Report of Independent Auditors
To the Board of Trustees
Armada Funds
In planning and performing our audit of the financial statements
of Armada Funds (the "Funds") for the year ended May 31,
2000, we considered their internal control, including control
activities for safeguarding securities, to determine our
auditing procedures for the purpose of expressing our opinion
on the financial statements and to comply with the requirements
of Form N-SAR, and not to provide assurance on internal control.
The management of the Funds is responsible for establishing
and maintaining internal control. In fulfilling this
responsibility, estimates and judgments by management
are required to assess the expected benefits and related
costs of internal control. Generally, internal controls that are
relevant to an audit pertain to the entity's objective of preparing
financial statements for external purposes that are fairly
presented in conformity with generally accepted accounting
principles. Those internal controls include the safeguarding
of assets against unauthorized acquisition, use or disposition.
Because of inherent limitations in any internal control,
misstatements due to errors or fraud may occur and not be detected.
Also, projections of any evaluation of internal control to future
periods are subject to the risk that internal control may become
inadequate because of changes in conditions or that the degree
of compliance with the policies or procedures may deteriorate.
Our consideration of internal control would not necessarily disclose
all matters in internal control that might be material
weaknesses under standards established by the American
Institute of Certified Public Accountants. A material weakness
is a condition in which the design or operation of one or more
of the specific internal control components does not reduce to
a relatively low level the risk that misstatements due to errors
or fraud in amounts that would be material in relation to the
financial statements being audited may occur and not be
detected within a timely period by employees in the normal
course of performing their assigned functions. However,
we noted no matters involving internal control,
including control activities for safeguarding securities,
and its operation that we consider to be material weaknesses
as defined above at May 31, 2000.
This report is intended solely for the information and use of
the Board of Trustees and management of the Funds and
the Securities and Exchange Commission and is not intended
to be and should not be used by anyone other than these
specified parties.
July 7, 2000
