<PAGE>
AmSouth Funds
SEMI-ANNUAL REPORT
January 31, 2000
AMSOUTH AMSOUTH
MUTUAL FUNDS
------------ AMSOUTH BANK
BISYS Fund Services, Distributor Investment Advisor
Not FDIC Insured
<PAGE>
Table of Contents
Message From the Chairman and Investment Advisor
Page 1
Statements of Assets and Liabilities
Page 31
Statements of Operations
Page 35
Statements of Changes in Net Assets
Page 39
Schedules of Portfolio Investments
Page 45
Notes to Financial Statements
Page 93
Financial Highlights
Page 107
The AmSouth Funds, like all mutual funds, are NOT
FDIC INSURED nor insured by any other agency and are
not obligations or deposits of, or endorsed or
guaranteed by, AmSouth Bank or any of its
affiliates. Investment products involve investment
risk, including the possible loss of principal.
<PAGE>
Message From the Chairman and Investment Advisor
Dear Shareholders:
We are pleased to send you this semiannual report for the six-month period
ended January 31, 2000, a period marked by extraordinary volatility in the
financial markets, and the beginning of a new era for the AmSouth Funds and our
shareholders.
Last year, AmSouth Bancorporation, our investment advisor's parent, bought
First American National Bank of Nashville, Tennessee. As a result, First
American's ISG Funds merged into the AmSouth Funds on March 13, 2000.
We are excited by this great opportunity for the fund family and our
shareholders. We believe the joining of our two fund families will provide you,
our shareholders, with notable benefits, including:
. More fund choices. The merger significantly increased the number of funds
available to you, to 29 separate funds, with total assets of more than $7
billion. Larger fund families often are exposed to greater investment
opportunities, to the benefit of their shareholders.
. Additional diversification. New funds added to our lineup include some
excellent offerings from the ISG family, including the Mid Cap Fund, Large
Cap Fund, International Equity Fund and a series of five strategic
portfolios--ranging from aggressive to conservative--that are designed to
meet individual tolerance for risk and time horizons.
. Continued management strength. To complement its in-house investment
management group, AmSouth continues to go outside the bank identifying
portfolio managers with consistent, long-term superior performance. These
managers may have been available in the past only to institutional and larger
investors:
The "new" fund family covers just about the entire investment spectrum, giving
shareholders the opportunity to capitalize on opportunities in most any sector,
and to spread risk among many different asset classes.
. AmSouth Large Cap Fund
. AmSouth Mid Cap Fund
. AmSouth Small Cap Fund/1/
. AmSouth Growth Fund (formerly Capital Growth Fund)
. AmSouth Value Fund (formerly Equity Fund)
. AmSouth Capital Growth Fund
. AmSouth Equity Income Fund
. AmSouth International Equity Fund/2/
. AmSouth Select Equity Fund
. AmSouth Enhanced Market Fund
. AmSouth Balanced Fund
. AmSouth Strategic Portfolios: Aggressive Growth Portfolio
. AmSouth Strategic Portfolios: Growth Portfolio
. AmSouth Strategic Portfolios: Growth and Income Portfolio
. AmSouth Strategic Portfolios: Moderate Growth and Income Portfolio
. AmSouth Strategic Portfolios: Current Income Portfolio
. AmSouth Bond Fund
. AmSouth Limited Term Bond Fund (formerly Limited Maturity Fund)
. AmSouth U.S. Government Fund (formerly U.S. Government Income Fund)
. AmSouth Limited Term U.S. Government Fund
. AmSouth Municipal Bond Fund/3/
-1-
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. AmSouth Florida Tax-Exempt Bond Fund/3/,/4/ (formerly Florida Tax-Free Bond
Fund)
. AmSouth Tennessee Tax-Exempt Bond Fund/3/,/4/
. AmSouth Limited Term Tennessee Tax-Exempt Bond Fund/3/,/4/
. AmSouth Prime Money Market Fund (formerly Prime Obligations Money Market
Fund)/5/
. AmSouth U.S. Treasury Money Market Fund/5/
. AmSouth Treasury Reserve Money Market Fund/5/
. AmSouth Tax-Exempt Money Market Fund/3/,/5/
. AmSouth Institutional Prime Obligations Money Market Fund/5/
Finally, if you are wondering whether the reorganization will have any tax
impact on your holdings, rest assured that the move is considered a "tax-free
merger." The merger itself will not cause a taxable event in your portfolio.
Stocks showed deceptive rallies
What can investors make of the stock market during the last six months? If we
look at the prominent market averages, especially the S&P 500 Stock Index/6/
and the Nasdaq Composite Index/7/, we see that they were up for the period. But
appearances in the financial markets can be especially deceiving. Investors who
chased after a handful of hot momentum stocks--especially in the technology,
telecommunications and biotech sectors--emerged with handsome profits.
Investors who looked elsewhere were markedly disappointed. In particular, the
time-tested approach of searching out "value"--seeking stocks with attractive
fundamental valuations and good stories--failed to produce adequate returns.
The equity markets were further rattled by an unusually harsh January, the
final month of our reporting period. In most years, the so-called "January
effect" lifts stocks across the board. But until a furious rally boosted
sagging stock prices on the very last day of the month, January 2000 was
turning out to be the worst January on record.
These trends have continued into our next reporting period, with tech, telecom
and biotech continuing to flourish at the expense of every other sector. As I
write this letter in late February, the Dow Industrial Average/8/ recently
closed below 10,000 for the first time since April 1999. This represented a
decline in the Dow of nearly 16 percent from its closing high of 11,722, which
it reached on January 14; this severe a drop must be considered a "correction"
for the Dow. The S&P 500 has also flirted with correction territory.
All of which speaks to the value of diversifying equity portfolios among
different types of stock funds. We have long offered a broad range of choices.
With new selections coming from the ISG Funds, you will now be able to
diversify into additional markets, including the international arena--where
many countries have outperformed the U.S. market, and could continue to do so
in the future./2/
Bonds suffered from interest-rate pressures
To put it bluntly, fixed-income investments of nearly every type had a terrible
time during the last six months. There was no mystery to this decline; bonds
live and die with interest rate activity, and rates climbed sharply and
steadily throughout the period, thus depressing bond prices.
The Federal Reserve (the "Fed"), which had favored the bond market with three
rate cuts in 1998, changed direction and began raising rates in 1999. During
the period, the Fed raised rates twice. This would have been bad enough, but
these rate hikes actually followed an initial rate increase shortly before the
period began, another just days after the period ended. On a positive note, we
believe the Fed's tighter monetary policy will set the stage for lower bond
yields late in the year.
-2-
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Where do bonds go from here? Actually, some longer-term issues, such as the 30-
year Treasury bond, have gained some ground in 2000. And while we would not be
surprised to see the Fed raise rates once or twice more--Chairman Greenspan
continues to express fears of inflation, though few signs of inflation have
appeared on the horizon--we think bonds have relatively good value going
forward. As with our long-term outlook toward bonds, we are not going to let
interest-rate volatility deter us from our key, fixed-income objectives: to
invest your money in relatively secure issues that offer solid current income
and prospects for moderate, long-term gains.
Going forward, we are not discouraged by current market conditions. We measure
our success not in days, weeks or even months, but over longer market cycles--a
philosophy with which we hope you agree. And now, with the acquisition of new
funds from ISG, we look forward to helping you achieve your financial goals
with even greater success. We thank you for your continued support.
Sincerely,
/s/ J. DAVID HUBER
J. David Huber
Chairman
AmSouth Funds
/s/ BRIAN B. SULLIVAN
Brian B. Sullivan
Chief Investment Officer
AmSouth Bank
/1/Small-capitalization funds typically carry additional risks since smaller
companies generally have a higher risk of failure. Historically, smaller
companies' stocks have experienced a greater degree of market volatility than
average.
/2/International investing involves increased risk and volatility.
/3/The Fund's income may be subject to the federal alternative minimum tax and
to certain state and local taxes.
/4/Regional Funds may be subject to additional risk, since the securities they
invest in are located in one geographical location.
/5/Investments in the Prime, the U.S. Treasury, the Treasury Reserves, the Tax-
Exempt and the Institutional Prime Obligations Money Market Funds are neither
insured nor guaranteed by the U.S. Government. Yields will fluctuate, and
there is no assurance that the Funds will be able to maintain a stable net
asset value of $1.00 per share.
/6/The Standard & Poor's 500 Stock Index is an unmanaged index generally
representative of the U.S. stock market as a whole.
/7/The Nasdaq Composite Index is a market capitalization price-only index that
tracks the performance of domestic common stocks traded on the regular Nasdaq
market as well as the National Market System-traded foreign common stocks and
ADR's.
/8/The Dow Jones Industrial Average is a price-weighted average based on the
price-only performance of 30 blue-chip stocks (the average is computed by
adding the prices of the 30 stocks splits, stock dividends and substitutions
of stocks).
The above indices do not reflect the deduction of fees associated with a mutual
fund, such as investment management and fund accounting fees. The AmSouth
Fund's performance reflects the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities.
-3-
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The AmSouth Equity Income Fund
The AmSouth Equity Income Fund is subadvised by Rockhaven Asset Management, and
managed by Christopher Wiles, CFA. President and chief investment officer of
Rockhaven, Mr. Wiles has more than 16 years of investment management
experience. He holds an MBA and a bachelor's degree in finance.
Riding the tech wave to profits
For the six months ended January 31, 2000, the AmSouth Equity Income Fund
produced a total return of 17.66% (Class A Shares at NAV)./1/ In comparison,
the S&P 500 Stock Index rose 5.58%.
If we had to attribute our outperformance to one factor, it would be our
allocation to technology. The tech sector was the place to be during the
period, as it was for most of 1999. By being "sector neutral" to the S&P 500--
following that index's sector allocation--we had a 30% position in technology.
Most other equity income managers, on the other hand, steered clear of tech
names. Our weighting in technology was clearly the reason that we finished
considerably above our peer average.
Of course, we wanted to find a way to play the tech sector while still
generating an above-average yield, so we used convertible securities in order
to get yield and be involved in what proved to be a very hot area of the
market.
Our decision to play the very volatile tech sector was consistent with our
long-time philosophy. We do not believe it is possible to time the market, or
time individual sectors. We attempt to stay fully invested in the market, and
we remain sector-neutral to the S&P 500, our primary benchmark. We do not try
to second-guess the market. We try to pick the best names within each sector.
For that reason, while the index has 500 securities, we hold roughly only 50
stocks in our portfolio.
As mentioned earlier, we not only provided our shareholders with solid market
participation, we did it with above-average income. As of January 31, 2000, the
Fund's yield was 2.75%, more than twice the S&P 500's yield of 1.14%.*
Corning: Not your mother's bakeware company
One of our big wins during the period came with Corning Glass (2.18% of the
Fund's net assets). The company is rid of its old bakeware business and is now
a leader in fiber optics. Not only has the stock done well, but, the whole
fiber optic group has been a hot sector in the market as well. Corning was a
great stock for us.*
Another winner was BCE, Inc. (3.68%), a Canadian company. BCE has a very large
stake in Nortel, which was an explosive growth story during the last six
months, and BCE participated in that success.*
As of January 31, 2000, the Fund's top five holdings were BCE, Inc. (3.68%),
Amdocs Convertible (3.41%), COSTCO Convertible (3.11%), Nextel Convertible
(3.00%) and General Electric (2.86%).*
A fast and furious market
The most certain thing we can say about the next six to 12 months is that the
market is going to be very volatile. The Fed does not have the power it once
did to move markets. The market is more democratic than it is ever been--that
is, individual investors have more to say about the direction of stock prices.
What this generally means is increased volatility.
Overall, the world still looks like a pretty good place. The U.S. economy is
growing; global economies are growing; and inflation is still relatively
subdued--although we see signs of wage inflation. This is a good environment
for stocks. But we still believe what we will see is a narrow advance, with
relatively few issues moving up significantly.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was 12.34%. For the same period, the total return set forth
reflected the waiver of a portion of the fees, without which total return
would have been lower.
* The Fund's portfolio composition is subject to change.
-4-
<PAGE>
The AmSouth Equity Income Fund
[GRAPH]
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Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth S&P
Equity Income Equity Income Equity Income 500
Fund Class A Fund Trust Fund Class B Stock
Shares Shares Shares Index
------ ------ ------ -----
3/20/97 9,550 10,000 10,000 10,000
7/97 11,409 11,948 11,421 12,633
7/98 12,073 12,669 12,142 15,136
7/99 13,784 14,497 13,915 18,193
1/00 16,218 17,091 16,359 19,208
Average Annual Total Return
- -------------------------------------------------------------------
Since
As of 1 Inception
January 31, 2000 Year (3/20/97)
- -------------------------------------------------------------------
Class A Shares* 16.86% 18.36%
- -------------------------------------------------------------------
Class B Shares** 16.49% 18.72%
- -------------------------------------------------------------------
Trust Shares 22.85 20.54%
- -------------------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999 the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Equity Income Fund is measured against the S&P
500 Stock Index, an unmanaged index generally representative of the U.S. stock
market as a whole. The index does not reflect the deduction of fees associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance does reflect the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities. During the period shown, the Fund waived
and voluntarily reimbursed fees for various expenses. Had these waivers not
been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-5-
<PAGE>
The AmSouth Value Fund
(On December 1, 1999, the Fund's name was changed from the AmSouth Equity Fund
to the AmSouth Value Fund.)
The AmSouth Value Fund is managed by Pedro Verdu, CFA. Mr. Verdu has more than
26 years of investment experience as an analyst and portfolio manager. He holds
an MBA in finance and a bachelor's degree in economics.
The market rose on the backs of a few stocks
For the six months ended January 31, 2000, the AmSouth Value Fund produced a
total return of -8.75% (Class A Shares at NAV)./1/ In comparison, the S&P 500
Stock Index rose 5.58%.
We see opportunity in financial services and paper
The Fund has a strong value orientation. The areas in which we have the most
exposure--including financial services and some raw materials (such as energy,
paper and forest products)--appear, on a historical basis, to be extremely
undervalued and, therefore, quite attractive to us. Measured by earnings, cash
flow and yield, these sectors are all well below historical standards.
In the case of raw materials, many companies also are enjoying upward pricing
leverage. For example, the price of oil has roughly doubled in the past 12
months. In our opinion, the paper industry has little or no additional capacity
coming on line over the next couple of years--which has helped push paper
prices much higher. Nevertheless, the market has shown little concern about oil
and paper companies, and their stocks have gone nowhere.
This situation has been both frustrating and exciting. We are disappointed that
many stocks with excellent histories have not produced equally strong returns.
At the same time, we are heartened by the fact that it has been easier to find
stocks that appear to be attractively priced.
In the paper sector, we favor International Paper (2.22% of the Fund's net
assets), Willamette (1.94%) and Weyerhauser (2.25%). All of these companies
have good leverage to improve pricing and we are seeing prices rise on all
grades of paper, while there is little new capacity. We believe this could set
up these companies for strong earnings in the next 12 to 18 months.*
As of January 31, 2000, the Fund's top five holdings were Cabletron (3.12%),
St. Paul Company (2.69%), Marsh & McLennen (2.67%), May Department Stores
(2.52%) and Washington Mutual (2.40%).*
A broader market is essential
For the market to remain healthy, we need to see positive performance spread to
a wider group of stocks. The more concentrated market leadership becomes, the
less healthy the environment for the market as a whole. As for interest rates,
we think that what the Fed wants to do, it has largely done. That is not to say
the Fed will not raise rates again; we would not be surprised if they hiked
rates at least one more time. We feel that with four rate increases in the last
eight months, most of the Fed's tightening is probably behind us. However, if
commodity prices continue to stay high, we could see a decline in corporate
profits, which would adversely affect stock prices.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was -12.85%. For the same period, the total return set forth
reflected the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-6-
<PAGE>
The AmSouth Value Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
S&P 500
AmSouth Value Fund AmSouth Value Fund AmSouth Value Fund Stock
(Class A Shares) (Class B Shares) (Trust Shares) Index
1/90 9,550 10,000 10,000 10,000
7/90 10,100 10,576 10,576 11,014
7/91 10,956 11,472 11,472 12,421
7/92 12,372 12,956 12,956 14,006
7/93 14,080 14,744 14,744 15,221
7/94 15,194 15,910 15,910 16,011
7/95 18,119 18,973 18,974 20,182
7/96 20,126 21,075 21,077 23,524
7/97 28,650 30,001 30,004 35,784
7/98 32,186 33,497 33,742 33,811
7/99 36,987 38,198 38,947 51,335
1/00 33,752 34,724 35,538 54,206
Average Annual Total Return
As of 1 5 10
January 31, 2000 Year Year Year
Class A Shares* -6.58% 16.06% 12.94%
Class B Shares** -7.05% 16.50% 13.26%
Trust Shares -2.06% 17.26% 13.52%
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Value Fund is measured against the S&P 500 Stock
Index, an unmanaged index generally representative of the U.S. stock market as
a whole. The index does not reflect the deduction of fees associated with a
mutual fund, such as investment management and fund accounting fees. The Fund's
performance does reflect the deduction of fees for these value-added services.
Investors cannot invest directly in an index, although they can invest in the
underlying securities. During the period shown, the Fund waived and voluntarily
reimbursed fees for various expenses. Had these waivers not been in effect,
performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-7-
<PAGE>
AmSouth Enhanced Market Fund
The AmSouth Enhanced Market Fund is subadvised by OakBrook Investments, and
managed by Neil Wright, Janna Sampson and Peter Jankovskis. Mr. Wright has 19
years of investment experience and received his Ph.D in economics from the
Massachusetts Institute of Technology. Ms. Sampson has 18 years of investment
management experience and has a master's degree in economics from Georgia State
University. Mr. Jankovskis has seven years of investment management experience
and holds a Ph.D in economics from the University of California at Santa
Barbara.
We benefited from our investments in "volatile stocks'
For the six months ended January 31, 2000, the Fund produced a total return of
6.05% (Class A Shares at NAV)./1/ In comparison, the S&P 500 Index rose 5.58%.
We categorize stocks by their volatility, paying special attention to volatile
and stable stocks. As we define them, "volatile stocks" have prices that tend
to change by a large degree, either up or down, from month to month. By
contrast, "stable stocks" have prices that change much less from month to
month.
The period saw a continuation of the divergence between volatile stocks and
stable stocks. After a brief, mid-summer sell-off, volatile stocks took off
again, with a relatively narrow handful of technology and biotech issues
driving the market higher. Despite the Fed's two interest-rate hikes during the
period (following one just before the period began), investors decided to
overlook rate concerns and poured more money into these volatile stocks.
The Fund seeks to invest at least 80% of its assets in equity securities taken
from the S&P 500. We look at the names within the S&P and apply stringent risk
controls. These risk controls help the Fund maintain risk characteristics
similar to the S&P. Consequently, the Fund did well during the time when
volatile stocks were in favor.
Our strategy led us to the best sectors
The Fund's slight outperformance was due to overweightings in the technology
and energy sectors, which did very well during the period. We also benefited
from an underweighting in consumer staples, an area that was markedly
unproductive. Obviously, holding fewer losing stocks is as important as owning
winning names. Outside of these three sectors, the Fund was approximately
market-neutral to the S&P 500, which means that we had roughly the same sector
allocation as the broader market.
The Fund enjoyed a great deal of success in many areas. Cisco (2.62% of the
Fund's net assets) is a powerful leader in its industry and is now the second-
highest capitalized stock in the world, behind Microsoft (4.32%), which we also
own. Wal-Mart (1.79%), in which we are overweighted, had a sterling period,
returning more than 29%. In the energy sector, we held twice the market
weighting in Schlumberger, and the stock responded nicely, gaining more than
13%.
As of January 31, 2000, the Fund's top five holdings were Microsoft (4.32%),
General Electric (3.73%), Intel (3.00%), Cisco (2.62%) and Exxon Mobil
(2.60%).*
Lower earnings and higher interest rates
In comparison to 1999, we think we will see a tough earnings environment over
the next six to 12 months. A number of earnings disappointments were announced
in January, for the fourth quarter of 1999, and the trend could continue. We
expect to see traditional technology companies--and we differentiate that
segment from the Internet sector--struggling somewhat. Y2K spending, which
forced companies to spend more money on PCs and software during1999 than they
normally would have, is over. As far as the overall economy is concerned, the
Fed raised rates in early February, and we anticipate at least one and possibly
two-rate hikes before summer. The economy is still very robust. Wage costs are
rising, retail spending remains strong; and we have the lowest unemployment
rate in 30 years. We believe the Fed will need to act again to slow the
economy, and to keep inflation from breaking out.
Regardless of the Fed's actions, the Fund should benefit from our tight risk
controls, which are designed to protect us from overweightings in sectors that
are poised for a decline. We intend to move with the market's rotation, and add
value to the S&P 500's return.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was 1.29%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-8-
<PAGE>
AmSouth Enhanced Market Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth S&P
Enhanced Market Enhanced Market Enhanced Market 500
Fund Class A Fund Class B Fund Trust Stock
Shares Shares Shares Index
------ ------ ------ -----
9/1/98 9,550 10,000 10,000 10,000
1/99 12,757 13,305 13,358 13,446
7/99 13,365 13,890 14,010 13,529
1/00 14,172 14,275 14,875 14,284
Average Annual Total Return
- -------------------------------------------------------------------
Since
As of 1 Inception
January 31, 2000 Year (9/1/98)
- -------------------------------------------------------------------
Class A Shares* 6.06% 27.91%
- -------------------------------------------------------------------
Class B Shares** 5.30% 28.57%
- -------------------------------------------------------------------
Trust Shares 11.36% 32.36%
- -------------------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Premier Shares commenced operations on December 11, 1998. The performance
figures for Premier Shares for periods prior to such date represent the
performance for Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 2,
1998, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Enhanced Market Fund is measured against the S&P
500 Stock Index, an unmanaged index generally representative of the U.S. stock
market as a whole. The index does not reflect the deduction of fees associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance does reflect the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities. During the period shown, the Fund waived
and voluntarily reimbursed fees for various expenses. Had these waivers not
been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-9-
<PAGE>
AmSouth Growth Fund
(On December 1, 1999, the Fund's name was changed from the AmSouth Capital
Growth Fund to the AmSouth Growth Fund.)
The AmSouth Growth Fund is subadvised by Peachtree Asset Management and managed
by Dennis Johnson, CFA. President and Chief Investment Officer of Peachtree
Asset Management, Mr. Johnson has more than 18 years of investment management
experience. He holds a master of science degree in finance and a bachelor's
degree in economics.
Tech and telecom drove our share price higher
For the six months ended January 31, 2000, the Fund produced a total return of
8.43% (Class A Shares at NAV)/1/. In comparison, the S&P 500 Stock Index rose
5.58%.
As has been the case for months, extreme volatility and narrow leadership were
the hallmarks of the stock market. With our significant weightings in
technology and telecommunications, the Fund posted another positive return and
outperformed our benchmark.
Technology is the area of the market in which we continued to find a
significant number of investment ideas; not coincidentally, it is also the
sector in which we have the Fund's highest weighting. In addition, shares in
telecommunications and communications equipment companies represent a sizable
portion of the Fund's assets.
Companies are investing for productivity
Capital investment is driving the growth of technology. Companies are spending
money to develop Internet capability, to make themselves more technologically
advanced and productive. There is a significant amount of capital being
invested in this area, and it is growing quite rapidly. In the tech sector, we
favor such names LSI Logic (3.34% of the Fund's net assets), Applied Materials
(2.32%), Sun Microsystems (3.01%) and Apple Computer (2.41%).*
The growth in the telecom and communications equipment area is function of
deregulation in the telecommunications industry. The regional Bell operating
companies ("Baby Bells") are looking to get into the long-distance market,
while we have seen the creation of new long-distance carriers. These events
have led not only to an increase in plant construction and equipment purchase,
but also to upgrades. Companies who are suppliers to the telecom industry,
especially those supplying increasing bandwidth capabilities, are reaping a
disproportionate amount of this capital spending. Some of the stocks we like in
this area include Nextel (2.82%), Scientific Atlanta (2.98%) and Adtran
(2.90%).*
Unless the economic environment really deteriorates, we believe the capital
investment going into these two areas is going to continue to grow quite
rapidly. As we do not think a recessionary scenario is likely, we are
positioned to take further advantage of this growth trend.
During the last two months of the period, we made a move to a sector that is
new to the Fund: consumer staples. We bought in such names as Quaker Oats
(1.45%) and Ralston Purina (1.55%). It is not that we decided that the sector
itself was particularly attractive. Our new purchases came after we determined
that each of the stocks we bought offered compelling valuations, and prospects
for improved growth rates.*
As of January 31, 2000, the Fund's top five holdings were Analog Devices
(4.20%), KLA-Tencor Corp. (3.59%), General Electric (3.35%), LSI Logic (3.33%)
and Sun Microsystems (3.01%).*
More volatility lies ahead
We are stockpickers; we do not spend a lot of time trying to time individual
sectors or the market in general. We believe that in the months ahead, we will
continue to see a narrow market, more volatility and some short-term rotation.
We expect earnings growth to be reasonably good. On balance, we believe the
market will deliver positive returns, but this performance will be driven by a
relatively small number of stocks. In our opinion, individual stock selection
should continue to be the key to outperformance.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was 3.56%. For the same period, the total return set forth
reflected the waiver of a portion of the fees, without which total return
would have been lower.
*The Fund's portfolio composition is subject to change.
-10-
<PAGE>
AmSouth Growth Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth
Growth Fund Growth Fund Growth Fund S&P 500
(Class A Shares)* (Class B Shares)** (Trust Shares) Stock Index
8/3/97 9,550 10,000 10,000 10,000
7/98 11,098 11,040 11,650 12,637
7/99 13,514 13,558 14,219 15,190
1/00 14,652 14,779 15,431 16,038
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 Inception
January 31, 2000 Year (8/3/97)
- ----------------------------------------------------------
Class A Shares* 2.58% 16.56%
- ----------------------------------------------------------
Class B Shares** 1.80% 16.96%
- ----------------------------------------------------------
Trust Shares 7.69% 19.01%
- ----------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Growth Fund is measured against the S&P 500
Stock Index, an unmanaged index generally representative of the U.S. stock
market as a whole. The index does not reflect the deduction of fees associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance does reflect the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities. During the period shown, the Fund waived
and voluntarily reimbursed fees for various expenses. Had these waivers not
been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-11-
<PAGE>
The AmSouth Select Equity Fund
The AmSouth Select Equity Fund is subadvised by OakBrook Investments, and
managed by Neil Wright, Janna Sampson and Peter Jankovskis. Mr. Wright has 19
years of investment experience and received his Ph.D in economics from the
Massachusetts Institute of Technology. Ms. Sampson has 18 years of investment
management experience and has a master's degree in economics from Georgia State
University. Mr. Jankovskis has seven years of investment management experience
and holds a Ph.D in economics from the University of California at Santa
Barbara.
"Volatile stocks' far outperformed "stable stocks'
For the six months ended January 31, 2000, the Fund produced a total return of
- -15.52% (Class A Shares at NAV)./1/ In comparison, the S&P 500 Stock Index rose
5.58%.
The period saw a continuation of the divergence between volatile stocks and
stable stocks. After a brief mid-summer sell-off, volatile stocks took off
again, with a relatively narrow handful of technology and biotech issues
driving the market higher. Despite the Fed's two interest-rate hikes during the
period, investors decided to overlook rate concerns and poured more money into
these variable growth stocks.
For the past six months, the performance gap between volatile stocks and stable
stocks was astonishingly wide. Consequently, because the Fund's investment
philosophy favors more stable stocks--and stable stocks were generally shunned
by investors for much of the period--we did not benefit from the market's
upward move.
Performance also suffered from negative price action in shares of Waste
Management (8.24% of the Fund's net assets), the Fund's top holding. The stock
was down 31% for the period as a whole, though it recovered strongly in late
December and January. The problems with Waste Management stemmed from the
company's announcement last July that there had been accounting irregularities;
the company's chairman and president also resigned under pressure.
Nevertheless, Waste Management appears to have cleaned up its act, and we are
very positive about the stock going forward.*
Winners in payroll services and cereal
Despite the challenges we faced during the period, the Fund had a number of
holdings perform well. One winner was Automatic Data Processing (6.71%), which
happens to have the highest price-to-earnings ratio in our portfolio. ADP
continued to report quarter-over-quarter earnings increases. The stock is a bit
more expensive than most of the stocks we own, but its relatively more volatile
nature served it well during a period when volatility was rewarded.*
Another attractive holding is General Mills (5.78%), which we added to the
portfolio at the end of December. What we like about General Mills is that it
has surpassed its chief rival, Kellogg, in both dollar and volume sales:
General Mills is now the industry's leading cereal manufacturer. In our
opinion, General Mills has a more diversified product line--including such
well-known names as Betty Crocker and Yoplait Yogurt--which we believe, makes
its earnings stream more stable.*
As of January 31, 2000, the Fund's top five holdings were Waste Management
(8.24%), Bristol Myers Squibb (7.50%), Hubbell (7.23%), Emerson Electronic
(7.12%) and Automatic Data Processing (6.71%).*
Lower earnings and higher interest rates
In comparison to 1999, we see a tough earnings environment over the next six to
12 months. A number of earnings disappointments were announced in January, for
the fourth quarter of 1999, and the trend could continue. We expect to see
traditional technology companies--and we differentiate that segment from the
Internet sector--struggling somewhat. Y2K spending, which forced companies to
spend more money on PCs and software during 1999 than they normally would have,
is over. As far as the overall economy is concerned, the Fed raised rates in
early February, and we anticipate at least one and possibly two rate hikes
before summer. The economy is still very robust. Wage costs are rising; retail
spending remains strong; and we have the lowest unemployment rate in 30 years.
We believe the Fed will act again to slow the economy, and to keep inflation
from breaking out.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was -19.32%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-12-
<PAGE>
The AmSouth Select Equity Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth Select AmSouth Select AmSouth Select
Equity Fund Equity Fund Equity Fund S&P 500
(Class A Shares)* (Class B Shares)** (Trust Shares) Stock Index
9/1/98 9,550 10,000 10,000 10,000
1/99 11,405 11,895 11,940 12,946
7/99 11,408 11,859 11,982 13,529
1/00 9,637 9,618 10,123 14,284
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 Inception
January 31, 2000 Year (9/1/98)
- ----------------------------------------------------------
Class A Shares* -19.29% -2.58%
- ----------------------------------------------------------
Class B Shares** -19.92% -2.72%
- ----------------------------------------------------------
Trust Shares -15.22% 0.87%
- ----------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Premier Shares commenced operations on December 4, 1998. The performance
figures for Premier Shares for periods prior to such date represent the
performance for Classic Shares of the Fund. On December 1, 1999 the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 2,
1998, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Select Equity Fund is measured against the S&P
500 Stock Index, an unmanaged index generally representative of the U.S. stock
market as a whole. The index does not reflect the deduction of fees associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance does reflect the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities. During the period shown, the Fund waived
and voluntarily reimbursed fees for various expenses. Had these waivers not
been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-13-
<PAGE>
AmSouth Regional Equity Fund+
The AmSouth Regional Equity Fund is managed by Pedro Verdu, CFA. Mr. Verdu has
more than 26 years of investment experience as an analyst and portfolio
manager. He holds an MBA in finance and a bachelor's degree in economics.
An extraordinarily narrow market
For the six months ended January 31, 2000, the AmSouth Regional Equity Fund
produced a total return of -16.67% (Class A Shares at NAV)./1/ In comparison,
the S&P 500 Index rose 5.58%.
What we saw was a continuation, if not a further extension, of the two-tiered
market that has existed since the fourth quarter of 1998. While the market
averages rose, the majority of stocks did not do all that well. Instead, a
relatively small handful of growth stocks--mostly in the technology, Internet
and biotech sectors--did spectacularly well, and drove index returns higher.
We had few opportunities in technology
If anything, this Fund experienced more than its share of difficulties from its
exclusive focus on a few hot sectors. With a marked lack of technology
companies based in the Southeast, we had few opportunities to buy into the tech
arena.
Still, the Fund had a number of winners during the period--including Modis
Professional Services (5.70% of the Fund's net assets), a personnel staffing
provider; and two energy-related companies, Schlumberger (1.74%) and Tidewater
(2.43%).*
As of January 31, 2000, the Fund's top five holdings were Health Management
Associates (7.96%), Modis Professional Services (5.70%), Southern Co. (5.12%),
Equifax (4.60%) and Burlington Resources (4.58%).*
On March 13, 2000, this Fund merged into the AmSouth Value Fund.
+ Regional Funds may be subject to additional risk, since the companies they
invest in are located in one geographical location.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was -20.42%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-14-
<PAGE>
The AmSouth Regional Equity Fund+
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth
Regional Regional Regional
Equity Fund Equity Fund Equity Fund S&P 500
(Class A Shares)* (Class B Shares)** (Trust Shares) Stock Index
1/90 9,550 10,000 10,000 10,000
7/90 10,712 11,218 11,218 11,014
7/91 12,053 12,623 12,623 12,421
7/92 14,543 15,230 15,230 14,006
7/93 16,801 17,595 17,595 15,221
7/94 17,621 18,453 18,453 16,011
7/95 20,281 21,237 21,237 20,182
7/96 22,939 24,020 24,020 23,524
7/97 31,891 33,392 33,392 35,784
7/98 31,792 33,076 33,350 42,706
7/99 28,662 29,589 30,157 51,335
1/00 23,885 24,584 25,070 54,206
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
As of 1 5 10
January 31, 2000 Year Year Year
- ----------------------------------------------------------
Class A Shares* -22.58% 4.88% 9.10%
- ----------------------------------------------------------
Class B Shares** -22.20% 5.24% 9.41%
- ----------------------------------------------------------
Trust Shares -19.03% 5.90% 9.63%
- ----------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Regional Equity Fund is measured against the S&P
500 Stock Index, an unmanaged index generally representative of the U.S. stock
market as a whole. The index does not reflect the deduction of fees associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance does reflect the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities. During the period shown, the Fund waived
and voluntarily reimbursed fees for various expenses. Had these waivers not
been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-15-
<PAGE>
AmSouth Small Cap Fund+
The AmSouth Small Cap Fund is subadvised by Sawgrass Asset Management and is
managed by Dean McQuiddy, CFA. A principal of Sawgrass, Mr. McQuiddy has more
than 16 years of investment management experience. He received his bachelor's
degree in finance from the University of Florida.
Small was beautiful
For the six months ended January 31, 2000, the Fund produced a total return of
29.29% (Class A Shares at NAV)./1/ In comparison, the Russell 2000 Growth Index
rose 29.66%.
Continuing a trend that began last spring, small-cap stocks outperformed large-
cap issues. The period also saw growth stocks lead their value cousins. As a
small-cap growth portfolio, the Fund benefited from a preference for smaller,
growth-oriented names.
Sector selection also was key to our solid performance. As it was for most of
1999, technology was the place to be, while financial stocks continued to sag
under the weight of rising interest rates. Being overweighted in technology and
underweighted in financials enhanced our returns.
A full-blown commitment to technology
While the overall market rose during the period, market leadership was very
narrow--confined mostly to the technology, telecom and biotech sectors.
Companies in these areas achieved large revenue and sales gains, and very
strong earnings revisions. Their growth was so robust that investors ignored of
rising interest rates and continued to pour money into these sectors, driving
valuations to breathtaking levels.
What is somewhat disconcerting to us is this very narrowness, in which only a
handful of stocks are posting gains. Nevertheless, we saw opportunity in the
momentum these sectors displayed, and we took full advantage. We were
overweighted in technology (50% versus 34% for our benchmark), and this
allocation added greatly to our performance. The average return of the tech
stocks we held was roughly 60% for the six-month period.
This is not to say that we abandoned our risk controls and plunged headlong
into every "dot.com" stock on the market. On the contrary, we favor companies
with solid earnings growth. Some of the best-performing semiconductor names in
the portfolio included International Rectifier (3.40% of the Fund's net
assets), Credence Systems (3.43%) and Kulicke & Soffa Industries (3.17%).*
We also did well with stocks of companies in the electronics arena, including
Kemet (3.22%)--a producer of electronic capacitors--and Electro Scientific
(3.25%), which makes lasers that are used in the capacitor manufacturing
process.
As of January 31, 2000, the Fund's top five holdings were Salton (3.88%),
Credence Systems (3.43%), International Rectifier (3.40%), Electro Scientific
(3.25%) and Zebra Technology (3.23%).*
Small caps should remain at the forefront
Looking out for the next six to 12 months, we continue to be positive on small-
cap stocks versus large-cap names. We believe small caps have a distinct
advantage: many of these companies can grow their earnings 25%--30% a year.
Although we are not market timers, we believe we are in for some type of
correction--though we would not want to predict exactly when it will happen,
nor how severe the correction might be. We are forging ahead in the small-cap
sector, increasing our weightings in health care and financials and keeping a
significant portion of the Fund invested in technology.
+ Small-capitalization funds typically carry additional risks since smaller
companies generally have a higher risk of failure. Historically, smaller
companies' stocks have experienced a greater degree of market volatility than
average.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was 23.41%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-16-
<PAGE>
AmSouth Small Cap Fund+
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth
Small Cap Fund Small Cap Fund Small Cap Fund Russell 2000
(Class A Shares)* (Class B Shares)** (Trust Shares) Growth Index
3/2/98 $9,550 $10,000 $10,000 $10,000
7/98 $8,756 $8,655 $9,152 $8,639
7/99 $8,047 $7,978 $8,441 $9,893
1/00 $10,403 $10,320 $10,942 $12,827
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 Inception
January 31, 2000 Year (3/2/98)
- ----------------------------------------------------------
Class A Shares* 16.27% 2.09%
- ----------------------------------------------------------
Class B Shares** 15.99% 1.66%
- ----------------------------------------------------------
Trust Shares 22.37% 4.81%
- ----------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Performance for the Classic Shares, which commenced operations on March 3,
1998, is based on the historical performance of the Premier Shares prior to
that date. The Performance of Premier Shares does not reflect the 12b-1 fees or
the sales charge of the Classic Shares. Had the sales charge and higher 12b-1
fees been incorporated, total return and hypothetical growth figures would have
been lower.
On December 1, 1999 the Classic Shares and the Premier Shares became the Class
A Shares and the Trust Shares, respectively.
The performance of the AmSouth Small Cap Fund is measured against the Russell
2000 Growth Index, an unmanaged index generally representative of domestically
traded common stocks of small to mid-sized companies. The index does not
reflect the deduction of fees associated with a mutual fund, such as investment
management and fund accounting fees. The Fund's performance does reflect the
deduction of fees for these value-added services. During the period shown, the
Fund waived and voluntarily reimbursed fees for various expenses. Had these
waivers not been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-17-
<PAGE>
AmSouth Balanced Fund
The AmSouth Balanced Fund is managed by Pedro Verdu, CFA. Mr. Verdu has more
than 27 years of investment experience as an analyst and portfolio manager. He
holds an MBA in finance and a bachelor's degree in economics.
Stocks did better than bonds during the period
For the six months ended January 31, 2000, the AmSouth Balanced Fund produced a
total return of -4.42% (Class A Shares at NAV)./1/ In comparison, the S&P 500
Stock Index rose 5.58%, while the Lehman Brothers Government/Corporate Bond
Index gained 0.38%.
While we were somewhat underweight in several volatile sectors for the period,
the Fund had success with a number of holdings including such stocks as
Cabletron (1.54% of the Fund's net assets), IBM (0.59%), Kerr-McGee (1.10%) and
Marsh & McLennan (1.00%).*
The areas in which we have the most exposure (including financial services and
some raw materials such as energy, paper and forest products) appear to be
undervalued and, therefore, attractive to us. Measured by earnings, cash flow
and yield, these sectors are all well below historical standards.
We are heartened by the fact that it has been easier to find stocks that appear
to be attractively priced. We believe the names in our portfolio are excellent
companies with strong futures, and we anticipate that they will be around
longer than the average "dot.com" start-up.
In the paper sector, we favor International Paper (1.09%), Willamette (1.30%)
and Weyerhauser (0.81%). Again, all of them have good leverage to improve
pricing, and we are seeing prices rise on all grades of paper, while there is
little new capacity. We believe this could set up these companies for strong
earnings in the next 12 to 18 months.*
Bonds were buffeted by rising interest rates
The Fund began the period with the maturity structure of its bond portfolio
shorter than its benchmark's and probably shorter than most other funds'
maturities. As rates rose, we lengthened the maturity of the bond portfolio.
In January, the entire yield curve inverted--from two years out to 30 years.
That meant that shorter-term notes actually had higher yields than longer-term
bonds. We felt it prudent to concentrate our buying in Treasury bonds with
maturities of between 16 and 25 years. We were looking for the highest-yielding
maturities in the Treasury market.
As of January 31, 2000, the fixed-income securities within the Fund maintained
an average credit quality of AAA, with an average maturity of 10.5 years.*
As of January 31, 2000, the Fund's top five equity holdings were Cabletron
(1.54%), BellAtlantic (1.31%), Willamette Industries (1.30%), Ultramar Diamond
Shamrock (1.24%) and Engelhard Corp. (1.22%).*
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.50%, was -8.70%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, total return would have been
lower.
* The Fund's portfolio composition is subject to change.
-18-
<PAGE>
AmSouth Balanced Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
AmSouth AmSouth AmSouth Lehman Brothers
Balance Fund Balance Fund Balance Fund S&P 500 Government/Corporate
(Class A Shares)* (Trust Shares) (Class B Shares)** Stock Index Bond Index
<S> <C> <C> <C> <C> <C>
12/19/91 9,550 10,000 10,000 10,000 10,000
7/92 10,861 11,371 10,871 10,337 10,724
7/93 12,106 12,675 12,275 11,233 11,907
7/94 12,727 13,325 13,025 11,816 11,892
7/95 14,670 15,360 15,060 14,895 13,095
7/96 15,897 16,645 16,445 17,360 13,518
7/97 20,097 21,043 20,943 26,409 15,482
7/98 20,846 21,836 21,653 27,363 16,275
7/99 24,070 25,324 24,854 37,885 17,120
1/00 23,006 24,217 23,646 39,999 17,185
</TABLE>
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 5 Inception
January 31, 2000 Year Year (12/19/91)
- ----------------------------------------------------------
Class A Shares* -5.87% 11.37% 10.81%
- ----------------------------------------------------------
Class B Shares** -6.39% 11.73% 11.18%
- ----------------------------------------------------------
Trust Shares -1.27% 12.52% 11.51%
- ----------------------------------------------------------
* Reflects 4.50% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Balanced Fund is measured against the S&P 500
Stock Index, an unmanaged index generally representative of the U.S. stock
market as a whole and the Lehman Brothers Government/Corporate Bond Index, an
unmanaged broad-based index representative of the total return of long-term
government and corporate bonds. The indices do not reflect the deduction of
fees associated with a mutual fund, such as investment management and fund
accounting fees. The Fund's performance does reflect the deduction of fees for
these value-added services. Investors cannot invest directly in an index,
although they can invest in the underlying securities. During the period shown,
the Fund waived and voluntarily reimbursed fees for various expenses. Had these
waivers not been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-19-
<PAGE>
AmSouth Limited Term Bond Fund
The AmSouth Limited Term Bond Fund is managed by John Boston, CFA. Mr. Boston
has more than 10 years of experience as a fixed-income manager. He holds a
bachelor's degree in finance.
Short was beautiful
For the six months ended January 31, 2000, the AmSouth Limited Term Bond Fund
produced a total return of 0.91% (Class A Shares at NAV)./1/ In comparison, the
Merrill Lynch 1-5-Year Government/Corporate Bond Index rose 1.20%.
With rising interest rates weighing down most sectors of the bond market,
investing in the short end of the yield curve--as we do--was just about the
best-possible strategy during the last six months. Also, our emphasis on high-
quality corporate issues was productive, as corporates performed well on a
relative basis.
The Fed raised rates to ward off inflation
The economy continued to show very strong growth throughout the period. In the
third and fourth calendar quarters, we saw back-to-back Gross Domestic Product
growth of just under 6% on an annualized basis. At the same time, inflation was
moderate. This was a continuation of the same economic story we have
experienced for the last few years: strong growth, benign inflation.
However, as the unemployment rate continued to fall to very low levels, the
Federal Reserve grew increasingly concerned about the shrinking pool of
available workers, and about wage inflation. In an effort to slow down the
economy and reduce the risk of future inflation, the Fed raised short-term
rates twice during the period. (This followed an initial rate hike shortly
before the period began, and another increase just days after the period
ended.) At the same time, long-term, market-set interest rates were also
rising, resulting in negative returns for longer bonds.
As mentioned earlier, we believed the best place to be invested was the short-
term corporate sector. The defensive characteristics of this strategy helped to
insulate the Fund from much of the bond market's extraordinary volatility.
As of January 31, 2000, approximately 81.0% of the portfolio's net assets was
invested in high-quality corporates, with the remainder invested in Treasuries,
agencies and cash and cash equivalents.*
As of January 31, 2000, the Fund's average maturity was 2.6 years, down from
2.7 years six months earlier. The Fund's credit quality was AA.*
We have taken a defensive stance
The Fed's actions have a direct impact on the short end of the yield curve,
where we operate. Therefore, we have taken steps to defend the Fund from as
much volatility as possible. While we think that at least one more rate hike is
in the offing, we would not be surprised if the Fed moderated its policy later
this year, and eased back on its tightening bias. Such a decision would support
higher bond prices.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.00%, was -3.13%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-20-
<PAGE>
AmSouth Limited Term Bond Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth Merrill Lynch
Limited Limited Limited Government/
Term Bond Term Bond Term Bond Corporate
(Class A Shares)* (Class B Shares)** (Trust Shares) Bond Index
1/90 9,600 10,000 10,000 10,000
7/90 10,052 10,471 10,471 10,469
7/91 10,960 11,417 11,417 11,711
7/92 12,215 12,724 12,724 13,090
7/93 13,036 13,580 13,580 14,046
7/94 13,137 13,684 13,684 14,175
7/95 14,141 14,730 14,730 15,362
7/96 14,807 15,425 15,425 16,122
7/97 15,880 16,542 16,542 17,351
7/98 16,624 17,525 17,542 18,763
7/99 17,499 18,140 18,268 19,388
1/00 17,659 18,229 18,444 19,581
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
As of 1 5 10
January 31, 2000 Year Year Year
- ----------------------------------------------------------
Class A Shares* -3.16% 5.07% 5.86%
- ----------------------------------------------------------
Class B Shares** -4.79% 5.43% 6.19%
- ----------------------------------------------------------
Trust Shares 0.97% 6.00% 6.31%
- ----------------------------------------------------------
* Reflects 4.00% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999 the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Limited Term Bond Fund is measured against the
Merrill Lynch 1--5-Year Government/Corporate Bond Index, an unmanaged index
generally representative of the total return of short-term government and
corporate bonds. The index does not reflect the deduction of fees associated
with a mutual fund, such as investment management and fund accounting fees. The
Fund's performance does reflect the deduction of fees for these value-added
services. Investors cannot invest directly in an index, although they can
invest in the underlying securities. During the period shown, the Fund waived
and voluntarily reimbursed fees for various expenses. Had these waivers not
been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-21-
<PAGE>
AmSouth Government Income Fund
The AmSouth Government Income Fund is managed by John Boston, CFA. Mr. Boston
has more than 10 years of experience as a fixed-income manager. He holds a
bachelor's degree in finance.
A continued emphasis on Ginnie Maes
For the six months ended January 31, 2000, the AmSouth Government Income Fund
produced a total return of 1.07% (Class A Shares at NAV)./1/ In comparison, the
Lehman Brothers Mortgage Index rose 1.13%.
The Fund invests solely in debt instruments issued by the U.S. Treasury or
backed by an agency of the federal government. This allocation allows the Fund
to hold securities of superior quality, which we believe can serve our
shareholders well both in times of economic turmoil and relative stability.
As we have done for some time, we invested a significant portion of our assets
in mortgage-backed securities, principally Ginnie Maes. Ginnie Maes offer
significantly higher yields than Treasuries, are the highest-quality bonds
among mortgage-backed securities, and are the only type of mortgage security
backed by the full faith and credit of the U.S. Government.
The Fed raised rates to ward off inflation
The economy continued to show very strong growth throughout the period. In the
third and fourth calendar quarters, we saw back-to-back Gross Domestic Product
growth of just under 6% on an annualized basis. At the same time, inflation was
moderate. This was a continuation of the same economic story we have
experienced for the last few years: strong growth, benign inflation.
However, as the unemployment rate continued to fall to very low levels, the Fed
grew increasingly concerned about the shrinking pool of available workers and
about wage inflation. In an effort to slow down the economy and reduce the risk
of future inflation, the Fed raised short-term rates twice during the period.
(This followed an initial rate hike shortly before the period began, and
another increase just days after the period ended.) At the same time, long-
term, market-set interest rates also were rising, resulting in negative returns
for longer bonds.
We made few changes to the portfolio during the period. As rates rose,
mortgage-backed securities outperformed all other types of fixed-income
securities. Our heavy weighting in the mortgage sector helped to boost the
Fund's total return.
As of January 31, 2000, the Fund's average maturity was 8.5 years, and its
average credit quality was AAA (government-quality portfolio). Approximately
64.0% of the Fund's net assets were invested in GNMAs; 20.6% in noncallable,
government agency debentures; 12.2% in U.S. Treasury securities and the
remainder in cash and cash equivalents.*
Interest rates should fall
Looking forward, we believe long-term rates will come down. In January, the
yield on the 30-year Treasury bond touched 6.75%. As we write this report in
February, the yield has come down about 60 basis points (0.60%), a very
significant drop in such a short period of time. We believe that economic
fundamentals will support a further drop in bond yields later this year as
evidence of slower economic growth emerges. If they do, the Fund's share price
should benefit. If rates turn back and depress bond prices, our allocation to
GNMAs should continue to provide good relative performance.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.00%, was -2.97%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
*The Fund's portfolio composition is subject to change.
-22-
<PAGE>
AmSouth Government Income Fund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth
Government Government
Income Fund Income Fund Lehman Brothers
(Class A Shares)* (Trust Shares) Mortgage Index
10/1/93 9,600 10,000 10,000
7/94 9,572 9,974 9,924
7/95 10,378 10,814 10,798
7/96 10,889 11,345 11,688
7/97 12,000 12,504 12,933
7/98 12,900 13,443 13,897
7/99 13,248 13,807 14,284
1/00 13,389 13,976 14,445
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 5 Inception
January 31, 2000 Year Year (10/1/93)
- ----------------------------------------------------------
Class A Shares* -4.23% 5.76% 4.72%
- ----------------------------------------------------------
Trust Shares -0.01% 6.66% 5.43%
- ----------------------------------------------------------
* Reflects 4.00% sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
The performance of the AmSouth Government Income Fund is measured against the
Lehman Brothers Mortgage Index, an unmanaged index generally representative of
the mortgage bond market as a whole. The index does not reflect the deduction
of fees associated with a mutual fund, such as investment management and fund
accounting fees. The Fund's performance does reflect the deduction of fees for
these value-added services. Investors cannot invest directly in an index,
although they can invest in the underlying securities. During the period shown,
the Fund waived and voluntarily reimbursed fees for various expenses. Had these
waivers not been in effect, performance quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-23-
<PAGE>
AmSouth BondFund
The AmSouth Bond Fund is co-managed by Brian Sullivan, CFA and John Boston,
CFA. Mr. Sullivan, Chief Investment Officer for AmSouth Bank, serves as
Chairman of the Trust Investment Policy and Strategy Groups. He has 14 years of
fixed-income investment management experience and holds an MBA in finance and a
bachelor's degree in economics. Mr. Boston has more than 10 years of experience
as a fixed-income manager. He holds a bachelor's degree in economics.
Rising interest rates posed a challenge
For the six months ended January 31, 2000, the AmSouth Bond Fund produced a
total return of -0.24% (Class A Shares at NAV)./1/ In comparison, the Lehman
Brothers Government/Corporate Bond Index rose 0.38%.
The economy continued to show very strong growth throughout the period. In the
third and fourth calendar quarters, we saw back-to-back Gross Domestic Product
growth of just under 6% on an annualized basis. At the same time, inflation was
moderate. This was a continuation of the same economic story we have
experienced for the last few years: strong growth, benign inflation.
However, as the unemployment rate continued to fall to very low levels, the Fed
grew increasingly concerned about the shrinking pool of available workers, and
about wage inflation. In an effort to slow down the economy and reduce the risk
of future inflation, the Fed raised short-term rates twice during the period.
(This followed an initial rate hike shortly before the period began, and
another increase just days after the period ended.) At the same time, long-
term, market-set interest rates also were rising, resulting in negative returns
for longer bonds.
We bought further out on the yield curve
The Fund began the period with its maturity structure shorter than its
benchmark's. As rates rose, we lengthened the portfolio's maturity. We
believed, and continue to believe, that if interest rates have not reached a
peak, they are close to a peak. We were positioning the portfolio for what we
believe will be, ultimately, an environment of lower, long-term interest rates.
We also took some money out of corporate bonds, and put it into long-term
Treasuries.*
In January, the entire yield curve--from two years out to 30 years--inverted.
That meant that shorter term notes actually had higher yields than longer-term
bonds. This is an unusual situation: we have not seen such an inversion in more
than five years. Consequently, we felt it prudent to concentrate our buying in
Treasury bonds with maturities of between 16 and 25 years. We were looking for
the highest-yielding maturities in the Treasury market.
As of January 31, 2000, approximately 42.8% of the portfolio's net assets was
invested in corporate issues, 40.1% in securities issued by the U.S. Treasury,
12.5% in U.S. government agency paper and the remainder in cash and cash
equivalents. The securities within the Fund maintained an average credit
quality of AAA, with an average maturity of 8.7 years.*
We are positioned for a lower-rate environment
Looking forward, we believe long-term rates will come down. In January, the
yield on the 30-year Treasury bond touched 6.75%. As we write this report in
February, the yield has come down about 60 basis points (0.60%), a very
significant drop in such a short period of time. We believe that economic
fundamentals will support a further drop in bond yields later this year as
evidence of slower economic growth emerges. This is why we have increased our
participation in the longer end of the yield, to capture potential appreciation
if yields fall further.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.00%, was -4.20%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
*The Fund's portfolio composition is subject to change.
-24-
<PAGE>
AmSouth BondFund
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
Lehman Brothers
AmSouth AmSouth AmSouth Government/
Bond Fund Bond Fund Bond Fund Corporate
(Class A Shares)* (Class B Shares) (Trust Shares) Bond Index
1/90 9,600 10,000 10,000 10,000
7/90 10,075 10,494 10,494 10,513
7/91 10,877 11,330 11,330 11,589
7/92 12,656 13,185 13,185 13,401
7/93 13,901 14,478 14,478 14,879
7/94 13,932 14,510 14,510 14,860
7/95 15,277 15,912 15,912 16,365
7/96 15,944 16,607 16,607 17,233
7/97 17,615 18,345 18,346 19,093
7/98 18,926 19,573 19,731 20,632
7/99 19,415 19,883 20,260 21,113
1/00 19,369 19,747 20,223 21,194
For performance purposes the above graph has not been adjusted for CDSC charges.
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
As of 1 5 10
January 31, 2000 Year Year Year
- ----------------------------------------------------------
Class A Shares* -6.94% 5.89% 6.83%
- ----------------------------------------------------------
Class B Shares** -8.54% 5.98% 7.04%
- ----------------------------------------------------------
Trust Shares -2.94% 6.80% 7.30%
- ----------------------------------------------------------
* Reflects 4.00% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999 the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on September 3,
1997, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Bond Fund is measured against the Lehman
Brothers Government/Corporate Bond Index, an unmanaged broad-based index
representative of the total return of long-term government and corporate bonds.
The index does not reflect the deduction of fees associated with a mutual fund,
such as investment management and fund accounting fees. The Fund's performance
does reflect the deduction of fees for these value-added services. Investors
cannot invest directly in an index, although they can invest in the underlying
securities. During the period shown, the Fund waived and voluntarily reimbursed
fees for various expenses. Had these waivers not been in effect, performance
quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-25-
<PAGE>
AmSouth Municipal Bond Fund+
The AmSouth Municipal Bond Fund is managed by Dorothy Thomas, who has 16 years
of experience as an investment portfolio manager for municipal bond accounts,
personal trusts and endowments. Ms. Thomas holds an MBA and a bachelor's degree
in economics.
The muni market suffered more than taxable bonds
For the six months ended January 31, 2000, the Fund produced a total return of
- -1.21% (Class A Shares at NAV)/1/. In comparison, the Merrill Lynch 3-7-Year
Municipal Bond Index produced a -0.05% return.
Throughout the period, interest rates increased steadily. The Fed raised short-
term rates twice (along with one rate increase just before the period began,
and another rate hike just after the period ended). In January, the yield curve
for the Treasury market, also known as the taxable bond market, inverted--
meaning that short-term rates were higher than long-term rates.
This was big news to fixed-income investors in the taxable market. However, the
yield curve did not invert in the municipal bond market, and we do not
anticipate that it will. Interest rates along the muni yield curve did move up,
though the move was not completely in concert with rates on the taxable yield
curve. Conditions in the municipal market were different from those in the
taxable market.
As rates continued to climb, we lengthened our maturity structure modestly. As
of January 31, 2000, the securities within the Fund maintained an average
credit quality of AA, with an average maturity of 5.7 years.*
With the majority of our shareholders living in Alabama, we maintained a 50%-
60% allocation to municipal debt securities issued in the state (51% of net
assets as of January 31, 2000). As a result, Alabama shareholders enjoyed an
even higher, tax-equivalent yield.*
Higher income, less risk
With the economy remaining quite strong, and the Fed committed to warding off
future inflationary pressures, we believe that short-term rates will rise in
the taxable market. However, that does not automatically translate into higher
rates in the municipal market. Nevertheless, if the economy does not start to
slow down, the Fed will probably take even stronger policy action. In light of
current conditions, we think it is prudent to continue to buy longer
securities. A longer maturity structure also can provide shareholders with
additional tax-free income--one of the Fund's primary considerations.
As always, we will emphasize high credit quality in the issues we buy. For
quite some time, credit spreads in the muni market have been very narrow; there
has been no incentive to take on additional credit risk.
+ The Fund's income may be subject to the federal alternative minimum tax and
to certain state and local taxes.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.00%, was -5.15%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
* The Fund's portfolio composition is subject to change.
-26-
<PAGE>
The AmSouth Municipal Bond Fund+
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth Merrill Lynch AmSouth
Municipal Municipal 3-7 Year Municipal
Bond Fund Bond Fund Municipal Bond Fund
(Class A Shares)* (Class B Shares)** Bond Index (Trust Shares)
7/1/97 9,600 10,000 10,000 10,000
7/97 9,776 10,188 10,170 10,186
7/98 10,199 10,624 10,480 10,643
7/99 10,434 10,820 10,881 10,889
1/00 10,308 10,342 10,876 10,762
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 Inception
January 31, 2000 Year (7/1/97)
- ----------------------------------------------------------
Class A Shares* -7.41% 1.17%
- ----------------------------------------------------------
Class B Shares** -9.00% 1.37%
- ----------------------------------------------------------
Trust Shares -3.45% 2.87%
- ----------------------------------------------------------
* Reflects 4.00% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on February 3,
1999, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Municipal Bond Fund is measured against the
Merrill Lynch 3-7-Year Municipal Bond Index, an unmanaged index that is
generally representative of municipal bonds with intermediate maturities. The
index does not reflect the deduction of fees associated with a mutual fund,
such as investment management and fund accounting fees. The Fund's performance
does reflect the deduction of fees for these value-added services. Investors
cannot invest directly in an index, although they can invest in the underlying
securities. During the period shown, the Fund waived and voluntarily reimbursed
fees for various expenses. Had these waivers not been in effect, performance
quoted would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-27-
<PAGE>
AmSouth Florida Tax-Exempt Fund+,++
The AmSouth Florida Tax-Exempt Fund is managed by Steve L. Cass. Mr. Cass has
more than four years of experience as an investment portfolio manager and holds
a bachelor's degree in economics.
More stability and income
For the six months ended January 31, 2000, the AmSouth Florida Tax-Exempt Fund
produced a total return of -0.84% (Class A Shares at NAV)./1/ In comparison,
the Merrill Lynch 3-7-Year Municipal Bond Index returned -0.05%.
The period saw unusual volatility in the long-term taxable bond market; the
municipal market was somewhat less volatile. Although the Fund's total return
was negative, the Fund provided shareholders with high current income that was
exempt from federal income tax and Florida intangibles taxes.
We shopped for higher yields
The Fed raised short-term rates twice during the period (there was another rate
hike just before the period began, and a fourth hike several days after the
period ended). The Fed's actions, along with market forces, drove yields on the
short end of the yield curve up nearly 100 basis points (1.00%) during the
period--which served to put pressure on the Fund's share price. Being an
intermediate fund, the bulk of our portfolio is invested in the shorter end of
the yield curve.
Concerned about the rise in interest rates, which we had anticipated, we
continued to buy higher-coupon bonds. Not only do these securities pay higher
yields--our shareholders want and need high current income--in our opinion,
they are less susceptible to rate pressures than lower-coupon issues. We
believe most of our shareholders are very income-oriented; and being aware that
interest rates are volatile, they understand that short-term volatility is
unavoidable.
As of January 31, 2000, the securities within the Fund maintained an average
credit quality of AA, with an average maturity of 5.26 years. Also, at the end
of the period, nearly 100% of the portfolio was invested in securities issued
in the state of Florida.
Lower rates in the future?
We anticipate that in the near term, we are likely to have at least one more
rate hike from the Fed (in addition to the 25 basis-point increase in early
February). We believe down the road, however, we should see rates trend
downward--as the economy slows down and the Fed backs away from its tightening
bias. Should our expectations prove correct, the Fund will be well positioned
for the next six to 12 months.
+ The Fund's income may be subject to the federal alternative minimum tax and
to certain state and local taxes.
++ Regional funds may be subject to additional risk, since companies they
invest in are located in one geographical location.
/1/The Fund's Class A Shares' six-month return, with the maximum sales charge
of 4.00%, was -4.85%. For the same period, the total return set forth may
reflect the waiver of a portion of the fees, without which total return would
have been lower.
-28-
<PAGE>
The AmSouth Florida Tax-Exempt Fund+,++
[GRAPH]
[GRAPH]
- -------------------------------------------------------------------------------
Value of a $10,000 Investment
- -------------------------------------------------------------------------------
AmSouth AmSouth AmSouth Merrill Lynch
Florida Florida Florida 3-7 Year
Tax-Exempt Fund Tax-Exempt Fund Tax-Exempt Fund Municipal
(Class A Shares)* (Class B Shares)** (Trust Shares) Bond Index
9/1/94 9,600 10,000 10,000 10,000
7/95 10,224 10,152 10,653 10,670
7/96 10,658 10,702 11,105 11,147
7/97 11,392 11,567 11,870 11,943
7/98 11,896 12,096 12,420 12,516
7/99 12,142 12,410 12,688 12,995
1/00 12,040 12,352 12,588 12,989
- ----------------------------------------------------------
Average Annual Total Return
- ----------------------------------------------------------
Since
As of 1 5 Inception
January 31, 2000 Year Year (9/30/94)
- ----------------------------------------------------------
Class A Shares* -6.94% 3.72% 3.54%
- ----------------------------------------------------------
Class B Shares** -8.47% 4.07% 4.04%
- ----------------------------------------------------------
Trust Shares -2.90% 4.63% 4.41%
- ----------------------------------------------------------
* Reflects 4.00% sales charge.
** Reflects applicable contingent deferred sales charge.
Effective September 2, 1997, the Fund's existing shares, which were previously
unclassified, were designated either Classic or Premier Shares. The performance
figures for Premier Shares for periods prior to such date represent the
performance of Classic Shares of the Fund. On December 1, 1999, the Classic
Shares and the Premier Shares became the Class A Shares and the Trust Shares,
respectively.
Performance for the Class B Shares, which commenced operations on March 16,
1999, is based on the historical performance of the Class A Shares (without
sales charge) prior to that date. The performance of Class A Shares does not
reflect the higher 12b-1 fees. Had the higher 12b-1 fees been incorporated,
total return and hypothetical growth figures would have been lower.
The performance of the AmSouth Florida Tax-Exempt Fund is measured against the
Merrill Lynch 3-7-Year Municipal Bond Index, an unmanaged index generally
representative of intermediate-term municipal bonds. The index does not reflect
the deduction of fees associated with a mutual fund, such as investment
management and fund accounting fees. The Fund's performance does reflect the
deduction of fees for these value-added services. Investors cannot invest
directly in an index, although they can invest in the underlying securities.
During the period shown, the Fund waived and voluntarily reimbursed fees for
various expenses. Had these waivers not been in effect, performance quoted
would have been lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
-29-
<PAGE>
The AmSouth Money Market Funds
The AmSouth Money Market Funds
The AmSouth Money Market Funds are managed by John Boston, CFA. Mr. Boston has
more than 10 years of experience as a fixed-income manager. He holds a
bachelor's degree in finance.
Fed action led to higher yields
In money market funds such as ours--aside from making sure our investments are
of high quality--yield is everything. For that reason, we are especially
affected by changes in short-term interest rates.
During the period, the Fed raised short-term rates twice. In fact, they began
their tightening bias with an initial rate hike about five weeks before the
period began, and followed up with a fourth increase just days after the period
ended.
How did these actions impact our money market funds? Higher short-term rates
lift the rates of overnight repurchase agreements. Depending upon the fund,
this can have a dramatic affect on the yields we pass through to our
shareholders. Therefore, although the rising interest-rate environment crippled
the bond market and made many equity investors nervous we benefited from the
opportunity to buy higher-yielding paper. With inflation remaining tame
throughout the period, shareholders received "real returns" (total returns
minus inflation) that were very attractive.
. As of January 31, 2000, the Prime Fund's average maturity was 37 days,
compared to 66 days on July 31, 1999, and 54 days on January 31, 1999.*
. As of January 31, 2000, the U.S. Treasury Fund's average maturity was 57
days, compared to 47 days on July 31, 1999, and 50 days on January 31, 1999.*
. As of January 31, 2000, the Tax-Exempt Fund's+ average maturity was 51 days,
compared to 53 days on July 31, 1999, and 54 days on January 31, 1999.*
. As of January 31, 2000, the Institutional Prime Obligations Fund's average
maturity was 34 days, compared to 48 days on July 31, 1999, and 23 days on
January 31, 1999.*
Investments in the Prime, the U.S. Treasury, the Tax-Exempt and the
Institutional Prime Obligations Money Market Funds are neither insured nor
guaranteed by the Federal Deposit Insurance Corporation or any government
agency. Although the Funds seek to preserve the value of your investments at
$1.00 per share, it is possible to lose money by investing in the Funds.
Although money market funds may produce higher returns than insured deposit
products, the net asset value may be sensitive to interest-rate movement.
The total return set forth may reflect the waiver of a portion of a Fund's
advisory or administrative fees for certain periods since the inception date.
In such instances, and without waiver of fees, total return would have been
lower.
Past performance is no guarantee of future results. Investment return and net
asset value will fluctuate, so that an investor's shares, when redeemed, may be
worth more or less than the original cost.
+The Fund's income may be subject to the federal alternative minimum tax and to
certain state and local taxes.
*The composition of the Fund's holdings is subject to change.
-30-
<PAGE>
AMSOUTH FUNDS
Statements of Assets and Liabilities
January 31, 2000
(Amounts in thousands, except per share amounts)
(Unaudited)
<TABLE>
<CAPTION>
Equity Enhanced
Income Value Market Growth
Fund Fund (a) Fund Fund (b)
------- -------- -------- --------
<S> <C> <C> <C> <C>
ASSETS:
Investments, at value (Cost $52,925,
$570,374, $64,102 and $42,079,
respectively)............................ $61,788 $747,364 $68,560 $48,408
Cash...................................... -- -- -- 580
Interest and dividends receivable......... 161 1,313 69 20
Receivable for capital shares issued...... 162 1 272 67
Receivable from brokers for investments
sold..................................... 838 5,945 5,705 --
Receivable for variation margin on futures
contracts................................ -- -- 41 --
Prepaid expenses and other assets......... 5 34 4 12
------- -------- ------- -------
Total Assets........................... 62,954 754,657 74,651 49,087
------- -------- ------- -------
LIABILITIES:
Payable for capital shares redeemed....... 40 14,128 21 25
Payable to brokers for investments
purchased................................ 1,223 -- 10,957 --
Accrued expenses and other payables:
Investment advisory fees................. 22 294 13 18
Administration fees...................... 2 25 1 1
Distribution fees........................ 13 21 15 10
Accounting fees.......................... -- 4 3 --
Transfer agent fees...................... 2 15 1 1
Custodian fees........................... 1 19 1 1
Other.................................... 8 61 8 6
------- -------- ------- -------
Total Liabilities...................... 1,311 14,567 11,020 62
------- -------- ------- -------
NET ASSETS:
Capital................................... 50,308 499,544 58,741 41,947
Undistributed (distributions in excess of)
net investment income.................... 51 403 -- (132)
Net unrealized appreciation (depreciation)
on investments and futures............... 8,863 176,990 4,433 6,329
Undistributed net realized gains (losses)
from investment transactions............. 2,421 63,153 457 881
------- -------- ------- -------
Net Assets............................. $61,643 $740,090 $63,631 $49,025
======= ======== ======= =======
Net Assets
Class A Shares (c)....................... $25,279 $ 54,264 $22,177 $14,527
Trust Shares (d)......................... 25,847 675,770 28,315 25,910
Class B Shares........................... 10,517 10,056 13,139 8,588
------- -------- ------- -------
Total.................................. $61,643 $740,090 $63,631 $49,025
======= ======== ======= =======
Outstanding units of beneficial interest
(shares)
Class A Shares (c)....................... 1,749 2,778 1,561 990
Trust Shares (d)......................... 1,786 34,624 1,993 1,754
Class B Shares........................... 731 518 928 596
------- -------- ------- -------
Total.................................. 4,266 37,920 4,482 3,340
======= ======== ======= =======
Net asset value
Class A Shares (c)--redemption price per
share................................... $ 14.46 $ 19.53 $ 14.20 $ 14.68
======= ======== ======= =======
Trust Shares (d)--offering and
redemption price per share.............. $ 14.47 $ 19.52 $ 14.21 $ 14.77
======= ======== ======= =======
Class B Shares*--offering price per
share................................... $ 14.39 $ 19.42 $ 14.15 $ 14.42
======= ======== ======= =======
Maximum Sales Charge (Class A Shares)..... 4.50% 4.50% 4.50% 4.50%
------- -------- ------- -------
Maximum Offering Price (100%/(100%-Maximum
Sales Charge) of net asset value adjusted
to the nearest cent) per share (Class A
Shares).................................. $ 15.14 $ 20.45 $ 14.87 $ 15.37
======= ======== ======= =======
</TABLE>
- --------
(a) Formerly the Equity Fund.
(b) Formerly the Capital Growth Fund.
(c) Formerly Classic Shares.
(d) Formerly Premier Shares.
* Redemption price per share varies by length of time shares are held.
See notes to financial statements.
-31-
<PAGE>
AMSOUTH FUNDS
Statements of Assets and Liabilities
January 31, 2000
(Amounts in thousands, except per share amounts)
(Unaudited)
<TABLE>
<CAPTION>
Select Regional
Equity Equity Small Cap Balanced
Fund Fund Fund Fund
------- -------- --------- --------
<S> <C> <C> <C> <C>
ASSETS:
Investments, at value (Cost $11,959,
$39,800, $36,169 and $263,067,
respectively)......................... $10,515 $40,835 $44,157 $290,556
Interest and dividends receivable...... 9 45 6 3,165
Receivable for capital shares issued... 62 -- 23 --
Receivable from brokers for investments
sold.................................. 252 -- 1,204 --
Prepaid expenses and other assets...... 3 4 4 13
------- ------- ------- --------
Total Assets........................ 10,841 40,884 45,394 293,734
------- ------- ------- --------
LIABILITIES:
Payable for capital shares redeemed.... 5 5,823 -- 10,478
Payable to brokers for investments
purchased............................. -- -- 3,747 --
Accrued expenses and other payables:
Investment advisory fees.............. 4 16 23 113
Administration fees................... -- 1 -- 10
Distribution fees..................... 2 2 1 15
Accounting fees....................... -- -- -- 8
Transfer agent fees................... 1 3 -- 4
Custodian fees........................ -- 1 -- 7
Other................................. 5 5 6 24
------- ------- ------- --------
Total Liabilities................... 17 5,851 3,777 10,659
------- ------- ------- --------
NET ASSETS:
Capital................................ 12,987 33,095 34,168 249,216
Undistributed (distributions in excess
of) net investment income............. (6) 4 (163) (65)
Net unrealized appreciation
(depreciation) on investments......... (1,444) 1,035 7,988 27,489
Undistributed net realized gains
(losses) from investment transactions. (713) 899 (376) 6,435
------- ------- ------- --------
Net Assets.......................... $10,824 $35,033 $41,617 $283,075
======= ======= ======= ========
Net Assets
Class A Shares (a)..................... $ 3,941 $ 9,807 $ 1,352 $ 31,984
Trust Shares (b)....................... 5,884 24,809 39,299 241,998
Class B Shares......................... 999 417 966 9,093
------- ------- ------- --------
Total............................... $10,824 $35,033 $41,617 $283,075
======= ======= ======= ========
Outstanding units of beneficial
interest (shares)
Class A Shares (a).................... 427 756 125 2,607
Trust Shares (b)...................... 637 1,914 3,593 19,738
Class B Shares........................ 109 33 90 743
------- ------- ------- --------
Total............................... 1,173 2,703 3,808 23,088
======= ======= ======= ========
Net asset value
Class A Shares (a)--redemption price
per share............................ $ 9.22 $ 12.98 $ 10.86 $ 12.27
======= ======= ======= ========
Trust Shares (b)--offering and
redemption price per share........... $ 9.24 $ 12.96 $ 10.94 $ 12.26
======= ======= ======= ========
Class B Shares*--offering price per
share................................ $ 9.16 $ 12.78 $ 10.72 $ 12.24
======= ======= ======= ========
Maximum Sales Charge (Class A Shares).. 4.50% 4.50% 4.50% 4.50%
------- ------- ------- --------
Maximum Offering Price (100%/(100%-
Maximum Sales Charge) of net asset
value adjusted to the nearest cent)
per share (Class A Shares)............ $ 9.65 $ 13.59 $ 11.37 $ 12.85
======= ======= ======= ========
</TABLE>
- --------
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
* Redemption price per share varies by length of time shares are held.
See notes to financial statements.
-32-
<PAGE>
AMSOUTH FUNDS
Statements of Assets and Liabilities
January 31, 2000
(Amounts in thousands, except per share amounts)
(Unaudited)
<TABLE>
<CAPTION>
Limited Government Municipal Florida
Term Bond Income Bond Bond Tax-Exempt
Fund (a) Fund Fund Fund Fund (b)
--------- ---------- -------- --------- ----------
<S> <C> <C> <C> <C> <C>
ASSETS:
Investments, at value
(Cost $102,064, $8,072,
$391,373, $360,821 and
$71,779, respectively). $ 99,409 $7,908 $378,955 $352,074 $69,844
Interest and dividends
receivable............. 1,639 77 7,831 5,517 784
Receivable for capital
shares issued.......... 19 -- -- 27 --
Prepaid expenses and
other assets........... 4 2 14 11 4
-------- ------ -------- -------- -------
Total Assets......... 101,071 7,987 386,800 357,629 70,632
-------- ------ -------- -------- -------
LIABILITIES:
Payable for capital
shares redeemed........ 116 32 81 -- --
Accrued expenses and
other payables:
Investment advisory
fees.................. 24 1 88 66 13
Administration fees.... 2 -- 8 7 1
Distribution fees...... 2 -- 3 -- 1
Accounting fees........ 1 -- 2 2 --
Transfer agent fees.... -- -- 2 2 1
Custodian fees......... 2 -- 9 9 2
Other.................. 8 4 25 30 7
-------- ------ -------- -------- -------
Total Liabilities.... 155 37 218 116 25
-------- ------ -------- -------- -------
NET ASSETS:
Capital................. 104,537 8,459 398,832 365,559 72,716
Undistributed
(distributions in
excess of) net
investment income...... 103 18 1,152 672 128
Net unrealized
appreciation
(depreciation) on
investments............ (2,655) (164) (12,418) (8,747) (1,935)
Undistributed net
realized gains (losses)
from investment
transactions........... (1,069) (363) (984) 29 (302)
-------- ------ -------- -------- -------
Net Assets........... $100,916 $7,950 $386,582 $357,513 $70,607
======== ====== ======== ======== =======
Net Assets
Class A Shares (c)..... $ 2,190 $3,913 $ 6,878 $ 2,417 $ 5,904
Trust Shares (d)....... 96,717 4,037 377,298 354,854 63,932
Class B Shares......... 2,009 -- 2,406 242 771
-------- ------ -------- -------- -------
Total................ $100,916 $7,950 $386,582 $357,513 $70,607
======== ====== ======== ======== =======
Outstanding units of
beneficial interest
(shares)
Class A Shares (c)..... 218 414 668 254 597
Trust Shares (d)....... 9,618 426 36,668 37,346 6,460
Class B Shares......... 200 -- 235 26 78
-------- ------ -------- -------- -------
Total................ 10,036 840 37,571 37,626 7,135
======== ====== ======== ======== =======
Net asset value
Class A Shares (c)--
redemption price per
share................. $ 10.06 $ 9.46 $ 10.29 $ 9.50 $ 9.89
======== ====== ======== ======== =======
Trust Shares (d)--
offering and
redemption price per
share................. $ 10.06 $ 9.46 $ 10.29 $ 9.50 $ 9.90
======== ====== ======== ======== =======
Class B Shares*--
offering price per
share................. $ 10.04 $ -- $ 10.27 $ 9.49 $ 9.88
======== ====== ======== ======== =======
Maximum Sales Charge
(Class A Shares)....... 4.00% 4.00% 4.00% 4.00% 4.00%
-------- ------ -------- -------- -------
Maximum Offering Price
(100%/(100%-Maximum
Sales Charge) of net
asset value adjusted to
the nearest cent) per
share (Class A Shares). $ 10.48 $ 9.85 $ 10.72 $ 9.90 $ 10.30
======== ====== ======== ======== =======
</TABLE>
- --------
(a) Formerly the Limited Maturity Fund.
(b) Formerly the Florida Tax-Free Fund.
(c) Formerly Classic Shares.
(d) Formerly Premier Shares.
* Redemption price per share varies by length of time shares are held.
See notes to financial statements.
-33-
<PAGE>
AMSOUTH FUNDS
Statements of Assets and Liabilities
January 31, 2000
(Amounts in thousands, except per share amounts)
(Unaudited)
<TABLE>
<CAPTION>
U.S. Treasury Prime Institutional Prime Tax-Exempt
Money Market Money Market Obligations Money Market
Fund (a) Fund (b) Fund Fund (c)
------------- ------------ ------------------- ------------
<S> <C> <C> <C> <C>
ASSETS:
Investments, at
amortized cost......... $209,027 $609,771 $157,888 $94,747
Repurchase agreements,
at cost................ 90,633 66,210 58,433 --
-------- -------- -------- -------
Total investments.... 299,660 675,981 216,321 94,747
Cash.................... -- -- 8 1
Interest and dividends
receivable............. 1,742 1,413 10 644
Prepaid expenses and
other assets........... 14 26 5 5
-------- -------- -------- -------
Total Assets......... 301,416 677,420 216,344 95,397
-------- -------- -------- -------
LIABILITIES:
Dividends payable....... 1,122 2,931 1,023 231
Accrued expenses and
other payables:
Investment advisory
fees.................. 98 234 14 15
Administration fees.... 10 22 1 3
Distribution fees...... -- 13 28 2
Accounting fees........ 2 4 1 1
Transfer agent fees.... 2 5 2 --
Custodian fees......... 7 16 5 2
Other.................. 12 70 21 10
-------- -------- -------- -------
Total Liabilities.... 1,253 3,295 1,095 264
-------- -------- -------- -------
NET ASSETS:
Capital................. 300,155 674,132 215,244 95,245
Undistributed
(distributions in
excess of) net
investment income...... 7 -- 5 --
Undistributed net
realized gains (losses)
from investment
transactions........... 1 (7) -- (112)
-------- -------- -------- -------
Net Assets........... $300,163 $674,125 $215,249 $95,133
======== ======== ======== =======
Net Assets
Class A Shares (d)
(e)................... $ 5,448 $141,444 $118,474 $31,433
Trust Shares (f) (g)... 294,715 531,997 55,952 63,700
Class B Shares (h)..... -- 684 40,823 --
-------- -------- -------- -------
Total................ $300,163 $674,125 $215,249 $95,133
======== ======== ======== =======
Outstanding units of
beneficial interest
(shares)
Class A Shares (d)
(e)................... 5,448 141,450 118,474 31,468
Trust Shares (f) (g)... 294,706 532,012 55,952 63,777
Class B Shares (h)..... -- 684 40,823 --
-------- -------- -------- -------
Total................ 300,154 674,146 215,249 95,245
======== ======== ======== =======
Net asset value--
offering and redemption
price per share
Class A Shares (d)
(e)................... $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ======== =======
Trust Shares (f) (g)... $ 1.00 $ 1.00 $ 1.00 $ 1.00
======== ======== ======== =======
Class B Shares (h)*.... $ -- $ 1.00 $ 1.00 $ --
======== ======== ======== =======
</TABLE>
- --------
(a) Formerly the U.S. Treasury Fund.
(b) Formerly the Prime Obligations Fund.
(c) Formerly the Tax-Exempt Fund.
(d) Class I shares for the Institutional Prime Obligations Fund.
(e) Formerly Classic Shares.
(f) Class II shares for the Institutional Prime Obligations Fund.
(g) Formerly Premier Shares.
(h) Class III shares for the Institutional Prime Obligations Fund.
* For Class B, redemption price per share varies by length of time shares are
held.
See notes to financial statements.
-34-
<PAGE>
AMSOUTH FUNDS
Statements of Operations
For the Six Months Ended January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Equity Enhanced
Income Value Market Growth
Fund Fund (a) Fund Fund (b)
------ --------- -------- --------
<S> <C> <C> <C> <C>
Investment Income:
Interest income........................... $ 275 $ 281 $ 32 $ --
Dividend income........................... 303 10,944 334 146
------ --------- ------ ------
Total Income............................ 578 11,225 366 146
------ --------- ------ ------
Expenses:
Investment advisory fees.................. 179 3,752 109 175
Administration fees....................... 45 938 51 44
Shareholder servicing fees (Class A
Shares).................................. 27 81 23 17
12b-1 fees (Class B Shares)............... 42 57 46 41
Accounting fees........................... 27 153 37 29
Transfer agent fees....................... 23 126 22 23
Custodian fees............................ 3 59 4 3
Trustee fees and expenses................. 1 15 1 1
Other..................................... 11 124 14 12
------ --------- ------ ------
Total Expenses.......................... 358 5,305 307 345
Expenses voluntarily reduced.............. (33) (13) (66) (67)
------ --------- ------ ------
Net Expenses............................ 325 5,292 241 278
------ --------- ------ ------
Net Investment Income (Loss).............. 253 5,933 125 (132)
------ --------- ------ ------
Realized/Unrealized Gains (Losses) From
Investments:
Net realized gains (losses) from
investment transactions.................. 2,558 64,046 600 981
Net change in unrealized appreciation
(depreciation) from investments and
futures.................................. 4,770 (154,513) 2,001 2,390
------ --------- ------ ------
Net realized/unrealized gains (losses)
from investments......................... 7,328 (90,467) 2,601 3,371
------ --------- ------ ------
Change in net assets resulting from
operations............................... $7,581 $ (84,534) $2,726 $3,239
====== ========= ====== ======
</TABLE>
- --------
(a) Formerly the Equity Fund.
(b) Formerly the Capital Growth Fund.
See notes to financial statements.
-35-
<PAGE>
AMSOUTH FUNDS
Statements of Operations
For the Six Months Ended January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Select Regional
Equity Equity Small Cap Balanced
Fund Fund Fund Fund
------- -------- --------- --------
<S> <C> <C> <C> <C>
Investment Income:
Interest income......................... $ -- $ 28 $ 19 $ 5,555
Dividend income......................... 169 630 29 2,183
------- -------- ------ --------
Total Income.......................... 169 658 48 7,738
------- -------- ------ --------
Expenses:
Investment advisory fees................ 70 239 175 1,370
Administration fees..................... 19 60 28 342
Shareholder servicing fees (Class A
Shares)................................ 9 18 1 47
12b-1 fees (Class B Shares)............. 8 3 5 49
Accounting fees......................... 26 26 29 66
Transfer agent fees..................... 18 25 19 54
Custodian fees.......................... 1 3 2 22
Trustee fees and expenses............... -- 1 -- 5
Organization costs...................... -- -- 3 --
Other................................... 10 21 6 48
------- -------- ------ --------
Total Expenses........................ 161 396 268 2,003
Expenses voluntarily reduced............ (51) (26) (58) (13)
------- -------- ------ --------
Net Expenses.......................... 110 370 210 1,990
------- -------- ------ --------
Net Investment Income (Loss)............ 59 288 (162) 5,748
------- -------- ------ --------
Realized/Unrealized Gains (Losses) From
Investments:
Net realized gains (losses) from
investment transactions................ (183) (1,782) 2,394 6,729
Net change in unrealized appreciation
(depreciation) from investments........ (2,825) (11,518) 5,365 (27,715)
------- -------- ------ --------
Net realized/unrealized gains (losses)
from investments....................... (3,008) (13,300) 7,759 (20,986)
------- -------- ------ --------
Change in net assets resulting from
operations............................. $(2,949) $(13,012) $7,597 $(15,238)
======= ======== ====== ========
</TABLE>
See notes to financial statements.
-36-
<PAGE>
AMSOUTH FUNDS
Statements of Operations
For the Six Months Ended January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Limited Government Municipal Florida
Term Bond Income Bond Bond Tax-Exempt
Fund (a) Fund Fund Fund Fund (b)
--------- ---------- -------- --------- ----------
<S> <C> <C> <C> <C> <C>
Investment Income:
Interest income.......... $ 3,523 $ 260 $ 12,077 $ 7,940 $ 1,714
Dividend income.......... 32 6 128 152 24
------- ----- -------- -------- -------
Total Income........... 3,555 266 12,205 8,092 1,738
------- ----- -------- -------- -------
Expenses:
Investment advisory fees. 356 26 1,267 1,082 236
Administration fees...... 110 8 390 333 73
Shareholder servicing
fees (Class A Shares)... 4 6 9 3 9
12b-1 fees (Class B
Shares)................. 10 -- 12 1 3
Accounting fees.......... 30 23 74 68 35
Transfer agent fees...... 24 11 53 48 23
Custodian fees........... 7 1 26 23 5
Trustee fees and
expenses................ 1 -- 6 4 1
Other.................... 18 3 55 41 11
------- ----- -------- -------- -------
Total Expenses......... 560 78 1,892 1,603 396
Expenses voluntarily
reduced................. (141) (50) (466) (564) (185)
------- ----- -------- -------- -------
Net Expenses........... 419 28 1,426 1,039 211
------- ----- -------- -------- -------
Net Investment Income
(Loss).................. 3,136 238 10,779 7,053 1,527
------- ----- -------- -------- -------
Realized/Unrealized Gains
(Losses) From
Investments:
Net realized gains
(losses) from investment
transactions............ 33 (27) (986) 58 (301)
Net change in unrealized
appreciation
(depreciation) from
investments............. (2,140) (119) (10,344) (10,868) (1,860)
------- ----- -------- -------- -------
Net realized/unrealized
gains (losses) from
investments............. (2,107) (146) (11,330) (10,810) (2,161)
------- ----- -------- -------- -------
Change in net assets
resulting from
operations.............. $ 1,029 $ 92 $ (551) $ (3,757) $ (634)
======= ===== ======== ======== =======
</TABLE>
- --------
(a) Formerly the Limited Maturity Fund.
(b) Formerly the Florida Tax-Free Fund.
See notes to financial statements.
-37-
<PAGE>
AMSOUTH FUNDS
Statements of Operations
For the Six Months Ended January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
U.S. Prime
Treasury Money Institutional Tax-Exempt
Money Market Prime Money
Market Fund Obligations Market
Fund (a) (b) Fund Fund (c)
-------- ------- ------------- ----------
<S> <C> <C> <C> <C>
Investment Income:
Interest income..................... $7,433 $19,818 $4,845 $1,569
Dividend income..................... -- -- 1 84
------ ------- ------ ------
Total Income...................... 7,433 19,818 4,846 1,653
------ ------- ------ ------
Expenses:
Investment advisory fees............ 589 1,438 174 190
Administration fees................. 294 719 87 95
Shareholder servicing fees (Class A
Shares)............................ 7 190 46 32
12b-1 fees (Class B Shares)......... -- 2 65 --
Accounting fees..................... 50 119 37 26
Transfer agent fees................. 40 90 31 18
Custodian fees...................... 19 47 13 6
Trustee fees and expenses........... 4 10 2 1
Other............................... 51 100 24 16
------ ------- ------ ------
Total Expenses.................... 1,054 2,715 479 384
Expenses voluntarily reduced........ (12) (127) (190) (127)
------ ------- ------ ------
Net Expenses...................... 1,042 2,588 289 257
------ ------- ------ ------
Net Investment Income (Loss)........ 6,391 17,230 4,557 1,396
------ ------- ------ ------
Realized/Unrealized Gains (Losses)
From Investments:
Net realized gains (losses) from
investment transactions............ -- -- -- (111)
------ ------- ------ ------
Net realized/unrealized gains
(losses) from investments.......... -- -- -- (111)
------ ------- ------ ------
Change in net assets resulting from
operations......................... $6,391 $17,230 $4,557 $1,285
====== ======= ====== ======
</TABLE>
- --------
(a) Formerly the U.S. Treasury Fund.
(b) Formerly the Prime Obligations Fund.
(c) Formerly the Tax-Exempt Fund.
See notes to financial statements.
-38-
<PAGE>
AMSOUTH FUNDS
Statements of Changes in Net Assets
(Amounts in thousands)
<TABLE>
<CAPTION>
Enhanced Market
Equity Income Fund Value Fund (a) Fund Growth Fund (b)
-------------------- ----------------------- -------------------- --------------------
Six Months Year Six Months Year Six Months Period Six Months Year
Ended Ended Ended Ended Ended Ended Ended Ended
January 31, July 31, January 31, July 31, January 31, July 31, January 31, July 31,
2000 1999 2000 1999 2000 1999 (c) 2000 1999
----------- -------- ----------- ---------- ----------- -------- ----------- --------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
From Investment
Activities:
Operations:
Net investment income
(loss)................ $ 253 $ 519 $ 5,933 $ 10,818 $ 125 $ 126 $ (132) $ (149)
Net realized gains
(losses) from
investment
transactions.......... 2,558 2,385 64,046 136,676 600 1,583 981 1,650
Net change in
unrealized
appreciation
(depreciation) from
investments and
futures............... 4,770 2,356 (154,513) 419 2,001 2,432 2,390 2,629
------- -------- ---------- ---------- ------- ------- -------- -------
Change in net assets
resulting from
operations............. 7,581 5,260 (84,534) 147,913 2,726 4,141 3,239 4,130
------- -------- ---------- ---------- ------- ------- -------- -------
Distributions to Class A
Shareholders (d):
From net investment
income................ (109) (314) (340) (565) (47) (79) -- --
From net realized gains
from investment
transactions.......... (1,240) (525) (9,331) (7,000) (614) (30) (495) (69)
Distributions to Trust
Shareholders (e):
From net investment
income................ (83) (144) (5,644) (9,737) (78) (41)(f) -- --
From net realized gains
from investment
transactions.......... (796) (184) (123,979) (94,909) (754) -- (794) (40)
Distributions to Class B
Shareholders:
From net investment
income................ (16) (56) (24) (24) (2) (4)(g) -- --
From net realized gains
from investment
transactions.......... (485) (167) (1,625) (935) (326) (2)(g) (311) (31)
------- -------- ---------- ---------- ------- ------- -------- -------
Change in net assets
resulting from
shareholder
distributions.......... (2,729) (1,390) (140,943) (113,170) (1,821) (156) (1,600) (140)
------- -------- ---------- ---------- ------- ------- -------- -------
Capital Transactions:
Proceeds from shares
issued................ 19,989 9,218 71,582 199,148 33,937 40,225 18,358 27,139
Dividends reinvested... 1,998 1,155 35,339 25,287 1,335 140 1,078 100
Cost of shares
redeemed.............. (5,549) (16,396) (185,148) (244,053) (7,316) (9,580) (11,608) (7,692)
------- -------- ---------- ---------- ------- ------- -------- -------
Change in net assets
from capital
transactions........... 16,438 (6,023) (78,227) (19,618) 27,956 30,785 7,828 19,547
------- -------- ---------- ---------- ------- ------- -------- -------
Change in net assets.... 21,290 (2,153) (303,704) 15,125 28,861 34,770 9,467 23,537
Net Assets:
Beginning of period.... 40,353 42,506 1,043,794 1,028,669 34,770 -- 39,558 16,021
------- -------- ---------- ---------- ------- ------- -------- -------
End of period.......... $61,643 $ 40,353 $ 740,090 $1,043,794 $63,631 $34,770 $ 49,025 $39,558
======= ======== ========== ========== ======= ======= ======== =======
Share Transactions:
Issued................. 1,443 755 3,263 8,339 2,388 3,204 1,235 2,033
Reinvested............. 150 98 1,745 1,125 94 10 73 8
Redeemed............... (409) (1,347) (8,406) (10,006) (509) (705) (786) (603)
------- -------- ---------- ---------- ------- ------- -------- -------
Change in shares........ 1,184 (494) (3,398) (542) 1,973 2,509 522 1,438
======= ======== ========== ========== ======= ======= ======== =======
</TABLE>
- --------
(a) Formerly the Equity Fund.
(b) Formerly the Capital Growth Fund.
(c) For the period from September 1, 1998 (commencement of operations) through
July 31, 1999.
(d) Formerly Classic Shares.
(e) Formerly Premier Shares.
(f) For the period from December 11, 1998 (commencement of operations) through
July 31, 1999.
(g) For the period from September 2, 1998 (commencement of operations) through
July 31, 1999.
See notes to financial statements.
-39-
<PAGE>
AMSOUTH FUNDS
Statements of Changes in Net Assets
(Amounts in thousands)
<TABLE>
<CAPTION>
Select Regional
Equity Equity Small Cap Balanced
Fund Fund Fund Fund
-------------------- -------------------- -------------------- --------------------
Six Months Period Six Months Year Six Months Year Six Months Year
Ended Ended Ended Ended Ended Ended Ended Ended
January 31, July 31, January 31, July 31, January 31, July 31, January 31, July 31,
2000 1999 (a) 2000 1999 2000 1999 2000 1999
----------- -------- ----------- -------- ----------- -------- ----------- --------
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C> <C> <C>
From Investment
Activities:
Operations:
Net investment income
(loss)................ $ 59 $ 72 $ 288 $ 579 $ (162) $ (99) $ 5,748 $ 10,947
Net realized gains
(losses) from
investment
transactions.......... (183) 612 (1,782) 16,745 2,394 (2,191) 6,729 43,490
Net change in
unrealized
appreciation
(depreciation) from
investments........... (2,825) 1,381 (11,518) (30,363) 5,365 2,703 (27,715) (19,188)
-------- ------- -------- -------- ------- ------- -------- --------
Change in net assets
resulting from
operations............. (2,949) 2,065 (13,012) (13,039) 7,597 413 (15,238) 35,249
-------- ------- -------- -------- ------- ------- -------- --------
Distributions to Class A
Shareholders (b):
From net investment
income................ (25) (49) (58) (128) -- -- (665) (1,197)
From net realized gains
from investment
transactions.......... (450) (19) (3,408) (2,101) -- -- (4,396) (3,540)
Distributions to Trust
Shareholders (c):
From net investment
income................ (37) (22)(d) (238) (436) -- -- (5,587) (9,447)
From net realized gains
from investment
transactions.......... (552) (6)(d) (10,500) (4,934) -- -- (35,672) (25,304)
Distributions to Class B
Shareholders:
From net investment
income................ (3) (2)(e) (1) (1) -- -- (138) (153)
From net realized gains
from investment
transactions.......... (114) -- (157) (110) -- -- (1,214) (554)
-------- ------- -------- -------- ------- ------- -------- --------
Change in net assets
resulting from
shareholder
distributions.......... (1,181) (98) (14,362) (7,710) -- -- (47,672) (40,195)
-------- ------- -------- -------- ------- ------- -------- --------
Capital Transactions:
Proceeds from shares
issued................ 1,319 27,874 8,987 9,981 13,523 18,277 39,461 66,769
Dividends reinvested... 1,060 94 6,307 3,734 -- -- 24,807 24,021
Cost of shares
redeemed.............. (10,036) (7,324) (35,148) (50,312) (3,282) (2,226) (90,653) (95,223)
-------- ------- -------- -------- ------- ------- -------- --------
Change in net assets
from capital
transactions........... (7,657) 20,644 (19,854) (36,597) 10,241 16,051 (26,385) (4,433)
-------- ------- -------- -------- ------- ------- -------- --------
Change in net assets.... (11,787) 22,611 (47,228) (57,346) 17,838 16,464 (89,295) (9,379)
Net Assets:
Beginning of period.... 22,611 -- 82,261 139,607 23,779 7,315 372,370 381,749
-------- ------- -------- -------- ------- ------- -------- --------
End of period.......... $ 10,824 $22,611 $ 35,033 $ 82,261 $41,617 $23,779 $283,075 $372,370
======== ======= ======== ======== ======= ======= ======== ========
Share Transactions:
Issued................. 120 2,492 643 419 1,339 2,300 2,973 4,511
Reinvested............. 111 8 491 159 -- -- 1,962 1,666
Redeemed............... (961) (597) (2,018) (2,125) (352) (279) (6,790) (6,379)
-------- ------- -------- -------- ------- ------- -------- --------
Change in shares........ (730) 1,903 (884) (1,547) 987 2,021 (1,855) (202)
======== ======= ======== ======== ======= ======= ======== ========
</TABLE>
- --------
(a) For the period from September 1, 1998 (commencement of operations) through
July 31, 1999.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from December 3, 1998 (commencement of operations) through
July 31, 1999.
(e) For the period from September 2, 1998 (commencement of operations) through
July 31, 1999.
See notes to financial statements.
-40-
<PAGE>
AMSOUTH FUNDS
Statements of Changes in Net Assets
(Amounts in thousands)
<TABLE>
<CAPTION>
Limited Term Bond Government Income
Fund (a) Fund Bond Fund
-------------------- -------------------- --------------------
Six Months Year Six Months Year Six Months Year
Ended Ended Ended Ended Ended Ended
January 31, July 31, January 31, July 31, January 31, July 31,
2000 1999 2000 1999 2000 1999
----------- -------- ----------- -------- ----------- --------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
From Investment
Activities:
Operations:
Net investment income
(loss)................ $ 3,136 $ 6,321 $ 238 $ 513 $ 10,779 $ 19,836
Net realized gains
(losses) from
investment
transactions.......... 33 464 (27) 51 (986) 3,588
Net change in
unrealized
appreciation
(depreciation) from
investments........... (2,140) (2,240) (119) (283) (10,344) (15,033)
-------- -------- ------- ------- -------- --------
Change in net assets
resulting from
operations............. 1,029 4,545 92 281 (551) 8,391
-------- -------- ------- ------- -------- --------
Distributions to Class A
Shareholders (b):
From net investment
income................ (90) (163) (120) (360) (200) (385)
From net realized gains
from investment
transactions.......... -- -- -- -- (15) (87)
Distributions to Trust
Shareholders (c):
From net investment
income................ (3,369) (5,930) (100) (141) (10,791) (18,671)
From net realized gains
from investment
transactions.......... -- -- -- -- (795) (3,997)
Distributions to Class B
Shareholders:
From net investment
income................ (57) (20)(d) -- -- (57) (77)
From net realized gains
from investment
transactions.......... -- -- -- -- (5) (18)
-------- -------- ------- ------- -------- --------
Change in net assets
resulting from
shareholder
distributions.......... (3,516) (6,113) (220) (501) (11,863) (23,235)
-------- -------- ------- ------- -------- --------
Capital Transactions:
Proceeds from shares
issued................ 6,056 31,324 1,018 2,636 47,312 122,886
Dividends reinvested... 420 709 113 240 2,463 5,561
Cost of shares
redeemed.............. (16,942) (27,080) (1,639) (4,767) (40,596) (59,190)
-------- -------- ------- ------- -------- --------
Change in net assets
from capital
transactions........... (10,466) 4,953 (508) (1,891) 9,179 69,257
-------- -------- ------- ------- -------- --------
Change in net assets.... (12,953) 3,385 (636) (2,111) (3,235) 54,413
Net Assets:
Beginning of period.... 113,869 110,484 8,586 10,697 389,817 335,404
-------- -------- ------- ------- -------- --------
End of period.......... $100,916 $113,869 $ 7,950 $ 8,586 $386,582 $389,817
======== ======== ======= ======= ======== ========
Share Transactions:
Issued................. 594 2,987 106 266 4,529 11,159
Reinvested............. 40 68 12 24 236 500
Redeemed............... (1,665) (2,579) (171) (481) (3,875) (5,321)
-------- -------- ------- ------- -------- --------
Change in shares........ (1,031) 476 (53) (191) 890 6,338
======== ======== ======= ======= ======== ========
</TABLE>
- --------
(a) Formerly the Limited Maturity Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from January 21, 1999 (commencement of operations) through
July 31, 1999.
See notes to financial statements.
-41-
<PAGE>
AMSOUTH FUNDS
Statements of Changes in Net Assets
(Amounts in thousands)
<TABLE>
<CAPTION>
Florida Tax-Exempt
Municipal Bond Fund Fund (a)
-------------------- --------------------
Six Months Year Six Months Year
Ended Ended Ended Ended
January 31, July 31, January 31, July 31,
2000 1999 2000 1999
----------- -------- ----------- --------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
From Investment Activities:
Operations:
Net investment income (loss)... $ 7,053 $ 13,414 $ 1,527 $ 2,897
Net realized gains (losses)
from investment transactions.. 58 2,189 (301) 376
Net change in unrealized
appreciation (depreciation)
from investments.............. (10,868) (7,994) (1,860) (2,004)
-------- -------- -------- --------
Change in net assets resulting
from operations................ (3,757) 7,609 (634) 1,269
-------- -------- -------- --------
Distributions to Class A
Shareholders (b):
From net investment income..... (58) (88) (154) (388)
From net realized gains from
investment transactions....... (15) (21) (17) (50)
Distributions to Trust
Shareholders (c):
From net investment income..... (6,919) (12,760) (1,364) (2,374)
From net realized gains from
investment transactions....... (1,647) (3,342) (177) (333)
Distributions to Class B
Shareholders:
From net investment income..... (3) -- (11) (4)(d)
From net realized gains from
investment transactions....... (1) -- (2) --
-------- -------- -------- --------
Change in net assets resulting
from shareholder distributions. (8,643) (16,211) (1,725) (3,149)
-------- -------- -------- --------
Capital Transactions:
Proceeds from shares issued.... 72,277 52,433 8,798 25,737
Dividends reinvested........... 254 265 154 458
Cost of shares redeemed........ (26,621) (49,246) (12,298) (12,035)
-------- -------- -------- --------
Change in net assets from
capital transactions........... 45,910 3,452 (3,346) 14,160
-------- -------- -------- --------
Change in net assets............ 33,510 (5,150) (5,705) 12,280
Net Assets:
Beginning of period............ 324,003 329,153 76,312 64,032
-------- -------- -------- --------
End of period.................. $357,513 $324,003 $ 70,607 $ 76,312
======== ======== ======== ========
Share Transactions:
Issued......................... 7,521 5,171 877 2,447
Reinvested..................... 26 27 15 43
Redeemed....................... (2,753) (4,836) (1,225) (1,146)
-------- -------- -------- --------
Change in shares................ 4,794 362 (333) 1,344
======== ======== ======== ========
</TABLE>
- --------
(a) Formerly the Florida Tax-Free Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from March 16, 1999 (commencement of operations) through
July 31, 1999.
See notes to financial statements.
-42-
<PAGE>
AMSOUTH FUNDS
Statements of Changes in Net Assets
(Amounts in thousands)
<TABLE>
<CAPTION>
U.S. Treasury Money Prime Money Market Fund
Market Fund (a) (b)
--------------------- -----------------------
Six Months Year Six Months Year
Ended Ended Ended Ended
January 31, July 31, January 31, July 31,
2000 1999 2000 1999
----------- --------- ----------- -----------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
From Investment Activities:
Operations:
Net investment income (loss). $ 6,391 $ 12,933 $ 17,230 $ 31,049
Net realized gains (losses)
from investment
transactions................ -- -- -- 2
--------- --------- --------- -----------
Change in net assets resulting
from operations.............. 6,391 12,933 17,230 31,051
--------- --------- --------- -----------
Distributions to Class A
Shareholders (c):
From net investment income... (112) (259) (3,581) (5,916)
Distributions to Trust
Shareholders (d):
From net investment income... (6,279) (12,674) (13,640) (25,128)
Distributions to Class B
Shareholders:
From net investment income... -- -- (9) (5)
--------- --------- --------- -----------
Change in net assets resulting
from shareholder
distributions................ (6,391) (12,933) (17,230) (31,049)
--------- --------- --------- -----------
Capital Transactions:
Proceeds from shares issued.. 365,982 767,190 854,448 1,839,819
Dividends reinvested......... 243 909 4,444 7,705
Cost of shares redeemed...... (391,299) (802,987) (857,968) (1,771,260)
--------- --------- --------- -----------
Change in net assets from
capital transactions......... (25,074) (34,888) 924 76,264
--------- --------- --------- -----------
Change in net assets.......... (25,074) (34,888) 924 76,266
Net Assets:
Beginning of period.......... 325,237 360,125 673,201 596,935
--------- --------- --------- -----------
End of period................ $ 300,163 $ 325,237 $ 674,125 $ 673,201
========= ========= ========= ===========
Share Transactions:
Issued....................... 365,982 767,190 854,448 1,839,819
Reinvested................... 243 909 4,444 7,705
Redeemed..................... (391,299) (802,987) (857,968) (1,771,260)
--------- --------- --------- -----------
Change in shares.............. (25,074) (34,888) 924 76,264
========= ========= ========= ===========
</TABLE>
- --------
(a) Formerly the U.S. Treasury Fund.
(b) Formerly the Prime Obligations Fund.
(c) Formerly Classic Shares.
(d) Formerly Premier Shares.
See notes to financial statements.
-43-
<PAGE>
AMSOUTH FUNDS
Statements of Changes in Net Assets
(Amounts in thousands)
<TABLE>
<CAPTION>
Institutional Prime Tax-Exempt Money
Obligations Fund Market Fund (a)
--------------------- ---------------------
Six Months Period Six Months Year
Ended Ended Ended Ended
January 31, July 31, January 31, July 31,
2000 1999 (b) 2000 1999
----------- --------- ----------- ---------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
From Investment Activities:
Operations:
Net investment income
(loss)..................... $ 4,557 $ 4,736 $ 1,396 $ 2,582
Net realized gains (losses)
from investment
transactions............... -- -- (111) 1
--------- --------- --------- ---------
Change in net assets
resulting from operations... 4,557 4,736 1,285 2,583
--------- --------- --------- ---------
Distributions to Class A
Shareholders (c) (d):
From net investment income.. (2,977) (4,300) (366) (660)
Distributions to Trust
Shareholders (e) (f):
From net investment income.. (948) (306)(h) (1,030) (1,922)
Distributions to Class B
Shareholders (g):
From net investment income.. (632) (130)(i) -- --
--------- --------- --------- ---------
Change in net assets
resulting from shareholder
distributions............... (4,557) (4,736) (1,396) (2,582)
--------- --------- --------- ---------
Capital Transactions:
Proceeds from shares issued. 410,511 468,518 105,165 236,615
Dividends reinvested........ -- -- 337 691
Cost of shares redeemed..... (304,295) (359,485) (106,982) (231,324)
--------- --------- --------- ---------
Change in net assets from
capital transactions........ 106,216 109,033 (1,480) 5,982
--------- --------- --------- ---------
Change in net assets......... 106,216 109,033 (1,591) 5,983
Net Assets:
Beginning of period......... 109,033 -- 96,724 90,741
--------- --------- --------- ---------
End of period............... $ 215,249 $ 109,033 $ 95,133 $ 96,724
========= ========= ========= =========
Share Transactions:
Issued...................... 410,511 468,518 105,165 236,615
Reinvested.................. -- -- 337 691
Redeemed.................... (304,295) (359,485) (106,982) (231,324)
--------- --------- --------- ---------
Change in shares............. 106,216 109,033 (1,480) 5,982
========= ========= ========= =========
</TABLE>
- --------
(a) Formerly the Tax-Exempt Fund.
(b) For the period from September 15, 1998 (commencement of operations) through
July 31, 1999.
(c) Class I shares for the Institutional Prime Obligations Fund.
(d) Formerly Classic Shares.
(e) Class II shares for the Institutional Prime Obligations Fund.
(f) Formerly Premier Shares.
(g) Class III shares for the Institutional Prime Obligations Fund.
(h) For the period from February 19, 1999 (commencement of operations) through
July 31, 1999.
(i) For the period from February 22, 1999 (commencement of operations) through
July 31, 1999.
See notes to financial statements.
-44-
<PAGE>
AMSOUTH
Equity Income Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Common Stocks & Securities Convertible to
Common Stock (98.8%):
Basic Materials (2.7%):
9,100 E.I. du Pont de Nemours.................................... $ 537
20,900 Sealed Air Corp., 4.00%, CVT. PFD.,
4/1/18.................................................... 1,113
-------
1,650
-------
Capital Goods/Diversified (7.1%):
13,200 General Electric Co........................................ 1,761
54,100 Ingersoll-Rand Co., 6.75%, CVT. PFD., 12/31/49............. 1,254
28,400 Pitney Bowes, Inc.......................................... 1,392
-------
4,407
-------
Consumer Cyclical (2.6%):
32,700 Ford Motor Co.............................................. 1,627
-------
Consumer Staples (6.0%):
11,900 Coca Cola Co............................................... 684
11,800 Estee Lauder, 6.25%, CVT. PFD., 2/23/02.................... 1,121
7,800 Procter & Gamble Co........................................ 787
18,600 Quaker Oats Co............................................. 1,104
-------
3,696
-------
Energy (5.6%):
46,500 EOG Resources, 7.00%, CVT. PFD., 7/31/02................... 791
20,701 Exxon Mobil Corp........................................... 1,728
21,200 Shell Transport & Trading Co. PLC (ADR).................... 930
-------
3,449
-------
Finance (12.6%):
10,600 American International Group, Inc.......................... 1,104
16,500 Bank of America Corp....................................... 799
14,200 Chase Manhattan Corp....................................... 1,142
26,450 Citigroup, Inc............................................. 1,520
8,675 J.P. Morgan & Co., Inc..................................... 1,065
55,400 Lincoln National Corp., 7.75%, CVT. PFD., 8/16/01.......... 1,198
11,000 Merrill Lynch & Co., Inc................................... 954
-------
7,782
-------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
---------- ---------------------------------------------------------- -------
<C> <S> <C>
Common Stocks & Securities Convertible to
Common Stock, continued:
Healthcare (10.1%):
29,800 Abbott Laboratories....................................... $ 972
20,200 Bausch & Lomb, Inc........................................ 1,253
15,000 Bristol-Myers Squibb Co................................... 990
$ 910,000 Centocor, Inc., 4.75%, CVT. BD., 2/15/05.................. 1,123
11,500 Merck & Co., Inc.......................................... 906
29,400 Monsanto (ACES) 6.50%, CVT. PFD., 11/30/01................ 970
-------
6,214
-------
Retailing (6.1%):
$1,690,000 Costco Co., 0.00%, CVT. BD., 8/19/02...................... 1,918
32,500 Dollar General STRYPES Trust.............................. 1,115
12,750 Home Depot, Inc........................................... 722
-------
3,755
-------
Services (5.3%):
$ 830,000 Clear Channel Communication, 2.63%, CVT. BD., 4/1/03...... 1,163
390,000 Omnicom Group, 4.25%, CVT. BD., 1/3/07.................... 1,151
17,400 Seagrams Co., 7.50%, CVT. PFD., 6/21/02................... 966
-------
3,280
-------
Technology (30.2%):
45,700 Amdocs Ltd., 6.75%, CVT. PFD., 9/11/02.................... 2,104
18,000 Computer Associates International, Inc.................... 1,236
$ 470,000 Conexant Systems, 4.25%, CVT. BD., 5/1/06................. 1,707
8,700 Corning Glass Works....................................... 1,342
5,400 I.B.M. Corp............................................... 606
$ 290,000 Level One Communications, 4.00%, CVT. BD., 9/1/04......... 901
9,300 Motorola, Inc............................................. 1,272
20,000 Nextel STRYPES Trust, 7.25%, CVT. PFD., 5/15/00........... 1,849
$ 400,000 Oak Industries, 4.88%, CVT. BD., 3/1/08................... 1,301
1,000,000 Rational Software, 5.00%, CVT. BD., 2/1/07................ 984
800,000 Sanmina Corp., 4.25%, CVT. BD., 5/1/04.................... 1,071
2,000,000 Solectron Corp., 0.00%, CVT. BD.,
1/27/19.................................................. 1,213
</TABLE>
Continued
-45-
<PAGE>
AMSOUTH
Equity Income Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
---------- ---------------------------------------------------------- -------
<C> <S> <C>
Common Stocks & Securities Convertible to
Common Stock, continued:
Technology, continued:
14,200 Texas Instruments, Inc.................................... $ 1,532
$ 530,000 Veritas Software, 1.86%, CVT. BD., 8/13/06................ 1,472
-------
18,590
-------
Utilities (10.5%):
22,200 BCE, Inc.................................................. 2,269
17,000 Enron Corp................................................ 1,146
$1,150,000 NTL, Inc., 5.75%, CVT. BD., 12/15/09...................... 1,202
9,200 Sprint Corp............................................... 595
24,700 Vodafone/Mediaone Group, 7.00%, CVT. PFD., 11/5/02........ 1,272
-------
6,484
-------
Total Common Stocks & Securities Convertible to Common Stock 60,934
-------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Investment Companies (1.4%):
854,108 AmSouth Prime Money Market Fund............................ $ 854
-------
Total Investment Companies 854
-------
Total (Cost $52,925) (a) $61,788
=======
</TABLE>
- --------
Percentages indicated are based on net assets of $61,643.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........ $10,533
Unrealized depreciation........ (1,670)
-------
Net unrealized appreciation.... $ 8,863
=======
</TABLE>
ACES--Adjustable Conversion--Rate Equity Security Units
ADR--American Depository Receipt
CVT. PFD.--Convertible Preferred Stock
CVT. BD.--Convertible Bond
PLC--Public Limited Co.
STRYPES--Structured Yield Product Exchangeable for Stock
<TABLE>
<CAPTION>
Breakdown of Sectors
- --------------------
<S> <C>
Common Stocks...................... 53.5%
Convertible Preferred Stocks....... 20.5%
Convertible Bonds.................. 24.6%
Investment Companies............... 1.4%
------
Total............................. 100.0%
======
</TABLE>
See notes to financial statements.
-46-
<PAGE>
AMSOUTH
Value Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Security Market
Shares Description Value
---------- --------------------------------------------------------- --------
<C> <S> <C>
Common Stocks (98.7%):
Automotive (2.3%):
336,000 Ford Motor Co. .......................................... $ 16,716
--------
Automotive Parts (1.1%):
358,500 Arvin Industries, Inc. .................................. 8,313
--------
Banking (6.7%):
200,000 Bank of America Corp. ................................... 9,688
300,000 Bank One Corp. .......................................... 8,944
400,000 First Union Corp. ....................................... 13,425
700,000 Washington Mutual, Inc. ................................. 17,762
--------
49,819
--------
Business Services (2.4%):
155,000 Modis Professional Services, Inc. (b).................... 2,693
690,000 Reynolds & Reynolds Co., Class A......................... 15,266
--------
17,959
--------
Chemicals-Speciality (2.7%):
920,000 Engelhard Corp. ......................................... 14,662
475,000 M.A. Hanna Co. .......................................... 5,433
--------
20,095
--------
Computer Hardware (2.9%):
125,000 Compaq Computer Corp. ................................... 3,422
160,000 IBM Corp. ............................................... 17,950
--------
21,372
--------
Computers & Peripherals (3.1%):
900,000 Cabletron Systems, Inc. (b).............................. 23,119
--------
Consumer Goods (2.4%):
790,000 American Greetings Corp., Class A........................ 17,479
--------
Electrical & Electronic (1.5%):
204,000 Avnet, Inc. ............................................. 10,952
--------
Financial Services (2.4%):
630,000 Dun & Bradstreet Corp. .................................. 15,868
80,000 Equifax, Inc. ........................................... 1,720
--------
17,588
--------
</TABLE>
<TABLE>
<CAPTION>
Security Market
Shares Description Value
---------- --------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Food Products, Processing & Packaging (3.1%):
210,000 Dole Food, Inc. ......................................... $ 3,216
895,000 Sara Lee Corp. .......................................... 16,501
180,000 Universal Foods Corp. ................................... 3,308
--------
23,025
--------
Forest & Paper Products (6.4%):
345,000 International Paper Co. ................................. 16,431
290,000 Weyerhauser Co........................................... 16,638
350,000 Willamette Industries, Inc............................... 14,350
--------
47,419
--------
Health Care (3.0%):
197,000 Aetna, Inc. ............................................. 10,490
220,000 United Healthcare Corp. ................................. 11,660
--------
22,150
--------
Household Products/Wares (2.0%):
486,580 Newell Rubbermaid, Inc. ................................. 14,597
--------
Insurance (7.6%):
300,000 Chubb Corp. ............................................. 16,875
210,000 Marsh & McLennan Cos., Inc. ............................. 19,740
660,000 St. Paul Cos., Inc. ..................................... 19,924
--------
56,539
--------
Manufacturing (0.4%):
123,800 Kennametal, Inc. ........................................ 3,257
--------
Medical Supplies (3.9%):
370,000 C.R. Bard, Inc. ......................................... 16,558
335,000 DENTSPLY International, Inc.............................. 8,291
75,000 Guidant Corp. (b)........................................ 3,947
--------
28,796
--------
Newspapers (3.1%):
60,000 Dow Jones & Co., Inc..................................... 3,720
275,000 Gannett Co., Inc. ....................................... 19,113
--------
22,833
--------
Oil & Gas Exploration, Production, & Services (12.5%):
250,000 Burlington Resources, Inc. .............................. 8,016
324,200 Kerr-McGee Corp. ........................................ 17,952
350,000 Noble Affiliates......................................... 7,022
</TABLE>
Continued
-47-
<PAGE>
AMSOUTH
Value Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Security Market
Shares Description Value
---------- --------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Oil & Gas Exploration, Production, & Services, continued:
570,000 Sunoco, Inc.............................................. $ 13,146
325,000 Texaco, Inc.............................................. 17,184
635,000 Ultramar Diamond Shamrock Corp........................... 13,891
610,000 USX-Marathon Group....................................... 15,669
--------
92,880
--------
Packaging (0.8%):
300,000 Crown Cork & Seal, Inc. ................................. 6,094
--------
Pharmaceuticals (5.4%):
120,000 American Home Products Corp.............................. 5,648
275,000 Baxter International, Inc. .............................. 17,565
360,000 Pharmacia & Upjohn, Inc.................................. 16,920
--------
40,133
--------
Railroads (0.8%):
200,000 CSX Corp................................................. 5,850
--------
Retail (9.6%):
470,000 CVS Corp................................................. 16,421
410,000 Dillard's, Inc., Class A................................. 7,867
600,000 May Department Stores Co. ............................... 18,674
250,000 Target Corp.............................................. 16,516
205,000 Wal-Mart Stores, Inc. ................................... 11,224
--------
70,702
--------
</TABLE>
<TABLE>
<CAPTION>
Security Market
Shares Description Value
---------- --------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Transportation Leasing & Trucking (2.4%):
415,000 Ryder System, Inc........................................ $ 9,156
243,000 US Freightways Corp...................................... 8,839
--------
17,995
--------
Utilities-Electric & Gas (5.0%):
550,000 Constellation Energy Group............................... 16,569
170,000 New Century Energies, Inc................................ 4,919
600,000 Southern Co.............................................. 15,375
--------
36,863
--------
Utilities-Telecommunications (5.2%):
305,000 AT&T Corp................................................ 16,089
280,000 BellAtlantic Corp. ...................................... 17,343
100,000 BellSouth Corp........................................... 4,706
--------
38,138
--------
Total Common Stocks 730,683
--------
Investment Companies (2.3%):
15,297,898 AmSouth Prime Money Market Fund.......................... 15,298
1,383,265 AmSouth U.S. Treasury Money Market Fund.................. 1,383
--------
Total Investment Companies 16,681
--------
Total (Cost $570,374) (a) $747,364
========
</TABLE>
- --------
Percentages indicated are based on net assets of $740,090.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation....... $215,382
Unrealized depreciation....... (38,392)
--------
Net unrealized appreciation... $176,990
========
</TABLE>
(b) Represents non-income producing securities.
See notes to financial statements.
-48-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks (96.9%):
Advertising (0.0%):
400 Young & Rubicam, Inc...................................... $ 22
--------
Aerospace/Defense (0.9%):
6,900 Boeing Co................................................. 306
900 Lockheed Martin Corp...................................... 17
1,800 Raytheon Company, Class B................................. 41
3,900 United Technologies Corp. ................................ 206
--------
570
--------
Airlines (0.3%):
1,600 AMR Corp. (b)............................................. 87
700 Delta Air Lines, Inc. .................................... 32
3,400 Southwest Airlines........................................ 54
--------
173
--------
Apparel (0.2%):
600 Liz Claiborne, Inc. ...................................... 20
2,900 Nike, Inc., Class B....................................... 133
200 Reebok International Ltd. (b)............................. 1
100 Russell Corp.............................................. 1
--------
155
--------
Appliances (0.1%):
900 Maytag Corp............................................... 36
800 Whirlpool Corp. .......................................... 47
--------
83
--------
Automotive (1.7%):
10,900 Ford Motor Co. ........................................... 541
6,100 General Motors Corp. ..................................... 491
600 Navistar International (b)................................ 24
400 PACCAR, Inc............................................... 17
--------
1,073
--------
Automotive Parts (0.2%):
800 Cooper Tire & Rubber Co. ................................. 10
1,700 Dana Corp. ............................................... 40
2,937 Delphi Automotive Systems................................. 51
--------
101
--------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Banking (4.9%):
11,900 Bank of America Corp...................................... $ 577
3,900 Bank of New York Co., Inc................................. 158
10,548 Bank One Corp............................................. 314
7,100 Chase Manhattan Corp...................................... 572
1,600 Comerica, Inc. ........................................... 71
10,327 Firstar Corp. ............................................ 247
1,060 Huntington Bancshares, Inc................................ 23
1,800 J.P. Morgan & Co., Inc.................................... 221
4,700 Keycorp................................................... 99
5,600 MBNA Corp................................................. 141
3,200 National City Corp........................................ 69
3,100 PNC Financial Corp........................................ 149
1,000 Regions Financial Corp.................................... 24
900 SouthTrust Corp........................................... 27
800 State Steet Corp.......................................... 64
3,800 U.S. Bancorp. ............................................ 84
6,100 Washington Mutual, Inc.................................... 155
3,000 Wells Fargo Co. .......................................... 120
--------
3,115
--------
Beverages (2.4%):
300 Adolph Coors Co., Class B................................. 15
3,700 Anheuser-Busch Co., Inc. ................................. 250
13,000 Coca-Cola Co.............................................. 746
10,400 PepsiCo, Inc. ............................................ 354
2,300 Seagram Co. Ltd. ......................................... 134
--------
1,499
--------
Biotechnology (0.8%):
8,000 Amgen, Inc. (b)........................................... 510
--------
Broadcasting/Cable (0.0%):
200 Comcast Corp.-Special Class A............................. 9
--------
Brokerage Services (1.1%):
5,300 Charles Schwab Corp....................................... 191
1,100 Lehman Brothers Holdings, Inc............................. 79
2,400 Merrill Lynch & Co., Inc.................................. 208
3,400 Morgan Stanley Dean Witter & Co........................... 225
700 Paine Webber Group, Inc. ................................. 27
--------
730
--------
</TABLE>
Continued
-49-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Chemicals (1.5%):
2,200 Air Products and Chemicals, Inc. ......................... $ 65
7,778 E.I. du Pont de Nemours & Co.............................. 458
3,300 Monsanto Co. ............................................. 117
900 PPG Industries, Inc. ..................................... 50
1,700 Praxair, Inc. ............................................ 69
1,184 Rohm & Haas Co............................................ 50
1,500 Sherwin Williams Co....................................... 26
500 Sigma Aldrich Corp. ...................................... 17
1,400 Union Carbide Corp........................................ 78
300 W.R.Grace and Co. (b)..................................... 4
--------
934
--------
Chemicals-Speciality (0.0%):
1,100 Engelhard Corp. .......................................... 18
--------
Commercial Services (0.4%):
7,520 Cendant Corp. (b)......................................... 152
1,400 Ecolab, Inc............................................... 49
600 Quintiles Transnational Corp. (b)......................... 16
2,400 Service Corp. International............................... 11
--------
228
--------
Computer Hardware (5.0%):
1,700 Apple Computer, Inc. (b).................................. 176
14,900 Compaq Computer Corp...................................... 408
13,400 Dell Computer Corp. (b)................................... 517
1,700 Gateway, Inc. (b)......................................... 104
10,300 IBM Corp. ................................................ 1,156
10,400 Sun Microsystems, Inc. (b)................................ 817
--------
3,178
--------
Computer Software (6.8%):
600 Adobe Systems, Inc. ...................................... 33
300 Autodesk, Inc. ........................................... 9
1,300 BMC Software, Inc. (b).................................... 49
5,100 Computer Associates International, Inc.................... 350
1,800 Computer Sciences Corp. (b)............................... 165
1,700 Compuware Corp. (b)....................................... 36
28,100 Microsoft Corp. (b)....................................... 2,751
1,800 Novell, Inc. (b).......................................... 60
15,000 Oracle Corp. (b).......................................... 749
1,400 Parametric Technology Corp. (b)........................... 30
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Computer Software, continued:
1,400 Peoplesoft, Inc. (b)...................................... $ 32
--------
4,264
--------
Computers & Peripherals (5.8%):
3,600 3Com Corp. (b)............................................ 183
500 Adaptec, Inc. (b)......................................... 26
1,700 Cabletron Systems, Inc. (b)............................... 44
1,300 Ceridian Corp. (b)........................................ 21
15,200 Cisco Systems, Inc. (b)................................... 1,665
4,900 Electronic Data Systems Corp.............................. 331
3,431 EMC Corp. (b)............................................. 365
6,900 Hewlett-Packard Co. ...................................... 748
500 NCR Corp. (b)............................................. 19
1,100 Network Appliance Corp. (b)............................... 110
1,700 Seagate Technology, Inc. (b).............................. 68
1,900 Silicon Graphics, Inc. (b)................................ 18
3,300 Unisys Corp. (b).......................................... 105
--------
3,703
--------
Consumer Goods (1.1%):
1,000 Brunswick Corp............................................ 19
5,600 Gillette Co. ............................................. 211
4,800 Procter & Gamble Co....................................... 484
--------
714
--------
Cosmetics/Personal Care (0.5%):
200 Alberto Culver Co., Class B............................... 5
2,500 Avon Products, Inc........................................ 80
4,100 Kimberly Clark Corp. ..................................... 253
--------
338
--------
Diversified Manufacturing (5.3%):
600 B.F. Goodrich Co.......................................... 15
900 Cooper Industries......................................... 35
800 Eaton Corp. .............................................. 57
300 FMC Corp. (b)............................................. 16
17,800 General Electric Co....................................... 2,373
2,100 Leggett & Platt, Inc. .................................... 38
3,000 Minnesota Mining & Manufacturing Co....................... 281
400 National Service Industries, Inc.......................... 10
1,400 Pactiv Corp. (b).......................................... 13
</TABLE>
Continued
-50-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Diversified Manufacturing, continued:
200 PerkinElmer, Inc.......................................... $ 10
100 Springs Industries, Inc., Class A......................... 4
800 Textron, Inc.............................................. 48
11,224 Tyco International Ltd. .................................. 480
--------
3,380
--------
Electric Utility (0.0%):
600 Ameren Corp............................................... 20
800 Niagara Mohawk Holdings, Inc. (b)......................... 10
--------
30
--------
Electronic Components (0.6%):
1,300 Analog Devices, Inc. (b).................................. 122
1,200 LSI Logic Corp. (b)....................................... 98
200 Millipore Corp............................................ 9
800 Molex, Inc. .............................................. 41
500 Tektronix, Inc............................................ 20
2,500 Xilinx, Inc. (b).......................................... 114
--------
404
--------
Electronic Components/Instruments (0.8%):
3,700 Emerson Electric Co. ..................................... 203
900 Johnson Controls, Inc..................................... 50
500 Pe Corp. Biosystems....................................... 75
2,000 Rockwell International Corp............................... 99
1,400 Teradyne, Inc. (b)........................................ 91
600 Thomas & Betts Corp. ..................................... 18
--------
536
--------
Engineering & Construction (0.0%):
100 Foster Wheeler Corp....................................... 1
--------
Entertainment (0.3%):
1,100 Harrah's Entertainment, Inc. (b).......................... 22
4,900 The Walt Disney Co. ...................................... 178
--------
200
--------
Financial Services (4.7%):
2,400 American Express Co....................................... 396
3,800 Associates First Capital Corp., Class A................... 76
1,400 Capital One Financial Corp. .............................. 57
21,500 Citigroup, Inc. .......................................... 1,234
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Financial Services, continued:
1,000 Countrywide Credit Industries, Inc........................ $ 26
1,700 Dun & Bradstreet Corp..................................... 43
6,000 Fannie Mae................................................ 360
1,300 Franklin Resources, Inc. ................................. 46
5,700 Freddie Mac............................................... 286
1,700 Golden West Financial Corp. .............................. 50
500 H & R Block, Inc.......................................... 22
4,900 Household International, Inc.............................. 173
2,700 Mellon Financial Corp. ................................... 93
1,450 Providian Financial....................................... 122
300 SLM Holding Corp. ........................................ 12
600 T. Rowe Price Associates, Inc............................. 23
--------
3,019
--------
Food Distributors & Wholesalers (0.3%):
5,320 Archer-Daniels-Midland Co................................. 63
200 Great Atlantic & Pacific Tea Co., Inc. ................... 6
3,400 Ralston Purina Group...................................... 94
--------
163
--------
Food Products, Processing & Packaging (1.2%):
2,900 Bestfoods................................................. 126
3,200 General Mills, Inc........................................ 100
3,800 H.J. Heinz Co............................................. 141
700 Hershey Foods Corp........................................ 30
1,400 Nabisco Group............................................. 12
1,300 Quaker Oats Co............................................ 77
9,100 Sara Lee Corp............................................. 168
3,050 Unilever NV ADR........................................... 141
--------
795
--------
Forest & Paper Products (0.6%):
500 Boise Cascade Corp. ...................................... 18
1,000 Champion International Corp. ............................. 59
2,000 Fort James Corp. ......................................... 54
1,800 Georgia Pacific Corp...................................... 72
1,000 Louisiana Pacific Corp.................................... 13
1,100 Mead Corp................................................. 41
100 Potlatch Corp............................................. 4
600 Temple-Inland, Inc........................................ 34
400 Westvaco Corp............................................. 11
</TABLE>
Continued
-51-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Forest & Paper Products, continued:
1,200 Weyerhauser Co. .......................................... $ 68
900 Willamette Industries, Inc. .............................. 37
--------
411
--------
Gas Distribution (0.7%):
1,000 Coastal Corp. ............................................ 37
1,200 El Paso Energy Corp. ..................................... 39
3,800 Enron Corp. .............................................. 256
200 Nicor, Inc. .............................................. 7
100 Oneok, Inc. .............................................. 3
1,100 Sempra Energy ............................................ 20
2,300 Williams Cos., Inc. ...................................... 89
--------
451
--------
Health Care (0.3%):
1,600 Aetna, Inc. .............................................. 85
4,100 HEALTHSOUTH Corp. (b)..................................... 23
1,400 Humana, Inc. (b).......................................... 11
1,600 United Healthcare Corp. .................................. 85
--------
204
--------
Health Care Services (0.1%):
1,600 IMS Health, Inc. ......................................... 36
170 Mckesson HBOC, Inc. ...................................... 3
600 Wellpoint Health Networks, Inc. (b)....................... 41
--------
80
--------
Home Builders (0.0%):
600 Centex Corp. ............................................. 14
100 Fleetwood Enterprises, Inc. .............................. 2
200 Kaufman & Broad Home Corp. ............................... 4
200 Pulte Corp. .............................................. 3
--------
23
--------
Hotels & Lodging (0.4%):
4,100 Carnival Corp. ........................................... 184
500 Marriott International, Inc., Class A..................... 16
1,900 Mirage Resorts, Inc. (b).................................. 24
--------
224
--------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Household Products/Wares (0.2%):
1,200 Clorox Corp. ............................................. $ 58
1,700 Fortune Brands, Inc. ..................................... 49
100 Jostens, Inc. ............................................ 2
700 Newell Rubbermaid, Inc. .................................. 21
300 Tupperware Corp. ......................................... 5
--------
135
--------
Insurance (2.5%):
2,800 AFLAC, Inc. .............................................. 122
4,200 Allstate Corp. ........................................... 97
6,125 American International Group, Inc. ....................... 637
900 Chubb Corp. .............................................. 51
2,000 Cigna Corp. .............................................. 143
900 Cincinnati Financial Corp. ............................... 26
2,300 Hartford Financial Services Group......................... 88
2,000 Lincoln National Corp. ................................... 74
1,100 Loews Corp. .............................................. 62
1,400 Marsh & McLennan Cos., Inc. .............................. 131
1,000 MBIA, Inc. ............................................... 50
600 Safeco Corp. ............................................. 15
700 Torchmark Corp. .......................................... 18
2,565 Unumprovident Corp. ...................................... 69
--------
1,583
--------
Internet Software (1.5%):
12,700 America Online, Inc. (b).................................. 723
800 Yahoo!, Inc. (b).......................................... 258
--------
981
--------
Machinery & Equipment (0.3%):
100 Briggs & Stratton Corp. .................................. 4
1,900 Caterpillar, Inc. ........................................ 82
1,700 Ingersoll Rand Co. ....................................... 80
200 Milacron, Inc. ........................................... 2
600 Snap-On, Inc. ............................................ 16
--------
184
--------
</TABLE>
Continued
-52-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Media (1.4%):
3,986 CBS Corp. (b)............................................. $ 232
2,100 McGraw Hill Cos., Inc. ................................... 118
500 MediaOne Group, Inc. (b).................................. 40
6,100 Time Warner, Inc. ........................................ 488
--------
878
--------
Medical Supplies (0.5%):
1,200 Allergan, Inc. ........................................... 69
600 Bausch & Lomb, Inc. ...................................... 37
2,300 Becton Dickinson & Co. ................................... 60
500 Biomet, Inc. (b).......................................... 20
500 C.R. Bard, Inc. .......................................... 22
600 Mallinckrodt, Inc. ....................................... 17
1,600 Medtronic, Inc. .......................................... 74
900 St. Jude Medical, Inc. (b)................................ 22
--------
321
--------
Metals & Mining (0.4%):
1,200 Alcan Aluminum Ltd. ...................................... 47
1,000 Allegheny Technologies, Inc. ............................. 21
2,100 Barrick Gold Corp. ....................................... 34
700 Freeport-McMoran Copper & Gold, Inc. (b).................. 12
2,300 Homestake Mining.......................................... 15
900 Inco Ltd. (b)............................................. 17
900 Newmont Mining Corp. ..................................... 18
805 Phelps Dodge Corp. ....................................... 47
1,400 Placer Dome, Inc. ........................................ 13
600 Reynolds Metals Co. ...................................... 40
--------
264
--------
Newspapers (0.4%):
400 Dow Jones & Co., Inc. .................................... 25
2,600 Gannett Co., Inc. ........................................ 180
1,200 Tribune Co. .............................................. 51
--------
256
--------
Office Equipment & Services (0.7%):
1,200 Avery Dennison Corp. ..................................... 81
1,100 Lexmark International Group, Inc., Class A (b)............ 104
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Office Equipment & Services, continued:
2,800 Pitney Bowes, Inc. ....................................... $ 137
5,200 Xerox Corp. .............................................. 109
--------
431
--------
Oil & Gas Exploration, Production, & Services (6.4%):
900 Amerada Hess Corp. ....................................... 48
1,200 Anadarko Petroleum ....................................... 39
900 Apache Corp. ............................................. 33
600 Ashland, Inc. ............................................ 20
3,400 Atlantic Richfield Co. ................................... 262
2,352 Baker Hughes, Inc. ....................................... 58
300 Burlington Resources, Inc. ............................... 10
5,000 Chevron Corp. ............................................ 418
400 Columbia Energy Group..................................... 26
3,290 Conoco, Inc., Class B..................................... 78
100 Eastern Enterprises....................................... 6
19,832 Exxon Mobil Corp. ........................................ 1,655
3,300 Halliburton Co. .......................................... 119
900 Kerr-McGee Corp. ......................................... 50
400 McDermott International, Inc. ............................ 4
1,900 Occidental Petroleum Corp. ............................... 38
2,700 Phillips Petroleum Co. ................................... 110
400 Rowan Companies, Inc. (b)................................. 9
11,300 Royal Dutch Petroleum Co. ................................ 621
2,900 Schlumberger Ltd. ........................................ 177
2,900 Texaco, Inc. ............................................. 153
1,374 Transocean Sedco Forex, Inc. ............................. 44
1,100 Unocal Corp. ............................................. 31
3,300 USX-Marathon Group........................................ 85
--------
4,094
--------
Pharmaceuticals (9.1%):
800 Abbott Laboratories....................................... 26
9,000 American Home Products Corp. ............................. 424
3,100 Baxter International, Inc. ............................... 198
11,800 Bristol-Myers Squibb Co. ................................. 779
8,400 Eli Lilly & Co. .......................................... 562
7,300 Johnson & Johnson......................................... 628
13,600 Merck & Co., Inc. ........................................ 1,071
23,000 Pfizer, Inc. ............................................. 836
4,600 Pharmacia & Upjohn, Inc. ................................. 216
</TABLE>
Continued
-53-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Pharmaceuticals, continued:
9,700 Schering-Plough Corp. .................................... $ 427
5,600 Warner-Lambert Co. ....................................... 532
--------
5,699
--------
Photography & Imaging (0.3%):
3,200 Eastman Kodak Co. ........................................ 198
200 Polaroid Corp. ........................................... 5
--------
203
--------
Pollution Control Services & Equipment (0.2%):
400 Allied Waste Industries, Inc. (b)......................... 3
6,500 Waste Management, Inc. ................................... 113
--------
116
--------
Railroads (0.2%):
2,400 Burlington Northern Santa Fe.............................. 58
500 CSX Corp. ................................................ 15
1,100 Kansas City Southern Industries........................... 75
--------
148
--------
Restaurants (0.5%):
700 Darden Restaurants, Inc. ................................. 11
7,100 McDonald's Corp. ......................................... 264
700 Tricon Global Restaurants (b)............................. 20
--------
295
--------
Retail (4.6%):
600 Bed Bath & Beyond, Inc. (b)............................... 16
1,800 Best Buy, Inc. (b)........................................ 86
1,500 Circuit City Stores, Inc. ................................ 58
4,100 CVS Corp. ................................................ 143
8,500 Home Depot, Inc. ......................................... 481
600 Ikon Office Solutions..................................... 5
1,100 Kohls Corp. (b)........................................... 77
200 Longs Drug Stores Corp. .................................. 4
2,800 Lowes Companies, Inc. .................................... 125
3,500 May Department Stores Co. ................................ 109
2,800 Office Depot, Inc. (b).................................... 28
100 Pep Boys Manny, Moe & Jack................................ 1
1,000 Rite Aid.................................................. 7
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Retail, continued:
3,800 Safeway, Inc. (b)......................................... $ 145
2,000 Sears, Roebuck & Co. ..................................... 62
4,000 Staples, Inc. (b)......................................... 95
1,500 SUPERVALU, Inc. .......................................... 27
1,700 Tandy Corp. .............................................. 83
2,900 Target Corp. ............................................. 192
2,000 TJX Co., Inc. ............................................ 33
2,600 Toys R US, Inc. (b)....................................... 27
20,800 Wal-Mart Stores, Inc. .................................... 1,139
--------
2,943
--------
Semiconductors (4.6%):
2,300 Applied Materials, Inc. (b)............................... 316
19,300 Intel Corp. .............................................. 1,910
900 KLA-Tencor Corp. (b)...................................... 53
2,000 Micron Technology, Inc. (b)............................... 124
1,300 National Semiconductor Corp. (b).......................... 68
4,500 Texas Instruments, Inc. .................................. 485
--------
2,956
--------
Steel (0.1%):
500 Bethlehem Steel Corp. (b)................................. 3
900 Nucor Corp. .............................................. 45
300 Timken Co. ............................................... 5
400 Worthington Industries, Inc. ............................. 6
--------
59
--------
Telecommunications--Equipment (3.4%):
16,450 Lucent Technologies, Inc. ................................ 909
2,177 Motorola, Inc. ........................................... 298
7,000 Nortel Networks Corp. .................................... 669
700 Scientific-Atlanta, Inc. ................................. 54
4,200 Tellabs, Inc. (b)......................................... 227
--------
2,157
--------
Telecommunications--Wireless (1.1%):
400 Andrew Corp. (b).......................................... 9
3,500 Qualcomm, Inc. (b)........................................ 444
2,250 Sprint Corp. PCS (b)...................................... 248
--------
701
--------
</TABLE>
Continued
-54-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Tobacco (0.4%):
12,400 Philip Morris Companies, Inc.............................. $ 260
--------
Toys/Games/Hobbies (0.1%):
1,750 Hasbro, Inc............................................... 26
2,200 Mattel, Inc............................................... 23
--------
49
--------
Transportation Leasing & Trucking (0.0%):
600 Ryder System, Inc......................................... 13
--------
Utilities--Electric & Gas (1.5%):
900 American Electric Power Co................................ 30
700 Carolina Power & Light Co................................. 23
900 Central & South West Corp................................. 18
700 Cinergy Corp.............................................. 17
500 CMS Energy Corp........................................... 15
1,200 Consolidated Edison, Inc.................................. 39
700 Constellation Energy Group................................ 21
1,505 Dominion Resources, Inc. (b).............................. 63
800 DTE Energy Co............................................. 28
1,900 Duke Energy Corp.......................................... 111
1,700 Edison International...................................... 49
1,100 Entergy Corp.............................................. 27
1,200 Firstenergy Corp.......................................... 27
500 Florida Progress Corp..................................... 21
900 FPL Group, Inc............................................ 38
600 GPU, Inc.................................................. 17
500 New Century Energies, Inc................................. 14
700 Northern States Power Co.................................. 13
750 P.P.&L. Resources, Inc.................................... 17
1,000 PECO Energy Co............................................ 42
200 Peoples Energy Corp....................................... 6
2,000 PG&E Corp................................................. 44
400 Pinnacle West Capital Corp................................ 12
1,200 Public Service Enterprise Group, Inc...................... 41
1,600 Reliant Energy, Inc....................................... 37
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Utilities--Electric & Gas, continued:
3,500 Southern Co............................................... $ 91
1,500 Texas Utilities Co........................................ 53
1,100 Unicom Corp............................................... 43
--------
957
--------
Utilities--Telecommunications (7.5%):
2,700 Alltel Corp............................................... 180
12,532 AT&T Corp................................................. 660
4,600 BellAtlantic Corp......................................... 285
9,900 BellSouth Corp............................................ 466
1,400 Centurytel, Inc........................................... 54
4,030 Global Crossing Ltd. (b).................................. 205
6,500 GTE Corp.................................................. 477
19,000 MCI WorldCom, Inc. (b).................................... 872
19,980 SBC Communications, Inc................................... 861
6,100 Sprint Corp............................................... 395
3,900 U.S. West, Inc............................................ 259
--------
4,714
--------
Total Common Stocks 61,735
--------
Investment Companies (9.2%):
3,037,708 AmSouth Prime Money Market Fund........................... 3,037
2,792,718 AmSouth U.S. Treasury Money Market Fund................... 2,793
--------
Total Investment Companies 5,830
--------
U.S. Treasury Notes (1.6%):
$ 1,000 5.12%, 8/31/00 (c)........................................
Total U.S. Treasury Notes 995
--------
Total (Cost $64,102) (a) $ 68,560
--------
</TABLE>
Continued
-55-
<PAGE>
AMSOUTH
Enhanced Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
- --------
Percentages indicated are based on net assets of $63,645.
Open Futures Contracts
<TABLE>
<CAPTION>
Unrealized
# of Contracts Contract Value Expiration Date Gain/(Loss)
-------------- -------------- --------------- -----------
<S> <C> <C> <C> <C>
S&P 500 Stock Index 5 $1,751 3/17/00 $(25)
</TABLE>
The aggregate market value of securities pledged to cover margin requirements
for open futures positions at January 31, 2000 was $94.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........ $8,163
Unrealized depreciation........ (3,705)
------
Net unrealized appreciation.... $4,458
======
</TABLE>
(b) Represents non-income producing securities.
(c) All or part of this security has been pledged as collateral as of January
31, 2000.
See notes to financial statements.
-56-
<PAGE>
AMSOUTH
Growth Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Security Market
Shares Description Value
------ -------------------------------------------------------------- -------
<C> <S> <C>
Common Stocks (98.7%):
Aerospace/Defense (2.3%):
24,200 General Dynamics Corp. ....................................... $ 1,140
-------
Banking (3.0%):
12,915 Commerce Bancshares, Inc. .................................... 398
15,000 SouthTrust Corp. ............................................. 457
10,692 SunTrust Banks, Inc. ......................................... 636
-------
1,491
-------
Broadcasting/Cable (4.0%):
21,000 Comcast Corp.-Special Class A................................. 966
20,400 Cox Communications, Inc., Class A (b)......................... 996
-------
1,962
-------
Computer Hardware (5.4%):
11,400 Apple Computer, Inc. (b)...................................... 1,183
18,800 Sun Microsystems, Inc. (b).................................... 1,477
-------
2,660
-------
Computer Software (2.2%):
10,800 Microsoft Corp. (b)........................................... 1,057
-------
Diversified Manufacturing (5.8%):
12,300 General Electric Co. ......................................... 1,641
28,400 Tyco International Ltd. ...................................... 1,214
-------
2,855
-------
Electronic Components (7.5%):
22,000 Analog Devices, Inc. (b)...................................... 2,057
20,000 LSI Logic Corp. (b)........................................... 1,635
-------
3,692
-------
Financial Services (1.3%):
7,450 Providian Financial........................................... 629
-------
Food Distributors & Wholesalers (1.5%):
27,000 Ralston Purina Group.......................................... 758
-------
Food Products & Services (1.2%):
19,000 Nabisco Holdings Corp. ....................................... 574
-------
Food Products, Processing & Packaging (3.1%):
12,000 Quaker Oats Co. .............................................. 713
45,000 Sara Lee Corp. ............................................... 829
-------
1,542
-------
</TABLE>
<TABLE>
<CAPTION>
Security Market
Shares Description Value
------ --------------------------------------------------------------- ------
<C> <S> <C>
Common Stocks, continued:
Forest & Paper Products (4.7%):
24,000 Boise Cascade Corp. ........................................... $ 849
25,000 Champion International Corp. .................................. 1,463
------
2,312
------
Insurance (3.2%):
11,100 AFLAC, Inc. ................................................... 482
15,000 Cigna Corp. ................................................... 1,076
------
1,558
------
Internet Software (6.7%):
20,000 America Online, Inc. (b)....................................... 1,139
8,000 CMGI, Inc. (b)................................................. 901
19,000 Earthlink Network, Inc. (b).................................... 812
16,000 Mindspring Enterprises, Inc. (b)............................... 424
------
3,276
------
Medical Supplies (1.3%):
14,200 Medtronic, Inc. ............................................... 650
------
Newspapers (3.0%):
28,000 Knight-Ridder, Inc. ........................................... 1,493
------
Oil & Gas Exploration, Production, & Services (4.5%):
18,000 Apache Corp. .................................................. 657
13,600 Columbia Energy Group.......................................... 884
12,700 Texaco, Inc. .................................................. 672
------
2,213
------
Pharmaceuticals (8.9%):
20,100 Bristol-Myers Squibb Co. ...................................... 1,326
22,000 Pharmacia & Upjohn, Inc. ...................................... 1,034
17,000 Schering-Plough Corp. ......................................... 748
12,900 Warner-Lambert Co. ............................................ 1,224
------
4,332
------
Photography & Imaging (1.6%):
13,000 Eastman Kodak Co. ............................................. 804
------
Retail (7.2%):
37,000 Abercrombie & Fitch Co. (b).................................... 791
18,150 Home Depot, Inc. .............................................. 1,027
20,000 Safeway, Inc. (b).............................................. 764
17,000 Wal-Mart Stores, Inc. ......................................... 931
------
3,513
------
</TABLE>
Continued
-57-
<PAGE>
AMSOUTH
Growth Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Security Market
Shares Description Value
------ -------------------------------------------------------------- -------
<C> <S> <C>
Common Stocks, continued:
Semiconductors (5.9%):
8,300 Applied Materials, Inc. (b)................................... $ 1,139
30,000 KLA-Tencor Corp. (b).......................................... 1,759
-------
2,898
-------
Telecommunications--Equipment (8.2%):
22,000 Adtran, Inc. (b).............................................. 1,424
28,000 Commscope, Inc. (b)........................................... 1,066
19,000 Scientific-Atlanta, Inc....................................... 1,463
-------
3,953
-------
</TABLE>
<TABLE>
<CAPTION>
Security Market
Shares Description Value
------ -------------------------------------------------------------- -------
<C> <S> <C>
Common Stocks, continued:
Telecommunications--Wireless (2.8%):
13,000 Nextel Communications, Inc. (b)............................... $ 1,383
-------
Utilities--Electric & Gas (2.0%):
42,000 P.P.&L. Resources, Inc........................................ 974
-------
Utilities--Telecommunications (1.4%):
15,000 MCI WorldCom, Inc. (b)........................................ 689
-------
Total Common Stocks 48,408
-------
Total (Cost $42,079) (a) $48,408
=======
</TABLE>
- --------
Percentages indicated are based on net assets of $49,025.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation........ $10,170
Unrealized depreciation........ (3,841)
-------
Net unrealized appreciation.... $ 6,329
=======
</TABLE>
(b) Represents non-income producing securities.
See notes to financial statements.
-58-
<PAGE>
AMSOUTH
Select Equity Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Security Market
Shares Description Value
------ --------------------------------------------------------------- ------
<C> <S> <C>
Common Stocks (96.5%):
Consumer Goods (4.7%):
22,800 American Greetings Corp., Class A.............................. $ 504
------
Data Processing & Reproduction (6.7%):
15,300 Automatic Data Processing, Inc. ............................... 726
------
Electrical Equipment (7.2%):
30,200 Hubbell Harvey, Inc., Class B.................................. 783
------
Electronic Components/ Instruments (7.1%):
14,000 Emerson Electric Co. .......................................... 771
------
Financial Services (9.0%):
18,300 Dun & Bradstreet Corp. ........................................ 461
11,800 H & R Block, Inc. ............................................. 509
------
970
------
Food Distributors & Wholesalers (12.2%):
18,800 Ralston Purina Group........................................... 528
15,600 Smuckers Co., Class A.......................................... 273
15,000 SYSCO Corp. ................................................... 532
------
1,333
------
Food Products, Processing & Packaging (10.2%):
20,100 General Mills, Inc. ........................................... 626
11,400 Hershey Foods Corp. ........................................... 485
------
1,111
------
Health Care Services (4.1%):
19,600 IMS Health, Inc. .............................................. 440
------
</TABLE>
- --------
Percentages indicated are based on net assets of $10,824.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation............................................ $ 449
Unrealized depreciation............................................ (1,893)
-------
Net unrealized depreciation........................................ $(1,444)
=======
</TABLE>
<TABLE>
<CAPTION>
Security Market
Shares Description Value
------ -------------------------------------------------------------- -------
<C> <S> <C>
Common Stocks, continued:
Machinery & Equipment (6.2%):
9,000 Briggs & Stratton Corp. ...................................... $ 399
10,000 Snap-On, Inc. ................................................ 269
-------
668
-------
Newspapers (8.6%):
7,900 Gannett Co., Inc. ............................................ 549
8,000 Lee Enterprises............................................... 213
301 Washington Post, Class B...................................... 166
-------
928
-------
Office Equipment & Services (4.8%):
10,500 Pitney Bowes, Inc. ........................................... 515
-------
Pharmaceuticals (7.5%):
12,300 Bristol-Myers Squibb Co. ..................................... 812
-------
Pollution Control Services & Equipment (8.2%):
50,960 Waste Management, Inc. ....................................... 892
-------
Total Common Stocks 10,453
-------
Investment Companies (0.6%):
61,650 AmSouth Prime Money Market Fund............................... 62
-------
Total Investment Companies 62
-------
Total (Cost $11,959) (a) $10,515
=======
</TABLE>
See notes to financial statements.
-59-
<PAGE>
AMSOUTH
Regional Equity
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Common Stocks (88.4%):
Apparel (3.0%):
70,000 Russell Corp. ............................................. $ 1,046
-------
Automotive Parts (2.8%):
40,000 Genuine Parts Co........................................... 965
-------
Banking (8.8%):
25,000 Bank of America Corp. ..................................... 1,211
30,000 First Union Corp........................................... 1,007
25,000 Union Planters Corp........................................ 842
-------
3,060
-------
Building Materials (1.0%):
70,000 Interface, Inc............................................. 341
-------
Business Services (5.7%):
115,000 Modis Professional Services, Inc. (b)...................... 1,998
-------
Construction-Manufactured Homes (1.2%):
50,000 Clayton Homes, Inc......................................... 425
-------
Financial Services (4.6%):
75,000 Equifax, Inc. ............................................. 1,613
-------
Food Processing & Packaging (2.1%):
60,000 Flowers Industries, Inc.................................... 731
-------
Forest & Paper Products (5.3%):
40,000 Caraustar Industries, Inc.................................. 773
40,000 Fort James Corp. .......................................... 1,070
-------
1,843
-------
Furniture (0.5%):
65,000 Heilig-Myers Co............................................ 187
-------
Health Care (3.1%):
200,000 HEALTHSOUTH Corp. (b)...................................... 1,100
-------
Manufacturing (0.9%):
25,000 Wolverine Tube, Inc. (b)................................... 331
-------
Medical Services (8.0%):
200,000 Health Management Assoc., Inc., Class A (b)................ 2,788
-------
Office Equipment & Services (3.7%):
45,000 Harris Corp................................................ 1,305
-------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Common Stocks, continued:
Oil & Gas Exploration, Production, & Services (6.3%):
50,000 Burlington Resources, Inc.................................. $ 1,603
10,000 Schlumberger Ltd........................................... 611
-------
2,214
-------
Railroads (1.7%):
20,000 CSX Corp................................................... 585
-------
Restaurants (1.6%):
60,000 CRBL Group, Inc. .......................................... 555
-------
Retail (8.9%):
145,000 Hancock Fabrics, Inc....................................... 462
75,000 Office Depot, Inc. (b)..................................... 755
65,000 Saks, Inc. (b)............................................. 901
199,000 Stein-Mart, Inc. (b)....................................... 957
-------
3,075
-------
Steel (2.1%):
15,000 Nucor Corp................................................. 746
-------
Transportation (4.9%):
95,000 Offshore Logistics, Inc. (b)............................... 879
30,000 Tidewater, Inc............................................. 853
-------
1,732
-------
Transportation Leasing & Trucking (3.1%):
50,000 Ryder System, Inc. ........................................ 1,103
-------
Utilities--Electric & Gas (5.1%):
70,000 Southern Co................................................ 1,794
-------
Utilities--Telecommunications (4.0%):
30,000 BellSouth Corp............................................. 1,412
-------
Total Common Stocks 30,949
-------
Commercial Paper--Domestic (12.3%):
Automotive--Finance (12.3%):
$ 4,301 General Motors Acceptance Corp., 5.82%, 2/1/00............. 4,301
-------
Total Commercial Paper--Domestic 4,301
-------
Investment Companies (15.9%):
14,000 S & P 500 Depositary Receipts.............................. 1,952
</TABLE>
Continued
-60-
<PAGE>
AMSOUTH
Regional Equity
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Investment Companies, continued:
2,031,577 AmSouth Prime Money Market Fund........................... $ 2,032
1,601,220 AmSouth U.S. Treasury Money Market Fund................... 1,601
--------
Total Investment Companies 5,585
--------
Total (Cost $39,800) (a) $ 40,835
========
</TABLE>
- --------
Percentages indicated are based on net assets of $35,033.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation............................................. $ 6,719
Unrealized depreciation............................................. (5,684)
-------
Net unrealized appreciation......................................... $ 1,035
=======
</TABLE>
(b) Represents non-income producing securities.
See notes to financial statements.
-61-
<PAGE>
AMSOUTH
Small Cap Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------------ ------
<C> <S> <C>
Common Stocks (93.4%):
Automotive (1.2%):
28,400 Copart, Inc. (b)............................................ $ 483
-----
Computer Software (8.3%):
23,700 Ardent Software, Inc. (b)................................... 1,019
16,800 Credence Systems Corp. (b).................................. 1,426
20,200 Nvidia Corp. (b)............................................ 749
5,500 Remedy Corp. (b)............................................ 222
2,200 Take-Two Interactive Software (b)........................... 27
-----
3,443
-----
Computers & Peripherals (9.7%):
9,400 Black Box Corp. (b)......................................... 556
24,600 Cybex Computer Products Corp. (b)........................... 1,292
26,500 Insight Enterprises, Inc. (b)............................... 914
22,100 PC Connection, Inc. (b)..................................... 652
10,600 Sybase, Inc. (b)............................................ 252
7,600 Xircom, Inc. (b)............................................ 375
-----
4,041
-----
Construction (1.7%):
26,800 Insituform Technologies, Class A (b)........................ 693
-----
Electrical & Electronic (21.7%):
18,200 Advanced Digital Info. Corp. (b)............................ 892
24,100 Audiovox Corp., Class A (b)................................. 1,145
5,400 Brooktrout, Inc. (b)........................................ 145
4,600 CTS Corp.................................................... 323
17,100 Cymer, Inc. (b)............................................. 943
16,000 DII Group, Inc. (b)......................................... 1,244
16,900 Electro Scientific Industries., Inc. (b).................... 1,353
28,200 Kemet Corp. (b)............................................. 1,340
10,700 Kent Electronics Corp. (b).................................. 247
27,600 Sensormatic Electronics Corp. (b)........................... 502
23,400 Vicor Corp. (b)............................................. 954
-----
9,088
-----
Entertainment (1.7%):
41,900 Aztar Corp. (b)............................................. 400
35,600 Topps Co. (b)............................................... 305
-----
705
-----
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
- --------- ------------------------------------------------------------ ------
<S> <C> <C>
Common Stocks, continued:
Financial Services (2.0%):
49,900 AmeriCredit Corp. (b)....................................... $ 817
-----
Health Care (5.5%):
22,300 Hooper Holmes, Inc.......................................... 433
14,300 Infocure Corp. (b).......................................... 474
59,000 NBTY, Inc. (b).............................................. 833
20,200 Polymedica Corp. (b)........................................ 542
-----
2,282
-----
Machinery--Diversified (10.3%):
7,300 Asyst Technologies, Inc. (b)................................ 529
25,200 Kulicke & Soffa Industries (b).............................. 1,318
22,700 Zebra Technologies Corp., Class A (b)....................... 1,343
25,600 Zomax, Inc. (b)............................................. 1,152
-----
4,342
-----
Manufacturing (6.2%):
16,000 Polycom, Inc. (b)........................................... 966
35,200 Salton, Inc. (b)............................................ 1,615
-----
2,581
-----
Medical Equipment & Supplies (1.3%):
12,800 Resmed, Inc. (b)............................................ 550
-----
Pharmaceuticals (2.0%):
13,950 King Pharmaceuticals, Inc. (b).............................. 823
-----
Retail (6.0%):
76,200 Charming Shoppes, Inc. (b).................................. 519
24,600 JAKKS Pacific, Inc. (b)..................................... 402
36,500 Pacific Sunwear of California, Inc. (b)..................... 1,072
4,200 Spiegel, Inc. Class A (b)................................... 30
12,800 Zale Corp. (b).............................................. 458
-----
2,481
-----
Semiconductors (7.4%):
33,400 Act Manufacturing, Inc. (b)................................. 1,090
31,100 Burr-Brown Corp. (b)........................................ 1,151
1,200 Electroglass, Inc. (b)...................................... 35
16,100 Helix Technology Corp....................................... 783
-----
3,059
-----
</TABLE>
Continued
-62-
<PAGE>
AMSOUTH
Small Cap Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Common Stocks, continued:
Technology (4.8%):
19,800 Integrated Device Tech, Inc. (b)........................... $ 564
42,600 International Rectifier Corp. (b).......................... 1,417
-------
1,981
-------
Telecommunications--Equipment (2.2%):
14,100 Carrier Access Corp. (b)................................... 621
9,900 Davox Corp. (b)............................................ 283
-------
904
-------
Transportation & Shipping (1.4%):
18,100 Eagle USA Airfreight, Inc. (b)............................. 593
-------
Total Common Stocks 38,866
-------
U.S. Treasury Bills (2.4%):
1,000 5.08%, 3/2/00.............................................. 996
-------
Total U.S. Treasury Bills 996
-------
</TABLE>
- --------
Percentages indicated are based on net assets of $41,617.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation............................................. $ 9,453
Unrealized depreciation............................................. (1,465)
-------
Net unrealized appreciation......................................... $ 7,988
=======
</TABLE>
(b) Represents non-income producing securities.
* Yield effective at purchase.
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- -------
<C> <S> <C>
U.S. Government Agencies (7.2%):
Federal Home Loan Bank (7.2%):
$ 1,000 5.64%*, 2/10/00........................................... $ 999
$ 2,000 5.83%*, 3/15/00........................................... 1,986
-------
Total U.S. Government Agencies 2,985
-------
Investment Companies (3.1%):
1,309,695 AmSouth Prime Money Market Fund........................... 1,310
-------
Total Investment Companies 1,310
-------
Total (Cost $36,169) (a) $44,157
=======
</TABLE>
See notes to financial statements.
-63-
<PAGE>
AMSOUTH
Balanced Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks (46.8%):
Automotive (1.0%):
55,000 Ford Motor Co............................................. $ 2,736
--------
Automotive Parts (0.8%):
92,000 Arvin Industries, Inc..................................... 2,133
--------
Banking (3.3%):
40,000 Bank of America Corp. .................................... 1,938
75,000 Bank One Corp............................................. 2,235
65,000 First Union Corp.......................................... 2,182
120,000 Washington Mutual, Inc.................................... 3,044
--------
9,399
--------
Business Services (1.4%):
45,000 Modis Professional Services, Inc. (b)..................... 782
150,000 Reynolds & Reynolds Co., Class A.......................... 3,319
--------
4,101
--------
Chemicals--Speciality (1.8%):
216,000 Engelhard Corp............................................ 3,443
140,000 M.A. Hanna Co. .. 1,601
--------
5,044
--------
Computer Hardware (1.0%):
40,000 Compaq Computer Corp. .................................... 1,095
15,000 IBM Corp.................................................. 1,683
--------
2,778
--------
Computers & Peripherals (1.5%):
170,000 Cabletron Systems, Inc. (b)............................... 4,367
--------
Consumer Goods (0.8%):
105,000 American Greetings Corp., Class A......................... 2,323
--------
Electrical & Electronic (0.6%):
32,000 Avnet, Inc. .............................................. 1,718
--------
Financial Services (1.1%):
110,000 Dun & Bradstreet Corp. ................................... 2,771
20,000 Equifax, Inc.............................................. 430
--------
3,201
--------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Food Products, Processing & Packaging (1.3%):
150,000 Sara Lee Corp............................................. $ 2,766
56,000 Universal Foods Corp. .................................... 1,029
--------
3,795
--------
Forest & Paper Products (3.2%):
65,000 International Paper Co.................................... 3,096
40,000 Weyerhauser Co. .......................................... 2,295
90,000 Willamette Industries, Inc. .............................. 3,689
--------
9,080
--------
Health Care (1.4%):
40,000 Aetna, Inc. .............................................. 2,130
33,000 United Healthcare Corp.................................... 1,749
--------
3,879
--------
Household Products/Wares (0.7%):
66,351 Newell Rubbermaid, Inc.................................... 1,991
--------
Insurance (3.2%):
50,000 Chubb Corp. .............................................. 2,813
30,000 Marsh & McLennan Cos., Inc. .............................. 2,819
110,000 St. Paul Cos., Inc........................................ 3,320
--------
8,952
--------
Manufacturing (0.3%):
31,000 Kennametal, Inc........................................... 816
--------
Medical Supplies (2.0%):
60,000 C.R. Bard, Inc............................................ 2,684
65,000 DENTSPLY International, Inc............................... 1,609
25,000 Guidant Corp. (b)......................................... 1,316
--------
5,609
--------
Newspapers (1.5%):
20,000 Dow Jones & Co., Inc...................................... 1,240
45,000 Gannett Co., Inc. ........................................ 3,128
--------
4,368
--------
Oil & Gas Exploration, Production, & Services (6.6%):
55,000 Burlington Resources, Inc................................. 1,763
56,000 Kerr-McGee Corp........................................... 3,101
75,000 Noble Affiliates.......................................... 1,505
90,000 Sunoco, Inc............................................... 2,076
</TABLE>
Continued
-64-
<PAGE>
AMSOUTH
Balanced Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Common Stocks, continued:
Oil & Gas Exploration, Production, & Services, continued:
60,000 Texaco, Inc. ............................................. $ 3,173
160,000 Ultramar Diamond Shamrock Corp............................ 3,499
130,000 USX-Marathon Group........................................ 3,339
--------
18,456
--------
Packaging (0.4%):
60,000 Crown Cork & Seal, Inc.................................... 1,219
--------
Pharmaceuticals (2.3%):
20,000 American Home Products Corp. ............................. 941
45,000 Baxter International, Inc................................. 2,875
60,000 Pharmacia & Upjohn, Inc................................... 2,820
--------
6,636
--------
Railroads (0.5%):
50,000 CSX Corp. ................................................ 1,463
--------
Retail (3.9%):
70,000 CVS Corp. ................................................ 2,446
65,000 Dillard's, Inc., Class A.................................. 1,247
105,000 May Department Stores Co.................................. 3,267
18,000 Target Corp............................................... 1,189
30,000 The Limited, Inc.......................................... 921
36,000 Wal-Mart Stores, Inc...................................... 1,971
--------
11,041
--------
Transportation Leasing & Trucking (1.3%):
80,000 Ryder System, Inc. ....................................... 1,765
55,000 US Freightways Corp. ..................................... 2,001
--------
3,766
--------
Utilities--Electric & Gas (2.5%):
100,000 Constellation Energy Group................................ 3,013
30,000 New Century Energies, Inc. ............................... 868
120,000 Southern Co............................................... 3,075
--------
6,956
--------
Utilities--Telecommunications (2.4%):
35,000 AT&T Corp. ............................................... 1,846
60,000 BellAtlantic Corp......................................... 3,716
25,000 BellSouth Corp............................................ 1,177
--------
6,739
--------
Total Common Stocks 132,566
--------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Corporate Bonds (22.3%):
Appliances (0.2%):
$ 500 Whirlpool Corp., 9.50%, 6/15/00............................ $ 505
-------
Automotive (0.3%):
700 General Motors Corp., 9.63%, 12/1/00....................... 714
-------
Automotive--Finance (2.6%):
2,500 Chrysler Financial Corp., 6.08%, 4/6/01.................... 2,465
2,000 General Motors Acceptance Corp., 6.00%, 2/1/02............. 1,948
3,000 Toyota Motor Credit Corp., 5.50%, 9/17/01.................. 2,920
-------
7,333
-------
Banking (2.4%):
930 Bank of America Corp., 9.50%, 4/1/01....................... 953
1,000 Bankers Trust Co., 9.50%, 6/14/00.......................... 1,010
2,000 SunTrust Banks, Inc., 7.38%, 7/1/06........................ 1,950
1,565 Wachovia Corp., 5.40%, 2/20/01............................. 1,538
1,475 Wachovia Corp., 6.63%, 11/15/06............................ 1,388
-------
6,839
-------
Brokerage Services (2.4%):
3,000 Bear Stearns & Co., Inc., 6.50%, 8/1/02.................... 2,924
2,000 Merrill Lynch & Co., Inc., 6.00%, 3/1/01................... 1,980
2,000 Morgan Stanley Group, Inc., 8.10%, 6/24/02................. 2,030
-------
6,934
-------
Consumer Goods (0.7%):
2,000 Procter & Gamble Co., 5.25%, 9/15/03....................... 1,875
-------
Diversified Manufacturing (0.8%):
2,500 Avnet Inc., 6.45%, 8/15/03................................. 2,391
-------
Electronic Components/Instruments (0.7%):
2,000 Honeywell, Inc., 6.75%, 3/15/02............................ 1,975
-------
Farm Equipment (1.1%):
3,000 John Deere Capital Corp., 5.85%, 1/15/01................... 2,974
-------
Financial Services (2.1%):
4,000 Associates Corp. N. A., 6.75%, 7/15/01..................... 3,975
1,000 Commercial Credit Co., 7.88%, 7/15/04...................... 1,005
</TABLE>
Continued
-65-
<PAGE>
AMSOUTH
Balanced Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Financial Services, continued:
$ 1,000 Pitney Bowes Credit Corp., 6.80%, 10/1/01.................. $ 995
-------
5,975
-------
Forest & Paper Products (0.3%):
1,000 Mead Corp., 6.60%, 3/1/02.................................. 978
-------
Industrial Goods & Services (2.3%):
2,000 Caterpillar Financial Services, 6.02%, 4/15/02............. 1,945
3,000 First Data Corp., 6.75%, 7/15/05........................... 2,850
2,000 Illinois Tool Works, 5.75%, 3/1/09......................... 1,755
-------
6,550
-------
Insurance (0.5%):
1,400 Capital Holding Corp., 9.20%, 4/17/01...................... 1,428
-------
Oil & Gas Exploration, Production, & Services (1.0%):
1,550 BP America, Inc., 9.38%, 11/1/00........................... 1,579
1,500 Conoco Inc., 6.35%, 4/15/09................................ 1,367
-------
2,946
-------
Retail (2.1%):
2,000 J.C. Penney Co., Inc., 7.25%, 4/1/02....................... 1,953
2,000 Sears, Roebuck and Co., 6.00%, 3/20/03..................... 1,900
2,000 Wal-Mart Stores, Inc., 6.75%, 5/15/02...................... 1,980
-------
5,833
-------
Telecommunications--Equipment (0.6%):
1,730 Lucent Technologies, Inc., 6.90%, 7/15/01.................. 1,724
-------
Tools (0.8%):
2,200 Stanley Works, 7.38%, 12/15/02............................. 2,203
-------
Utilities-Electric & Gas (0.3%):
900 Pennsylvania Power & Light Co., 6.00%, 6/1/00.............. 898
-------
Utilities--Telecommunications (1.1%):
1,000 AT&T Corp., 7.13%, 1/15/02................................. 999
2,200 BellSouth Telecommunications, 6.00%, 6/15/02............... 2,137
-------
3,136
-------
Total Corporate Bonds 63,211
-------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- --------------------------------------------------------- --------
<C> <S> <C>
Municipal Bonds (1.3%):
Illinois (1.3%):
$ 3,800 Chicago Public Building, 7.00%, 1/1/06................... $ 3,662
--------
Total Municipal Bonds 3,662
--------
U.S. Treasury Bonds (21.7%):
3,000 5.88%, 11/15/05.......................................... 2,875
8,350 6.50%, 10/15/06.......................................... 8,224
16,000 7.50%, 11/15/16.......................................... 17,215
10,000 7.25%, 8/15/22........................................... 10,677
23,400 6.25%, 8/15/23........................................... 22,305
--------
Total U.S. Treasury Bonds 61,296
--------
U.S. Government Agencies (8.5%):
Fannie Mae (2.5%):
2,400 5.50%, 2/2/01............................................ 2,375
5,000 6.21%, 11/7/07........................................... 4,698
--------
7,073
--------
Freddie Mac (3.0%):
7,000 5.83%, 2/9/06............................................ 6,534
2,000 7.10%, 4/10/07........................................... 1,986
--------
8,520
--------
Government National Mortgage Assoc. (3.0%):
9,303 6.50%, 11/20/28.......................................... 8,550
--------
Total U.S. Government Agencies 24,143
--------
Investment Companies (2.0%):
5,646,288 AmSouth Prime Money Market Fund.......................... 5,647
31,314 AmSouth U.S. Treasury Money Market Fund.................. 31
--------
Total Investment Companies $5,678
--------
Total (Cost $263,067) (a) $290,556
========
</TABLE>
Continued
-66-
<PAGE>
AMSOUTH
Balanced Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
- --------
Percentages indicated are based on net assets of $283,075.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net appreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation............................................. $39,407
Unrealized depreciation............................................. (11,918)
-------
Net unrealized appreciation......................................... $27,489
=======
</TABLE>
(b) Represents non-income producing securities.
ADR--American Depository Receipt
PLC--Public Limited Co.
See notes to financial statements.
-67-
<PAGE>
AMSOUTH
Limited Term Bond Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------------ ------
<C> <S> <C>
Corporate Bonds (81.0%):
Automotive--Finance (10.2%):
$ 1,000 Chrysler Financial Corp., 6.08%, 4/6/01..................... $ 986
4,000 Ford Motor Credit Corp., 6.63%, 6/30/03..................... 3,904
3,500 General Motors Acceptance Corp., 7.13%, 5/1/03.............. 3,456
2,000 Toyota Motor Credit Corp., 5.50%, 9/17/01................... 1,948
------
10,294
------
Banking (9.9%):
4,500 Bank of America Corp., 9.50%, 4/1/01........................ 4,612
3,000 Bank One Corp., 6.25%, 9/1/00............................... 2,988
1,500 Firstar Bank, 6.25%, 12/1/02................................ 1,455
900 Wachovia Bank, 6.30%, 3/15/01............................... 891
------
9,946
------
Beverages (1.9%):
2,000 Coca-Cola Co., 6.00%, 7/15/03............................... 1,910
------
Brokerage Services (3.4%):
3,500 Bear Stearns & Co., Inc., 6.50%, 8/1/02..................... 3,413
------
Building Products (1.9%):
2,000 Vulcan Materials Co., 5.75%, 4/1/04......................... 1,883
------
Computers & Peripherals (0.9%):
1,000 IBM Corp., 5.95%, 6/2/03.................................... 958
------
Consumer Goods (1.9%):
2,000 Procter & Gamble Co., 5.25%, 9/15/03........................ 1,875
------
Electronic Components/Instruments (0.8%):
850 Honeywell, Inc., 6.75%, 3/15/02............................. 839
------
Farm Equipment (2.9%):
3,000 John Deere Capital Corp., 5.85%, 1/15/01.................... 2,974
------
Financial Services (17.7%):
3,000 Ameritech Capital Funding, 6.13%, 10/15/01.................. 2,947
4,200 Associates Corp. of North America, 6.63%, 5/15/01........... 4,168
2,000 CIT Group Holdings, 6.38%, 10/1/02.......................... 1,950
1,000 Citigroup, Inc., 6.13%, 6/15/00............................. 997
1,000 Commercial Credit Co., 8.26%, 11/1/01....................... 1,014
2,500 General Electric Capital Corp., 6.15%, 11/5/01.............. 2,462
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
Corporate Bonds, continued:
Financial Services, continued:
$ 2,500 Household Netherlands, 6.20%, 12/1/03..................... $ 2,372
2,000 Merrill Lynch, 5.71%, 1/15/02............................. 1,940
--------
17,850
--------
Food Products & Services (2.9%):
1,000 Campbell Soup Co., 6.15%, 12/1/02......................... 971
1,000 McDonald's Corp., 5.90%, 5/11/01.......................... 984
1,000 McDonald's Corp., 6.00%, 6/23/02.......................... 971
--------
2,926
--------
Forest & Paper Products (1.0%):
1,000 Mead Corp., 6.60%, 3/1/02................................. 978
--------
Health Care (1.9%):
2,000 McKesson Corp., 6.88%, 3/1/02............................. 1,943
--------
Industrial Goods $ Services (5.9%):
2,000 Air Products & Chemicals, Inc., 8.35%, 1/15/02............ 2,025
1,000 Caterpillar Financial Services, 6.02%, 4/15/02............ 973
3,000 E. I. Dupont de Nemours & Co., 6.50%, 9/1/02.............. 2,940
--------
5,938
--------
Insurance (5.0%):
2,000 American General Finance, 5.75%, 11/1/03.................. 1,885
1,000 St. Paul Cos., Inc., Series A, 6.17%, 1/15/01............. 994
2,200 USLife Corp., 6.38%, 6/15/00.............................. 2,193
--------
5,072
--------
Office Equipment & Services (1.3%):
1,274 Xerox Corp., 8.13%, 4/15/02............................... 1,285
--------
Oil & Gas Exploration, Production, & Services (2.1%):
2,200 Amoco Co., 6.25%, 10/15/04................................ 2,096
--------
Retail (2.4%):
1,000 Sears, Roebuck and Co., 6.00%, 3/20/03.................... 950
1,500 Wal-Mart Stores, Inc., 5.85%, 6/1/00...................... 1,498
--------
2,448
--------
</TABLE>
Continued
-68-
<PAGE>
AMSOUTH
Limited Term Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Corporate Bonds, continued:
Telecommunications (1.4%):
$ 1,500 AT&T Corp., 5.63%, 3/15/04................................. $ 1,406
-------
Telecommunications--Equipment (1.0%):
1,000 Lucent Technologies, Inc., 6.90%, 7/15/01.................. 996
-------
Tools (1.0%):
500 Stanley Works, 7.38%, 12/15/02............................. 500
500 Stanley Works, 5.75%, 3/1/04............................... 469
-------
969
-------
Utilities--Electric & Gas (1.7%):
1,250 Alabama Power Corp., 5.35%, 11/15/03....................... 1,163
600 Baltimore Gas & Electric Co., 5.50%, 7/15/00............... 596
-------
1,759
-------
Utilities--Telecommunications (1.9%):
2,000 BellSouth Telecommunications, 6.00%, 6/15/02............... 1,943
-------
Total Corporate Bonds 81,701
-------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- --------
<C> <S> <C>
U.S. Treasury Notes (14.6%):
$ 14,500 7.25%, 5/15/04............................................ $ 14,760
--------
Total U.S. Treasury Notes 14,760
--------
U.S. Government Agencies (1.9%):
2,000 Tennesee Valley Authority, 6.00%, 9/24/02................. 1,948
--------
Total U.S. Government Agencies 1,948
--------
Investment Companies (1.0%):
999,631 AmSouth Prime Money Market Fund........................... 1,000
346 AmSouth U.S. Treasury Money Market Fund................... --*
--------
Total Investment Companies 1,000
--------
Total (Cost $102,064) (a) $ 99,409
========
</TABLE>
- --------
Percentages indicated are based on net assets of $100,916.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation....... $ 120
Unrealized depreciation....... (2,775)
-------
Net unrealized depreciation... $(2,655)
=======
</TABLE>
* Due to rounding, figure was below thousand dollar threshold.
See notes to financial statements.
-69-
<PAGE>
AMSOUTH
Government Income Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------------ ------
<C> <S> <C>
U.S. Treasury Bonds (12.2%):
$ 900 7.50%, 11/15/16............................................. $ 968
-----
Total U.S. Treasury Bonds 968
-----
U.S. Government Agencies (84.2%):
Fannie Mae (20.6%):
1,700 5.75%, 4/15/03.............................................. 1,636
-----
Government National Mortgage Assoc. (63.6%):
1,304 7.00%, 12/15/26-2/20/29..................................... 1,244
2,049 7.50%, 6/15/24-12/15/25..................................... 2,013
279 8.00%, 7/15/26.............................................. 278
186 8.50%, 12/15/19-2/15/23..................................... 191
</TABLE>
- --------
Percentages indicated are based on net assets of $7,950.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation.............................................. $ 68
Unrealized depreciation.............................................. (232)
-----
Net unrealized depreciation.......................................... $(164)
=====
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------------ ------
<C> <S> <C>
U.S. Government Agencies, continued:
Government National Mortgage Assoc., continued:
$ 738 9.00%, 6/15/18-9/15/22...................................... $ 764
543 9.50%, 5/15/18-8/15/21...................................... 571
------
5,061
------
Total U.S. Government Agencies 6,697
------
Investment Companies (3.1%):
242,840 AmSouth U.S. Treasury Money Market Fund..................... 243
------
Total Investment Companies 243
------
Total (Cost $8,072) (a) $7,908
======
</TABLE>
See notes to financial statements.
-70-
<PAGE>
AMSOUTH
Bond Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------------ ------
<C> <S> <C>
Corporate Bonds (42.8%):
Aerospace/Defense (0.7%):
$3,000 Boeing Corp., 6.88%, 11/1/06................................ $2,843
------
Appliances (0.1%):
500 Whirlpool Corp., 9.50%, 6/15/00............................. 505
------
Automotive (0.2%):
908 General Motors Corp., 9.63%, 12/1/00........................ 926
------
Automotive--Finance (2.1%):
3,485 Ford Motor Credit Co., 6.25%, 12/8/05....................... 3,254
2,000 General Motors Acceptance Corp., 6.15%, 4/7/07.............. 1,830
3,000 Toyota Motor Credit Corp.,
5.50%, 9/17/01............................................. 2,921
------
8,005
------
Banking (4.5%):
1,150 Bank of America Corp., 9.50%, 4/1/01........................ 1,179
3,157 Bank One Corp., 7.00%, 7/15/05.............................. 3,058
4,000 Fifth Third Bank, 6.75%, 7/15/05............................ 3,830
3,856 J.P. Morgan & Co., 7.63%, 9/15/04........................... 3,842
2,306 NationsBank Corp., 5.38%, 4/15/00........................... 2,300
3,159 SunTrust Banks, Inc., 7.38%, 7/1/06......................... 3,080
------
17,289
------
Beverages (0.9%):
3,500 Coca-Cola Enterprises, Inc., 6.38%, 8/1/01.................. 3,448
------
Brokerage Services (1.9%):
2,910 Bear Stearns & Co. Inc., 6.63%, 10/1/04..................... 2,779
3,500 Dean Witter Discover & Co., 6.50%, 11/1/05.................. 3,290
1,450 Merrill Lynch & Co., Inc., 6.00%, 2/12/03................... 1,392
------
7,461
------
Building Products (0.9%):
2,000 Vulcan Materials Co., 5.75%, 4/1/04......................... 1,883
2,000 Vulcan Materials Co., 6.00%, 4/1/09......................... 1,765
------
3,648
------
Electronic Components/Instruments (0.5%):
2,000 Honeywell, Inc., 7.00%, 3/15/07............................. 1,913
------
Entertainment (0.7%):
3,000 Walt Disney Company, 5.13%, 12/15/03........................ 2,779
------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ----------------------------------------------------------- -------
<C> <S> <C>
Corporate Bonds, continued:
Financial Services (5.7%):
$2,000 American Express Credit Corp., 6.50%, 8/1/00............... $ 1,997
3,500 Ameritech Capital, 5.65%, 1/15/01.......................... 3,465
2,000 Associates Corp., 5.75%, 10/15/03.......................... 1,890
3,000 Associates Corp., 5.75%, 11/1/03........................... 2,831
3,091 Avco Financial Service Corp., 5.50%, 4/1/00................ 3,085
3,000 Commercial Credit Co., 7.38%, 3/15/02...................... 2,996
3,000 Commercial Credit Co., 6.50%, 8/1/04....................... 2,869
1,000 Margaretten Financial Corp., 6.75%, 6/15/00................ 999
2,000 Norwest Financial, Inc., 6.63%, 7/15/04.................... 1,923
-------
22,055
-------
Food Products & Services (0.7%):
2,750 Campbell Soup Co., 6.15%, 12/1/02.......................... 2,671
-------
Forest & Paper Products (0.8%):
3,000 Mead Corp., 6.60%, 3/1/02.................................. 2,933
-------
Industrial Goods & Services (3.3%):
3,000 Air Products & Chemicals, Inc., 8.35%, 1/15/02............. 3,038
2,000 E. I. Dupont de Nemours & Co., 6.50%, 9/1/02............... 1,960
2,570 E. I. Dupont de Nemours & Co., 6.75%, 10/15/02............. 2,535
2,000 First Data Corp., 6.75%, 7/15/05........................... 1,900
3,456 Rockwell International Corp., 6.63%, 6/1/05................ 3,295
-------
12,728
-------
Insurance (1.4%):
1,600 Capital Holding Corp., 9.20%, 4/17/01...................... 1,632
1,000 Chubb Corp., 6.15%, 8/15/05................................ 935
3,100 Hartford Life, Inc., 6.90%, 6/15/04........................ 2,988
-------
5,555
-------
Office Equipment & Services (0.6%):
2,200 Xerox Corp., 7.15%, 8/1/04................................. 2,134
-------
Oil & Gas Exploration, Production, & Services (1.8%):
3,158 BP America, Inc., 9.38%, 11/1/00........................... 3,218
1,000 Conoco Inc., 6.35%, 4/15/09................................ 911
</TABLE>
Continued
-71-
<PAGE>
AMSOUTH
Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------------ ------
<C> <S> <C>
Corporate Bonds, continued:
Oil & Gas Exploration, Production, & Services, continued:
$ 864 Exxon Capital Corp., 7.45%, 12/15/01........................ $ 867
2,000 Phillips Petroleum Co., 6.38%, 3/30/09...................... 1,820
------
6,816
------
Pharmaceuticals (0.7%):
3,000 Warner-Lambert Co., 5.75%, 1/15/03.......................... 2,876
------
Photography (0.8%):
3,100 Eastman Kodak, 9.38%, 3/15/03............................... 3,259
------
Railroads (0.3%):
1,000 Union Pacific Corp., 7.00%, 6/15/00......................... 1,001
------
Retail (2.5%):
2,000 JC Penny & Co., 6.13%, 11/15/03............................. 1,840
3,000 Nike, Inc., 6.38%, 12/1/03.................................. 2,876
4,000 Wal-Mart Stores, Inc., 5.85%, 6/1/00........................ 3,995
1,000 Wal-Mart Stores, Inc., 6.75%, 5/15/02....................... 990
------
9,701
------
Tools (0.5%):
2,000 Stanley Works, 5.75%, 3/1/04................................ 1,875
------
Utilities--Electric & Gas (6.3%):
3,100 Baltimore Gas & Electric, 7.50%, 1/15/07.................... 3,015
2,000 Consolidated Edison Co. of New York, Inc., 6.63%, 2/1/02.... 1,968
3,500 National Rural Utilities, 5.00%, 10/1/02.................... 3,302
3,100 National Rural Utilities, 6.38%, 10/15/04................... 2,961
2,750 Northern States Power Co., 7.88%, 10/1/01................... 2,774
2,250 Oklahoma Gas & Electric Co., 6.25%, 10/15/00................ 2,239
2,000 Tampa Electric Co., 6.13%, 5/1/03........................... 1,925
2,500 Virginia Electric & Power Co., 8.00%, 3/1/04................ 2,528
3,500 Wisconsin Electric Power, 6.63%, 11/15/06................... 3,298
------
24,010
------
Utilities--Telecommunications (4.9%):
2,000 BellAtlantic Corp., 6.25%, 2/15/04.......................... 1,910
3,500 BellSouth Telecommunications, 6.50%, 6/15/05................ 3,351
2,009 Chesapeake & Potomac Telephone, 6.00%, 5/1/03............... 1,919
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- --------------------------------------------------------- --------
<C> <S> <C>
Corporate Bonds, continued:
Utilities--Telecommunications, continued:
$ 2,000 GTE California, Inc., 5.63%, 2/1/01...................... $ 1,973
2,295 GTE Northwest, Inc., Series A, 7.38%, 5/1/01............. 2,298
2,000 Southern New England Telecommunications Corp.,
6.50%, 2/15/02.......................................... 1,970
2,000 Southwestern Bell Telephone, 6.63%, 4/1/05............... 1,920
4,000 US West Communications Group, 6.63%, 9/15/05............. 3,769
--------
19,110
--------
Total Corporate Bonds 165,541
--------
U.S. Treasury Bonds (26.7%):
21,000 6.50%, 10/15/06.......................................... 20,682
29,000 7.50%, 11/15/16.......................................... 31,203
53,660 6.25%, 8/15/23........................................... 51,150
--------
Total U.S. Treasury Bonds 103,035
--------
U.S. Treasury Notes (13.4%):
54,000 6.13%, 8/15/07........................................... 51,995
--------
Total U.S. Treasury Notes 51,995
--------
U.S. Government Agencies (12.5%):
Fannie Mae (8.7%):
3,000 6.59%, 5/21/02........................................... 2,977
7,500 7.05%, 11/12/02.......................................... 7,506
17,600 5.13%, 2/13/04........................................... 16,358
7,300 6.56% 11/26/07........................................... 6,829
--------
33,670
--------
Freddie Mac (0.7%):
700 7.14%, 3/12/07........................................... 675
2,000 7.10%, 4/10/07........................................... 1,986
--------
2,661
--------
Government National Mortgage Assoc. (2.2%):
8,879 7.00%, 11/20/28.......................................... 8,407
--------
Tennessee Valley Authority (0.9%):
4,000 5.38%, 11/13/08.......................................... 3,492
--------
Total U.S. Government Agencies 48,230
--------
</TABLE>
Continued
-72-
<PAGE>
AMSOUTH
Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- --------------------------------------------------------- --------
<C> <S> <C>
Investment Companies (2.6%):
10,154,327 AmSouth Prime Money Market Fund.......................... $ 10,154
7 AmSouth U.S. Treasury Money Market Fund.................. --*
--------
Total Investment Companies 10,154
--------
Total (Cost $391,373) (a) $378,955
========
</TABLE>
- --------
Percentages indicated are based on net assets of $386,582.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation......... $ 3,066
Unrealized depreciation......... (15,484)
--------
Net unrealized depreciation..... $(12,418)
========
</TABLE>
* Due to rounding, figure was below thousand dollar threshold.
See notes to financial statements.
-73-
<PAGE>
AMSOUTH
Municipal Bond Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------- --------
<C> <S> <C>
Municipal Bonds (94.0%):
Alabama (50.6%):
$ 2,245 Alabama State Agriculture & Mechanical University
Revenue, 4.55%, 11/1/09, Callable 5/1/08 @ 102, MBIA.. $ 2,040
2,355 Alabama State Agriculture & Mechanical University
Revenue, 4.65%, 11/1/10, Callable 5/1/08 @ 102, MBIA.. 2,134
2,035 Alabama State Agriculture & Mechanical University
Revenue, 6.50%, 11/1/25, Callable 11/1/05 @ 102, MBIA. 2,215
3,060 Alabama State Corrections Institution, Series A, 4.90%,
4/1/03, MBIA.......................................... 3,066
1,520 Alabama State Industrial Access Road & Bridge Corp.,
Capital Improvements, Series A, 4.60%, 6/1/03......... 1,496
3,700 Alabama State Judicial Building Authority, Judicial
Facilties Project, 4.75%, 1/1/05, AMBAC............... 3,650
3,880 Alabama State Judicial Building Authority, Judicial
Facilties Project, 4.85%, 1/1/06, AMBAC............... 3,810
2,000 Alabama State Mental Health Finance Authority, Special
Tax, 4.88%, 5/1/03, MBIA.............................. 2,002
7,350 Alabama State Public School & College Authority, 4.75%,
12/1/03, Callable 6/1/03 @ 103........................ 7,319
3,390 Alabama State Public School & College Authority, 5.00%,
12/1/05, Callable 6/1/03 @ 103........................ 3,381
10,000 Alabama State Public School & College Authority
Revenue, Series A, 4.38%, 8/1/04...................... 9,690
5,000 Alabama State Public School & College Authority,
Capital Improvement, 4.75%, 11/1/06, Callable 11/1/05
@ 101................................................. 4,862
1,760 Alabama State Water Pollution Control Authority,
Revolving Fund, Series B, 5.25%, 8/15/08, Callable
8/15/06 @ 100, AMBAC.................................. 1,752
1,350 Alabama State Water Pollution Control Authority,
Revolving Fund, Series B, 5.38%, 8/15/10, Callable
8/15/06 @ 100, AMBAC.................................. 1,338
2,495 Alabama State Water Pollution Control Authority,
Revolving Fund, Series B, 5.40%, 8/15/11, Callable
8/15/06 @ 100, AMBAC.................................. 2,458
5,000 Alabama State Water Pollution Control Authority,
Revolving Fund, Series B, 5.50%, 8/15/16, Callable
8/15/06 @ 100, AMBAC.................................. 4,750
3,500 Alabama State, Series A, GO, 4.60%, 10/1/05............ 3,413
1,000 Auburn University, University Revenues, General Fee,
5.25%, 6/1/06, Callable 6/1/03 @ 102, MBIA............ 1,005
1,040 Birmingham Capital Improvement, Series B, GO, 4.80%,
10/1/08, Callable 4/1/07 @ 102........................ 990
1,375 Birmingham Waterworks & Sewer Board, Water & Sewer
Revenue, 5.90%, 1/1/03, Callable 1/1/02 @ 102......... 1,430
1,340 Birmingham, Capital Improvements, Series A, GO, 4.75%,
10/1/10, Callable 4/1/08 @ 102........................ 1,235
1,430 Birmingham, Capital Improvements, Series A, GO, 4.85%,
10/1/11, Callable 4/1/08 @ 102........................ 1,314
1,500 Birmingham, GO, 4.90%, 7/1/06.......................... 1,476
1,300 Birmingham, Industrial Water Board, Industrial Water
Supply, 5.50%, 3/1/06, Prerefunded 3/1/05 @ 100....... 1,326
3,465 Birmingham, Industrial Water Board, Industrial Water
Supply, 6.20%, 7/1/08, Prerefunded 1/1/07 @ 100....... 3,574
1,100 Birmingham, Industrial Water Board, Industrial Water
Supply, ETM, 5.30%, 3/1/04, Callable 3/1/03 @ 102..... 1,114
1,000 Birmingham, Industrial Water Board, Industrial Water
Supply, ETM, 5.40%, 3/1/05, Callable 3/1/03 @ 102..... 1,016
1,045 Clark & Mobile County, Gas District, 5.60%, 12/1/17,
Callable 12/1/06 @ 102, MBIA.......................... 1,006
9,500 Daphne Special Care Facilities Financing Authority,
Presbyterian Retirement Corp., 7.30%, 8/15/18,
Prerefunded 8/15/01 @ 100............................. 9,861
760 Decatur, Warrants, Series E, Limited GO, 5.20%, 8/1/06,
Callable 8/1/02 @ 102................................. 762
750 Decatur, Warrants, Series E, Limited GO, 5.25%, 8/1/08,
Callable 8/1/02 @ 102................................. 746
780 Decatur, Warrants, Series E, Limited GO, 5.30%, 8/1/09,
Callable 8/1/02 @ 102................................. 774
905 Dothan, GO, 5.05%, 9/1/09, FSA......................... 881
1,515 Dothan, GO, 5.10%, 9/1/10, Callable 9/1/09 @ 101, FSA.. 1,468
1,025 Florence Water, Series B, 4.70%, 12/1/13, Callable
12/1/08 @ 102, FSA.................................... 895
</TABLE>
Continued
-74-
<PAGE>
AMSOUTH
Municipal Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------- --------
<C> <S> <C>
Municipal Bonds, continued:
Alabama, continued:
$ 2,845 Florence, Warrants, Series A, GO, 4.65%, 9/1/03, MBIA.. $ 2,823
390 Florence, Warrants, Series A, GO, 4.35%, 12/1/07, FSA.. 361
405 Florence, Warrants, Series A, GO, 4.40%, 12/1/08....... 370
425 Florence, Warrants, Series A, GO, 4.50%, 12/1/09....... 386
445 Florence, Warrants, Series A, GO, 4.60%, 12/1/10,
Callable 12/1/08 @ 102................................ 403
790 Florence, Warrants, Series B, GO, 4.35%, 12/1/07, FSA.. 731
825 Florence, Warrants, Series B, GO, 4.40%, 12/1/08, FSA.. 754
865 Florence, Warrants, Series B, GO, 4.50%, 12/1/09,
Callable 12/1/08 @ 102, FSA........................... 785
900 Florence, Warrants, Series B, GO, 4.60%, 12/1/10,
Callable 12/1/08 @ 102, FSA........................... 814
4,700 Gadsden, East Alabama Medical Clinic Board, Baptist
Hospital of Gadsden, Inc., Series A, 7.80%, 11/1/21,
Prerefunded 11/1/01 @ 102............................. 5,027
5,450 Hoover, Warrants, GO, 4.50%, 3/1/13, Prerefunded 3/1/03
@ 100................................................. 4,654
1,445 Huntsville, Series A, GO, 4.75%, 11/1/18, Callable
11/1/08 @ 101......................................... 1,199
550 Huntsville Electric, 4.60%, 12/1/09, Callable 12/1/07 @
102................................................... 502
660 Huntsville Electric, 4.70%, 12/1/10, Callable 12/1/07 @
102................................................... 601
680 Huntsville Electric, 4.80%, 12/1/11, Callable 12/1/07 @
102................................................... 618
3,120 Huntsville, Warrants, Series B, GO, 4.00%, 11/1/05..... 2,884
3,245 Huntsville, Warrants, Series B, GO, 4.00%, 11/1/06..... 2,961
3,380 Huntsville, Warrants, Series B, GO, 4.10%, 11/1/07..... 3,055
2,000 Huntsville, Water System, Warrants, 5.00%, 5/1/02,
AMBAC................................................. 2,012
3,125 Huntsville, Water System, Warrants, 5.05%, 5/1/03,
Callable 5/1/02 @ 102, AMBAC.......................... 3,144
1,000 Jefferson County Board of Education, Capital Outlay,
5.40%, 2/15/10, Callable 2/15/03 @ 102, AMBAC......... 1,034
4,000 Jefferson County, GO, 5.30%, 4/1/09, Prerefunded 4/1/03
@ 102................................................. 3,957
2,400 Jefferson County, Sewer Revenue Warrants, 5.40%,
9/1/04, Prerefunded 3/1/03 @ 102, MBIA................ 2,493
5,000 Jefferson County, Warrants, GO, 5.00%, 4/1/04, Callable
4/1/03 @ 102.......................................... 5,000
2,000 Mobile County Board of School Commissioners, Warrants,
Capital Outlay, 4.80%, 3/1/02, AMBAC.................. 2,004
1,350 Mobile County, Series A, GO, 5.00%, 2/1/04, Callable
2/1/03 @ 102.......................................... 1,353
1,000 Mobile County, Warrants, Series A, Limited GO, 5.00%,
2/1/04, Callable 2/1/03 @ 102......................... 1,002
5,000 Mobile County, Warrants, Series A, Limited GO, 5.10%,
2/1/05, Callable 2/1/03 @ 102......................... 5,010
1,630 Mobile, Warrants, GO, 6.50%, 2/15/05, AMBAC............ 1,735
1,685 Mobile, Warrants, GO, 6.50%, 2/15/06, AMBAC............ 1,804
2,700 Mobile, Warrants, GO, 4.85%, 2/15/09, Callable 2/15/00
@ 100................................................. 2,608
3,250 Mobile, Water & Sewer Commissioners, Water & Sewer
Revenue, 5.00%, 1/1/05, FGIC.......................... 3,248
1,500 Montgomery County, Warrants, GO, 5.00%, 11/1/04,
Callable 11/1/04 @ 102................................ 1,504
1,040 Montgomery, Warrants, Series A, GO, 5.00%, 5/1/05,
Callable 5/1/03 @ 102................................. 1,037
1,000 Montgomery, Warrants, Series A, GO, 5.00%, 5/1/06,
Callable 5/1/03 @ 102................................. 992
3,000 Montgomery, Waterworks & Sanitary Sewer Board, 5.50%,
9/1/08, Callable 9/1/06 @ 101, MBIA................... 3,041
1,000 Montgomery, Waterworks & Sanitary Sewer Board, Series
B, 5.70%, 9/1/02...................................... 1,021
2,500 Montgomery, Waterworks & Sanitary Sewer Board, Series
B, 6.25%, 9/1/08, Callable 9/1/02 @ 102............... 2,602
3,565 Montgomery, Waterworks & Sanitary Sewer Board, Series
B, 6.30%, 9/1/10, Callable 9/1/02 @ 102............... 3,717
1,005 Shelby County, Warrants, Board of Education, Capital
Outlay, 4.80%, 2/1/10, Callable 2/1/09 @ 101, AMBAC... 935
</TABLE>
Continued
-75-
<PAGE>
AMSOUTH
Municipal Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------- --------
<C> <S> <C>
Municipal Bonds, continued:
Alabama, continued:
$ 1,990 Shelby County, Warrants, Series A, 5.60%, 8/1/02,
AMBAC................................................. $ 2,032
1,830 Shelby County, Warrants, Series A, 5.70%, 2/1/03,
AMBAC................................................. 1,875
335 Talladega County, Industrial Development Board, Cyprus
1 Project, 9.75%, 12/1/13............................. 336
1,200 University Alabama General Fee, 4.60%, 6/1/09, Callable
6/1/07 @ 102, MBIA.................................... 1,105
1,300 University Alabama General Fee, 4.70%, 6/1/10, Callable
6/1/07 @ 102, MBIA.................................... 1,194
1,500 University Alabama General Fee, 4.75%, 6/1/11, Callable
6/1/07 @ 102, MBIA.................................... 1,366
2,185 University of South Alabama, University Revenues,
Tuition, 4.70%, 11/15/08, Callable 5/15/06 @ 102,
AMBAC................................................. 2,059
--------
180,397
--------
Arizona (0.3%):
1,200 Pima County, School District No.16, Catalina Foothills,
GO, 5.75%, 7/1/06, MBIA............................... 1,244
--------
California (1.2%):
4,765 San Mateo County, Transit District Sales Tax Revenue,
Series A, 5.25%, 6/1/16, Callable 6/1/09 @ 101, FSA... 4,457
--------
Colorado (0.7%):
2,320 Jefferson County School District, GO, 6.25%, 12/15/08,
MBIA.................................................. 2,481
--------
Florida (5.2%):
1,760 Dade County, Series DD, GO, 7.70%, 10/1/08, AMBAC...... 2,054
2,000 Escambia County, Utilities Authority Revenue, Series D,
5.00%, 1/1/05, FGIC................................... 2,003
6,500 Florida State Board of Education, Capital Outlay,
Series A, GO, 5.00%, 6/1/08........................... 6,404
8,070 Reedy Creek, Improvement District, Series 1, 5.50%,
10/1/08, Callable 10/1/07 @ 101, AMBAC................ 8,236
--------
18,697
--------
Georgia (0.3%):
1,000 Georgia State, Series A, GO, 6.10%, 2/1/03, Callable
2/1/01 @ 102.......................................... 1,037
--------
Hawaii (1.0%):
3,625 Hawaii State, GO, 5.50%, 3/1/16, Prerefunded 3/1/07
@102, FGIC............................................ 3,739
--------
Michigan (2.0%):
7,000 Municipal Bond Authority Revenue, 5.00%, 12/1/05....... 6,996
--------
Minnesota (0.6%):
2,175 Centennial Independent School District, No. 12, Series
A, GO, 5.60%, 2/1/07, MBIA............................ 2,233
--------
Mississippi (1.7%):
2,075 Medical Center Educational Building Corp., Mississippi
Revenue, University of Mississippi Medical Center
Project, 5.90%, 12/1/23, Prerefunded 12/1/04 @ 102,
MBIA.................................................. 2,188
1,000 Mississippi State, Series B, GO, 5.90%, 11/15/09....... 1,041
1,000 Mississippi State Highway Revenue, Series 39, 6.50%,
8/1/05, Callable 2/22/00 @ 100, FGIC.................. 1,071
2,000 Mississippi State, Capital Improvements, Series A, GO,
5.20%, 8/1/11, Callable 8/1/03 @ 100.................. 1,936
--------
6,236
--------
</TABLE>
Continued
-76-
<PAGE>
AMSOUTH
Municipal Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------- --------
<C> <S> <C>
Municipal Bonds, continued:
Missouri (1.1%):
$ 3,885 Missouri State, Water Pollution, Series B, GO, 5.00%,
8/1/07, Callable 8/1/03 @ 102......................... $ 3,875
--------
New York (0.8%):
1,150 Hempstead Town, GO, 5.00%, 2/15/09, Callable 2/15/06 @
102................................................... 1,121
1,500 Municipal Assistance Corp. for New York City, GO,
6.00%, 7/1/05......................................... 1,565
--------
2,686
--------
North Carolina (2.0%):
355 Durham, Water & Sewer Revenue, 4.60%, 6/1/05........... 347
675 Durham, Water & Sewer Revenue, 4.60%, 6/1/06........... 650
555 Durham, Water & Sewer Revenue, 4.60%, 6/1/07........... 528
765 Durham, Water & Sewer Revenue, 4.60%, 6/1/08........... 717
5,000 North Carolina State, Series A, GO, 4.75%, 4/1/09,
Callable 4/1/08 @ 100.5............................... 4,746
--------
6,988
--------
Oklahoma (0.4%):
1,530 Moore Oklahoma Refunding, 5.75%, 4/1/12, GO, MBIA...... 1,533
--------
Oregon (2.0%):
2,365 Salem, GO, 4.45%, 12/1/10, Callable 6/1/09 @ 100, FSA.. 2,134
5,285 Washington County, Criminal Justice Facilities, GO,
5.00%, 12/1/09, Callable 12/1/07 @ 100................ 5,185
--------
7,319
--------
South Carolina (2.5%):
5,525 Beaufort County School District, Series B, GO, 4.10%,
2/1/09, Callable 2/1/07 @ 101, SCSDE.................. 4,852
4,325 Beaufort County School District, Series B, GO, 4.90%,
3/1/09, Callable 3/1/05 @ 101......................... 4,136
--------
8,988
--------
Tennessee (3.5%):
2,000 Jackson, Improvements, 5.00%, 3/1/10, Prerefunded
3/1/05 @102........................................... 1,931
1,000 Johnson City, GO, 4.35%, 6/1/07, FGIC.................. 932
3,000 Metropolitan Government, Nashville & Davidson County,
GO, 5.25%, 5/15/06.................................... 3,024
1,500 Tennessee State, Series B, GO, 5.00%, 5/1/15, Callable
5/1/08 @ 100.......................................... 1,368
5,495 Tennessee State, Series B, GO, 4.60%, 5/1/07, Callable
5/1/06 @ 100.......................................... 5,281
--------
12,536
--------
Texas (7.6%):
1,000 Austin Utility Systems Revenue Combined, Series A,
9.50%, 5/15/15, Prerefunded 5/15/00 @ 100............. 1,016
2,830 Cypress-Fairbanks Independent School District, Series
A, GO, 6.13%, 8/1/10, Prerefunded 8/1/03 @ 100,
PSF-GTD............................................... 2,942
3,000 Dallas County, Series A, GO, 5.25%, 8/15/09............ 2,979
1,000 El Paso, Series A, GO, 6.10%, 8/15/03, Callable 8/15/02
@ 100, FGIC........................................... 1,029
4,000 Mesquite Independent School District, Series A, GO,
4.70%, 8/15/08, Callable 8/15/07 @ 100................ 3,768
</TABLE>
Continued
-77-
<PAGE>
AMSOUTH
Municipal Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares or
Principal Security Market
Amount Description Value
--------- ------------------------------------------------------- --------
<C> <S> <C>
Municipal Bonds, continued:
Texas, continued:
$ 1,590 San Antonio, Series A, GO, 4.75%, 2/1/19, Callable
2/1/09 @ 100.......................................... $ 1,307
5,000 Texas State, Series B, GO, 5.25%, 10/1/08, Callable
10/1/03 @ 100......................................... 4,985
3,575 University of Texas, 4.60%, 7/1/08, Callable 7/1/06 @
100................................................... 3,375
5,455 University of Texas, Series B, 4.25%, 8/15/09, Callable
8/15/07 @ 100......................................... 4,821
1,000 Whitehouse Texas Independent School District, GO,
4.80%, 2/15/12, Callable 2/15/08 @ 100................ 898
--------
27,120
--------
Utah (5.4%):
4,805 Davis County, School District, GO, 4.38%, 6/1/08,
School Board Guaranty................................. 4,437
3,810 Jordan School District, GO, 4.80%, 6/15/08, Callable
6/15/07 @ 100......................................... 3,668
5,200 Utah State, Series F, GO, 5.00%, 7/1/09, Callable
7/1/07 @ 100.......................................... 5,093
6,000 Utah State, Series F, GO, 5.00%, 7/1/09, Callable
7/1/07 @ 100.......................................... 6,135
--------
19,333
--------
Virginia (2.9%):
2,000 Virginia College Building Authority, Series A, 5.00%,
9/1/12, Callable 9/1/07 @ 101......................... 1,879
5,000 Virginia State, GO, 5.00%, 6/1/08, Callable 6/1/07 @
100................................................... 4,953
3,500 Virginia State, Public School Authority, Series S,
5.25%, 8/1/09......................................... 3,493
--------
10,325
--------
Washington (1.9%):
6,500 Washington State, GO, 5.75%, 9/1/08.................... 6,708
--------
West Virginia (0.3%):
1,000 Raleigh Fayette & Nicholas Counties, 6.20%, 8/1/04..... 1,051
--------
Total Municipal Bonds 335,979
--------
Investment Companies (4.5%):
745,459 Federated Tax-Free Fund................................ 745
15,349,094 Goldman Sachs Tax-Free Fund............................ 15,350
--------
Total Investment Companies 16,095
--------
Total (Cost $360,821) (a) $352,074
========
</TABLE>
- --------
Percentages indicated are based on net assets of $357,513.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation...... $ 1,530
Unrealized depreciation...... (10,277)
--------
Net unrealized depreciation.. $ (8,747)
========
</TABLE>
Continued
-78-
<PAGE>
AMSOUTH
Municipal Bond Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands)
(Unaudited)
AMBAC--Insured by AMBAC Indemnity Corp.
ETM--Escrowed to Maturity
FGIC--Insured by Financial Guaranty Insurance Corp.
FSA--Insured by Financial Security Assurance.
GO--General Obligation
MBIA--Insured by Municipal Bond Insurance Assoc.
SCSDE--South Carolina School District Enhancement.
See notes to financial statements.
-79-
<PAGE>
AMSOUTH
Florida Tax-Exempt Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- -------
<C> <S> <C>
Florida Municipal Bonds (95.5%):
$ 545 Altamonte Springs, Health Facilities Authority, Hospital
Revenue, ETM, 5.60%, 10/1/10............................. $ 559
1,000 Bay County, Resource Recovery Revenue, 6.00%, 7/1/01,
MBIA..................................................... 1,021
1,500 Broward County School District, GO, 5.60%, 2/15/07,
Callable 2/15/03 @ 102................................... 1,531
2,000 Broward County School District, GO, 6.00%, 2/15/07,
Callable 2/15/02 @ 102................................... 2,062
700 Clearwater Utility Revenue, ETM, 6.10%, 12/1/07........... 743
1,500 Dade County School Board, Certificates of Participation,
Series C, 5.25%, 8/1/06, FSA............................. 1,511
1,000 Dade County School District, 5.75%, 8/1/03, AMBAC......... 1,029
1,000 Dade County School District, GO, 6.00%, 7/15/06........... 1,051
1,000 Dade County School District, GO, 5.00%, 2/15/14, Callable
2/15/07 @ 101, MBIA...................................... 921
1,000 Dade County, Aviation Authority, Series 1994 B, 6.25%,
10/1/04, AMBAC........................................... 1,056
1,115 Dade County, Public Services, Tax Revenue, 5.00%, 10/1/12,
Callable 10/1/09 @ 101, FSA.............................. 1,053
1,000 Dade County, Water & Sewer System Revenue, 4.70%, 10/1/04,
FGIC..................................................... 992
1,000 Escambia County, Utility Authority, Utility System
Revenue, 5.00%, 1/1/08, FGIC............................. 987
725 Florida Housing Finance Agency, Homeowner Mortgages,
Series 1995 A-1, 5.65%, 1/1/09, Callable 1/1/06 @ 102.... 713
1,000 Florida State Board of Education, GO, 5.00%, 6/1/10,
Callable 6/1/05 @ 101.................................... 967
515 Florida State Board of Education, GO, 7.25%, 6/1/23,
Callable 6/1/00 @ 102.................................... 531
1,355 Florida State Board of Education, Lottery Revenue, Series
A, 5.00%, 7/1/09, Callable 7/1/08 @ 101, FGIC............ 1,325
1,000 Florida State Board of Education, Lottery Revenue, Series
B, 5.25%, 7/1/09, Callable 7/1/08 @ 101, FGIC............ 998
1,000 Florida State Board Of Education, Series A, GO, 5.00%,
1/1/15, Callable 1/1/08 @ 101............................ 905
2,000 Florida State Board of Education, Series B, GO, 5.38%,
6/1/08, Callable 6/1/07 @ 101............................ 2,021
1,000 Florida State Board of Education, Series E, GO, 5.10%,
6/1/13, Callable 6/1/03 @ 101............................ 943
3,310 Florida State Department of Transportation, Right of Way,
Series B, GO, 5.50%, 7/1/08, Callable 7/1/07 @ 101....... 3,377
1,000 Florida State Division of Bond Finance, Department of
General Services, Preservation 2000,
Series A, 5.50%, 7/1/08, FSA............................. 1,020
1,000 Florida State Division of Bond Finance, Department of
General Services, Preservation 2000,
Series A, 5.70%, 7/1/09, Callable 7/1/05 @ 101, AMBAC.... 1,023
1,000 Florida State Division of Bond Finance, Department of
General Services, Preservation 2000,
Series A, 5.00%, 7/1/12, Callable 7/1/07 @ 101, AMBAC.... 945
2,000 Florida State Division of Bond Finance, Department of
General Services, Series B, 5.50%, 7/1/05, AMBAC......... 2,050
1,000 Florida State Division of Bond Finance, Department of
Natural Resources, Preservation 2000,
Series A, 5.40%, 7/1/07, Callable 7/1/03 @ 101, FSA...... 1,009
1,000 Florida State Division of Bond Finance, Department of
Natural Resources, Save Our Coast, 6.30%, 7/1/04,
Callable 7/1/01 @ 101, MBIA.............................. 1,035
1,000 Florida State Turnpike Authority, Turnpike Revenue, Series
A, 5.50%, 7/1/11, Callable 7/1/05 @ 101, FGIC............ 1,002
890 Florida State, GO, Senior Lien, Jacksonville
Transportation, 6.25%, 7/1/06............................ 948
1,000 Florida State, GO, Senior Lien, Jacksonville
Transportation, 5.00%, 7/1/11, Callable 7/1/09 @ 101,
FSA...................................................... 958
1,000 Florida State, GO, Senior Lien, Jacksonville
Transportation, 5.25%, 7/1/15, Callable 7/1/07 @ 101..... 938
1,250 Ft. Lauderdale Park Improvement Project, GO, 5.50%,
7/1/17, Callable 1/1/04 @ 101............................ 1,203
1,000 Hillsborough County, Capital Improvement, County Center
Project, Series B, 5.00%, 7/1/13,
Callable 7/1/06 @ 102, MBIA.............................. 930
750 Hillsborough County, Environmental Land, GO, 6.00%,
7/1/03*, Callable 7/1/02 @ 102, AMBAC-TCRS............... 779
</TABLE>
Continued
-80-
<PAGE>
AMSOUTH
Florida Tax-Exempt Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Market
Amount Description Value
--------- ---------------------------------------------------------- -------
<C> <S> <C>
Florida Municipal Bonds, continued:
$ 1,000 Hillsborough County, Solid Waste & Resource Recovery
Revenue, 5.30%, 10/1/03, MBIA............................ $ 1,019
1,000 Jacksonville Electric Authority, St. John's River Issue 2,
Series 15, 4.75%, 10/1/07, Callable 4/1/06 @ 101......... 973
1,000 Jacksonville Electric Authority, St. John's River Issue 2,
Series 16, 5.00%, 10/1/10, Callable 10/1/03 @ 101........ 966
1,000 Jacksonville, District Water & Sewer Revenue, ETM, 5.20%,
10/1/02, MBIA............................................ 1,012
1,010 Jacksonville, Excise Tax Revenue, Series A, 5.50%,
10/1/05, FGIC............................................ 1,036
500 Manatee County School Board, Certificates of
Participation, 7/1/09, Callable 7/1/06 @ 102, MBIA....... 525
1,000 Miami Beach, Water & Sewer Revenue, 5.38%, 9/1/08,
Callable 9/1/05 @ 102, FSA............................... 1,009
1,675 Okeechobee Utility Authority, Utility System Revenue,
5.25% 10/1/14, Callable 10/1/09 @ 101, FSA............... 1,589
1,000 Orange County, Sales Tax Revenue, 4.80%, 1/1/17, Callable
1/1/07 @ 101, FGIC....................................... 856
1,000 Orlando & Orange County Expressway Authority, Expressway
Revenue, Senior Lien, 4.80%, 7/1/01, AMBAC............... 1,006
1,500 Orlando Utilities Commission, Water & Electric Revenue,
Series B, 5.10%, 10/1/11, Callable 10/1/06 @ 100......... 1,446
1,000 Osceola County, Capital Improvements, 5.00%, 9/1/02, MBIA. 1,010
1,000 Palm Beach County, Criminal Justice Facilities, 5.38%,
6/1/10, FGIC............................................. 1,002
1,000 Pasco County, Water & Sewer Revenue, Series A, 5.50%,
10/1/03, Callable 10/1/02 @ 102, FGIC.................... 1,025
1,000 Port of Palm Beach, 6.25%, 9/1/08, Callable 9/1/02 @ 102,
MBIA..................................................... 1,051
1,000 Reedy Creek, Improvement District, Series A, GO, 5.60%,
6/1/10, Callable 6/1/05 @ 100, MBIA...................... 1,011
1,000 Reedy Creek, Improvement District, Series C, GO, 4.90%,
6/1/08, Callable 12/1/05 @ 101, AMBAC.................... 978
1,000 Seminole County, Local Option Gas Tax Revenue, 5.00%,
10/1/02, FGIC............................................ 1,010
1,000 St. Johns River Management District, Land Acquisition,
5.10%, 7/1/09, Callable 7/1/05 @ 100, FSA................ 983
1,000 St. Petersburg, Utility Tax Revenue, 5.85%, 6/1/02........ 1,023
1,000 Sunshine Skyway Revenue, 6.60%, 7/1/08 *, Callable 7/1/01
@ 101.................................................... 1,032
1,000 Tallahassee, Consolidated Utility System Revenue, 5.80%,
10/1/08, Callable 10/1/03 @ 102.......................... 1,027
1,000 Tampa Sports Authority, Local Option Sales Tax Revenue,
Stadium Project, 6.00%, 1/1/06, MBIA..................... 1,048
750 Tampa, Water & Sewer Revenue, 5.25%, 10/1/12, Callable
10/1/05 @ 102, FGIC...................................... 728
1,000 Tampa-Hillsborough County, Expressway, 5.00%, 7/1/10,
Callable 7/1/07 @ 101.................................... 968
1,000 Volusia County Sales Tax Revenue, 5.00%, 10/1/13, Callable
10/1/08 @ 101, MBIA...................................... 931
1,000 Volusia County School District, GO, 5.30%, 6/1/01, FSA.... 1,013
-------
Total Florida Municipal Bonds 67,413
-------
Investment Companies (3.4%):
1,006,771 AmSouth Tax-Exempt Fund................................... 1,007
1,424,640 Dreyfus Florida Money Market Fund......................... 1,424
-------
Total Investment Companies 2,431
-------
Total (Cost $71,779) (a) $69,844
=======
</TABLE>
Continued
-81-
<PAGE>
AMSOUTH
Florida Tax-Exempt Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
- --------
Percentages indicated are based on net assets of $70,607.
(a) Represents cost for federal income tax and financial reporting purposes and
differs from value by net unrealized depreciation of securities as follows:
<TABLE>
<S> <C>
Unrealized appreciation....... $ 335
Unrealized depreciation....... (2,270)
-------
Net unrealized depreciation... $(1,935)
=======
</TABLE>
* Put and demand features exist allowing the Fund to require the repurchase of
the instrument within variable time periods including daily, weekly, monthly,
or semiannually.
AMBAC--Insured by AMBAC Indemnity Corp.
ETM--Escrowed to Maturity
FGIC--Insured by Financial Guaranty Insurance Corp.
FSA--Insured by Financial Security Assurance
GO--General Obligation
MBIA--Insured by Municipal Bond Insurance Assoc.
TCRS--Transferable Custodial Receipts
See notes to financial statements.
-82-
<PAGE>
AMSOUTH
U.S. Treasury Money Market Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Principal Security Amortized
Amount Description Cost
--------- --------------------------------------------------------- ---------
<C> <S> <C>
U.S. Treasury Bills (39.6%):
$15,000 4.75%, 2/10/00........................................... $ 14,980
15,000 5.15%, 3/9/00............................................ 14,921
15,000 5.15%, 3/23/00........................................... 14,891
15,000 5.15%, 3/23/00........................................... 14,846
15,000 5.34%, 4/27/00........................................... 14,809
15,000 5.42%, 5/11/00........................................... 14,774
15,000 5.78%, 5/25/00........................................... 14,735
15,000 5.37%, 6/30/00........................................... 14,976
--------
Total U.S. Treasury Bills 118,932
--------
U.S. Treasury Notes (30.0%):
15,000 8.50%, 2/15/00........................................... 15,019
15,000 5.50%, 2/29/00........................................... 15,003
15,000 6.87%, 3/31/00........................................... 15,039
15,000 6.37%, 5/15/00........................................... 15,040
15,000 6.25%, 5/31/00........................................... 15,033
15,000 5.37%, 7/31/00........................................... 14,961
--------
Total U.S. Treasury Notes 90,095
--------
</TABLE>
<TABLE>
<CAPTION>
Principal Security Amortized
Amount Description Cost
--------- ------------------------------------------------------- ---------
<C> <S> <C>
Repurchase Agreements (30.2%):
$45,316 Salomon Smith Barney, 5.69%, dated 1/31/00, due 2/1/00,
proceeds at maturity of $45,316, (Collateralized by
$46,528 U.S. Treasury Note, 5.25%, 5/31/01--Market
value $46,224)........................................ $ 45,316
45,317 C.S. First Boston Corp., 5.70%, dated 1/31/00, due
2/1/00, proceeds at maturity of $45,317,
(Collateralized by $45,789 U.S. Treasury Note, 4.87%,
3/31/01--Market value $46,553)........................ 45,317
--------
Total Repurchase Agreements 90,633
--------
Total (Cost $299,660) (a) $299,660
========
</TABLE>
- --------
Percentages indicated are based on net assets of $300,163.
(a) Cost and value for federal income tax and financial reporting purposes are
the same.
See notes to financial statements.
-83-
<PAGE>
AMSOUTH
Prime Money Market Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Principal Security Amortized
Amount Description Cost
--------- ----------------------------------------------------- ---------
<C> <S> <C> <C>
Commercial Paper--Foreign (4.4%):
Banking (2.9%):
$20,000 Toronto Dominion Holdings, 5.79%, 4/6/00............. $ 19,790
--------
Food Products & Services (1.5%):
10,000 Canadian Wheat Board, 5.66%, 3/27/00................. 9,914
--------
Total Commercial Paper--Foreign 29,704
--------
Certificates of Deposit (3.7%):
Banking (3.7%):
10,000 BankAmerica, 5.85%, 4/24/00.......................... 10,000
10,000 Canadian Imperial Bank of Commerce, 5.01%, 2/7/00.... 10,000
5,000 Harris Trust, 5.05%, 2/14/00......................... 5,000
--------
Total Certificates of Deposit 25,000
--------
Floating Rate Funding Agreements (1.9%):
Insurance (1.9%):
12,500 Monumental Life Insurance Co., 6.00%*,2/1/00**....... 12,500
--------
Total Floating Rate Funding Agreements 12,500
--------
Corporate Bonds (3.0%):
Brokerage Services (1.6%):
5,000 Bear Stearns & Co., Inc., 6.50%, 7/5/00.............. 5,016
5,000 Morgan Stanley Dean Witter, 5.89%, 3/20/00........... 5,005
--------
10,021
--------
Electric Utility (0.7%):
5,000 Alabama Power Co., 6.00%, 3/1/00..................... 5,003
--------
Financial Services (0.7%):
5,000 American General Finance Corp., 7.25%, 4/15/00....... 5,015
--------
Total Corporate Bonds 20,039
--------
U.S. Government Agencies (11.8%):
Fannie Mae (2.9%):
20,000 5.54%, 3/29/00....................................... 19,825
--------
Federal Farm Credit Bank (3.0%):
20,000 5.52%, 3/1/00........................................ 19,911
--------
Federal Home Loan Bank (2.9%):
20,000 5.55%, 2/25/00....................................... 19,926
--------
</TABLE>
<TABLE>
<CAPTION>
Principal Security Amortized
Amount Description Cost
--------- --------------------------------------------------------- ---------
<C> <S> <C>
U.S. Government Agencies, continued:
Freddie Mac (3.0%):
$20,000 5.56%, 2/24/00........................................... $ 19,929
--------
Total U.S. Government Agencies 79,591
--------
Commercial Paper--Domestic (65.7%):
Aircraft Leasing (3.0%):
20,000 International Lease Finance Corp., 5.80%, 2/18/00........ 19,945
--------
Automotive (5.9%):
20,000 Ford Motor Credit, 5.63%, 3/28/00........................ 19,823
20,000 General Motors Acceptance Corp., 5.98%, 2/22/00.......... 19,934
--------
39,757
--------
Banking (4.4%):
10,000 Bank of America, 5.83%, 4/24/00.......................... 9,866
20,000 Wells Fargo & Co., 6.00%, 2/3/00......................... 19,993
--------
29,859
--------
Beverages (2.9%):
20,000 Coca-Cola Co., 5.80%, 5/1/00............................. 19,710
--------
Chemicals (2.9%):
20,000 E. I. Dupont de Nemours & Co., 5.78%, 3/9/00............. 19,881
--------
Consumer Goods (4.4%):
10,200 Kimberly Clark Corp., 5.79%, 4/20/00..................... 10,070
20,000 Procter & Gamble Co., 5.65%, 3/24/00..................... 19,837
--------
29,907
--------
Diversified Manufacturing (2.9%):
20,000 Minnesota Mining & Manufacturing Co., 5.90%, 3/22/00..... 19,836
--------
Electric Utility (6.1%):
10,000 Georgia Power Co., 5.67%, 2/1/00......................... 10,001
10,000 Georgia Power Co., 5.70%, 2/9/00......................... 9,987
10,500 National Rural Utilities, 5.79%, 2/11/00................. 10,484
10,000 National Rural Utilities, 5.75%, 2/17/00................. 9,974
--------
40,446
--------
</TABLE>
Continued
-84-
<PAGE>
AMSOUTH
Prime Money Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands)
(Unaudited)
<TABLE>
<CAPTION>
Principal Security Amortized
Amount Description Cost
--------- --------------------------------------------------------- ---------
<C> <S> <C>
Commercial Paper--Domestic, continued:
Farm Equipment (1.5%):
$10,000 John Deere Capital Corp., 5.70%, 2/28/00................. $ 9,957
--------
Financial Services (17.0%):
20,000 American Express Credit Corp., 5.75%, 4/26/00............ 19,728
15,000 American General Finance Corp., 5.88%, 2/15/00........... 14,966
10,000 Associates Corp., 5.65%, 2/22/00......................... 9,967
10,000 Associates First Capital, 5.30%, 4/3/00.................. 9,909
20,000 General Electric Capital Corp., 5.38%, 4/4/00............ 19,804
20,000 IBM Credit Corp., 5.68%, 4/10/00......................... 19,782
20,000 USAA Capital Corp., 5.95%, 3/13/00....................... 19,865
--------
114,021
--------
Oil & Gas Exploration, Production, & Services (4.4%):
20,000 Chevron Corp., 5.75%, 3/7/00............................. 19,888
10,000 Equilon Enterprises, 5.75%, 2/8/00....................... 9,989
--------
29,877
--------
Pharmaceuticals (4.4%):
10,000 Glaxo Wellcome PLC, 5.87%, 2/8/00........................ 9,988
10,000 Glaxo Wellcome PLC, 5.82%, 2/9/00........................ 9,987
10,000 Pfizer, Inc., 5.63%, 3/17/00............................. 9,930
--------
29,905
--------
</TABLE>
<TABLE>
<CAPTION>
Principal Security Amortized
Amount Description Cost
--------- -------------------------------------------------------- ---------
<C> <S> <C>
Commercial Paper--Domestic, continued:
Telecommunications (5.9%):
$20,000 AT&T, 5.68%, 3/15/00.................................... $ 19,864
10,000 BellSouth Telecommunications, Inc., 5.64%, 2/11/00...... 9,984
10,000 Lucent Technologies, 4.97%, 2/10/00..................... 9,988
--------
39,836
--------
Total Commercial Paper--Domestic 442,937
--------
Repurchase Agreements (9.8%):
66,210 Salomon Smith Barney, 5.78%, dated 1/31/00, due 2/1/00
at maturity of $66,210, (Collateralized by $67,985
Freddie Mac, 5.75%-6.86%, 1/22/02-7/15/03--Market value
$67,538)............................................... 66,210
--------
Total Repurchase Agreements 66,210
--------
Total (Cost $675,981) (a) $675,981
========
</TABLE>
- --------
Percentages indicated are based on net assets of $674,125.
(a) Cost and value for federal income tax and financial reporting purposes are
the same.
* Variable rate security. Rate presented represents rate in effect at January
31, 2000. Date presented reflects next rate change date.
** Put and demand features exist allowing the Fund to require the repurchase of
the instrument within variable time periods including daily, weekly,
monthly, quarterly, or semianually.
PLC--Public Limited Co.
See notes to financial statements.
-85-
<PAGE>
AMSOUTH
Institutional Prime Obligations Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- --------------------------------------------------------- ---------
<C> <S> <C>
Commercial Paper--Foreign (2.3%):
Banking (2.3%):
$ 5,000 Toronto Dominion Holdings, 5.79%, 4/6/00................. $ 4,948
--------
Total Commercial Paper--Foreign 4,948
--------
U.S. Government Agencies (16.6%):
Fannie Mae (4.6%):
10,000 5.69%, 4/13/00........................................... 9,886
--------
Federal Farm Credit Bank (3.7%):
8,000 5.59%, 2/29/00........................................... 7,965
--------
Federal Home Loan Bank (4.6%):
10,000 5.65%, 4/19/00........................................... 9,878
--------
Freddie Mac (3.7%):
8,000 5.61%, 3/2/00............................................ 7,963
--------
Total U.S. Government Agencies 35,692
--------
Commercial Paper--Domestic (54.5%):
Aircraft Leasing (2.3%):
5,000 International Lease Finance, 5.67%, 2/7/00............... 4,995
--------
Automotive (4.6%):
5,000 Ford Motor Credit, 5.63%, 3/28/00........................ 4,956
5,000 General Motors Acceptance Corp., 5.98%, 2/22/00.......... 4,983
--------
9,939
--------
Banking (4.6%):
5,000 Bank of America, 5.83%, 4/24/00.......................... 4,933
5,000 Wells Fargo & Co., 5.94%, 2/11/00........................ 4,992
--------
9,925
--------
Beverages (2.7%):
6,000 Coca-Cola Co., 5.80%, 5/1/00............................. 5,913
--------
Brokerage Services (2.3%):
5,000 Goldman Sachs, 5.96%, 2/3/00............................. 4,998
--------
Chemicals (2.3%):
5,000 E. I. Dupont de Nemours & Co., 5.78%, 3/9/00............. 4,970
--------
</TABLE>
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- --------------------------------------------------------- ---------
<C> <S> <C>
Commercial Paper--Domestic, continued:
Consumer Goods (4.6%):
$ 5,000 Kimberly Clark Corp., 5.79%, 4/20/00..................... $ 4,936
5,000 Procter & Gamble Co., 5.65%, 3/24/00..................... 4,960
--------
9,896
--------
Diversified Manufacturing (2.3%):
5,000 Minnesota Mining & Manufacturing Co., 5.90%, 3/22/00..... 4,959
--------
Electric Utility (2.3%):
5,000 National Rural Utilities, 5.92%, 3/20/00................. 4,961
--------
Financial Services (14.4%):
6,000 American Express Credit Corp., 5.75%, 4/26/00............ 5,918
5,000 American General Finance, 5.84%, 2/17/00................. 4,987
5,000 Associates Corp., 5.65%, 2/15/00......................... 4,989
5,000 GE Capital Corp., 6.04%, 2/1/00.......................... 5,000
5,000 IBM Credit Corp., 5.68%, 4/10/00......................... 4,946
5,000 USAA Capital Corp., 5.95%, 3/13/00....................... 4,966
--------
30,806
--------
Food Products & Services (2.3%):
5,000 Campbell Soup, Inc., 5.92%, 2/24/00...................... 4,981
--------
Oil & Gas Exploration, Production, & Services (2.3%):
5,000 Chevron Corp., 5.75%, 3/7/00............................. 4,972
--------
Pharmaceuticals (2.3%):
5,000 Glaxo Wellcome PLC, 5.82%, 2/9/00........................ 4,993
--------
Telecommunications (5.2%):
5,000 AT&T, 5.68%, 3/15/00..................................... 4,966
6,000 BellSouth Corp., 5.75%, 4/4/00........................... 5,940
--------
10,906
--------
Total Commercial Paper--Domestic 117,214
--------
Investment Companies (0.0%):
18,867 AmSouth Prime Money Market Fund.......................... 18
15,621 AmSouth U.S. Treasury Money Market Fund.................. 16
--------
Total Investment Companies 34
--------
</TABLE>
Continued
-86-
<PAGE>
AMSOUTH
Institutional Prime Obligations Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- ------------------------------------------------------- ---------
<C> <S> <C>
Repurchase Agreements (27.1%):
$29,217 C.S. First Boston Corp., 5.77%, dated 1/31/00, due
2/1/00, proceeds at maturity of $29,217,
(Collateralized by $30,243, Fannie Mae, 0.00%, 3/2/00
and 4/26/00--Market value $30,243).................... $ 29,217
29,216 Salomon Smith Barney, 5.78%, dated 1/31/00, due 2/1/00,
proceeds at maturity of $29,216, (Collateralized by
$31,770 Fannie Mae, 5.75%, 2/15/08--Market value
$29,801).............................................. 29,216
--------
Total Repurchase Agreements 58,433
--------
Total (Cost $216,321) (a) $216,321
========
</TABLE>
- --------
Percentages indicated are based on net assets of $215,249.
(a) Cost and value for federal income tax and financial reporting purposes are
the same.
PLC--Public Limited Co.
See notes to financial statements.
-87-
<PAGE>
AMSOUTH
Tax-Exempt Money Market Fund
Schedule of Portfolio Investments
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- -------------------------------------------------------- ---------
<C> <S> <C>
Demand Notes (59.1%):
Alabama (17.5%):
$1,500 Alabama Housing Finance Authority, Huntsville, Series B,
3.29%*, 2/2/00**, LOC: FNMA............................ $ 1,500
1,000 Alabama Special Care Facility, 3.15%*, 2/2/00**, SPA-
Barclays Bank PLC...................................... 1,000
2,000 Alabama State Housing Finance Authority, Multi Family
Housing Revenue, Rime VLG Hoover Project, Series A,
3.29%*, 2/2/00**, LOC: FNMA............................ 2,000
1,000 Bon Air, Industrial Development Board, Avondale Mills,
3.29%*, 2/2/00**, LOC: Trust Co. Bank.................. 1,000
2,000 City of Birmingham, Series 1992A, GO, 3.19%*, 2/2/00**,
LOC: Regions Bank...................................... 2,000
350 Columbia, Industrial Development Board, PCR, Alabama
Power Co. Project, Series D, 3.63%*, 2/1/00**.......... 350
3,000 Homewood Education Building Authority Revenue,
Educational Facilities Samford University, 3.58%*,
2/1/00**, LOC: AMBAC................................... 3,000
1,000 Jacksonville, Industrial Development Board, Parker
Hannifin Corp., 3.29%*, 2/3/00**....................... 1,000
2,000 Mobile, Industrial Development Board, PCR, Alabama Power
Co. Project, Series B, 3.24%*, 2/1/00**................ 2,000
1,200 North Alabama, Environmental Improvement Authority, PCR,
Reynolds Metals Co., 3.68%*, 2/1/00**, LOC: Bank of
Nova Scotia............................................ 1,200
1,000 Port City, Medical Clinic Board, Infirmary Health
Systems, Series B, 3.24%*, 2/3/00**, LOC: AMBAC........ 1,000
665 Stevenson, Industrial Development Board, Environmental
Improvement Revenue, Mead Corp. Project, 3.63%*,
2/1/00**, LOC: Credit Suisse........................... 665
-------
16,715
-------
Florida (3.4%):
1,515 Florida Housing Finance Agency, Multifamily Housing
Beneva, 3.22%*, 2/3/00**............................... 1,515
1,680 Laurel Club, Certificates of Participation, Series 96A,
3.34%*, 2/3/00**, LOC: Swiss Bank Corp................. 1,680
-------
3,195
-------
Georgia (1.1%):
1,000 Cobb County, Post Mill Project, 3.29%*, 2/2/00**........ 1,000
-------
Illinois (4.4%):
4,200 Illinois Health Facility Authority Revenue, Swedish
Covenant Series A, 3.24%*, 2/2/00**.................... 4,200
-------
Michigan (0.9%):
900 Delta County, Economic Development Corp., Environmental
Improvement Revenue, 3.59%*, 2/1/00**, LOC: Bank of
Nova Scotia............................................ 900
-------
Nevada (1.2%):
1,100 Reno Hospital Revenue, 3.69%*, 2/1/00**................. 1,100
-------
New Jersey (1.3%):
1,200 New Jersey Economic Development Authority Pollution
Control Revenue, 2.60%*, 2/2/00**, LOC: MBIA........... 1,200
-------
New York (1.7%):
1,600 New York, GO, Series D, 3.04%*, 2/2/00**, LOC: FGIC..... 1,600
-------
North Carolina (1.6%):
1,500 Wake County Industrial Facilities & Pollution Control
Authority Revenue, Carolina P & L Co. Project B,
3.65%*, 2/1/00**, LOC: Bank of New York................ 1,500
-------
</TABLE>
Continued
-88-
<PAGE>
AMSOUTH
Tax-Exempt Money Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- -------------------------------------------------------- ---------
<C> <S> <C>
Demand Notes, continued:
Oregon (2.1%):
$2,000 Oregon State, GO, Series 73 E, 3.19%*, 2/2/00**, LOC:
SPA-Morgan Guaranty.................................... $ 2,000
-------
Pennsylvania (4.2%):
4,000 Delaware County, Industrial Development Authority,
Airport Authority Facilities Revenue, Parcel Service
Project, 3.64%*, 2/1/00**.............................. 4,000
-------
Tennessee (2.1%):
2,000 Shelby County, Health Education & Housing Facilities
Board Revenue, 3.23%*, 2/2/00**, LOC:
Credit Suisse First Boston............................. 2,000
-------
Texas (8.4%):
2,000 Grapevine Industrial Development Corp., American
Airlines-A2, 3.69%*, 2/1/00**, LOC: Morgan Guaranty.... 2,000
1,000 Harris County Health Facilities, 3.70%*, 2/1/00**....... 1,000
5,000 Hunt County, Industrial Development Corp., Trico
Industry Inc. Project, 3.29%*, 2/1/00**, LOC:
Amro Bank N.V. ........................................ 5,000
-------
8,000
-------
Virginia (2.4%):
1,560 Fairfax County, Industrial Development Authority
Revenue, Fairfax Hospital-A, 3.12%*, 2/2/00**.......... 1,560
700 Fairfax Hospital-D, Industrial Development Authority
Revenue, 3.12%*, 2/2/00**.............................. 700
-------
2,260
-------
Washington (0.6%):
600 Washington State, Health Care Facilities Authority
Revenue, 3.69%*, 2/1/00**.............................. 600
-------
Wisconsin (5.3%):
4,000 Wisconsin State Health & Education Facilities Authority
Revenue, Series A, 3.69%*, 2/2/00**, LOC: MBIA......... 4,000
1,050 Wisconsin State Health & Education Facilities Authority
Revenue, Series B, 3.69%*, 2/2/00**, LOC: MBIA......... 1,050
-------
5,050
-------
Wyoming (0.9%):
900 Lincoln County PCR, Series C, Exxon Co. Project, 3.65%*,
2/1/00................................................. 900
-------
Total Demand Notes 56,220
-------
Tax Free Commercial Paper (3.2%):
New Jersey (3.2%):
3,000 New Jersey State Regional Agencies, 3.65%, 2/2/00, LOC:
Bank of Nova Scotia.................................... 3,000
-------
Total Tax Free Commercial Paper 3,000
-------
</TABLE>
Continued
-89-
<PAGE>
AMSOUTH
Tax-Exempt Money Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- -------------------------------------------------------- ---------
<C> <S> <C>
Municipal Bonds (28.8%):
Alabama (1.3%):
$ 500 Homewood, GO, Warrants, 4.00%, 8/1/00................... $ 500
600 Huntsville, Warrants, Series D, GO, 4.00%, 11/1/00...... 600
100 Judicial Building Authority Revenue, Judicial Facilities
Project, 7.25%, 1/1/14, Prerefunded 7/1/00 @ 102,
LOC: AMBAC............................................. 103
-------
1,203
-------
Florida (0.8%):
250 Dade County, GO, 6.60%, 6/1/00, LOC: AMBAC.............. 252
500 Orlando & Orange County Expressway Revenue, Jr. Lien,
6.50%, 7/1/20, Prerefunded 7/1/00 @ 102, LOC: FGIC..... 516
-------
768
-------
Georgia (2.0%):
250 Burke County, Development Authority, PCR, 4.37%,
11/1/00, LOC: AMBAC.................................... 251
1,200 Doughterty County School District Sales Tax, GO, 4.50%,
9/1/00................................................. 1,204
450 Georgia State, GO, Series A, 5.80%, 3/1/00.............. 451
-------
1,906
-------
Kentucky (1.7%):
385 Frankfort Electric & Water Pollution Board Revenue,
5.10%, 12/1/00, LOC: AMBAC............................. 388
1,000 Louisville & Jefferson County Sewer District, 7.35%,
5/1/19, Prerefunded 5/1/00 @ 102, LOC: FGIC............ 1,029
190 Northern Kentucky University Revenue, Series K, 4.00%,
5/1/00, LOC: FGIC...................................... 190
-------
1,607
-------
Maine (0.3%):
260 Regional Waste System Industry, Solid Waste Recovery
Revenue, Series P, 5.25%, 7/1/00....................... 261
-------
Massachusetts (1.6%):
500 Massachusetts Bay Transportation Authority, Series A,
GO, 3.50%, 2/25/00..................................... 500
1,000 Sommerville, GO, 3.50%, 5/18/00......................... 1,000
-------
1,500
-------
Nebraska (2.1%):
1,000 Lincoln Electric System Revenue, Series A, 4.40%,
9/1/00................................................. 1,003
1,000 Nebraska Public Power District Revenue, Nuclear
Facilities, 5.20%, 7/1/00.............................. 1,005
-------
2,008
-------
Nevada (1.5%):
200 Clark Co., GO, Series B, 4.00%, 12/1/00................. 200
1,000 Clark County School District, GO, 7.50%, 5/1/04,
Prerefunded 5/1/00 @ 102, LOC: FGIC.................... 1,029
235 Las Vegas, GO, 6.10%, 10/1/00........................... 238
-------
1,467
-------
</TABLE>
Continued
-90-
<PAGE>
AMSOUTH
Tax-Exempt Money Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- -------------------------------------------------------- ---------
<C> <S> <C>
Municipal Bonds, continued:
New York (0.4%):
$ 400 New York State Medical Care Facilities Finance Agency
Revenue, Series A, 7.70%, 2/15/25, Prerefunded 8/15/00
@ 102, LOC: FHA........................................ $ 416
-------
North Carolina (0.8%):
250 Stokes County, 4.80%, 6/1/00, LOC: FGIC................. 251
500 University System Pool Revenue, Series B, 4.25%,
10/1/00, LOC: MBIA..................................... 501
-------
752
-------
Ohio (1.1%):
1,000 Ohio State Higher Education Facility, Ohio Northern
University Project, 7.30%, 5/15/10, Prerefunded 5/15/00
@ 100, LOC: FGIC....................................... 1,013
-------
Oklahoma (0.5%):
500 Oklahoma City, GO, 4.85%, 8/1/00........................ 502
-------
Pennsylvania (0.6%):
600 Philadelphia School District, 4.00%, 6/30/00, LOC:
Mellon Bank............................................ 601
-------
South Carolina (1.2%):
500 Greenville County School District, GO, 4.13%, 3/1/00,
LOC:................................................... 500
665 South Carolina State Capital Improvement, Series B,
5.60%, 3/1/00.......................................... 666
-------
1,166
-------
Tennessee (1.9%):
500 Chattanooga Health Educational & Housing Facilities
Board Revenue, Catholic Health Initiatives-A,
5.00%, 12/1/00......................................... 503
1,000 Shelby County, Series A, GO, 6.25%, 12/1/10, Prerefunded
12/1/00 @ 102.......................................... 1,038
250 Wilson County, GO, 4.25%, 3/1/00........................ 250
-------
1,791
-------
Texas (2.4%):
400 Barbers Hill Independent School, GO, 6.00%, 2/15/06,
Prerefunded 2/15/00 @ 100, LOC: MBIA................... 400
500 Dallas Denton & Collin Co., GO, 4.50%, 2/15/00.......... 500
330 Tarrant County, GO, 4.75%, 7/15/00...................... 331
1,000 Texas State Public Finance Authority, GO, 6.38%,
10/1/03, Prerefunded 10/1/00 @ 100..................... 1,017
-------
2,248
-------
Washington (1.1%):
1,000 Washington State, Series R-92-A, GO, 6.10%, 9/1/00...... 1,012
-------
West Virginia (1.1%):
1,000 West Virginia State, State Road, 3.50%, 6/1/00.......... 1,000
-------
</TABLE>
Continued
-91-
<PAGE>
AMSOUTH
Tax-Exempt Money Market Fund
Schedule of Portfolio Investments, Continued
January 31, 2000
(Amounts in thousands, except shares)
(Unaudited)
<TABLE>
<CAPTION>
Shares
or
Principal Security Amortized
Amount Description Cost
--------- -------------------------------------------------------- ---------
<C> <S> <C>
Municipal Bonds, continued:
Wisconsin (6.4%):
$5,000 Milwaukee Metropolitan Sewage District Series A, GO,
4.25%, 10/1/00......................................... $ 5,010
1,000 Oak Creek Waterworks System Revenue, 3.90%, 9/1/00...... 1,000
195 Wisconsin State Clean Water Revenue, 4.00%, 6/1/00...... 195
-------
6,205
-------
Total Municipal Bonds 27,426
-------
Investment Companies (8.5%):
4,535,868 Federated Tax-Free Fund................................. 4,536
3,565,135 Goldman Sachs Tax-Free Fund............................. 3,565
-------
Total Investment Companies 8,101
-------
Total (Cost $94,747) (a) $94,747
=======
</TABLE>
- --------
Percentages indicated are based on net assets of $95,133.
(a) Cost for federal income tax and financial reporting purposes are the same.
* Variable rate security. Rate presented represents rate in effect at January
31, 1999. Date presented reflects next rate change date.
** Put and demand features exist allowing the fund to require the repurchase
of the instrument within variable time periods including daily, weekly,
monthly, and semiannually.
AMBAC--Insured by AMBAC Indemnity Corp.
FGIC--Insured by Financial Guaranty Insurance Corp.
FNMA--Insured by Federal National Mortgage Assoc.
FHA--Insured by Federal Housing Administration
GO--General Obligation
LOC--Letter of Credit
MBIA--Insured by Municipal Bond Insurance Assoc.
PCR--Pollution Control Revenue
SCSDE--South Carolina School District Enhancement.
SPA--Standby Purchase Agreement
See notes to financial statements.
-92-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements
January 31, 2000
(Unaudited)
1. Organization:
AmSouth Funds (formerly, AmSouth Mutual Funds) (the "Trust") was organized on
October 1, 1987, and is registered under the Investment Company Act of 1940,
as amended ("the 1940 Act"), as a diversified, open-end investment company
established as a Massachusetts business trust.
The Trust is authorized to issue an unlimited number of shares without par
value. The Trust currently offers shares of the AmSouth Equity Income Fund
("Equity Income"), the AmSouth Value Fund ("Value"), formerly the AmSouth
Equity Fund, the AmSouth Enhanced Market Fund ("Enhanced Market"), the
AmSouth Growth Fund ("Growth"), formerly the AmSouth Capital Growth Fund, the
AmSouth Select Equity Fund ("Select Equity"), the AmSouth Regional Equity
Fund ("Regional Equity"), the AmSouth Small Cap Fund ("Small Cap"), the
AmSouth Balanced Fund ("Balanced"), the AmSouth Limited Term Bond Fund
("Limited Term Bond"), formerly the AmSouth Limited Maturity Fund, the
AmSouth Government Income Fund ("Government Income"), the AmSouth Bond Fund
("Bond"), the AmSouth Municipal Bond Fund ("Municipal Bond"), and the AmSouth
Florida Tax-Exempt Fund ("Florida Tax-Exempt"), formerly the AmSouth Florida
Tax-Free Fund (collectively, "the variable net asset value funds"), the
AmSouth U.S. Treasury Money Market Fund ("U.S. Treasury"), formerly the
AmSouth U.S. Treasury Fund, the AmSouth Prime Money Market Fund ("Prime Money
Market"), formerly the AmSouth Prime Obligations Fund, the AmSouth
Institutional Prime Obligations Fund ("Institutional Prime Obligations"), and
the AmSouth Tax-Exempt Money Market Fund ("Tax-Exempt"), formerly the AmSouth
Tax-Exempt Fund (collectively, "the money market funds") (collectively, "the
Funds" and individually "a Fund").
The investment objectives of the Funds are as follows:
Equity Income Fund - seeks above average income and capital appreciation by
investing primarily in a diversified portfolio of common stocks, preferred
stocks, and securities that are convertible into common stocks, such as
convertible bonds and convertible preferred stock.
Value Fund - seeks capital growth by investing primarily in diversified
portfolio of common stocks and securities convertible into common stock, such
as convertible bonds and convertible preferred stock.
Enhanced Market Fund - seeks long-term growth of capital by investing
primarily in a diversified portfolio of common stock and securities
convertible into common stocks such as convertible bonds and convertible
preferred stock.
Growth Fund - seeks long-term capital appreciation by investing in a
diversified portfolio of common stocks and securities convertible into common
stocks such as convertible bonds and convertible preferred stocks.
Select Equity Fund - seeks long-term growth of capital by investing primarily
in common stocks and securities convertible into common stocks such as
convertible bonds and convertible preferred stocks.
Continued
-93-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
Regional Equity Fund - seeks growth of capital by investing primarily in a
diversified portfolio of common stock and securities convertible into common
stock, such as convertible bonds and convertible preferred stock.
Small Cap Fund - seeks capital appreciation by investing in a diversified
portfolio of securities consisting of common stocks and securities
convertible into common stocks such as convertible bonds and convertible
preferred stocks.
Balanced Fund - seeks to obtain long-term capital growth and to produce a
reasonable amount of current income through a moderately aggressive
investment strategy.
Limited Term Bond Fund - seeks current income, consistent with the
preservation of capital.
Government Income Fund - seeks current income consistent with the
preservation of capital.
Bond Fund - seeks current income consistent with the preservation of capital.
Municipal Bond Fund - seeks to produce as high a level of current interest
income exempt from federal income taxes as is consistent with the
preservation of capital.
Florida Tax-Exempt Fund - seeks to produce as high a level of current
interest income exempt from federal income taxes and Florida intangible taxes
as is consistent with the preservation of capital.
U.S. Treasury Money Market Fund - seeks current income with liquidity and
stability of principal.
Prime Money Market Fund - seeks current income with liquidity and stability
of principal.
Tax-Exempt Money Market Fund - seeks to produce as high a level of current
interest income exempt from federal income taxes as is consistent with the
preservation of capital and relative stability of principal.
Institutional Prime Obligations Fund - seeks current income with liquidity
and stability of principal.
2. Significant Accounting Policies:
The following is a summary of significant accounting policies followed by the
Funds in the preparation of their financial statements. These 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.
Continued
-94-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
Securities Valuation:
Investments of the money market funds are valued at either amortized cost,
which approximates market value, or at original cost which, combined with
accrued interest, approximates market value. Under the amortized cost
method, discount or premium is amortized on a constant basis to the
maturity of the security.
Investments in common stocks, corporate bonds, municipal bonds, commercial
paper and U.S. Government securities of the variable net asset value funds
are valued on the basis of valuations provided by dealers or an independent
pricing service approved by the Board of Trustees. Investments in
investment companies are valued at their net asset values as reported by
such companies. The differences between cost and market values of such
investments are reflected as unrealized appreciation or depreciation.
Securities Transactions and Related Income:
Securities transactions are accounted for on the date the security is
purchased or sold (trade date). Interest income is recognized on the
accrual basis and includes, where applicable, the pro rata amortization of
premium or discount. Dividend income is recorded on the ex-dividend date.
Realized gains or losses from sales of securities are determined by
comparing the identified cost of the security lot sold with the net sales
proceeds.
Financial Futures Contracts:
The Enhanced Market Fund and the Select Equity Fund may invest in financial
futures contracts for the purpose of hedging their existing portfolio
securities, or securties that they intend to purchase, against fluctuations
in fair value caused by changes in prevailing market interest rates. Upon
entering into a financial futures contract, a Fund is required to pledge to
the broker an amount of cash and/or other assets equal to a certain
percentage of the contract amount (initial margin deposit). Subsequent
payments, known as "variation margin," are made or received by a Fund each
day, depending on the daily fluctuations in the fair value of the
underlying security. A Fund recognizes a gain or loss equal to the daily
variation margin. Should market conditions move unexpectedly, the Fund may
not achieve the anticipated benefits of the financial futures contracts and
may realize a loss. The use of futures transactions involves the risk of
imperfect correlation in movements in the price of futures contracts,
interest rates, and the underlying hedged assets.
Repurchase Agreements:
The Funds may acquire repurchase agreements from member banks of the
Federal Deposit Insurance Corporation and from registered broker/dealers
which AmSouth Bank ("AmSouth"), deems creditworthy under guidelines
approved by the Board of Trustees, subject to the seller's agreement to
repurchase such
Continued
-95-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
securities at a mutually agreed-upon date and price. The repurchase price
generally equals the price paid by the Funds plus interest negotiated on
the basis of current short-term rates, which may be more or less than the
rate on the underlying portfolio securities. The seller, under a repurchase
agreement, is required to maintain the value of collateral held pursuant to
the agreement at not less than the repurchase price (including accrued
interest). Securities subject to repurchase agreements are held by the
Funds' custodian or another qualified custodian or in the Federal
Reserve/Treasury book-entry system.
Dividends to Shareholders:
Dividends from net investment income are declared daily and paid monthly
for the money market funds. Dividends from net investment income are
declared and paid monthly for the variable net asset value funds.
Distributable net realized gains, if any, are declared and distributed at
least annually.
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. These "book/tax" differences are either considered temporary or
permanent in nature. 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 dividends in
excess of net investment income or distributions in excess of net realized
gains. To the extent they exceed net investment income and net realized
gains for tax purposes, they are reported as distributions of capital.
Federal Income Taxes:
It is the policy of each Fund 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 Internal
Revenue Code, and to make distributions of net investment income and net
realized capital gains sufficient to relieve it from all, or substantially
all, federal income taxes.
Other:
Expenses that are directly related to one of the Funds are charged directly
to that Fund. Other operating expenses for the Trust are prorated to the
Funds on the basis of relative net assets. Fees paid under a Fund's
shareholder servicing or distribution plans are borne by the specific class
of shares to which they apply.
Unamortized Organizational Costs:
Costs incurred by the Small Cap Fund in connection with its organization
and registration of shares have been deferred and are amortized using the
straight-line method over a period of two years from the commencement of
the public offering of shares of the Fund.
Continued
-96-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
3. Purchases and Sales of Securities:
Purchases and sales of securities (excluding short-term securities) for the
six months period ended January 31, 2000 were as follows (amounts in
thousands):
<TABLE>
<CAPTION>
Purchases Sales
--------- -------
<S> <C> <C>
Equity Income Fund........................................ $39,533 $26,009
Value Fund................................................ 85,218 263,916
Enhanced Market Fund...................................... 36,353 8,978
Growth Fund............................................... 22,188 15,426
Select Equity Fund........................................ 2,236 10,888
Regional Equity Fund...................................... 10,456 43,045
Small Cap Fund............................................ 39,692 31,245
Balanced Fund............................................. 40,699 93,239
Limited Term Bond Fund.................................... 20,635 29,777
Government Income Fund.................................... 1,283 1,583
Bond Fund................................................. 67,354 57,066
Municipal Bond Fund....................................... 35,927 6,360
Florida Tax-Exempt Fund................................... 3,310 7,834
</TABLE>
4. Capital Share Transactions:
The Trust has issued three classes of Fund shares in each of the Equity
Income Fund, the Value Fund, the Enhanced Market Fund, the Growth Fund, the
Select Equity Fund, the Regional Equity Fund, the Small Cap Fund, the
Balanced Fund, the Limited Term Bond Fund, the Bond Fund, the Municipal Bond
Fund, the Florida Tax-Exempt Fund, and the Prime Money Market Fund: Class A
Shares (formerly Classic Shares), Trust Shares (formerly Premier Shares), and
Class B Shares. The Trust has issued two classes of Fund shares in each of
the Government Income Fund, the U.S. Treasury Fund, and the Tax-Exempt Fund:
Class A Shares and Trust Shares. The Trust has issued three classes of fund
shares in the Institutional Prime Obligations Fund: Class I, Class II and
Class III. Each class of shares in a Fund has identical rights and privileges
except with respect to fees paid under shareholder servicing or distribution
plans, expenses allocable exclusively to each class of shares, voting rights
on matters affecting a single class of shares, and the exchange privilege of
each class of shares.
Transactions in capital shares for the Funds for the six month period ended
January 31, 2000 and the year ended July 31, 1999, respectively, were as
follows (amounts in thousands):
Continued
-97-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
<TABLE>
<CAPTION>
Equity Income Fund Value Fund (a) Enhanced Market Fund Growth Fund (b)
-------------------- --------------------- -------------------- --------------------
Six Months Year Six Months Year Six Months Period Six Months Year
Ended Ended Ended Ended Ended Ended Ended Ended
January 31, July 31, January 31, July 31, January 31, July 31, January 31, July 31,
2000 1999 2000 1999 2000 1999 (c) 2000 1999
----------- -------- ----------- --------- ----------- -------- ----------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares (d):
Proceeds from shares
issued................ $ 2,626 $ 1,858 $ 5,244 $ 57,426 $ 9,704 $19,464 $ 2,660 $ 7,168
Dividends reinvested... 1,194 790 8,603 6,662 600 103 431 65
Cost of shares
redeemed.............. (2,285) (10,017) (14,854) (68,598) (2,864) (8,488) (3,160) (4,647)
------- -------- --------- --------- ------- ------- ------- -------
Change in net assets
from Class A Share
transactions.......... $ 1,535 $ (7,369) $ (1,007) $ (4,510) $ 7,440 $11,079 $ (69) $ 2,586
======= ======== ========= ========= ======= ======= ======= =======
Trust Shares (e):
Proceeds from shares
issued................ $15,212 $ 6,156 $ 65,368 $ 136,777 $16,948 $14,504 (f) $14,297 $16,038
Dividends reinvested... 324 135 25,182 17,681 437 32 (f) 348 4
Cost of shares
redeemed.............. (2,360) (4,389) (168,186) (173,589) (3,748) (749)(f) (7,572) (2,206)
------- -------- --------- --------- ------- ------- ------- -------
Change in net assets
from Trust Share
transactions.......... $13,176 $ 1,902 $ (77,636) $ (19,131) $13,637 $13,787 $ 7,073 $13,836
======= ======== ========= ========= ======= ======= ======= =======
Class B Shares:
Proceeds from shares
issued................ $ 2,151 $ 1,204 $ 970 $ 4,945 $ 7,285 $ 6,257 (g) $ 1,401 $ 3,933
Dividends reinvested... 480 230 1,554 944 298 5 (g) 299 31
Cost of shares
redeemed.............. (904) (1,990) (2,108) (1,866) (704) (343)(g) (876) (839)
------- -------- --------- --------- ------- ------- ------- -------
Change in net assets
from Class B Share
transactions.......... $ 1,727 $ (556) $ 416 $ 4,023 $ 6,879 $ 5,919 $ 824 $ 3,125
======= ======== ========= ========= ======= ======= ======= =======
SHARE TRANSACTIONS:
Class A Shares (d):
Issued................. 188 153 219 2,355 686 1,655 180 538
Reinvested............. 90 67 425 296 42 8 29 5
Redeemed............... (172) (821) (667) (2,824) (203) (627) (219) (380)
------- -------- --------- --------- ------- ------- ------- -------
Change in Class A
Shares................ 106 (601) (23) (173) 525 1,036 (10) 163
======= ======== ========= ========= ======= ======= ======= =======
Trust Shares (e):
Issued................. 1,100 501 3,002 5,779 1,189 1,081 (f) 958 1,196
Reinvested............. 24 11 1,243 787 21 2 (f) 23 --
Redeemed............... (170) (360) (7,645) (7,105) (257) (53)(f) (506) (159)
------- -------- --------- --------- ------- ------- ------- -------
Change in Trust Shares. 954 152 (3,400) (539) 953 1,030 475 1,037
======= ======== ========= ========= ======= ======= ======= =======
Class B Shares:
Issued................. 155 101 42 205 513 468 (g) 97 299
Reinvested............. 36 20 77 42 21 -- (g) 21 3
Redeemed............... (67) (166) (94) (77) (49) (25)(g) (61) (64)
------- -------- --------- --------- ------- ------- ------- -------
Change in Class B
Shares................ 124 (45) 25 170 485 443 57 238
======= ======== ========= ========= ======= ======= ======= =======
</TABLE>
- --------
(a) Formerly the Equity Fund.
(b) Formerly the Capital Growth Fund.
(c) For the period from September 1, 1998 (commencement of operations) through
July 31, 1999.
(d) Formerly Classic Shares.
(e) Formerly Premier Shares.
(f) For the period from December 11, 1998 (commencement of operations) through
July 31, 1999.
(g) For the period from September 2, 1998 (commencement of operations) through
July 31, 1999.
Continued
-98-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
<TABLE>
<CAPTION>
Select Equity Fund Regional Equity Fund Small Cap Fund Balanced Fund
-------------------- -------------------- -------------------- --------------------
Six Months Period Six Months Year Six Months Year Six Months Year
Ended Ended Ended Ended Ended Ended Ended Ended
January 31, July 31, January 31, July 31, January 31, July 31, January 31, July 31,
2000 1999 (a) 2000 1999 2000 1999 2000 1999
----------- -------- ----------- -------- ----------- -------- ----------- --------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares (b):
Proceeds from shares
issued................ $ 327 $14,740 $ 97 $ 795 $ 240 $ 657 $ 864 $ 3,921
Dividends reinvested... 453 67 3,260 2,115 -- -- 4,786 4,523
Cost of shares
redeemed.............. (5,426) (6,553) (7,765) (18,502) (250) (835) (10,111) (11,411)
------- ------- -------- -------- ------- ------- -------- --------
Change in net assets
from Class A Share
transactions.......... $(4,646) $ 8,254 $ (4,408) $(15,592) $ (10) $ (178) $ (4,461) $ (2,967)
======= ======= ======== ======== ======= ======= ======== ========
Trust Shares (c):
Proceeds from shares
issued................ $ 901 $11,128 (d) $ 8,879 $ 9,008 $13,257 $17,146 $ 37,081 $ 57,092
Dividends reinvested... 496 25 (d) 2,900 1,509 -- -- 18,712 18,818
Cost of shares
redeemed.............. (3,859) (708)(d) (26,986) (30,812) (2,816) (1,058) (78,513) (82,279)
------- ------- -------- -------- ------- ------- -------- --------
Change in net assets
from Trust Share
transactions.......... $(2,462) $10,445 $(15,207) $(20,295) $10,441 $16,088 $(22,720) $ (6,369)
======= ======= ======== ======== ======= ======= ======== ========
Class B Shares:
Proceeds from shares
issued................ $ 91 $ 2,006 (e) $ 11 $ 178 $ 26 $ 474 $ 1,516 $ 5,756
Dividends reinvested... 111 2 (e) 147 110 -- -- 1,309 680
Cost of shares
redeemed.............. (751) (63)(e) (397) (998) (216) (333) (2,029) (1,533)
------- ------- -------- -------- ------- ------- -------- --------
Change in net assets
from Class B Share
transactions.......... $ (549) $ 1,945 $ (239) $ (710) $ (190) $ 141 $ 796 $ 4,903
======= ======= ======== ======== ======= ======= ======== ========
SHARE TRANSACTIONS:
Class A Shares (b):
Issued................. 32 1,391 5 33 25 81 62 261
Reinvested............. 47 6 254 90 -- -- 379 314
Redeemed............... (515) (534) (416) (781) (28) (103) (729) (763)
------- ------- -------- -------- ------- ------- -------- --------
Change in Class A
Shares................ (436) 863 (157) (658) (3) (22) (288) (188)
======= ======= ======== ======== ======= ======= ======== ========
Trust Shares (c):
Issued................. 80 933 (d) 637 379 1,311 2,159 2,802 3,865
Reinvested............. 52 2 (d) 225 64 -- -- 1,479 1,305
Redeemed............... (372) (58)(d) (1,579) (1,301) (299) (132) (5,911) (5,514)
------- ------- -------- -------- ------- ------- -------- --------
Change in Trust Shares. (240) 877 (717) (858) 1,012 2,027 (1,630) (344)
======= ======= ======== ======== ======= ======= ======== ========
Class B Shares:
Issued................. 8 168 (e) 1 7 3 60 109 385
Reinvested............. 12 -- 12 5 -- -- 104 47
Redeemed............... (74) (5)(e) (23) (43) (25) (44) (150) (102)
------- ------- -------- -------- ------- ------- -------- --------
Change in Class B
Shares................ (54) 163 (10) (31) (22) 16 63 330
======= ======= ======== ======== ======= ======= ======== ========
</TABLE>
- --------
(a) For the period from September 1, 1998 (commencement of operations) through
July 31, 1999.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from December 3, 1998 (commencement of operations) through
July 31, 1999.
(e) For the period from September 2, 1998 (commencement of operations) through
July 31, 1999.
Continued
-99-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
<TABLE>
<CAPTION>
Limited Term Government
Bond Fund (a) Income Fund Bond Fund
-------------------- -------------------- --------------------
Six Months Year Six Months Year Six Months Year
Ended Ended Ended Ended Ended Ended
January 31, July 31, January 31, July 31, January 31, July 31,
2000 1999 2000 1999 2000 1999
----------- -------- ----------- -------- ----------- --------
<S> <C> <C> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares (b):
Proceeds from shares
issued................ $ 352 $ 2,211 $ 33 $ 1,349 $ 806 $ 3,224
Dividends reinvested... 77 159 78 240 165 406
Cost of shares
redeemed.............. (891) (3,166) (1,565) (4,187) (930) (3,293)
-------- -------- ------- ------- -------- --------
Change in net assets
from Class A Share
transactions.......... $ (462) $ (796) $(1,454) $(2,598) $ 41 $ 337
======== ======== ======= ======= ======== ========
Trust Shares (c):
Proceeds from shares
issued................ $ 4,782 $ 27,407 $ 985 $ 1,287 $ 45,829 $116,935
Dividends reinvested... 295 534 35 -- 2,259 5,091
Cost of shares
redeemed.............. (15,541) (23,812) (74) (580) (38,911) (55,310)
-------- -------- ------- ------- -------- --------
Change in net assets
from Trust Share
transactions.......... $(10,464) $ 4,129 $ 946 $ 707 $ 9,177 $ 66,716
======== ======== ======= ======= ======== ========
Class B Shares:
Proceeds from shares
issued................ $ 922 $ 1,706 (d) $ -- $ -- $ 677 $ 2,727
Dividends reinvested... 48 16 (d) -- -- 39 64
Cost of shares
redeemed.............. (510) (102)(d) -- -- (755) (587)
-------- -------- ------- ------- -------- --------
Change in net assets
from Class B Share
transactions.......... $ 460 $ 1,620 $ -- $ -- $ (39) $ 2,204
======== ======== ======= ======= ======== ========
SHARE TRANSACTIONS:
Class A Shares (b):
Issued................. 34 211 3 135 76 289
Reinvested............. 8 15 9 24 16 36
Redeemed............... (88) (300) (163) (423) (89) (296)
-------- -------- ------- ------- -------- --------
Change in Class A
Shares................ (46) (74) (151) (264) 3 29
======== ======== ======= ======= ======== ========
Trust Shares (c):
Issued................. 470 2,612 103 131 4,388 10,625
Reinvested............. 28 51 3 -- 216 458
Redeemed............... (1,527) (2,269) (8) (58) (3,714) (4,972)
-------- -------- ------- ------- -------- --------
Change in Trust Shares. (1,029) 394 98 73 890 6,111
======== ======== ======= ======= ======== ========
Class B Shares:
Issued................. 90 164 (d) -- -- 65 245
Reinvested............. 4 2 (d) -- -- 4 6
Redeemed............... (50) (10)(d) -- -- (72) (53)
-------- -------- ------- ------- -------- --------
Change in Class B
Shares................ 44 156 -- -- (3) 198
======== ======== ======= ======= ======== ========
</TABLE>
- --------
(a) Formerly the Limted Maturity Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from January 21, 1999 (commencement of operations) through
July 31, 1999.
Continued
-100-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
<TABLE>
<CAPTION>
Florida Tax-Exempt
Municipal Bond Fund (a)
-------------------- --------------------
Six Months Year Six Months Year
Ended Ended Ended Ended
January 31, July 31, January 31, July 31,
2000 1999 2000 1999
----------- -------- ----------- --------
<S> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares (b):
Proceeds from shares issued... $ 963 $ 1,032 $ 30 $ 6,120
Dividends reinvested.......... 56 76 144 425
Cost of shares redeemed....... (1,189) (1,049) (6,195) (2,685)
------- ------- ------- -------
Change in net assets from
Class A Share transactions... $ (170) $ 59 $(6,021) $ 3,860
======= ======= ======= =======
Trust Shares (c):
Proceeds from shares issued... $71,083 $51,374 $ 8,548 $19,040
Dividends reinvested.......... 196 189 7 32
Cost of shares redeemed....... (25,432) (48,186) (6,103) (9,350)
------- ------- ------- -------
Change in net assets from
Trust Share transactions..... $45,847 $ 3,377 $ 2,452 $ 9,722
======= ======= ======= =======
Class B Shares:
Proceeds from shares issued... $ 231 $ 27 (d) $ 220 $ 577 (e)
Dividends reinvested.......... 2 -- 3 1 (e)
Cost of shares redeemed....... -- (11)(d) -- --
------- ------- ------- -------
Change in net assets from
Class B Share transactions... $ 233 $ 16 $ 223 $ 578
======= ======= ======= =======
SHARE TRANSACTIONS:
Class A Shares (b):
Issued........................ 99 102 3 580
Reinvested.................... 6 8 14 40
Redeemed...................... (124) (103) (614) (255)
------- ------- ------- -------
Change in Class A Shares...... (19) 7 (597) 365
======= ======= ======= =======
Trust Shares (c):
Issued........................ 7,398 5,066 852 1,811
Reinvested.................... 20 19 1 3
Redeemed...................... (2,629) (4,732) (611) (891)
------- ------- ------- -------
Change in Trust Shares........ 4,789 353 242 923
======= ======= ======= =======
Class B Shares:
Issued........................ 24 3 (d) 22 56 (e)
Reinvested.................... -- -- -- -- (e)
Redeemed...................... -- (1)(d) -- --
------- ------- ------- -------
Change in Class B Shares...... 24 2 22 56
======= ======= ======= =======
</TABLE>
- --------
(a) Formerly the Florida Tax-Free Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from February 3, 1999 (commencement of operations) through
July 31, 1999.
(e) For the period from March 16, 1999 (commencement of operations) through
July 31, 1999.
Continued
-101-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
<TABLE>
<CAPTION>
U.S. Treasury Prime Money
Money Market Fund (a) Market Fund (b)
--------------------- -----------------------
Six Months Year Six Months Year
Ended Ended Ended Ended
January 31, July 31, January 31, July 31,
2000 1999 2000 1999
----------- --------- ----------- -----------
<S> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares (c):
Proceeds from shares issued... $ 9,997 $ 13,408 $ 133,856 $ 282,648
Dividends reinvested.......... 105 270 3,479 5,884
Cost of shares redeemed....... (9,044) (17,357) (131,970) (269,414)
--------- --------- --------- -----------
Change in net assets from
Class A Share transactions... $ 1,058 $ (3,679) $ 5,365 $ 19,118
========= ========= ========= ===========
Trust Shares (d):
Proceeds from shares issued... $ 355,985 $ 753,782 $ 719,829 $ 1,556,708
Dividends reinvested.......... 138 639 957 1,817
Cost of shares redeemed....... (382,255) (785,630) (725,687) (1,501,602)
--------- --------- --------- -----------
Change in net assets from
Trust Share transactions..... $ (26,132) $ (31,209) $ (4,901) $ 56,923
========= ========= ========= ===========
Class B Shares:
Proceeds from shares issued... $ -- $ -- $ 763 $ 463
Dividends reinvested.......... -- -- 8 4
Cost of shares redeemed....... -- -- (311) (244)
--------- --------- --------- -----------
Change in net assets from
Class B Share transactions... $ -- $ -- $ 460 $ 223
========= ========= ========= ===========
SHARE TRANSACTIONS:
Class A Shares (c):
Issued........................ 9,997 13,408 133,856 282,648
Reinvested.................... 105 270 3,479 5,884
Redeemed...................... (9,044) (17,357) (131,970) (269,414)
--------- --------- --------- -----------
Change in Class A Shares...... 1,058 (3,679) 5,365 19,118
========= ========= ========= ===========
Trust Shares (d):
Issued........................ 355,985 753,782 719,829 1,556,708
Reinvested.................... 138 639 957 1,817
Redeemed...................... (382,255) (785,630) (725,687) (1,501,602)
--------- --------- --------- -----------
Change in Trust Shares........ (26,132) (31,209) (4,901) 56,923
========= ========= ========= ===========
Class B Shares:
Issued........................ -- -- 763 463
Reinvested.................... -- -- 8 4
Redeemed...................... -- -- (311) (244)
--------- --------- --------- -----------
Change in Class B Shares...... -- -- 460 223
========= ========= ========= ===========
</TABLE>
- --------
(a) Formerly the U.S. Treasury Fund.
(b) Formerly the Prime Obligations Fund.
(c) Formerly Classic Shares.
(d) Formerly Premier Shares.
Continued
-102-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
<TABLE>
<CAPTION>
Institutional Prime Tax-Exempt Money
Obligations Fund Market Fund (a)
--------------------- ---------------------
Six Months Period Six Months Year
Ended Ended Ended Ended
January 31, July 31, January 31, July 31,
2000 1999 (b) 2000 1999
----------- --------- ----------- ---------
<S> <C> <C> <C> <C>
CAPITAL TRANSACTIONS:
Class A Shares (c)(d):
Proceeds from shares issued.. $ 190,713 $ 387,727 $ 24,144 $ 55,604
Dividends reinvested......... -- -- 337 686
Cost of shares redeemed...... (141,697) (318,269) (15,858) (62,103)
--------- --------- -------- ---------
Change in net assets from
Class A Share transactions.. $ 49,016 $ 69,458 $ 8,623 $ (5,813)
========= ========= ======== =========
Trust Shares (e)(f):
Proceeds from shares issued.. $ 143,500 $ 56,608 (h) $ 81,021 $ 181,011
Dividends reinvested......... -- -- -- 5
Cost of shares redeemed...... (113,548) (30,608)(h) (91,124) (169,221)
--------- --------- -------- ---------
Change in net assets from
Trust Share transactions.... $ 29,952 $ 26,000 $(10,103) $ 11,795
========= ========= ======== =========
Class B Shares (g):
Proceeds from shares issued.. $ 76,298 $ 24,183 (i) $ -- $ --
Dividends reinvested......... -- -- -- --
Cost of shares redeemed...... (49,050) (10,608)(i) -- --
--------- --------- -------- ---------
Change in net assets from
Class B Share transactions.. $ 27,248 $ 13,575 $ -- $ --
========= ========= ======== =========
SHARE TRANSACTIONS:
Class A Shares (c)(d):
Issued....................... 190,713 387,727 24,144 55,604
Reinvested................... -- -- 337 686
Redeemed..................... (141,697) (318,269) (15,858) (62,103)
--------- --------- -------- ---------
Change in Class A Shares..... 49,016 69,458 8,623 (5,813)
========= ========= ======== =========
Trust Shares (e)(f):
Issued....................... 143,500 56,608 (h) 81,021 181,011
Reinvested................... -- -- -- 5
Redeemed..................... (113,548) (30,608)(h) (91,124) (169,221)
--------- --------- -------- ---------
Change in Trust Shares....... 29,952 26,000 (10,103) 11,795
========= ========= ======== =========
Class B Shares (g):
Issued....................... 76,298 24,183 (i) -- --
Reinvested................... -- -- -- --
Redeemed..................... (49,050) (10,608)(i) -- --
--------- --------- -------- ---------
Change in Class B Shares..... 27,248 13,575 -- --
========= ========= ======== =========
</TABLE>
- --------
(a) Formerly the Tax-Exempt Fund.
(b) For the period from September 15, 1998 (commencement of operations) through
July 31, 1999.
(c) Class I shares for the Institutional Prime Obligations Fund.
(d) Formerly Classic Shares.
(e) Class II shares for the Institutional Prime Obligations Fund.
(f) Formerly Premier Shares.
(g) Class III shares for the Institutional Prime Obligations Fund.
(h) For the period from February 19, 1999 (commencement of operations) through
July 31, 1999.
(i) For the period from February 22, 1999 (commencement of operations) through
July 31, 1999.
Continued
-103-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
5.Related Party Transactions:
Investment advisory services are provided to each of the Funds by AmSouth.
Under the terms of the investment advisory agreement, AmSouth is entitled to
receive fees based on a percentage of the average daily net assets of each of
the Funds. AmSouth also serves as Custodian for the Trust. Pursuant to the
Custodian Agreement with the Trust, AmSouth receives compensation from each
Fund for such services in an amount equal to an asset-based fee plus fixed
fees charged for certain portfolio transactions and out-of-pocket expenses.
BISYS Fund Services Limited Partnership d/b/a BISYS Fund Services ("BISYS"),
an Ohio Limited Partnership, BISYS Fund Services Ohio, Inc. ("BISYS Ohio"),
and BISYS Fund Services, Inc. ("BISYS Inc.") are subsidiaries of the BISYS
Group, Inc.
ASO Services Company ("Administrator"), a wholly owned subsidiary of the
BISYS Group, Inc., serves the Funds as administrator. Under the terms of the
administration agreement, The Administrator receives a fee based on the
average daily net assets of each of the Funds. AmSouth and BISYS, with whom
certain officers and trustees of the Trust are affiliated, serve as the
Funds' sub-administrator. Such officers and trustees are paid no fees
directly by the Funds for serving as officers and trustees of the Trust.
Pursuant to its current agreement with the Administrator, AmSouth has assumed
certain Administrator's duties, for which AmSouth receives a fee, paid by the
Administrator, based on a percentage of each Fund's daily average net assets.
Pursuant to its agreement with the Administrator, BISYS, as sub-
administrator, is entitled to compensation as mutually agreed upon from time
to time by it and the Administrator. BISYS also serves as the Funds'
distributor and is entitled to receive commissions on sales of shares of the
variable net asset value funds. For the period ended January 31, 2000, BISYS
received $763,986 from commissions earned on sales of shares of the Funds'
variable net asset value funds of which the $763,900 was reallowed to AmSouth
Investment Services, a related investment dealer of the Funds' shares and
other dealers of the Funds' shares. BISYS receives no fees from the Funds for
providing distribution services to the Funds.
BISYS Ohio, serves the Funds as Transfer Agent. Under the terms of the
Transfer Agent Agreement, BISYS Ohio, receives a fee based on a percentage of
each funds average daily net assets, plus out of pocket charges. BISYS Ohio,
serves the Funds as Mutual Fund Accountant. Under the terms of the Fund
Accounting Agreement, BISYS Ohio, receives a fee based on a percentage of
average daily net assets, plus out of pocket charges.
Class A Shares of the Trust are subject to a Shareholder Servicing Plan (the
"Servicing Plan") permitting payment of compensation to financial
institutions that agree to provide certain administrative support services
for their customers or account holders. Each Fund has entered into a specific
arrangement with BISYS for the provision of such services and reimburses
BISYS for its cost of providing these services, subject to a maximum rate of
0.25% of the average daily net assets of the Class A Shares and Class II of
each of the Funds.
Continued
-104-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
Class B Shares, Class II Shares and Class III Shares of the Trust are subject
to a Distribution and Shareholder Servicing Plan (the "Distribution Plan")
permitting payment of compensation to a participating organization as payment
for its services or expenses in connection with distribution assistance of
the Funds' Class B Shares, Class II Shares and Class III Shares to the
participating organizations customers. Each Fund has entered into a specific
arrangement with BISYS for the provision of such services and pays BISYS for
its cost of providing such services, subject to a maximum rate of 1.00% of
the average daily net assets of the Class B Shares of each of the Funds,
which includes a Shareholder Servicing Fee of 0.25% of the average daily net
assets of the Class B Shares of each Fund. Class II Shares and Class III
Shares are subject to a maximum rate of 0.25% and 0.50% of daily average net
assets, respectively, for such services.
Fees may be voluntarily reduced to assist the Funds in maintaining
competitive expense ratios. Information regarding these transactions is as
follows for the six month period ended January 31, 2000 (amounts in
thousands):
<TABLE>
<CAPTION>
Investment Advisory Fees
---------------------------
Annual Fee as Administration Shareholder Fund Transfer
a Percentage of Fees Fees Servicing Fees Accounting Fees Agent Fees
Average Daily Voluntarily Voluntarily Voluntarily Voluntarily Voluntarily
Net Assets Reduced Reduced Reduced Reduced Reduced
--------------- ----------- -------------- -------------- --------------- -----------
<S> <C> <C> <C> <C> <C> <C>
Equity Income Fund...... 0.80% $ -- $ -- $ -- $18 $15
Value Fund (a).......... 0.80% -- -- -- 5 8
Enhanced Market Fund.... 0.45% -- 33 -- 18 15
Growth Fund (b)......... 0.80% -- 28 -- 24 15
Select Equity Fund...... 0.80% -- 14 -- 22 15
Regional Equity Fund.... 0.80% -- -- -- 11 15
Small Cap Fund.......... 1.20% -- 18 -- 25 15
Balanced Fund........... 0.80% -- -- -- 5 8
Limited Term Bond
Fund (c)............... 0.65% 82 44 2 5 8
Government Income Fund.. 0.65% 14 4 3 19 10
Bond Fund............... 0.65% 292 156 5 5 8
Municipal Bond Fund..... 0.65% 416 133 2 5 8
Florida Tax-Exempt
Fund (d)............... 0.65% 115 36 5 14 15
U.S. Treasury Money
Market Fund (e)........ 0.40% -- -- 4 3 5
Prime Money Market
Fund (f)............... 0.40% -- -- 114 5 8
Institutional Prime Obl.
Fund................... 0.20% 113 61 -- 8 8
Tax-Exempt Money Market
Fund (g)............... 0.40% 95 -- 19 8 5
</TABLE>
- --------
(a) Formerly the Equity Fund.
(b) Formerly the Capital Growth Fund.
(c) Formerly the Limited Maturity Fund.
(d) Formerly the Florida Tax-Free Fund.
(e) Formerly the U.S. Treasury Fund.
(f) Formerly the Prime Obligations Fund.
(g) Formerly the Tax-Exempt Fund.
Continued
-105-
<PAGE>
AMSOUTH FUNDS
Notes to Financial Statements, Continued
January 31, 2000
(Unaudited)
5. Subsequent Event:
As approved at the February 22, 2000 Special Meeting of Shareholders and
effective March 13, 2000, the Regional Equity Fund transferred all of its
assets and liabilities to the Value Fund in exchange for shares of the Value
Fund. Thus, on March 13, 2000, the Regional Equity Fund ceased operations.
In conjunction with the merger of the ISG Funds into the AmSouth Funds on
March 13, 2000, the Trust commenced offering thirteen new funds. Each Fund
listed below was a former ISG Fund:
AmSouth Large Cap Fund
AmSouth Mid Cap Fund
AmSouth Capital Growth Fund
AmSouth International Fund
AmSouth Strategic Portfolios: Aggressive Growth Portfolio
AmSouth Strategic Portfolios: Growth Portfolio
AmSouth Strategic Portfolios: Growth & Income Portfolio
AmSouth Strategic Portfolios: Moderate Growth & Income Portfolio
AmSouth Strategic Portfolios: Current Income Portfolio
AmSouth Limited Term U.S. Government Fund
AmSouth Tennessee Tax-Exempt Fund
AmSouth Limited Term Tennessee Tax-Exempt Fund
AmSouth Treasury Reserve Money Market Fund
Each Fund offers Class A Shares, Class B Shares and Trust Shares (except for
the AmSouth Limited Term Tennessee Tax-Exempt Fund, which does not offer
Trust Shares and the AmSouth Treasury Reserve Money Market Fund, which does
not offer Class B Shares).
In addition, to the new Funds above, the following ISG Funds merged into the
following existing AmSouth Funds on March 13, 2000:
ISG Equity Income Fund AmSouth Equity Income Fund
ISG Small-Cap Opportunity Fund AmSouth Small Cap Fund
ISG Limited Term Income Fund AmSouth Limited Term Bond Fund
ISG Income Fund AmSouth Bond Fund
ISG Government Income Fund AmSouth Government Income Fund
ISG Municipal Income Fund AmSouth Municipal Bond Fund
ISG Prime Money Market Fund AmSouth Prime Money Market Fund
ISG Tax-Exempt Money Market Fund AmSouth Tax-Exempt Money Market
Fund
-106-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Equity Income Fund
-------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
--------------------------------------- -------------------------
Class A (a) Trust (b) Class B Classic Premier Class B
----------- ----------- ----------- ------- ------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 13.10 $ 13.10 $ 13.05 $ 11.89 $ 11.89 $11.86
------- ------- ------- ------- ------- ------
Investment Activities
Net investment income
(loss)................ 0.08 0.10 0.03 0.17 0.19 0.07
Net realized and
unrealized gains
(losses) from
investments........... 2.16 2.17 2.15 1.46 1.47 1.47
------- ------- ------- ------- ------- ------
Total from Investment
Activities............ 2.24 2.27 2.18 1.63 1.66 1.54
------- ------- ------- ------- ------- ------
Distributions
Net investment income.. (0.07) (0.09) (0.03) (0.16) (0.19) (0.09)
Net realized gains from
investment
transactions.......... (0.81) (0.81) (0.81) (0.26) (0.26) (0.26)
------- ------- ------- ------- ------- ------
Total Distributions.... (0.88) (0.90) (0.84) (0.42) (0.45) (0.35)
------- ------- ------- ------- ------- ------
Net Asset Value, End of
Period................. $ 14.46 $ 14.47 $ 14.39 $ 13.10 $ 13.10 $13.05
======= ======= ======= ======= ======= ======
Total Return (excludes
sales charge).......... 17.66%(c) 17.89%(c) 17.19%(c) 14.17% 14.43% 13.34%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $25,279 $25,847 $10,517 $21,526 $10,908 $7,919
Ratio of expenses to
average net assets.... 1.39%(d) 1.15%(d) 2.14%(d) 1.41% 1.16% 2.16%
Ratio of net investment
income to average net
assets................ 1.19%(d) 1.43%(d) 0.44%(d) 1.37% 1.59% 0.61%
Ratio of expenses to
average net assets*... 1.54%(d) 1.29%(d) 2.29%(d) 1.58% 1.33% 2.33%
Portfolio turnover (e).. 57.25% 57.25% 57.25% 133.74% 133.74% 133.74%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-107-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Equity Income
------------------------------------------------------
Year Ended March 20, 1997
July 31, to July 31,
1998 1997 (g)
------------------------------------- --------------
Classic (a) Premier (a) Class B (b)
----------- ----------- -----------
<S> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period..... $ 11.72 $11.35 $11.60 $ 10.00
------- ------ ------ -------
Investment Activities
Net investment income
(loss)................. 0.24 0.25 0.15 0.07
Net realized and
unrealized gains
(losses) from
investments............ 0.59 0.95 0.68 1.71
------- ------ ------ -------
Total from Investment
Activities............. 0.83 1.20 0.83 1.78
------- ------ ------ -------
Distributions
Net investment income... (0.25) (0.25) (0.16) (0.06)
Net realized gains from
investment
transactions........... (0.41) (0.41) (0.41) --
------- ------ ------ -------
Total Distributions..... (0.66) (0.66) (0.57) (0.06)
------- ------ ------ -------
Net Asset Value, End of
Period.................. $ 11.89 $11.89 $11.86 $ 11.72
======= ====== ====== =======
Total Return (excludes
sales charge)........... 7.29% 7.54%(c) 7.26%(d) 17.81%(d)
Ratios/Supplemental Data:
Net Assets at end of
period (000)........... $26,686 $8,087 $7,733 $22,273
Ratio of expenses to
average net assets..... 1.42% 1.19%(e) 2.19%(e) 1.30%(e)
Ratio of net investment
income to average net
assets................. 2.03% 2.34%(e) 1.29%(e) 2.13%(e)
Ratio of expenses to
average net assets*.... 1.57% 1.35%(e) 2.35%(e) 1.51%(e)
Portfolio turnover (f)... 83.26% 83.26% 83.26% 27.38%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) For the period from September 3, 1997 (commencement of operations) through
July 31, 1998.
(c) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 10.82%.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
(g) Period from commencement of operations.
See notes to financial statements.
-108-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Value Fund (a)
------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
------------------------------------------ --------------------------
Class A (b) Trust (c) Class B Classic Premier Class B
----------- ----------- ----------- ------- -------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 25.25 $ 25.27 $ 25.14 $ 24.60 $ 24.57 $ 24.55
------- -------- ------- ------- -------- -------
Investment Activities
Net investment income
(loss)................ 0.12 0.15 0.03 0.20 0.26 0.02
Net realized and
unrealized gains
(losses) from
investments........... (2.22) (2.25) (2.20) 3.11 3.16 3.10
------- -------- ------- ------- -------- -------
Total from Investment
Activities............ (2.10) (2.10) (2.17) 3.31 3.42 3.12
------- -------- ------- ------- -------- -------
Distributions
Net investment income.. (0.12) (0.15) (0.05) (0.19) (0.25) (0.06)
Net realized gains from
investment
transactions.......... (3.50) (3.50) (3.50) (2.47) (2.47) (2.47)
------- -------- ------- ------- -------- -------
Total Distributions.... (3.62) (3.65) (3.55) (2.66) (2.72) (2.53)
------- -------- ------- ------- -------- -------
Net Asset Value, End of
Period................. $ 19.53 $ 19.52 $ 19.42 $ 25.25 $ 25.27 $ 25.14
======= ======== ======= ======= ======== =======
Total Return (excludes
sales charge).......... (8.75)%(d) (8.75)%(d) (9.09)%(d) 14.92% 15.43% 14.03%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $54,264 $675,770 $10,056 $70,740 $960,660 $12,394
Ratio of expenses to
average net assets.... 1.35%(e) 1.10%(e) 2.09%(e) 1.33% 1.08% 2.08%
Ratio of net investment
income to average net
assets................ 1.03%(e) 1.29%(e) 0.28%(e) 0.82% 1.07% 0.05%
Ratio of expenses to
average net assets*... 1.35%(e) 1.10%(e) 2.10%(e) 1.34% 1.09% 2.09%
Portfolio turnover (f).. 9.50% 9.50% 9.50% 17.65% 17.65% 17.65%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the Equity Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-109-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Value Fund
--------------------------------------------------------------------------
Year Ended
July 31, Year Ended
1998 July 31,
-------------------------------------- ----------------------------
Classic (a) Premier (a) Class B (b) 1997 1996 1995
----------- ----------- ----------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 23.35 $ 22.51 $23.15 $ 17.62 $ 16.75 $ 14.82
------- -------- ------ -------- -------- --------
Investment Activities
Net investment income
(loss)................ 0.21 0.28 0.09 0.30 0.33 0.33
Net realized and
unrealized gains
(losses) from
investments........... 2.54 3.31 2.68 6.77 1.48 2.39
------- -------- ------ -------- -------- --------
Total from Investment
Activities............ 2.75 3.59 2.77 7.07 1.81 2.72
------- -------- ------ -------- -------- --------
Distributions
Net investment income.. (0.25) (0.28) (0.12) (0.30) (0.33) (0.32)
Net realized gains from
investment
transactions.......... (1.25) (1.25) (1.25) (1.04) (0.61) (0.47)
------- -------- ------ -------- -------- --------
Total Distributions.... (1.50) (1.53) (1.37) (1.34) (0.94) (0.79)
------- -------- ------ -------- -------- --------
Net Asset Value, End of
Period................. $ 24.60 $ 24.57 $24.55 $ 23.35 $ 17.62 $ 16.75
======= ======== ====== ======== ======== ========
Total Return (excludes
sales charge).......... 12.34% 12.46%(c) 12.49%(d) 42.35% 11.09% 19.27%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $73,165 $947,575 $7,929 $974,985 $374,622 $275,757
Ratio of expenses to
average net assets.... 1.19% 1.09%(e) 2.11%(e) 1.06% 1.02% 1.03%
Ratio of net investment
income to average net
assets................ 0.89% 1.26%(e) 0.26%(e) 1.52% 1.86% 2.17%
Ratio of expenses to
average net assets*... 1.19% 1.10%(e) 2.11%(e) 1.10% 1.11% 1.11%
Portfolio turnover (f).. 16.95% 16.95% 16.95% 24.47% 19.11% 19.46%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such
voluntary fee reductions had not occurred, the ratios would have been as
indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) For the period from September 3, 1997 (commencement of operations) to July
31, 1998.
(c) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 16.52%.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-110-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Enhanced Market
--------------------------------------------------------------------------------
Six Months Ended September 1, 1998
January 31, to July 31,
2000 1999 (a)
--------------------------------------- -------------------------------------
Class A (d) Trust (e) Class B Classic Premier (b) Class B (c)
----------- ----------- ----------- ------- ----------- -----------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 13.86 $ 13.86 $ 13.82 $ 10.00 $ 12.18 $10.30
------- ------- ------- ------- ------- ------
Investment Activities
Net investment income
(loss)................ 0.04 0.05 -- 0.09 0.07 0.03
Net realized and
unrealized gains
(losses) from
investments........... 0.80 0.81 0.78 3.89 1.71 3.55
------- ------- ------- ------- ------- ------
Total from Investment
Activities............ 0.84 0.86 0.78 3.98 1.78 3.58
------- ------- ------- ------- ------- ------
Distributions
Net investment income.. (0.04) (0.06) -- (0.09) (0.07) (0.03)
Net realized gains from
investment
transactions.......... (0.45) (0.45) (0.45) (0.03) (0.03) (0.03)
------- ------- ------- ------- ------- ------
Total Distributions.... (0.49) (0.51) (0.45) (0.12) (0.10) (0.06)
------- ------- ------- ------- ------- ------
Net Asset Value, End of
Period................. $ 14.21 $ 14.21 $ 14.15 $ 13.86 $ 13.86 $13.82
======= ======= ======= ======= ======= ======
Total Return (excludes
sales charge).......... 6.05%(f) 6.17%(f) 5.65%(f) 39.93%(f) 14.71%(f) 34.85%(f)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $22,177 $28,315 $13,139 $14,365 $14,273 $6,132
Ratio of expenses to
average net assets.... 0.96%(g) 0.71%(g) 1.71%(g) 0.88%(g) 0.74%(g) 1.73%(g)
Ratio of net investment
income to average net
assets................ 0.56%(g) 0.79%(g) (0.20)%(g) 0.79%(g) 0.90%(g) (0.12)%(g)
Ratio of expenses to
average net assets*... 1.24%(g) 0.98%(g) 1.98%(g) 1.52%(g) 1.29%(g) 2.28%(g)
Portfolio turnover (h).. 19.37% 19.37% 19.37% 36.03% 36.03% 36.03%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Period from commencement of operations.
(b) For the period from December 11, 1998 (commencement of operations) through
July 31, 1999.
(c) For the period from September 2, 1998 (commencement of operations) through
July 31, 1999.
(d) Formerly Classic Shares.
(e) Formerly Premier Shares.
(f) Not annualized.
(g) Annualized.
(h) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-111-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Growth Fund (a)
-----------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
---------------------------------------- ---------------------------
Class A (b) Trust (c) Class B Classic Premier Class B
----------- ----------- ----------- ------- ------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 14.04 $ 14.11 $13.85 $ 11.62 $ 11.65 $11.54
------- ------- ------ ------- ------- ------
Investment Activities
Net investment income
(loss)................ (0.04) (0.02) (0.09) (0.06) (0.02) (0.12)
Net realized and
unrealized gains
(losses) from
investments........... 1.23 1.23 1.21 2.57 2.57 2.52
------- ------- ------ ------- ------- ------
Total from Investment
Activities............ 1.19 1.21 1.12 2.51 2.55 2.40
------- ------- ------ ------- ------- ------
Distributions
Net realized gains from
investment
transactions.......... (0.55) (0.55) (0.55) (0.09) (0.09) (0.09)
------- ------- ------ ------- ------- ------
Total Distributions.... (0.55) (0.55) (0.55) (0.09) (0.09) (0.09)
------- ------- ------ ------- ------- ------
Net Asset Value, End of
Period................. $ 14.68 $ 14.77 $14.42 $ 14.04 $ 14.11 $13.85
======= ======= ====== ======= ======= ======
Total Return (excludes
sales charge).......... 8.43%(d) 8.53%(d) 8.03%(d) 21.76% 22.05% 20.96%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $14,527 $25,910 $8,588 $14,040 $18,055 $7,463
Ratio of expenses to
average net assets.... 1.25%(e) 1.01%(e) 2.00%(e) 1.23% 0.96% 1.97%
Ratio of net investment
income to average net
assets................ (0.58)%(e) (0.35)%(e) (1.33)%(e) (0.50)% (0.28)% (1.26)%
Ratio of expenses to
average net assets*... 1.56%(e) 1.31%(e) 2.31%(e) 1.74% 1.47% 2.48%
Portfolio turnover (f).. 36.00% 36.00% 36.00% 79.30% 79.30% 79.30%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the Capital Growth Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-112-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Growth Fund
----------------------------------------
August 3, 1997 to
July 31, 1998 (g)
----------------------------------------
Classic (a) Premier (a) Class B (b)
----------- ----------- -----------
<S> <C> <C> <C>
Net Asset Value, Beginning of
Period............................. $10.00 $ 9.55 $ 9.82
------ ------- -------
Investment Activities
Net investment income (loss)....... (0.03) -- (0.06)
Net realized and unrealized gains
(losses) from investments......... 1.65 2.10 1.78
------ ------- -------
Total from Investment Activities.... 1.62 2.10 1.72
------ ------- -------
Net Asset Value, End of Period...... $11.62 $ 11.65 $ 11.54
====== ======= =======
Total Return (excludes sales
charge)............................ 16.20%(d) 16.50%(c) 17.52%(d)
Ratios/Supplemental Data:
Net Assets at end of period (000).. $9,720 $ 2,824 $ 3,477
Ratio of expenses to average net
assets............................ 1.40%(e) 0.99%(e) 2.05%(e)
Ratio of net investment income to
average net assets................ (0.42)%(e) 0.00%(e) (1.10)%(e)
Ratio of expenses to average net
assets*........................... 2.37%(e) 2.05%(e) 3.11%(e)
Portfolio turnover (f).............. 77.26% 77.26% 77.26%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) For the period from September 3, 1997 (commencement of operations) through
July 31, 1998.
(c) Represents total return based on the activity of Classic Shares for the
period from August 4, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 21.99%.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
(g) Period from commencement of operations.
See notes to financial statements.
-113-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Select Equity
----------------------------------------------------------------------------------
Six Months Ended September 1, 1998
January 31, to July 31,
2000 1999 (a)
----------------------------------------- -------------------------------------
Class A (d) Trust (e) Class B Classic Premier (b) Class B (c)
----------- ----------- ----------- ------- ----------- -----------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $11.88 $11.89 $11.83 $ 10.00 $ 11.52 $ 9.98
------ ------ ------ ------- ------- ------
Investment Activities
Net investment income
(loss)................ 0.03 0.04 (0.02) 0.04 0.04 0.02
Net realized and
unrealized gains
(losses) from
investments........... (1.84) (1.84) (1.82) 1.91 0.38 1.86
------ ------ ------ ------- ------- ------
Total from Investment
Activities............ (1.81) (1.82) (1.84) 1.95 0.42 1.88
------ ------ ------ ------- ------- ------
Distributions
Net investment income.. (0.04) (0.04) (0.02) (0.05) (0.03) (0.01)
In excess of net
investment income..... -- -- -- (0.01) (0.01) (0.01)
Net realized gains from
investment
transactions.......... (0.81) (0.81) (0.81) (0.01) (0.01) (0.01)
------ ------ ------ ------- ------- ------
Total Distributions.... (0.85) (0.85) (0.83) (0.07) (0.05) (0.03)
------ ------ ------ ------- ------- ------
Net Asset Value, End of
Period................. $ 9.22 $ 9.24 $ 9.16 $ 11.88 $ 11.89 $11.83
====== ====== ====== ======= ======= ======
Total Return (excludes
sales charge).......... (15.52)%(f) (15.37)%(f) (15.81)%(f) 19.44%(f) 3.63%(f) 18.83%(f)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $3,941 $5,884 $ 999 $10,258 $10,420 $1,933
Ratio of expenses to
average net assets.... 1.32%(g) 1.07%(g) 2.07%(g) 1.13%(g) 0.99%(g) 1.99%(g)
Ratio of net investment
income to average net
assets................ 0.63%(g) 0.85%(g) (0.13)%(g) 0.43%(g) 0.65%(g) (0.49)%(g)
Ratio of expenses to
average net assets*... 1.90%(g) 1.65%(g) 2.65%(g) 1.81%(g) 1.58%(g) 2.58%(g)
Portfolio turnover (h).. 13.19% 13.19% 13.19% 9.72% 9.72% 9.72%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Period from commencement of operations.
(b) For the period from December 3, 1998 (commencement of operations) through
July 31, 1999.
(c) For the period from September 2, 1998 (commencement of operations) through
July 31, 1999.
(d) Formerly Classic Shares.
(e) Formerly Premier Shares.
(f) Not annualized.
(g) Annualized.
(h) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-114-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Regional Equity Fund
------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
----------------------------------------- ---------------------------
Class A (a) Trust (b) Class B Classic Premier Class B
----------- ----------- ----------- ------- ------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 22.90 $ 22.95 $ 22.68 $ 27.18 $ 27.20 $ 27.05
------- ------- ------- ------- ------- -------
Investment Activities
Net investment income
(loss)................ 0.08 0.11 -- 0.09 0.15 (0.09)
Net realized and
unrealized gains
(losses) from
investments........... (3.97) (4.04) (3.92) (2.74) (2.73) (2.73)
------- ------- ------- ------- ------- -------
Total from Investment
Activities............ (3.89) (3.93) (3.92) (2.65) (2.58) (2.82)
------- ------- ------- ------- ------- -------
Distributions
Net investment income.. (0.08) (0.11) (0.03) (0.10) (0.14) (0.02)
Net realized gains from
investment
transactions.......... (5.95) (5.95) (5.95) (1.53) (1.53) (1.53)
------- ------- ------- ------- ------- -------
Total Distributions.... (6.03) (6.06) (5.98) (1.63) (1.67) (1.55)
------- ------- ------- ------- ------- -------
Net Asset Value, End of
Period................. $ 12.98 $ 12.96 $ 12.78 $ 22.90 $ 22.95 $ 22.68
======= ======= ======= ======= ======= =======
Total Return (excludes
sales charge).......... (16.67)%(c) (16.87)%(c) (16.92)%(c) (9.85)% (9.57)% (10.54)%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $ 9,807 $24,809 $ 417 $20,911 $60,385 $ 965
Ratio of expenses to
average net assets.... 1.42%(d) 1.17%(d) 2.16%(d) 1.38% 1.13% 2.13%
Ratio of net investment
income to average net
assets................ 0.76%(d) 1.04%(d) 0.02%(d) 0.37% 0.63% (0.37)%
Ratio of expenses to
average net assets*... 1.50%(d) 1.25%(d) 2.25%(d) 1.42% 1.17% 2.17%
Portfolio turnover (e).. 19.10% 19.10% 19.10% 15.60% 15.60% 15.60%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-115-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Regional Equity Fund
-------------------------------------------------------------------
Year Ended July 31,
--------------------------
Year Ended July 31, 1998 1997 1996 1995
------------------------------------- -------- ------- -------
Classic (a) Premier (a) Class B (b)
----------- ----------- ----------- -------- ------- -------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 28.23 $ 27.95 $28.49 $ 20.95 $ 18.94 $ 16.68
------- ------- ------ -------- ------- -------
Investment Activities
Net investment income
(loss)................ 0.05 0.13 (0.05) 0.24 0.26 0.23
Net realized and
unrealized gains
(losses) from
investments........... (0.08) 0.17 (0.42) 7.77 2.20 2.26
------- ------- ------ -------- ------- -------
Total from Investment
Activities............ (0.03) 0.30 (0.47) 8.01 2.46 2.49
------- ------- ------ -------- ------- -------
Distributions
Net investment income.. (0.07) (0.10) (0.03) (0.24) (0.26) (0.23)
In excess of net
investment income..... (0.01) (0.01) -- -- -- --
Net realized gains from
investment
transactions.......... (0.94) (0.94) (0.94) (0.49) (0.19) --
------- ------- ------ -------- ------- -------
Total Distributions.... (1.02) (1.05) (0.97) (0.73) (0.45) (0.23)
------- ------- ------ -------- ------- -------
Net Asset Value, End of
Period................. $ 27.18 $ 27.20 $27.05 $ 28.23 $ 20.95 $ 18.94
======= ======= ====== ======== ======= =======
Total Return (excludes
sales charge).......... (0.31)% (0.12)%(c) (1.86)%(d) 39.02% 13.10% 15.10%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $42,700 $94,909 $1,998 $149,838 $93,584 $68,501
Ratio of expenses to
average net assets.... 1.30% 1.12%(e) 2.14%(e) 1.06% 1.05% 1.07%
Ratio of net investment
income to average net
assets................ 0.14% 0.45%(e) (0.65)%(e) 0.99% 1.30% 1.35%
Ratio of expenses to
average net assets*... 1.32% 1.13%(e) 2.15%(e) 1.10% 1.13% 1.15%
Portfolio turnover (f).. 8.17% 8.17% 8.17% 10.30% 8.22% 14.25%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) For the period from September 3, 1997 (commencement of operations) to July
31, 1998.
(c) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 0.87%.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-116-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Small Cap Fund
------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
----------------------------------------- ---------------------------
Class A (a) Trust (b) Class B Classic Premier Class B
----------- ----------- ----------- ------- ------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 8.40 $ 8.44 $ 8.31 $ 9.14 $ 9.15 $ 9.11
------- ------- ------- ------- ------- -------
Investment Activities
Net investment income
(loss)................ (0.06) (0.04) (0.10) (0.10) (0.03) (0.14)
Net realized and
unrealized gains
(losses) from
investments........... 2.52 2.54 2.51 (0.64) (0.68) (0.66)
------- ------- ------- ------- ------- -------
Total from Investment
Activities............ 2.46 2.50 2.41 (0.74) (0.71) (0.80)
------- ------- ------- ------- ------- -------
Net Asset Value, End of
Period................. $ 10.86 $ 10.94 $ 10.72 $ 8.40 $ 8.44 $ 8.31
======= ======= ======= ======= ======= =======
Total Return (excludes
sales charge).......... 29.29%(c) 29.62%(c) 29.00%(c) (8.10)% (7.76)% (8.78)%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $ 1,352 $39,299 $ 966 $ 1,073 $21,777 $ 929
Ratio of expenses to
average net assets.... 1.65%(d) 1.40%(d) 2.39%(d) 1.66% 1.39% 2.41%
Ratio of net investment
income to average net
assets................ (1.33)%(d) (1.07)%(d) (2.08)%(d) (1.07)% (0.82)% (1.83)%
Ratio of expenses to
average net assets*... 2.05%(d) 1.80%(d) 2.80%(d) 2.68% 2.38% 3.42%
Portfolio turnover (e).. 110.26% 110.26% 110.26% 208.13% 208.13% 208.13%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-117-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Small Cap Fund
-----------------------------------
March 2, 1998
to July 31,
1998 (a)
-----------------------------------
Classic (b) Premier Class B
----------- ------- -------
<S> <C> <C> <C>
Net Asset Value, Beginning of Period.... $ 9.97 $10.00 $10.00
------ ------ ------
Investment Activities
Net investment income (loss)........... (0.03) (0.02) (0.04)
Net realized and unrealized gains
(losses) from investments............. (0.80) (0.83) (0.85)
------ ------ ------
Total from Investment Activities....... (0.83) (0.85) (0.89)
------ ------ ------
Net Asset Value, End of Period.......... $ 9.14 $ 9.15 $ 9.11
====== ====== ======
Total Return (excludes sales charge).... (8.31)%(c) (8.48)%(c) (8.90)%(c)
Ratios/Supplemental Data:
Net Assets at end of period (000)...... $1,372 $5,072 $ 871
Ratio of expenses to average net
assets................................ 1.78%(d) 1.50%(d) 2.54%(d)
Ratio of net investment income to
average net assets.................... (0.92)%(d) (0.52)%(d) (1.69)%(d)
Ratio of expenses to average net
assets*............................... 4.23%(d) 3.94%(d) 4.98%(d)
Portfolio turnover (e).................. 70.64% 70.64% 70.64%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Period from commencement of operations.
(b) For the period from March 3, 1998 (commencement of operations) through July
31, 1998.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-118-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Balanced Fund
------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
------------------------------------------ --------------------------
Class A (a) Trust (b) Class B Classic Premier Class B
----------- ----------- ----------- ------- -------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 14.93 $ 14.93 $14.90 $ 15.19 $ 15.18 $ 15.16
------- -------- ------ ------- -------- -------
Investment Activities
Net investment income
(loss)................ 0.23 0.24 0.17 0.41 0.44 0.29
Net realized and
unrealized gains
(losses) from
investments........... (0.86) (0.86) (0.85) 0.93 0.95 0.95
------- -------- ------ ------- -------- -------
Total from Investment
Activities............ (0.63) (0.62) (0.68) 1.34 1.39 1.24
------- -------- ------ ------- -------- -------
Distributions
Net investment income.. (0.25) (0.27) (0.20) (0.40) (0.44) (0.30)
Net realized gains from
investment
transactions.......... (1.78) (1.78) (1.78) (1.20) (1.20) (1.20)
------- -------- ------ ------- -------- -------
Total Distributions.... (2.03) (2.05) (1.98) (1.60) (1.64) (1.50)
------- -------- ------ ------- -------- -------
Net Asset Value, End of
Period................. $ 12.27 $ 12.26 $12.24 $ 14.93 $ 14.93 $ 14.90
======= ======== ====== ======= ======== =======
Total Return (excludes
sales charge).......... (4.42)%(c) (4.37)%(c) (4.86)%(c) 9.40% 9.74% 8.66%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $31,984 $241,998 $9,093 $43,223 $319,016 $10,131
Ratio of expenses to
average net assets.... 1.35%(d) 1.10%(d) 2.10%(d) 1.34% 1.09% 2.09%
Ratio of net investment
income to average net
assets................ 3.15%(d) 3.40%(d) 2.41%(d) 2.67% 2.93% 1.93%
Ratio of expenses to
average net assets*... 1.36%(d) 1.11%(d) 2.11%(d) 1.35% 1.10% 2.10%
Portfolio turnover (e).. 12.39% 12.39% 12.39% 23.24% 23.24% 23.24%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-119-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Balanced Fund
---------------------------------------------------------------------
Year Ended Year Ended
July 31, 1998 July 31,
-------------------------------------- ----------------------------
Classic (a) Premier (a) Class B (b) 1997 1996 1995
----------- ----------- ----------- -------- -------- --------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 15.21 $ 14.77 $14.99 $ 13.03 $ 12.76 $ 11.81
------- -------- ------ -------- -------- --------
Investment Activities
Net investment income
(loss)................ 0.38 0.41 0.28 0.48 0.47 0.47
Net realized and
unrealized gains
(losses) from
investments........... 0.98 1.38 1.15 2.78 0.58 1.24
------- -------- ------ -------- -------- --------
Total from Investment
Activities............ 1.36 1.79 1.43 3.26 1.05 1.71
------- -------- ------ -------- -------- --------
Distributions
Net investment income.. (0.41) (0.41) (0.29) (0.50) (0.47) (0.46)
Net realized gains from
investment
transactions.......... (0.97) (0.97) (0.97) (0.58) (0.31) (0.30)
------- -------- ------ -------- -------- --------
Total Distributions.... (1.38) (1.38) (1.26) (1.08) (0.78) (0.76)
------- -------- ------ -------- -------- --------
Net Asset Value, End of
Period................. $ 15.19 $ 15.18 $15.16 $ 15.21 $ 13.03 $ 12.76
======= ======== ====== ======== ======== ========
Total Return (excludes
sales charge).......... 9.54% 9.73%(c) 10.07%(d) 26.42% 8.37% 15.27%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $46,814 $329,626 $5,309 $372,769 $338,425 $295,509
Ratio of expenses to
average net assets.... 1.24% 1.10%(e) 2.12%(e) 1.05% 0.98% 0.94%
Ratio of net investment
income to average net
assets................ 2.77% 2.95%(e) 1.83%(e) 3.49% 3.61% 3.91%
Ratio of expenses to
average net assets*... 1.24% 1.10%(e) 2.12%(e) 1.10% 1.11% 1.12%
Portfolio turnover (f).. 25.40% 25.40% 25.40% 25.00% 20.47% 16.97%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) For the period from September 3, 1997 (commencement of operations) through
July 31, 1998.
(c) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 12.70%.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-120-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Limited Term Bond Fund (a)
------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
--------------------------------------- ------------------------------
Class A (b) Trust (c) Class B Classic Premier Class B (d)
----------- ----------- ----------- ------- -------- -----------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $10.29 $ 10.29 $10.27 $10.43 $ 10.43 $10.58
------ ------- ------ ------ -------- ------
Investment Activities
Net investment income
(loss)................ 0.28 0.30 0.23 0.57 0.59 0.27
Net realized and
unrealized gains
(losses) from
investments........... (0.19) (0.20) (0.18) (0.15) (0.16) (0.30)
------ ------- ------ ------ -------- ------
Total from Investment
Activities............ 0.09 0.10 0.05 0.42 0.43 (0.03)
------ ------- ------ ------ -------- ------
Distributions
Net investment income.. (0.32) (0.33) (0.28) (0.56) (0.57) (0.28)
------ ------- ------ ------ -------- ------
Total Distributions.... (0.32) (0.33) (0.28) (0.56) (0.57) (0.28)
------ ------- ------ ------ -------- ------
Net Asset Value, End of
Period................. $10.06 $ 10.06 $10.04 $10.29 $ 10.29 $10.27
====== ======= ====== ====== ======== ======
Total Return (excludes
sales charge).......... 0.91%(e) 0.96%(e) 0.49%(e) 4.01% 4.14% (0.33)%(e)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $2,190 $96,717 $2,009 $2,716 $109,554 $1,599
Ratio of expenses to
average net assets.... 0.84%(f) 0.74%(f) 1.74%(f) 0.81% 0.71% 1.69%(f)
Ratio of net investment
income to average net
assets................ 5.63%(f) 5.73%(f) 4.75%(f) 5.49% 5.60% 4.61%(f)
Ratio of expenses to
average net assets*... 1.24%(f) 0.99%(f) 2.00%(f) 1.23% 0.98% 1.96%(f)
Portfolio turnover (g).. 19.50% 19.50% 19.50% 39.15% 39.15% 39.15%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the Limited Maturity Bond Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) For the period from January 21, 1999 (commencement of operations) through
July 31, 1999.
(e) Not annualized.
(f) Annualized.
(g) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-121-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Limited Term Bond Fund
-----------------------------------------------------
Year Ended
July 31,
1998 Year Ended July 31,
----------------------- --------------------------
Classic (a) Premier (a) 1997 1996 1995
----------- ----------- -------- ------- -------
<S> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period..... $10.42 $ 10.34 $ 10.31 $ 10.41 $ 10.23
------ -------- -------- ------- -------
Investment Activities
Net investment income
(loss)................. 0.85 0.55 0.58 0.58 0.58
Net realized and
unrealized gains
(losses) from
investments............ (0.25) 0.10 0.14 (0.10) 0.17
------ -------- -------- ------- -------
Total from Investment
Activities............. 0.60 0.65 0.72 0.48 0.75
------ -------- -------- ------- -------
Distributions
Net investment income... (0.59) (0.56) (0.61) (0.57) (0.57)
Net realized gains from
investment
transactions........... -- -- -- (0.01) --
------ -------- -------- ------- -------
Total Distributions..... (0.59) (0.56) (0.61) (0.58) (0.57)
------ -------- -------- ------- -------
Net Asset Value, End of
Period.................. $10.43 $ 10.43 $ 10.42 $ 10.31 $ 10.41
====== ======== ======== ======= =======
Total Return (excludes
sales charge)........... 5.94% 6.04%(b) 7.25% 4.74% 7.65%
Ratios/Supplemental Data:
Net Assets at end of
period (000)........... $3,531 $106,953 $138,675 $46,005 $59,798
Ratio of expenses to
average net assets..... 0.74% 0.73%(c) 0.77% 0.76% 0.80%
Ratio of net investment
income to average net
assets................. 5.65% 5.70%(c) 5.65% 5.48% 5.69%
Ratio of expenses to
average net assets*.... 0.96% 0.98%(c) 1.02% 0.99% 1.03%
Portfolio turnover (d)... 39.31% 39.31% 64.89% 29.56% 38.11%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares.
(b) Represents total return based on activity of Classic Shares for the period
from August 1, 1997 to September 1, 1997 and the activity of Premier
Shares for the period from September 2, 1997 to July 31, 1998. Total
return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 6.37%.
(c) Annualized.
(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-122-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Government Income Fund
--------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
------------------------- ----------------
Class A (a) Trust (b) Classic Premier
----------- ----------- ------- -------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
Net Asset Value, Beginning of
Period............................. $ 9.62 $ 9.62 $ 9.88 $ 9.87
------ ------ ------ ------
Investment Activities
Net investment income (loss)....... 0.29 0.30 0.54 0.54
Net realized and unrealized gains
(losses) from investments......... (0.19) (0.19) (0.28) (0.26)
------ ------ ------ ------
Total from Investment Activities... 0.10 0.11 0.26 0.28
------ ------ ------ ------
Distributions
Net investment income.............. (0.26) (0.27) (0.52) (0.53)
------ ------ ------ ------
Total Distributions................ (0.26) (0.27) (0.52) (0.53)
------ ------ ------ ------
Net Asset Value, End of Period...... $ 9.46 $ 9.46 $ 9.62 $ 9.62
====== ====== ====== ======
Total Return (excludes sales
charge)............................ 1.07%(c) 1.22%(c) 2.62% 2.72%
Ratios/Supplemental Data:
Net Assets at end of period (000).. $3,913 $4,037 $5,436 $3,150
Ratio of expenses to average net
assets............................ 0.74%(d) 0.64%(d) 0.70% 0.60%
Ratio of net investment income to
average net assets................ 5.84%(d) 5.97%(d) 5.35% 5.44%
Ratio of expenses to average net
assets*........................... 2.05%(d) 1.80%(d) 1.90% 1.65%
Portfolio turnover (e).............. 16.53% 16.53% 26.85% 26.85%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-123-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Government Income Fund
---------------------------------------------------
Year Ended Year Ended
July 31, 1998 July 31,
----------------------- -------------------------
Classic (a) Premier (a) 1997 1996 1995
----------- ----------- ------- ------- -------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning
of Period................. $ 9.75 $ 9.66 $ 9.40 $ 9.54 $ 9.48
------ ------ ------- ------- -------
Investment Activities
Net investment income
(loss)................... 0.63 0.59 0.58 0.66 0.68
Net realized and
unrealized gains (losses)
from investments......... 0.09 0.17 0.35 (0.20) 0.08
------ ------ ------- ------- -------
Total from Investment
Activities............... 0.72 0.76 0.93 0.46 0.76
------ ------ ------- ------- -------
Distributions
Net investment income..... (0.53) (0.49) (0.58) (0.59) (0.70)
In excess of net
investment income........ (0.06) (0.06) -- -- --
Tax return of capital..... -- -- -- (0.01) --
------ ------ ------- ------- -------
Total Distributions....... (0.59) (0.55) (0.58) (0.60) (0.70)
------ ------ ------- ------- -------
Net Asset Value, End of
Period.................... $ 9.88 $ 9.87 $ 9.75 $ 9.40 $ 9.54
====== ====== ======= ======= =======
Total Return (excludes
sales charge)............. 7.58% 7.58%(b) 10.21% 4.91% 8.43%
Ratios/Supplemental Data:
Net Assets at end of
period (000)............. $8,176 $2,521 $11,622 $15,752 $16,679
Ratio of expenses to
average net assets....... 0.71% 0.63%(c) 0.69% 0.65% 0.58%
Ratio of net investment
income to average net
assets................... 5.95% 5.72%(c) 5.98% 6.81% 7.18%
Ratio of expenses to
average net assets*...... 1.77% 1.80%(c) 1.29% 1.10% 1.19%
Portfolio turnover (d)..... 34.89% 34.89% 2.96% 78.31% 27.32%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 8.04%.
(c) Annualized.
(d) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-124-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Bond Fund
------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
------------------------------------------ --------------------------
Class A (a) Trust (b) Class B Classic Premier Class B
----------- ----------- ----------- ------- -------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $10.63 $ 10.63 $10.60 $11.05 $ 11.05 $11.04
------ -------- ------ ------ -------- ------
Investment Activities
Net investment income
(loss)................ 0.29 0.29 0.24 0.61 0.61 0.50
Net realized and
unrealized gains
(losses) from
investments........... (0.32) (0.31) (0.30) (0.32) (0.30) (0.31)
------ -------- ------ ------ -------- ------
Total from Investment
Activities............ (0.03) (0.02) (0.06) 0.29 0.31 0.19
------ -------- ------ ------ -------- ------
Distributions
Net investment income.. (0.29) (0.30) (0.25) (0.58) (0.60) (0.50)
Net realized gains from
investment
transactions.......... (0.02) (0.02) (0.02) (0.13) (0.13) (0.13)
------ -------- ------ ------ -------- ------
Total Distributions.... (0.31) (0.32) (0.27) (0.71) (0.73) (0.63)
------ -------- ------ ------ -------- ------
Net Asset Value, End of
Period................. $10.29 $ 10.29 $10.27 $10.63 $ 10.63 $10.60
====== ======== ====== ====== ======== ======
Total Return (excludes
sales charge).......... (0.24)%(c) (0.18)%(c) (0.68)%(c) 2.58% 2.68% 1.58%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $6,878 $377,298 $2,406 $7,070 $380,226 $2,521
Ratio of expenses to
average net assets.... 0.82%(d) 0.72%(d) 1.72%(d) 0.81% 0.71% 1.71%
Ratio of net investment
income to average net
assets................ 5.43%(d) 5.52%(d) 4.53%(d) 5.46% 5.57% 4.63%
Ratio of expenses to
average net assets*... 1.21%(d) 0.96%(d) 1.95%(d) 1.20% 0.95% 1.95%
Portfolio turnover (e).. 15.16% 15.16% 15.16% 18.26% 18.26% 18.26%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-125-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Bond Fund
--------------------------------------------------------------------
Year Ended July 31,
Year Ended July 31, ---------------------------
1998 1997 1996 1995
-------------------------------------- -------- -------- -------
Classic (a) Premier (a) Class B (b)
----------- ----------- -----------
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $10.92 $ 10.72 $10.88 $ 10.54 $ 10.83 $ 10.59
------ -------- ------ -------- -------- -------
Investment Activities
Net investment income
(loss)................ 1.41 0.57 0.46 0.65 0.65 0.69
Net realized and
unrealized gains
(losses) from
investments........... (0.62) 0.38 0.24 0.42 (0.18) 0.28
------ -------- ------ -------- -------- -------
Total from Investment
Activities............ 0.79 0.95 0.70 1.07 0.47 0.97
------ -------- ------ -------- -------- -------
Distributions
Net investment income.. (0.63) (0.59) (0.51) (0.69) (0.65) (0.69)
Net realized gains from
investment
transactions.......... (0.03) (0.03) (0.03) -- (0.11) (0.04)
------ -------- ------ -------- -------- -------
Total Distributions.... (0.66) (0.62) (0.54) (0.69) (0.76) (0.73)
------ -------- ------ -------- -------- -------
Net Asset Value, End of
Period................. $11.05 $ 11.05 $11.04 $ 10.92 $ 10.54 $ 10.83
====== ======== ====== ======== ======== =======
Total Return (excludes
sales charge).......... 7.45% 7.54%(c) 6.58%(d) 10.48% 4.40% 9.70%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $7,032 $327,930 $ 442 $311,881 $132,737 $94,671
Ratio of expenses to
average net assets.... 0.73% 0.73%(e) 1.74%(e) 0.75% 0.75% 0.75%
Ratio of net investment
income to average net
assets................ 5.78% 5.72%(e) 4.75%(e) 6.10% 6.12% 6.63%
Ratio of expenses to
average net assets*... 0.95% 0.97%(e) 1.99%(e) 0.98% 0.98% 0.98%
Portfolio turnover (f).. 40.41% 40.41% 40.41% 34.62% 9.60% 17.70%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) For the period from September 16, 1997 (commencement of operations)
through July 31, 1998.
(c) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Premier Shares for the period from September 2, 1997
(commencement of operations) through July 31, 1998 was 9.03%.
(d) Not annualized.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-126-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Municipal Bond Fund
----------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
------------------------------------------ ------------------------------
Class A (a) Trust (b) Class B Classic Premier Class B (f)
----------- ----------- ----------- ------- -------- -----------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 9.87 $ 9.87 $ 9.87 $10.13 $ 10.14 $10.28
------ -------- ------ ------ -------- ------
Investment Activities
Net investment income
(loss)................ 0.20 0.21 0.13 0.41 0.42 0.14
Net realized and
unrealized gains
(losses) from
investments........... (0.32) (0.32) (0.29) (0.17) (0.18) (0.41)
------ -------- ------ ------ -------- ------
Total from Investment
Activities............ (0.12) (0.11) (0.16) 0.24 0.24 (0.27)
------ -------- ------ ------ -------- ------
Distributions
Net investment income.. (0.20) (0.21) (0.17) (0.39) (0.40) (0.14)
Net realized gains from
investment
transactions.......... (0.05) (0.05) (0.05) (0.11) (0.11) --
------ -------- ------ ------ -------- ------
Total Distributions.... (0.25) (0.26) (0.22) (0.50) (0.51) (0.14)
------ -------- ------ ------ -------- ------
Net Asset Value, End of
Period................. $ 9.50 $ 9.50 $ 9.49 $ 9.87 $ 9.87 $ 9.87
====== ======== ====== ====== ======== ======
Total Return (excludes
sales charge).......... (1.21)%(c) (1.17)%(c) (1.65)%(c) 2.31% 2.30% (2.60)%(c)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $2,417 $354,854 $ 242 $2,694 $321,293 $ 16
Ratio of expenses to
average net assets.... 0.72%(d) 0.62%(d) 1.63%(d) 0.71% 0.61% 1.60%(d)
Ratio of net investment
income to average net
assets................ 4.13%(d) 4.23%(d) 3.25%(d) 4.01% 4.11% 3.17%(d)
Ratio of expenses to
average net assets*... 1.21%(d) 0.96%(d) 1.96%(d) 1.20% 0.95% 1.87%(d)
Portfolio turnover (e).. 1.98% 1.98% 1.98% 20.74% 20.74% 20.74%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly Classic Shares.
(b) Formerly Premier Shares.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
(f) For the period from February 3, 1999 (commencement of operations) through
July 31, 1999.
See notes to financial statements.
-127-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Municipal Bond Fund
---------------------------------------
Year Ended July 1, 1997
July 31, July 31,
1998 1997 (a)
----------------------- ------------
Classic (b) Premier (b)
----------- -----------
<S> <C> <C> <C>
Net Asset Value, Beginning of Period.. $ 10.15 $ 10.04 $ 10.00
------- -------- --------
Investment Activities
Net investment income (loss)......... 0.86 0.39 0.04
Net realized and unrealized gains
(losses) from investments........... (0.43) 0.14 0.15
------- -------- --------
Total from Investment Activities..... 0.43 0.53 0.19
------- -------- --------
Distributions
Net investment income................ (0.42) (0.40) (0.04)
Net realized gains from investment
transactions........................ (0.03) (0.03) --
------- -------- --------
Total Distributions.................. (0.45) (0.43) (0.04)
------- -------- --------
Net Asset Value, End of Period........ $ 10.13 $ 10.14 $ 10.15
======= ======== ========
Total Return (excludes sales charge).. 4.30% 4.49%(d) 1.86%(c)
Ratios/Supplemental Data:
Net Assets at end of period (000).... $ 2,689 $326,464 $337,933
Ratio of expenses to average net
assets.............................. 0.62% 0.64%(e) 0.71%(e)
Ratio of net investment income to
average net assets.................. 4.26% 4.23%(e) 4.31%(e)
Ratio of expenses to average net
assets*............................. 0.92% 0.97%(e) 1.04%(e)
Portfolio turnover (f)................ 28.75% 28.75% 1.59%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Period from commencement of operations.
(b) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(c) Not annualized.
(d) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Municipal Bond Fund Premier Shares for the period
from September 2, 1997 (commencement of operations) through July 31, 1998
was 5.27%.
(e) Annualized.
(f) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-128-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Florida Tax-Exempt Fund (a)
--------------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
----------------------------------------- -----------------------------
Class A (b) Trust (c) Class B Classic Premier Class B (f)
----------- ----------- ----------- ------- ------- -----------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $10.22 $ 10.22 $10.20 $ 10.45 $ 10.46 $10.52
------ ------- ------ ------- ------- ------
Investment Activities
Net investment income
(loss)................ 0.21 0.21 0.16 0.41 0.43 0.12
Net realized and
unrealized gains
(losses) from
investments........... (0.30) (0.29) (0.28) (0.18) (0.20) (0.30)
------ ------- ------ ------- ------- ------
Total from Investment
Activities............ (0.09) (0.08) (0.12) 0.23 0.23 (0.18)
------ ------- ------ ------- ------- ------
Distributions
Net investment income.. (0.21) (0.21) (0.17) (0.40) (0.41) (0.14)
Net realized gains from
investment
transactions.......... (0.03) (0.03) (0.03) (0.06) (0.06) --
------ ------- ------ ------- ------- ------
Total Distributions.... (0.24) (0.24) (0.20) (0.46) (0.47) (0.14)
------ ------- ------ ------- ------- ------
Net Asset Value, End of
Period................. $ 9.89 $ 9.90 $ 9.88 $ 10.22 $ 10.22 $10.20
====== ======= ====== ======= ======= ======
Total Return (excludes
sales charge).......... (0.84)%(d) (0.79)%(d) (1.26)%(d) 2.06% 2.16% (1.77)%(d)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $5,904 $63,932 $ 771 $12,195 $63,548 $ 569
Ratio of expenses to
average net assets.... 0.65%(e) 0.56%(e) 1.56%(e) 0.59% 0.49% 1.49%(e)
Ratio of net investment
income to average net
assets................ 4.11%(e) 4.21%(e) 3.22%(e) 4.00% 4.10% 3.06%(e)
Ratio of expenses to
average net assets*... 1.30%(e) 1.06%(e) 2.06%(e) 1.26% 1.01% 2.00%(e)
Portfolio turnover (g).. 4.73% 4.73% 4.73% 34.33% 34.33% 34.33%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the Florida Tax-Free Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) Not annualized.
(e) Annualized.
(f) For the period from March 16, 1999 (commencement of operations) through
July 31, 1999.
(g) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
See notes to financial statements.
-129-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Florida Tax-Exempt Fund
------------------------------------------------------------------
Year Ended July 31, September 30, 1994
Year Ended July 31, -------------------- to July 31,
1998 1997 1996 1995 (f)
----------------------- --------- --------- ------------------
Classic (a) Premier (a)
----------- -----------
<S> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $10.50 $ 10.39 $ 10.30 $ 10.32 $ 10.00
------ ------- --------- --------- -------
Investment Activities
Net investment income
(loss)................ 0.45 0.41 0.45 0.45 0.34
Net realized and
unrealized gains
(losses) from
investments........... 0.01 0.14 0.24 (0.01) 0.30
------ ------- --------- --------- -------
Total from Investment
Activities............ 0.46 0.55 0.69 0.44 0.64
------ ------- --------- --------- -------
Distributions
Net investment income.. (0.44) (0.41) (0.48) (0.45) (0.32)
Net realized gains from
investment
transactions.......... (0.07) (0.07) (0.01) (0.01) --
------ ------- --------- --------- -------
Total Distributions.... (0.51) (0.48) (0.49) (0.46) (0.32)
------ ------- --------- --------- -------
Net Asset Value, End of
Period................. $10.45 $ 10.46 $ 10.50 $ 10.30 $ 10.32
====== ======= ========= ========= =======
Total Return (excludes
sales charge).......... 4.46% 4.66%(b) 6.89% 4.24% 6.53%(c)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $8,663 $55,369 $ 53,688 $ 48,869 $48,333
Ratio of expenses to
average net assets.... 0.55% 0.49%(d) 0.57% 0.59% 0.70%(d)
Ratio of net investment
income to average net
assets................ 4.24% 4.30%(d) 4.36% 4.33% 4.16%(d)
Ratio of expenses to
average net assets*... 1.06% 1.04%(d) 1.06% 1.04% 1.01%(d)
Portfolio turnover (e).. 29.55% 29.55% 24.05% 12.21% 2.33%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective September 2, 1997, the Fund's existing shares, which were
previously unclassified, were designated either Classic Shares or Premier
Shares. For reporting purposes, past performance numbers (prior to
September 2, 1997) are being reflected as Classic Shares.
(b) Represents total return based on the activity of Classic Shares for the
period from August 1, 1997 to September 1, 1997 and the activity of
Premier Shares for the period from September 2, 1997 to July 31, 1998.
Total return for the Florida Tax-Free Fund Fund Premier Shares for the
period from September 2, 1997 (commencement of operations) through July
31, 1998 was 5.40%.
(c) Not annualized.
(d) Annualized.
(e) Portfolio turnover is calculated on the basis of the Fund as a whole
without distinguishing between the classes of shares issued.
(f) Period from commencement of operations.
See notes to financial statements.
-130-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
U.S. Treasury Money Market Fund (a)
-----------------------------------------------------------------
Six Months Ended Year Ended Year Ended
January 31, July 31, July 31,
2000 1999 1998
------------------------- ----------------- -----------------
Class A (b) Trust (c) Classic Premier Classic Premier
----------- ----------- ------- -------- ------- --------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
------- -------- ------- -------- ------- --------
Investment Activities
Net investment income.. 0.021 0.022 0.040 0.041 0.046 0.047
------- -------- ------- -------- ------- --------
Distributions
Net investment income.. (0.021) (0.022) (0.040) (0.041) (0.046) (0.047)
------- -------- ------- -------- ------- --------
Net Asset Value, End of
Period................. $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
======= ======== ======= ======== ======= ========
Total Return............ 2.15%(d) 2.21%(d) 4.06% 4.16% 4.67% 4.77%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $ 5,448 $294,715 $ 4,390 $320,847 $ 8,070 $352,055
Ratio of expenses to
average net assets.... 0.81%(e) 0.70%(e) 0.79% 0.69% 0.80% 0.70%
Ratio of net investment
income to average net
assets................ 4.25%(e) 4.33%(e) 4.03% 4.10% 4.57% 4.67%
Ratio of expenses to
average net assets*... 0.96%(e) 0.71%(e) 0.95% 0.70% 0.95% 0.70%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the U.S. Treasury Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) Not annualized.
(e) Annualized.
See notes to financial statements.
-131-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
U.S. Treasury Money Market Fund
-------------------------------------------------------
Year Ended Year Ended Year Ended
July 31, July 31, July 31,
1997 1996 1995
----------------- ------------------------- ----------
Classic Premier Classic (a) Premier (a)
------- -------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
------ -------- ------- -------- --------
Investment Activities
Net investment income.. 0.045 0.046 0.015 0.048 0.048
------ -------- ------- -------- --------
Distributions
Net investment income.. (0.045) (0.046) (0.015) (0.048) (0.048)
------ -------- ------- -------- --------
Net Asset Value, End of
Period................. $1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
====== ======== ======= ======== ========
Total Return............ 4.60% 4.70% 4.90%(b) 4.93% 4.90%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $9,885 $309,361 $12,263 $368,162 $322,939
Ratio of expenses to
average net assets.... 0.79% 0.69% 0.82%(c) 0.71% 0.70%
Ratio of net investment
income to average net
assets................ 4.50% 4.60% 4.44%(c) 4.82% 4.81%
Ratio of expenses to
average net assets*... 0.94% (d) 0.97%(c) (d) (d)
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective April 1, 1996, the Fund's existing shares, which were previously
unclassified, were designated as Premier Shares, and the Fund commenced
offering Classic Shares.
(b) Represents total return for the Premier Shares for the period from August
1, 1995 to March 31, 1996 plus the total return for the Classic Shares for
the period from April 1, 1996 to July 31, 1996. Total return for the
Classic Shares for the period April 1, 1996 (commencement of operations)
to July 31, 1996 was 1.49%.
(c) Annualized.
(d) There were no waivers during the period.
See notes to financial statements.
-132-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Prime Money Market Fund (a)
-----------------------------------------------------------------------
Six Months Ended Year Ended
January 31, July 31,
2000 1999
----------------------------------------- ---------------------------
Class A (b) Trust (c) Class B Classic Premier Class B
----------- ----------- ----------- -------- -------- -------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 1.000 $ 1.000 $1.000 $ 1.000 $ 1.000 $1.000
-------- -------- ------ -------- -------- ------
Investment Activities
Net investment income.. 0.024 0.024 0.019 0.044 0.045 0.035
-------- -------- ------ -------- -------- ------
Distributions
Net investment income.. (0.024) (0.024) (0.019) (0.044) (0.045) (0.035)
-------- -------- ------ -------- -------- ------
Net Asset Value, End of
Period................. $ 1.000 $ 1.000 $1.000 $ 1.000 $ 1.000 $1.000
======== ======== ====== ======== ======== ======
Total Return............ 2.39%(d) 2.44%(d) 1.93%(d) 4.48% 4.59% 3.55%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $141,444 $531,997 $ 684 $136,078 $536,899 $ 224
Ratio of expenses to
average net assets.... 0.80%(e) 0.70%(e) 1.71%(e) 0.78% 0.68% 1.69%
Ratio of net investment
income to average net
assets................ 4.70%(e) 4.80%(e) 3.87%(e) 4.40% 4.51% 3.39%
Ratio of expenses to
average net assets*... 0.95%(e) 0.70%(e) 1.71%(e) 0.94% 0.69% 1.70%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the Prime Obligations Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) Not annualized.
(e) Annualized.
See notes to financial statements.
-133-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Prime Money Market Fund
----------------------------------------------------
Year Ended Year Ended
July 31, July 31,
1998 1997
------------------------------- ------------------
Classic Premier Class B (a) Classic Premier
-------- -------- ----------- -------- --------
<S> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 1.000 $ 1.000 $1.000 $ 1.000 $ 1.000
-------- -------- ------ -------- --------
Investment Activities
Net investment income.. 0.049 0.050 0.005 0.048 0.049
-------- -------- ------ -------- --------
Distributions
Net investment income.. (0.049) (0.050) (0.005) (0.048) (0.049)
-------- -------- ------ -------- --------
Net Asset Value, End of
Period................. $ 1.000 $ 1.000 $1.000 $ 1.000 $ 1.000
======== ======== ====== ======== ========
Total Return............ 4.99% 5.09% 0.49%(b) 4.90% 5.00%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $116,960 $479,974 $ 1 $111,027 $416,966
Ratio of expenses to
average net assets.... 0.79% 0.69% 1.85%(c) 0.78% 0.68%
Ratio of net investment
income to average net
assets................ 4.88% 4.98% 3.83%(c) 4.79% 4.89%
Ratio of expenses to
average net assets*... 0.95% 0.70% 1.88%(c) 0.93% (d)
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) For the period from June 15, 1998 (commencement of operations) through July
31, 1998.
(b) Not annualized.
(c) Annualized.
(d) There were no waivers during the period.
See notes to financial statements.
-134-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Prime Money Market Fund
-------------------------------------
Year Ended Year Ended
July 31, July 31,
1996 1995
-------------------------- ----------
Classic (a) Premier (a)
----------- -----------
<S> <C> <C> <C>
Net Asset Value, Beginning of Period...... $ 1.000 $ 1.000 $ 1.000
-------- -------- --------
Investment Activities
Net investment income.................... 0.016 0.050 0.050
-------- -------- --------
Distributions
Net investment income.................... (0.016) (0.050) (0.050)
-------- -------- --------
Net Asset Value, End of Period............ $ 1.000 $ 1.000 $ 1.000
======== ======== ========
Total Return.............................. 5.07%(b) 5.10% 5.14%
Ratios/Supplemental Data:
Net Assets at end of period (000)........ $125,075 $478,542 $617,673
Ratio of expenses to average net assets.. 0.81%(c) 0.71% 0.69%
Ratio of net investment income to average
net assets.............................. 4.61%(c) 5.00% 5.04%
Ratio of expenses to average net assets*. 0.96%(c) (d) (d)
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective April 1, 1996, the Fund's existing shares, which were previously
unclassified, were designated as Premier Shares, and the Fund commenced
offering Classic Shares.
(b) Represents total return for the Premier Shares for the period from August
1, 1995 to March 31, 1996 plus the total return for the Classic Shares for
the period from April 1, 1996 to July 31, 1996. Total return for the
Classic Shares for the period April 1, 1996 (commencement of operations)
to July 31, 1996 was 1.55%.
(c) Annualized.
(d) There were no waivers during the period.
See notes to financial statements.
-135-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Institutional Prime Obligations Fund
-----------------------------------------------------------------------------------
Six Months Ended September 15, 1998
January 31, to July 31,
2000 1999 (a)
---------------------------------------- ----------------------------------------
Class I Class II Class III Class I Class II (b) Class III (c)
----------- ----------- ----------- ------- ------------ -------------
(Unaudited) (Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
-------- ------- ------- ------- ------- -------
Investment Activities
Net investment income.. 0.027 0.025 0.024 0.042 0.020 0.018
-------- ------- ------- ------- ------- -------
Distributions
Net investment income.. (0.027) (0.025) (0.024) (0.042) (0.020) (0.018)
-------- ------- ------- ------- ------- -------
Net Asset Value, End of
Period................. $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
======== ======= ======= ======= ======= =======
Total Return............ 2.70%(d) 2.57%(d) 2.44%(d) 4.31%(d) 1.96%(d) 1.84%(d)
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $118,474 $55,952 $40,823 $69,458 $26,000 $13,575
Ratio of expenses to
average net assets.... 0.20%(e) 0.46%(e) 0.71%(e) 0.22%(e) 0.49%(e) 0.74%(e)
Ratio of net investment
income to average net
assets................ 5.34%(e) 5.12%(e) 4.90%(e) 4.82%(e) 4.45%(e) 4.22%(e)
Ratio of expenses to
average net assets*... 0.42%(e) 0.67%(e) 0.93%(e) 0.45%(e) 0.72%(e) 0.97%(e)
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Period from commencement of operations.
(b) For the period from February 19, 1999 (commencement of operations) through
July 31, 1999.
(c) For the period from February 22, 1999 (commencement of operations) through
July 31, 1999.
(d) Not annualized.
(e) Annualized.
See notes to financial statements.
-136-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Tax-Exempt Money Market Fund (a)
--------------------------------------------------------------
Six Months Ended Year Ended Year Ended
January 31, 2000 July 31, 1999 July 31, 1998
------------------------- ---------------- ----------------
Class A (b) Trust (c) Classic Premier Classic Premier
----------- ----------- ------- ------- ------- -------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
------- ------- ------- ------- ------- -------
Investment Activities
Net investment income.. 0.014 0.015 0.026 0.027 0.030 0.031
------- ------- ------- ------- ------- -------
Distributions
Net investment income.. (0.014) (0.015) (0.026) (0.027) (0.030) (0.031)
------- ------- ------- ------- ------- -------
Net Asset Value, End of
Period................. $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
======= ======= ======= ======= ======= =======
Total Return............ 1.45%(d) 1.50%(d) 2.66% 2.76% 3.03% 3.13%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $31,433 $63,700 $22,844 $73,880 $28,657 $62,084
Ratio of expenses to
average net assets.... 0.61%(e) 0.51%(e) 0.59% 0.49% 0.60% 0.50%
Ratio of net investment
income to average net
assets................ 2.87%(e) 2.95%(e) 2.64% 2.71% 2.97% 3.07%
Ratio of expenses to
average net assets*... 0.99%(e) 0.74%(e) 0.98% 0.73% 0.98% 0.73%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Formerly the Tax-Exempt Fund.
(b) Formerly Classic Shares.
(c) Formerly Premier Shares.
(d) Not annualized.
(e) Annualized.
See notes to financial statements.
-137-
<PAGE>
AMSOUTH FUNDS
Financial Highlights
<TABLE>
<CAPTION>
Tax-Exempt Money Market Fund
------------------------------------------------------
Year Ended Year Ended Year Ended
July 31, July 31, July 31,
1997 1996 1995
---------------- ------------------------- ----------
Classic Premier Classic (a) Premier (a)
------- ------- ----------- -----------
<S> <C> <C> <C> <C> <C>
Net Asset Value,
Beginning of Period.... $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
------- ------- ------- ------- -------
Investment Activities
Net investment income.. 0.030 0.031 0.010 0.031 0.032
------- ------- ------- ------- -------
Distributions
Net investment income.. (0.030) (0.031) (0.010) (0.031) (0.032)
------- ------- ------- ------- -------
Net Asset Value, End of
Period................. $ 1.000 $ 1.000 $ 1.000 $ 1.000 $ 1.000
======= ======= ======= ======= =======
Total Return............ 3.04% 3.15% 3.12%(b) 3.15% 3.22%
Ratios/Supplemental
Data:
Net Assets at end of
period (000).......... $27,926 $55,429 $17,116 $43,611 $57,640
Ratio of expenses to
average net assets.... 0.62% 0.52% 0.68%(c) 0.54% 0.54%
Ratio of net investment
income to average net
assets................ 3.00% 3.10% 2.82%(c) 3.11% 3.15%
Ratio of expenses to
average net assets*... 0.97% 0.72% 1.03%(c) 0.74% 0.74%
</TABLE>
- --------
* During the period, certain fees were voluntarily reduced. If such voluntary
fee reductions had not occurred, the ratios would have been as indicated.
(a) Effective April 1, 1996, the Fund's existing shares, which were previously
unclassified, were designated as Premier Shares, and the Fund commenced
offering Classic Shares.
(b) Represents total return for the Premier Shares for the period from August
1, 1995 to March 31, 1996 plus the total return for the Classic Shares for
the period from April 1, 1996 to July 31, 1996. Total return for the
Classic Shares for the period April 1, 1996 (commencement of operations)
through July 31, 1996 was 0.95%.
(c) Annualized.
See notes to financial statements.
-138-
<PAGE>
AMSOUTH FUNDS
Supplemental Information
Results of Shareholder Meeting
(Unaudited)
Proxy:
On February 22, 2000, a Special Meeting of Shareholders of the AmSouth Regional
Equity Fund was held to consider the following proposal. The actual vote
tabulation is as follows:
Proposal:
To approve a plan of reorganization by AmSouth Funds providing for the transfer
of all of the assets of AmSouth Regional Equity Fund ("AmSouth Regional
Equity") to AmSouth Value Fund ("AmSouth Value") in exchange for shares of
AmSouth Value Fund.
<TABLE>
<CAPTION>
Fund Affirmative Against Abstain
- ---- ----------- ------- -------
<S> <C> <C> <C>
AmSouth Regional Equity Fund........................ 1,696,021 25,546 8,304
</TABLE>
-139-
<PAGE>
INVESTMENT ADVISOR [LOGO OF AMSOUTH MUTUAL FUNDS]
[LOGO OF AMSOUTH] SEMI-ANNUAL REPORT
AmSouth Bank January 31, 2000
1901 Sixth Avenue North
Birmingham, AL 35203
Investment Sub-Advisors
(Equity Income Fund Only)
Rockhaven Asset Management, LLC
100 First Avenue, Suite 1050
Pittsburgh, PA 15222
(Capital Growth Fund Only)
Peachtree Asset Management
A Division of Solomon Smith Barney
Fund Management, LLC
One Peachtree Center
Atlanta, GA 30308
(Small Cap Fund Only)
Sawgrass Asset Management, LLC
4337 Pablo Oaks Court
Jacksonville, FL 32224
(Select Equity and Enhanced Market Funds)
Oakbrook Investments, LLC
701 Warrenville Road, Suite 135
Lisle, IL 60532
DISTRIBUTOR
BISYS Fund Services
3435 Stelzer Road
Columbus, OH 43219
LEGAL COUNSEL
Ropes & Gray
One Franklin Square
1301 K Street, N.W.
Suite 800 East
Washington, DC 20005
TRANSFER AGENT
BISYS Fund Services Ohio, Inc.
3435 Stelzer Road
Columbus, OH 43219
AUDITORS
Ernst & Young LLP
10 West Broad St.
Columbus, OH 43215
[LOGO OF AMSOUTH]
AMSOUTH BANK
Investment Advisor
