<PAGE> 1
ARMADA
SEMI-ANNUAL REPORT
FUNDS
NOVEMBER 30, 1997
MONEY
(UNAUDITED)
MARKET
SERIES
ARMADA MONEY MARKET FUND
ARMADA GOVERNMENT MONEY MARKET FUND
ARMADA TREASURY MONEY MARKET FUND
ARMADA TAX EXEMPT MONEY MARKET FUND
ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
[ARMADA FUNDS LOGO]
Financial Power Close at Hand
<PAGE> 2
LOGO ARMADA FUNDS
MONEY MARKET SERIES
SEMI-ANNUAL REPORT -- NOVEMBER 30, 1997
(UNAUDITED)
<TABLE>
<S> <C>
TABLE OF CONTENTS
Chairman's Message........................................... 1
PORTFOLIOS OF INVESTMENTS AND FINANCIAL HIGHLIGHTS
Armada Money Market Fund................................... 3
Armada Government Money Market Fund........................ 8
Armada Treasury Money Market Fund.......................... 11
Armada Tax Exempt Money Market Fund........................ 13
Armada Pennsylvania Tax Exempt Money Market Fund........... 21
FINANCIAL STATEMENTS
Statement of Assets and Liabilities........................ 27
Statement of Operations.................................... 28
Statement of Changes in Net Assets......................... 29
NOTES TO FINANCIAL STATEMENTS................................ 30
</TABLE>
- - SHARES OF ARMADA FUNDS ARE NOT BANK DEPOSITS OR OBLIGATIONS OF, OR GUARANTEED
OR ENDORSED OR OTHERWISE SUPPORTED BY NATIONAL CITY BANK, NATIONAL ASSET
MANAGEMENT CORPORATION, THEIR AFFILIATES OR ANY BANK.
- - SHARES OF ARMADA FUNDS ARE NOT INSURED OR GUARANTEED BY THE U.S. GOVERNMENT,
FDIC, OR ANY GOVERNMENTAL AGENCY OR STATE.
- - AN INVESTMENT IN ARMADA FUNDS INVOLVES INVESTMENT RISKS, INCLUDING THE
POSSIBLE LOSS OF PRINCIPAL.
- - PAST PERFORMANCE IS NOT INDICATIVE OF FUTURE PERFORMANCE, AND THE INVESTMENT
RETURN WILL FLUCTUATE.
National City Bank and National Asset Management Corporation serve as investment
advisers to Armada Funds for which they receive an investment advisory fee. For
more complete information about Armada Funds, including charges and expenses,
please contact your investment specialist or call 1-800-622-FUND (3863) for a
prospectus. Read it carefully before you invest or send money. Armada Funds are
distributed by SEI Investments Distribution Co. (SIDC), Oaks, PA 19456. SIDC is
not affiliated with National City Bank and is not a bank.
ARMADA
MONEY MARKET FUND
ARMADA
GOVERNMENT
MONEY MARKET FUND
ARMADA
TREASURY
MONEY MARKET FUND
ARMADA
TAX EXEMPT
MONEY MARKET FUND
ARMADA
PENNSYLVANIA
TAX EXEMPT
MONEY MARKET FUND
0
<PAGE> 3
LOGO CHAIRMAN'S MESSAGE
DEAR ARMADA FUNDS SHAREHOLDER:
It is my pleasure to update you on the semi-annual
performance of the Armada Funds. As of November 30,
1997, the Funds held total assets of $6.09 billion,
an increase of 13% over the total assets of six
months ago. This growth is the direct result of
additional investments by shareholders and strong,
ongoing improvement in investment income.
INVESTMENT PERFORMANCE EARNS NATIONAL RECOGNITION
Our performance has been impressive considering
the relatively high volatility in the recent market.
Especially noteworthy has been the recognition given
to Armada Funds by industry publications as
exemplified by the following:
- The Armada Equity Growth Fund was highlighted in
Investor's Business Daily as one of the leading
mutual funds for the past three years.
- The Armada Small Cap Value Fund (formerly the
Mid Cap Regional Fund) was awarded a 5-star
rating from Morningstar on August 31, 1997.
- The Armada GNMA Fund was recognized by The Wall
Street Journal on October 14, 1997 as one of the
top GNMA funds in the country.
- In the December 1997 issue of Mutual Funds
Magazine, the entire Armada Family of Funds was
awarded 4 stars out of a possible five.
EXPANDING AND CLARIFYING OUR RANGE OF INVESTMENT
CHOICES
The range of investment opportunities for current
and potential shareholders was significantly
expanded in August with the addition of three new
equity funds. Within the Armada Equity Series, you
now can diversify across large and small market
capitalizations, and take advantage of both growth
and value styles of investing. The six funds in the
Series are:
<TABLE>
<S> <C>
Armada Core Equity Fund Armada Small Cap Growth Fund
Armada International Equity Fund Armada Equity Income Fund
Armada Equity Growth Fund Armada Small Cap Value Fund
</TABLE>
1
<PAGE> 4
LOGO CHAIRMAN'S MESSAGE
CHANGES APPROVED BY SHAREHOLDERS
Several changes were approved at our November 1997
shareholder meeting. Additionally, three funds were
renamed to more accurately reflect their investment
style and fund characteristics:
Armada Small Cap Value Fund is the new name for the
former Armada Mid Cap Regional Fund.
Armada Bond Fund is the new name for the former
Armada Intermediate Government Fund.
Armada Intermediate Bond Fund is the new name for
the former Armada Fixed Income Fund.
Other changes were made to clarify the investment
objectives and limitations for a number of funds.
Also, all of the funds elected the Board of Trustees
who are listed on the back page of this report.
If you would like more information about your
investment, or any of the Armada Funds, please call
your account representative or 1-800-622-FUND(3863).
Or you can find us on the World Wide Web at
WWW.NATIONAL-CITY.COM. Click Invest It! for Armada
Funds information. We are pleased to answer your
questions and look forward to serving your
investment needs now and in the years to come.
Best wishes for a happy, healthy and rewarding
1998.
Sincerely,
/s/ Robert D. Neary
Robert D. Neary
Chairman
Armada Funds
2
<PAGE> 5
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER -- 86.9%
AGRICULTURE -- 4.2%
Canadian Wheat Board (P1, A1+)
5.48%.......... 12/04/97 $10,000 $ 9,995,433
5.48%.......... 12/08/97 15,000 14,984,017
5.48%.......... 12/17/97 25,000 24,939,111
Cargill Financial Services (P1, A1+)
5.57%.......... 01/07/98 23,000 22,868,331
5.57%.......... 03/13/98 20,000 19,684,367
--------------
92,471,259
--------------
CHEMICALS -- 6.2%
Dow Chemical Co. (P1, A1)
5.55%.......... 12/19/97 14,500 14,459,762
E.I. DuPont de Nemours & Co.
(P1, A1+)
5.50%.......... 01/12/98 25,000 24,839,583
5.50%.......... 01/14/98 25,000 24,831,944
5.50%.......... 01/20/98 25,000 24,809,028
5.50%.......... 02/03/98 25,000 24,755,556
Monsanto Co. (P1, A1)
5.49%.......... 12/04/97 25,000 24,988,562
--------------
138,684,435
--------------
CONSUMER NON-DURABLES -- 5.3%
Clorox Co. (P1, A1)
5.49%.......... 12/16/97 9,000 8,979,413
5.48%.......... 12/23/97 10,000 9,966,511
Procter & Gamble Co. (P1, A1+)
5.46%.......... 12/02/97 20,000 19,996,967
5.48%.......... 12/29/97 25,000 24,893,444
5.58%.......... 03/02/98 25,000 24,647,375
5.55%.......... 03/05/98 30,000 29,565,250
--------------
118,048,960
--------------
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER -- CONTINUED
DIVERSIFIED -- 5.4%
General Electric Capital Corp. (P1,
A1+)
5.55%.......... 01/26/98 $20,000 $ 19,827,333
5.59%.......... 02/04/98 25,000 24,747,674
5.60%.......... 02/09/98 15,000 14,836,667
5.67%.......... 03/06/98 15,000 14,775,563
Minnesota Mining & Manufacturing Co.
(P1, A1+)
5.53%.......... 01/21/98 21,000 20,835,483
5.55%.......... 02/19/98 25,000 24,691,667
--------------
119,714,387
--------------
DRUGS & HEALTH CARE -- 2.2%
Schering Corp. (P1, A1+)
5.47%.......... 12/17/97 15,000 14,963,533
5.50%.......... 01/06/98 15,000 14,917,500
5.64%.......... 02/03/98 20,000 19,799,467
--------------
49,680,500
--------------
ELECTRONICS -- 2.0%
Lucent Technologies Inc. (P1, A1)
5.47%.......... 12/05/97 15,000 14,990,883
5.48%.......... 12/08/97 30,000 29,968,033
--------------
44,958,916
--------------
ENTERTAINMENT -- 2.7%
Walt Disney Co. (P1, A1)
5.48%.......... 01/22/98 20,000 19,841,689
5.51%.......... 01/26/98 15,000 14,871,433
5.53%.......... 02/06/98 25,000 24,742,701
--------------
59,455,823
--------------
</TABLE>
See Accompanying Notes
3
<PAGE> 6
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER -- CONTINUED
FINANCE-CONDUIT -- 15.9%
Ciesco, L.P. (P1, A1+)
5.50%.......... 12/05/97 $20,000 $ 19,987,778
5.55%.......... 01/22/98 20,000 19,839,667
5.55%.......... 01/23/98 20,000 19,836,583
5.58%.......... 02/17/98 20,000 19,758,200
5.65%.......... 02/27/98 20,000 19,723,778
Corporate Asset Funding Co., Inc.
(P1, A1+)
5.50%.......... 12/10/97 20,000 19,972,500
5.52%.......... 01/13/98 10,000 9,934,067
5.51%.......... 01/16/98 20,000 19,859,189
5.70%.......... 01/21/98 20,000 19,838,500
5.58%.......... 02/02/98 25,000 24,755,875
Delaware Funding Corp. (P1, A1+)
5.52%.......... 12/11/97 14,000 13,978,533
5.53%.......... 12/16/97 10,181 10,157,541
5.60%.......... 01/28/98 10,000 9,909,778
New Center Asset Trust (P1, A1+)
5.49%.......... 12/22/97 25,000 24,919,938
5.53%.......... 01/06/98 15,000 14,917,050
5.58%.......... 02/11/98 30,000 29,665,200
Preferred Receivables Funding Corp.
(P1, A1)
5.52%.......... 12/17/97 9,000 8,977,920
5.55%.......... 01/05/98 30,000 29,838,125
5.74%.......... 01/14/98 19,000 18,866,704
--------------
354,736,926
--------------
FINANCIAL SERVICES -- 11.6%
American Express Credit Corp. (P1,
A1)
5.50%.......... 12/09/97 30,000 29,963,333
5.51%.......... 01/13/98 30,000 29,802,558
Associates First Capital Corp. (P1,
A1+)
5.51%.......... 01/16/98 20,000 19,859,189
5.57%.......... 02/13/98 20,000 19,771,011
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER -- CONTINUED
FINANCIAL SERVICES -- CONTINUED
Ford Motor Credit Co. (P1, A1)
5.63%.......... 03/11/98 $20,000 $ 19,687,222
National Rural Utilities Cooperative
Finance Corp. (P1, A1+)
5.53%.......... 01/21/98 20,000 19,843,317
5.54%.......... 01/23/98 10,000 9,918,439
5.66%.......... 02/09/98 14,000 13,845,922
5.65%.......... 03/10/98 15,000 14,766,937
Norwest Financial Corp. (P1, A1+)
5.54%.......... 01/06/98 30,000 29,833,800
5.57%.......... 02/11/98 25,000 24,721,500
Transamerica Corp. (P1, A1)
5.68%.......... 01/20/98 15,000 14,881,667
5.70%.......... 01/28/98 12,000 11,889,800
--------------
258,784,695
--------------
FOOD & BEVERAGE -- 8.9%
Campbell Soup Co. (P1, A1+)
5.55%.......... 02/06/98 13,200 13,063,655
Coca-Cola Co. (P1, A1+)
5.47%.......... 12/19/97 25,000 24,931,625
5.47%.......... 01/16/98 15,000 14,895,158
H.J. Heinz Co. (P1, A1)
5.55%.......... 01/09/98 24,000 23,855,700
Hershey Foods Corp. (P1, A1+)
5.47%.......... 12/03/97 10,000 9,996,961
5.62%.......... 01/23/98 21,000 20,826,248
5.60%.......... 01/30/98 15,000 14,860,000
Kellogg Co. (P1, A1+)
5.55%.......... 12/23/97 17,600 17,540,307
Sysco Corp. (P1, A1+)
5.51%.......... 12/04/97 30,000 29,986,225
5.48%.......... 12/16/97 20,000 19,954,333
5.53%.......... 02/03/98 8,000 7,921,351
--------------
197,831,563
--------------
</TABLE>
See Accompanying Notes
4
<PAGE> 7
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER -- CONTINUED
INSURANCE -- 2.5%
American General Corp. (P1, A1+)
5.59%.......... 01/15/98 $25,000 $ 24,825,313
5.57%.......... 01/22/98 30,000 29,758,633
--------------
54,583,946
--------------
MACHINERY & HEAVY EQUIPMENT -- 1.6%
John Deere Credit Corp. (P1, A1)
5.65%.......... 01/20/98 15,000 14,882,292
5.57%.......... 02/10/98 20,000 19,780,294
--------------
34,662,586
--------------
OFFICE & BUSINESS EQUIPMENT -- 1.6%
Xerox Credit Corp. (P1, A1)
5.47%.......... 12/23/97 18,500 18,438,159
5.52%.......... 02/09/98 12,000 11,871,200
5.63%.......... 02/13/98 5,000 4,942,136
--------------
35,251,495
--------------
OIL & GAS -- 1.1%
Amoco Credit Corp. (P1, A1+)
5.47%.......... 01/23/98 25,000 24,798,674
--------------
PRINTING & PUBLISHING -- 2.9%
Gannett Co., Inc. (P1, A1)
5.49%.......... 01/20/98 15,000 14,885,625
5.51%.......... 01/27/98 20,000 19,825,517
RR Donnelley & Sons (P1, A1)
5.48%.......... 12/02/97 15,400 15,397,656
5.50%.......... 12/15/97 15,000 14,967,917
--------------
65,076,715
--------------
RETAIL STORES -- 0.7%
Toys "R" Us, Inc. (P1, A1+)
5.53%.......... 12/10/97 16,249 16,226,536
--------------
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
COMMERCIAL PAPER -- CONTINUED
TECHNOLOGY -- 2.4%
IBM Credit Corp. (P1, A1)
5.58%.......... 02/10/98 $30,000 $ 29,669,850
5.55%.......... 02/20/98 25,000 24,687,813
--------------
54,357,663
--------------
TELECOMMUNICATIONS -- 2.1%
BellSouth Corp. (P1, A1+)
5.63%.......... 01/29/98 25,000 24,769,326
Motorola, Inc. (P1, A1+)
5.48%.......... 01/27/98 23,000 22,800,437
--------------
47,569,763
--------------
UTILITIES-ELECTRIC -- 2.2%
Southern California Edison Co. (P1,
A1)
5.50%.......... 12/17/97 25,000 24,938,889
5.48%.......... 01/08/98 25,000 24,855,389
--------------
49,794,278
--------------
UTILITIES-GAS -- 0.4%
Northern Illinois Gas Co. (P1, A1+)
5.52%.......... 01/13/98 8,993 8,933,706
--------------
UTILITIES-GAS & ELECTRIC -- 1.6%
Pacific Gas & Electric (P1, A1)
5.57%.......... 12/05/97 35,000 34,978,339
--------------
UTILITIES-TELEPHONE -- 3.4%
Ameritech Corp. (P1, A1+)
5.48%.......... 12/08/97 25,000 24,973,361
5.48%.......... 12/22/97 10,000 9,968,033
5.57%.......... 01/26/98 20,000 19,826,711
Southwestern Bell Corp. (P1, A1+)
5.63%.......... 02/13/98 20,000 19,768,544
--------------
74,536,649
--------------
TOTAL COMMERCIAL PAPER................. 1,935,137,814
--------------
</TABLE>
See Accompanying Notes
5
<PAGE> 8
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
CERTIFICATES OF DEPOSIT -- 4.0%
Barclays Bank Plc (P1, A1+)
5.59%.......... 01/09/98 $25,000 $ 25,000,267
5.74%.......... 01/15/98 20,000 20,001,343
Credit Suisse Financial Services (P1,
A1+)
5.63%.......... 01/02/98 25,000 25,000,219
Societe Generale (P1, A1+)
5.85%.......... 03/03/98 19,000 18,999,692
--------------
TOTAL CERTIFICATES OF DEPOSIT.......... 89,001,521
--------------
FLOATING RATE NOTES (A) -- 1.1%
General Electric Capital Corp.
5.69%.......... 01/29/98 25,000 25,000,000
--------------
MASTER DEMAND NOTES (A) -- 2.0%
Metropolitan Life Insurance Co.
5.78%.......... 12/01/97 20,000 20,000,000
Paccar Financial Corp. (P1, A1+)
5.56%.......... 12/02/97 25,000 25,000,000
--------------
TOTAL MASTER DEMAND NOTES.............. 45,000,000
--------------
REPURCHASE AGREEMENTS -- 4.7%
Prudential-Bache Securities:
5.61%.......... 12/01/97 100,000 100,000,000
(Agreement dated 11/28/97 to be
repurchased at $100,046,750 on
12/01/97, collateralized by
$20,000,000 Federal Home Loan
Mortgage Corp., 6.537% due 7/15/21,
$18,320,000 Federal Home Loan
Mortgage Corp., 4.525% due 9/15/21,
$50,000,000 Federal Home Loan
Mortgage Corp., 5.00% due 3/25/23,
and $50,000,000 Federal National
Mortgage Association, 6.237% due
7/18/27. The market value of the
collateral is $103,255,819.)
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
REPURCHASE AGREEMENTS -- CONTINUED
Prudential-Bache Securities:
5.74%.......... 12/01/97 $ 4,000 $ 4,000,000
--------------
(Agreement dated 11/28/97 to be
repurchased at $4,001,913 on
12/01/97, collateralized by
$4,360,000 Federal Home Loan
Mortgage Corp., 6.855% due
10/15/23. The market value of the
collateral is $4,381,000.)
TOTAL REPURCHASE AGREEMENTS............ 104,000,000
--------------
</TABLE>
<TABLE>
<CAPTION>
NUMBER
OF SHARES
---------
<S> <C> <C>
INVESTMENT COMPANIES -- 1.3%
Goldman Sachs Financial
Square Prime Obligations
Portfolio............... 28,120,723 28,120,723
--------------
TOTAL INVESTMENTS -- 100.0% $2,226,260,058
==============
(Cost $2,226,260,058*)
- ---------------
* Also cost for Federal income tax purposes.
(A) Variable rate securities. Interest rates vary
periodically based on current market rates. Rates
shown represent interest rates of the security in
effect as of November 30, 1997. Dates shown
represent the latter of the demand date or the next
interest rate change date, which is considered the
maturity date for financial reporting purposes.
</TABLE>
See Accompanying Notes
6
<PAGE> 9
LOGO FINANCIAL HIGHLIGHTS
ARMADA MONEY MARKET FUND
FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
FOR THE SIX MONTHS FOR THE YEAR ENDED MAY 31,
ENDED NOVEMBER 30, -----------------------------------------------------------------------
1997
(UNAUDITED) 1997 1996 1995
------------------------- ------------------------- ------------------------- -------------
INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL
------------- -------- ------------- -------- ------------- -------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of
period............... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
---------- -------- ---------- -------- ---------- -------- ----------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income............. 0.03 0.03 0.05 0.05 0.05 0.05 0.05
LESS DISTRIBUTIONS
Dividends from net
investment income.. (0.03) (0.03) (0.05) (0.05) (0.05) (0.05) (0.05)
---------- -------- ---------- -------- ---------- -------- ----------
Net asset value, end
of period............ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
========== ======== ========== ======== ========== ======== ==========
TOTAL RETURN.......... 5.40%(3) 5.29%(3) 5.19% 5.09% 5.45% 5.35% 5.11%
RATIOS/SUPPLEMENTAL
DATA
Net assets, end of
period (in
000's)............. $ 1,760,877 $456,136 $ 1,943,021 $346,172 $ 1,344,414 $343,087 $ 1,083,243
Ratio of expenses to
average net
assets............. 0.38%(1,3) 0.48%(2,3) 0.37%(1) 0.47%(2) 0.37%(1) 0.47%(2) 0.37%(1)
Ratio of net
investment income
to average net
assets............. 5.27%(1,3) 5.17%(2,3) 5.07%(1) 4.97%(2) 5.30%(1) 5.18%(2) 5.07%(1)
<CAPTION>
1995 1994 1993
-------- ------------------------ ------------------------
RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL
-------- ------------- ------- ------------- -------
<S> <C<C> <C> <C> <C> <C>
Net asset value,
beginning of
period............... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- -------- ------- -------- -------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income............. 0.05 0.03 0.03 0.03 0.03
LESS DISTRIBUTIONS
Dividends from net
investment income.. (0.05) (0.03) (0.03) (0.03) (0.03)
-------- -------- ------- -------- -------
Net asset value, end
of period............ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ======= ======== =======
TOTAL RETURN.......... 5.01% 2.91% 2.81% 2.93% 2.82%
RATIOS/SUPPLEMENTAL
DATA
Net assets, end of
period (in
000's)............. $175,192 $ 743,377 $67,229 $ 399,191 $57,710
Ratio of expenses to
average net
assets............. 0.47%(2) 0.43%(1) 0.53%(2) 0.43% 0.53%
Ratio of net
investment income
to average net
assets............. 5.12%(2) 2.94%(1) 2.78%(2) 2.89% 2.79%
</TABLE>
(1) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Institutional class for the
period ended November 30, 1997 and for the year ended May 31, 1997 would
have been .48% and 5.17%, and .47% and 4.97%, respectively. The operating
expense ratio and net investment income ratio before fee waivers by the
Investment Advisers and Custodian for the Institutional class for the years
ended May 31, 1996 and 1995 would have been .48% and 5.19%, and .48% and
4.96% respectively. The operating expense ratio and net investment income
ratio before fee waiver by the Investment Advisers for the Institutional
class for the year ended May 31, 1994 would have been .45% and 2.92%,
respectively.
(2) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Retail class for the period ended
November 30, 1997 and for the year ended May 31, 1997 would have been .58%
and 5.07%, and .57% and 4.87%, respectively. The operating expense ratio and
net investment income ratio before fee waivers by the Investment Advisers
and Custodian for the Retail class for the years ended May 31, 1996 and 1995
would have been .58% and 5.07%, and .58% and 5.01%, respectively. The
operating expense ratio and net investment income ratio before fee waivers
by the Investment Advisers for the Retail class for the year ended May 31,
1994 would have been .55% and 2.76%, respectively.
(3) Annualized.
See Accompanying Notes
7
<PAGE> 10
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA GOVERNMENT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
AGENCY OBLIGATIONS -- 86.6%
FEDERAL FARM CREDIT BANK DISCOUNT NOTES -- 19.6%
5.39%........... 12/01/97 $ 16,870 $ 16,870,000
5.40%........... 12/02/97 9,000 8,998,650
5.38%........... 12/03/97 8,700 8,697,402
5.41%........... 12/04/97 4,577 4,574,937
5.38%........... 12/05/97 12,800 12,792,348
5.40%........... 12/10/97 5,500 5,492,575
5.41%........... 12/11/97 10,000 9,984,972
5.39%........... 12/18/97 10,000 9,974,547
5.38%........... 12/23/97 6,600 6,578,301
5.37%........... 12/26/97 9,000 8,966,438
5.41%........... 12/30/97 5,000 4,978,210
5.40%........... 01/02/98 35,000 34,832,000
5.42%........... 01/09/98 13,677 13,596,693
5.48%........... 01/13/98 10,000 9,934,544
5.40%........... 01/14/98 10,135 10,068,109
5.40%........... 01/22/98 10,000 9,922,072
5.53%........... 01/26/98 4,265 4,228,312
5.55%........... 02/04/98 6,825 6,756,608
5.51%........... 02/06/98 10,000 9,897,453
5.50%........... 02/20/98 10,000 9,876,250
5.43%........... 03/17/98 9,000 8,856,105
5.51%........... 03/27/98 19,000 18,662,666
------------
234,539,192
------------
FEDERAL HOME LOAN BANK DISCOUNT NOTES -- 20.7%
5.44%........... 12/05/97 10,000 9,993,956
5.42%........... 12/26/97 20,000 19,924,722
5.42%........... 01/05/98 10,000 9,947,354
5.42%........... 01/07/98 20,000 19,888,692
5.39%........... 01/14/98 10,000 9,934,183
5.43%........... 01/16/98 6,207 6,163,934
5.45%........... 01/16/98 10,000 9,930,425
5.36%........... 01/21/98 15,000 14,886,100
5.40%........... 01/28/98 10,000 9,913,000
5.43%........... 01/30/98 16,000 15,855,200
5.44%........... 02/04/98 10,000 9,901,778
5.49%........... 02/06/98 10,000 9,897,825
5.46%........... 02/09/98 15,000 14,840,750
5.40%........... 02/11/98 10,000 9,892,000
5.44%........... 02/11/98 15,000 14,836,800
5.43%........... 02/20/98 15,000 14,816,738
5.43%........... 02/25/98 20,000 19,740,567
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
AGENCY OBLIGATIONS -- CONTINUED
FEDERAL HOME LOAN BANK DISCOUNT NOTES -- CONTINUED
5.57%........... 02/25/98 $ 15,000 $ 14,800,408
5.44%........... 03/13/98 12,200 12,011,957
------------
247,176,389
------------
FEDERAL HOME LOAN MORTGAGE CORP.
DISCOUNT NOTES -- 19.6%
5.46%........... 12/04/97 10,000 9,995,450
5.40%........... 12/12/97 10,000 9,983,500
5.47%........... 12/12/97 7,000 6,988,300
5.40%........... 12/15/97 10,000 9,979,000
5.39%........... 12/18/97 20,000 19,949,118
5.41%........... 12/19/97 10,000 9,972,975
5.41%........... 12/23/97 15,000 14,950,408
5.47%........... 12/24/97 10,000 9,965,085
5.42%........... 12/29/97 10,000 9,957,844
5.50%........... 12/31/97 14,000 13,935,833
5.47%........... 01/09/98 10,500 10,437,779
5.46%........... 02/06/98 10,000 9,898,383
5.46%........... 02/10/98 20,000 19,784,633
5.48%........... 02/11/98 15,000 14,835,600
5.49%........... 03/06/98 15,000 14,782,688
5.51%........... 03/06/98 10,000 9,854,597
5.47%........... 03/11/98 10,000 9,848,056
5.48%........... 03/11/98 10,000 9,847,917
5.50%........... 03/11/98 10,000 9,847,222
5.45%........... 04/30/98 10,000 9,772,917
------------
234,587,305
------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION
DISCOUNT NOTES -- 21.5%
5.40%........... 12/09/97 20,000 19,976,000
5.41%........... 12/10/97 10,000 9,986,475
5.37%........... 12/11/97 10,000 9,985,083
5.40%........... 12/22/97 10,000 9,968,500
5.46%........... 12/22/97 10,000 9,968,150
5.40%........... 12/30/97 15,000 14,934,810
5.38%........... 01/05/98 10,000 9,947,743
5.39%........... 01/05/98 10,000 9,947,597
5.38%........... 01/06/98 10,000 9,946,200
5.42%........... 01/12/98 15,000 14,905,150
5.50%........... 01/15/98 5,000 4,965,625
5.50%........... 01/20/98 15,000 14,885,417
5.37%........... 01/21/98 6,500 6,450,551
5.54%........... 01/21/98 10,000 9,921,517
</TABLE>
See Accompanying Notes
8
<PAGE> 11
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA GOVERNMENT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
AGENCY OBLIGATIONS -- CONTINUED
FEDERAL NATIONAL MORTGAGE ASSOCIATION DISCOUNT
NOTES -- CONTINUED
5.47%........... 01/23/98 $ 10,000 $ 9,919,469
5.37%........... 01/29/98 10,000 9,912,074
5.49%........... 01/29/98 7,000 6,937,017
5.48%........... 02/05/98 10,000 9,899,533
5.51%........... 02/19/98 10,000 9,877,556
5.50%........... 03/10/98 10,000 9,848,750
5.53%........... 03/24/98 10,000 9,826,419
5.47%........... 03/30/98 20,000 19,638,372
5.50%........... 04/15/98 15,000 14,690,625
------------
256,338,633
------------
STUDENT LOAN MARKETING ASSOCIATION DISCOUNT
NOTES -- 5.2%
5.40%........... 12/03/97 32,600 32,590,225
5.42%........... 12/08/97 10,000 9,989,461
5.42%........... 01/27/98 10,000 9,914,183
5.47%........... 01/27/98 10,000 9,913,392
------------
62,407,261
------------
TOTAL AGENCY OBLIGATIONS 1,035,048,780
------------
REPURCHASE AGREEMENTS -- 11.9%
Prudential-Bache Securities:
5.61%........... 12/01/97 100,000 100,000,000
(Agreement dated 11/28/97 to be
repurchased at $100,046,750 on
12/01/97, collateralized by
$36,300,000 Federal Home Loan Mortgage
Corp., 6.65% due 2/15/27, $25,000,000
Federal Home Loan Mortgage Corp.,
7.00% due 2/15/27, $25,255,000 Federal
National Mortgage Association, 6.327%
due 7/18/27, and by $25,000,000
Federal National Mortgage Association
6.788% due 8/18/27. The market value
of the collateral is $103,255,819.)
<CAPTION>
MATURITY PAR
DATE (000) VALUE
-------- --------- --------------
<S> <C> <C> <C>
REPURCHASE AGREEMENTS -- CONTINUED
Prudential-Bache Securities:
5.74%........... 12/01/97 $ 42,000 $ 42,000,000
------------
(Agreement dated 11/28/97 to be
repurchased at $42,029,090 on
12/01/97, collateralized by $9,205,000
Federal Home Loan Mortgage Corp.,
3.987% due 12/05/08 and by $33,200,000
Federal National Mortgage Association,
7.00% due 7/25/23. The market value of
the collateral is $43,059,000.)
TOTAL REPURCHASE AGREEMENTS 142,000,000
------------
</TABLE>
<TABLE>
<CAPTION>
NUMBER OF
SHARES
----------
<S> <C> <C> <C>
INVESTMENT COMPANIES -- 1.5%
Goldman Sachs Financial
Square Government Fund..... 18,268,729 18,268,729
------------
TOTAL INVESTMENTS -- 100.0% $1,195,317,509
============
(Cost $1,195,317,509*)
</TABLE>
- ---------------
*Also cost for Federal income tax purposes.
See Accompanying Notes
9
<PAGE> 12
LOGO FINANCIAL HIGHLIGHTS
ARMADA GOVERNMENT MONEY MARKET FUND
FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
FOR THE SIX MONTHS FOR THE YEAR ENDED MAY 31,
ENDED NOVEMBER 30, -----------------------------------------------------------------------
1997
(UNAUDITED) 1997 1996 1995
------------------------- ------------------------- ------------------------- -------------
INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL
------------- -------- ------------- -------- ------------- -------- -------------
<S> <C> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of
period............... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------------- -------- ------------- -------- ------------- -------- -------------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income............. 0.03 0.03 0.05 0.05 0.05 0.05 0.05
LESS DISTRIBUTIONS
Dividends from net
investment income.. (0.03) (0.03) (0.05) (0.05) (0.05) (0.05) (0.05)
------------- -------- ------------- -------- ------------- -------- -------------
Net asset value, end
of period............ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
============ ======== ============ ======== ============ ======== ============
TOTAL RETURN.......... 5.30%(3) 5.20%(3) 5.15% 5.04% 5.41% 5.31% 4.97%
RATIOS/SUPPLEMENTAL
DATA
Net assets, end of
period (in 000's).. $ 992,794 $196,926 $ 811,662 $159,129 $ 741,894 $131,194 $ 618,058
Ratio of expenses to
average net
assets............. 0.39%(1,3) 0.49%(2,3) 0.36%(1) 0.47%(2) 0.36%(1) 0.46%(2) 0.39%(1)
Ratio of net
investment income
to average net
assets............. 5.18%(1,3) 5.08%(2,3) 5.03%(1) 4.93%(2) 5.27%(1) 5.13%(2) 4.83%(1)
<CAPTION>
1995 1994 1993
-------- ------------------------ ------------------------
RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL
-------- ------------- ------- ------------- -------
<S> <C<C> <C> <C> <C> <C>
Net asset value,
beginning of
period............... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------------- ------- ------------- -------
INCOME FROM INVESTMENT
OPERATIONS
Net investment
income............. 0.05 0.03 0.03 0.03 0.03
LESS DISTRIBUTIONS
Dividends from net
investment income.. (0.05) (0.03) (0.03) (0.03) (0.03)
-------- ------------- ------- ------------- -------
Net asset value, end
of period............ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ============ ======= ============ =======
TOTAL RETURN.......... 4.87% 2.91% 2.80% 2.91% 2.81%
RATIOS/SUPPLEMENTAL
DATA
Net assets, end of
period (in 000's).. $ 19,174 $ 768,337 $ 6,945 $ 272,809 $11,050
Ratio of expenses to
average net
assets............. 0.51%(2) 0.42%(1) 0.52%(2) 0.45%(1) 0.55%(2)
Ratio of net
investment income
to average net
assets............. 5.01%(2) 2.92%(1) 2.75%(2) 2.84%(1) 2.74%(2)
</TABLE>
(1) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Institutional class for the
period ended November 30, 1997 and for the year ended May 31, 1997 would
have been .49% and 5.08%, and .46% and 4.93%, respectively. The operating
expense ratio and net investment income ratio before fee waivers by the
Investment Advisers and Custodian for the Institutional class for the years
ended May 31, 1996 and 1995 would have been .47% and 5.16%, and .50% and
4.72%, respectively. The operating expense ratio and net investment income
ratio before fee waivers by the Investment Advisers for the Institutional
class for the years ended May 31, 1994 and 1993 would have been .44% and
2.90%, and .46% and 2.82%, respectively.
(2) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Retail class for the period ended
November 30, 1997 and for the year ended May 31, 1997 would have been .59%
and 4.98%, and .57% and 4.83%, respectively. The operating expense ratio and
net investment income ratio before fee waivers by the Investment Advisers
and Custodian for the Retail class for the years ended May 31, 1996 and 1995
would have been .57% and 5.02%, and .63% and 4.90%, respectively. The
operating expense ratio and net investment income ratio before fee waivers
by the Investment Advisers for the Retail class for the years ended May 31,
1994 and 1993 would have been .54% and 2.73%, and .56% and 2.72%,
respectively.
(3) Annualized.
See Accompanying Notes
10
<PAGE> 13
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TREASURY MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- ------------
<S> <C> <C> <C>
U.S. TREASURY OBLIGATIONS -- 99.7%
U.S. TREASURY BILLS -- 85.0%
4.60%........... 12/04/97 $ 10,000 $ 9,996,167
4.67%........... 12/11/97 20,000 19,974,055
4.76%........... 12/11/97 8,000 7,989,422
4.93%........... 12/11/97 10,000 9,986,306
4.74%........... 12/18/97 10,000 9,977,617
4.82%........... 12/18/97 1,500 1,496,586
4.92%........... 12/26/97 6,000 5,979,500
4.91%........... 01/02/98 15,000 14,934,600
4.92%........... 01/02/98 5,000 4,978,155
4.93%........... 01/02/98 10,000 9,956,178
4.95%........... 01/02/98 5,000 4,978,000
4.98%........... 01/02/98 5,000 4,977,867
5.03%........... 01/02/98 5,000 4,977,667
5.12%........... 01/02/98 5,000 4,977,244
4.93%........... 01/08/98 13,000 12,932,349
4.99%........... 01/08/98 12,000 11,936,793
5.07%........... 01/08/98 14,000 13,925,077
5.11%........... 01/08/98 12,000 11,935,273
5.19%........... 01/15/98 20,000 19,870,250
4.93%........... 01/22/98 10,000 9,928,789
5.17%........... 01/22/98 5,000 4,962,697
5.20%........... 01/22/98 15,000 14,887,333
5.22%........... 01/22/98 5,000 4,962,300
5.10%........... 01/29/98 9,000 8,924,775
5.18%........... 01/29/98 5,000 4,957,594
5.10%........... 02/05/98 15,000 14,859,887
5.17%........... 02/05/98 10,000 9,905,217
5.15%........... 03/05/98 15,000 14,798,292
------------
273,965,990
------------
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- ------------
<S> <C> <C> <C>
U.S. TREASURY OBLIGATIONS -- CONTINUED
U.S. TREASURY NOTES -- 14.7%
5.25%........... 12/31/97 $ 22,500 $ 22,495,266
6.00%........... 12/31/97 15,000 15,008,214
6.13%........... 03/31/98 10,000 10,023,720
------------
47,527,200
------------
TOTAL U.S. TREASURY OBLIGATIONS............
321,493,190
------------
</TABLE>
<TABLE>
<CAPTION>
NUMBER
OF SHARES
----------
<S> <C> <C>
INVESTMENT COMPANIES -- 0.3%
Federated Investors U.S.
Treasury Cash
Reserves............... 28,818 28,818
Goldman Sachs Treasury
Instruments
Portfolio.............. 955,129 955,129
--------------
TOTAL INVESTMENT
COMPANIES........................... 983,947
--------------
TOTAL INVESTMENTS -- 100.0% $ 322,477,137
==============
(Cost $322,477,137*)
- ---------------
</TABLE>
*Also cost for Federal income tax purposes.
See Accompanying Notes
11
<PAGE> 14
LOGO FINANCIAL HIGHLIGHTS
ARMADA TREASURY MONEY MARKET FUND
FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
FOR THE FOR THE YEAR ENDED MAY 31,
SIX MONTHS ENDED -----------------------------------------------------
NOVEMBER 30, 1997
(UNAUDITED) 1997 1996
------------------------ ------------------------ ------------------------
INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL
------------- ------ ------------- ------ ------------- ------
<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...................... 0.02 0.02 0.05 0.05 0.05 0.05
LESS DISTRIBUTIONS
Dividends from net investment income....... (0.02) (0.02) (0.05) (0.05) (0.05) (0.05)
------------- ------ ------------- ------ ------------- ------
Net asset value, end of period.............. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
============ ======= ============ ======= ============ =======
TOTAL RETURN................................ 4.93%(5) 4.83%(5) 4.89% 4.79% 5.07% 4.97%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in 000's)....... $ 316,214 $5,936 $ 276,327 $5,680 $ 312,255 $4,355
Ratio of expenses to average net assets.... 0.39%(1,5) 0.49%(2,5) 0.37%(1) 0.47%(2) 0.41%(1) 0.52%(2)
Ratio of net investment income to average
net assets............................... 4.83%(1,5) 4.73%(2,5) 4.79%(1) 4.68%(2) 4.88%(1) 4.77%(2)
<CAPTION>
FOR THE PERIOD
ENDED MAY 31,
1995
------------------------
INSTITUTIONAL(3) RETAIL(4)
------------- ------
<S> <<C> <C>
Net asset value, beginning of period........ $ 1.00 $ 1.00
------------- ------
INCOME FROM INVESTMENT OPERATIONS
Net investment income...................... 0.05 0.02
LESS DISTRIBUTIONS
Dividends from net investment income....... (0.05) (0.02)
------------- ------
Net asset value, end of period.............. $ 1.00 $ 1.00
============ =======
TOTAL RETURN................................ 4.86%(5) 5.41%(5)
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period (in 000's)....... $ 142,877 $ 366
Ratio of expenses to average net assets.... 0.43%(1,5) 0.56%(2,5)
Ratio of net investment income to average
net assets............................... 4.78%(1,5) 5.35%(2,5)
</TABLE>
(1) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Institutional class for the
period ended November 30, 1997 and the year ended May 31, 1997 would have
been .44% and 4.78%, and .42% and 4.74%, respectively. The operating expense
ratio and net investment income ratio before fee waivers by the Investment
Advisers and Custodian for the Institutional class for the year ended May
31, 1996 and for the period ended May 31, 1995 would have been .47% and
4.82%, and .49% and 4.72%, respectively.
(2) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Retail class for the period ended
November 30, 1997 and for the year ended May 31, 1997 would have been .54%
and 4.68%, and .52% and 4.63%, respectively. The operating expense ratio and
net investment income ratio before fee waivers by the Investment Advisers
and Custodian for the Retail class for the year ended May 31,1996 and for
the period ended May 31, 1995 would have been .58% and 4.71%, and .63% and
5.28%, respectively.
(3) Institutional class commenced operations on June 16, 1994.
(4) Retail class commenced operations on December 22, 1994.
(5) Annualized.
See Accompanying Notes
12
<PAGE> 15
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- 99.7%
ALABAMA -- 1.6%
Montgomery Industrial
Development Board Pollution
Control & Solid Waste
Disposal Revenue Refunding
Bonds (General Electric Co.
Project) Series 1 (P-1, A-1+)
3.65%.............. 12/03/97 $ 3,390 $ 3,390,000
3.70%.............. 01/22/98 4,000 4,000,000
------------
7,390,000
------------
ALASKA -- 2.0%
Valdez Marine Terminal (Arco
Transportation Inc. Project)
Series 1994-A (VMIG-1, A-1)
3.75%.............. 01/28/98 3,300 3,300,000
Series 1994-B (VMIG-1,
A-1)(A)
3.95%.............. 12/07/97 6,000 6,000,000
------------
9,300,000
------------
ARIZONA -- 4.2%
Maricopa County Pollution
Control Revenue (Southern
California Edison)
Series E (P-1, A-1)
3.70%.............. 12/04/97 2,000 2,000,000
3.75%.............. 12/29/97 2,500 2,500,000
3.75%.............. 01/21/98 1,000 1,000,000
3.70%.............. 02/12/98 4,000 4,000,000
3.70%.............. 02/13/98 2,000 2,000,000
3.70%.............. 02/26/98 2,150 2,150,000
Series F (P-1, A-1)
3.75%.............. 12/18/97 3,250 3,250,000
3.70%.............. 02/13/98 2,600 2,600,000
------------
19,500,000
------------
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
COLORADO -- 1.1%
University of Colorado Regents Enterprise
System Adjustable Tender Revenue Series
1996-A (VMIG-1, A-1+)(A)
3.80%.............. 12/07/97 $ 5,000 $ 5,000,000
------------
FLORIDA -- 6.5%
Gainesville Utilities System
Series C (P-1, A-1+)
3.70%.............. 12/15/97 4,448 4,448,000
3.75%.............. 12/16/97 3,000 3,000,000
3.80%.............. 12/31/97 1,000 1,000,000
5.70%.............. 01/27/98 5,198 5,198,000
Hillsborough County Industrial
Development Authority
Pollution Control Revenue
(Tampa Electric Co. Project)
Series 1990 (Aa2, Aa)(A)
3.80%.............. 12/01/97 6,005 6,005,000
Jacksonville Pollution Control
Revenue (Florida Power &
Light Co.) (VMIG-1, A1)
3.75%.............. 12/01/97 2,810 2,810,000
3.70%.............. 12/17/97 1,700 1,700,000
3.65%.............. 01/29/98 3,200 3,200,000
3.70%.............. 01/30/98 3,000 3,000,000
------------
30,361,000
------------
GEORGIA -- 1.8%
Downtown Savannah Parking
Authority (VMIG-1, A-1+)(A)
3.85%.............. 12/07/97 2,000 2,000,000
Georgia Tech Foundation
Facility Series 1992-A (NR,
A-1+)(A)
3.90%.............. 12/07/97 3,715 3,715,000
Series 1992-B (NR, A-1+)(A)
3.90%.............. 12/07/97 2,900 2,900,000
------------
8,615,000
------------
</TABLE>
See Accompanying Notes
13
<PAGE> 16
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
ILLINOIS -- 2.7%
City of Chicago General
Obligation Tender Notes
(MIG-1, SP-1)
3.65%.............. 02/05/98 $ 4,000 $ 4,000,000
Illinois Educational Facility
Authority Revenue
(Northwestern University)
Series 1988 (VMIG-1, A-1+)(A)
3.90%.............. 12/07/97 8,836 8,836,000
------------
12,836,000
------------
INDIANA -- 10.5%
Evansville Economic
Development (Ball Corp.
Project) (LOC Wachovia Bank)
(NR, A-1+)(A)
3.85%.............. 12/07/97 1,500 1,500,000
Indiana Health Facility
Finance Authority Capital
Access Designated Pool, (LOC
Bank One Indianapolis) Series
1989-A (VMIG-1, A-1+)(A)
3.90%.............. 12/07/97 1,300 1,300,000
Series 1989-B (VMIG-1,
A-1+)(A)
3.90%.............. 12/07/97 1,700 1,700,000
Indiana Hospital Equipment
Finance Authority Revenue,
Series 1985-A (MBIA Insured)
(VMIG-1, A-1+)(A)
3.90%.............. 12/07/97 8,085 8,085,000
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
INDIANA -- CONTINUED
Mt. Vernon Pollution Control
Solid Waste Disposal Revenue
(General Electric Company
Project) (VMIG-1, A-1+)
3.65%.............. 12/02/97 $ 2,500 $ 2,500,000
3.70%.............. 12/02/97 2,935 2,935,000
3.90%.............. 12/03/97 3,580 3,580,000
3.85%.............. 12/07/97 6,800 6,800,000
Purdue University Trustees
Student Fee Series E (VMIG-1,
A-1+)(A)
3.80%.............. 12/07/97 3,260 3,260,000
Sullivan National Rural
Utilities Cooperative Finance
Corp. (Hoosier Energy Rural
Electric Cooperative) (P-1,
A-1+)
3.70%.............. 12/01/97 500 500,000
3.80%.............. 12/11/97 2,000 2,000,000
3.60%.............. 12/12/97 2,500 2,500,000
3.65%.............. 12/16/97 1,000 1,000,000
3.75%.............. 12/16/97 1,100 1,100,000
3.70%.............. 01/23/98 6,000 6,000,000
3.70%.............. 02/27/98 4,500 4,500,000
------------
49,260,000
------------
KANSAS -- 3.0%
Kansas State Department of
Transportation Highway
Revenue Series B (VMIG-1,
A-1+)(A)
3.75%.............. 12/07/97 14,000 14,000,000
------------
LOUISIANA -- 5.8%
East Baton Rouge Pollution
Control Revenue (Exxon
Project) (VMIG-1, A-1+)(A)
3.80%.............. 12/01/97 11,500 11,500,000
</TABLE>
See Accompanying Notes
14
<PAGE> 17
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
LOUISIANA -- CONTINUED
Plaquemines Port Harbor Terminal
District Electro-Coal Transfer
Series A (P-1, A-1)
3.70%.............. 12/03/97 $ 2,000 $ 2,000,000
3.75%.............. 01/08/98 6,000 6,000,000
3.75%.............. 02/02/98 5,000 5,000,000
3.75%.............. 02/04/98 1,500 1,500,000
3.85%.............. 02/04/98 1,200 1,200,000
------------
27,200,000
------------
MICHIGAN -- 1.3%
Michigan Municipal Bond
Authority Revenue Notes
Series 1997-B (NR, SP1+)
4.50%.............. 07/02/98 6,000 6,022,584
------------
MINNESOTA -- 3.2%
Becker Pollution Control
Revenue (Northern States
Power) (VMIG-1, A-1+)
3.75%.............. 12/09/97 5,000 5,000,000
3.70%.............. 01/22/98 2,000 2,000,000
3.75%.............. 02/18/98 1,000 1,000,000
3.80%.............. 02/18/98 5,000 5,000,000
3.70%.............. 02/19/98 2,200 2,200,000
------------
15,200,000
------------
MISSISSIPPI -- 2.4%
Forest Industrial Development
Revenue (Sara Lee Corp.
Project) Series 1992 (NR,
A-1+)(A)
3.90%.............. 12/07/97 8,000 8,000,000
Jackson County Pollution
Control Revenue (Chevron
Project) (P-1, NR)(A)
3.85%.............. 12/01/97 1,000 1,000,000
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
MISSISSIPPI -- CONTINUED
Jackson County Water System
General Obligation (Chevron
Project) (VMIG-1, NR)
3.70%.............. 02/02/98 $ 2,200 $ 2,200,000
------------
11,200,000
------------
MISSOURI -- 1.1%
Missouri Health & Educational
Facility Authority (Sisters
of Mercy) Series C (VMIG-1,
A-1+)(A)
3.85%.............. 12/07/97 2,100 2,100,000
Series D (VMIG-1, A-1+)(A)
3.80%.............. 12/01/97 1,000 1,000,000
3.85%.............. 12/07/97 2,000 2,000,000
------------
5,100,000
------------
MONTANA -- 1.4%
Forsyth Pollution Control
Revenue Bond (Portland
General Electric Project)
Series 1983-B (P-1, A-1+)(A)
3.80%.............. 12/07/97 6,800 6,800,000
------------
NEVADA -- 1.4%
Clark County Airport
Improvement Revenue Series
1995-A (LOC Toronto Dominion)
(VMIG-1, A-1+)(A)
3.80%.............. 12/07/97 6,800 6,800,000
------------
NEW MEXICO -- 1.1%
Farmington Pollution Control
Revenue Refunding Bonds
(Arizona Public Service Co.)
(LOC Union Bank of
Switzerland) (VMIG-1,
A-1+)(A)
3.80%.............. 12/01/97 1,500 1,500,000
</TABLE>
See Accompanying Notes
15
<PAGE> 18
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
NEW MEXICO -- CONTINUED
Hurley Pollution Control Revenue
(Kennecott Santa Fe Corp
Project) Series 1985 (P-1,
A-1+)(A)
3.95%.............. 12/01/97 $ 3,900 $ 3,900,000
------------
5,400,000
------------
NORTH CAROLINA -- 2.3%
North Carolina Education
Facilities Finance Agency
(Bowman Gray School of
Medicine Project) Series 1990
(LOC Wachovia Bank)
(VMIG-1, NR)(A)
3.85%.............. 12/07/97 10,600 10,600,000
------------
OHIO -- 15.9%
Scioto County (VHA Central
Inc. Capital Asset Finance
Program) Series B (AMBAC
Insured) (NR, A-1+)(A)
3.90%.............. 12/07/97 2,895 2,895,000
Series G (AMBAC Insured)
(Aaa, A1+)(A)
3.90%.............. 12/07/97 3,000 3,000,000
Cuyahoga County Hospital
Revenue (Cleveland Clinic
Foundation)
Series 1996-A (LOC
Morgan Guaranty)
(VMIG-1, A-1+)(A)
3.80%.............. 12/07/97 3,000 3,000,000
Series 1996-B (VMIG-1,
A-1+)(A)
3.85%.............. 12/03/97 9,800 9,800,000
Series 1997-B (VMIG-1,
AAA)(A)
3.85%.............. 12/03/97 5,000 5,000,000
Series 1997-D (VMIG-1,
AAA)(A)
3.85%.............. 12/03/97 2,900 2,900,000
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
OHIO -- CONTINUED
Ohio State Public Facility
Series IIA (AA3, AA)
4.50%.............. 05/01/98 $ 5,000 $ 5,015,147
Ohio State University General
Receipts, Series 1985-B
(VMIG-1, A-1+)(A)
3.75%.............. 12/07/97 370 370,000
Series 1986-B (VMIG-1,
A-1+)(A)
3.80%.............. 12/07/97 17,390 17,390,000
State of Ohio Higher Education
Facility Authority (Oberlin
College Project) Series 1985
(LOC Bank of Tokyo) (VMIG-1,
A-1+)(A)
3.90%.............. 12/07/97 8,100 8,100,000
Summit County Bond
Anticipation Notes Series A
(MIG-1, SP1+)
4.50%.............. 06/04/98 7,000 7,022,009
4.88%.............. 11/19/98 2,000 2,020,019
University of Cincinnati
General Receipts Bond
Anticipation Notes
Series AA (MIG-1,
SP1+)
4.25%.............. 03/19/98 2,300 2,303,851
Series T (MIG-1, SP1+)
4.04%.............. 03/19/98 4,350 4,354,281
Series Y (MIG-1, SP1+)
4.24%.............. 03/19/98 1,250 1,251,036
------------
74,421,343
------------
</TABLE>
See Accompanying Notes
16
<PAGE> 19
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- 1.9%
Allegheny County (Allegheny
Hospital) Series 1988A (LOC
PNC Bank) (VMIG-1, A-1+)(A)
3.90%.............. 11/30/97 $ 1,250 $ 1,250,000
College Township Industrial
Development Authority (Ball
Corp. Project) Series 1993
(LOC Wachovia Bank) (NR,
A-1)(A)
3.85%.............. 12/07/97 2,200 2,200,000
Geisinger Authority Health
System Series 1992 B (LOC
Morgan Guaranty) (NR,
A-1+)(A)
3.80%.............. 12/01/97 1,500 1,500,000
Pennsylvania State Higher
Education (Carnegie Mellon
Project) Series 1995B (LOC
Union Bank of Switzerland)
(NR, A-1+)(A)
3.80%.............. 12/01/97 2,000 2,000,000
Sayre Health Care Facilities
Authority (Capital Asset
Finance Group) (AMBAC
Insured) (NR, A-1)(A)
3.85%.............. 12/07/97 2,000 2,000,000
------------
8,950,000
------------
TENNESSEE -- 3.9%
Vanderbilt University Health &
Education (Nashville &
Davidson) (VMIG-1, A-1+)
3.80%.............. 12/11/97 3,000 3,000,000
3.70%.............. 12/18/97 2,000 2,000,000
3.75%.............. 12/19/97 1,460 1,460,000
3.75%.............. 01/09/98 4,140 4,140,000
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
TENNESSEE -- CONTINUED
Vanderbilt University Health &
Education (Nashville &
Davidson) (VMIG-1, A-1+)
3.65%.............. 01/30/98 $ 1,000 $ 1,000,000
3.75%.............. 02/19/98 3,700 3,700,000
3.70%.............. 02/20/98 3,010 3,010,000
------------
18,310,000
------------
TEXAS -- 8.3%
Angelina & Neches River
Authority Industrial
Development Solid Waste
Disposal (Teec, Inc.
Temple-Inland) Series B (LOC
Credit Suisse) (P-1, NR)(A)
3.85%.............. 12/01/97 11,700 11,700,000
Series C (LOC Credit Suisse)
(P-1, NR)(A)
3.85%.............. 12/01/97 5,600 5,600,000
Red River Authority of Texas
Pollution Control Revenue
Bond (Southwestern Public
Service Company Project)
(VMIG-1, A-1+)(A)
4.00%.............. 12/07/97 16,600 16,600,000
Texas Tax & Revenue
Anticipation Note Series A
(MIG-1, SP-1)
4.75%.............. 08/31/98 4,900 4,932,273
------------
38,832,273
------------
UTAH -- 7.5%
Emery County Pollution Control
Revenue (Pacificorp Project)
(VMIG-1, A-1+)(A)
3.90%.............. 12/07/97 1,000 1,000,000
</TABLE>
See Accompanying Notes
17
<PAGE> 20
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
UTAH -- CONTINUED
Intermountain Power Agency Power
Supply (VMIG-1, A-1+)
3.80%.............. 12/05/97 $ 1,700 $ 1,700,000
3.60%.............. 12/12/97 3,700 3,700,000
3.70%.............. 12/19/97 3,200 3,200,000
3.75%.............. 01/05/98 1,000 1,000,000
3.75%.............. 01/20/98 1,700 1,700,000
3.75%.............. 02/27/98 5,000 5,000,000
Utah State General Obligation
Highway Commercial Paper
Notes Series 1997-A (P-1,
A-1+)
3.65%.............. 12/17/97 3,000 3,000,000
3.70%.............. 01/07/98 4,000 4,000,000
3.75%.............. 02/20/98 2,000 2,000,000
Series 1997-B (LOC Toronto
Dominion) (P-1, A-1+)
3.75%.............. 12/15/97 4,000 4,000,000
3.75%.............. 02/05/98 5,000 5,000,000
------------
35,300,000
------------
VIRGINIA -- 1.5%
Commonwealth of Virginia
General Obligation Bond
Anticipation Notes Series
1997 (P-1, A-1+)
3.75%.............. 02/23/98 4,000 4,000,000
3.75%.............. 02/26/98 3,000 3,000,000
------------
7,000,000
------------
WASHINGTON -- 1.0%
Washington Health Care
Facility Authority (Fred
Hutchinson Cancer Research
Center) Series 1991-A (LOC
Morgan Guaranty) (VMIG-1,
NR)(A)
3.85%.............. 12/01/97 3,525 3,525,000
<CAPTION>
PAR
MATURITY (000) VALUE
-------- --------- -----------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
WASHINGTON -- CONTINUED
Series 1996 (LOC Morgan
Guaranty) (VMIG-1, NR)(A)
3.85%.............. 12/01/97 $ 1,300 $ 1,300,000
------------
4,825,000
------------
WISCONSIN -- 4.7%
Oak Creek Pollution Control
Revenue (Wisconsin Electric
Power Company Project) (P-1,
NR)(A)
3.95%.............. 12/07/97 3,300 3,300,000
Wisconsin State General
Obligation Commercial Paper
Notes (P-1, A-1+)
3.80%.............. 12/10/97 2,136 2,136,000
3.70%.............. 12/19/97 2,000 2,000,000
3.70%.............. 01/05/98 2,868 2,868,000
3.75%.............. 01/20/98 3,782 3,782,000
3.70%.............. 02/06/98 4,000 4,000,000
3.70%.............. 02/20/98 4,109 4,109,000
------------
22,195,000
------------
WYOMING -- 1.6%
Gillette Pollution Control
Revenue (Pacificorp Project)
(LOC Deutche Bank) (P-1,
A-1+)
3.80%.............. 02/17/98 2,500 2,500,000
Sweetwater County Pollution
Control Revenue (Pacificorp
Project 84) (LOC Deutche
Bank) (P-1, NR)(A)
3.85%.............. 12/01/97 4,800 4,800,000
------------
7,300,000
------------
TOTAL MUNICIPAL BONDS.................... 467,718,200
------------
</TABLE>
See Accompanying Notes
18
<PAGE> 21
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
NUMBER OF
SHARES VALUE
--------- ------------
<S> <C> <C> <C>
INVESTMENT COMPANIES -- 0.3%
Fidelity Institutional
Tax-Exempt Cash Fund......... 1,400,945 $ 1,400,945
Goldman Sachs Financial Square
Tax Exempt Fund.............. 100,000 100,000
------------
TOTAL INVESTMENT
COMPANIES.............................. 1,500,945
------------
TOTAL INVESTMENTS -- 100.0% $469,219,145
(Cost $469,219,145*) ============
</TABLE>
- ---------------
* Also cost for Federal income tax purposes.
LOC -- Letter of Credit
AMBAC -- American Municipal Bond Assurance Corporation
MBIA -- Municipal Bond Insurance Association
(A) Variable rate securities. Interest rates vary periodically based on current
market rates. Rates shown represent interest rates of the security in effect
as of November 30, 1997. Dates shown represent the latter of the demand date
or the next interest rate change date, which is considered the maturity date
for financial reporting purposes.
See Accompanying Notes
19
<PAGE> 22
LOGO FINANCIAL HIGHLIGHTS
ARMADA TAX EXEMPT MONEY MARKET FUND
FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
FOR THE SIX MONTHS
ENDED FOR THE YEAR ENDED MAY 31,
NOVEMBER 30, ----------------------------------------------------------------------
1997
(UNAUDITED) 1997 1996 1995
---------------------- ---------------------- ---------------------- ----------------------
INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL
------------- ------- ------------- ------- ------------- ------- ------------- -------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------- -------- ------- -------- ------- -------- -------
INCOME FROM INVESTMENT
OPERATIONS
Net investment income..... 0.02 0.02 0.03 0.03 0.03 0.03 0.03 0.03
LESS DISTRIBUTIONS
Dividends from net
investment income....... (0.02) (0.02) (0.03) (0.03) (0.03) (0.03) (0.03) (0.03)
-------- ------- -------- ------- -------- ------- -------- -------
Net asset value, end of
period.................... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======= ======== ======= ======== ======= ======== =======
TOTAL RETURN............... 3.44%(3) 3.34%(3) 3.23% 3.12% 3.40% 3.29% 3.14% 3.04%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period
(in 000's).............. $ 393,043 $77,264 $ 370,679 $71,917 $ 261,808 $85,928 $ 172,643 $51,916
Ratio of expenses to
average net assets...... 0.30%(1,3) 0.40%(2,3) 0.29%(1) 0.39%(2) 0.30%(1) 0.40%(2) 0.35%(1) 0.46%(2)
Ratio of net investment
income to average net
assets.................. 3.39%(1,3) 3.29%(2,3) 3.18%(1) 3.08%(2) 3.33%(1) 3.23%(2) 3.15%(1) 3.17%(2)
<CAPTION>
1994 1993
---------------------- ----------------------
INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL
------------- ------- ------------- -------
<S> <C> <C> <C> <C>
Net asset value, beginning
of period................. $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- ------- ------- -------
INCOME FROM INVESTMENT
OPERATIONS
Net investment income..... 0.02 0.02 0.02 0.02
LESS DISTRIBUTIONS
Dividends from net
investment income....... (0.02) (0.02) (0.02) (0.02)
-------- ------- ------- -------
Net asset value, end of
period.................... $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======= ======= =======
TOTAL RETURN............... 2.06% 1.96% 2.18% 2.07%
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period
(in 000's).............. $ 139,015 $17,819 $58,928 $17,791
Ratio of expenses to
average net assets...... 0.33%(1) 0.43%(2) 0.36%(1) 0.46%(2)
Ratio of net investment
income to average net
assets.................. 2.05%(1) 1.94%(2) 2.16%(1) 2.06%(2)
</TABLE>
(1) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Institutional class for the
period ended November 30, 1997 and for the year ended May 31, 1997 would
have been .50% and 3.19%, and .49% and 2.98%, respectively. The operating
expense ratio and net investment income ratio before fee waivers by the
Investment Advisers and Custodian for the Institutional class for the years
ended May 31, 1996 and 1995 would have been .51% and 3.12%, and .56% and
2.94%, respectively. The operating expense ratio and net investment income
ratio before fee waivers by the Investment Advisers for the Institutional
class for the years ended May 31, 1994 and 1993 would have been .53% and
1.85%, and .56% and 1.96%, respectively.
(2) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Advisers for the Retail class for the period ended
November 30, 1997 and for the year ended May 31, 1997 would have been .60%
and 3.09%, and .59% and 2.88%, respectively. The operating expense ratio and
net investment income ratio before fee waivers by the Investment Advisers
and Custodian for the Retail class for the years ended May 31, 1996 and 1995
would have been .61% and 3.02%, and .67% and 2.96%, respectively. The
operating expense ratio and net investment income ratio before fee waivers
by the Investment Advisers for the Retail class for the years ended May 31,
1994 and 1993 would have been .63% and 1.74%, and .66% and 1.86%,
respectively.
(3) Annualized.
See Accompanying Notes
20
<PAGE> 23
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- ---------- ------------
<S> <C> <C> <C>
MUNICIPAL BONDS -- 98.6%
PENNSYLVANIA -- 95.6%
Allegheny County Higher
Education Building
Authority (University of
Pittsburgh Project) Series
1985 B (VMIG-1, NR)
3.75%.......... 12/07/97 $ 600 $ 600,000
Allegheny County Hospital
Development Authority
Health Center Development
(NR, A-1)
3.70%.......... 01/23/98 3,200 3,200,000
Allegheny County Hospital
Development Authority
Revenue (Allegheny General
Hospital Project) Series
1995B (LOC Morgan Guaranty
Trust) (VMIG-1, A-1+)
3.80%.......... 12/01/97 1,500 1,500,000
Beaver County Industrial
Development Revenue
(Duquesne Power & Light)
Series B (P-1, A-1+)
3.85%.......... 12/07/97 600 600,000
Beaver County Industrial
Development Revenue
Refunding (Duquesne Power
& Light) Series 1990 C
(VMIG-1, A-1+)
3.70%.......... 12/08/97 1,500 1,500,000
Beaver County Industrial
Development Revenue
(Duquesne Power & Light)
(VMIG-1, A-1+)
3.70%.......... 01/21/98 1,000 1,000,000
3.70%.......... 02/05/98 1,400 1,400,000
<CAPTION>
PAR
MATURITY (000) VALUE
-------- ---------- ------------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Bucks County Industrial
Development Authority
Revenue (Edgecomb Metals
Project) (Aa3, NR)
3.85%.......... 12/07/97 $ 1,000 $ 1,000,000
Clinton County Tax & Revenue
Anticipation Note General
Obligation (NR, NR)
3.90%.......... 12/31/97 870 870,103
Delaware County Industrial
Development Authority
(B.P. Oil, Inc. Project)
Series 1985 (P-1, A-1+)
3.85%.......... 12/01/97 2,500 2,500,000
Delaware County Industrial
Development Authority
(Philadelphia Electric Co.
Project) Series 1988B
(VMIG-1, A-1)
3.65%.......... 02/02/98 2,000 2,000,000
3.75%.......... 03/03/98 1,700 1,700,000
Delaware County Industrial
Development Authority
Revenue (Scott Paper
Company Project) Series A
(P-1, A-1+)
3.80%.......... 12/01/97 500 500,000
Delaware County Industrial
Development Authority
(United Parcel Service
Project) Series 1985 (NR,
A-1+)
3.80%.......... 12/01/97 3,300 3,300,000
Delaware County Industrial
Development Authority
Revenue (Recovery
Facility) Series G (P-1,
A-1+)
3.85%.......... 12/03/97 1,005 1,005,000
</TABLE>
See Accompanying Notes
21
<PAGE> 24
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- ---------- ------------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Delaware County Industrial
Development Authority Solid
Waste (Scott Paper Co.
Project) Series 1984 A (LOC
Fuji Bank) (P-1, A-1+)
3.80%.......... 12/07/97 $ 2,900 $ 2,900,000
Delaware Valley Finance
Authority Local Government
Revenue Series 1985 C
(VMIG-1, A-1+)
3.80%.......... 12/01/97 1,500 1,500,000
Series 1985 D (LOC Credit
Suisse) (VMIG-1, A-1+)
3.80%.......... 12/07/97 2,600 2,600,000
Emmaus General Authority
Local Government Revenue
Pooled Series 7 (LOC
Midland Bank) (NR, A-1+)
3.95%.......... 12/01/97 1,500 1,500,000
Emmaus General Authority
(LOC Canadian Imperial
Bank) (NR, A-1+)
3.95%.......... 12/07/97 1,500 1,500,000
Geisinger Authority Health
System Series 1992 B (LOC
Morgan Guaranty) (P1,
A-1+)
3.80%.......... 12/01/97 2,400 2,400,000
Lancaster College Higher
Education Authority
Revenue (Franklin &
Marshall College Project)
Series 1997 (LOC Chase
Manhattan) (VMIG-1, A-1)
4.05%.......... 12/01/97 1,000 1,000,000
PAR
MATURITY (000) VALUE
-------- ---------- ------------
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Lehigh County General
Purpose Revenue (Lehigh
Valley Hospital) Series A
(VMIG-1, NR)
3.80%.......... 12/01/97 $ 2,600 $ 2,600,000
Mercersburg Boro General
Purpose (Mercersburg
College) Series 1997 (LOC
Mellon Bank) (NR, A-1)
4.05%.......... 12/07/97 2,255 2,255,000
Montgomery County Higher
Education and Health
Authority Series 1988
(AMBAC Insured) (LOC Swiss
Bank) (VMIG-1, A-1+)
3.80%.......... 12/07/97 1,100 1,100,000
Norristown Tax & Revenue
Anticipation Notes (NR,
NR]
3.90%.......... 12/31/97 2,000 2,000,000
Pennsylvania State General
Obligation First Series A
(Aa3, AA)
6.50%.......... 06/01/98 1,200 1,215,533
Pennsylvania State General
Obligation Series A (Aa3,
AA)
7.00%.......... 05/15/98 1,000 1,029,201
Pennsylvania State Higher
Education Facilities
Authority Revenue
(Allegheny College
Project) (LOC Mellon Bank)
(A-1)
3.85%.......... 12/07/97 1,750 1,750,000
</TABLE>
See Accompanying Notes
22
<PAGE> 25
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- ---------- ------------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Pennsylvania State Higher
Education Facilities Authority
Revenue (Carnegie Mellon
Project) Series 1995B (LOC
Union
Bank of Switzerland)
(NR, A-1+)
3.80%.......... 12/01/97 $ 1,500 $ 1,500,000
Series 1995C (LOC Mellon
Bank) (NR, A-1+)
3.80%.......... 12/01/97 1,000 1,000,000
Pennsylvania State Higher
Education Facilities
Authority Revenue (Drexel
University Project) (LOC
PNC Bank) (NR, A-1)
4.25%.......... 08/01/98 175 175,258
Pennsylvania State Higher
Education Facilities
Authority Revenue
(University of
Pennsylvania Health
Services Project) Series C
(LOC Credit Suisse)
(VMIG-1, A-1+)
3.85%.......... 12/07/97 1,000 1,000,000
Pennsylvania State Tax
Anticipation Notes (MIG-1,
SP-1)
4.50%.......... 06/30/98 2,000 2,009,030
Philadelphia Gas Works
Revenue Notes Series B
(LOC Canadian Imperial)
(P-1, A-1+)
3.75%.......... 03/10/98 2,000 2,000,000
Philadelphia Hospital &
Higher Education Facility
Authority (Children's
Hospital Project) Series
1992 B (VMIG-1, A-1+)
3.80%.......... 12/01/97 3,800 3,800,000
PAR
MATURITY (000) VALUE
-------- ---------- ------------
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Philadelphia School District
Tax & Revenue Anticipation
Note (LOC Commerce Bank)
(MIG-1, SP-1)
4.50%.......... 06/30/98 $ 4,100 $ 4,113,135
Pittsburgh School District
Series B (FGIC Insured)
(Aaa, AAA)
7.10%.......... 02/01/98 685 702,403
Quakertown General
Authority, Series A (LOC
PNC Bank) (VMIG-1, A-1)
4.05%.......... 12/04/97 2,440 2,440,000
Sayre Health Care Facilities
Authority (Capital Asset
Finance Group) (AMBAC
Insured) (LOC Mellon Bank)
Series 1985 B (Aaa, A-1)
3.85%.......... 12/01/97 2,600 2,600,000
Sayre Health Care Facility
Authority (VHA Capital
Financing Project) Series
1985 A (AMBAC Insured)
(LOC Mellon Bank) (NR,
A-1)
3.85%.......... 12/07/97 1,000 1,000,000
Series 1985 I
(AMBAC Insured) (LOC
First Chicago)
(VMIG-1, A-1)
3.85%.......... 12/01/97 500 500,000
Schuylkill County Industrial
Development Authority
Resource Recovery
(Gilberton Power Project)
Series 1985 K (LOC Mellon
Bank) (NR, A-1)
3.85%.......... 12/07/97 3,600 3,600,000
</TABLE>
See Accompanying Notes
23
<PAGE> 26
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
PAR
MATURITY (000) VALUE
-------- ---------- ------------
<S> <C> <C> <C>
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Schuylkill County Industrial
Development Authority Resource
Recovery (Westwood Energy
Properties) Series 1985 A
(P-1, NR)
3.90%.......... 12/01/97 $ 4,000 $ 4,000,000
Scranton -- Lackawanna
Health and Welfare
Authority Revenue
(University of Scranton
Project) (LOC PNC Bank)
(NR, A-1)
3.90%.......... 12/07/97 1,760 1,760,000
Shaler Township Tax
Anticipation Note (NR, NR)
3.95%.......... 12/31/97 1,200 1,200,188
Somerset County PA Hospital
(NR, NR)
4.25%.......... 12/07/97 3,000 3,001,387
St. Mary Hospital Authority
(Franciscan Health System
Project) Series 1985 C
(LOC Toronto Dominon)
(VMIG-1, A-1+)
3.80%.......... 12/07/97 1,300 1,300,000
Temple University of the
Commonwealth System of
Higher Education (NR,
SP1+)
4.75%.......... 05/18/98 2,250 2,258,466
University of Pittsburgh
Higher Education
(University Capital
Project) Series 1989A (LOC
Union Bank of Switzerland)
(VMIG-1, NR)
3.75%.......... 12/07/97 500 500,000
PAR
MATURITY (000) VALUE
-------- ---------- ------------
MUNICIPAL BONDS -- CONTINUED
PENNSYLVANIA -- CONTINUED
Washington County Authority
Lease Revenue Municipal
Facilities Series B-1 (LOC
CoreStates) (VMIG-1, NR)
3.90%.......... 12/03/97 $ 3,800 $ 3,800,000
York County General
Authority Pooled Financing
Revenue Series 1996 (LOC
First Union National Bank
of North Carolina) (NR,
A-1)
3.95%.......... 12/07/97 3,200 3,200,000
York County Industrial
Development Authority
(Public Service Electric
and Gas Co. Project)
Series 1995-A (LOC Swiss
Bank) (MBIA Insured)
(VMIG-1, A-1+)
3.65%.......... 12/07/97 600 600,000
York County Industrial
Development Authority
Revenue (New Edgecomb
Corporate Project) (LOC
Banque Nationale Paris)
(Aa3, NR)
3.85%.......... 12/07/97 200 200,000
------------
96,284,704
------------
PUERTO RICO -- 3.0%
Puerto Rico Government
Development Bank (NR,
A-1+)
3.45%.......... 12/04/97 3,000 3,000,000
------------
TOTAL MUNICIPAL BONDS..................... 99,284,704
------------
</TABLE>
See Accompanying Notes
24
<PAGE> 27
LOGO PORTFOLIO OF INVESTMENTS
NOVEMBER 30, 1997 ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
(UNAUDITED)
<TABLE>
<CAPTION>
NUMBER OF
SHARES VALUE
--------- ------------
<S> <C> <C> <C>
INVESTMENT COMPANIES -- 1.4%
Federated Investors
Pennsylvania Municipal Cash
Trust........................ 1,440,424 $ 1,440,424
------------
TOTAL INVESTMENTS--100.0% $100,725,128
============
(Cost $100,725,128*)
- ---------------
* Also cost for Federal income tax purposes.
LOC -- Letter of Credit
AMBAC -- American Municipal Bond Assurance Company
FGIC -- Federal Guaranty Insurance Corporation
MBIA -- Municipal Bond Insurance Association
(A) Variable rate securities. Interest rates vary
periodically based on current market rates. Rates
shown represent interest rates of the security in
effect as of November 30, 1997. Dates shown
represent the latter of the demand date or the next
interest rate change date, which is considered the
maturity date for financial reporting purposes.
</TABLE>
See Accompanying Notes
25
<PAGE> 28
LOGO FINANCIAL HIGHLIGHTS
ARMADA PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
FOR A FUND SHARE OUTSTANDING THROUGHOUT EACH PERIOD
<TABLE>
<CAPTION>
FOR THE
SIX MONTHS ENDED FOR THE
NOVEMBER 30, 1997 YEAR ENDED FOR THE FOR THE FOR THE
(UNAUDITED) MAY 31, 1997(5) PERIOD ENDED YEAR ENDED PERIOD ENDED
----------------------- ----------------------- MAY 31, APRIL 30, APRIL 30,
INSTITUTIONAL RETAIL INSTITUTIONAL RETAIL(6) 1996(5) 1996(5) 1995(5)
------------- ------- ------------- ------- ------------- -------------- --------------
<S> <C> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
------- ------- ------- ------- ------- ------- -------
INCOME FROM INVESTMENT
OPERATIONS
Net investment income..... 0.02 0.02 0.03 0.02 0.00 0.03 0.02
LESS DISTRIBUTIONS
Dividends from net
investment income....... (0.02) (0.02) (0.03) (0.02) (0.00) (0.03) (0.02)
------- ------- ------- ------- ------- ------- -------
Net asset value, end of
period.................... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======= ======= ======= ======= ======= ======= =======
TOTAL RETURN................ 3.47%(3) 3.37%(3) 3.26% 3.18% 0.28%(4) 3.36% 2.32%(4)
RATIOS/SUPPLEMENTAL DATA
Net assets, end of period
(in 000's).............. $72,794 $27,255 $60,876 $20,830 $68,742 $ 70,422 $ 56,668
Ratio of expenses to
average net assets...... 0.35%(1,3) 0.45%(2,3) 0.41%(1) 0.46%(2,3) 0.55%(1,3) 0.55%(1) 0.55%(1,3)
Ratio of net investment
income to average net
assets.................. 3.41%(1,3) 3.32%(2,3) 3.20%(1) 3.27%(2,3) 3.24%(1,3) 3.29%(1) 3.21%(1,3)
</TABLE>
(1) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Adviser and other affiliates for the Institutional
class for the periods ended November 30, 1997, May 31, 1997, May 31, 1996,
April 30, 1996, and April 30, 1995 would have been .60% and 3.16%, .74% and
2.87%, .97% and 2.82%, .96% and 2.88%, and 1.04% and 2.72%, respectively.
(2) The operating expense ratio and net investment income ratio before fee
waivers by the Investment Adviser and other affiliates for the Retail class
for the period ended November 30, 1997 and for the year ended May 31, 1997
would have been .70% and 3.07%, and .71% and 3.02%, respectively.
(3) Annualized.
(4) Not Annualized.
(5) Activity for the period presented includes that of the Predecessor Fund
through September 6, 1996. The Predecessor Fund commenced operations on
August 10, 1994. During 1996, the Predecessor Fund changed its fiscal year
end from April 30 to May 31.
(6) Retail class commenced operations on September 11, 1996.
See Accompanying Notes
26
<PAGE> 29
LOGO FINANCIAL STATEMENTS
ARMADA FUNDS MONEY MARKET SERIES
NOVEMBER 30, 1997
STATEMENT OF ASSETS AND LIABILITIES
(UNAUDITED)
<TABLE>
<CAPTION>
PENNSYLVANIA
GOVERNMENT TREASURY TAX EXEMPT TAX EXEMPT
MONEY MARKET MONEY MARKET MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND FUND FUND
-------------- -------------- ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
ASSETS
Investments at value (Cost
$2,226,260,058, $1,195,317,509,
$322,477,137, $469,219,145 and
$100,725,128, respectively)........ $2,226,260,058 $1,195,317,509 $322,477,137 $469,219,145 $100,725,128
Interest receivable.................. 2,363,270 159,040 1,015,262 2,678,997 663,756
Prepaid expenses..................... 50,559 -- 4,847 2,682 5,232
-------------- -------------- ------------ ------------ ------------
TOTAL ASSETS......................... 2,228,673,887 1,195,476,549 323,497,246 471,900,824 101,394,116
-------------- -------------- ------------ ------------ ------------
LIABILITIES
Dividends payable -- Institutional
class.............................. 8,136,986 4,067,244 1,127,261 1,137,151 209,030
Dividends payable -- Retail class.... 1,829,761 885,848 22,458 206,678 68,915
Payable for investments purchased.... -- -- -- -- 1,000,000
Accrued expenses..................... 1,694,650 803,003 197,448 250,553 67,488
-------------- -------------- ------------ ------------ ------------
TOTAL LIABILITIES.................... 11,661,397 5,756,095 1,347,167 1,594,382 1,345,433
-------------- -------------- ------------ ------------ ------------
NET ASSETS........................... $2,217,012,490 $1,189,720,454 $322,150,079 $470,306,442 $100,048,683
============== ============== ============ ============ ============
NET ASSETS CONSIST OF:
Paid-in capital...................... $2,217,025,243 $1,189,722,328 $322,131,708 $470,297,472 $100,061,804
Accumulated net realized gain/(loss)
on investments sold................ (12,753) (1,874) 18,371 8,970 (13,121)
-------------- -------------- ------------ ------------ ------------
$2,217,012,490 $1,189,720,454 $322,150,079 $470,306,442 $100,048,683
============== ============== ============ ============ ============
Net Assets -- Institutional class.... $1,760,876,919 $ 992,794,433 $316,213,930 $393,042,764 $72,793,809
Shares outstanding -- Institutional
class.............................. 1,760,885,159 992,795,924 316,195,776 393,035,732 72,803,727
Net asset value, Offering price and
Redemption price per share --
Institutional class................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
============== ============== ============ ============ ============
Net Assets -- Retail class........... $ 456,135,571 $ 196,926,021 $ 5,936,149 $77,263,678 $27,254,874
Shares outstanding -- Retail class... 456,140,084 196,926,404 5,935,932 77,261,740 27,258,077
Net asset value, Offering price and
Redemption price per share --
Retail class....................... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
============== ============== ============ ============ ============
</TABLE>
See Accompanying Notes
27
<PAGE> 30
LOGO FINANCIAL STATEMENTS
ARMADA FUNDS MONEY MARKET SERIES
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED NOVEMBER 30, 1997
(UNAUDITED)
<TABLE>
<CAPTION>
PENNSYLVANIA
GOVERNMENT TREASURY TAX EXEMPT TAX EXEMPT
MONEY MARKET MONEY MARKET MONEY MARKET MONEY MARKET MONEY MARKET
FUND FUND FUND FUND FUND
------------ ------------ ------------ ------------ ------------
<S> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest........................ $68,808,363 $29,518,288 $7,645,241 $8,291,294 $1,652,644
------------ ----------- ----------- ----------- ----------
EXPENSES:
Investment Advisory fees........ 4,263,460 1,854,823 439,874 787,226 175,718
12b-1 fees...................... 487,253 211,980 58,650 89,969 17,572
Administration fees............. 284,994 124,052 34,352 95,123 18,577
Distribution fees............... 251,572 115,858 33,749 49,004 1,517
Registration and filing fees.... 235,820 140,363 1,593 17,949 4,498
Shareholder servicing
fees-Retail class only........ 197,249 96,073 3,094 32,210 10,988
Custodian fees.................. 110,664 55,210 19,831 27,653 8,845
Legal fees...................... 93,765 44,719 16,665 16,643 3,180
Transfer Agent fees............. 53,219 14,805 14,934 15,223 14,517
Trustees' fees.................. 28,847 15,168 6,011 6,371 942
Insurance....................... 22,635 10,676 4,035 4,325 595
Printing and shareholder
reports....................... 17,415 2,264 1,746 3,179 4,077
Audit fees...................... 16,936 9,920 6,227 6,159 2,695
Miscellaneous................... 11,011 10,279 2,733 6,231 8,366
Amortization of organization
costs......................... -- -- 2,077 -- 1,858
Fees waived by Investment
Advisers...................... (1,218,132) (529,949) (73,312) (449,844) (109,824)
------------ ----------- ----------- ----------- ----------
Total expenses.................. 4,856,708 2,176,241 572,259 707,421 164,121
------------ ----------- ----------- ----------- ----------
NET INVESTMENT INCOME............. 63,951,655 27,342,047 7,072,982 7,583,873 1,488,523
------------ ----------- ----------- ----------- ----------
NET REALIZED GAIN/(LOSS) ON
INVESTMENTS SOLD................ (3,260) -- 6,061 -- (9,920)
------------ ----------- ----------- ----------- ----------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS....... $63,948,395 $27,342,047 $7,079,043 $7,583,873 $1,478,603
============ =========== =========== =========== ==========
</TABLE>
See Accompanying Notes
28
<PAGE> 31
LOGO FINANCIAL STATEMENTS
ARMADA FUNDS MONEY MARKET SERIES
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
MONEY MARKET FUND GOVERNMENT MONEY MARKET FUND TREASURY MONEY MARKET FUND
----------------------------------- --------------------------------- ---------------------------------
FOR THE FOR THE FOR THE
SIX MONTHS ENDED FOR THE SIX MONTHS ENDED FOR THE SIX MONTHS ENDED FOR THE
NOVEMBER 30, 1997 YEAR ENDED NOVEMBER 30, 1997 YEAR ENDED NOVEMBER 30, 1997 YEAR ENDED
(UNAUDITED) MAY 31, 1997 (UNAUDITED) MAY 31, 1997 (UNAUDITED) MAY 31, 1997
----------------- -------------- ----------------- ------------ ----------------- ------------
<S> <C> <C> <C> <C> <C> <C>
Net increase in
net assets
resulting from
net investment
income and
amount of
income
distributions
to
shareholders... $ 63,951,655 $ 102,513,233 $ 27,342,047 $48,418,277 $ 7,072,982 $ 15,207,995
============== ============== ============== ============ ============ ============
Increase/(decrease)
in net assets
derived from
Fund share
transactions... (72,176,441) 601,692,762 218,929,071 97,703,883 40,138,637 (34,605,665)
Net realized
gain/(loss) on
investments
sold........... (3,260) (1,179) -- -- 6,061 16,727
Distributions
from net
realized
gains.......... -- -- -- -- (1,883) (14,238)
NET ASSETS:
Beginning of
period....... 2,289,192,191 1,687,500,608 970,791,383 873,087,500 282,007,264 316,610,440
-------------- -------------- -------------- ------------ ------------ ------------
End of
period....... $ 2,217,012,490 $2,289,192,191 $ 1,189,720,454 $970,791,383 $ 322,150,079 $282,007,264
============== ============== ============== ============ ============ ============
</TABLE>
<TABLE>
<CAPTION>
TAX EXEMPT PENNSYLVANIA TAX EXEMPT
MONEY MARKET FUND MONEY MARKET FUND
----------------------------------- ---------------------------------
FOR THE FOR THE FOR THE
SIX MONTHS ENDED FOR THE SIX MONTHS ENDED YEAR ENDED
NOVEMBER 30, 1997 YEAR ENDED NOVEMBER 30, 1997 MAY 31,
(UNAUDITED) MAY 31, 1997 (UNAUDITED) 1997(1)
----------------- -------------- ----------------- ------------
<S> <C> <C> <C> <C> <C> <C>
Net increase in
net assets
resulting from
net investment
income and
amount of
income
distributions
to
shareholders... $ 7,583,873 $ 12,102,765 $ 1,488,523 $ 2,410,144
============== ============== ============== ============
Increase in net
assets derived
from Fund share
transactions... 27,713,067 94,846,628 18,352,554 13,233,933
Net realized
gain/(loss) on
investments
sold........... -- 13,140 (9,920) 26
Distributions
from net
realized
gains.......... (2,711) -- -- --
NET ASSETS:
Beginning of
period....... 442,596,086 347,736,318 81,706,049 68,472,090
-------------- -------------- -------------- ------------
End of
period....... $ 470,306,442 $ 442,596,086 $ 100,048,683 $ 81,706,049
============== ============== ============== ============
</TABLE>
(1) Activity for the year ended May 31, 1997 includes that of the Predecessor
Fund through September 6, 1996.
See Accompanying Notes
29
<PAGE> 32
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
1. FUND ORGANIZATION
Armada Funds (the "Trust") is registered under
the Investment Company Act of 1940, as amended (the "1940 Act"), as an open-end
management investment company. The Trust was organized as a Massachusetts
business trust on January 28, 1986. The Trust is a series of twenty-one funds
each of which is authorized to issue two classes of shares designated as
Institutional and Retail Shares. Each share class represents an interest in the
same portfolio of investments of the respective Fund and is substantially the
same in all respects, except that the classes are subject to different
shareholder service fees and investment minimums (See Note 5).
The Trust currently has four Series that consist of the following Funds:
Money Market Series
Money Market Fund, Government Money Market Fund, Treasury Money Market Fund, Tax
Exempt Money Market Fund and Pennsylvania Tax Exempt Money Market Fund;
Equity Series
International Equity Fund, Small Cap Growth Fund, Small Cap Value Fund, Equity
Growth Fund, Core Equity Fund, Equity Income Fund and Equity Index Fund;
Tax Exempt Series
Ohio Tax Exempt Fund, Pennsylvania Municipal Fund and National Tax Exempt Fund;
Income Series
Total Return Advantage Fund, Intermediate Bond Fund, Enhanced Income Fund, GNMA
Fund, Bond Fund and Real Return Advantage Fund.
As of the date of this report, the Equity Index, National Tax Exempt and Real
Return Advantage Funds have not commenced operations.
Effective November 19, 1997, the names of the Armada Government, Treasury, Tax
Exempt and Pennsylvania Tax Exempt Funds were changed to the Armada Government
Money Market, Treasury Money Market, Tax Exempt Money Market and the
Pennsylvania Tax Exempt Money Market Funds, respectively.
FUND REORGANIZATION: On May 3, 1996, Integra Financial Corporation ("Integra
Financial") merged into National City Corporation ("National City"). Integra
Trust Company, an affiliate of Integra Financial, served as Investment Adviser
to Inventor Funds, Inc. ("Inventor"). A new investment advisory agreement
between Inventor and affiliates of National City received shareholder approval
in May, 1996.
As part of the Reorganization, on September 9, 1996, the Inventor Pennsylvania
Tax Exempt Money Market Fund (the "Predecessor Fund") transferred all of its
assets and liabilities with an approximate value of $74,142,677 in exchange for
shares of the Armada Pennsylvania Tax Exempt Fund. The Reorganization was
executed as a tax-free reorganization in accordance with Section 368(a)(1)(F) of
the Internal Revenue Code of 1986, as amended (the "Internal Revenue Code"). The
results of operations, changes in net assets and financial highlights of the
Armada Pennsylvania Tax Exempt Fund for the year ended May 31, 1997 include
those of the Predecessor Fund.
In accordance with provisions of the Agreement, the Trust and Inventor were
each responsible for the payment of their own expenses incurred in connection
with the Reorganization to the extent not borne by their respective Investment
Advisers. Accordingly, the Trust recognized approximately $200,000 in costs
connected with the Reorganization, which has been allocated among the various
funds in the Trust.
30
<PAGE> 33
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies followed by the
Money Market, Government Money Market, Treasury Money Market, Tax Exempt Money
Market, and Pennsylvania Tax Exempt Money Market Funds (the "Funds") in
preparation of their financial statements.
The preparation of financial statements in accordance with generally accepted
accounting principles requires management to make estimates and assumptions that
affect the reported amounts and disclosures in the financial statements. Actual
results could differ from those estimates.
The Pennsylvania Tax Exempt Money Market Fund has invested substantially all
of its assets in the municipal obligations of that state. The Tax Exempt Money
Market Fund invests in municipal obligations of various states which may, at
times, comprise concentrations in one or several states. Economic changes
affecting the states and certain of their public bodies and municipalities may
affect the ability of issuers within each state to pay interest on, or repay
principal of, municipal obligations held by the Pennsylvania Tax Exempt Money
Market and Tax Exempt Money Market Funds.
PORTFOLIO VALUATION: Investment securities in the Money Market, Government
Money Market, Treasury Money Market, Tax Exempt Money Market and Pennsylvania
Tax Exempt Money Market Funds are valued twice daily for processing subscription
and redemption orders. Investment securities are valued on the basis of
amortized cost which has been determined by the Board of Trustees to represent
the fair value of the Funds' investments. Amortized cost valuation involves
valuing an instrument at its cost initially and, thereafter, assuming a constant
rate of amortization to maturity of any applicable discount or premium.
SECURITY TRANSACTIONS AND INVESTMENT INCOME: Security transactions are
recorded on the trade date. Realized gains and losses on investments sold are
recorded on the identified cost basis. Interest income is accrued on a daily
basis. Expenses common to all the Funds in the Trust are allocated among them.
DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS: Each Fund declares dividends
daily from net investment income and pays such dividends no later than five
business days after the end of the month. Net investment income of the Money
Market, Government Money Market, and Treasury Money Market Funds consists of
interest accrued and discount earned (including both original issue and market
discount), less amortization of any market premium and accrued expenses. Net
investment income of the Tax Exempt Money Market and Pennsylvania Tax Exempt
Money Market Funds consists of interest accrued, original issue discount earned,
less amortization of any market premium and accrued expenses.
FEDERAL INCOME TAXES: Each of the Funds is classified as a separate taxable
entity for Federal income tax purposes. Each of the Funds intends to qualify as
a separate "regulated investment company" under the Internal Revenue Code and
make the requisite distributions to its shareholders that will be sufficient to
relieve it from Federal income tax and Federal excise tax. Therefore, no Federal
tax provision is required. To the extent that distributions from net investment
income and net realized capital gains exceed amounts in the financial
statements, such amounts are reported separately.
REPURCHASE AGREEMENTS: Repurchase agreements are considered loans under the
1940 Act. In connection therewith, the Trust's Custodian receives and holds
collateral of not less than 102% of the repurchase price plus accrued interest.
If the value of the collateral falls below this amount, the Trust will require
the seller to deposit additional collateral by the next business day. If the
request for additional
31
<PAGE> 34
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
collateral is not met or the seller defaults on its repurchase obligation, the
Trust maintains the right to sell the underlying securities at market value and
may claim any resulting loss against the seller.
ORGANIZATIONAL COSTS: The Trust bears all costs in connection with its
organization, including the fees and expenses of registering and qualifying its
shares for distribution under Federal and State securities regulations. All
organization expenses are being amortized on a straight-line basis over a period
of five years from the date of commencement of operations.
3. INVESTMENT ADVISER, DISTRIBUTION FEE AND OTHER RELATED PARTY TRANSACTIONS
Fees paid by the Trust pursuant to the Advisory Agreements with National City
Bank, (the "Adviser"), a wholly-owned subsidiary of National City Corporation,
are payable monthly based on an annual rate of .35% of the average daily net
assets of each of the Money Market, Government Money Market and Tax Exempt Money
Market Funds, .30% of the average daily net assets of the Treasury Money Market
Fund, and .40% of the average daily net assets of the Pennsylvania Tax Exempt
Money Market Fund. Prior to the Reorganization, Integra Trust Company served as
investment adviser to the Pennsylvania Tax Exempt Money Market Fund and Weiss,
Peck & Greer LLC (the "Sub-Adviser") served as sub-adviser to Integra Trust
Company. Subsequent to the Reorganization, the Sub-Adviser continued to serve
under an agreement with National City Bank and was entitled to earn a fee
pursuant to such agreement. Effective October 1, 1997, the agreement with the
Sub-Adviser was terminated and the Adviser assumed full investment management
responsibilities. The Adviser may from time to time waive its fees payable by
the Funds. For the period ended November 1997, the Adviser has earned and waived
the following fees:
<TABLE>
<CAPTION>
EARNED WAIVED
---------- ----------
<S> <C> <C>
Money Market Fund............... $4,263,460 $1,218,132
Government Money Market Fund.... 1,854,823 529,949
Treasury Money Market Fund...... 439,874 73,312
Tax Exempt Money Market Fund.... 787,226 449,844
Pennsylvania Tax Exempt Money
Market Fund................... 175,718 109,824
</TABLE>
At November 30, 1997, Advisory fees accrued and unpaid amounted to:
<TABLE>
<S> <C>
Money Market Fund............................ $474,053
Government Money Market Fund................. 240,094
Treasury Money Market Fund................... 46,560
Tax Exempt Money Market Fund................. 57,973
Pennsylvania Tax Exempt Money Market Fund.... 17,179
</TABLE>
The Trust maintains a Shareholder Services Plan (the "Services Plan") with
respect to the Retail shares in the Funds. Pursuant to the Services Plan, the
Trust enters into shareholder servicing agreements with certain financial
institutions under which they agree to provide shareholder administrative
services to their customers who beneficially own Retail shares in consideration
for the payment of up to .10% on an annualized basis of the net asset value of
the Retail shares of the Money Market, Government Money Market, Treasury Money
Market, Tax Exempt Money Market and Pennsylvania Tax Exempt Money Market Funds
(See Note 5). For the period ended November 30, 1997, fees paid under the
Services Plan to NatCity Investments, Inc. and National City Bank of Columbus,
wholly-owned
32
<PAGE> 35
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
subsidiaries of National City Corporation, amounted to:
<TABLE>
<CAPTION>
NATIONAL CITY NATCITY
BANK OF COLUMBUS INVESTMENTS INC.
---------------- ----------------
<S> <C> <C>
Money Market Fund..... $ 71,251 $119,726
Government Money
Market Fund......... 81,040 11,008
Treasury Money Market
Fund................ 449 2,602
Tax Exempt Money
Market Fund......... 9,938 22,199
Pennsylvania Tax
Exempt Money Market
Fund................ 9,865 670
</TABLE>
National City Bank serves as the Funds' Custodian. For the period ended
November 30, 1997, National City Bank earned custodian fees as follows:
<TABLE>
<S> <C>
Money Market Fund............................ $110,664
Government Money Market Fund................. 55,210
Treasury Money Market Fund................... 19,831
Tax Exempt Money Market Fund................. 27,653
Pennsylvania Tax Exempt Money Market Fund.... 8,845
</TABLE>
Pursuant to Board of Trustees' approval, SEI Investments Distribution Co., a
wholly-owned subsidiary of SEI Investments Company ("SEI" or "Distributor"),
began serving as the Trust's Distributor on March 10, 1997. Each Fund pays a fee
to the Distributor for distributing its shares. Under the Trust's Distribution
Agreement and related Distribution Plan adopted pursuant to Rule 12b-1 under the
1940 Act, the Trust compensates the Distributor for services provided and
expenses assumed in providing advertising, marketing, prospectus printing and
other distribution services up to a maximum of .10% per annum of the average net
assets of each Fund, inclusive of an annual base fee of $1,250,000, plus
incentive fees related to asset growth, which are allocated among the investment
funds with respect to which the Distributor is distributing shares.
440 Financial Distributors, Inc., ("440") a wholly-owned subsidiary of The
Shareholder Services Group, Inc. and an indirect wholly-owned subsidiary of
First Data Corp., served as the Trust's Distributor until March 7, 1997. Each
Fund reimbursed 440 for direct and indirect expenses incurred in performing
distribution services, up to a maximum of .10% per annum of the average net
assets of each Fund, inclusive of an annual fee of $250,000, which was allocated
among the investment funds for which 440 was distributing shares.
SEI served as distributor to the Pennsylvania Tax Exempt Money Market Fund
prior to the Reorganization. Under a Rule 12b-1 Distribution Plan, SEI earned
and waived fees at an annual rate of up to .25% of the average daily net assets
of the Predecessor Fund's Class A shares.
Each Trustee receives an annual fee of $7,500 plus $2,500 for each Board
meeting attended and reimbursement of out-of-pocket expenses. The Chairman of
the Board receives an additional $2,500 per annum for services in such capacity.
Such fees are paid for services rendered to all of the Funds and are allocated
accordingly. No person who is an officer, director, trustee, or employee of the
Advisers, Distributor, or of any parent or subsidiary thereof, who serves as an
officer, trustee, or employee of the Trust receives any compensation from the
Trust.
Expenses for the period ended November 30, 1997 include legal fees paid to
Drinker Biddle & Reath LLP. A partner of that firm is Secretary of the Trust.
PFPC Inc. ("PFPC") serves as Administrator and Accounting Agent to the Trust.
As compensation for services performed, each Fund pays PFPC an asset-based fee
plus reimbursement of reasonable out-of-pocket expenses. An officer of PFPC
serves as Treasurer to the Trust.
4. SHARES OF BENEFICIAL INTEREST
The Trust's Declaration of Trust authorizes the Board of Trustees to issue an
unlimited number of shares of beneficial interest and to classify or
33
<PAGE> 36
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
reclassify any unissued shares of the Trust into one or more additional classes
of shares and to classify or reclassify any class of shares into one or more
series of shares. Since the Funds have each sold and redeemed shares only at a
constant net asset value of $1.00 per share, the number of shares represented by
such sales, reinvestments, and redemptions is the same as the amounts shown on
the following pages for such transactions.
34
<PAGE> 37
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
<TABLE>
<CAPTION>
FOR THE PERIOD ENDED
NOVEMBER 30, 1997
(UNAUDITED)
-----------------------------
INSTITUTIONAL RETAIL
CLASS CLASS
-------------- ------------
<S> <C> <C>
MONEY MARKET FUND
Shares sold.......................................................... $2,951,755,604 $829,956,254
Shares reinvested.................................................... 1,870,993 6,835,999
Shares repurchased................................................... (3,135,767,474) (726,827,817)
-------------- -------------
Net increase/(decrease).............................................. $ (182,140,877) $109,964,436
============== =============
GOVERNMENT MONEY MARKET FUND
Shares sold.......................................................... $1,504,994,319 $245,963,935
Shares reinvested.................................................... 124,175 637,711
Shares repurchased................................................... (1,323,986,285) (208,804,784)
-------------- -------------
Net increase......................................................... $ 181,132,209 $ 37,796,862
============== =============
TREASURY MONEY MARKET FUND
Shares sold.......................................................... $ 664,629,312 $ 5,885,583
Shares reinvested.................................................... 10,378 141,402
Shares repurchased................................................... (624,757,084) (5,770,954)
-------------- -------------
Net increase......................................................... $ 39,882,606 $ 256,031
============== =============
TAX EXEMPT MONEY MARKET FUND
Shares sold.......................................................... $ 375,256,846 $159,930,318
Shares reinvested.................................................... 507 1,059,833
Shares repurchased................................................... (352,891,462) (155,642,975)
-------------- -------------
Net increase......................................................... $ 22,365,891 $ 5,347,176
============== =============
PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
Shares sold.......................................................... $ 112,252,756 $ 54,721,842
Shares reinvested.................................................... 515 100,017
Shares repurchased................................................... (100,329,227) (48,393,349)
-------------- -------------
Net increase......................................................... $ 11,924,044 $ 6,428,510
============== =============
</TABLE>
35
<PAGE> 38
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
<TABLE>
<CAPTION>
FOR THE YEAR ENDED
MAY 31, 1997
--------------------------------
INSTITUTIONAL RETAIL
CLASS CLASS
-------------- ---------------
<S> <C> <C>
MONEY MARKET FUND
Shares sold......................................................... $5,045,819,104 $ 1,653,854,681
Shares reinvested................................................... 24,146 13,094,323
Shares repurchased.................................................. (4,447,235,733) (1,663,863,759)
-------------- -------------
Net increase........................................................ $ 598,607,517 $ 3,085,245
============== =============
GOVERNMENT MONEY MARKET FUND
Shares sold......................................................... $2,930,558,838 $ 434,038,296
Shares reinvested................................................... 422,662 1,148,634
Shares repurchased.................................................. (2,861,212,866) (407,251,681)
-------------- -------------
Net increase........................................................ $ 69,768,634 $ 27,935,249
============== =============
TREASURY MONEY MARKET FUND
Shares sold......................................................... $1,140,870,083 $ 31,457,071
Shares reinvested................................................... 774 238,543
Shares repurchased.................................................. (1,176,801,209) (30,370,927)
-------------- -------------
Net increase/(decrease)............................................. $ (35,930,352) $ 1,324,687
============== =============
TAX EXEMPT MONEY MARKET FUND
Shares sold......................................................... $ 631,572,058 $ 334,988,273
Shares reinvested................................................... 343 2,089,900
Shares repurchased.................................................. (522,712,255) (351,091,691)
-------------- -------------
Net increase/(decrease)............................................. $ 108,860,146 $ (14,013,518)
============== =============
PENNSYLVANIA TAX EXEMPT MONEY MARKET FUND
Shares sold......................................................... $ 180,573,040 $ 59,050,127
Shares reinvested................................................... 22,806 52,288
Shares repurchased.................................................. (188,191,480) (38,272,848)
-------------- -------------
Net increase/(decrease)............................................. $ (7,595,634) $ 20,829,567
============== =============
</TABLE>
5. SUBSEQUENT EVENTS
Effective January 1, 1998, the Money Market Fund commenced offering B shares.
B shares, like Retail shares, are subject to shareholder servicing fees under a
services plan. In addition, B shares have in place a separate Distribution
Agreement and related Distribution Plan adopted pursuant to Rule 12b-1 under the
1940 Act under which the Fund will pay up to a maximum of .75% per annum of the
average net assets of B shares. B shares are subject to a contingent deferred
sales charge, which may be reduced or waived under certain circumstances.
36
<PAGE> 39
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
Effective January 1, 1998, fees payable under the Services Plan have been
increased to .15% on an annualized basis of the net asset value of the Retail
shares of the Money Market, Government Money Market, Treasury Money Market, Tax
Exempt Money Market and Pennsylvania Tax Exempt Money Market Funds.
6. RESULTS OF PROXY VOTING
A special meeting of the Shareholders of the Funds was held on November 19,
1997. Shareholders of the Money Market, Government Money Market, Treasury Money
Market, Tax Exempt Money Market and Pennsylvania Tax Exempt Money Market Funds
each approved the following proposals:
PROPOSAL 1.
To approve a new Investment Advisory Agreement between the Trust and National
City Bank.
At least 62.08% of shareholders in each Fund voted to approve the proposal. No
more than 1.99% in each Fund voted against the proposal.
PROPOSAL 3A.
To approve changes to the fundamental investment limitation on underwriting
activities.
At least 54.30% of shareholders in each Fund voted to approve the proposal. No
more than 8.38% in each Fund voted against the proposal.
PROPOSAL 3B.
To approve changes to the fundamental investment limitation on real estate
related transactions.
At least 52.38% of shareholders in each Fund voted to approve the proposal. No
more than 10.32% in each Fund voted against the proposal.
PROPOSAL 3C.
To approve changes to the fundamental investment limitation on investment in
commodities.
At least 51.81% of shareholders in each Fund voted to approve the proposal. No
more than 10.84% in each Fund voted against the proposal.
PROPOSAL 3D.
To approve changes to the fundamental investment limitation regarding industry
concentration.
At least 52.96% of shareholders in each Fund voted to approve the proposal. No
more than 9.48% in each Fund voted against the proposal.
PROPOSAL 3E.
To approve changes to the fundamental investment limitation on loans.
At least 54.25% of shareholders in each Fund voted to approve the proposal. No
more than 8.52% in each Fund voted against the proposal.
PROPOSAL 3F.
To approve changes to the fundamental investment limitation on borrowing and
issuance of senior securities.
At least 54.18% of shareholders in each Fund voted to approve the proposal. No
more than 8.44% in each Fund voted against the proposal.
PROPOSAL 4A.
To approve a change in the fundamental investment policies related to
limitations on investments in other investment companies to make such policies
non-fundamental.
At least 53.84% of shareholders in each Fund voted to approve the proposal. No
more than 10.13% in each Fund voted against the proposal.
37
<PAGE> 40
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
PROPOSAL 4B.
To approve a change in the fundamental investment policies related to
limitations on illiquid securities to make such policies non-fundamental.
At least 52.26% of shareholders in each Fund voted to approve the proposal. No
more than 10.36% in each Fund voted against the proposal.
PROPOSAL 4C.
To approve a change in the fundamental investment policies related to
limitations on purchasing securities on margin to make such policies
non-fundamental.
At least 52.10% of shareholders in each Fund voted to approve the proposal. No
more than 10.57% in each Fund voted against the proposal.
PROPOSAL 4D.
To approve a change in the fundamental investment policies related to
limitations on purchasing securities of companies for the purpose of exercising
control to make such policies non-fundamental.
At least 52.13% of shareholders in each Fund voted to approve the proposal. No
more than 10.44% in each Fund voted against the proposal.
PROPOSAL 4E.
To approve a change in the fundamental investment policies related to
limitations on writing or selling put options, call options, straddles, spreads,
or any combination thereof to make such policies non-fundamental (Excludes
Pennsylvania Tax Exempt Money Market Fund).
At least 51.99% of shareholders in each Fund voted to approve the proposal. No
more than 10.59% in each Fund voted against the proposal.
PROPOSAL 4F.
To approve a change in the fundamental investment policies related to
limitations on purchasing or retaining securities of any issuer if officers or
trustees/directors of the Trust or any of its investment advisers own
beneficially more than certain percentages of that issuer's securities to make
such policies non-fundamental (Excludes Pennsylvania Tax Exempt Money Market
Fund).
At least 51.60% of shareholders in each Fund voted to approve the proposal. No
more than 10.92% in each Fund voted against the proposal.
PROPOSAL 4G.
To approve a change related to the limitation of investing in securities
issued by companies with less than three years of operations (Tax Exempt Money
Market Fund only).
88.78% of shareholders voted to approve the proposal. 2.27% of shareholders
voted against the proposal.
PROPOSAL 4I.
To approve a change in the fundamental investment policy related to the best
efforts to maintain a constant net asset value of $1.00 per share to make such
policy non-fundamental (Pennsylvania Tax Exempt Money Market Fund only).
81.85% of shareholders voted to approve the proposal. No shareholders voted
against the proposal.
PROPOSAL 5.
To approve a change in the fundamental investment objective to make the
investment objective non-fundamental (Excludes Pennsylvania Tax Exempt Money
Market Fund).
At least 50.85% of shareholders in each Fund voted to approve the proposal. No
more than 14.31% in each Fund voted against the proposal.
38
<PAGE> 41
LOGO NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
PROPOSAL 6.
Election of Trustees: For all Armada Funds, Institutional and Retail.
At least 92.53% of voting shareholders voted to elect each Trustee. No more
than 7.47% of voting shareholders withheld authority to elect a Trustee.
39
<PAGE> 42
LOGO ARMADA FUNDS
BOARD OF TRUSTEES
ROBERT D. NEARY
Chairman
Retired Co-Chairman, Ernst & Young
Director:
Cold Metal Products, Inc.
Zurn Industries, Inc.
HERBERT R. MARTENS, JR.
President
Executive Vice President,
National City Corporation
Chairman, President and Chief Executive
Officer, NatCity Investments, Inc.
LEIGH CARTER
Retired President and Chief Operating
Officer, B.F. Goodrich Company
Director:
Acromed Corporation
Kirtland Capital Corporation
Morrison Products
JOHN F. DURKOTT
President and Chief Operating Officer,
Kittle's Home Furnishing's Center, Inc.
ROBERT J. FARLING
Retired Chairman, President and
Chief Executive Officer, Centerior Energy
Director:
Republic Engineered Steels
RICHARD W. FURST, DEAN
Professor of Finance and Dean
Carol Martin Gatton College of Business
and Economics, University of Kentucky
Director:
Foam Design, Inc.
The Seed Corporation
GERALD L. GHERLEIN
Executive Vice President and General
Counsel, Eaton Corporation
Trustee:
Meridia Health System
WVIZ Educational Television
J. WILLIAM PULLEN
President and Chief Executive Officer,
Whayne Supply Company
<PAGE> 43
LOGO NOTES
<PAGE> 44
[ARMADA FUNDS LOGO] BULK RATE
U.S POSTAGE
Oaks, Pennsylvania 19456 PAID
CLEVELAND, OH
PERMIT NO. 1535
INVESTMENT ADVISOR
AFFILIATE OF
NATIONAL CITY
CORPORATION
National City Bank
1900 East Ninth Street
Cleveland, Ohio 44114
AF-807 (1/98)
