INVESTMENT ADVISOR
Omnivest Research
Corporation
250 Tampa Avenue West
Venice, FL 34285
(941) 493-4295
C/Funds Group, Inc.
CUSTODIAN
Caldwell Trust Company C/Fund
201 Center Road, Suite 2 C/Growth Stock Fund
Venice, FL 34292 C/Government Fund
(941) 493-3600 C/Tax-Free Fund
C/C.A.R. Fund
Adams Equity Fund
AUDITORS Beebe Fund
Gregory Sharer & Stuart
Certified Public Accountants
100 Second Avenue South
St. Petersburg, FL 33701-
4383 June 30, 1998
(727) 821-6161 Semiannual Report
INVESTMENT AND ADVISORY
BOARD
Arthur B. Laffer, Ph.D.
Economist
Jude Wanniski, Journalist C/Funds Group, Inc.
Alan Reynolds, Economist P. O. Box 622
Alvin Moscow, Author Venice, Florida 34284-0622
Ted C. Van Antwerp, (941) 488-6772
Philanthropist www.ctrust.com/cfunds.htm
Willet J. Worthy, Jr.,
Vintner
Manuel Johnson, Ph.D.
Economist
Investment comments are sent
to shareholders in our
monthly newsletter and
therefore are not included
in this semiannual report.
This report has been
prepared for the information
of shareholders of the Funds
and is not authorized for
distribution to Investors
unless preceded or
accompanied by an effective
Prospectus which includes
information regarding the
Funds' objectives, policies,
management, records, and
other information.
PORTFOLIO OF INVESTMENTS
C/FUND
June 30, 1998
Unaudited
EQUITIES (73.9%) Shares Value
Automotive (2.1%)
Ford Motor Co. 2,000 $117,750
General Motors 875 58,187
Sector Total 175,937
Building Supplies (1.5%)
Home Depot 1,500 124,875
Chemicals (13.9%)
American Home Products 4,000 206,250
Bristol Myer Squibb 2,000 230,000
Colgate Palmolive 2,000 176,625
Dow Chemical 1,000 96,625
DuPont 1,500 112,500
Merck 1,000 133,563
Proctor & Gamble 1,500 136,781
Union Carbide Corp. 875 46,812
Sector Total 1,139,156
Communications (0.7%)
AT&T 1,000 56,875
Computer/Office Equipment (4.4%)
IBM 3,100 356,887
Diversified Manufacturing (2.0%)
Minnesota Mining & Manufacturing 2,000 164,500
Eating & Drinking Places (0.9%)
McDonald's 875 60,211
Tricon Global Restaurants 400 12,675
Sector Total $72,886
Shares Value
Electronics (6.3%)
General Electric 1,500 $135,844
Hewlett Packard 875 51,898
Lucent Technologies 4,000 331,250
Sector Total 518,992
Financial (2.9%)
American Express 875 98,547
Associated 1st Capital 524 40,348
J. P. Morgan 875 102,430
Sector Total 241,325
Food (8.9%)
Archer-Daniels-Midland 7,852 151,642
Coca Cola Co. 1,225 104,431
Lancaster Colony Corp. 3,000 114,000
PepsiCo 4,000 165,250
Philip Morris 5,000 197,188
Sector Total 732,511
Food Stores (1.9%)
Albertsons 3,000 154,687
Health Care (0.8%)
Johnson & Johnson 875 64,641
Industrial Machinery (3.2%)
Black & Decker 3,000 182,812
Caterpillar, Inc. 1,500 79,500
Sector Total 262,312
Instruments (3.2%)
Eastman Kodak 2,000 145,625
Emerson Electric 2,000 120,625
Sector Total $266,250
Shares Value
Insurance (1.0%)
Travelers 1,312 $79,294
Leisure/Entertainment (1.1%)
Walt Disney Co. 875 92,148
Metal (0.7%)
ALCOA 875 57,586
Paper (1.6%)
International Paper Co. 875 37,461
Kimberly-Clark 2,000 92,000
Sector Total 129,461
Petroleum & Coal (5.4%)
Amoco 2,000 84,500
Chevron Corp. 875 72,734
Exxon Corp. 4,000 285,750
Sector Total 442,984
Railroad (6.1%)
CSX Corp. 1,000 45,500
Union Pacific 2,000 88,000
Sears Roebuck 2,000 122,500
Wal-Mart 4,000 241,500
Sector Total $497,500
Shares Value
Rubber & Plastics (0.7%)
Goodyear Tire & Rubber 875 $56,438
Transportation Equipment (2.5%)
Allied Signal 1,500 66,375
Boeing Co. 1,500 66,656
United Technologies 825 75,488
Sector Total 208,519
Transportation Services (2.1%)
GATX Corp. 4,000 175,500
TOTAL EQUITIES (73.9%) 6,071,254
GOVERNMENT (22.0%)
U. S. Treasury Notes
8% due 5/15/01 1,700,000 1,809,438
CASH & EQUIVALENTS (4.1%) 333,288
TOTAL INVESTMENTS (100.0%) $8,213,990
PORTFOLIO OF INVESTMENTS
C/GROWTH STOCK FUND
June 30, 1998
Unaudited
EQUITIES (82.6%) Shares Value
Automotive (7.0%)
Autozone, Inc. 1,000 $32,125
PACCAR, Inc. 1,600 83,400
Teleflex Corp. 2,000 76,875
Sector Total 192,400
Building Supplies (3.0%)
Home Depot 1,000 83,250
Computer/Office Equipment (10.0%)
Cisco Systems 1,000 92,375
Compaq Computer 3,200 90,800
IBM 800 92,100
Sector Total 275,275
Eating & Drinking Places (4.7%)
Brinker Intl. Corp. 3,000 58,500
Cracker Barrel 1,000 31,875
Outback Steakhouse 1,000 38,687
Sector Total 129,062
Electronics (5.6%)
American Power Conversion 3,000 90,000
P.S.I. Net,Inc. 5,000 64,688
Sector Total 154,688
Financial (18.0%)
Amsouth Bankcorp 2,000 78,625
Bank United Fin. Corp. `A' 6,000 99,750
Commercial Bankshares 3,150 76,388
Countrywide Credit 1,300 65,894
Green Tree Financial Corp. 1,500 64,125
Nicholas Financial 15,500 50,375
Union Planters Corp. 1,023 59,973
Sector Total 495,130
Food Stores (1.9%)
Food Lion 5,000 $52,812
Shares Value
Furniture (3.3%)
Hillenbrand Industries 1,500 $90,469
Industrial Machinery & Equipment (3.3%)
Nortek, Inc. 3,000 91,312
Instruments (4.8%)
Coherent Inc. 3,200 54,800
Stryker Corp. 2,000 77,750
Sector Total 132,550
Leisure/Entertainment (2.8%)
Carnival Corp. 'A' 2,000 78,750
Manufacturing (4.2%)
Commscope 4,000 63,000
Shuffle Master 6,000 53,625
Sector Total 116,625
Metal (2.7%)
Metal Management, Inc. 2,000 21,500
Texas Industries, Inc. 1,000 52,812
Sector Total 74,312
Oil & Gas Extraction (1.3%)
Ensco International 2,000 35,125
Software (4.9%)
Computer Associates 1,500 82,219
Parametric Technology 2,000 54,375
Sector Total 136,594
Stone, Clay, & Glass Products (2.6%)
Southdown Inc. 1,000 71,250
Wholesale Durable Goods (2.5%)
Aviall 5,000 67,813
TOTAL EQUITIES (82.6%) 2,277,417
CASH & EQUIVALENTS (17.4%) 478,791
TOTAL INVESTMENTS (100.0%) $2,756,208
PORTFOLIO OF INVESTMENTS
ADAMS EQUITY FUND
June 30, 1998
Unaudited
EQUITIES (98.5%) Shares Value
Automotive (11.1%)
Chrysler 1,000 $56,563
Kellstrom Industries 3,400 99,875
Sector Total 156,438
Building Contractors (2.9%)
Standard Pacific Corp. 2,000 41,000
Business Services (5.6%)
Investors Financial Svc. 1,000 53,000
Barra, Inc. 1,000 24,875
Sector Total 77,875
Computers & Technology (1.7%)
Trans-Lux 2,000 24,375
Diversified Manufacturing (7.3%)
Lone Star Industries Inc. 1,000 76,688
Shaw Group, Inc. 1,000 26,000
Sector Total 102,688
Electric, Gas, & Sanitary Services (2.8%)
Unisource 2,500 39,531
Electronics (9.0%)
C and D Technologies 1,100 63,800
Del Global Technologies 3,000 30,000
Porta Systems Inc. 7,000 32,375
Sector Total 126,175
Financial (7.6%)
Green Tree Financial 2,500 $106,875
Shares Value
Industrial Machinery (19.0%)
Applied Power 1,000 $34,313
Cascade Corp. 2,000 36,000
DT Industries 1,000 24,312
Gehl Company 2,000 40,500
Gleason Corp 1,000 27,750
Nortek Inc. 2,200 66,963
URS Corporation 2,000 36,125
Sector Total 265,963
Metal (11.5%)
Amcast 1,500 27,562
RMI Titanium Co. New 2,000 45,750
USX Corp. 6.5% Cum Conv Pfd 1,000 48,187
Wyman Gordon 2,000 39,750
Sector Total 161,249
Paper (7.6%)
Drypers Corp. 9,000 57,937
Shorwood Packaging Co. 3,000 48,375
Sector Total 106,312
Rubber & Plastics (4.8%)
Wynn's International Inc. 3,400 67,150
Transportation Equipment (7.6%)
Boeing Co. 1,400 62,213
R&B Inc. 4,000 44,000
Sector Total 106,213
TOTAL EQUITIES (98.5%) 1,381,844
CASH & EQUIVALENTS (1.5%) 20,975
TOTAL INVESTMENTS (100.0%) $1,402,819
PORTFOLIO OF INVESTMENTS
BEEBE FUND
June 30, 1998
Unaudited
EQUITIES (99.4%) Shares Value
Depository Institutions (97.3%)
ABC Bancorp 1,600 $25,400
Andover Bancorp 875 30,188
Annapolis National Bancorp 2,500 25,313
Bank Rhode Island 1,000 15,625
Bancfirst Ohio Corp. 1,000 33,500
Bank United Financial Corp. 1,800 29,700
CNB Bancshares 600 27,450
Bank Plus Corp. 1,800 21,938
Bayview Capital Corp. 1,000 31,875
Capital Bank 1,500 25,125
Cornerstone Bank 1,040 21,970
CCB Financial 400 41,400
CCF Holding Company 1,000 21,500
CNB Financial 1,000 28,625
Commercial Bankshares 1,200 28,800
Carrolton Bancorp 800 30,800
First Coastal Bancshares, Inc. 1,000 18,000
Fidelity Financial of Ohio 1,200 18,600
First Palm Beach Bancorp 200 8,725
First Liberty Financial 800 19,600
First Merchants Corp. 700 31,850
Texarkana First Financial S&L 1,200 34,050
Harbor Florida Bancorp (new) 1,382 16,411
Independent Bancshares 1,800 27,900
Interchange Financial Services Corp. 1,200 23,100
Laurel Capital 1,100 21,725
Mech Financial Inc. 1,000 28,750
Merit Holding Corp. 1,000 22,500
Mason Dixon Bancshares 800 $25,400
Shares Value
Nicholas Financial 10,000 $32,500
NSS Bancorp, Inc. 600 33,600
Ohio Valley Bancorp 750 30,375
Peoples Bancshares 1,000 23,000
Permanent Bancshares of Indiana 1,400 21,700
Peoples Financial Corp. 1,600 21,400
Premier Bancshares Inc. Georgia 1,000 27,750
Pennwood Bancorp 1,066 14,391
Phoenix Investment Partners 2,500 20,938
Republic Banking 1,000 15,375
Sandy Springs Bancorp, Inc. 1,000 35,125
Seacoast Banking FL `A' 800 30,400
Summit Bank Corp. 1,200 24,000
Summit Bancshares Inc. 1,000 21,250
S W G A Financial 1,000 23,625
Sun Bancorp (NJ) 1,000 26,500
Trico Bancshares 600 17,400
Triangle Bancorp 750 23,297
Union Bancal Corp. 300 28,950
Vermont Financial 1,000 27,375
Wintrust Financial 1,500 28,500
WVS Financial Corporation 960 15,720
Sector Total 1,278,991
Holding & Investment Offices (2.1%)
Mac Cali Realty 800 27,550
TOTAL EQUITIES (99.4%) 1,306,541
CASH & EQUIVALENTS (0.6%) 7,895
TOTAL INVESTMENTS (100%) $1,314,436
PORTFOLIO OF INVESTMENTS
C/GOVERNMENT FUND
June 30, 1998
Unaudited
GOVERNMENTS (93.8%) Par Value Value
U.S. Treasury Notes
11.75% due 2/15/2001 500,000 $575,156
U.S. Treasury Notes
5.875% due 2/15/2000 500,000 502,656
U.S. Treasury Notes
5.875% due 2/15/2004 1,000,000 1,018,125
U.S. Treasury Notes
6.25% due 2/15/2003 1,000,000 1,028,750
U.S. Treasury Notes
6.25% due 8/31/2002 500,000 512,969
U.S. Treasury Notes
6.5% due 10/15/2006 1,000,000 1,060,937
U.S. Treasury Notes
6.5% due 5/15/2005 1,000,000 1,055,000
U.S. Treasury Notes
6.75% due 6/1999 500,000 505,938
U.S. Treasury Notes
7.625% due 2/15/2007 1,000,000 1,064,375
U.S. Treasury Notes
8% due 5/15/2001 500,000 532,187
TOTAL GOVERNMENTS (93.8%) 7,856,093
CASH & EQUIVALENTS (6.2%) 522,098
TOTAL INVESTMENTS $8,378,191
PORTFOLIO OF INVESTMENTS
C/COMMUNITY ASSOCIATION RESERVE FUND
June 30, 1998
Unaudited
GOVERNMENTS (94.9%) Par Value Value
U.S. Treasury Notes
5.875% due 3/31/99 150,000 $150,422
U.S. Treasury Notes
5.875% due 8/15/98 100,000 100,031
U.S. Treasury Notes
6.00% due 10/15/99 150,000 150,844
U.S. Treasury Notes
6.875% due 3/31/00 200,000 204,375
U.S. Treasury Notes
7.00% due 4/99 150,000 151,688
TOTAL SECURITIES(94.9) 757,360
CASH & EQUIVALENTS(5.1%) 41,115
TOTAL INVESTMENTS(100.0%) $798,475
PORTFOLIO OF INVESTMENTS
C/TAX-FREE FUND
June 30, 1998
Unaudited
CASH & EQUIVALENTS (100.0%) 112
TOTAL INVESTMENTS (100.0%) $112
C/FUNDS GROUP, INC.
STATEMENTS OF OPERATIONS
For Six Months Ending June 30, 1998
Unaudited
C/Com-
munity
Associ-
C/Growth C/Govern- C/Tax ation Adams
Stock ment Free Reserve Equity Beebe
C/Fund Fund Fund Fund Fund Fund Fund
INVESTMENT INCOME
Dividends
$49,313 $9,430 $0 $0 $0 $4,428 $8,915
Interest
70,468 3,213 180,737 66,829 26,922 1,704 1,251
119,781 12,643 180,737 66,829 26,922 6,132 10,166
OPERATING EXPENSES
Investment advisory fee
38,239 13,735 13,791 6,199 2,198 6,832 5,167
Professional fees
8,566 3,021 1,816 1,249 354 1,472 522
Registration fees
391 121 69 47 13 57 29
Custodian fees
11,798 4,280 8,114 4,247 1,366 1,996 1,040
Directors fees
3,318 1,208 675 431 123 604 513
Miscellaneous
4,606 1,675 3,117 224 342 993 1,771
66,918 24,040 27,582 12,397 4,396 11,954 9,042
NET INVESTMENT INCOME
52,863 (11,397) 153,155 54,432 22,526 (5,822) 1,124
REALIZED AND UNREALIZED GAIN LOSS ON INVESTMENTS
Unrealized appreciation (depreciation) invalue of
investments for the period
841,088 153,420 18,996 (53,037) (1,684) 75,458 (5,633)
Net realized gain (loss) on investments
2,847 96,648 0 (18,681) 181 14,670 23,654
NET GAIN (LOSS) ON INVESTMENTS
843,935 250,068 18,996 (71,718) (1,503) 90,128 18,021
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS
$896,798 $238,671 $172,151 ($17,286) $21,023 $84,306 $19,145
C/FUNDS GROUP, INC.
STATEMENTS OF ASSETS & LIABILITIES
June 30, 1998
Unaudited
C/Com-
munity
Associ-
C/Growth C/Govern- C/Tax ation Adams
Stock ment Free Reserve Equity Beebe
C/Fund Fund Fund Fund Fund Fund Fund
Securities at Cost
$5,235,403 $1,985,206 $8,305,455 $112 $796,110 $1,136,398 $1,314,516
ASSETS
Securities Value
$8,213,990 $2,756,208 $8,378,191 $112 $798,475 $1,402,819 $1,314,436
Receivables
Dividends & Interest
25,621 1,976 145,643 0 12,051 656 1,587
Investment Securities Sold
0 0 0 0 0 25,305 124,190
Other
0 0 0 45 0 0 0
8,239,611 2,758,184 8,523,834 157 810,526 1,428,780 1,440,213
LIABILITIES
Advisor Fee & Other Payables
4,739 1,598 4,004 0 355 1,008 1,937
Redemptions Payable
0 0 0 0 0 0 89,861
Investment Securities Purchased
0 0 0 0 0 0 0
4,739 1,598 4,004 0 355 1,008 91,798
NET ASSETS APPLICABLE TO OUTSTANDING SHARES
$8,234,872 $2,756,586 $8,519,830 $157 $810,171 $1,427,772 $1,348,415
CAPITAL SHARES
356,999 184,339 850,784 17 80,927 96,300 128,531
NET ASSET VALUE PER SHARE
$23.07 $14.95 $10.01 $9.14 $10.01 $14.83 $10.49
C/FUNDS GROUP, INC.
STATEMENT OF CHANGES IN NET ASSETS
For Six Months Ending June 30, 1998
Unaudited
C/Com-
munity
Associ-
C/Growth C/Govern- C/Tax ation Adams
Stock ment Free Reserve Equity Beebe
C/Fund Fund Fund Fund Fund Fund Fund
INCREASE (DECREASE) IN NET ASSETS:
From Operations:
Net investment income (loss)
$52,863 ($11,397) $153,155 $54,432 $22,526 ($5,822) $1,124
Net realized gain (loss) on investments
2,847 96,648 0 (18,681) 181 14,670 23,654
Unrealized appreciation (depreciation) in
value of investments for the year
841,088 153,420 18,996 (53,037) (1,684) 75,458 (5,633)
Net Increase (decrease) in net assets
from operations
896,798 238,671 172,151 (17,286) 21,023 84,306 19,145
DISTRIBUTIONS TO SHAREHOLDERS
Investment income - net
(42,627) 0 (153,154) (54,245) (22,521) 0 0
Net realized gain on investments
0 0 0 0 0 0 0
Return of capital
0 0 0 0 0 0 0
(42,627) 0 (153,154) (54,245) (22,521) 0 0
CAPITAL SHARE TRANSACTIONS
Shares sold
920,510 170,491 5,152,820 66,353 296,616 127,347 1,252,331
Reinvested distributions
40,876 0 132,020 42,727 22,521 0 0
Shares redeemed
(718,083) (193,926)(1,326,712) (3,355,937) (361,302) (60,523) (244,048)
243,303 (23,435) 3,958,128 (3,246,857) (42,165) 66,824 1,008,283
Net increase (decrease) in net assets
$1,097,474 $215,236 $3,977,125 ($3,318,388) ($43,663) $151,130 $1,027,428
NET ASSETS
Beginning of year
7,137,398 2,541,350 4,542,705 3,318,545 853,834 1,276,642 320,987
End of period
$8,234,872 $2,756,586 $8,519,830 $157 $810,171 $1,427,772 $1,348,415
UNDISTRIBUTED NET INVESTMENT INCOME
13,212 75,641 (84,404) (57,075) (419) (3,510) 24,837
C/FUNDS GROUP, INC.
STATEMENT OF CHANGES IN NET ASSETS
For the Year Ending December 31, 1997*
C/Com-
munity
Associ-
C/Growth C/Govern- C/Tax ation Adams
Stock ment Free Reserve Equity Beebe
C/Fund Fund Fund Fund Fund Fund Fund*
INCREASE (DECREASE) IN NET ASSETS:
From Operations:
Net investment income (loss)
$77,409 ($15,997) $254,823 $169,199 $43,474 ($8,178) $374
Net realized gain (loss) on investments
190,158 326,059 3 (19,822) 486 (4,536) 0
Unrealized appreciation (depreciation) in
value of investments for the year
882,869 206,979 60,849 33,450 (288) 156,438 5,553
Net increase in net assets from operations
1,150,436 517,041 315,675 182,827 43,672 143,724 5,927
DISTRIBUTIONS TO SHAREHOLDERS
Investment income - net
(82,342) (25,711) (254,824) (172,265) (43,818) 0 (315)
Net realized gain on investments
(185,102) (284,311) 0 0 0 0 0
(267,444) (310,022) (254,824) (172,265) (43,818) 0 (315)
CAPITAL SHARE TRANSACTIONS
Shares sold
1,360,777 140,465 3,195,844 1,814,679 641,261 972,475 315,060
Reinvested distributions
258,335 295,689 221,437 164,083 43,818 0 315
Shares redeemed
(786,612) (313,644)(3,672,863) (2,456,341) (379,259) (93,349) 0
832,500 122,510 (255,582) (477,579) 305,820 879,126 315,375
Net increase (decrease) in net assets
$1,715,492 $329,529 ($194,731) ($467,017) $305,674 $1,022,850 $320,987
NET ASSETS
Beginning of year
5,421,906 2,211,821 4,737,436 3,785,562 548,160 253,792 0
End of year
$7,137,398 $2,541,350 $4,542,705 $3,318,545 $853,834 $1,276,642 $320,987
UNDISTRIBUTED NET INVESTMENT INCOME
$129 ($9,610) ($84,405) ($38,581) ($605) ($12,358) $59
* Beebe Fund figures are for the period ending December 31, 1997.
C/Funds Group, Inc.
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