<PAGE>
000 B000000 10/31/97
000 C000000 0000796533
000 D000000 N
000 E000000 NF
000 F000000 Y
000 G000000 N
000 H000000 N
000 I000000 2.2
000 J000000 A
001 A000000 COMPOSITE NORTHWEST FUND, INC
001 B000000 811-4740
001 C000000 5093533402
002 A000000 601 W MAIN SUITE 300
002 B000000 SPOKANE
002 C000000 WA
002 D010000 99201
002 D020000 0613
003 000000 N
004 000000 N
005 000000 N
006 000000 N
007 A000000 N
007 B000000 0
008 A000001 COMPOSITE RESEARCH & MANAGEMENT COMPANY
008 B000001 A
008 C000001 801-4855
008 D010001 SEATTLE
008 D020001 WA
008 D030001 98104
011 A000001 COMPOSITE FUNDS DISTRIBUTOR, INC.
011 B000001 8-50200
011 C010001 SPOKANE
011 C020001 WA
011 C030001 99201
011 C040001 0613
012 A000001 MURPHEY FAVRE SECURITIES SERVICES, INC.
012 B000001 84-
012 C010001 SPOKANE
012 C020001 WA
012 C030001 99201
012 C040001 0613
013 A000001 LEMASTER & DANIELS
013 B010001 SPOKANE
013 B020001 WA
013 B030001 99201
014 A000001 WM FINANCIAL SERVICES, INC.
014 B000001 8-3641
015 A000001 INVESTORS FIDUCIARY TRUST, COMPANY
015 B000001 C
015 C010001 KANSAS CITY
015 C020001 MO
<PAGE>
015 C030001 64105
015 E010001 X
018 000000 Y
019 A000000 Y
019 B000000 12
019 C000000 COMPOSITES
020 A000001 AUTRANET PERSHING
020 B000001 13-2961507
020 C000001 67
020 A000002 COWEN & CO.
020 B000002 13-5616116
020 C000002 21
020 A000003 LIPPER ANALYTICAL
020 B000003 13-2792478
020 C000003 3
020 A000004 OPPENHEIMER
020 B000004 13-2798343
020 C000004 2
020 A000005 WEEDEN & CO.
020 B000005 13-3364318
020 C000005 2
020 A000006 BEAR STEARNS
020 B000006 13-3299429
020 C000006 1
020 A000007 RAGEN MACKENZIE
020 B000007 91-1374280
020 C000007 1
020 A000008 DONALDSON LUFKIN & JENRETTE
020 B000008 13-2741729
020 C000008 1
020 C000009 0
020 C000010 0
021 000000 99
022 A000001 FIRST BOSTON
022 B000001 13-5659485
022 C000001 864035
022 D000001 0
022 A000002 GOLDMAN SACHS
022 B000002 13-5108880
022 C000002 268423
022 D000002 4100
022 A000003 DONALDSON, LUFKIN & JENRETTE
022 B000003 13-2741729
022 C000003 20778
022 D000003 4727
022 A000004 MERRILL LYNCH ET ALL
022 B000004 13-5674085
022 C000004 8069
022 D000004 9739
022 A000005 RAGEN MACKENZIE
022 B000005 91-1374280
<PAGE>
022 C000005 5441
022 D000005 10683
022 A000006 COWEN & CO.
022 B000006 13-5616116
022 C000006 7042
022 D000006 8890
022 A000007 PIPER JAFFREY
022 B000007 41-0953246
022 C000007 8921
022 D000007 3312
022 A000008 PACIFIC CREST SECURITIES
022 B000008 93-0625230
022 C000008 8750
022 D000008 2296
022 A000009 SMITH BARNEY SHEARSON
022 B000009 13-2869611
022 C000009 4639
022 D000009 3378
022 A000010 JEFFERIES & COMPANY, INC.
022 B000010 95-2622900
022 C000010 3086
022 D000010 2816
023 C000000 1211484
023 D000000 63365
024 000000 N
025 D000001 0
025 D000002 0
025 D000003 0
025 D000004 0
025 D000005 0
025 D000006 0
025 D000007 0
025 D000008 0
026 A000000 N
026 B000000 Y
026 C000000 N
026 D000000 Y
026 E000000 N
026 F000000 N
026 G010000 Y
026 G020000 N
026 H000000 N
027 000000 Y
028 A010000 3603
028 A020000 0
028 A030000 0
028 A040000 2555
028 B010000 4727
028 B020000 0
028 B030000 0
028 B040000 2993
<PAGE>
028 C010000 6571
028 C020000 0
028 C030000 0
028 C040000 2537
028 D010000 5432
028 D020000 0
028 D030000 0
028 D040000 9039
028 E010000 6781
028 E020000 0
028 E030000 0
028 E040000 3536
028 F010000 8466
028 F020000 0
028 F030000 0
028 F040000 3191
028 G010000 35580
028 G020000 0
028 G030000 0
028 G040000 23852
028 H000000 30996
029 000000 Y
030 A000000 799
030 B000000 4.50
030 C000000 0.00
031 A000000 332
031 B000000 0
032 000000 248
033 000000 219
034 000000 Y
035 000000 37
036 A000000 N
036 B000000 0
037 000000 Y
038 000000 0
039 000000 N
040 000000 Y
041 000000 Y
042 A000000 36
042 B000000 1
042 C000000 63
042 D000000 0
042 E000000 0
042 F000000 0
042 G000000 0
042 H000000 0
043 000000 785
044 000000 0
045 000000 Y
046 000000 N
047 000000 Y
<PAGE>
048 000000 0.000
048 A010000 500000
048 A020000 0.625
048 B010000 500000
048 B020000 0.500
048 C010000 0
048 C020000 0.000
048 D010000 0
048 D020000 0.000
048 E010000 0
048 E020000 0.000
048 F010000 0
048 F020000 0.000
048 G010000 0
048 G020000 0.000
048 H010000 0
048 H020000 0.000
048 I010000 0
048 I020000 0.000
048 J010000 0
048 J020000 0.000
048 K010000 1000000
048 K020000 0.375
049 000000 N
050 000000 N
051 000000 N
052 000000 N
053 A000000 Y
053 B000000 Y
054 A000000 Y
054 B000000 Y
054 C000000 Y
054 D000000 N
054 E000000 N
054 F000000 N
054 G000000 N
054 H000000 Y
054 I000000 N
054 J000000 Y
054 K000000 N
054 L000000 Y
054 M000000 Y
054 N000000 N
054 O000000 Y
055 A000000 N
055 B000000 N
056 000000 Y
057 000000 N
058 A000000 N
059 000000 Y
060 A000000 Y
<PAGE>
060 B000000 Y
061 000000 50
062 A000000 N
062 B000000 0.0
062 C000000 0.0
062 D000000 0.0
062 E000000 0.0
062 F000000 0.0
062 G000000 0.0
062 H000000 0.0
062 I000000 0.0
062 J000000 0.0
062 K000000 0.0
062 L000000 0.0
062 M000000 0.0
062 N000000 0.0
062 O000000 0.0
062 P000000 0.0
062 Q000000 0.0
062 R000000 0.0
063 A000000 0
063 B000000 0.0
066 A000000 Y
066 B000000 N
066 C000000 N
066 D000000 Y
066 E000000 N
066 F000000 N
066 G000000 N
067 000000 N
068 A000000 N
068 B000000 N
069 000000 N
070 A010000 Y
070 A020000 Y
070 B010000 Y
070 B020000 N
070 C010000 N
070 C020000 N
070 D010000 N
070 D020000 N
070 E010000 N
070 E020000 N
070 F010000 N
070 F020000 N
070 G010000 N
070 G020000 N
070 H010000 N
070 H020000 N
070 I010000 N
070 I020000 N
<PAGE>
070 J010000 N
070 J020000 N
070 K010000 N
070 K020000 N
070 L010000 N
070 L020000 N
070 M010000 N
070 M020000 N
070 N010000 Y
070 N020000 N
070 O010000 N
070 O020000 N
070 P010000 N
070 P020000 N
070 Q010000 N
070 Q020000 N
070 R010000 N
070 R020000 N
071 A000000 100731
071 B000000 88826
071 C000000 240479
071 D000000 37
072 A000000 12
072 B000000 243
072 C000000 2114
072 D000000 0
072 E000000 0
072 F000000 1538
072 G000000 0
072 H000000 0
072 I000000 348
072 J000000 25
072 K000000 29
072 L000000 46
072 M000000 9
072 N000000 40
072 O000000 0
072 P000000 0
072 Q000000 0
072 R000000 13
072 S000000 3
072 T000000 785
072 U000000 0
072 V000000 0
072 W000000 83
072 X000000 2919
072 Y000000 138
072 Z000000 -424
072AA000000 41408
072BB000000 0
072CC010000 45605
<PAGE>
072CC020000 0
072DD010000 0
072DD020000 0
072EE000000 18264
073 A010000 0.0000
073 A020000 0.0000
073 B000000 1.8840
073 C000000 0.0000
074 A000000 31
074 B000000 7545
074 C000000 0
074 D000000 0
074 E000000 0
074 F000000 288198
074 G000000 0
074 H000000 0
074 I000000 0
074 J000000 1102
074 K000000 0
074 L000000 1083
074 M000000 24
074 N000000 297984
074 O000000 1076
074 P000000 0
074 Q000000 0
074 R010000 0
074 R020000 0
074 R030000 0
074 R040000 373
074 S000000 0
074 T000000 296535
074 U010000 9912
074 U020000 1564
074 V010000 25.92
074 V020000 25.34
074 W000000 0.0000
074 X000000 24007
074 Y000000 0
075 A000000 0
075 B000000 244953
076 000000 0.00
077 A000000 Y
077 B000000 Y
077 C000000 N
077 D000000 N
077 E000000 N
077 F000000 N
077 G000000 N
077 H000000 N
077 I000000 N
077 J000000 N
<PAGE>
077 K000000 N
077 L000000 N
077 M000000 N
077 N000000 N
077 O000000 N
077 P000000 N
077 Q010000 N
077 Q020000 N
077 Q030000 N
078 000000 N
080 A000000 NATIONAL UNION FIRE INSURANCE COMPANY
080 C000000 6250
081 A000000 Y
081 B000000 11
082 A000000 N
082 B000000 0
083 A000000 N
083 B000000 0
084 A000000 N
084 B000000 0
085 A000000 Y
085 B000000 N
086 A010000 0
086 A020000 0
086 B010000 0
086 B020000 0
086 C010000 0
086 C020000 0
086 D010000 0
086 D020000 0
086 E010000 0
086 E020000 0
086 F010000 0
086 F020000 0
SIGNATURE JOHN T. WEST
TITLE SECRETARY
Board of Directors
Composite Northwest Fund, Inc.
In planning and performing our audit of the financial statements of Composite
Northwest Fund, Inc., for the year ended October 31, 1997, we considered its
internal control structure, including procedures for safeguarding securities, in
order 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, not to provide assurance on the internal control structure.
The Management of Composite Northwest Fund, Inc., is responsible for establish-
ing and maintaining an internal control structure. In fulfilling this
responsibility, estimates and judgments by management are required to assess
the expected benefits and related costs of internal control structure policies
and procedures. Two of the objectives of an internal control structure are to
provide management with reasonable, but not absolute, assurance that assets are
safeguarded against loss from unauthorized use or disposition and that
transactions are executed in accordance with management's authorization and
recorded properly to permit preparation of financial statements in conformity
with generally accepted accounting principles.
Because of inherent limitations in any internal control structure, errors or
irregularities may occur and not be detected. Also, projection of any evaluation
of the structure to future periods is subject to the risk that it may become
inadequate because of changes in conditions or that the effectiveness of the
design and operation may deteriorate.
Our consideration of the internal control structure would not necessarily
disclose all matters in the internal control structure 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 the specific internal control structure elements does not reduce to
a relatively low level the risk that errors or irregularities 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 the internal control structure, including procedures for safeguarding
securities, that we consider to be material weaknesses as defined above as of
October 31, 1997.
This report is intended solely for the information and use of management and the
Securities and Exchange Commission.
/s/ LeMaster & Daniels PLLC
Spokane, Washington
November 24, 1997
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
REGISTRANT'S SEMIANNUAL REPORT AND FORM N-SAR WHICH ARE ON FILE WITH THE
SECURITIES AND EXCHANGE COMMISSION AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE
TO SUCH DOCUMENTS.
</LEGEND>
<CIK> 0000796533
<NAME> COMPOSITE NORTHWEST FUND, INC.
<SERIES>
<NUMBER> 001
<NAME> CLASS A
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> OCT-31-1997
<PERIOD-START> NOV-01-1996
<PERIOD-END> OCT-31-1997
<INVESTMENTS-AT-COST> 188,279,238
<INVESTMENTS-AT-VALUE> 295,743,455
<RECEIVABLES> 2,185,004
<ASSETS-OTHER> 55,354
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 297,983,813
<PAYABLE-FOR-SECURITIES> 1,075,758
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 373,371
<TOTAL-LIABILITIES> 1,449,129
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 148,171,189
<SHARES-COMMON-STOCK> 9,912,061
<SHARES-COMMON-PRIOR> 9,922,336
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 422,848
<ACCUMULATED-NET-GAINS> 41,322,011
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 107,464,217
<NET-ASSETS> 296,534,684
<DIVIDEND-INCOME> 2,113,823
<INTEREST-INCOME> 242,821
<OTHER-INCOME> 0
<EXPENSES-NET> (2,780,938)
<NET-INVESTMENT-INCOME> (424,294)
<REALIZED-GAINS-CURRENT> 41,408,116
<APPREC-INCREASE-CURRENT> 45,605,120
<NET-CHANGE-FROM-OPS> 86,588,942
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (16,815,468)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 1,637,573
<NUMBER-OF-SHARES-REDEEMED> (1,553,311)
<SHARES-REINVESTED> 855,423
<NET-CHANGE-IN-ASSETS> 105,175,266
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 17,833,507
<OVERDISTRIB-NII-PRIOR> (4,381)
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1,538,183
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 2,780,938
<AVERAGE-NET-ASSETS> 244,953,187
<PER-SHARE-NAV-BEGIN> 19.69
<PER-SHARE-NII> (0.02)
<PER-SHARE-GAIN-APPREC> 8.13
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> (1.88)
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 25.92
<EXPENSE-RATIO> 1.05
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0.00
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 6
<LEGEND>
THIS SCHEDULE CONTAINS SUMMARY FINANCIAL INFORMATION EXTRACTED FROM THE
REGISTRANT'S SEMIANNUAL REPORT AND FORM N-SAR WHICH ARE ON FILE WITH THE
SECURITIES AND EXCHANGE COMMISSION AND IS QUALIFIED IN ITS ENTIRETY BY REFERENCE
TO SUCH DOCUMENTS.
</LEGEND>
<CIK> 0000796533
<NAME> COMPOSITE NORTHWEST FUND, INC.
<SERIES>
<NUMBER> 002
<NAME> CLASS B
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> OCT-31-1997
<PERIOD-START> NOV-01-1996
<PERIOD-END> OCT-31-1997
<INVESTMENTS-AT-COST> 188,279,238
<INVESTMENTS-AT-VALUE> 295,743,455
<RECEIVABLES> 2,185,004
<ASSETS-OTHER> 55,354
<OTHER-ITEMS-ASSETS> 0
<TOTAL-ASSETS> 297,983,813
<PAYABLE-FOR-SECURITIES> 1,075,758
<SENIOR-LONG-TERM-DEBT> 0
<OTHER-ITEMS-LIABILITIES> 373,371
<TOTAL-LIABILITIES> 1,449,129
<SENIOR-EQUITY> 0
<PAID-IN-CAPITAL-COMMON> 148,171,189
<SHARES-COMMON-STOCK> 1,563,580
<SHARES-COMMON-PRIOR> 1,083,885
<ACCUMULATED-NII-CURRENT> 0
<OVERDISTRIBUTION-NII> 422,848
<ACCUMULATED-NET-GAINS> 41,322,011
<OVERDISTRIBUTION-GAINS> 0
<ACCUM-APPREC-OR-DEPREC> 107,464,217
<NET-ASSETS> 296,534,684
<DIVIDEND-INCOME> 2,113,823
<INTEREST-INCOME> 242,821
<OTHER-INCOME> 0
<EXPENSES-NET> (2,780,938)
<NET-INVESTMENT-INCOME> (424,294)
<REALIZED-GAINS-CURRENT> 41,408,116
<APPREC-INCREASE-CURRENT> 45,605,120
<NET-CHANGE-FROM-OPS> 86,588,942
<EQUALIZATION> 0
<DISTRIBUTIONS-OF-INCOME> 0
<DISTRIBUTIONS-OF-GAINS> (1,448,706)
<DISTRIBUTIONS-OTHER> 0
<NUMBER-OF-SHARES-SOLD> 836,203
<NUMBER-OF-SHARES-REDEEMED> (100,926)
<SHARES-REINVESTED> 74,775
<NET-CHANGE-IN-ASSETS> 105,175,266
<ACCUMULATED-NII-PRIOR> 0
<ACCUMULATED-GAINS-PRIOR> 17,833,507
<OVERDISTRIB-NII-PRIOR> (4,381)
<OVERDIST-NET-GAINS-PRIOR> 0
<GROSS-ADVISORY-FEES> 1,538,183
<INTEREST-EXPENSE> 0
<GROSS-EXPENSE> 2,780,938
<AVERAGE-NET-ASSETS> 244,953,187
<PER-SHARE-NAV-BEGIN> 19.45
<PER-SHARE-NII> (0.08)
<PER-SHARE-GAIN-APPREC> 7.85
<PER-SHARE-DIVIDEND> 0.00
<PER-SHARE-DISTRIBUTIONS> (1.88)
<RETURNS-OF-CAPITAL> 0.00
<PER-SHARE-NAV-END> 25.34
<EXPENSE-RATIO> 1.91
<AVG-DEBT-OUTSTANDING> 0
<AVG-DEBT-PER-SHARE> 0.00
</TABLE>
