<PAGE> 1
- --------------------------------------------------------------------------------
SEMIANNUAL REPORT
- --------------------------------------------------------------------------------
FOR YIELD, PRICE, LAST TRANSACTION,
AND CURRENT BALANCE, 24 HOURS,
7 DAYS A WEEK, CALL:
1-800-638-2587 toll free
625-7676 Baltimore area
FOR ASSISTANCE WITH YOUR EXISTING
FUND ACCOUNT, CALL:
Shareholder Service Center
1-800-225-5132 toll free
625-6500 Baltimore area
T. ROWE PRICE
100 East Pratt Street
Baltimore, Maryland 21202
This report is authorized for distribution only to shareholders and to
others who have received a copy of the prospectus of the T. Rowe Price
Virginia Tax-Free Bond Funds.
(T.ROWE PRICE LOGO)
VTF
-------------------------------------------------------------------
T.ROWE PRICE
VIRGINIA TAX-FREE
FUNDS
(T.ROWE PRICE LOGO) AUGUST 31, 1995
<PAGE> 2
- --------------------------------------------------------------------------------
Fellow Shareholders
While stocks have captured most of the headlines so far this year, bonds also
delivered strong returns for investors. Bond prices rose and yields fell
sharply, although long-term tax-exempt issues trailed their taxable equivalents.
Despite the Federal Reserve's ease in July, municipal and taxable bonds gave
back some of their gains after revised economic data indicated the economy was
not slowing to the extent originally believed.
MARKET ENVIRONMENT
Municipals turned in their strongest performance this year in January and
February, when the yield on 30-year AAA general obligation bonds fell to 5.95%
from 6.65%. However, during the six months covered in this report, that yield
declined by only another 10 basis points to 5.85%, compared with an 80-basis-
point drop in the 30-year Treasury bond yield.
The tax- exempt market's lagging performance relative to Treasuries can be
attributed largely to investor concerns about tax reform proposals in Washington
(see sidebar on page 2). One effect of this key issue was the divergence between
intermediate- and long-term tax-exempt bonds. During the six months ended August
31, bonds maturing in 5 to 10 years provided higher total returns than long-term
bonds. The municipal yield curve steepened significantly (short-term yields fell
and long-term yields were steady) because investors demonstrated their
reluctance to assume the additional risk of buying bonds with long maturities
until tax uncertainties are cleared up.
In terms of new issuance, Virginia mirrored the rest of the country, with
new supply down 28% from 1994's levels. The dearth of new issues, coupled with
light secondary market supply, kept Virginia tax-exempt yields at relatively low
levels versus national averages. The state's economy continued its impressive
rebound from
- ------------------------------------------------------
Virginia Bond Yields
<TABLE>
<CAPTION>
08/31/94 09/30/94 10/31/94 11/30/94 12/31/94 01/31/95 02/28/95
<S> <C> <C> <C> <C> <C> <C> <C>
Virginia Bond Index 6.27 6.56 6.83 6.90 6.82 6.53 6.19
6.41 6.67 7.13 6.93 6.79 6.31 6.22
6.48 6.59 7.23 6.85 6.61 6.29 6.23
6.53 6.66 7.28 6.84 6.59 6.21 6.12
7.22 6.12
3 Year Virginia General Obligation 4.40 4.45 4.80 5.10 5.30 5.25 4.90
4.55 4.70 5.00 5.10 5.30 5.15 4.80
4.60 4.60 5.10 5.20 5.20 5.10 4.80
4.60 4.70 5.15 5.25 5.25 4.95 4.65
5.15 4.65
</TABLE>
<TABLE>
<CAPTION>
03/31/95 04/30/95 05/31/95 06/30/95 07/31/95 08/31/95
<S> <C> <C> <C> <C> <C> <C>
Virginia Bond Index 6.16 6.24 5.76 6.11 6.06 6.00
6.04 6.15 5.86 5.93 6.13
6.01 5.99 6.04 5.88 6.16
6.02 5.96 5.91 6.14 6.22
5.92 6.13
3 Year Virginia General Obligation 4.70 4.75 4.10 4.20 4.05 4.00
4.60 4.60 4.15 4.10 4.15
4.55 4.45 4.30 3.90 4.10
4.55 4.45 4.10 4.15 4.15
4.30 4.05
</TABLE>
- ------------------------------------------------------
Source: T. Rowe Price Associates
the early-1990s recession, with a growth rate that outpaced the national
average. Even in areas sensitive to federal defense cutbacks, potential weakness
has been offset by growth in other sectors. IBM, Toshiba, and Motorola recently
decided to build large manufacturing plants in the northern and central parts of
the state. Overall credit quality remained strong. These developments bode well
for the long-term strength of Virginia's economy.
VIRGINIA SHORT-TERM TAX-FREE BOND
FUND
For most of the past six months, as the economy slowed and interest rates
dropped, we gradually extended the fund's maturity and duration to recent highs
of 2.9 and 2.5 years, respectively, on June 30. This strategy benefited the
fund, especially in May, when increasing talk of a flat tax drove investors away
from longer maturities, sparking a strong rally in shorter-term tax- exempt
issues. The longer posture also helped the fund as interest rates dropped in
anticipation of the cut in the federal funds target in July, the Fed's first
reduction in nearly three years.
<PAGE> 3
Since then, however, economic signals have been somewhat mixed, creating
uncertainty over the Fed's next move. While short-term municipal yields fell in
the wake of the federal funds cut, they have since retraced some of their
decline. Consequently, we moved to a more neutral stance, trimming the fund's
weighted average maturity to 2.6 years and its effective duration to 2.3 years
as of August 31. These moves helped your fund essentially match its peer group
average during the quarter, although it trailed slightly over the first six
months of the fiscal year.
- ------------------------------------------------------
Performance Comparison
<TABLE>
<CAPTION>
Periods Ended 8/31/95
---------------------
3 Months 6 Months
-------- ---------
<S> <C> <C>
Virginia Short-Term
Tax-Free Bond Fund 1.41% 3.72%
Lipper States Short
Municipal Debt Fund
Average 1.39 3.88
</TABLE>
- ------------------------------------------------------
VIRGINIA TAX-FREE BOND FUND
After the municipal market's strong performance in January and February, we
began the past six-month period with a neutral duration compared with our peer
group. We shortened slightly in April, to an effective duration of 7.3 years,
when tax reform discussions put pressure on municipal bond prices, particularly
long-term issues. By the end of June, believing that the worst was over, we
lengthened slightly to 7.7 years as municipal yields reached levels close to
90% of the 30-year Treasury bond yield.
The fund continued to hold nearly one-third of its assets in higher coupon
and housing revenue bonds which lag in price appreciation during market rallies,
but provide attractive tax-free income to the portfolio. To offset the relative
price insensitivity of these bonds, our recent purchases focused on noncallable
and discount coupon bonds. Looking toward the end of the year, we see a slight
pickup in new issuance that may provide more choices for Virginia investors at
more attractive yields.
Your fund essentially matched its peer group average for the quarter, but
lagged slightly behind in the six-month period, reflecting our neutral duration
and weighting in less price-sensitive bonds.
- ------------------------------------------------------
Performance Comparison
<TABLE>
<CAPTION>
Periods Ended 8/31/95
---------------------
3 Months 6 Months
-------- ---------
<S> <C> <C>
Virginia Tax-Free Bond
Fund 0.50% 4.57%
Lipper Virginia Municipal
Debt Fund Average 0.52 4.73
</TABLE>
- ------------------------------------------------------
- --------------------------------------------------------------------------------
Municipal Bonds Hindered by Tax Reform Proposals
- --------------------------------------------------------------------------------
In recent months, proposals for tax reform in Washington have trimmed returns
on municipal bonds. Most of these proposals are still in rudimentary form, but
they center on the possibility of a flat tax with a low income tax rate, and
the elimination of taxes on the income from taxable securities. As a result,
investors demanded higher yields on long-term tax-exempt issues relative to
Treasuries to compensate for the risk that new legislation might reduce the
tax advantages of municipals. Tax-exempt securities with short maturities have
performed better, because they are less vulnerable to any changes in the tax
laws.
Tax reform discussions could continue to affect the municipal market
adversely, but we believe the likelihood of a genuine flat tax is slim. In our
experience, the market often overreacts to proposed changes in the tax code,
creating periods of market weakness that we view as buying opportunities.
Accordingly, we have taken advantage of the demand for short-term tax-exempt
bonds and have purchased long-term bonds when their yields approached those of
long-term Treasuries.
2
<PAGE> 4
OUTLOOK
For the past three months, the 30-year Treasury bond yield has hovered in a
range between 6.5% and 7%. While recent economic growth has slowed significantly
from last year's rapid pace, it may not have slowed to the extent the Federal
Reserve believed when it loosened monetary policy in July. Second quarter GDP,
initially reported to have increased by a paltry 0.5% annualized rate, was
subsequently revised to 1.1%. Growth in the third and fourth quarters should be
closer to the long-term trend of 2.5%.
Until the economy shows clearer signs of veering from moderate to either
slower or more rapid growth, long bond yields are likely to remain close to
current levels. Despite the emerging picture of a rebound in growth, the
combination of benign inflation and the growing sense of fiscal responsibility
in Washington may reassure the bond market.
The municipal market is also likely to trade in its range of the past six
months, with long-term rates fluctuating between 5.5% and 6.0%. Unless tax
reform proposals disappear altogether, we do not expect municipal bonds to
outperform Treasuries, and investors may continue to prefer tax- exempt bonds
with short maturities. Overall, we anticipate that economic developments will
have a greater impact than tax-reform proposals on the municipal market.
Respectfully submitted,
/s/ MARY J. MILLER
------------------
Mary J. Miller
Chairman of the
Investment Advisory Committee
September 20, 1995
3
<PAGE> 5
- --------------------------------------------------------------------------------
Portfolio Highlights
- ------------------------------------------------------
Virginia Short-Term Tax-Free
Bond Fund
- ------------------------------------------------------
Key Statistics
<TABLE>
<CAPTION>
Periods Ended
Dividend Yield 8/31/95
- ---------------------------------- --------------
<S> <C>
3 Months* 4.02%
- -------------------------------------------------
6 Months* 4.19
SEC 30-Day Yield 3.67
</TABLE>
- ------------------------------------------------------
<TABLE>
<S> <C>
Dividend Per Share
- ----------------------------------
3 Months $0.05
- -------------------------------------------------
6 Months 0.11
</TABLE>
- ------------------------------------------------------
<TABLE>
<S> <C>
Change in Price Per Share
- ----------------------------------
3 Months (From $5.12 to $5.14) $0.02
- -------------------------------------------------
6 Months (From $5.06 to $5.14) 0.08
- -------------------------------------------------
Weighted Average Quality** 1.3
- -------------------------------------------------
Weighted Average Maturity 2.6 years
Weighted Average Effective Duration 2.3 years
</TABLE>
- ------------------------------------------------------
* Dividends earned and reinvested for the periods indicated are annualized and
divided by the average daily net asset values per share for the same period.
** On a T. Rowe Price scale of 1 to 10, with Grade 1 representing highest
quality.
Note: The fund's average annual compound total return will be shown after it
completes its first full year of operations on 11/30/95.
- ------------------------------------------------------
Virginia Tax-Free Bond Fund
- ------------------------------------------------------
Key Statistics
<TABLE>
<CAPTION>
Periods Ended
Dividend Yield 8/31/95
- ---------------------------------- --------------
<S> <C>
3 Months* 5.31%
- -------------------------------------------------
6 Months* 5.39
SEC 30-Day Yield 5.31
</TABLE>
- ------------------------------------------------------
<TABLE>
<S> <C>
Dividend Per Share
- ----------------------------------
3 Months $0.14
- -------------------------------------------------
6 Months 0.29
</TABLE>
- ------------------------------------------------------
<TABLE>
<S> <C>
Change in Price Per Share
- ----------------------------------
3 Months (From $10.84 to $10.75) $ -0.09
- -------------------------------------------------
6 Months (From $10.56 to $10.75) 0.19
- -------------------------------------------------
Weighted Average Quality** 2.2
- -------------------------------------------------
Weighted Average Maturity 18.0 years
Weighted Average Effective Duration 7.6 years
</TABLE>
- ------------------------------------------------------
* Dividends earned and reinvested for the periods indicated are annualized and
divided by the average daily net asset values per share for the same period.
** On a T. Rowe Price scale of 1 to 10, with Grade 1 representing highest
quality.
- ------------------------------------------------------
Average Annual Compound Total Return
Periods ended August 31, 1995
<TABLE>
<CAPTION>
Since
Inception
1 Year (4/30/91)
- --------- -----------
<S> <C>
7.66% 7.85%
</TABLE>
- ------------------------------------------------------
Note: For the above periods ended 6/30/95, the fund's returns were 8.13% and
7.75%, respectively.
Investment return and principal value represent past performance and will vary.
Shares may be worth more or less at redemption than at original purchase.
4
<PAGE> 6
- ------------------------------------------------------
Virginia Short-Term Tax-Free
Bond Fund
- ------------------------------------------------------
Sector Diversification
<TABLE>
<CAPTION>
Percent of
Net Assets
8/31/95
----------
<S> <C>
Prerefunded Bonds 69%
- --------------------------------------------------
Hospital Revenue 12
General Obligation--Local 4
- --------------------------------------------------
Lease Revenue 3
Miscellaneous Revenue 3
- --------------------------------------------------
Air and Sea Transportation Revenue 3
Housing Finance Revenue 1
- --------------------------------------------------
Escrowed to Maturity 1
Solid Waste Revenue 1
- --------------------------------------------------
Educational Revenue 1
Industrial and Pollution Control
Revenue 1
- --------------------------------------------------
Other Assets Less Liabilities 1
- ---------------------------------------
</TABLE>
- ------------------------------------------------------
Virginia Tax-Free Bond Fund
- ------------------------------------------------------
Sector Diversification
<TABLE>
<CAPTION>
Percent of
Net Assets
8/31/95
----------
<S> <C>
Hospital Revenue 23%
- --------------------------------------------------
Housing Finance Revenue 15
Lease Revenue 13
- --------------------------------------------------
Water and Sewer Revenue 8
Prerefunded Bonds 8
- --------------------------------------------------
Educational Revenue 5
General Obligation--State 5
- --------------------------------------------------
Solid Waste Revenue 4
Industrial and Pollution Control
Revenue 4
- --------------------------------------------------
Dedicated Tax Revenue 4
Air and Sea Transportation Revenue 3
- --------------------------------------------------
Miscellaneous Revenue 3
Escrowed to Maturity 2
- --------------------------------------------------
Ground Transportation Revenue 2
Electric Revenue 1
- ---------------------------------------
</TABLE>
5
<PAGE> 7
- --------------------------------------------------------------------------------
Statement of Net Assets
T. Rowe Price Virginia Short-Term Tax-Free Bond Fund / August 31, 1995
(Unaudited)
(amounts in thousands)
<TABLE>
<CAPTION>
Amount Value
------- -------
<S> <C> <C>
VIRGINIA -- 93.7%
Alexandria IDA, Ogden Martin, VRDN (Currently 3.70%)*........................... $ 100 $ 100
Augusta County IDA, Augusta Hosp., (AMBAC Insured), 6.10%, 9/1/00............... 60 64
Chesapeake, GO, 6.80%, 7/1/03 (Pre-refunded 7/1/97+)............................ 450 481
Chesapeake Hosp. Auth., Chesapeake General Hosp., (BIGI Insured),
7.625%, 7/1/18 (Pre-refunded 7/1/98+)....................................... 85 94
Chesapeake Water & Sewer Systems, 7.10%, 12/1/05 (Pre-refunded 12/1/98+)........ 250 277
7.75%, 7/1/17 (Pre-refunded 7/1/97+)........................................ 90 98
Fairfax County, GO, 6.50%, 4/1/05 (Pre-refunded 4/1/98+)........................ 250 269
Fairfax County IDA, Fairfax Hosp. System, VRDN (Currently 3.65%)................ 300 300
Fairfax County Water Auth., 6.125%, 1/1/29 (Pre-refunded 1/1/00+)............... 250 266
Hampton, GO, 6.625%, 1/1/10 (Pre-refunded 1/1/00+).............................. 100 110
Hampton Roads Sanitation Dist., 7.10%, 7/1/98 (Escrowed to Maturity)............ 125 135
7.20%, 7/1/09 (Pre-refunded 7/1/99+)........................................ 500 559
Henrico County, GO, 6.40%, 10/1/99 (Pre-refunded 10/1/98+)...................... 180 192
Henrico County IDA, Henrico County Jail, 5.80%, 8/1/99.......................... 150 157
Lynchburg, GO, 7.10%, 7/1/97 (Pre-refunded 7/1/96+)............................. 250 258
Newport News, GO, 6.40%, 4/1/96................................................. 95 96
7.25%, 1/1/98............................................................... 75 80
Norfolk, GO, 7.00%, 10/1/09 (Pre-refunded 10/1/98+)............................. 300 330
Peninsula Ports Auth., Shell Oil, VRDN (Currently 3.40%)........................ 100 100
Portsmouth, GO, 7.25%, 11/1/04 (Pre-refunded 11/1/95+).......................... 100 103
Prince William County, GO, 6.00%, 2/1/96........................................ 100 101
6.125%, 2/1/03 (Pre-refunded 2/1/99+)....................................... 500 534
Prince William County IDA, Potomac Hosp. Corp., 5.90%, 10/1/97.................. 50 51
Richmond, GO, 7.00%, 1/15/20 (Pre-refunded 1/15/00+)............................ 80 89
Public Utilities, 7.60%, 1/15/04 (Pre-refunded 1/15/98+).................... 340 373
Roanoke IDA, Roanoke Memorial Hosp., Carilion Health System,
VRDN (Currently 3.50%)...................................................... 300 300
Suffolk, GO, 7.30%, 8/1/03 (Pre-refunded 8/1/97+)............................... 50 54
Univ. of Virginia, VRDN (Currently 3.65%)....................................... 100 100
Univ. of Virginia Hosp., 7.15%, 6/1/17 (Pre-refunded 6/1/98+)................... 50 55
Virginia, GO, 6.60%, 6/1/05 (Pre-refunded 6/1/98+).............................. 500 541
Higher Ed. Institution, GO, 6.60%, 6/1/08 (Pre-refunded 6/1/98+)............ 625 676
Virginia Beach, GO, 6.75%, 5/1/97............................................... 30 31
7.50%, 5/1/04 (Pre-refunded 5/1/97+)........................................ 200 215
Virginia Beach Hosp. Auth., Sentara Bayside Hosp., 5.65%, 11/1/98............... 500 517
Virginia HDA, 5.75%, 11/1/97.................................................... 95 98
6.40%, 1/1/05*.............................................................. 50 53
Virginia Public Building Auth., Correctional Fac., 6.90%, 2/1/99................ 175 189
Virginia Public School Auth., 5.60%, 1/1/99..................................... 275 287
6.20%, 1/1/99 (Pre-refunded 1/1/97+)........................................ 500 524
6.20%, 1/1/03 (Pre-refunded 1/1/99+)........................................ 50 54
6.70%, 1/1/07 (Pre-refunded 1/1/99+)........................................ 150 164
7.10%, 1/1/10 (Pre-refunded 1/1/98+)........................................ 75 81
6.75%, 1/1/11 (Pre-refunded 1/1/99+)........................................ 400 438
</TABLE>
6
<PAGE> 8
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Amount Value
------- -------
<S> <C> <C>
Prince William County, GO, 6.60%, 6/1/00........................................ $ 50 $ 52
Winchester, GO, 6.85%, 10/15/05 (Pre-refunded 10/15/97+)........................ 50 54
- --------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA -- 2.6%
Metropolitan Washington D.C. Airports Auth., (FGIC Insured), 6.80%, 10/1/98*.... 250 266
- --------------------------------------------------------------------------------------------------------
PUERTO RICO -- 2.7%
Puerto Rico Electric Power Auth., 7.125%, 7/1/14 (Pre-refunded 7/1/99+)......... 250 279
- --------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN SECURITIES -- 99.0% OF NET ASSETS (COST $10,104)........... 10,245
- --------------------------------------------------------------------------------------------------------
OTHER ASSETS LESS LIABILITIES................................................... 108
-------
</TABLE>
<TABLE>
<CAPTION>
Value
-------
<S> <C> <C>
NET ASSETS CONSIST OF:
Accumulated net realized gain/loss -- net of distributions...................... $ 24
Net unrealized gain (loss)...................................................... 141
Paid-in-capital applicable to 2,014,263 no par value shares of beneficial
interest outstanding; unlimited number of shares authorized................... 10,188
-------
NET ASSETS...................................................................... $10,353
=======
NET ASSET VALUE PER SHARE....................................................... $5.14
=====
- --------------------------------------------------------------------------------------------------------
* Interest subject to alternative minimum tax
+ Used in determining portfolio maturity
AMBAC AMBAC Indemnity Corp.
BIGI Bond Investors Guaranty Insurance
FGIC Financial Guaranty Insurance Company
GO General Obligation
HDA Housing Development Authority
IDA Industrial Development Authority
VRDN Variable Rate Demand Note
</TABLE>
7
<PAGE> 9
- --------------------------------------------------------------------------------
Statement of Net Assets
T. Rowe Price Virginia Tax-Free Bond Fund / August 31, 1995 (Unaudited)
(amounts in thousands)
<TABLE>
<CAPTION>
Amount Value
-------- --------
<S> <C> <C>
VIRGINIA -- 89.7%
Alexandria IDA, Alexandria/Arlington Waste-to-Energy Fac. (Ogden Martin
Systems), 7.40%, 1/1/08..................................................... $ 2,450 $ 2,488
VRDN (Currently 3.70%)*................................................... 200 200
Arlington County IDA, Arlington Hosp., 7.00%, 9/1/11 (Pre-refunded 9/1/01+)... 1,205 1,376
7.125%, 9/1/21 (Pre-refunded 9/1/01+)..................................... 800 919
Augusta County Service Auth., Water & Sewer, (MBIA Insured), 5.00%, 11/1/24... 1,000 867
Chesterfield County, Water & Sewer, 6.375%, 11/1/08........................... 1,000 1,089
Covington-Alleghany County IDA, PCR, Westvaco Corp., 6.65%, 9/1/18............ 1,500 1,573
Danville, General Improvement, GO, 7.25%, 3/1/07 (Pre-refunded 3/1/99+)....... 350 389
Danville IDA, Danville Regional Medical Center, (FGIC Insured), 6.50%,
10/1/24..................................................................... 3,000 3,125
Fairfax County, Sewer, (AMBAC Insured), 7.00%, 11/15/16 (Pre-refunded
11/15/99+).................................................................. 900 1,008
Fairfax County Economic Dev. Auth., Government Center, 5.50%, 5/15/14......... 1,720 1,635
Fairfax County IDA, Fairfax Hosp. System, VRDN (Currently 3.65%).............. 2,600 2,600
Inova Health System, VRDN (Currently 3.65%)............................... 900 900
Fairfax County Redev. and Housing Auth., FCRHA Office Building, 7.50%,
6/15/18..................................................................... 2,305 2,470
Fairfax County Water Auth., 5.80%, 1/1/16 (Escrow to Maturity)................ 3,455 3,538
7.30%, 1/1/21 (Pre-refunded 1/1/00+)...................................... 900 1,014
Frederick County IDA, Gov't. Complex Fac., (MBIA Insured), 6.50%, 12/1/14..... 1,500 1,575
Fredericksburg IDA, MWH MediCorp Obligated Group, (FGIC Insured),
Floating Rate, 8/15/23 (Currently 6.60%).................................... 6,000 6,190
George Mason Univ., (MBIA Insured), 6.375%, 2/1/13............................ 1,415 1,487
Hampton Museum, 7.30%, 1/1/14 (Pre-refunded 1/1/00+).......................... 1,100 1,236
Hampton Roads Medical College, 6.875%, 11/15/11............................... 1,500 1,605
6.875%, 11/15/16.......................................................... 500 529
Hampton Roads Sanitation Dist., 5.00%, 10/1/23................................ 5,000 4,380
Hanover County IDA, Bon Secours Health Systems, (MBIA Insured),
5.50%, 8/15/25............................................................ 2,750 2,560
Memorial Regional Medical Center, (MBIA Insured), 6.375%, 8/15/18......... 2,185 2,332
Henrico County IDA, Bon Secours Health System, St. John's Hosp., 7.50%,
9/1/15...................................................................... 1,900 2,104
St. Mary's Hosp., 7.50%, 9/1/07........................................... 435 485
Regional Jail, 7.00%, 8/1/13.............................................. 1,485 1,667
6.00%, 8/1/15........................................................ 2,415 2,420
Isle of Wight IDA, Union Camp Corp., 6.55%, 4/1/24*........................... 3,750 3,862
Loudoun County Sanitation Auth., Water & Sewer, (MBIA Insured), 5.25%,
1/1/20...................................................................... 1,000 911
5.25%, 1/1/25............................................................. 1,000 903
Martinsville IDA, Memorial Hosp. of Martinsville and Henry County,
7.00%, 1/1/11............................................................. 950 994
Norfolk, Water, (AMBAC Insured), 5.375%, 11/1/23.............................. 5,000 4,609
Norfolk IDA, Children's Hosp. of The King's Daughters, (AMBAC Insured)
7.00%, 6/1/11 (Pre-refunded 6/1/01+)........................................ 1,150 1,308
Sentara Hosp., 7.10%, 11/1/10 (Pre-refunded 11/1/00+)..................... 850 964
7.00%, 11/1/20 (Pre-refunded 11/1/00+)............................... 1,045 1,180
Peninsula Ports Auth., Riverside Health System, 6.625%, 7/1/10................ 1,500 1,569
Shell Oil, VRDN (Currently 3.40%)......................................... 1,405 1,405
Prince William County, Lease, COP, (MBIA Insured), 5.50%, 12/1/15............. 4,455 4,245
Richmond, GO, 7.00%, 1/15/20 (Pre-refunded 1/15/00+).......................... 1,515 1,690
</TABLE>
8
<PAGE> 10
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Amount Value
------
<S> <C> <C>
Riverside Regional Jail Auth., (MBIA Insured), 5.875%, 7/1/14................. $ 2,500 $ 2,498
Roanoke County, Public Improvement, GO, 5.00%, 6/1/21......................... 600 526
Water Systems, (FGIC Insured), 5.125%, 7/1/13............................. 1,000 917
Roanoke IDA, Roanoke Memorial Hosp., Carilion Health System,
VRDN (Currently 3.50%).................................................... 2,500 2,500
(MBIA Insured), 6.125%, 7/1/17............................................ 3,905 4,041
7.25%, 7/1/17 (Pre-refunded 7/1/00+)................................. 1,000 1,136
Univ. of Virginia, VRDN (Currently 3.65%)..................................... 1,500 1,500
Univ. of Virginia Hosp., 7.00%, 6/1/10........................................ 855 926
7.00%, 6/1/10 (Pre-refunded 6/1/99+)...................................... 545 604
Virginia, GO, 5.25%, 12/1/13.................................................. 1,675 1,614
6.50%, 6/1/15............................................................. 3,000 3,231
Virginia Beach Dev. Auth., Sentara Bayside Hosp., 6.60%, 11/1/09.............. 4,150 4,366
Virginia Beach General Hosp., (AMBAC Insured), 6.00%, 2/15/10............. 1,000 1,042
Virginia College Building Auth., Washington and Lee Univ., 5.75%, 1/1/14...... 1,000 989
Virginia Ed. Loan Auth., Student Loan Program, 5.55%, 9/1/10*................. 2,715 2,619
Virginia HDA, 6.35%, 11/1/01.................................................. 1,000 1,058
6.80%, 7/1/06*............................................................ 1,000 1,066
7.40%, 7/1/09............................................................. 300 319
6.70%, 7/1/11............................................................. 2,660 2,820
6.50%, 5/1/13*............................................................ 2,000 2,043
7.10%, 5/1/13............................................................. 1,500 1,579
6.90%, 7/1/13............................................................. 1,800 1,869
7.10%, 1/1/17............................................................. 2,230 2,326
6.40%, 7/1/17............................................................. 1,000 1,009
6.85%, 7/1/17............................................................. 1,000 1,030
6.90%, 7/1/17............................................................. 3,500 3,665
7.05%, 5/1/18............................................................. 840 883
7.10%, 1/1/22............................................................. 4,760 4,984
Virginia Public Building Auth., 6.50%, 8/1/11................................. 3,500 3,676
6.25%, 8/1/15............................................................. 1,550 1,601
Virginia Public School Auth., 7.125%, 1/1/10 (Pre-refunded 1/1/98+)........... 100 108
6.50%, 8/1/12............................................................. 1,700 1,780
6.50%, 8/1/16............................................................. 2,890 3,047
Virginia Resources Auth., Solid Waste Disposal, 5.50%, 5/1/12................. 2,000 1,916
5.50%, 4/1/15............................................................. 3,000 2,835
Virginia Transportation Board, Northern Virginia Transportation Dist.,
6.375%, 5/15/20........................................................... 1,500 1,545
U.S. Route 58 Corridor Dev. Program, 5.25%, 5/15/12....................... 1,385 1,313
Washington County IDA, Johnston Memorial Hosp., 6.75%, 7/1/12................. 1,500 1,562
Winchester IDA, Winchester Medical Center, Inc., (AMBAC Insured), Embedded
Interest Rate Swap, 1/1/04 (Currently 4.96%)................................ 1,400 1,361
- ---------------------------------------------------------------------------------------------------------
DISTRICT OF COLUMBIA -- 4.4%
Washington D.C. Metropolitan Transit Auth., (FGIC Insured), 6.00%, 7/1/07..... 2,315 2,490
(MBIA Insured), 6.625%, 10/1/19*.......................................... 4,750 4,895
- ---------------------------------------------------------------------------------------------------------
</TABLE>
9
<PAGE> 11
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Amount Value
-------- --------
<S> <C> <C>
PUERTO RICO -- 5.5%
Puerto Rico Commonwealth, GO, 7.75%, 7/1/13 (Pre-refunded 7/1/98+)............ $ 100 $ 112
7.75%, 7/1/17 (Pre-refunded 7/1/99+)...................................... 250 284
(MBIA Insured), 6.25%, 7/1/10............................................. 3,480 3,786
Puerto Rico Commonwealth Highway & Transportation Auth., (FSA Insured), 5.50%,
7/1/15.................................................................... 2,000 1,930
Puerto Rico Electric Power Auth., 7.00%, 7/1/07............................... 1,000 1,088
8.00%, 7/1/08 (Pre-refunded 7/1/98+)...................................... 125 140
Puerto Rico Infrastructure Fin. Auth., 7.75%, 7/1/08.......................... 115 127
7.50%, 7/1/09............................................................. 1,500 1,647
Puerto Rico Public Buildings Auth., GO, 7.25%, 7/1/17 (Pre-refunded
7/1/98+).................................................................... 100 110
- --------------------------------------------------------------------------------------------------------
TOTAL INVESTMENTS IN SECURITIES -- 99.6% OF NET ASSETS (COST $162,014)........ 167,914
- --------------------------------------------------------------------------------------------------------
OTHER ASSETS LESS LIABILITIES 681
--------
</TABLE>
<TABLE>
<CAPTION>
Value
--------
<S> <C> <C>
NET ASSETS CONSIST OF:
Accumulated net investment income -- net of distributions..................... $ 3
Accumulated net realized gain/loss -- net of distributions.................... (4,818)
Net unrealized gain (loss).................................................... 5,900
Paid-in-capital applicable to 15,679,737 no par value shares of beneficial
interest outstanding; unlimited number of shares authorized................. 167,510
--------
NET ASSETS.................................................................... $168,595
========
NET ASSET VALUE PER SHARE..................................................... $10.75
======
</TABLE>
- --------------------------------------------------------------------------------
<TABLE>
<C> <S>
* Interest subject to alternative minimum tax
+ Used in determining portfolio maturity
AMBAC AMBAC Indemnity Corp.
COP Certificate of Participation
FGIC Financial Guaranty Insurance Company
FSA Financial Security Assurance Corp.
GO General Obligation
HDA Housing Development Authority
IDA Industrial Development Authority
MBIA Municipal Bond Investors Assurance Corp.
PCR Pollution Control Revenue
VRDN Variable Rate Demand Note
</TABLE>
10
<PAGE> 12
- --------------------------------------------------------------------------------
Statement of Operations
T. Rowe Price Virginia Tax-Free Funds / Six Months Ended August 31, 1995
(Unaudited)
(in thousands)
<TABLE>
<CAPTION>
Short-Term
Bond Fund Bond Fund
---------- ---------
<S> <C> <C>
INVESTMENT INCOME
Interest income........................................................... $ 195 $ 4,912
---- ------
Expenses
Investment management..................................................... -- 381
Shareholder servicing..................................................... 13 79
Custodian and accounting.................................................. 45 52
Legal and audit........................................................... 6 6
Prospectus and shareholder reports........................................ 3 5
Trustees.................................................................. 2 3
Registration.............................................................. 3 --
Miscellaneous............................................................. 1 7
Reimbursed by Manager..................................................... (47) --
---- ------
Total expenses............................................................ 26 533
---- ------
Net investment income....................................................... 169 4,379
---- ------
REALIZED AND UNREALIZED GAIN (LOSS)
Net realized gain (loss) on:
Securities................................................................ 24 1,463
Futures................................................................... -- (100)
---- ------
Net realized gain (loss).................................................. 24 1,363
Change in net unrealized gain or loss on securities......................... 101 1,568
---- ------
Net realized and unrealized gain (loss)..................................... 125 2,931
---- ------
INCREASE (DECREASE) IN NET ASSETS FROM OPERATIONS........................... $ 294 $ 7,310
==== ======
</TABLE>
- --------------------------------------------------------------------------------
The accompanying notes are an integral part of these financial statements.
11
<PAGE> 13
- --------------------------------------------------------------------------------
Statement of Changes in Net Assets
T. Rowe Price Virginia Tax-Free Funds (Unaudited)
(in thousands)
<TABLE>
<CAPTION>
Short-Term Bond Fund
----------------------------------- Bond Fund
Nov. 30, 1994 ----------------------------------
Six Months (Commencement of Six Months
Ended Operations) to Ended Year Ended
Aug. 31, 1995 Feb. 28, 1995 Aug. 31, 1995 Feb. 28, 1995
--------------- ---------------- --------------- ---------------
<S> <C> <C> <C> <C>
INCREASE (DECREASE) IN NET ASSETS
FROM
Operations
Net investment income............. $ 169 $ 28 $ 4,379 $ 8,423
Net realized gain (loss).......... 24 -- 1,363 (6,075)
Change in net unrealized gain or
loss............................ 101 40 1,568 (1,060)
--------------- ------- --------------- ---------------
Increase (decrease) in net assets
from operations................. 294 68 7,310 1,288
--------------- ------- --------------- ---------------
Distributions to shareholders
Net investment income............. (169) (28) (4,379) (8,423)
Net realized gain on
investments..................... -- -- -- (151)
--------------- ------- --------------- ---------------
Decrease in net assets from
distributions................... (169) (28) (4,379) (8,574)
--------------- ------- --------------- ---------------
Capital share transactions*
Shares sold....................... 6,181 4,921 21,576 42,140
Distributions reinvested.......... 102 4 3,359 6,686
Shares redeemed................... (1,020) -- (14,549) (54,977)
--------------- ------- --------------- ---------------
Increase (decrease) in net assets
from capital share
transactions.................... 5,263 4,925 10,386 (6,151)
--------------- ------- --------------- ---------------
Increase (decrease) in net assets... 5,388 4,965 13,317 (13,437)
NET ASSETS
Beginning of period................. 4,965 -- 155,278 168,715
--------------- ------- --------------- ---------------
End of period....................... $10,353 $4,965 $ 168,595 $ 155,278
============== ================== ============== ==============
- -----------------------------------------------------------------------------
* Share information
Shares sold....................... 1,212 981 2,021 4,058
Distributions reinvested.......... 20 -- 314 645
Shares redeemed................... (199) -- (1,361) (5,337)
--------------- ------- --------------- ---------------
Increase (decrease) in shares
outstanding..................... 1,033 981 974 (634)
============== ================== ============== ==============
- -----------------------------------------------------------------------------
</TABLE>
The accompanying notes are an integral part of these financial statements.
12
<PAGE> 14
- --------------------------------------------------------------------------------
Notes to Financial Statements
T. Rowe Price Virginia Tax-Free Funds / August 31, 1995 (Unaudited)
NOTE 1 - SIGNIFICANT ACCOUNTING POLICIES
T. Rowe Price State Tax-Free Income Trust (the Trust) is registered under the
Investment Company Act of 1940. The Virginia Short-Term Tax-Free Bond Fund (the
Short-Term Bond Fund) and the Virginia Tax-Free Bond Fund (the Bond Fund),
non-diversified, open-end management investment companies, are two of the
portfolios established by the Trust.
A) Valuation - Debt securities are generally traded in the over-the-counter
market. Investments in securities with remaining maturities of one year or more
are stated at fair value as furnished by dealers who make markets in such
securities or by an independent pricing service, which considers yield or price
of bonds of comparable quality, coupon, maturity, and type, as well as prices
quoted by dealers who make markets in such securities. Securities with remaining
maturities of less than one year are stated at fair value, which is determined
by using a matrix system that establishes a value for each security based on
money market yields.
Assets and liabilities for which the above valuation procedures are
inappropriate or are deemed not to reflect fair value are stated at fair value
as determined in good faith by or under the supervision of the officers of each
fund, as authorized by the Board of Trustees.
B) Premiums and Discounts - Premiums and original issue discounts on municipal
securities are amortized for both financial reporting and tax purposes. Market
discounts are recognized upon disposition of the security as gain or loss for
financial reporting purposes and as ordinary income for tax purposes.
C) Other - Income and expenses are recorded on the accrual basis. Investment
transactions are accounted for on the trade date. Realized gains and losses are
reported on an identified cost basis. Distributions to shareholders are recorded
by the fund on the ex-dividend date. Income and capital gain distributions are
determined in accordance with federal income tax regulations and may differ from
those determined in accordance with generally accepted accounting principles.
NOTE 2 - INVESTMENT TRANSACTIONS
Purchases and sales of portfolio securities, other than short-term securities,
for the six months ended August 31, 1995, were as follows:
<TABLE>
<CAPTION>
Short-Term
Bond Fund Bond Fund
---------- -----------
<S> <C> <C>
Purchases $6,422,000 $80,193,000
Sales 1,598,000 72,210,000
</TABLE>
NOTE 3 - FEDERAL INCOME TAXES
No provision for federal income taxes is required since each fund intends to
continue to qualify as a regulated investment company and distribute all of its
income. The Bond Fund has unused realized capital loss carryforwards for federal
income tax purposes of $4,381,000 which expire in 2003. The Bond Fund intends to
retain gains realized in future periods that may be offset by available capital
loss carryforwards.
At August 31, 1995, the aggregate cost of investments for the Short-Term
Bond and Bond funds for federal income tax and financial reporting purposes was
$10,104,000 and $162,014,000, respectively. Net unrealized gain (loss) on
investments was as follows:
<TABLE>
<CAPTION>
Short-Term
Bond Fund Bond Fund
----------- ----------
<S> <C> <C>
Appreciated Investments $ 141,000 $6,015,000
Depreciated Investments -- (115,000)
---------- ----------
Net Unrealized Gain (Loss) $ 141,000 $5,900,000
========== ==========
</TABLE>
NOTE 4 - RELATED PARTY TRANSACTIONS
The investment management agreement between each fund and T. Rowe Price
Associates, Inc. (the Manager) provides for an annual investment management fee,
of which
13
<PAGE> 15
- --------------------------------------------------------------------------------
$66,000 was payable at August 31, 1995 by the Bond Fund. The fee is computed
daily and paid monthly, and consists of an Individual Fund Fee equal to 0.10% of
average daily net assets and a Group Fee. The Group Fee is based on the combined
assets of certain mutual funds sponsored by the Manager or Rowe-Price Fleming
International, Inc. (the Group). The Group Fee rate ranges from 0.48% for the
first $1 billion of assets to 0.31% for assets in excess of $34 billion. At
August 31, 1995, and for the six months then ended, the effective annual Group
Fee rate was 0.34%. Each fund pays a pro rata share of the Group Fee based on
the ratio of its net assets to those of the Group.
Under the terms of the investment management agreement, the Manager is
required to bear any expenses through February 29, 1996 for the Short-Term Bond
Fund and through February 28, 1997 for the Bond Fund which would cause each
fund's ratio of expenses to average net assets to exceed 0.65%. Thereafter,
through February 28, 1998, for the Short-Term Bond Fund and February 28, 1999,
for the Bond Fund, each fund is required to reimburse the Manager for these
expenses, provided that average net assets have grown or expenses have declined
sufficiently to allow reimbursement without causing each fund's ratio of
expenses to average net assets to exceed 0.65%. Pursuant to these agreements,
$18,000 of management fees were not accrued by the Short-Term Bond Fund for the
six months ended August 31, 1995, and $47,000 of other expenses were borne by
the Manager. Additionally, $26,000 of unaccrued fees remain subject to
reimbursement through February 28, 1998 for the Short-Term Bond Fund. Pursuant
to a previous agreement, $20,000 of unaccrued fees were repaid by the Bond Fund
during the six months ended August 31, 1995, and $168,000 remains subject to
reimbursement through February 28, 1997.
In addition, each fund has entered into agreements with the Manager and a
wholly owned subsidiary of the Manager, pursuant to which the fund receives
certain other services. The Manager computes the daily share price and maintains
the financial records of the fund. T. Rowe Price Services, Inc. is the fund's
transfer and dividend disbursing agent and provides shareholder and
administrative services to the fund. The Short-Term Bond and Bond funds incurred
expenses pursuant to these related party agreements totaling approximately
$44,000 and $99,000, respectively, for the six months ended August 31, 1995, of
which $10,000 and $19,000, respectively, were payable at period-end.
14
<PAGE> 16
- --------------------------------------------------------------------------------
Financial Highlights
T. Rowe Price Virginia Short-Term Tax-Free Bond Fund (Unaudited)
<TABLE>
<CAPTION>
For a share outstanding throughout each
period
----------------------------------------
Nov. 30, 1994
(Commencement
of
Operations)
Six Months Ended to Feb. 28,
August 31, 1995 1995
----------------------------------------
<S> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD......................... $5.06 $5.00
--------- --------
Investment Activities
Net investment income...................................... 0.11* 0.05*
Net realized and unrealized gain (loss).................... 0.08 0.06
--------- --------
Total from Investment Activities............................. 0.19 0.11
--------- --------
Distributions
Net investment income...................................... (0.11) (0.05)
--------- --------
NET ASSET VALUE, END OF PERIOD............................... $5.14 $5.06
========= ========
- -------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA
Total Return................................................. 3.72% 2.28%
Ratio of Expenses to Average Net Assets...................... 0.65%+* 0.65%+*
Ratio of Net Investment Income to Average Net Assets......... 4.13%+ 4.43%+
Portfolio Turnover Rate...................................... 43.8%+ 14.8%+
Net Assets, End of Period (in thousands)..................... $10,353 $ 4,965
- -------------------------------------------------------------------------------------------------------
</TABLE>
+ Annualized.
* Excludes expenses in excess of a 0.65% voluntary expense limitation in effect
through February 29, 1996.
15
<PAGE> 17
- --------------------------------------------------------------------------------
Financial Highlights
T. Rowe Price Virginia Tax-Free Bond Fund (Unaudited)
<TABLE>
<CAPTION>
For a share outstanding throughout each period
-------------------------------------------------------------------
Year April 30, 1991
Six Months Ended (Commencement
Ended ---------------------------------- of Operations)
August 31, Feb. 28, Feb. 28, Feb. 28, to Feb. 29,
1995 1995 1994 1993 1992
-------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD............ $10.56 $11.00 $11.06 $10.27 $10.00
------- ------ ------- ------ ---------
Investment Activities
Net investment income......................... 0.29* 0.57* 0.56* 0.58* 0.48*
Net realized and unrealized gain (loss)....... 0.19 (0.43) 0.09 0.82 0.31
------- ------ ------- ------ ---------
Total from Investment Activities................ 0.48 0.14 0.65 1.40 0.79
------- ------ ------- ------ ---------
Distributions
Net investment income......................... (0.29) (0.57) (0.56) (0.58) (0.48)
Net realized gain............................. -- (0.01) (0.15) (0.03) (0.04)
------- ------ ------- ------ ---------
Total Distributions............................. (0.29) (0.58) (0.71) (0.61) (0.52)
------- ------ ------- ------ ---------
NET ASSET VALUE, END OF PERIOD.................. $10.75 $10.56 $11.00 $11.06 $10.27
======= ====== ======= ====== =========
- ------------------------------------------------------------------------------------------------------------------
RATIOS/SUPPLEMENTAL DATA
Total Return.................................... 4.57% 1.51% 5.99% 14.11% 8.12%
Ratio of Expenses to Average Net Assets......... 0.65%+* 0.65%* 0.65%* 0.65%* 0.65%+*
Ratio of Net Investment Income to Average Net
Assets........................................ 5.34%+ 5.49% 5.03% 5.53% 5.80%+
Portfolio Turnover Rate......................... 93.3%+ 89.1% 61.8% 68.5% 76.3%+
Net Assets, End of Period (in thousands)........ $ 168,595 $155,278 $168,715 $111,705 $ 44,198
- ------------------------------------------------------------------------------------------------------------------
</TABLE>
+ Annualized.
* Excludes expenses in excess of a 0.65% voluntary expense limitation in effect
through February 28, 1997.
16
<PAGE> 18
- --------------------------------------------------------------------------------
Shareholder Services
To help shareholders monitor their current investments and make decisions that
accurately reflect their financial goals, T. Rowe Price offers a wide variety of
information and services--at no extra cost.
KNOWLEDGEABLE SERVICE REPRESENTATIVES
BY PHONE--Shareholder service representatives are available from 8:00 a.m. to
10:00 p.m., Monday - Friday, and weekends from 9:00 a.m. to 5:00 p.m ET. Call
1-800-225-5132 to speak directly with a representative who will be able to
assist you with your accounts.
IN PERSON--Visit one of our investor center locations to meet with a
representative who will be able to assist you with your accounts. While there,
you can drop off applications or obtain prospectuses and other literature.
AUTOMATED 24-HOUR SERVICES
Tele*Access(R) (1-800-638-2587) provides information such as account
balance, date and amount of your last transaction, latest dividend payment, and
fund prices and yields. Additionally, you have the ability to request
prospectuses, statements, account and tax forms; reorder checks; and initiate
purchase, redemption, and exchange orders for identically registered accounts.
PC*Access(R) provides the same information as Tele*Access, but on a personal
computer via dial-up modem.
ACCOUNT SERVICES
Checking--Write checks for $500 or more on any money market and most bond
fund accounts (except the High Yield Fund and Emerging Markets Bond Fund).
Automatic Investing--Build your account over time by investing directly from
your bank account or paycheck with Automatic Asset Builder. Additionally,
Automatic Exchange enables you to set up systematic investments from one fund
account into another, such as from a money fund into a stock fund. A low, $50
minimum makes it easy to get started.
Automatic Withdrawal--If you need money from your fund account on a regular
basis, you can establish scheduled, automatic redemptions.
Dividend and Capital Gains Payment Options--Reinvest all or some of your
distributions, or take them in cash. We give you maximum flexibility and
convenience.
INVESTMENT INFORMATION
Combined Statement--A comprehensive overview of your T. Rowe Price accounts.
The summary page gives your earnings by tax category, provides total portfolio
value, and lists your investments by type--stock, bond, and money market. Detail
pages itemize account transactions by fund.
Shareholder Reports--Portfolio managers review the performance of the funds
in plain language and discuss T. Rowe Price's economic outlook.
The T. Rowe Price Report--A quarterly newsletter with relevant articles on
market trends, personal financial planning, and T. Rowe Price's economic
perspective.
Insights--A library of information that includes reports on mutual fund tax
issues, investment strategies, and financial markets.
Detailed Investment Guides--Our widely acclaimed Asset Mix Worksheet,
College Planning Kit, Retirees Financial Guide, Retirement Planning Kit (also
available on disk for PC use), and Guide to Risk-Adjusted Performance can help
you determine and reach your investing goals.
DISCOUNT BROKERAGE
You can trade stocks, bonds, options, precious metals, and other securities at a
substantial savings over regular commission rates. Call a shareholder service
representative for more information.
17
<PAGE> 19
- --------------------------------------------------------------------------------
T. Rowe Price No-Load Mutual Funds
<TABLE>
<S> <C> <C> <C>
STABILITY INCOME CONSERVATIVE PERSONAL STRATEGY
Prime Reserve Global Government Bond GROWTH FUNDS
Summit Cash Reserves GNMA Balanced Personal Strategy Income
U.S. Treasury Money New Income Capital Appreciation Personal Strategy
California Tax-Free Money Spectrum Income Dividend Growth Balanced
New York Tax-Free Money Summit GNMA Equity Income Personal Strategy Growth
Summit Municipal Money U.S. Treasury Long-Term Equity Index
Market California Tax-Free Bond Growth & Income Call if you want to know
Tax-Exempt Money Georgia Tax-Free Bond Spectrum Growth about any T. Rowe Price
Maryland Tax-Free Bond Value fund. We'll send you a
CONSERVATIVE INCOME New Jersey Tax-Free Bond prospectus with more
Short-Term Bond New York Tax-Free Bond GROWTH complete information,
Short-Term Global Income Summit Municipal Income Blue Chip Growth including management fees
Short-Term Tax-Free Income European Stock and other expenses. Read
U.S. Government Virginia Tax-Free Bond Growth Stock it carefully before you
Summit Limited-Term Bond International Stock invest or send money.
U.S. Treasury Intermediate AGGRESSIVE INCOME Japan T. Rowe Price Investment
Florida Insured Emerging Markets Bond Mid-Cap Growth Services, Inc.
Intermediate High Yield New Era Distributor
Tax-Free International Bond Small-Cap Value
Maryland Short-Term Tax-Free High Yield
Tax-Free Bond AGGRESSIVE GROWTH
Summit Municipal Capital Opportunity
Intermediate Emerging Markets Stock
Tax-Free Insured International Discovery
Intermediate Bond Latin America
Tax-Free Short-Intermediate New America Growth
Virginia Short-Term New Asia
Tax-Free Bond New Horizons
OTC
Science & Technology
</TABLE>
18
