<PAGE> 1
SMA LIFE ASSURANCE
COMPANY
SEPARATE ACCOUNT K
DELAWARE MEDALLION
SEMI-ANNUAL REPORT
JUNE 30, 1995
DM-017-SAR [6/95] UG895
<PAGE> 2
August 1, 1995
Dear Policyholder:
In the first six months of 1995, the Standard & Poor's 500 Index rose 20.3%
(with dividends reinvested), a pace that far exceeds the historical annual
average appreciation of U.S. equities. Intermediate and long-term bond yields,
meanwhile, dropped by more than 1.8 percentage points, nearly reversing the
upward spike in interest rates of 1994.
These trends had a positive effect on investments in the Delaware Group
Premium Fund, Inc., which underlie the investment options of Delaware Medallion
Variable Annuity.* The weakness in equities and negative returns in bonds of
last year have been followed by a period of strong capital appreciation.
On July 6, the Federal Reserve Board reduced the Federal Funds rate by
0.25%, a move widely anticipated amid evidence that economic growth had slowed
substantially. The rate reduction came as the bond and stock markets turned
their attention from concern about inflation to speculation about the effects
of weak consumer spending and high inventory levels.
We expect that lower interest rates may help fuel renewed U.S. economic
growth in later part of 1995. In our opinion, the prospects for economic
expansion in several major overseas markets, particularly Europe, also appear
bright. That could increase demand for American products and services.
At Delaware Group, we firmly believe that a long-term outlook is the key to
investment success. With that in mind, we encourage you to review the enclosed
financial statement. We hope to have the opportunity to meet your financial
needs for many years to come.
Sincerely,
<TABLE>
<S> <C>
/s/ WAYNE A. STORK /s/ BRIAN F. WRUBLE
- ------------------ -------------------
Wayne A. Stork Brian F. Wruble
Chairman, Board of Directors President and Chief Executive Officer
Delaware Group Premium Fund Delaware Group Premium Fund
</TABLE>
* Investment Series of the Premium Fund underlie variable annuity products
issued by SMA Life Assurance Company of America (SMA), AIG Life Insurance
Company of America and American International Life Assurance Company of New
York. The International Equity, Emerging Growth and Value Series are
available only through SMA variable products.
SMA letter for orig version
<PAGE> 3
DELAWARE GROUP PREMIUM FUND, INC.-EQUITY/INCOME SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK-93.71%
AEROSPACE & DEFENSE-0.90%
General Dynamics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,900 $ 794,313
----------
794,313
----------
AUTOMOBILES AND AUTOMOBILE PARTS-5.19%
Chrysler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19,000 909,625
Dana . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,400 1,013,325
Ford Motor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37,300 1,109,675
Genuine Parts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40,800 1,545,300
----------
4,577,925
----------
BANKING, FINANCE & INSURANCE-19.59%
Aetna Life & Casualty . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,200 1,144,325
Aon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,250 1,126,813
Beneficial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,000 924,000
Boatmens Bancshares . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,900 594,669
Chase Manhattan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,000 940,000
Chemical Bank . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,500 968,625
CIGNA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,600 900,450
Crestar Financial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,900 583,100
First Fidelity . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,000 885,000
Integra Financial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19,900 967,638
KeyCorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36,500 1,145,188
Marsh & McLennan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,700 1,111,413
Mellon Bank . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,100 1,003,163
Meridian Bancorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38,800 1,328,900
St. Paul . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,700 1,068,725
Shawmut National . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,000 796,875
UJB Financial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34,700 1,054,013
U.S. Bancorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,700 738,719
----------
17,281,616
----------
CHEMICALS-9.98%
Dow Chemicals . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,000 1,581,250
DuPont (E.I.) de Nemours . . . . . . . . . . . . . . . . . . . . . . . . . . 37,000 2,543,750
Grace (W.R.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,700 227,088
Imperial Chemical . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,300 550,875
Monsanto . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,800 2,054,850
Witco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 57,300 1,847,925
----------
8,805,738
----------
COMPUTERS & ELECTRONICS-3.46%
General Electric . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,700 1,730,713
Thomas & Betts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19,400 1,326,475
----------
3,057,188
----------
CONSUMER PRODUCTS-2.26%
Minnesota Mining & Manufacturing . . . . . . . . . . . . . . . . . . . . . . 34,800 1,992,300
----------
1,992,300
----------
ENERGY-20.01%
Amoco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20,500 1,365,813
Atlantic Richfield . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,400 1,580,400
Dresser Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36,000 801,000
Exxon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31,000 2,189,375
Imperial Oil Limited . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29,300 1,087,763
Occidental Petroleum . . . . . . . . . . . . . . . . . . . . . . . . . . . . 78,100 1,786,538
Sonat . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45,200 1,378,600
Sun . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,900 845,888
Tenneco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34,500 1,587,000
Texaco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,100 1,187,813
Ultramar . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 48,400 1,222,100
USX-Marathon Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 64,500 1,273,875
Williams . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38,800 1,353,150
----------
17,659,315
----------
FOOD, BEVERAGE & TOBACCO-6.05%
American Brands . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,000 477,000
General Mills . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,000 924,750
Heinz (H.J.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,900 173,063
Philip Morris . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33,400 2,484,125
RJR Nabisco Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45,840 1,277,790
----------
5,336,728
----------
HEALTHCARE & PHARMACEUTICALS-6.21%
Lilly (Eli) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,500 667,250
SmithKline Beecham ADR Unit . . . . . . . . . . . . . . . . . . . . . . . . 49,800 2,253,450
Upjohn . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33,600 1,272,600
Warner-Lambert . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,900 1,286,988
----------
5,480,288
----------
INDUSTRIAL MACHINERY-2.62%
Cooper Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,500 1,007,250
McDermott International . . . . . . . . . . . . . . . . . . . . . . . . . . 54,000 1,302,750
----------
2,310,000
----------
</TABLE>
2
<PAGE> 4
EQUITY/INCOME SERIES STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK (Continued)
MEDIA, LEISURE & ENTERTAINMENT-2.20%
McGraw-Hill . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,600 $ 1,942,400
----------
1,942,400
----------
PAPER & FOREST PRODUCTS-2.50%
Federal Paper Board . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,500 795,938
Kimberly-Clark . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,600 455,050
Union Camp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,500 954,938
----------
2,205,926
----------
REAL ESTATE-2.24%
Liberty Property Trust . . . . . . . . . . . . . . . . . . . . . . . . . . . 45,000 883,125
Simon Property Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43,700 1,097,963
----------
1,981,088
----------
RETAIL-3.11%
Penney (J.C.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,800 1,718,400
Sears Roebuck . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,100 1,023,863
----------
2,742,263
----------
TRANSPORTATION-0.84%
Illinois Central . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,500 741,750
----------
741,750
----------
UTILITIES-6.55%
ALLTEL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37,100 941,413
Frontier . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 58,300 1,399,200
Houston Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,200 1,061,550
NYNEX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,500 1,428,875
Pacific Telesis Group . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,500 949,625
----------
5,780,663
----------
TOTAL COMMON STOCK (COST $74,488,769) . . . . . . . . . . . . . . . . . . . 82,689,501
----------
CONVERTIBLE PREFERRED STOCK-3.34%
AUTOMOBILES AND AUTOMOBILE PARTS-1.19%
General Motors $3.25 pfd cv "C" . . . . . . . . . . . . . . . . . . . . . . 16,600 1,045,800
----------
1,045,800
----------
BANKING, FINANCE & INSURANCE-1.50%
American Express 6.25% "FDC" 10/15/96 . . . . . . . . . . . . . . . . . . . 27,300 1,324,050
----------
1,324,050
----------
METALS & MINING-0.65%
Freeport McMoran Copper & Gold 7.00% pfd cv . . . . . . . . . . . . . . . . 23,000 575,000
----------
575,000
----------
TOTAL CONVERTIBLE PREFERRED STOCK
(COST $2,644,220) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,944,850
----------
PRINCIPAL
AMOUNT
REPURCHASE AGREEMENTS-3.34%
With Chase Manhattan Bank 6.125% 7/3/95 (dated
6/30/95, collateralized by $986,000 U.S. Treasury
Notes 6.125% due 5/15/98, market value $998,615) . . . . . . . . . . . . . $972,000 972,000
With Deutsche Bank 6.15% 7/3/95 (dated 6/30/95,
collateralized by $559,000 U.S. Treasury Bills
due 12/14/95, market value $544,440 and
$455,000 U.S. Treasury Notes 7.50% due
12/31/96, market value $465,789) . . . . . . . . . . . . . . . . . . . . . 988,000 988,000
With PaineWebber 6.20% 7/3/95 (dated 6/30/95,
collateralized by $980,000 U.S. Treasury Notes
6.625% due 3/31/97, market value $1,008,271) . . . . . . . . . . . . . . . 988,000 988,000
----------
TOTAL REPURCHASE AGREEMENTS (COST $2,948,000) . . . . . . . . . . . . . . . 2,948,000
----------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED-100.39% (Cost $80,080,989) . . . . . . . . . . . . . . . . . . . . . . 88,582,351
LIABILITIES NET OF RECEIVABLES AND OTHER ASSETS-(0.39%) . . . . . . . . . . . . . . . . . . . . . . . . . . . (343,789)
----------
NET ASSETS APPLICABLE TO 6,730,835 SHARES ($.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $13.11 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $88,238,562
==========
</TABLE>
See accompanying notes
3
<PAGE> 5
DELAWARE GROUP PREMIUM FUND, INC.-HIGH YIELD SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
CORPORATE BONDS-90.14%
AEROSPACE & DEFENSE-5.04%
*Alliant Techsystems 11 3/4% sr sub notes 2003 . . . . . . . . . . . . . . . $ 500,000 $ 534,375
American General 12 7/8% sr notes 2002 . . . . . . . . . . . . . . . . . . . 300,000 300,000
Interlake 12% sr notes 2001 . . . . . . . . . . . . . . . . . . . . . . . . 400,000 408,000
Interlake 12 1/8% sr sub deb 2002 . . . . . . . . . . . . . . . . . . . . . 330,000 325,050
K&F Industries 13 3/4% sr sub debs 2001 . . . . . . . . . . . . . . . . . . 400,000 414,000
Talley Industries 0%/12 1/4% sr disc deb 2005 . . . . . . . . . . . . . . . 600,000 399,000
Talley Manufacturing & Technology
10 3/4% sr notes 2003 . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 295,500
------------
2,675,925
------------
AUTOMOTIVES & AUTOMOTIVE PARTS-4.45%
Aftermarket Tech 12% sr sub notes 2004 . . . . . . . . . . . . . . . . . . . 500,000 535,000
Exide 0%/12 1/4% sr sub deb 2004 . . . . . . . . . . . . . . . . . . . . . . 400,000 318,000
Exide 10 3/4% sr notes 2002 . . . . . . . . . . . . . . . . . . . . . . . . 100,000 105,875
*Exide 10% sr notes 2005 . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000 413,000
Penda Industries 10 3/4% sr notes 2004 . . . . . . . . . . . . . . . . . . . 400,000 357,500
SPX 11 3/4% sr sub notes 2002 . . . . . . . . . . . . . . . . . . . . . . . 600,000 633,000
------------
2,362,375
------------
BANKING, FINANCE & INSURANCE-0.86%
Bankers Life Holding 13% sr sub deb 2002 . . . . . . . . . . . . . . . . . . 200,000 233,500
Life Partners 12 3/4% sr sub notes 2002 . . . . . . . . . . . . . . . . . . 200,000 221,000
------------
454,550
------------
BUILDINGS & MATERIALS-5.84%
American Standard 10 7/8% sr notes 1999 . . . . . . . . . . . . . . . . . . 400,000 431,500
American Standard 0%/10 1/2% sr sub debs 2005 . . . . . . . . . . . . . . . 800,000 608,000
Eagle Industries 0%/10 1/2% sr sub notes 2003 . . . . . . . . . . . . . . . 500,000 357,500
G-I Holdings 0% sr notes 1998 . . . . . . . . . . . . . . . . . . . . . . . 1,200,000 814,500
Schuller International Group 10 7/8%
sr notes 2004 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 328,500
Southdown 14% sr sub notes 2001 . . . . . . . . . . . . . . . . . . . . . . 500,000 558,750
------------
3,098,750
------------
CHEMICALS-6.56%
Berry Plastics 12 1/4% sr sub notes 2004 . . . . . . . . . . . . . . . . . . 400,000 406,000
Foamex L.P. 11 7/8% sr sub debs 2004 . . . . . . . . . . . . . . . . . . . . 400,000 383,500
Huntsman 10 5/8% lst mtg notes 2001 . . . . . . . . . . . . . . . . . . . . 800,000 852,000
NL Industries 11 3/4% sr notes 2003 . . . . . . . . . . . . . . . . . . . . 265,000 276,925
NL Industries 0%/13% sr notes 2005 . . . . . . . . . . . . . . . . . . . . . 600,000 426,000
OSI Specialties 9 1/4% sr sub notes 2003 . . . . . . . . . . . . . . . . . . 250,000 247,188
*Polymer Group 12 1/4% sr notes 2002 . . . . . . . . . . . . . . . . . . . . 625,000 630,469
UCC Investors Holdings 0%/12%
sub notes 2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 350,000 257,250
------------
3,479,332
------------
CONSUMER PRODUCTS-1.48%
Calmar Spraying system 14%
sr sub disc notes 1999 . . . . . . . . . . . . . . . . . . . . . . . . . . 450,000 463,500
*Remington Arms 10% sr sub notes 2003 . . . . . . . . . . . . . . . . . . . . 350,000 324,188
------------
787,688
------------
ENERGY-4.56%
Clark Oil & Refining 10 1/2% sr notes 2001 . . . . . . . . . . . . . . . . . 1,000,000 1,050,000
Ferrellgas Partners LP 10% 2001 . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,040,000
Global Marine 12 3/4% notes 1999 . . . . . . . . . . . . . . . . . . . . . . 250,000 275,625
Wilrig AS 11 1/4% sr notes 2004 . . . . . . . . . . . . . . . . . . . . . . 50,000 52,750
------------
2,418,375
------------
FOOD, BEVERAGE & TOBACCO-6.66%
Anchor Glass Container 10 1/4% notes 2002 . . . . . . . . . . . . . . . . . 250,000 253,438
Anchor Glass Container 9 7/8% sr sub debs 2008 . . . . . . . . . . . . . . . 425,000 391,000
Chiquita Brands 9 5/8% sr notes 2004 . . . . . . . . . . . . . . . . . . . . 95,000 94,288
Mafco 11 7/8% sr sub notes 2002 . . . . . . . . . . . . . . . . . . . . . . 250,000 250,625
Owens-Illinois 11% 2003 . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,107,500
PMI Acquisition 10 1/4% sr sub notes 2003 . . . . . . . . . . . . . . . . . 125,000 130,313
Silgan Holdings 0%/13 1/4% sr debs 2002 . . . . . . . . . . . . . . . . . . 950,000 864,500
Specialty Foods 11 1/4% sr notes 2003 . . . . . . . . . . . . . . . . . . . 450,000 444,938
------------
3,536,602
------------
</TABLE>
4
<PAGE> 6
HIGH YIELD SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
CORPORATE BONDS (Continued)
HEALTHCARE & PHARMACEUTICALS-4.41%
American Medical International 0%/15%
jr sub disc deb 2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 140,000 $ 270,900
HEALTHSOUTH Rehabilitation 9 1/2%
sr sub notes 2001 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 500,000 516,250
National Medical Enterprises 10 1/8%
sr sub notes 2005 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,460,000 1,551,250
------------
2,338,400
------------
INDUSTRIAL MACHINERY-1.83%
Hyster-Yale Materials 12 3/8% debs 1999 . . . . . . . . . . . . . . . . . . 400,000 410,500
IMO Industries 12% sr sub debs 2001 . . . . . . . . . . . . . . . . . . . . 550,000 559,625
------------
970,125
------------
MEDIA, LEISURE & ENTERTAINMENT-13.99%
Allbritton Communication 11 1/2% sr sub
deb 2004 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 150,000 158,250
AMC Entertainment 12 5/8% 2002 . . . . . . . . . . . . . . . . . . . . . . . 600,000 667,500
Aztar 13 3/4% sr sub notes 2004 . . . . . . . . . . . . . . . . . . . . . . 250,000 283,125
Cablevision Industries 9 1/4% notes 2008 . . . . . . . . . . . . . . . . . . 200,000 208,250
Century Communications 9 3/4% 2002 . . . . . . . . . . . . . . . . . . . . . 750,000 765,000
Cinemark USA 12% sr notes 2002 . . . . . . . . . . . . . . . . . . . . . . . 200,000 215,000
Coleman Holdings 0%/10 7/8% notes 1998 . . . . . . . . . . . . . . . . . . . 700,000 521,500
Continental Cablevision 9% debs 2008 . . . . . . . . . . . . . . . . . . . . 500,000 508,125
Infinity Broadcasting 10 3/8% sr sub notes 2002 . . . . . . . . . . . . . . 250,000 265,313
Jones Intercable 9 5/8% sr notes 2002 . . . . . . . . . . . . . . . . . . . 500,000 522,500
K-III Communications 10 5/8% 2002 . . . . . . . . . . . . . . . . . . . . . 490,000 514,500
Kloster Cruise 13% sr sec notes 2003 . . . . . . . . . . . . . . . . . . . . 385,000 298,375
Lamar Advertising 11% sr sec notes 2003 . . . . . . . . . . . . . . . . . . 450,000 451,125
*Marcus Cable 0%/ 14 1/4% sr disc notes 2005 . . . . . . . . . . . . . . . . 800,000 427,000
MGM Grand Hotel 11 3/4% 1st mtg notes 1999 . . . . . . . . . . . . . . . . . 100,000 108,250
MGM Grand Hotel 12% 1st mtg 2002 . . . . . . . . . . . . . . . . . . . . . . 150,000 167,438
New World Holding 0% sr disc notes 1999 . . . . . . . . . . . . . . . . . . 975,000 606,938
Outlet Broadcasting 10 7/8% 2003 . . . . . . . . . . . . . . . . . . . . . . 250,000 257,500
Sullivan Graphics 15% sr sub 2000 . . . . . . . . . . . . . . . . . . . . . 250,000 265,000
Viacom International 10 1/4% 2001 . . . . . . . . . . . . . . . . . . . . . 190,000 212,325
------------
7,423,014
------------
METALS & MINING-7.32%
Acme Metals 12 1/2% sr notes 2002 . . . . . . . . . . . . . . . . . . . . . 500,000 495,000
GS Technologies 12% sr notes 2004 . . . . . . . . . . . . . . . . . . . . . 1,100,000 1,089,000
Inland Steel 12 3/4% notes 2002 . . . . . . . . . . . . . . . . . . . . . . 400,000 448,500
Kaiser Aluminum 12 3/4% sr sub notes 2003 . . . . . . . . . . . . . . . . . 400,000 430,000
Maxxam Group 14% sr sub notes 2000 . . . . . . . . . . . . . . . . . . . . . 83,000 86,735
Maxxam Group 11 1/4% sr sec notes 2003 . . . . . . . . . . . . . . . . . . . 950,000 893,000
U.S. Can 13 1/2% sr sub notes 2002 . . . . . . . . . . . . . . . . . . . . . 400,000 442,000
------------
3,884,235
------------
PAPER & FOREST PRODUCTS-12.32%
Doman Industries Limited 8 3/4% sr notes 2004 . . . . . . . . . . . . . . . 1,000,000 981,250
Domtar 11 3/4% sr notes 1999 . . . . . . . . . . . . . . . . . . . . . . . . 1,200,000 1,326,000
Ivex Packaging 12 1/2% sr sub notes 2002 . . . . . . . . . . . . . . . . . . 450,000 474,750
Pacific Lumber 10 1/2% sr notes 2003 . . . . . . . . . . . . . . . . . . . . 700,000 663,250
Repap Wisconsin 9 1/4% sr notes 2002 . . . . . . . . . . . . . . . . . . . . 600,000 582,750
Repap Wisconsin 9 7/8% sr notes 2006 . . . . . . . . . . . . . . . . . . . . 500,000 486,875
SD Warren 12% sr sub notes 2004 . . . . . . . . . . . . . . . . . . . . . . 400,000 432,000
Stone Consolidated 10 1/4% sr notes 2000 . . . . . . . . . . . . . . . . . . 250,000 261,250
Stone Container 11 7/8% sr notes 1998 . . . . . . . . . . . . . . . . . . . 250,000 266,563
Stone Container 11 1/2% sr notes 2004 . . . . . . . . . . . . . . . . . . . 250,000 266,250
Sweetheart Cup 9 5/8% sr notes 2000 . . . . . . . . . . . . . . . . . . . . 800,000 796,000
------------
6,536,938
------------
RETAIL-4.02%
DiGiorgio 12% sr notes 2003 . . . . . . . . . . . . . . . . . . . . . . . . 600,000 473,250
Fleming Companies 10 5/8% sr notes 2001 . . . . . . . . . . . . . . . . . . 500,000 528,750
General Nutrition 11 3/8% sr sub notes 2000 . . . . . . . . . . . . . . . . 185,000 202,575
Pathmark Stores 0%/10 3/4% jr sub 2003 . . . . . . . . . . . . . . . . . . . 400,000 242,000
Penn Traffic 10.65% sr notes 2004 . . . . . . . . . . . . . . . . . . . . . 250,000 261,250
Ralph's Grocery 13 3/4% sr sub notes 2005 . . . . . . . . . . . . . . . . . 400,000 427,500
------------
2,135,325
------------
</TABLE>
5
<PAGE> 7
HIGH YIELD SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
CORPORATE BONDS (Continued)
TECHNOLOGY-3.08%
ADT Operations 9 1/4% sr sub notes 2003 . . . . . . . . . . . . . . . . . . $1,000,000 $ 1,040,000
MagneTek 10 3/4% sr sub debs 1998 . . . . . . . . . . . . . . . . . . . . . 300,000 317,250
Unisys 13 1/2% notes 1997 . . . . . . . . . . . . . . . . . . . . . . . . . 250,000 279,083
------------
1,636,333
------------
TRANSPORTATION-1.66%
Eletson Holdings FMBS 9 1/4% 2003 . . . . . . . . . . . . . . . . . . . . . 500,000 488,750
Viking Star Shipping 9 5/8% notes 2003 . . . . . . . . . . . . . . . . . . . 400,000 391,500
------------
880,250
------------
UTILITIES-6.06%
*Amerigas Partner 10 1/8% sr notes 2007 . . . . . . . . . . . . . . . . . . . 250,000 260,938
Comcast Cellular 0% notes 2000 . . . . . . . . . . . . . . . . . . . . . . . 600,000 425,250
Midland Funding II 13 1/4% 2006 . . . . . . . . . . . . . . . . . . . . . . 750,000 780,938
*Pronet 11 7/8% sr sub notes 2005 . . . . . . . . . . . . . . . . . . . . . . 500,000 505,625
Rogers Cantel Mobile 11 1/8% 2002 . . . . . . . . . . . . . . . . . . . . . 1,200,000 1,245,000
------------
3,217,751
------------
TOTAL CORPORATE BONDS (COST $46,974,598) . . . . . . . . . . . . . . . . . . 47,835,918
------------
CONVERTIBLE PREFERRED STOCK-0.49%
Pantry Pride $14.875 pfd . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 260,000
------------
TOTAL CONVERTIBLE PREFERRED STOCK
(COST $262,500) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 260,000
------------
STOCK WARRANTS-0.01%
Berry Plastic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400 5,000
------------
TOTAL STOCK WARRANTS (COST $3,600) . . . . . . . . . . . . . . . . . . . . . 5,000
------------
PRINCIPAL
AMOUNT
REPURCHASE AGREEMENTS-7.25%
With Chase Manhattan Bank 6.125% 7/3/95
(dated 6/30/95, collateralized by $1,287,000
U.S. Treasury Notes 6.125% due 5/15/98,
market value $1,303,823) . . . . . . . . . . . . . . . . . . . . . . . . . $1,269,000 1,269,000
With Deutsche Bank 6.15% 7/3/95
(dated 6/30/95, collateralized by $729,000
U.S. Treasury Bills due 12/14/95,
market value $710,838 and $594,000
U.S. Treasury Notes 7.50% due 12/31/96,
market value $608,148) . . . . . . . . . . . . . . . . . . . . . . . . . . 1,290,000 1,290,000
With PaineWebber 6.20% 7/3/95 (dated
6/30/95, collateralized by $1,279,000
U.S. Treasury Notes 6.625% due 3/31/97,
market value $1,316,430) . . . . . . . . . . . . . . . . . . . . . . . . . 1,290,000 1,290,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $3,849,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,849,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED-97.89% (COST $51,089,698) . . . . . . . . . . . . . . . . . . . . . 51,949,918
RECEIVABLES AND OTHER ASSETS NET OF LIABILITIES-2.11% . . . . . . . . . . . . . . . . . . . . . . . . . . 1,119,799
------------
NET ASSETS APPLICABLE TO 5,996,329 SHARES ($.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $8.85 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $53,069,717
============
</TABLE>
------------
* Security exempt from registration under Rule 144A of the Securities Act of
1933. These securities may be resold in transactions exempt from
registration, normally to qualified institutional buyers. At June 30, 1995,
these securities amounted to $2,834,657 or 5.83% of net assets.
See accompanying notes
6
<PAGE> 8
DELAWARE GROUP PREMIUM FUND, INC.-CAPITAL RESERVES SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
CORPORATE BONDS-29.42%
Allstate 5.875% 6/15/98 . . . . . . . . . . . . . . . . . . . . . . . . . . $ 385,000 $ 379,886
American General Financial 7.00% 10/1/97 . . . . . . . . . . . . . . . . . . 520,000 527,900
Aristar 8.125% 12/1/97 . . . . . . . . . . . . . . . . . . . . . . . . . . . 460,000 477,529
Associates N.A. 7.875% 9/30/01 . . . . . . . . . . . . . . . . . . . . . . . 500,000 530,771
AVCO Financial Home Equity 5.50% 5/1/98 . . . . . . . . . . . . . . . . . . 350,000 342,993
Bankers Trust-New York 8.00% 3/15/97 . . . . . . . . . . . . . . . . . . . . 500,000 512,820
Bell Atlantic 5.70% 5/30/96 . . . . . . . . . . . . . . . . . . . . . . . . 100,000 99,730
CIT Group Holdings medium-term notes
8.00% 1/13/97 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 310,000 318,090
Capital One Bank 8.125% 2/27/98 . . . . . . . . . . . . . . . . . . . . . . 375,000 389,063
Carter Holt Harvey Ltd. 8.875% 12/1/04 . . . . . . . . . . . . . . . . . . . 195,000 223,036
Columbia/HCA Healthcare medium-term notes
8.70% 2/10/10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 440,000 496,912
Federal Express 7.53% 9/23/06 . . . . . . . . . . . . . . . . . . . . . . . 319,666 329,602
Ford Capital BV 9.00% 8/15/98 . . . . . . . . . . . . . . . . . . . . . . . 120,000 128,748
Ford Motor Credit 7.25% 5/15/99 . . . . . . . . . . . . . . . . . . . . . . 320,000 327,963
General Motors Acceptance Corporation
floating rate medium-term notes 5.61% 3/3/99 . . . . . . . . . . . . . . . 380,000 371,925
Noranda 8.125% 6/15/04 . . . . . . . . . . . . . . . . . . . . . . . . . . . 475,000 506,772
Ontario Province 6.125% 6/28/00 . . . . . . . . . . . . . . . . . . . . . . 325,000 320,557
Pep Boys 7.00% 6/1/05 . . . . . . . . . . . . . . . . . . . . . . . . . . . 535,000 532,994
RJR Nabisco 6.70% 6/15/02 . . . . . . . . . . . . . . . . . . . . . . . . . 450,000 445,770
Transamerica Financial 8.08% 11/4/99 . . . . . . . . . . . . . . . . . . . . 520,000 549,043
------------
TOTAL CORPORATE BONDS (COST $7,643,737) . . . . . . . . . . . . . . . . . . 7,812,104
------------
U.S. TREASURY OBLIGATIONS-8.86%
U.S. Treasury Notes 6.375% 1/15/00 . . . . . . . . . . . . . . . . . . . . . 1,505,000 1,528,516
U.S. Treasury Notes 6.375% 8/15/02 . . . . . . . . . . . . . . . . . . . . . 815,000 824,169
------------
TOTAL U.S. TREASURY OBLIGATIONS
(COST $2,337,696) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,352,685
------------
GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION OBLIGATIONS
(GNMA)-16.25%
GNMA 7.50% 2008 to 2010 . . . . . . . . . . . . . . . . . . . . . . . . . . 1,490,536 1,518,011
GNMA 7.50% 2023 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 583,142 586,605
GNMA 9.00% 2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 730,745 770,523
GNMA 10.00% 2020 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 362,935 396,755
GNMA 10.50% 2019 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 349,268 385,068
GNMA 11.00% 2009 to 2010 . . . . . . . . . . . . . . . . . . . . . . . . . . 192,771 214,217
GNMA 12.00% 2011 to 2013 . . . . . . . . . . . . . . . . . . . . . . . . . . 108,281 123,238
GNMA II Jumbo 12.00% 2014 to 2016 . . . . . . . . . . . . . . . . . . . . . 286,724 320,593
------------
TOTAL GOVERNMENT NATIONAL MORTGAGE
ASSOCIATION OBLIGATIONS (COST $4,252,226) . . . . . . . . . . . . . . . . 4,315,010
------------
MORTGAGE-BACKED SECURITIES-23.04%
Federal Home Loan Bank 5.67% 10/30/95 . . . . . . . . . . . . . . . . . . . 430,000 430,730
Federal Home Loan Bank 6.745% 4/17/97 . . . . . . . . . . . . . . . . . . . 150,000 152,870
Federal Home Loan Mortgage Corporation
7.00% 10/1/17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 251,530 252,917
Federal Home Loan Mortgage Corporation
7.50% 5/1/09 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 176,276 178,068
Federal Home Loan Mortgage Corporation
8.50% 9/1/08 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 196,380 203,152
Federal Home Loan Mortgage Corporation
Global Bond 7.125% 7/21/99 . . . . . . . . . . . . . . . . . . . . . . . . 95,000 98,306
Federal Home Loan Mortgage Corporation-
Gold 8.50% 6/1/14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 205,602 213,209
Federal National Mortgage Association
6.50% 9/1/23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 760,000 731,500
Federal National Mortgage Association
8.00% 12/1/09 to 1/1/10 . . . . . . . . . . . . . . . . . . . . . . . . . 1,061,021 1,090,194
Federal National Mortgage Association
8.00% 9/1/16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 423,391 434,951
Federal National Mortgage Association
8.50% 2/1/06 to 7/1/09 . . . . . . . . . . . . . . . . . . . . . . . . . . 886,422 917,997
Federal National Mortgage Association
9.00% 10/1/06 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 472,829 497,946
Federal National Mortgage Association
9.50% 11/1/21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 408,828 432,452
Federal National Mortgage Association
9.50% 5/1/22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 457,890 484,665
------------
TOTAL MORTGAGE-BACKED SECURITIES
(COST $6,069,286) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,118,957
------------
</TABLE>
7
<PAGE> 9
CAPITAL RESERVES SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
COLLATERALIZED MORTGAGE
OBLIGATIONS-7.26%
FDIC REMIC Trust 94-C1 2A2 7.85% 9/25/25 . . . . . . . . . . . . . . . . . . $435,000 $ 449,002
Federal Home Loan Mortgage Corporation
1666E 6.00% 12/15/19 . . . . . . . . . . . . . . . . . . . . . . . . . . . 500,000 484,292
Nomora Asset Securities 95-MD3 8.17% 3/4/20 . . . . . . . . . . . . . . . . 521,530 552,740
Resolution Trust 95-C1 6.55% 6/1/25 . . . . . . . . . . . . . . . . . . . . 450,000 442,406
------------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(COST $1,939,489) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,928,440
------------
ASSET-BACKED SECURITIES-13.30%
Advanta 93-1A2 5.95% 5/25/09 . . . . . . . . . . . . . . . . . . . . . . . . 79,205 76,029
American Financial Home Equity Loan
Trust Series 94-2A1 6.95% 6/25/24 . . . . . . . . . . . . . . . . . . . . 218,175 217,761
American Financial Home Equity Loan
Trust Series 91-1A 8.00% 7/25/06 . . . . . . . . . . . . . . . . . . . . . 68,256 69,832
Discover Card Trust Series 93-BA 6.75% 2/16/02 . . . . . . . . . . . . . . . 400,000 404,822
Old Stone Credit 93-2 6.025% 6/15/08 . . . . . . . . . . . . . . . . . . . . 223,107 218,065
Olympic Automobile Receivables Trust
95-B 7.35% 10/15/01 . . . . . . . . . . . . . . . . . . . . . . . . . . . 530,000 541,236
Premier Auto Trust 93-2A3 4.90% 10/15/98 . . . . . . . . . . . . . . . . . . 334,526 329,943
Premier Auto Trust 93-3A3 4.90% 12/15/98 . . . . . . . . . . . . . . . . . . 470,633 464,326
Standard Master Trust 94 7.25% 4/7/08 . . . . . . . . . . . . . . . . . . . 370,000 382,488
Travelers Mortgage Securities J-Z2 12.00% 3/1/14 . . . . . . . . . . . . . . $281,456 315,583
World Omni Automobile Lease Securitization
Trust 94-BA 7.95% 1/25/01 . . . . . . . . . . . . . . . . . . . . . . . . 500,000 512,656
------------
TOTAL ASSET-BACKED SECURITIES (COST $3,477,489) . . . . . . . . . . . . . . 3,532,741
------------
REPURCHASE AGREEMENTS-3.85%
With Chase Manhattan Bank 6.125% 7/3/95
(dated 6/30/95, collateralized by $342,000
U.S. Treasury Notes 6.125% due 5/15/98,
market value $346,196) . . . . . . . . . . . . . . . . . . . . . . . . . . 337,000 337,000
With Deutsche Bank 6.15% 7/3/95 (dated 6/30/95,
collateralized by $194,000 U.S. Treasury Bills
due 12/14/95, market value $188,744 and
$158,000 U.S. Treasury Notes 7.50% due
12/31/96, market value $161,477) . . . . . . . . . . . . . . . . . . . . . 343,000 343,000
With PaineWebber 6.20% 7/3/95 (dated 6/30/95,
collateralized by $340,000 U.S. Treasury Notes
6.625% due 3/31/97, market value $349,544) . . . . . . . . . . . . . . . . 342,000 342,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $1,022,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,022,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED-101.98% (COST $26,741,923) . . . . . . . . . . . . . . . . . . . . . 27,081,937
LIABILITIES REDUCED BY RECEIVABLES AND OTHER ASSETS-(1.98%) . . . . . . . . . . . . . . . . . . . . . . . . (526,828)
------------
NET ASSETS APPLICABLE TO 2,717,791 SHARES ($.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $9.77 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $26,555,109
===========
</TABLE>
See accompanying notes
8
<PAGE> 10
DELAWARE GROUP PREMIUM FUND, INC.-MULTIPLE STRATEGY SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK-60.82%
AEROSPACE & DEFENSE-3.31%
AlliedSignal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,800 $ 569,600
General Motors Class H . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,200 205,400
Lockheed Martin . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,000 757,500
Rockwell International . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,600 301,950
------------
1,834,450
------------
BANKING, FINANCE & INSURANCE-5.04%
Bank of New York . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000 201,875
Equitable of Iowa . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,200 170,950
Federal Home Loan . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,700 666,875
Federal National Mortgage . . . . . . . . . . . . . . . . . . . . . . . . . 4,000 377,500
First USA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000 177,500
MBNA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,450 386,438
Mellon Bank . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000 208,125
PMI Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000 216,875
SAFECO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,800 160,475
Wilmington Trust . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,000 228,000
------------
2,794,613
------------
BUILDINGS & MATERIALS-0.60%
Foster Wheeler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,400 331,350
------------
331,350
------------
CHEMICALS-4.35%
Air Products & Chemicals . . . . . . . . . . . . . . . . . . . . . . . . . . 8,300 462,725
DuPont (E.I.) de Nemours . . . . . . . . . . . . . . . . . . . . . . . . . . 6,400 440,000
Loctite . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,100 732,550
Lubrizol . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 212,250
Praxair . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,200 430,000
RPM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,700 133,581
------------
2,411,106
------------
CONSUMER PRODUCTS-3.32%
Armor All Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,700 113,900
Procter & Gamble . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,000 1,150,000
Singer N.V. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,500 194,063
Sunbeam-Oster . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27,600 382,950
------------
1,840,913
------------
ENERGY-4.79%
Imperial Oil Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,400 348,975
Kerr-McGee . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,500 509,438
Royal Dutch Petroleum . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,500 670,313
TOTAL ADR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,958 391,980
Unocal . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,200 475,150
Zeigler Coal Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,700 260,400
------------
2,656,256
------------
ENVIRONMENTAL SERVICES-1.37%
WMX Technologies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,700 757,613
------------
757,613
------------
FOOD, BEVERAGE & TOBACCO-4.28%
ConAgra . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,400 1,060,200
Philip Morris Companies . . . . . . . . . . . . . . . . . . . . . . . . . . 12,900 959,438
RJR Nabisco Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,800 356,800
------------
2,376,438
------------
HEALTHCARE & PHARMACEUTICALS-3.71%
Abbott Labs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,700 514,350
Bard (C.R.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,600 318,000
Pfizer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 175,513
Schering-Plough . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,000 353,000
SmithKline Beecham ADR Unit . . . . . . . . . . . . . . . . . . . . . . . . 15,400 696,850
------------
2,057,713
------------
INDUSTRIAL MACHINERY-0.98%
Danaher . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,800 175,450
Eaton . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,600 209,250
Hubbell Class B . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,835 160,178
------------
544,878
------------
</TABLE>
9
<PAGE> 11
MULTIPLE STRATEGY SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK (Continued)
MEDIA, LEISURE & ENTERTAINMENT-5.47%
American Greetings Class A . . . . . . . . . . . . . . . . . . . . . . . . . 10,600 $ 310,713
Banta . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,300 379,963
Reynolds & Reynolds Class A . . . . . . . . . . . . . . . . . . . . . . . . 32,200 949,900
Sbarro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,550 245,288
Tribune . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,100 497,138
Wallace Computer Services . . . . . . . . . . . . . . . . . . . . . . . . . 17,000 652,375
------------
3,035,377
------------
REAL ESTATE-4.10%
Colonial Properties . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,000 161,000
Developers Diversified Realty . . . . . . . . . . . . . . . . . . . . . . . 20,900 600,875
Health Care Property Investors . . . . . . . . . . . . . . . . . . . . . . . 13,700 438,400
Nationwide Health Properties . . . . . . . . . . . . . . . . . . . . . . . . 11,300 440,700
Security Capital Industrial . . . . . . . . . . . . . . . . . . . . . . . . 10,333 167,911
Storage Trust Realty . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,900 78,975
Storage USA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 136,200
Sun Communities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,000 250,000
------------
2,274,061
------------
RETAIL-5.14%
American Stores . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,400 433,125
Limited . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,000 352,000
May Department Stores . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,700 570,263
Rite Aid . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23,100 591,938
Wal-Mart Stores . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33,700 901,475
------------
2,848,801
------------
TECHNOLOGY-1.23%
Diebold . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,975 520,913
Teleflex . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800 163,400
------------
684,313
------------
TRANSPORTATION-0.61%
CSX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,500 338,063
------------
338,063
------------
UTILITIES-5.14%
ALLTEL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27,400 695,275
AT&T . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,800 467,500
Illinova . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,400 314,650
SCEcorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,000 274,000
Sonat . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,500 472,750
Southwestern Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,000 152,625
Tele Danmark A/S ADR . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,000 476,000
------------
2,852,800
------------
MISCELLANEOUS-7.38%
Corning . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,800 255,450
Dresser Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,000 155,750
General Electric . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,800 834,350
Service International . . . . . . . . . . . . . . . . . . . . . . . . . . . 49,200 1,555,950
Tyco International . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23,900 1,290,600
------------
4,092,100
------------
TOTAL COMMON STOCK (COST $30,007,399) . . . . . . . . . . . . . . . . . . . 33,730,845
------------
PREFERRED STOCK-0.69%
Freeport McMoRan 5.00% Conv. . . . . . . . . . . . . . . . . . . . . . . . . 8,700 188,138
Reynolds Metals 7.00% Conv. . . . . . . . . . . . . . . . . . . . . . . . . 4,000 193,000
------------
Total Preferred Stock (cost $398,766) . . . . . . . . . . . . . . . . . . . 381,138
------------
PRINCIPAL
AMOUNT
U.S. TREASURY OBLIGATIONS-4.05%
U.S. Treasury Notes 5.125% 2/28/98 . . . . . . . . . . . . . . . . . . . . . $ 25,000 24,555
U.S. Treasury Notes 5.875% 3/31/99 . . . . . . . . . . . . . . . . . . . . . 600,000 598,875
U.S. Treasury Notes 6.375% 1/15/00 . . . . . . . . . . . . . . . . . . . . . 325,000 330,078
U.S. Treasury Notes 6.375% 8/15/02 . . . . . . . . . . . . . . . . . . . . . 925,000 935,406
U.S. Treasury Notes 7.25% 5/15/04 . . . . . . . . . . . . . . . . . . . . . 60,000 64,050
U.S. Treasury Notes 7.25% 8/15/04 . . . . . . . . . . . . . . . . . . . . . 125,000 133,516
U.S. Treasury Notes 7.50% 1/31/97 . . . . . . . . . . . . . . . . . . . . . 40,000 41,012
U.S. Treasury Notes 7.75% 11/30/99 . . . . . . . . . . . . . . . . . . . . . 110,000 117,425
------------
TOTAL U.S. TREASURY OBLIGATIONS
(COST $2,222,081) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,244,917
------------
</TABLE>
10
<PAGE> 12
MULTIPLE STRATEGY SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
ASSET-BACKED SECURITIES-4.34%
Advanta 93-1A2 5.95% 5/25/09 . . . . . . . . . . . . . . . . . . . . . . . . $105,607 $ 101,372
American Financial Home Equity Loan Trust
Series 94-2A1 6.95% 6/25/24 . . . . . . . . . . . . . . . . . . . . . . . 130,905 130,657
American Financial Home Equity Loan Trust
Series 92-5A 7.20% 2/15/08 . . . . . . . . . . . . . . . . . . . . . . . 191,992 192,568
American Financial Home Equity Loan Trust
Series 91-1A 8.00% 7/25/06 . . . . . . . . . . . . . . . . . . . . . . . . 24,174 24,732
Discover Card Trust Series
93-BA 6.75% 2/16/02 . . . . . . . . . . . . . . . . . . . . . . . . . . . 125,000 126,507
Olympic Automobile Receivables Trust
95-B 7.35% 10/15/01 . . . . . . . . . . . . . . . . . . . . . . . . . . . 360,000 367,632
OSCC Home Equity Loan Trust 6.025% 6/15/08 . . . . . . . . . . . . . . . . . 78,087 76,323
Premier Auto Trust 932-A3 4.90% 10/15/98 . . . . . . . . . . . . . . . . . . 190,072 187,468
Premier Auto Trust 933-A3 4.90% 12/15/98 . . . . . . . . . . . . . . . . . . 299,913 295,894
Standard Master Trust 94 7.25% 4/7/08 . . . . . . . . . . . . . . . . . . . 275,000 284,281
Travelers Mortgage Securities 1-Z2
12.00% 3/1/14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 189,442 212,411
World Omni Automobile Lease
Securitization Trust 94-BA 7.95% 1/25/01 . . . . . . . . . . . . . . . . . 400,000 410,125
------------
TOTAL ASSET-BACKED SECURITIES
(COST $2,378,083) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,409,970
------------
COLLATERALIZED MORTGAGE
OBLIGATIONS-2.34%
FDIC REMIC Trust 94-C1 2A2 7.85% 9/25/25 . . . . . . . . . . . . . . . . . . 280,000 289,013
Federal Home Loan Mortgage Corporation
1666E 6.00% 12/15/19 . . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 290,575
Nomora Asset Securities 95-MD3 8.17% 3/4/20 . . . . . . . . . . . . . . . . 372,521 394,814
Resolution Trust 95-C1 6.55% 6/1/25 . . . . . . . . . . . . . . . . . . . . 330,000 324,431
------------
TOTAL COLLATERALIZED MORTGAGE OBLIGATIONS
(COST $1,306,222) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,298,833
------------
MORTGAGE-BACKED
SECURITIES-12.68%
Federal Home Loan Bank 5.67% 10/30/95 . . . . . . . . . . . . . . . . . . . 220,000 220,373
Federal Home Loan Mortgage Corporation
7.00% 10/1/17 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 143,002 143,790
Federal Home Loan Mortgage Corporation
7.50% 5/1/09 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100,729 101,753
Federal Home Loan Mortgage Corporation
8.50% 9/1/08 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138,079 142,841
Federal Home Loan Mortgage Corporation
Gold 8.50% 6/1/14 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 112,291 116,445
Federal National Mortgage Association
6.50% 9/1/23 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 560,000 539,000
Federal National Mortgage Association
7.90% 4/10/02 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 155,000 158,760
Federal National Mortgage Association
8.00% 12/1/09 to 1/1/10 . . . . . . . . . . . . . . . . . . . . . . . . . 585,793 601,899
Federal National Mortgage Association
8.00% 9/1/16 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 283,966 291,720
Federal National Mortgage Association
8.50% 2/1/06 to 7/1/09 . . . . . . . . . . . . . . . . . . . . . . . . . . 610,260 631,997
Federal National Mortgage Association
9.50% 6/1/19 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 321,510 341,491
Federal National Mortgage Association
9.50% 5/1/22 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 337,788 357,540
Government National Mortgage Association
7.50% 2008 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,228,561 1,251,932
Government National Mortgage Association
8.50% 2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 830,424 866,112
Government National Mortgage Association
9.00% 2021 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,044,235 1,101,078
Government National Mortgage Association
10.00% 2018 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 149,525 163,596
------------
TOTAL MORTGAGE-BACKED SECURITIES
(COST $6,908,181) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,030,327
------------
</TABLE>
11
<PAGE> 13
MULTIPLE STRATEGY SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
CORPORATE BONDS-10.85%
ABN-AMRO Bank N.V.-New York Branch
8.25% 8/1/09 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 80,000 $ 86,443
Allstate 5.875% 6/15/98 . . . . . . . . . . . . . . . . . . . . . . . . . . 225,000 222,011
American General Financial 7.00% 10/1/97 . . . . . . . . . . . . . . . . . . 340,000 345,165
Aristar 8.125% 12/1/97 . . . . . . . . . . . . . . . . . . . . . . . . . . . 250,000 259,527
Associates N.A. 7.875% 9/30/01 . . . . . . . . . . . . . . . . . . . . . . . 350,000 371,540
AVCO Financial 5.50% 5/1/98 . . . . . . . . . . . . . . . . . . . . . . . . 140,000 137,197
Bankers Trust-New York
7.25% 11/1/96 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 250,000 252,884
8.00% 3/15/97 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120,000 123,077
Bell Atlantic 5.70% 5/30/96 . . . . . . . . . . . . . . . . . . . . . . . . 55,000 54,851
Capital One Bank 8.125% 2/27/98 . . . . . . . . . . . . . . . . . . . . . . 260,000 269,750
Carter Holt Harvey Ltd. 8.875% 12/1/04 . . . . . . . . . . . . . . . . . . . 100,000 114,377
CIT Group Holdings medium-term notes
8.00% 1/13/97 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400,000 410,438
Columbia/HCA Healthcare medium-term notes
8.70% 2/10/10 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300,000 338,804
Federal Express 7.53% 9/23/06 . . . . . . . . . . . . . . . . . . . . . . . 172,128 177,478
Ford Capital BV 9.00% 8/15/98 . . . . . . . . . . . . . . . . . . . . . . . 250,000 268,226
Ford Motor Credit 7.25% 5/15/99 . . . . . . . . . . . . . . . . . . . . . . 220,000 225,474
General Motors Acceptance Corporation
8.375% 5/1/97 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 65,000 67,151
General Motors Acceptance Corporation
medium-term notes 7.00% 6/2/97 . . . . . . . . . . . . . . . . . . . . . . 130,000 131,408
General Motors Acceptance Corporation
floating rate medium-term notes 5.61% 3/3/99 . . . . . . . . . . . . . . . 250,000 244,688
Kingdom of Thailand medium-term notes
4.73% 9/30/96 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 190,000 186,716
MBNA 6.875% 10/1/99 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 321,000 324,410
Nabisco 6.70% 6/15/02 . . . . . . . . . . . . . . . . . . . . . . . . . . . 285,000 282,321
Noranda 8.125% 6/15/04 . . . . . . . . . . . . . . . . . . . . . . . . . . . 350,000 373,411
Pep Boys 7.00% 6/1/05 . . . . . . . . . . . . . . . . . . . . . . . . . . . 395,000 393,519
Transamerica Finanical 8.08% 11/4/99 . . . . . . . . . . . . . . . . . . . . 340,000 358,989
------------
TOTAL CORPORATE BONDS (COST $5,873,396) . . . . . . . . . . . . . . . . . . 6,019,855
------------
REPURCHASE AGREEMENTS-4.55%
With Chase Manhattan Bank 6.125% 7/3/95
(dated 6/30/95, collateralized by $844,000
U.S. Treasury Notes 6.125% due 5/15/98,
market value $854,989) . . . . . . . . . . . . . . . . . . . . . . . . . . 833,000 833,000
With Deutsche Bank 6.15% 7/3/95
(dated 6/30/95, collateralized by $478,000
U.S. Treasury Bills due 12/14/95, market value
$466,135 and $390,000 U.S. Treasury Notes
7.50% due 12/31/96, market value $398,796) . . . . . . . . . . . . . . . . 845,000 845,000
With PaineWebber 6.20% 7/3/95 (dated 6/30/95,
collateralized by $839,000 U.S. Treasury Notes
6.625% due 3/31/97, market value $863,255 . . . . . . . . . . . . . . . . 846,000 846,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $2,524,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,524,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED-100.32% (COST $51,618,128) . . . . . . . . . . . . . . . . . . . . . 55,639,885
LIABILITIES NETOFRECEIVABLESANDOTHERASSETS-(0.32%) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . (177,162)
------------
NET ASSETS APPLICABLE TO 4,017,257 SHARES ($.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $13.81 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $55,462,723
============
</TABLE>
See accompanying notes
12
<PAGE> 14
DELAWARE GROUP PREMIUM FUND, INC.-MONEY MARKET SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
<S> <C> <C>
COMMERCIAL PAPER-38.84%
FINANCIAL SERVICES-14.28%
ABN AMRO North American Finance,
Chicago 6.22% 8/10/95 . . . . . . . . . . . . . . . . . . . . . . . . . . $ 750,000 $ 744,817
Sandoz Corp. 5.97% 7/6/95 . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 999,171
Westdeutsche Landesbank Girozentrale,
New York 6.00% 7/18/95 . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 997,167
------------
TOTAL FINANCIAL SERVICES . . . . . . . . . . . . . . . . . . . . . . . . . . 2,741,155
------------
INDUSTRIAL-12.86%
Daimler Benz North American Corp.
6.00% 7/3/95 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 750,000 749,750
DuPont (EI) deNemours Corp. 5.85% 9/22/95 . . . . . . . . . . . . . . . . . 750,000 739,884
Schering-Plough 5.93% 11/2/95 . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 979,574
------------
TOTAL INDUSTRIAL . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,469,208
------------
MORTGAGE BANKERS AND BROKERS-11.70%
CS First Boston Inc. 5.97% 8/3/95 . . . . . . . . . . . . . . . . . . . . . 750,000 745,896
Merrill Lynch & Co. Inc. 6.05% 7/5/95 . . . . . . . . . . . . . . . . . . . 750,000 749,496
Morgan Stanley Group, Inc. 6.00% 7/7/95 . . . . . . . . . . . . . . . . . . 750,000 749,250
------------
TOTAL MORTGAGE BANKERS AND BROKERS . . . . . . . . . . . . . . . . . . . . . 2,244,642
------------
TOTAL COMMERCIAL PAPER . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,455,005
------------
FLOATING RATE NOTES*-20.84%
Federal Farm Credit Bank 6.20% 7/7/95 . . . . . . . . . . . . . . . . . . . 500,000 499,853
Federal Home Loan Bank 6.00% 7/3/95 . . . . . . . . . . . . . . . . . . . . 1,000,000 999,897
Student Loan Marketing Association
5.56% 7/4/95 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,000,000
Student Loan Marketing Association
5.59% 7/4/95 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 500,000 500,000
Student Loan Marketing Association
5.66% 7/4/95 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,000,000
------------
TOTAL FLOATING RATE NOTES . . . . . . . . . . . . . . . . . . . . . . . . . 3,999,750
------------
FEDERAL AGENCY NOTES-23.31%
Federal Home Loan Mortgage Corporation
6.56% 7/24/95 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 1,000,000
Federal National Mortgage Association
Discount Note 5.50% 6/12/96 . . . . . . . . . . . . . . . . . . . . . . . 750,000 747,141
Federal National Mortgage Association
Discount Note 5.75% 10/6/95 . . . . . . . . . . . . . . . . . . . . . . . 750,000 738,380
Federal National Mortgage Association
Discount Note 6.04% 8/28/95 . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 990,269
Federal National Mortgage Association
Discount Note 6.08% 7/5/95 . . . . . . . . . . . . . . . . . . . . . . . . 1,000,000 999,324
------------
TOTAL FEDERAL AGENCY NOTES . . . . . . . . . . . . . . . . . . . . . . . . . 4,475,114
------------
REPURCHASE AGREEMENTS-16.49%
With Chase Manhattan Bank 6.125%
7/3/95 (dated 6/30/95 collateralized by
$1,058,000 U.S. Treasury Notes 6.125%
due 5/15/98, market value $1,072,462) . . . . . . . . . . . . . . . . . . 1,044,000 1,044,000
With Deutsche Bank 6.15% 7/3/95 (dated
6/30/94, collateralized by $600,000
U.S. Treasury Bills due 12/14/95, market
value $584,701 and $489,000 U.S. Treasury
Notes 7.50% due 12/31/96, market value
$500,234) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,061,000 1,061,000
With PaineWebber 6.20% 7/3/95 (dated 6/30/95
collateralized by $1,052,000 U.S. Treasury
Notes 6.625% due 3/31/97, market value
$1,082,831) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,061,000 1,061,000
------------
TOTAL REPURCHASE AGREEMENTS . . . . . . . . . . . . . . . . . . . . . . . . 3,166,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED-99.48% (WHICH APPROXIMATES COST FOR FINANCIAL
REPORTING AND INCOME TAX PURPOSES) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19,095,869
RECEIVABLES AND OTHER ASSETS NET OF LIABILITIES-0.52% . . . . . . . . . . . . . . . . . . . . . . . . . . . 99,393
------------
NET ASSETS APPLICABLE TO 1,919,525 SHARES ($0.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $10.00 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $19,195,262
============
</TABLE>
- --------------------
*For Floating Rate Notes, the maturity date shown is the next interest reset
date.
See accompanying notes
13
<PAGE> 15
DELAWARE GROUP PREMIUM FUND, INC.-GROWTH SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK-82.58%
BASIC INDUSTRY/CAPITAL GOODS-2.07%
TriMas . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,600 $ 703,800
Wabash National . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,250 256,781
------------
960,581
------------
BUSINESS SERVICES/DISTRIBUTORS-1.05%
Intelligent Electronics . . . . . . . . . . . . . . . . . . . . . . . . . . 32,800 444,850
Peak Technologies Group . . . . . . . . . . . . . . . . . . . . . . . . . . 1,600 43,400
------------
488,250
------------
BUSINESS SERVICES/ENVIRONMENTAL-1.15%
Dames & Moore . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 41,100 534,300
------------
534,300
------------
BUSINESS SERVICES/MEDIA & PUBLISHING-3.25%
*International Family Entertainment Class B . . . . . . . . . . . . . . . . . 22,000 346,500
*King World Productions . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,200 372,600
*Multimedia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,400 674,250
Reynolds & Reynolds Class A . . . . . . . . . . . . . . . . . . . . . . . . 3,800 112,100
------------
1,505,450
------------
BUSINESS SERVICES/OTHER-5.98%
*BISYS Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32,300 714,638
CYRK . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33,700 307,513
First Financial Management . . . . . . . . . . . . . . . . . . . . . . . . . 12,400 1,060,200
*Gartner Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,400 358,050
*Isomedix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,500 330,750
------------
2,771,151
------------
CONSUMER DURABLES/CYCLICAL-0.95%
Harley-Davidson . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,800 287,625
Polaris Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800 152,950
------------
440,575
------------
CONSUMER NON-DURABLES/RETAIL-8.76%
Borders Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,200 161,000
*General Nutrition Companies . . . . . . . . . . . . . . . . . . . . . . . . 15,100 526,613
Gymboree . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,100 701,913
Kohls . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,400 702,625
*Musicland Stores . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 37,300 382,325
*Neostar Retail Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,500 147,250
*Price/Costco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34,800 567,675
*Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 21,200 613,475
*The Sports Authority . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,600 52,975
*Value City Department Stores . . . . . . . . . . . . . . . . . . . . . . . . 24,200 184,525
West Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700 17,850
------------
4,058,226
------------
CONSUMER NON-DURABLES/
TEXTILES & APPAREL-1.11%
Tommy Hilfiger . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18,400 515,200
------------
515,200
------------
CONSUMER NON-DURABLES/OTHER-1.24%
*Canadaigua Wine Class A . . . . . . . . . . . . . . . . . . . . . . . . . . 10,800 481,950
NBTY . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,000 90,563
------------
572,513
------------
CONSUMER SERVICES/
ENTERTAINMENT & LEISURE-6.17%
*Circus Circus Enterprises . . . . . . . . . . . . . . . . . . . . . . . . . 6,300 222,075
Hospitality Franchise System . . . . . . . . . . . . . . . . . . . . . . . . 6,800 235,450
MGM Grand . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,200 87,600
*Mirage Resorts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,200 741,125
Station Casinos . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,800 305,938
TCA Cable TV . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,100 83,313
*Viacom Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,632 168,888
*Viacom Class B non-voting . . . . . . . . . . . . . . . . . . . . . . . . . 9,419 436,806
*Viacom Var Common Rights . . . . . . . . . . . . . . . . . . . . . . . . . . 45,400 68,100
*WMS Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,000 510,250
------------
2,859,545
------------
</TABLE>
14
<PAGE> 16
GROWTH SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK (Continued)
CONSUMER SERVICES/RESTAURANTS-2.66%
*Bertucci's Holding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,550 $ 109,125
Daka International . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 39,525
*Foodmaker . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24,900 136,950
*Lone Star Steakhouse/Saloon . . . . . . . . . . . . . . . . . . . . . . . . 18,100 547,525
*Papa John's International . . . . . . . . . . . . . . . . . . . . . . . . . 4,900 170,275
Sbarro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,800 227,850
------------
1,231,250
------------
CONSUMER SERVICES/OTHER-3.83%
*ADT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44,400 521,700
Barefoot . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30,300 418,519
Cash America International . . . . . . . . . . . . . . . . . . . . . . . . . 51,300 378,338
*CUC International . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,850 455,700
------------
1,774,257
------------
ENERGY-1.37%
*AES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,997 436,943
Snyder Oil . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,500 195,688
------------
632,631
------------
FINANCIAL/INSURANCE-5.07%
AMBAC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,100 686,138
Blanch (E.W.) Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . 29,900 556,888
CMAC Investment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,300 533,513
MBIA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,600 571,900
------------
2,348,439
------------
FINANCIAL/OTHER-1.64%
AAMES Financial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,500 134,531
Olympic Financial Ltd. . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,200 254,600
SEI . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,300 370,825
------------
759,956
------------
HEALTHCARE/DEVICES-0.93%
*Sunrise Medical . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,900 432,638
------------
432,638
------------
HEALTHCARE/SERVICES-13.91%
Amerisource Health Class A . . . . . . . . . . . . . . . . . . . . . . . . . 3,500 80,500
Apria Healthcare Group . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,200 733,600
Columbia/HCA Healthcare . . . . . . . . . . . . . . . . . . . . . . . . . . 21,817 943,585
Health Management Association . . . . . . . . . . . . . . . . . . . . . . . 35,887 1,049,695
*HEALTHSOUTH Rehabilitation . . . . . . . . . . . . . . . . . . . . . . . . . 48,400 840,950
Novacare . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,100 98,313
Physician Reliance Network . . . . . . . . . . . . . . . . . . . . . . . . . 7,200 138,600
*Quantum Health Resources . . . . . . . . . . . . . . . . . . . . . . . . . . 32,800 539,150
*Quorum Health Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28,000 561,750
*Value Health . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26,112 842,112
*Vivra . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 22,550 611,669
------------
6,439,924
------------
HEALTHCARE/OTHER-1.14%
Oxford Health Plans . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 277,300
United Healthcare . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 248,250
------------
525,550
------------
TECHNOLOGY/COMMUNICATIONS-2.05%
*Cabletron Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,750 625,688
Firefox Communications . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,300 33,150
Intervoice . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,400 289,050
------------
947,888
------------
</TABLE>
15
<PAGE> 17
GROWTH SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C> <C>
COMMON STOCK (CONTINUED)
TECHNOLOGY/HARDWARE-10.69%
*Altera . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,800 $ 468,450
*Bay Networks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,800 610,500
*Clinicom . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000 82,500
*Dallas Semiconductor . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,900 366,950
Diamond Multimedia . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,200 146,700
In Focus Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,100 300,394
Microchip Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,800 503,700
*Silicon Graphics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,600 462,550
*Stratus Computer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17,000 527,000
Vlsi Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,200 365,238
*Xilinx . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,800 638,350
*Zilog . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,600 478,800
------------
4,951,132
------------
TECHNOLOGY/SOFTWARE-6.81%
Adobe Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,700 448,525
*Compuware . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16,000 494,000
Discreet Logic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700 23,100
HBO & Co. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,420 186,817
*Informix . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23,600 597,375
*Novell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31,600 630,025
Shared Medical Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,300 374,325
Softkey International . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800 120,650
*Vmark Software . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15,900 278,250
------------
3,153,067
------------
TRANSPORTATION-0.75%
Illinois Central . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,000 345,000
------------
345,000
------------
TOTAL COMMON STOCK (COST $32,256,442) . . . . . . . . . . . . . . . . . . . 38,247,523
------------
PRINCIPAL
AMOUNT
REPURCHASE AGREEMENTS-18.48%
With Chase Manhattan Bank 6.125% 7/3/95
(dated 6/30/95, collateralized by $2,861,000
U.S. Treasury Notes 6.125% due 5/15/98,
market value $2,898,628) . . . . . . . . . . . . . . . . . . . . . . . . . $2,823,000 2,823,000
With Deutsche Bank 6.15% 7/3/95 (dated
6/30/95, collateralized by $1,322,000
U.S. Treasury Notes 7.50% due 12/31/96,
market value $1,352,021 and $1,621,000
U.S. Treasury Bills due 12/14/95,
market value $1,580,317) . . . . . . . . . . . . . . . . . . . . . . . . . 2,867,000 2,867,000
With Paine Webber 6.20% 7/3/95 (dated
6/30/95, collateralized by $2,844,000
U.S. Treasury Notes 6.625% due 3/31/97,
market value $2,926,654) . . . . . . . . . . . . . . . . . . . . . . . . . 2,867,000 2,867,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $8,557,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,557,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED (cost $40,813,442)-101.06% . . . . . . . . . . . . . . . . . . . . . 46,804,523
LIABILITIES NET OF RECEIVABLES AND OTHER ASSETS-(1.06%) . . . . . . . . . . . . . . . . . . . . . . . . . . (490,383)
------------
NET ASSETS APPLICABLE TO 3,505,756 SHARES ($.01 par value) OUTSTANDING;
EQUIVALENT TO $13.21 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $46,314,140
============
</TABLE>
- --------------------
*Non-income producing securities for the six months ended June 30, 1995.
See accompanying notes
16
<PAGE> 18
DELAWARE GROUP PREMIUM FUND, INC.-INTERNATIONAL EQUITY SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
MARKET
NUMBER VALUE
OF SHARES (U.S.$)
<S> <C> <C>
COMMON STOCK-91.94%
AUSTRALIA-8.30%
CSR Limited . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 483,966 $1,509,392
National Australia Bank . . . . . . . . . . . . . . . . . . . . . . . . . . 254,254 2,004,043
Pacific Dunlop . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 716,926 1,504,183
Santos . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 334,103 800,445
------------
5,818,063
------------
BELGIUM-5.25%
Cimenterics CBR Cementbedrij . . . . . . . . . . . . . . . . . . . . . . . . 460 188,316
*Cimenterics CBR Cementbedrij
Put Warrants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 460 4,219
Electrabel NPV . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,700 2,259,756
G.I.B. Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,700 1,219,186
G.I.B. Holdings-VVPR . . . . . . . . . . . . . . . . . . . . . . . . . . . . 170 8,065
------------
3,679,542
------------
CANADA-2.77%
BC Telephone . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 113,800 1,946,503
------------
1,946,503
------------
FRANCE-5.78%
Alcatel Alsthom . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,564 861,796
Compagnie de Saint Gobain . . . . . . . . . . . . . . . . . . . . . . . . . 8,778 1,061,147
Elf Aquitaine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28,844 2,133,177
------------
4,056,120
------------
GERMANY-6.14%
Bayer AG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,960 1,728,309
Continental AG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,720 839,341
Siemens AG . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,505 1,735,407
------------
4,303,057
------------
HONG KONG-2.44%
Hong Kong Electric . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 305,000 1,036,704
Wharf (Holdings) Limited . . . . . . . . . . . . . . . . . . . . . . . . . . 206,000 672,246
------------
1,708,950
------------
INDONESIA-1.26%
PT Bank Dagang Nasional . . . . . . . . . . . . . . . . . . . . . . . . . . 506,000 886,125
------------
886,125
------------
JAPAN-14.33%
Amano . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 130,000 1,531,213
Eisai . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 105,000 1,793,286
Hitachi . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 168,000 1,672,085
Kinki Coca-Cola Bottling . . . . . . . . . . . . . . . . . . . . . . . . . . 120,000 1,710,247
Matsushita Electric . . . . . . . . . . . . . . . . . . . . . . . . . . . . 111,000 1,725,795
Nichido Five & Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . 200,000 1,613,663
------------
10,046,289
------------
MALAYSIA-1.97%
Oriental Holdings Berhad . . . . . . . . . . . . . . . . . . . . . . . . . . 133,000 709,188
Sime Darby Berhad . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 240,000 669,401
------------
1,378,589
------------
NETHERLANDS-7.11%
Elsevier-CVA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 119,500 1,410,416
Koninkihke Van Ommeren Ceteco NV . . . . . . . . . . . . . . . . . . . . . . 40,100 1,231,061
Royal Dutch Petroleum . . . . . . . . . . . . . . . . . . . . . . . . . . . 11,350 1,384,985
Unilever NV-CVA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,360 956,966
------------
4,983,428
------------
NEW ZEALAND-3.83%
Carter Holt Harvey Limited . . . . . . . . . . . . . . . . . . . . . . . . . 277,800 679,463
Telecom Corp of New Zealand . . . . . . . . . . . . . . . . . . . . . . . . 535,784 2,005,072
------------
2,684,535
------------
PHILIPPINES-1.11%
Philippine Long Distance Telephone
Company ADT . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,900 782,075
------------
782,075
------------
SINGAPORE-1.51%
Jardine Matherson HK Registry . . . . . . . . . . . . . . . . . . . . . . . 144,000 1,058,400
------------
1,058,400
------------
SPAIN-3.31%
Banco Central Hispanoamer S.A. . . . . . . . . . . . . . . . . . . . . . . . 25,449 539,076
Telefonica de Espana . . . . . . . . . . . . . . . . . . . . . . . . . . . . 138,500 1,784,293
------------
2,323,369
------------
</TABLE>
17
<PAGE> 19
INTERNATIONAL EQUITY SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
MARKET
NUMBER VALUE
OF SHARES (U.S.$)
<S> <C> <C>
COMMON STOCK (Continued)
UNITED KINGDOM-26.83%
Bass plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 173,000 $ 1,655,417
Blue Circle Industries plc . . . . . . . . . . . . . . . . . . . . . . . . . 262,000 1,171,206
British Airways plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . 230,000 1,507,477
Cable & Wireless . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 225,000 1,539,135
Dalgety plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 241,250 1,684,835
GKN plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 162,000 1,651,957
Great Universal Stores plc . . . . . . . . . . . . . . . . . . . . . . . . . 128,500 1,202,004
Powergen plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 163,000 1,253,746
RTZ . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 135,100 1,762,361
Sears plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 914,000 1,446,755
Taylor Woodrow plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 855,000 1,564,190
Unigate plc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 368,000 2,373,910
------------
18,812,993
------------
TOTAL COMMON STOCK (COST $62,356,843) . . . . . . . . . . . . . . . . . . . 64,468,038
------------
BONDS-0.03%
World Bank 10.625% 9/8/98 . . . . . . . . . . . . . . . . . . . . . . . . . SP3,000,000 24,279
------------
TOTAL BONDS (COST $25,090) . . . . . . . . . . . . . . . . . . . . . . . . . 24,279
------------
GOVERNMENT OBLIGATIONS-3.64%
Bonos y Oblig Del Estado 8.20% 2/28/09 . . . . . . . . . . . . . . . . . . . SP204,000,000 1,273,631
Government of Sweden 9.00% 4/20/09 . . . . . . . . . . . . . . . . . . . . . SK10,800,000 1,278,154
------------
TOTAL GOVERNMENT OBLIGATIONS
(COST $2,600,612) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,551,785
------------
REPURCHASE AGREEMENTS-1.71%
With PaineWebber 6.20% 7/3/95
(dated 6/30/95, collateralized by
$1,218,000 U.S. Treasury Notes 6.00%
due 6/30/96, market value $1,221,634) . . . . . . . . . . . . . . . . . . . $1,197,000 1,197,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $1,197,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,197,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED-97.32% (COST $66,179,545) . . . . . . . . . . . . . . . . . . . . . . 68,241,102
RECEIVABLES AND OTHER ASSETS NET OF LIABILITIES-2.68% . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,877,307
------------
NET ASSETS APPLICABLE TO 5,817,700 SHARES ($.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $12.05 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $70,118,409
============
</TABLE>
- -----------------------
*Non-income producing security for the six months ended June 30, 1995.
**Principal amount is stated in the currency in which each bond is denominated.
SP-Spanish pesetas; SK-Swedish kronas; $-U.S. dollars.
See accompanying notes
18
<PAGE> 20
DELAWARE GROUP PREMIUM FUND, INC.-EMERGING GROWTH SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK-88.67%
BASIC INDUSTRY/CAPITAL GOODS-5.33%
AAR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,200 $ 75,075
*AES China Generating Class A . . . . . . . . . . . . . . . . . . . . . . . . 10,000 101,250
*Cable Design Technologies . . . . . . . . . . . . . . . . . . . . . . . . . 1,300 27,300
*Central Sprinkler . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,600 230,400
*Kellstrom Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,400 55,250
Lesco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,300 35,650
*Signal Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 24,750
*TII Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,500 37,813
------------
587,488
------------
BUSINESS SERVICES/DISTRIBUTORS-0.30%
*Global Direct Mail . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 23,700
*Government Technology Services . . . . . . . . . . . . . . . . . . . . . . . 1,600 9,200
------------
32,900
------------
BUSINESS SERVICES/ENVIRONMENTAL-0.53%
*York Research . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,600 58,800
------------
58,800
------------
BUSINESS SERVICES/MEDIA & PUBLISHING-2.33%
*Central European Media Enterprises Ltd. . . . . . . . . . . . . . . . . . . 1,400 21,175
*Evergreen Media Class A . . . . . . . . . . . . . . . . . . . . . . . . . . 2,200 57,475
*Playboy Enterprises Class B non-voting . . . . . . . . . . . . . . . . . . . 5,200 40,950
*Young Broadcasting Class A . . . . . . . . . . . . . . . . . . . . . . . . . 5,000 136,875
------------
256,475
------------
BUSINESS SERVICES/OTHER-7.63%
*Airtouch Communications . . . . . . . . . . . . . . . . . . . . . . . . . . 4,600 131,100
*Cellular Communications Class A . . . . . . . . . . . . . . . . . . . . . . 800 36,200
*Checkmate Electronics . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,400 27,600
*GTECH Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 175,500
*HighwayMaster Communications . . . . . . . . . . . . . . . . . . . . . . . . 1,100 16,913
*NFO Research . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000 80,000
Norrell . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,600 31,000
*Paging Network . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,500 119,000
*Palmer Wireless . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,600 58,950
Pittston Services Group . . . . . . . . . . . . . . . . . . . . . . . . . . 6,100 146,400
*SOS Staffing Services . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,800 19,250
------------
841,913
------------
CONSUMER DURABLES/CYCLICAL-2.13%
*ADESA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,400 57,375
*Champion Road Machinery Ltd. . . . . . . . . . . . . . . . . . . . . . . . . 4,500 43,031
*Custom Chrome . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,300 45,425
*Edelbrock . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,300 17,144
Huffy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,500 71,500
------------
234,475
------------
CONSUMER SERVICES/ENTERTAINMENT
& LEISURE-11.09%
*Adelphia Communications Class A . . . . . . . . . . . . . . . . . . . . . . 6,800 61,200
*All American Communications . . . . . . . . . . . . . . . . . . . . . . . . 2,900 29,363
*Cinergi Pictures Entertainment . . . . . . . . . . . . . . . . . . . . . . . 11,300 76,981
Comcast Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,600 83,950
*Comcast UK Cable Partners . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 78,000
*Echostar Communications Class A . . . . . . . . . . . . . . . . . . . . . . 3,600 54,000
*Goldwyn (Samuel) Warrants Class B . . . . . . . . . . . . . . . . . . . . . 8,100 57,713
*Graff Pay-Per-View . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300 2,738
*Hospitality Franchise System . . . . . . . . . . . . . . . . . . . . . . . . 629 21,779
*Mirage Resorts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 180,688
*Monarch Casino & Resort . . . . . . . . . . . . . . . . . . . . . . . . . . 6,400 32,000
*Mountasia Entertainment . . . . . . . . . . . . . . . . . . . . . . . . . . 300 1,950
*National Wireless Holdings . . . . . . . . . . . . . . . . . . . . . . . . . 1,100 15,125
*Rio Hotel & Casino . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,800 119,900
*Savoy Pictures Entertainment . . . . . . . . . . . . . . . . . . . . . . . . 15,600 139,425
*Speedway Motorsports . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,600 34,600
Turner Broadcasting Systems Class A . . . . . . . . . . . . . . . . . . . . 2,600 52,000
*United International Holdings Class A . . . . . . . . . . . . . . . . . . . 4,000 65,500
*WMS Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 115,788
------------
1,222,700
------------
</TABLE>
19
<PAGE> 21
EMERGING GROWTH SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK (Continued)
CONSUMER NON-DURABLES/RETAIL-5.74%
*American Eagle Outfitters . . . . . . . . . . . . . . . . . . . . . . . . . 2,600 $ 40,300
Duty Free International . . . . . . . . . . . . . . . . . . . . . . . . . . 3,200 28,000
*Finish Line Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,100 30,613
*General Nutrition Companies . . . . . . . . . . . . . . . . . . . . . . . . 3,600 125,550
*Mac Frugals Bargains Close-Out . . . . . . . . . . . . . . . . . . . . . . . 2,800 49,000
*Petco Animal Supplies . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,300 29,900
*Piercing Pagoda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,400 14,700
Schultz Savo-Stores . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,400 185,850
*Staples . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 86,813
Value City Department Stores . . . . . . . . . . . . . . . . . . . . . . . . 5,500 41,938
------------
632,664
------------
CONSUMER NON-DURABLES/TEXTILES
AND APPAREL-1.10%
*Hyde Athletic Industries Class B . . . . . . . . . . . . . . . . . . . . . . 6,000 25,500
*Quicksilver . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 44,413
Wolverine World Wide . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 51,875
------------
121,788
------------
CONSUMER NON-DURABLES/OTHER-6.40%
*American Recreation . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 40,200
Anthony Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,100 75,338
Armor All Product . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,100 69,700
*Bell Sports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,100 36,425
*Bollinger Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000 8,250
Dreyer's Grand Ice Cream . . . . . . . . . . . . . . . . . . . . . . . . . . 4,300 157,488
*Equity Marketing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,800 87,075
*ERO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 21,875
*Forschner Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 20,306
*Galoob (Lewis) Toys . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,600 44,800
*Lincoln Snacks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,300 22,356
*Marker International . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 7,950
*Rawlings Sporting Goods . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 13,919
Readers Digest Association Class B . . . . . . . . . . . . . . . . . . . . . 1,600 65,400
*Tyco Toys . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,900 19,938
*Zanart Entertainment . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 14,844
------------
705,864
------------
CONSUMER SERVICES/RESTAURANTS-5.24%
*Advance Ross . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 162,000
CKE Restuarants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,700 24,300
*Dave & Buster's . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 100 1,975
*Hometown Buffet . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,800 102,300
*Lone Star Steakhouse/Saloon . . . . . . . . . . . . . . . . . . . . . . . . 4,100 124,025
*Noble Romans . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,300 21,231
*Rock Bottom Restaurants . . . . . . . . . . . . . . . . . . . . . . . . . . 2,200 63,525
*Sonic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,900 79,025
------------
578,381
------------
CONSUMER SERVICES/OTHER-0.74%
Barefoot . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 66,300
*Prime Management Group . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,300 3,494
*Protection One . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000 12,125
------------
81,919
------------
ENERGY-1.03%
*American Oilfield Divers . . . . . . . . . . . . . . . . . . . . . . . . . . 9,600 61,200
Mitchell Energy & Development Class B . . . . . . . . . . . . . . . . . . . 2,900 51,838
------------
113,038
------------
FINANCIAL/INSURANCE-0.25%
*Penn Treaty American . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,200 28,050
------------
28,050
------------
FINANCIAL/OTHER-0.13%
*CRW Financial . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,960 14,430
------------
14,430
------------
</TABLE>
20
<PAGE> 22
EMERGING GROWTH SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK (Continued)
HEALTHCARE/DEVICES-4.01%
*ATS Medical . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800 $ 32,538
*ATS Medical Warrants . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 3,450
*AVECOR Cardiovascular . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 64,500
*Guidant . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,600 86,400
*Metra Biosystems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,100 25,200
*Molecular Dynamics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,600 39,550
*Ostex International . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,200 51,150
*Ventritex . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,300 139,544
------------
442,332
------------
HEALTHCARE/PHARMACEUTICALS-2.43%
*ARIAD Pharmaceuticals . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,400 16,200
*Cephalon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800 69,825
*Cor Therapeutics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,800 16,088
*Ethical Holdings PLC . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,300 42,888
*Gilead Sciences . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,400 42,150
*Neurogen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 300 4,800
*Noven Pharmaceuticals . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,000 45,750
*Vertex Pharmaceuticals . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,800 29,700
------------
267,401
------------
HEALTHCARE/SERVICES-2.66%
*American Oncology Resources . . . . . . . . . . . . . . . . . . . . . . . . 400 11,150
*Apria Healthcare Group . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 134,400
*FPA Medical Management . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,100 31,388
*Renel Treatment Centers . . . . . . . . . . . . . . . . . . . . . . . . . . 4,700 116,325
------------
293,263
------------
TECHNOLOGY/COMMUNICATIONS-2.95%
*Digital Microwave . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,300 53,750
*EIS International . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 48,563
Gandalf Technologies . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13,000 117,000
*General Datacomm Industries . . . . . . . . . . . . . . . . . . . . . . . . 3,200 40,000
* IntelCom Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 52,731
* Teltrend . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700 13,650
------------
325,694
------------
TECHNOLOGY/HARDWARE-12.45%
*ACT Manufacturing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 21,781
*ANADIGICS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400 7,950
*CITATION Computer Systems . . . . . . . . . . . . . . . . . . . . . . . . . 5,600 29,750
*Concurrent Computer . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32,000 79,000
*EMC . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,500 133,375
*General Instrument . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,300 165,013
*Integrated Circuit Systems . . . . . . . . . . . . . . . . . . . . . . . . . 6,200 90,675
*Iomega . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,200 115,375
*ITI Technologies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 140,863
*Micronics Computer . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6,500 26,000
*Mylex . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000 52,500
*Radius . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,900 53,900
Read-Rite . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,800 74,725
Scientific-Atlanta . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,800 127,600
*Storage Technology . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,500 135,438
*Triquint Semiconductor . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,300 118,625
------------
1,372,570
------------
TECHNOLOGY/SOFTWARE-14.20%
*Acclaim Entertainment . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,200 77,175
*Activision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,400 99,900
*Bachman Information Systems . . . . . . . . . . . . . . . . . . . . . . . . 500 3,844
*Broadway & Seymour . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,700 116,138
*Cadence Design Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000 161,875
*Cheyenne Software . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,500 101,750
*Computer Horizons . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700 10,938
*Excalibur Technolgies . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,000 126,000
*Fulcrum Technologies . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,900 84,338
HBO & Company . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 836 45,667
*MySoftware . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 14,850
*Phamis . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000 24,813
*Prophet 21 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,800 22,500
*Ross Systems . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,100 53,025
*Sierra On-Line Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,600 241,200
*SPSS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,300 79,169
*Symantec . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,600 218,975
*Trinzic . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14,400 83,700
------------
1,565,857
------------
TOTAL COMMON STOCK (COST $8,531,326) . . . . . . . . . . . . . . . . . . . . 9,778,002
------------
</TABLE>
21
<PAGE> 23
EMERGING GROWTH SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
REPURCHASE AGREEMENTS-12.66%
With Chase Manhattan Bank 6.125% 7/3/95
(dated 6/30/95, collateralized by $467,000
U.S. Treasury Notes 6.125% due 5/15/98,
market value $472,886) . . . . . . . . . . . . . . . . . . . . . . . . . $460,000 $460,000
With Deutsche Bank 6.15% 7/3/95 (dated
6/30/95, collateralized by $216,000
U.S. Treasury Notes 7.50% due 12/31/96,
market value $220,570 and $265,000
U.S. Treasury Bills due 12/14/95,
market value $257,815) . . . . . . . . . . . . . . . . . . . . . . . . . 468,000 468,000
With PaineWebber 6.625% 7/3/95
(dated 6/30/95,collateralized by
$464,000 U.S. Treasury Notes 6.625%
due 3/31/97, market value $477,458) . . . . . . . . . . . . . . . . . . . $468,000 468,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $1,396,000) . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,396,000
------------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES OWNED (COST $9,927,326)-101.33% . . . . . . . . . . . . . . . . . . . . . . 11,174,002
LIABILITIES NET OF RECEIVABLES AND OTHER ASSETS-(1.33%) . . . . . . . . . . . . . . . . . . . . . . . . . . (146,367)
------------
NET ASSETS APPLICABLE TO 926,833 SHARES ($0.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $11.90 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $11,027,635
============
</TABLE>
- -----------------------
*Non-income producing security for six months ended June 30, 1995.
See accompanying notes
22
<PAGE> 24
DELAWARE GROUP PREMIUM FUND, INC.-VALUE SERIES
STATEMENT OF NET ASSETS
June 30, 1995
(Unaudited)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK-74.73%
AEROSPACE & DEFENSE-1.06%
Thiokol . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 $ 90,750
----------
90,750
----------
AUTOMOBILES AND AUTOMOBILE PARTS-4.35%
ARCTCO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,100 35,650
*Custom Chrome . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 116,525
*Durakon Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 18,450
JLG Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,100 28,738
Polaris Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 700 28,175
Regal-Beloit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,700 88,350
Smith (A.O.) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 58,750
----------
374,638
----------
BANKING, FINANCE & INSURANCE-14.56%
*Americredit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,100 90,113
Banco Wiese ADR . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,230 10,148
*California Federal Bank Class A . . . . . . . . . . . . . . . . . . . . . . 9,600 126,000
First American (Tennessee) . . . . . . . . . . . . . . . . . . . . . . . . . 1,400 50,313
First Security . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,100 200,575
Hibernia Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,300 29,288
Meridian Bancorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 102,750
Mid Ocean LTD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,200 100,400
Money Store . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 107,625
PMI Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 82,413
Signet Banking . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,200 91,875
+Sparbanken Sverige AB . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,700 22,619
Washington Mutual Savings Bank-Seattle . . . . . . . . . . . . . . . . . . . 4,500 105,469
West One Bancorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,000 133,000
----------
1,252,588
----------
BUILDINGS, HOUSING & MATERIALS-8.81%
Centex . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,600 129,950
*Centex Construction Products . . . . . . . . . . . . . . . . . . . . . . . . 2,400 30,900
Continental Homes Holdings . . . . . . . . . . . . . . . . . . . . . . . . . 7,800 135,525
*Griffon . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,300 34,400
Kaufman & Broad Home . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8,000 116,000
*National Gypsum . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,900 256,638
Ryland Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 40,313
Schult Homes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,300 14,788
----------
758,514
----------
CHEMICALS-0.92%
Ferro . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 79,500
----------
79,500
----------
ENERGY AND ENERGY SERVICES-12.66%
American Oilfield Divers . . . . . . . . . . . . . . . . . . . . . . . . . . 13,800 87,975
Apache . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,100 30,113
Cabot Oil & Gas Class A . . . . . . . . . . . . . . . . . . . . . . . . . . 9,000 123,750
*Chesapeake Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,600 92,700
Devon Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,800 81,700
*Devon Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 49,725
*Global Marine . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12,000 69,000
*Nabors Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 24,750
*Noble Drilling . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9,650 69,963
*SEACOR Holdings . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 60,313
*Tejas Power Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 18,288
*Tom Brown . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,100 104,725
Valero Energy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,900 119,475
USX-Dehli Group . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 34,500
Western Gas Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,100 122,475
----------
1,089,452
----------
FOOD, BEVERAGE & TOBACCO-0.99%
*Bush Boake Allen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 75,938
*Daka International . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 400 9,300
----------
85,238
----------
INDUSTRIAL MACHINERY-5.18%
Cascade . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000 31,750
IDEX . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 63,650
*INDRESCO . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7,400 114,700
*Lindsay Manufacturing . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,400 48,125
Manitowoc . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,500 129,938
Trimas . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,500 57,500
----------
445,663
----------
MEDIA, LEISURE & ENTERTAINMENT-3.49%
*Hollywood Park . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,400 43,138
Huffy . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 39,000
Reynolds & Reynolds Class A . . . . . . . . . . . . . . . . . . . . . . . . 7,400 218,300
----------
300,438
----------
</TABLE>
23
<PAGE> 25
VALUE SERIES
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
NUMBER MARKET
OF SHARES VALUE
<S> <C> <C>
COMMON STOCK (Continued)
METALS & MINING-3.40%
*AK Steel Holding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,300 $ 62,675
*Armco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,300 29,025
* Easco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,600 19,200
*Geneva Steel Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10,700 88,275
*Lone Star Technologies . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,600 21,125
+Pechiney International SA . . . . . . . . . . . . . . . . . . . . . . . . . 1,000 25,271
Phelps Dodge . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 800 47,200
----------
292,771
----------
PAPER & FOREST PRODUCTS-7.73%
Boise Cascade . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,800 113,400
*Champion Enterprises . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,400 38,100
Chesapeake . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 59,138
Longview Fibre . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,700 96,900
Rayonier . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 42,600
Willamette Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,700 314,925
----------
665,063
----------
REAL ESTATE-2.40%
Camden Property Trust . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 $ 37,188
Factory Stores of America . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 61,500
Horizon Outlet Centers . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 69,750
ROC Communities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 37,613
----------
206,051
----------
RETAIL-1.86%
*Burlington Coat Factory . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 31,125
*Chic by H.I.S. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,300 25,875
*Land's End . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,400 55,250
*Musicland Stores . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4,700 48,175
----------
160,425
----------
TECHNOLOGY-3.29%
*ALC Communications . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 54,150
*Cable Design Technologies . . . . . . . . . . . . . . . . . . . . . . . . . 1,400 29,400
*Cherry Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,900 25,650
*Cherry Class B . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,500 21,000
*MagneTek . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,200 16,350
Methode Electronics Class A . . . . . . . . . . . . . . . . . . . . . . . . 5,700 111,150
*NumereX Class A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,200 25,575
----------
283,275
----------
TEXTILES & FURNITURE-0.59%
*Mohawk Industries . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 25,075
*Syratech . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,400 25,725
----------
50,800
----------
TRANSPORTATION AND RELATED-3.44%
*Consolidated Freightways . . . . . . . . . . . . . . . . . . . . . . . . . . 3,000 66,375
*Fritz Companies . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,487 87,361
*Johnstown America Industries . . . . . . . . . . . . . . . . . . . . . . . . 4,300 45,419
*Offshore Logistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,700 23,588
*USAir . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3,200 37,200
Varlen . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,540 35,805
----------
295,748
----------
TOTAL COMMON STOCK (COST $6,102,914) . . . . . . . . . . . . . . . . . . . . 6,430,914
----------
</TABLE>
24
<PAGE> 26
STATEMENT OF NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
PRINCIPAL MARKET
AMOUNT VALUE
<S> <C> <C>
SHORT-TERM INVESTMENTS-11.33%
Federal National Mortgage Association
Discount Notes 12/5/95 . . . . . . . . . . . . . . . . . . . . . . . . . . $1,000,000 $975,142
----------
TOTAL SHORT-TERM INVESTMENTS (COST $975,142) . . . . . . . . . . . . . . . . 975,142
----------
REPURCHASE AGREEMENTS-14.86%
With Chase Manhattan Bank 6.125% 7/3/95
(dated 6/30/95, collateralized by $428,000
U.S. Treasury Notes 6.125% due 5/15/98,
market value $433,253) . . . . . . . . . . . . . . . . . . . . . . . . . . 422,000 422,000
With Deutsche Bank 6.15% 7/3/95 (dated 6/30/95,
collateralized by $242,000 U.S. Treasury Bills
due 12/14/95, market value $236,207 and
$198,000 U.S. Treasury Notes 7.50% due
12/31/96, market value $202,084) . . . . . . . . . . . . . . . . . . . . . 428,000 428,000
With PaineWebber 6.20% 7/3/95 (dated 6/30/95,
collateralized by $425,000 U.S. Treasury Notes
6.625% due 3/31/97, market value $437,441) . . . . . . . . . . . . . . . . 429,000 429,000
----------
REPURCHASE AGREEMENTS (COST $1,279,000) . . . . . . . . . . . . . . . . . . 1,279,000
----------
</TABLE>
<TABLE>
<S> <C>
TOTAL MARKET VALUE OF SECURITIES-100.92% (COST $8,357,056) . . . . . . . . . . . . . . . . . . . . . . . . . 8,685,056
LIABILITIES NET OF RECEIVABLES AND OTHER ASSETS-(0.92%) . . . . . . . . . . . . . . . . . . . . . . . . . . (79,006)
----------
NET ASSETS APPLICABLE TO 786,988 SHARES ($.01 PAR VALUE) OUTSTANDING;
EQUIVALENT TO $10.94 PER SHARE-100.00% . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $8,606,050
==========
</TABLE>
- ---------------------
*Non-income producing security for the six months ended June 30, 1995.
+Foreign issued security.
25
<PAGE> 27
DELAWARE GROUP PREMIUM FUND, INC.
STATEMENT OF OPERATIONS
<TABLE>
<CAPTION>
SIX MONTHS ENDED JUNE 30, 1995 (UNAUDITED)
EQUITY/ HIGH CAPITAL MULTIPLE MONEY INTERNATIONAL
INCOME YIELD RESERVES STRATEGY MARKET GROWTH EQUITY
SERIES SERIES SERIES SERIES SERIES SERIES SERIES*
--------- -------- -------- -------- ------ -------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
INVESTMENT INCOME:
Interest . . . . . . . . . . . $ 55,377 $ 2,622,799 $ 969,928 $ 716,159 $596,574 $ 313,878 $ 200,391
Dividends (net of
foreign tax withheld) . . . . 1,593,641 18,594 -- 463,281 -- 57,696 1,213,263
----------- ----------- ---------- ---------- -------- ---------- -----------
1,649,018 2,641,393 969,928 1,179,440 596,574 371,574 1,413,654
----------- ----------- ---------- ---------- -------- ---------- -----------
EXPENSES:
Management fees . . . . . . . . 241,062 147,569 76,706 153,381 48,192 161,328 239,251
Dividend disbursing and
transfer agent fees and
expenses . . . . . . . . . . 5,799 3,553 1,830 3,723 1,384 3,099 4,573
Custodian fees . . . . . . . . 9,600 2,310 978 5,500 2,426 4,830 13,770
Professional fees . . . . . . . 3,378 3,286 1,065 2,266 1,644 1,332 2,064
Salaries . . . . . . . . . . . 11,380 6,955 3,625 7,067 2,740 6,097 8,045
Taxes other than income . . . . 5,842 2,225 2,301 1,541 872 1,442 2,160
Directors' fees . . . . . . . . 830 830 830 830 830 830 830
Registration fees . . . . . . -- 1,500 -- 1,172 1,700 2,254 5,040
Amortization of organization
expenses . . . . . . . . . . -- -- -- -- -- -- 17
Reports to shareholders . . . . 2,294 1,833 2,157 2,169 1,350 1,950 1,770
Other . . . . . . . . . . . . . 5,108 1,659 1,818 1,546 1,708 345 4,130
----------- ----------- ---------- ---------- -------- ---------- -----------
285,293 171,720 91,310 179,195 62,846 183,507 281,650
Less expenses absorbed by
Delaware Management Company,
Inc. or Delaware
International Advisers Ltd. . -- -- -- -- -- (12,515) (28,215)
285,293 171,720 91,310 179,195 62,846 170,992 253,435
----------- ----------- ---------- ---------- -------- ---------- -----------
NET INVESTMENT INCOME . . . . . 1,363,725 2,469,673 878,618 1,000,245 533,728 200,582 1,160,219
----------- ----------- ---------- ---------- -------- ---------- -----------
NET REALIZED AND UNREALIZED
GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) from
security and foreign currency
transactions . . . . . . . . 3,498,618 (2,001,578) (54,489) 1,055,689 -- 1,513,259 (1,114,207)
----------- ----------- ---------- ---------- -------- ---------- -----------
Net unrealized appreciation
of investments and foreign
currencies during
the period . . . . . . . . . 8,770,233 3,756,209 1,331,103 3,823,095 -- 3,596,698 2,901,480
----------- ----------- ---------- ---------- -------- ---------- -----------
NET REALIZED AND UNREALIZED
GAIN ON INVESTMENTS AND
FOREIGN CURRENCIES . . . . . 12,268,851 1,754,631 1,276,614 4,878,784 -- 5,109,957 1,787,273
----------- ----------- ---------- ---------- -------- ---------- -----------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS . . $13,632,576 $ 4,224,304 $2,155,232 $5,879,029 $533,728 $5,310,539 $ 2,947,492
=========== =========== ========== ========== ======== ========== ===========
</TABLE>
<TABLE>
<CAPTION>
SIX MONTHS ENDED JUNE 30,
1995 (UNAUDITED)
EMERGING
GROWTH VALUE
SERIES SERIES*
-------- --------
<S> <C> <C>
INVESTMENT INCOME:
Interest . . . . . . . . . . . $ 97,115 $106,233
Dividends (net of
foreign tax withheld) . . . . 5,665 32,393
---------- --------
102,780 138,626
---------- --------
EXPENSES:
Management fees . . . . . . . . 31,693 27,805
Dividend disbursing and
transfer agent fees and
expenses . . . . . . . . . . 626 536
Custodian fees . . . . . . . . 3,267 4,300
Professional fees . . . . . . . 2,532 2,053
Salaries . . . . . . . . . . . 1,223 1,052
Taxes other than income . . . . 270 724
Directors' fees . . . . . . . . 830 830
Registration fees . . . . . . 930 466
Amortization of organization
expenses . . . . . . . . . . -- --
Reports to shareholders . . . . 1,189 1,043
Other . . . . . . . . . . . . . 48 1,692
---------- --------
42,608 40,501
Less expenses absorbed by
Delaware Management Company,
Inc. or Delaware
International Advisers Ltd. . (9,116) (11,265)
33,492 29,236
---------- --------
NET INVESTMENT INCOME . . . . . 69,288 109,390
---------- --------
NET REALIZED AND UNREALIZED
GAIN (LOSS) ON INVESTMENTS:
Net realized gain (loss) from
security and foreign currency
transactions . . . . . . . . 223,153 97,731
---------- --------
Net unrealized appreciation
of investments and foreign
currencies during
the period . . . . . . . . . 1,233,858 429,610
---------- --------
NET REALIZED AND UNREALIZED
GAIN ON INVESTMENTS AND
FOREIGN CURRENCIES . . . . . 1,457,011 527,341
---------- --------
NET INCREASE IN NET ASSETS
RESULTING FROM OPERATIONS . . $1,526,299 $636,731
========== ========
</TABLE>
- ----------------------
* The International Equity and the Value Series were the only series of the Fund
which engaged in foreign currency transactions during the six months ended
June 30, 1995.
See accompanying notes
26
<PAGE> 28
DELAWARE GROUP PREMIUM FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS
<TABLE>
<CAPTION>
SIX MONTHS ENDED JUNE 30, 1995 (UNAUDITED)
EQUITY/ HIGH CAPITAL MULTIPLE MONEY INTERNATIONAL
INCOME YIELD RESERVES STRATEGY MARKET GROWTH EQUITY
SERIES SERIES SERIES SERIES SERIES SERIES SERIES*
--------- -------- -------- -------- ------ ------ --------
<S> <C> <C> <C> <C> <C> <C> <C>
OPERATIONS:
Net investment income . . . $ 1,363,725 $ 2,469,673 $ 878,618 $ 1,000,245 $ 533,728 $ 200,582 $ 1,160,219
Net realized gain (loss)
on investments
and foreign currencies . 3,498,618 (2,001,578) (54,489) 1,055,689 -- 1,513,259 (1,114,207)
Net unrealized appreciation
of investments
and foreign currencies
during the period . . . . 8,770,233 3,756,209 1,331,103 3,823,095 -- 3,596,698 2,901,480
Net increase in net assets
resulting from
operations . . . . . . . 13,632,576 4,224,304 2,155,232 5,879,029 533,728 5,310,539 2,947,492
----------- ----------- ----------- ----------- ------------ ----------- -----------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net investment income . . . (1,483,863) (2,463,150) (875,430) (1,403,895) (533,728) (249,375) (1,199,737)
Net realized gain from
security transactions . . (1,335,871) -- -- -- -- -- (449,901)
----------- ----------- ----------- ----------- ------------ ----------- -----------
2,819,734) (2,463,150) (875,430) (1,403,895) (533,728) (249,375) (1,649,638)
----------- ----------- ----------- ----------- ------------ ----------- -----------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold . 8,078,973 10,327,394 1,549,790 4,163,512 20,353,173 7,266,620 13,249,548
Net asset value of shares
issued upon reinvestment
of dividends from net
investment income . . . 1,483,863 2,463,129 875,490 1,403,895 533,728 249,375 1,199,737
Net asset value of shares
issued upon reinvestment
of distributions from
net realized gain from
security transactions . . 1,335,871 -- -- -- -- -- 449,901
----------- ----------- ----------- ----------- ------------ ----------- -----------
10,898,707 12,790,523 2,425,280 5,567,407 20,886,901 7,515,995 14,899,186
Cost of shares
repurchased . . . . . . . (6,197,770) (5,167,628) (3,125,070) (2,310,549) (21,816,190) (5,607,227) (3,727,869)
----------- ----------- ----------- ----------- ------------ ----------- -----------
Increase (decrease) in net
assets derived from
capital transactions . . 4,700,937 7,622,895 (699,790) 3,256,858 (929,289) 1,908,768 11,171,317
----------- ----------- ----------- ----------- ------------ ----------- -----------
NET INCREASE (DECREASE) IN
NET ASSETS . . . . . . . 15,513,779 9,384,049 580,012 7,731,992 (929,289) 6,969,932 12,469,171
NET ASSETS:
Beginning of period . . . . 72,724,783 43,685,668 25,975,097 47,730,731 20,124,551 39,344,208 57,649,238
----------- ----------- ----------- ----------- ------------ ----------- -----------
End of period . . . . . . . $88,238,562 $53,069,717 $26,555,109 $55,462,723 $ 19,195,262 $46,314,140 $70,118,409
=========== =========== =========== =========== ============ =========== ===========
Undistributed net investment
income . . . . . . . . . $ 706,369 $ 6,300 $ 3,188 $ 801,309 -- $ 176,936 $ 1,281,865
=========== =========== =========== =========== ============ =========== ===========
</TABLE>
<TABLE>
<CAPTION>
SIX MONTHS ENDED JUNE 30,
1995 (UNAUDITED)
EMERGING
GROWTH VALUE
SERIES SERIES*
-------- --------
<S> <C> <C>
OPERATIONS:
Net investment income . . . $ 69,288 $ 109,390
Net realized gain (loss)
on investments
and foreign currencies . 223,153 97,731
Net unrealized appreciation
of investments
and foreign currencies
during the period . . . . 1,233,858 429,610
Net increase in net assets
resulting from
operations . . . . . . . 1,526,299 636,731
----------- ----------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net investment income . . . (57,059) (94,859)
Net realized gain from
security transactions . . -- (44,268)
----------- ----------
(57,059) (139,127)
----------- ----------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold . 5,393,024 2,133,922
Net asset value of shares
issued upon reinvestment
of dividends from net
investment income . . . 57,059 94,859
Net asset value of shares
issued upon reinvestment
of distributions from
net realized gain from
security transactions . . -- 44,268
----------- ----------
5,450,083 2,273,049
Cost of shares
repurchased . . . . . . . (2,978,447) (455,788)
----------- ----------
Increase (decrease) in net
assets derived from
capital transactions . . 2,471,636 1,817,261
----------- ----------
NET INCREASE (DECREASE) IN
NET ASSETS . . . . . . . 3,940,876 2,314,865
NET ASSETS:
Beginning of period . . . . 7,086,759 6,291,185
----------- ----------
End of period . . . . . . . $11,027,635 $8,606,050
=========== ==========
Undistributed net investment
income . . . . . . . . . $ 67,412 $ 105,127
=========== ==========
</TABLE>
- ----------------------
* The International Equity Series and the Value Series were the only series of
the Fund which engaged in foreign currency transactions during the six months
ended June 30, 1995.
See accompanying notes
27
<PAGE> 29
DELAWARE GROUP PREMIUM FUND, INC.
STATEMENT OF CHANGES IN NET ASSETS (CONTINUED)
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31, 1994
EQUITY/ HIGH CAPITAL MULTIPLE MONEY
INCOME YIELD RESERVES STRATEGY MARKET
SERIES SERIES SERIES SERIES SERIES
--------- -------- -------- -------- -------
<S> <C> <C> <C> <C> <C>
OPERATIONS:
Net investment income . . . $ 2,563,952 $ 4,254,047 $ 1,664,805 $ 1,635,472 $ 627,526
Net realized gain (loss)
on investments and
foreign currencies . . . 1,326,221 (1,450,110) (1,447,823) (723,778) --
Net unrealized appreciation
(depreciation) of
investments and foreign
currencies during
the period . . . . . . . (4,146,440) (3,933,977) (896,017) (1,112,198) --
------------ ------------ ----------- ----------- ------------
Net increase (decrease) in
net assets resulting
from operations . . . . . (256,267) (1,130,040) (679,035) (200,504) 627,526
------------ ------------ ----------- ----------- ------------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net investment income . . . (2,461,871) (4,254,270) (1,664,805) (1,052,342) (627,526)
Net realized gain from
security transactions . . (3,167,456) -- (132,532) (855,762) --
------------ ------------ ----------- ----------- ------------
(5,629,327) (4,254,270) (1,797,337) (1,908,104) (627,526)
------------ ------------ ----------- ----------- ------------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold . 20,542,246 22,991,853 9,189,632 15,602,794 38,911,281
Net asset value of
shares issued upon
reinvestment of
dividends from net
investment income . . . . 2,461,871 4,254,270 1,664,805 1,052,342 651,015
Net asset value of shares
issued upon reinvestment
of distributions from
realized gain from
security transactions . . 3,167,456 -- 132,532 855,762 --
------------ ------------ ----------- ----------- ------------
26,171,573 27,246,123 10,986,969 17,510,898 39,562,296
Cost of shares
repurchased . . . . . . (13,080,317) (13,090,790) (6,708,277) (4,906,327) (29,683,173)
------------ ------------ ----------- ----------- ------------
Increase in net assets
derived from
capital transactions . . 13,091,256 14,155,333 4,278,692 12,604,571 9,879,123
------------ ------------ ----------- ----------- ------------
NET INCREASE IN NET
ASSETS . . . . . . . . . 7,205,662 8,771,023 1,802,320 10,495,963 9,879,123
NET ASSETS:
Beginning of period . . . . 65,519,121 34,914,645 24,172,777 37,234,768 10,245,428
------------ ------------ ----------- ----------- ------------
End of period . . . . . . . $ 72,724,783 $ 43,685,668 $25,975,097 $47,730,731 $ 20,124,551
============ ============ =========== =========== ============
Undistributed net
investment income . . . . $ 826,507 -- -- $ 1,204,959 --
============ ============ =========== =========== ============
</TABLE>
<TABLE>
<CAPTION>
YEAR ENDED DECEMBER 31, 1994
INTERNATIONAL EMERGING
GROWTH EQUITY GROWTH VALUE
SERIES SERIES* SERIES SERIES*
------ ------- -------- -------
<S> <C> <C> <C> <C>
OPERATIONS:
Net investment income . . . $ 237,132 $ 1,346,221 $ 55,183 $ 90,596
Net realized gain (loss)
on investments and
foreign currencies . . . 159,943 124,691 (35,082) 43,411
Net unrealized appreciation
(depreciation) of
investments and foreign
currencies during
the period . . . . . . . (1,816,840) (1,593,702) 9,655 (105,827)
----------- ----------- ----------- ----------
Net increase (decrease) in
net assets resulting
from operations . . . . . (1,419,765) (122,790) 29,756 28,180
----------- ----------- ----------- ----------
DISTRIBUTIONS TO
SHAREHOLDERS FROM:
Net investment income . . . (168,541) (117,179) -- --
Net realized gain from
security transactions . . -- (16,740) -- --
----------- ----------- ----------- ----------
(168,541) (133,919) -- --
----------- ----------- ----------- ----------
CAPITAL SHARE TRANSACTIONS:
Proceeds from shares sold . 16,716,420 43,657,308 9,130,736 6,276,621
Net asset value of
shares issued upon
reinvestment of
dividends from net
investment income . . . . 168,541 117,179 -- --
Net asset value of shares
issued upon reinvestment
of distributions from
realized gain from
security transactions . . -- 16,740 -- --
----------- ----------- ----------- ----------
16,884,961 43,791,227 9,130,736 6,276,621
Cost of shares
repurchased . . . . . . (9,132,551) (2,549,135) (2,277,534) (224,105)
----------- ----------- ----------- ----------
Increase in net assets
derived from
capital transactions . . 7,752,410 41,242,092 6,853,202 6,052,516
----------- ----------- ----------- ----------
NET INCREASE IN NET
ASSETS . . . . . . . . . 6,164,104 40,985,383 6,882,958 6,080,696
NET ASSETS:
Beginning of period . . . . 33,180,104 16,663,855 203,801 210,489
----------- ----------- ----------- ----------
End of period . . . . . . . $39,344,208 $57,649,238 $ 7,086,759 $6,291,185
=========== =========== =========== ==========
Undistributed net
investment income . . . . $ 225,729 $ 1,321,383 $ 55,183 $ 90,596
=========== =========== =========== ==========
</TABLE>
- ----------------------
* The International Equity Series and the Value Series were the only series of
the Fund which engaged in foreign currency transactions during the year ended
December 31, 1994.
See accompanying notes
28
<PAGE> 30
DELAWARE GROUP PREMIUM FUND, INC.
NOTES TO FINANCIAL STATEMENTS
June 30, 1995
(Unaudited)
1. SIGNIFICANT ACCOUNTING POLICIES
Delaware Group Premium Fund, Inc. (the "Fund") is a diversified open-end
investment company which is intended to meet a wide range of investment
objectives with its nine separate Portfolios: the Equity/Income Series, the
High Yield Series, the Capital Reserves Series, the Multiple Strategy Series,
the Money Market Series, the Growth Series, the International Equity Series,
the Emerging Growth Series and the Value Series. The Fund was organized under
the laws of Maryland and is registered under the Investment Company Act of 1940
(as amended). Each Portfolio ("Series") is in effect a separate fund issuing
its own shares. The shares of the Fund are sold only to separate accounts of
life insurance companies.
Portfolio securities listed or traded on a national securities exchange, except
for bonds, are valued at the closing price on the exchange where they are
primarily traded. Securities not traded on a particular day are valued at the
last bid price. U.S. government and agency securities and over-the-counter
securities are valued at the mean between the bid and the asked price. Debt
securities (other than short-term obligations) are valued on the basis of
valuations provided by a pricing service when such prices are believed to
reflect the fair value of such securities. Money market investments having a
maturity of less than 60 days are valued at amortized cost. Prices provided by
the pricing service take into account appropriate factors such as institutional
trading in similar groups of securities, yield, quality, coupon rate, maturity,
type of issue, trading characteristics and other market data. The values of all
assets and liabilities initially expressed in foreign currencies are translated
into U.S. dollars at the exchange rate of such currencies against the U.S.
dollar as provided by the pricing service as of 3:00 PM EST. Forward foreign
currency contracts are valued at the mean between the bid and asked prices of
the contracts. Interpolated values are derived when the settlement date of the
contract is on an interim date for which quotations are not available.
Security transactions are accounted for on the date the securities are
purchased or sold (trade date). Gains and losses are based upon the specific
identification method for both financial statement and federal tax purposes.
Dividend income is recorded on the ex-dividend date. Foreign dividends are
also recorded on the ex-dividend date or as soon after the ex-dividend date
that the Fund is aware of such dividends, net of all non-rebatable tax
withholdings. Interest income is recorded on the accrual basis and includes,
when applicable, the pro rata amortization of premiums and accretion of
discounts. Expenses directly attributable to a specific Series are paid by that
Series. Other common expenses are apportioned on the basis of net assets of the
respective Series.
The High Yield Series, the Capital Reserves Series and the Money Market Series
each declares a dividend of its net investment income on a daily basis which is
paid monthly on the first business day of each month, to shareholders of record
at the time of the previous calculation of the Series' net asset value. An
investor begins earning dividends when payments for shares purchased are
converted into Federal Funds and are available for investment by the Series.
The Equity/Income Series, the Multiple Strategy Series, the Growth Series, the
International Equity Series, the Emerging Growth Series and the Value Series
will make payments from net investment income in order to comply with certain
requirements of the Internal Revenue Code.
On June 30, 1995, all Series had investments in overnight repurchase
agreements. These agreements are fully collateralized by U.S. government
securities and such collateral is held by the Fund's Custodian or in the
Federal Reserve/Treasury book-entry system. The Fund monitors its repurchase
agreements to ensure that the market value of the collateral underlying the
agreements is at least 100% of the repurchase price including the portion
representing the Funds yield under such agreements.
No provision for federal income taxes will be made since it is the intention of
the Fund to comply with the provisions of the Internal Revenue Code available
to regulated investment companies and to make requisite distributions to
shareholders.
29
<PAGE> 31
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
2. INVESTMENT MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
In accordance with the terms of the Investment Management Agreement, Delaware
Management Company, Inc. ("DMC"), the investment manager of each Series except
the International Equity Series and Delaware International Advisers Ltd
("DIAL"), the investment manager of the International Equity Series will
receive a fee which is computed on the net assets of each Series as of the
close of business each day at an annual rate less all amounts paid to the
unaffiliated directors for the Equity/Income Series, the High Yield Series, the
Capital Reserves Series, the Multiple Strategy Series, the Money Market Series,
the Growth Series and the International Equity Series. The management fee for
the Emerging Growth Series and the Value Series is computed on the net assets
of each Series as of the close of business each day at an annual rate without
consideration of amounts paid to unaffiliated directors. The management fee
rates are as follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE MONEY INTERNATIONAL EMERGING
INCOME YIELD RESERVES STRATEGY MARKET GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES
------- ------ -------- -------- ------ ------ ------ -------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Management fees as
a percentage of
average daily net
assets (per annum) . . . 0.60% 0.60% 0.60% 0.60% 0.50% 0.75% 0.75% 0.75% 0.75%
</TABLE>
DMC and DIAL have undertaken voluntarily to waive their fees and absorb those
expenses through December 31, 1995 for each Series to the extent that the
Series' annual operating expenses exclusive of taxes, interest, brokerage
commissions and extraordinary expenses, exceed 0.80% of average daily net
assets. Total expenses absorbed for the six months ended June 30, 1995 are as
follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE MONEY INTERNATIONAL EMERGING
INCOME YIELD RESERVES STRATEGY MARKET GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES
------- ------ -------- -------- ------ ------ ------ -------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Total expenses absorbed
by DMC or DIAL . . . . . -- -- -- -- -- $12,515 $28,215 $9,116 $11,265
</TABLE>
Certain officers and directors of DMC are officers and/or directors of the
Fund. Officers, directors, and employees of DMC who are also officers,
directors, and employees of the Fund, do not receive any compensation from the
Fund. Salaries of officers and employees who are exclusively employed by the
Delaware Group of Funds are apportioned on the basis of net assets of the
respective funds. In addition, Delaware Service Company, Inc. ("DSC"), an
affiliate of DMC bills for providing dividend disbursing and transfer agent
services to the Fund. The amounts billed for the six months ended June 30, 1995
are as follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE MONEY INTERNATIONAL EMERGING
INCOME YIELD RESERVES STRATEGY MARKET GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES
------- ------ -------- -------- ------ ------ ------------ -------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
Salaries . . . . . . . . . $11,380 $6,955 $3,625 $7,067 $2,740 $6,097 $8,045 $1,223 $1,052
Dividend disbursing and
transfer agent fees and
expenses . . . . . . . . 5,799 3,553 1,830 3,723 1,384 3,099 4,573 626 536
On June 30, 1995, the Fund
had payables to
affiliates as follows:
Investment management
fee payable to
DMC or DIAL . . . . . . . $23,492 $11,411 $13,113 $17,472 $7,703 $103,553 $150,329 $18,690 $19,629
Dividend disbursing and
transfer agent fees
and expenses
payable to DSC . . . . . 172 161 57 93 21 87 162 78 50
Other expenses payable
to DMC and its affiliates 454 433 137 298 128 254 369 45 40
</TABLE>
On April 3, 1995, Delaware Management Holdings, Inc., the indirect parent of
DMC, DIAL and DSC, through a merger transaction (the "Merger") became a
wholly-owned subsidiary of Lincoln National Corporation. Other than the
resulting change in ownership, the Merger will not materially change the manner
in which DMC has heretofore conducted its relationship with the Fund. The same
personnel who managed the operation and affairs of the Fund before the
acquisition have continued to manage its operations and affairs since the
Merger.
30
<PAGE> 32
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
2. INVESTMENT MANAGEMENT FEES AND OTHER TRANSACTIONS WITH AFFILIATES
(CONTINUED)
An annual meeting of shareholders was held on March 29, 1995. The matters
submitted to a vote of shareholders were the election of directors, the
approval of a new investment management agreement and the ratification of the
selection of Ernst & Young LLP as independent auditors of the Fund. The new
investment management agreement was submitted for shareholder approval in
connection with the merger noted above because the Investment Company Act of
1940 requires shareholders to vote on a new investment management agreement
whenever there is a change in control of an investment manager.
The names of each director elected at the meeting along with the final vote
tabulation with respect to each nominee and each matter were as follows:
<TABLE>
<CAPTION>
Number of Votes
---------------------------------------------------
For Against/Withheld Abstentions
------ ------------------ -------------
<S> <C> <C> <C>
Election of Directors*:
Wayne A. Stork 28,056,542 1,129,907 --
Walter P. Babich 28,073,011 1,113,438 --
Anthony D. Knerr 28,051,129 1,135,321 --
Ann R. Leven 28,063,092 1,123,357 --
W. Thacher Longstreth 28,032,490 1,153,960 --
Charles E. Peck 28,057,779 1,128,670 --
Approval of the New
Investment
Management Agreement:
Equity/Income Series 5,341,196 122,926 592,968
High Yield Series 4,088,103 186,968 601,403
Capital Reserves Series 2,387,510 144,890 104,168
Multiple Strategy Series 3,379,965 71,605 194,874
Money Market Series 1,861,239 45,525 72,697
Growth Series 3,269,385 85,117 231,847
International Equity Series 4,771,443 118,918 262,574
Emerging Growth Series 573,637 35,824 15,283
Value Series 587,144 22,898 16,279
Selection of
Ernst & Young LLP
as Independent Auditors* 27,692,406 232,186 1,261,857
</TABLE>
- ----------------
* Voted upon by all shareholders of the Fund.
31
<PAGE> 33
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
3. INVESTMENTS
Investment securities based on cost for federal income tax purposes at June 30,
1995 are as follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE MONEY
INCOME YIELD RESERVES STRATEGY MARKET
SERIES SERIES SERIES SERIES SERIES
------- ------ -------- -------- ------
<S> <C> <C> <C> <C> <C>
Costs of investments . . . $80,249,361 $51,089,698 $26,741,923 $51,658,674 $19,095,869
Aggregate unrealized
appreciation . . . . . . 8,999,250 1,386,825 438,297 4,386,840 --
Aggregate unrealized
depreciation . . . . . . (666,260) (526,605) (98,283) (405,629) --
----------- ----------- ----------- ----------- -----------
Market value of
investments . . . . . . . $88,582,351 $51,949,918 $27,081,937 $55,639,885 $19,095,869
=========== =========== =========== =========== ===========
Net realized gain (loss)
based on specific
certificate . . . . . . . $ 3,479,289 $(2,001,578) $ (64,122) $ 1,078,192 --
=========== =========== =========== =========== ===========
</TABLE>
<TABLE>
<CAPTION>
INTERNATIONAL EMERGING
GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES
------ ------ ------ ------
<S> <C> <C> <C> <C>
Costs of investments . . . $40,878,505 $66,179,545 $ 9,934,134 $8,357,056
Aggregate unrealized
appreciation . . . . . . 8,017,111 4,827,719 1,611,860 610,348
Aggregate unrealized
depreciation . . . . . . (2,091,093) (2,766,162) (371,992) (282,348)
----------- ----------- ----------- ----------
Market value of
investments . . . . . . . $46,804,523 $68,241,102 $11,174,002 $8,685,056
=========== =========== =========== ==========
Net realized gain (loss)
based on specific
certificate . . . . . . . $ 1,536,431 $ 228,106 $ 223,186 $ 97,966
=========== =========== =========== ==========
</TABLE>
For federal income tax purposes, the Fund had accumulated capital losses at
December 31, 1994 of $1,565,429 for the High Yield Series, $107,827 for the
Growth Series, $1,454,790 for the Capital Reserves Series, $746,235 for the
Multiple Strategy Series and $28,308 for the Emerging Growth Series which may
be carried forward and applied against future capital gains. The capital loss
carryover for the High Yield Series expires as follows: 1998--$96,435,
2001--$18,884 and 2002--$1,450,110. The capital loss carryover for the Growth
Series expires in 2001 and the loss carryover for the Capital Reserves Series,
the Multiple Strategy Series and the Emerging Growth Series expires in 2002.
During the six months ended June 30, 1995, the Fund had purchases and sales of
investment securities, other than U.S. Government securities and short-term
debt securities having maturities of one year or less totalling as follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE INTERNATIONAL EMERGING
INCOME YIELD RESERVES STRATEGY GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES
------- ------ -------- -------- ------ ------ ------ ------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Purchases . . . . . . . . . $33,286,395 $23,893,604 $17,429,374 $28,662,838 $13,085,296 $18,624,975 $7,001,751 $4,367,085
Sales . . . . . . . . . . . 31,619,696 18,632,692 17,133,511 31,774,379 9,509,977 8,562,167 2,107,632 369,373
</TABLE>
On June 30, 1995, the Fund had receivables for securities sold and payables for
securities purchased as follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE INTERNATIONAL EMERGING
INCOME YIELD RESERVES STRATEGY GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES SERIES SERIES SERIES SERIES
------- ------ -------- -------- ------ ------------- -------- ------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Receivable for
securities sold . . . . . $327,624 -- $ 5,904 $157,165 $474,193 -- $ 76,816 --
Payable for securities
purchased . . . . . . . . 928,429 -- 1,189,506 829,814 817,254 $966,980 281,235 $46,229
</TABLE>
32
<PAGE> 34
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
4. CAPITAL STOCK
Transactions in capital stock shares were as follows:
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL
INCOME YIELD RESERVES
SERIES SERIES SERIES
-------------------- -------------------- ----------------------
SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
6/30/95 12/31/94 6/30/95 12/31/94 6/30/95 12/31/94
<S> <C> <C> <C> <C> <C> <C>
Shares sold . . . . . . . . 656,193 1,740,016 1,190,932 2,489,839 161,161 943,459
Shares issued upon
reinvestment of dividends
from net investment income
and distributions
from net realized gain
from security
transactions . . . . . . 243,910 473,709 281,566 470,533 91,310 186,005
------- --------- --------- --------- ------- ---------
900,103 2,213,725 1,472,498 2,960,372 252,471 1,129,464
Shares repurchased . . . . (505,955) (1,112,428) (592,233) (1,419,313) (328,497) (691,333)
------- --------- --------- --------- ------- ---------
Net increase (decrease) . 394,148 1,101,297 880,265 1,541,059 (76,026) 438,131
======= ========= ========= ========= ======= =========
</TABLE>
<TABLE>
<CAPTION>
MULTIPLE MONEY
STRATEGY MARKET
SERIES SERIES
------------------- -----------------------
SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED
6/30/95 12/31/94 6/30/95 12/31/94
<S> <C> <C> <C> <C>
Shares sold . . . . . . . . 315,124 1,207,619 2,035,319 3,891,128
Shares issued upon
reinvestment of dividends
from net investment income
and distributions
from net realized gain
from security
transactions . . . . . . 112,548 147,148 53,370 65,101
------- --------- --------- ----------
427,672 1,354,767 2,088,689 3,956,229
Shares repurchased . . . . (175,600) (381,885) (2,181,619) (2,968,317)
------- --------- --------- ----------
Net increase (decrease) . 252,072 972,882 (92,930) 987,912
======= ========= ========== ==========
</TABLE>
<TABLE>
<CAPTION>
INTERNATIONAL EMERGING
GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES
--------------------- --------------------- --------------------- ---------------------
SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR SIX MONTHS YEAR
ENDED ENDED ENDED ENDED ENDED ENDED ENDED ENDED
6/30/95 12/31/94 6/30/95 12/31/94 6/30/95 12/31/94 6/30/95 12/31/94
<S> <C> <C> <C> <C> <C> <C> <C> <C>
Shares sold . . . . . . . . . . 593,808 1,387,910 1,118,449 3,638,259 506,839 793,025 205,622 612,652
Shares issued upon
reinvestment of dividends
from net investment income
and distributions from net
realized gain from security
transactions . . . . . . . . 21,169 13,581 146,765 11,188 5,605 -- 13,885 --
614,977 1,401,491 1,265,214 3,649,447 512,444 793,025 219,507 612,652
Shares repurchased . . . . . . (456,390) (764,027) (314,589) (215,836) (283,416) (115,208) (43,909) (21,876)
Net increase . . . . . . . . 158,587 637,464 950,625 3,433,611 229,028 677,817 175,598 590,776
</TABLE>
Distributions from net investment income payable on July 27, 1995, to
shareholders of record July 25, 1995 were as follows:
<TABLE>
<CAPTION>
EQUITY/ MULTIPLE
INCOME STRATEGY
SERIES SERIES
------- --------
<S> <C> <C>
Distributions per share
from net investment
income . . . . . . . . . $0.10 $0.04
</TABLE>
The ex-dividend date was July 26, 1995.
33
<PAGE> 35
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
5. COMPONENTS OF NET ASSETS
<TABLE>
<CAPTION>
EQUITY/ HIGH CAPITAL MULTIPLE MONEY
INCOME YIELD RESERVES STRATEGY MARKET
SERIES SERIES SERIES SERIES SERIES
----------- ----------- ----------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Common stock, $.01 par value,
500,000,000 shares authorized
to the Fund . . . . . . . . . $75,761,007 $55,770,169 $27,732,697 $50,344,914 $19,195,262
Accumulated undistributed
income (loss):
Net investment income . . . . 706,369 6,300 3,188 801,309 --
Net realized gain (loss)
on investments
and foreign currencies . . 3,269,824 (3,566,972) (1,520,790) 294,743 --
Net unrealized appreciation
(depreciation)
of investments and
foreign currencies . . . . 8,501,362 860,220 340,014 4,021,757 --
----------- ----------- ----------- ----------- -----------
Total net assets . . . . . . . $88,238,562 $53,069,717 $26,555,109 $55,462,723 $19,195,262
=========== =========== =========== =========== ===========
Shares outstanding . . . . . . 6,730,835 5,996,329 2,717,791 4,017,257 1,919,525
=========== =========== =========== =========== ===========
Net asset value . . . . . . . . $13.11 $8.85 $9.77 $13.81 $10.00
====== ===== ===== ====== ======
</TABLE>
<TABLE>
<CAPTION>
INTERNATIONAL EMERGING
GROWTH EQUITY GROWTH VALUE
SERIES SERIES SERIES SERIES
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
Common stock, $.01 par value,
500,000,000 shares authorized
to the Fund . . . . . . . . . $38,789,363 $67,912,596 $ 9,525,476 $8,076,049
Accumulated undistributed
income (loss):
Net investment income . . . . 176,936 1,281,865 67,412 105,127
Net realized gain (loss)
on investments
and foreign currencies . . 1,356,760 (1,450,265) 188,071 96,874
Net unrealized appreciation
(depreciation)
of investments and
foreign currencies . . . . 5,991,081 2,374,213 1,246,676 328,000
----------- ----------- ----------- ----------
Total net assets . . . . . . . $46,314,140 $70,118,409 $11,027,635 $8,606,050
=========== =========== =========== ==========
Shares outstanding . . . . . . 3,505,756 5,817,700 926,833 786,988
=========== =========== =========== ==========
Net asset value . . . . . . . . $13.21 $12.05 $11.90 $10.94
====== ====== ====== ======
</TABLE>
6. FOREIGN EXCHANGE CONTRACTS
The International Equity Series will, from time to time, enter into foreign
currency exchange contracts. There are costs and risks associated with such
currency transactions. No type of foreign currency transaction will eliminate
fluctuations in the prices of the Fund's foreign securities or will prevent
loss if the prices of such securities should decline. Outstanding contracts as
of June 30, 1995, were as follows:
<TABLE>
<CAPTION>
CONTRACT TO IN EXCHANGE SETTLEMENT UNREALIZED
DELIVER FOR DATE APPRECIATION
----------- ----------- ---------- -------------
<S> <C> <C> <C> <C>
74,998,975 Belgian Francs $2,675,000 7/31/95 $ 35,709
828,406 British Pounds 1,338,000 7/31/95 19,971
3,638,000 Deutsche Marks 2,675,000 7/31/95 42,107
4,070,548 Dutch Guilders 2,675,000 7/31/95 46,432
549,583,500 Japanese Yen 6,690,000 7/31/95 172,102
--------
$316,321
========
</TABLE>
34
<PAGE> 36
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
7. FINANCIAL HIGHLIGHTS
Selected data for each share of the Series outstanding throughout each period
were as follows:
<TABLE>
<CAPTION>
EQUITY/INCOME SERIES
------------------------------------------------------------------------------
SIX MONTHS(1)
ENDED YEAR ENDED
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period . . . . . . . . $11.4800 $12.5100 $11.2200 $10.7500 $ 9.2400 $11.4000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.2045 0.4121 0.4341 0.4155 0.4502 0.4489
Net realized and unrealized
gain (loss) from
security transactions . 1.8655 (0.4221) 1.2659 0.5045 1.5498 (1.9189)
-------- -------- -------- -------- --------- --------
Total from investment
operations . . . . . . 2.0700 (0.0100) 1.7000 0.9200 2.0000 (1.4700)
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.2300) (0.4200) (0.4100) (0.4500) (0.4900) (0.5600)
Distributions from net
realized gain on
security transactions . (0.2100) (0.6000) none none none (0.1300)
-------- -------- -------- -------- --------- --------
Total distributions . . . (0.4400) (1.0200) (0.4100) (0.4500) (0.4900) (0.6900)
Net asset value,
end of period . . . . . . $13.1100 $11.4800 $12.5100 $11.2200 $10.7500 $ 9.2400
======== ======== ======== ======== ========= ========
Total return . . . . . . . 18.58% (0.20%) 15.45% 8.82% 22.32% (13.31%)
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $88,239 $72,725 $65,519 $38,278 $38,840 $29,598
Ratio of expenses to
average net assets . . 0.71% 0.71% 0.75% 0.79% 0.85% 0.96%
Ratio of expenses to
average net assets
prior to expense
limitation . . . . . . 0.71% 0.71% 0.76% 0.81% 0.85% 0.96%
Ratio of net investment
income to average
net assets . . . . . . 3.41% 3.63% 3.95% 3.86% 4.46% 5.80%
Ratio of net investment
income to average
net assets prior to
expense limitation . . 3.41% 3.63% 3.94% 3.84% 4.46% 5.80%
Portfolio turnover rate . 81% 91% 67% 72% 79% 34%
</TABLE>
<TABLE>
<CAPTION>
HIGH YIELD SERIES
----------------------------------------------------------------------
SIX MONTHS(1)
ENDED YEAR ENDED
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period . . . . . . . . $8.5400 $9.7700 $9.2900 $9.1300 $7.4800 $9.2000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.4360 0.9621 0.9758 1.0224 1.0316 1.1135
Net realized and unrealize
gain (loss) from
security transactions . 0.3089 (1.2300) 0.4800 0.1600 1.6500 (1.7200)
------- ------- ------- ------- ------- -------
Total from investment
operations . . . . . . 0.7449 (0.2679) 1.4558 1.1824 2.6816 (0.6065)
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.4349) (0.9621) (0.9758) (1.0224) (1.0316) (1.1135)
Distributions from net
realized gain on
security transactions . none none none none none none
------- ------- ------- ------- ------- -------
Total distributions . . . (0.4349) (0.9621) (0.9758) (1.0224) (1.0316) (1.1135)
Net asset value,
end of period . . . . . . $8.8500 $8.5400 $9.7700 $9.2900 $9.1300 $7.4800
======= ======= ======= ======= ======= ========
Total return . . . . . . . 8.89% (2.87%) 16.36% 13.44% 37.53% (7.13%)
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $53,070 $43,686 $34,915 $11,311 $5,918 $5,092
Ratio of expenses to
average net assets . . 0.70% 0.72% 0.80% 0.80% 0.80% 0.80%
Ratio of expenses to
average net assets
prior to expense
limitation . . . . . . 0.70% 0.72% 0.82% 0.94% 1.06% 1.17%
Ratio of net investment
income to average
net assets . . . . . . 10.07% 10.56% 10.05% 10.93% 12.05% 13.30%
Ratio of net investment
income to average
net assets prior to
expense limitation . . 10.07% 10.56% 10.03% 10.79% 11.80% 12.93%
Portfolio turnover rate . 84% 47% 43% 73% 70% 115%
</TABLE>
- --------------------
(1) Ratios have been annualized and total return has not been annualized.
35
<PAGE> 37
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
7. FINANCIAL HIGHLIGHTS (CONTINUED)
Selected data for each share of the Series outstanding throughout each period
were as follows:
<TABLE>
<CAPTION>
CAPITAL RESERVES SERIES
------------------------------------------------------------------------------
SIX MONTHS(1)
ENDED YEAR ENDED
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period . . . . . . . . $9.3000 $10.2600 $10.2000 $10.2300 $10.0400 $ 9.9800
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.3248 0.6355 0.6357 0.6474 0.6687 0.7325
Net realized and unrealized
gain (loss) from security
transactions . . . . . 0.4688 (0.9050) 0.1450 0.0600 0.1900 0.0600
------- -------- -------- -------- -------- ---------
Total from investment
operations . . . . . . 0.7936 (0.2695) 0.7807 0.7074 0.8587 0.7925
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.3236) (0.6355) (0.6357) (0.6474) (0.6687) (0.7325)
Distributions from net
realized gain on
security transactions . none (0.0550) (0.0850) (0.0900) none none
------- -------- -------- -------- -------- ---------
Total distributions . . . (0.3236) (0.6905) (0.7207) (0.7374) (0.6687) (0.7325)
Net asset value, end of
period . . . . . . . . . $9.7700 $ 9.3000 $10.2600 $10.2000 $10.2300 $10.0400
======= ========= ======== ======== ======== =========
Total return . . . . . . . 8.65% (2.68%) 7.85% 7.20% 8.85% 8.23%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $26,555 $25,975 $24,173 $9,790 $4,392 $4,093
Ratio of expenses to average
net assets . . . . . . 0.71% 0.74% 0.80% 0.80% 0.80% 0.80%
Ratio of expenses to average
net assets prior to
expense limitation . . 0.71% 0.74% 0.85% 0.98% 1.15% 1.49%
Ratio of net investment
income to average
net assets . . . . . . 6.86% 6.57% 6.20% 6.39% 6.62% 7.32%
Ratio of net investment
income to average
net assets prior to
expense limitation . . 6.86% 6.57% 6.15% 6.21% 6.27% 6.62%
Portfolio turnover rate . 185% 219% 198% 241% 95% 38%
</TABLE>
<TABLE>
<CAPTION>
MULTIPLE STRATEGY SERIES
----------------------------------------------------------------------------------
SIX MONTHS(1)
ENDED YEAR ENDED
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
<S> <C> <C> <C> <C> <C> <C>
Net asset value, beginning
of period . . . . . . . . $12.6800 $13.3300 $13.5500 $12.9800 $10.8400 $11.8000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.2494 0.4373 0.3280 0.4572 1.0824 0.3411
Net realized and unrealized
gain (loss) from security
transactions . . . . . 1.2506 (0.4473) 0.6920 1.2328 1.6676 (0.3911)
-------- -------- -------- -------- -------- --------
Total from investment
operations . . . . . . 1.5000 (0.0100) 1.0200 1.6900 2.7500 (0.0500)
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.3700) (0.3400) (0.4600) (1.0600) (0.3500) (0.2700)
Distributions from net
realized gain on
security transactions . none (0.3000) (0.7800) (0.0600) (0.2600) (0.6400)
-------- -------- -------- -------- -------- --------
Total distributions . . . (0.3700) (0.6400) (1.2400) (1.1200) (0.6100) (0.9100)
Net asset value, end of
period . . . . . . . . . $13.8100 $12.6800 $13.3300 $13.5500 $12.9800 $10.8400
======== ======== ======== ======== ======== ========
Total return . . . . . . . 12.15% (0.15%) 8.18% 13.85% 26.58% (0.18%)
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $55,463 $47,731 $37,235 $15,150 $12,138 $6,137
Ratio of expenses to average
net assets . . . . . . 0.70% 0.70% 0.80% 0.86% 1.03% 1.35%
Ratio of expenses to average
net assets prior to
expense limitation . . 0.70% 0.70% 0.89% 0.94% 1.03% 1.35%
Ratio of net investment
income to average
net assets . . . . . . 3.92% 3.71% 3.33% 3.60% 11.35% 3.84%
Ratio of net investment
income to average
net assets prior to
expense limitation . . 3.92% 3.71% 3.24% 3.52% 11.35% 3.84%
Portfolio turnover rate . 131% 140% 162% 202% 1,010% 210%
</TABLE>
- ----------------------
(1) Ratios have been annualized and total return has not been annualized.
36
<PAGE> 38
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
7. FINANCIAL HIGHLIGHTS (CONTINUED)
Selected data for each share of the Series outstanding throughout each period
were as follows:
<TABLE>
<CAPTION>
MONEY MARKET SERIES
--------------------------------------------------------------------------------
SIX MONTHS(1)
ENDED YEAR ENDED
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91 12/31/90
<S> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of period . . . $10.0000 $10.0000 $10.0000 $10.0000 $10.0000 $10.0000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.2700 0.3614 0.2451 0.3202 0.5443 0.7306
Net realized and unrealized
gain (loss) from
security transactions . none none none none none none
-------- -------- -------- -------- -------- --------
Total from investment
operations . . . . . . 0.2700 0.3614 0.2451 0.3202 0.5443 0.7306
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.2700) (0.3614) (0.2451) (0.3202) (0.5443) (0.7306)
Distributions from net
realized gain on
security transactions . none none none none none none
-------- -------- -------- -------- -------- --------
Total distributions . . . (0.2700) (0.3614) (0.2451) (0.3202) (0.5443) (0.7306)
Net asset value,
end of period. . . . . . $10.0000 $10.0000 $10.0000 $10.0000 $10.0000 $10.0000
======== ========= ======== ======== ======== ========
Total return . . . . . . . 2.73% 3.68% 2.48% 3.25% 5.58% 7.56%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $19,195 $20,125 $10,245 $7,774 $7,768 $8,174
Ratio of expenses to
average net assets . . 0.64% 0.66% 0.80% 0.80% 0.80% 0.80%
Ratio of expenses to
average net assets
prior to expense
limitation . . . . . . 0.64% 0.66% 0.86% 0.85% 0.99% 0.99%
Ratio of net investment
income to average
net assets . . . . . 5.44% 3.79% 2.44% 3.21% 5.45% 7.25%
Ratio of net investment
income to average
net assets prior to
expense limitation . . 5.44% 3.79% 2.38% 3.16% 5.26% 7.05%
Portfolio turnover rate . -- -- -- -- -- --
</TABLE>
<TABLE>
<CAPTION>
GROWTH SERIES
------------------------------------------------------
SIX MONTHS(1) 7/12/91(2)
ENDED YEAR ENDED TO
6/30/95 12/31/94 12/31/93 12/31/92 12/31/91
<S> <C> <C> <C> <C> <C>
Net asset value,
beginning of period . . . $11.7500 $12.2400 $11.1200 $11.0300 $10.0000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.0531 0.0694 0.0558 0.0225 0.0098
Net realized and unrealized
gain (loss) from
security transactions . 1.4769 (0.4994) 1.2142 0.1975 1.0202
-------- -------- -------- -------- --------
Total from investment
operations . . . . . . 1.5300 (0.4300) 1.2700 0.2200 1.0300
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.0700) (0.0600) (0.0200) (0.0100) none
Distributions from net
realized gain on
security transactions . none none (0.1300) (0.1200) none
-------- -------- -------- -------- --------
Total distributions . . . (0.0700) (0.0600) (0.1500) (0.1300) none
Net asset value,
end of period. . . . . . $13.2100 $11.7500 $12.2400 $11.1200 $11.0300
======== ======== ======== ======== ========
Total return . . . . . . . 13.09% (3.54%) 11.56% 1.99% 21.60%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $46,314 $39,344 $33,180 $14,251 $6,950
Ratio of expenses to
average net assets . . 0.80% 0.80% 0.80% 0.98% 1.94%
Ratio of expenses to
average net assets
prior to expense
limitation . . . . . . 0.86% 0.88% 1.00% 1.25% 1.94%
Ratio of net investment
income to average
net assets . . . . . 0.94% 0.64% 0.67% 0.28% 0.33%
Ratio of net investment
income to average
net assets prior to
expense limitation . . 0.88% 0.56% 0.47% 0.01% 0.33%
Portfolio turnover rate . 58% 43% 57% 52% 40%
</TABLE>
- -------------------
(1) Ratios have been annualized and total return has not been annualized.
(2) Date of initial public offering; ratios and total return have been
annualized.
37
<PAGE> 39
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
7. FINANCIAL HIGHLIGHTS (CONTINUED)
Selected data for each share of the Series outstanding throughout each period
were as follows:
<TABLE>
<CAPTION>
INTERNATIONAL EMERGING
EQUITY GROWTH
SERIES SERIES
-------------------------------------------- ------------------------------------
SIX MONTHS(1) 10/29/92(2) SIX MONTHS(1) YEAR 12/27/93(2)
ENDED YEAR ENDED TO ENDED ENDED TO
6/30/95 12/31/94 12/31/93 12/31/92 6/30/95 12/31/94 12/31/93
<S> <C> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of period . . . $11.8400 $11.6200 $10.0300 $10.0000 $10.1600 $10.2000 $10.0000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . (0.0314) 0.2198 0.0523 0.0153 0.0837 0.0791 none
Net realized and
unrealized gain (loss)
from security
transactions . . . . . 0.5714 0.0802 1.5477 0.0147 1.7463 (0.1191) 0.2000
-------- -------- -------- -------- -------- -------- --------
Total from investment
operations . . . . . . 0.5400 0.3000 1.6000 0.0300 1.8300 (0.0400) 0.2000
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.2400) (0.0700) (0.0100) none (0.0900) none none
Distributions from net
realized gain on
security transactions . (0.0900) (0.0100) none none none none none
-------- -------- -------- -------- -------- -------- --------
Total distributions . . . (0.3300) (0.0800) (0.0100) none (0.0900) none none
Net asset value, end of period $12.0500 $11.8400 $11.6200 $10.0300 $11.9000 $ 10.1600 $10.2000
======== ======== ======== ======== ======== ======== ========
Total return . . . . . . . 4.76% 2.57% 15.97% 1.73% 18.06% (0.39%) 2.00%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $70,118 $57,649 $16,664 $177 $11,028 $7,087 $204
Ratio of expenses to
average net assets . . 0.80% 0.80% 0.80% 3 0.80% 0.80% 3
Ratio of expenses to
average net assets
prior to expense
limitation . . . . . . 0.89% 1.01% 1.85% -- 1.02% 1.47% --
Ratio of net investment
income to average
net assets . . . . . . (0.57%) 2.63% 1.85% 3 1.65% 1.63% 3
Ratio of net investment
income to average
net assets prior to
expense limitation . . (0.66%) 2.42% 0.80% -- 1.43% 0.96% --
Portfolio turnover rate . 28% 13% 9% -- 77% 59% --
</TABLE>
<TABLE>
<CAPTION>
VALUE
SERIES
---------------------------------------
SIX MONTHS(1) YEAR 12/27/93(2)
ENDED ENDED TO
6/30/95 12/31/94 12/31/93
<S> <C> <C> <C>
Net asset value,
beginning of period . . . $10.2900 $10.2100 $10.0000
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income . . 0.1351 0.1481 none
Net realized and
unrealized gain (loss)
from security
transactions . . . . . 0.7349 (0.0681) 0.2100
-------- -------- --------
Total from investment
operations . . . . . . 0.8700 0.0800 0.2100
LESS DISTRIBUTIONS:
Dividends from net
investment income . . . (0.1500) none none
Distributions from net
realized gain on
security transactions . (0.0700) none none
-------- -------- --------
Total distributions . . . (0.2200) none none
Net asset value, end of period $10.9400 $10.2900 $10.2100
======== ======== ========
Total return . . . . . . . 8.65% 0.78% 2.10%
RATIOS/SUPPLEMENTAL DATA:
Net assets, end of period
(000's omitted) . . . . $8,606 $6,291 $210
Ratio of expenses to
average net assets . . 0.80% 0.80% 3
Ratio of expenses to
average net assets
prior to expense
limitation . . . . . . 1.10% 1.41% --
Ratio of net investment
income to average
net assets . . . . . . 2.97% 2.62% 3
Ratio of net investment
income to average
net assets prior to
expense limitation . . 2.67% 2.01% --
Portfolio turnover rate . 18% 26% --
</TABLE>
- -------------------
(1) Ratios have been annualized and total return has not been annualized.
(2) Date of initial public offering; ratios and total return have been
annualized.
(3) The ratio of expenses and net investment income to average net assets have
been omitted as management believes that such ratios are not meaningful
due to the limited net assets of this Series.
38
