<PAGE>
[LOGO OF PRAIRIE FUNDS APPEARS HERE]
THIS REPORT IS NOT AUTHORIZED FOR DISTRIBUTION TO PROSPECTIVE INVESTORS UNLESS
PRECEDED OR ACCOMPANIED BY A CURRENT PROSPECTUS.
PRAIRIE FUNDS
ASSET ALLOCATION FUNDS
The Managed Assets Income Fund
The Managed Assets Fund
EQUITY FUNDS
The Equity Income Fund
The Growth Fund
The Special Opportunities Fund
The International Equity Fund
BOND FUNDS
The Intermediate Bond Fund
The Bond Fund
The International Bond Fund
MUNICIPAL BOND FUNDS
The Intermediate Municipal Bond Fund
The Municipal Bond Fund
MONEY MARKET FUNDS
The U.S. Government Money Market Fund
The Money Market Fund
The Municipal Money Market Fund
SEMI-ANNUAL REPORT
JUNE 30, 1996
<PAGE>
- --------------------------------------------------------------------------------
The Prairie Funds are not insured or protected by the FDIC or any other
governmental agency, are not deposits or obligations of The First National
Bank of Chicago, are not guaranteed by the bank, and involve investment risk,
including the possible loss of principal.
Table of Contents
1 Letter to Shareholders
2 Portfolios of Investments
82 Statements of Assets and Liabilities
90 Statements of Operations
102 Statements of Changes in Net Assets
104 Notes to Financial Statements
130 Financial Highlights
167 Results of Special Shareholder Meeting
- --------------------------------------------------------------------------------
--
PRAIRIE FUNDS (800) 224-4800
INVESTMENT ADVISER
First Chicago NBD Investment Management Company (FCNIMCO) Three First
National Plaza, MS 0334 Chicago, IL 60670-0334
DISTRIBUTOR
Concord Financial Group, Inc. 3435 Stelzer Road Columbus, OH 43219
<PAGE>
DEAR SHAREHOLDER:
As you know, the Prairie Funds have embarked on some exciting changes over
the last several months. Following the proxy solicitation, the Funds are
pleased to report that the reorganization of the Prairie Funds has been
approved by shareholders. The reorganization is expected to be completed on or
around September 23, 1996.
WHAT DOES THIS MEAN TO YOU?
First Chicago Investment Management Company, the adviser to the Prairie
Funds, has joined forces with NBD Bank, the adviser to the Woodward Mutual
Fund Family, to create a powerful new fund group, soon to be renamed the
Pegasus Funds. As a shareholder, this means that the resources of a stronger
organization will be working for you.
. STRENGTH IN MANAGEMENT--With more than $12 billion in total assets, the
Pegasus Funds will be one of the largest bank-managed mutual fund families
in the country.
. DEPTH OF EXPERIENCE--Continuing a century-old tradition of asset
management for individuals and institutions, the Pegasus Funds' adviser is
comprised of more than 70 investment professionals who are dedicated to
the Funds' management.
. BREADTH OF INVESTMENT CHOICES--Shareholders can select from a complete
array of 25 mutual funds to meet virtually any investment objective.
PEGASUS FUNDS BRING YOU "STRENGTH IN INVESTING"
In addition to offering you a wide range of investment opportunities, the
Funds pride themselves on delivering superior service and convenience. In the
near future, the Funds' new voice response system will enable you to obtain
Fund or current account information 24 hours a day by telephone. The Funds
have also added features such as systematic withdrawals and cross-reinvestment
of dividends--allowing you to invest dividends from one Pegasus Fund to
another--so that you can have more options for your investment dollars.
Thank you for your patience throughout this transition. If you have any
questions, please speak with your Investment Professional or call Shareholder
Services toll-free at 1-800-224-4800.
Sincerely,
/s/ Marco Hanig
Marco Hanig
Managing Director
First Chicago NBD Investment Management Company
August 30, 1996
1
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
CORPORATE OBLIGATIONS--21.4%
AUTOMOBILES--LEASING--0.8%
Hertz Corp., Junior Subordinate Note.... 6.63% 7/15/00 $500 $ 496,347
-----------
BANKING--2.9%
Chase Manhattan Corp., Subordinate Note. 7.63% 1/15/03 500 514,106
Citicorp, Subordinate Capital Note...... 9.75% 8/1/99 250 270,722
Citicorp, Subordinate Debenture......... 8.63% 12/1/02 350 378,000
NationsBank Corp., Subordinate
Debenture............................. 8.13% 6/15/02 350 368,312
Westpac Banking Limited, Subordinate
Debenture............................. 9.13% 8/15/01 250 272,853
-----------
1,803,993
-----------
BEVERAGES, FOOD & TOBACCO--4.1%
Grand Metro Investment Corp., Guaranteed
Debenture, Yankee Bond................ 9.00% 8/15/11 250 281,719
Philip Morris Cos., Inc., Corporate
Note.................................. 8.63% 3/1/99 500 523,326
Philip Morris Cos., Inc., Corporate
Note.................................. 7.13% 10/1/04 250 246,207
RJR Nabisco, Inc........................ 8.30% 4/15/99 750 780,309
RJR Nabisco, Inc........................ 8.63% 12/1/02 700 711,121
-----------
2,542,682
-----------
CONSUMER GOODS & SERVICES--0.8%
Time Warner, Inc., Corporate Note....... 7.95% 2/1/00 500 512,357
-----------
ENERGY--2.6%
Burlington Resources, Inc.,
Corporate Note........................ 8.50% 10/1/01 250 266,026
Coastal Corp., Senior Debenture......... 10.25% 10/15/04 500 583,193
Occidental Petroleum Corp., Senior Note. 11.13% 8/1/10 400 515,025
Shell Canada Limited, Corporate Note.... 7.38% 6/1/99 250 256,090
-----------
1,620,334
-----------
FINANCIAL SERVICES--6.4%
Barclay American Corp., Senior
Debenture............................. 9.13% 12/1/97 750 776,981
Discover Credit Corp., Medium Term Note. 8.37% 4/28/99 250 260,717
</TABLE>
See Notes to Financial Statements.
2
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
FINANCIAL SERVICES (CONTINUED)
General Motors Acceptance Corp.,
Corporate Note......................... 7.75% 4/15/97 $250 $ 253,092
General Motors Acceptance Corp.,
Corporate Note......................... 7.00% 3/1/00 500 502,302
International Lease Finance,
Corporate Note......................... 8.35% 10/1/98 500 518,744
KFW International Finance, Inc.
Guaranteed Note........................ 8.85% 6/15/99 250 265,801
Progressive Corp., Ohio, Corporate Note.. 6.60% 1/15/04 500 480,172
Salomon Inc., Senior Note................ 7.50% 2/1/03 500 498,559
Wells Fargo & Co., Subordinate Note...... 8.38% 5/15/02 400 425,753
-----------
3,982,121
-----------
HEATH CARE & HOSPITAL MANAGEMENT--0.5%
Multicare Cos., Inc., Subordinate
Debenture, 144A*....................... 7.00% 3/15/03 250 307,500
-----------
RETAIL--0.5%
May Department Stores Co.,
Medium Term Note....................... 9.45% 2/2/99 250 266,112
-----------
STEEL--0.8%
USX-Marathon Group, Corporate Note....... 6.38% 7/15/98 500 496,475
-----------
TECHNOLOGY INDUSTRIES--0.8%
Digital Equipment Corp., Debentures...... 8.63% 11/1/12 500 500,983
-----------
UTILITIES--1.2%
Commonwealth Edison Co., First Mortgage,
Series 81, Corporate Note.............. 8.63% 2/1/22 250 252,818
Pacific Bell, Corporate Note............. 7.00% 7/15/04 500 497,989
-----------
750,807
-----------
TOTAL CORPORATE OBLIGATIONS
(COST $13,172,293)...................... 13,279,711
-----------
</TABLE>
See Notes to Financial Statements.
3
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
U.S. GOVERNMENT OBLIGATIONS--19.3%
U.S. Treasury Notes...................... 8.50% 5/15/97 $ 100 $ 102,313
U.S. Treasury Notes...................... 8.13% 2/15/98 500 515,780
U.S. Treasury Notes...................... 6.00% 5/31/98 5,000 4,990,625
U.S. Treasury Notes...................... 6.25% 5/31/00 1,050 1,043,437
U.S. Treasury Notes...................... 6.25% 4/30/01 2,800 2,772,871
U.S. Treasury Notes...................... 8.00% 5/15/01 500 531,406
U.S. Treasury Notes...................... 6.63% 6/30/01 2,000 2,013,122
-----------
TOTAL U.S. GOVERNMENT OBLIGATIONS
(COST $11,927,331)...................... 11,969,554
-----------
U.S. GOVERNMENT AGENCY
OBLIGATIONS--1.5%
Federal National Mortgage Association.... 7.60% 1/10/97 400 404,075
Federal National Mortgage Association.... 8.35% 11/10/99 500 527,511
-----------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(COST $901,091)......................... 931,586
-----------
<CAPTION>
Shares
------
<S> <C> <C> <C> <C>
PREFERRED CONVERTIBLE STOCKS--2.7%
AUTOMOBILES--1.5%
Ford Motor Co., Series A, $4.20.......... 9,000 954,000
-----------
BANKING & FINANCE--1.2%
First USA, Inc., 6.25%................... 15,000 716,250
-----------
TOTAL PREFERRED CONVERTIBLE STOCKS
(COST $1,111,113)....................... 1,670,250
-----------
COMMON STOCKS--43.8%
AUTOMOBILES--1.5%
Ford Motor Co. .......................... 4,000 129,500
General Motors Corp. .................... 14,886 779,654
-----------
909,154
-----------
BANKING & FINANCE--8.2%
Bank of Boston Corp. .................... 21,000 1,039,500
Citicorp................................. 20,718 1,711,825
First Union Corp. ....................... 11,000 669,625
</TABLE>
See Notes to Financial Statements.
4
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
BANKING & FINANCE (CONTINUED)
National City Corp. ............................. 14,302 $ 502,358
NationsBank Corp. ............................... 13,912 1,149,479
-----------
5,072,787
-----------
BEVERAGE, FOOD & TOBACCO--3.3%
Philip Morris Cos., Inc. ........................ 20,000 2,080,000
-----------
COMMUNICATIONS & PUBLISHING--0.2%
360 Communications Co. .......................... 6,666 159,984
-----------
CONGLOMERATES--0.9%
Unilever NV, ADR................................. 4,000 580,500
-----------
ELECTRICAL & ELECTRONIC EQUIPMENT--6.8%
Electronic Data Systems.......................... 16,893 907,999
Hitachi Limited, ADR............................. 9,000 843,750
Hubbell, Inc., Class B........................... 5,000 331,250
Matsushita Electric Industrial Co., Ltd, ADR..... 5,000 930,000
Philips Electronics, ADR......................... 14,000 456,750
Sony Corp., ADR.................................. 11,000 727,375
-----------
4,197,124
-----------
INSURANCE--2.9%
AON Corp. ....................................... 28,500 1,446,375
Exel, Ltd. ...................................... 5,200 366,600
-----------
1,812,975
-----------
OIL & GAS--3.7%
Atlantic Richfield Co. .......................... 5,000 592,500
British Petroleum Ltd., PLC, ADR................. 9,000 961,875
Texaco, Inc. .................................... 9,000 754,875
-----------
2,309,250
-----------
PHARMACEUTICALS--5.8%
Bristol Myers Squibb Co. ........................ 8,000 720,000
Johnson & Johnson Co. ........................... 16,000 792,000
Pfizer, Inc. .................................... 20,000 1,427,500
Warner Lambert Co. .............................. 12,000 660,000
-----------
3,599,500
-----------
</TABLE>
See Notes to Financial Statements.
5
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
TELECOMMUNICATIONS--5.3%
British Telecommunications PLC, ADR.... 10,000 $ 537,500
GTE Corp. ............................. 26,000 1,163,500
Sprint Corp. .......................... 20,000 840,000
US West, Inc. ......................... 15,000 478,125
US West Media Group.................... 15,000 273,750
-----------
3,292,875
-----------
UTILITIES--5.2%
Detroit Edison Co. .................... 20,000 617,500
Entergy Corp. ......................... 20,000 567,500
Peco Energy Co. ....................... 25,000 650,000
Texas Utilities Co. ................... 20,000 855,000
United Illuminating Co. ............... 14,000 523,250
-----------
3,213,250
-----------
TOTAL COMMON STOCKS
(COST $19,312,379).................... 27,227,399
-----------
<CAPTION>
Principal
Maturity Amount
Rate Date (000)
---- -------- ---------
<S> <C> <C> <C> <C>
SHORT-TERM INVESTMENT--10.4%
U.S. TREASURY BILLS--10.4%
U.S. Treasury Bills (cost $6,457,539).. 5.09%** 3/6/97 $ 6,700 6,457,673
-----------
TOTAL INVESTMENTS--99.1%
(COST $52,881,746)(A)................. 61,536,173
Other assets in excess of liabilities--
0.9%.................................. 537,253
-----------
NET ASSETS--100.0%...................... $62,073,426
===========
</TABLE>
- -----------
Percentages indicated are based on net assets of $62,073,426.
* Securities 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.
** Yield at purchase.
(a) Represents cost for federal income tax purposes and differs from value by
net unrealized appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation......................................... $9,312,584
Unrealized depreciation......................................... (658,157)
----------
Net unrealized appreciation..................................... $8,654,427
==========
</TABLE>
ADR--American Depository Receipts.
See Notes to Financial Statements.
6
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
COMMON STOCKS--66.0%
ALUMINUM--1.1%
Aluminum Co. of America...................... 1,900 $ 109,013
----------
AUTOMOBILES--1.0%
Ford Motor Co. .............................. 3,000 97,125
----------
AUTOMOTIVE PARTS & EQUIPMENT--0.9%
Echlin, Inc. ................................ 2,400 90,900
----------
BANKING--4.2%
BankAmerica Corp. ........................... 1,900 143,925
NationsBank Corp. ........................... 1,700 140,463
State Street Bank............................ 2,600 132,600
----------
416,988
----------
BEVERAGE, FOOD & TOBACCO--5.3%
Anheuser-Busch Cos., Inc. ................... 1,200 90,000
Coca-Cola Co. ............................... 3,200 156,400
PepsiCo, Inc. ............................... 4,000 141,500
Philip Morris Cos., Inc. .................... 1,300 135,200
----------
523,100
----------
BROKERAGE SERVICES--0.8%
Dean Witter, Discover & Co. ................. 1,400 80,150
----------
BUSINESS & DATA PROCESSING EQUIPMENT--1.7%
International Business Machines.............. 1,700 168,300
----------
CHEMICALS--4.1%
E. I. du Pont de Nemours & Co. .............. 1,100 87,038
Monsanto Co. ................................ 3,500 113,750
Morton Int'l. ............................... 2,900 108,025
Praxair, Inc. ............................... 2,300 97,175
----------
405,988
----------
COMPUTERS--MICRO--0.8%
Compaq Computer(b)........................... 1,700 83,725
----------
COMPUTERS--SOFTWARE & PERIPHERALS--2.7%
Computer Association Int'l. ................. 1,550 110,438
Microsoft Corp(b)............................ 1,300 156,162
----------
266,600
----------
</TABLE>
See Notes to Financial Statements.
7
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
CONGLOMERATES--4.0%
Allied Signal, Inc. ......................... 1,700 $ 97,113
General Electric Co. ........................ 2,500 216,250
ITT Corp. ................................... 900 59,625
ITT Industries, Inc.(b)...................... 900 22,612
----------
395,600
----------
CONSUMER GOODS--1.2%
Service Corp., Int'l......................... 2,100 120,750
----------
ELECTRICAL EQUIPMENT--1.8%
Emerson Electric Co. ........................ 2,000 180,750
----------
ELECTRONIC EQUIPMENT--1.1%
Motorola, Inc. .............................. 1,700 106,887
----------
FINANCE COMPANIES--1.1%
Federal Home Loan Mortgage Corp. ............ 1,300 111,150
----------
FOOD PROCESSING--0.9%
CPC Int'l, Inc. ............................. 1,300 93,600
----------
FOOD PRODUCTS--0.9%
Earthgrains Co. ............................. 48 1,572
Hershey Foods................................ 1,200 88,050
----------
89,622
----------
HOUSEHOLD & PERSONAL CARE PRODUCTS--1.3%
Proctor & Gamble Co. ........................ 1,400 126,874
----------
INSURANCE--2.0%
American Int'l Group, Inc. .................. 1,500 147,938
ITT Hartford Group(b)........................ 900 47,925
----------
195,863
----------
LEISURE & ENTERTAINMENT--1.1%
Walt Disney Co. ............................. 1,800 113,174
----------
NEWSPAPERS AND PUBLISHING--0.8%
News Corp., Ltd. ADR......................... 3,300 77,550
----------
</TABLE>
See Notes to Financial Statements.
8
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
OIL--DOMESTIC--4.1%
Chevron Corp. ............................... 2,300 $ 135,700
Mobil Corp. ................................. 1,200 134,550
Unocal Corp. ................................ 4,100 138,375
----------
408,625
----------
OIL--FIELD SERVICES AND EQUIPMENT--1.0%
Schlumberger, Ltd. .......................... 1,200 101,100
----------
OIL & GAS--2.0%
British Petroleum Co., ADR................... 900 96,188
Royal Dutch Petroleum Co. ................... 700 107,625
----------
203,813
----------
PHARMACEUTICALS--5.6%
Bristol Myers Squibb Co. .................... 1,200 108,000
Johnson & Johnson Co. ....................... 3,000 148,500
Merck & Co., Inc. ........................... 1,800 116,325
Pfizer, Inc. ................................ 1,600 114,200
SmithKline Beecham ADR....................... 1,300 70,688
----------
557,713
----------
POLLUTION CONTROL--1.0%
WMX Technologies, Inc. ...................... 3,000 98,249
----------
RAILROADS--1.2%
CSX Corp. ................................... 2,400 115,799
----------
RESTAURANTS--0.8%
McDonald's Corp. ............................ 1,600 74,800
----------
RETAIL--3.4%
Home Depot, Inc. ............................ 2,400 129,600
May Department Stores Co. ................... 1,500 65,625
Payless Shoesource Inc. ..................... 240 7,620
Wal-Mart Stores, Inc. ....................... 5,400 137,025
----------
339,870
----------
</TABLE>
See Notes to Financial Statements.
9
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- --------- -----------
<S> <C> <C>
TELECOMMUNICATIONS--6.6%
AT&T Corp. ............................. 2,100 $ 130,200
General Instrument Corp.(b)............. 1,300 37,538
GTE Corp. .............................. 3,800 170,050
MCI Communications Corp. ............... 2,800 71,750
NYNEX Corp. ............................ 2,100 99,750
Pacific Telesis Group................... 1,800 60,750
Telcom Corp. New Zealand ADR............ 1,200 80,100
----------
650,138
----------
UTILITIES--1.5%
FPL Group, Inc. ........................ 3,200 147,200
----------
TOTAL COMMON STOCKS
(COST $5,270,362)...................... 6,551,016
----------
<CAPTION>
Principal
Maturity Amount
Rate Date (000)
----- -------- ---------
<S> <C> <C> <C> <C>
U.S. GOVERNMENT OBLIGATIONS--25.4%
U.S. TREASURY NOTES--25.4%
U.S. Treasury Note...................... 6.25% 5/31/00 $950 944,063
U.S. Treasury Note...................... 7.50% 11/15/01 700 730,843
U.S. Treasury Note...................... 6.38% 8/15/02 850 842,295
----------
TOTAL U.S. GOVERNMENT OBLIGATIONS
(COST $2,547,773)...................... 2,517,201
----------
SHORT-TERM INVESTMENT--5.4%
U.S. TREASURY BILL--5.4%
U.S. Treasury Bill (cost $538,085)...... 5.17%* 11/29/96 550 538,188
----------
TOTAL INVESTMENTS--96.8%
(COST $8,356,220)(A)................... 9,606,405
Other assets in excess of liabilities--
3.2%................................... 313,941
----------
NET ASSETS--100.0%....................... $9,920,346
==========
</TABLE>
- -----------
Percentages indicated are based on net assets of $9,920,346.
* Yield at purchase.
(a) Represents cost for federal income tax purposes and differs from market
value by net unrealized appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation......................................... $1,290,209
Unrealized depreciation......................................... (40,024)
----------
Net unrealized appreciation..................................... $1,250,185
==========
</TABLE>
(b) Represents non-income producing securities.
ADR--American Depository Receipts.
See Notes to Financial Statements.
10
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
COMMON STOCKS--83.1%
AUTOMOBILES--0.7%
Ford Motor Co. ............................ 70,000 $ 2,266,250
------------
BANKS--3.2%
Bankers Trust.............................. 90,000 6,648,750
Mercantile Bankshares Corp. ............... 130,000 3,315,000
------------
9,963,750
------------
BEVERAGES, FOOD & TOBACCO--3.8%
Guinness PLC, ADR.......................... 43,900 1,596,156
Philip Morris Cos., Inc. .................. 50,841 5,287,464
UST, Inc. ................................. 141,500 4,846,375
------------
11,729,995
------------
BUSINESS FORMS--1.7%
Deluxe Corp. .............................. 140,000 4,970,000
------------
CHEMICALS--7.4%
ARCO Chemical.............................. 155,000 8,060,000
Dow Chemical............................... 100,000 7,600,000
E.I. du Pont de Nemours & Co. ............. 90,000 7,121,250
------------
22,781,250
------------
CONGLOMERATES--1.4%
Unilevel................................... 30,000 4,353,750
------------
CONSUMER PRODUCTS--2.7%
Clorox Co. ................................ 90,000 7,976,250
------------
DEFENSE--1.6%
Lockheed Martin............................ 60,000 5,040,000
------------
ELECTRICAL EQUIPMENT--3.2%
Emerson Electric Co. ...................... 48,000 4,338,000
Hubbell, Inc., Class B..................... 20,000 1,325,000
Thomas & Betts Corp. ...................... 110,000 4,125,000
------------
9,788,000
------------
FINANCIAL SERVICES, MORTGAGE--3.3%
Federal National Mortgage Assn. ........... 302,000 10,117,000
------------
</TABLE>
See Notes to Financial Statements.
11
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
FOREST & PAPER PRODUCTS--1.3%
Weyerhaeuser Co.(b)......................... 95,000 $ 4,037,500
------------
INSURANCE--9.4%
American National Insurance................. 87,200 5,668,000
AON Corp. .................................. 70,000 3,552,500
FPL Group................................... 75,000 3,450,000
Home Beneficial............................. 59,800 1,569,750
Lincoln National Corp. ..................... 100,000 4,625,000
Ohio Casualty............................... 49,000 1,702,750
Old Republic International.................. 328,650 7,065,975
SAFECO...................................... 33,500 1,185,062
------------
28,819,037
------------
INVESTMENT MANAGEMENT--2.7%
Salomon, Inc. .............................. 306,400 8,349,400
------------
METALS--1.2%
Phelps Dodge................................ 60,000 3,742,500
------------
NATURAL GAS--3.7%
National Fuel Gas Co. ...................... 115,000 4,140,000
Sonat, Inc. ................................ 60,000 2,700,000
Tenneco, Inc. .............................. 90,000 4,601,250
------------
11,441,250
------------
OIL & GAS--15.6%
Amoco Corp. ................................ 155,000 11,218,125
Atlantic Richfield Corp. ................... 55,000 6,517,500
British Petroleum Co. PLC, ADR.............. 70,000 7,481,250
Mobil Corp. ................................ 105,000 11,773,125
Texaco, Inc. ............................... 125,000 10,484,375
------------
47,474,375
------------
PHARMACEUTICALS--1.0%
Warner Lambert Co. ......................... 56,000 3,080,000
------------
</TABLE>
See Notes to Financial Statements.
12
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
REAL ESTATE INVESTMENT TRUSTS--3.9%
Amli Residential Properties Trust....... 140,000 $ 2,905,000
Equity Residential...................... 100,000 3,287,500
National Health Investors, Inc. ........ 174,000 5,698,500
------------
11,891,000
------------
RETAIL STORES--2.2%
May Department Stores Co. .............. 156,938 6,866,038
------------
TELECOMMUNICATIONS--5.7%
GTE Corp. .............................. 210,000 9,397,500
Sprint Corp. ........................... 156,938 6,591,396
U.S. West, Inc. ........................ 50,000 1,593,750
------------
17,582,646
------------
UTILITIES--7.4%
Cinergy Corp. .......................... 130,000 4,160,000
DTE Energy.............................. 196,173 6,056,841
Texas Utilities Co. .................... 156,938 6,709,099
United Illuminating Co. ................ 156,938 5,865,558
------------
22,791,498
------------
TOTAL COMMON STOCKS
(COST $215,550,627).................... 255,061,489
------------
CONVERTIBLE PREFERRED STOCKS--1.9%
AUTOMOBILES--1.9%
Ford Motor Company, Series A, $4.20..... 55,000 5,830,000
------------
TOTAL CONVERTIBLE PREFERRED STOCKS
(COST $4,567,292)...................... 5,830,000
------------
<CAPTION>
Principal
Maturity Amount
Rate Date (000)
---- -------- ---------
<S> <C> <C> <C> <C>
CONVERTIBLE BONDS--5.0%
Bank of New York, Inc. Subordinate
Convertible Debenture................. 7.50% 8/15/01 $3,139 8,255,570
Price Companies Convertible Debenture... 6.75% 3/1/01 5,400 5,784,750
RLI Corp. Convertible Debenture......... 6.00% 7/15/03 1,100 1,152,250
------------
TOTAL CONVERTIBLE BONDS
(COST $11,619,162)..................... 15,192,570
------------
</TABLE>
See Notes to Financial Statements.
13
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Rate Date (000) (Note 2(a))
---- -------- --------- -----------
<S> <C> <C> <C> <C>
SHORT-TERM INVESTMENT--9.7%
TIME DEPOSIT--9.7%
JJ Lummis, Money Market
(cost $29,931,000).................. 5.56% 7/1/96 $29,931,000 $ 29,931,000
------------
TOTAL INVESTMENTS
(COST $261,668,081)(A)--99.7%........ 306,015,059
Other assets in excess of liabilities--
0.3%................................. 829,661
------------
NET ASSETS--100.0%..................... $306,844,720
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $306,844,720.
(a) Represents cost for federal income tax purposes and differs from value by
net unrealized appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........................................ $44,584,743
Unrealized depreciation........................................ (237,765)
-----------
Net unrealized appreciation.................................... $44,346,978
===========
</TABLE>
(b) Represents non-income producing securities.
ADR--American Depository Receipts.
See Notes to Financial Statements.
14
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
COMMON STOCKS--96.3%
ADVERTISING & MARKETING SERVICES--1.6%
Interpublic Group of Cos., Inc. ............ 65,000 $ 3,046,875
Omnicon Group............................... 40,000 1,860,000
------------
4,906,875
------------
BANKING--3.8%
Norwest Corp. .............................. 177,000 6,172,875
State Street Boston Corp. .................. 110,000 5,610,000
------------
11,782,875
------------
BEVERAGES, FOOD & TOBACCO--10.9%
ConAgra, Inc. .............................. 100,000 4,537,500
General Mills, Inc. ........................ 80,000 4,360,000
PepsiCo, Inc. .............................. 200,000 7,075,000
Philip Morris Cos. Inc. .................... 120,000 12,480,000
Sara Lee Corp. ............................. 20,000 647,500
UST, Inc. .................................. 130,000 4,452,500
------------
33,552,500
------------
CAPITAL EQUIPMENT--INFORMATION--2.6%
York International Corp. ................... 155,000 8,021,250
------------
CHEMICALS--2.2%
Praxair, Inc. .............................. 160,000 6,760,000
------------
COMPUTER SOFTWARE, PERIPHERALS & SERVICES--12.6%
Automatic Data Processing, Inc. ............ 175,000 6,759,375
Computer Associates International, Inc. .... 90,000 6,412,500
Electronic Data Systems..................... 36,000 1,935,000
Hewlett Packard............................. 50,000 4,981,250
Microsoft Corp. ............................ 75,000 9,009,375
Newell Co. ................................. 170,000 5,206,250
Silicon Graphics, Inc. ..................... 195,000 4,680,000
------------
38,983,750
------------
CONSUMER GOODS & SERVICES--11.7%
American Home Products...................... 60,000 3,607,500
Clorox Co. ................................. 50,000 4,431,250
Gaylord Entertainment Co. .................. 49,350 1,394,138
</TABLE>
See Notes to Financial Statements.
15
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
CONSUMER GOODS & SERVICES (CONTINUED)
Kimberly-Clark Corp......................... 120,000 $ 9,270,000
Proctor & Gamble Co. ....................... 100,000 9,062,500
Service Corp. International................. 145,000 8,337,500
------------
36,102,888
------------
ELECTRONICS--5.0%
AMP, Inc. .................................. 170,000 6,821,250
Emerson Electric............................ 95,000 8,585,625
------------
15,406,875
------------
ENGINEERING & CONSTRUCTION--2.1%
Fluor Corp. ................................ 100,000 6,537,500
------------
HEALTH INDUSTRIES--4.1%
Columbia HCA Healthcare Corp................ 140,000 7,472,500
United Healthcare Corp...................... 100,000 5,050,000
------------
12,522,500
------------
INSURANCE--5.6%
American International Group, Inc. ......... 55,000 5,424,375
Chubb Corp. ................................ 100,000 4,987,500
UNUM Corp. ................................. 110,000 6,847,500
------------
17,259,375
------------
LEISURE & HOME ENTERTAINMENT--1.6%
Carnival Cruise Lines, Inc.................. 170,000 4,908,750
------------
NATURAL GAS--2.1%
Enron Corp.................................. 160,000 6,540,000
------------
OIL & GAS EQUIPMENT & SERVICES--1.9%
Western Atlas, Inc.......................... 100,000 5,825,000
------------
PHARMACEUTICALS--10.3%
Elan Corp. PLC, ADR......................... 100,000 5,712,500
Ivax Corp................................... 110,000 1,746,250
Johnson & Johnson Co. ...................... 160,000 7,920,000
Mylan Labs.................................. 250,000 4,312,500
</TABLE>
See Notes to Financial Statements.
16
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
PHARMACEUTICALS (CONTINUED)
Pfizer, Inc................................ 100,000 $ 7,137,500
SmithKline Beecham, ADR.................... 90,000 4,893,750
------------
31,722,500
------------
POLLUTION CONTROL--3.7%
Browning-Ferris............................ 200,000 5,800,000
WMX Technologies, Inc...................... 175,000 5,731,250
------------
11,531,250
------------
RETAIL STORES--6.5%
Albertsons, Inc............................ 108,500 4,489,188
Eckerd Corp.(b)............................ 219,000 4,954,875
Home Depot, Inc............................ 135,000 7,290,000
Walgreen Co.(b)............................ 100,000 3,350,000
------------
20,084,063
------------
SEMICONDUCTORS--1.8%
Intel Corp................................. 75,000 5,507,812
------------
SUPRANATIONALS--1.0%
Lucent Technologies........................ 82,800 3,136,050
------------
TELECOMMUNICATIONS--4.5%
Airtouch Communications.................... 230,000 6,497,500
MCI Communications Corp.................... 300,000 7,687,500
------------
14,185,000
------------
UTILITIES--0.7%
AES Corp.(b)............................... 80,000 2,260,000
------------
TOTAL COMMON STOCKS
(COST $253,511,543)....................... 297,536,813
------------
</TABLE>
See Notes to Financial Statements.
17
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
SHORT-TERM INVESTMENT--3.6%
TIME DEPOSIT--3.6%
JJ Lummis (cost $11,108,000)............ 5.56% 7/1/96 $11,108 $ 11,108,000
------------
TOTAL INVESTMENTS--99.9%
(COST $264,619,543)(A)................. 308,644,813
Other assets in excess of liabilities--
0.1%................................... 446,233
------------
NET ASSETS--100.0%....................... $309,091,046
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $309,091,046.
(a) Represents cost for financial reporting purposes and differs from cost
basis for federal income tax purposes by the amount of losses recognized
for financial reporting in excess of federal income tax reporting of
$312,970. Cost for federal income tax purposes differs from value by net
unrealized appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........................................ $47,855,328
Unrealized depreciation........................................ (4,143,028)
-----------
Net unrealized appreciation.................................... $43,712,300
===========
</TABLE>
(b) Represents non-income producing securities.
ADR--American Depository Receipts.
See Notes to Financial Statements.
18
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
COMMON STOCKS--95.6%
APPAREL--1.2%
Tommy Hilfiger Corp. ....................... 24,100 $ 1,292,363
------------
AUTOMOTIVE PARTS & EQUIPMENT--3.4%
Borg Warner................................. 60,000 2,370,000
Superior Industries Int'l, Inc. ............ 45,000 1,192,500
------------
3,562,500
------------
BANKS--2.3%
Old Kent Financial.......................... 63,000 2,464,875
------------
BUSINESS EQUIPMENT & SERVICES--0.3%
Cort Business Services Corp. ............... 18,400 358,800
------------
CHEMICALS--1.1%
Airgas, Inc. ............................... 60,000 1,140,000
------------
COMPUTER SERVICES--2.1%
Dendrite International, Inc. ............... 63,500 2,190,750
------------
COMPUTER SOFTWARE & PERIPHERALS--2.2%
FileNet Corp. .............................. 35,000 1,277,500
Microchip Technology........................ 45,000 1,113,750
------------
2,391,250
------------
CONSTRUCTION EQUIPMENT--1.2%
Southern Pacific Funding Corp. ............. 70,000 1,225,000
------------
CONSUMER NON-DURABLES--2.1%
Alberto-Culver Co., Class A................. 55,000 2,200,000
------------
ELECTRONICS--7.7%
Belden, Inc. ............................... 80,000 2,400,000
Methode Electronics, Inc., Class A.......... 95,000 1,615,000
Oak Industry, Inc. ......................... 60,000 1,777,500
Perceptron, Inc. ........................... 65,000 2,372,500
------------
8,165,000
------------
HEALTH CARE PRODUCTS & SERVICES--14.6%
American Medical Response, Inc. ............ 55,000 1,938,750
AmeriSource Health Corp, Class A............ 60,000 1,995,000
Community Health Systems, Inc. ............. 50,000 2,587,500
</TABLE>
See Notes to Financial Statements.
19
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
HEALTH CARE PRODUCTS & SERVICES (CONTINUED)
Genesis Health Ventures, Inc. ............ 75,000 $ 2,353,125
Health Care & Retirement Corp. ........... 82,500 1,959,375
Meridian Diagnostics Inc. ................ 110,000 1,684,375
Multicare COs., Inc. ..................... 75,000 1,425,000
OEA, Inc. ................................ 42,000 1,575,000
------------
15,518,125
------------
INDUSTRIAL GOODS & EQUIPMENT--7.3%
ABC Rail Products Corp. .................. 85,000 1,838,125
Greenfield Industries..................... 60,000 1,980,000
LittleFuse, Inc. ......................... 50,000 1,875,000
Wolverine Tube, Inc. ..................... 60,000 2,100,000
------------
7,793,125
------------
INSURANCE--14.7%
Capital Re Corp. ......................... 60,000 2,205,000
CapMac Holdings, Inc. .................... 85,000 2,422,500
CMAC Investment Corp. .................... 45,000 2,587,500
Executive Risks........................... 50,000 1,912,500
Integon, Corp. ........................... 100,000 2,012,500
National Re Corp. ........................ 60,000 2,265,000
Western National Corp. ................... 120,000 2,205,000
------------
15,610,000
------------
MACHINERY & EQUIPMENT--1.7%
DT Industries, Inc. ...................... 100,000 1,825,000
------------
MANUFACTURING--5.6%
AptarGroup, Inc. ......................... 44,200 1,337,050
Charter Power Systems..................... 40,000 1,390,000
Holophane................................. 45,000 708,750
InterVoice, Inc. ......................... 40,000 795,000
W. H. Brady Co. .......................... 75,000 1,668,750
------------
5,899,550
------------
</TABLE>
See Notes to Financial Statements.
20
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
MEDICAL CARE & PRODUCTS--3.3%
Rural/Metro................................. 80,000 $ 2,740,000
Sofamor Danek Group......................... 28,900 801,975
------------
3,541,975
------------
NATURAL GAS--2.3%
Swift Energy Co. ........................... 135,000 2,430,000
------------
OIL & GAS--3.6%
Noble Affiliates............................ 50,000 1,887,500
Smith International, Inc. .................. 65,000 1,958,125
------------
3,845,625
------------
PHARMACEUTICALS--4.3%
ALPHARMA, Inc. ............................. 85,000 1,689,375
Elan Corp. PLC ADR.......................... 50,000 2,856,250
------------
4,545,625
------------
REAL ESTATE DEVELOPMENT--2.0%
Stewart Enterprises, Inc., Class A.......... 67,500 2,109,375
------------
RESTAURANTS--2.0%
IHOP Corp. ................................. 80,000 2,160,000
------------
RETAIL STORES--6.5%
Eckerd Corp. ............................... 110,000 2,488,750
99(cents) Only Stores....................... 150,000 2,100,000
Proffitt's, Inc. ........................... 65,000 2,307,500
------------
6,896,250
------------
SEMICONDUCTORS--1.1%
Zilog, Inc. ................................ 50,000 1,200,000
------------
UTILITIES--3.0%
AES Corp. .................................. 27,900 788,175
Public Services Co. of New Mexico........... 55,000 1,127,500
SIGCORP, Inc. .............................. 36,800 1,274,200
------------
3,189,875
------------
TOTAL COMMON STOCKS
(COST $85,454,357)......................... 101,555,063
------------
</TABLE>
See Notes to Financial Statements.
21
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
SHORT-TERM INVESTMENT--3.1%
TIME DEPOSIT--3.1%
JJ Lummis (cost $3,329,000)............. 5.56% 7/1/96 3,329 $ 3,329,000
------------
TOTAL INVESTMENTS--98.7%
(COST $88,783,357)(A).................. 104,884,063
Other assets in excess of liabilities--
1.3%................................... 1,432,401
------------
NET ASSETS--100.0%....................... $106,316,464
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $106,316,464.
(a) Represents cost for federal income tax purposes and differs from value by
net unrealized appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........................................ $18,523,319
Unrealized depreciation........................................ (2,422,613)
-----------
Net unrealized appreciation.................................... $16,100,706
===========
</TABLE>
(b) Represents non-income producing securities.
ADR--American Depository Receipts.
See Notes to Financial Statements.
22
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
COMMON STOCKS--79.8%
AUSTRALIA--2.3%
Aberfoyle Limited............................ 2,400 $ 6,800
Adelaide Brighton Limited.................... 3,800 3,888
Amcor Limited................................ 15,300 104,162
Ashton Mining Limited........................ 7,000 9,916
Australian National Industries Limited....... 18,800 15,239
Boral Limited................................ 27,500 71,423
Brambles Industries Limited.................. 5,500 76,532
Broken Hill Proprietary Co................... 47,000 649,939
Burns Philip & Co............................ 12,200 23,045
Caltex Limited(b)............................ 4,300 17,260
Coca-Coca Amatil............................. 9,600 106,762
Coles Myer Limited........................... 26,612 96,764
CRA Limited.................................. 16,017 246,577
Crusader(b).................................. 2,400 3,211
CSR Limited.................................. 22,700 80,217
Dominion Mining Limited(b)................... 2,160 1,258
Email Limited................................ 6,900 17,921
Emperor Mines Limited(b)..................... 1,600 3,778
FAI Insurances(b)............................ 7,600 4,007
Fosters Brewing Group........................ 48,900 84,284
General Property Trust....................... 15,200 26,079
Gold Mines of Kalgoorlie..................... 23,800 26,037
Goodman Fielder Limited...................... 29,900 30,354
Hardie (James) Industries.................... 9,600 19,418
ICI Australia................................ 7,400 64,881
Lend Lease Corp.............................. 6,000 92,085
MIM Holdings Limited......................... 39,700 51,241
National Australia Bank...................... 34,900 322,748
Newcrest Mining Limited...................... 5,800 23,281
News Corporation Limited..................... 49,700 282,028
North Limited................................ 17,100 49,123
OPSM Protector Limited....................... 3,500 6,198
Pacific Dunlop Limited....................... 28,800 64,826
Pioneer International Holdings............... 22,100 64,355
QCT Resources................................ 15,100 19,965
RGC Limited.................................. 5,000 24,201
</TABLE>
See Notes to Financial Statements.
23
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
AUSTRALIA (CONTINUED)
Rothman's Holdings Limited.................. 2,500 $ 13,970
Santos Limited.............................. 21,000 72,723
Schroders Property Fund..................... 9,100 15,828
Smith Howard Limited........................ 4,200 26,114
Sons of Gwalia Limited...................... 1,800 12,750
SouthCorp Holdings.......................... 23,400 58,013
Stockland Trust Group....................... 7,400 16,890
TNT Limited(b).............................. 14,400 16,206
Westfield Trust............................. 23,700 42,715
Westpac Banking Corp........................ 45,500 201,615
WMC Limited................................. 27,600 197,674
------------
3,464,301
------------
FINLAND--1.0%
Amer-Yhtymae................................ 1,400 23,505
Cultor OY 1................................. 1,000 48,860
Cultor OY 2................................. 500 25,614
Kesko....................................... 4,000 58,977
Kone Corp................................... 400 44,512
Merita Ltd.................................. 41,000 85,600
Metra OY, Class A........................... 700 31,641
Nokia....................................... 6,400 233,772
Outokumpu................................... 6,500 109,128
Pohojola Insurance.......................... 1,400 23,655
Sampo Insurance Co.......................... 800 46,320
Stockman.................................... 600 32,932
UPM-Kymmene................................. 20,400 421,972
10KIA....................................... 8,400 309,175
------------
1,495,663
------------
FRANCE--4.6%
Accor....................................... 550 76,922
Air Liquide................................. 1,300 229,541
Alcatel Alsthom............................. 2,900 252,929
AXA......................................... 3,650 199,655
Banque Nationale de Paris................... 4,500 157,952
BIC......................................... 550 78,097
</TABLE>
See Notes to Financial Statements.
24
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
FRANCE (CONTINUED)
Bouygues.................................... 450 $ 50,174
Canal Plus.................................. 450 110,051
Carrefour(b)................................ 500 280,104
Casino Guichard............................. 1,200 49,533
Casino Guichard RTX......................... 1,250 1,943
Chargeurs International SA.................. 50 2,235
Cie De St Gobain............................ 2,300 307,823
Cie De Suez................................. 2,400 87,784
Cie Financiere.............................. 2,350 138,770
Cie Geophysique(b).......................... 50 2,972
Club Mediterranee(b)........................ 50 4,477
Compagnie Bancaire.......................... 1,210 136,322
Compagnie UAP............................... 6,000 121,792
Comptoirs Modern............................ 50 22,552
CSF (Thomson)............................... 2,300 64,647
Docks de France............................. 250 52,932
Dollfus-Meig & Cie PV....................... 50 2,224
Eaux-Cie Generale........................... 2,700 301,568
Ecco........................................ 200 50,310
ELF-Aquitane................................ 5,250 386,094
Eridania Beghin-Say......................... 500 78,281
Essilor International....................... 50 14,161
Europe 1(b)................................. 25 5,415
Groupe Danone............................... 1,400 211,846
GTM Entrepose............................... 50 3,244
Havas....................................... 1,250 102,222
Imetal...................................... 300 42,540
Lafarge-Coppee.............................. 1,780 107,704
Lagardere Groupe............................ 1,650 42,531
Legrand..................................... 500 89,354
L'Oreal..................................... 1,200 398,361
LVMH Moet Hennessy.......................... 1,600 379,481
Lyonnais Des Eaux-Dumez..................... 1,150 109,815
Michelin, Class B........................... 2,300 112,407
Moulinex(b)................................. 150 2,867
Nord Est.................................... 50 1,378
Pathe....................................... 50 11,733
</TABLE>
See Notes to Financial Statements.
25
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
FRANCE (CONTINUED)
Pernod-Ricard............................... 1,100 $ 70,512
Peugeot SA.................................. 1,300 173,987
Pinault-Printemps........................... 450 157,427
Primagaz.................................... 400 44,366
Promodes.................................... 350 100,892
Rhone Poulenc, Series A..................... 6,250 164,259
Sagem SA.................................... 50 30,011
Sanofi SA................................... 3,300 247,303
Schneider SA................................ 2,600 136,361
Sefimeg..................................... 50 3,380
Seita....................................... 1,000 45,842
Sidel....................................... 150 38,140
Simco....................................... 50 4,613
Societe Generale............................ 2,500 274,859
Societe Technip............................. 50 4,604
Sodexho(b).................................. 50 22,183
St. Louis................................... 50 13,277
Total, Class B.............................. 4,800 355,984
Union Immobiliere de France................. 50 4,089
Usinor Sacilor.............................. 4,700 67,787
Valeo....................................... 1,350 72,245
------------
6,914,864
------------
GERMANY--2.5%
Allianz Holdings AG......................... 200 347,669
AMB Aachener & Muench....................... 50 36,133
BASF AG..................................... 600 170,878
Bayer AG.................................... 6,000 211,084
Bayerische Vereinsbank...................... 3,000 83,961
Beiersdorf AG, Series ABC................... 50 49,207
Bilfinger & Berger.......................... 50 21,056
Brau Und Brunnen............................ 50 5,190
Bremer Vulkan AG............................ 150 468
CKAG Cononia................................ 50 39,911
Commerzbank AG.............................. 500 103,407
Continental AG.............................. 1,000 16,227
Daimler Benz AG............................. 350 187,746
</TABLE>
See Notes to Financial Statements.
26
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
GERMANY (CONTINUED)
Daimler Benz AG-RTS.......................... 350 $ 48
Degussa AG................................... 100 33,932
Deutsche Bank AG............................. 8,000 378,940
Deutsche Lufthansa AG........................ 400 56,631
Didier-Werke AG(b)........................... 50 3,876
FAG Kugelfischer Georg(b).................... 50 7,489
Heidelberger Zement.......................... 55 37,723
Hochtief AG.................................. 100 44,674
Kaufhof Holding AG........................... 300 113,426
Kloeckner.................................... 500 1,790
Linde AG..................................... 100 64,810
Linotype Hell AG(b).......................... 50 2,480
MAN AG....................................... 100 25,063
Mannesmann AG................................ 450 154,914
Muenchener Ruckvers.......................... 100 204,318
Preussag AG.................................. 800 201,558
P.W.A. Papier Waldhof(b)..................... 50 6,225
RWE AG....................................... 3,000 116,678
SAP AG....................................... 500 73,646
Schering AG.................................. 1,000 72,497
Siemens AG(b)................................ 6,500 348,371
Thyssen AG(b)................................ 350 64,038
Veba AG...................................... 7,000 372,042
Volkswagen AG................................ 200 74,435
------------
3,732,541
------------
HONG KONG--1.2%
Bank of East Asia............................ 7,200 26,323
Cathay Pacific Airway........................ 23,000 42,194
Cheung Kong Holdings......................... 18,000 129,641
China Light and Power Co., Limited........... 25,000 113,362
Chinese Estates Holdings..................... 12,000 10,697
Dickson Concepts International Limited....... 5,000 6,395
Giordano International Holdings.............. 4,000 3,876
Hang Lung Development Co..................... 10,000 18,797
Hang Seng Bank Limited....................... 21,800 219,674
Hong Kong Aircraft........................... 1,200 3,604
</TABLE>
See Notes to Financial Statements.
27
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
HONG KONG (CONTINUED)
Hong Kong Telecom........................... 106,400 $ 191,062
Hopewell Holdings........................... 35,000 18,991
Hutchison Whampoa........................... 46,000 289,409
Hysan Development Co. Limited............... 8,000 24,494
Hysan Development Co. Warrants.............. 400 212
Johnson Electric Holdings................... 3,000 6,744
Kumagai Gumi................................ 3,000 2,693
Kumagai Gumi Warrants....................... 600 91
Lai Sun Garment International............... 2,000 2,403
Melco International Development............. 600 167
Miramar Hotel & Investment.................. 4,000 8,836
New World Development Co.................... 13,000 60,293
Oriental Press Group........................ 12,000 6,433
Peregrine Investment Holdings............... 4,000 5,762
Peregrine Investment Holdings Warrants...... 400 50
Playmates Toys Holdings..................... 4,000 971
Regal Hotel Holdings........................ 22,000 5,896
Shangri-La Asia............................. 8,000 11,214
Shun Tak Holdings Limited................... 12,000 7,363
South China Morning Post.................... 12,000 8,216
Sun Hung Kai Properties..................... 25,000 252,728
Swire Pacific Limited....................... 20,000 171,176
Television Broadcasts Limited............... 3,000 11,259
Wharf Holdings Limited...................... 39,000 139,562
Wing Lung Bank.............................. 1,440 8,334
Winsor Industrial Corp. Limited............. 2,000 1,705
------------
1,810,627
------------
JAPAN--45.5%
Advantest Corp. ............................ 2,200 87,252
Ajinomoto Co., Inc. ........................ 20,000 238,872
Alps Electric Co.(b)........................ 6,000 72,756
Amada Co.................................... 28,000 301,235
Aoki Corp(b)................................ 2,000 7,421
Aoyama Trading(b)........................... 1,000 26,167
Asahi Bank Limited.......................... 72,000 833,681
Asahi Breweries............................. 13,000 151,711
</TABLE>
See Notes to Financial Statements.
28
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Asahi Chemical Industries.................... 45,000 $ 320,836
Asahi Glass Co. ............................. 33,000 394,139
Ashikaga Bank................................ 18,000 113,728
Bank of Tokyo, Mitsubishi.................... 60,800 1,408,000
Bank of Yokohama............................. 35,000 317,509
Banyu Pharmaceutical......................... 7,000 98,923
Bridgestone Corp............................. 22,000 419,212
Brother Industries Limited................... 4,000 24,471
Canon, Inc................................... 24,000 498,898
Casio Computer Co. .......................... 8,000 76,585
Chiba Bank................................... 20,000 176,146
Chichibu Onada Cement........................ 17,000 97,490
Chugai Pharmaceutical Co..................... 8,000 78,044
Citizen Watch Co. Limited.................... 19,000 158,158
Cosmo Oil Co................................. 18,000 111,267
Credit Saison................................ 4,000 96,643
Dai Nippon Co. Limited.(b)................... 26,000 502,544
Dai-Ichi Kangyo Bank......................... 97,000 1,804,132
Daicel Chemical Industries................... 13,000 80,003
Daido Steel Co. Limited...................... 2,000 9,883
Daiei, Inc................................... 18,000 216,626
Daiichi Pharmaceuticals Co. Limited.......... 8,000 123,266
Daikin Industries Limited.................... 27,000 295,399
Daikyo(b).................................... 3,000 22,292
Daimaru(b)................................... 8,000 55,943
Dai Nippon Ink & Chemical.................... 22,000 112,726
Dai Nippon Screen............................ 4,000 35,594
Daishowa Paper(b)............................ 1,000 7,704
Daito Trust.................................. 1,000 14,952
Daiwa Bank................................... 20,000 138,218
Daiwa House Industries....................... 14,000 216,992
Daiwa Kosho Lease Co. Limited................ 3,000 32,002
Daiwa Securities............................. 42,000 539,927
Denki Kagaku Kogyo........................... 15,000 54,156
Ebara Corp................................... 9,000 143,597
Eisai Co. Limited............................ 7,000 132,110
Ezaki Glico Co............................... 2,000 22,246
</TABLE>
See Notes to Financial Statements.
29
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Fanuc Co................................... 7,000 $ 278,260
Fuji Bank.................................. 90,000 1,936,512
Fuji Photo Film Limited.................... 14,000 441,641
Fujikura Limited........................... 10,000 82,785
Fujita Corp................................ 15,000 69,747
Fujita Kanko............................... 3,000 60,174
Fujitsu Limited............................ 57,000 519,686
Furukawa Electric.......................... 18,000 107,492
Gakken Co.(b).............................. 2,000 14,806
Gunma Bank................................. 14,000 155,723
Gunze Limited(b)........................... 4,000 25,054
Hankyu Corp.(b)............................ 24,000 140,479
Hanyu Department Stores.................... 6,000 78,773
Haseko Corp.(b)............................ 2,000 8,661
Hazama Corp.(b)............................ 2,000 8,734
Higo Bank.................................. 3,000 23,933
Hirose Electric............................ 1,000 61,724
Hitachi Limited............................ 104,000 967,158
Hokkaido Bank.............................. 5,000 16,502
Hokuriku Bank.............................. 19,000 114,158
Honda Motor Co. ........................... 30,000 776,793
Honshu Paper Co............................ 2,000 14,168
House Foods Corp.(b)....................... 2,000 37,928
Hoya Corp.................................. 3,000 96,826
Inax Corp.................................. 26,000 258,383
Industrial Bank of Japan................... 73,000 1,810,327
Isetan Co.................................. 7,000 105,943
Ishihara Sangyo Kaisha(b).................. 2,000 7,950
Ito Yokado Co. ............................ 13,000 783,450
Itochu Corp................................ 43,000 300,303
Itoham Foods............................... 7,000 53,290
Iwantani International Corp.(b)............ 3,000 17,368
Jaccs...................................... 2,000 18,216
Japan Air Lines Co.(b)..................... 53,000 428,611
Japan Energy Corp.......................... 31,000 115,032
Jeol....................................... 1,000 7,704
JGC Corp.(b)............................... 1,000 13,129
</TABLE>
See Notes to Financial Statements.
30
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Joyo Bank................................... 21,000 $ 159,104
Jusco Co.(b)................................ 8,000 261,849
Kajima Corp................................. 25,000 257,562
Kaken Pharmaceutical........................ 1,000 8,178
Kamigumi Co., Limited....................... 8,000 72,938
Kandenko Limited............................ 6,000 76,038
Kanebo Corp.(b)............................. 9,000 26,832
Kaneka Corp................................. 11,000 73,913
Kansai Electric Power....................... 29,100 665,936
Kansai Paint Co. Limited.................... 2,000 10,503
KAO Corp.................................... 19,000 256,378
Katokichi................................... 1,000 24,161
Kawasaki Kisen Kaisha(b).................... 18,000 60,721
Kawasaki Steel Corp......................... 84,000 302,509
Keihin Electric............................. 16,000 94,674
Keio Teito Electric Railway................. 16,000 94,819
Kikkoman Corp............................... 3,000 24,480
Kinden Corp................................. 7,000 111,049
Kinki Nippon Railway........................ 50,000 359,675
Kirin Brewery Co............................ 33,000 403,164
Kissei Pharmaceutical....................... 1,000 27,990
Kobe Steel(b)............................... 73,000 209,649
Kokuyo...................................... 4,000 110,502
Komatsu Limited............................. 30,000 295,398
Konica Corp................................. 10,000 75,308
Koyo Seiko.................................. 6,000 58,533
Kubota Corp................................. 42,000 276,856
Kumagai Gumi Co............................. 20,000 80,232
Kurabo Industries........................... 5,000 19,967
Kuraray Co. Limited......................... 8,000 89,714
Kureha Chemical Industries Co.(b)........... 2,000 11,269
Kurita Water................................ 4,400 107,110
Kyocera Corp................................ 6,000 423,955
Kyowa Hakko Kogyo........................... 13,000 124,450
Lion Corp................................... 9,000 53,992
Maeda Road Construction..................... 6,000 103,390
Makita Corp................................. 5,000 81,144
</TABLE>
See Notes to Financial Statements.
31
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Marubeni Corp............................... 45,000 $ 246,163
Marudai Food Co.(b)......................... 2,000 14,423
Maruha Corp.(b)............................. 4,000 14,514
Marui Co.(b)................................ 9,000 199,395
Matsushita Electric Industries.............. 65,000 1,208,954
Meija Milk Products......................... 9,000 57,685
Meiji Seika Kaisha.......................... 12,000 74,287
Minebea Co.................................. 11,000 92,367
Misawa Homes................................ 1,000 9,756
Mitsubishi Chemical Corp.................... 68,000 313,704
Mitsubishi Corp............................. 49,000 643,316
Mitsubishi Electric Corp.................... 64,000 445,798
Mitsubishi Estate........................... 39,000 536,917
Mitsubishi Gas(b)........................... 15,000 66,054
Mitsubishi Heavy Industries Limited......... 101,000 877,559
Mitsubishi Materials........................ 35,000 190,186
Mitsubishi Oil Co........................... 13,000 110,820
Mitsubishi Paper............................ 34,000 212,340
Mitsubishi Steel Manufacturing(b)........... 1,000 5,853
Mitsubishi Trust and Banking Limited........ 39,000 657,813
Mitsubishi Warehouse........................ 5,000 89,349
Mitsui & Co., Limited....................... 48,000 434,563
Mitsui Engine & Shipbuilding(b)............. 1,000 3,045
Mitsui Fire & Marine Insurance.............. 23,000 182,645
Mitsui Fudosan Co. ......................... 24,000 323,846
Mitsui Mining and Smelting(b)............... 16,000 65,352
Mitsui O.S.K. Lines(b)...................... 31,000 106,835
Mitsui Toatsu Chemical...................... 22,000 86,849
Mitsui Trust and Banking Co................. 36,000 420,124
Mitsukoshi Limited(b)....................... 14,000 149,341
Mochida Pharmaceuticals..................... 5,000 65,189
Murata Manufacturing Co..................... 7,000 264,858
Nagase & Co.(b)............................. 1,000 9,482
Nagoya Railroad Co.......................... 24,000 122,316
Nankai Electric Railway..................... 15,000 95,047
NEC Corp.................................... 48,000 520,776
</TABLE>
See Notes to Financial Statements.
32
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
New Oji Paper............................... 19,000 $ 163,873
NGK Insulators.............................. 44,000 493,425
NGK Spark................................... 6,000 66,739
Nichido Fire and Marine Insurance........... 12,000 92,668
Nichii Co. Limited.......................... 22,000 365,057
Nichirei Corp............................... 10,000 71,570
Nihon Cement Co............................. 4,000 29,430
Nintendo Co................................. 2,600 193,433
Nippon Beet Sugar(b)........................ 2,000 10,922
Nippon Communications Systems Corp.(b)...... 1,000 13,494
Nippon Denso................................ 24,000 520,778
Nippon Express Co........................... 33,000 321,931
Nippon Fire and Marine Insurance............ 16,000 104,301
Nippon Light Metal.......................... 15,000 85,064
Nippon Meat Packers......................... 16,000 227,568
Nippon Oil Co............................... 34,000 230,319
Nippon Paper Industries..................... 24,000 149,887
Nippon Seiko Kab Kai........................ 16,000 120,931
Nippon Shinpan Co........................... 9,000 64,004
Nippon Shokubai Kagaku Kogyo................ 6,000 57,986
Nippon Steel Corp........................... 178,000 610,202
Nippon Suisan(b)............................ 4,000 17,031
Nippon Yusen Kab Kai........................ 35,000 202,310
Nishimatsu(b)............................... 8,000 87,526
Nissan Motor Co............................. 78,000 691,946
Nisshinbo Industries, Inc................... 7,000 68,926
Nissin Food Products Co., Limited(b)........ 4,000 102,478
NKK Corp.(b)................................ 91,000 275,448
NOF Corp. .................................. 2,000 12,454
Nomura Securities........................... 61,000 1,190,171
NTN Corp. .................................. 13,000 91,857
Obayashi Corp............................... 19,000 171,669
Odakyu Electric Railway..................... 20,000 134,570
Okamoto Industries.......................... 3,000 18,873
Okumura(b).................................. 7,000 58,460
Olympus Optical Co., Limited................ 7,000 70,203
</TABLE>
See Notes to Financial Statements.
33
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Omron Corp.................................. 8,000 $ 169,946
Onward Kashiyama(b)......................... 5,000 81,600
Orient Corp................................. 11,000 72,208
Orix Corp................................... 3,000 111,049
Osaka Gas Co................................ 117,000 427,752
Penta-Ocean(b).............................. 11,000 74,114
Pioneer Electronic.......................... 8,000 190,369
Q.P. Corp.(b)............................... 2,000 19,329
Renown, Inc.(b)............................. 5,000 20,012
Ricoh Co.................................... 20,000 211,520
Rohn Company Limited........................ 4,000 264,037
Sagami...................................... 4,000 18,453
Sakura Bank................................. 108,000 1,201,295
Sankyo Aluminum............................. 2,000 11,707
Sankyo Co................................... 19,000 491,969
Sanrio Corp.(b)............................. 1,000 11,579
Sanwo Shutter Corp.......................... 7,000 65,736
Sanyo Electric Corp......................... 58,000 353,765
Sapporo Corporation......................... 10,000 93,908
Secom Co.................................... 7,000 462,065
Sega Enterprises............................ 3,000 140,042
Seino Transportation........................ 10,000 157,729
Seiyu(b).................................... 7,000 88,711
Sekisui Chemical............................ 14,000 171,039
Sekisui House............................... 54,000 615,416
Settsu Corp.(b)............................. 1,000 3,483
Seven-Eleven Japan NPV...................... 13,000 828,489
Sharp Corp.................................. 33,000 577,672
Shimachu.................................... 2,000 59,262
Shimano..................................... 4,000 71,480
Shimizu Corp................................ 20,000 220,638
Shin-Etsu Chemical Co....................... 10,400 199,122
Shinmaywa Industries........................ 16,000 163,381
Shiongoi & Co............................... 10,000 85,885
Shiseido Co................................. 10,000 127,642
Shizuoka Bank............................... 25,000 321,385
Shochiku Co.(b)............................. 1,000 11,488
</TABLE>
See Notes to Financial Statements.
34
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Shokusan(b).................................. 1,000 $ 4,185
Showa Denko KK(b)............................ 29,000 89,366
Skylark Co................................... 2,000 42,122
Snow Brand Milk(b)........................... 10,000 67,923
Sony Corp.................................... 11,200 736,240
Sumitomo Bank................................ 98,000 1,894,203
Sumitomo Chemical............................ 43,000 205,037
Sumitomo Corp................................ 33,000 293,047
Sumitomo Electric Industries................. 22,000 314,910
Sumitomo Forestry............................ 5,000 74,306
Sumitomo Marine and Fire Insurance........... 21,000 182,847
Sumitomo Metal Industries(b)................. 81,000 248,135
Sumitomo Metal Mining........................ 17,000 147,089
Sumitomo Osaka Cement........................ 14,000 68,160
Taisei Corp.................................. 26,000 184,423
Taisho Pharmaceutical Co..................... 9,000 194,472
Taiyo Yuden.................................. 2,000 25,164
Takara(b).................................... 2,000 22,976
Takara Shuzo(b).............................. 7,000 71,479
Takashimaya Co.(b)........................... 7,000 108,496
Takeda Chemical Industries................... 32,000 566,000
Tanabe....................................... 8,000 62,435
TDK Corp..................................... 8,000 477,017
Teijin Limited............................... 25,000 135,617
TOA Corp.(b)................................. 1,000 6,865
Tobu Railway Co.............................. 24,000 157,327
Toho Co...................................... 1,000 176,876
Tohoku Electric Power........................ 16,080 359,185
Tokai Bank................................... 63,000 815,629
Tokio Marine and Fire Insurance.............. 48,000 638,938
Tokyo Broadcasting........................... 5,000 88,438
Tokyo Dome Corp.............................. 5,000 100,746
Tokyo Electric Power......................... 40,200 1,018,913
Tokyo Electronics............................ 5,000 145,421
Tokyo Gas Co................................. 72,000 262,577
Tokyo Steel Manufacturing Co. Limited........ 20,000 392,044
</TABLE>
See Notes to Financial Statements.
35
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
JAPAN (CONTINUED)
Tokyo Style Co.(b).......................... 2,000 $ 34,828
Tokyo Tatemono(b)........................... 4,000 25,856
Tokyoto Keiba Co............................ 5,000 22,383
Tokyu Corp.................................. 34,000 258,839
Tonen Corp.................................. 20,000 293,576
Toppan Printing Co.......................... 21,000 306,340
Toray Industries, Inc....................... 90,000 620,334
Toshiba Corp................................ 88,000 625,812
Tosoh Corp.(b).............................. 18,000 79,922
Tostem Corp................................. 6,000 176,693
Toto Limited................................ 9,000 135,392
Toyo Engineering............................ 1,000 6,729
Toyo Kanetsu KK............................. 3,000 15,262
Toyo Seikan Kaisha.......................... 2,000 69,656
Toyobo Co.(b)............................... 22,000 82,438
Toyoda Automatic Loom Works Limited......... 8,000 159,735
Toyota Motor Corp........................... 117,000 2,922,824
UBE Industries(b)........................... 2,000 7,604
Uni-Charm................................... 2,000 51,422
Uniden Corp................................. 1,000 20,514
Unitika Limited(b).......................... 3,000 9,053
Yamaguchi Bank.............................. 6,000 101,749
Yamaha Corp................................. 5,000 82,512
Yamaichi Securities Co...................... 36,000 246,823
Yamanouchi Pharmaceutical................... 10,000 216,991
Yamato Transport............................ 10,000 117,613
Yamazaki Baking Co.......................... 6,000 111,049
Yasuda Trust and Bank....................... 33,000 208,501
Yokogawa Bridge Works Corp.................. 7,000 95,731
Yokogawa Electric........................... 7,000 70,203
77 Bank..................................... 11,000 109,316
------------
68,085,431
------------
NORWAY--1.0%
Bergensen................................... 700 14,116
Bergensen, Class A.......................... 3,000 62,343
Dyno Industrier............................. 2,300 50,983
</TABLE>
See Notes to Financial Statements.
36
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
NORWAY (CONTINUED)
Hafslund, Class A.......................... 3,660 $ 26,479
Hafslund, Class B.......................... 2,571 16,226
Kvaerner, Class A.......................... 2,150 90,847
Kvaerner, Class B.......................... 1,200 46,365
Leif Hoegh & Co............................ 1,400 24,352
Norsk Hydro................................ 13,000 636,359
Norsk Skog................................. 1,800 54,307
Nycomed, Class A........................... 3,700 53,253
Nycomed, Class B........................... 2,550 35,327
Orkla, Class A............................. 2,350 123,716
Orkla, Class B............................. 700 34,050
Transocean................................. 4,461 115,708
Uni-Storebrand............................. 15,450 69,445
Unitor Ship................................ 1,200 19,395
------------
1,473,271
------------
SINGAPORE--5.3%
Amcol Holdings............................. 29,000 64,105
City Developments.......................... 75,000 584,505
Cycle and Carriage......................... 22,000 235,360
Development Bank Singapore................. 65,000 810,517
Fraser and Neave Limited................... 26,800 277,219
Haw Par Brothers International............. 1,800 695
Jurong Shipyard............................ 11,000 55,723
Keppel Corp................................ 50,000 418,010
Overseas Chinese Banking Corp.............. 87,000 1,017,039
Overseas Union Enterprises................. 8,700 69,652
Sia Limited Foreign........................ 123,000 1,298,449
Singapore Techology........................ 60,000 158,982
Singapore Press Holdings................... 32,800 643,710
Singapore Telecommunications............... 480,000 1,278,672
Straits Trading Co......................... 29,000 76,021
United Overseas Bank....................... 87,600 837,859
------------
7,826,518
------------
UNITED KINGDOM--16.4%
Abbey National PLC(b)...................... 32,800 275,717
Anglian Water PLC.......................... 6,500 59,891
</TABLE>
See Notes to Financial Statements.
37
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
UNITED KINGDOM (CONTINUED)
Argos PLC.................................. 6,906 $ 80,050
Argyll Group............................... 27,800 149,886
Arjo Wiggins............................... 26,000 71,100
Associated British FDS..................... 24,500 147,323
Barclays PLC(b)............................ 39,300 472,024
Barratt Development........................ 7,800 30,783
Bass PLC(b)................................ 27,900 350,709
BAT Industries............................. 80,400 625,874
BBA Group.................................. 12,100 57,907
BICC PLC................................... 10,500 50,575
Blue Circle Industries..................... 21,300 119,144
BOC Group.................................. 13,100 188,078
Boots Co. PLC.............................. 23,400 210,518
Bowthorpe PLC.............................. 5,600 39,156
BPB Industries............................. 13,800 68,401
British Aerospace.......................... 12,400 188,239
British Airways............................ 26,400 227,251
British Gas................................ 121,000 338,413
British Land Co.(b)........................ 12,100 79,527
British Petroleum.......................... 172,900 1,516,541
British Sky Boardcasting................... 46,800 319,958
British Steel.............................. 55,100 140,836
British Telecom............................ 170,000 913,937
BTR PLC.................................... 112,510 443,115
Cable & Wireless........................... 60,100 397,808
Cadbury Schweppes PLC...................... 26,900 212,747
Carlton Communication...................... 13,950 112,278
Chubb Security(b).......................... 6,800 34,127
Coats Viyella.............................. 27,700 74,028
Commercial Union........................... 17,200 155,006
Courtaulds PLC............................. 11,000 72,640
De La Rue PLC.............................. 5,400 49,924
East Midland Electric...................... 9,500 76,904
Electrocomponent PLC....................... 12,800 75,974
English China Clays........................ 8,300 33,402
General Accident PLC....................... 11,700 118,712
General Electric........................... 82,600 445,346
</TABLE>
See Notes to Financial Statements.
38
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
UNITED KINGDOM (CONTINUED)
GKN PLC.................................... 11,800 $ 181,148
Glaxo Holdings PLC......................... 88,700 1,194,221
Granada Group.............................. 16,000 214,299
Grand Metropolitan......................... 58,900 390,784
Great Universe Stores PLC.................. 24,700 250,996
Guardian Royal Exchange PLC................ 21,700 83,619
Guinness................................... 51,700 375,947
Hammerson PLC.............................. 8,100 45,686
Hanson..................................... 143,200 401,619
Harrison & Crossfield PLC.................. 19,400 40,994
Hepworth Ceramic........................... 6,800 30,535
HSBC Holdings.............................. 65,100 1,019,616
IMI PLC.................................... 9,400 51,630
Imperial Chemical Industries............... 19,700 241,205
Kingfisher PLC............................. 16,400 164,869
Ladbroke Group PLC(b)...................... 31,800 88,938
Land Securities PLC........................ 15,400 149,074
Legal & General............................ 12,900 134,094
Lloyds TSB Group........................... 180,086 881,413
London Electricity PLC..................... 4,728 45,988
Lonrho PLC(b).............................. 21,200 60,939
Lucas Industries PLC....................... 28,300 99,596
Marks & Spencer PLC........................ 71,800 524,901
Metal Box-Caradon(b)....................... 16,400 55,042
MEPC....................................... 11,800 74,439
Mercury Asset Management................... 3,800 56,978
National Grid Group(b)..................... 47,242 125,154
National Power............................. 31,500 254,511
Next PLC................................... 9,200 80,480
P & O Steam Nav(b)......................... 19,900 150,273
Pearson PLC................................ 15,200 156,821
Pilkington Ord PLC......................... 27,300 76,776
Provident Financial........................ 8,000 57,179
Prudential Corp............................ 52,600 331,822
Rank Organisation PLC...................... 23,900 184,936
Redland PLC................................ 16,600 103,430
</TABLE>
See Notes to Financial Statements.
39
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
UNITED KINGDOM (CONTINUED)
Reed International.......................... 15,400 $ 257,710
Rentokil Group.............................. 21,780 138,412
Reuters Holdings PLC(b)..................... 46,700 565,261
Rexam PLC................................... 15,900 83,750
RMC Group................................... 7,200 113,327
Rolls Royce................................. 42,700 148,617
Royal Bank of Scotland PLC.................. 20,000 153,204
Royal Insurance PLC......................... 24,200 149,655
RTZ Corp.................................... 29,100 430,904
Rugby....................................... 17,800 30,422
Sainsbury (J) PLC........................... 44,400 261,467
Schroders PLC(b)............................ 5,700 120,007
Scottish & New Castle PLC(b)................ 15,500 158,712
Scottish Power PLC(b)....................... 23,100 109,113
Sears PLC................................... 88,800 136,592
Sedgwick Group.............................. 24,700 52,962
Slough Estate PLC........................... 11,400 38,969
Smith Industries............................ 10,800 118,138
Smithkline Beecham.......................... 85,745 917,291
Southern Electric PLC(b).................... 7,186 79,722
Southern Water PLC.......................... 3,700 57,605
T & N PLC................................... 15,700 34,152
Tarmac PLC.................................. 25,500 43,980
Tate & Lyle PLC............................. 10,800 76,857
Taylor Woodrow PLC.......................... 16,600 40,237
Tesco....................................... 77,700 354,941
Thames Water PLC............................ 22,800 200,868
Thorn EMI PLC(b)............................ 11,700 326,139
TI Group PLC(b)............................. 12,800 107,000
Unigate Limited............................. 6,400 39,578
Unilever PLC................................ 22,100 439,538
United Biscuts PLC.......................... 14,400 47,881
United Utilities PLC........................ 11,600 97,689
Vodafone Group.............................. 83,100 309,240
Williams Holdings........................... 15,900 83,750
Wimpey George PLC........................... 15,600 36,116
</TABLE>
See Notes to Financial Statements.
40
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Market
Value
Description Shares (Note 2(a))
----------- ------ -----------
<S> <C> <C>
UNITED KINGDOM (CONTINUED)
Wolseley............................ 15,200 $ 107,459
Zeneca Group........................ 23,700 524,019
------------
24,395,085
------------
TOTAL COMMON STOCKS
(COST $111,710,756)................ 119,198,301
------------
PREFERRED STOCKS--0.2%
AUSTRALIA--0.1%
News Corp., Limited Voting Preferred
Shares............................ 24,100 117,601
------------
FRANCE--0.0%
Casino Guich-Perr, Preferred Shares. 50 1,384
------------
GERMANY--0.1%
Lufthansa AG, Preferred Shares
Nonvoting......................... 50 7,046
MAN AG, NV.......................... 50 9,723
RWE AG, Preferred Shares Non-voting. 1,500 46,070
SAP AG, Preferred Shares Non-voting. 500 74,303
Volkswagon AG, Preferred Shares
Non-voting........................ 50 13,698
------------
150,840
------------
TOTAL PREFERRED STOCKS
(COST $229,246).................... 269,825
------------
<CAPTION>
Principal
Maturity Amount
Description Rate Date (000)
----------- ---- -------- ---------
<S> <C> <C> <C> <C>
FOREIGN CORPORATE OBLIGATIONS--9.1%
GERMANY--9.1%
Bundeslaender Versicher
(cost $14,454,720)................ 4.79% 12/22/97 $20,000 13,699,140
------------
</TABLE>
See Notes to Financial Statements.
41
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
SHORT-TERM INVESTMENTS--9.7%
U.S. TREASURY BILLS--9.7%
U.S. Treasury Bill...................... 4.99% 7/5/96 $ 1,000 $ 999,446
U.S. Treasury Bill...................... 5.36% 7/25/96 1,500 1,494,645
U.S. Treasury Bill...................... 5.41% 8/22/96 1,150 1,141,170
U.S. Treasury Bill...................... 5.31% 9/19/96 1,000 988,666
U.S. Treasury Bill...................... 4.83% 10/17/96 3,000 2,953,827
U.S. Treasury Bill...................... 5.14% 11/14/96 2,000 1,960,784
U.S. Treasury Bill...................... 4.58% 1/9/97 2,000 1,944,638
U.S. Treasury Bill...................... 5.18% 3/6/97 1,130 1,089,130
U.S. Treasury Bill...................... 6.13% 5/31/97 2,000 2,006,250
------------
TOTAL SHORT-TERM INVESTMENTS
(COST $14,585,002)..................... 14,578,556
------------
TOTAL INVESTMENTS--98.8%
(COST $140,979,724)(A)................. 147,745,822
Other assets in excess of liabilities--
1.2%................................... 1,847,015
------------
NET ASSETS--100.0%....................... $149,592,837
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $149,021,086.
(a) Represents cost for federal income tax purposes and differs from value by
net unrealized appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........................................ $10,045,959
Unrealized depreciation........................................ (3,279,861)
-----------
Net unrealized appreciation.................................... $ 6,766,098
===========
</TABLE>
(b) Represents non-income producing securities.
<TABLE>
<CAPTION>
Contract Contract Unrealized
Price Value Depreciation
-------- -------- ------------
<S> <C> <C> <C>
FOREIGN CURRENCY INVESTMENTS
CURRENCY PURCHASED:
German Deutsche Mark........................... $0.654206 $ 1 $ --
Japanese Yen................................... $0.911730 2,634 (5)
Japanese Yen................................... $1.068114 569,116 (98,885)
-------- --------
TOTAL FOREIGN CURRENCY INVESTMENTS
(COST $670,640)............................... $571,751 $(98,890)
======== ========
</TABLE>
<TABLE>
<CAPTION>
Market Value Unrealized
Number of Covered Appreciation
Contracts by Contracts Expiration at 6/30/96
--------- ------------ ---------- ------------
<S> <C> <C> <C> <C>
FINANCIAL FUTURES
FINANCIAL FUTURES PURCHASED
LONG:
Japanese Yen--TOPIX(1).... 108 $16,844,850 September 1996 $321,616
</TABLE>
- -----------
(1) Exchange traded local currency denominated futures contracts.
See Notes to Financial Statements.
42
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
CORPORATE OBLIGATIONS--38.4%
AEROSPACE & DEFENSE--2.3%
Lockheed Martin, Corp. ................. 7.75% 5/1/26 $ 4,800 $ 4,771,560
------------
ASSET-BACKED SECURITIES--5.9%
Advanta Mortgage Loan Trust,
Series 1994-3, Class A2............... 7.60% 7/25/10 3,915 3,965,617
Green Tree Home Improvement Loan Trust,
Series 1994-B1, Class A-1............. 7.15% 7/15/14 876 884,348
MBNA Master Credit Card Trust,
Series 1994-C, Class A................ 5.75% 3/15/04 1,655 1,663,952
Olympic Automobiles Receivables Trust,
Series 1995-D......................... 6.15% 7/15/01 2,300 2,274,307
People's Bank Credit Card Master Trust,
Series 1993-1, Class A................ 4.80% 12/15/99 1,240 1,238,374
Security Pacific Acceptance Corp.
Series 1995-1......................... 7.25% 5/10/20 2,000 1,984,618
------------
12,011,216
------------
BANKING--10.0%
AAB, Global Bond, Guaranteed by ABN Amro
Bank.................................. 7.25% 5/31/05 4,800 4,793,515
Chase Manhattan Corp., Subordinate Note. 9.75% 11/1/01 3,000 3,371,150
Chevy Chase Auto Receivables Trust
Class A............................... 5.80% 6/15/02 2,465 2,455,858
Mellon Financial Co., Senior Notes...... 7.63% 11/15/99 2,310 2,375,472
Midland Bank............................ 6.95% 3/15/11 3,000 2,816,250
NationsBank............................. 7.75% 8/15/15 3,000 3,006,468
Norwest Corp., Medium Term Note......... 7.75% 3/1/02 1,500 1,560,239
------------
20,378,952
------------
BROKERAGE SERVICES--3.3%
Goldman Sachs........................... 6.10% 4/15/98 3,000 2,976,267
Salomon, Inc. Senior Notes.............. 6.70% 12/1/98 3,700 3,698,124
------------
6,674,391
------------
</TABLE>
See Notes to Financial Statements.
43
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
FINANCE--2.8%
Chemical Master Credit Card Trust,
Class A, Source Mortgage.............. 6.23% 4/15/05 $ 2,500 $ 2,429,073
9.00% 6/1/12 3,225 3,357,586
------------
5,786,659
------------
FOREIGN--5.5%
European Investment Bank................ 8.88% 3/1/01 1,000 1,086,398
Rep Italy............................... 6.88% 9/27/23 5,000 4,518,750
SNCB Belgium............................ 8.88% 12/1/24 5,000 5,610,110
------------
11,215,258
------------
HEALTH CARE & HOSPITAL MANAGEMENT--2.0%
Columbia HCA/Health, Medium Term Note... 6.87% 9/15/03 4,250 4,159,841
------------
HOTELS & GAMING--1.2%
Marriott International, Inc., Senior
Note.................................. 7.88% 4/15/05 2,500 2,551,250
------------
RETAIL STORES--1.2%
Dayton Hudson Corp...................... 6.10% 2/25/02 2,500 2,491,823
------------
SCIENTIFIC & MEDICAL INSTRUMENTS--1.5%
Beckman Instruments..................... 7.05% 6/1/26 3,000 2,989,181
------------
TELECOMMUNICATIONS--2.2%
Bell Telephone.......................... 8.35% 12/15/30 4,000 4,571,392
------------
UTILITIES--0.5%
West Texas Utilities.................... 6.38% 10/1/05 1,000 940,266
------------
TOTAL CORPORATE OBLIGATIONS
(COST $79,450,382)..................... 78,541,789
------------
U.S. GOVERNMENT AGENCY OBLIGATIONS--5.4%
Federal Home Loan Bank.................. 5.94% 1/30/01 3,000 2,897,748
Federal Home Loan Mortgage Corp......... 7.35% 3/22/05 8,000 8,151,673
------------
TOTAL U.S. GOVERNMENT AGENCY OBLIGATIONS
(COST $11,120,080)..................... 11,049,421
------------
</TABLE>
See Notes to Financial Statements.
44
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
U.S. GOVERNMENT OBLIGATIONS--53.2%
U.S. TREASURY BONDS--10.5%
U.S Treasury Bond....................... 7.25% 8/15/04 $ 1,000 $ 1,035,625
U.S Treasury Bond....................... 12.75% 11/15/10 1,600 2,248,000
U.S Treasury Bond....................... 10.38% 11/15/12 5,000 6,350,000
U.S Treasury Bond....................... 8.75% 5/15/17 4,025 4,777,172
U.S Treasury Bond....................... 8.13% 8/15/19 1,000 1,121,875
U.S Treasury Bond....................... 7.88% 2/15/21 5,500 6,027,648
------------
21,560,320
------------
U.S. TREASURY NOTES--42.7%
U.S. Treasury Note...................... 5.75% 9/30/97 8,000 7,985,000
U.S. Treasury Note...................... 7.38% 11/15/97 9,100 9,262,088
U.S. Treasury Note...................... 5.38% 5/31/98 375 370,077
U.S. Treasury Note...................... 5.13% 6/30/98 400 392,874
U.S. Treasury Note...................... 4.75% 10/31/98 19,000 18,412,159
U.S. Treasury Note...................... 5.00% 1/31/99 550 534,188
U.S. Treasury Note...................... 6.88% 8/31/99 1,785 1,811,215
U.S. Treasury Note...................... 7.13% 9/30/99 165 168,661
U.S. Treasury Note...................... 7.88% 11/15/99 990 1,034,550
U.S. Treasury Note...................... 7.75% 11/30/99 2,440 2,541,409
U.S. Treasury Note...................... 7.75% 1/31/00 12,100 12,618,013
U.S. Treasury Note...................... 8.50% 2/15/00 830 885,764
U.S. Treasury Note...................... 6.88% 3/31/00 800 812,249
U.S. Treasury Note...................... 6.13% 7/31/00 5,000 4,945,305
U.S. Treasury Note...................... 8.75% 8/15/00 1,870 2,025,444
U.S. Treasury Note...................... 6.25% 8/31/00 3,000 2,980,308
U.S. Treasury Note...................... 7.50% 11/15/01 18,050 18,845,301
U.S. Treasury Note...................... 7.50% 5/15/02 150 156,938
U.S. Treasury Note...................... 7.25% 5/15/04 1,500 1,553,438
------------
87,334,981
------------
TOTAL U.S. GOVERNMENT OBLIGATIONS
(COST $109,319,933).................... 108,895,301
------------
</TABLE>
See Notes to Financial Statements.
45
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ---- -------- --------- -----------
<S> <C> <C> <C> <C>
SHORT-TERM INVESTMENT--2.0%
TIME DEPOSIT--2.0%
JJ Lummis (cost $4,179,000)............. 5.56% 7/1/96 4,179 $ 4,179,000
------------
TOTAL INVESTMENTS--99.0%
(COST $204,069,395)(A)................. 202,665,511
Other assets in excess of liabilities--
1.0%................................... 2,091,394
------------
NET ASSETS--100.0%....................... $204,756,905
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $204,756,905.
(a) Represents cost for financial reporting purposes and differs from cost
basis for federal income tax purposes by the amount of losses recognized
for financial reporting in excess of federal income tax reporting of
$12,813. Cost for federal income tax purposes differs from value by net
unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation....................................... $ 1,524,512
Unrealized depreciation....................................... (2,941,209)
-----------
Net unrealized depreciation................................... $(1,416,697)
===========
</TABLE>
See Notes to Financial Statements.
46
<PAGE>
PRAIRIE FUNDS
BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ------- -------- --------- ------------
<S> <C> <C> <C> <C>
CORPORATE OBLIGATIONS--33.5%
ASSET-BACKED SECURITIES--6.6%
Advanta Mortgage Loan Trust,
Series 1994-3, Class A2............. 7.60% 7/25/10 $ 1,625 $ 1,646,010
First U.S.A. Credit Card Master Trust,
Series 1992-1, Class A.............. 5.20% 6/15/98 333 332,720
Green Tree Financial Corp.,
Manufactured Housing Senior
Subordinate Passthrough,
Series 1995-4, Class A6............. 7.30% 7/15/25 3,000 2,886,657
Security Pacific Acceptance Corp.
Manufactured Housing Contract Senior
Subordinate, Series 1995-1, Class
A3.................................. 7.25% 4/10/20 2,000 1,984,618
Standard Credit Card Master Trust I,
Participation Certificates,
Series 1994-2, Class A.............. 7.25% 4/7/06 1,800 1,806,946
------------
8,656,951
------------
BANKING--13.0%
ABN-ARMO Bank N.V., Chicago
Subordinate Note.................... 7.25% 5/31/05 2,000 1,997,298
Chase Manhattan Corp.,
Subordinate Note.................... 9.75% 11/1/01 2,000 2,247,434
Chemical Master Credit Card Trust I,
Series 1995-3, Asset-Backed, Class
A................................... 6.23% 4/15/05 1,000 971,629
Chevy Chase Auto Receivables Trust
Series 1995-2, Class A.............. 5.80% 6/15/02 1,643 1,637,238
International Bank for Reconstruction
and Development..................... 9.64% 4/30/99 1,500 1,621,831
International Bank for Reconstruction
and Development..................... 8.25% 9/1/16 2,000 2,180,098
Midland Bank.......................... 6.95% 3/15/11 2,000 1,877,500
NationsBank Corp...................... 7.75% 8/15/15 2,000 2,004,312
Salomon, Inc., Senior Notes........... 6.70% 12/1/98 2,500 2,498,732
------------
17,036,072
------------
</TABLE>
See Notes to Financial Statements.
47
<PAGE>
PRAIRIE FUNDS
BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ------- -------- --------- ------------
<S> <C> <C> <C> <C>
CABLE TV SYSTEMS--1.9%
Cablevision Industries................ 9.25% 4/1/08 $ 2,500 $ 2,531,250
------------
CHEMICALS--1.2%
Monsanto Co., Debenture............... 8.20% 4/15/25 1,500 1,538,021
------------
FINANCE--2.4%
Sears Credit Account Master Trust,
Series 1995-3, Class A.............. 7.00% 10/15/04 1,600 1,625,870
Source One Mortgage................... 9.00% 6/1/12 1,500 1,561,668
------------
3,187,538
------------
FOREIGN GOVERNMENT--1.8%
Province of Quebec.................... 6.50% 1/17/06 2,500 2,356,548
------------
HEALTH CARE & HOSPITAL MANAGEMENT--1.8%
Columbia/HCA.......................... 7.58% 9/15/25 2,500 2,417,095
------------
HOTELS AND GAMING--1.6%
Marriott International, Inc., Senior
Note, Series B...................... 7.88% 4/15/05 2,000 2,041,000
------------
RETAIL STORES--2.5%
Dayton Hudson Credit Card Master
Trust, Series 95-1, Class A......... 6.10% 2/25/02 1,500 1,495,093
Dayton Hudson Corp., Debentures....... 7.88% 6/15/23 1,800 1,763,055
------------
3,258,148
------------
UTILITIES--0.7%
West Texas Utilities.................. 6.38% 10/1/05 1,000 940,265
------------
TOTAL CORPORATE OBLIGATIONS
(COST $44,699,037)................... 43,962,888
------------
U.S. GOVERNMENT OBLIGATIONS--60.6%
U.S. TREASURY BONDS--20.0%
U.S. Treasury Bond.................... 10.75% 5/15/03 1,000 1,225,311
U.S. Treasury Bond.................... 11.13% 8/15/03 3,500 4,380,463
U.S. Treasury Bond.................... 10.38% 11/15/12 3,000 3,810,000
U.S. Treasury Bond.................... 9.88% 11/15/15 1,000 1,302,500
U.S. Treasury Bond.................... 8.75% 5/15/17 8,445 10,023,159
U.S. Treasury Bond.................... 7.88% 2/15/21 4,000 4,383,744
U.S. Treasury Bond.................... 7.63% 2/15/25 1,000 1,078,436
------------
26,203,613
------------
</TABLE>
See Notes to Financial Statements.
48
<PAGE>
PRAIRIE FUNDS
BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ------- -------- --------- ------------
<S> <C> <C> <C> <C>
U.S. TREASURY NOTES--40.6%
U.S. Treasury Note.................... 4.75% 2/15/97 $10,500 $ 10,440,937
U.S. Treasury Note.................... 7.88% 1/15/98 700 718,813
U.S. Treasury Note.................... 5.00% 1/31/99 6,450 6,264,562
U.S. Treasury Note.................... 7.75% 11/30/99 4,000 4,166,244
U.S. Treasury Note.................... 6.75% 4/30/00 6,200 6,267,803
U.S. Treasury Note.................... 7.75% 2/15/01 2,000 2,101,250
U.S. Treasury Note.................... 7.50% 11/15/01 6,800 7,099,615
U.S. Treasury Note.................... 7.25% 5/15/04 7,000 7,249,375
U.S. Treasury Note.................... 6.50% 8/15/05 9,000 8,867,799
------------
53,176,398
------------
TOTAL U.S. GOVERNMENT OBLIGATIONS
(COST $80,061,634)................... 79,380,011
------------
U.S. GOVERNMENT AGENCY OBLIGATIONS--
1.7%
Federal National Mortgage Association. 5.66% 8/25/08 1,169 1,058,963
Federal National Mortgage Association. 6.00% 12/25/21 1,250 1,151,049
------------
TOTAL U.S. GOVERNMENT AGENCY
OBLIGATIONS (COST $2,236,072)........ 2,210,012
------------
SHORT-TERM INVESTMENTS--3.1%
TIME DEPOSIT--3.1%
JJ Lummis (cost $4,058,002)........... 5.56% 7/1/96 4,058 4,058,002
------------
TOTAL INVESTMENTS--98.9%
(COST $131,054,745)(A)............... 129,610,913
Other assets in excess of liabilities--
1.1%................................. 1,410,035
------------
NET ASSETS--100.0%..................... $131,020,948
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $131,020,948.
(a) Represents cost for federal income tax purposes and differs from value by
net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation....................................... $ 1,124,945
Unrealized depreciation....................................... (2,568,777)
-----------
Net unrealized depreciation................................... $(1,443,832)
===========
</TABLE>
See Notes to Financial Statements.
49
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ------- -------- --------- -----------
<S> <C> <C> <C> <C>
CORPORATE OBLIGATIONS--4.2%
BRITISH POUNDS STERLING--1.1%
Barclays Bank.......................... 10.25% 12/10/97 $ 120 $ 195,429
-----------
FRENCH FRANCS--1.5%
Unilever NV............................ 9.88% 9/4/97 1,300 267,987
-----------
JAPANESE YEN--1.6%
Export-Import Bank of Japan............ 4.38% 10/1/03 300 296,760
-----------
TOTAL CORPORATE OBLIGATIONS
(COST $837,604)....................... 760,176
-----------
FOREIGN GOVERNMENT OBLIGATIONS--67.7%
AUSTRALIAN DOLLAR--2.2%
Australia Government................... 9.00% 9/15/04 500 397,627
-----------
BELGIUM FRANC--2.8%
Belgium Government, Series 19.......... 6.50% 3/31/05 16,000 506,256
-----------
BRITISH POUNDS STERLING--6.6%
United Kingdom Exchequer............... 12.25% 3/26/99 250 440,162
United Kingdom Gilt.................... 8.00% 9/27/13 500 762,576
-----------
1,202,738
-----------
CANADIAN DOLLAR--3.0%
Canadian Government.................... 9.75% 10/1/97 200 153,981
Canadian Government.................... 10.75% 3/15/98 500 394,949
-----------
548,930
-----------
DANISH KRONE--2.0%
Kingdom of Denmark..................... 9.00% 11/15/98 2,000 369,904
-----------
FINNISH MARKKA--1.8%
Republic of Finland.................... 6.00% 1/29/02 300 319,320
-----------
FRENCH FRANC--7.3%
France O.A.T........................... 8.50% 6/25/97 2,800 565,320
France O.A.T........................... 5.50% 4/25/04 1,100 202,239
France O.A.T........................... 6.50% 4/25/11 3,000 564,558
-----------
1,332,117
-----------
</TABLE>
See Notes to Financial Statements.
50
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ------- -------- --------- -----------
<S> <C> <C> <C> <C>
GERMAN DEUTSCHEMARK--10.5%
Austria Republic....................... 6.00% 4/1/98 $ 600 $ 405,613
Bundesrepublic......................... 9.00% 10/20/00 600 446,450
Bundesrepublic......................... 6.00% 1/5/06 1,000 630,888
Deutsche Bundespost.................... 7.50% 8/2/04 600 417,163
-----------
1,900,114
-----------
ITALIAN LIRA--9.1%
Italy Government....................... 8.50% 1/1/99 15,000 984,000
Italy Government....................... 9.50% 2/1/06 10,000 662,000
-----------
1,646,000
-----------
JAPANESE YEN--13.3%
Japan Development Bank................. 6.50% 9/20/01 350 381,500
Japan Government Bank, Series 175...... 4.50% 12/20/04 400 401,760
Government of Japan.................... 3.20% 3/20/06 1,800 1,642,428
-----------
2,425,688
-----------
NETHERLANDS GUILDER--3.8%
Netherlands Government................. 5.75% 1/15/04 1,200 686,125
-----------
SPANISH PESETA--2.9%
Spanish Government..................... 8.00% 5/30/04 700 519,750
-----------
SWEDEN KRONA--2.4%
Sweden Government...................... 8.00% 8/15/07 3,000 431,949
-----------
TOTAL FOREIGN GOVERNMENT OBLIGATIONS
(COST $12,090,131).................... 12,286,518
-----------
</TABLE>
See Notes to Financial Statements.
51
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Market
Maturity Amount Value
Description Rate Date (000) (Note 2(a))
----------- ------- -------- --------- -----------
<S> <C> <C> <C> <C>
SUPRANATIONAL OBLIGATIONS--10.1%
GERMAN DEUTSCHEMARKS--2.3%
European Investment Bank............. 7.50% 11/4/02 $ 600 $ 420,040
-----------
JAPANESE YEN--7.8%
Asian Development Bank............... 5.00% 2/5/03 400 409,360
Council of Europe.................... 6.88% 3/5/01 300 326,160
International Bank Reconstruction &
Development........................ 5.25% 3/20/02 300 311,640
Interamerican Development Bank....... 7.25% 5/15/00 350 378,910
-----------
1,426,070
-----------
TOTAL SUPRANATIONAL OBLIGATIONS
(COST $2,035,096)................... 1,846,110
-----------
SHORT-TERM INVESTMENTS--24.0%
U.S. TREASURY BILLS--24.0%
U.S. Treasury Bill................... 5.03%* 8/22/96 1,900 1,886,469
U.S. Treasury Bill................... 5.07%* 9/5/96 2,500 2,476,990
-----------
TOTAL SHORT-TERM INVESTMENTS
(COST $4,362,995)................... 4,363,459
-----------
TOTAL INVESTMENTS--106.0%
(COST $19,325,826)(A)............... 19,256,263
Liabilities in excess of other
assets--(6.0)%...................... (1,100,308)
-----------
TOTAL NET ASSETS--100.0%.............. $18,155,955
===========
</TABLE>
- -----------
Percentages indicated are based on net assets of $18,155,955.
* Yield at purchase.
(a) Represents cost for federal income tax purposes and differs from value by
net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation....................................... $ 423,220
Unrealized depreciation....................................... (492,783)
---------
Net unrealized depreciation................................... $ (69,563)
=========
</TABLE>
See Notes to Financial Statements.
52
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
MUNICIPAL BONDS--99.5%
ALABAMA--0.3%
Columbia Industrial Bonds,
Development Pollution
Control, Series C......... VMIG1/A-1 3.75% 10/1/22 $ 1,100 $ 1,100,000
------------
ALASKA--0.6%
Alaska Student Loan Corp.,
Student Loan Revenue,
State Assisted, Series A
(A.M.T.).................. A/A 5.50% 7/1/04 1,000 977,870
North Slope Boro Refunding,
Series G (FSA Insured).... Aaa/AAA 8.35% 6/30/98 1,500 1,615,995
------------
2,593,865
------------
ARIZONA--1.3%
Maricopa County University
School District No. 41,
Series C, Collateralized
by U.S. Government
Securities (Pre-refunded
at 100 on 7/1/04) (FGIC
Insured).................. Aaa/AAA 6.10% 7/1/14 2,000 2,143,040
Pima County Refunding,
Series A.................. Aa/A+ 5.00% 7/1/02 3,000 3,036,450
------------
5,179,490
------------
CALIFORNIA--9.3%
California Health Facilities
Financing Authority
Revenue Refunding,
Catholic Health Facilities
Insured, Series B (AMBAC
Insured).................. Aaa/AAA 4.50% 7/1/02 2,500 2,460,600
Central Valley Financing
Authority,
Califcogeneration Project
Revenue, Carson Ice
Generation Project........ NR/BBB- 5.40% 7/1/00 2,550 2,549,975
</TABLE>
See Notes to Financial Statements.
53
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
CALIFORNIA (CONTINUED)
Fresno Health Facilities
Revenue, Holy Cross Health
Systems Corp. (MBIA
Insured).................. A1/AA- 5.00% 12/1/02 $ 1,500 $ 1,517,190
Fresno Health Facilities
Revenue, Holy Cross Health
Systems Corp. (MBIA
Insured).................. A1/AA- 5.10% 12/1/03 1,570 1,588,306
Fresno Health Facilities
Revenue, Holy Cross Health
Systems Corp. (MBIA
Insured).................. A1/AA- 5.10% 12/1/03 635 642,404
Los Angeles Wastewater
Systems Revenue, Series A
(MBIA Insured)............ Aaa/AAA 8.50% 6/1/00 1,360 1,548,945
MSR Public Power Agency
California, San Juan
Project Revenue Refunding,
Series F (AMBAC Insured).. Aaa/AAA 5.55% 7/1/02 1,615 1,687,417
Northern California Power
Agency, Public Power
Refunding, Series B-1,
Collateralized by U.S.
Government Securities,
(Pre-refunded at 100 on
7/1/98)................... NR/AAA 8.00% 7/1/24 3,000 3,223,650
Orange County Recovery
Certificate Participation,
Series A.................. Aaa/AAA 5.70% 7/1/10 4,000 3,969,520
Sacramento Cogeneration
Authority Revenue, Procter
& Gamble Project.......... NR/BBB- 5.80% 7/1/01 1,300 1,306,148
Sacramento Cogeneration
Authority Revenue, Procter
& Gamble Project.......... NR/BBB- 5.60% 7/1/99 3,300 3,341,810
</TABLE>
See Notes to Financial Statements.
54
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
CALIFORNIA (CONTINUED)
Sacramento Cogeneration
Authority Revenue, Procter
& Gamble Project.......... NR/BBB- 5.90% 7/1/02 $ 1,000 $ 1,002,500
South Coast Air Quality
Management District
Building Corp., California
Revenue Institutional
Sale, Series B............ Aaa/AAA 7.12% 8/1/14 3,650 4,003,211
University of California
Revenue Refunding,
Multiple Purpose Projects
(MBIA Insured)............ Aaa/AAA 6.20% 9/1/01 6,675 7,166,146
------------
36,007,822
------------
COLORADO--7.0%
Adams County Single Family
Mortgage Revenue, Series
A, Collateralized by U.S.
Government Securities..... Aaa/AAA 8.88% 8/1/03 1,230 1,517,759
Denver City and County
Airport, Series A......... Aaa/AAA 8.50% 11/15/07 2,000 2,281,860
Denver City and County
Airport, Series A......... Baa/BBB 8.00% 11/15/25 1,360 1,528,817
Denver City and County
Airport, Series B
(A.M.T.).................. Baa/BBB 7.25% 11/15/05 2,000 2,170,920
Denver City and County
Airport, Series C......... Baa/BBB 6.55% 11/15/03 1,145 1,199,365
Denver City and County
Airport, Series D......... Baa/BBB 7.30% 11/15/00 2,900 3,133,856
Denver City & County Water
Refunding................. Aa/AA 7.00% 10/1/99 8,665 9,312,535
Denver Metropolitan Major
League Baseball Stadium,
Colorado Revenue
Refunding, Sales Tax,
Baseball Stadium Project
(FGIC Insured)............ Aaa/AAA 4.60% 10/1/05 2,000 1,910,440
</TABLE>
See Notes to Financial Statements.
55
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
COLORADO (CONTINUED)
Poudre Valley Hospital
District Revenue,
Collateralized by U.S.
Government Securities,
(Pre-refunded at 101 on
12/1/01) (AMBAC Insured).. Aaa/AAA 6.63% 12/1/01 $ 3,750 $ 4,110,750
------------
27,166,302
------------
DISTRICT OF COLUMBIA--3.5%
District of Columbia, Series
A, Collateralized by U.S.
Government Securities,
(Pre-refunded at 102 on
6/1/00)................... Aaa/AAA 7.25% 6/1/05 1,125 1,245,645
District of Columbia
Hospital Revenue,
Washington Hospital Center
Corp. Issue, Series A,
Collateralized by U.S.
Government Securities,
(Pre-refunded at 102 on
1/1/01)................... NR/BBB 8.75% 1/1/01 2,750 3,222,120
District of Columbia
Refunding, Series A-1
(MBIA Insured)............ Aaa/AAA 4.65% 6/1/02 1,500 1,469,850
District of Columbia
Refunding, Series A-1
(MBIA Insured)............ Aaa/AAA 4.75% 6/1/03 2,960 2,854,920
District of Columbia
Refunding, Series B-1
(AMBAC Insured)........... Aaa/AAA 5.10% 6/1/03 3,000 2,976,090
District of Columbia
Refunding, Series B-3
(MBIA Insured)............ Aaa/AAA 5.20% 6/1/04 2,000 1,983,020
------------
13,751,645
------------
</TABLE>
See Notes to Financial Statements.
56
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
FLORIDA--5.3%
Dade County Water & Sewer
Systems, Water Utility
Improvements.............. Aaa/AAA 5.50% 10/1/25 $10,500 $ 10,008,180
Florida State Board of
Education Capital Outlay
Refunding, Series A,
Collateralized by U.S.
Government Securities,
(Pre-refunded at 102 on
6/1/00)................... Aaa/AAA 7.25% 6/1/23 4,620 5,127,738
Lakeland Water & Electric
Revenue, Series A......... Aaa/AAA 6.00% 10/1/10 5,170 5,462,002
------------
20,597,920
------------
GEORGIA--5.8%
Georgia State, G.O. ........ Aaa/AA+ 7.25% 9/1/04 9,440 10,892,533
Georgia State, G.O. ........ Aaa/AA+ 7.25% 9/1/05 10,130 11,769,642
------------
22,662,175
------------
HAWAII--3.2%
Hawaii State Department of
Budget & Finance Special
Purpose Mortgage Revenue,
Kapiolani Healthcare
System.................... A/A 5.60% 7/1/02 2,065 2,089,099
Hawaii State Refunding,
Series C.................. Aa/AA 4.25% 7/1/99 7,500 7,446,750
Hawaii State, School
Improvements Series BZ.... Aa/AA 5.90% 10/1/06 2,600 2,741,986
------------
12,277,835
------------
ILLINOIS--11.5%
Chicago Metropolitan Water
Reclamation District...... Aa/AA 5.00% 12/1/02 4,500 4,555,305
</TABLE>
See Notes to Financial Statements.
57
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
ILLINOIS (CONTINUED)
Chicago Public Community
Building Revenue, Series A
(MBIA Insured)............ Aaa/AAA 4.90% 12/1/01 $ 3,000 $ 3,014,790
Chicago, O'Hare
International Airport,
American Airlines
Improvements.............. P1/NR 3.70% 12/1/17 6,700 6,700,000
Chicago Wastewater
Transmission, Sewer
Improvements, Refunding
Bonds..................... Aaa/AAA 5.00% 1/1/15 11,645 10,468,040
Illinois Health Facilities
Authority Revenue
Refunding, Illinois
Masonic Medical Center.... A/A- 5.10% 10/1/02 1,180 1,163,645
Illinois Health Facilities
Authority Revenue
Refunding, Illinois
Masonic Medical Center.... A/A- 5.00% 10/1/01 1,120 1,108,710
Metropolitan Pier &
Exposition Authority,
Illinois Dedicated State
Tax Revenue............... A/A+ 6.40% 6/1/03 10,495 11,206,456
Metropolitan Pier &
Exposition Authority,
Illinois Dedicated State
Tax Revenue............... A/A+ 6.50% 6/1/05 2,960 3,183,687
Regional Transportation
Authority, Series A (AMBAC
Insured).................. Aaa/AAA 8.00% 6/1/03 2,785 3,252,852
------------
44,653,485
------------
INDIANA--2.3%
Indiana State Office
Community Building Capital
Complex Revenue Refunding,
State Office Building II
Facilities, Series D...... A1/A+ 6.50% 7/1/99 3,000 3,137,010
</TABLE>
See Notes to Financial Statements.
58
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
INDIANA (CONTINUED)
Indianapolis Economic
Development Water
Facilities Revenue
Refunding, Indianapolis
Water Co. Project........ A1/A+ 5.20% 5/1/01 $ 5,810 $ 5,861,535
------------
8,998,545
------------
IOWA--0.8%
Iowa Student Loan Liquidity
Corp. Student Loan
Revenue, Series A........ Aa1/NR 6.00% 3/1/98 3,000 3,078,420
------------
MARYLAND--2.7%
Montgomery County,
Construction Public
Improvements, Series A... Aaa/AAA 5.13% 4/1/08 5,500 5,427,950
Montgomery County,
Construction Public
Improvements, Series A... Aaa/AAA 5.25% 4/1/09 5,000 4,942,400
------------
10,370,350
------------
MASSACHUSETTS--5.2%
Massachusetts Bay
Transportation Authority,
General Transportation
Systems, Series A,
Collateralized by U.S.
Government Securities
(Pre-refunded at 102 on
3/1/01).................. Aaa/A+ 7.00% 3/1/22 3,500 3,895,850
Massachusetts State, G.O.,
Public Improvements,
Series D................. Aaa/AAA 5.13% 11/1/08 9,205 8,975,151
</TABLE>
See Notes to Financial Statements.
59
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
MASSACHUSETTS (CONTINUED)
Massachusetts State G.O.,
Series B.................. A/A+ 9.25% 7/1/00 $ 2,000 $ 2,327,920
Massachusetts State
Refunding, Series A....... A1/A+ 6.25% 7/1/02 4,500 4,821,345
------------
20,020,266
------------
MINNESOTA--3.9%
Minnesota State, G.O.,
School Improvements &
Public Improvements....... Aaa/AA+ 5.50% 5/1/04 2,000 2,073,920
Minnesota State Housing
Financial Agency, Series
L......................... Aa/AA+ 6.25% 7/1/27 12,910 12,919,683
------------
14,993,603
------------
NEVADA--3.3%
Clark County G.O............ A1/A+ 7.00% 9/1/00 6,705 7,289,475
Las Vegas Refunding G.O. ... A1/A 6.40% 10/1/03 2,250 2,440,170
Nevada State Municipal Bond
Bank Project No. R-5,
Series A.................. Aa/AA 6.00% 5/1/02 1,000 1,058,060
Nevada State Municipal Bond
Bank Project No. R-5,
Series A.................. Aa/AA 4.50% 11/1/02 1,020 998,203
Nevada State Refunding,
Series C, G.O. ........... Aa/AA 5.90% 4/1/01 1,000 1,049,030
------------
12,834,938
------------
NEW YORK--6.0%
New York City, G.O., Public
Improvements, Series B.... VMIG1/A-1+ 3.75% 10/1/20 300 300,000
New York City, G.O.,
Series F.................. Aaa/AAA 3.00% 11/15/00 3,000 2,815,380
</TABLE>
See Notes to Financial Statements.
60
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
NEW YORK (CONTINUED)
New York City Municipal
Water Financing Authority
Water & Sewer Systems
Revenue, Series C,
Collateralized by U.S.
Government Securities,
(Pre-refunded at 101.5 on
6/15/01) (FGIC Insured)... Aaa/AAA 7.00% 6/15/16 $ 3,805 $ 4,232,796
New York City Municipal
Water Financial Authority,
Water & Sewer System
Refunding Bonds, Series C. VMIG1/A-1+ 3.75% 6/15/25 500 500,000
New York City Municipal
Water Financial Authority,
Water & Sewer System,
Series C.................. VMIG1/A-1+ 3.60% 6/15/23 500 500,000
New York State Energy
Residential Housing &
Development Authority
Pollution Control, Mohawk
Power, Series A........... NR/A-1+ 3.70% 7/1/15 100 100,000
New York State Energy
Residential Housing &
Development Authority
Pollution Control,
Refunding Bonds........... VMIG1/A-1+ 3.50% 10/1/29 500 500,000
New York State Local
Assistance Corp., Series
C, Collateralized by U.S.
Government Securities,
(Pre-refunded at 102 on
4/1/2001)................. AAA/AAA 7.50% 4/1/20 4,255 4,838,233
</TABLE>
See Notes to Financial Statements.
61
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
NEW YORK (CONTINUED)
New York State Throughway
Authority, Highway &
Bridge Traffic Fund,
General Purpose, Series Y. Aa/A+ 5.90% 1/1/08 $ 9,000 $ 9,407,880
------------
23,194,289
------------
NORTH CAROLINA--0.7%
North Carolina Municipal
Power Agency No. 1,
Catawba Electric Revenue,
(MBIA Insured)............ Aaa/AAA 7.25% 1/1/07 2,500 2,862,875
------------
PENNSYLVANIA--10.5%
Geisinger Authority Health
Systems, Series A......... Aa/AA 5.50% 7/1/03 2,895 2,967,636
Pennsylvania
Intergovernmental
Cooperative Authority,
Special Tax Revenue, City
of Philadelphia Funding
Program, Collateralized by
U.S. Government Securities
(Pre-refunded at 100 on
6/15/02).................. Aaa/AAA 6.80% 6/15/02 9,375 10,334,719
Pennsylvania
Intergovernmental
Cooperative Authority,
Special Tax Revenue, City
of Philadelphia Funding
Program (FGIC Insured).... Aaa/AAA 6.00% 6/15/00 7,000 7,334,460
Philadelphia Gas Works
Revenue, Fourteenth
Series.................... Aaa/AAA 7.00% 7/1/02 12,090 13,367,792
Philadelphia Gas Works
Revenue, Fifteenth Series
(FSA Insured)............. Aaa/AAA 4.90% 8/1/02 1,350 1,347,124
</TABLE>
See Notes to Financial Statements.
62
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
PENNSYLVANIA (CONTINUED)
Pittsburgh Water & Sewer
Authority, Water & Sewer
System Revenue, Series A.. Aaa/AAA 6.50% 9/1/14 $ 5,000 $ 5,481,350
------------
40,833,081
------------
SOUTH CAROLINA--1.3%
South Carolina State Public
SVC Authority Revenue,
Series A.................. A1/A+ 5.00% 7/1/01 5,000 5,035,200
------------
TENNESSEE--2.6%
Chattanooga-Hamilton County,
Hospital Authority
Hospital Revenue, Enlanger
Medical Center............ Aaa/AAA 5.63% 10/1/09 5,000 5,050,750
Tennessee State, Refunding
Bonds, Series B........... Aaa/AA+ 5.50% 5/1/04 5,000 5,211,200
------------
10,261,950
------------
TEXAS--2.4%
Dallas Independent School
District, Collateralized
by U.S. Government
Securities................ Aa/AAA 8.70% 8/1/00 1,000 1,147,450
Humble Independent School
District Refunding (PSFG
Insured).................. Aaa/AAA 6.00% 2/15/04 2,035 2,149,102
Texas State Public Financing
Authority, Series A....... Aa/AA 8.00% 10/1/99 1,000 1,104,390
Texas State Public Financing
Authority, Series B....... Aa/AA 5.63% 10/1/11 5,000 5,030,500
------------
9,431,442
------------
VIRGINIA--1.7%
Fairfax County Refunding,
Series A.................. Aaa/AAA 4.80% 6/1/02 5,250 5,275,358
</TABLE>
See Notes to Financial Statements.
63
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
VIRGINIA (CONTINUED)
Virginia Beach Public
Improvement, Series A..... Aa/AA 6.85% 5/1/99 $ 1,100 $ 1,165,846
------------
6,441,204
------------
WASHINGTON--1.1%
King County G.O., Series A.. Aa1/AA+ 9.00% 12/1/99 1,200 1,366,092
Snohomish County Public
Utilities District No.
001, Electric Revenue
Generation System,
Series B (A.M.T.)......... A1/A+ 5.15% 1/1/03 1,280 1,265,946
Washington State Public
Power Supply Systems,
Nuclear Project No. 1
Revenue, Series A,
Collateralized by U.S.
Government Securities Pre-
refunded at 102 on 7/1/99)
(MBIA Insured)............ Aaa/AAA 7.50% 7/1/15 1,420 1,563,661
------------
4,195,699
------------
WEST VIRGINIA--1.6%
Pleasants County Pollution
Control Revenue Refunding,
Monogahela Power Co.,
Series B.................. A1/NR 6.88% 4/1/98 6,105 6,385,891
------------
WISCONSIN--5.6%
Wisconsin State Clean Water
Refunding Bonds, Series 2. Aa/AA 6.00% 6/1/07 2,500 2,648,926
Wisconsin State G.O.,
Series B.................. Aa/AA 7.00% 5/1/01 3,950 4,334,533
Wisconsin State G.O.,
Series B.................. Aa/AA 7.00% 5/1/02 4,155 4,612,175
</TABLE>
See Notes to Financial Statements.
64
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Market
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- --------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
WISCONSIN (CONTINUED)
Wisconsin State G.O.,
Series B.................. Aa/AA 7.00% 5/1/03 $ 4,625 $ 5,181,988
Wisconsin State Refunding,
Series 3.................. Aa/AA 4.25% 11/1/99 4,895 4,862,397
------------
21,640,019
------------
TOTAL INVESTMENTS--99.5%
(COST $380,216,692)(A)..... 386,568,311
Other assets in excess of
liabilities--0.5%.......... 2,049,893
------------
NET ASSETS--100.0%........... $388,618,204
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $388,618,204.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from the value by net unrealized appreciation of securities as
follows:
<TABLE>
<S> <C>
Unrealized appreciation........................ $ 7,381,065
Unrealized depreciation........................ (1,029,446)
-----------
Net unrealized appreciation.................... $ 6,351,619
===========
</TABLE>
AMBAC--AMBAC Indemnity Corporation.
A.M.T.--Subject to Alternative Minimum Tax.
FGIC--Financial Guaranty Insurance Company.
FSA--Financial Security Assurance.
G.O.--General Obligation.
MBIA--Municipal Bond Insurance Association.
NR--No rating available.
PSFG--Permanent School Fund Guaranty.
See Notes to Financial Statements.
65
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
MUNICIPAL BONDS--99.6%
ALASKA--0.3%
Alaska Student Loan Corp.,
Student Loan Revenue
State Assisted, Series A
(AMBAC Insured), (A.M.T.)... Aaa/AAA 6.13% 7/1/05 $ 800 $ 823,640
------------
ARIZONA--1.1%
Maricopa County School
District No. 028, Kyrene
Elementary, Series B (FGIC
Insured).................... Aaa/AAA 6.00% 7/1/14 2,500 2,542,050
------------
CALIFORNIA--12.8%
Cupertino Certificates of
Participation, Open Space
Acquisition Project,
Collateralized by U.S.
Government Securities (Pre-
refunded at 102 on 4/1/01).. NR/NR 7.13% 4/1/16 2,675 2,989,527
Fresno Health Facilities
Revenue, Holy Cross Health
System Corp. (MBIA Insured). A1/AA 5.25% 12/1/05 1,850 1,866,354
Los Angeles Wastewater Systems
Revenue, Series D,
Collateralized by U.S.
Government Securities (Pre-
refunded at 102 on 12/1/00)
(MBIA Insured).............. Aaa/AAA 6.70% 12/1/00 10,000 11,014,300
Northern California Power
Agency, Public Power Revenue
Refunding, Geothermal
Project No. 3, Series A..... Aaa/AAA 5.60% 7/1/06 3,500 3,618,370
Northern California Power
Agency, Public Power Revenue
Refunding, Geothermal
Project No. 3, Series A..... Aaa/AAA 5.65% 7/1/07 4,800 4,965,888
</TABLE>
See Notes to Financial Statements.
66
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
CALIFORNIA (CONTINUED)
Orange County California
Recovery Certificate
Participation, Series A..... Aaa/AAA 5.80% 7/1/16 $ 2,500 $ 2,463,650
Sacramento Cogeneration
Authority Revenue, Procter &
Gamble Project.............. NR/BBB- 7.00% 7/1/05 1,500 1,618,365
Sacramento Cogeneration
Authority Revenue, Procter &
Gamble Project.............. NR/BBB- 6.20% 7/1/06 2,500 2,496,300
------------
31,032,754
------------
COLORADO--8.5%
Denver City and County Airport
Revenue, Series A (A.M.T.).. NR/NR 8.50% 11/15/23 2,500 2,857,600
Denver City and County Airport
Revenue, Series A (A.M.T.).. Baa/BB 8.00% 11/15/25 2,295 2,567,371
Denver City and County Airport
Revenue, Series B (A.M.T.).. NR/NR 7.25% 11/15/05 3,000 3,256,380
Denver City and County Airport
Revenue, Series C (A.M.T.).. Baa/BB 6.50% 11/15/06 2,000 2,059,640
Denver City and County Airport
Revenue, Series D (A.M.T.).. Baa/BB 7.75% 11/15/13 6,925 8,158,896
Denver Metropolitan Major
League Baseball Stadium
District Revenue Refunding,
Sales Tax, Baseball Stadium
Project (FGIC Insured)...... Aaa/AAA 4.50% 10/1/04 1,600 1,534,272
------------
20,434,159
------------
FLORIDA--5.2%
Broward County Educational
Facilities Authority
Revenue, Nova Southeastern
University Project (Connie
Lee Insured)................ NR/AAA 5.70% 4/1/05 1,440 1,473,739
Florida State Board, Education
Capacity Outlay, General
Obligation, Series E........ Aa/AA 4.75% 6/1/22 8,000 6,734,400
</TABLE>
See Notes to Financial Statements.
67
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
FLORIDA (CONTINUED)
Lakeland Florida Electric &
Water Revenue, Series B..... Aaa/AAA 6.00% 10/1/11 $ 4,000 $ 4,219,160
------------
12,427,299
------------
GEORGIA--12.4%
Fulton County School District,
General Obligation.......... Aa/AA 6.38% 5/1/10 5,000 5,467,950
Georgia State General
Obligation.................. Aaa/AA+ 7.10% 9/1/09 8,500 9,894,425
Georgia State General
Obligation.................. Aaa/AA+ 6.75% 9/1/11 10,000 11,346,200
Georgia State General
Obligation, Series F........ Aaa/AA+ 6.50% 12/1/05 3,060 3,405,137
------------
30,113,712
------------
ILLINOIS--9.2%
Chicago Airport Revenue
Refunding, 2nd Lien, O'Hare
International Airport,
Series C (MBIA Insured)..... Aaa/AAA 5.75% 1/1/09 2,490 2,517,664
City of Chicago, General
Obligation, Series B........ Aaa/AAA 6.00% 1/1/02 3,310 3,477,387
Cook County Community College,
District No. 508 Lease,
Series C (MBIA Insured)..... Aaa/NR 7.70% 12/1/04 5,000 5,890,450
Illinois Health Facilities
Authority Revenue Refunding
(SPA--Bankers Trust Co.)
(FGIC Insured).............. Aaa/AAA 6.00% 8/15/05 1,000 1,053,040
Illinois State Sales Tax
Revenue Refunding, Series Q. A1/AAA 5.75% 6/15/06 5,000 5,197,850
</TABLE>
See Notes to Financial Statements.
68
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
ILLINOIS (CONTINUED)
Winnebago & Boone Counties
School District No. 205
(CGIC Insured).............. Aaa/AAA 7.35% 2/1/04 $ 3,600 $ 4,122,648
------------
22,259,039
------------
INDIANA--0.9%
Indiana University Revenue,
Series K.................... Aa/AA- 6.50% 8/1/05 1,935 2,124,843
------------
MASSACHUSETTS--14.9%
Massachusetts State Refunding,
Series A.................... A1/A+ 6.25% 7/1/02 12,000 12,856,920
Massachusetts State Water
Resource, Authority,
Series B.................... Aaa/AAA 5.00% 12/1/16 6,980 6,312,503
Massachusetts State Water
Resource, Authority,
Series B.................... Aaa/AAA 5.00% 12/1/25 10,000 8,806,500
New England Educational Loan
Marketing Corp.,
Massachusetts Student Loan
Revenue Refunding, Series G. A1/A- 5.20% 8/1/02 8,000 7,857,280
------------
35,833,203
------------
MISSOURI--3.5%
Missouri State Health &
Education Christian Health,
Series A.................... Aaa/AAA 6.80% 2/15/06 2,150 2,369,021
Missouri State Health &
Education Christian Health,
Series A.................... Aaa/AAA 6.88% 2/15/21 2,000 2,209,920
Sikeston Electric Revenue
Refunding (MBIA Insured).... Aaa/AAA 6.00% 6/1/05 3,710 3,956,418
------------
8,535,359
------------
</TABLE>
See Notes to Financial Statements.
69
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
NEVADA--1.9%
Clark County Industrial
Development Revenue
Refunding, Nevada Power Co.
Project, Series C (AMBAC
Insured).................... Aaa/AAA 7.20% 10/1/22 $ 4,115 $ 4,561,272
------------
NEW YORK--7.6%
Municipal Assistance Corp.
City of New York, Revenue
Bond........................ Aa/A+ 6.00% 7/1/06 5,000 5,311,050
New York City General
Obligation, Series B........ Aaa/AAA 3.75% 10/1/20 800 800,000
New York City General
Obligation, Sub Series B-4.. Aaa/AAA 3.60% 8/15/23 2,600 2,600,000
New York City Municipal Water
Financing Authority, Water &
Sewer Revenue............... Aaa/AAA 3.60% 6/15/23 500 500,000
New York State Energy Research
& Development Authority
Pollution Control Revenue... NR/AA 3.70% 7/1/15 600 600,000
New York State Revenue Bonds,
Series E (LC Assistance
Corp.)...................... A/A 5.00% 4/1/21 9,500 8,466,970
------------
18,278,020
------------
NORTH CAROLINA--3.9%
North Carolina Housing
Financing Agency, Series BB. Aa/AA 6.50% 9/1/26 4,335 4,397,771
North Carolina Housing
Financing Agency, Series FF. Aa/AA 6.25% 3/1/28 5,000 4,972,100
------------
9,369,871
------------
OHIO--0.2%
Columbus School District,
144A*....................... NR/NR 9.39% 5/1/97 456 464,835
------------
</TABLE>
See Notes to Financial Statements.
70
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
OKLAHOMA--1.5%
Oklahoma State Industrial
Authority Revenue Refunding,
Health Facilities, Sisters
of Mercy, Series A.......... Aa/AA 5.20% 6/1/05 $ 3,600 $ 3,549,384
------------
RHODE ISLAND--2.1%
Rhode Island Depositors
Economic Protection Corp.,
Series A (FSA and
MBIA insured)............... Aaa/AAA 6.30% 8/1/05 4,640 5,014,494
------------
TENNESSEE--5.0%
Knox County Health,
Educational & Housing
Facilities Board, Hospital
Facilities Revenue
Refunding, Fort Sanders
Alliance (MBIA insured)..... Aaa/AAA 7.25% 1/1/08 8,900 10,345,805
Knox County Health,
Educational & Housing
Facilities Board, Hospital
Facilities Revenue
Refunding, Fort Sanders
Alliance (MBIA insured)..... Aaa/AAA 7.25% 1/1/09 1,360 1,580,986
------------
11,926,791
------------
TEXAS--6.3%
Gulf Coast Waste Disposal
Authority................... Aaa/AAA 3.55% 6/1/20 1,500 1,500,000
Texas State College Student
Loan (A.M.T.)............... Aa/AA 6.50% 8/1/07 4,000 4,228,760
Texas State Public Finance
Authority, Series A......... Aa/AA 8.00% 10/1/99 3,930 4,340,253
Texas State Public Finance
Authority, Series B......... Aa/AA 5.63% 10/1/12 5,000 5,011,100
------------
15,080,113
------------
</TABLE>
See Notes to Financial Statements.
71
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal
Moody's/ Maturity Amount Value
Description S&P Rate Date (000) (Note 2(a))
----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
WASHINGTON--1.9%
Washington State Public Power
Supply System Nuclear
Project No. 2 Revenue,
Series C................... NR/AAA 7.63% 7/1/10 $ 4,000 $ 4,523,920
------------
WYOMING--0.4%
Wyoming Community Development
Authority, Single Family,
Series D (FHA/VA Mortgage
Insured)................... Aa/AA 7.60% 6/1/17 800 844,303
------------
TOTAL INVESTMENTS--99.6%
(COST $235,849,139)(A)...... 239,739,061
Other assets in excess of
liabilities--0.4%........... 932,214
------------
NET ASSETS--100.0%............ $240,671,275
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $240,671,275.
* Securities 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.
(a) Represents cost for federal income tax purposes and differs from the value
by net unrealized appreciation of the securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........................... $4,325,972
Unrealized depreciation........................... (436,050)
----------
Net unrealized appreciation....................... $3,889,922
==========
</TABLE>
AMBAC--AMBAC Indemnity Corporation.
A.M.T.--Subject to Alternative Minimum Tax.
CGIC--Capital Guaranty Insurance Corporation.
FGIC--Financial Guaranty Insurance Company.
FHA/VA--Federal Housing Association/Veterans Administration.
FSA--Financial Security Assurance.
LC--Letter of Credit.
MBIA--Municipal Bond Insurance Association
NR--No rating available.
SPA--Standby Purchase Agreement.
See Notes to Financial Statements.
72
<PAGE>
PRAIRIE FUNDS
U.S. GOVERNMENT MONEY MARKET FUND
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Principal Amortized
Maturity Amount Cost
Description Rate Date (000) (Note 2(a))
----------- ----- -------- --------- -----------
<S> <C> <C> <C> <C>
U.S. GOVERNMENT OBLIGATIONS--94.0%
Federal Home Loan Bank................... 5.33% 2/3/97 $ 3,000 $ 2,903,616
-----------
Federal Home Loan Bank Discount Note..... 5.25% 9/16/96 5,000 4,942,892
4.75% 2/24/97 10,000 9,936,104
-----------
14,878,996
-----------
Federal Home Loan Mortgage Corp.......... 0.00% 7/23/96 27,970 27,879,943
5.24% 7/29/96 4,125 4,108,188
6.06% 7/31/96 5,000 4,977,958
5.27% 8/19/96 5,000 4,964,135
-----------
41,930,224
-----------
Federal National Mortgage Assoc.......... 0.00% 7/18/96 10,000 9,975,114
5.25% 9/13/96 5,000 4,945,528
5.17% 12/6/96 5,000 4,881,280
5.14% 12/31/96 6,540 6,360,477
-----------
26,162,399
-----------
TOTAL U.S. GOVERNMENT OBLIGATIONS
(AMORTIZED COST $85,875,235)............ 85,875,235
-----------
REPURCHASE AGREEMENTS--6.3%
Repurchase agreement with Daiwa
Securities, dated 6/28/96, with a
maturity value of $5,002,292 (see
Footnote )............................ 5.50% 7/1/96 5,000 5,000,000
Repurchase agreement with Lehman
Brothers, dated 6/28/96, with a
maturity value of $746,336 (see
Footnote B)........................... 5.40% 7/1/96 746 746,000
-----------
TOTAL REPURCHASE AGREEMENTS--6.3%
(AMORTIZED COST $5,746,000)............. 5,746,000
-----------
TOTAL INVESTMENTS--100.3%
(AMORTIZED COST $91,621,235)(A)......... 91,621,235
Liabilities in excess of other assets--
(0.3%).................................. (231,046)
-----------
NET ASSETS--100.0%........................ $91,390,189
===========
</TABLE>
- -----------
Percentages indicated are based on net assets of $91,390,189.
(a) Cost for federal income tax and financial reporting purposes are the same.
Footnote A: Collateralized by $4,970,000 U.S. Treasury Notes, 6.38%, due
1/15/00 with a value of $5,114,398.
Footnote B: Collateralized by $730,000 U.S. Treasury Notes, 7.25%, due 2/15/98
with a value of $762,030.
See Notes to Financial Statements.
73
<PAGE>
PRAIRIE FUNDS
MONEY MARKET FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
- ----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
BANK NOTES--0.3%
KeyBank, N.A (cost
$1,008,895)................. A1/NR 7.13% 4/15/97 $ 1,000 $ 1,008,895
------------
COMMERCIAL PAPER--71.0%
DOMESTIC--56.1%
Abbey National NA............. P-1/A-1+ 5.40% 12/4/96 5,000 4,883,000
Barton Capital Corp........... P-1/A-1+ 5.45% 7/22/96 14,921 14,873,564
Bayer Corp.................... P-1/A-1 5.28% 8/26/96 6,000 5,950,720
BBV Finance Delaware, Inc..... P-1/A-1+ 5.29% 8/7/96 10,000 9,945,630
Enterprise Capital Fund....... P-1/A-1+ 5.34% 7/8/96 7,000 6,992,732
General Electric.............. P-1/A-1+ 5.41% 9/4/96 10,000 9,902,319
Hewlett Packard............... P-1/A-1+ 5.16% 7/12/96 7,500 7,488,175
Household Bank................ P-1/A-1 5.40% 7/30/96 10,000 10,000,000
Huntington National Bank...... P-1/A-1 5.37% 8/6/96 10,000 10,000,000
Pearson, Inc.................. P-1/A-1 5.37% 7/8/96 10,990 10,978,525
Pooled Accounts Receivable
Capital Corp................ P-1/A-1+ 5.45% 7/19/96 15,000 14,959,125
Progress Capital Holdings..... P-1/A-1 5.35% 7/3/96 10,000 9,997,028
Southern California Gas....... P-1/A-1+ 5.30% 8/8/96 7,407 7,365,562
South Carolina Electric & Gas. P-1/A-1 5.40% 7/12/96 6,000 5,990,100
Travelers Insurance........... P-1/A-1 5.34% 7/15/96 10,000 9,979,233
Twin Towers, Inc.............. P-1/A-1+ 5.29% 8/16/96 9,755 9,689,062
UBS Finance (DE), Inc......... P-1/A-1+ 5.58% 7/1/96 15,000 15,000,000
U.S. Borax, Inc............... NR/A-1+ 5.28% 7/25/96 7,000 6,975,360
U.S. Life..................... P-1/A-1 5.42% 7/1/96 13,427 13,427,000
Wood Street Funding Corp...... P-1/A-1 5.50% 7/3/96 7,467 7,464,718
Wood Street Funding Corp...... P-1/A-1 5.35% 7/23/96 10,000 9,967,306
------------
201,829,159
------------
FOREIGN--14.9%
Banco Nacional de Mexico...... NR/NR 5.70% 7/1/96 10,000 10,000,000
Bayerische Vereinsbank........ P-1/A-1+ 5.55% 7/1/96 10,000 10,000,000
Commonwealth of Australia..... NR/NR 5.30% 7/17/96 7,000 6,983,511
Dresdner Bank................. P-1/A-1+ 5.40% 7/5/96 15,000 14,991,000
Kingdom of Sweden............. P-1/A-1+ 5.38% 2/14/97 7,000 6,761,487
Royal Bank of Canada.......... NR/A-1 5.32% 1/17/97 5,000 4,852,222
------------
53,588,220
------------
TOTAL COMMERCIAL PAPER
(COST $255,417,379).......... 255,417,379
------------
</TABLE>
See Notes to Financial Statements.
74
<PAGE>
PRAIRIE FUNDS
MONEY MARKET FUND
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
- ----------- -------- ------ -------- --------- ------------
<S> <C> <C> <C> <C> <C>
CORPORATE NOTE--0.3%
Associates Corp. of North
America (cost $1,029,474).. AA3/AA- 9.70% 5/1/97 $ 1,000 $ 1,029,474
------------
TOTAL INVESTMENT IN SECURITIES
(COST $257,455,748)......... 257,455,748
------------
REPURCHASE AGREEMENTS--29.1%
Repurchase agreement with
Daiwa Securities, dated
6/28/96, with a maturity
value of $100,045,833
(see Footnote A)........... NR/NR 5.50% 7/1/96 100,000 100,000,000
Repurchase agreement with
Lehman Brothers, dated
6/28/96, with a maturity
value of $4,713,120
(see Footnote B)........... NR/NR 5.40% 7/1/96 4,711 4,711,000
------------
TOTAL REPURCHASE AGREEMENTS
(COST $104,711,000)......... 104,711,000
------------
TOTAL INVESTMENTS--100.7%
(COST $362,166,748)(A)...... 362,166,748
Liabilities in excess of other
assets--(0.7%).............. (2,451,391)
------------
NET ASSETS--100.0%............ $359,715,357
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $359,715,357.
(a) Cost for federal income tax and financial reporting purposes are the same.
NR--No rating available.
Footnote A: Collateralized by $98,900,000 U.S. Treasury Notes, 6.25%, due
8/31/96; with a value of $101,054,703.
Footnote B: Collateralized by $4,470,000 U.S. Treasury Notes, 7.75%, due
1/31/00; with a value of $4,807,368.
See Notes to Financial Statements.
75
<PAGE>
PRAIRIE FUNDS
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------- -------- --------- ------------
<S> <C> <C> <C> <C> <C>
MUNICIPAL SECURITIES--100%
ALABAMA--2.3%
Phoenix City............... P-1/NR 3.55% 8/13/96 $ 6,000 $ 6,000,000
------------
ALASKA--2.7%
Valdez, Marine Terminal
Revenue.................. VMIG1/NR 3.65% 10/9/96 7,000 7,000,000
------------
ARIZONA--0.9%
Cochise County, Solid Waste
Arizona Electric Power
Corp, Inc. Project....... NR/A-1+ 3.30%* 9/3/96 2,400 2,399,794
------------
COLORADO--1.9%
Colorado Student Obligation
Bond Authority, VRDN,
Student Loan Revenue,
Series 1990A, (A.M.T.)
(LC Student Loan
Marketing Association)... VMIG1/NR 3.40%* 9/4/96 5,000 5,000,000
------------
DISTRICT OF COLUMBIA--2.9%
American University,
Revenue Bonds,
Series A, (A.M.T.)....... VMIG1/NR 3.15%* 7/15/96 7,665 7,665,000
------------
FLORIDA--14.8%
Dade County, Solid Waste
Industrial Development,
Series A, (A.M.T.)....... NR/A-1+ 3.80%* 7/1/96 9,000 9,000,000
Florida Municipal Power.... P-1/A-1 3.50% 9/10/96 7,500 7,500,000
Florida State Board of
Education................ NR/NR 7.75%* 8/27/96 4,250 4,487,816
Orange County, Housing
Financial Authority,
Series B................. NR/A-1+ 3.65%* 8/26/96 5,000 5,000,000
St. Lucie County........... VMIG1/A-1+ 3.45% 7/17/96 5,000 5,000,000
Sunshine State Government
Financing Commission..... NR/A-1+ 3.40% 7/16/96 8,000 8,000,000
------------
38,987,816
------------
</TABLE>
See Notes to Financial Statements.
76
<PAGE>
PRAIRIE FUNDS
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------- -------- --------- ------------
<S> <C> <C> <C> <C> <C>
GEORGIA--3.8%
Burke County............... P-1/A-1+ 3.55% 10/23/96 $ 5,000 $ 5,000,000
Georgia Municipal Gas...... NR/A-1+ 3.60% 10/17/96 5,000 5,000,000
------------
10,000,000
------------
INDIANA--3.4%
Town of Burns Harbor, (J&E
Steel Corp.)............. NR/NR 3.55% 7/1/96 9,000 9,000,000
------------
KENTUCKY--3.4%
Henderson County, Solid
Waste Disposal Revenue,
VRDN, Hudson Foods, Inc.
Project, (A.M.T.)........ VMIG1/NR 3.55% 7/2/96 9,000 9,000,000
------------
LOUISIANA--8.3%
Environmental Revenue
Bonds, (Citgo Corp.),
Series 94A............... VMIG1/NR 3.80% 7/1/96 2,100 2,100,000
Lake Charles Harbor........ NR/A-1+ 3.45% 7/5/96 5,500 5,500,000
Louisiana State............ VMIG1/A-1+ 3.25% 7/8/96 7,500 7,500,000
Parish of Plaquemines,
Environmental Revenue
Bonds (BP Exploration &
Oil), Series 1994........ P-1/A-1+ 3.80% 7/1/96 2,600 2,600,000
Parish of St. Charles
(Shell Oil Norco
Project), Series 91...... VMIG1/A-1+ 3.80% 7/1/96 4,200 4,200,000
------------
21,900,000
------------
MASSACHUSETTS--3.1%
Massachusetts Health &
Education................ VMIG1/A-1+ 3.50% 9/9/96 8,200 8,200,000
------------
MISSOURI--1.1%
Missouri Higher Education
Loan Authority, Series A,
(A.M.T.) (LC National
Westminster PLC)......... VMIG1/NR 3.40% 7/29/96 3,000 3,000,000
------------
</TABLE>
See Notes to Financial Statements.
77
<PAGE>
PRAIRIE FUNDS
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------- -------- --------- ------------
<S> <C> <C> <C> <C> <C>
NEVADA--3.0%
Clark County Industrial
Development Revenue,
Nevada Power Co. Project,
Series A, (A.M.T.) (LC
Barclays Bank PLC)....... NR/A-1+ 3.30% 7/29/96 $ 8,000 $ 8,000,000
------------
NEW HAMPSHIRE--3.8%
New Hampshire Business
Finance Authority,
Pollution Control Revenue
Refunding, Public Service
Co. of New Hampshire
Project, VRDN, Series
1992D, (A.M.T.) (LC
Barclays Bank PLC)....... VMIG1/A-1+ 3.60% 7/29/96 10,000 10,000,000
------------
NEW JERSEY--1.8%
New Jersey State G.O. ..... NR/NR 7.30% 8/27/96 4,515 4,614,492
------------
NEW MEXICO--1.9%
City of Albuquerque,
Airport Subordinate
Liens, Series 1996A...... VMIG1/NR 3.30% 7/29/96 5,000 5,000,000
------------
NEW YORK--5.1%
City of Rochester.......... NR/A-1+ 3.40% 7/16/96 3,300 3,300,000
Niagara County............. VMIG1/A-1 3.80% 7/22/96 10,000 10,000,000
------------
13,300,000
------------
NORTH DAKOTA--1.5%
Grand Forks Health Care
Facilities............... VMIG1/NR 3.70% 7/29/96 4,000 4,000,000
------------
OHIO--4.6%
Ohio State Turnpike
Commission Series A...... NR/NR 4.25% 8/27/96 3,545 3,557,820
Ohio State Water
Development Authority.... P-1/A-1+ 3.80% 8/27/96 8,500 8,500,000
------------
12,057,820
------------
</TABLE>
See Notes to Financial Statements.
78
<PAGE>
PRAIRIE FUNDS
MUNICIPAL MONEY MARKET FUND
- --------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------- -------- --------- ------------
<S> <C> <C> <C> <C> <C>
PENNSYLVANIA--2.7%
Carbon County.............. NR/A-1+ 3.30% 8/8/96 $ 7,000 $ 7,000,000
------------
SOUTH CAROLINA--1.5%
York County, Electric
Project.................. NR/A-1+ 3.25% 8/27/96 4,000 4,000,000
------------
TENNESSEE--3.3%
Memphis Shelby County...... P-1/A-1+ 3.70% 9/10/96 6,405 6,405,000
Metropolitan Government,
Davidson County,
Nashville................ NR/A-1+ 7.20% 8/27/96 2,100 2,163,000
------------
8,568,000
------------
TEXAS--15.7%
Austin, Commission
Utilities................ P-1/A-1+ 3.60% 10/22/96 5,000 5,000,000
Brazos Higher Education
Authority, Student Loan
Revenue, VRDN, Series
B-1, (A.M.T.) (LC Student
Loan Marketing
Authority)............... VMIG1/NR 3.40% 8/26/96 6,000 6,000,000
Brazos River Authority,
Pollution Control
Revenue, (A.M.T.)........ VMIG1/A-1+ 3.85% 7/29/96 5,400 5,400,000
Brazos River Texas......... VMIG1/A-1+ 3.50% 7/5/96 3,000 3,000,000
Gulf Coast Industrial
Development Authority,
Marine Terminal (LC Amoco
Credit Corp.)............ VMIG1/A-1+ 3.80% 7/1/96 1,000 1,000,000
Gulf Coast Industrial
Development Authority,
Texas Solid Waste
Disposal Revenue......... P-1/A-1+ 3.80% 7/1/96 2,000 2,000,000
Nueces River Authority,
(Reynolds Metals Co.
Project) (LC Bank of Nova
Scotia).................. P-1/NR 3.80% 8/27/96 7,000 7,000,000
</TABLE>
See Notes to Financial Statements.
79
<PAGE>
PRAIRIE FUNDS
MUNICIPAL MONEY MARKET FUND
- -------------------------------------------------------------------------------
PORTFOLIO OF INVESTMENTS -- (CONTINUED)
June 30, 1996 (Unaudited)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Ratings Principal Amortized
Moody's/ Maturity Amount Cost
Description S&P Rate Date (000) (Note 2(a))
----------- ---------- ------- -------- --------- ------------
<S> <C> <C> <C> <C> <C>
TEXAS (CONTINUED)
Panhandle Plains, Higher
Education Authorized
Student Loan Revenue,
(A.M.T.)................ VMIG1/A 3.40% 8/27/96 $ 6,000 $ 6,000,000
Port Arthur, Navigation
District (American
Petrofina, Inc.)........ NR/NR 3.80% 7/29/96 2,800 2,800,000
Tyler Health.............. VMIG1/A-1+ 4.00% 10/10/96 3,000 3,000,000
------------
41,200,000
------------
UTAH--4.1%
Intermountain Power....... VMIG1/A-1+ 3.35% 8/22/96 4,650 4,650,000
Tooele County............. NR/NR 3.70% 10/23/96 6,000 6,000,000
------------
10,650,000
------------
WEST VIRGINIA--2.4%
West Virginia Public
Energy.................. VMIG1/NR 3.70% 10/18/96 6,000 6,000,000
------------
TOTAL INVESTMENTS--100.0%
(COST $262,542,922)(A)... 262,542,922
Liabilities in excess of
other assets--0.0%....... (52,872)
------------
NET ASSETS--100.0%......... $262,490,050
============
</TABLE>
- -----------
Percentages indicated are based on net assets of $262,490,050.
(a) Cost for federal income tax and financial reporting purposes are the same.
A.M.T.--Subject to Alternative Minimum Tax.
LC--Letter of Credit.
VRDN--Variable Rate Demand Note.
* Variable Rate Security. Interest rate stated is as of June 30, 1996.
Maturity date reflects next rate change date.
See Notes to Financial Statements.
80
<PAGE>
(THIS PAGE INTENTIONALLY LEFT BLANK)
81
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Managed
Assets Income Managed Equity
Fund Assets Fund Income Fund
------------- ----------- -----------
<S> <C> <C> <C>
ASSETS:
Investments in securities, at value
(cost $52,881,746, $8,356,220,
$261,668,081, $264,619,543,
$88,783,357, $140,979,724 and
$204,069,395 respectively)........... $61,536,173 $9,606,405 $306,015,059
Cash................................... 2,058,968 218,768 151,814
Cash denominated in foreign currencies. -- -- --
Receivable for investment securities
sold................................. -- -- 32,278,556
Receivable for Fund shares sold........ 35,373 24,626 337,817
Receivable from Adviser................ -- 5,832 --
Dividends receivable................... 107,998 11,306 1,037,529
Interest receivable.................... 386,085 32,129 258,283
Foreign tax reclaim receivable......... -- -- --
Deferred organization expenses......... 67,996 53,123 55,598
Prepaid expenses and other assets...... 6,794 1,804 22,233
----------- ---------- ------------
Total Assets.......................... 64,199,387 9,953,993 340,156,889
----------- ---------- ------------
LIABILITIES:
Advisory fees payable.................. 19,978 -- 101,472
Administration fees payable............ 7,470 -- 37,597
Shareholder Services fees payable
(Class A Shares)..................... 32,649 5,156 2,567
Shareholder Services fees payable
(Class B Shares)..................... 2,545 732 736
12b-1 fees payable (Class B Shares).... 8,324 2,152 2,196
Custodian fees and expenses............ 6,223 15,719 15,105
Bank overdrafts........................ -- -- --
Dividends payable...................... -- -- --
Payable for Fund shares redeemed....... 35,609 4,519 120,149
Payable for investment securities
purchased............................ 1,996,094 -- 32,952,311
Payable for variation margin........... -- -- --
Other accrued expenses................. 17,069 5,369 80,036
----------- ---------- ------------
Total Liabilities..................... 2,125,961 33,647 33,312,169
----------- ---------- ------------
NET ASSETS.............................. $62,073,426 $9,920,346 $306,844,720
=========== ========== ============
</TABLE>
See Notes to Financial Statements.
82
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Special International
Growth Opportunities Equity Intermediate
Fund Fund Fund Bond Fund
------ ------------- ------------- ------------
<S> <C> <C> <C>
$308,644,813 $104,884,063 $147,745,822 $202,665,511
858 853 -- 508
-- -- 571,751 --
12,878,958 4,671,799 2,236,522 4,103,942
687,552 119,404 486,326 298,697
-- -- -- 192,506
466,192 14,000 546,656 --
6,715 2,015 528,621 2,750,168
-- -- 122,179 --
54,888 53,599 54,256 36,448
8,250 4,174 8,228 24,130
- ------------ ------------ ------------ ------------
322,748,226 109,749,907 152,300,361 210,071,910
- ------------ ------------ ------------ ------------
133,764 44,787 81,215 42,487
38,373 13,132 18,054 24,865
3,280 671 2,433 4,143
445 24 503 279
1,326 69 1,497 880
19,933 15,600 51,551 13,638
-- -- 749,643 --
-- -- -- 1,010,819
298,671 10,342 47,683 12,581
13,070,469 3,329,000 1,567,136 4,179,000
-- -- 79,542 --
90,919 19,818 108,267 26,313
- ------------ ------------ ------------ ------------
13,657,180 3,433,443 2,707,524 5,315,005
- ------------ ------------ ------------ ------------
$309,091,046 $106,316,464 $149,592,837 $204,756,905
============ ============ ============ ============
</TABLE>
See Notes to Financial Statements.
83
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Managed
Assets Income Managed Equity
Fund Assets Fund Income Fund
------------- ----------- -----------
<S> <C> <C> <C>
NET ASSET VALUE, OFFERING PRICE AND
REDEMPTION PRICE PER SHARE:
CLASS A SHARES:
Net Assets........................... $56,763,865 $8,279,052 $ 5,097,730
Shares of beneficial interest issued
and outstanding, $0.001 par value,
unlimited number of shares
authorized......................... 3,819,804 678,968 398,282
----------- ---------- ------------
Net Asset Value per Share............ 14.86 12.19 12.80
Maximum Sales Charge................. 0.70* 0.58* 0.60*
----------- ---------- ------------
Maximum Offering Price............... $ 15.56 $ 12.77 $ 13.40
=========== ========== ============
CLASS B SHARES:
Net Assets........................... $ 4,072,351 $1,205,482 $ 1,361,680
Shares of beneficial interest issued
and outstanding, $0.001 par value,
unlimited number of shares
authorized......................... 273,666 99,387 106,454
----------- ---------- ------------
Net Asset Value per Share............ $ 14.88 $ 12.13 $ 12.79
=========== ========== ============
CLASS I SHARES:
Net Assets........................... $ 1,237,210 $ 435,812 $300,385,310
Shares of beneficial interest issued
and outstanding, $0.001 par value,
unlimited number of shares
authorized......................... 83,045 35,845 23,487,452
----------- ---------- ------------
Net Asset Value per Share............ $ 14.90 $ 12.16 $ 12.79
=========== ========== ============
COMPOSITION OF NET ASSETS:
Shares of beneficial interest, at
par................................ $ 4,176 $ 814 $ 23,992
Additional paid-in-capital........... 52,729,198 8,616,391 246,129,186
Accumulated net realized gains
(losses) from investment
transactions....................... 514,763 (30) 15,425,210
Undistributed net investment income.. 170,862 52,986 919,354
Net unrealized appreciation
(depreciation) on investments...... 8,654,427 1,250,185 44,346,978
Net unrealized appreciation of assets
and liabilities denominated in
foreign currencies and financial
futures............................ -- -- --
----------- ---------- ------------
NET ASSETS, JUNE 30, 1996.............. $62,073,426 $9,920,346 $306,844,720
=========== ========== ============
</TABLE>
- -----------
* Sales charge is 4.50% of Maximum Offering Price.
** Sales charge is 3.00% of Maximum Offering Price.
See Notes to Financial Statements.
84
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Special International
Growth Opportunities Equity Intermediate
Fund Fund Fund Bond Fund
------ ------------- ------------- ------------
<S> <C> <C> <C>
$ 5,741,437 $ 1,421,675 $ 4,221,668 $ 6,745,881
442,055 108,325 367,088 863,562
- ------------ ------------ ------------ ------------
12.99 13.12 11.50 7.81
0.61* 0.62* 0.54* 0.24**
- ------------ ------------ ------------ ------------
$ 13.60 $ 13.74 $ 12.04 $ 8.05
============ ============ ============ ============
$ 825,708 $ 57,128 $ 893,398 $ 431,547
63,849 4,395 77,830 55,157
- ------------ ------------ ------------ ------------
$ 12.93 $ 13.00 $ 11.48 $ 7.82
============ ============ ============ ============
$302,523,901 $104,837,661 $144,477,771 $197,579,477
23,278,785 7,982,332 12,520,836 25,250,755
- ------------ ------------ ------------ ------------
$ 13.00 $ 13.13 $ 11.54 $ 7.82
============ ============ ============ ============
$ 23,785 $ 8,095 $ 12,966 $ 26,169
232,712,772 83,558,061 137,027,945 203,768,099
31,689,674 6,632,040 4,930,238 2,366,521
639,545 17,562 637,006 --
44,025,270 16,100,706 6,766,098 (1,403,884)
-- -- 218,584 --
- ------------ ------------ ------------ ------------
$309,091,046 $106,316,464 $149,592,837 $204,756,905
============ ============ ============ ============
</TABLE>
See Notes to Financial Statements.
85
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate
Bond International Municipal
Fund Bond Fund Bond Fund
---- ------------- ------------
<S> <C> <C> <C>
ASSETS:
Investments in securities, at value
(cost $131,054,745, $19,325,826,
$380,216,692, $235,849,139,
$85,875,235, $257,455,748 and
$262,542,922, respectively)......... $129,610,913 $19,256,263 $386,568,311
Repurchase agreements (amortized cost
$0, $0, $0, $0, $5,746,000,
$104,711,000 and $0, respectively).. -- -- --
Cash.................................. 736 3,557,660 --
Receivable for investment securities
sold................................ 3,814,000 -- 15,772,141
Receivable for Fund shares sold....... 498,417 112,319 427,008
Receivable from Adviser............... -- -- 141,550
Interest receivable................... 1,934,415 461,495 6,100,512
Deferred organization expenses........ 51,349 49,741 43,079
Prepaid expenses and other assets..... 3,735 14,097 29,746
------------ ----------- ------------
Total Assets......................... 135,913,565 23,451,575 409,082,347
------------ ----------- ------------
LIABILITIES:
Advisory fees payable................. 34,464 -- 101,817
Administration fees payable........... 15,933 981 47,482
Shareholder Services fees payable
(Class A Shares).................... 1,379 358 59,460
Shareholder Services fees payable
(Class B Shares).................... 38 4 287
12b-1 fees payable (Class B Shares)... 110 8 949
Custodian fees and expenses........... 25,935 -- 74,309
Bank overdrafts....................... -- -- 2,957
Dividends payable..................... 637,734 76,808 1,495,378
Payable for Fund shares redeemed...... 88,350 3,403 126,562
Payable for investment securities
purchased........................... 4,058,000 5,200,523 18,486,500
Other accrued expenses................ 30,674 13,535 68,442
------------ ----------- ------------
Total Liabilities.................... 4,892,617 5,295,620 20,464,143
------------ ----------- ------------
NET ASSETS............................. $131,020,948 $18,155,955 $388,618,204
============ =========== ============
</TABLE>
See Notes to Financial Statements.
86
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S. Government Municipal
Municipal Money Market Money Market Money Market
Bond Fund Fund Fund Fund
--------- --------------- ------------ ------------
<S> <C> <C> <C>
$239,739,061 $85,875,235 $257,455,748 $262,542,922
-- 5,746,000 104,711,000 --
3,087 -- -- 454,408
11,642,869 3,648,000 151,218,829 6,000,000
20,152 2,347,496 6,379,731 1,998,005
-- -- -- --
4,145,335 170,595 274,601 1,614,127
5,909 54,702 56,367 76,090
85,623 404 81,101 20,205
- ------------ ----------- ------------ ------------
255,642,036 97,842,432 520,177,377 272,705,757
- ------------ ----------- ------------ ------------
57,287 3,416 28,122 63,456
29,168 9,980 39,871 32,259
21,893 84,696 251,474 216,753
269 -- 75 --
903 -- -- --
16,083 9,593 27,681 10,051
-- 24,659 67,323 --
963,719 305,904 1,185,953 602,607
121,830 253,081 4,151,966 903,273
13,744,926 5,746,000 154,678,900 8,319,945
14,683 14,914 30,655 67,363
- ------------ ----------- ------------ ------------
14,970,761 6,452,243 160,462,020 10,215,707
- ------------ ----------- ------------ ------------
$240,671,275 $91,390,189 $359,715,357 $262,490,050
============ =========== ============ ============
</TABLE>
See Notes to Financial Statements.
87
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF ASSETS AND LIABILITIES -- (CONTINUED)
June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate
Bond International Municipal
Fund Bond Fund Bond Fund
---- ------------- ------------
<S> <C> <C> <C>
NET ASSET VALUE, OFFERING PRICE AND
REDEMPTION PRICE PER SHARE:
CLASS A SHARES:
Net Assets........................ $ 2,616,251 $ 643,186 $ 17,339,106
Shares of beneficial interest
issued and outstanding, $0.001
par value, unlimited number of
shares authorized(1)............ 255,409 61,294 1,448,754
------------ ----------- ------------
Net Asset Value per Share......... 10.24 10.49 11.97
Maximum Sales Charge.............. 0.48* 0.49* 0.37**
------------ ----------- ------------
Maximum Offering Price............ $ 10.72 $ 10.98 $ 12.34
============ =========== ============
CLASS B SHARES:
Net Assets........................ $ 56,872 $ 4,441 $ 512,518
Shares of beneficial interest
issued and outstanding, $0.001
par value, unlimited number of
shares authorized(1)............ 5,551 421 42,814
------------ ----------- ------------
Net Asset Value per Share......... $ 10.25 $ 10.55 $ 11.97
============ =========== ============
CLASS I SHARES:
Net Assets........................ $128,347,825 $17,508,328 $370,766,580
Shares of beneficial interest
issued and outstanding, $0.001
par value, unlimited number of
shares authorized(1)............ 12,521,294 1,659,333 30,966,106
------------ ----------- ------------
Net Asset Value per Share......... $ 10.25 $ 10.55 $ 11.97
============ =========== ============
COMPOSITION OF NET ASSETS:
Shares of beneficial interest, at
par............................. $ 12,782 $ 1,721 $ 32,458
Additional paid-in-capital........ 128,907,545 18,018,905 380,979,280
Accumulated net realized gains
(losses) on investment
transactions.................... 3,544,453 176,515 1,254,847
Undistributed net investment loss. -- (14,103) --
Net unrealized appreciation
(depreciation) on investments... (1,443,832) (69,563) 6,351,619
Net unrealized appreciation of
assets and liabilities
denominated in foreign
currencies...................... -- 42,480 --
------------ ----------- ------------
NET ASSETS, JUNE 30, 1996........... $131,020,948 $18,155,955 $388,618,204
============ =========== ============
</TABLE>
- -----------
* Sales charge is 4.50% of Maximum Offering Price.
** Sales charge is 3.00% of Maximum Offering Price.
(1) The Municipal Bond Fund has authorized 2.5 billion shares for Class A and
Class B and has authorized 5.0 billion shares for Class I.
See Notes to Financial Statements.
88
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S. Government Municipal
Municipal Money Market Money Market Money Market
Bond Fund Fund Fund Fund
--------- --------------- ------------ ------------
<S> <C> <C> <C>
$ 7,149,023 $91,390,189 $359,619,155 $262,490,050
584,901 91,406,174 359,587,873 262,543,701
- ------------ ----------- ------------ ------------
12.22 1.00 1.00 1.00
0.58* -- -- --
- ------------ ----------- ------------ ------------
$ 12.80 $ 1.00 $ 1.00 $ 1.00
============ =========== ============ ============
$ 449,647 $ 96,202
36,763 96,194
- ------------ ------------
$ 12.23 $ 1.00
============ ============
$233,072,605
19,075,312
- ------------
$ 12.22
============
$ 19,697 $ 91,406 $ 359,684 $ 262,544
234,725,308 91,314,768 359,324,382 262,267,580
2,036,348 (15,985) 31,291 (40,074)
-- -- -- --
3,889,922 -- -- --
-- -- -- --
- ------------ ----------- ------------ ------------
$240,671,275 $91,390,189 $359,715,357 $262,490,050
============ =========== ============ ============
</TABLE>
See Notes to Financial Statements.
89
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS
For the Six Months Ended June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Managed
Assets Income Managed Equity
Fund Assets Fund Income Fund
------------- ----------- -----------
<S> <C> <C> <C>
INVESTMENT INCOME:
Dividend income (net of foreign
withholding taxes of $138,766 for
International Equity Fund)........... $ 484,803 $ 66,280 $ 5,446,602
Interest income........................ 950,797 102,898 877,739
---------- -------- -----------
1,435,600 169,178 6,324,341
---------- -------- -----------
EXPENSES:
Advisory fees.......................... 186,260 32,204 748,435
Administration fees.................... 42,983 7,432 224,531
Shareholder Services fees (Class A
Shares and Class B Shares)........... 70,041 11,860 5,572
12b-1 fees (Class B Shares)............ 12,104 3,903 3,545
Custodian fees and expenses............ 35,230 35,984 68,543
Registration fees...................... 6,746 6,396 39,602
Legal and audit fees................... 12,690 4,488 23,876
Amortization of organization expenses.. 8,907 8,230 7,428
Transfer agent fees and expenses....... 38,256 6,336 7,182
Reports to shareholders................ 3,972 3,076 12,954
Trustees' fees......................... 3,058 2,230 4,396
Miscellaneous expenses................. 1,168 168 6,732
---------- -------- -----------
Total Expenses......................... 421,415 122,307 1,152,796
Less: Expense reimbursements........... (49,405) (55,370) (166,802)
Expenses paid by third party.......... (3,816) (938) (1,131)
---------- -------- -----------
Net Expenses.......................... 368,194 65,999 984,863
---------- -------- -----------
NET INVESTMENT INCOME................. 1,067,406 103,179 5,339,478
---------- -------- -----------
REALIZED AND UNREALIZED GAINS (LOSSES)
ON INVESTMENT AND FOREIGN CURRENCY
TRANSACTIONS:
Net realized gains (losses) on
investment transactions.............. 694,477 (35) 10,159,860
Net realized losses on foreign currency
transactions......................... -- -- --
Net realized gains on futures
transactions......................... -- -- --
Net change in unrealized appreciation
(depreciation) on investments........ 386,420 526,122 2,749,219
Net unrealized depreciation of assets
and liabilities denominated in
foreign currencies and financial
futures.............................. -- -- --
---------- -------- -----------
NET REALIZED AND UNREALIZED GAINS
(LOSSES) ON INVESTMENTS AND FOREIGN
CURRENCY TRANSACTIONS............... 1,080,897 526,087 12,909,079
---------- -------- -----------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS............. $2,148,303 $629,266 $18,248,557
========== ======== ===========
</TABLE>
See Notes to Financial Statements.
90
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Special International
Growth Opportunities Equity Intermediate
Fund Fund Fund Bond Fund
------ ------------- ------------- ------------
<S> <C> <C> <C>
$ 2,417,830 $ 342,593 $ 919,738 $ --
345,981 180,715 812,573 6,464,285
- ----------- ---------- ---------- -----------
2,763,811 523,308 1,732,311 6,464,285
- ----------- ---------- ---------- -----------
1,001,299 347,121 510,026 397,522
231,069 74,383 95,630 149,070
6,857 1,296 5,144 8,230
2,153 98 2,128 1,413
76,713 45,388 143,783 52,441
32,692 6,392 18,787 18,436
28,964 14,582 13,902 20,008
7,344 7,350 7,304 3,957
7,744 7,128 7,021 5,960
12,834 4,380 7,972 15,042
5,336 4,906 5,254 3,142
10,298 2,148 3,018 2,688
- ----------- ---------- ---------- -----------
1,423,303 515,172 819,969 677,909
(178,139) (91,042) (121,611) (117,649)
(579) (546) (18,899) (965)
- ----------- ---------- ---------- -----------
1,244,585 423,584 679,459 559,295
- ----------- ---------- ---------- -----------
1,519,226 99,724 1,052,852 5,904,990
- ----------- ---------- ---------- -----------
26,440,370 6,745,106 54,335 (243,227)
-- -- (21,145) --
-- -- 3,394,282 --
(1,707,596) 640,604 890,843 (8,621,282)
-- -- (680,616) --
- ----------- ---------- ---------- -----------
24,732,774 7,385,710 3,637,699 (8,864,509)
- ----------- ---------- ---------- -----------
$26,252,000 $7,485,434 $4,690,551 $(2,959,519)
=========== ========== ========== ===========
</TABLE>
See Notes to Financial Statements.
91
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF OPERATIONS
For the Six Months Ended June 30, 1996 (Unaudited)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate
Bond International Municipal
Fund Bond Fund Bond Fund
----------- ------------- ------------
<S> <C> <C> <C>
INVESTMENT INCOME:
Interest income (net of foreign
withholding taxes of $245 for
International Bond Fund)........... $ 4,132,313 $ 491,723 $ 9,997,821
----------- --------- ------------
4,132,313 491,723 9,997,821
----------- --------- ------------
EXPENSES:
Advisory fees........................ 350,506 57,597 778,758
Administration fees.................. 96,541 12,343 292,034
Shareholder Services fees (Class A
Shares and
Class B Shares).................... 2,615 664 22,194
12b-1 fees (Class B Shares).......... 211 16 1,519
Custodian fees and expenses.......... 61,373 10,654 102,370
Registration fees.................... 15,643 6,906 28,032
Legal and audit fees................. 12,311 8,636 30,768
Amortization of organization
expenses........................... 6,984 6,893 5,467
Transfer agent fees and expenses..... 7,003 6,976 6,952
Reports to shareholders.............. 3,396 2,316 20,330
Trustees' fees....................... 4,493 4,002 4,732
Miscellaneous expenses............... 3,330 316 9,870
----------- --------- ------------
Total Expenses....................... 564,406 117,319 1,303,026
Less: Expense reimbursements......... (119,917) (46,124) (197,946)
Expenses paid by third parties....... (1,433) (618) (5,602)
----------- --------- ------------
Net Expenses........................ 443,056 70,577 1,099,478
----------- --------- ------------
NET INVESTMENT INCOME............... 3,689,257 421,146 8,898,343
----------- --------- ------------
REALIZED AND UNREALIZED GAINS (LOSSES)
ON INVESTMENT AND FOREIGN CURRENCY
TRANSACTIONS:
Net realized gains (losses) on
investment transactions............ 1,073,445 232,363 1,326,766
Net realized losses on foreign
currency transactions.............. -- (18,467) --
Net change in unrealized depreciation
on investments..................... (7,715,626) (497,279) (10,453,612)
Translation of assets and liabilities
denominated in foreign currencies.. -- (101,700) --
----------- --------- ------------
NET REALIZED AND UNREALIZED LOSSES
ON INVESTMENTS AND FOREIGN
CURRENCY TRANSACTIONS............. (6,642,181) (385,083) (9,126,846)
----------- --------- ------------
NET INCREASE (DECREASE) IN NET ASSETS
RESULTING FROM OPERATIONS........... $(2,952,924) $ 36,063 $ (228,503)
=========== ========= ============
</TABLE>
See Notes to Financial Statements.
92
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S. Government Municipal
Municipal Money Market Money Market Money Market
Bond Fund Fund Fund Fund
- ----------- --------------- ------------ ------------
<S> <C> <C> <C>
$ 6,348,550 $1,748,921 $6,839,129 $ 4,373,019
- ----------- ---------- ---------- -----------
6,348,550 1,748,921 6,839,129 4,373,019
- ----------- ---------- ---------- -----------
477,525 132,814 504,256 505,016
179,072 49,805 189,096 189,381
9,428 83,009 315,160 315,635
1,382 -- 457 --
69,653 45,632 80,358 71,688
18,485 5,158 19,280 16,816
26,946 7,996 33,158 30,700
585 6,783 6,846 9,255
7,162 30,644 159,950 60,506
16,668 4,454 13,825 14,562
3,714 3,004 5,404 8,224
8,352 1,808 6,294 7,516
- ----------- ---------- ---------- -----------
818,972 371,107 1,334,084 1,229,299
(150,790) (101,615) (316,471) (336,659)
(7,134) (4,086) (9,900) (9,001)
- ----------- ---------- ---------- -----------
661,048 265,406 1,007,713 883,639
- ----------- ---------- ---------- -----------
5,687,502 1,483,515 5,831,416 3,489,380
- ----------- ---------- ---------- -----------
1,828,477 -- (564) --
-- -- -- --
(9,784,351) -- -- --
-- -- -- --
- ----------- ---------- ---------- -----------
(7,955,874) -- (564) --
- ----------- ---------- ---------- -----------
$(2,268,372) $1,483,515 $5,830,852 $ 3,489,380
=========== ========== ========== ===========
</TABLE>
See Notes to Financial Statements.
93
<PAGE>
PRAIRIE FUNDS
- -------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Managed Assets
Income Fund Managed Assets Fund
-------------------------- -------------------------
For the Six For the For the Six For the
Months Ended Year Ended Months Ended Period Ended
June 30, December 31, June 30, December 31,
1996 1995 1996 1995(1)
------------ ------------ ------------ ------------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
INCREASE IN NET ASSETS
RESULTING FROM
OPERATIONS:
Net investment income..... $ 1,067,406 $ 2,375,663 $ 103,179 $ 93,370
Net realized gains
(losses) on investment
transactions............ 694,477 (324,052) (35) 5
Net change in unrealized
appreciation
(depreciation) on
investments............. 386,420 9,391,499 526,122 724,063
----------- ----------- ---------- ----------
NET INCREASE IN NET
ASSETS RESULTING FROM
OPERATIONS............. 2,148,303 11,443,110 629,266 817,438
----------- ----------- ---------- ----------
DIVIDENDS TO SHAREHOLDERS
FROM:
Net investment income:
Class A Shares........... (833,893) (2,441,590) (44,483) (77,991)
Class B Shares........... (40,101) (31,089) (3,095) (7,493)
Class I Shares........... (22,770) (36,073) (2,688) (7,813)
----------- ----------- ---------- ----------
TOTAL DIVIDENDS TO
SHAREHOLDERS........... (896,764) (2,508,752) (50,266) (93,297)
----------- ----------- ---------- ----------
Net realized gains on
investments:
Class A Shares........... -- (108,059) -- --
Class B Shares........... -- (4,560) -- --
Class I Shares........... -- (2,720) -- --
----------- ----------- ---------- ----------
TOTAL DISTRIBUTIONS TO
SHAREHOLDERS........... -- (115,339) -- --
----------- ----------- ---------- ----------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares
sold.................... 8,937,941 9,561,625 1,323,074 9,391,817
Dividends reinvested...... 820,415 2,415,006 47,580 85,512
Cost of shares redeemed... (4,401,796) (9,697,497) (1,628,309) (602,469)
----------- ----------- ---------- ----------
NET INCREASE (DECREASE)
IN NET ASSETS FROM FUND
SHARE TRANSACTIONS..... 5,356,560 2,279,134 (257,655) 8,874,860
----------- ----------- ---------- ----------
TOTAL INCREASE IN NET
ASSETS................ 6,608,099 11,098,153 321,345 9,599,001
NET ASSETS:
Beginning of period....... 55,465,327 44,367,174 9,599,001 --
----------- ----------- ---------- ----------
End of period (4)......... $62,073,426 $55,465,327 $9,920,346 $9,599,001
=========== =========== ========== ==========
</TABLE>
- -----------
(1) For the period April 3, 1995 (commencement of operations) through December
31, 1995.
(2) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(3) Includes distributions in excess of net investment income of $8,587.
(4) Includes undistributed net investment income (distributions in excess of
net investment income) of $170,862, $220, $52,986, $73, $919,354,
($8,587), $639,545 and $3,678, respectively.
See Notes to Financial Statements.
94
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Equity Income Fund Growth Fund
--------------------------------- -----------------------------------------
For the Six For the For the Six For the
Months Ended Period Ended Months Ended Period Ended
June 30, December 31, June 30, December 31,
1996 1995(2) 1996 1995(2)
------------ ------------ ------------ ------------
(Unaudited) (Unaudited)
<S> <C> <C> <C>
$ 5,339,478 $ 9,024,081 $ 1,519,226 $ 3,827,071
10,159,860 12,993,377 26,440,370 26,140,162
2,749,219 41,597,759 (1,707,596) 45,732,866
------------ ------------ ------------ ------------
18,248,557 63,615,217 26,252,000 75,700,099
------------ ------------ ------------ ------------
(44,312) (36,341) (8,415) (20,056)
(9,668) (4,665) -- (128)
(4,357,557) (8,991,662)(3) (874,944) (3,803,209)
------------ ------------ ------------ ------------
(4,411,537) (9,032,668) (883,359) (3,823,393)
------------ ------------ ------------ ------------
-- (76,484) -- (297,846)
-- (15,958) -- (18,522)
-- (7,635,585) -- (20,574,490)
------------ ------------ ------------ ------------
-- (7,728,027) -- (20,890,858)
------------ ------------ ------------ ------------
19,975,695 258,157,716 15,401,213 300,831,887
136,609 6,638,209 27,290 15,027,099
(14,498,131) (24,256,920) (30,247,444) (68,303,488)
------------ ------------ ------------ ------------
5,614,173 240,539,005 (14,818,941) 247,555,498
------------ ------------ ------------ ------------
19,451,193 287,393,527 10,549,700 298,541,346
287,393,527 -- 298,541,346 --
------------ ------------ ------------ ------------
$306,844,720 $287,393,527 $309,091,046 $298,541,346
============ ============ ============ ============
</TABLE>
See Notes to Financial Statements.
95
<PAGE>
PRAIRIE FUNDS
- -------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Special Opportunities Fund International Equity Fund
---------------------------- --------------------------
For the Six For the For the Six For the
Months Ended Period Ended Months Ended Period Ended
June 30, December 31, June 30, December 31,
1996 1995(1) 1996 1995(2)
------------- ------------- ------------ ------------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
INCREASE IN NET ASSETS
RESULTING FROM
OPERATIONS:
Net investment income.. $ 99,724 $ 412,673 $ 1,052,852 $ 1,052,004
Net realized gains on
investment
transactions......... 6,745,106 1,749,697 54,335 505,347
Net realized gains
(losses) on foreign
currency
transactions......... -- -- (21,145) (236,752)
Net realized gains on
futures transactions. -- -- 3,394,282 3,503,125
Net change in
unrealized
appreciation
(depreciation) on
investments.......... 640,604 15,460,102 890,843 5,875,255
Net unrealized
appreciation
(depreciation) of
assets and
liabilities
denominated in
foreign currencies
and financial
futures.............. -- -- (680,616) 899,200
------------- ------------ ------------ ------------
NET INCREASE
(DECREASE) IN NET
ASSETS RESULTING
FROM OPERATIONS..... 7,485,434 17,622,472 4,690,551 11,598,179
------------- ------------ ------------ ------------
DIVIDENDS TO
SHAREHOLDERS FROM:
Net investment income:
Class A Shares........ (10) (807) (12,751) (12,465)
Class B Shares........ -- -- (965) (174)
Class I Shares........ (86,090) (407,928) (536,221) (905,274)
------------- ------------ ------------ ------------
TOTAL DIVIDENDS TO
SHAREHOLDERS........ (86,100) (408,735) (549,937) (917,913)
------------- ------------ ------------ ------------
Net realized gains on
investments:
Class A Shares........ -- (13,273) -- (60,752)
Class B Shares........ -- (308) -- (4,283)
Class I Shares........ -- (1,849,182) -- (2,203,921)
------------- ------------ ------------ ------------
TOTAL DISTRIBUTIONS TO
SHAREHOLDERS........ -- (1,862,763) -- (2,268,956)
------------- ------------ ------------ ------------
CAPITAL STOCK
TRANSACTIONS:
Net proceeds from
shares sold.......... 11,643,865 89,942,654 45,863,061 100,265,824
Dividends reinvested... 1,409 1,194,408 26,086 1,535,547
Cost of shares
redeemed............. (6,341,087) (12,875,093) (4,826,301) (5,823,304)
------------- ------------ ------------ ------------
NET INCREASE IN NET
ASSETS FROM FUND
SHARE TRANSACTIONS.. 5,304,187 78,261,969 41,062,846 95,978,067
------------- ------------ ------------ ------------
TOTAL INCREASE IN NET
ASSETS............. 12,703,521 93,612,943 45,203,460 104,389,377
NET ASSETS:
Beginning of period.... 93,612,943 -- 104,389,377 --
------------- ------------ ------------ ------------
End of period(4)....... $ 106,316,464 $ 93,612,943 $149,592,837 $104,389,377
============= ============ ============ ============
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) For the period March 3, 1995 (commencement of operations) through December
31, 1995.
(3) For the period February 10, 1995 (commencement of operations) through
December 31, 1995.
(4) Includes undistributed net investment income (distributions in excess of
net investment income) of $17,562, $3,938, $637,006, $134,091, $0, $0,
($14,103) and ($13,857), respectively.
See Notes to Financial Statements.
96
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Bond Fund International Bond Fund
---------------------------------- --------------------------------------------
For the Six For the For the Six For the
Months Ended Period Ended Months Ended Period Ended
June 30, December 31, June 30, December 31,
1996 1995(3) 1996 1995(1)
------------ ------------ ------------ ------------
(Unaudited) (Unaudited)
<S> <C> <C> <C>
$ 3,689,257 $ 6,703,140 $ 421,146 $ 611,812
1,073,445 6,908,795 232,363 1,020,021
-- -- (18,467) 30,644
-- -- -- --
(7,715,626) 6,271,794 (497,279) 427,716
-- -- (101,700) 144,180
------------ ------------ ----------- -----------
(2,952,924) 19,883,729 36,063 2,234,373
------------ ------------ ----------- -----------
(55,896) (50,085) (12,161) (13,458)
(1,334) (755) (85) (173)
(3,632,027) (6,652,300) (409,146) (612,038)
------------ ------------ ----------- -----------
(3,689,257) (6,703,140) (421,392) (625,669)
------------ ------------ ----------- -----------
-- (63,549) -- (33,914)
-- (2,117) -- (311)
-- (4,372,121) -- (1,053,821)
------------ ------------ ----------- -----------
-- (4,437,787) -- (1,088,046)
------------ ------------ ----------- -----------
17,151,796 129,396,150 4,483,775 15,584,504
52,643 2,974,473 22,078 380,496
(6,849,979) (13,804,756) (959,857) (1,490,370)
------------ ------------ ----------- -----------
10,354,460 118,565,867 3,545,996 14,474,630
------------ ------------ ----------- -----------
3,712,279 127,308,669 3,160,667 14,995,288
127,308,669 -- 14,995,288 --
------------ ------------ ----------- -----------
$131,020,948 $127,308,669 $18,155,955 $14,995,288
============ ============ =========== ===========
</TABLE>
See Notes to Financial Statements.
97
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the For the For the
Six Months Period Ended Year Ended
Ended June 30, December 31, January 31,
1996 1995(1) 1995
-------------- ------------ -----------
(Unaudited)
<S> <C> <C> <C>
INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS:
Net investment income............... $ 5,904,990 $ 9,688,284 $ 346,925
Net realized gains (losses) on
investment transactions........... (243,227) 7,844,775 (63,605)
Net change in unrealized
appreciation (depreciation) on
investments....................... (8,621,282) 7,312,968 (304,664)
------------ ------------ -----------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM
OPERATIONS.................... (2,959,519) 24,846,027 (21,344)
------------ ------------ -----------
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income:
Class A Shares..................... (173,857) (137,077) (4,217)
Class B Shares..................... (9,027) (3,518) (99)
Class I Shares..................... (5,722,106) (9,547,689) (342,609)
------------ ------------ -----------
TOTAL DIVIDENDS TO SHAREHOLDERS. (5,904,990) (9,688,284) (346,925)
------------ ------------ -----------
Net realized gains on investments:
Class A Shares..................... -- (157,731) (16)
Class B Shares..................... -- (6,773) (1)
Class I Shares..................... -- (5,006,911) (1,196)
------------ ------------ -----------
TOTAL DISTRIBUTIONS TO
SHAREHOLDERS.................. -- (5,171,415) (1,213)
------------ ------------ -----------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold....... 33,850,087 200,868,057 7,682,912
Dividends reinvested................ 295,658 4,026,532 9,789
Cost of shares redeemed............. (18,808,002) (23,767,145) (5,345,718)
------------ ------------ -----------
NET INCREASE IN NET ASSETS FROM
FUND SHARE TRANSACTIONS....... 15,337,743 181,127,444 2,346,983
------------ ------------ -----------
TOTAL INCREASE IN NET ASSETS.. 6,473,234 191,113,772 1,977,501
NET ASSETS:
Beginning of period................. 198,283,671 7,169,899 5,192,398
------------ ------------ -----------
End of period....................... $204,756,905 $198,283,671 $ 7,169,899
============ ============ ===========
</TABLE>
- -----------
(1) For the period February 1, 1995 through December 31, 1995.
See Notes to Financial Statements.
98
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the For the For the
Six Months Period Ended Year Ended
Ended June 30, December 31, February 28,
1996 1995(1) 1995
-------------- ------------ ------------
(Unaudited)
<S> <C> <C> <C>
INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS:
Net investment income............... $ 8,898,343 $ 14,827,033 $ 1,985,164
Net realized gains (losses) on
investment transactions........... 1,326,766 3,839,621 (757,908)
Net change in unrealized
appreciation (depreciation) on
investments....................... (10,453,612) 13,694,976 2,898,764
------------ ------------ ------------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS. (228,503) 32,361,630 4,126,020
------------ ------------ ------------
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income:
Class A Shares..................... (371,298) (619,417) (1,214,913)
Class B Shares..................... (6,928) (3,609) (17)
Class I Shares..................... (8,520,117) (14,204,008) (770,234)
------------ ------------ ------------
TOTAL DIVIDENDS TO SHAREHOLDERS.... (8,898,343) (14,827,034) (1,985,164)
------------ ------------ ------------
Net realized gains on investments:
Class A Shares..................... -- (143,000) (62,814)
Class B Shares..................... -- (2,501) (284)
Class I Shares..................... -- (3,007,029) --
------------ ------------ ------------
TOTAL DISTRIBUTIONS TO
SHAREHOLDERS..................... -- (3,152,530) (63,098)
------------ ------------ ------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold....... 34,339,457 48,746,625 367,446,983
Dividends reinvested................ 336,595 2,914,315 851,803
Cost of shares redeemed............. (28,801,719) (57,221,370) (16,165,822)
------------ ------------ ------------
NET INCREASE (DECREASE) IN NET
ASSETS FROM FUND SHARE
TRANSACTIONS..................... 5,874,333 (5,560,430) 352,132,964
------------ ------------ ------------
TOTAL INCREASE (DECREASE) IN NET
ASSETS.......................... (3,252,513) 8,821,636 354,210,722
NET ASSETS:
Beginning of period................. 391,870,717 383,049,081 28,838,359
------------ ------------ ------------
End of period....................... $388,618,204 $391,870,717 $383,049,081
============ ============ ============
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995.
See Notes to Financial Statements.
99
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the For the For the
Six Months Period Ended Year Ended
Ended June 30, December 31, February 28,
1996 1995(1) 1995
-------------- ------------ ------------
(Unaudited)
<S> <C> <C> <C>
INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS:
Net investment income............... $ 5,687,502 $ 10,231,899 $ 930,044
Net realized gains (losses) on
investment transactions........... 1,828,477 5,020,578 (260,986)
Net change in unrealized
appreciation (depreciation) on
investments....................... (9,784,351) 11,041,965 2,624,847
------------ ------------ ------------
NET INCREASE (DECREASE) IN NET
ASSETS RESULTING FROM OPERATIONS. (2,268,372) 26,294,442 3,293,905
------------ ------------ ------------
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income:
Class A Shares..................... (158,240) (268,916) (409,080)
Class B Shares..................... (6,673) (2,833) (67)
Class I Shares..................... (5,522,589) (9,960,150) (520,897)
------------ ------------ ------------
TOTAL DIVIDENDS TO SHAREHOLDERS.... (5,687,502) (10,231,899) (930,044)
------------ ------------ ------------
Net realized gains on investments:
Class A Shares..................... -- (135,418) --
Class B Shares..................... -- (4,334) --
Class I Shares..................... -- (4,405,351) --
------------ ------------ ------------
TOTAL DISTRIBUTIONS TO
SHAREHOLDERS..................... -- (4,545,103) --
------------ ------------ ------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold....... 17,848,361 34,482,785 222,400,536
Dividends reinvested................ 139,406 3,928,330 323,826
Cost of shares redeemed............. (17,183,768) (29,087,608) (7,342,155)
------------ ------------ ------------
NET INCREASE IN NET ASSETS FROM
FUND SHARE TRANSACTIONS.......... 803,999 9,323,507 215,382,207
------------ ------------ ------------
TOTAL INCREASE (DECREASE) IN NET
ASSETS.......................... (7,151,875) 20,840,947 217,746,068
NET ASSETS:
Beginning of period................. 247,823,150 226,982,203 9,236,135
------------ ------------ ------------
End of period....................... $240,671,275 $247,823,150 $226,982,203
============ ============ ============
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995.
See Notes to Financial Statements.
100
<PAGE>
(THIS PAGE INTENTIONALLY LEFT BLANK)
101
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
STATEMENTS OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S. Government
Money Market Fund
---------------------------
For the Six For the
Months Ended Year Ended
June 30, December 31,
1996 1995
------------ -------------
(Unaudited)
<S> <C> <C>
INCREASE IN NET ASSETS RESULTING FROM OPERATIONS:
Net investment income.............................. $ 1,483,515 $ 3,391,932
Net realized gains (losses) on investments......... -- 32,485
----------- -------------
NET INCREASE IN NET ASSETS RESULTING FROM
OPERATIONS...................................... 1,483,515 3,424,417
----------- -------------
DIVIDENDS TO SHAREHOLDERS FROM:
Net investment income:
Class A Shares.................................... (1,483,515) (3,391,932)
Class B Shares.................................... -- --
----------- -------------
TOTAL DIVIDENDS TO SHAREHOLDERS................... (1,483,515) (3,391,932)
----------- -------------
Net realized gains on investments:
Class A Shares.................................... -- --
Class B Shares.................................... -- --
----------- -------------
TOTAL DISTRIBUTIONS TO SHAREHOLDERS............... -- --
----------- -------------
TOTAL DIVIDENDS AND DISTRIBUTIONS TO SHAREHOLDERS. (1,483,515) (3,391,932)
----------- -------------
CAPITAL STOCK TRANSACTIONS:
Net proceeds from shares sold...................... 103,720,750 250,085,862
Dividends reinvested............................... 1,045,460 2,488,380
Cost of shares redeemed............................ (70,640,081) (311,695,323)
----------- -------------
NET INCREASE (DECREASE) IN NET ASSETS FROM FUND
SHARE TRANSACTIONS.............................. 34,126,129 (59,121,081)
----------- -------------
TOTAL INCREASE (DECREASE) IN NET ASSETS.......... 34,126,129 (59,088,596)
NET ASSETS:
Beginning of period................................ 57,264,060 116,352,656
----------- -------------
End of period...................................... $91,390,189 $ 57,264,060
=========== =============
</TABLE>
See Notes to Financial Statements.
102
<PAGE>
- --------------------------------------------------------------------------------
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Money Market Fund Municipal Money Market Fund
---------------------------------- ----------------------------------------------
For the Six For the For the Six For the
Months Ended Year Ended Months Ended Year Ended
June 30, December 31, June 30, December 31,
1996 1995 1996 1995
------------ ------------ ------------- -------------
(Unaudited) (Unaudited)
<S> <C> <C> <C>
$ 5,831,416 $ 7,780,385 $ 3,489,380 $ 6,529,805
(564) 179,219 -- (44)
------------ ------------ ------------- -------------
5,830,852 7,959,604 3,489,380 6,529,761
------------ ------------ ------------- -------------
(5,829,046) (7,779,495) (3,489,380) (6,529,805)
(2,370) (890) -- --
------------ ------------ ------------- -------------
(5,831,416) (7,780,385) (3,489,380) (6,529,805)
------------ ------------ ------------- -------------
-- (123,505) -- --
-- (35) -- --
------------ ------------ ------------- -------------
-- (123,540) -- --
------------ ------------ ------------- -------------
(5,831,416) (7,903,925) (3,489,380) (6,529,805)
------------ ------------ ------------- -------------
647,714,346 803,027,143 303,063,695 534,326,783
4,315,245 6,873,012 1,569,202 3,305,612
(496,372,888) (725,296,634) (270,654,125) (482,251,105)
------------ ------------ ------------- -------------
155,656,703 84,603,521 33,978,772 55,381,290
------------ ------------ ------------- -------------
155,656,139 84,659,200 33,978,772 55,381,246
204,059,218 119,400,018 228,511,278 173,130,032
------------ ------------ ------------- -------------
$359,715,357 $204,059,218 $ 262,490,050 $ 228,511,278
============ ============ ============= =============
</TABLE>
See Notes to Financial Statements.
103
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
- --------------------------------------------------------------------------------
NOTE 1--GENERAL
Prairie Funds (the "Trust") is an open-end management investment company
registered under the Investment Company Act of 1940, as amended (the "Act"). At
June 30, 1996, the Trust consisted of twelve separate investment portfolios.
The accompanying financial statements include the results of operations for the
following portfolios of the Trust: Managed Assets Income Fund, Managed Assets
Fund, Equity Income Fund, Growth Fund, Special Opportunities Fund,
International Equity Fund, Bond Fund, International Bond Fund, Intermediate
Municipal Bond Fund, U.S. Government Money Market Fund, Money Market Fund and
Municipal Money Market Fund. Additionally, the accompanying financial
statements include the results of operations for the Prairie Municipal Bond
Fund, Inc. and the Prairie Intermediate Bond Fund, two open-end management
investment companies registered under the Act (together with the Trust's
portfolios, the "Funds").
The investment objective of the Managed Assets Income Fund is to maximize
current income by following an asset allocation strategy of investing in equity
securities, fixed-income securities and short-term instruments of domestic and
foreign issuers. The investment objective of the Managed Assets Fund seeks to
maximize total return through capital appreciation and current income without
assuming undue risk. The Fund follows an asset allocation strategy similar to
the Managed Assets Income Fund. The investment objective of the Equity Income
Fund is to provide income, capital appreciation and growth of earnings. The
Fund invests primarily in income-producing equity securities of domestic
issuers. The investment objective of the Growth Fund is to seek long-term
capital appreciation through investing primarily in equity securities of
domestic issuers. The investment objective of the Special Opportunities Fund is
to seek long-term capital appreciation. This objective is achieved through
investing primarily in equity securities of small- to medium-sized emerging
growth domestic issuers. The investment objective of the International Equity
Fund is to seek long-term capital appreciation. The Fund invests primarily in
equity securities of foreign issuers. The investment objective of the
Intermediate Bond Fund is to provide as high a level of current income as is
consistent with the preservation of capital. The Fund seeks to achieve its
objective by investing in a portfolio of U.S. dollar denominated investment
grade fixed-income securities of domestic and foreign issuers which, under
normal market conditions, will have a dollar-weighted average maturity expected
to range between three and ten years. The investment objective of the Bond Fund
is to provide as high a level of current income as is consistent with the
preservation of capital. The Fund invests primarily in a portfolio of U.S.
dollar denominated investment grade fixed-income securities of domestic and
foreign issuers, without regard to maturity. The investment objective of the
International Bond Fund is to provide both long-term capital appreciation and
current income through investing primarily in investment grade debt securities
of foreign securities. The investment objective of the Intermediate Municipal
Bond Fund is to provide as high a level of current income exempt from Federal
income tax as is consistent with the preservation of capital.
104
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
The Fund invests primarily in a portfolio of investment grade Municipal
Obligations which, under normal conditions, will have a dollar-weighted average
maturity expected to range between three and ten years. The investment
objective of the Municipal Bond Fund is to provide a high level of current
income exempt from Federal income tax and is consistent with the preservation
of capital. This objective is achieved through primarily investing in a
portfolio of investment grade Municipal Obligations without regard to maturity.
The investment objective of the U.S. Government Money Market Fund is to provide
as high a level of current income as is consistent with the preservation of
capital and the maintenance of liquidity. The Fund will only invest short-term
securities issued or guaranteed as to principal or interest by the U.S.
Government, its agencies and instrumentalities, and repurchase agreements in
respect of such securities. The investment objective of the Money Market Fund
is to provide as high a level of current income as is consistent with the
preservation of capital and the maintenance of liquidity. The objective is
achieved by investing in short-term money market instruments. The investment
objective of the Municipal Money Market Fund is to provide a high level of
current income exempt from Federal income tax as is consistent with the
preservation of capital and the maintenance of liquidity through invests in
short-term Municipal Obligations.
First Chicago Investment Management Company ("FCIMCO"), a wholly-owned
subsidiary of The First National Bank of Chicago ("FNBC"), serves as each
Fund's investment adviser and administrator. Additionally, FCIMCO has engaged
Concord Holding Corporation ("Concord"), a wholly-owned subsidiary of The BISYS
Group, Inc., to assist it in providing certain administrative services for the
Funds. Concord Financial Group, Inc. (the "Distributor"), a wholly-owned
subsidiary of Concord, serves as the principal underwriter and distributor of
each Fund's shares.
The Funds (except for the U.S. Government Money Market Fund and Municipal
Money Market Fund, which offer Class A shares only, and the Money Market Fund,
which offers class A Shares and Class B shares) each offer Class A shares,
Class B shares and Class I shares. Class A shares, Class B shares and Class I
shares are substantially the same except that Class A shares are subject to a
sales charge imposed at the time of purchase and are subject to fees charged
pursuant to a Shareholder Services Plan. Class B shares are subject to a
contingent deferred sales charge imposed at the time of redemption and are
subject to fees charged pursuant to a Distribution Plan adopted pursuant to
Rule 12b-1 under the Act and fees charged pursuant to the Shareholder Services
Plan. Class I shares are not subject to any sales charge, shareholder services
fees or distribution fees.
During the period January 27, 1995 through March 3, 1995, various common
trust funds and collective trust funds managed by FNBC transferred cash and
securities to certain Funds in exchange for Class I shares of the corresponding
Fund. The following table sets forth the date on which such transfers occurred,
the transferring entity, the corresponding Fund, the market value of the
securities and cash transferred and the amount of Class I shares issued in
connection with such transfer:
105
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Class I
Shares
Date of Transfer Transferring Entity Fund Market Value Issued
---------------- ------------------- ---- ------------ -------
<S> <C> <C> <C> <C>
January 27, 1995........ First Chicago Personal Equity Income $198,087,162 19,808,716
Trust Equity Fund Fund
January 27, 1995........ First Chicago Personal Growth Fund 245,392,975 24,539,297
Trust Endowment Equity
Fund and First Chicago
Personal Trust Growth
Equity Fund
January 27, 1995........ First Chicago Personal Special 51,316,357 5,131,636
Trust Special Equity Opportunities
Fund Fund
January 27, 1995........ First Chicago Personal International 8,955,517 895,552
Trust International Bond Bond Fund
Fund
February 10, 1995....... First Chicago Personal Bond Fund 98,997,057 9,899,706
Trust Taxable Bond Fund
And First Chicago
Personal Trust
Endowment Bond Fund
February 10, 1995....... First Chicago Personal Intermediate 129,394,694 16,848,267
Trust Intermediate Bond Fund
Taxable Bond Fund and
Lake Shore Common
Trust Taxable Fixed
Income Fund
February 10, 1995....... First Chicago Personal Municipal Bond 213,488,376 17,910,099
Trust Tax-Exempt Bond Fund
Fund
February 10, 1995....... First Chicago Personal Intermediate 349,656,211 29,885,146
Trust Intermediate Tax- Municipal Bond
Exempt Bond Fund and Fund
Lake Shore Common
Trust Municipal Bond
Fund
March 3, 1995........... First Chicago Personal International 48,338,875 4,833,888
Trust International Equity Equity Fund
Fund
</TABLE>
At meetings of the shareholders of the First Prairie Diversified Assets Fund,
First Prairie Municipal Bond Fund--Intermediate Series, First Prairie Money
Market Fund--Money Market Series and Government Series, and First Prairie
Municipal Money Market Fund (collectively, the "First Prairie Funds") held on
January 17, 1995, shareholders of each such Fund approved an Agreement and Plan
of Exchange (the "Plan") which called for the transfer of the assets, subject
to the liabilities, of each First Prairie Fund to the Prairie Managed Assets
Income Fund,
106
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
Prairie Intermediate Municipal Bond Fund, Prairie Money Market Fund, Prairie
U.S. Government Money Market Fund, and Prairie Municipal Money Market Fund,
respectively. The Plan also called for the issuance of shares by the respective
Prairie Funds to the shareholders of the corresponding First Prairie Fund, such
shares being equal in value to the net assets so transferred.
The following table sets forth the date on which this transfer took place
along with the net assets transferred and the number of shares issued:
<TABLE>
<CAPTION>
Net Assets
Fund Date of Transfer Transferred Shares Issued
---- ---------------- ----------- -------------
<S> <C> <C> <C>
Managed Assets Income Fund....... March 3, 1995 $43,698,653 3,518,593
Intermediate Municipal Bond Fund. January 27, 1995 22,331,512 1,930,122
Money Market Fund................ May 20, 1995 127,335,807 127,197,352
U.S. Government Money Market
Fund............................ May 20, 1995 52,257,087 52,273,072
Municipal Money Market Fund...... May 20, 1995 178,386,094 178,439,745
</TABLE>
NOTE 2--SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements. The policies are in
conformity with generally accepted accounting principles. The preparation of
financial statements requires management to make estimates and assumptions that
affect the reported amounts of assets and liabilities at the date of the
financial statements and the reported amounts of income and expenses for the
period. Actual results could differ from those estimates.
(A) Portfolio Valuation: Bonds, debentures, notes, mortgage-related
securities, asset-backed securities, municipal obligations and convertible debt
obligations ("Fixed Income Securities") are valued daily using available market
quotations or at fair value as determined by one or more independent pricing
services (the "Service") approved by the Board of Trustees (the "Board of
Trustees" or the "Board"). Fixed Income Securities for which quoted bid prices
are readily available and are representative of the bid side of the market, in
the judgement of the Service, are valued at the mean between the quoted bid
prices (as obtained by the Service from dealers in such securities) and asked
prices (as calculated by the Service based upon its evaluation of the market
for such securities). Other Fixed Income Securities are carried at fair value
as determined by the Service, based upon methods which include consideration of
yields or prices of securities of comparable quality, coupon rate, maturity and
type, indication as to values from dealers, and general market conditions.
Fixed income securities with maturities less than 60 days are carried at
amortized cost, which approximates market value.
Common stocks, preferred stocks and convertible securities, as well as
warrants to purchase such securities ("Equity Securities"), and call options
written by a Fund are valued at the last sale price on the securities exchange
or national securities market on which such securities primarily are traded.
Equity Securities not
107
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
listed on an exchange or national securities market, or securities for which
there were no transactions, are valued at the most recent bid prices. Any
securities or other assets for which recent market quotations are not readily
available are valued at fair value as determined in good faith by the Board.
Restricted securities, illiquid securities and securities for which market
quotations are not readily available, if any, are valued at fair value using
methods approved by the Board.
Investments of the U.S. Government Money Market Fund, Money Market Fund and
Municipal Money Market Fund (the "money market funds") are valued at amortized
cost, which approximates market value. Under the amortized cost method,
discount or premium is amortized on a constant basis to the maturity of the
security. In addition, the money market funds may not (a) purchase any
instruments with a remaining maturity greater that thirteen months unless such
instrument is subject to a demand feature, or (b) maintain a dollar-weighted
average maturity which exceeds 90 days.
(B) Foreign currency translations: The books and records of the International
Bond Fund and the International Equity Fund are maintained in U.S. dollars.
Amounts denominated in foreign currencies are translated into U.S. dollars on
the following basis: (i) investment securities, other assets and liabilities
initially expressed in foreign currencies are converted each business day into
U.S. dollars at the midpoint of the New York interbank market spot exchange
rate as quoted on the day of such translation by the Federal Reserve Bank of
New York or at such other quoted market exchange rate as may be determined to
be appropriate by the investment adviser; and (ii) purchases and sales of
foreign securities, income and expenses are converted into U.S. dollars based
upon currency exchange rates prevailing on the respective dates of such
transactions. The Funds generally do not isolate that portion of the results of
operations resulting from changes in foreign exchange rates on investments from
the fluctuations arising from changes in market prices of securities held. Such
fluctuations are included with the net realized and unrealized gain or loss
from investments.
Reported net realized and unrealized gains and losses on foreign currency
represent: (i) foreign exchange gains and losses from the sale and holding of
foreign currencies forward contracts and foreign currency denominated debt
obligations; (ii) gains and losses between trade date and settlement date on
investment securities transactions and forward exchange contracts; and (iii)
gains and losses from the difference between amounts of dividends and interest
recorded and the amounts actually received.
(C) Futures contracts: The International Equity Fund may engage in futures
contracts for the purpose of hedging against changes in the value of its
portfolio securities and in the value of securities it intends to purchase.
Upon entering into a futures contract, the Fund is required to deposit with the
broker an amount of cash or cash equivalents equal to a certain percentage of
the contract amount. This is known as the "initial margin". Subsequent payments
("variation margin") are made
108
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
or received by the Fund each day, depending on the daily fluctuation of the
value of the contract. The daily changes in the value of the contract are
recorded as unrealized gains or losses. The Fund recognizes, when the contract
is closed, a realized gain or loss equal to the difference between the value of
the contract at the time it was opened and the time it was closed. Futures
contracts open at June 30, 1996 and their related unrealized market
appreciation (depreciation) are set forth in the notes to the Portfolio of
Investments of the International Equity Fund.
There are several risks in connection with the use of futures contracts as a
hedging device. The change in value of futures contracts primarily corresponds
with the value of their underlying instruments or indices, which may not
correlate with the change in value of the hedged investments. In addition,
there is the risk that the Fund may not be able to enter into a closing
transaction because of an illiquid secondary market.
(D) Forward foreign currency contracts: The International Bond Fund may enter
into forward foreign currency contracts in order to hedge its exposure to
changes in foreign currency exchange rates on its foreign portfolio holdings.
When executing forward foreign currency contracts, the Fund is obligated to buy
or sell a foreign currency at a specified rate on a certain date in the future.
With respect to sales of forward foreign currency contracts, the Fund would
incur a loss if the value of the contract increases between the date the
forward contract is opened and the date the forward contract is closed. The
Fund realizes a gain if the value of the contract decreases between those
dates. With respect to purchases of forward foreign currency contracts, the
fund would incur a loss if the value of the contract decreases between the date
the forward contract is opened and the date the forward contract is closed. The
Fund realizes a gain if the value of the contract increases between those
dates. The Fund is also exposed to credit risk associated with counter party
nonperformance on these forward foreign currency contracts which is typically
limited to the unrealized gains on such contracts that are recognized in the
Statement of Assets and Liabilities.
(E) Securities transactions and investment income: Securities transactions
are recorded on a trade date basis. Realized gains and losses from securities
transactions are recorded on the identified cost basis. Dividend income is
recognized on the ex-dividend date and interest income, adjusted for
amortization of premiums and, when appropriate, discounts on investments, is
earned from settlement date and recognized on the accrual basis. Securities
purchased or sold on a when-issued or delayed-delivery basis may be settled a
month or more after the trade date.
Each Fund may enter into repurchase agreements with financial institutions
deemed to be creditworthy by FCIMCO, subject to the sellers agreement to
repurchase and the Funds agreement to resell such securities at a mutually
agreed upon price. Securities purchased subject to repurchase agreements are
deposited with the Fund's custodian and, pursuant to the terms of the
repurchase agreement, must have an aggregate market value greater than or equal
to the repurchase price
109
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
plus accrued interest at all times. If the value of the underlying securities
fall below the value of the repurchase price plus accrued interest, the Fund
will require the seller to deposit additional collateral by the next business
day. If the request for additional collateral is not met, or the seller
defaults on its repurchase obligation, the Fund maintains the right to sell the
underlying securities at market value and may claim any resulting loss against
the seller.
(F) Expenses: Expenses directly attributable to a Fund are charged to that
Funds operations; expenses which are applicable to all Funds are allocated
among them on the basis of relative net assets. Fund expenses directly
attributable to a class of shares are charged to that class; expenses which are
applicable to all classes are allocated among them.
(G) Dividends to shareholders: It is the policy of Managed Assets Income Fund
and Equity Income Fund to declare and pay dividends from net investment income
monthly while the Managed Assets Fund, Growth Fund, Special Opportunities Fund
and International Equity Fund declare and pay dividends quarterly. The Bond
Fund, Intermediate Bond Fund, International Bond Fund, Municipal Bond Fund,
Intermediate Municipal Bond Fund, U.S. Government Money Market Fund, Money
Market Fund and Municipal Money Market Fund declare dividends daily from net
investment income payable monthly. Distributions from net realized capital
gains, if any, are normally declared and paid annually, but each Fund may make
distributions on a more frequent basis to comply with the distribution
requirements of the Internal Revenue Code (the "Code"). However, to the extent
that net realized capital gains of a Fund can be reduced by capital loss
carryovers, if any, such gains will not be distributed.
The amounts of dividends from net investment income and of distributions from
net realized gains are determined in accordance with federal income tax
regulations, which may differ from generally accepted accounting principles. To
the extent these differences are permanent in nature, such amounts are
reclassified within the composition of net assets based on their federal tax-
basis treatment; temporary differences do not require reclassification.
Dividends and distributions to shareholders which exceed net investment income
and net realized capital gains for financial reporting purposes but not for tax
purposes are reported as distributions in excess of net investment income or
net realized capital gains. To the extent they exceed net investment income and
net realized capital gains for tax purposes, they are reported as distributions
of capital.
(H) Federal income taxes: It is the policy of each Fund to qualify or to
continue to qualify as a regulated investment company by complying with the
provisions available to certain investment companies, as defined in applicable
sections of the Code, and to make distributions of income and net realized
capital gains sufficient to relieve it from all, or substantially all, Federal
income and excise taxes.
Capital losses incurred after October 31 ("Post-October losses") within the
taxable year are deemed to arise on the first business day of the Funds next
taxable year. For the fiscal year ended December 31, 1995, the Municipal Money
110
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
Market Fund and the Special Opportunities Fund incurred and may elect to defer
net capital losses of approximately $50 and $113,000, respectively.
At December 31, 1995, the Managed Assets Income Fund had unused capital loss
carryovers of approximately $317,000, which are available for Federal income
tax purposes to be applied against future net capital gains, if any, realized
subsequent to December 31, 1995. If not applied, the carryover expires in 2003.
At December 31, 1995, the U.S. Government Money Market Fund had unused
capital loss carryovers of approximately $16,000, which are available for
Federal income tax purposes to be applied against future net capital gains, if
any, realized subsequent to December 31, 1995. If not applied, the carryover
expires in 2002.
At December 31, 1995, the Municipal Money Market Fund had unused capital loss
carryovers of approximately $40,000, which are available for Federal income tax
purposes to be applied against future net capital gains, if any, realized
subsequent to December 31, 1995. If not applied, $1,000 of the carryover
expires in 1999, $2,000 expires in 2001, $1,000 expires in 2002 and $36,000
expires in 2003.
At December 31, 1995, with the exception of the Growth Fund, the cost of the
Funds investments for Federal income tax purposes was substantially the same as
the cost for financial reporting purposes (see Portfolios of Investments).
(I) Other: Organization expenses incurred by the Funds are being amortized to
operations over the period during which it is expected that a benefit will be
realized, not to exceed five years.
Each Fund maintains a cash balance with its custodian and receives a
reduction of its custody fees and expenses for the amount of interest earned on
such uninvested cash balances. For financial reporting purposes for the six
months ended June 30, 1996, custodian fees and expenses and expenses paid by
third parties were increased by the following amounts:
<TABLE>
<S> <C>
Managed Assets Income Fund.......................................... $ 3,816
Managed Assets Fund................................................. 938
Equity Income Fund.................................................. 1,131
Growth Fund......................................................... 579
Special Opportunities Fund.......................................... 546
International Equity Fund........................................... 18,899
Intermediate Bond Fund.............................................. 965
Bond Fund........................................................... 1,433
International Bond Fund............................................. 618
Intermediate Municipal Bond Fund.................................... 5,602
Municipal Bond Fund................................................. 7,134
U.S. Government Money Market Fund................................... 4,086
Money Market Fund................................................... 9,900
Municipal Money Market Fund......................................... 9,001
</TABLE>
There was no effect on net investment income. The Funds could have invested
such cash amounts in an income-producing asset if they had not agreed to a
111
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
reduction of fees or expenses under the expense offset agreements with their
custodian.
(J) Concentration of risk: Investing in securities of foreign issuers and
foreign currency transactions may involve certain considerations and risks not
typically associated with investments in the United States. These risks include
revaluation of currencies, adverse fluctuations in foreign currency values and
possible adverse political, social and economic developments, including those
particular to a specific industry, country or region, which could cause the
securities and their markets to be less liquid and prices more volatile than
those of comparable U.S. securities. These risks are greater with respect to
securities of issuers located in emerging market countries in which certain
Funds are authorized to invest. The ability of the issuers of debt securities
held by the Funds to meet their obligations may be affected by economic and
political developments particular to a specific industry, country or region.
NOTE 3--INVESTMENT ADVISORY FEE, ADMINISTRATION FEE AND OTHER TRANSACTIONS WITH
AFFILIATES
(A) The Trust has an Investment Advisory Agreement with FCIMCO pursuant to
which FCIMCO has agreed to provide day-to-day management of each Fund's
investments at the following annual rates:
<TABLE>
<S> <C>
Managed Assets Income Fund............................................. 0.65%
Managed Assets Fund.................................................... 0.65%
Equity Income Fund..................................................... 0.50%
Growth Fund............................................................ 0.65%
Special Opportunities Fund............................................. 0.70%
International Equity Fund.............................................. 0.80%
Intermediate Bond Fund................................................. 0.40%
Bond Fund.............................................................. 0.55%
International Bond Fund................................................ 0.70%
Intermediate Municipal Bond Fund....................................... 0.40%
Municipal Bond Fund.................................................... 0.40%
U.S. Government Money Market Fund...................................... 0.40%
Money Market Fund...................................................... 0.40%
Municipal Money Market Fund............................................ 0.40%
</TABLE>
The Trust has an Administration Agreement with FCIMCO pursuant to which
FCIMCO has agreed to assist in all aspects of the Funds' operations at an
annual rate of 0.15% of each Fund's average daily net assets. FCIMCO has
engaged Concord to provide certain administrative services to the Funds
pursuant to a Master Sub-Administration Agreement between FCIMCO and Concord.
FCIMCO has agreed to pay Concord a fee for the services stipulated in the
Master Sub-Administration Agreement.
112
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
For the six months ended June 30, 1996, FCIMCO voluntarily agreed to
reimburse a portion of the operating expenses of the Funds to the extent that
the Funds' expenses exceeded the following amounts, excluding shareholder
servicing fees and 12b-1 fees (as a percentage of each Fund's average net
assets):
<TABLE>
<CAPTION>
Class A Class B Class I
------- ------- -------
<S> <C> <C> <C>
Managed Assets Income Fund.............................. 1.25% 2.00% 1.00%
Managed Assets Fund..................................... 1.25% 2.00% 1.00%
Equity Income Fund...................................... 0.90% 1.65% 0.65%
Growth Fund............................................. 1.05% 1.80% 0.80%
Special Opportunities Fund.............................. 1.10% 1.85% 0.85%
International Equity Fund............................... 1.30% 2.05% 1.05%
Intermediate Bond Fund.................................. 0.80% 1.55% 0.55%
Bond Fund............................................... 0.95% 1.70% 0.70%
International Bond Fund................................. 1.20% 1.95% 0.95%
Intermediate Municipal Bond Fund........................ 0.80% 1.55% 0.55%
Municipal Bond Fund..................................... 0.80% 1.55% 0.55%
U.S. Government Money Market............................ 0.80% NA NA
Money Market Fund....................................... 0.80% 1.55% NA
Municipal Money Market Fund............................. 0.70% NA NA
</TABLE>
As such, FCIMCO reimbursed expenses during the six months ended June 30, 1996
in the following amounts:
<TABLE>
<CAPTION>
Expense
Reimbursement
-------------
<S> <C>
Managed Assets Income Fund..................................... $ 49,405
Managed Assets Fund............................................ 55,370
Equity Income Fund............................................. 166,802
Growth Fund.................................................... 178,139
Special Opportunities Fund..................................... 91,042
International Equity Fund...................................... 121,611
Intermediate Bond Fund......................................... 117,649
Bond Fund...................................................... 119,917
International Bond Fund........................................ 46,124
Intermediate Municipal Bond Fund............................... 197,946
Municipal Bond Fund............................................ 150,790
U.S. Government Money Market Fund.............................. 101,615
Money Market Fund.............................................. 316,471
Municipal Money Market Fund.................................... 336,659
</TABLE>
The Distributor is not entitled to any fees pursuant to the Distribution
Agreement; however the Distributor may receive payments of sales charges or
contingent deferred sales charges.
113
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
For the six months ended June 30, 1996 the Distributor and FCIMCO and its
affiliates advised the Funds that they retained the following amounts from
commissions earned on the sale of each Fund's shares:
<TABLE>
<CAPTION>
FCIMCO
Distributor and its affiliates
----------- ------------------
<S> <C> <C>
Managed Assets Income Fund.................... $10,846 $930
Managed Assets Fund........................... 1,123 220
Equity Income Fund............................ 2,621 40
Growth Fund................................... 1,028 --
Special Opportunities Fund.................... 333 600
International Equity Fund..................... 2,250 800
Intermediate Bond Fund........................ 23 --
Bond Fund..................................... 480 --
International Bond Fund....................... 52 --
Intermediate Municipal Bond Fund.............. 190 814
Municipal Bond Fund........................... 941 256
</TABLE>
(B) The Funds' Class A shares and Class B shares have a Shareholder Services
Plan (the "Plan") pursuant to which the Funds pay the Distributor a fee, at an
annual rate of 0.25% of the average daily net assets of the outstanding Class A
shares and Class B shares. Pursuant to the terms of the Plan, the Distributor
has agreed to provide certain shareholder services to the holders of these
shares. Additionally, under the terms of the Plan, the Distributor may make
payments to other shareholder service agents who may include FCIMCO and its
affiliates.
For the six months ended June 30, 1996, the Funds paid the following amounts
under the Plan:
<TABLE>
<CAPTION>
Amounts paid to Amounts paid to Amounts
FCIMCO, FNBC other service retained by
and its affiliates organizations Distributor
------------------ --------------- -----------
<S> <C> <C> <C>
Managed Assets Income Fund... $ 6,490 $63,070 $481
Managed Assets Fund.......... 8,165 3,684 11
Equity Income Fund........... 846 4,713 13
Growth Fund.................. 1,594 5,250 13
Special Opportunities Fund... 484 799 13
International Equity Fund.... 1,676 3,456 12
Intermediate Bond Fund....... 4,754 3,476 --
Bond Fund.................... 1,318 1,285 12
International Bond Fund...... 300 352 12
Intermediate Municipal Bond
Fund........................ 11,719 9,929 546
Municipal Bond Fund.......... 4,316 4,973 139
U.S. Government Money Market
Fund........................ 82,679 -- 330
Money Market Fund............ 313,747 1,404 9
Municipal Money Market Fund.. 315,617 -- 18
</TABLE>
114
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
(C) The Funds' Class B shares have a Distribution Plan adopted pursuant to
Rule 12b-1 under the Act (the "12b-1 Plan") pursuant to which the Funds have
agreed to pay the Distributor for advertising, marketing and distributing
shares of the Funds at an annual rate of 0.75% of the average daily net assets
of the Funds' outstanding Class B shares. Under the terms of the 12b-1 Plan,
the Distributor may make payments to FCIMCO and its affiliates in respect of
these services. For the six months ended June 30, 1996, the Funds made the
following payments under the 12b-1 Plan, all of which was retained by the
Distributor:
<TABLE>
<S> <C>
Managed Assets Income Fund.......................................... $12,104
Managed Assets Fund................................................. 3,903
Equity Income Fund.................................................. 3,545
Growth Fund......................................................... 2,153
Special Opportunities Fund.......................................... 98
International Equity Fund........................................... 2,128
Intermediate Bond Fund.............................................. 1,413
Bond Fund........................................................... 211
International Bond Fund............................................. 16
Intermediate Municipal Bond Fund.................................... 1,519
Municipal Bond Fund................................................. 1,382
Money Market Fund................................................... 457
</TABLE>
NOTE 4--SECURITIES TRANSACTIONS
The following summarizes the securities transactions entered into by the
Funds, excluding short-term investments, for the six months ended June 30,
1996:
<TABLE>
<CAPTION>
Purchases Sales
------------ ------------
<S> <C> <C>
Managed Assets Income Fund........................ $ 13,486,476 $ 3,497,882
Managed Assets Fund............................... 154,125 --
Equity Income Fund................................ 85,251,269 89,486,586
Growth Fund....................................... 147,689,098 160,090,665
Special Opportunities Fund........................ 53,563,689 47,257,760
International Equity Fund......................... 59,387,476 2,099,835
Intermediate Bond Fund............................ 105,874,298 75,881,773
Bond Fund......................................... 68,668,713 47,058,672
International Bond Fund........................... 5,083,581 --
Intermediate Municipal Bond Fund.................. 110,172,853 115,585,130
Municipal Bond Fund............................... 95,361,378 96,216,828
</TABLE>
115
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
At June 30, 1996, accumulated net unrealized appreciation (depreciation) on
investments was as follows:
<TABLE>
<CAPTION>
Net Unrealized
Unrealized Unrealized Appreciation/
Appreciation Depreciation (Depreciation)
------------ ------------ --------------
<S> <C> <C> <C>
Managed Assets Income Fund.......... $ 9,312,584 $ (658,157) $ 8,654,427
Managed Assets Fund................. 1,290,209 (40,024) 1,250,185
Equity Income Fund.................. 44,584,743 (237,765) 44,346,978
Growth Fund......................... 48,168,298 (4,143,028) 44,025,270
Special Opportunities Fund.......... 18,523,319 (2,422,613) 16,100,706
International Equity Fund........... 10,045,959 (3,279,861) 6,766,098
Intermediate Bond Fund.............. 1,524,512 (2,928,396) (1,403,884)
Bond Fund........................... 1,124,945 (2,568,777) (1,443,832)
International Bond Fund............. 423,220 (492,783) (69,563)
Intermediate Municipal Bond Fund.... 7,381,065 (1,029,446) 6,351,619
Municipal Bond Fund................. 4,325,972 (436,050) 3,889,922
</TABLE>
NOTE 5--CAPITAL SHARE TRANSACTIONS
Transactions in shares of the Funds are summarized below:
<TABLE>
<CAPTION>
Managed Assets
Income Fund
-------------------------------------------
For the For the
Six Months Year Ended
Ended December 31,
June 30, 1996 1995
-------------------- ---------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
-----------
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued...................... $6,941,025 470,005 $ 6,191,735 463,615
Dividends reinvested............... 779,471 52,795 2,369,623 177,490
Shares redeemed.................... (4,110,893) (279,513) (9,494,631) (723,267)
---------- -------- ----------- --------
Net increase (decrease)............ $3,609,603 243,287 $ (933,273) (82,162)
========== ======== =========== ========
Class B Shares:
Shares issued...................... $1,885,926 127,911 $ 2,007,221 146,972
Dividends reinvested............... 37,701 2,550 33,593 2,392
Shares redeemed.................... (91,603) (6,159) -- --
---------- -------- ----------- --------
Net increase....................... $1,832,024 124,302 $ 2,040,814 149,364
========== ======== =========== ========
Class I Shares:
Shares issued...................... $ 110,990 7,569 $ 1,362,669 103,183
Dividends reinvested............... 3,243 220 11,790 865
Shares redeemed.................... (199,300) (13,529) (202,866) (15,263)
---------- -------- ----------- --------
Net increase (decrease)............ $ (85,067) (5,740) $ 1,171,593 88,785
========== ======== =========== ========
Net increase in Fund............... $5,356,560 361,849 $ 2,279,134 155,987
========== ======== =========== ========
</TABLE>
116
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Managed Assets
Fund
----------------------------------------------
For the For the Period
Six Months April 3, 1995
Ended through
June 30, 1996 December 31, 1995(a)
--------------------- -----------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued..................... $ 981,624 83,041 $ 8,265,007 774,054
Dividends reinvested.............. 44,470 3,721 77,996 6,993
Shares redeemed................... (1,598,920) (134,226) (582,928) (54,615)
----------- -------- ----------- --------
Net increase (decrease)........... $ (572,826) (47,464) $ 7,760,075 726,432
=========== ======== =========== ========
Class B Shares:
Shares issued..................... $ 341,450 28,891 $ 763,106 73,866
Dividends reinvested.............. 3,082 259 7,435 679
Shares redeemed................... (29,389) (2,479) (19,541) (1,829)
----------- -------- ----------- --------
Net increase...................... $ 315,143 26,671 $ 751,000 72,716
=========== ======== =========== ========
Class I Shares:
Shares issued..................... $ -- -- $ 363,704 35,836
Dividends reinvested.............. 28 2 81 7
Shares redeemed................... -- -- -- --
----------- -------- ----------- --------
Net increase...................... $ 28 2 $ 363,785 35,843
=========== ======== =========== ========
Net increase (decrease) in Fund... $ (257,655) (20,791) $ 8,874,860 834,991
=========== ======== =========== ========
</TABLE>
117
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Equity Income
Fund
--------------------------------------------------
For the For the Period
Six Months January 27, 1995,
Ended through
June 30, 1996 December 31, 1995(a)
------------------------ ------------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued............... $ 2,593,736 204,517 $ 3,147,813 274,126
Dividends reinvested........ 37,354 2,949 96,740 8,056
Shares redeemed............. (562,898) (44,345) (548,876) (47,021)
------------ ---------- ------------ ----------
Net increase................ $ 2,068,192 163,121 $ 2,695,677 235,161
============ ========== ============ ==========
Class B Shares:
Shares issued............... $ 755,253 59,886 $ 549,799 47,321
Dividends reinvested........ 9,121 719 20,644 1,708
Shares redeemed............. (34,688) (2,701) (5,669) (479)
------------ ---------- ------------ ----------
Net increase................ $ 729,686 57,904 $ 564,774 48,550
============ ========== ============ ==========
Class I Shares:
Shares issued............... $ 16,626,706 1,326,494 $254,460,104 24,853,530
Dividends reinvested........ 90,134 7,127 6,520,825 538,073
Shares redeemed............. (13,900,545) (1,105,542) (23,702,375) (2,132,230)
------------ ---------- ------------ ----------
Net increase................ $ 2,816,295 228,079 $237,278,554 23,259,373
============ ========== ============ ==========
Net increase in Fund........ $ 5,614,173 449,104 $240,539,005 23,543,084
============ ========== ============ ==========
</TABLE>
118
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Growth
Fund
--------------------------------------------------
For the For the Period
Six Months January 27, 1995,
Ended through
June 30, 1996 December 31, 1995(a)
------------------------ ------------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued.............. $ 2,059,759 163,338 $ 4,175,044 365,857
Dividends reinvested....... 7,979 630 284,304 24,056
Shares redeemed............ (1,052,207) (83,582) (339,951) (28,244)
------------ ---------- ------------ ----------
Net increase............... $ 1,015,531 80,386 $ 4,119,397 361,669
============ ========== ============ ==========
Class B Shares:
Shares issued.............. $ 539,479 43,223 $ 246,223 21,032
Dividends reinvested....... -- -- 18,650 1,584
Shares redeemed............ (22,971) (1,812) (2,126) (178)
------------ ---------- ------------ ----------
Net increase............... $ 516,508 41,411 $ 262,747 22,438
============ ========== ============ ==========
Class I Shares:
Shares issued.............. $ 12,801,975 1,028,443 $296,410,620 29,238,077
Dividends reinvested....... 19,311 1,519 14,724,145 1,243,736
Shares redeemed............ (29,172,266) (2,310,630) (67,961,411) (5,922,360)
------------ ---------- ------------ ----------
Net increase (decrease).... $(16,350,980) (1,280,668) $243,173,354 24,559,453
============ ========== ============ ==========
Net increase (decrease) in
Fund...................... $(14,818,941) (1,158,871) $247,555,498 24,943,560
============ ========== ============ ==========
</TABLE>
119
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Special Opportunities
Fund
-----------------------------------------------
For the For the Period
Six Months January 27, 1995,
Ended through
June 30, 1996 December 31, 1995(a)
--------------------- ------------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued.................. $ 1,724,658 136,292 $ 621,648 57,254
Dividends reinvested........... 23 2 13,920 1,177
Shares redeemed................ (1,048,065) (83,039) (38,190) (3,361)
----------- -------- ------------ ----------
Net increase................... $ 676,616 53,255 $ 597,378 55,070
=========== ======== ============ ==========
Class B Shares:
Shares issued.................. $ 40,710 3,126 $ 13,756 1,248
Dividends reinvested........... -- -- 308 26
Shares redeemed................ -- -- (52) (5)
----------- -------- ------------ ----------
Net increase................... $ 40,710 3,126 $ 14,012 1,269
=========== ======== ============ ==========
Class I Shares:
Shares issued.................. $ 9,878,497 781,144 $ 89,307,250 8,700,086
Dividends reinvested........... 1,386 109 1,180,180 99,691
Shares redeemed................ (5,293,022) (421,957) (12,836,851) (1,176,741)
----------- -------- ------------ ----------
Net increase................... $ 4,586,861 359,296 $ 77,650,579 7,623,036
=========== ======== ============ ==========
Net increase in Fund........... $ 5,304,187 415,677 $ 78,261,969 7,679,375
=========== ======== ============ ==========
</TABLE>
120
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
International Equity
Fund
----------------------------------------------
For the For the Period
Six Months March 3, 1995,
Ended through
June 30, 1996 December 31, 1995(a)
---------------------- ----------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued................... $ 2,462,024 218,946 $ 2,704,994 256,160
Dividends reinvested............ 13,331 1,178 72,968 6,664
Shares redeemed................. (1,111,304) (99,483) (171,519) (16,377)
----------- --------- ----------- ---------
Net increase.................... $ 1,364,051 120,641 $ 2,606,443 246,447
=========== ========= =========== =========
Class B Shares:
Shares issued................... $ 699,364 62,076 $ 177,315 16,903
Dividends reinvested............ 954 90 4,093 407
Shares redeemed................. (18,390) (1,628) (193) (18)
----------- --------- ----------- ---------
Net increase.................... $ 681,928 60,538 $ 181,215 17,292
=========== ========= =========== =========
Class I Shares:
Shares issued................... $42,701,673 3,766,633 $97,383,515 9,484,283
Dividends reinvested............ 11,801 1,035 1,458,486 131,833
Shares redeemed................. (3,696,607) (326,722) (5,651,592) (536,226)
----------- --------- ----------- ---------
Net increase.................... $39,016,867 3,440,946 $93,190,409 9,079,890
=========== ========= =========== =========
Net increase in Fund............ $41,062,846 3,622,125 $95,978,067 9,343,629
=========== ========= =========== =========
</TABLE>
121
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate Bond
Fund
----------------------------------------------------
For the Six Months For the Period
Ended February 1, 1995, through
June 30, 1996 December 31, 1995(b)
----------------------- ---------------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued............. $ 2,067,940 263,052 $ 7,282,071 895,627
Dividends reinvested...... 136,779 17,251 288,362 35,401
Shares redeemed........... (9,115,466) (161,738) (1,588,172) (194,954)
----------- ---------- ------------- -----------
Net increase (decrease)... $(6,910,747) 118,565 $ 5,982,261 736,074
=========== ========== ============= ===========
Class B Shares:
Shares issued............. $ 229,943 28,665 $ 303,451 37,048
Dividends reinvested...... 5,267 665 7,835 961
Shares redeemed........... (46,313) (5,874) (50,817) (6,308)
----------- ---------- ------------- -----------
Net increase.............. $ 188,897 23,456 $ 260,469 31,701
=========== ========== ============= ===========
Class I Shares:
Shares issued............. $31,552,204 3,980,497 $ 193,282,535 24,813,641
Dividends reinvested...... 153,612 19,379 3,730,335 459,341
Shares redeemed........... (9,646,223) (2,204,462) (22,128,156) (2,742,147)
----------- ---------- ------------- -----------
Net increase.............. $22,059,593 1,795,414 $ 174,884,714 22,530,835
=========== ========== ============= ===========
Net increase in Fund...... $15,337,743 1,937,435 $ 181,127,444 23,298,610
=========== ========== ============= ===========
</TABLE>
122
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate Bond Bond
Fund Fund
--------------------- ----------------------
For the Year For the Six Months
Ended Ended
January 31, 1995 June 30, 1996
--------------------- ----------------------
(Unaudited)
Amount Shares Amount Shares
------ ------ ------ ------
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued.................... $ 19,449 2,527 $ 1,047,511 101,525
Dividends reinvested............. 4,153 533 44,094 4,234
Shares redeemed.................. (15,285) (1,997) (221,279) (21,225)
---------- --------- ----------- ---------
Net increase..................... $ 8,317 1,063 $ 870,326 84,534
========== ========= =========== =========
Class B Shares:
Shares issued.................... $ 2,000 245 $ 8,496 804
Dividends reinvested............. 99 13 1,008 97
Shares redeemed.................. (2,099) (258) (11,001) (1,019)
---------- --------- ----------- ---------
Net decrease..................... $ -- -- $ (1,497) (118)
========== ========= =========== =========
Class I Shares:
Shares issued.................... $7,661,463 1,001,211 $16,095,789 1,559,023
Dividends reinvested............. 5,537 710 7,541 722
Shares redeemed.................. (5,328,334) (698,958) (6,617,699) (636,515)
---------- --------- ----------- ---------
Net increase..................... $2,338,666 302,963 $ 9,485,631 923,230
========== ========= =========== =========
Net increase in Fund............. $2,346,983 304,026 $10,354,460 1,007,646
========== ========= =========== =========
</TABLE>
123
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Bond International Bond
Fund Fund
------------------------ -------------------
For the Period For the
February 10, 1995, Six Months
through Ended
December 31, 1995(a) June 30, 1996
------------------------ -------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued.................... $ 1,854,556 174,316 $ 182,495 17,334
Dividends reinvested............. 110,618 10,293 9,834 930
Shares redeemed.................. (148,560) (13,734) (23,845) (2,259)
------------ ---------- ---------- -------
Net increase..................... $ 1,816,614 170,875 $ 168,484 16,005
============ ========== ========== =======
Class B Shares:
Shares issued.................... $ 58,404 5,401 $ -- --
Dividends reinvested............. 2,873 268 70 7
Shares redeemed.................. -- -- -- --
------------ ---------- ---------- -------
Net increase..................... $ 61,277 5,669 $ 70 7
============ ========== ========== =======
Class I Shares:
Shares issued.................... $127,483,190 12,620,870 $4,301,280 404,240
Dividends reinvested............. 2,860,982 267,174 12,174 1,146
Shares redeemed.................. (13,656,196) (1,289,980) (936,012) (88,085)
------------ ---------- ---------- -------
Net increase..................... $116,687,976 11,598,064 $3,377,442 317,301
============ ========== ========== =======
Net increase in Fund............. $118,565,867 11,774,608 $3,545,996 333,313
============ ========== ========== =======
</TABLE>
124
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
International Bond Intermediate Municipal
Fund Bond Fund
---------------------- ------------------------
For the Period For the
January 27, 1995, Six Months
through Ended
December 31, 1995(a) June 30, 1996
---------------------- ------------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued................. $ 480,966 42,767 $ 887,830 73,737
Dividends reinvested.......... 47,097 4,274 235,837 19,489
Shares redeemed............... (19,999) (1,752) (1,160,385) (96,213)
----------- --------- ------------ ----------
Net increase (decrease)....... $ 508,064 45,289 $ (36,718) (2,987)
=========== ========= ============ ==========
Class B Shares:
Shares issued................. $ 3,704 370 $ 176,150 14,675
Dividends reinvested.......... 484 44 3,856 319
Shares redeemed............... -- -- (167) (14)
----------- --------- ------------ ----------
Net increase.................. $ 4,188 414 $ 179,839 14,980
=========== ========= ============ ==========
Class I Shares:
Shares issued................. $15,099,834 1,442,838 $ 33,275,477 2,745,439
Dividends reinvested.......... 332,915 29,708 96,902 8,005
Shares redeemed............... (1,470,371) (130,514) (27,641,167) (2,296,798)
----------- --------- ------------ ----------
Net increase.................. $13,962,378 1,342,032 $ 5,731,212 456,646
=========== ========= ============ ==========
Net increase in Fund.......... $14,474,630 1,387,735 $ 5,874,333 468,639
=========== ========= ============ ==========
</TABLE>
125
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Intermediate Municipal
Bond Fund
-------------------------------------------------
For the Period For the
March 1, 1995, Year Ended
through February 28,
December 31, 1995(c) 1995
----------------------- ------------------------
Amount Shares Amount Shares
------ ------ ------ ------
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued............... $ 2,036,319 167,138 $ 920,191 78,527
Dividends reinvested........ 579,220 47,958 829,334 70,747
Shares redeemed............. (2,724,405) (225,316) (12,219,977) (1,053,197)
----------- ---------- ------------ ----------
Net decrease................ $ (108,866) (10,220) $(10,470,452) (903,923)
=========== ========== ============ ==========
Class B Shares:
Shares issued............... $ 348,000 28,626 $ 115,550 9,750
Dividends reinvested........ 4,876 399 1,971 169
Shares redeemed............. (20,212) (1,672) (123,958) (10,419)
----------- ---------- ------------ ----------
Net increase (decrease)..... $ 332,664 27,353 $ (6,437) (500)
=========== ========== ============ ==========
Class I Shares:
Shares issued............... $46,362,306 3,850,432 $366,411,242 31,318,358
Dividends reinvested........ 2,330,219 191,337 20,498 1,737
Shares redeemed............. (54,476,753) (4,527,302) (3,821,887) (325,102)
----------- ---------- ------------ ----------
Net increase (decrease)..... $(5,784,228) (485,533) $362,609,853 30,994,993
=========== ========== ============ ==========
Net increase (decrease) in
Fund....................... $(5,560,430) (468,400) $ 52,132,964 30,090,570
=========== ========== ============ ==========
</TABLE>
126
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Municipal Bond
Fund
--------------------------------------------------
For the For the Period
Six Months Ended March 1, 1995, through
June 30, 1996 December 31, 1995(c)
------------------------ ------------------------
Amount Shares Amount Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued.............. $ 470,562 38,219 $ 1,295,558 103,426
Dividends reinvested....... 110,515 8,916 346,338 27,700
Shares redeemed............ (618,647) (49,853) (1,377,127) (110,562)
------------ ---------- ------------ ----------
Net increase (decrease).... $ (37,570) (2,718) $ 264,769 20,564
============ ========== ============ ==========
Class B Shares:
Shares issued.............. $ 217,604 17,585 $ 228,602 18,257
Dividends reinvested....... 4,721 381 6,838 543
Shares redeemed............ -- -- (39) (3)
------------ ---------- ------------ ----------
Net increase............... $ 222,325 17,966 $ 235,401 18,797
============ ========== ============ ==========
Class I Shares:
Shares issued.............. $ 17,160,195 1,403,309 $ 32,958,625 2,685,708
Dividends reinvested....... 24,170 1,952 3,575,154 285,358
Shares redeemed............ (16,565,121) (1,341,032) (27,710,442) (2,219,888)
------------ ---------- ------------ ----------
Net increase............... $ 619,244 64,229 $ 8,823,337 751,178
============ ========== ============ ==========
Net increase in Fund....... $ 803,999 79,477 $ 9,323,507 790,539
============ ========== ============ ==========
</TABLE>
127
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
U.S. Government
Municipal Bond Money Market
Fund Fund
------------------------ --------------------------
For the For the For the
Year Ended Six Months Year Ended
February 28, Ended December 31,
1995 June 30, 1996 1995
------------------------ ------------- ------------
Amount Shares Shares Shares
------ ------ ------ ------
(Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued........... $ 301,216 25,507 103,720,750 250,085,862
Dividends reinvested.... 319,837 27,236 1,045,460 2,488,380
Shares redeemed......... (2,895,171) (246,815) (70,640,081) (311,695,323)
------------ ---------- ----------- ------------
Net increase (decrease). $ (2,274,118) (194,072) 34,126,129 (59,121,081)
============ ========== =========== ============
Class B Shares:
Shares issued........... $ -- -- -- --
Dividends reinvested.... 66 6 -- --
Shares redeemed......... (2,071) (168) -- --
------------ ---------- ----------- ------------
Net decrease............ $ (2,005) (162) -- --
============ ========== =========== ============
Class I Shares:
Shares issued........... $222,099,320 18,631,505 --
Dividends reinvested.... 3,923 325 --
Shares redeemed......... (4,444,913) (371,925) --
------------ ---------- ----------- ------------
Net increase............ $217,658,330 18,259,905 --
============ ========== =========== ============
Net increase in Fund.... $215,382,207 18,065,671 34,126,129 (59,121,081)
============ ========== =========== ============
</TABLE>
128
<PAGE>
PRAIRIE FUNDS
- -------------------------------------------------------------------------------
NOTES TO FINANCIAL STATEMENTS (UNAUDITED) -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
Municipal
Money Market Money Market
Fund Fund
--------------------------- ---------------------------
For the For the For the For the
Six Months Year Ended Six Months Year Ended
Ended December 31, Ended December 31,
June 30, 1996 1995 June 30, 1996 1995
------------- ------------ ------------- ------------
Shares Shares Shares Shares
------ ------ ------ ------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Class A Shares:
Shares issued........... 647,108,056 802,777,063 303,063,695 534,326,783
Dividends reinvested.... 4,313,881 6,872,109 1,569,202 3,305,612
Shares redeemed......... (495,796,561) (725,110,518) (270,654,125) (482,251,105)
------------ ------------ ------------ ------------
Net increase............ 155,625,376 84,538,654 33,978,772 55,381,290
============ ============ ============ ============
Class B Shares:
Shares issued........... 606,290 250,080 -- --
Dividends reinvested.... 1,364 903 -- --
Shares redeemed......... (576,327) (186,116) -- --
------------ ------------ ------------ ------------
Net increase............ 31,327 64,867 -- --
============ ============ ============ ============
Net increase in Fund.... 155,656,703 84,603,521 33,978,772 55,381,290
============ ============ ============ ============
</TABLE>
- -----------
(a) Period from commencement of operations.
(b) Effective February 1, 1995, the Fund changed its fiscal year end from
January 31 to December 31.
(c) Effective March 1, 1995, the Fund changed its fiscal year end from
February 28 to December 31.
NOTE 6--SUBSEQUENT EVENT
On August 23, 1996, the Prairie Growth Fund, Prairie International Equity
Fund, Prairie Bond Fund and Prairie Managed Assets Fund merged into The
Woodward Capital Growth Fund, The Woodward International Equity Fund, The
Woodward Bond Fund and The Woodward Balanced Fund, respectively.
On or about September 13, 1996, the Prairie Municipal Bond Fund, Inc.,
Prairie Money Market Fund, Prairie U.S. Government Money Market Fund and
Prairie Municipal Money Market Fund will merge into The Woodward Municipal
Bond Fund, The Woodward Money Market Fund, The Woodward Treasury Money Market
Fund and The Woodward Tax-Exempt Money Market Fund, respectively.
On or about September 21, 1996, the Prairie Equity Income Fund, Prairie
Special Opportunities Fund, Prairie Intermediate Bond Fund, Prairie
International Bond Fund, Prairie Intermediate Municipal Bond Fund and Prairie
Managed Assets Income Fund will reorganize into the Pegasus Equity Income
Fund, Pegasus Small Cap Opportunity Fund, Pegasus Income Fund, Pegasus
International Bond Fund, Pegasus Intermediate Municipal Bond Fund and Pegasus
Managed Assets Conservative Fund, respectively.
129
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the Year Ended December 31,
Months Ended -----------------------------------
June 30,
1996 1995 1994 1993 1992
------------ ------- ------- ------- -------
(Unaudited)
<S> <C> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning
of Period................ $ 14.54 $ 12.13 $ 13.11 $ 12.68 $ 12.56
------- ------- ------- ------- -------
INCOME (LOSS) FROM
INVESTMENT OPERATIONS:
Net investment income..... 0.27 0.64 0.73 0.72 0.79
Net realized and
unrealized gains (loss-
es) on investments...... 0.28 2.48 (0.98) 0.61 0.26
------- ------- ------- ------- -------
TOTAL INCOME (LOSS) FROM
INVESTMENT OPERATIONS.. 0.55 3.12 (0.25) 1.33 1.05
------- ------- ------- ------- -------
LESS DIVIDENDS AND DISTRI-
BUTIONS:
From net investment in-
come.................... (0.23) (0.68) (0.72) (0.72) (0.77)
From net realized gains on
investments............. -- (0.03) (0.01) (0.18) (0.16)
------- ------- ------- ------- -------
TOTAL DIVIDENDS AND
DISTRIBUTIONS.......... (0.23) (0.71) (0.73) (0.90) (0.93)
------- ------- ------- ------- -------
Net change in net asset
value.................... 0.32 2.41 (0.98) 0.43 0.12
------- ------- ------- ------- -------
Net Asset Value, End of Pe-
riod..................... $ 14.86 $ 14.54 $ 12.13 $ 13.11 $ 12.68
======= ======= ======= ======= =======
TOTAL RETURN (EXCLUDES SALES
CHARGE) 3.82%++ 26.40% (1.92)% 10.70% 8.68%
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to
average net assets....... 1.25%+ 1.17% 0.63% 0.39% 0.02%
Ratio of net investment
income to average net
assets................... 3.76%+ 4.88% 5.77% 5.54% 6.24%
Ratio of expenses to
average net assets*...... 1.43%+** 1.54% 1.67% 1.65% 1.88%
Ratio of net investment
income to average net
assets*.................. 3.59%+ 4.51% 4.73% 4.28% 4.38%
Portfolio turnover......... 7.44%++ 8.23% 28.69% 16.40% 22.14%
Net assets, end of period
(000's omitted).......... $56,764 $51,997 $44,367 $51,586 $34,262
Average commission rate
paid(1).................. $0.0700 -- -- -- --
</TABLE>
- -----------
(1) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
130
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the For the
Months Ended Period Ended Period Ended
June 30, December 31, December 2,
1996 1995(2) 1994(1)
------------ ------------ ------------
(Unaudited)
<S> <C> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period. $ 14.56 $12.42 $13.05
------- ------ ------
INCOME (LOSS) FROM INVESTMENT
OPERATIONS:
Net investment income............... 0.21 0.45 0.51
Net realized and unrealized gains
(losses) on investments........... 0.29 2.17 (0.91)
------- ------ ------
TOTAL INCOME (LOSS) FROM INVESTMENT
OPERATIONS....................... 0.50 2.62 (0.40)
------- ------ ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income.......... (0.18) (0.45) (0.54)
From net realized gains on invest-
ments............................. -- (0.03) (0.01)
------- ------ ------
TOTAL DIVIDENDS AND DISTRIBUTIONS.. (0.18) (0.48) (0.55)
------- ------ ------
Net change in net asset value........ 0.32 2.14 (0.95)
------- ------ ------
Conversion to Class A Shares(3)...... NA NA 12.10
------- ------ ------
Net Asset Value, End of Period....... $ 14.88 $14.56 --
======= ====== ======
TOTAL RETURN (EXCLUDES REDEMPTION
CHARGE) 3.42%++ 21.42%++ (3.13)%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net
assets............................. 1.99%+ 1.92%+ 1.21% +
Ratio of net investment income to
average net assets................. 3.01%+ 3.89%+ 4.10% +
Ratio of expenses to average net
assets*............................ 2.17%+** 2.12%+ 2.17% +
Ratio of net investment income to
average net assets*................ 2.84%+ 3.70%+ 3.14% +
Portfolio turnover................... 7.44%++ 8.23%++ 28.69% ++
Net assets, end of period (000's
omitted)........................... $ 4,072 $2,175 --
Average commission rate paid(4)...... $0.0700 -- --
</TABLE>
- -----------
(1) For the period February 8, 1994 (initial offering date of Class B Shares)
through December 2, 1994. On December 2, 1994, the Fund terminated its
offering of Class B Shares under the then-current sales load schedule and
such shares converted to Class A Shares.
(2) For the period March 3, 1995 (re-offering date of Class B Shares) through
December 31, 1995.
(3) On December 2, 1994, the Fund terminated its offering of Class B Shares
under the then-current sales load schedule and such shares converted to
Class A Shares.
(4) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
NA Not applicable.
See Notes to Financial Statements.
131
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS INCOME FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............... $ 14.57 $12.42
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.31 0.57
Net realized and unrealized gains on investments.. 0.28 2.18
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 0.59 2.75
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.26) (0.57)
From net realized gains on investments............ -- (0.03)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS................ (0.26) (0.60)
------- ------
Net change in net asset value...................... 0.33 2.15
------- ------
Net Asset Value, End of Period..................... $ 14.90 $14.57
======= ======
TOTAL RETURN 4.09%++ 22.55%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 0.86%+ 0.77%+
Ratio of net investment income to average net
assets........................................... 4.15%+ 5.12%+
Ratio of expenses to average net assets*........... 1.26%+** 1.22%+
Ratio of net investment income to average net
assets*.......................................... 3.76%+ 4.66%+
Portfolio turnover................................. 7.44%++ 8.23%++
Net assets, end of period (000's omitted).......... $ 1,237 $1,294
Average commission rate paid(2).................... $0.0700 --
</TABLE>
- -----------
(1) For the period March 3, 1995 (initial offering date of Class I Shares)
through December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
132
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period............... $11.50 $10.00
------ ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.13 0.14
Net realized and unrealized gains on investments.. 0.62 1.50
------ ------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 0.75 1.64
------ ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.06) (0.14)
------ ------
Net change in net asset value...................... 0.69 1.50
------ ------
Net Asset Value, End of Period..................... $12.19 $11.50
====== ======
TOTAL RETURN (EXCLUDES SALES CHARGE) 6.54%++ 16.48%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 1.27%+ 1.26%+
Ratio of net investment income to average net
assets........................................... 2.14%+ 2.45%+
Ratio of expenses to average net assets*........... 2.37%+** 3.15%+
Ratio of net investment income to average net
assets*.......................................... 1.06%+ 0.56%+
Portfolio turnover................................. 0.00%++ 2.25%++
Net assets, end of period (000's omitted).......... $8,279 $8,356
</TABLE>
- -----------
(1) For the period April 3, 1995 (commencement of operations) through December
31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
133
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period.............. $11.45 $10.00
------ ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................ 0.07 0.13
Net realized and unrealized gains on investments. 0.64 1.45
------ ------
TOTAL INCOME FROM INVESTMENT OPERATIONS......... 0.71 1.58
------ ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income....................... (0.03) (0.13)
------ ------
Net change in net asset value..................... 0.68 1.45
------ ------
Net Asset Value, End of Period.................... $12.13 $11.45
====== ======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) 6.24%++ 15.83% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 2.02%+ 2.00% +
Ratio of net investment income to average net
assets.......................................... 1.41%+ 1.69% +
Ratio of expenses to average net assets*.......... 3.25%+** 6.84% +
Ratio of net investment income (loss) to average
net assets*..................................... 0.20%+ (3.15)%+
Portfolio turnover................................ 0.00%++ 2.25% ++
Net assets, end of period (000's omitted)......... $1,205 $ 833
</TABLE>
- -----------
(1) For the period April 3, 1995 (commencement of operations) through December
31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
134
<PAGE>
PRAIRIE FUNDS
MANAGED ASSETS FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period.............. $11.46 $10.00
------ ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................ 0.15 0.22
Net realized and unrealized gains on investments. 0.63 1.46
------ ------
TOTAL INCOME FROM INVESTMENT OPERATIONS......... 0.78 1.68
------ ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income....................... (0.08) (0.22)
------ ------
Net change in net asset value..................... 0.70 1.46
------ ------
Net Asset Value, End of Period.................... $12.16 $11.46
====== ======
TOTAL RETURN 6.78%++ 16.90% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 0.87%+ 0.80% +
Ratio of net investment income to average net
assets.......................................... 2.55%+ 3.06% +
Ratio of expenses to average net assets*.......... 2.51%+** 4.12% +
Ratio of net investment income (loss) to average
net assets*..................................... 0.93%+ (0.26)%+
Portfolio turnover................................ 0.00%++ 2.25% ++
Net assets, end of period (000's omitted)......... $ 436 $ 411
</TABLE>
- -----------
(1) For the period April 3, 1995 (commencement of operations) through December
31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
135
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period............... $ 12.22 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.20 0.36
Net realized and unrealized gains on investments.. 0.54 2.57
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 0.74 2.93
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.16) (0.36)
In excess of net investment income................ -- (0.01)
From net realized gains on investments............ -- (0.34)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS................ (0.16) (0.71)
------- ------
Net change in net asset value...................... 0.58 2.22
------- ------
Net Asset Value, End of Period..................... $ 12.80 $12.22
======= ======
TOTAL RETURN (EXCLUDES SALES CHARGE) 6.06%++ 29.78%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 1.03%+ 1.11%+
Ratio of net investment income to average net
assets........................................... 3.24%+ 3.33%+
Ratio of expenses to average net assets*........... 1.08%+** 1.44%+
Ratio of net investment income to average net
assets*.......................................... 3.19%+ 2.99%+
Portfolio turnover................................. 31.13%++ 44.07%++
Net assets, end of period (000's omitted).......... $ 5,098 $2,873
Average commission rate paid(2).................... $0.0484 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
136
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period............... $ 12.22 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.14 0.29
Net realized and unrealized gains on investments.. 0.57 2.56
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 0.71 2.85
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.14) (0.29)
From net realized gains on investments............ -- (0.34)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS................ (0.14) (0.63)
------- ------
Net change in net asset value...................... 0.57 2.22
------- ------
Net Asset Value, End of Period..................... $ 12.79 $12.22
======= ======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) 5.64%++ 28.97%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 1.77%+ 1.90%+
Ratio of net investment income to average net
assets........................................... 2.51%+ 2.65%+
Ratio of expenses to average net assets*........... 2.12%+** 2.65%+
Ratio of net investment income to average net
assets*.......................................... 2.17%+ 1.90%+
Portfolio turnover................................. 31.13%++ 44.07%++
Net assets, end of period (000's omitted).......... $ 1,362 $ 593
Average commission rate paid(2).................... $0.0484 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
137
<PAGE>
PRAIRIE FUNDS
EQUITY INCOME FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............. $ 12.21 $ 10.00
-------- --------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income........................... 0.23 0.42
Net realized and unrealized gains on invest-
ments......................................... 0.54 2.55
-------- --------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 0.77 2.97
-------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... (0.19) (0.42)
From net realized gains on investments.......... -- (0.34)
-------- --------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. (0.19) (0.76)
-------- --------
Net change in net asset value.................... 0.58 2.21
-------- --------
Net Asset Value, End of Period................... $ 12.79 $ 12.21
======== ========
TOTAL RETURN 6.29%++ 30.27%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 0.65%+ 0.65%+
Ratio of net investment income to average net
assets......................................... 3.57%+ 4.08%+
Ratio of expenses to average net assets*......... 0.76%+** 0.77%+
Ratio of net investment income to average net
assets*........................................ 3.46%+ 3.96%+
Portfolio turnover............................... 31.13%++ 44.07%++
Net assets, end of period (000's omitted)........ $300,385 $283,927
Average commission rate paid(2).................. $ 0.0484 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
138
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period............... $ 11.97 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.04 0.11
Net realized and unrealized gains on investments.. 1.00 2.86
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 1.04 2.97
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.02) (0.11)
From net realized gains on investments............ -- (0.89)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS................ (0.02) (1.00)
------- ------
Net change in net asset value...................... 1.02 1.97
------- ------
Net Asset Value, End of Period..................... $ 12.99 $11.97
======= ======
TOTAL RETURN (EXCLUDES SALES CHARGE) 8.71%++ 29.98%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 1.17%+ 1.21%+
Ratio of net investment income to average net
assets........................................... 0.63%+ 0.86%+
Ratio of expenses to average net assets*........... 1.23%+** 1.39%+
Ratio of net investment income to average net
assets*.......................................... 0.57%+ 0.68%+
Portfolio turnover................................. 49.67%++ 106.02%++
Net assets, end of period (000's omitted).......... $ 5,741 $4,329
Average commission rate(2)......................... $0.0525 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
139
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period............. $ 11.95 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income........................... -- 0.06
Net realized and unrealized gains on invest-
ments......................................... 0.98 2.84
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 0.98 2.90
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... -- (0.06)
From net realized gains on investments.......... -- (0.89)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. -- (0.95)
------- ------
Net change in net asset value.................... 0.98 1.95
------- ------
Net Asset Value, End of Period................... $ 12.93 $11.95
======= ======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) 8.20% ++ 29.15% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 1.92% + 2.04% +
Ratio of net investment income (loss) to average
net assets..................................... (0.12)%+ 0.02% +
Ratio of expenses to average net assets*......... 2.13% +** 2.60% +
Ratio of net investment loss to average net
assets*........................................ (0.33)%+ (0.54)%+
Portfolio turnover............................... 49.67% ++ 106.02% ++
Net assets, end of period (000's omitted)........ $ 826 $ 268
Average commission rate(2)....................... $0.0525 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
140
<PAGE>
PRAIRIE FUNDS
GROWTH FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............. $ 11.97 $ 10.00
-------- --------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income........................... 0.07 0.15
Net realized and unrealized gains on invest-
ments......................................... 1.00 2.86
-------- --------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 1.07 3.01
-------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... (0.04) (0.15)
From net realized gains on investments.......... -- (0.89)
-------- --------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. (0.04) (1.04)
-------- --------
Net change in net asset value.................... 1.03 1.97
-------- --------
Net Asset Value, End of Period................... $ 13.00 $ 11.97
======== ========
TOTAL RETURN 8.91%++ 30.38%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 0.80%+ 0.80%+
Ratio of net investment income to average net
assets......................................... 0.99%+ 1.46%+
Ratio of expenses to average net assets*......... 0.92%+** 0.92%+
Ratio of net investment income to average net
assets*........................................ 0.87%+ 1.34%+
Portfolio turnover............................... 49.67%++ 106.02%++
Net assets, end of period (000's omitted)........ $302,524 $293,944
Average commission rate(2)....................... $ 0.0525 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
141
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period............. $ 12.20 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income (loss).................... (0.01) 0.02
Net realized and unrealized gains on invest-
ments......................................... 0.93 2.45
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 0.92 2.47
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... -- (0.02)
From net realized gains on investments.......... -- (0.25)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. -- (0.27)
------- ------
Net change in net asset value.................... 0.92 2.20
------- ------
Net Asset Value, End of Period................... $ 13.12 $12.20
======= ======
TOTAL RETURN (EXCLUDES SALES CHARGE) 7.54% ++ 24.80% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 1.23% + 1.25% +
Ratio of net investment income (loss) to average
net assets..................................... (0.23)%+ 0.19% +
Ratio of expenses to average net assets*......... 1.60% +** 2.56% +
Ratio of net investment loss to average net
assets*........................................ (0.60)%+ (1.12)%+
Portfolio turnover............................... 50.65% ++ 38.89% ++
Net assets, end of period (000's omitted)........ $ 1,422 $ 672
Average commission rate paid(2).................. $0.0358 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
142
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period............. $ 12.12 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment loss............................. (0.01) (0.03)
Net realized and unrealized gains on invest-
ments......................................... 0.89 2.40
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 0.88 2.37
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net realized gains on investments.......... -- (0.25)
------- ------
Net change in net asset value.................... 0.88 2.12
------- ------
Net Asset Value, End of Period................... $ 13.00 $12.12
======= ======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) 7.26% ++ 23.76% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 1.94% + 2.00% +
Ratio of net investment loss to average net
assets......................................... (1.03)%+ (0.51)%+
Ratio of expenses to average net assets*......... 6.06% +** 9.52% +
Ratio of net investment loss to average net
assets*........................................ (5.15)%+ (8.04)%+
Portfolio turnover............................... 50.65% ++ 38.89% ++
Net assets, end of period (000's omitted)........ $ 57 $ 15
Average commission rate paid(2).................. $0.0358 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
143
<PAGE>
PRAIRIE FUNDS
SPECIAL OPPORTUNITIES FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............. $ 12.19 $ 10.00
-------- -------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income........................... 0.01 0.06
Net realized and unrealized gains on invest-
ments......................................... 0.94 2.44
-------- -------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 0.95 2.50
-------- -------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... (0.01) (0.06)
From net realized gains on investments.......... -- (0.25)
-------- -------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. (0.01) (0.31)
-------- -------
Net change in net asset value.................... 0.94 2.19
-------- -------
Net Asset Value, End of Period................... $ 13.13 $ 12.19
======== =======
TOTAL RETURN 7.80%++ 25.08%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 0.85%+ 0.85%+
Ratio of net investment income to average net as-
sets........................................... 0.21%+ 0.59%+
Ratio of expenses to average net assets*......... 1.03%+** 1.09%+
Ratio of net investment income to average net as-
sets*.......................................... 0.03%+ 0.36%+
Portfolio turnover............................... 50.65%++ 38.89%++
Net assets, end of period (000's omitted)........ $104,838 $92,926
Average commission rate paid(2).................. $ 0.0358 --
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
144
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period............... $ 11.16 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.04 0.10
Net realized and unrealized gains on investments.. 0.34 1.40
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 0.38 1.50
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.04) (0.09)
From net realized gains on investments and foreign
currency transactions........................... -- (0.25)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS................ (0.04) (0.34)
------- ------
Net change in net asset value...................... 0.34 1.16
------- ------
Net Asset Value, End of Period..................... $ 11.50 $11.16
======= ======
TOTAL RETURN (EXCLUDES SALES CHARGE) 3.40%++ 15.16%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 1.44%+ 1.50%+
Ratio of net investment income to average net as-
sets............................................. 1.33%+ 1.19%+
Ratio of expenses to average net assets*........... 1.59%+** 1.96%+
Ratio of net investment income to average net as-
sets*............................................ 1.21%+ 0.72%+
Portfolio turnover................................. 2.09%++ 5.65%++
Net assets, end of period (000's omitted).......... $ 4,222 $2,749
Average commission rate paid(2).................... $0.0216 --
</TABLE>
- -----------
(1) For the period March 3, 1995 (commencement of operations) through December
31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
145
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period.............. $ 11.14 $10.00
------- ------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............................ 0.03 0.05
Net realized and unrealized gains on investments. 0.33 1.39
------- ------
TOTAL INCOME FROM INVESTMENT OPERATIONS......... 0.36 1.44
------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income....................... (0.02) (0.05)
From net realized gains on investments and for-
eign currency transactions..................... -- (0.25)
------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS............... (0.02) (0.30)
------- ------
Net change in net asset value..................... 0.34 1.14
------- ------
Net Asset Value, End of Period.................... $ 11.48 $11.14
======= ======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) 3.22%++ 14.52% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 2.15%+ 2.28% +
Ratio of net investment income to average net as-
sets............................................ 0.67%+ 0.40% +
Ratio of expenses to average net assets*.......... 2.51%+** 3.83% +
Ratio of net investment income (loss) to average
net assets*..................................... 0.34%+ (1.15)%+
Portfolio turnover................................ 2.09%++ 5.65% ++
Net assets, end of period (000's omitted)......... $ 893 $ 193
Average commission rate paid(2)................... $0.0216 --
</TABLE>
- -----------
(1) For the period March 3, 1995 (commencement of operations) through December
31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
146
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL EQUITY FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............. $ 11.17 $ 10.00
-------- --------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income........................... 0.09 0.14
Net realized and unrealized gains on invest-
ments......................................... 0.33 1.40
-------- --------
TOTAL INCOME FROM INVESTMENT OPERATIONS........ 0.42 1.54
-------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... (0.05) (0.12)
From net realized gains on investments and for-
eign currency transactions.................... -- (0.25)
-------- --------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. (0.05) (0.37)
-------- --------
Net change in net asset value.................... 0.37 1.17
-------- --------
Net Asset Value, End of Period................... $ 11.54 $ 11.17
======== ========
TOTAL RETURN 3.76%++ 15.62%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 1.05%+ 1.05%+
Ratio of net investment income to average net as-
sets........................................... 1.66%+ 1.70%+
Ratio of expenses to average net assets*......... 1.27%+** 1.38%+
Ratio of net investment income to average net as-
sets*.......................................... 1.47%+ 1.36%+
Portfolio turnover............................... 2.09%++ 5.65%++
Net assets, end of period (000's omitted)........ $144,478 $101,448
Average commission rate paid(2).................. $ 0.0216 --
</TABLE>
- -----------
(1) For the period March 3, 1995 (commencement of operations) through December
31, 1995.
(2) Represents the total dollar amount of commissions paid on portfolio
transactions divided by total number of shares purchased and sold by the
Fund for which commissions were charged.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
147
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the For the For the
Months Ended Period Ended Year Ended Period Ended
June 30, December 31, January 31, January 31,
1996 1995(1) 1995 1994(2)
------------ ------------ ----------- ------------
(Unaudited)
<S> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value,
Beginning of Period..... $ 8.18 $ 7.68 $ 8.25 $ 8.36
------ ------- ------ ------
INCOME (LOSS) FROM
INVESTMENT OPERATIONS:
Net investment income.... 0.22 0.44 0.52 0.47
Net realized and
unrealized gains on
investments............. (0.37) 0.72 (0.57) (0.09)
------ ------- ------ ------
TOTAL INCOME (LOSS)
FROM INVESTMENT
OPERATIONS............ (0.15) 1.16 (0.05) 0.38
------ ------- ------ ------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment
income.................. (0.22) (0.44) (0.52) (0.47)
From net realized gains
on investments.......... -- (0.22) -- (0.02)
------ ------- ------ ------
TOTAL DIVIDENDS AND
DISTRIBUTIONS......... (0.22) (0.66) (0.52) (0.49)
------ ------- ------ ------
Net change in net asset
value................... (0.37) 0.50 (0.57) (0.11)
------ ------- ------ ------
Net Asset Value, End of
Period.................. $ 7.81 $ 8.18 $ 7.68 $ 8.25
====== ======= ====== ======
TOTAL RETURN (EXCLUDES
SALES CHARGE) (1.79)%++ 15.55%++ (0.45)% 5.16%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to
average net assets...... 0.89% + 0.94%+ 0.04%+ -- +
Ratio of net investment
income to average net
assets.................. 5.61% + 5.72%+ 6.70%+ 5.96%+
Ratio of expenses to
average net assets*..... 0.96% +** 1.15%+ 2.78%+ 3.67%+
Ratio of net investment
income to average net
assets*................. 5.54% + 5.51%+ 3.96%+ 2.29%+
Portfolio turnover....... 40.84% ++ 173.26%++ 71.65% 26.54%++
Net assets, end of period
(000's omitted)......... $6,746 $ 6,095 $ 69 $ 65
</TABLE>
- -----------
(1) For the period February 1, 1995 (commencement of operations) through
December 31, 1995. Effective February 1, 1995, the Fund changed its fiscal
year end from January 31 to December 31.
(2) For the period March 5, 1993 (commencement of operations) through December
31, 1994.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
148
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the For the
Months Ended Period Ended Period Ended
June 30, December 31, January 31,
1996 1995(1) 1994(2)
------------ ------------ ------------
(Unaudited)
<S> <C> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of
Period............................. $ 8.18 $ 8.13 $ 8.16
------ ------- ------
INCOME (LOSS) FROM INVESTMENT
OPERATIONS:
Net investment income............... 0.19 0.24 0.40
Net realized and unrealized gains
(losses) on investments............ (0.36) 0.27 (0.55)
------ ------- ------
TOTAL INCOME (LOSS) FROM
INVESTMENT OPERATIONS............ (0.17) 0.51 (0.15)
------ ------- ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income.......... (0.19) (0.24) (0.40)
From net realized gains on
investments........................ -- (0.22) --
------ ------- ------
TOTAL DIVIDENDS AND DISTRIBUTIONS. (0.19) (0.46) (0.40)
------ ------- ------
Net change in net asset value....... (0.36) 0.05 (0.55)
------ ------- ------
Conversion to Class A Shares(3)..... NA NA 7.61
------ ------- ------
Net Asset Value, End of Period...... $ 7.82 $ 8.18 --
====== ======= ======
TOTAL RETURN (EXCLUDES REDEMPTION
CHARGE) (2.09)%++ 6.41%++ (1.82)%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net
assets............................. 1.69% + 1.60%+ --
Ratio of net investment income to
average net assets................. 4.83% + 5.00%+ 6.48% +
Ratio of expenses to average net
assets*............................ 1.80% +** 1.78%+ 2.58% +
Ratio of net investment income to
average net assets*................ 4.72% + 4.83%+ 3.90% +
Portfolio turnover.................. 40.84% ++ 173.26%++ 71.65% ++
Net assets, end of period (000's
omitted)........................... $ 432 $ 259 --
</TABLE>
- -----------
(1) For the period May 31, 1995 (re-offering date of Class B Shares) through
December 31, 1995. Effective February 1, 1995, the Fund changed its fiscal
year end from January 31 to December 31.
(2) For the period February 8, 1994 (initial offering date of Class B Shares)
through December 2, 1994. On December 2, 1994, the Fund terminated its
offering of Class B Shares and such shares converted to Class A Shares.
(3) On December 2, 1994, the Fund terminated the offering of Class B Shares
under the then-current sales load schedule and such shares converted to
Class A Shares.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
NA Not applicable.
See Notes to Financial Statements.
149
<PAGE>
PRAIRIE INTERMEDIATE BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the For the For the
Months Ended Period Ended Year Ended Period Ended
June 30, December 31, January 31, January 31,
1996 1995(1) 1995 1994(2)
------------ ------------ ----------- ------------
(Unaudited)
<S> <C> <C> <C> <C>
CLASS I SHARES:
Net Asset Value,
Beginning of Period... $ 8.18 $ 7.68 $ 8.25 $ 8.36
-------- -------- ------ ------
INCOME (LOSS) FROM
INVESTMENT OPERATIONS:
Net investment income.. 0.26 0.47 0.52 0.47
Net realized and
unrealized gains on
investments........... (0.38) 0.72 (0.57) (0.09)
-------- -------- ------ ------
TOTAL (LOSS) INCOME
FROM INVESTMENT
OPERATIONS.......... (0.12) 1.19 (0.05) 0.38
-------- -------- ------ ------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment
income................ (0.24) (0.47) (0.52) (0.47)
From net realized
gains on investments.. -- (0.22) -- (0.02)
-------- -------- ------ ------
TOTAL DIVIDENDS AND
DISTRIBUTIONS....... (0.24) (0.69) (0.52) (0.49)
-------- -------- ------ ------
Net change in net asset
value................. (0.36) 0.50 (0.57) (0.11)
-------- -------- ------ ------
Net Asset Value, End of
Period................ $ 7.82 $ 8.18 $ 7.68 $ 8.25
======== ======== ====== ======
TOTAL RETURN (1.53)%++ 15.90%++ (0.48)% 5.16%++
RATIOS/SUPPLEMENTAL
DATA:
Ratio of expenses to
average net assets.... 0.55% + 0.55%+ 0.04%+ --
Ratio of net investment
income to average net
assets................ 5.96% + 6.34%+ 6.70%+ 6.21%+
Ratio of expenses to
average net assets*... 0.67% +** 0.67%+ 2.78%+ 2.64%+
Ratio of net investment
income to average net
assets*............... 5.84% + 6.22%+ 3.96%+ 3.57%+
Portfolio turnover..... 40.84% ++ 173.26%++ 71.65% 26.54%++
Net assets, end of
period (000's
omitted).............. $197,579 $191,930 $7,101 $5,128
</TABLE>
- -----------
(1) For the period February 1, 1995 through December 31, 1995. Effective
February 1, 1995, the Fund changed its fiscal year end from January 31 to
December 31.
(2) For the period March 5, 1993 (commencement of operations) through January
31, 1994.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
150
<PAGE>
PRAIRIE FUNDS
BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period.............. $10.81 $ 10.00
------ -------
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.29 0.57
Net realized and unrealized gains (losses) on
investments...................................... (0.57) 1.20
------ -------
TOTAL INCOME (LOSS) FROM INVESTMENT OPERATIONS.. (0.28) 1.77
------ -------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.29) (0.57)
From net realized gains on investments............ -- (0.39)
------ -------
TOTAL DIVIDENDS AND DISTRIBUTIONS............... (0.29) (0.96)
------ -------
Net change in net asset value..................... (0.57) 0.81
------ -------
Net Asset Value, End of Period.................... $10.24 $ 10.81
====== =======
TOTAL RETURN (EXCLUDES SALES CHARGE) (2.64)%++ 18.22%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 1.07% + 1.02%+
Ratio of net investment income to average net
assets........................................... 5.51% + 5.94%+
Ratio of expenses to average net assets*.......... 1.29% +** 1.57%+
Ratio of net investment income to average net
assets*.......................................... 5.29% + 5.39%+
Portfolio turnover................................ 41.99% ++ 156.11%++
Net assets, end of period (000's omitted)......... $2,616 $ 1,847
</TABLE>
- -----------
(1) For the period February 10, 1995 (commencement of operations) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
151
<PAGE>
PRAIRIE FUNDS
BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period.............. $10.81 $ 10.00
------ -------
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.25 0.50
Net realized and unrealized gains (losses) on
investments...................................... (0.56) 1.20
------ -------
TOTAL INCOME (LOSS) FROM INVESTMENT OPERATIONS.. (0.31) 1.70
------ -------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.25) (0.50)
From net realized gains on investments............ -- (0.39)
------ -------
TOTAL DIVIDENDS AND DISTRIBUTIONS............... (0.25) (0.89)
------ -------
Net change in net asset value..................... (0.56) 0.81
------ -------
Net Asset Value, End of Period.................... $10.25 $ 10.81
====== =======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) (2.92)%++ 17.41%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 1.85% + 1.87%+
Ratio of net investment income to average net
assets........................................... 4.75% + 5.22%+
Ratio of expenses to average net assets*.......... 3.29% +** 3.91%+
Ratio of net investment income to average net
assets*.......................................... 3.31% + 3.19%+
Portfolio turnover................................ 41.99% ++ 156.11%++
Net assets, end of period (000's omitted)......... $ 57 $ 61
</TABLE>
- -----------
(1) For the period February 10, 1995 (commencement of operations) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
152
<PAGE>
PRAIRIE FUNDS
BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............ $ 10.81 $ 10.00
-------- --------
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income........................... 0.31 0.61
Net realized and unrealized gains (losses) on
investments.................................... (0.56) 1.20
-------- --------
TOTAL INCOME (LOSS) FROM INVESTMENT
OPERATIONS................................... (0.25) 1.81
-------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income...................... (0.31) (0.61)
From net realized gains on investments.......... -- (0.39)
-------- --------
TOTAL DIVIDENDS AND DISTRIBUTIONS............. (0.31) (1.00)
-------- --------
Net change in net asset value................... (0.56) 0.81
-------- --------
Net Asset Value, End of Period.................. $ 10.25 $ 10.81
======== ========
TOTAL RETURN (2.36)%++ 18.57%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets......... 0.70% + 0.70%+
Ratio of net investment income to average net
assets......................................... 5.89% + 6.48%+
Ratio of expenses to average net assets*........ 0.89% +** 0.87%+
Ratio of net investment income to average net
assets*........................................ 5.70% + 6.31%+
Portfolio turnover.............................. 41.99% ++ 156.11%++
Net assets, end of period (000's omitted)....... $128,348 $125,401
</TABLE>
- -----------
(1) For the period February 10, 1995 (commencement of operations) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
153
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS A SHARES:
Net Asset Value, Beginning of Period.............. $10.75 $10.00
------ ------
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income............................. 0.24 0.98
Net realized and unrealized gains (losses) on
investments...................................... (0.26) 1.10
------ ------
TOTAL INCOME (LOSS) FROM INVESTMENT OPERATIONS.. (0.02) 2.08
------ ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income........................ (0.24) (0.98)
In excess of net investment income................ -- (0.01)
From net realized gains on investments and
foreign currency transactions.................... -- (0.34)
------ ------
TOTAL DIVIDENDS AND DISTRIBUTIONS............... (0.24) (1.33)
------ ------
Net change in net asset value..................... (0.26) 0.75
------ ------
Net Asset Value, End of Period.................... $10.49 $10.75
====== ======
TOTAL RETURN (EXCLUDES SALES CHARGE) (0.15)%++ 21.10%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets........... 1.34% + 1.33%+
Ratio of net investment income to average net
assets........................................... 4.63% + 4.91%+
Ratio of expenses to average net assets*.......... 2.78% +** 3.65%+
Ratio of net investment income to average net
assets*.......................................... 3.20% + 2.59%+
Portfolio turnover................................ 0.00% ++ 48.03%++
Net assets, end of period (000's omitted)......... $ 643 $ 487
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
154
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period............. $10.81 $10.00
------ ------
INCOME (LOSS) FROM INVESTMENT OPERATIONS:
Net investment income............................ 0.20 0.91
Net realized and unrealized gains (losses) on
investments..................................... (0.26) 1.16
------ ------
TOTAL INCOME (LOSS) FROM INVESTMENT OPERATIONS. (0.06) 2.07
------ ------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income....................... (0.20) (0.91)
In excess of net investment income............... -- (0.01)
From net realized gains on investments and
foreign currency transactions................... -- (0.34)
------ ------
TOTAL DIVIDENDS AND DISTRIBUTIONS.............. (0.20) (1.26)
------ ------
Net change in net asset value.................... (0.26) 0.81
------ ------
Net Asset Value, End of Period................... $10.55 $10.81
====== ======
TOTAL RETURN (EXCLUDES REDEMPTION CHARGE) (0.51)%++ 20.90% ++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets.......... 2.13% + 2.03% +
Ratio of net investment income to average net
assets.......................................... 3.85% + 4.39% +
Ratio of expenses to average net assets*......... 12.06% +** 8.69% +
Ratio of net investment loss to average net
assets*......................................... (6.07)%+ (2.28)%+
Portfolio turnover............................... 0.00% ++ 48.03% ++
Net assets, end of period (000's omitted)........ $ 4 $ 4
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
155
<PAGE>
PRAIRIE FUNDS
INTERNATIONAL BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Period............... $ 10.81 $ 10.00
------- -------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income.............................. 0.27 1.02
Net realized and unrealized gains (losses) on
investments....................................... (0.26) 1.16
------- -------
TOTAL INCOME FROM INVESTMENT OPERATIONS.......... 0.01 2.18
------- -------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income......................... (0.27) (1.02)
In excess of net investment income................. -- (0.01)
From net realized gains on investments and foreign
currency transactions............................. -- (0.34)
------- -------
TOTAL DIVIDENDS AND DISTRIBUTIONS................ (0.27) (1.37)
------- -------
Net change in net asset value...................... (0.26) 0.81
------- -------
Net Asset Value, End of Period..................... $ 10.55 $ 10.81
======= =======
TOTAL RETURN 0.12%++ 22.13%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets............ 0.84%+ 0.95%+
Ratio of net investment income to average net
assets............................................ 5.14%+ 5.71%+
Ratio of expenses to average net assets*........... 1.38%+** 1.93%+
Ratio of net investment income to average net
assets*........................................... 4.60%+ 4.73%+
Portfolio turnover................................. 0.00%++ 48.03%++
Net assets, end of period (000's omitted).......... $17,508 $14,504
</TABLE>
- -----------
(1) For the period January 27, 1995 (commencement of operations) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
156
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the For the Year Ended
Six Months For the ---------------------------------------------------
Ended Period Ended
June 30, December 31, February 28, February 28, February 28, February 29,
1996 1995(1) 1995 1994 1993 1992
----------- ------------ ------------ ------------ ------------ ------------
(Unaudited)
<S> <C> <C> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value, Begin-
ning of Period....... $ 12.25 $ 11.79 $ 12.18 $ 12.79 $ 12.25 $ 11.95
------- ------- ------- ------- ------- -------
INCOME (LOSS) FROM
INVESTMENT
OPERATIONS:
Net investment income.. 0.26 0.44 0.55 0.61 0.64 0.76
Net realized and
unrealized gains
(losses) on
investments.......... (0.28) 0.56 (0.36) 0.01 0.68 0.37
------- ------- ------- ------- ------- -------
TOTAL INCOME (LOSS)
FROM INVESTMENT
OPERATIONS......... (0.02) 1.00 0.19 0.62 1.32 1.13
------- ------- ------- ------- ------- -------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment in-
come................. (0.26) (0.44) (0.55) (0.61) (0.64) (0.76)
From net realized gains
on investments....... -- (0.10) (0.03) (0.62) (0.14) (0.07)
------- ------- ------- ------- ------- -------
TOTAL DIVIDENDS AND
DISTRIBUTIONS...... (0.26) (0.54) (0.58) (1.23) (0.78) (0.83)
------- ------- ------- ------- ------- -------
Net change in net asset
value................ (0.28) 0.46 (0.39) (0.61) 0.54 0.30
------- ------- ------- ------- ------- -------
Net Asset Value, End of
Period............... $ 11.97 $ 12.25 $ 11.79 $ 12.18 $ 12.79 $ 12.25
======= ======= ======= ======= ======= =======
TOTAL RETURN (EXCLUDES
SALES CHARGE) (0.19)%++ 8.58%++ 1.64% 4.94% 11.26% 9.78%
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets... 0.85%+ 0.83%+ 0.29% 0.06% -- --
Ratio of net investment
income to average net
assets............... 4.28%+ 4.30%+ 4.73% 4.78% 5.16% 6.15%
Ratio of expenses to
average net assets*.. 0.93%+** 0.97%+ 1.38% 1.27% 1.31% 1.72%
Ratio of net investment
income to average net
assets*.............. 4.21%+ 4.16%+ 3.64% 3.57% 3.85% 4.43%
Portfolio turnover..... 29.65%++ 44.75%++ 128.02% 167.95% 63.67% 86.91%
Net assets, end of pe-
riod (000's omitted). $17,339 $17,777 $17,243 $28,826 $27,885 $18,310
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995. Effective March 1,
1995, the Fund changed its fiscal year end from February 28 to December
31.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
157
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the For the Period Ended
Six Months ------------------------------------------------------
Ended
June 30, December 31, February 28, December 2, February 28,
1996 1995(1) 1995(2) 1994(3) 1994(4)
----------- ------------ ------------ ----------- ------------
(Unaudited)
<S> <C> <C> <C> <C> <C>
CLASS B SHARES:
Net Asset Value, Begin-
ning of Period....... $ 12.25 $ 11.80 $ 11.57 $ 12.18 $ 12.32
-------- ------- ------- ------- -------
INCOME (LOSS) FROM
INVESTMENT
OPERATIONS:
Net investment income. 0.21 0.37 0.04 0.37 0.03
Net realized and
unrealized gains
(losses) on invest-
ments............... (0.28) 0.55 0.23 (0.72) (0.14)
-------- ------- ------- ------- -------
TOTAL INCOME (LOSS)
FROM INVESTMENT
OPERATIONS......... (0.07) 0.92 0.27 (0.35) (0.11)
-------- ------- ------- ------- -------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment
income.............. (0.21) (0.37) (0.04) (0.37) (0.03)
From net realized
gains on
investments......... -- (0.10) -- (0.03) --
-------- ------- ------- ------- -------
TOTAL DIVIDENDS AND
DISTRIBUTIONS...... (0.21) (0.47) (0.04) (0.40) (0.03)
-------- ------- ------- ------- -------
Net change in net asset
value................ (0.28) 0.45 0.23 (0.75) (0.14)
-------- ------- ------- ------- -------
Conversion to Class A
shares(5)............ NA NA NA 11.43 NA
-------- ------- ------- ------- -------
Net Asset Value, End of
Period............... $ 11.97 $ 12.25 $ 11.80 -- $ 12.18
======== ======= ======= ======= =======
TOTAL RETURN (EXCLUDES
REDEMPTION CHARGE) (0.61)%++ 7.75%++ 2.30%++ (2.98)%++ (0.93)%++
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets... 1.67% + 1.71%+ 1.36%+ 0.76% + 0.75% +
Ratio of net investment
income to average net
assets............... 3.47% + 3.36%+ 3.72%+ 4.03% + 1.68% +
Ratio of expenses to
average net assets*.. 1.86% +** 2.01%+ 1.64%+ 2.00% + 3.00% +
Ratio of net investment
income (loss) to av-
erage net assets*.... 3.28% + 3.06%+ 3.44%+ 2.79% + (0.57)%+
Portfolio turnover..... 29.65% ++ 44.75%++ 128.02%++ 128.02% ++ 167.95% ++
Net assets, end of
period (000's
omitted)............. $ 513 $ 341 $ 6 -- $ 12
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995. Effective March 1,
1995, the Fund changed its fiscal year end from February 28 to December
31.
(2) For the period January 30, 1995 (re-offering date of Class B Shares)
through February 28, 1995.
(3) For the period March 1, 1994 through December 2, 1994. On December 2,
1994, the Fund terminated its offering of Class B Shares and such shares
converted to Class A Shares.
(4) For the period February 8, 1994 (initial offering date of Class B Shares)
through February 28, 1994.
(5) On December 2, 1994, the Fund terminated the offering of Class B Shares
under the then-current sales load schedule and such shares converted to
Class A Shares.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
NA Not applicable.
See Notes to Financial Statements.
158
<PAGE>
PRAIRIE FUNDS
INTERMEDIATE MUNICIPAL BOND FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the For the
Months Ended Period Ended Period Ended
June 30, December 31, February 28,
1996 1995(1) 1995(2)
------------ ------------ ------------
(Unaudited)
<S> <C> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Pe-
riod............................ $ 12.25 $ 11.80 $ 11.57
-------- -------- --------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income............ 0.28 0.47 0.04
Net realized and unrealized gains
(losses) on investments........ (0.28) 0.55 0.23
-------- -------- --------
TOTAL INCOME FROM INVESTMENT
OPERATIONS.................... -- 1.02 0.27
-------- -------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income....... (0.28) (0.47) (0.04)
From net realized gains on in-
vestments...................... -- (0.10) --
-------- -------- --------
TOTAL DIVIDENDS AND DISTRIBU-
TIONS......................... (0.28) (0.57) (0.04)
-------- -------- --------
Net change in net asset value..... (0.28) 0.45 0.23
-------- -------- --------
Net Asset Value, End of Period.... $ 11.97 $ 12.25 $ 11.80
======== ======== ========
TOTAL RETURN (0.04)%++ 8.76%++ 2.37%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net
assets.......................... 0.55% + 0.55%+ 0.50%+
Ratio of net investment income to
average net assets.............. 4.59% + 4.78%+ 4.79%+
Ratio of expenses to average net
assets*......................... 0.66% +** 0.68%+ 0.60%+
Ratio of net investment income to
average net assets*............. 4.49% + 4.65%+ 4.69%+
Portfolio turnover................ 29.65% ++ 44.75%++ 128.02%++
Net assets, end of period (000's
omitted)........................ $370,767 $373,753 $365,801
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995. Effective March 1,
1995, the Fund changed its fiscal year end from February 28 to December
31.
(2) For the period February 1, 1995 (initial offering date of Class I Shares)
through February 28, 1995.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
159
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the For the Year Ended
Six Months For the ---------------------------------------------------
Ended Period Ended
June 30, December 31, February 28, February 28, February 28, February 29,
1996 1995(1) 1995 1994 1993 1992
----------- ------------ ------------ ------------ ------------ ------------
(Unaudited)
<S> <C> <C> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value, Begin-
ning of Period....... $12.64 $12.06 $12.13 $ 13.25 $ 12.49 $12.10
------ ------ ------ ------- ------- ------
INCOME (LOSS) FROM
INVESTMENT
OPERATIONS:
Net investment income. 0.27 0.48 0.60 0.63 0.70 0.76
Net realized and
unrealized gains
(losses) on
investments......... (0.42) 0.82 (0.07) (0.15) 1.01 0.47
------ ------ ------ ------- ------- ------
TOTAL INCOME (LOSS)
FROM INVESTMENT
OPERATIONS......... (0.15) 1.30 0.53 0.48 1.71 1.23
------ ------ ------ ------- ------- ------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment
income.............. (0.27) (0.48) (0.60) (0.63) (0.70) (0.76)
From net realized
gains on invest-
ments............... -- (0.24) -- (0.96) (0.25) (0.08)
In excess of net real-
ized gains on in-
vestments........... -- -- -- (0.01) -- --
------ ------ ------ ------- ------- ------
TOTAL DIVIDENDS AND
DISTRIBUTIONS...... (0.27) (0.72) (0.60) (1.60) (0.95) (0.84)
------ ------ ------ ------- ------- ------
Net change in net asset
value................ (0.42) 0.58 (0.07) (1.12) 0.76 0.39
------ ------ ------ ------- ------- ------
Net Asset Value, End of
Period............... $12.22 $12.64 $12.06 $ 12.13 $ 13.25 $12.49
====== ====== ====== ======= ======= ======
TOTAL RETURN (EXCLUDES
SALES CHARGE) (1.18)%++ 10.95%++ 4.45% 3.70% 14.37% 10.50%
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets... 0.90% + 0.89%+ 1.98% -- -- --
Ratio of net investment
income to average net
assets............... 4.42% + 4.57%+ 5.09% 4.85% 5.49% 5.99%
Ratio of expenses to
average net assets*.. 0.97% +** 1.04%+ 3.89% 1.44% 1.59% 2.75%
Ratio of net investment
income to average net
assets*.............. 4.36% + 4.43%+ 3.18% 3.41% 3.90% 3.24%
Portfolio turnover..... 43.29% ++ 69.31%++ 60.78% 175.06% 88.53% 66.28%
Net assets, end of pe-
riod (000's omitted). $7,149 $7,426 $6,840 $ 9,234 $11,290 $6,591
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995. Effective March 1,
1995, the Fund changed its fiscal year end from February 28 to December
31.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
160
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the Period Ended
Months Ended ----------------------------------------
June 30, December 31, December 2, February 28,
1996 1995(1) 1994(2) 1994(3)
------------ ------------ ----------- ------------
(Unaudited)
<S> <C> <C> <C> <C>
CLASS B SHARES:
Net Asset Value, Begin-
ning of Period....... $ 12.65 $ 12.17 $ 12.14 $ 12.37
------- ------- ------- -------
INCOME (LOSS) FROM
INVESTMENT
OPERATIONS:
Net investment income. 0.22 0.34 0.41 0.03
Net realized and
unrealized gains
(losses) on invest-
ments............... (0.42) 0.72 (0.70) (0.23)
------- ------- ------- -------
TOTAL INCOME (LOSS)
FROM INVESTMENT
OPERATIONS......... (0.20) 1.06 (0.29) (0.20)
------- ------- ------- -------
LESS DIVIDENDS AND DIS-
TRIBUTIONS:
From net investment
income.............. (0.22) (0.34) (0.41) (0.03)
From net realized
gains on
investments......... -- (0.24) -- --
------- ------- ------- -------
TOTAL DIVIDENDS AND
DISTRIBUTIONS...... (0.22) (0.58) (0.41) (0.03)
------- ------- ------- -------
Net change in net asset
value................ (0.42) 0.48 (0.70) (0.23)
------- ------- ------- -------
Conversion to Class A
Shares (4)........... NA NA 11.44 NA
------- ------- ------- -------
Net Asset Value, End of
Period............... $ 12.23 $ 12.65 $ NA $ 12.14
======= ======= ======= =======
TOTAL RETURN (EXCLUDES
REDEMPTION CHARGE) (1.57)%++ 8.81%++ (4.30)%+ (1.64)%++
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets... 1.67% + 1.66%+ 3.18% + 0.50% +
Ratio of net investment
income to average net
assets............... 3.69% + 3.61%+ 4.51% + 4.10% +
Ratio of expenses to
average net assets*.. 1.84% +** 2.04%+ 5.85% + 2.91% +
Ratio of net investment
income to average net
assets*.............. 3.52% + 3.23%+ 1.84% + 1.69% +
Portfolio turnover..... 43.29% ++ 69.31%++ 60.78% ++ 175.06% ++
Net assets, end of
period (000's
omitted)............. $ 450 $ 238 $ -- $ 2
</TABLE>
- -----------
(1) For the period April 4, 1995 (re-offering date of Class B Shares) through
December 31, 1995. Effective March 1, 1995, the Fund changed its fiscal
year end from February 28 to December 31.
(2) For the period March 1, 1994 through December 2, 1994. On December 2,
1994, the Fund terminated its offering of Class B Shares and such shares
converted to Class A Shares.
(3) For the period February 8, 1994 (initial offering date of Class B Shares)
through February 28, 1994.
(4) On December 2, 1994, the Fund terminated its offering of Class B Shares
under the then-current sales load schedule and such shares converted to
Class A Shares.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
NA Not applicable.
See Notes to Financial Statements.
161
<PAGE>
PRAIRIE MUNICIPAL BOND FUND, INC.
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS -- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the Period Ended
Months Ended --------------------------
June 30, December 31, February 28,
1996 1995(1) 1995(2)
------------ ------------ ------------
(Unaudited)
<S> <C> <C> <C>
CLASS I SHARES:
Net Asset Value, Beginning of Pe-
riod............................ $ 12.63 $ 12.06 $ 12.06
-------- -------- --------
INCOME (LOSS) FROM INVESTMENT OP-
ERATIONS:
Net investment income............ 0.29 0.52 0.05
Net realized and unrealized gains
(losses) on investments........ (0.41) 0.81 --
-------- -------- --------
TOTAL INCOME (LOSS) FROM
INVESTMENT OPERATIONS......... (0.12) 1.33 0.05
-------- -------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income....... (0.29) (0.52) (0.05)
From net realized gains on in-
vestments...................... -- (0.24) --
-------- -------- --------
TOTAL DIVIDENDS AND
DISTRIBUTIONS................. (0.29) (0.76) (0.05)
-------- -------- --------
Net change in net asset value..... (0.41) 0.57 --
-------- -------- --------
Net Asset Value, End of Period.... $ 12.22 $ 12.63 $ 12.06
======== ======== ========
TOTAL RETURN (0.92)%++ 11.20%++ 0.39%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net
assets.......................... 0.54% + 0.54%+ 0.65%+
Ratio of net investment income to
average net assets.............. 4.78% + 4.95%+ 5.45%+
Ratio of expenses to average net
assets*......................... 0.68% +** 0.67%+ 0.79%+
Ratio of net investment income to
average net assets*............. 4.65% + 4.81%+ 5.31%+
Portfolio turnover................ 43.29% ++ 69.31%++ 60.78%
Net assets, end of period (000's
omitted)........................ $233,073 $240,160 $220,143
</TABLE>
- -----------
(1) For the period March 1, 1995 through December 31, 1995. Effective March 1,
1995, the Fund changed its fiscal year end from February 28 to December
31.
(2) For the period February 1, 1995 (initial offering date of Class I Shares)
to February 28, 1995.
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
162
<PAGE>
PRAIRIE FUNDS
U.S. GOVERNMENT MONEY MARKET FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the Year Ended December 31,
Months Ended ---------------------------------------
June 30,
1996 1995 1994 1993 1992
------------ -------- -------- -------- --------
(Unaudited)
<S> <C> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value,
Beginning of Period. $ 0.9997 $ 0.9996 $ 0.9999 $ 1.0000 $ 1.0000
-------- -------- -------- -------- --------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment in-
come............... 0.0222 0.0498 0.0379 0.0249 0.0283
Net realized and
unrealized gains
(losses) on
investments........ 0.0001 0.0001 (0.0083) (0.0001) --
-------- -------- -------- -------- --------
TOTAL INCOME FROM
INVESTMENT
OPERATIONS........ 0.0223 0.0499 0.0296 0.0248 0.0283
-------- -------- -------- -------- --------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment
income............. (0.0222) (0.0498) (0.0379) (0.0249) (0.0283)
-------- -------- -------- -------- --------
Increase due to
voluntary capital
contribution from an
affiliate of the
Investment Adviser.. -- -- 0.0080 -- --
-------- -------- -------- -------- --------
Net change in net as-
set value........... 0.0001 0.0001 (0.0003) (0.0001) --
-------- -------- -------- -------- --------
Net Asset Value, End
of Period........... $ 0.9998 $ 0.9997 $ 0.9996 $ 0.9999 $ 1.0000
======== ======== ======== ======== ========
TOTAL RETURN 2.24%++ 5.09% 3.86%* 2.52% 2.87%
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets.. 0.80%+ 0.78% 0.86% 0.74% 0.91%
Ratio of net
investment income to
average net assets.. 4.47%+ 4.97% 3.73% 2.48% 2.87%
Ratio of expenses to
average net
assets**............ 1.11%+*** 1.07% 0.88% 0.88% 0.91%
Ratio of net
investment income to
average net
assets**............ 4.16%+ 4.67% 3.71% 2.34% 2.87%
Net assets, end of
period
(000's omitted)..... $91,390 $57,264 $116,353 $154,613 $548,733
</TABLE>
- -----------
* Had the Portfolio not had a capital contribution by an affiliate of the
Investment Adviser during the period, the total return would have been
2.83%.
** During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
*** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
163
<PAGE>
PRAIRIE FUNDS
MONEY MARKET FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the Year Ended December 31,
Months Ended ---------------------------------------
June 30,
1996 1995 1994 1993 1992
------------ -------- -------- -------- --------
(Unaudited)
<S> <C> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value,
Beginning of Period.. $ 1.0002 $ 0.9998 $ 1.0001 $ 1.0000 $ 1.0000
-------- -------- -------- -------- --------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment income. 0.0230 0.0514 0.0355 0.0274 0.0313
Net realized and
unrealized gains
(losses) on
investments......... (0.0002) 0.0010 (0.0109) 0.0001 --
-------- -------- -------- -------- --------
TOTAL INCOME FROM
INVESTMENT
OPERATIONS......... 0.0228 0.0524 0.0246 0.0275 0.0313
-------- -------- -------- -------- --------
LESS DIVIDENDS AND DIS-
TRIBUTIONS:
From net investment
income.............. (0.0230) (0.0514) (0.0355) (0.0274) (0.0313)
From net realized
gains on
investments......... -- (0.0006) (0.0002) -- --
-------- -------- -------- -------- --------
TOTAL DIVIDENDS AND
DISTRIBUTIONS...... (0.0230) (0.0520) (0.0357) (0.0274) (0.0313)
-------- -------- -------- -------- --------
Increase due to
voluntary capital
contribution from an
affiliate of the
Investment Adviser... -- -- 0.0108 -- --
-------- -------- -------- -------- --------
Net change in net asset
value................ (0.0002) 0.0004 (0.0003) 0.0001 --
-------- -------- -------- -------- --------
Net Asset Value, End of
Period............... $ 1.0000 $ 1.0002 $ 0.9998 $ 1.0001 $ 1.0000
======== ======== ======== ======== ========
TOTAL RETURN 2.33%++ 5.33% 3.63%* 2.77% 3.18%
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets... 0.80%+ 0.79% 1.02% 0.94% 0.98%
Ratio of net investment
income to average net
assets............... 4.63%+ 5.12% 3.51% 2.76% 3.17%
Ratio of expenses to
average net assets**. 1.05%+*** 1.07% 1.02% 0.99% 0.98%
Ratio of net investment
income to average net
assets**............. 4.39%+ 4.83% 3.51% 2.71% 3.17%
Net assets, end of
period
(000's omitted)...... $359,619 $203,994 $119,400 $162,623 $260,865
</TABLE>
- -----------
* Had the Portfolio not had a capital contribution by an affiliate of the
Investment Adviser during the period, the total return would have been
2.61%.
** During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
*** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
164
<PAGE>
PRAIRIE FUNDS
MONEY MARKET FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS-- (CONTINUED)
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the
Months Ended Period Ended
June 30, December 31,
1996 1995(1)
------------ ------------
(Unaudited)
<S> <C> <C>
CLASS B SHARES:
Net Asset Value, Beginning of Period............ $ 1.0002 $ 1.0000
-------- --------
INCOME FROM INVESTMENT OPERATIONS:
Net investment income.......................... 0.0193 0.0162
Net realized and unrealized gains (losses) on
investments.................................. (0.0001) 0.0008
-------- --------
TOTAL INCOME FROM INVESTMENT OPERATIONS....... 0.0192 0.0170
-------- --------
LESS DIVIDENDS AND DISTRIBUTIONS:
From net investment income..................... (0.0193) (0.0162)
From net realized gains on investments......... -- (0.0006)
-------- --------
TOTAL DIVIDENDS AND DISTRIBUTIONS............. (0.0193) (0.0168)
-------- --------
Net change in net asset value................... (0.0001) 0.0002
-------- --------
Net Asset Value, End of Period.................. $ 1.0001 $ 1.0002
======== ========
TOTAL RETURN 1.95% ++ 1.69%++
RATIOS/SUPPLEMENTAL DATA:
Ratio of expenses to average net assets......... 1.55% + 1.51%+
Ratio of net investment income to average net
assets........................................ 3.89% + 4.33%+
Ratio of expenses to average net assets*........ 14.38% +** 2.02%+
Ratio of net investment income (loss) to average
net assets*................................... (8.93)%+ 3.82%+
Net assets, end of period (000's omitted)....... $ 96 $ 65
</TABLE>
- -----------
(1) For the period May 20, 1995 (initial offering of Class B Shares) through
December 31, 1995.
* During the period, certain fees were voluntarily reimbursed. If such
voluntary fee reimbursements had not occurred, the ratios would have been
as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
165
<PAGE>
PRAIRIE FUNDS
MUNICIPAL MONEY MARKET FUND
- -------------------------------------------------------------------------------
FINANCIAL HIGHLIGHTS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
For the Six For the Year Ended December 31,
Months Ended --------------------------------------
June 30,
1996 1995 1994 1993 1992
------------ -------- -------- -------- --------
(Unaudited)
<S> <C> <C> <C> <C> <C>
CLASS A SHARES:
Net Asset Value, Be-
ginning of Period... $ 0.9998 $ 0.9997 $ 0.9999 $ 0.9999 $ 0.9999
-------- -------- -------- -------- --------
INCOME FROM INVESTMENT
OPERATIONS:
Net investment in-
come............... 0.0138 0.0322 0.0234 0.0174 0.0236
Net realized and
unrealized gains
(losses) on
investments........ -- 0.0001 (0.0002) -- --
-------- -------- -------- -------- --------
TOTAL INCOME FROM
INVESTMENT
OPERATIONS........ 0.0138 0.0323 0.0232 0.0174 0.0236
-------- -------- -------- -------- --------
LESS DIVIDENDS AND
DISTRIBUTIONS:
From net investment
income............. (0.0138) (0.0322) (0.0234) (0.0174) (0.0236)
-------- -------- -------- -------- --------
Net change in net as-
set value........... -- 0.0001 (0.0002) -- --
-------- -------- -------- -------- --------
Net Asset Value, End
of Period........... $ 0.9998 $ 0.9998 $ 0.9997 $ 0.9999 $ 0.9999
======== ======== ======== ======== ========
TOTAL RETURN 1.39%++ 3.26% 2.36% 1.75% 2.38%
RATIOS/SUPPLEMENTAL DA-
TA:
Ratio of expenses to
average net assets.. 0.70%+ 0.70% 0.68% 0.79% 0.95%
Ratio of net
investment income to
average net assets.. 2.76%+ 3.21% 2.33% 1.74% 2.38%
Ratio of expenses to
average net assets*. 0.97%+** 0.94% 0.93% 0.95% 0.96%
Ratio of net
investment income to
average net assets*. 2.50%+ 2.97% 2.08% 1.58% 2.37%
Net assets, end of
period (000's
omitted)............ $262,490 $228,511 $173,130 $177,698 $210,000
</TABLE>
- -----------
* During the period, certain fees were voluntarily reduced and/or
reimbursed. If such voluntary fee reductions and/or reimbursements had not
occurred, the ratios would have been as indicated.
** During the six months ended June 30, 1996, the Fund received credits from
its custodian for interest earned on uninvested cash balances which were
used to offset custodian fees and expenses. If such credits had not
occurred, the expense ratio would have been as indicated. The ratio of net
investment income was not affected.
+ Annualized.
++ Not annualized.
See Notes to Financial Statements.
166
<PAGE>
PRAIRIE FUNDS
- --------------------------------------------------------------------------------
RESULTS OF SPECIAL SHAREHOLDER MEETING (UNAUDITED)
- --------------------------------------------------------------------------------
On July 10, 1996, a special meeting of the shareholders of Prairie Funds,
Prairie Intermediate Bond Fund and Prairie Municipal Bond Fund, Inc. was held
to approve an Agreement and Plan of Reorganization by and between Woodward
Funds and Prairie Funds.
The shareholders approved the Reorganization Agreement with respect to each
Fund as follows:
<TABLE>
<CAPTION>
Portfolio In Favor Opposed Abstain
- --------- ----------- --------- ----------
<S> <C> <C> <C>
Managed Assets Fund............................ 495,381 979 5,193
Equity Income Fund............................. 17,086,027 557,152 778,275
Growth Fund.................................... 16,985,662 336,073 431,857
Special Opportunities Fund..................... 6,108,968 36,495 159,336
Intermediate Bond Fund......................... 17,288,591 102,858 426,036
Bond Fund...................................... 6,766,424 278,628 438,535
International Bond Fund........................ 1,243,173 2,257 6,297
Intermediate Municipal Bond Fund............... 21,540,002 449,258 384,673
Municipal Bond Fund, Inc. ..................... 13,143,654 353,174 949,035
U.S. Government Money Market Fund.............. 38,340,979 1,424,680 4,431,933
Money Market Fund.............................. 136,028,608 5,041,454 14,543,694
Municipal Money Market Fund.................... 138,203,505 5,069,235 12,044,818
On July 23, 1996, a special meeting of the shareholders of the Prairie Managed
Assets Income Fund of Prairie Funds was held to approve an Agreement and Plan of
Reorganization by and between Woodward Funds and Prairie Funds.
The shareholders approved the Reorganization Agreement with respect to the
Managed Assets Income Fund as follows:
<CAPTION>
Portfolio In Favor Opposed Abstain
- --------- ----------- --------- ----------
<S> <C> <C> <C>
Managed Assets Income Fund..................... 2,106,210 63,874 131,178
On July 31, 1996, a special meeting of the shareholders of the Prairie
International Equity Fund of Prairie Funds was held to approve an Agreement and
Plan of Reorganization by and between Woodward Funds and Prairie International
Equity Fund.
The shareholders approved the Reorganization Agreement with respect to the
International Equity Fund as follows:
<CAPTION>
Portfolio In Favor Opposed Abstain
- --------- ----------- --------- ----------
<S> <C> <C> <C>
International Equity Fund...................... 8,671,709 118,384 156,745
</TABLE>
167
<PAGE>
(THIS PAGE INTENTIONALLY LEFT BLANK)
<PAGE>
-------------
PRAIRIE FUNDS FIRST CLASS
c/o First Chicago NBD Investment U.S. Postage
Management Company (FCNIMCO) PAID
Three First National Plaza, MS 0334 Hudson, MA
Chicago, IL 60670-0334 Permit No. 19
-------------
