691
---------- ----------
3,545,359 8,756,797 5.56%
---------- ---------- ----
Drugstores 9,288 Cvs Corp Com 215,646 430,150
2,875 Walgreen Co Com 90,641 109,070
---------- ----------
306,287 539,220 0.34%
---------- ---------- ----
Electrical Equipment 4,000 American Power Conversion Com 90,600 76,750
32,650 General Elec Co Com 856,432 1,883,497
3,000 Kemet Corp Com 85,572 82,875
---------- ----------
1,032,604 2,043,122 1.30%
---------- ---------- ----
Electric Utilities 1,500 Aes Corp Com 69,454 102,750
4,300 Allegheny Energy Inc Com 128,097 164,206
1,100 Ameren Corp Com 40,561 46,062
375 Calpine Corp Com 38,058 39,141
8,900 Chesapeake Utils Corp Com 142,100 161,313
5,000 Constellation Energy Group Inc 129,063 248,750
26,072 Dominion Res Inc Va Com 1,022,818 1,513,806
9,300 Dpl Inc Com 159,184 276,675
17,000 Duke Energy Corp Com 870,000 1,457,750
500 Energy East Corp Com 11,368 11,312
18,900 Firstenergy Corp Com 479,148 509,119
4,600 Fpl Group Inc Com 251,383 302,450
5,500 Gpu Inc Com 174,564 178,406
8,000 Idacorp Inc Com 238,973 370,000
2,500 Mdu Res Group Inc Com 57,095 74,375
9,933 Northeast Utils Com 106,535 215,422
5,000 Reliant Energy Inc Com 137,460 232,500
25,548 Scana Corp Com 633,081 773,357
23,600 Southern Co Com 558,210 765,525
33,500 Teco Energy Inc Com 717,919 948,750
8,500 Txu Corp Com 331,247 336,813
2,200 Utilicorp Utd Inc Com 49,863 56,925
16,050 Xcel Energy Inc Com 366,493 441,375
---------- ----------
6,712,674 9,226,782 5.86%
---------- ---------- ----
</TABLE>
- 17 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS -
(Continued):
Electronics 26,650 Altera Corp Com $ 474,327 $1,272,538
900 Analog Devices Inc Com 65,464 74,306
925 Flextronics Intl Ltd Ord 78,683 75,966
6,375 General Mtrs Corp Cl H New 227,043 237,022
38,800 Gtr Group Inc Com 89,138 41,225
8,983 Molex Inc Com 145,004 489,012
300 Pmc-Sierra Inc Com 64,650 64,575
900 Qlogic Corp Com 62,017 79,200
825 Sanmina Corp Com 81,112 77,241
10,000 Sci Systems Inc Com 169,953 410,000
3,025 Teradyne Inc Com 245,118 105,875
---------- ----------
1,702,509 2,926,960 1.86%
---------- ---------- ----
Entertainment 7,975 Disney Walt Co Com 189,213 305,044
20,000 Fox Entmt Group Inc Cl A 521,086 530,000
1,250 Time Warner Inc Com 93,436 97,813
1,700 Viacom Inc Cl B 80,580 99,450
---------- ----------
884,315 1,032,307 0.66%
---------- ---------- ----
Financial Services 3,000 Countrywide Cr Ind Del Com 91,357 113,250
12,500 Espirito Santo Finl Sa Adr 216,363 238,281
2,850 Federal Home Ln Mtg Cp Com 142,836 154,078
4,250 Mbna Corp Com 126,846 163,625
3,075 Morgan Stanley Dean Witter Com 288,586 281,171
1,100 Stilwell Financial Inc Com 47,699 47,850
---------- ----------
913,687 998,255 0.63%
---------- ---------- ----
Food Processing 6,150 Nestle S A Sponsored Adr 201,834 640,461 0.41%
---------- ---------- ----
Food Wholesalers 11,000 Sysco Corp Com 168,834 509,438 0.32%
---------- ---------- ----
Foreign Utilities 14,918 Enersis S A Sponsored Adr 307,530 265,727 0.17%
---------- ---------- ----
Foreign 6,400 Ericsson L M Tel Co Adr Cl B Sek10 9,620 94,800
Telecommunications 2,496 Telefonica S A Sponsored Adr 102,422 148,356
---------- ----------
112,042 243,156 0.15%
---------- ---------- ----
Gold/Silver Mining 4,620 Franco Nev Mng Ltd Wt Exp 071384 81,622 45,456
10,000 Pan American Silver Cp Com 55,639 35,625
7,900 Stillwater Mng Co Com 129,347 213,853
---------- ----------
266,608 294,934 0.19%
---------- ---------- ----
Grocery 20,600 Kroger Co Com 156,757 464,788
3,100 Safeway Inc Com New 137,631 144,731
---------- ----------
294,388 609,519 0.39%
---------- ---------- ----
</TABLE>
- 18 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS -
(Continued):
Hotel/Gaming 4,977 International Game Tec Com $ 92,917 $ 167,352
7,000 Park Pl Entmt Corp Com 77,351 105,875
---------- ----------
170,268 273,227 0.17%
---------- ---------- ----
Household Products 7,000 Colgate Palmolive Co Com 89,886 330,400 0.21%
---------- ---------- ----
Insurance 13,031 American Intl Group Com 465,676 1,246,904
500 Axa Finl Inc Com 15,394 25,469
500 Axa Sponsored Adr 37,154 32,344
1,300 Hartford Financial Svcs Com 75,445 94,819
7,450 Ing Groep N V Sponsored Adr 134,201 490,769
3,650 Marsh & Mclennan Cos Com 312,142 484,537
---------- ----------
1,040,012 2,374,842 1.51%
---------- ---------- ----
Internet Service 6,150 America Online Inc Del Com 391,096 330,563
Providers 1,140 Velocityhsi Inc Com 0 2,850
---------- ----------
391,096 333,413 0.21%
---------- ---------- ----
Internet Commerce 600 Ariba Inc Com 75,953 85,959
1,000 Cmgi Inc Com 61,163 27,937
---------- ----------
137,116 113,896 0.07%
---------- ---------- ----
Investment Company - 15,700 Allied Cap Corp Com 292,235 325,775
Domestic 14,500 Sector Spdr Tr Sbi Int-Finl 338,953 420,500
3,000 Telecom Hldrs Tr Depositry Rcpt 245,030 198,750
---------- ----------
876,218 945,025 0.60%
---------- ---------- ----
Investment Services 900 Goldman Sachs Group Com 84,739 102,544 0.07%
---------- ---------- ----
Machinery 1,975 Applied Matls Inc Com 114,582 117,142
8,000 Dover Corp Com 87,145 375,500
---------- ----------
201,727 492,642 0.31%
---------- ---------- ----
Manufactured Housing
& Rec. Vehicles 6,000 Clayton Homes Inc Com 70,653 60,000 0.04%
---------- ---------- ----
Medical Services 5,600 Abbott Labs Com 236,250 266,350
1,842 Curis Inc Com 10,981 36,725
3,400 Hca-Healthcare Co Com 131,689 126,225
---------- ----------
378,920 429,300 0.27%
---------- ---------- ----
</TABLE>
- 19 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS -
(Continued):
Medical Supplies 6,000 Baxter Intl Inc Com $ 218,831 $ 478,875
& Equipment 8,700 Bristol Myers Squibb Com 600,197 496,988
1,900 Guidant Corp Com 105,847 134,306
1,475 Medtronic Inc Com 51,903 76,423
3,000 St Jude Medical Inc Com 80,135 153,000
---------- ----------
1,056,913 1,339,592 0.85%
---------- ---------- ----
Natural Gas - 3,500 Coastal Corp Com 160,187 259,438
Distributing 7,980 Dynegy Inc Com 183,976 454,860
5,000 Kinder Morgan Inc Kans Com 64,194 204,688
16,200 Mcn Energy Group Inc Com 340,062 415,125
300 New Jersey Resources Com 11,716 12,187
2,000 Oneok Inc New Com 57,088 79,500
1,100 South Jersey Inds Inc Com 30,925 32,106
11,500 Vectren Corp Com 236,223 233,594
---------- ----------
1,084,371 1,691,498 1.07%
---------- ---------- ----
Natural Gas - 5,175 El Paso Energy Cp Del Com 247,440 318,909
Diversified 13,800 Enron Corp Com 574,116 1,209,225
7,200 Equitable Resources Inc Com 242,890 456,300
300 National Fuel Gas N J Com 12,096 16,819
5,000 Nicor Inc Com 173,403 180,938
---------- ----------
1,249,944 2,182,191 1.39%
---------- ---------- ----
Office Equipment & Sales 23,000 Office Depot Inc Com 441,251 179,687 0.11%
---------- ---------- ----
Oilfield Services & 800 Baker Hughes Inc Com 26,363 29,700
Equipment 950 Bj Services Co Com 57,107 58,069
7,000 R & B Falcon Corp 67,548 195,125
5,600 Schlumberger Ltd Com 307,323 460,950
10,517 Transocean Sedco Forex Inc Com 349,759 616,559
---------- ----------
808,099 1,360,403 0.86%
---------- ---------- ----
Petroleum - Integrated 17,644 Bp Amoco P L C Sponsored Adr 823,847 935,132
3,700 Buckeye Partners L P Unit Ltd Partn 98,973 106,375
2,600 Chevron Corporation Com 229,779 221,650
3,700 Conoco Inc Cl A 88,030 96,662
5,300 Conoco Inc Cl B 135,806 142,769
23,212 Exxon Mobil Corp Com 1,263,612 2,068,769
2,500 Petroleum & Res Corp Com 88,208 105,156
3,000 Phillips Pete Co Com 137,932 188,250
22,500 Repsol S A Sponsored Adr 278,117 412,031
11,825 Royal Dutch Pete Co Ny Reg Gld1.25 650,606 708,761
4,774 Texaco Inc Com 243,371 250,635
8,300 Unocal Corp Com 332,592 294,131
---------- ----------
4,370,874 5,530,321 3.51%
---------- ---------- ----
</TABLE>
- 20 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS -
(Continued):
Petroleum - Producing 2,000 Apache Corp Com $ 77,615 $ 118,250
2,350 Burlington Res Inc Com 95,015 86,509
20,000 Chesapeake Energy Corp Com 156,670 143,750
2,375 Eog Res Inc Com 61,739 92,328
5,100 Kerr Mcgee Corp Com 223,345 337,875
4,000 Teppco Partners L P Ut Ltd Partner 104,160 106,250
---------- ----------
718,544 884,962 0.56%
---------- ---------- ----
Petroleum - Refining 7,200 Ultramar Diamond Shamrock Com 190,568 182,700 0.12%
---------- ---------- ----
Railroad 6,600 Norfolk Southern Corp Com 179,579 96,525 0.06%
---------- ---------- ----
R.E.I.T.S 8,900 Boston Properties Inc Com 301,520 382,144
5,700 Bre Properties Inc Cl A 128,478 182,400
4,300 Chelsea Gca Realty Inc Com 131,585 151,037
6,700 Colonial Pptys Tr Com Sh Ben Int 165,020 172,106
4,000 Equity Resident Pptys Sh Ben Int 165,220 192,000
18,400 Felcor Lodging Tr Inc Com 353,449 425,500
3,900 Health Care Ppty Invs Com 100,525 115,537
7,300 Kilroy Rlty Corp Com 152,564 194,819
3,400 Kimco Realty Corp Com 124,449 143,650
4,000 Liberty Ppty Tr Sh Ben Int 97,411 110,000
8,800 Mgi Pptys Inc Com 0 20,900
9,700 Mid-Atlantic Rlty Tr Sh Ben Int 98,438 114,581
8,300 Post Pptys Inc Com 321,213 361,569
4,800 Simon Ppty Group New Com 130,092 112,500
4,000 Sovran Self Storage Com 100,910 82,000
3,800 Spieker Pptys Inc Com 130,653 218,738
10,100 Tanger Factory Outlet Com 237,247 222,200
3,600 Vornado Rlty Tr Sh Ben Int 124,344 133,650
---------- ----------
2,863,118 3,335,331 2.12%
---------- ---------- ----
Restaurants 11,800 Mcdonalds Corp Com 422,263 356,213 0.23%
---------- ---------- ----
Retail Stores 6,000 Costco Companies Inc Com 54,625 209,625
1,275 Kohls Corp Com 45,752 73,551
9,750 Wal Mart Stores Inc Com 441,510 469,219
---------- ----------
541,887 752,395 0.48%
---------- ---------- ----
Securities Brokerage 3,800 Merrill Lynch & Co Inc Com 137,121 250,800 0.16%
---------- ---------- ----
</TABLE>
- 21 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS - (Continued):
Semiconductors 21,075 Intel Corp Com $ 680,405 $ 875,930
10,500 Motorola Inc Com 202,368 296,625
1,325 National Semiconductor Com 63,904 53,331
24,000 Novellus Sys Inc Com 410,386 1,117,500
4,050 Texas Instrs Inc Com 166,751 191,109
900 Vitesse Semiconductor Com 67,244 80,044
16,000 Xilinx Inc Com 152,875 1,370,000
---------- ----------
1,743,933 3,984,539 2.53%
---------- ---------- ----
Services 27,000 Cendant Corp Com 317,735 293,625
13,000 Robert Half Intl Inc Com 169,451 450,938
20,000 Usec Inc Com 81,620 85,000
622 Verisign Inc Com 109,190 125,994
---------- ----------
677,996 955,557 0.61%
---------- ---------- ----
Technology 13 Cybear Group New Com 0 14 0.00%
---------- ---------- ----
Telecommunications 7,928 Lucent Technologies Com 233,700 242,299
Equipment 10,300 Nortel Networks Corp Com 626,417 613,494
---------- ----------
860,117 855,793 0.54%
---------- ---------- ----
Telecommunications 8,834 Alltel Corp Com 414,135 461,024
Services 14,113 At&T Corp Com 521,571 414,569
10,900 Bellsouth Corp Com 462,244 438,725
13,500 Centurytel Inc Com 420,465 367,875
16,200 Global Crossing Ltd Com 507,281 502,200
25,400 Sbc Communications Inc Com 956,608 1,270,000
9,200 Sprint Corp Com 151,835 269,675
4,000 Sprint Corp Pcs Com Ser 1 12,068 140,250
1,800 Tellabs Inc Com 123,449 85,950
1,500 United States Cellular Com 94,921 105,000
9,198 Verizon Communications Com 339,774 445,528
3,500 Viatel Inc Com 88,653 35,875
17,650 Worldcom Inc Ga New Com 764,911 536,118
500 Zi Corp Com 4,887 3,516
---------- ----------
4,862,802 5,076,305 3.22%
---------- ---------- ----
Timber 2,200 Weyerhaeuser Co Com 138,575 88,825 0.06%
---------- ---------- ----
</TABLE>
- 22 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Shares Market Percent of
Industries Held Company Name Cost Value Net Assets
<S> <C> <C> <C> <C> <C>
COMMON STOCKS - (Continued):
Toiletries & Cosmetics 1,600 Procter & Gamble Co Com $ 141,501 $ 107,200 0.07%
----------- ----------- -----
Water Utility 700 American Wtr Wks Inc Com 21,188 19,294
5,000 Philadelphia Subn Corp Com 114,458 115,937
6,500 Southwest Wtr Co Com 100,071 85,719
----------- -----------
235,717 220,950 0.14%
----------- ----------- -----
TOTAL INVESTMENTS IN COMMON STOCKS $54,141,333 $78,570,898 49.91%
----------- ----------- -----
</TABLE>
- 23 -
<PAGE>
BMC FUND, INC. SCHEDULE I
INVESTMENTS IN SECURITIES OF UNAFFILIATED ISSUERS (CONTINUED)
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market Percent of
Industries Company Name Cost Value Net Assets
<S> <C> <C> <C> <C>
Short-term Investments Evergreen Money Market Fund $ 8,302,027 $ 8,302,027
------------ ------------
TOTAL INVESTMENTS IN
SHORT-TERM INVESTMENTS $ 8,302,027 $ 8,302,027 5.28%
============ ============ -----
TOTAL INVESTMENTS - MARKET VALUE $141,407,235 89.83%
============ -----
Aggregate gross unrealized appreciation of security values $ 31,007,130
Aggregate gross unrealized depreciation of security values 5,922,328
------------
Net appreciation of security values 25,084,802
Tax cost of securities 116,322,433
------------
Total market value of securities $141,407,235
============
</TABLE>
- 24 -
<PAGE>
BMC FUND, INC. SCHEDULE II
INVESTMENTS - OTHER THAN SECURITIES
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
Market
Value at
End of
Description Period
INVESTMENT LAND:
Residential acreage including subdivided lots in Caldwell,
Rutherford and Wilkes Counties, N.C $150,000 (a)
--------
TOTAL $150,000
========
Aggregate appreciation of investment land and buildings $ 3,401
Tax cost of investment land and buildings 146,599
--------
Market value of investment land and buildings $150,000
========
(a) Non-income producing property.
- 25 -
<PAGE>
BMC FUND, INC. SCHEDULE III
INVESTMENTS IN AFFILIATES
SEPTEMBER 30, 2000
--------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Number of Amount of Equity
Shares Held at in Net Profit Amount of Value at
September 30, and Loss for the Dividends September 30,
Issuer 2000 Period (2) 2000
<S> <C> <C> <C> <C>
Broyhill Industries Inc. - wholly owned
subsidiary 1,000 $ 1,674 $ -- $ 549,286
P. B. Realty, Inc. - wholly owned
subsidiary 1,000 610,817 -- 13,470,720
----------- ----------- -----------
TOTAL $ 612,491 $ -- $14,020,006
=========== =========== ===========
</TABLE>
(2) All of the dividends received by BMC Fund, Inc. from their wholly owned
subsidiaries have been credited to the investment account, since BMC Fund,
Inc. is accounting for their investment in the subsidiary companies on the
equity method.
- 26 -
|
|