BRADFORD
GOVERNMENT
OBLIGATIONS
MONEY MARKET
PORTFOLIO
J.C. Bradford & Co.
MEMBER NEW YORK STOCK EXCHANGE, INC.
[LOGO OMITTED]
Semi-Annual Report
February 28, 1997
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
SEMI-ANNUAL INVESTMENT ADVISER'S REPORT
Economic activity continued its sawtooth pattern in the second half of 1996
by dipping sharply in the third quarter but recovering strongly in the last
three months. Fourth quarter GDP was initially reported at 4.7%, led by gains in
industrial production, capacity utilization and housing. The pace of new job
creation also continued strong and market sentiment began to focus on the
possibility that wage pressures might raise inflation. For the year, both the
consumer and producer price indices showed gains of about 3%, however, the core
rates, excluding the more volatile food and energy components were less
troubling. The Federal Reserve maintained a close watch over the markets and was
often thought to be on the verge of tightening monetary policy. This increased
the volatility of short-term rates during the period, but no change in monetary
policy was effected. The Fed's strongest impact on the markets was in early
December when the chairman spoke of the "irrational exuberance" that existed and
warned investors of sudden changes in fortune. The markets weakened for a short
while, but by the middle of February, the Dow Jones Industrial Average, for
example, had another added 600 points to its upward climb.
Short-term taxable interest rates continued to trade off of the 5.25%
federal funds rate, but near-term fluctuations were volatile and the yield curve
took on varying degrees of positive slope depending on the perceived timing of a
Fed tightening. As also usually happens, year-end pressures pushed yields on one
and two-month obligations to temporary highs, as issuers tried to induce
investors to put money into early 1997. This increase in rates provided
opportunity for the funds to enhance portfolio yields by extending that portion
of their cash that was not needed to provide year-end liquidity. The effect of
these actions late in the year was a gradual lengthening in the funds' average
weighted maturities to a 40-day target for the government portfolio and a 55-day
target for the money market portfolio.
Looking ahead, the course of monetary policy will be closely watched and
hotly debated. Chairman Greenspan has already warned the markets about a
"preemptive strike" on interest rates to prevent a rekindling of inflation. The
economy appears to be expanding at a 2.5-3.0% pace and inflation continues to
hover around 3.0%. In this environment, short-term rates could well remain at
current levels for some time, however, there is a clear bias, on the part of the
Fed, to tighten monetary policy.
PNC Institutional Management Corporation
(Please dial toll-free 800-533-7719 for questions regarding
your account or contact your broker.)
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
STATEMENT OF NET ASSETS
FEBRUARY 28, 1997
(UNAUDITED)
PAR
(000) VALUE
-------- -------------
AGENCY OBLIGATIONS--69.7%
FEDERAL FARM CREDIT BANK--8.1%
4.950% 03/03/97 ............... $ 7,000 $ 6,999,812
5.400% 04/01/97 ............... 30,000 29,996,651
5.510% 01/02/98 ............... 10,000 9,985,383
------------
46,981,846
------------
FEDERAL HOME LOAN BANK--3.6%
7.070% 03/03/97 ............... 6,500 6,500,565
5.200% 10/27/97 ............... 15,000 14,480,000
------------
20,980,565
------------
FEDERAL HOME LOAN MORTGAGE CORPORATION--18.1%
5.190% 03/18/97 ............... 23,000 22,943,631
5.230% 04/07/97 ............... 20,000 19,892,494
5.160% 05/12/97 ............... 15,000 14,845,200
5.160% 05/14/97 ............... 8,350 8,261,434
5.160% 05/20/97 ............... 20,000 19,770,667
5.260% 07/15/97 ............... 10,000 9,801,289
5.520% 11/06/97 ............... 9,000 8,994,457
------------
104,509,172
------------
FEDERAL NATIONAL MORTGAGE ASSOCIATION--25.3%
5.230% 03/04/97(DAGGER) ....... 10,000 10,000,000
5.340% 03/04/97(DAGGER) ....... 10,000 9,997,287
5.313% 03/06/97(DAGGER) ....... 20,000 19,999,793
5.309% 03/17/97(DAGGER) ....... 20,000 19,997,973
5.278% 03/30/97(DAGGER) ....... 10,000 9,994,823
5.240% 04/10/97 ............... 9,875 9,817,506
5.170% 04/16/97 ............... 20,000 19,867,878
5.245% 04/18/97 ............... 10,000 9,930,067
5.240% 07/11/97 ............... 24,075 23,612,439
6.020% 09/05/97 ............... 3,000 3,006,740
5.600% 01/16/98 ............... 10,000 9,989,886
------------
146,214,392
------------
STUDENT LOAN MARKETING ASSOCIATION(DAGGER)--14.6%
5.320% 03/04/97(DAGGER) ....... 5,000 4,999,672
5.320% 03/04/97(DAGGER) ....... 20,000 19,993,340
5.330% 03/04/97(DAGGER) ....... 9,000 8,999,076
5.340% 03/04/97(DAGGER) ....... 5,000 5,000,000
PAR
(000) VALUE
-------- -------------
STUDENT LOAN MARKETING ASSOCIATION(DAGGER)--(CONTINUED)
5.340% 03/04/97(DAGGER) ....... $30,000 $ 30,000,000
5.360% 03/04/97(DAGGER) ....... 15,000 14,998,207
------------
83,990,295
------------
TOTAL AGENCY OBLIGATIONS
(Cost $402,676,270) ....... 402,676,270
------------
UNITED STATES TREASURY OBLIGATIONS--2.6%
U.S. TREASURY NOTES--2.6%
6.875% 03/31/97 ............... 5,000 5,005,375
6.500% 04/30/97 ............... 10,000 10,012,695
------------
TOTAL U. S. TREASURY
OBLIGATIONS
(Cost $15,018,070) ........ 15,018,070
------------
REPURCHASE AGREEMENTS--27.3%
Donaldson, Lufkin & Jenrette
(Agreement dated 02/28/97
to be repurchased at
$100,045,250, collateralized
by $306,970,150 Federal
National Mortgage
Association due 01/01/12.
Market value of collateral
is $103,007,239.)
5.430% 03/03/97 ............... 100,000 100,000,000
Goldman Sachs & Co.
(Agreement dated 02/28/97
to be repurchased at
$37,216,585, collateralized
by $38,805,000 U.S.
Treasury Bond 6.625%
due 02/15/27. Market
value of collateral is
$37,944,776.)
5.350% 03/03/97 ................ 37,200 37,200,000
Lehman Government Securities Inc.
(Agreement dated 02/28/97
to be repurchased at
$20,109,109, collateralized
by $114,075,000 Strip of
Principal due 08/15/21.
Market value of collateral is
$20,502,700.)
5.438% 03/03/97 ................ 20,100 20,100,000
------------
TOTAL REPURCHASE AGREEMENTS
(Cost $157,300,000) ........ 157,300,000
------------
See Accompanying Notes to Financial Statements.
2
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
STATEMENT OF NET ASSETS (CONCLUDED)
FEBRUARY 28, 1997
(UNAUDITED)
VALUE
-------------
TOTAL INVESTMENTS AT VALUE--99.6%
(Cost $574,994,340*) ................. $574,994,340
OTHER ASSETS IN EXCESS
OF LIABILITIES -- 0.4% ............... 2,319,057
------------
NET ASSETS (Applicable to
191,007,843 Bedford shares,
46,301,694 Bradford
shares, 340,009,863
Janney Montgomery Scott
shares and 800
other shares) -- 100.0% .............. $577,313,397
============
NET ASSET VALUE, offering and
redemption price per share
($577,313,397 (DIVIDE) 577,320,200) .. $1.00
=====
* Also cost for Federal income tax purposes.
(DAGGER) Variable Rate Obligations -- The interest rate is the rate as of
February 28, 1997 and the maturity date shown is the longer of the next
interest readjustment date or the date the principal amount shown can be
recovered through demand.
See Accompanying Notes to Financial Statements.
3
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
STATEMENT OF OPERATIONS
FOR THE SIX MONTHS ENDED
FEBRUARY 28, 1997 (UNAUDITED)
INVESTMENT INCOME
Interest ............................... $15,401,603
-----------
EXPENSES
Investment advisory fees ............... 1,185,738
Distribution fees ...................... 1,676,849
Directors' fees ........................ 6,363
Custodian fees ......................... 52,982
Transfer agent fees .................... 270,566
Legal fees ............................. 12,957
Audit fees ............................. 7,094
Registration fees ...................... 116,000
Insurance expense ...................... 5,741
Printing expense ....................... 48,149
-----------
3,382,439
Less fees waived ....................... (355,487)
Less expense reimbursement by Advisor .. (200,690)
-----------
Total expenses ...................... 2,826,262
-----------
Net investment income ..................... 12,575,341
-----------
Realized gain on investments .............. 5,472
-----------
Net increase in net assets resulting
from operations ........................ $12,580,813
===========
STATEMENT OF CHANGES IN NET ASSETS
FOR THE FOR THE
SIX MONTHS ENDED YEAR ENDED
FEBRUARY 28, 1997 AUGUST 31, 1996
----------------- ---------------
(UNAUDITED)
Increase (decrease) in net assets:
Operations:
Net investment income ....... $ 12,575,341 $ 25,224,326
Net gain (loss) on
investments ............... 5,472 (10,995)
------------ ------------
Net increase in net assets
resulting from
operations ................ 12,580,813 25,213,331
------------ ------------
Distributions to Shareholders:
Dividends to shareholders from
net investment income:
Bedford shares ($.0219 and
$.0458 respectively,
per share) ................ (4,396,015) (8,829,111)
Bradford shares ($.0219 and
$.0458, respectively,
per share) ................ (1,010,118) (2,208,959)
Janney Montgomery Scott
shares ($.0218 and
$.0456, respectively,
per share) ................ (7,169,208) (14,186,256)
Distributions to shareholders
from net realized
short-term gains:
Bedford shares .............. -- (12,697)
Bradford shares ............. -- (3,154)
Janney Montgomery Scott
shares .................... -- (18,204)
------------ ------------
Total distributions to
shareholders ............ (12,575,341) (25,258,381)
------------ ------------
Net capital share
transactions ................ 20,760,920 44,099,699
------------ ------------
Total increase in net assets ... 20,766,392 44,054,649
Net Assets:
Beginning of period ......... 556,547,005 512,492,356
------------ ------------
End of period ............... $577,313,397 $556,547,005
============ ============
See Accompanying Notes to Financial Statements.
4
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
FINANCIAL HIGHLIGHTS (c)
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
FOR THE PERIOD
FOR THE FOR THE FOR THE FOR THE FOR THE JANUARY 10, 1992
SIX MONTHS YEAR YEAR YEAR YEAR COMMENCEMENT OF
ENDED ENDED ENDED ENDED ENDED OPERATIONS) TO
FEBRUARY 28, AUGUST 31, AUGUST 31, AUGUST 31, AUGUST 31, AUGUST 31,
1997 1996 1995 1994 1993 1992
------------ ----------- ----------- ----------- ----------- ----------------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of period .................. $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- -------- -------- -------- -------- --------
Income from investment operations:
Net investment income ................. 0.0219 0.0458 0.0475 0.0270 0.0231 0.0208
Net gains on securities
(both realized and unrealized) ...... -- -- -- -- -- 0.0009
-------- -------- -------- -------- -------- --------
Total from investment operations .... 0.0219 0.0458 0.0475 0.0270 0.0231 0.0217
-------- -------- -------- -------- -------- --------
Less distributions
Dividends (from net
investment income) ................... (0.0219) (0.0458) (0.0475) (0.0270) (0.0231) (0.0208)
Distributions (from capital gains) ...... -- -- -- -- -- (0.0009)
-------- -------- -------- -------- -------- --------
Total distributions ................. (0.0219) (0.0458) (0.0475) (0.0270) (0.0231) (0.0217)
-------- -------- -------- -------- -------- --------
Net asset value, end of period .......... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ======== ======== ======== ========
Total Return ............................ 4.51%(b) 4.68% 4.86% 2.73% 2.33% 3.42%(b)
Ratios /Supplemental Data
Net assets, end of period (000) ....... $46,262 $57,190 $46,509 $39,732 $50,523 $42,477
Ratios of expenses to
average net assets .................. .975%(a)(b) .975%(a) .975%(a) .975%(a) .975%(a) .975%(a)(b)
Ratios of net investment
income to average
net assets .......................... 4.42%(b) 4.58% 4.75% 2.70% 2.31% 3.23%(b)
<FN>
(a) Without the waiver of advisory fees and without the reimbursement of
certain operating expenses, the ratios of expenses to average net assets
would have been 1.13% annualized for the six months ended February 28,
1997, 1.10%, 1.13%, 1.18% and 1.18% for the years ended August 31, 1996,
1995, 1994, and 1993, respectively and 1.15% annualized for the period
ended August 31 1992.
(b) Annualized.
(c) Financial Highlights relate soley to the Bradford Class of shares within
the portfolio.
</FN>
</TABLE>
See Accompanying Notes to Financial Statements.
5
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
NOTES TO FINANCIAL STATEMENTS
FEBRUARY 28, 1997
(UNAUDITED)
NOTE 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
The RBB Fund, Inc. (the "Fund") is registered under the Investment Company
Act of 1940, as amended, as an open-end management investment company. The Fund
was incorporated in Maryland on February 29, 1988.
The Fund has authorized capital of thirty billion shares of common stock of
which 13.48 billion shares are currently classified into seventy-seven classes.
Each class represents an interest in one of nineteen investment portfolios of
the Fund. The classes have been grouped into sixteen separate "families," nine
of which have begun investment operations: the RBB Family, the BEA Family, the
Sansom Street Family, the Bedford Family, the Cash Preservation Family, the
Janney Montgomery Scott Money Family, the n/i Family, the Boston Partners
Family, and the Bradford Family. The Bradford Government Obligations Money
Market Shares represents an interest in the Government Obligations Money Market
Portfolio, which is covered by this report.
A) SECURITY VALUATION -- Portfolio securities are valued under the
amortized cost method, which approximates current market value. Under this
method, securities are valued at cost when purchased and thereafter a
constant proportionate amortization of any discount or premium is recorded
until maturity of the security. Regular review and monitoring of the
valuation is performed in an attempt to avoid dilution or other unfair
results to shareholders. The Portfolio seeks to maintain net asset value
per share at $1.00.
B) SECURITY TRANSACTIONS AND INVESTMENT INCOME -- Security
transactions are accounted for on the trade date. The cost of investments
sold is determined by use of the specific identification method for both
financial reporting and income tax purposes. Interest income is recorded on
the accrual basis. Certain expenses, principally distribution, transfer
agency and printing, are class specific expenses and vary by class.
Expenses not directly attributable to a specific portfolio or class are
allocated based on relative net assets of each portfolio and class,
respectively.
C) DISTRIBUTIONS TO SHAREHOLDERS -- Dividends from net investment
income are declared daily and paid monthly. Any net realized capital gains
are distributed at least annually. Income distributions and capital gain
distributions are determined in accordance with income tax regulations
which may differ from generally accepted accounting principles.
D) FEDERAL INCOME TAXES -- No provision is made for Federal taxes
as it is the Fund's intention to have the portfolio continue to qualify for
and elect the tax treatment applicable to regulated investment companies
under the Internal Revenue Code and make the requisite distributions to its
shareholders which will be sufficient to relieve it from Federal income and
excise taxes.
E) REPURCHASE AGREEMENTS -- Money market instruments may be
purchased subject to the seller's agreement to repurchase them at an agreed
upon date and price. The seller will be required on a daily basis to
maintain the value of the securities subject to the agreement at not less
than the repurchase price. The agreements are conditioned upon the
collateral being deposited under the Federal Reserve book-entry system or
with the Fund's custodian or a third party sub-custodian.
F) USE OF ESTIMATES -- The preparation of financial statements in
conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported
amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported
amounts of revenues and expenses during the reporting period. Actual
results could differ from those estimates.
6
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
FEBRUARY 28, 1997
(UNAUDITED)
NOTE 2. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES
Pursuant to Investment Advisory Agreements, PNC Institutional Management
Corporation ("PIMC"), a wholly owned subsidiary of PNC Asset Management Group,
Inc., which is in turn a wholly owned subsidiary of PNC Bank, National
Association ("PNC Bank"), serves as investment advisor for the portfolio
described herein. PNC Bank serves as the sub-advisor for the Government
Obligations Money Market Portfolio.
For its advisory services, PIMC is entitled to receive the following fees,
computed daily and payable monthly based on the portfolio's average daily net
assets:
.45% of first $250 million of net assets;
.40% of next $250 million of net assets;
.35% of net assets in excess of $500 million
PIMC may, at its discretion, voluntarily waive all or any portion of its
advisory fee for this portfolio. For each class of shares within this portfolio,
the net advisory fee charged to each class is the same on a relative basis. For
the six months ended February 28, 1997, advisory fees and waivers for the
investment portfolio were as follows:
GROSS NET
ADVISORY ADVISORY
FEE WAIVER FEE
------------ ------------ -----------
$1,185,738 $(355,487) $ 830,251
PNC Bank, as sub-advisor, receives a fee directly from PIMC, not the
portfolio. In addition, PNC Bank serves as custodian for each of the Fund's
portfolios. PFPC Inc. ("PFPC"), an indirect wholly owned subsidiary of PNC Bank
Corp., serves as each class's transfer and dividend disbursing agent. For the
six months ended February 28,1997, transfer agency fees for each class of shares
within the investment portfolio were as follows:
TRANSFER AGENCY
FEE
---------------
Bedford Class $ 31,956
Bradford Class 1,100
Janney Montgomery Scott Class 237,510
--------
Total $270,566
========
The Fund, on behalf of each class of shares within the investment
portfolio, has adopted Distribution Plans pursuant to Rule 12b-1 under the
Investment Company Act of 1940, as amended, and has entered into Distribution
Contracts with Counsellors Securities Inc. ("Counsellors"), which provide for
each class to make monthly payments, based on average net assets, to Counsellors
of up to .65% on an annualized basis for the Bedford, Janney Montgomery Scott
and Bradford Classes and up to .20% on an annualized basis for the Sansom Street
Class.
7
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
FEBRUARY 28, 1997
(UNAUDITED)
NOTE 2. TRANSACTIONS WITH AFFILIATES AND RELATED PARTIES (CONTINUED)
For the six months ended February 28, 1997, distribution fees for each
class were as follows:
DISTRIBUTION
FEE
------------
Bedford Class $ 559,976
Bradford Class 137,216
Janney Montgomery Scott Class 979,657
----------
Total $1,676,849
==========
The Fund has entered into service agreements with banks affiliated with PNC
Bank who render support services to customers who are the beneficial owners of
the Sansom Street Class in consideration of the payment of .10% of the daily net
asset value of such shares. No such payments were necessary for the six months
ended February 28, 1997.
NOTE 3. CAPITAL SHARES
Transactions in capital shares (at $1 per capital share) for each year were
as follows:
FOR THE FOR THE
SIX MONTHS ENDED YEAR ENDED
FEBRUARY 28, 1997 AUGUST 31, 1996
----------------- ---------------
(UNAUDITED)
VALUE VALUE
----------------- ---------------
Shares sold:
Bedford Class $ 270,989,111 $ 663,889,198
Bradford Class 84,417,833 180,761,217
Janney Montgomery Scott Class 621,135,426 1,160,250,876
Shares issued in reinvestment
of dividends:
Bedford Class 4,438,059 8,793,104
Bradford Class 982,160 2,158,629
Janney Montgomery Scott Class 7,249,312 14,080,097
Shares repurchased:
Bedford Class (277,022,343) (643,470,937)
Bradford Class (96,290,034) (172,234,746)
Janney Montgomery Scott Class (595,138,604) (1,170,127,739)
------------- ---------------
Net increase $ 20,760,920 $ 44,099,699
------------- ---------------
Bradford Shares authorized 500,000,000 500,000,000
============= ===============
See Accompanying Notes to Financial Statements.
8
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
FEBRUARY 28, 1997
(UNAUDITED)
NOTE 4. NET ASSETS
At February 28, 1997, net assets consisted of the following: (Unaudited)
Capital paid-in:
Bedford Class $191,007,843
Bradford Class 46,301,694
Janney Montgomery Scott Class 340,009,863
Other Classes 800
Accumulated net realized loss
on investments:
Bedford Class (2,438)
Bradford Class (821)
Janney Montgomery Scott Class (3,544)
------------
$577,313,397
============
9
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
FEBRUARY 28, 1997
(UNAUDITED)
NOTE 5. OTHER FINANCIAL HIGHLIGHTS
The Fund currently offers two other class of shares representing an
interest in the Government Obligations Money Market Portfolio: Bedford and
Janney Montgomery Scott. Each class is marketed to different types of investors.
The financial highlights are as follows:
THE BEDFORD FAMILY
<TABLE>
<CAPTION>
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
------------------------------------------------------------------------------
FOR THE FOR THE FOR THE FOR THE FOR THE FOR THE
SIX MONTHS YEAR YEAR YEAR YEAR YEAR
ENDED ENDED ENDED ENDED ENDED ENDED
FEBRUARY 28, AUGUST 31, AUGUST 31, AUGUST 31, AUGUST 31, AUGUST 31,
1997 1996 1995 1994 1993 1992
------------ ---------- ---------- ----------- ----------- -----------
(UNAUDITED)
<S> <C> <C> <C> <C> <C> <C>
Net asset value,
beginning of period ................ $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
-------- -------- -------- -------- -------- --------
Income from investment operations:
Net investment income .............. 0.0219 0.0458 0.0475 0.0270 0.0231 0.0375
Net gains on securities (both
realized and unrealized) .......... -- -- -- -- -- 0.0009
-------- -------- -------- -------- -------- --------
Total from investment
operations ..................... 0.0219 0.0458 0.0475 0.0270 0.0231 0.0384
-------- -------- -------- -------- -------- --------
Less distributions:
Dividends (from net investment
income) ........................... (0.0219) (0.0458) (0.0475) (0.0270) (0.0231) (0.0375)
Distributions (from
capital gains) .................... -- -- -- -- -- (0.0009)
-------- -------- -------- -------- -------- --------
Total distributions ............ (0.0219) (0.0458) (0.0475) (0.0270) (0.0231) (0.0384)
-------- -------- -------- -------- -------- --------
Net asset value, end of period ....... $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ======== ======== ======== ========
Total Return ......................... 4.51%(b) 4.68% 4.86% 2.73% 2.33% 3.91%
Ratios/Supplemental Data:
Net assets, end of period (000) .... $191,039 $192,599 $163,398 $166,418 $213,741 $225,101
Ratios of expenses to average
net assets ........................ .975%(a)(b) .975%(a) .975%(a) .975%(a) .975%(a) .975%(a)
Ratios of net investment income
to average net assets ............. 4.42%(b) 4.58% 4.75% 2.70% 2.31% 3.75%
<FN>
(a) Without the waiver of advisory, distribution and administration fees and
without the reimbursement of certain operating expenses, the ratios of
expenses to average net assets for the Government Obligations Money Market
Portfolio would have been 1.13% annualized for the six months ended
February 28, 1997, 1.10%, 1.13%, 1.17%, 1.18%, and 1.12% for the years
ended August 31, 1996, 1995, 1994, 1993 and 1992, respectively.
(b) Annualized.
</FN>
</TABLE>
10
<PAGE>
BRADFORD GOVERNMENT OBLIGATIONS MONEY MARKET SHARES
THE RBB FUND, INC.
GOVERNMENT OBLIGATIONS MONEY MARKET PORTFOLIO
NOTES TO FINANCIAL STATEMENTS (CONCLUDED)
FEBRUARY 28, 1997
(UNAUDITED)
NOTE 5. OTHER FINANCIAL HIGHLIGHTS (CONTINUED)
THE JANNEY MONTGOMERY SCOTT FAMILY
GOVERNMENT OBLIGATIONS
MONEY MARKET PORTFOLIO
---------------------------------------------
FOR THE PERIOD
FOR THE FOR THE JUNE 12, 1995
SIX MONTHS YEAR (COMMENCEMENT
ENDED ENDED OF OPERATIONS)
FEBRUARY 28, AUGUST 31, TO AUGUST 31,
1997 1996 1995
------------ ---------- --------------
(UNAUDITED)
Net asset value,
beginning of period ......... $ 1.00 $ 1.00 $ 1.00
------- ------- -------
Income from investment
operations:
Net investment income ......... 0.0218 0.0456 0.0109
------- ------- -------
Total from investment
operations .............. 0.0218 0.0456 0.0109
------- ------- -------
Less distributions
Dividends (from net
investment income) .......... (0.0218) (0.0456) (0.0109)
------- ------- -------
Total distributions ....... (0.0218) (0.0456) (0.0109)
------- ------- -------
Net asset value,
end of period ............... $ 1.00 $ 1.00 $ 1.00
======= ======= =======
Total Return .................. 4.48%(b) 4.66% 5.03%(b)
Ratios /Supplemental Data
Net assets, end of
period (000) .............. $340,012 $306,757 $302,585
Ratios of expenses
to average
net assets ................ 1.00%(a)(b) 1.00%(a) 1.00%(a)(b)
Ratios of net investment
income to average
net assets ................ 4.39%(b) 4.56% 4.91%(b)
(a) Without the waiver of advisory fees and without the reimbursement of
certain operating expenses, the ratios of expenses to average net assets
for the Government Obligations Money Market Portfolio, the ratio of
expenses to average net assets would have been 1.25% annualized for the six
months ended February 28, 1997, 1.25% and 1.28% for the years ended August
31, 1996 and 1995 respectively.
(b) Annualized.
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