Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
Class Shares
Thornburg Thornburg
Limited Term Municipal Limited Term Municipal
as of 6/30/96 Fund-National Fund-National
A Shares C Shares
SEC Yield 4.19% 3.89%
Taxable Equiv. Yields 6.94% 6.44%
NAV $13.35 $13.37
Max. Offering Price $13.69 $13.37
as of 6/30/96
1 Year 2.01% 4.05%
5 Years 5.48% NA
10 Years 6.30% NA
Since Inception 7.09% 4.54%
Inception Date (9/28/84) (9/1/94)
If you like the Thornburg Limited Term Municipal Fund- National Portfolio, you
might be interested in the Thornburg Limited Term U.S. Government Fund, a
managed portfolio of short/intermediate obligations issued by the U.S.
Government or by its agencies or instrumentalities, or Thornburg Limited Term
Income Fund which invests in short/intermediate investment grade debt
obligations. These Funds may be particularly suitable for your IRA, Pension
Plan, or Profit Sharing Plan. You might also be interested in the California
Portfolio of the Fund or in the Thornburg Intermediate Municipal Fund which has
a National Portfolio, a New Mexico Portfolio, and a Florida Portfolio. These
Funds offer investors the ability to earn tax-exempt dividends from managed
portfolios of short or intermediate municipal bonds. (Interest income may be
subject to some state and local taxes. Consult with your tax advisor for your
tax status.)
You can find the Thornburg Family of Funds listed in the mutual fund section of
most major newspapers. Look for the listings under Thornburg Funds. For more
complete information on any of the Funds listed above, including charges and
expenses, obtain a prospectus from your broker or write to: Thornburg Securities
Corporation, Inc., 119 E. Marcy Street, Suite 202, Santa Fe, New Mexico 87501.
Read the prospectus carefully before you invest or send money.
Taxable equivalent yields assume a 39.6% marginal federal tax rate. The
municipal funds, except Thornburg Limited Term National, may be subject to the
alternative minimum tax. Currently there are no such investments in Thornburg
Limited Term Municipal Fund National Portfolio, although portions of this Fund's
income may be subject to such a tax in the future. Net investment income of the
National Portfolios will be subject to applicable state and local taxes.
The data quoted represent past performance, and the investment return and
principal value of an investment in the fund will fluctuate. An investor's
shares, when redeemed, may be worth more or less than their original cost.
The total return data shown above reflects the deduction of the maximum sales
charge of the Class A Shares of 2.50%.
letter to shareholders
119 East Marcy Street, Suite 202, Santa Fe, New Mexico 87501 (505-984-0200)
August 1, 1996
Dear Fellow Shareholder:
I am pleased to present the Annual Report for the National Portfolio of
Thornburg Limited Term Municipal Fund for the fiscal year ending June 30, 1996.
The net asset value of the A shares decreased 2 cents per share to $13.35 during
the year. If you were with us for the entire period, you received dividends of
62.7 cents per share. If you reinvested your dividends, you received 64 cents
per share. Investors who owned C Shares received dividends of 56.6 and 57.7
cents per share, respectively. For a longer perspective on investment returns
and share price fluctuations, please read the exhibits included in this report.
It would not surprise me to see interest rates increase a bit over the next
year. The U.S. economy is generally firm, the economies of other developed
countries are strengthening, and many lesser developed countries are growing as
well. Investors here in the U.S. are exhibiting peculiar tendencies. With
respect to stocks, investors shoveled almost $150 billion into equity mutual
funds during the first 7 months of 1996, focusing in particular on the riskiest
funds. As risk prone as investors have become with stocks, bond funds have had
net investment of approximately zero this year.
Americans have been net sellers of individual municipal and U.S. government
bonds, while simultaneously increasing investments in foreign bonds. Meanwhile,
foreign investors seem to like bond investments here. They have been supporting
the U.S. bond market for about two years. I suppose the grass is always greener
on the other side of the ocean. We like it here at home, but we have positioned
your bond portfolio conservatively so as to be able to react quickly to change
and take advantage of any opportunities that arise.
Your Limited Term Municipal Fund portfolio currently holds over 470 municipal
obligations from 47 states and 2 U.S. Territories. Approximately 86% of the
bonds are rated A or better by one of the major rating agencies. As you know, we
"ladder" the maturities of the bonds in your portfolio so that some bonds are
scheduled to mature at par during each of the next 10 years. Today, your fund's
weighted average maturity is approximately 3.6 years, and we always keep it
below 5 years. Percentages of the portfolio maturing within each of the next 10
years are summarized below:
% of portfolio maturing within Cumulative % maturing by end of
1 year = 16% year 1 = 16%
1 to 2 years = 14% year 2 = 30%
2 to 3 years = 14% year 3 = 44%
3 to 4 years = 17% year 4 = 61%
4 to 5 years = 17% year 5 = 78%
5 to 6 years = 11% year 6 = 89%
6 to 7 years = 5% year 7 = 94%
7 to 8 years = 3% year 8 = 97%
8 to 9 years = 1% year 9 = 98%
9 to 10 years = 1% year 10 = 99%
Over the years, our practice of laddering a diversified portfolio of short and
intermediate maturity municipal bonds has allowed your fund to consistently
perform well in varying interest rate environments. For instance, the A shares
of Limited Term Municipal Fund received "A" letter grades for one, three, and
five year performance relative to other short term municipal bond funds through
June 30, 1996.* These rankings, which were published in The Wall Street Journal,
reflect total returns in the top 20% of all short term municipal bond funds for
those periods. For the 10-year period ending June 30, 1996, the A Shares of
Thornburg Limited Term Municipal Fund had the highest total return out of seven
short municipal funds, according to Lipper Analytical Services.
Many municipal bonds issued between 1985 and 1990 are being paid off early.
Money to pay off these bonds prior to maturity already has been raised. You may
own municipal bonds or unit trusts which are being redeemed. Your investment in
Thornburg Limited Term Municipal Fund will not be redeemed until you sell it.
Please remember that you can easily add to your investment each month by
authorizing a simple, automatic transfer from your checking account.
Currently, your fund is the longest running mutual fund of any description to
continuously receive a 5 star rating from Morningstar. Limited Term Municipal
Fund has had the 5 star overall rating for 106 months. I would like to attribute
this to capable execution of a thoroughly sensible investment strategy over
time. Thank you for investing in Thornburg Limited Term Municipal Fund.
Sincerely,
/s/ Brian J. McMahon
Brian J. McMahon
Managing Director
(footnotes)
Morningstar proprietary ratings reflects historical risk adjusted performance as
of 6/30/96. Ratings are subject to change every month. Funds with at least three
years of performance history are assigned ratings from one star (lowest) to five
star (highest). Morningstar ratings are calculated from the funds' three-,
five-, and ten year average annual returns and a risk factor that reflects fund
performance relative to three month Treasury bill returns. 10% of the funds in
an investment category receive five stars 22.5% receive four stars. LTMFX is
ranked 4-Stars for the 3 year and 5 year periods and 5-Stars for the 10 year
period ending 6/30/96. The number of funds within the Municipal, National
category tracked by Morningstar as of 6/30/96 is 304,195 and 106 on a 3-,5-, and
10-year basis.
*Source: The Wall Street Journal, July 3, 1996. Performance data are supplied by
Lipper Analytical Services, Inc., and reflect performance for the 1, 3, and 5
year periods ending June 30, 1996. An "A" ranking reflects total returns in the
top 20% of all funds within the short term municipal objective, as defined by
The Wall Street Journal. The average maturity and average quality of the funds
within the short municipal objective may differ. At June 30, 1996, 44, 30 and 14
short municipal funds reported 1-year, 3-year, and 5-year total returns,
respectively. Performance calculations used to obtain these rankings assume
deduction of all expenses and reinvestment of all distributions, but do not
include the effect of any sales charge on total return.
statement of assets and liablities
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
June 30, 1996
ASSETS
Investments, at value (cost $903,161,256) $923,629,163
Cash 315,329
Receivable for fund shares sold 1,800,036
Interest receivable 14,920,246
Prepaid expenses and other assets 26,810
TOTAL ASSETS 940,691,584
LIABILITIES
Payable for securities purchased 3,753,674
Dividends payable 1,222,537
Payable for fund shares redeemed 999,633
Accounts payable and accrued expenses 403,108
Accounts payable investment adviser (Note 3) 533,875
TOTAL LIABILITIES 6,912,827
NET ASSETS $933,778,757
NET ASSET VALUE:
Class A Shares:
Net asset value and redemption price per share
($917,831,208 applicable to 68,745,878 shares of
beneficial interest outstanding - Note 4) $13.35
Maximum sales charge, 2.50% of offering
price (2.57% of net asset value per share) .34
Maximum Offering Price Per Share $13.69
Class C Shares:
Net asset value and offering price per share*
($15,947,549 applicable to 1,192,469 shares of
beneficial interest outstanding - Note 4) $13.37
* Redemption price per share is equal to net asset value less any
applicable contingent deferred
sales charge.
See notes to financial statements.
statement of operations
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
Year Ended June 30, 1996
INVESTMENT INCOME
Interest income (net of premium amortized $52,705,242
of $2,337,065)
EXPENSES
Investment advisory fees (Note 3) 6,584,836
Distribution and service fees (Note 3):
Class A Shares 1,154,408
Class B Shares 5,529
Class C Shares 63,880
Transfer agent fees 652,736
Custodian fees 312,430
Accounting fees 99,720
Professional fees 85,955
Registration and filing fees 71,862
Other expenses 143,761
TOTAL EXPENSES 9,175,117
Less:
Expenses reimbursed by investment adviser (Note 3) (29,691)
NET EXPENSES 9,145,426
NET INVESTMENT INCOME 43,559,816
REALIZED AND UNREALIZED
LOSS ON INVESTMENTS - NOTE 5
Net realized loss on investments sold (69,749)
Decrease in unrealized appreciation of investments (1,545,063)
NET REALIZED AND UNREALIZED
LOSS ON INVESTMENTS (1,614,812)
NET INCREASE IN NET ASSETS RESULTING
FROM OPERATIONS $41,945,004
See notes to financial statements.
statements of changes in net assets
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
Year Ended Year Ended
June 30, 1996 June 30, 1995
- --------------------------------------------------------------------------------
INCREASE (DECREASE) IN
NET ASSETS FROM:
OPERATIONS:
Net investment income $ 43,559,816 $ 47,287,795
Net realized loss on investments sold (69,749) (4,022,722)
Increase (Decrease) in unrealized
appreciation of investments (1,545,063) 9,446,075
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS 41,945,004 52,711,148
DIVIDENDS TO SHAREHOLDERS:
From net investment income
Class A Shares (43,028,755) (47,098,833)
Class B Shares (32,246) (52,849)
Class C Shares (498,815) (136,113)
FUND SHARE TRANSACTIONS -- (Note 4)
Class A Shares (12,641,152) (103,592,542)
Class B Shares (2,834,331) 2,773,214
Class C Shares 9,590,852 6,380,857
NET DECREASE IN NET ASSETS (7,499,443) (89,015,118)
NET ASSETS:
Beginning of year 941,278,200 1,030,293,318
End of year $ 933,778,757 $ 941,278,200
See notes to financial statements.
notes to financial statements
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
Note 1 - ORGANIZATION
Thornburg Limited Term Municipal Fund, Inc. (the "Fund") was incorporated in
Maryland on February 14, 1984. The Fund was reorganized in 1986 as a series
investment company with separate investment portfolios. The current portfolios
are the National Portfolio (the "Portfolio") and California Portfolio. The Fund
is an open-end diversified management investment company, registered under the
Investment Company Act of 1940, as amended. The primary investment objective of
the Fund is to obtain as high a level of current income exempt from federal
income tax as is consistent with preservation of capital.
On September 1, 1994 the Portfolio began offering three classes of shares of
beneficial interest, Class A, Class B and Class C shares. All shares outstanding
prior to September 1, 1994 are considered Class A shares. On September 28, 1995,
all existing Class B shares were converted at net asset value, without the
imposition of a deferred sales charge, into Class A shares of an equivalent
value. The Fund no longer offers Class B shares. Each class of shares of a
Portfolio represents an interest in the same portfolio of investments of the
Fund, except that (i) Class A shares are sold subject to a front-end sales
charge collected at the time the shares are purchased and bear a service fee,
(ii) Class C shares are sold at net asset value without a sales charge at the
time of purchase, but are subject to a contingent deferred sales charge upon
redemption within one year, and bear both a service fee and a distribution fee,
and (iii) the respective classes have different reinvestment privileges.
Additionally, each Portfolio may allocate among its classes certain expenses, to
the extent allowable to specific classes, including transfer agent fees,
government registration fees, certain printing and postage costs, and
administrative and legal expenses. Currently, class specific expenses of the
Portfolio are limited to distribution fees and certain custody and transfer
agent expenses
Note 2 - SIGNIFICANT ACCOUNTING POLICIES Significant accounting policies of the
Fund are as follows:
Valuation of Investments: In determining net asset value, the Portfolio utilizes
an independent pricing service approved by the Board of Directors. Debt
investment securities have a primary market over the counter and are valued on
the basis of valuations furnished by the pricing service. The pricing service
values portfolio securities at quoted bid prices or the yield equivalents when
quotations are not readily available. Securities for which quotations are not
readily available are valued at fair value as determined by the pricing service
using methods which include consideration of yields or prices of municipal
obligations of comparable quality, type of issue, coupon, maturity and rating;
indications as to value from dealers and general market conditions. The
valuation procedures used by the pricing service and the portfolio valuations
received by the Portfolio are reviewed by the officers of the Fund under the
general supervision of the Board of Directors. Short-term obligations having
remaining maturities of 60 days or less are valued at amortized cost, which
approximates market value.
Federal Income Taxes: It is the policy of the Fund to comply with the provisions
of the Internal Revenue Code applicable to "regulated investment companies" and
to distribute all of its taxable (if any) and tax exempt income to its
shareholders. Therefore, no provision for Federal income tax is required.
Dividends paid by the Portfolio for the year ended June 30, 1996 represent
exempt interest dividends which are excludable by shareholders from gross income
for Federal income tax purposes.
When-Issued and Delayed Delivery Transactions: The Portfolio may engage in
when-issued or delayed delivery transactions. To the extent the Portfolio
engages in such transactions, it will do so for the purpose of acquiring
portfolio securities consistent with its investment objectives and not for the
purpose of investment leverage or to speculate on interest rate changes. At the
time the Portfolio makes a commitment to purchase a security on a when-issued
basis, it will record the transaction and reflect the value in determining its
net asset value. When effecting such transactions, assets of the Portfolio of an
amount sufficient to make payment for the portfolio securities to be purchased
will be segregated on the Portfolio's records on the trade date. Securities
purchased on a when-issued or delayed delivery basis do not earn interest until
the settlement date.
Dividends: Net investment income of the Portfolio is declared daily as a
dividend on shares for which the Portfolio has received payment. Dividends are
paid monthly and are reinvested in additional shares of the Portfolio at net
asset value per share at the close of business on the dividend payment date, or
at the shareholder's option, paid in cash. Net capital gains, to the extent
available, will be distributed annually.
General: Securities transactions are accounted for on a trade date basis.
Interest income is accrued as earned. Premiums and original issue discounts on
securities purchased are amortized to call dates or maturity dates of the
respective securities. Realized gains and losses from the sale of securities are
recorded on an identified cost basis.
Use of Estimates: The preparation of financial statements in conformity with
generally accepted accounting principles requires management to make estimates
and assumptions that affect the reported amounts of assets and liabilities and
disclosure of contingent assets and liabilities at the date of the financial
statements and the reported amounts of increases and decreases in net assets
from operations during the reporting period. Actual results could differ from
those estimates.
Note 3 - INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
Pursuant to an investment advisory agreement, Thornburg Management Company, Inc.
(the "Adviser") serves as the investment adviser and performs services for which
the fees are payable at the end of each month. For the year ending June 30,
1996, these fees were payable at annual rates ranging from 3/4 of 1% to 4/10 of
1% of the average daily net assets of the Portfolio. Beginning July 1, 1996,
these fees will be payable at annual rates ranging from 1/2 of 1% to 9/40 of 1%
of the average daily net assets of the Portfolio. Also, effective July 1, 1996,
the Portfolio entered into an Administrative Services Agreement with the
Adviser, whereby the Adviser will perform certain administrative services for
the shareholders of each class of the Portfolio's shares, and for which fees
will be payable at an annual rate of up to 1/8 of 1% of the average daily net
assets attributable to each class of shares.
In the event normal operating expenses of the Portfolio, exclusive of brokerage
commissions, taxes, interest, and extraordinary expenses, exceed the limits
prescribed by any state in which the Fund's shares are qualified for sale, the
Adviser will reimburse the Portfolio for such excess. No such reimbursement was
required as a result of this limitation. For the year ended June 30, 1996, the
Adviser reimbursed certain operating expenses amounting to $29,691.
The Fund has an underwriting agreement with Thornburg Securities Corporation
(the "Distributor"), which acts as the Distributor of Portfolio shares. For the
year ended June 30, 1996, the Distributor earned commissions aggregating
$124,901 from the sale of Class A shares, and collected contingent deferred
sales charges aggregating $7,505 from redemptions of Class C shares of the Fund.
Pursuant to a Service Plan under Rule 12b-1 of the Investment Company Act of
1940, the Portfolio may reimburse to the Adviser amounts not to exceed .25 of 1%
per annum of the average net assets attributable to each class of shares of the
Fund for payments made by the Adviser to securities dealers and other financial
institutions to obtain various shareholder related services. The Adviser may pay
out of its own funds additional expenses for distribution of the Portfolio's
shares.
The Portfolio has also adopted a Distribution Plan pursuant to Rule 12b-1,
applicable only to the Portfolio's Class B and Class C shares, under which the
Portfolio can (i) reimburse the Distributor for certain distribution expenses on
a monthly basis at an annual rate of up to .75% of the average daily net assets
attributable to Class B shares, and (ii) compensate the Distributor for services
in promoting the sale of Class C shares at an annual rate of up to .75% of the
average daily net assets attributable to Class C shares. Total fees incurred by
each class of shares of the Portfolio under their respective service and
distribution plans for the year ended June 30, 1996 are set forth in the
statement of operations.
Certain officers and directors of the Fund are also officers and/or directors of
the Adviser and Distributor. The compensation of unaffiliated directors of the
Fund is borne by the Fund.
Note 4 - SHARES OF BENEFICIAL INTEREST
At June 30, 1996 there were 600,000,000 shares of the Fund (including
485,000,000 for the Portfolio) of $.001 par value common stock authorized, and
capital paid in for the Portfolio aggregated $919,090,740. Transactions in
shares of beneficial interest were as follows:
Year Ended Year Ended
June 30, 1996 June 30, 1995
------------- -------------
Class A Shares Shares Amount Shares Amount
Shares sold 10,705,592 $144,174,891 10,393,212 $136,432,966
Shares issued to shareholders
in reinvestment of
distributions 2,128,377 28,634,345 2,183,285 28,759,060
Shares repurchased (13,781,715) (185,450,388) (20,550,093) (268,784,568)
Net Decrease (947,746) ($12,641,152) (7,973,596) ($103,592,542)
Class B Shares
Shares sold 46,556 $623,905 220,994 $2,909,077
Shares issued to shareholders
in reinvestment of
distributions 1,871 25,134 2,925 38,614
Shares repurchased (259,380) (3,483,370) (12,966) (174,477)
Net Increase (Decrease) (210,953) ($2,834,331) 210,953 $2,773,214
Class C Shares
Shares sold 1,097,905 $14,807,056 564,508 $7,461,870
Shares issued to shareholders
in reinvestment of
distributions 31,748 427,775 8,707 114,914
Shares repurchased (420,008) (5,643,979) (90,391) (1,195,927)
Net Increase 709,645 $9,590,852 482,824 $6,380,857
Note 5 - INVESTMENT SECURITY TRANSACTIONS
Purchases and proceeds from maturities or sales of investment securities of the
Portfolio other than short-term securities aggregated $210,500,247 and
$189,215,260, respectively. The cost of investments for Federal income tax
purposes is $903,815,406. At June 30, 1996, the aggregate gross unrealized
appreciation and depreciation, based on cost for Federal income tax purposes
were $22,767,997 and $2,954,240, respectively.
Accumulated net realized losses from security transactions included in net
assets at June 30, 1996 aggregated $5,779,890.
For Federal income tax purposes, the Portfolio has realized capital loss
carryforwards of $4,648,000 from prior fiscal years available to offset future
realized capital gains. To the extent that such carryforwards are used, no
capital gains distributions will be made. The carryforwards expire as follows:
June 30, 1998 - $97,000, June 30, 1999 - $304,000, June 30, 2002 - $807,000,
June 30, 2003 - $602,000, and June 30, 2004 - $2,838,000.
financial highlights
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
Per share operating performance
(for a share outstanding
throughout the year)
Year Ended June 30,
-------------------
1996 1995 1994 1993 1992
------------- ---- ---- ----
Class of Shares: A A A A A
Net asset value, beginning of year $13.37 $13.27 $13.59 $13.09 $12.83
Income from investment operations:
Net investment income .63 .64 .63 .68 .79
Net realized and unrealized
gain (loss) on investments (.02) .10 (.32) .50 .26
Total from investment operations .61 .74 .31 1.18 1.05
Less dividends from:
Net investment income (.63) (.64) (.63) (.68) (.79)
Change in net asset value (.02) .10 (.32) .50 .26
Net asset value, end of year $13.35 $13.37 $13.27 $13.59 $13.09
Total return (a) 4.60% 5.76% 2.25% 9.24% 8.40%
Ratios/Supplemental Data Ratios to average net assets:
Net investment income 4.66% 4.86% 4.60% 5.03% 5.96%
Expenses .97% .97% .95% 1.01% 1.04%
Portfolio turnover rate 20.60% 23.02% 15.63% 19.30% 27.63%
Net assets
at end of year (000) $917,831 $931,987$1,030,293 $895,500$521,683
(a) Sales loads are not reflected in computing total return, which is not
annualized for periods less than one year.
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio
Per share operating performance
(for a share outstanding
throughout the period) Period from
Year Ended Sept. 1, 1994 (a)
June 30, 1996 to June 30, 1995
Class of Shares: B* C B C
Net asset value, beginning of period $13.38 $13.40 $13.29 $13.29
Income from investment operations:
Net investment income .13 .57 .46 .46
Net realized and unrealized
gain (loss) on investments .05 (.03) .09 .11
Total from investment operations .18 .54 .55 .57
Less dividends from:
Net investment income (.13) (.57) (.46) (.46)
Change in net asset value .05 (.03) .09 .11
Net asset value, end of period $13.43 $13.37 $13.38 $13.40
Total return (b) 1.56% 4.05% 4.14% 4.25%
Ratios/Supplemental Data Ratios to average net assets:
Net investment income 4.17%(c) 4.22% 4.24%(c) 4.21%(c)
Expenses, after expense reductions 1.59%(c) 1.41% 1.57%(c) 1.60%(c)
Expenses, before expense reductions 2.01%(c) 1.63% 2.30%(c) 1.84%(c)
Portfolio turnover rate 20.60% 20.60% 23.02% 23.02%
Net assets
at end of period (000) $0 $15,948 $2,823 $6,469
(a) Commencement of sales of Class B and Class C shares.
(b) Sales loads are not reflected in computing total return, which is not
annualized for periods less than one year.
The total return for Class B shares reflects a period of 90 days.
(c) Annualized.
* Period from July 1, 1995 to September 28, 1995, on which date all Class B
shares were converted into Class A shares.
<TABLE>
<CAPTION>
schedule of investments
Par Amount Issuer Name & Description Credit Value
Rating
Alabama (1.74%)
<C> <S> <C> <C> <C>
$1,675,000 Alabama A&M University Housing & General Fee Revenue Series 1992, 5.90%
due 11/1/02 (Living & Learning Center Project; Insured: MBIA) Aaa/AAA $1,768,030
515,000 Alabama Higher Education Loan Corporation Student Loan Revenue
Refunding Series 1994-A, 4.70% due 3/1/97 (Insured: FSA) Aaa/AAA 517,827
540,000 Alabama Higher Education Loan Corporation Student Loan Revenue
Refunding Series 1994-A, 4.70% due 9/1/97 (Insured: FSA) Aaa/AAA 543,710
2,250,000 Alabama Industrial Access Road & Bridge Corporation Capital Improvement
Series 1991, 5.60% due 6/1/97 A1/NR 2,283,547
1,000,000 Alabama Water Pollution Control Authority Series 1991, 6.45% due 8/15/02
(Insured: AMBAC) Aaa/AAA 1,070,900
2,500,000 Birmingham Special Care Facility Finance Authority Revenue Series 1990,
7.625% due 12/1/10, put 12/1/00 (Methodist Homes for the Aging Project;
LOC: South Trust Bank) A1/NR 2,697,875
1,550,000 Birmingham Jefferson Civic Center Authority Special Tax Series 1989, 7.20% due 1/1/01 A/A+ 1,660,329
1,120,000 Birmingham Jefferson Civic Center Authority Special Tax, 6.90% due 1/1/98 A/A+ 1,155,829
1,495,000 Houston County Hospital Board Revenue Refunding Series 1984, 7.625% due 4/1/07, pre-refunded
2/15/02 @ 100 (South East Alabama Medical Center Project; Insured: MBIA) Aaa/AAA 1,565,714
1,695,000 Montgomery County Revenue Warrants Series 1992, 6.625% due 4/1/02 NR/A 1,795,547
965,000 Morgan County-Decatur Healthcare Revenue, 5.40% due 3/1/00 (Decatur General Hospital
Project; Insured: Connie Lee) NR/AAA 983,248
Alaska (1.13%)
2,500,000 North Slope Borough G.O. Refunding Series 1992-A, 5.80% due 6/30/02 (Insured: MBIA) Aaa/AAA 2,606,600
2,500,000 North Slope Borough G.O. Capital Appreciation Series B, 0% due 1/1/99 (Insured: MBIA) Aaa/AAA 2,233,425
7,000,000 North Slope Borough G.O. Capital Appreciation Series B, 0% due 1/1/01 (Insured: MBIA) Aaa/AAA 5,649,840
Arizona (3.39%)
5,250,000 Arizona Educational Loan Marketing Corporation Revenue, Series 1992-A, 6.40% due 3/1/98 A/NR 5,411,385
1,250,000 Arizona Educational Loan Marketing Corporation Revenue, Series 1992-A, 6.70% due 3/1/00 A/NR 1,302,962
1,600,000 Arizona State Certificate of Participation Series 1994-A, 5.45% due 5/1/98
(Insured: AMBAC) Aaa/AAA 1,627,040
1,000,000 Arizona Municipal Finance Program Certificate of Participation Series 15, 8.65% due 8/1/04
(Flagstaff Project; Insured: BIG) Aaa/AAA 1,044,310
1,255,000 Maricopa Hospital District General Obligation Series A, 5.00% due 6/1/98 (Insured: FGIC) Aaa/AAA 1,273,110
1,550,000 Maricopa County School District # 8 Series 1992, 0% due 7/1/99
(Osborn Elementary School District Project) A1/A 1,351,399
2,000,000 Maricopa County Unified School District # 41 Refunding, 0% due 7/1/97 (Insured: FGIC) Aaa/AAA 1,914,280
2,000,000 Maricopa County/Paradise Valley Unified School District General Obligation
Refunding Series 1992, 0% due 7/1/01 (Insured: AMBAC) Aaa/AAA 1,565,260
2,980,000 Maricopa County Unified School District # 97, 0% due 7/1/97 (Insured: FGIC) Aaa/AAA 2,852,277
1,390,000 Maricopa County Unified School District # 97, 0% due 7/1/98 (Insured: FGIC) Aaa/AAA 1,273,157
710,000 Mohave County Certificate of Participation, 4.90% due 7/1/98 NR/BBB 701,601
730,000 Mohave County Certificate of Participation, 5.10% due 7/1/99 NR/BBB 712,743
2,000,000 Pima County/Tucson Unified School District # 1 School Improvement Series 1992-D,
5.50% due 7/1/02 (Insured: FGIC) Aaa/AAA 2,075,480
350,000 Pinal County Certificate of Participation, 7.90% due 6/1/01 NR/BBB 358,344
118,476 Scottsdale IDA Hospital Revenue Refunding Series A, Amortizing Coupon
M-COATES, 7.50% final due 9/1/97 (Scottsdale Memorial Hospital Project) Aaa*/AAA* 124,020
175,000 South Tucson Municipal Property Corporation Series 1990, 8.20% due 6/1/99 NR/BB 180,829
175,000 South Tucson Municipal Property Corporation Series 1990, 8.25% due 6/1/00 NR/BB 181,907
1,290,000 Tempe General Obligation Series 1993-A, 0% due 7/1/99 Aa/AA+ 1,126,376
4,950,000 Tempe I.D.A. Guaranteed Multifamily Housing Revenue Series 1991-A, 6.25%
due 10/1/07, put 10/1/96 (Elliot Grove Project; Insured: Connecticut General Life) NR/AA 4,960,346
1,200,000 Tucson Water System Revenue Refunding Series 1992, 5.80% due 7/1/99 A1/A+ 1,240,704
California (18.05%)
1,000,000 California Health Facilities Financing Authority Series A, 7.40% due 7/1/01
(Episcopal Homes Project; Insured: California Mortgage Insurance) NR/A 1,056,330
7,440,000 California Health Facilities Financing Authority Series 1991-D, 6.50%
pre-refunded 7/1/01 @ 102 (Catholic Health Care Project; Insured: AMBAC) Aaa/AAA 8,173,882
500,000 California Pollution Control Financing Authority, 3.40% due 11/1/26, put 7/1/96 daily
demand notes (Pacific Gas & Electric Project; LOC: Banque National Paris) NR/AA 500,000
2,155,000 California Public Capital Improvement Finance Authority Revenue Series
1988-E, 8.25% due 3/1/98 Baa/NR 2,263,828
2,000,000 California State General Obligation, 6.50% due 10/1/99 A1/A 2,123,540
1,225,000 California Statewide Communities Development Authority Insured Health
Facilities Revenue Certificate of Participation Series 1992, 6.40% due 5/1/02
(Eskaton Properties Inc. Phase II Project) NR/A 1,263,306
1,100,000 California Statewide Communities Development Authority Certificate of Participation,
2.387% (inverse floater) due 1/1/02 (Motion Picture & Television Fund Project;
Insured: AMBAC) Aaa/AAA 928,246
1,920,000 Chula Vista Multifamily Housing Refunding Revenue Series 1985, 5.75%
due 11/1/07, mandatory put 11/1/97 (Eucalyptus Grove Project; Insured:
Continental Insurance Co.) NR/A+ 1,931,021
910,000 Fairfield-Suisun Sewer District Revenue Refunding Series A, 6.50% due 5/1/03
(Insued: MBIA) Aaa/AAA 988,870
7,730,000 Glendale Hospital Revenue Series 1994, 7.625% due 1/1/05
(Verdugo Hills Project; Surety Bond: Industrial Indemnity) NR/A+ 8,265,457
1,000,000 Lancaster Redevelopment Agency Lease Revenue Notes Series 1995, 4.90% due 12/1/00
(LOC: Sumitomo Bank / Dai Ichi Kangyo Bank) NR/SP1 979,200
5,710,000 Los Angeles Water and Power, 7.10% due 1/15/31, crossover refunded 1/15/01 @102 Aa/AA- 6,307,951
1,500,000 Los Angeles Unified School District Certificate of Participation, 6.20% due 6/1/01
(Dr. Francisco Bravo Medical Project) A/A- 1,574,985
1,400,000 Los Angeles Wastewater System Revenue, 6.80% pre-refunded 8/1/98 @102 AAA/A 1,500,268
2,000,000 Los Angeles County Certificate of Participation Mobile Digital Communications,
7.70% due 7/15/01 Baa1/BBB+ 2,071,620
1,000,000 Los Angeles County Certificate of Participation (LAC-CAL Equipment Project)
Series 1992-A, 5.70% due 12/1/96 Baa/BBB 1,005,770
3,000,000 Los Angeles County Certificate of Participation (LAC-CAL Equipment Project)
Series 1992-B, 5.00% due 9/1/96 Baa/BBB 3,003,330
1,485,000 Los Angeles County Health Facilities Authority Rev., 7.20% due 3/1/01
refunded 3/1/98 (Civic View Medical Center Project) AAA+/A 1,585,846
2,500,000 Los Angeles County Pension Obligation Certificates, 6.75% due 6/30/02 Baa1/BBB+ 2,550,425
3,500,000 Los Angeles County Pension Obligation Certificates, 6.875% due 6/30/07 Baa1/BBB+ 3,570,630
1,050,000 Los Angeles County Certificate of Participation Series B, 5.50% due 7/1/98 A1/A+ 1,072,575
1,000,000 Los Angeles Transit Finance Corporation Certificate of Participation
Series 1992-B, 5.70% due 7/1/99 A1/A+ 1,028,880
1,995,000 Los Angeles Transportation Commission Certificate of Participation, 5.90% due 7/1/00 A1/A+ 2,069,733
2,500,000 Los Angeles Transportation Commission Certificate of Participation, 6.00% due 7/1/01 A1/A+ 2,605,050
2,000,000 MSR Public Power Agency Series 1987-C, 6.70% due 7/1/02 A/A 2,057,900
1,500,000 MSR Public Power Agency Series F, 5.45% due 7/1/01
(San Juan Project; Insured: AMBAC) Aaa/AAA 1,555,770
265,000 New Haven Unified School District Certificate of Participation, 7.00% due 12/1/99 NR/A- 282,405
1,000,000 Northern California Power Agency Series A, 6.75% due 7/1/01(Geothermal #3 Project) A/A- 1,015,250
2,500,000 Orange County Refunding Recovery, 5.10% due 6/1/02 (Insured: MBIA) Aaa/AAA 2,527,900
7,600,000 Orange County Refunding Recovery, 6.50% due 6/1/04 (Insured: MBIA) Aaa/AAA 8,265,532
5,200,000 Orange County Refunding Recovery, 6.50% due 6/1/05 (Insured: MBIA) Aaa/AAA 5,662,072
1,000,000 Orange County Local Transportation Measure "M" Sales Tax Revenue, 5.50% due 2/15/01 Aa/AA 1,018,720
8,300,000 Orange County Local Transportation Authority Sales Tax Revenue, 1.87%
(inverse floater) due 2/15/99 (Insured: FGIC) Aaa/AAA 7,757,097
13,000,000 Orange County Recovery Certificate of Participation Series A,
5.50% due 7/1/02 (Insured: MBIA) Aaa/AAA 13,415,350
2,000,000 Orange County Special Financing Authority Teeter Plan Revenue Series E, 6.15%
due 11/1/14, put 11/1/99 (LOC: Industrial Bank of Japan) A1/A+ 2,022,620
5,000,000 Orange County Special Financing Authority Teeter Plan Revenue Series E, 6.35%
due 11/1/14, put 11/1/01 (LOC: Industrial Bank of Japan) A1/A+ 5,044,450
3,000,000 Oxnard Harbor District Revenue Refunding, 6.60% due 8/1/00
(Insured: Capital Guaranty) Aaa/AAA 3,218,880
2,880,000 Redwood City Multifamily Housing Revenue Series 1985-B, 5.20% due 10/1/08,
put 10/1/00 (Redwood Shores Apartment Project; LOC: Continental Casualty) NR/A+ 2,860,243
2,100,000 San Joaquin County Certificate of Participation, 5.50% due 9/1/99
(General Hospital Project) A/A- 2,101,638
2,000,000 San Marcos PFA Tax Allocation Series 1992-A, 5.60% due 1/1/01
(Insured: Capital Guaranty) Escrowed to Maturity Aaa/AAA 2,081,420
1,995,000 San Marcos PFA Custodial Receipts Revenue, 0% due 3/1/98, Escrowed to Maturity Aaa/NR 1,853,634
1,310,000 San Marcos PFA Custodial Receipts Revenue, 0% due 7/1/98, Escrowed to Maturity Aaa/NR 1,197,523
1,990,000 San Marcos PFA Custodial Receipts Revenue, 0% due 9/1/98, Escrowed to Maturity Aaa/NR 1,804,035
1,990,000 San Marcos PFA Custodial Receipts Revenue, 0% due 3/1/99, Escrowed to Maturity Aaa/NR 1,756,991
1,990,000 San Marcos PFA Custodial Receipts Revenue, 0% due 9/1/99, Escrowed to Maturity Aaa/NR 1,716,574
1,995,000 San Marcos PFA Custodial Receipts Revenue, 0% due 3/1/00, Escrowed to Maturity Aaa/NR 1,675,261
4,180,000 Santa Margarita / Dana Point Authority Revenue Improvement District Series A,
9.50% due 8/1/03 (Insured: MBIA) Aaa/AAA 5,262,662
6,140,000 Simi Valley Community Development Agency Certificate of Participation,
6.05% due 10/1/18, mandatory put 10/1/99 (Simi Valley Business Center
Project; Insured: New England Mutual Life) NR/AA- 6,419,247
1,000,000 Sonoma County Certificate of Participation Public Works Improvement Program,
5.875% due 8/1/04 (Integrated Waste Project) NR/A+ 1,032,110
7,500,000 South Coast Local Education Agencies Series 1995-A, 5.00% due 8/14/96 NR/SP1+ 7,508,775
2,000,000 Southgate Recreation & Park District Certificate of Participation, 5.15% due 10/1/21, put
10/1/01 (Wildhawk Golf Club Project; LOC: U.S. Bank of California) NR/A+ 2,014,480
1,200,000 University of California Regents Certificate of Participation Series 1996-A,
5.00% due 6/1/98 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,216,644
1,300,000 University of California Regents Certificate of Participation Series 1996-A,
5.00% due 6/1/99 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,317,589
1,300,000 University of California Regents Certificate of Participation Series 1996-A,
5.15% due 6/1/00 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,324,427
1,400,000 University of California Regents Certificate of Participation Series 1996-A,
5.25% due 6/1/01 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,432,214
1,200,000 University of California Regents Certificate of Participation Series 1996-A,
5.00% due 9/1/97 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,216,236
1,300,000 University of California Regents Certificate of Participation Series 1996-A,
5.00% due 9/1/98 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,319,708
1,300,000 University of California Regents Certificate of Participation Series 1996-A,
5.00% due 9/1/99 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,323,179
1,400,000 University of California Regents Certificate of Participation Series 1996-A,
5.15% due 9/1/00 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,433,656
1,500,000 University of California Regents Certificate of Participation Series 1996-A,
5.25% due 9/1/01 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,543,650
1,600,000 University of California Regents Certificate of Participation Series 1996-A,
5.35% due 9/1/02 (Various Capital Projects; Insured: MBIA) Aaa/AAA 1,654,208
510,000 University of California Revenue Series A, 11.00% due 9/1/99 NR/A- 604,334
780,000 University of California Revenue Series A, 6.30% due 9/1/00 NR/A- 827,353
Colorado (4.72%)
1,000,000 Adams County School District #12 Series A, 7.20% due 12/15/97, prerefunded 12/15/96 A/AAA* 1,025,590
500,000 Arvada Limited Sales & Use Tax Series 1991, 6.50% due 6/1/01, Escrowed to Maturity Aaa*/NR 534,155
2,355,000 Boulder Urban Renewal Authority Tax Increment Refunding Series 1992, 5.90%
due 3/1/01 (Insured: MBIA) Aaa/AAA 2,468,228
1,465,000 Boulder Urban Renewal Authority Tax Increment Refunding Series 1992, 6.00%
due 3/1/02 (Insured: MBIA) Aaa/AAA 1,535,774
55,000 Boulder County Single Family Revenue Series 1982-A, 10.00% due 5/1/98 NR/CCC 51,304
385,000 Boulder County Single Family Revenue Series 1982-A, 10.00% due 11/1/98 NR/CCC 357,619
390,000 Boulder County Single Family Revenue Series 1982-A, 10.00% due 11/1/99 NR/CCC 355,844
490,000 Castle Pines Metropolitan District General Obligation Refunding & Improvement,
7.50% due 12/1/99 (Insured: FSA) Aaa/AAA 533,076
2,000,000 Colorado Housing Finance Authority Capital Appreciation Series A, 0% due 11/1/01 Aa/AA+ 1,478,240
1,000,000 Colorado Certificate of Participation, 4.75% due 5/1/97 (Insured: AMBAC) Aaa/AAA 1,007,620
885,000 Colorado Student Loan Authority Revenue, 6.625% due 6/1/99 A/NR 927,073
1,140,000 Colorado Student Loan Revenue Series 1992-B, 6.20% due 9/1/98 A/NR 1,178,212
865,000 Colorado Student Loan Revenue Series 1992-B, 6.40% due 9/1/99 A/NR 900,845
3,555,000 Colorado Student Loan Revenue Series 1992-B, 6.55% due 12/1/02 A/NR 3,705,767
2,500,000 Colorado Student Obligation Bond Authority Revenue Series 1992-F, 5.90% due 9/1/02 A/NR 2,519,025
3,230,000 Colorado Student Obligation Bond Authority Revenue Series 1994-L, 5.90% due 9/1/00 A/NR 3,336,816
890,000 Denver Housing Corporation Revenue, 7.20% due 10/1/04 (HUD Section 8) A/NR 903,065
1,080,000 Denver City & County Industrial Development Revenue, 7.40% due 3/1/03
(University of Denver Project) NR/BBB+ 1,166,281
1,155,000 Denver City & County Industrial Development Revenue, 7.50% due 3/1/04
(University of Denver Project) NR/BBB+ 1,246,765
1,185,000 Denver City & County Industrial Development Revenue, 7.60% due 3/1/05
(University of Denver Project) NR/BBB+ 1,279,124
1,000,000 Denver City & County Industrial Development Revenue, 5.375% due 7/1/11, put 7/1/00
(Translogic Corporation Project; LOC: Commerzbank) NR/AA- 1,000,170
420,000 Denver City & County Industrial Development Revenue Series 1985, 6.40% due 6/1/10,
put 6/1/99 (4999 Ltd. Project; LOC: Central Bank National Association) NR/A+ 441,273
2,175,000 Highlands Ranch Metro District #2 General Obligation, 6.00% due 6/15/04 (Insured: FSA) Aaa/AAA 2,317,876
2,800,000 Jefferson County Industrial Development Refunding Revenue Series 1993,
4.60% due 12/1/97 (Dayton Hudson Project) NR/BBB+ 2,774,828
2,000,000 Summit County Recreational Facilities Revenue, 5.80% due 4/1/17, put 10/1/98
(Copper Mountain Project; LOC: Daiwa Bank) NR/BBB 1,966,800
1,000,000 University of Colorado Certificate of Participation, 7.10% due 12/1/99 A/NR 1,069,720
321,106 Westminster Installment Note, 8.00% due 12/12/96 A*/NR 325,737
1,750,000 Westminster MFHR, 7.75% due 12/1/07, put 12/1/98 (Green Lawn Aptartments
Project; Insured: FGIC) Aaa/AAA 1,776,583
2,725,000 Westminster Multifamily Housing Revenue series 1995, 5.95% due
9/1/15, put 9/1/06 (Semper Village Apartments; Insured A.X.A. Re/U.K.) NR/AA 2,740,478
1,245,000 Westminster Sales & Use Tax Revenue Refunding Series 1996, 5.50% due 12/1/00 NR/AA 1,280,819
1,350,000 Westminster Sales & Use Tax Revenue Refunding Series 1996, 5.50% due 12/1/01 NR/AA 1,390,068
Connecticut (2.66%)
2,195,000 Bristol Resource Recovery Facility Solid Waste
Revenue Refunding Series 1995, 5.20% due 7/1/97 (Ogden Martin of Bristol Project) A/NR 2,200,312
2,290,000 Bristol Resource Recovery Facility Solid Waste
Revenue Refunding Series 1995, 5.40% due 7/1/98 (Ogden Martin of Bristol Project) A/NR 2,299,916
1,045,000 Capital Region Education Council, 6.375% due 10/15/05 NR/BBB 1,014,632
1,320,000 Connecticut Housing Finance Authority Series B1, 7.55% due 11/15/08 (LOC: FHA/VA) Aa/AA 1,334,824
700,000 Connecticut Resource Recovery Authority, 7.125% due 11/15/08 (Wallingford Project;
LOC: National Westminister) Aa2/AA 728,119
10,000,000 Connecticut Unemployment Compensation Advance Fund Refunding Revenue Series 1996-A,
5.50% due 5/15/01 (Insured: AMBAC) Aaa/AAA 10,313,900
1,000,000 Connecticut Special Tax Obligation Revenue Series C, 7.40%
due 10/1/04, pre-refunded 10/1/98 NR/AAA 1,085,020
5,540,000 Connecticut State Special Tax Obligation Series 1989-B, 0% due 7/1/99
(Transportation Infrastructure Project; Insured: AMBAC) Aaa/AAA 4,831,600
715,000 New Haven General Obligation Series 1991, 8.125% due 8/15/96 Baa/BBB 718,739
Dist. of Col. (2.16%)
1,000,000 District of Columbia General Obligation 1986 Series A, 7.60% due 6/1/00,
prerefunded 6/1/97 Aaa*/B 1,048,310
1,000,000 District of Columbia General Obligation 1988 Series A, 7.65% due 12/1/03
(Insured: MBIA) Aaa/AAA 1,095,330
1,505,000 District of Columbia General Obligation Capital Appreciation Refunding,
0% due 6/1/02 (Insured: MBIA) Aaa/AAA 1,100,095
6,230,000 District of Columbia General Obligation 1994 Series A-3, 4.90% due 6/1/00 Ba/B 5,986,033
1,500,000 District of Columbia General Obligation Refunding Series A, 5.30% due 6/1/00 Ba/B 1,462,155
500,000 District of Columbia General Obligation Refunding Series A, 5.50% due 6/1/01 Ba/B 483,875
2,000,000 District of Columbia General Obligation Refunding Series A, 5.50% due 6/1/01
(Insured: FSA) Aaa/AAA 2,040,480
4,000,000 District of Columbia Certificate of Participation Series 1993, 6.875% due 1/1/03 NR/B- 3,982,400
1,000,000 District of Columbia Revenue, 6.00% due 7/15/03
(Children's Hospital Project; Insured: FGIC) Aaa/AAA 1,044,870
1,330,000 District of Columbia Revenue, 6.00% due 8/15/05
(Medlantic Healthcare Project; Insured: MBIA) Aaa/AAA 1,392,683
275,000 District of Columbia Association of American Medical College, 7.20% due 2/15/01 NR/AA- 295,251
Florida (3.33%)
550,000 Brevard County Tourist Development Tax Revenue, 6.325% due 3/1/03
(Florida Marlins Training Facilities) NR/NR 561,473
620,000 Cape Coral Special Assessment, 6.50% due 7/1/98 (Insured: MBIA) Aaa/AAA 643,678
3,000,000 Collier County School Board Certificates of Participation,
5.50% due 2/15/03 (Insured: FSA) Aaa/AAA 3,082,980
6,590,000 Dade County Housing Finance Authority Multifamily Mortgage Revenue
Series 1985-A, 4.60% due 1/1/15, put 1/1/99
(Gulf View Apartments Project; LOC: Sumitomo & Credit Suisse) NR/AAA 6,619,589
9,000,000 Florida Housing Agency MFHR Series RR, 5.50% due 11/1/07, put 11/1/97
(Palm Beach Oxford Project; Insured: Financial Security Assurance) Aaa/AAA 9,057,420
3,000,000 Florida Housing Finance Authority Multifamily Housing Revenue, 5.10% due 4/1/13, put
4/1/02 (Park Colony Project; LOC: Mellon Bank) NR/A+ 2,995,320
2,500,000 Florida Housing Finance Authority Series 1983-I, 4.85% due 12/1/05, put 12/1/99
(Wood Forest Project; LOC: Connecticut General) NR/AA 2,522,675
270,000 Florida Housing Finance Authority Series 1983-I, 4.85% due 12/1/05, put 12/1/99
(Wood Forest Project; LOC: Connecticut General) NR/AA 272,449
1,220,000 Florida Housing Finance Authority Capital Appreciation Residential
Mortgage Revenue, 0% due 7/15/01 (LOC: Citibank) NR/AA 713,688
1,500,000 Florida Housing Finance Agency Revenue, 6.25% due 12/1/06
(Hammocks Place Project) NR/AAA 1,562,295
1,000,000 Lee County Scholl Board Certificate of Participation, 6.20% due 8/1/00 (Insured: FSA) Aaa/AAA 1,044,980
665,000 Martin County Combined Special Assessment Series 1990-A, 8.125% due 3/1/01 NR/NR 730,283
940,000 Palm Beach County Industrial Development Revenue Series 1996, 6.00% due 12/1/06
(Lourdes-Noreen McKeen Residence for Geriatric Care Project; LOC: Allied Irish Bank) NR/A+ 939,943
Georgia (.68%)
2,930,000 Augusta Housing Authority MFHR Series 1992, 5.50% due 4/1/05, put 4/1/97
(Stevens Creek Commons Project; LOC: Federal Home Loan Bank) NR/AAA 2,967,797
3,320,000 DeKalb County Multifamily Housing Revenue Series 1985-G, 5.50% due 7/15/07,
put 7/15/97 (DeKalb Crossing Project; Insured: Continental Casualty) NR/A+ 3,343,804
Hawaii (1.33%)
6,000,000 Hawaii State Refunding Series CB, 5.00% due 1/1/00 Aa/AA 6,073,020
2,000,000 Hawaii Airport System Revenue Refunding, 5.10% due 7/1/99 (Insured: MBIA) Aaa/AAA 2,030,600
1,340,000 Hawaii State Department Budget & Finance Special Purpose Mortgage
Revenue, 6.70% due 7/1/97 (Queens Medical Center Project; Insured: FGIC) Aaa/AAA 1,377,600
1,210,000 Hawaii State Department Budget & Finance Special Purpose Mortgage
Revenue, 7.125% due 7/1/98 (Wahiawa General Hospital Project) NR/BBB- 1,244,582
1,500,000 Hawaii State Department Budget & Finance Special Purpose Mortgage Revenue,
5.70% due 7/1/03 (Kapiolani Health Care System Project) A/A 1,517,250
Idaho (.62%)
667,857 Boise Industrial Development Corporation IDRB Series 1985, 10.816% due 8/29/00
(Associated Dairies Project; Guaranteed: Chemical Bank) A2*/A* 667,857
4,980,000 Idaho Falls Electric Revenue Refunding, 0% due 4/1/00 (Insured: FGIC) Aaa/AAA 4,147,045
925,000 Idaho Student Loan Marketing Association Refunding Revenue Series 1992,
6.40% due 10/1/99 NR/NR 933,769
Illinois (2.04%)
1,455,000 Cook County Community College District 508 COP, 7.70% due 1/1/97 (Insured: FGIC) Aaa/AAA 1,483,285
1,800,000 Cook County Community College District 508 COP, 8.50% due 1/1/02 (Insured: FGIC) Aaa/AAA 2,095,380
1,000,000 Hoffman Estates Tax Increment Revenue, 7.00% due 11/15/97 (Hoffman
Estates Economic Development Project; LOC: Union Bank of Switzerland) Aaa/AAA 1,034,660
2,000,000 Illinois Health Facilities Authority Revenue Series 1992, 7.00% due 7/1/02
(Trinity Medical Center Project) Baa1/NR 2,040,120
1,000,000 Illinois Health Facilities Authority Revenue Series 1993-A, 7.875% due 8/15/05
(Community Provider Pooled Loan Program Project) NR/NR 1,024,330
1,000,000 Illinois Educational Facilities Authority Revenue, 5.625% due 10/1/26,
put 10/1/96 (Museum of Science and Industry Project; LOC: Sanwa Bank) Aa3/NR 1,005,190
5,415,000 Lombard Multifamily Housing Refunding Revenue, 6.50% due 12/15/06,
mandatory tender 12/15/96 (Clover Creek Apartments Project; Surety Bond: Continental Casualty) NR/A+ 5,480,684
3,000,000 Southern Illinois University Revenue Refunding Series 86-A, 7.125% due 4/1/03 A/A 3,037,620
1,575,000 Winnebago & Boone Counties School District # 205 G.O.,
7.00% due 2/1/98 (Insured: FSA) NR/AAA 1,646,757
Indiana (1.60%)
1,195,000 Columbus School Building Corporation, 5.50% due 1/15/01 (Insured: MBIA) Aaa/AAA 1,232,714
1,255,000 Columbus School Building Corporation, 5.50% due 1/15/02 (Insured: MBIA) Aaa/AAA 1,293,001
895,000 Gary Indiana Judgement Funding General Obligation, 6.60% due 6/15/99 NR/NR 922,799
570,000 Gary Indiana Judgement Funding General Obligation, 6.60% due 12/15/99 NR/NR 590,058
2,000,000 Indiana Bond Bank Series B, 7.25% due 2/1/01 (Special Loan Program) A/A 2,128,940
1,120,000 Indiana Bond Bank Special Program Series 1992-B, 5.60% due 8/1/99 NR/A 1,148,314
1,000,000 Indiana Bond Bank State Revolving Fund Guaranty Revenue Series 1993-A,
5.30% due 2/1/99 NR/A 1,015,650
2,640,000 Indiana Bond Bank State Revolving Fund Guaranty Revenue Series 1993-A,
5.50% due 2/1/00 NR/A 2,697,552
1,500,000 Indiana Health Facilities Revenue, 5.55% due 7/1/01
(Marion General Hospital Project; Insured: MBIA) Aaa/AAA 1,544,850
500,000 Indianapolis Economic Development Revenue, 8.625% due 12/1/07, put 12/1/97
(Suncrest Project; FNMA Collateralized) NR/AAA 528,700
1,645,000 Logansport Multi-Purpose School Building Corporation First Mortgage
Refunding Series 1992, 5.50% due 7/1/01 NR/A 1,686,158
Iowa (1.53%)
500,000 Davenport Hospital Revenue Series A, 6.90% due 7/1/99 (St. Luke's
Hospital Project; Insured: AMBAC) Aaa/AAA 531,070
1,225,000 Des Moines Hospital Revenue Refunding Series 1996-A, 6.25% due 11/15/04
(Des Moines General Hospital Project; LOC: Norwest) Aa2/NR 1,294,359
500,000 Iowa Higher Educational Loan Facilities Authority, 5.50% due 8/1/02 (Insured: MBIA) Aaa/AAA 500,165
1,500,000 Iowa Certificate of Participation, 6.10% due 7/1/01 (Insured: AMBAC) Aaa/AAA 1,577,040
2,000,000 Iowa Student Loan Liquidity Corporation Student Loan Revenue 1991
Series C, 6.80% due 12/1/02 Aaa/AAA 2,125,760
750,000 Iowa Student Loan Liquidity Corporation Student Loan Revenue
Series A, 6.35% due 3/1/01 Aa1/NR 785,317
2,600,000 Marion Commercial Development Revenue Refunding Series 1991-A, 7.25% due 1/1/14,
put 7/1/02 (Collins Road Project; Insured: Trygg-Hansa) NR/A+ 2,762,032
4,445,000 Muscatine Electric Revenue Refunding Series 1992,
5.40% due 1/1/00 (Insured: AMBAC) Aaa/AAA 4,554,658
Kansas (.80%)
1,000,000 Kansas City Industrial Revenue Series 12/1/84, 7.20% due 12/1/04
(Ash Grove Cement Project) Aa2/NR 1,023,750
2,000,000 Lenexa Industrial Revenue Series 8/1/83, 9.50% due 8/1/98 (J.C. Nichols Co. Project) NR/NR 2,170,180
15,000 Olathe Single Family Mortgage Revenue Series A, 9.375% due 11/1/00 NR/A 15,338
4,025,000 Topeka Multifamily Housing Revenue Refunding Series 1991-A, 7.25%
due 4/1/21, put 4/1/02 (Fleming Court Project; Insured: Trygg-Hansa) NR/A+ 4,209,587
Kentucky (.89%)
630,000 Danville Multi-Lease Revenue Series E, 5.40% due 11/1/96 Baa1/NR 632,470
4,500,000 Jefferson County Insured Hospital Revenue Series 1992, 7.881% (inverse floater)
due 10/1/02 (Alliant Health Systems; Insured: MBIA) Aaa/AAA 4,882,500
2,590,000 Paintsville First Mortgage Revenue Series 1991 (Paul B. Hall Medical
Center Project), 8.50% due 9/1/03 (Guaranteed: Health Management Associates) NR/NR 2,722,479
Louisiana (4.28%)
290,000 East Baton Rouge Sewage Commission Sewer Revenue, 8.05% due 9/1/96 Baa/BBB 292,071
2,020,000 East Baton Rouge Parish Public Improv. Sales Tax Series 1993-A, 8.00%
due 2/1/00 (Insured: FGIC) Aaa/AAA 2,234,302
2,165,000 East Baton Rouge Parish Public Improv. Sales Tax Series 1993-A, 8.00%
due 2/1/01 (Insured: FGIC) Aaa/AAA 2,440,669
1,100,000 Louisiana Public Facilities Authority Hospital Revenue & Refunding, 0.927%
(inverse floater) due 7/1/97 (St. Francis Medical Center Project; Insured: FSA) Aaa/AAA 1,074,810
1,000,000 Louisiana Public Facilities Authority Hospital Revenue & Refunding, 1.427%
(inverse floater) due 7/1/98 (St. Francis Medical Center Project; Insured: FSA) Aaa/AAA 950,760
1,200,000 Louisiana Public Facilities Authority Hospital Revenue & Refunding, 1.727%
(inverse floater) due 7/1/99 (St. Francis Medical Center Project; Insured: FSA) Aaa/AAA 1,104,912
1,100,000 Louisiana Public Facilities Authority Hospital Revenue & Refunding, 1.977%
(inverse floater) due 7/1/00 (St. Francis Medical Center Project; Insured: FSA) Aaa/AAA 980,232
1,300,000 Louisiana Public Facilities Authority Hospital Revenue & Refunding, 2.177%
(inverse floater) due 7/1/01 (St. Francis Medical Center Project; Insured: FSA) Aaa/AAA 1,123,109
3,000,000 Louisiana PFA MFHR Series 1991, 6.00% due 7/1/07, put 7/1/97
(Riverview Villas Project; Guaranteed: Connecticut General Life) NR/AA 3,004,950
3,000,000 Louisiana PFA Student Loan Revenue Series A-1, 5.90% due 3/1/99 Aaa/NR 3,085,470
2,250,000 Louisiana PFA Student Loan Revenue Series A-1, 6.10% due 3/1/00 Aaa/NR 2,325,870
1,850,000 Louisiana PFA Local Government G.O. Refunding Series A, 4.85% due 3/1/99
(Insured: FSA) Aaa/AAA 1,861,859
1,500,000 Louisiana General Obligation Refunding Series 1987-B, 8.00% due 5/1/00,
pre-refunded 5/1/97 (Insured: Capital Guaranty) NR/AAA 1,582,590
500,000 Louisiana Recovery District Sales Tax Series 1988, 7.625% due 7/1/96 A/A- 500,140
2,450,000 Louisiana Recovery District Sales Tax Refunding Series 1992, 5.70% due 7/1/98 A/A- 2,507,257
5,000,000 Louisiana Recovery District Sales Tax Refunding Series 1992,
5.50% due 7/1/98 (Insured: MBIA) Aaa/AAA 5,101,700
500,000 Louisiana State University Agricultural & Mechanical College Board,
7.70% due 4/15/02, Escrowed to Maturity NR/AAA* 567,430
1,120,000 Orleans Levee District Refunding Improvement Series A, 7.50% due 11/1/98 NR/BBB+ 1,127,403
6,760,000 Orleans Levee District Public Improvement Trust Receipts Series 1995-A, 5.95%
due 11/1/01 (Insured: FSA) Aaa/NR 7,131,732
460,000 Ouachita Parish Hospital Revenue District # 1 Series 1991, 7.25% due 7/1/01 NR/A- 496,220
Maine (.17%)
500,000 Regional Waste Systems Incorporated Series A-C, 7.30% due 7/1/98 NR/AA 526,545
1,000,000 Topsham Revenue, 7.20% due 9/1/05, put 9/1/96
(Guaranteed: Continental Insurance Co.) NR/AA+ 1,005,770
Maryland (.36%)
2,000,000 Howard County Maryland Multifamily Housing Revenue, 7.00% due 7/1/24,
put 7/1/04, (Chase Glen Prject; Guaranty: Avalon Prop.) NR/NR 2,129,620
1,105,000 Washington Suburban Sanitary District Series 1994, 8.75% due 6/1/99 Aa1/AA 1,232,627
Massachusetts (5.37%)
1,000,000 Boston General Obligation Series A, 7.25% due 7/1/99 A/A+ 1,068,530
1,600,000 Boston General Obligation Series A, 7.60% due 2/1/04, prerefunded 2/1/99 Aaa+/A+ 1,752,608
1,000,000 Boston FHA Insured City Hospital Revenue Series A, 7.15% due 2/15/01, pre-refunded 8/15/00
(Boston City Hospital Project) Aaa/NR 1,109,440
90,000 Haverhill General Obligation Municipal Purpose Loan Series 1991, 7.50% due 10/15/11 Baa/BBB 98,860
765,000 Holyoke General Obligation, 9.85%, due 11/1/08, refunded 11/1/97 @ 102 Aaa/NR 832,986
595,000 Holyoke General Obligation Electric Revenue Series 1991-A, 8.00% due 6/1/01 Baa/NR 636,959
500,000 Holyoke General Obligation Sewer Revenue Series B, 8.00% due 6/1/01 Baa/NR 530,925
1,670,000 Holyoke General Obligation School Project Loan Act of 1948, 7.35% due 8/1/02 Baa/NR 1,836,115
1,060,000 Lynn General Obligation, 7.00% due 1/15/04 Baa1/NR 1,131,486
685,000 Massachusetts Educational Loan Revenue Series 1985-C, 7.875% due 6/1/03
(LOC: Rabobank Nederland) NR/AAA 720,757
2,000,000 Massachusetts General Obligation Consolidated Loan of 1991 Series B, 0% due 6/1/01 A1/A+ 1,581,060
2,000,000 Massachusetts General Obligation Consolidated Series 1987-A, 5.75% due 3/1/99 A1/A+ 2,054,980
2,315,000 Massachusetts Dedicated Income Tax Series A General Obligation, 7.875% due 6/1/97 A1/A+ 2,401,164
3,000,000 Massachusetts Hynes Convention Center Authority Refunding Series 1992, 0% due 9/1/00 A1/A+ 2,475,120
2,500,000 Massachusetts Hynes Convention Center Authority Refunding Series 1992, 0% due 9/1/02 A1/A+ 1,836,250
690,000 Massachusetts State Health & Education Facilities Authority Series B, 6.50% due 7/1/97
(Charlton Hospital Project) A/A 705,111
1,465,000 Massachusetts State Health & Education Facilities Authority Series B, 6.70% due 7/1/98
(Charlton Hospital Project) A/A 1,519,674
1,245,000 Massachusetts State Health & Education Facilities Authority Series B, 6.875% due 7/1/99
(Charlton Hospital Project) A/A 1,303,440
2,665,000 Massachusetts State Health & Education Facilities Authority Series B, 5.50% due 5/15/11, put
5/15/01 (Community Health Capital Fund Project; LOC: First National Bank of Boston) NR/NR 2,661,429
2,500,000 Massachusetts IFA Recovery Refunding Revenue Series 1993-A, 5.45% due 7/1/01
(Insured: FSA) Aaa/AAA 2,557,050
1,920,000 Massachusetts IFA Stetson Place Development Trust Series A, 5.125% due 6/1/08,
put 6/1/98 (LOC: State Street Bank & Trust) Aa2/NR 1,935,475
2,345,000 New Bedford Industrial Revenue, 7.42% due 7/1/02 (Aerovox Corporation Project) NR/A- 2,405,407
2,000,000 New England Educational Loan Marketing Corporation Student Loan Revenue
Series 1993-E, 5.00% due 7/1/99 A1/A- 2,010,520
1,000,000 New England Educational Loan Marketing Corporation Student Loan Revenue
Series 1992-F, 6.50% due 9/1/02 Aa/NR 1,066,740
3,000,000 New England Educational Loan Marketing Corporation Student Loan Revenue
Series 1993-B, 5.40% due 6/1/00 A1/A- 3,060,360
2,500,000 New England Educational Loan Marketing Corporation Student Loan Revenue
Series 1993-G, 5.00% due 8/1/00 AA1/A- 2,487,125
425,000 South Essex Sewer District General Obligation, 9.00% due 12/1/96 Baa1/NR 434,231
425,000 South Essex Sewer District General Obligation, 9.00% due 12/1/97 Baa1/NR 454,189
425,000 South Essex Sewer District General Obligation, 9.00% due 12/1/98 Baa1/NR 468,656
295,000 South Essex Sewer District General Obligation, 9.00% due 12/1/99 Baa1/NR 334,182
550,000 Springfield General Obligation, 7.75% due 5/1/99 Baa/NR 588,979
250,000 Springfield General Obligation, 7.75% due 5/1/00 Baa/NR 270,850
300,000 Springfield General Obligation, 7.75% due 5/1/01 Baa/NR 326,886
300,000 Springfield General Obligation, 7.80% due 5/1/02 Baa/NR 329,805
2,000,000 University of Massachusetts Bldg. Authority Ref. Revenue Series 1991-A, 6.80% due 5/1/99 A1/A+ 2,118,740
1,000,000 University of Massachusetts Bldg. Authority Ref. Revenue Series 1991-A, 7.15% due 5/1/03 A1/A+ 1,123,190
1,250,000 Worcester Municipal Purpose Loan of 1991 General Obligation,
6.80% due 5/15/01 (Insured: MBIA) Aaa/AAA 1,359,812
Michigan (2.17%)
1,300,000 Detroit General Obligation Series 1990-A, 8.50% due 4/1/00 Ba1/BBB 1,430,845
1,500,000 Detroit Distributable State Aid General Obligation Unlimited Series 1992,
5.625% due 5/1/97 Baa/BBB+ 1,524,255
3,000,000 Detroit Economic Development Corp. Refunding, 7.00% due 6/1/12, put 6/1/02
(F.H. Associates Project; Surety: ITT Lyndon Property Insurance) NR/NR 3,148,290
24,357 Fenton Lease Purchase Agreement, 8.00% due 8/1/96 NR/NR 24,403
1,200,000 Flint Tax Increment Finance Authority Limited Tax General Obligation Series 1985,
9.30% due 6/1/97, Escrowed to Maturity Baa/AAA* 1,258,752
1,490,000 Michigan State Hospital Finance Authority Revenue Series 1991-A, 8.30% due 9/1/02 Ba/BBB- 1,543,357
6,570,000 Michigan State Housing Development Authority Rental Housing Rev. Series 1992-A,
5.40% due 4/1/98 (Detroit Edison Project) NR/A+ 6,636,291
2,000,000 Wayne County Building Authority Limited Tax General Obligation Sinking Fund
Series 1992-A, 7.80% due 3/1/05, prerefunded 3/1/02 @ 102 Baa/AAA* 2,190,080
2,000,000 Wayne County Wastewater Control System Limited Tax General Obligation
Refunding, 7.875% due 5/1/02 Baa/BBB- 2,304,820
Minnesota (2.46%)
4,820,000 Burnsville MFHR Series 1991, 7.20% due 5/1/11, put 5/1/02
(The Atrium Project; Insured: Trygg-Hansa) NR/A+ 5,018,536
1,100,000 Coon Rapids Industrial Development Ref. Rev., 6.75% due 12/1/01 (LOC: Norwest Bank) Aa3/AA 1,113,717
2,000,000 Hennepin County G.O. Solid Waste Revenue Refunding Series 1992,
4.65% due 10/1/97 Aaa/AAA 2,020,100
1,500,000 Metropolitan Council Minneapolis - St. Paul Area Sports Facilities Revenue,
5.30% due 10/1/00 (Hubert H. Humphrey Metrodome Project) A/A 1,523,265
3,300,000 Minneapolis-Saint Paul Housing & Redevelopment Authority Series 1993,
5.00% due 12/1/04, put 12/1/98 (Corporate Partner Project; LOC: Continental Insurance) NR/A+ 3,265,086
5,000,000 Minneapolis-Saint Paul Housing & Redevelopment Authority Single Family Mortgage Revenue
Series 96-B, 5.125% due 6/1/32, put 6/1/00 (GNMA/FNMA) Aaa/NR 4,999,400
640,000 Minneapolis MFHR Refunding Series 1991, 6.75% due 10/1/01
(Churchill Apartments Project; FHA Insurance Mortgage) NR/AAA 677,824
1,250,000 Minneapolis School District Certificate of Participation, 5.30% due 2/1/00 Baa1/A 1,250,737
1,795,000 Minneapolis-Saint Paul Single Family Housing Revenue Series A, 8.25% due 11/1/07 NR/AAA 1,895,071
945,000 Saint Cloud Industrial Development Revenue Refunding Series 1992, 6.25%
due 4/1/98 (Alton Realty Co. & Pan-O-Gold Baking Co. Project;
LOC: Norwest Bank of Minnesota) NR/AA- 956,992
Mississippi (.56%)
2,000,000 Mississippi Higher Education Assistance Corporation Student Loan Revenue
Series 1992-B, 6.00% due 1/1/00 NR/A 2,053,280
1,100,000 Mississippi Hospital Equipment & Facilities Authority Revenue, 8.60%
due 1/1/01 (Rush Medical Foundation Project) Baa/NR 1,194,501
1,910,000 Ridgeland Multifamily Housing Rev. Series 1985, 6.50% due 10/1/07, put 10/1/97
(Sunchase Apartments Project) NR/AAA 1,921,804
Missouri (1.51%)
4,000,000 Missouri Higher Education Loan Authority Student Loan Revenue Refunding,
5.50% due 2/15/00 Aa/NR 4,046,880
3,000,000 Missouri Economic Development Export & Infrastructure Board Industrial
Revenue Series 1993, 5.375% due 5/1/03, mandatory put 5/1/00
(Mark Twain Tower Project; Lincoln National Insurance Guaranty) NR/A 3,013,710
760,000 Missouri State Housing Development Authority Revenue, 6.30% due 7/15/99 Aa/AA+ 772,874
1,055,000 Missouri Health & Education Facilities Authority Revenue, 0% due 1/1/02
(Missouri Baptist Medical Center Project) Escrowed to Maturity Aaa*/A- 767,090
255,000 Missouri State Environmental Improvement & Energy Resources Authority Water
Pollution Control Revenue Series 1991-A, 6.50% due 12/1/02
(State Revolving Revenue Project) A1/NR 273,472
325,000 Missouri State Environmental Improvement & Energy Resources Authority Water
Pollution Control Revenue Series 1991-A, 6.60% due 12/1/03
(State Revolving Revenue Project) AA/NR 349,892
935,000 St. Louis County Industrial Development Authority Housing Revenue
Series 1992-A, 6.00% due 6/1/98 A/NR 959,684
3,860,000 St. Louis IDA Refunding Revenue Series 1993-B, 5.10% due 12/1/08,
put 12/1/00, (Westport Residence Project; Guaranteed: Lincoln National Corporation) NR/A 3,802,872
Montana (.17%)
1,000,000 Billings Tax Increment Urban Renewal Series 1987-A,
8.65% due 3/1/99, refunded 3/1/98 Aaa/NR 1,073,630
435,000 Montana Higher Education Student Loan Revenue Series 1992-A, 6.70% due 12/1/01 A/NR 458,969
Nebraska (.77%)
2,985,000 Nebraska Industrial Finance Authority Tax Exempt Multifamily Housing Revenue Refunding
Series 1995-A, 5.50% due 12/1/25, put 12/1/05 (Willow Park Apartments Project;
FNMA Collateral) NR/AAA 2,967,538
2,500,000 Nebraska Public Power District Series 1993, 5.10% due 1/1/00 A1/A+ 2,534,400
1,500,000 Nebraska Investment Finance Authority Hospital Equipment Revenue, 6.85% due 3/1/02
(Insured: MBIA) Aaa/AAA 1,637,205
Nevada (.52%)
760,000 Las Vegas Downtown Redevelopment Project Revenue, 7.65% due 6/1/97 Baa/A- 777,921
780,000 Las Vegas Valley Water District, 6.60% due 8/1/98 (Insured: AMBAC) Aaa/AAA 814,367
1,085,000 Washoe County Airport Authority Revenue Refunding, 5.30% due 7/1/00 (Insured: MBIA) Aaa/AAA 1,103,380
1,325,000 Washoe County Airport Authority Revenue Refunding, 5.45% due 7/1/01 (Insured: MBIA) Aaa/AAA 1,355,237
700,000 Washoe County Airport Authority Revenue Refunding, 5.60% due 7/1/02 (Insured: MBIA) Aaa/AAA 720,468
New Hampshire (.34%)
40,000 New Hampshire Higher Educational & Health Facilities Authority Student
Loan Revenue 1983 Series A, 10.00% due 9/1/97 (New Hampshire Higher
Educational Assistance Foundation; Insured: AMBAC) Aaa/AAA 42,348
990,000 New Hampshire Industrial Development Authority Revenue Series 1995,
7.70% due 7/1/00 (Electra/ PJ-Allied Project) A2/NR 989,653
2,030,000 New Hampshire Industrial Development Authority Revenue, 6.40% due 12/1/09,
put 12/1/99 (Central Vermont Public Service Project; LOC: Toronto Dominion Bank) NR/AA 2,141,203
New Jersey (.56%)
2,400,000 New Jersey Economic Development Authority Series 1991, 6.875% due 10/1/14,
optional put 10/1/98 (Fairway Corporation II Project; Guaranty: Provident Mutual Life) A2/NR 2,413,224
1,000,000 New Jersey Health Care Facilities Financing Authority Revenue, 7.00% due 7/1/03
(Christ Hospital Project; Insured: Connie Lee) NR/AAA 1,101,510
1,000,000 New Jersey Turnpike Authority Revenue Series A, 5.70% due 1/1/01 Baa1/BBB+ 1,025,910
618,367 New Jersey Wastewater Treatment Trust - Wastewater Treatment Insured Loan
Revenue Series 1987, Amortizing Coupon M-COATES, 9.00% due 9/1/97 Aaa*/AAA* 657,603
New Mexico (.83%)
250,000 Espanola Sinking Fund Sales Tax Revenue, 7.70% due 7/1/96 (Escrowed to Maturity) Aaa*/AAA* 250,160
5,390,000 Jicarilla Apache Tribe Tribal Revenue Refunding, 7.75% due 7/1/05 NR/A 5,526,690
239,000 Santa Fe County Office and Training Facilities Series 1990, 9.00% due 7/1/97 (ETM) NR/AAA 251,368
261,000 Santa Fe County Office and Training Facilities Series 1990, 9.00% due 7/1/98 (ETM) NR/AAA 284,939
273,000 Santa Fe County Office and Training Facilities Series 1990, 9.00% due 1/1/99 (ETM) NR/AAA 302,378
285,000 Santa Fe County Office and Training Facilities Series 1990, 9.00% due 7/1/99 (ETM) NR/AAA 320,622
298,000 Santa Fe County Office and Training Facilities Series 1990, 9.00% due 1/1/00 (ETM) NR/AAA 339,413
326,000 Santa Fe County Office and Training Facilities Series 1990, 9.00% due 1/1/01 (ETM) NR/AAA 381,922
New York (4.16%)
1,785,000 Islip Resource Recovery Agency Series 85 D, 5.95% due 7/1/03 (Insured: AMBAC) Aaa/AAA 1,890,708
630,000 Jamestown General Obligation Series A, 7.00% due 3/15/97 Baa/NR 643,387
3,000,000 Metropolitan Transit Authority Series M, 5.10% due 7/1/98 Baa/BBB+ 3,032,460
1,240,000 New York City General Obligation Series E, 7.20% due 2/1/00 Baa1/BBB+ 1,319,806
2,760,000 New York City General Obligation Series D, 6.30% due 2/1/01 Baa1/BBB+ 2,849,479
2,695,000 New York City General Obligation Series E, 6.30% due 8/1/01 Baa1/BBB+ 2,790,646
2,175,000 New York City Municipal Water Finance Authority Water & Sewer System Revenue,
7.10% due 6/15/97 A/A- 2,239,619
1,000,000 New York City Municipal Water Finance Authority Water & Sewer System Revenue,
7.15% due 6/15/98 A/A- 1,050,870
3,000,000 New York Dorm Authority Revenue State University Educational Facilities, 5.25%
due 7/1/02 (Insured: AMBAC) Aaa/AAA 3,061,890
1,000,000 New York Dorm Authority Revenue State University Educational Facilities Series A,
7.00% due 5/15/04 Baa1/BBB+ 1,092,120
7,110,000 New York State Dormitory Authority Series 1994-B, 6.00% due 7/1/24, put 12/5/99
(Miriam Osborn Memorial Home Project; LOC: Banque Paribas) A1/A 7,432,225
230,000 New York State Health Facilities Revenue Refunding Series 1990-A,
7.90% due 11/1/99 Baa/BBB+ 233,321
1,555,000 New York State Health Facilities Revenue Refunding Series 1990-A,
7.90% due 11/1/99 Baa/BBB+ 1,684,096
1,500,000 Local Government Assistance Corporation Revenue Series D, 6.50% due 4/1/02 A/A 1,613,565
1,500,000 New York State Medical Care Facilities Finance Agency 1991 Series A,
7.25% due 2/15/01 Baa1/BBB+ 1,606,965
2,500,000 New York State Urban Development Corporation,
7.60% due 4/1/03, prerefunded 4/1/01 AAA/BBB 2,842,050
2,500,000 Syracuse Industrial Development Authority Pilot Revenue Refunding Series 1995,
5.125% due 10/15/02 (LOC: ABN AMRO Bank) NR/AA 2,458,925
570,000 Westchester County I.D.A. Civic Facility Revenue,
6.25% due 4/1/05 (Julia Dykman Project) NR/BBB 570,844
North Carolina (.38%)
2,860,000 Carteret County Certificate of Participation Series 1992, 6.50% due 2/1/00
(Elementary School Project) aa1/BBB+ 2,960,357
545,000 North Carolina Housing Finance Authority Single Family Housing Revenue, 6.80%
due 7/1/08 (Insured: FHA/VA) Aa1/AA+ 549,006
North Dakota (.25%)
1,000,000 North Dakota Building Authority Refunding Revenue Series 1993-A, 5.15% due 6/1/00
(Insured: AMBAC) Aaa/AAA 1,013,420
1,250,000 North Dakota Student Loan Revenue, 5.45% due 7/1/02 (Insured: AMBAC) Aaa/AAA 1,250,375
Ohio (3.82%)
1,000,000 Barberton Hospital Facilities Series 1992, 6.65% due 1/1/02 A/NR 1,054,010
2,000,000 Belmont County IDRB Series 1991, 6.50% due 1/1/00 (May Department Stores Co. Project) NR/A 2,088,260
400,000 Cambridge Hospital Revenue Refunding Series 1991, 7.25% due 12/1/97 NR/BBB 414,104
3,000,000 Cincinnati School District Tax Anticipation Notes, 5.40% due 12/1/96 NR/A- 3,020,010
1,500,000 Cincinnati School District Revenue Anticipation Notes, 5.75% due 6/15/98 NR/A- 1,536,255
1,000,000 Cincinnati School District Revenue Anticipation Notes, 6.15% due 6/15/02 NR/A- 1,051,810
1,250,000 Cincinnati School District Revenue Anticipation Notes, 6.05% due 6/15/00 NR/A- 1,300,738
2,250,000 Clermont County Hospital Facilities Revenue Refunding Series 1993-B, 4.70% due 9/1/99
(Mercy Health System Project; Insured: MBIA) Aaa/AAA 2,256,435
2,000,000 Cleveland Certificate of Participation, 7.10% due 7/1/02
(Motor Vehicle & Community Equipment Project) Baa/BBB 2,093,220
5,000,000 Cleveland School District Revenue Anticipation Notes Series 1993, 4.70% due 6/1/99
(Insured: AMBAC) Aaa/AAA 5,006,300
3,000,000 Cuyahoga County Housing Revenue Series 1993, 7.00% due 4/1/00
(North Coast Community Homes Project) NR/NR 3,074,820
1,000,000 Erie County Hospital Improvement Refunding Revenue Series 1992, 6.25%
due 1/1/01 (Firelands Community Hospital Project) A/A- 1,034,820
2,000,000 Franklin County General Obligation, 6.375% due 12/1/17, pre-refunded 12/1/01 @102 Aaa/AAA 2,178,720
1,100,000 Hamilton County Hospital Facilities Refunding Revenue Series 1992,
6.25% due 1/1/01 (Episcopal Retirement Homes, Inc. Project; LOC: Fifth/Third Bank) Aa2/NR 1,154,879
510,000 Lorain County First Mortgage Revenue Series 1992-B, 6.375% due 2/1/07,
put 2/1/97 (Kendal at Oberlin Project; LOC: Bank of Ireland) A1/A- 516,054
3,095,000 Ohio Water Development Authority Safe Water Refunding Series 1992,
0% due 12/1/00 (Insured: MBIA) Aaa/AAA 2,516,637
1,060,000 Switzerland Local School District of Monroe County Revenue Anticipation Notes
Series 1995, 6.25% due 6/15/00 NR/NR 1,066,233
2,765,000 Warren County Hospital Facilities Improvement and Refunding Revenue,
6.80% due 7/1/01 (Otterbein Home Project; LOC: Fifth/Third Bank) Aa2/NR 2,949,094
910,000 Washington County Hospital Facilities Revenue, 6.875% due 9/1/02
(Marietta Area Health Project) Baa1/NR 947,629
Oklahoma (.76%)
1,190,000 Broken Arrow Utility System & Sales Tax Revenue Refunding Series 1992-A, 6.00%
due 5/1/01 (Insured: FGIC) Aaa/AAA 1,253,058
230,000 Comanche County SFMR Refunding 1990 Series, 7.60% due 12/1/98 A1/NR 240,707
240,000 Comanche County SFMR Refunding 1990 Series, 7.65% due 6/1/99 A1/NR 251,839
1,060,000 Oklahoma City Municipal Improvement Authority Water & Sewer Revenue Series
Refunding A, 0% due 7/1/00 (Insured: AMBAC) Aaa/AAA 877,839
1,220,000 Pushmatahah County Town of Antlers Hospital Authority Revenue Refunding
Series 1991, 8.75% due 6/1/03 NR/NR 1,320,906
1,155,000 Tulsa Industrial Development Hospital Revenue, 5.60% due 2/15/03
(St. Johns Medical Center Project) Aa/AA 1,167,647
1,940,000 Tulsa PFA Solid Waste Steam & Electric Revenue Refunding Series 1994, 4.90%
due 11/1/99 (Ogden Martin Systems of Tulsa Inc. Project; Insured: AMBAC) Aaa/AAA 1,937,866
Oregon (.54%)
2,500,000 Clackamas County Hospital Facilities Revenue, 6.10% due 10/1/01 A1/AA- 2,625,550
2,000,000 Oregon State Department of Transportation Regional Light Rail Extension,
5.20% due 6/1/98 (Westside Light Rail Project; Insured: MBIA) Aaa/AAA 2,036,920
300,000 Springfield General Obligation, 6.70% due 10/1/00 A/A 302,130
Pennsylvania (4.99%)
1,900,000 Allentown Area Hospital Authority Revenue Series 1991, 7.75% due 7/1/98
(Sacred Heart Hospital Project) NR/BBB 2,008,699
1,250,000 Armstrong County Hospital Authority Series 1992-A, 5.25% due 11/1/12,
put 11/1/97 (LOC: Pittsburgh National Bank) A1/NR 1,270,150
1,000,000 Chester County Utility, 7.00% pre-refunded 8/1/01 Aa/AAA* 1,099,220
550,000 Clairton School District General Obligation, 0% due 11/1/99 NR/A 463,150
500,000 Clairton School District General Obligation, 0% due 11/1/02 NR/A 349,875
3,060,000 Delaware County Health Facilities Authority Revenue Series 1993-B, 5.375%
due 11/15/99 (Mercy Health Corporation of S.E. Pennsylvania Project) NR/BBB 3,029,614
2,500,000 Delaware County Industrial Development Authority Refunding Revenue Series A,
7.40% due 12/1/98 (Resource Recovery Project; LOC: Bank of America) Aa3/AA- 2,609,925
2,030,000 Erie School District General Obligation, 0% due 6/1/00, Escrowed to Maturity Aaa*/A 1,694,238
1,000,000 Erie School District General Obligation, 0% due 12/1/00, Escrowed to Maturity Aaa*/A 815,590
3,365,000 Harrisburg Authority Commonwealth Lease Revenue Series 1991,
6.25% due 6/1/00 (Insured: FSA) Aaa/AAA 3,515,752
1,300,000 Harrisburg Authority Lease Revenue, 6.50% due 6/1/04 (Insured: FSA)
crossover refunded 6/1/01 Aaa/AAA 1,385,540
1,455,000 McKeesport Area School District General Obligation Refunding Revenue Series 1991,
0% due 10/1/00 NR/A 1,176,120
1,680,000 McKeesport Area School District General Obligation Refunding Revenue Series 1991,
0% due 10/1/02 NR/A 1,199,218
2,000,000 Pennsylvania State Refunding & Projects General Obligation Series A, 6.50% due 1/1/00 A1/AA- 2,119,160
4,270,000 Pennsylvania State Certificate of Participation, 4.60% due 6/1/97 A/A- 4,294,339
4,085,000 Pennsylvania State Certificate of Participation, 4.60% due 12/1/97 A/A- 4,115,106
875,000 Pennsylvania Higher Education Facilities Authority Revenue, 8.05% due 3/1/97 Baa/BBB 899,833
1,770,000 Philadelphia Gas Works Revenue 14th Series, 5.60% due 7/1/99 Baa1/BBB 1,798,320
1,565,000 Philadelphia Water & Sewer Revenue 12th Series, 7.60% due 7/1/98 refunded 7/1/96 Aaa/AAA 1,596,801
2,850,000 Philadelphia Water & Wastewater Revenue Series 1993, 4.875% due 6/15/01
(Insured: FSA) Aaa/AAA 2,856,783
2,245,000 Philadelphia Hospital & Higher Education Facilities Authority Hospital Revenue
Series 1991, 7.00% due 7/1/01 (Graduate Health System Project) Baa1/BBB+ 2,368,610
3,000,000 Southeastern Pennsylvania Transportation Authority Series 1994, 6.00% due 6/1/99
(LOC: Canadian Imperial Bank of Commerce) Aa3/AA- 3,113,610
2,825,000 State Public School District Building Authority, Reading School District Capital Appreciation
Series B, 0% due 7/15/00 (Insured: MBIA) Aaa/AAA 2,344,496
Puerto Rico (.14%)
250,000 Puerto Rico Public Improvement General Obligation, 6.60% due 7/1/04 Baa/A- 277,588
1,000,000 Puerto Rico Electric Power Revenue Refunding Series 1992-Q, 5.70% due 7/1/00 Baa1/A- 1,030,620
Rhode Island (.45%)
2,000,000 Rhode Island Depositor's Economic Protection Corp. Series 1992-A, 6.10% due 8/1/02
(Insured: FSA) Aaa/AAA 2,124,980
825,000 Rhode Island Health & Educational Building Corporation Health Facilities
Revenue, 8.00% due 7/1/00 (Steere House Issue Project) NR/NR 868,643
1,169,000 Rhode Island Industrial Facilities Corporation Series 1991, 5.875% due 6/1/02
(Paramount Cards, Inc.; LOC: Daichi Kangyo Bank) A1/NR 1,175,780
South Carolina (.33%)
500,000 Florence County Public Facilities Corporation, 7.30% due 3/1/03, prerefunded 3/1/00
(Law Enforcement Project; Insured: AMBAC) Aaa/AAA 548,215
2,000,000 Piedmont Municipal Power Agency Series 1992,
5.20% due 1/1/98 (Electric Revenue Project) A/BBB 2,021,060
500,000 South Carolina State Housing Authority Multifamily Revenue, 7.375% due 12/1/07 NR/NR 445,000
South Dakota (.40%)
760,000 South Dakota Housing Development Authority Home Ownership Mortgage
Series 1993-A, 4.75% due 5/1/99 Aa/AA 761,657
1,400,000 South Dakota Health & Education Facilities Authority Revenue Series 1992,
5.40% due 9/1/01 (Rapid City Regional Hospital Project; Insured: MBIA) Aaa/AAA 1,429,624
1,250,000 South Dakota Lease Revenue Series 93B, 8.00% due 9/1/03 (LOC: FSA) Aaa/AAA 1,458,863
Tennessee (1.61%)
5,000,000 Chattanooga-Hamilton County Hospital Revenue, 9.976% due 5/25/21, refunded
5/1/01 @ 102 (Erlanger Medical Center Project; Insured: FSA) Aaa/AAA 5,962,500
1,565,000 Clarksville Natural Gas Corporation Series 1994-A, 7.00% due 5/1/02
(Guaranty: Louis Dreyfus Natural Gas) NR/BBB- 1,588,710
1,130,000 Clarksville Natural Gas Corporation Series 1994-A, 7.00% due 11/1/02
(Guaranty: Louis Dreyfus Natural Gas) NR/BBB- 1,147,662
4,000,000 Clarksville Public Building Authority Pooled Loan Refunding,
(GIC: Assured Return) 4.75% due 12/1/00 NR/AA- 3,974,680
1,120,000 Copperhill Industrial Development Board, 7.80% due 12/1/00
(City Services Company Project) Baa3/BBB 1,127,448
1,000,000 Southeast Tax Exempt Mortgage Bond Trust Tender Option Certificates Series 1990,
7.25% due 4/1/17, put 4/1/03 NR/AAA 1,097,550
Texas (7.36%)
13,840,000 Bell County Health Facilities Development Corporation Series 1993-A, 4.75% due 10/1/23,
put 10/1/98 (Central Texas Pooled Health Care Loan Program; Guaranteed: Sun Life of America) NR/AA- 13,777,582
1,655,000 Bexar County Health Facilities Development Corporate Hospital Revenue
Series 1991, 7.40% due 5/1/00 Baa1/BBB 1,776,345
1,065,000 Cypress-Fairbanks Independent School District General Obligation,
0% due 2/1/02 (Insured: FGIC) Aaa/AAA 802,307
1,685,000 Dallas Waterworks & Sewer System Revenue, 7.10% due 4/1/99 Aa/AA 1,768,020
315,000 Dallas Waterworks & Sewer System Revenue, 7.10% due 4/1/99 Aa/AA 328,227
2,015,000 Ector County Hospital Revenue, 7.125% due 4/15/02 Baa1/BBB 2,133,462
80,000 Fort Worth HFC SFMR Series 1985, 9.15% due 11/1/96 (Insured: MBIA) Aaa/AAA 80,573
1,920,000 Harris County Health Facilities Development Corporation, 7.375% due 12/1/25, put 12/1/98
(Greater Houston Pooled Health Care Project; Guaranteed: Prudential) Aa/NR 1,946,208
4,000,000 Harris County Flood Control District L.T.G.O. Series 1991-A, 0% due 10/1/01 Aa/AA+ 3,085,320
955,000 Harris County Health Facilities Dev. Corp. Hospital Revenue, 6.70% due 6/1/00
(Memorial Hospital Systems Project) A/A- 1,011,116
2,850,000 Humble Independent School District of Harris County Series 1992,
0% due 2/15/00 (PSF Guaranty) Aaa/AAA 2,405,115
1,295,000 Irving Flood Control District Section 3 Refunding Capital Appreciation, 0% due 9/1/01 Baa/NR 952,874
1,530,000 Jefferson County Health Facilities Development Corporation Hospital Revenue
Series 1989, 8.125% due 10/1/99 (Baptist Health Care System Project) Baa/BBB 1,583,611
925,000 La Joya Independent School District Unlimited Tax School Refunding Series 1987,
8.00% due 8/1/97 Baa/NR 928,543
325,000 La Joya Independent School District Unlimited Tax School Refunding Series 1987,
8.00% due 8/1/97 Baa/NR 326,245
2,630,000 Lancaster Independent School District Unlimited Tax Refunding, 0% due 2/15/99
(PSF Guaranty) Aaa/AAA 2,331,653
2,300,000 Lancaster Independent School District Unlimited Tax Refunding, 0% due 2/15/98
(PSF Guaranty) Aaa/AAA 2,144,290
2,230,000 Lower Colorado River Authority Jr. Lien Refunding Revenue Series 1992, 0%
due 1/1/01 (Insured: AMBAC) Aaa/AAA 1,806,233
845,000 North Texas Health Facilities Development Corporation Revenue Series 1988,
8.25% due 9/1/98 (Wichita Falls United Diagnostic Center Project) A*/A* 901,742
1,000,000 North Texas Higher Education Student Loan Revenue,
6.50% due 4/1/99 (Insured: AMBAC) Aaa/AAA 1,041,760
350,000 Northgate Crossing Utility District Road System & Drainage System Unlimited
Tax Sinking Fund Series 1986, 9.25% due 12/1/98 NR/NR 350,095
1,040,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/06 pre-refunded 8/1/98 Aaa/AAA 1,110,169
1,115,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/07 pre-refunded 8/1/98 Aaa/AAA 1,190,229
1,295,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/09 pre-refunded 8/1/98 Aaa/AAA 1,382,374
1,395,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/10 pre-refunded 8/1/98 Aaa/AAA 1,489,121
1,500,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/11 pre-refunded 8/1/98 Aaa/AAA 1,601,205
1,615,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/12 pre-refunded 8/1/98 Aaa/AAA 1,723,964
2,135,000 Palo Duro River Authority General Obligation, 7.60% due 8/1/13 pre-refunded 8/1/98 Aaa/AAA 2,279,048
1,000,000 Palo Duro River Authority Unlimited Tax Refunding Series 1992, 5.10% due 8/1/97
Capital Guaranty Insurance) NR/AAA 1,013,710
4,600,000 Plano Capital Appreciation Refunding General Obligation, 0% due 3/1/01 A1/AA- 3,661,646
955,000 Tarrant County HFC Multifamily Housing Revenue, 4.50% due 9/1/06, put 9/1/96
(Bedford Springs Project; Guaranteed: Provident Mutual Life Insurance Corporation) NR/AA- 956,117
190,000 Texas Housing Agency MFHR 1983-A, 10.00% due 3/1/05 NR/NR 114,000
220,000 Texas Housing Agency MFHR 1983-B, 10.00% due 3/1/05 NR/NR 132,000
5,880,000 Texas Public Finance Authority Series B, 5.25% due 2/1/98 (Insured: AMBAC) Aaa/AAA 5,975,668
705,000 Texas Water Resource Finance Authority Revenue, 7.00% due 8/15/99
(Insured: AMBAC) Aaa/AAA 749,746
995,000 Texas Water Resource Finance Authority Revenue, 7.40% due 8/15/00 A/A 1,064,511
880,000 Texas Water Resources Authority Revenue, 7.50% due 8/15/01 A/A- 944,002
1,100,000 Trinity HFC Multifamily Housing Revenue Series 1982, 10.00% due 6/1/98
(Timberline Apartment Project) NR/NR 1,100,000
Utah (1.36%)
970,000 Davis County Housing Authority MFHR, 7.50% due 6/1/97 (Fox Creek Apartment Project;
FNMA Pass-through Certificates) NR/AAA 997,538
8,000,000 Intermountain Power Agency Power Supply Revenue, 0% pre-refunded 7/1/00 @ 101 Aaa/AAA 6,607,040
2,220,000 Utah Student Loan Revenue Series 1992-G, 5.20% due 11/1/98 (Insured: AMBAC) Aaa/AAA 2,250,103
600,000 Utah Municipal Finance Co-op Local Government Revenue, 7.10% due 6/1/00 NR/AA 642,108
2,000,000 Weber County Housing Authority MFHR Series 1991, 6.50% due 11/1/18, put 11/1/01
(Cherry Creek Apartment Project; LOC: First Security Bank of Utah, Insured: FGIC) Aaa/AAA 2,052,080
Virginia (1.26%)
3,000,000 Hampton Redevelopment Housing Authority Series 1994, 7.00% due 7/1/24,
put 7/1/04 (Chase Hampton Apartments Project) NR/NR 3,196,380
1,755,000 Henrico County IDA Public Facility Lease Revenue, 6.50% due 8/1/00
(Henrico County Jail Project) Aa/AA 1,869,917
3,000,000 Suffolk Redevelopment Housing Authority Series 1994, 7.00% due 7/1/24,
put 7/1/04 (Chase Heritage at Dulles Project) NR/NR 3,145,830
1,960,000 Virginia Housing Development Authority Series C-8, 5.70% due 7/1/03 Aa1/AA+ 1,981,854
685,000 Virginia Housing Development Authority Series D-4, 5.00% due 7/1/00 Aa1/AA+ 691,432
730,000 Virginia Housing Development Authority Series D-4, 5.15% due 7/1/01 Aa1/AA+ 735,891
Washington (2.99%)
1,010,000 Chelan County Public Utility District #1 Consolidated System Revenue Series 1992,
5.55% due 7/1/99 A1/A 1,032,119
1,125,000 Chelan County Public Utility District #1 Consolidated System Revenue Series 1992,
5.75% due 7/1/00 A1/A 1,158,998
1,295,000 Chelan County Public Utility District #1 Consolidated System Revenue Series 1992-E,
5.50% due 7/1/97 A1/A 1,313,881
1,370,000 Chelan County Public Utility District #1 Consolidated System Revenue Series 1992-E,
0% due 7/1/98 A1/A 1,248,700
1,000,000 Spokane County Airport Revenue Refunding Series 1993, 4.80% due 6/1/99
(Insured: MBIA) Aaa/AAA 1,004,020
2,500,000 Spokane County Industrial Development Corporation Refunding, 4.75% due 12/1/97
(Jensen - Byrd Project; LOC: U.S. Bank of Washington) A1/NR 2,492,775
725,000 Spokane County School District # 363 Unlimited Tax G.O. Ref. Series 1992,
5.40% due 12/1/00 A/NR 743,002
1,000,000 Sumner Limited Tax General Obligation Anticipation Notes, 4.70% due 8/1/98 NR/NR 1,000,420
2,880,000 Washington Health Care Facilities Authority Pooled Equipment
Series 1992-B, 7.20% due 6/1/02 (Kadlec Medical Center Project) Baa1/NR 2,972,736
1,945,000 Washington Health Care Facilities Authority Pooled Equipment
Series 1992-A, 7.35% due 6/1/02 (Dominican Health Project) Baa/NR 2,025,931
1,040,000 Washington Public Power Supply System Series G Project #1 Rev., 7.15% due 7/1/01 Aa/AA 1,128,275
2,000,000 Washington Public Power Supply System Project #1 Ref. Rev., 6.50% due 7/1/02 Aa/AA 2,099,060
3,500,000 Washington Public Power Supply System Project #1 Ref. Rev., 5.30% due 7/1/02 Aa/AA 3,451,245
500,000 Washington Public Power Supply System Series C Project #2 Rev., 7.20% due 7/1/99 Aa/AA 531,660
250,000 Washington Public Power Supply System Project #2 Ref. Rev., 7.50% due 7/1/02 Aa/AA 273,168
2,000,000 Washington Public Power Supply System Project #2 Ref. Rev., 7.50% due 7/1/03 Aa/AA 2,207,680
1,700,000 Washington Public Power Supply System Series B Refunding, 7.15% due 7/1/01 Aa/AA 1,823,930
1,000,000 Washington Public Power Supply System Series B, 7.25% due 7/1/00 Aa/AA 1,074,320
West Virginia (.99%)
871,829 Marion County SFMR Series 1992, 7.75% due 7/10/11 Baa/NR 913,310
220,000 Randolph County Building Commission Hospital Revenue, 6.80% due 11/1/97 Baa1/BBB 222,721
1,000,000 West Virginia General Obligation Highway Refunding Series 1992-A, 5.30% due 2/1/00 A1/A+ 1,017,260
5,000,000 West Virginia Parkway Economic Development Tourism Authority Series 1993, 3.827%
(inverse floater) due 5/15/01 (Insured: FGIC) Aaa/AAA 4,701,450
2,500,000 West Virginia Parkway Economic Development Tourism Authority Series 1993, 3.927%
(inverse floater) due 5/15/02 (Insured: FGIC) Aaa/AAA 2,348,850
Wisconsin (1.16%)
900,000 Cady Small Business Pollution Control Revenue Refunding Series 1992, 6.20%
due 4/1/00 (Summit Cheese Project; Guaranteed: SBA) Aaa/AAA 909,423
1,500,000 Wisconsin Health & Education Facilities Authority Series 1992, 5.50%
due 8/15/01 (Wheaton Franciscan Services Inc. Project; Insured: MBIA) Aaa/AAA 1,539,615
3,000,000 Wisconsin Health & Education Facilities Authority, 5.00% due 8/15/98
(Sorrowful Mother Project) NR/AA- 3,028,170
1,000,000 Wisconsin Health & Education Facilities Authority Series 1993, 4.75% due 2/15/98
(Lacrosse Project; Insured: FSA) Aaa/AAA 1,005,870
1,045,000 Wisconsin Health & Education Facilities Authority Series 1993, 5.00% due 2/15/99
(Lacrosse Project; Insured: FSA) Aaa/AAA 1,053,903
3,045,000 Wisconsin Health & Education Facilities Authority Revenue, 5.75% due 11/15/01
(Insured: FSA) Aaa/AAA 3,161,563
Wyoming (.31%)
1,560,549 Evanston Industrial Development Revenue Series 1983, 9.90% due 4/1/04
(Wybanco Project; LOC: Texas Commerce Bank) A2*/A+* 1,549,687
300,000 Natrona County Hospital Revenue Series 1990, 7.20% due 9/15/96
(Wyoming Medical Center Project) Baa1/BBB+ 301,983
1,000,000 Wyoming Student Loan Corporation Revenue, 6.25% due 12/1/99 NR/AA 1,042,690
TOTAL INVESTMENTS (100%) (Cost $903,161,256) $923,629,163
*Indicates rating on other debt issued by the same issuer, rather than on the security held by the Fund.
These securities are deemed by the Adviser to be comparable with those of issuers having debt ratings
in the 4 highest grades by Moody's or S & P.
+Credit ratings are unaudited.
See notes to financial statements.
</TABLE>
independent auditor's report
To the Board of Directors and Shareholders
Thornburg Limited Term Municipal Fund, Inc. National Portfolio
Santa Fe, New Mexico
We have audited the accompanying statement of assets and liabilities, including
the schedule of investments, of Thornburg Limited Term Municipal Fund, Inc. -
National Portfolio as of June 30, 1996, the related statement of operations for
the year then ended, the statement of changes in net assets for each of the two
years in the period then ended, and financial highlights for each of the five
years in the period then ended. These financial statements and financial
highlights are the responsibility of the Fund's management. Our responsibility
is to express an opinion on these financial statements and financial highlights
based on our audits.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements and financial
highlights are free of material misstatements. An audit includes examining, on a
test basis, evidence supporting the amounts and disclosures in the financial
statements. Our procedures included confirmation of securities owned as of June
30, 1996 by correspondence with the custodian and brokers. An audit also
includes assessing the accounting principals used and significant estimates made
by management, as well as evaluating the overall financial statement
presentation. We believe that our audits provide a reasonable basis for our
opinion.
In our opinion, the financial statement and financial highlights referred to
above present fairly, in all material aspects, the financial position of
Thornburg Limited Term Municipal Fund, Inc. - National Portfolio as of June 30,
1996, and the results of its operations, the changes in its net assets and the
financial highlights for the periods indicated, in conformity with generally
accepted accounting principals.
/s/ McGladrey & Pullen
New York, New York
July 26, 1996
The next page of this financial is a graph tracking the percentage change in
share price of the Thornburg Limited Term Municipal Fund - National Porftolio
Class A shares vs. the percentage change in the Lipper Municipal Bond Fund
Index from January 1, 1987 through June 30, 1996.
A hard copy of this graph is on file with the S.E.C.
The final page of this report is bar chart showing the dollar return of
a $100,000.00 investment in Thornburg Limited Term Municipal Fund -
National Porftolio Class A shares on 6/30/86 vs. the same investment in
Donoghue's Taxable Money Market Fund Average and Donoghue's Tax Free Money
Market Fund Average.
A hard copy of this graph is on file with the S.E.C.
