<PAGE>
<PAGE> 1
---------------------------
PLAN INVESTMENT FUND, INC.
Semi-Annual Report
June 30, 1995
ADMINISTRATOR:
[LOGO]
<PAGE>
<PAGE> 2
- -------------------------------------------------------------------------------
PLAN INVESTMENT FUND, INC.
PRESIDENT'S LETTER
- -------------------------------------------------------------------------------
August 11, 1995
Fellow Investors:
On behalf of the Board of Trustees, I am pleased to submit the 1995 Semi-Annual
Report for Plan Investment Fund. Looking back at the President's Letters of
the past few years, I noted a common theme of dramatic and almost continuous
change in the fixed income marketplace. While not as revolutionary as the
changes in the health care industry, the fixed income market has experienced
frequent and abrupt shifts in the 1990's. This year is a good example.
Conventional wisdom at the beginning of 1995 held that the Federal Reserve
would continue to push the level of interest rates higher, indicating a poor
environment for fixed income investors. Just the opposite actually happened
and the fixed income market experienced a strong rally in the first half of
1995.
Even the most nimble of investors has been severely challenged to consistently
anticipate the twists and turns of the fixed income market of recent years. In
such an environment the burden is clearly on the investor to assess their
investment needs and risk tolerance. The Plan Investment Fund Portfolios
continue to be an attractive investment vehicle for relatively short maturity,
high quality investment needs.
The range of investment options offered by Plan Investment Fund was expanded on
June 1, 1995 with the introduction of the Government/REPO Portfolio. This
money market fund invests in U.S. Treasury and Government agency obligations
and in repurchase agreements collateralized by these types of obligations. The
portfolio's average maturity is typically one business day. The Government/REPO
Portfolio is well suited for investors seeking very high quality and competitive
returns which are responsive to changes in overnight interest rates.
The Plan Investment Fund portfolios are dependable, high quality investment
vehicles that are operated in a cost effective manner. We look forward to
continuing to meet your investment needs.
Sincerely,
/S/ PHIL
----
Philip A. Goss
President and Chief Executive Officer
<PAGE>
<PAGE> 3
- -------------------------------------------------------------------------------
INVESTMENT PERFORMANCE
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
ANNUALIZED TOTAL RETURN
-------------------------------------
PERIODS ENDED ONE SIX ONE FROM
JUNE 30, 1995 MONTH MONTH YEAR INCEPTION
- ------------- ----- ----- ---- ---------
<S> <C> <C> <C> <C>
PIF MONEY MARKET PORTFOLIO 6.04% 6.01% 5.48% 6.11%
PIF GOVERNMENT/REPO PORTFOLIO 6.07 - - -
Donoghues Inst. Money Market Avg. 5.75 5.74 5.20 5.92
Repurchase Agreements 6.05 6.02 5.50 6.09
PIF SHORT-TERM PORTFOLIO 4.85% 7.21% 5.82% 6.26%
Six Month U.S. Treasury Bill Index 5.79 5.99 5.54 5.97
1-3 Year U.S. Treasury Note Index 6.68 13.81 7.73 7.42
</TABLE>
- -------------------------------------------------------------------------------
PORTFOLIO CHARACTERISTICS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
AVERAGE CLOSING AVERAGE AVERAGE
YIELD PRICE MATURITY QUALITY
------- ------- -------- -------
Government/REPO Portfolio
- ------------------------
<S> <C> <C> <C> <C>
June 5.98% $1.00 3 Days A1+
Money Market Portfolio
- ----------------------
April 6.03% $1.00 47 Days A1
May 6.00 1.00 46 Days A1+
June 5.96 1.00 40 Days A1+
Short-Term Portfolio
- --------------------
April 6.06% $9.97 8.8 Months AAA
May 6.04 9.99 7.2 Months AAA
June 6.04 9.98 9.1 Months AAA
</TABLE>
<PAGE>
<PAGE> 4
Statement of Net Assets
-----------------------
(Unaudited)
GOVERNMENT/REPO PORTFOLIO
-------------------------
June 30, 1995
-------------
<TABLE>
<CAPTION>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
- ------------------------------------------------------------------------------
GOVERNMENT AGENCY OBLIGATIONS 80.9%
- ------------------------------------------------------------------------------
Student Loan Marketing Association
Note
6.10% (7/03/95) $17,000 $16,994,239
(Cost $16,994,239) ----------
- ------------------------------------------------------------------------------
REPURCHASE AGREEMENTS 19.4%
- ------------------------------------------------------------------------------
Swiss Bank Corp.
6.15% (7/03/95)
(Collateralized by $2,700,000 U.S.
Treasury Note, 11.25%; due 2/15/15;
Market Value $4,150,980)
(Cost $4,065,000) 4,065 4,065,000
---------
TOTAL INVESTMENTS IN SECURITIES..... 100.3% 21,059,239
(Cost $21,059,239*)
LIABILITIES IN EXCESS OF OTHER ASSETS (0.3%) ( 59,239)
----- -----------
NET ASSETS (Applicable to 21,000,000
PCs outstanding) 100.0% $ 21,000,000
===== ===========
NET ASSET VALUE, offering and
redemption price per PC
($21,000,000 / 21,000,000 PCs) $1.00
====
* Aggregate cost for Federal tax purposes
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 5
Statement of Net Assets
-----------------------
(Unaudited)
MONEY MARKET PORTFOLIO
----------------------
June 30, 1995
-------------
<TABLE>
<CAPTION>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
- -------------------------------------------------------------------------------
GOVERNMENT AGENCY OBLIGATIONS 4.8%
- -------------------------------------------------------------------------------
Student Loan Marketing Association
Variable Rate Note
5.66% (7/05/95) $25,000 $25,000,000
(Cost $25,000,000) ----------
- -------------------------------------------------------------------------------
COMMERCIAL PAPER 57.6%
- -------------------------------------------------------------------------------
AGRICULTURAL SERVICES.............. 1.4%
Golden Peanut Co.
6.02% (8/15/95) 7,200 7,145,820
----------
BANKS.............................. 9.5%
National City Corp.
6.07%-6.24% (8/07/95-10/17/95) 25,000 24,662,717
NationsBank Corp.
6.14% (9/18/95) 25,000 24,663,153
----------
49,325,870
----------
BUSINESS CREDIT INSTITUTIONS....... 13.2%
American Express Credit Corp.
6.02%-6.05% (7/10/95-10/31/95) 20,000 19,780,864
Ciesco LP
6.15% (7/03/95) 14,400 14,395,080
CXC, Inc.
6.25% (7/03/95) 25,000 24,991,319
Paccar Financial Corp.
6.13% (7/13/95) 9,600 9,580,384
----------
68,747,647
----------
CHEMICALS AND ALLIED PRODUCTS...... 1.9%
Monsanto Co.
6.17% (7/11/95) 10,000 9,982,861
----------
ELECTRIC SERVICES.................. 0.6%
Allegheny Power System Inc.
5.93% (8/30/95) 3,110 3,079,263
----------
FINANCE LESSORS.................... 3.4%
General Electric Capital Corp.
6.48% (10/31/95) 18,035 17,638,951
----------
</TABLE>
<PAGE>
<PAGE> 6
Statement of Net Assets
-----------------------
MONEY MARKET PORTFOLIO
----------------------
<TABLE>
<CAPTION>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
LIFE INSURANCE..................... 1.1%
Metlife Funding, Inc.
5.96% (7/28/95) $ 5,500 $ 5,475,415
-----------
PERSONAL CREDIT INSTITUTIONS....... 4.7%
Ford Motor Credit Corp.
6.16% (9/11/95) 25,000 24,692,000
-----------
PETROLEUM REFINING................. 4.8%
Koch Industries, Inc.
6.20% (07/05/95) 25,000 24,982,778
-----------
PHARMACEUTICAL PREPARATIONS........ 4.5%
Lilly (Eli) & Co.
6.43% (11/06/95) 24,150 23,597,877
-----------
PLASTIC PRODUCTS................... 1.3%
Armstrong World Industries Inc.
6.05% (7/19/95) 7,000 6,978,825
-----------
RETAIL - APPAREL & ACCESSORY....... 4.8%
Melville Corp.
6.20% (7/03/95) 25,000 24,991,389
-----------
SERVICES - ACCOUNTING & MANAGEMENT 1.5%
Dun & Bradstreet Corp.
6.10% (1/10/96) 8,000 7,738,378
-----------
SERVICES - AUTO RENTING & LEASING.. 2.3%
PHH Corp.
6.15% (7/05/95) 12,000 11,991,800
-----------
SERVICES - EQUIPMENT RENTING & LEASING 1.5%
International Lease Finance Corp.
5.95% (1/26/96) 8,175 7,892,611
-----------
TELECOMMUNICATIONS................. 1.1%
Bell Atlantic Network Funding Corp.
6.05% (7/19/95) 5,700 5,682,757
-----------
TOTAL COMMERCIAL PAPER 299,944,242
(Cost $299,944,242) -----------
</TABLE>
<PAGE>
<PAGE> 7
Statement of Net Assets
-----------------------
MONEY MARKET PORTFOLIO
----------------------
<TABLE>
<CAPTION>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
- -------------------------------------------------------------------------------
VARIABLE RATE OBLIGATIONS 29.6%
- -------------------------------------------------------------------------------
BANKS.............................. 8.6%
First Union National Bank of North Carolina
6.03% (07/03/95) $25,000 $ 25,000,000
Huntington National Bank of Ohio
6.12% (7/03/95) 20,000 19,996,143
-----------
44,996,143
-----------
SECURITY BROKERS & DEALERS......... 21.0%
Bear Stearns & Co. Inc.
6.235% (8/25/95) 24,000 24,000,000
Goldman Sachs Group, L.P.
6.0625% (9/08/95) 25,000 25,000,000
J.P. Morgan Securities, Inc.
6.06% (7/10/95) 25,000 25,000,000
Merrill Lynch & Co. Inc.
6.11%-6.17% (7/03/95) 25,000 24,998,319
Morgan Stanley Group Inc.
6.1625% (7/19/95) 10,000 10,000,000
-----------
108,998,319
-----------
TOTAL VARIABLE RATE OBLIGATIONS 153,994,462
(Cost $153,994,462) -----------
- -------------------------------------------------------------------------------
REPURCHASE AGREEMENTS 8.3%
- -------------------------------------------------------------------------------
Morgan Stanley & Co.
6.335% (7/03/95)
(Collateralized by $40,645,000 U.S.
Treasury Notes, 5.125% to 6.75%;
due 3/31/98 to 5/31/99; Market
Value $41,827,141) 41,000 41,000,000
Swiss Bank Corp.
6.10% (7/03/95)
(Collateralized by $2,050,000 U.S.
Treasury Note, 5.625%; due 6/30/97;
Market Value $2,043,274) 2,000 2,000,000
-----------
TOTAL REPURCHASE AGREEMENTS 43,000,000
(Cost $43,000,000) -----------
</TABLE>
<PAGE>
<PAGE> 8
Statement of Net Assets
-----------------------
MONEY MARKET PORTFOLIO
----------------------
<TABLE>
<CAPTION>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C>
TOTAL INVESTMENTS IN SECURITIES.... 100.3% $521,938,704
(Cost $521,938,704*)
LIABILITIES IN EXCESS OF OTHER ASSETS (0.3%) ( 1,607,917)
----- -----------
NET ASSETS (Applicable to 520,328,478
PCs outstanding) 100.0% $520,330,787
===== ===========
NET ASSET VALUE, offering and
redemption price per PC
($520,330,787 / 520,328,478 PCs) $1.00
====
* Aggregate cost for Federal tax purposes.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 9
Statement of Net Assets
-----------------------
(Unaudited)
SHORT-TERM PORTFOLIO
--------------------
June 30, 1995
-------------
<TABLE>
<CAPTION>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- -----------
<S> <C> <C>
- -------------------------------------------------------------------------------
U.S. TREASURY OBLIGATIONS 15.6%
- -------------------------------------------------------------------------------
U.S. Treasury Bills
6.125%-6.84% (7/27/95-1/11/96) $ 5,885 $ 5,733,709
----------
U.S. Treasury Notes
6.00%-7.50% (6/30/96-1/31/97) 9,200 9,329,875
----------
TOTAL U.S. TREASURY OBLIGATIONS 15,063,584
(Cost $14,906,034) ----------
- -------------------------------------------------------------------------------
GOVERNMENT AGENCY OBLIGATIONS 40.0%
- -------------------------------------------------------------------------------
Federal Farm Credit Bank
Medium Term Note
7.20% (7/01/99) 3,500 3,500,000
Discount Note
5.97% (10/04/95) 2,060 2,028,523
----------
5,528,523
----------
Federal Home Loan Mortgage Corporation
Medium Term Notes
6.95%-7.555% (2/10/97-5/25/98) 3,000 3,028,750
Collateralized Mortgage Obligations
6.00%-6.50% (7/15/95-4/18/98) 9,803 9,774,681
Discount Note
5.90% (7/05/95) 64 63,958
----------
12,867,389
----------
Federal National Mortgage Association
Medium Term Note
7.50% (2/12/97) 7,000 7,067,270
Discount Notes
5.90%-5.93% (7/05/95-9/14/95) 8,230 8,129,989
----------
15,197,259
----------
Student Loan Marketing Association
Variable Rate Note
5.48% (7/01/96) 4,000 3,996,640
----------
</TABLE>
<PAGE>
<PAGE> 10
Statement of Net Assets
-----------------------
SHORT-TERM PORTOLIO
-------------------
<TABLE>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
U.S. Department of Veterans Affairs
Vendee Mortgage Trust 1992-2
6.50% (9/28/96) $ 970 $ 970,100
----------
TOTAL GOVERNMENT AGENCY OBLIGATIONS
(Cost $38,467,216) 38,559,911
----------
- -------------------------------------------------------------------------------
CERTIFICATES OF DEPOSIT 8.3%
- -------------------------------------------------------------------------------
FCC National Bank
6.35% (4/24/96) 5,000 5,015,100
First Union Corp. Bank
5.95% (7/01/95) 3,000 3,000,000
----------
TOTAL CERTIFICATES OF DEPOSIT
(Cost $7,995,769) 8,015,100
----------
- -------------------------------------------------------------------------------
ASSET BACKED SECURITIES 6.2%
- -------------------------------------------------------------------------------
General Motors Acceptance Corp. Grantor Trust
Series 1992-A, 5.05% (8/30/95) 17 17,388
Series 1992-D, 5.55% (12/29/95) 1,731 1,728,341
----------
1,745,729
----------
Midlantic Grantor Trust
Series 1992-1, 4.30% (9/28/95) 989 984,186
----------
Nissan Corp. Grantor Trust
Series 1992-B, 4.30% (2/29/96) 730 722,736
----------
USAA Auto Loan Grantor Trust
Series 1994-1, 5.00% (6/28/96) 2,518 2,494,160
----------
TOTAL ASSET BACKED SECURITIES
(Cost $5,974,489) 5,946,811
----------
</TABLE>
<PAGE>
<PAGE> 11
Statement of Net Assets
-----------------------
SHORT-TERM PORTFOLIO
--------------------
<TABLE>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
- -------------------------------------------------------------------------------
COMMERCIAL PAPER 9.8%
- -------------------------------------------------------------------------------
ELECTRIC POWER..................... 0.2%
Northern States Power Co.
5.95% (7/05/95) $ 191 $ 190,874
----------
FINANCE LESSORS.................... 5.2%
General Electric Capital Corp.
6.30% (8/14/95) 5,000 4,963,627
----------
FIRE MARINE & CASUALTY INSURANCE... 0.3%
USAA Capital Corp.
6.01% (7/14/95) 253 252,452
----------
OFFICE EQUIPMENT................... 2.1%
Pitney Bowes Credit Corp.
6.05% (9/11/95) 2,050 2,026,220
----------
TELECOMMUNICATIONS................. 2.0%
AT&T Capital Corp.
6.15% (8/10/95) 1,955 1,942,064
----------
TOTAL COMMERCIAL PAPER
(Cost $9,371,661) 9,375,237
----------
- -------------------------------------------------------------------------------
VARIABLE RATE OBLIGATIONS 17.2%
- -------------------------------------------------------------------------------
FINANCE............................ 3.7%
Dean Witter, Discover and Companies
6.193% (7/17/95) 3,600 3,600,720
----------
PERSONAL CREDIT INSTITUTIONS....... 13.5%
Ford Motor Credit Corp.
5.83% (7/05/95) 2,000 1,989,460
Ford Motor Credit Corp.
6.4375% (8/04/95) 4,000 4,003,600
Toyota Motor Credit Corp.
5.65% (7/05/95) 7,000 6,960,030
----------
12,953,090
----------
TOTAL VARIABLE RATE OBLIGATIONS
(Cost $16,599,746) 16,553,810
----------
</TABLE>
<PAGE>
<PAGE> 12
Statement of Net Assets
-----------------------
SHORT-TERM PORTFOLIO
--------------------
<TABLE>
PERCENTAGE
OF PAR
NET ASSETS (000) VALUE
---------- ----- ---------
<S> <C> <C>
- -------------------------------------------------------------------------------
MEDIUM TERM NOTES 10.5%
- -------------------------------------------------------------------------------
BANKS.............................. 5.2%
Trust Company Bank of Georgia
6.50% (3/21/96) $5,000 $ 5,020,650
-----------
BUSINESS CREDIT INSTITUTIONS....... 3.2%
Xerox Credit Corp.
6.25% (1/15/96) 3,115 3,115,935
-----------
FINANCE............................ 2.1%
Dean Witter, Discover and Companies
6.00% (3/01/98) 2,000 1,983,120
-----------
TOTAL MEDIUM TERM NOTES
(Cost $10,095,970) 10,119,705
-----------
TOTAL INVESTMENTS IN SECURITIES.... 107.6% 103,634,158
(Cost $103,410,885*)
LIABILITY FOR UNSETTLED PURCHASES.. ( 8.3%) ( 8,012,889)
OTHER ASSETS IN EXCESS OF LIABILITIES 0.7% 685,652
----- -----------
NET ASSETS (Applicable to 9,645,658
PCs outstanding) 100.0% $ 96,306,921
===== ===========
NET ASSET VALUE, offering and redemption
price per PC ($96,306,921 / 9,645,658 PCs) $9.98
====
* Aggregate cost for Federal tax purposes.
The Aggregate gross unrealized appreciation
or depreciation for all securities is as
follows: excess of value over tax cost
$356,563; excess of tax cost over value
$133,290.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 13
Statements of Operations
------------------------
(Unaudited)
Six Months Ended June 30, 1995
------------------------------
<TABLE>
<CAPTION>
Government/REPO Money Market Short-Term
Portfolio* Portfolio Portfolio
--------------- ------------ -----------
<S> <C> <C> <C>
INTEREST INCOME $ 60,673 $18,567,137 $ 3,679,141
---------- ---------- ----------
EXPENSES
Investment advisory fee 1,995 498,597 136,815
Administration fee 499 150,966 29,079
Custodian 816 35,335 7,047
Transfer Agent 6 18,100 744
Insurance 54 15,851 3,068
Audit 55 15,031 2,904
Legal 32 9,320 1,804
Trustee Expenses 18 5,177 1,002
Professional Services 5 3,930 281
Printing 10 2,905 564
Service Agent 0 0 50,000
Miscellaneous 1 397 79
Fees waived (2,494) (21,712) (58,911)
---------- ---------- ----------
Total expenses 997 733,897 174,476
---------- ---------- ----------
NET INVESTMENT INCOME 59,676 17,833,240 3,504,665
NET REALIZED GAIN (LOSS) ON 0 2,308 (28,188)
SECURITIES SOLD
UNREALIZED APPRECIATION 0 0 652,642
OF SECURITIES ---------- ---------- ----------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS $ 59,676 $17,835,548 $ 4,129,119
========== ========== ==========
*From June 1, 1995 commencement of operations.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 14
Statements of Changes in Net Assets
-----------------------------------
(Unaudited)
Government/REPO PORTFOLIO
-------------------------
<TABLE>
<CAPTION>
Period Ended
June 30, 1995*
-------------
<S> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 59,676
----------
Net increase in net assets
resulting from operations 59,676
----------
DIVIDENDS TO PARTICIPATION CERTIFICATE HOLDERS:
From net investment income
$.005 per PC (59,676)
----------
CAPITAL TRANSACTIONS:
Proceeds from sale of 21,000,000 PCs 21,000,000
----------
Increase in net assets derived
from capital transactions 21,000,000
----------
Total increase in net assets 21,000,000
NET ASSETS:
Beginning of period 0
----------
End of period $21,000,000
==========
*From June 1, 1995 commencement of operations.
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 15
Statements of Changes in Net Assets
-----------------------------------
(Unaudited)
MONEY MARKET PORTFOLIO
----------------------
<TABLE>
<CAPTION>
Six Months Ended Year Ended
June 30, 1995 December 31, 1994
---------------- -----------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 17,833,240 $ 21,875,541
Net realized gain (loss) on securities sold 2,308 0
----------- -----------
Net increase in net assets
resulting from operations 17,835,548 21,875,541
----------- -----------
DIVIDENDS TO PARTICIPATION CERTIFICATE HOLDERS:
From net investment income
$.029 and $.041 per PC (17,833,240) (21,875,541)
----------- ----------
CAPITAL TRANSACTIONS:
Proceeds from sale of 3,311,416,782 and
and 6,086,561,540 PCs 3,311,416,782 6,086,561,540
Value of 8,855,230 and 11,028,155 PCs
issued in reinvestment of dividends 8,855,230 11,028,155
Cost of 3,251,310,167 and 6,121,061,465
PCs repurchased (3,251,310,167) (6,121,061,465)
-------------- --------------
Increase (decrease) in net assets derived
from capital transactions 68,961,845 (23,471,770)
----------- -----------
Total increase (decrease) in net assets 68,964,153 (23,471,770)
NET ASSETS:
Beginning of period 451,366,634 474,838,404
----------- -----------
End of period $520,330,787 $451,366,634
=========== ===========
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 16
Statements of Changes in Net Assets
-----------------------------------
(Unaudited)
SHORT-TERM PORTFOLIO
--------------------
<TABLE>
<CAPTION>
Six Months Ended Year Ended
June 30, 1995 December 31, 1994
---------------- -----------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
OPERATIONS:
Net investment income $ 3,504,665 $ 6,618,510
Net realized gain (loss) on securities sold (28,188) (907,947)
Unrealized appreciation (depreciation) of
securities 652,642 (701,778)
----------- -----------
Net increase in net assets
resulting from operations 4,129,119 5,008,785
----------- -----------
DIVIDENDS TO PARTICIPATION CERTIFICATE HOLDERS:
From net investment income
$.297 and $.440 per PC (3,504,665) (6,618,510)
----------- -----------
CAPITAL TRANSACTIONS:
Proceeds from sale of 2,359,181
and 9,713,036 PCs 23,445,783 96,971,954
Value of 247,643 and 491,088 PCs
issued in reinvestment of
dividends 2,466,435 4,901,395
Cost of 3,355,534 and 18,429,870
PCs repurchased (33,469,451) (183,832,374)
----------- -----------
Increase (decrease) in net assets derived
from capital transactions (7,557,233) (81,959,025)
----------- -----------
Total increase (decrease) in net assets (6,932,779) (83,568,750)
NET ASSETS:
Beginning of period 103,239,700 186,808,450
----------- -----------
End of period $ 96,306,921 $103,239,700
----------- -----------
See accompanying notes to financial statements.
</TABLE>
<PAGE>
<PAGE> 17
FINANCIAL HIGHLIGHTS
(Unaudited)
GOVERNMENT/REPO PORTFOLIO
-------------------------
<TABLE>
<CAPTION>
For a Participation Certificate (PC) Outstanding Throughout the Period
6/1/95(1)
through
6/30/95
-------
<S> <C>
Net Asset Value, Beginning of Period $1.00
----
Income From Investment Operations:
- ---------------------------------
Net Investment Income .005
Net Realized Gain (Loss) on Investments 0
----
Total From Investment Operations .005
----
Less Distributions:
- ------------------
Dividends to PC holders from
Net Investment Income (.005)
Distributions to PC holders from
Net Capital Gains 0
----
Total Distributions (.005)
----
Net Asset Value, End of Period $1.00
====
Total Return(1) (3) 6.07%
Ratios/Supplemental Data:
- ------------------------
Net Assets, End of Period (000) $21,000
Ratio of Expenses to Average
Net Assets(2) (3) .10%
Ratio of Net Investment Income
to Average Net Assets(3) 5.98%
<FN>
- ---------------------------
(1) From June 1, 1995 commencement of operations
(2) Without the waiver of advisory and administration fees (see Note C), the ratio of expenses to average
daily net assets would have been .37%.
(3) Annualized
</TABLE>
<PAGE>
<PAGE> 18
FINANCIAL HIGHLIGHTS
(Unaudited)
MONEY MARKET PORTFOLIO
----------------------
<TABLE>
<CAPTION>
For a Participation Certificate (PC) Outstanding Throughout the Period
Six Months Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
---- ---- ---- ---- ---- ----
Income From Investment Operations:
- ---------------------------------
Net Investment Income .029 .041 .030 .037 .060 .080
Net Realized Gain (Loss) on Investments 0 0 0 0 0 0
---- ---- ---- ---- ---- ----
Total From Investment Operations .029 .041 .030 .037 .060 .080
---- ---- ---- ---- ---- ----
Less Distributions:
- ------------------
Dividends to PC holders from
Net Investment Income (.029) (.041) (.030) (.037) (.060) (.080)
Distributions to PC holders from
Net Capital Gains 0 0 0 0 0 0
---- ---- ---- ---- ---- ----
Total Distributions (.029) (.041) (.030) (.037) (.060) (.080)
---- ---- ---- ---- ---- ----
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
==== ==== ==== ==== ==== ====
Total Return(2) 6.02% 4.21% 3.07% 3.73% 6.16% 8.29%
Ratios/Supplemental Data:
- ------------------------
Net Assets, End of Period (000) $520,331 $451,367 $474,838 $390,581 $642,583 $460,402
Ratio of Expenses to Average
Net Assets(1) (2) .24% .26% .24% .23% .25% .28%
Ratio of Net Investment Income
to Average Net Assets(2) 5.92% 4.15% 3.02% 3.68% 5.97% 8.02%
<FN>
- ----------------------------
(1) Without the waiver of advisory and administration fees (see note C), the ratios of expenses to
average daily net assets would have been .25% and .24% for the six months ended June 30, 1995 and for
the fiscal period ended December 31, 1992, respectively.
(2) Annualized
</TABLE>
<PAGE>
<PAGE> 19
FINANCIAL HIGHLIGHTS
(Unaudited)
SHORT-TERM PORTFOLIO
--------------------
<TABLE>
<CAPTION>
For a Participation Certificate (PC) Outstanding Throughout the Period
Six Months Year Year Year Year Year
Ended Ended Ended Ended Ended Ended
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
------- -------- -------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $ 9.93 $10.03 $10.05 $10.09 $ 9.96 $ 9.91
----- ----- ----- ----- ---- -----
Income From Investment Operations:
- ---------------------------------
Net Investment Income .297 .440 .377 .443 .637 .778
Net Realized and Unrealized
Gain (Loss) on Investments .050 (.100) (.009) (.034) .130 .050
----- ----- ----- ----- ----- -----
Total From Investment Operations .347 .340 .368 .409 .767 .828
----- ----- ----- ----- ----- -----
Less Distributions:
- ------------------
Dividends to PC holders from
Net Investment Income (.297) (.440) (.377) (.443) (.637) (.778)
Distributions to PC holders from
Net Capital Gains 0 0 (.011) (.006) 0 0
----- ----- ----- ----- ----- -----
Total Distributions (.297) (.440) (.388) (.449) (.637) (.778)
----- ----- ----- ----- ----- -----
Net Asset Value, End of Period $ 9.98 $ 9.93 $10.03 $10.05 $10.09 $ 9.96
===== ===== ===== ===== ===== =====
Total Return(2) 7.21% 3.46% 3.72% 4.13% 7.95% 8.69%
Ratios/Supplemental Data:
Net Assets, End of Period (000) $96,307 $103,240 $186,808 $195,579 $94,050 $24,828
Ratio of Expenses to Average
Net Assets(1) (2) .30% .30% .30% .30% .30% .30%
Ratio of Net Investment Income
to Average Net Assets(2) 6.03% 4.29% 3.74% 4.29% 6.22% 7.89%
Portfolio Turnover Rate(2) (3) 31.8% 47.6% 34.1% 37.6% 63.8% 100.2%
<FN>
- ----------------------------
(1) Without the waiver of advisory, service agent and administration fees (see note C), the ratios of
expenses to average daily net assets would have been .40%, .37%, .32%, .37%, .56% and .85%
respectively, for the six months ended June 30, 1995, and for the fiscal periods ended December 31,
1994, 1993, 1992, 1991 and 1990.
(2) Excludes security purchases with a maturity of less than one year.
(3) Annualized
</TABLE>
<PAGE>
<PAGE> 20
Notes to Financial Statements
(Unaudited)
A. Plan Investment Fund, Inc. (the "Fund") is registered under the Investment
Company Act of 1940, as amended, as a diversified open-end regulated
investment company. The Fund consists of three separate portfolios, the
Government/REPO Portfolio, the Money Market Portfolio and the Short-Term
Portfolio (the "Portfolio(s)"). The Fund is authorized to issue five
billion Participation certificates ("PCs"), par value $.001 per PC. The
Fund presently offers three classes of PCs as follows: the Government/REPO
Portfolio - one billion PCs authorized, the Money Market Portfolio - two
billion PCs authorized and the Short-Term Portfolio - one billion PCs
authorized.
B. Significant accounting policies relating to the Fund are as follows:
SECURITY VALUATION - GOVERNMENT/REPO PORTFOLIO AND MONEY MARLET PORTFOLIO:
Securities are valued under the amortized cost method, which approximates
current market value. Under this method, securities are valued at cost when
purchased and thereafter a constant proportionate amortization of any
discount or premium is recorded until maturity or sale of the security.
SECURITY VALUATION - SHORT-TERM PORTFOLIO: Securities for which market
quotations are readily available (other than debt securities with remaining
maturities of 60 days or less) are valued at the most recent quoted bid
price provided by investment dealers. Debt securities with remaining
maturities of 60 days or less are valued on an amortized cost basis (unless
the Board determines that such basis does not represent fair value at that
time).
SECURITIES TRANSACTIONS AND INVESTMENT INCOME - Securities transactions are
recorded on the trade date. Realized gains and losses on investments sold
are recorded on the identified cost basis. Interest income is recorded on
the accrual basis.
DIVIDENDS TO PARTICIPATION CERTIFICATE HOLDERS - Dividends of net investment
income of the Portfolios are declared daily and paid monthly. Dividends
payable are recorded on the dividend record date. The Short-Term Portfolio
will, subject to the use of offsetting capital loss carry-forwards,
distribute net realized short- and long-term capital gains, if any, once
each year.
FEDERAL INCOME TAXES - No provision is made for federal taxes as it is each
Portfolio's intention to continue to qualify as a regulated investment
company and to make the requisite distributions to Participation Certificate
Holders which will be sufficient to relieve each Portfolio from all, or
substantially all, federal income and excise taxes. At June 30, 1995, the
Short-Term Portfolio had capital loss carry-forwards amounting to $907,947
that expire in 2002. These loss carry-forwards are available to offset
possible future capital gains of the Short-Term Portfolio.
REPURCHASE AGREEMENTS - Each Portfolio may agree to purchase money market
instruments from financial institutions such as banks and broker-dealers
subject to the seller's agreement to repurchase them at an agreed upon date
and price ("repurchase agreements"). The seller under a repurchase
agreement is required on a daily basis to maintain the value of the
securities subject to the agreement at not less than the repurchase price.
The agreement is conditioned upon the collateral being deposited under the
Federal Reserve book entry system.
ESTIMATED MATURITIES - The maturity of collateralized mortgage obligations
and other asset backed securities may vary due to prepayments of principal.
The maturity dates for these securities are estimates based on historic
prepayment factors.
<PAGE>
<PAGE> 21
VARIABLE RATE OBLIGATIONS - For variable rate obligations, the interest rate
presented is as of June 30, 1995 and the maturity shown is the date of the
next interest readjustment.
C. The Fund has entered into agreements for advisory, administrative, service
agent, custodian and transfer agent services as follows:
GOVERNMENT/REPO PORTFOLIO AND MONEY MARKET PORTFOLIO - PNC Institutional
Management Corporation ("PIMC"), an indirectly wholly owned subsidiary of
PNC Bank, National Association ("PNC Bank"), serves as the Portfolios'
investment advisor and service agent. As compensation for its services the
Portfolios pay PIMC a fee, computed daily and paid monthly, at the following
rate: .20% of the first $250 million, .15% of the next $250 million, .12%
of the next $250 million, .10% of the next $250 million, and .08% of amounts
in excess of $1 billion.
SHORT-TERM PORTFOLIO - Neuberger & Berman ("N&B"), a New York limited
partnership, serves as the Portfolio's investment advisor. As compensation
for its services, the Portfolio pays N&B a fee, computed daily and paid
monthly, at the following rate: .30% of the first $50 million, .20% of the
next $50 million, .15% of the next $150 million, and .10% of amounts in
excess of $250 million.
Health Plans Capital Services Corp. ("CSC") serves as the Fund's
administrator and acts generally in a supervisory capacity with respect to
the Fund's overall operations and relations with holders of PCs. As
compensation for its services each Portfolio pays CSC a fee, computed daily
and payable monthly at an annual rate not to exceed .05% of the average
daily net assets of each of the Fund's Portfolios.
PNC Bank acts as custodian of the Fund's assets and PFPC Inc. ("PFPC"), an
affiliate of PNC Bank, acts as the Fund's transfer agent and dividend
disbursing agent. In addition, PIMC serves as the Short-Term Portfolio
service agent. PNC Bank, PIMC and PFPC receive fees from the Fund for
serving in these capacities.
PIMC and N&B have agreed contractually to reduce their advisory fees
otherwise payable to them in 1995 by the Money Market Portfolio and the
Short-Term Portfolio, respectively, to the extent necessary to reduce the
ordinary operating expenses of both Portfolios individually so that they do
not exceed 0.30 of one percent (0.30%) of each Portfolio's average net
assets for the year. Under these contractual agreements, PIMC and N&B
waived $0 and $55,850 of such fees, respectively, for the period ended
June 30, 1995. CSC voluntarily waived $3,061 of administrator fees payable
by the Short-Term Portfolio during this period. In addition, PIMC
voluntarily waived $16,284 and $1,995 of advisory fees and CSC voluntarily
waived $5,428 and $499 of administrator fees payable by the Money Market
Portfolio and Government/REPO Portfolio, respectively, during this period.
D. At June 30, 1995, net assets consisted of:
<TABLE>
<CAPTION>
Government/REPO Money Market Short-Term
Portfolio Portfolio Portfolio
--------------- ------------ ----------
<S> <C> <C> <C>
Capital paid in................ $21,000,000 $520,328,479 $97,019,783
Accumulated realized gain (loss)
on security transactions..... - 2,308 (936,135)
Net unrealized appreciation of
investments.................. - - 223,273
---------- ----------- ----------
$21,000,000 $520,330,787 $96,306,921
========== =========== ==========
</TABLE>
E. Short-Term Portfolio purchases and sales of investment securities, other
than short-term investments, were $42,627,291 and $9,095,019 respectively, and
purchases and sales of U.S. Government securities were $34,953,005 and
$8,434,329 respectively, for the period ended June 30, 1995.
<PAGE>
<PAGE> 22
[This page intentionally left blank]
<PAGE>
<PAGE> 23
Annual Meeting of Participation Certificate Holders
The Plan Investment Fund, Inc. Annual Meeting of Participation Certificate
holders was held on April 26, 1995. At this Meeting the Participation
Certificate holders elected the slate of Trustee nominees recommended by the
Nominating Committee and ratified the selection of Coopers & Lybrand LLP as
the Fund's independent certified public accountants for the fiscal year ended
December 31, 1995. A total of 639,089,554.669 Participation Certificates,
representing 89.9% of the Participation Certificates eligible to be voted at
this Meeting, were voted as follows:
For Against Abstain
--- ------- -------
Election of Trustee Nominees 639,089,554.669 0 0
Ratification of Independent
Certified Public Accountants 639,089,554.669 0 0
<PAGE>
<PAGE> 24
---------------------------
PLAN INVESTMENT FUND, INC.
676 N. St. Clair
Chicago, Illinois 60611
(312) 440-6372
TRUSTEES
--------
Albert F. Antonini Ralph S. Rhoades
President and Vice President and
Chief Executive Officer Chief Executive Officer
Blue Cross and Blue Shield Blue Cross and Blue Shield
of Central New York, Inc. of Oklahoma
Philip A. Goss Donald P. Sacco
President and President
Chief Executive Officer Pierce County Medical
Plan Investment Fund, Inc.
Health Plans Capital Norman C. Storbakken
Services Corp. Egan, Minnesota
Steven L. Hooker Thomas J. Ward
Senior Vice President, Finance President and
Blue Cross and Blue Shield Chief Executive Officer
of Oregon Blue Cross of Northeastern
Pennsylvania
William M. Lowry Sherman M. Wolff
President and Senior Vice President, Finance
Chief Executive Officer Blue Cross and Blue Shield
Blue Cross of Western of Illinois
Pennsylvania
David M. Murdoch
Executive Vice President
Blue Cross and Blue Shield
Association
INVESTMENT ADVISORS
-------------------
GOVERNMENT/REPO PORTFOLIO
and MONEY MARKET PORTFOLIO SHORT-TERM PORTFOLIO
-------------------------- --------------------
PNC Institutional Management Corporation Neuberger & Berman
Wilmington, Delaware New York, New York
<PAGE>
<PAGE> 25
EDGAR Appendix
This appendix describes components of the printed version of this report
that do not translate into a format aceptable to the EDGAR system.
The cover of the printed version of this report includes a logo of the
administrator of Plan Investment Fund Inc., Health Plans Capital Services
Corp. The logo includes the full legal name and address of the
administrator and abbreviated initials of the administrator, "CSC".
A header featuring the Plan Investment Fund, Inc. logo appears at the
top of pages 4, 6, 8, 10, 12, 14, 16 and 18. The logo includes the
abbreviated initials of the fund, "PIF", enclosed in a box beneath a line
bar.
