(registered trademark)
TREASURY FUND - ADVISOR B CLASS
(FORMERLY DAILY MONEY FUND: U.S. TREASURY PORTFOLIO - CLASS B)
SEMIANNUAL REPORT
APRIL 30, 1997
DMFB-SANN-0697
33131
CONTENTS
SCHEDULES OF INVESTMENTS & FINANCIAL STATEMENTS
INVESTMENTS 3
FINANCIAL STATEMENTS 4
NOTES TO FINANCIAL STATEMENTS 9
To reduce expenses and demonstrate respect for our environment, we have
initiated a project through which we will begin eliminating duplicate
copies of most financial reports and prospectuses to most households, even
if they have more than one account in the fund. If additional copies of
financial reports, prospectuses or historical account information are
needed, please call 1-800-544-6666.
THE FUND SEEKS TO OBTAIN AS HIGH A LEVEL OF INTEREST INCOME, EXEMPT FROM
FEDERAL INCOME TAX, AS IS CONSISTENT WITH A
PORTFOLIO OF HIGH-QUALITY, SHORT-TERM MUNICIPAL OBLIGATIONS SELECTED ON THE
BASIS OF LIQUIDITY AND STABILITY OF PRINCIPAL.
INVESTMENTS IN THE FUND ARE NEITHER INSURED NOR GUARANTEED BY THE U.S.
GOVERNMENT, AND THERE CAN BE NO ASSURANCE THAT THE
FUND WILL MAINTAIN A STABLE $1.00 SHARE PRICE.
THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR
THE GENERAL INFORMATION OF THE SHAREHOLDERS OF THE
FUND. THIS REPORT IS NOT AUTHORIZED FOR DISTRIBUTION TO PROSPECTIVE
INVESTORS IN THE FUND UNLESS PRECEDED OR ACCOMPANIED BY AN
EFFECTIVE PROSPECTUS.
MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED BY,
ANY DEPOSITORY INSTITUTION.
SHARES ARE NOT INSURED BY THE FDIC, FEDERAL RESERVE BOARD OR ANY OTHER
AGENCY, AND ARE SUBJECT TO
INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT INVESTED.
NEITHER THE FUND NOR
FIDELITY DISTRIBUTORS CORPORATION IS A BANK.
FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND EXPENSES,
CALL THE APPROPRIATE NUMBER LISTED BELOW. READ
THE PROSPECTUS CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
RETIREMENT PLAN LEVEL ACCOUNTS
CORPORATE CLIENTS 1-800-962-1375
"NOT FOR PROFIT" CLIENTS 1-800-343-0860
FINANCIAL AND OTHER INSTITUTIONS
NATIONWIDE 1-800-843-3001
TREASURY FUND (FORMERLY DAILY MONEY FUND: U.S. TREASURY PORTFOLIO)
INVESTMENTS APRIL 30, 1997 (UNAUDITED)
Showing Percentage of Total Value of Investments
U.S. TREASURY OBLIGATIONS - 14.7%
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
U.S. TREASURY BILLS - 8.3%
7/24/97 5.73% $ 13,000,000 $ 12,835,593
3/5/98 5.64 3,000,000 2,863,004
3/5/98 5.67 10,000,000 9,541,385
4/2/98 6.00 15,000,000 14,208,300
4/2/98 6.03 24,000,000 22,724,974
4/30/98 6.01 7,000,000 6,599,044
4/30/98 6.04 31,000,000 29,216,046
4/30/98 6.05 6,000,000 5,654,200
4/30/98 6.07 13,000,000 12,248,080
115,890,626
U.S. TREASURY NOTES - 6.4%
11/30/97 5.50 12,000,000 11,982,287
2/28/98 5.67 15,000,000 14,921,762
3/31/98 5.60 9,000,000 9,023,105
3/31/98 5.62 17,000,000 17,039,337
3/31/98 5.69 6,000,000 6,010,039
3/31/98 5.73 6,000,000 6,007,273
3/31/98 5.93 25,000,000 24,808,453
89,792,256
TOTAL U.S. TREASURY OBLIGATIONS 205,682,882
REPURCHASE AGREEMENTS - 85.3%
MATURITY VALUE
AMOUNT (NOTE 1)
In a joint trading account
(Notes 2 and 3):
(U.S. Treasury Obligations)
dated 4/30/97 due 5/1/97:
At 5.44% $ 1,002,151,400 $ 1,002,000,000
At 5.46 43,905,653 43,899,000
(U.S. Treasury Obligations):
dated 4/8/97 due 5/8/97
At 5.47% 16,072,933 16,000,000
dated 4/10/97 due 5/12/97
At 5.50% 38,185,778 38,000,000
dated 4/4/97 due 6/2/97
At 5.50% 40,360,556 40,000,000
dated 4/16/97 due 6/2/97
At 5.50% 32,229,778 32,000,000
dated 4/24/97 due 6/16/97
At 5.52% 19,154,407 19,000,000
TOTAL REPURCHASE AGREEMENTS 1,190,899,000
TOTAL INVESTMENTS - 100% $ 1,396,581,882
Total Cost for Income Tax Purposes $ 1,396,581,882
INCOME TAX INFORMATION
At October 31, 1996 the fund had a capital loss carryforward of
approximately $421,000 which will expire on October 31, 2001.
TREASURY FUND (FORMERLY DAILY MONEY FUND: U.S. TREASURY PORTFOLIO)
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
APRIL 30, 1997 (UNAUDITED)
1.ASSETS 2. 3.
4.Investment in securities, at value (including repurchase agreements of $1,190,899,000) - 5. $ 1,396,581,882
See accompanying schedule
6.Receivable for investments sold 7. 53,787,060
8.Interest receivable 9. 1,298,387
10. 11.TOTAL ASSETS 12. 1,451,667,329
13.LIABILITIES 14. 15.
16.Payable for investments purchased $ 53,717,370 17.
18.Share transactions in process 383,759 19.
20.Distributions payable 1,007,080 21.
22.Accrued management fee 467,725 23.
24.Distribution fees payable 27,567 25.
26.Other payables and accrued expenses 375,734 27.
28. 29.TOTAL LIABILITIES 30. 55,979,235
31.32.NET ASSETS 33. $ 1,395,688,094
34.Net Assets consist of: 35. 36.
37.Paid in capital 38. $ 1,396,045,307
39.Accumulated net realized gain (loss) on investments 40. (357,213)
41.42.NET ASSETS 43. $ 1,395,688,094
44.DAILY MONEY CLASS (FORMERLY INITIAL CLASS): 45. 46.
47.48.NET ASSET VALUE, offering price and redemption price per share 49. $1.00
($1,351,732,139 (divided by) 1,352,078,102 shares)
50.ADVISOR B CLASS (FORMERLY CLASS B): 51. 52.
53.54.NET ASSET VALUE, offering price and redemption price per share 55. $1.00
($43,955,955 (divided by) 43,967,205 shares) A
</TABLE>
A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS ENDED APRIL 30, 1997 (UNAUDITED)
56.57.INTEREST INCOME 58. $ 44,939,286
59.EXPENSES 60. 61.
62.Management fee $ 4,111,174 63.
64.Transfer agent fees 1,727,675 65.
66.Distribution fees 82,201 67.
68.Accounting fees and expenses 87,878 69.
70.Registration fees 109,696 71.
72.Audit 13,963 73.
74.Legal 8,861 75.
76.Reports to shareholders 23,028 77.
78.Miscellaneous 3,543 79.
80. Total expenses before reductions 6,168,019 81.
82. Expense reductions (743,584) 5,424,435
83.84.NET INTEREST INCOME 85. 39,514,851
86.87.NET REALIZED GAIN (LOSS) ON INVESTMENTS 88. 13,694
89.90.NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 91. $ 39,528,545
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
SIX MONTHS THREE MONTHS YEAR ENDED
ENDED APRIL 30, ENDED JULY 31,
1997 OCTOBER 31, 1996
(UNAUDITED) 1996
<TABLE>
<CAPTION>
<S> <C> <C> <C>
92.INCREASE (DECREASE) IN NET ASSETS
93.Operations $ 39,514,851 $ 21,636,434 $ 98,814,880
Net interest income
94. Net realized gain (loss) 13,694 17,244 37,646
95. 96.NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS 39,528,545 21,653,678 98,852,526
97.Distributions to shareholders from net interest income (39,514,851) (21,636,434) (98,814,880)
98.Share transactions - net increase (decrease) (425,643,557) (19,697,315) 10,109,349
99. 100.TOTAL INCREASE (DECREASE) IN NET ASSETS (425,629,863) (19,680,071) 10,146,995
101.NET ASSETS 102. 103. 104.
105. Beginning of period 1,821,317,957 1,840,998,028 1,830,851,033
106. End of period $ 1,395,688,094 $ 1,821,317,957 $ 1,840,998,028
</TABLE>
FINANCIAL HIGHLIGHTS - DAILY MONEY CLASS (FORMERLY INITIAL CLASS)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C>
107. SIX MONTHS THREE MONTHS YEARS ENDED JULY 31,
ENDED ENDED
APRIL 30, 1997 OCTOBER 31,
108. (UNAUDITED) 1996 1996 1995 1994 1993 1992
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C>
109.SELECTED PER-SHARE DATA
110.Net asset value, beginning of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
111.Income from Investment Operations
112. Net interest income .024 .012 .049 .049 .029 .027 .042
113.Less Distributions
114. From net interest income (.024) (.012) (.049) (.049) (.029) (.027) (.042)
115.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
116.TOTAL RETURN B 2.39% 1.19% 5.06% 5.02% 2.89% 2.78% 4.25%
117.RATIOS AND SUPPLEMENTAL DATA
118.Net assets, end of period (in millions) $ 1,352 $ 1,801 $ 1,801 $ 1,828 $ 2,025 $ 2,949 $ 3,094
119.Ratio of expenses to average net assets .65% A, C .65% A, .65% .65% .60% .57% .59%
C C C
120.Ratio of net interest income to average 4.81% A 4.66% A 4.94% 4.89% 2.81% 2.73% 4.14%
net assets
</TABLE>
A ANNUALIZED
B TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED. TOTAL
RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED DURING
THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
C FMR AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE CLASS' EXPENSE RATIO WOULD HAVE
BEEN HIGHER (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
FINANCIAL HIGHLIGHTS - ADVISOR B CLASS (FORMERLY CLASS B)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
121. SIX MONTHS THREE MONTHS YEARS ENDED JULY 31, JULY 1, 1994
ENDED ENDED (COMMENCEMEN
APRIL 30, 1997 OCTOBER 31, T
OF OPERATIONS)
TO
JULY 31,
122. (UNAUDITED) 1996 1996 1995 1994
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
123.SELECTED PER-SHARE DATA
124.Net asset value, beginning of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
125.Income from Investment Operations
126. Net interest income .020 .010 .043 .042 .002
127.Less Distributions
128. From net interest income (.020) (.010) (.043) (.042) (.002)
129.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
130.TOTAL RETURN B, C 2.02% 1.01% 4.33% 4.28% .25%
131.RATIOS AND SUPPLEMENTAL DATA
132.Net assets, end of period (000 omitted) $ 43,956 $ 20,411 $ 39,956 $ 3,154 $ 628
133.Ratio of expenses to average net assets 1.38% A, 1.35% A, 1.35% 1.35% D 1.35% A,
D D D D
134.Ratio of net interest income to average net assets 4.29% A 3.96% A 4.13% 4.22% 3.03% A
</TABLE>
A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE CONTINGENT DEFERRED SALES CHARGE AND FOR
PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
D FMR AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE CLASS' EXPENSE RATIO WOULD HAVE
BEEN HIGHER (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
NOTES TO FINANCIAL STATEMENTS
For the period ended April 30, 1997 (Unaudited)
1. SIGNIFICANT ACCOUNTING POLICIES.
On December 19, 1996, the Board of Trustees approved a change in the fund's
name from U.S. Treasury Portfolio to Treasury Fund (the fund). In addition,
at a special meeting held on May 9, 1997, shareholders of the fund approved
an Agreement and Plan of Reorganization providing for a reorganization of
the fund from a separate series of Daily Money Fund to a separate series of
Daily Tax-Exempt Money Fund. The Board of Trustees also approved a change
in the new trust's name from Daily Tax-Exempt Money Fund to Newbury Street
Trust. These changes were effective with the May 30, 1997 prospectus
revision.
The fund is a fund of Newbury Street Trust (the trust) and is authorized to
issue an unlimited number of shares. The trust is registered under the
Investment Company Act of 1940, as amended (the 1940 Act), as an open-end
management investment company organized as a Delaware business trust.
The fund offers two classes of shares, Daily Money Class (formerly Initial
class) and Advisor B Class (formerly Class B), each of which has equal
rights as to assets and voting privileges. Each class has exclusive voting
rights with respect to its distribution plan. Interest income, realized and
unrealized capital gains and losses, the common expenses of the fund, and
certain fund-level expense reductions are allocated on a pro rata basis to
each class based on the relative net assets of each class to the total net
assets of the fund. Each class of shares differs in its respective
distribution, transfer agent, registration, and certain other
class-specific fees, expenses, and expense reductions.
The financial statements have been prepared in conformity with generally
accepted accounting principles which permit management to make certain
estimates and assumptions at the date of the financial statements. The
following summarizes the significant accounting policies of the fund:
SECURITY VALUATION. As permitted under Rule 2a-7 of the 1940 Act, and
certain conditions therein, securities are valued initially at cost and
thereafter assume a constant amortization to maturity of any discount or
premium.
INCOME TAXES. As a qualified regulated investment company under Subchapter
M of the Internal Revenue Code, the fund is not subject to income taxes to
the extent that it distributes substantially all of its taxable income for
its fiscal year. The schedule of investments includes information regarding
income taxes under the caption "Income Tax Information."
INTEREST INCOME. Interest income, which includes amortization of premium
and accretion of discount, is accrued as earned.
EXPENSES. Most expenses of the trust can be directly attributed to a fund.
Expenses which cannot be directly attributed are apportioned between the
funds in the trust.
DISTRIBUTIONS TO SHAREHOLDERS. Dividends are declared daily and paid
monthly from net interest income.
SECURITY TRANSACTIONS. Security transactions are accounted for as of trade
date. Gains and losses on securities sold are determined on the basis of
identified cost.
2. OPERATING POLICIES.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, the fund, along with other affiliated
entities of Fidelity Management & Research Company (FMR), may transfer
uninvested cash balances into one or more joint trading accounts. These
balances are invested in one or more repurchase agreements for U.S.
Treasury or Federal Agency obligations.
REPURCHASE AGREEMENTS. The underlying U.S. Treasury or Federal Agency
Securities are transferred to an account of the fund, or to the Joint
Trading Account, at a bank custodian. The securities are marked-to-market
daily and maintained at a value at least equal to the principal amount of
the repurchase agreement (including accrued interest). FMR, the fund's
investment adviser, is responsible for determining that the value of the
underlying securities remains in accordance with the market value
requirements stated above.
3. JOINT TRADING ACCOUNT.
At the end of the period, the fund had 20% or more of its total investments
in repurchase agreements through a joint trading account. These repurchase
agreements were with entities whose creditworthiness has been reviewed and
found satisfactory by FMR.
The maturity values of the joint trading account investments were
$1,002,151,400 at 5.44%, $43,905,653 at 5.46%, $16,072,933 at 5.47%,
$38,185,778 at 5.50%, $40,360,556 at 5.50%, $32,229,778 at 5.50%, and
$19,154,407 at 5.52%. The investments in repurchase agreements through the
joint trading account are summarized as follows:
SUMMARY OF JOINT TRADING
DATED APRIL 30, 1997, DUE MAY 1, 1997 5.44%
Number of dealers or banks 17
Maximum amount with one dealer or bank 18.3%
Aggregate principal amount of agreements $6,971,314,000
Aggregate maturity amount of agreements $6,972,367,443
Aggregate market value of transferred assets $7,184,278,454
Coupon rates of transferred assets 0% to 14 1/4%
Maturity dates of transferred assets 5/01/97 to 2/15/27
DATED APRIL 30, 1997, DUE MAY 1, 1997 5.46%
Number of dealers or banks 4
Maximum amount with one dealer or bank 40%
Aggregate principal amount of agreements $250,000,000
Aggregate maturity amount of agreements $250,037,889
Aggregate market value of transferred assets $255,289,177
Coupon rates of transferred assets 0% to 11 5/8%
Maturity dates of transferred assets 5/8/97 to 11/15/26
DATED APRIL 8, 1997, DUE MAY 8, 1997 5.47%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $300,000,000
Aggregate maturity amount of agreements $301,367,500
Aggregate market value of transferred assets $307,037,525
Coupon rates of transferred assets 4 3/4% to 14%
Maturity dates of transferred assets 5/15/97 to 8/15/26
DATED APRIL 10, 1997, DUE MAY 12, 1997 5.50%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $375,000,000
Aggregate maturity amount of agreements $376,833,333
Aggregate market value of transferred assets $382,896,906
Coupon rates of transferred assets 5 3/4% to 7 1/2%
Maturity dates of transferred assets 12/31/98 to 8/15/25
3. JOINT TRADING ACCOUNT - CONTINUED
SUMMARY OF JOINT TRADING - CONTINUED
DATED APRIL 4, 1997, DUE JUNE 2, 1997 5.50%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $750,000,000
Aggregate maturity amount of agreements $756,760,417
Aggregate market value of transferred assets $767,593,813
Coupon rates of transferred assets 4 3/4% to 14%
Maturity dates of transferred assets 5/15/97 to 8/15/26
DATED APRIL 16, 1997, DUE JUNE 2, 1997 5.50%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $600,000,000
Aggregate maturity amount of agreements $604,308,333
Aggregate market value of transferred assets $614,706,200
Coupon rates of transferred assets 5 5/8% to 9%
Maturity dates of transferred assets 8/15/97 to 10/31/01
DATED APRIL 24, 1997, DUE JUNE 16, 1997 5.52%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $200,000,000
Aggregate maturity amount of agreements $201,625,333
Aggregate market value of transferred assets $206,036,119
Coupon rates of transferred assets 6 1/2% to 8 1/8%
Maturity dates of transferred assets 5/31/01 to 2/15/21
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.
MANAGEMENT FEE. As the fund's investment adviser, FMR received a fee that
was computed daily at an annualized rate of .50% of the fund's average net
assets. Effective May 31, 1997, the management fee rate was reduced to
.25%.
SUB-ADVISER FEE. As the fund's investment sub-adviser, FMR Texas Inc., a
wholly owned subsidiary of FMR, receives a fee from FMR of 50% of the
management fee payable to FMR. The fee is paid prior to any voluntary
expense reimbursements which may be in effect.
DISTRIBUTION AND SERVICE PLAN. In accordance with Rule 12b-1 of the 1940
Act, the Trustees have adopted separate distribution plans with respect to
each class of shares (collectively referred to as "the Plans").
Under the Advisor B Class Plan, the fund pays FDC a distribution and
service fee. This fee is based on an annual rate of 1.00% (of which .75%
represents a distribution fee and .25% represents a shareholder service
fee) of the average net assets of the Advisor B Class shares. For the
period, the fund paid FDC $82,201 under the Advisor B Class Plan, of which
4. FEES AND OTHER TRANSACTIONS WITH
AFFILIATES - CONTINUED
DISTRIBUTION AND SERVICE PLAN - CONTINUED
$29,117 was paid to securities dealers, banks and other financial
institutions for the distribution of Advisor B Class shares and providing
shareholder support services.
Effective May 31, 1997, shareholders approved a revised distribution and
service plan for the Daily Money Class. Under the revised plan, the class
will pay FDC a distribution and service fee that will be based on an annual
rate of .25% of the average net assets of the class.
Under the Plans, FMR or FDC may use its resources to pay administrative and
promotional expenses related to the sale of each class' shares. The Plans
also authorize payments to third parties that assist in the sale of each
class' shares or render shareholder support services. FMR or FDC has
informed the fund that payments made to third parties under the Daily Money
Class and Advisor B Class Plans amounted to $2,304,836 and $32,611,
respectively, for the period.
SALES LOAD. FDC receives the proceeds of a contingent deferred sales charge
levied on Advisor B Class share redemptions occurring within six years of
purchase (five years prior to January 2, 1997). The Advisor B Class charge
is based on declining rates which range from 5% to 1% (4% to 1% prior to
January 2, 1997) of the lesser of the cost of shares at the initial date of
purchase or the net asset value of the redeemed shares, excluding any
reinvested dividends and capital gains. For the period, FDC received
contingent deferred sales charges of $58,232 on Advisor B Class share
redemptions. When Advisor B Class shares are sold, FDC pays commissions
from its own resources to dealers through which the sales are made.
TRANSFER AGENT FEES. Fidelity Investments Institutional Operations Company
(FIIOC), an affiliate of FMR, is the transfer, dividend dispersing and
shareholder servicing agent for the fund's Daily Money Class and Advisor B
Class shares. FIIOC receives account fees and asset-based fees that vary
according to account size and type of account of the shareholders of the
respective classes of the fund. FIIOC pays for the typesetting, printing
and mailing of all shareholder reports, except proxy statements. For the
period, the transfer agent fees were equivalent to an annualized rate of
.21% and .27% of the average net assets for Daily Money Class and Advisor B
Class shares, respectively.
ACCOUNTING FEES. Fidelity Service Company, Inc. (FSC), an affiliate of FMR,
maintains the fund's accounting records. The fee is based on the level of
average net assets for the month plus out-of-pocket expenses.
5. EXPENSE REDUCTIONS.
FMR voluntarily agreed to reimburse operating expenses (excluding interest,
taxes, brokerage commissions and extraordinary expenses) above the
following annual rates or range of annual rates of average net assets for
each class:
FMR REIMBURSEME
EXPENSE NT
LIMITATIONS
DAILY MONEY CLASS .65% $ 706,445
ADVISOR B CLASS 1.35%-1.40% 34,971
$ 741,416
In addition, the fund has entered into an arrangement with its custodian
whereby credits realized as a result of uninvested cash balances were used
to reduce a portion of expenses. During the period, the fund's custodian
fees were reduced by $2,168 under the custodian arrangement.
6. BENEFICIAL INTEREST.
At the end of the period, one shareholder was record owner of approximately
23% of the total outstanding shares of the fund.
7. DISTRIBUTIONS TO SHAREHOLDERS.
Distributions to shareholders of each class were as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
SIX MONTHS THREE MONTHS YEAR ENDED
ENDED ENDED JULY 31, 1996
APRIL 30, 1997 OCTOBER 31, 1996
DAILY MONEY CLASS
From net interest income $ 39,039,630 $ 21,367,372 $ 98,286,345
ADVISOR B CLASS
From net interest income 475,221 269,062 528,535
$ 39,514,851 $ 21,636,434 $ 98,814,880
</TABLE>
8. REGISTRATION FEES.
For the period, each class paid the following amounts to register its
shares for sale:
REGISTRATION
FEES
DAILY MONEY CLASS $ 91,300
ADVISOR B CLASS 18,396
$ 109,696
9. SHARE TRANSACTIONS.
Share transactions for both classes of the fund at net asset value of $1.00
per share were as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
SIX MONTHS ENDED THREE MONTHS YEAR ENDED
APRIL 30, ENDED JULY 31,
OCTOBER 31,
1997 1996 1996
DAILY MONEY CLASS $ 4,615,593,934 $ 2,052,601,018 $ 11,030,210,151
Shares sold
Reinvestment of distributions from net interest income 25,461,282 12,481,771 56,208,793
Shares redeemed (5,090,251,266) (2,065,230,595) (11,113,118,785)
Net increase (decrease) $ (449,196,050) $ (147,806) $ (26,699,841)
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C>
ADVISOR B CLASS $ 48,049,831 $ 10,395,134 $ 82,859,473
Shares sold
Reinvestment of distributions from net interest income 410,049 257,070 472,884
Shares redeemed (24,907,387) (30,201,713) (46,523,167)
Net increase (decrease) $ 23,552,493 $ (19,549,509) $ 36,809,190
</TABLE>
10. PROPOSED REORGANIZATION.
The Board of Trustees of the fund has approved an Agreement and Plan of
Reorganization ("Agreement") between the fund and Capital Reserves: U.S.
Government Portfolio ("Reorganization"). The Agreement provides for the
transfer of all of the assets and the assumption of all of the liabilities
of U.S. Government Portfolio in exchange solely for the number of shares of
a new class of the fund equal in number to the outstanding shares of U.S.
Government Portfolio at the close of business on the day the Reorganization
is effective. The Reorganization can be consummated only if, among other
things, it is approved by the vote of a majority (as defined by the
Investment Company Act of 1940) of outstanding voting securities of U.S.
Government Portfolio. A Special Meeting of Shareholders ("Meeting") of U.S.
Government Portfolio will be held on September 17, 1997 to vote on the
Agreement. A detailed description of the proposed transaction and voting
information will be sent to shareholders of U.S. Government Portfolio in
July 1997. If the Agreement is approved at the Meeting, the Reorganization
is expected to become effective on or about October 30, 1997.
INVESTMENT ADVISER
Fidelity Management & Research Company
Boston, MA
SUB-ADVISER
FMR Texas Inc.
Irving, TX
OFFICERS
Edward C. Johnson 3d, PRESIDENT
J. Gary Burkhead, SENIOR VICE PRESIDENT
Robert Litterst, VICE PRESIDENT
Sarah H. Zenoble, VICE PRESIDENT
Arthur S. Loring, SECRETARY
Kenneth A. Rathgeber, TREASURER
Thomas D. Maher, ASSISTANT VICE PRESIDENT
John H. Costello, ASSISTANT TREASURER
Leonard M. Rush, ASSISTANT TREASURER
Thomas J. Simpson, ASSISTANT TREASURER
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox *
Phyllis Burke Davis *
Robert M. Gates *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Marvin L. Mann *
William O. McCoy *
Gerald C. McDonough *
Thomas R. Williams *
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENTS
Fidelity Investments Institutional Operations Company, Inc.
Boston, MA
CUSTODIAN
The Bank of New York
New York, NY
* INDEPENDENT TRUSTEES
(registered trademark)
TREASURY FUND - DAILY MONEY CLASS
(FORMERLY DAILY MONEY FUND: U.S. TREASURY
PORTFOLIO - INITIAL CLASS)
PRIME FUND - DAILY MONEY CLASS
(FORMERLY DAILY MONEY FUND: MONEY MARKET PORTFOLIO - INITIAL CLASS)
TAX-EXEMPT FUND - DAILY MONEY CLASS
(FORMERLY DAILY TAX-EXEMPT MONEY FUND -
INITIAL CLASS)
SEMIANNUAL REPORT
APRIL 30, 1997
DMFB-SANN-0697
33131
CONTENTS
SCHEDULES OF INVESTMENTS & FINANCIAL STATEMENTS
TREASURY FUND - DAILY MONEY CLASS 3
(FORMERLY DAILY MONEY FUND: U.S. TREASURY PORTFOLIO - INITIAL CLASS)
PRIME FUND - DAILY MONEY CLASS 9
(FORMERLY DAILY MONEY FUND: MONEY MARKET PORTFOLIO - INITIAL CLASS
TAX-EXEMPT FUND - DAILY MONEY CLASS 17
(FORMERLY DAILY TAX-EXEMPT MONEY FUND - INITIAL CLASS)
NOTES TO THE FINANCIAL STATEMENTS 30
EACH FUND SEEKS TO OBTAIN AS HIGH A LEVEL OF CURRENT INCOME AS IS
CONSISTENT WITH THE PRESERVATION OF CAPITAL AND LIQUIDITY BY INVESTING IN
HIGH-QUALITY, SHORT-TERM MONEY MARKET SECURITIES. MONEY MARKET PORTFOLIO
INVESTS IN A BROAD RANGE OF MONEY MARKET SECURITIES. U.S. TREASURY
PORTFOLIO INVESTS IN MONEY MARKET SECURITIES ISSUED BY THE U.S. TREASURY
AND BACKED BY THE FULL FAITH AND CREDIT OF THE U.S. GOVERNMENT.
THIS REPORT AND THE FINANCIAL STATEMENTS CONTAINED HEREIN ARE SUBMITTED FOR
THE GENERAL INFORMATION OF THE SHAREHOLDERS OF THE
FUNDS. THIS REPORT IS NOT AUTHORIZED FOR DISTRIBUTION TO PROSPECTIVE
INVESTORS IN THE FUNDS UNLESS PRECEDED OR ACCOMPANIED BY
AN EFFECTIVE PROSPECTUS.
MUTUAL FUND SHARES ARE NOT DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED BY,
ANY DEPOSITORY INSTITUTION.
SHARES ARE NOT INSURED BY THE FDIC, FEDERAL RESERVE BOARD OR ANY OTHER
AGENCY, AND ARE SUBJECT TO
INVESTMENT RISKS, INCLUDING POSSIBLE LOSS OF PRINCIPAL AMOUNT INVESTED.
NEITHER THE FUNDS NOR FIDELITY DISTRIBUTORS CORPORATION IS A BANK.
FOR MORE INFORMATION ON ANY FIDELITY FUND, INCLUDING CHARGES AND EXPENSES,
CALL 1-800-843-3001 FOR A FREE PROSPECTUS. READ
IT CAREFULLY BEFORE YOU INVEST OR SEND MONEY.
TREASURY FUND (FORMERLY DAILY MONEY FUND: U.S. TREASURY PORTFOLIO)
INVESTMENTS APRIL 30, 1997 (UNAUDITED)
Showing Percentage of Total Value of Investments
U.S. TREASURY OBLIGATIONS - 14.7%
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
U.S. TREASURY BILLS - 8.3%
7/24/97 5.73% $ 13,000,000 $ 12,835,593
3/5/98 5.64 3,000,000 2,863,004
3/5/98 5.67 10,000,000 9,541,385
4/2/98 6.00 15,000,000 14,208,300
4/2/98 6.03 24,000,000 22,724,974
4/30/98 6.01 7,000,000 6,599,044
4/30/98 6.04 31,000,000 29,216,046
4/30/98 6.05 6,000,000 5,654,200
4/30/98 6.07 13,000,000 12,248,080
115,890,626
U.S. TREASURY NOTES - 6.4%
11/30/97 5.50 12,000,000 11,982,287
2/28/98 5.67 15,000,000 14,921,762
3/31/98 5.60 9,000,000 9,023,105
3/31/98 5.62 17,000,000 17,039,337
3/31/98 5.69 6,000,000 6,010,039
3/31/98 5.73 6,000,000 6,007,273
3/31/98 5.93 25,000,000 24,808,453
89,792,256
TOTAL U.S. TREASURY OBLIGATIONS 205,682,882
REPURCHASE AGREEMENTS - 85.3%
MATURITY VALUE
AMOUNT (NOTE 1)
In a joint trading account
(Notes 2 and 3):
(U.S. Treasury Obligations)
dated 4/30/97 due 5/1/97:
At 5.44% $ 1,002,151,400 $ 1,002,000,000
At 5.46 43,905,653 43,899,000
(U.S. Treasury Obligations):
dated 4/8/97 due 5/8/97
At 5.47% 16,072,933 16,000,000
dated 4/10/97 due 5/12/97
At 5.50% 38,185,778 38,000,000
dated 4/4/97 due 6/2/97
At 5.50% 40,360,556 40,000,000
dated 4/16/97 due 6/2/97
At 5.50% 32,229,778 32,000,000
dated 4/24/97 due 6/16/97
At 5.52% 19,154,407 19,000,000
TOTAL REPURCHASE AGREEMENTS 1,190,899,000
TOTAL INVESTMENTS - 100% $ 1,396,581,882
Total Cost for Income Tax Purposes $ 1,396,581,882
INCOME TAX INFORMATION
At October 31, 1996 the fund had a capital loss carryforward of
approximately $421,000 which will expire on October 31, 2001.
TREASURY FUND (FORMERLY DAILY MONEY FUND: U.S. TREASURY PORTFOLIO)
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
APRIL 30, 1997 (UNAUDITED)
135.ASSETS 136. 137.
138.Investment in securities, at value (including repurchase agreements of $1,190,899,000) - 139. $ 1,396,581,882
See accompanying schedule
140.Receivable for investments sold 141. 53,787,060
142.Interest receivable 143. 1,298,387
144. 145.TOTAL ASSETS 146. 1,451,667,329
147.LIABILITIES 148. 149.
150.Payable for investments purchased $ 53,717,370 151.
152.Share transactions in process 383,759 153.
154.Distributions payable 1,007,080 155.
156.Accrued management fee 467,725 157.
158.Distribution fees payable 27,567 159.
160.Other payables and accrued expenses 375,734 161.
162. 163.TOTAL LIABILITIES 164. 55,979,235
165.166.NET ASSETS 167. $ 1,395,688,094
168.Net Assets consist of: 169. 170.
171.Paid in capital 172. $ 1,396,045,307
173.Accumulated net realized gain (loss) on investments 174. (357,213)
175.176.NET ASSETS 177. $ 1,395,688,094
178.DAILY MONEY CLASS (FORMERLY INITIAL CLASS): 179. 180.
181.182.NET ASSET VALUE, offering price and redemption price per share 183. $1.00
($1,351,732,139 (divided by) 1,352,078,102 shares)
184.ADVISOR B CLASS (FORMERLY CLASS B): 185. 186.
187.188.NET ASSET VALUE, offering price and redemption price per share 189. $1.00
($43,955,955 (divided by) 43,967,205 shares) A
</TABLE>
A REDEMPTION PRICE PER SHARE IS EQUAL TO NET ASSET VALUE LESS ANY
APPLICABLE CONTINGENT DEFERRED SALES CHARGE.
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS ENDED APRIL 30, 1997 (UNAUDITED)
190.191.INTEREST INCOME 192. $ 44,939,286
193.EXPENSES 194. 195.
196.Management fee $ 4,111,174 197.
198.Transfer agent fees 1,727,675 199.
200.Distribution fees 82,201 201.
202.Accounting fees and expenses 87,878 203.
204.Registration fees 109,696 205.
206.Audit 13,963 207.
208.Legal 8,861 209.
210.Reports to shareholders 23,028 211.
212.Miscellaneous 3,543 213.
214. Total expenses before reductions 6,168,019 215.
216. Expense reductions (743,584) 5,424,435
217.218.NET INTEREST INCOME 219. 39,514,851
220.221.NET REALIZED GAIN (LOSS) ON INVESTMENTS 222. 13,694
223.224.NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 225. $ 39,528,545
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
SIX MONTHS THREE MONTHS YEAR ENDED
ENDED APRIL 30, ENDED JULY 31,
1997 OCTOBER 31, 1996
(UNAUDITED) 1996
<TABLE>
<CAPTION>
<S> <C> <C> <C>
226.INCREASE (DECREASE) IN NET ASSETS
227.Operations $ 39,514,851 $ 21,636,434 $ 98,814,880
Net interest income
228. Net realized gain (loss) 13,694 17,244 37,646
229. 39,528,545 21,653,678 98,852,526
230.NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS
231.Distributions to shareholders from net interest income (39,514,851) (21,636,434) (98,814,880)
232.Share transactions - net increase (decrease) (425,643,557) (19,697,315) 10,109,349
233. (425,629,863) (19,680,071) 10,146,995
234.TOTAL INCREASE (DECREASE) IN NET ASSETS
235.NET ASSETS 236. 237. 238.
239. Beginning of period 1,821,317,957 1,840,998,028 1,830,851,033
240. End of period $ 1,395,688,094 $ 1,821,317,957 $ 1,840,998,028
</TABLE>
FINANCIAL HIGHLIGHTS - DAILY MONEY CLASS (FORMERLY INITIAL CLASS)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C>
241. SIX MONTHS THREE MONTHS YEARS ENDED JULY 31,
ENDED ENDED
APRIL 30, 1997 OCTOBER 31,
242. (UNAUDITED) 1996 1996 1995 1994 1993 1992
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C>
243.SELECTED PER-SHARE DATA
244.Net asset value, beginning of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
245.Income from Investment Operations
246. Net interest income .024 .012 .049 .049 .029 .027 .042
247.Less Distributions
248. From net interest income (.024) (.012) (.049) (.049) (.029) (.027) (.042)
249.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
250.TOTAL RETURN B 2.39% 1.19% 5.06% 5.02% 2.89% 2.78% 4.25%
251.RATIOS AND SUPPLEMENTAL DATA
252.Net assets, end of period (in millions) $ 1,352 $ 1,801 $ 1,801 $ 1,828 $ 2,025 $ 2,949 $ 3,094
253.Ratio of expenses to average net assets .65% A, C .65% A, .65% .65% .60% .57% .59%
C C C
254.Ratio of net interest income to average 4.81% A 4.66% A 4.94% 4.89% 2.81% 2.73% 4.14%
net assets
</TABLE>
A ANNUALIZED
B TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED. TOTAL
RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED DURING
THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
C FMR AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE CLASS' EXPENSE RATIO WOULD HAVE
BEEN HIGHER (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
FINANCIAL HIGHLIGHTS - ADVISOR B CLASS (FORMERLY CLASS B)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
255. SIX MONTHS THREE MONTHS YEARS ENDED JULY 31, JULY 1, 1994
ENDED ENDED (COMMENCEMEN
APRIL 30, 1997 OCTOBER 31, T
OF OPERATIONS)
TO
JULY 31,
256. (UNAUDITED) 1996 1996 1995 1994
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C>
257.SELECTED PER-SHARE DATA
258.Net asset value, beginning of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
259.Income from Investment Operations
260. Net interest income .020 .010 .043 .042 .002
261.Less Distributions
262. From net interest income (.020) (.010) (.043) (.042) (.002)
263.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
264.TOTAL RETURN B, C 2.02% 1.01% 4.33% 4.28% .25%
265.RATIOS AND SUPPLEMENTAL DATA
266.Net assets, end of period (000 omitted) $ 43,956 $ 20,411 $ 39,956 $ 3,154 $ 628
267.Ratio of expenses to average net assets 1.38% A, 1.35% A, 1.35% 1.35% D 1.35% A,
D D D D
268.Ratio of net interest income to average net assets 4.29% A 3.96% A 4.13% 4.22% 3.03% A
</TABLE>
A ANNUALIZED
B TOTAL RETURNS DO NOT INCLUDE THE CONTINGENT DEFERRED SALES CHARGE AND FOR
PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED.
C TOTAL RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED
DURING THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
D FMR AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE CLASS' EXPENSE RATIO WOULD HAVE
BEEN HIGHER (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
PRIME FUND (FORMERLY DAILY MONEY FUND: MONEY MARKET PORTFOLIO)
INVESTMENTS APRIL 30, 1997 (UNAUDITED)
Showing Percentage of Total Value of Investments
CERTIFICATES OF DEPOSIT - 46.6%
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
DOMESTIC CERTIFICATES OF DEPOSIT - 0.4%
Chase Manhattan Bank (USA)
7/28/97 5.55% $ 10,000,000 $ 10,000,000
CHICAGO BRANCH, YANKEE DOLLAR, FOREIGN BANKS - 0.9%
ABN-AMRO Bank
12/4/97 5.75 8,000,000 7,984,842
Bank of Montreal
6/24/97 5.38 15,000,000 15,000,000
22,984,842
NEW YORK BRANCH, YANKEE DOLLAR, FOREIGN BANKS - 34.0%
ABN-AMRO Bank
5/16/97 5.55 10,000,000 10,000,000
Bank of Tokyo - Mitsubishi Ltd.
5/5/97 5.60 7,000,000 7,000,000
5/7/97 5.48 3,000,000 3,000,039
5/27/97 5.48 12,000,000 12,000,000
5/30/97 5.48 5,000,000 5,000,000
6/3/97 5.53 14,000,000 14,000,000
6/4/97 5.53 2,000,000 2,000,000
7/10/97 5.83 8,000,000 8,000,000
Banque Nationale de Paris
5/19/97 5.60 2,000,000 1,999,740
9/30/97 5.85 10,000,000 10,000,000
Barclays Bank, PLC
5/12/97 5.56 21,000,000 21,000,000
5/19/97 5.61 16,000,000 16,000,000
5/27/97 5.54 20,000,000 20,000,000
6/2/97 5.61 45,000,000 45,000,025
Bayerische Hypotheken-und Weschel
5/7/97 5.59 20,000,000 20,000,000
5/12/97 5.37 8,000,000 8,000,022
Bayerische Landesbank Girozentrale
5/12/97 5.57 25,000,000 25,000,000
Bayerische Vereinsbank, A.G.
5/19/97 5.54 18,000,000 18,000,000
Caisse Nationale de Credit Agricole
5/7/97 5.57 50,000,000 50,000,000
Canadian Imperial Bank of Commerce
5/7/97 5.56 24,000,000 24,000,080
5/12/97 5.57 7,000,000 7,000,000
5/20/97 5.55 17,000,000 17,000,000
Commerzbank, Germany
5/14/97 5.55 25,000,000 25,000,000
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
Deutsche Bank, Germany
5/12/97 5.38% $ 21,000,000 $ 20,999,746
5/28/97 5.34 35,000,000 35,000,000
1/16/98 5.80 20,000,000 19,994,095
Dresdner Bank, A.G., Germany
5/22/97 5.53 20,000,000 20,000,000
6/18/97 5.37 20,000,000 20,000,000
National Westminster Bank, PLC
5/1/97 5.42 7,000,000 7,000,000
5/21/97 5.57 5,000,000 4,999,258
6/17/97 5.50 15,000,000 15,000,000
8/6/97 5.50 12,000,000 12,000,000
Rabobank Nederland, N.V.
4/10/98 6.26 10,000,000 9,994,609
Sanwa Bank Ltd.
5/2/97 5.68 6,000,000 6,000,002
5/19/97 5.66 5,000,000 5,000,000
5/21/97 5.50 2,000,000 2,000,011
5/27/97 5.50 7,000,000 7,000,050
7/10/97 5.81 7,000,000 7,000,000
7/21/97 5.82 14,000,000 14,000,000
8/1/97 5.85 6,000,000 6,000,000
Societe Generale, France
5/13/97 5.57 10,000,000 9,999,899
7/11/97 5.70 10,000,000 10,000,000
7/28/97 5.55 20,000,000 20,000,000
8/7/97 5.52 50,000,000 50,000,000
Sumitomo Bank Ltd.
5/19/97 5.52 8,000,000 8,000,000
5/19/97 5.54 3,000,000 3,000,000
5/27/97 5.50 6,000,000 6,000,000
5/27/97 5.51 2,000,000 2,000,000
5/30/97 5.52 2,000,000 2,000,000
6/6/97 5.58 4,000,000 4,000,000
Swiss Bank Corp.
5/16/97 5.55 20,000,000 20,000,000
5/19/97 5.40 10,000,000 10,000,000
5/27/97 5.54 25,000,000 25,000,000
7/16/97 5.40 15,000,000 15,000,000
8/4/97 5.50 25,000,000 25,000,000
12/22/97 5.99 15,000,000 15,000,000
12/30/97 6.04 17,000,000 17,000,000
Westdeutsche Landesbank Girozentrale
5/5/97 5.62 12,000,000 12,000,000
Westpac Banking Corp.
9/15/97 5.70 10,000,000 10,000,000
844,987,576
CERTIFICATES OF DEPOSIT - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
PORTLAND BRANCH, YANKEE DOLLAR, FOREIGN BANKS - 0.5%
Bank of Nova Scotia
4/1/98 6.20% $ 12,000,000 $ 11,993,696
LONDON BRANCH, EURODOLLAR, FOREIGN BANKS - 10.8%
ABN-AMRO Bank
7/24/97 5.45 5,000,000 5,000,200
Abbey National, Treasury Services
7/2/97 5.70 5,000,000 4,999,784
7/28/97 5.72 20,000,000 20,000,000
3/4/98 5.87 12,000,000 12,000,000
Bayerische Hypotheken-und Weschel
5/19/97 5.55 10,000,000 10,000,100
Bayerische Landesbank Girozentrale
7/14/97 5.72 29,000,000 28,998,077
7/29/97 5.51 15,000,000 15,001,774
Bayerische Vereinsbank, A.G.
5/12/97 5.38 10,000,000 9,999,926
8/26/97 5.44 10,000,000 9,999,974
Den Danske Bank Group A/S
5/20/97 5.35 5,000,000 5,000,009
Deutsche Bank, Germany
5/19/97 5.54 30,000,000 30,000,000
5/19/97 5.56 8,000,000 7,999,284
5/22/97 5.53 14,000,000 14,000,000
Dresdner Bank, A.G,. Germany
5/7/97 5.57 25,000,000 25,000,041
Royal Bank of Scotland, PLC
8/7/97 5.50 25,000,000 25,000,000
Societe Generale, France
7/18/97 5.55 15,000,000 15,000,045
Toronto-Dominion Bank
5/12/97 5.56 20,000,000 20,000,000
5/12/97 5.57 10,000,000 10,000,000
267,999,214
TOTAL CERTIFICATES OF DEPOSIT 1,157,965,328
COMMERCIAL PAPER - 30.6%
ABN-AMRO North America Finance, Inc.
5/23/97 5.54 9,000,000 8,969,668
ANZ (Delaware), Inc.
5/21/97 5.55 10,000,000 9,969,333
Abbey National, North America
7/18/97 5.70 11,000,000 10,866,057
Asset Securitization Coop. Corp.
5/21/97 5.55 16,000,000 15,950,933
5/23/97 5.54 10,000,000 9,966,267
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
Associates Corp. of North America
5/28/97 5.66% $ 15,000,000 $ 14,937,000
Bank of Nova Scotia
6/19/97 5.53 50,000,000 49,629,097
Barclays U.S. Funding Corp.
5/20/97 5.55 10,500,000 10,469,410
Bear Stearns Cos., Inc.
5/28/97 5.35 10,000,000 9,960,400
5/28/97 5.61 5,000,000 4,979,113
Beneficial Corp.
5/29/97 5.61 5,000,000 4,978,339
5/30/97 5.61 9,000,000 8,959,618
CIT Group Holdings, Inc.
5/12/97 5.56 10,000,000 9,983,103
5/22/97 5.61 20,000,000 19,935,017
5/29/97 5.80 40,000,000 39,821,111
Caisse d'Amortissement de la Dette Sociale
5/7/97 5.61 550,000 549,487
6/16/97 5.67 660,000 655,277
Citibank Credit Card Master Trust I (Dakota Certificate Program)
5/7/97 5.57 4,000,000 3,996,300
5/30/97 5.44 3,000,000 2,987,023
7/14/97 5.74 5,000,000 4,941,725
Cregem North America, Inc.
6/27/97 5.39 2,000,000 1,983,248
7/11/97 5.72 5,000,000 4,944,383
Delaware Funding Corporation
5/21/97 5.59 2,902,000 2,893,020
Eiger Capital Corp.
5/13/97 5.57 10,000,000 9,981,500
5/16/97 5.54 20,000,000 19,954,000
5/20/97 5.54 10,500,000 10,469,410
5/20/97 5.55 9,746,000 9,717,607
Enterprise Funding Corp.
5/14/97 5.54 2,000,000 1,996,013
5/16/97 5.55 3,144,000 3,136,756
5/23/97 5.65 7,000,000 6,976,044
5/29/97 5.59 10,000,000 9,956,833
7/22/97 5.76 4,000,000 3,948,249
Ford Motor Credit Corp.
5/22/97 5.59 45,000,000 44,854,313
7/14/97 5.70 25,000,000 24,710,681
7/28/97 5.51 20,000,000 19,737,956
General Electric Capital Corp.
5/6/97 5.42 40,000,000 39,970,722
5/22/97 5.61 8,000,000 7,974,007
5/28/97 5.45 25,000,000 24,899,688
5/29/97 5.34 25,000,000 24,897,528
7/7/97 5.50 25,000,000 24,748,750
7/29/97 5.52 10,000,000 9,867,242
COMMERCIAL PAPER - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
General Electric Co.
5/27/97 5.35% $ 20,000,000 $ 19,923,878
7/30/97 5.73 10,000,000 9,858,750
Glaxo Wellcome, PLC
5/8/97 5.55 5,000,000 4,994,624
Goldman Sachs Group, L.P. (The)
5/12/97 5.45 16,000,000 15,974,088
Halifax Building Society
5/27/97 5.62 11,000,000 10,955,748
Merrill Lynch & Co., Inc.
5/19/97 5.61 6,000,000 5,983,290
5/22/97 5.57 11,000,000 10,964,516
5/28/97 5.36 6,000,000 5,976,240
Morgan Stanley Group, Inc.
5/14/97 5.38 12,600,000 12,575,840
5/15/97 5.42 10,000,000 9,979,233
5/20/97 5.53 30,000,000 29,912,758
New England Power Company
5/8/97 5.56 3,225,000 3,221,520
PHH Corp.
5/19/97 5.64 7,000,000 6,980,400
Santander Finance (Delaware), Inc.
6/24/97 5.43 5,000,000 4,960,100
Smith Barney, Inc.
5/21/97 5.58 5,000,000 4,984,610
Triple A One Funding Corp.
5/12/97 5.56 4,000,000 3,993,241
5/12/97 5.58 10,178,000 10,160,740
5/13/97 5.58 11,371,000 11,349,964
5/16/97 5.56 5,000,000 4,988,478
Unifunding, Inc.
5/12/97 5.56 14,195,000 14,171,013
Woolwich Equitable Building Society
7/28/97 5.72 10,000,000 9,862,132
TOTAL COMMERCIAL PAPER 761,893,391
FEDERAL AGENCIES - 13.4%
FEDERAL HOME LOAN BANK - AGENCY COUPONS (A) - 0.4%
6/4/97 5.44 10,000,000 9,994,825
FEDERAL HOME LOAN MORTGAGE CORP. - DISCOUNT NOTES - 3.0%
6/26/97 5.60 50,000,000 49,570,667
7/3/97 5.61 25,000,000 24,758,063
74,328,730
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
FEDERAL NATIONAL MORTGAGE ASSOC. - AGENCY COUPONS (A) - 5.8%
5/1/97 5.46% $ 25,000,000 $ 24,995,954
5/2/97 5.63 50,000,000 49,999,894
5/6/97 5.59 10,000,000 9,996,877
6/9/97 5.46 35,000,000 34,981,480
6/13/97 5.46 25,000,000 24,986,530
144,960,735
FEDERAL NATIONAL MORTGAGE ASSOC. - DISCOUNT NOTES - 4.2%
6/12/97 5.35 50,000,000 49,692,000
6/13/97 5.36 25,000,000 24,842,184
7/3/97 5.61 30,000,000 29,709,675
104,243,859
TOTAL FEDERAL AGENCIES 333,528,149
U.S. TREASURY OBLIGATIONS - 1.0%
U.S. Treasury Bills
3/5/98 5.67 25,000,000 23,853,556
BANK NOTES - 4.2%
Morgan Guaranty Trust, NY
5/14/97 5.46 104,000,000 103,959,080
MEDIUM-TERM NOTES (A) - 1.9%
Exxon Shipping Co.
5/1/97 5.64 18,100,000 18,100,000
5/1/97 5.67 25,000,000 25,000,000
Merrill Lynch & Co., Inc.
6/4/97 5.67 5,000,000 4,999,007
TOTAL MEDIUM-TERM NOTES 48,099,007
SHORT-TERM NOTES (A) - 0.9%
CSA Funding - C
5/7/97 5.76 23,000,000 23,000,000
TIME DEPOSITS - 0.6%
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
Sumitomo Bank Ltd.
5/5/97 5.72% $ 12,000,000 $ 12,000,000
5/8/97 5.73 3,000,000 3,000,000
TOTAL TIME DEPOSITS 15,000,000
REPURCHASE AGREEMENTS - 0.8%
MATURITY
AMOUNT
In a joint trading account
(U.S. Treasury Obligations)
dated 4/30/97 due 5/1/97:
At 5.46% $20,231,066 20,228,000
TOTAL INVESTMENTS - 100% $ 2,487,526,511
Total Cost for Income Tax Purposes $ 2,487,526,511
LEGEND
1. The coupon rate shown on floating or adjustable rate securities
represents the rate at period end. The due date on these types of
securities reflects the next interest rate reset date or, when applicable,
the final maturity date.
INCOME TAX INFORMATION
At October 31, 1996, the fund had a capital loss carryforward of
approximately $764,000, of which $7,000, $125,000, $584,000 and $48,000
will expire on October 31, 2000, 2001, 2002 and 2003, respectively.
PRIME FUND (FORMERLY DAILY MONEY FUND: MONEY MARKET PORTFOLIO)
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<TABLE>
<CAPTION>
<S> <C> <C>
APRIL 30, 1997 (UNAUDITED)
2.ASSETS 3. 4.
5.Investment in securities, at value (including repurchase agreements of $20,228,000) - 6. $ 2,487,526,511
See accompanying schedule
7.Cash 8. 20,980,063
9.Interest receivable 10. 11,427,229
11. 12.TOTAL ASSETS 13. 2,519,933,803
14.LIABILITIES 15. 16.
17.Payable for investments purchased $ 6,000,000 18.
19.Distributions payable 622,648 20.
21.Accrued management fee 725,020 22.
23.Other payables and accrued expenses 543,800 24.
25. 26.TOTAL LIABILITIES 27. 7,891,468
28.29.NET ASSETS 30. $ 2,512,042,335
31.Net Assets consist of: 32. 33.
34.Paid in capital 35. $ 2,512,804,938
36.Accumulated net realized gain (loss) on investments 37. (762,603)
38.39.NET ASSETS, for 2,512,804,938 shares outstanding 40. $ 2,512,042,335
41.42.NET ASSET VALUE, offering price and redemption price per share 43. $1.00
($2,512,042,335 (divided by) 2,512,804,938 shares)
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS ENDED APRIL 30, 1997 (UNAUDITED)
44.45.INTEREST INCOME 46. $ 69,237,491
47.EXPENSES 48. 49.
50.Management fee $ 6,286,736 51.
52.Transfer agent fees 2,741,030 53.
54.Accounting fees and expenses 120,925 55.
56.Custodian fees and expenses 29,646 57.
58.Registration fees 124,746 59.
60.Audit 2,730 61.
62.Legal 12,198 63.
64.Reports to shareholders 108,261 65.
66.Miscellaneous 8,590 67.
68. Total expenses before reductions 9,434,862 69.
70. Expense reductions (1,262,176) 8,172,686
71.72.NET INTEREST INCOME 73. 61,064,805
74.75.NET REALIZED GAIN (LOSS) ON INVESTMENTS 76. 1,525
77.78.NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 79. $ 61,066,330
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
SIX MONTHS THREE MONTHS YEAR ENDED
ENDED APRIL 30, ENDED JULY 31,
1997 OCTOBER 31, 1996
(UNAUDITED) 1996
<TABLE>
<CAPTION>
<S> <C> <C> <C>
80.INCREASE (DECREASE) IN NET ASSETS
81.Operations $ 61,064,805 $ 31,070,720 $ 121,708,868
Net interest income
82. Net realized gain (loss) 1,525 57,797 (48,294)
83. 84.NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS 61,066,330 31,128,517 121,660,574
85.Distributions to shareholders from net interest income (61,064,805) (31,070,720) (121,708,868)
86.Share transactions at net asset value of $1.00 per share 7,178,653,255 3,213,788,949 13,231,538,511
Proceeds from sales of shares
87. Reinvestment of distributions from net interest income 56,265,577 28,781,415 112,618,012
88. Cost of shares redeemed (7,386,287,215) (3,159,725,660) (12,902,990,749)
89.90. (151,368,383) 82,844,704 441,165,774
NET INCREASE (DECREASE) IN NET ASSETS AND SHARES RESULTING FROM SHARE
TRANSACTIONS
91. 92.TOTAL INCREASE (DECREASE) IN NET ASSETS (151,366,858) 82,902,501 441,117,480
93.NET ASSETS 94. 95. 96.
97. Beginning of period 2,663,409,193 2,580,506,692 2,139,389,212
98. End of period $ 2,512,042,335 $ 2,663,409,193 $ 2,580,506,692
</TABLE>
FINANCIAL HIGHLIGHTS - DAILY MONEY CLASS (FORMERLY INITIAL CLASS)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C>
99. SIX MONTHS THREE MONTHS YEARS ENDED JULY 31,
ENDED ENDED
APRIL 30, 1997 OCTOBER 31,
100. (UNAUDITED) 1996 1996 1995 1994 1993 1992
</TABLE>
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C> <C>
101.SELECTED PER-SHARE DATA
102.Net asset value, beginning of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
103.Income from Investment Operations .024 .012 .050 .050 .029 .028 .041
Net interest income
104.
105.Less Distributions
106. From net interest income (.024) (.012) (.050) (.050) (.029) (.028) (.041)
107.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
108.TOTAL RETURN B 2.43% 1.22% 5.13% 5.16% 2.98% 2.82% 4.21%
109.RATIOS AND SUPPLEMENTAL DATA
110.Net assets, end of period (in millions) $ 2,512 $ 2,663 $ 2,581 $ 2,139 $ 1,525 $ 1,451 $ 1,531
111.Ratio of expenses to average net assets .65% A, C .65% A, .65% .65% .65% .61% .59%
C C C C
112.Ratio of net interest income to average 4.86% A 4.85% A 5.00% 5.11% 2.96% 2.76% 4.19%
net assets
</TABLE>
A ANNUALIZED
B TOTAL RETURNS FOR PERIODS OF LESS THAN ONE YEAR ARE NOT ANNUALIZED. TOTAL
RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED DURING
THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
C FMR AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE CLASS' EXPENSE RATIO WOULD HAVE
BEEN HIGHER (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
TAX-EXEMPT FUND (FORMERLY DAILY TAX-EXEMPT MONEY FUND)
INVESTMENTS APRIL 30, 1997 (UNAUDITED)
Showing Percentage of Total Value of Investments
MUNICIPAL SECURITIES (A) - 100%
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
ALABAMA - 0.1 %
Columbia Ind. Dev. Board (Alabama Pwr. Co. Proj.) Participating VRDN,
Series 97I, 4.65%,
LOC Caisse Des Depots et Consignations (b) $ 500,000 $ 500,000
ALASKA - 3.0 %
Alaska Hsg. Fin. Corp. Gen. Mtg. Rev. Series 1991 C, 4.50% (BPA Swiss Bank
Corp.) VRDN 5,000,000 5,000,000
Valdez Marine Terminal Rev. Rfdg. (Atlantic Richfield Co. Proj.) Series
1994 B, 4.60%, VRDN 8,300,000 8,300,000
13,300,000
ARIZONA - 1.1 %
Mesa Ind. Dev. Auth. Participating VRDN, Series 1997 B, 4.65% (Liquidity
Facility
Caisse des Depots et Consignations) (b) 1,000,000 1,000,000
Pinal County Ind. Dev. Auth. Hosp. Rev. (Casa Grande Med. Ctr. Proj.)
Series 1995, 4.60%,
LOC Chase Manhattan Bank, VRDN 3,900,000 3,900,000
4,900,000
ARKANSAS - 0.6 %
Arkansas Hosp. Equip. Fin. Auth. Rev. (Baptist Health Proj.) Series 1995,
4.70%,
LOC Credit Suisse, VRDN 1,575,000 1,575,000
Univ. of Arkansas Rev. 4.70%, LOC Credit Suisse, VRDN 900,000 900,000
2,475,000
CALIFORNIA - 6.9 %
Alameda County TRAN 4.50% 6/30/97 1,400,000 1,401,217
California Gen. Oblig. RAN Series 1996-97, 4.50% 6/30/97 7,850,000
7,857,554
California School Cash Reserves Prog. Auth. TRAN Series 1996 A, 4.75%
7/2/97 2,700,000 2,703,973
Fresno TRAN 4.50% 6/30/97 1,000,000 1,000,949
Los Angeles Commty. College Dist. TRAN Series 1996-97, 4.50% 7/1/97
1,000,000 1,000,802
Los Angeles County TRAN Series 1996-97, 4.50% 6/30/97 2,000,000
2,001,728
Los Angeles Reg'l. Arpt. Impt. Corp. Lease Rev. (Los Angeles Int'l. Air
France) 4.70%,
LOC Societe Generale, VRDN 3,100,000 3,100,000
Los Angeles TRAN Series 1996, 4.50% 6/19/97 8,000,000 8,005,762
Oakland TRAN Series 1996, 4.75% 6/30/97 1,500,000 1,502,065
Ventura County TRAN Series 1996, 4.75% 7/2/97 1,300,000 1,301,564
29,875,614
COLORADO - 0.3 %
El Paso County School Dist. Gen. Oblig. Participating VRDN, Series 1996 D,
4.75%
(Liquidity Facility Norwest Bank NA, Minnesota) (b) 1,250,000 1,250,000
DELAWARE - 4.1 %
Delaware Econ. Dev. Auth. Multi-Family Rev. (Schoolhouse Trust Prog.)
5.25%,
LOC Marine Midland Bank, VRDN 1,150,000 1,150,000
Delaware Econ. Dev. Auth. Rev., VRDN:
(Hosp. Billing & Collection Svc. Ltd. Proj.):
Series 1985 A, 4.60% (BIG Insured) (BPA Morgan Stanley Group, Inc.)
7,500,000 7,500,000
Series 1985 C, 4.60% (BIG Insured) (BPA Morgan Stanley Group, Inc.)
4,700,000 4,700,000
(Peninsula United Methodist Homes, Inc.) Series 1992 B, 4.60%,
LOC Corestates Bank, VRDN 4,710,000 4,710,000
18,060,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
FLORIDA - 5.3 %
Florida Local Gov't. Fin. Commission Series A, CP:
3.75% 7/17/97, LOC First Union Nat'l. Bank $ 7,100,000 $ 7,100,000
3.55% 7/23/97, LOC First Union Nat'l. Bank 2,000,000 2,000,000
Highlands County Health Fac. Auth. Rev. (Adventist Health Sys. Sunbelt
Proj.)
Series 1996A, 4.625%, LOC SunTrust Bank of Central Florida, VRDN
6,600,000 6,600,000
Jacksonville Health Fac. Auth. Participating VRDN, Series 1996 M, 4.60%
(Liquidity Facility Caisse des Depots et Consignations) (b) 2,000,000
2,000,000
Jacksonville Hosp. Rev. (Univ. Med. Ctr.) Series 1988, 4.10%, LOC Sumitomo
Bank Ltd., VRDN 1,000,000 1,000,000
Mount Dora Health Fac. Auth. Rev. (Waterman Village Proj.) Series 1996A,
4.625%,
LOC Barnett Bank, VRDN 4,000,000 4,000,000
Sunrise Util. Sys. Participating VRDN, Series SG-16, 4.70%
(Liquidity Facility Societe Generale) (b) 600,000 600,000
23,300,000
GEORGIA - 7.6 %
Atlanta Gen. Oblig. Participating VRDN, Series SG-58, 4.60%
(Liquidity Facility Societe Generale) (b) 2,785,000 2,785,000
Burke County Dev. Auth. Poll. Cont. Rev. Bonds (Oglethorpe Pwr. Corp.
Voltage Proj.)
Series 1997 A, 3.60% 12/1/97 (AMBAC Insured) 3,500,000 3,500,000
Cherokee County Wtr. & Swr. Auth. Participating VRDN, Series PA47B, 4.60%
(MBIA Insured)
(Liquidity Facility Merrill Lynch & Co.) (b) 1,495,000 1,495,000
Coweta County Dev. Auth. Poll. Cont. Rev. (Georgia Pwr. Co. Plant Yates
Proj.)
Series 1996, 4.10%, VRDN 1,600,000 1,600,000
Dekalb Multifamily Hsg. Rev. (Post Walk Proj.) 4.55% (FNMA Guaranteed) VRDN
1,000,000 1,000,000
Fulton County Hsg. Auth. Multi-Family Hsg. Rev. Rfdg., VRDN:
(Champions Green Apts. Proj.) Series 1994 B, 4.70%, LOC Southtrust Bank
5,670,000 5,670,000
(Holcomb's Landing Apts. Proj.) 4.70%, LOC First Union Nat'l. Bank
1,000,000 1,000,000
Georgia Muni. Elec. Auth. Participating VRDN, Series SG-40, 4.60%
(Liquidity Facility Societe Generale) (b) 3,000,000 3,000,000
Georgia Muni. Gas Auth. 4.50%, VRDN 7,250,000 7,250,000
Rockdale County Hosp. Auth. Rev. Series 1994, 4.60%, LOC SunTrust Bank of
Atlanta, VRDN 2,700,000 2,700,000
Savannah Econ. Dev. Auth. Rev. Rfdg. (La Quinta Motor Inns, Inc. Proj.)
Series 1991, 4.75%,
LOC NationsBank, Texas, VRDN 1,700,000 1,700,000
Worth County Ind. Dev. Auth. Rev. (Seabrook Enterprises) Series 1996 A,
4.60%,
LOC SunTrust Bank, Atlanta 1,400,000 1,400,000
33,100,000
IDAHO - 0.3 %
Caribou County Poll. Cont. Rev. Rfdg. (Monsanto Co.) Series 1990, 4.55%,
VRDN 1,500,000 1,500,000
ILLINOIS - 8.6 %
Chicago School Reform Participating VRDN, Series 96-BB, 4.72%
(Liquidity Facility Bank of America NT & SA) (b) 2,400,000 2,400,000
Chicago Tax Increment Allocation Rev. (Stockyards Southeast Quad.) Series
1996 B,
4.50%, LOC Northern Trust Co. of Chicago, VRDN 2,800,000 2,800,000
Cook County Rev. (Catholic Charities Hosp.) Series 1988 A-1, 4.50%,
LOC Northern Trust Co. of Chicago, VRDN 1,800,000 1,800,000
Decatur Wtr. Rev. Bonds Series 1985, 3.75% 7/14/97, LOC Sumitomo Bank Ltd.,
CP mode 2,100,000 2,100,000
East Hazel Crest Multi-Family Hsg. Rev. (I-80 & Halstead Proj.) Series 1985
A, 4.80%,
LOC Marine Midland Bank, VRDN 2,945,000 2,945,000
Illinois Dev. Fin. Auth. Multi-Family Hsg. Rev. Rfdg. (Garden Glen Apts.)
Series 1993, 4.75%, VRDN 1,610,000 1,610,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
ILLINOIS - CONTINUED
Illinois Dev. Fin. Auth. Rev., VRDN:
(Museum of Contemporary Art Proj.) Series 1994, 4.50% $ 4,800,000 $
4,800,000
(Presbyterian Home Lake Forest) Series 1996 A, 4.50%, LOC LaSalle Nat'l.
Bank 3,400,000 3,400,000
Illinois Edl. Facs. Auth. Rev. (Art Institute of Chicago) Series 1996,
4.55%
(Liquidity Facility Bank of America, Illinois) VRDN 2,000,000 2,000,000
Illinois Health Facs. Auth. Rev. VRDN:
(Franciscan Eldercare Commty. Svc.) Series 1996C, 4.60%, LOC LaSalle Bank
1,200,000 1,200,000
(Methodist Med. Ctr. Proj.) Series 1985 B, 4.50%, LOC Sumitomo Bank Ltd.
400,000 400,000
Illinois Reg'l. Trans. Auth. Participating VRDN:
Series SG-10, 4.70% (Liquidity Facility Societe Generale) (b) 1,645,000
1,645,000
Series SG-82, 4.60% (Liquidity Facility Societe Generale) (b) 1,000,000
1,000,000
Lombard Ind. Proj. (B&H Partnership Proj.) 4.875%, LOC Comerica
Bank-Illinois, VRDN 3,375,000 3,375,000
Schaumburg Ind. Dev. Rev. Rfdg. (La Quinta Motor Inns, Inc. Proj.) 4.75%,
LOC NationsBank, Texas, VRDN 1,785,000 1,785,000
Schaumburg Village Gen. Oblig. Rev. Series 1996 A, 4.55% (BPA Credit
Suisse) VRDN 2,000,000 2,000,000
Springfield Commty. Impt. Rev. (Kent Family, Inc. Proj.) 4.75%, LOC PNC
Bank, VRDN 1,200,000 1,200,000
Winnebago Rev. (Mill Proj.) Series 1996, 4.70%,
LOC Bank One, Chicago, VRDN 1,000,000 1,000,000
37,460,000
INDIANA - 2.4 %
Carmel Clay Ind. School Dist. TAN 4.25% 12/31/97 1,000,000 1,003,026
Indiana Edl. Facs. Auth. Rev. (Tri-State Univ., Inc. Proj.) 4.70%,
LOC Bank One, Indianapolis, VRDN 2,475,000 2,475,000
Indiana Trans. Fin. Auth. Participating VRDN, Series BT-218, 4.70%,
(Liquidity Facility Bankers Trust) (b) 1,000,000 1,000,000
Noblesville Econ. Dev. Rev. Rfdg. (River's Edge Apt. Proj.) Series 1992,
4.70%,
LOC Bank One, VRDN 3,110,000 3,110,000
Purdue Univ. Rev. (Student Fee) Series E, 4.45%, VRDN 3,000,000
3,000,000
10,588,026
IOWA - 0.2 %
Iowa Hsg. Fin. Auth. Multi-Family Hsg. (Small Bus. Loan Prog.) Series 85-A,
4.65%, LOC Federal Home Loan Bank, VRDN 1,100,000 1,100,000
KANSAS - 0.4 %
Olathe Edl. Facs. Rev. (College Assoc. Pooled Edl. Loan Prog.) Series 1989
A, 4.55%,
LOC Midland Bank PLC, VRDN 1,590,000 1,590,000
KENTUCKY - 1.5 %
Georgetown Edl. Inst. Rev. (Georgetown College Proj.) Series 1992, 4.60%,
LOC PNC Bank, VRDN 1,600,000 1,600,000
Louisville and Jefferson Metropolitan Swr. Dist. Series 1997 A, 4.80%,
LOC PNC Bank, VRDN 5,000,000 5,000,000
6,600,000
LOUISIANA - 3.9 %
Jefferson Parish Hosp. Rev. (W. Jefferson Med. Ctr. Dist. #1) Series 1986,
4.10%,
LOC Rabobank Nederland, N.V., VRDN 7,320,000 7,320,000
Louisiana Pub. Facs. Auth. Bonds (Sisters of Charity of the Incarnate Word)
3.75%
6/30/97 (BPA Toronto-Dominion Bank), CP mode 4,300,000 4,300,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
LOUISIANA - CONTINUED
Louisiana Pub. Facs. Auth. Health Care Sys. Bonds (Sisters of Charity of
the Incarnated Word)
3.75% 6/30/97 (BPA Credit Suisse First Boston), CP mode $ 1,200,000 $
1,200,000
Louisiana Pub. Facs. Auth. Wtr. Rev. Rfdg. (Louisiana Wtr. Co. Proj.)
Series 1993, 4.55%, LOC Bank One, Texas, VRDN 3,185,000 3,185,000
West Baton Rouge Parish Ind. Dist. #3 Rev. Rfdg. Bonds (Dow Chemical Co.
Proj.)
Series 91, 3.75% 7/10/97, CP mode 1,000,000 1,000,000
17,005,000
MARYLAND - 2.4 %
Baltimore County Hsg. Mtg. Rev. (Spring Hill Apt.) Series 1991, 4.60%,
LOC Sumitomo Bank Ltd., VRDN 1,300,000 1,300,000
Baltimore Rev. Rfdg. Participating VRDN, Series SG-20, 4.60%
(Liquidity Facility Societe Generale) (b) 1,500,000 1,500,000
Maryland Health & Higher Edl. Facs. Auth. Rev.:
(Kaiser Permanente Health Sys.) Series A, 4.50%, VRDN 500,000 500,000
(Pooled Loan Prog.) Series D, 4.70%, LOC NationsBank NA, VRDN 7,000,000
7,000,000
10,300,000
MASSACHUSETTS - 0.9 %
Massachusetts Gen. Oblig. BAN Series 1996 A, 4.25% 6/10/97 2,000,000
2,000,736
Massachusetts Health. & Ed. Facs. Auth. Rev. (Cap. Asset Prog.) Series E,
3.90%,
LOC First Nat'l. Bank of Chicago, VRDN 1,900,000 1,900,000
3,900,736
MICHIGAN - 4.2 %
Detroit School Dist. RAN 4.50% 5/1/97 3,100,000 3,100,000
Grand Rapids Econ. Dev. Auth. Rev. (Calder Plaza Proj.) Series 1992 A,
4.55%,
LOC Old Kent Bank & Trust Co., VRDN 750,000 750,000
Michigan Strategic Fund Ind. Dev. Rev. (Michigan Sugar Co.-Croswell Proj.)
Series 1985, 4.60%, LOC SunTrust Bank of Atlanta, VRDN 2,500,000
2,500,000
Michigan Strategic Fund Ltd. Oblig. Rev., VRDN:
(Detroit Edison) 4.10%, LOC Barclays Bank 2,000,000 2,000,000(Michigan
Sugar Co.-Caro Proj.) Series 1991, 4.60%, LOC SunTrust Bank of Atlanta
1,500,000 1,500,000
University of Michigan Hosp. Rev. Series 1995 A, 4%, VRDN 7,600,000
7,600,000
University of Michigan Intercollegiate Athletic Rev. 4.05%, VRDN
1,000,000 1,000,000
18,450,000
MINNESOTA - 3.3 %
Becker Poll. Cont. Rev. Bonds (Northern States Pwr. Co. - Sherburne Co.
Generator #3)
Series 1993-B, 3.70% 8/14/97, CP mode 5,000,000 5,000,000
Bloomington Port Auth. Spl. Tax Rev. Rfdg. (Mall of America Proj.) 4.60%,
(FSA Insured) VRDN 2,000,000 2,000,000
Maplewood Multi-Family Hsg. Rev. Rfdg. (Silver Ridge Proj.) Series 1993,
4.60%,
LOC Federal Home Loan Bank of Chicago, VRDN 500,000 500,000
Minneapolis/St. Paul Hsg. and Redev. Auth. Participating VRDN, Series 1996
E, 4.75%
(Liquidity Facility Norwest Bank NA, Minnesota) (b) 1,250,000 1,250,000
Minnetonka Multi-Family Hsg. Rev. Rfdg. (Cliffs at Ridgedale Proj.) 4.60%
(FNMA Guaranteed) VRDN 1,300,000 1,300,000
Olmsted County (Cert. of Prtn. Human Services Campus Infrastructure Proj.)
4.60%,
LOC Toronto Dominion Bank, VRDN 2,335,000 2,335,000
Red Wing Poll. Cont. Rev. (Northern States Pwr. Co.) 4.60%, VRDN
2,000,000 2,000,000
14,385,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
MISSISSIPPI - 0.2 %
Mississippi Bus. Fin. Corp. Rev. (Mississippi Coll. Proj.) Series 1996,
4.70%,
LOC NationsBank NA (South) VRDN $ 1,000,000 $ 1,000,000
MISSOURI - 1.6 %
Missouri Health & Edl. Facs. Auth. (Lutheran Senior Svcs.) 4.60%,
LOC Lasalle Nat'l. Bank, VRDN 4,000,000 4,000,000
St. Louis Planned Expansion Auth. Ind. Dev. Rev. Rfdg. (Alumax Foils Proj.)
Series 1992, 4.55%, LOC PNC Bank, VRDN 1,800,000 1,800,000
Univ. of Missouri RAN Series 1996-97, 4.75% 6/30/97 1,000,000 1,001,424
6,801,424
NEBRASKA - 0.7 %
Omaha Pub. Pwr. Dist. Elec. Sys. Participating VRDN, Series 1993 D, 4.60%
(Liquidity Facility Merrill Lynch & Co., Inc.) (b) 3,070,000 3,070,000
NEVADA - 1.0 %
Clark County School Dist. Participating VRDN, Series BT-192, 4.65%
(Liquidity Facility Bankers Trust Co.) (b) 1,000,000 1,000,000
Nevada Muni. Participating VRDN, Series 962801, 4.72%
(Liquidity Facility Citibank, NA) (b) 3,200,000 3,200,000
4,200,000
NEW JERSEY - 0.5 %
New Jersey Gen. Oblig. Participating VRDN, Series 943005, 4.67%
(Liquidity Facility Citibank, NA) (b) 2,000,000 2,000,000
NEW MEXICO - 0.2 %
New Mexico State Hwy. Commission Tax Rev. Hwy. Series 1996, 4.55%
(FSA Insured)(Liquidity Facility Canadian Imperial Bank of Commerce) VRDN
1,000,000 1,000,000
NEW YORK - 1.2 %
New York City RAN Series 1996-B, 4.50% 6/30/97 5,150,000 5,155,936
OHIO - 0.7 %
Beavercreek City BAN 4% 8/15/97 1,000,000 1,000,905
Chillicothe Wastewtr. Treatment BAN 4.41% 9/19/97 900,000 901,032
Toledo BAN 4.25% 5/15/97 1,000,000 1,000,120
2,902,057
OKLAHOMA - 0.8 %
Cushing Muni. Auth. Correctional Facs. Rev. Series 1996, 4.70%,
LOC First Union Nat'l. Bank, VRDN 3,000,000 3,000,000
Tulsa Int'l. Arpt. Gen. Rev. Participating VRDN, Series 97B2, 4.67%
(Liquidity Facility Bank of America) (b) 500,000 500,000
3,500,000
PENNSYLVANIA - 7.6 %
Allegheny County Hosp. Dev. Auth. Rev. (St. Margaret Memorial Hosp.)
Series 1992 A, 4.75%, LOC Mellon Bank, VRDN 2,490,000 2,490,000
Allegheny County Health Facs. Rev. (United Jewish Federation)
Series 1996 A, 4.60%, LOC PNC Bank, VRDN 2,420,000 2,420,000
Berks County Ind. Dev. Auth. Rev. (Construction Fasteners Proj.)
Series 1996 A, 4.75%, LOC Corestates Bank, VRDN 560,000 560,000
Delaware Valley Reg'l. Fin. Auth. Local Gov't. Rev.:
Series 1985 C, 4.60%, LOC Midland Bank PLC, VRDN 2,500,000 2,500,000
Series 1986, 4.60%, LOC Midland Bank PLC, VRDN 1,700,000 1,700,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
PENNSYLVANIA - CONTINUED
Montgomery County Higher Ed. & Health Auth. (Pottstown Healthcare Corp.
Proj.)
Series 1992, 4.75%, LOC Meridian Bank, VRDN $ 2,200,000 $ 2,200,000
North Lebanon Township Rev. (Grace Commty., Inc. Proj.) Series 1992 B,
4.75%,
LOC Corestates Bank, VRDN 1,985,000 1,985,000
North Pennsylvania Wtr. Auth. Participating VRDN, Series SG-30, 4.60%
(Liquidity Facility Societe Generale) (b) 1,030,000 1,030,000
Northeastern Pennsylvania Hosp. & Ed. Auth. (Allhealth Pooled Fing.) 4.65%,
LOC Chase Manhattan Bank, VRDN 5,000,000 5,000,000
Pennsylvania Econ. Dev. Fin. Auth. Econ. Dev. Rev. (Lutheran Youth & Family
Serv.)
Series 1993 A, 4.60%, LOC PNC Bank, VRDN 600,000 600,000
Pennsylvania Higher Ed. Facs. (Allegheny Delaware Valley Proj.) Series
1996D, 4.60%,
LOC PNC Bank, VRDN 5,500,000 5,500,000
Philadelphia Hosp. Rev. (Children's Hosp. Proj.) Series 1996 A, 3.85%
(Liquidity Facility Morgan Guaranty Trust Co., NY) VRDN 4,200,000
4,200,000
Philadelphia School Dist. TRAN Series 1996-97, 4.50% 6/30/97 1,000,000
1,000,791
Philadelphia TRAN Series 1996-97, 4.50% 6/30/97 1,000,000 1,000,869
Pittsburgh Wtr. & Swr. Sys. Rev. Participating VRDN, Series BT-181, 4.65%
(Liquidity Facility Bankers Trust Co.) (b) 1,000,000 1,000,000
33,186,660
RHODE ISLAND - 0.2 %
East Providence TAN 4% 7/8/97 1,000,000 1,000,718
SOUTH CAROLINA - 3.6 %
Cherokee County School Dist. #1 BAN 4% 9/10/97 1,000,000 1,001,758
South Carolina Hsg. Fin. & Dev. Auth. Multi-Family Hsg. Rev. (Spartanburg
Oxford Proj.)
Series 1990 D, 4.20% (Continental Casualty Co. Guaranteed) VRDN 9,415,000
9,415,000
South Carolina Pub. Serv. Auth. Participating VRDN, Series 96C4001, 4.67%
(Liquidity Facility Citibank, NA) (b) 1,000,000 1,000,000
Walhalla Rev. Rfdg. (Avondale Mills, Inc. Proj.) Series 1990, 4.60%,
LOC SunTrust Bank of Atlanta, VRDN 2,400,000 2,400,000
York County Poll. Cont. Rev. (Carolina Elec. Proj.) Series 1984 N-2, 4.05%,
VRDN 1,700,000 1,700,000
15,516,758
TENNESSEE - 3.0 %
Montgomery County Pub. Bldg. Auth. Pooled Fing. Rev. VRDN:
4.70%, LOC NationsBank 1,000,000 1,000,000 4.70%, LOC NationsBank NA
(South) 1,000,000 1,000,000
Series 1995, 4.70%, LOC NationsBank of Tennessee 7,500,000 7,500,000
Rutherford County Ind. Dev. Rev. (Cumberland-Swan, Inc. Proj.) Series 1987,
4.60%,
LOC Third Nat'l. Bank, VRDN 1,180,000 1,180,000
Sevier County Pub. Bldg. Auth. Series 2 D-3, 4.60% (AMBAC Insured)
(Liquidity Facility Kredietbank NV) VRDN 1,250,000 1,250,000
Shelby County Gen. Oblig. Participating VRDN, Series SG-21, 4.70%
(Liquidity Facility Societe Generale) (b) 1,300,000 1,300,000
13,230,000
TEXAS - 10.2 %
Austin Combined Util. Sys. Series A, 3.55% 6/11/97,
LOC Morgan Guaranty Trust Co., CP 2,600,000 2,600,000
Austin Higher Ed. Auth. (St. Edward's Univ.) Series 1995, 4.75%,
LOC NationsBank, Texas, VRDN 1,000,000 1,000,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
TEXAS - CONTINUED
Austin Hsg. Fin. Corp. Multi-Family Hsg. Rev. (Riverchase Proj.) Series
1985 A, 4.275%,
LOC Household Finance Corp., VRDN $ 1,000,000 $ 1,000,000
Austin Independent School Dist. Adj. Rate TRAN 4.32% 8/29/97 (c) 750,000
750,000
Brazos River Hbr. Navigation Dist. Rev. Bonds, CP mode:
(Dist. of Brazoria)(Dow Chemical Corp.) Series 1991, 3.50% 6/11/97
2,750,000 2,750,000
(Dist. of Brazoria)(Dow Chemical Corp.) Series 1991, 3.75% 7/14/97
1,000,000 1,000,000
Dallas Area Rapid Transit Auth. Sales Tax Rev. Series A:
3.60% 5/13/97, LOC Credit Suisse/Swiss Bank, CP 1,000,000 1,000,000
3.75% 7/14/97, LOC Swiss Bank Corp., CP 1,700,000 1,700,000
El Paso Ind. Dev. Auth. Rev. Rfdg. (La Quinta Motor Inns, Inc. Proj.)
Series 1991, 4.75%,
LOC NationsBank, VRDN 1,350,000 1,350,000
Farmers Branch Ind. Dev. Corp. Rev. Rfdg. (PPG Ind., Inc. Proj.) Series
1992, 4.65%, VRDN 1,300,000 1,300,000
Georgetown Health Facs. Dev. Corp. (Georgetown Healthcare Sys. Proj.)
Series 1997B, 4.60%,
LOC Texas Commerce Bank, Houston, VRDN 2,000,000 2,000,000
Goose Creek Independent School Dist. Adj. Rate TRAN 4.32% 8/29/97 (c)
920,000 920,000
Guadalupe-Blanco River Auth. Ind. Dev. Rev. (BOC Group, Inc. Proj.) Series
1993, 4.60%,
LOC Wachovia Bank of Georgia, NA, VRDN 1,500,000 1,500,000
Harris County Dev. Corp. Rev. (Johann Haltermann Ltd.) Series 1996 A,
4.60%,
LOC Texas Commerce Bank, Houston, VRDN 900,000 900,000
Harris County Health Facs. Rev. Bonds (Sisters of Charity of the Incarnate
Word Houston)
3.75% 6/30/97 (Liquidity Facility Toronto-Dominion Bank), CP mode
2,900,000 2,900,000
Houston Wtr. & Swr. Sys. Participating VRDN, Series SG-77, 4.60%
(Liquidity Facility Societe Generale) (b) 1,000,000 1,000,000
Matagorda County Navigation Dist #1 Participating VRDN, Series 1989 C,
4.75%
(Liquidity Facility Caisse des Depots et Consignations) (b) 500,000
500,000
Pantego Ind. Dev. Corp. (Minyard Properties) Series 1984, 3.65%, LOC
Citibank, VRDN 1,700,000 1,700,000
San Antonio Wtr. Rev. Participating VRDN, Series 1996, 4.67%
(Liquidity Facility Citibank, NA) (b) 1,000,000 1,000,000
Southwest Higher Ed. Auth. Rev. (Southern Methodist Univ.) 4.05%, LOC
Morgan
Guaranty, VRDN 1,300,000 1,300,000
Tarrant County Hsg. Fin. Auth. Multi-Family Hsg. Rev. (Windcastle Proj.)
4.15%,
LOC Swiss Bank Corp., VRDN 2,100,000 2,100,000
Texarkana Ind. Dev. Corp. Rev. Rfdg. (La Quinta Motor Inns, Inc. Proj.)
4.75%,
LOC NationsBank, VRDN 2,240,000 2,240,000
Texas Gen. Oblig. TRAN Series 1996, 4.75% 8/29/97 7,700,000 7,719,115
Texas Muni. Pwr. Agcy. 3.70% 8/12/97, CP 4,100,000 4,100,000
44,329,115
UTAH - 0.5 %
Timpanogos Spl. Svc. Dist. Participating VRDN, Series SG-83, 4.60%
(Liquidity Facility Societe Generale) (b) 1,000,000 1,000,000
Utah Intermountain Pwr. Agcy. Pwr. Supply Rev. Rfdg. Bonds 7% 7/1/97
1,000,000 1,005,669
2,005,669
VIRGINIA - 3.5 %
Chesterfield County Ind. Dev. Auth. Poll. Cont. Rev. Bonds
(Virginia Electric Pwr. Co. Proj.), CP mode:
Series B, 3.80% 7/15/97 6,330,000 6,330,000 Series B, 3.70% 8/12/97
1,000,000 1,000,000
Series B, 3.70% 8/13/97 2,335,000 2,335,000
MUNICIPAL SECURITIES (A) - CONTINUED
DUE ANNUALIZED YIELD AT PRINCIPAL VALUE
DATE TIME OF PURCHASE AMOUNT (NOTE 1)
VIRGINIA - CONTINUED
Louisa County Ind. Dev. Auth. Poll. Cont. Rev. Bonds (Virginia Elec. & Pwr.
Co. Proj.)
Series 1985, 3.55% 8/8/97 (BPA Bank of New York, NA), CP mode $ 2,000,000
$ 2,000,000
Louisa County Ind. Dev. Auth. Rev. Series 01995, 4.70%, LOC NationsBank NA,
VRDN 1,300,000 1,300,000
Virginia Beach Ind. Dev. Auth. Rev. Rfdg. (La Quinta Motor Inns, Inc.
Proj.) Series 1993, 4.75%,
LOC NationsBank, Texas, VRDN 2,500,000 2,500,000
15,465,000
WASHINGTON - 5.2 %
Kent Gen. Oblig. Participating VRDN, Series SG-27, 4.60%
(Liquidity Facility Societe Generale) (b) 1,200,000 1,200,000
Washington Gen. Oblig. Participating VRDN:
Series 1993 C-A, 4.72% (Liquidity Facility Citibank, NA) (b) 4,000,000
4,000,000
Series SG-9, 4.70% (Liquidity Facility Societe Generale) (b) 900,000
900,000
Series SG-35, 4.60% (Liquidity Facility Societe Generale) (b) 1,000,000
1,000,000
Series SG-36, 4.60% (Liquidity Facility Societe Generale) (b) 2,260,000
2,260,000
Washington Pub. Pwr. Supply Sys. Participating VRDN:
(Nuclear Proj. #3) Series BT-126, 4.70% (BPA Bankers Trust Co.) (b)
2,774,400 2,774,400
Series 94 B, 4.72% (Liquidity Facility Citibank) (b) 10,600,000
10,600,000
22,734,400
WISCONSIN - 0.5 %
Beaver Dam Unified School Dist. BAN 4.10% 10/14/97 1,000,000 1,000,113
Kenosha Unified School Dist. TRAN 4.25% 9/26/97 1,000,000 1,001,405
2,001,518
MULTIPLE STATES - 1.7 %
Florida Board of Ed. Participating VRDN, Series 96C0917, 4.72%
(Liquidity Facility Citibank) (b) 1,900,000 1,900,000
Texas Pub. Fin. Auth. Participating VRDN, Series 97C4301, 4.67%
(Liquidity Facility Citibank) (b) 1,900,000 1,900,000
NationsBank Participating VRDN, Series 1990 A, 4.25%,
LOC NationsBank NA (b) 647,500 647,500
Stephens Equity Trust I Participating VRDN, Series 1996, 4.72%,
LOC Bayerische Hypothekken (b) 2,782,035 2,782,035
7,229,535
TOTAL INVESTMENTS - 100% $ 435,968,166
Total Cost for Income Tax Purposes $ 435,968,232
SECURITY TYPE ABBREVIATIONS
BAN - Bond Anticipation Notes
CP - Commercial Paper
RAN - Revenue Anticipation Notes
TAN - Tax Anticipation Notes
TRAN - Tax and Revenue Anticipation Notes
VRDN - Variable Rate Demand Notes
LEGEND
1. The coupon rate shown on floating or adjustable rate securities
represents the rate at period end.
2.Provides evidence of ownership in one or more underlying municipal bonds.
3. Restricted securities - Investment in securities not registered under
the Securities Act of 1933 (see Note 2 of Notes to Financial Statements).
Additional information on each holding is as follows:
ACQUISITION COST
SECURITY DATE (000S)
Austin Independent School
Dist. Adj. Rate TRAN
4.32% 8/29/97 11/1/96 to 11/21/96 $ 750
Goose Creek Independent
School Dist., Adj. Rate
TRAN
4.32% 8/29/97 11/1/96 to 12/16/96 $ 920
INCOME TAX INFORMATION
At October 31, 1996 the fund had a capital loss carryforward of
approximately $98,000 of which $24,000 and $74,000 will expire on October
31, 2000 and 2004.
TAX-EXEMPT FUND (FORMERLY DAILY TAX-EXEMPT MONEY FUND)
FINANCIAL STATEMENTS
STATEMENT OF ASSETS AND LIABILITIES
<ERROR: WIDE TABLE>
ERROR: The Following Table: "Assets" is Too Wide!
Table Width is 137 characters.
<TABLE>
<CAPTION>
<S> <C> <C>
APRIL 30, 1997 (UNAUDITED)
4.ASSETS 5. 6.
7.Investment in securities, at value - See accompanying schedule 8. $ 435,968,166
9.Interest receivable 10. 3,705,591
11. 12.TOTAL ASSETS 13. 439,673,757
14.LIABILITIES 15. 16.
17.Payable to custodian bank $ 217,287 18.
19.Payable for investments purchased 1,000,000 20.
21.Share transactions in process 3,870,397 22.
23.Distributions payable 124,367 24.
25.Accrued management fee 121,510 26.
27.Other payables and accrued expenses 105,076 28.
29. 30.TOTAL LIABILITIES 31. 5,438,637
32.33.NET ASSETS 34. $ 434,235,120
35.Net Assets consist of: 36. 37.
38.Paid in capital 39. $ 434,346,612
40.Accumulated net realized gain (loss) on investments 41. (111,492)
42.43.NET ASSETS, for 434,346,612 shares outstanding 44. $ 434,235,120
45.46.NET ASSET VALUE, offering price and redemption price per share ($434,235,120 (divided
by) 434,346,612 47. $1.00
shares)
</TABLE>
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS ENDED APRIL 30, 1997 (UNAUDITED)
48.49.INTEREST INCOME 50. $ 8,319,146
51.EXPENSES 52. 53.
54.Management fee $ 1,156,742 55.
56.Transfer agent, accounting and custodian fees and expenses 541,619 57.
58.Registration fees 92,635 59.
60.Audit 13,837 61.
62.Legal 3,449 63.
64.Miscellaneous 4,236 65.
66. Total expenses before reductions 1,812,518 67.
68. Expense reductions (308,817) 1,503,701
69.70.NET INTEREST INCOME 71. 6,815,445
72.73.NET REALIZED GAIN (LOSS) ON INVESTMENTS 74. (14,004)
75.76.NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS 77. $ 6,801,441
</TABLE>
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
<S> <C> <C>
SIX MONTHS YEAR ENDED
ENDED APRIL 30, OCTOBER 31,
1997 1996
(UNAUDITED)
78.INCREASE (DECREASE) IN NET ASSETS
79.Operations $ 6,815,445 $ 15,540,068
Net interest income
80. Net realized gain (loss) (14,004) (74,164)
81. 82.NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS 6,801,441 15,465,904
83.Distributions to shareholders from net interest income (6,815,445) (15,540,068)
84.Share transactions at net asset value of $1.00 per share 942,553,002 1,958,241,067
Proceeds from sales of shares
85. Reinvestment of distributions from net interest income 5,961,393 13,605,676
86. Cost of shares redeemed (1,014,359,597) (2,030,851,443)
87.88. (65,845,202) (59,004,700)
NET INCREASE (DECREASE) IN NET ASSETS AND SHARES RESULTING FROM SHARE TRANSACTIONS
89. 90.TOTAL INCREASE (DECREASE) IN NET ASSETS (65,859,206) (59,078,864)
91.NET ASSETS 92. 93.
94. Beginning of period 500,094,326 559,173,190
95. End of period $ 434,235,120 $ 500,094,326
</TABLE>
FINANCIAL HIGHLIGHTS - DAILY MONEY CLASS (FORMERLY INITIAL CLASS)
<TABLE>
<CAPTION>
<S> <C> <C> <C> <C> <C> <C>
96. SIX MONTHS YEARS ENDED OCTOBER 31,
ENDED APRIL 30,
1997
97. (UNAUDITED) 1996 1995 1994 1993 1992
98.SELECTED PER-SHARE DATA
99.Net asset value, beginning of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
100.Income from Investment Operations .015 .030 .033 .022 .021 .029
Net interest income
101.Less Distributions
102. From net interest income (.015) (.030) (.033) (.022) (.021) (.029)
103.Net asset value, end of period $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
104.TOTAL RETURN B 1.47% 3.02% 3.36% 2.21% 2.11% 2.93%
105.RATIOS AND SUPPLEMENTAL DATA
106.Net assets, end of period (000 omitted) $ 434,235 $ 500,094 $ 559,173 $ 454,259 $ 538,756 $ 484,999
107.Ratio of expenses to average net assets .65% A, .65% .65% .65% .61% .63%
C C C C
108.Ratio of net interest income to average net assets 2.95% A 2.98% 3.31% 2.17% 2.09% 2.86%
</TABLE>
A ANNUALIZED
B TOTAL RETURNS FOR PERIODS LESS THAN ONE YEAR ARE NOT ANNUALIZED. TOTAL
RETURNS WOULD HAVE BEEN LOWER HAD CERTAIN EXPENSES NOT BEEN REDUCED DURING
THE PERIODS SHOWN (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
C FMR AGREED TO REIMBURSE A PORTION OF THE CLASS' EXPENSES DURING THE
PERIOD. WITHOUT THIS REIMBURSEMENT, THE CLASS' EXPENSE RATIO WOULD HAVE
BEEN HIGHER (SEE NOTE 5 OF NOTES TO FINANCIAL STATEMENTS).
NOTES TO FINANCIAL STATEMENTS
For the period ended April 30, 1997 (Unaudited)
1. SIGNIFICANT ACCOUNTING POLICIES.
On December 19, 1996, the Board of Trustees approved a change in the funds'
names from U.S. Treasury Portfolio, Money Market Portfolio and Daily
Tax-Exempt Money Fund to Treasury Fund (Treasury), Prime Fund (Prime) and
Tax-Exempt Fund (Tax-Exempt), respectively. In addition, at a special
meeting held on May 9, 1997, Treasury and Prime shareholders approved
Agreements and Plans of Reorganization providing for reorganizations of the
funds from separate series of Daily Money Fund to separate series of Daily
Tax-Exempt Money Fund. The Board of Trustees also approved a change in the
new trust's name from Daily Tax-Exempt Money Fund to Newbury Street Trust.
These changes were effective with the May 30, 1997 prospectus revision.
Treasury, Prime and Tax-Exempt (collectively referred to as "the funds")
are funds of Newbury Street Trust (the trust) and are authorized to issue
an unlimited number of shares. The trust is registered under the Investment
Company Act of 1940, as amended (the 1940 Act), as an open-end management
investment company organized as a Delaware business trust.
Treasury offers two classes of shares, Daily Money Class (formerly Initial
class) and Advisor B Class (formerly Class B), each of which has equal
rights as to assets and voting privileges. Each class has exclusive voting
rights with respect to its distribution plan. Interest income, realized and
unrealized capital gains and losses, the common expenses of the fund, and
certain fund-level expense reductions are allocated on a pro rata basis to
each class based on the relative net assets of each class to the total net
assets of the fund. Each class of shares differs in its respective
distribution, transfer agent, registration, and certain other
class-specific fees, expenses, and expense reductions.
The financial statements have been prepared in conformity with generally
accepted accounting principles which permit management to make certain
estimates and assumptions at the date of the financial statements. The
following summarizes the significant accounting policies of the funds:
SECURITY VALUATION. As permitted under Rule 2a-7 of the 1940 Act, and
certain conditions therein, securities are valued initially at cost and
thereafter assume a constant amortization to maturity of any discount or
premium.
INCOME TAXES. As a qualified regulated investment company under Subchapter
M of the Internal Revenue Code, each fund is not subject to income taxes to
the extent that it distributes substantially all of its taxable income for
the fiscal year. The schedules of investments include information regarding
income taxes under the caption "Income Tax Information."
INTEREST INCOME. Interest income, which includes amortization of premium
and accretion of original issue discount, is accrued as earned. For
Tax-Exempt, accretion of market discount represents unrealized gain until
realized at the time of a security disposition or maturity.
EXPENSES. Most expenses of the trust can be directly attributed to a fund.
Expenses which cannot be directly attributed are apportioned between the
funds in the trust.
DISTRIBUTIONS TO SHAREHOLDERS. Dividends are declared daily and paid
monthly from net interest income.
SECURITY TRANSACTIONS. Security transactions are accounted for as of trade
date. Gains and losses on securities sold are determined on the basis of
identified cost.
2. OPERATING POLICIES.
JOINT TRADING ACCOUNT. Pursuant to an Exemptive Order issued by the
Securities and Exchange Commission, Treasury and Prime, along with other
affiliated entities of Fidelity Management & Research Company (FMR), may
transfer uninvested cash balances into one or more joint trading accounts.
These balances are invested in one or more repurchase agreements for U.S.
Treasury or Federal Agency obligations.
REPURCHASE AGREEMENTS. The underlying U.S. Treasury or Federal Agency
Securities are transferred to accounts of Treasury and Prime, or to the
Joint Trading Account, at a bank custodian. The securities are
marked-to-market daily and maintained at a value at least equal to the
principal amount of the repurchase agreement (including accrued interest).
FMR, the funds' investment adviser, is responsible for determining that the
value of the underlying securities remains in accordance with the market
value requirements stated above.
2. OPERATING POLICIES - CONTINUED
RESTRICTED SECURITIES. Prime and Tax-Exempt are permitted to invest in
securities that are subject to legal or contractual restrictions on resale.
These securities generally may be resold in transactions exempt from
registration or to the public if the securities are registered. Disposal of
these securities may involve time-consuming negotiations and expense, and
prompt sale at an acceptable price may be difficult. At the end of the
period, restricted securities (excluding 144A issues) amounted to
$1,670,000 or 0.38% of net assets for Tax-Exempt. At period end, Prime had
no investments in restricted securities (excluding 144A issues).
3. JOINT TRADING ACCOUNT.
At the end of the period, Treasury had 20% or more of its total investments
in repurchase agreements through a joint trading account. These repurchase
agreements were with entities whose creditworthiness has been reviewed and
found satisfactory by FMR. The maturity values of the joint trading account
investments were $1,002,151,400 at 5.44%, $43,905,653 at 5.46%, $16,072,933
at 5.47%, $38,185,778 at 5.50%, $40,360,556 at 5.50%, $32,229,778 at 5.50%,
and $19,154,407 at 5.52%. The investments in repurchase agreements through
the joint trading account are summarized as follows:
SUMMARY OF JOINT TRADING
DATED APRIL 30, 1997, DUE MAY 1, 1997 AT 5.44%
Number of dealers or banks 17
Maximum amount with one dealer or bank 18.3%
Aggregate principal amount of agreements $6,971,314,000
Aggregate maturity amount of agreements $6,972,367,443
Aggregate market value of transferred assets $7,184,278,454
Coupon rates of transferred assets 0% to 14 1/4%
Maturity dates of transferred assets 5/01/97 to 2/15/27
DATED APRIL 30, 1997, DUE MAY 1, 1997 AT 5.46%
Number of dealers or banks 4
Maximum amount with one dealer or bank 40%
Aggregate principal amount of agreements $250,000,000
Aggregate maturity amount of agreements $250,037,889
Aggregate market value of transferred assets $255,289,177
Coupon rates of transferred assets 0% to 11 5/8%
Maturity dates of transferred assets 5/8/97 to 11/15/26
DATED APRIL 8, 1997, DUE MAY 8, 1997 AT 5.47%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $300,000,000
Aggregate maturity amount of agreements $301,367,500
Aggregate market value of transferred assets $307,037,525
Coupon rates of transferred assets 4 3/4% to 14%
Maturity dates of transferred assets 5/15/97 to 8/15/26
3. JOINT TRADING ACCOUNT - CONTINUED
SUMMARY OF JOINT TRADING - CONTINUED
DATED APRIL 10, 1997, DUE MAY 12, 1997 AT 5.50%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $375,000,000
Aggregate maturity amount of agreements $376,833,333
Aggregate market value of transferred assets $382,896,906
Coupon rates of transferred assets 5 3/4% to 7 1/2%
Maturity dates of transferred assets 12/31/98 to 8/15/25
DATED APRIL 4, 1997, DUE JUNE 2, 1997 AT 5.50%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $750,000,000
Aggregate maturity amount of agreements $756,760,417
Aggregate market value of transferred assets $767,593,813
Coupon rates of transferred assets 4 3/4% to 14%
Maturity dates of transferred assets 5/15/97 to 8/15/26
DATED APRIL 16, 1997, DUE JUNE 2, 1997 AT 5.50%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $600,000,000
Aggregate maturity amount of agreements $604,308,333
Aggregate market value of transferred assets $614,706,200
Coupon rates of transferred assets 5 5/8% to 9%
Maturity dates of transferred assets 8/15/97 to 10/31/01
DATED APRIL 24, 1997, DUE JUNE 16, 1997 AT 5.52%
Number of dealers or banks 1
Maximum amount with one dealer or bank 100%
Aggregate principal amount of agreements $200,000,000
Aggregate maturity amount of agreements $201,625,333
Aggregate market value of transferred assets $206,036,119
Coupon rates of transferred assets 6 1/2% to 8 1/8%
Maturity dates of transferred assets 5/31/01 to 2/15/21
4. FEES AND OTHER TRANSACTIONS WITH AFFILIATES.
MANAGEMENT FEE. As each fund's investment adviser, FMR received a fee that
was computed daily at an annualized rate of .50% of the fund's average net
assets. Effective May 31, 1997, the management fee rate was reduced to .25%
for each fund.
SUB-ADVISER FEE. As each fund's investment sub-adviser, FMR Texas Inc., a
wholly owned subsidiary of FMR, receives a fee from FMR of 50% of the
management fee payable to FMR. The fees are paid prior to any voluntary
expense reimbursements which may be in effect.
DISTRIBUTION AND SERVICE PLAN. In accordance with Rule 12b-1 of the 1940
Act, the Trustees have adopted separate distribution plans with respect to
each fund's classes of shares (collectively referred to as "the Plans").
Under the Plans, FMR or the funds' distributor, Fidelity Distributors
Corporation (FDC), an affiliate of FMR, may use its resources to pay
administrative and promotional expenses related to the sale of each class'
shares. The Plans also authorize payments to third parties that assist in
the sale of each class' shares or render shareholder support services. FMR
or FDC has informed the funds that payments made to third parties under the
Plans amounted to $2,304,836 (Treasury - Daily Money Class), $32,611
(Treasury - Advisor B Class), $2,968,207 (Prime), and $591,717
(Tax-Exempt).
In addition, under the Treasury - Advisor B Class Plan, the class pays FDC
a distribution and service fee. This fee is based on an annual rate of
1.00% (of which .75% represents a distribution fee and .25% represents a
shareholder service fee) of the average net assets of the Advisor B Class
shares. For the period, the fund paid FDC $82,201 under the Advisor B Class
Plan, of which $29,117 was paid to securities dealers, banks, and other
financial institutions for the distribution of Advisor B Class shares and
for providing shareholder support services.
Effective May 31, 1997, shareholders approved revised distribution and
service plans for the Daily Money Classes of Treasury, Prime, and
Tax-Exempt. Under the revised plans, each class will pay FDC a distribution
and service fee that will be based on an annual rate of .25% of the average
net assets of each respective class.
SALES LOAD. FDC receives the proceeds of a contingent deferred sales charge
levied on Treasury - Advisor B Class share redemptions occurring within six
years of purchase (five years prior to January 2, 1997). The Advisor B
Class charge is based on declining rates which range from 5% to 1%(4% to 1%
prior to January 2, 1997) of the lesser of the cost of shares at the
initial date of purchase or the net asset value of the redeemed shares,
excluding any reinvested dividends and capital gains. For the period, FDC
received contingent deferred sales charges of $58,232 on Advisor B Class
share redemptions. When Advisor B Class shares are sold, FDC pays
commissions from its own resources to dealers through which the sales are
made.
TRANSFER AGENT FEES. Fidelity Investments Institutional Operations Company,
Inc. (FIIOC), an affiliate of FMR, is the transfer, dividend disbursing and
shareholder servicing agent for Treasury and Prime. UMB Bank, n.a. (UMB) is
the custodian and transfer and shareholder servicing agent for Tax-Exempt.
UMB has entered into a sub-contract with FIIOC to perform the activities
associated with the transfer and shareholder servicing agent functions for
Tax-Exempt. FIIOC receives account fees and asset-based fees that vary
according to account size and type of account. FIIOC pays for typesetting,
printing and mailing of all shareholder reports, except proxy statements.
For the period, the transfer agent fees were equivalent to annualized rates
of .21%, .27%, .22% and .21% of the average net assets of Treasury - Daily
Money Class, Treasury - Advisor B Class, Prime and Tax-Exempt,
respectively.
ACCOUNTING FEES. Fidelity Service Company, Inc. (FSC), an affiliate of FMR,
maintains the accounting records for Treasury and Prime. UMB has a
sub-contract with FSC to maintain Tax-Exempt's accounting records. The fee
is based on the level of average net assets for the month plus
out-of-pocket expenses. For the period, FSC received accounting fees
amounting to $87,878, $120,925, and $46,047 for Treasury, Prime, and
Tax-Exempt.
5. EXPENSE REDUCTIONS.
FMR voluntarily agreed to reimburse certain fund's operating expenses
(excluding interest, taxes, brokerage commissions and extraordinary
expenses) above the following annual rates or range of annual rates of
average net assets for each fund:
FMR
EXPENSE
LIMITATIONS
TREASURY - DAILY MONEY CLASS .65%
TREASURY - ADVISOR B CLASS 1.35%-1.40%
PRIME .65%
TAX-EXEMPT .65%
For the period, the reimbursement reduced expenses by:
REIMBURSEME
NT
TREASURY - DAILY MONEY CLASS $706,445
TREASURY - ADVISOR B CLASS $34,971
PRIME $1,262,105
TAX-EXEMPT $308,753
In addition, each fund has entered into an arrangement with its custodian
whereby credits realized as a result of uninvested cash balances were used
to reduce a portion of expenses. During the period, the custodian fees were
reduced by $2,168, $71, and $64 under the custodian arrangement for
Treasury, Prime, and Tax-Exempt, respectively.
6. BENEFICIAL INTEREST.
At the end of the period, one shareholder was record owner of approximately
23% of the total outstanding shares of Treasury.
7. DISTRIBUTIONS TO SHAREHOLDERS.
Distributions to shareholders of each class of Treasury were as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
SIX MONTHS THREE MONTHS YEAR ENDED
ENDED APRIL 30, ENDED JULY 31,1996
1997 OCTOBER 31, 1996
DAILY MONEY CLASS
From net interest income $ 39,039,630 $ 21,367,372 $ 98,286,345
ADVISOR B CLASS
From net interest income 475,221 269,062 528,535
$ $ $
39,514,851 21,636,434 98,814,880
</TABLE>
8. REGISTRATION FEES.
For the period, each class of Treasury paid the following amounts to
register its shares for sale:
REGISTRATION
FEES
DAILY MONEY CLASS $
91,300
ADVISOR B CLASS 18,396
$ 109,696
9. SHARE TRANSACTIONS.
Share transactions for both classes of Treasury at net asset value of $1.00
per share were as follows:
<TABLE>
<CAPTION>
<S> <C> <C> <C>
SIX MONTHS ENDED THREE MONTHS YEAR ENDED
APRIL 30, ENDED JULY 31,
OCTOBER 31,
1997 1996 1996
DAILY MONEY CLASS $ $ $
Shares sold 4,615,593,934 2,052,601,018 11,030,210,151
Reinvestment of distributions from net interest income 25,461,282 12,481,771 56,208,793
Shares redeemed (5,090,251,266) (2,065,230,595) (11,113,118,785)
Net increase (decrease) $ (449,196,050) $ (147,806) $ (26,699,841)
ADVISOR B CLASS $ $ $
Shares sold 48,049,831 10,395,134 82,859,473
Reinvestment of distributions from net interest income 410,049 257,070 472,884
Shares redeemed (24,907,387) (30,201,713) (46,523,167)
Net increase (decrease) $ 23,552,493 $ (19,549,509) $ 36,809,190
</TABLE>
10. PROPOSED REORGANIZATION.
The Board of Trustees of the funds has approved Agreements and Plans of
Reorganization ("Agreements") between Treasury, Prime and Tax-Exempt
("Acquiring Funds") and Capital Reserves: U.S. Government Portfolio, Money
Market Portfolio, and Municipal Money Market Portfolio ("Target Funds"),
respectively ("Reorganizations"). The Agreements provide for the transfer
of all of the assets and the assumption of all of the liabilities of each
Target Fund in exchange solely for the number of shares of a new class of
each Acquiring Fund equal in number to the outstanding shares of each
Target Fund at the close of business on the day the Reorganizations are
effective. A Reorganization can be consummated only if,
among other things, it is approved by the vote of a majority (as defined by
the Investment Company Act of 1940) of outstanding voting securities of the
Target Fund to which the Reorganization relates. A Special Meeting of
Shareholders ("Meeting") of the Target Funds will be held on September 17,
1997 to vote on the Agreements. A detailed description of the proposed
transactions and voting information will be sent to shareholders of the
Target Funds in July 1997. If the Agreements are approved at the Meeting,
the Reorganizations are expected to become effective on or about October
30, 1997.
INVESTMENT ADVISER
Fidelity Management & Research Company
Boston, MA
SUB-ADVISER
FMR Texas Inc.
Irving, TX
OFFICERS
Edward C. Johnson 3d, PRESIDENT
J. Gary Burkhead, SENIOR VICE PRESIDENT
Robert Litterst, VICE PRESIDENT
Sarah H. Zenoble, VICE PRESIDENT
Arthur S. Loring, SECRETARY
Kenneth A. Rathgeber, TREASURER
Thomas D. Maher, ASSISTANT VICE PRESIDENT
John H. Costello, ASSISTANT TREASURER
Leonard M. Rush, ASSISTANT TREASURER
Thomas J. Simpson, ASSISTANT TREASURER
BOARD OF TRUSTEES
J. Gary Burkhead
Ralph F. Cox *
Phyllis Burke Davis *
Robert M. Gates *
Edward C. Johnson 3d
E. Bradley Jones *
Donald J. Kirk *
Peter S. Lynch
Marvin L. Mann *
William O. McCoy *
Gerald C. McDonough *
Thomas R. Williams *
GENERAL DISTRIBUTOR
Fidelity Distributors Corporation
Boston, MA
TRANSFER AND SHAREHOLDER
SERVICING AGENTS
Fidelity Investments Institutional Operations Company, Inc.
Boston, MA
CUSTODIAN
The Bank of New York
New York, NY
* INDEPENDENT TRUSTEES
