<PAGE>
[LOGO]
THE STRONG
CASH MANAGEMENT
FUNDS
- ------------------------------------
SEMI-ANNUAL REPORT - AUGUST 31, 1999
[PHOTO OF STRONG FUNDS HEADQUARTERS IN BACKGROUND]
The Strong Advantage Fund
The Strong Municipal Advantage Fund
The Strong Heritage Money Fund
The Strong Investors Money Fund
The Strong Money Market Fund
The Strong Municipal Money Market Fund
<PAGE>
LETTER FROM THE CHAIRMAN
Dear Strong Investor,
A few months back, I sent a letter to some of our shareholders describing a
recent business trip to Indianapolis. I said that everywhere I went--every
highway traveled, every side street ventured down, bulldozers, cranes and
backhoes were hard at work.
Indianapolis, like most American cities we visit these days, is in the midst of
a spectacular building boom. A sea of yellow construction equipment is washing
over the nation's landscape.
It is the latest chapter in the unbelievable economic expansion that has blessed
this country--almost without pause--since 1982. The signs of prosperity are
everywhere:
- Highways jammed with people on their way to do business.
- "Help Wanted" signs in more store windows than most of us have ever seen
at one time.
- Consumer confidence is at an all-time high. Shopping carts are stuffed
with personal computers, printers, software and all sorts of related
high-tech equipment transforming the lives of Americans.
- Restaurants are packed almost every night of the week with people who have
money to spend.
As we make our way through the last quarter of the last year of the 20th
Century, we are fortunate to be living in one of the greatest booms in
recorded history. We should be grateful for the opportunity to live in these
incredibly prosperous times. We also ought to remember that nothing lasts
forever.
The nation's economic engine is running near full capacity. After eight years
of continuous growth, the American economy is beginning to overheat. It's that
strain on the system that has Mr. Greenspan's Federal Reserve, which is
responsible for managing the economy and keeping inflation at reasonable levels,
obviously concerned.
Though the current batch of inflation indicators don't seem too threatening, the
Fed is wise to keep a sharp eye on the system. The economy can only grow so fast
and still remain healthy. If it gains too much speed--like a car heading down a
steep slope--it runs the risk of careening out of control. It's the Fed's job to
provide just the right mix of acceleration and braking.
The Federal Reserve has an awesome responsibility. While they want the economy
to move ahead, they can't let their hopes override common sense. The Fed has
become increasingly worried about excessive valuations in the stock market and
the possibility that, left unchecked, a financial bubble could occur.
Here at Strong, we are bullish on America's prospects for the 21st Century.
Long term, we believe interest rates are headed down. But, in the short term,
expectations of what the stock market and the U.S. economy can continue to
deliver seem inflated. For that reason, this could be a good time to complement
your portfolio's stock holdings with more conservative money market and
short-term bond funds.
/s/ Dick
<PAGE>
THE STRONG CASH
MANAGEMENT FUNDS
---------
SEMI-ANNUAL REPORT - AUGUST 31, 1999
TABLE OF CONTENTS
INVESTMENT REVIEWS
The Strong Advantage Fund ............................................2
The Strong Municipal Advantage Fund ..................................4
The Strong Heritage Money Fund .......................................6
The Strong Investors Money Fund ......................................8
The Strong Money Market Fund ........................................10
The Strong Municipal Money Market Fund ..............................12
BOND GLOSSARY ............................................................14
FINANCIAL INFORMATION
Schedules of Investments in Securities ..............................15
Statements of Assets and Liabilities ................................51
Statements of Operations ............................................52
Statements of Changes in Net Assets .................................53
Notes to Financial Statements .......................................55
FINANCIAL HIGHLIGHTS .....................................................58
<PAGE>
THE STRONG ADVANTAGE FUND
-------------------------
PERSPECTIVES
FROM THE MANAGERS
/s/ Jeffrey A. Koch /s/Thomas Sontag
Jeffrey A. Koch Thomas Sontag
Portfolio Co-manager Portfolio Co-manager
- --------------------------------------------------------------------------------
The recent period can be described as one of changing expectations. In the early
part of the year, the market anticipated a slowing in the U. S. economy as a
lagging effect from the economic slowdown overseas. Many economists were warning
of the dangers of deflation and the impact that such an environment would have
on the economy. Instead of an economic downturn, however, signs of inflation
began to appear. The report of a 0.7% increase in the Consumer Price Index in
May jolted the bond markets. The Federal Reserve was quick to respond to these
perceived inflationary pressures, raising interest rates in two consecutive
meetings. This Fed action unwound most of the lowering of rates it had
implemented during the credit contraction in the fall of 1998.
In anticipation of the U.S. economy's continued strength, we shortened the
Fund's duration to minimize the adverse effect that a rising rate environment
has on fixed income funds. By the end of March, we had reduced duration to 0.5
years, a defensive positioning for rising rates. By the end of August, however,
we believed that most of the rate increases were behind us, and had accordingly
extended the Fund's duration out to 0.9 years.
- ------------------------
THE RESULTING SUPPLY/DEMAND IMBALANCE IN THE CREDIT MARKETS,......
PRESENTS MANY OPPORTUNITIES TO INVEST IN HIGHER-YIELDING ASSETS WITHOUT
INCURRING UNDUE RISK.
- ------------------------
Currently, corporate and mortgage-backed securities enjoy unusually large yield
advantages relative to United States Treasury securities. Usually, large yield
spreads like the ones we're seeing now are the result of fears of declining
- --------------------------------------------------------------------------------
From time to time, the Fund's advisor has waived its management fee and/or
absorbed Fund expenses, which has resulted in higher returns.
(1) Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change while
total return reflects aggregate change, and is not annualized.
(2) Yield is annualized for the 30 days ended 8-31-99, is historical, and will
vary.
(3) The Fund's average effective maturity includes the effect of futures and
when-issued securities.
[SIDENOTE]
FUND
HIGHLIGHTS
- - The Strong Advantage Fund returned 2.28% for the six months ended August 31,
1999.
- - The Fund's primary exposure was to corporate debt and mortgage-backed
securities which provided it with a substantial yield advantage over U.S.
government bonds.
- - Anticipating a rising interest-rate environment, we positioned the Fund to
dampen its impact.
- ----------------------------------
AVERAGE ANNUAL
TOTAL RETURNS(1)
AS OF 8-31-99
1-year 4.43%
3-year 5.72%
5-year 6.01%
10-year 6.72%
Since Inception 7.06%
(on 11-25-88)
- ----------------------------------
PORTFOLIO
STATISTICS
AS OF 8-31-99
30-day annualized yield(2) 6.42%
Average effective maturity(3) .9 years
Average quality rating(4) A
2
<PAGE>
credit quality or heightened rates of mortgage prepayments. But right now,
corporate earnings remain strong and mortgage prepayment rates are falling. So
it's reasonable to ask, what's going on?
The answer is that issuers of corporate and asset-backed bonds have been rushing
new issues to market in anticipation of a Y2K slowdown. The amount of new bond
issuance that would normally be spread out over the second, third, and fourth
quarters has been compressed into two quarters. The resulting supply/demand
imbalance in the credit markets, which we believe will correct itself over
the course of the next few quarters, presents many opportunities to invest in
higher-yielding assets without incurrings undue risk. As a result, we believe
the climate for the Advantage Fund will be very attractive over the next 6-12
months. Higher yields on the types of bonds that we invest in gives us an even
bigger income advantage over money market funds. If the fixed income market
returns to a more normalized environment over the next six months, we would
expect the Advantage Fund to perform well.
We're dedicated to pursuing these opportunities. Thank you for your investment
in the Strong Advantage Fund. We look forward to continuing to help you pursue
your important financial goals.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
FROM 11-25-88 TO 8-31-99
[GRAPH]
<TABLE>
<CAPTION>
The Strong 1-Year Lipper Ultra
Advantage Fund Treasury Bill* Short Obligation Average(4)
<S> <C> <C> <C>
10/88 $10,000 $10,000 $10,000
12/88 $10,103 $10,039 $10,077
12/90 $11,784 $12,039 $11,897
12/92 $14,135 $13,721 $13,385
12/94 $15,793 $14,621 $14,378
12/96 $18,112 $16,701 $16,227
12/98 $20,205 $18,767 $18,091
8/99 $20,847 $19,330 $18,591
</TABLE>
This graph, provided in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with similar investments in the
Salomon Smith Barney 1-Year Treasury Benchmark-on-the-Run Index ("1-Year
Treasury Bill") and the Lipper Ultra Short Obligation Average. Results include
the reinvestment of all dividends and capital gains distributions. Performance
is historical and does not represent future results. Investment returns and
principal value will vary, and you may have a gain or loss when you sell
shares. To equalize the time periods, the indexes' performance was prorated for
the month of November 1988.
- --------------------------------------------------------------------------------
(4) For purposes of this average rating, the Fund's short-term debt obligations
have been assigned a long-term rating by the Advisor.
* The Salomon Smith Barney 1-Year Treasury Benchmark-on-the-Run Index ("1-Year
Treasury Bill") is an unmanaged index generally representative of the
average yield on One-Year Treasury Bills. The Lipper Ultra Short Obligation
Average represents funds that invest at least 65% of their assets in
investment-grade debt issues, or better, and maintain a portfolio
dollar-weighted average maturity between 91 days and 365 days. Source of
the Salomon index data is Standard & Poor's Micropal. Source of the Lipper
index data is Lipper Inc.
[SIDENOTE]
YOUR FUND'S
APPROACH
THE STRONG ADVANTAGE FUND INVESTS PRIMARILY IN ULTRA-SHORT-TERM,
INVESTMENT-GRADE BONDS. THE FUND HAS THE ABILITY TO INVEST AS MUCH AS 25% OF
ITS ASSETS IN BB BONDS (ONE STEP BELOW INVESTMENT GRADE). THE FUND SEEKS TO
MAXIMIZE CURRENT INCOME WHILE MAINTAINING A VERY LOW DEGREE OF SHARE-PRICE
FLUCTUATION. IN ORDER TO MANAGE PRICE VOLATILITY, THE PORTFOLIO WILL NORMALLY
HAVE AN AVERAGE EFFECTIVE MATURITY OF ONE YEAR OR LESS.
- --------------------------------------------------------------------------------
MARKET
HIGHLIGHTS
- - The past six months can be characterized as a period of steadily rising
interest rates. The yield on two-year Treasury notes rose 58 basis points to
finish at 5.72%.
- - Strength in the U.S. economy and renewed hints of inflationary pressures
caused the Federal Reserve Board to raise short-term interest rates 50 basis
points during the period.
- - Although credit fears in the marketplace subsided because of continued
economic strength, prices of corporate bonds and mortgage-backed issues were
not bid higher. We believe this is primarily due to the deluge of new issues
in these sectors.
3
<PAGE>
THE STRONG MUNICIPAL ADVANTAGE FUND
-----------------------------------
PERSPECTIVES
FROM THE MANAGER
/s/ Steven D. Harrop
Steven D. Harrop
Portfolio Manager
- --------------------------------------------------------------------------------
The past six months have been a bear market for bonds. Prices have declined, and
yields have increased, for all maturities of both taxable and tax-exempt
securities. Against this backdrop, the Strong Municipal Advantage Fund has
performed well, remaining relatively stable in Net Asset Value. The NAV of this
Fund is down only 3 cents from its all-time high of $5.04 per share. Conversely,
the yield paid by the Fund has increased from 3.89% a year ago, and 3.59% six
months ago, to 4.24% as of August 31, 1999.
That said, markets overall have been, and remain, quite volatile. At the heart
of the rise in interest rates have been two increases in the Discount Rate. The
Federal Reserve Board boosted the Discount Rate from 4.75% to 5.00% on June 30,
and again to 5.25% on August 24. With the August increase, Chairman Greenspan
voiced the hope that the 5.25% level would be sufficient to slow the economy to
a sustainable pace.
- ------------------------
THE YIELD PAID BY THE FUND HAS INCREASED FROM 3.89% A YEAR AGO, AND 3.59% SIX
MONTHS AGO, TO 4.24% AS OF AUGUST 31, 1999.
- ------------------------
In this environment, we're continuing to work with the investment strategies
that have helped this fund to outperform in recent years. We've continued to
emphasize credit quality in the portfolio, though we also selectively use
non-investment-grade securities to enhance yield potential. The Fund must
limit its non-investment-grade holdings to no more than 10% of assets.
- --------------------------------------------------------------------------------
(1) Average annual total return and total return measure change in the value of
an investment in the Fund, assuming reinvestment of all dividends and
capital gains. Average annual total return reflects annualized change while
total return reflects aggregate change, and is not annualized.
(2) Yield is annualized for 30 days ended 8-31-99, is historical, and will vary.
The Fund's Advisor has temporarily waived its management fee of 0.01% and
absorbed expenses of 0.03%. Otherwise, current yield would have been 4.20%
and returns would have been lower.
(3) The Fund's average effective maturity includes the effect of when-issued
securities.
(4) For purposes of this average rating, the Fund's short-term debt obligations
have been assigned a long-term rating by the Advisor.
[SIDENOTE]
FUND
HIGHLIGHTS
- - For the six months ended August 31, 1999, the Fund posted a return of 1.50%.
Its 30-day annualized yield was quoted at 4.24%. For investors in the 36% tax
bracket, this translates into a taxable equivalent yield of 6.63%.
- - The Fund's average portfolio maturity, at 331 days at August 27, 1999, is very
near the maximum level permitted. The Fund's average quality rating remains
solidly at "A".
- - Securities subject to the Alternative Minimum Tax (AMT)
continue to play a role in the portfolio, as we believe their potential
benefits outweigh the tax consequences they pose for some investors.
- ----------------------------------
AVERAGE ANNUAL
TOTAL RETURNS(1)
AS OF 8-31-99
1-year 3.56%
3-year 4.57%
Since Inception 4.68%
(on 11-30-95)
- ----------------------------------
PORTFOLIO
STATISTICS
AS OF 8-31-99
30-day annualized yield(2) 4.24%
Average effective maturity(3) .9 years
Average quality rating(4) A
4
<PAGE>
Diversification helps to keep risk in check as well; we believe that this is one
of the main attractions funds offer over investments in individual securities.
With 307 holdings in the Fund, if a single investment stumbles, it needn't bring
the whole portfolio down with it. At the same time, the Fund's positions are not
so diluted as to have little impact on performance.
In addition to the benefits of professional management/research and extensive
diversification, shareholders enjoy next-day liquidity and the ability to move
assets in or out of this Fund with a telephone call. We have made the
opportunity to invest in this fund as profitable and convenient as we can.
Going forward, we will continue to emphasize quality in the portfolio as we
expect a volatile interest rate environment for the foreseeable future. Thank
you for your investment in the Strong Municipal Advantage Fund. We're happy to
help you pursue your important financial goals.
GROWTH OF AN ASSUMED $10,000 INVESTMENT
FROM 11-30-95 TO 8-31-99
[GRAPH]
<TABLE>
<CAPTION>
The Strong Municipal Lehman Brothers Municipal Lipper Short Municipal
Advantage Fund 1 Year Bond Index* Debt Funds Index*
<S> <C> <C> <C>
11/95 $10,000 $10,000 $10,000
12/95 $10,086 $10,038 $10,041
6/96 $10,271 $10,226 $10,155
12/96 $10,577 $10,473 $10,416
6/97 $10,831 $10,701 $10,637
12/97 $11,117 $10,969 $10,918
6/98 $11,360 $11,199 $11,139
12/98 $11,626 $11,479 $11,418
6/99 $11,809 $11,633 $11,523
8/99 $11,870 $11,703 $11,571
</TABLE>
This graph, provided in accordance with SEC regulations, compares a $10,000
investment in the Fund, made at its inception, with similar investments in the
Lehman Brothers Municipal 1 Year Bond Index and the Lipper Short Municipal Debt
Funds Index. Results include the reinvestment of all dividends and capital gains
distributions. Performance is historical and does not represent future results.
Investment returns and principal value vary, and you may have a gain or loss
when you sell shares.
- --------------------------------------------------------------------------------
* The Lehman Brothers Municipal 1 Year Bond Index is an unmanaged index
generally representative of one-year, tax-exempt bonds. The Lipper Short
Municipal Debt Funds Index is an equally-weighted performance index of the
largest qualifying funds in this Lipper category. Source of the Lehman index
data is Standard & Poor's Micropal. Source of the Lipper index data is Lipper
Inc.
[SIDENOTE]
YOUR FUND'S
APPROACH
THE STRONG MUNICIPAL ADVANTAGE FUND SEEKS FEDERALLY TAX-EXEMPT INCOME WITH A
VERY LOW DEGREE OF SHARE-PRICE FLUCTUATION. THE FUND INVESTS PRIMARILY IN
ULTRA-SHORT-TERM, INVESTMENT-GRADE MUNICIPAL OBLIGATIONS, NORMALLY MAINTAINING
AN AVERAGE EFFECTIVE MATURITY OF ONE YEAR OR LESS. WE STRIVE TO MAXIMIZE THE
FEDERALLY TAX-EXEMPT INCOME THIS FUND PAYS WITHIN THE BOUNDS OF ITS MATURITY,
QUALITY, AND DIVERSIFICATION GOALS. UNLIKE MONEY MARKET FUNDS, THE FUND DOES
ALLOW FOR A SMALL DEGREE OF SHARE-PRICE FLUCTUATION IN ORDER TO PURSUE HIGHER
YIELDS AND RETURNS.
OUR INVESTMENT APPROACH FOCUSES ON SELECTION OF INDIVIDUAL SECURITIES, DRIVEN
BY BOND-BY-BOND RESEARCH. MACROECONOMIC ANALYSIS ALSO PLAYS AN IMPORTANT ROLE IN
SHAPING THE PORTFOLIO.
- ----------------------------------
MARKET
HIGHLIGHTS
- - Interest rates generally increased over the period, producing a decline in
securities prices. While the decline in prices was greatest in the longer-term
issues, it affected all points along the yield curve.
- - The Lehman Brothers Municipal 1 Year Bond Index returned 1.02% for the six
months ended August 31, 1999, while the Lipper Short Municipal Debt Funds
Index returned 0.68% over the same period.
5
<PAGE>
THE STRONG HERITAGE MONEY FUND
------------------------------
PERSPECTIVES
FROM THE MANAGER
/s/ Jay N. Mueller
Jay N. Mueller
Portfolio Manager
- --------------------------------------------------------------------------------
The six months ended August 31, 1999, were marked by the Federal Reserve's
tightening of monetary policy. In April, Consumer Price Index data that
suggested possible inflation on the horizon led Federal Reserved Board Chairman
Alan Greenspan to warn investors that a rate hike might be an appropriate step
to dampen inflationary pressure.
The Fed's policy-making arm, the Federal Open Markets Committee, followed
through on those comments at its June 30 meeting. At that time, the FOMC raised
the Fed Funds target rate by 0.25% to 5.00%. After signs of unsustainably strong
growth persisted throughout the summer, the Fed acted to tighten monetary
conditions again at its August 24 meeting, taking the Fed Funds target rate to
5.25%. With these two increases, the Fed essentially took back two-thirds of the
monetary easing it had implemented the previous autumn.
- ------------------------
...WE INTEND TO MAINTAIN OUR BARBELL STRATEGY, SELECTIVELY ENHANCING YIELD WITH
THREE- TO SIX-MONTH SECURITIES...
- ------------------------
For the most part, the interest rate market had anticipated these Fed increases.
Overall there continues to be nervousness about the possibility of further rate
hikes, particularly because Greenspan has signaled his willingness to take
pre-emptive steps to fight potential inflation. As a result of this uncertainty,
securities at the longer end of the money market range are now paying higher
yields to compensate.
- --------------------------------------------------------------------------------
(1) Yields are annualized for the 7-day period ended 8-31-99. Effective yields
reflect the compounding of income. Yields and rankings are historical and do
not represent future results. Yields will fluctuate. The Fund's Advisor
temporarily waived 0.11% in management fees and absorbed 0.08% in expenses
for the Fund. Otherwise, the Fund's current yield would have been 4.69%, and
its effective yield would have been 4.80%.
[SIDENOTE]
FUND
HIGHLIGHTS
- - Our investment approach is currently very cautious, triggered by the Federal
Reserve's willingness to raise rates and, to a lesser degree, by concern over
Year 2000 related difficulties.
- - Although we favored asset-backed commercial paper in the past, we have now
cut our allocation to these securities.
- - Placing part of the Fund's assets in very short-term securities as part of a
barbell strategy allowed the Fund to benefit from the Fed's rate hikes.
- - The Fund also earned incremental yield from investments at the long end of
the barbell -- the six- to nine-month range.
- ----------------------------------
AVERAGE ANNUAL
TOTAL RETURNS
AS OF 8-31-99
1-year 4.95%
3-year 5.37%
Since Inception 5.53%
(on 6-29-95)
- ----------------------------------
YIELD
SUMMARY(1)
AS OF 8-31-99
7-day current yield 4.88%
7-day effective yield 5.00%
Average maturity 64 days
6
<PAGE>
To address these conditions, the Strong Heritage Money Fund has employed a
barbell strategy for much of the past six months. We invest a significant
portion of the Fund's assets in relatively short-term securities in order to
take advantage of anticipated interest-rate hikes. At the same time, we invest a
portion of assets in the six- to nine-month maturity range, which allows us to
capture the yield pickup that the relatively steep yield curve currently offers.
The Fed's less-than-friendly approach with regard to interest rates has led us
to maintain the heightened caution we adopted in the wake of last fall's global
disruptions. We have reduced the amount of assets we allocate to asset-backed
commercial paper, despite that sector's composing a larger portion of the
universe of money market securities. This move appears prudent, as we anticipate
wider yield spreads for asset-backed issues as we go into the fourth quarter of
1999.
Looking ahead, we believe the markets will be marked by continued nervousness
about the possibility of additional Fed tightening. In this environment, we
intend to maintain our barbell strategy, selectively enhancing yield with three-
to six-month securities, while maintaining a large portion of the portfolio in
30- to 45-day issues.
Thank you for your investment in the Strong Heritage Money Fund. We look forward
to continuing to pursue your investment goals.
3-MONTH TREASURY BILL YIELDS
AS OF 8-31-99
[GRAPH]
<TABLE>
<CAPTION>
2/98 4/98 6/98 8/98 10/98 12/98 2/99 4/99 6/99 8/99
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
5.31 4.97 5.08 4.83 4.32 4.45 4.67 4.54 4.78 4.97
</TABLE>
SOURCE: BLOOMBERG
- --------------------------------------------------------------------------------
(2) An investment in the Fund is not insured or guaranteed by the Federal
Deposit Insurance Corporation or any other Government agency. Although the
Fund seeks to preserve the value of your investment at $1.00 per share, it
is possible to lose money by investing in the Fund.
[SIDENOTE]
YOUR FUND'S
APPROACH
WE MANAGE THE STRONG HERITAGE MONEY FUND TO PROVIDE A COMPETITIVE YIELD WHILE
MAINTAINING A SHARE PRICE OF ONE DOLLAR.(2) BECAUSE THE FUND KEEPS ITS EXPENSE
RATIO LOWER THAN IS TYPICAL FOR MONEY MARKET FUNDS, INVESTORS USUALLY ENJOY A
SUPERIOR YIELD.
WE PERFORM A CAREFUL TOP-DOWN EVALUATION OF ECONOMIC CONDITIONS BEFORE
CHOOSING INDIVIDUAL SECURITIES. THE FACTORS WE CONSIDER ARE THE PACE OF
ECONOMIC GROWTH, INFLATIONARY TRENDS, THE PATH OF FISCAL AND MONETARY POLICY,
AND GLOBAL ECONOMIC CONDITIONS. WE THEN CONDUCT RIGOROUS ANALYSIS TO CHOOSE
INDIVIDUAL SECURITIES SUITED TO THE CURRENT ECONOMIC ENVIRONMENT. THIS PROCESS
IS IMPLEMENTED CONTINUOUSLY, KEEPING THE FUND POSITIONED FOR EXISTING MARKET
CONDITIONS AT ALL TIMES.
- ----------------------------------
MARKET
HIGHLIGHTS
- - The Federal Reserve raised short-term interest rate targets twice, pushing
yields upward. This was a partial reversal of the Fed's `98 easing of rates.
- - The Fed's action was a response to continued strong economic growth and tight
labor markets.
- - The markets anticipated further interest rate hikes, leading to a steepening
of the money market yield curve.
- - High levels of corporate borrowing drove prices on commercial issues down,
increasing the spread between yields paid by Treasury issues and those
paid by commercial paper.
7
<PAGE>
THE STRONG INVESTORS MONEY FUND
-------------------------------
PERSPECTIVES
FROM THE MANAGER
/s/ Jay N. Mueller
Jay N. Mueller
Portfolio Manager
- --------------------------------------------------------------------------------
Interest rates rose over the six months ended August 31, 1999, as economic
conditions induced the Federal Reserve to tighten monetary policy. Prompted by a
worrisome Consumer Price Index report for the month of April, Federal Reserve
Board Chairman Alan Greenspan warned investors that a rate hike could be
appropriate to stifle further inflationary pressure.
The Fed's policy-making arm, the Federal Open Markets Committee, carried through
on this threat at its June 30 meeting, raising the Fed Funds target rate by
0.25% to 5.00%. Signs of unsustainably strong growth continued through the
summer, leading the Fed to tighten monetary conditions again at its August 24
meeting, raising the Fed Funds target rate to 5.25%. These two increases
effectively reversed two-thirds of the interest rate cuts that the Fed had made
in the fall of 1998, in the aftermath of Russia's default on its debt and the
near failure of a major hedge fund.
- ------------------------
AS OF THIS WRITING... LONGER-DATED MONEY MARKET SECURITIES INCORPORATE A YIELD
PREMIUM TO COMPENSATE AGAINST THE RISK OF POSSIBLE FURTHER HIKES IN OFFICIAL
TARGET RATES.
- ------------------------
The interest rate market had largely anticipated both of these Fed rate
decisions, having priced in about 0.50% worth of tightening as far back as May.
As of this writing, the market remains nervous about the potential for further
rate hikes. Consequently, longer-dated money market securities incorporate a
yield premium to compensate against the risk of possible further hikes in
official target rates.
- --------------------------------------------------------------------------------
(1) Yields are annualized for the 7-day period ended 8-31-99. Effective yields
reflect the compounding of income. Yields and rankings are historical and
do not represent future results. Yields will fluctuate. The Fund's Advisor
temporarily waived 0.50% in management fees and absorbed 0.20% in expenses
for the Fund. Otherwise, the Fund's current yield would have been 4.56%,
and its effective yield would have been 4.66%.
[SIDENOTE]
FUND
HIGHLIGHTS
- - We have invested Fund assets very cautiously since last fall. We've maintained
a conservative stance because of the Federal Reserve's willingness to raise
rates and, to a lesser degree, concern over possible difficulties related to
the Year 2000 issue.
- - We have reduced our allocation to asset-backed commercial paper.
- - The Fund's barbell strategy, which places part of its assets at the shortest
end of its range, allowed the Fund to gain from the Fed's rate hikes.
- - The Fund added incremental yield with selective investments in the six- to
nine-month range--the other end of the barbell.
- ----------------------------------
AVERAGE ANNUAL
TOTAL RETURNS
AS OF 8-31-99
1-year 5.30%
Since Inception 5.49%
(on 1-31-98)
- ----------------------------------
YIELD
SUMMARY(1)
AS OF 8-31-99
7-day current yield 5.26%
7-day effective yield 5.40%
Average maturity 61 days
8
<PAGE>
The Strong Investors Money Fund has employed a barbell strategy for much of the
past six months. With this strategy, we invest a significant portion of the
Fund's assets in relatively short-term securities in order to take advantage of
the moves toward higher interest rates that we anticipate. At the same time, we
invest a portion of assets in the six- to nine-month maturity range, which
allows us to capture the yield pickup that the relatively steep yield curve
currently offers.
From a credit perspective, we have invested Fund assets very cautiously since
the market disruptions that hit in the fall of 1998. That conservatism has
continued in the current environment of an unfriendly Fed and concern over the
Year 2000 issue. We have reduced our allocation to asset-backed commercial
paper--despite that sector's providing a larger portion of the available money
market securities--as we anticipate a difficult environment for these issues
going into the year's fourth quarter.
Looking ahead, we expect investors to remain nervous about the possibility of
additional Fed tightening. We intend to maintain our barbell strategy,
selectively enhancing yield with three- to six-month securities, while
maintaining a large portion of the portfolio in 30- to 45-day issues.
We appreciate your investment in the Strong Investors Money Fund, and look
forward to working with you in the years to come.
3-MONTH TREASURY BILL YIELDS
AS OF 8-31-99
[GRAPH]
<TABLE>
<CAPTION>
2/98 4/98 6/98 8/98 10/98 12/98 2/99 4/99 6/99 8/99
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
5.314 4.973 5.078 4.825 4.317 4.452 4.670 4.535 4.779 4.97
Source: Bloomberg
</TABLE>
- --------------------------------------------------------------------------------
(2) An investment in the Fund is not insured or guaranteed by the Federal
Deposit Insurance Corporation or any other Government agency. Although the
Fund seeks to preserve the value of your investment at $1.00 per share, it
is possible to lose money by investing in the Fund.
[SIDENOTE]
YOUR FUND'S
APPROACH
THE STRONG INVESTORS MONEY FUND IS MANAGED TO PROVIDE A COMPETITIVE YIELD WHILE
MAINTAINING A SHARE PRICE OF ONE DOLLAR.(2) WE PERFORM A CAREFUL TOP-DOWN
EVALUATION OF ECONOMIC CONDITIONS BEFORE CHOOSING INDIVIDUAL SECURITIES. THE
PACE OF ECONOMIC GROWTH, THE TREND IN INFLATION, THE PATH OF FISCAL AND MONETARY
POLICY, AND GLOBAL ECONOMIC CONDITIONS ARE ALL CONSIDERED. WE THEN CONDUCT
RIGOROUS ANALYSIS TO CHOOSE INDIVIDUAL SECURITIES SUITED TO THE CURRENT ECONOMIC
ENVIRONMENT. THIS PROCESS IS IMPLEMENTED CONTINUOUSLY, KEEPING THE FUND
POSITIONED FOR EXISTING MARKET CONDITIONS AT ALL TIMES.
- ----------------------------------
MARKET
HIGHLIGHTS
- - Yields rose over the past six months, as the Federal Reserve raised
short-term interest rate targets twice.
- - The Fed's actions were prompted by continued strong economic growth and
tight labor markets.
- - As the markets anticipated further rate hikes, the money market yield curve
became steeper.
- - High levels of corporate borrowing drove prices on commercial issues down,
increasing the spread between yields paid by Treasury issues and those paid
by commercial paper.
9
<PAGE>
THE STRONG MONEY MARKET FUND
----------------------------
PERSPECTIVES
FROM THE MANAGER
/s/Jay N. Mueller
Jay N. Mueller
Portfolio Manager
- --------------------------------------------------------------------------------
The Federal Reserve tightened monetary policy over the six months ended August
31, 1999, spurred by economic conditions. A worrisome Consumer Price Index
Report for the month of April first led Federal Reserve Board Chairman Alan
Greenspan to warn investors that a rate hike might be an appropriate step to
dampen inflationary pressure.
The Fed's policy-making arm, the Federal Open Markets Committee, followed
through at its June 30 meeting, raising the Fed Funds target rate by 0.25% to
5.00%. After continuing signs of unsustainably strong growth throughout the
summer, the Fed acted to tighten monetary conditions again at its August 24
meeting, taking the Fed Funds target rate to 5.25%. With these two increases,
the Fed essentially took back two-thirds of the monetary easing it had
implemented last autumn.
- ------------------------
WE INVEST A SIGNIFICANT PORTION OF THE FUND'S ASSETS IN RELATIVELY SHORT TERM
SECURITIES IN ORDER TO TAKE ADVANTAGE OF ANTICIPATED INTEREST-RATE HIKES.
- ------------------------
The interest rate market had largely anticipated both of these Fed increases,
and overall there continues to be nervousness about the possibility of further
rate hikes. That's not without reason: Greenspan has signaled his willingness to
take pre-emptive steps to fight potential inflation. As a result of the
perceived heightened risk of climbing interest rates, securities at the longer
end of the money market range are now paying higher yields to compensate.
Responding to these conditions that combine the potential for interest-rate
hikes--which favor
- --------------------------------------------------------------------------------
(1) Yields are annualized for the 7-day period ended 8-31-99. Effective yields
reflect the compounding of income. Yields and rankings are historical and
do not represent future results. Yields will fluctuate. The Fund's Advisor
temporarily absorbed 0.25% in expenses for the Fund. Otherwise, the Fund's
current yield would have been 4.37%, and its effective yield would have
been 4.46%.
[SIDENOTE]
FUND
HIGHLIGHTS
- - We have invested Fund assets very cautiously since this past fall. Our
conservative stance is a result of the Federal Reserve's willingness to raise
rates as well as concern over Year 2000 related difficulties.
- - We have reduced our allocation to asset-backed commercial paper, which we
favored in the past.
- - By placing part of the Fund's assets in very short-term securities as part
of a barbell strategy, we were able to benefit from the Fed's rate hikes.
- - Investments at the long end of the barbell -- in the six- to nine-month
range -- added incremental yield to the Fund.
- ----------------------------------
AVERAGE ANNUAL
TOTAL RETURNS
AS OF 8-31-99
1-year 4.68%
3-year 5.09%
5-year 5.35%
10-year 5.27%
Since Inception 5.84%
(on 10-22-88)
- ----------------------------------
YEILD
SUMMARY(1)
AS OF 8-31-99
7-day current yield 4.62%
7-day effective yield 4.72%
Average maturity 61 days
10
<PAGE>
shorter issues--with the opportunity for higher yields at the longer end of the
curve, the Strong Money Market Fund has employed a barbell strategy for much of
the past six months. We invest a significant portion of the Fund's assets in
relatively short-term securities in order to take advantage of anticipated
interest-rate hikes. At the same time, we invest a portion of assets in the
six- to nine-month maturity range, which allows us to capture the yield pickup
that the relatively steep yield curve currently offers.
Given the Fed's somewhat unfriendly approach as well as some concerns over the
impact on computer systems of the move to the Year 2000, we've maintained a
cautious approach to the market. We have reduced our allocation to asset-backed
commercial paper even as that sector has become a larger part of the available
universe of securities, in anticipation of wider yield spreads for asset-backed
issues going into the fourth quarter of 1999.
Looking ahead, we expect credit spreads to widen further before year-end, and
for investors to remain nervous about the possibility of additional Fed
tightening. We expect to maintain our barbell strategy, selectively enhancing
yield with three- to six-month securities, while maintaining a large portion of
the portfolio in 30- to 45-day issues.
Thank you for your investment in the Strong Money Market Fund. We appreciate
your confidence.
3-MONTH TREASURY BILL YIELDS
AS OF 8-31-99
[GRAPH]
<TABLE>
<CAPTION>
2/98 4/98 6/98 8/98 10/98 12/98 2/99 4/99 6/99 8/99
<S> <C> <C> <C> <C> <C> <C> <C> <C> <C>
5.314 4.973 5.078 4.825 4.317 4.452 4.670 4.535 4.779 4.97
Source: Bloomberg
</TABLE>
- --------------------------------------------------------------------------------
(2) An investment in the Fund is not insured or guaranteed by the Federal
Deposit Insurance Corporation or any other Government agency. Although the
Fund seeks to preserve the value of your investment at $1.00 per share, it
is possible to lose money by investing in the Fund.
[SIDENOTE]
YOUR FUND'S
APPROACH
THE STRONG MONEY MARKET FUND IS MANAGED TO PROVIDE A COMPETITIVE YIELD WHILE
MAINTAINING A SHARE PRICE OF ONE DOLLAR.(2) WE PERFORM A CAREFUL TOP-DOWN
EVALUATION OF ECONOMIC CONDITIONS BEFORE CHOOSING INDIVIDUAL SECURITIES. THE
PACE OF ECONOMIC GROWTH, THE TREND IN INFLATION, THE PATH OF FISCAL AND MONETARY
POLICY, AND GLOBAL ECONOMIC CONDITIONS ARE ALL CONSIDERED. WE THEN CONDUCT
RIGOROUS ANALYSIS TO CHOOSE INDIVIDUAL SECURITIES SUITED TO THE CURRENT ECONOMIC
ENVIRONMENT. THIS PROCESS IS IMPLEMENTED CONTINUOUSLY, KEEPING THE FUND
POSITIONED FOR EXISTING MARKET CONDITIONS AT ALL TIMES.
- ----------------------------------
MARKET
HIGHLIGHTS
- - The Federal Reserve raised short-term interest rate targets twice, pushing
yields upward.
- - Continued strong economic growth and tight labor markets prompted the Fed's
actions.
- - The money market yield curve became steeper as the markets anticipated
further Fed hikes.
- - High levels of corporate borrowing drove prices on commercial issues down,
increasing the spread between yields paid by Treasury issues and those paid
by commercial paper.
11
<PAGE>
THE STRONG MUNICIPAL MONEY MARKET FUND
--------------------------------------
PERSPECTIVES
FROM THE MANAGERS
/s/ Steven D. Harrop /s/ John C. Bonnell
Steven D. Harrop John C. Bonnell
Portfolio Co-Manager Portfolio Co-manager
- --------------------------------------------------------------------------------
During the six months ending August 31, 1999, we saw an about-face in the
expected direction of future interest rates. The domestic economy continued
to grow at a brisk pace, and depressed economies abroad showed signs of
improvement. In response, the Federal Reserve increased the Federal Funds
rate 0.25% in June and an additional 0.25% in August.
From April through most of June, municipal variable rate securities not only
provided liquidity but actually yielded more on average than fixed-rate bonds
with longer effective maturities. The supply of fixed-rate money market
securities was scarce, driving up prices, which is why we maintained a
relatively short average maturity and held a large percentage of variable rate
securities. Our strategy allowed us to capture incremental yield and avoid
locking into fixed rates as rates were rising. By the end of August, yields on
fixed rate securities backed up enough that we began investing in the 6- to
12-month maturity range again.
- ------------------------
OUR STRATEGY ALLOWED US TO CAPTURE INCREMENTAL YIELD AND AVOID LOCKING INTO
FIXED RATES AS RATES WERE RISING.
- ------------------------
This points out the strategy that has contributed to the Fund's outperformance
in the past--buying the best relative value in the market at any given time.
When we expect a fixed rate bond will produce more income than
- --------------------------------------------------------------------------------
From time to time, the Fund's advisor has waived its management fee and/or
absorbed Fund expenses, which has resulted in higher returns and without
these waivers the rankings may have been lower.
(1) Yields are annualized for the 7 days ended 8-31-99. Effective yields reflect
the compounding of income. Yields and rankings are historical and do not
represent future results. Yields will fluctuate.
[SIDENOTE]
FUND
HIGHLIGHTS
- - As of August 31, 1999, the Fund's 7-day current yield was 3.21%. Its 7-day
effective yield, which reflects compounding, was 3.26%. For investors in
the 36% tax bracket, that figure translates into a taxable equivalent yield
of 5.09%.
- - The Fund's average maturity as of August 31 was a relatively short 38 days.
- - With a short average maturity, we are poised to take advantage of higher
yielding, longer-term money market securities as buying opportunities arise.
- ----------------------------------
AVERAGE ANNUAL
TOTAL RETURNS
AS OF 8-31-99
1-year 3.26%
3-year 3.46%
5-year 3.61%
10-year 3.88%
Since Inception 4.17
(on 10-23-86)
- ----------------------------------
YIELD
SUMMARY(1)
AS OF 8-31-99
7-day current yield 3.21%
7-day effective yield 3.26%
Average maturity 38 days
12
<PAGE>
variable-rate alternatives over the same period, and the bond meets our
strict criteria, we'll invest in the fixed-rate bond. For example, the Fund
purchased the State of Texas' Tax and Revenue Anticipation Notes, which
mature August 31, 2000. This note is rated in the highest short-term
category by Moody's, Fitch, and S&P, and was purchased to yield 3.70% to
maturity. While variable-rate bonds will at times yield more than 3.70%, it
is unlikely they will average more than 3.70% over the one year holding
period. Fixed-rate securities also help stabilize the Fund's yield during
seasonal periods of wide fluctuations on variable rates.
Going forward we expect the Federal Reserve will closely watch economic events
and take action when warranted. Accurately predicting these actions and their
consequences with any consistency is impossible. For this reason, we will
continue to focus on relative value.
Just a note to introduce you to John Bonnell, the Fund's new co-manager. John
joined Strong in May, having previously managed five tax-exempt funds at USAA
Investment Management Company. Having worked with John at USAA from 1989 to
1991, I can assure you that he and I agree on the strategies for managing
municipal money market assets. We look forward to the challenge of continuing
the outperformance of the Strong Municipal Money Market Fund well into the
future.
EQUIVALENT TAXABLE YIELDS
AS OF 8-31-99
<TABLE>
<CAPTION>
YOUR TAX-EXEMPT
EFFECTIVE YIELD OF
MARGINAL 3.26% IS EQUIVALENT
JOINT RETURN SINGLE RETURN TAX RATE TO A TAXABLE YIELD OF:
- --------------------------------------------------------------------------------------
<S> <C> <C> <C>
$43,051-104,050 $25,751-62,450 28.0% 4.53%
- --------------------------------------------------------------------------------------
$104,051-158,550 $62,451-130,250 31.0% 4.72%
- --------------------------------------------------------------------------------------
$158,551-283,150 $130,251-283,150 36.0% 5.09%
- --------------------------------------------------------------------------------------
Over $283,150 Over $283,150 39.6% 5.40%
- --------------------------------------------------------------------------------------
</TABLE>
The chart reflects 1999 marginal federal tax rates before limitations and
phase-outs. Individuals with adjusted gross income in excess of $126,600 should
consult their tax advisor to determine their actual 1999 marginal tax rate. The
Fund's income may be subject to state and local taxes and, depending on your
tax status, the Alternative Minimum Tax.
- --------------------------------------------------------------------------------
(2) An investment in the Fund is not insured or guaranteed by the Federal
Deposit Insurance Corporation or any other Government agency. Although the
Fund seeks to preserve the value of your investment at $1.00 per share, it
is possible to lose money by investing in the Fund.
[SIDENOTE]
YOUR FUND'S
APPROACH
THE STRONG MUNICIPAL MONEY MARKET FUND SEEKS FEDERALLY TAX-EXEMPT CURRENT
INCOME, A STABLE SHARE PRICE OF ONE DOLLAR, AND DAILY LIQUIDITY.(2) THE FUND
INVESTS IN HIGH-QUALITY, SHORT-TERM MUNICIPAL SECURITIES THAT PRESENT MINIMAL
CREDIT RISK. WE STRIVE TO MAXIMIZE THE FEDERALLY TAX-EXEMPT INCOME THIS FUND
PAYS WITHIN THE BOUNDS OF ITS MATURITY, QUALITY, AND DIVERSIFICATION GOALS.
OUR INVESTMENT APPROACH FOCUSES ON SELECTION OF INDIVIDUAL SECURITIES,
DRIVEN BY BOND-BY-BOND RESEARCH. MACROECONOMIC ANALYSIS ALSO PLAYS AN IMPORTANT
ROLE IN SHAPING THE PORTFOLIO.
- ----------------------------------
MARKET
HIGHLIGHTS
- - Municipal money market rates rose during the last six months. The Federal
Reserve increased the Federal Funds rate twice during the period in
pre-emptive strikes against possible future inflation.
- - Demand for shorter-term municipal securities remains high as money market
fund assets continue to grow.
- - The traditional "note season" which occurs every June-August gave funds the
chance to lengthen maturities. We waited until the end of the season to
participate, after rates increased approximately 0.50%.
13
<PAGE>
- --------------------------------------------------------------------------------
BOND
GLOSSARY
BOND QUALITY RATINGS--There are services that analyze the financial condition of
a bond's issuer and then assign it a rating. The best-known rating agencies are
Standard and Poors and Moody's. The highest-quality bonds are rated AAA (S&P) or
Aaa (Moody's.) The scale descends to AA, A, then BBB and so on, down to D. Bonds
with a rating of BBB or higher are considered investment-grade. Bonds rated CC
and below are considered "junk bonds." Typically, the lower a bond's rating, the
higher yield it must pay in order to compensate the bond-holder for the added
risk.
MATURITY--Like a loan, a bond must be paid off on a certain date. A bond's
maturity is the time remaining until it is paid off. Bonds typically mature in
a range from overnight to 30 years from now. Typically, bonds with longer
maturities will have higher yields and larger price changes in reaction to
interest rate changes. In rare situations, shorter-term bonds will have higher
yields; this is known as an inverted yield curve (see definition that follows.)
DURATION--Duration is similar to maturity, but also accounts for the semi-annual
interest payments made by most bonds. Duration is a useful tool for determining
a bond or a bond fund's sensitivity to interest rate changes. The higher the
duration, the more a bond's price will fluctuate when interest rates change.
TREASURY SPREAD--The Treasury spread is the difference in yield between a
Treasury bond (issued by the federal government) and a bond with an equal
maturity, but from another category, such as a corporate bond. This calculation
is used to measure the prices of corporate bonds, mortgage-backed securities and
other non-government issues relative to Treasuries. Higher spreads occur in
uncertain times when investors buy Treasuries for their safety and sell other
types of bonds.
YIELD--Yield is the income your investment is generating. It is calculated by
taking the income paid by a bond in a given period of time, often 30 days,
annualizing it and stating it as a percentage of the money invested.
YIELD CURVE--The yield curve is a graph that plots the yields of Treasury bonds
against their maturities. Under normal circumstances, this line will slope
upward, reflecting longer-maturity bonds having higher yields. In rare
circumstances, such as in a time of deflation, the yield curve may slope
downward, or "invert." The steepness of the yield curve shifts depending on
economic trends and outlooks. Properly positioned, a bond investor can profit
from these shifts.
14
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG ADVANTAGE FUND
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
Corporate Bonds 48.2%
<S> <C> <C>
AT&T Canada, Inc. Senior Yankee Notes,
10.625%, Due 11/01/08 $ 920,000 $ 1,044,200
Advance Bank Australia Floating Rate
Subordinated Notes, 5.8475%, Due 3/14/06 15,000,000 14,981,250
Allfirst Preferred Capital Trust Subordinated
Floating Rate Capital Trust Enhanced
Securities, 6.81%, Due 7/15/29 (Acquired
7/09/99; Cost $14,835,450) (b) 15,000,000 14,701,365
Blackstone Hotel Acquisitions Company Debt
Unit (Medium-Term Structured Enhanced
Return Trusts 1998), Series R-38, 6.2375%,
Due 6/30/03 (Acquired 7/30/98;
Cost $26,000,000) (b) 26,000,000 25,837,500
CF Cable TV, Inc. Senior Secured Second
Priority Notes, 11.625%, Due 2/15/05 5,000,000 5,404,990
CMS Energy Corporation Notes, Series B,
7.375%, Due 11/15/00 15,065,000 15,023,647
CMS Energy Corporation Senior Notes, 8.00%,
Due 7/01/11 (Remarketing Date 7/01/01) 20,000,000 19,845,420
CSC Holdings, Inc. Senior Subordinated Notes,
9.875%, Due 5/15/06 12,840,000 13,225,200
Cendant Corporation Notes, 7.50%,
Due 12/01/00 41,400,000 41,630,598
Central Fidelity Capital Trust I Floating Rate
Notes, Series A, 6.31%, Due 4/15/27 7,500,000 7,498,140
Citicorp Floating Rate Notes:
Series W, 5.5625%, Due 11/27/35 10,000,000 9,000,000
Series X, 5.475%, Due 11/27/35 10,000,000 8,900,000
DLJ Leveraged Loan Fund LLC/DLJ Leveraged
Loan Corporation Senior Secured Floating
Rate Notes, Series 1A, Class A2, 5.9738%,
Due 3/15/05 (Acquired 8/07/98;
Cost $7,000,000) (b) 7,000,000 6,814,290
Deeptech International, Inc. Senior Notes, 12.00%,
Due 12/15/00 8,100,000 8,515,433
Dime Bancorp, Inc. Notes:
6.375%, Due 1/30/01 15,000,000 14,850,615
7.00%, Due 7/25/01 15,000,000 14,941,755
Dual Drilling Company Senior Subordinated
Notes, 9.875%, Due 1/15/04 18,290,000 18,672,279
Empress Entertainment, Inc. Senior
Subordinated Notes, 8.125%, Due 7/01/06 36,800,000 36,524,000
First Maryland Capital I Variable Rate
Subordinated Capital Income Securities,
6.31%, Due 1/15/27 19,500,000 19,248,957
GS Escrow Corporation Floating Rate Senior
Notes, 6.3125%, Due 8/01/03 120,300,000 117,287,688
HRPT Properties Trust Floating Rate Notes,
6.56%, Due 7/09/07 (Remarketing
Date 7/09/00) 24,000,000 23,963,040
HSB Capital I Floating Rate Securities,
Series A, 6.22%, Due 7/15/27 9,000,000 8,485,434
Halyard CBO I, Ltd./Halyard CBO Corporation
Senior Secured Floating Rate Notes,
Series 1A, Class A, 5.5419%, Due 3/24/10
(Acquired 3/12/98 - 7/14/98;
Cost $38,641,237) (b) 38,700,000 38,022,750
HealthSouth Corporation Senior Subordinated
Notes, 9.50%, Due 4/01/01 20,685,000 21,221,217
Huntington Capital I Variable Rate Capital
Income Securities, 6.0125%, Due 2/01/27 11,500,000 11,143,201
ITT Corporation Notes, 6.25%, Due 11/15/00 31,760,000 31,085,608
Imperial Capital Trust I Guaranteed Capital
Securities, 9.98%, Due 12/31/26 800,000 770,254
Lilly Del Mar, Inc. Floating Rate Capital
Securities, 6.57%, Due 8/05/29
(Acquired 7/29/99; Cost $60,000,000) (b) 60,000,000 59,830,740
Lyondell Chemical Company Guaranteed
Term Loan, Tranche E, 9.355%, Due 6/30/06 14,962,500 15,074,719
Mashantucket Western Pequot Tribe Special
Revenue Bonds/Interest Rate Swap, 6.91%,
Due 9/01/12 (Acquired 9/16/97;
Cost $30,000,000) (b) 30,000,000 28,866,000
Mercantile Capital Trust I Floating Rate
Pass-Thru Securities, 6.1625%, Due 2/01/27 10,000,000 9,781,280
MetroNet Communications Corporation Senior
Notes, 12.00%, Due 8/15/07 98,890,000 114,712,400
NBD Bancorp, Inc. Subordinated Floating Rate
Notes, 5.50%, Due 12/18/05 24,530,000 24,434,014
NTC Capital Trust II Floating Rate Capital
Securities, 5.90%, Due 4/15/27 13,805,000 13,370,584
NWA Trust Structured Enhanced Return
Trusts 1998, 8.3188%, Due 4/15/11
(Acquired 3/16/98 - 4/06/98;
Cost $25,400,000) (b) 25,000,000 22,375,000
National Commerce Capital Trust Floating
Rate Pass-Thru Securities, 6.3288%,
Due 4/01/27 10,000,000 9,637,640
National Westminster Bank Floating Rate
Notes, 6.1125%, Due 9/29/49 34,500,000 33,810,000
Niagara Mohawk Power Corporation
Senior Notes:
Series B, 7.00%, Due 10/01/00 6,000,000 6,010,638
Series C, 7.125%, Due 7/01/01 42,400,000 42,323,256
Nordbanken AB Subordinated Floating Rate
Medium Term Yankee Bonds, 5.5975%,
Due 3/29/49 18,000,000 17,333,460
Okobank Subordinated Step-Up Perpetual
Floating Rate Notes, 6.76%, Due 10/29/49 550,000 549,313
Restructured Asset Securities Enhanced
Returns Floating Rate Notes,
Series 1998-C-10-1, 6.2063%, Due 6/18/01
(Acquired 9/25/98; Cost $9,000,000) (b) 9,000,000 9,028,404
Salomon Brothers, Inc. Medium Term Floating
Rate Notes/Interest Rate Swap, 4.68%,
Due 9/30/03 4,400,000 4,376,680
Skandinaviska Enskilda Banken Subordinated
Floating Rate Medium-Term Yankee Bonds,
6.2925%, Due 3/29/49 4,000,000 3,912,040
Southdown, Inc. Senior Subordinated Notes,
Series B, 10.00%, Due 3/01/06 12,937,000 14,127,644
Spintab AB Floating Rate Subordinated
Yankee Notes, 5.6662%, Due 12/29/49
(Acquired 11/21/97; Cost $50,000,000) (b) 50,000,000 50,613,400
Star Capital Trust I Floating Rate Securities,
5.9088%, Due 6/15/27 5,000,000 4,892,915
Stop & Shop Companies, Inc. Senior
Subordinated Notes, 9.75%, Due 2/01/02 5,000,000 5,294,970
SunTrust Capital III Floating Rate Notes,
5.7938%, Due 3/15/28 23,000,000 21,507,300
Swedbank Floating Rate Debt Unit (Medium-
Term Structured Enhanced Return
Trusts 1996):
Series R-34, 6.6638%, Due 11/10/02
(Acquired 5/23/96; Cost $25,000,000) (b) 25,000,000 24,000,000
Series R-35, 6.22%, Due 11/10/02
(Acquired 10/16/96; Cost $20,000,000) (b) 20,000,000 19,200,000
Tele-Communications, Inc. Senior Notes, 9.65%,
Due 10/01/03 13,590,000 14,328,331
Texas-New Mexico Power Company Secured
Debentures, 10.75%, Due 9/15/03 8,000,000 8,288,096
Time Warner, Inc. Pass-Thru Asset Trust
Securities, Series 1997-1, 6.10%, Due 12/30/01
(Acquired 5/11/99; Cost $28,250,107) (b) 28,185,000 27,808,984
</TABLE>
15
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Triumph Funding, Ltd. Medium-Term Floating
Rate Notes, Class A, 5.8775%, Due 12/30/03
(Acquired 6/23/99; Cost $10,000,000) (b) $10,000,000 $ 10,000,100
Union Bank of Norway Subordinated Floating
Rate Medium-Term Yankee Notes, 5.6375%,
Due 4/24/08 20,000,000 19,450,000
Union Bank of Norway Variable Rate Bonds,
7.35%, Due 12/31/49 (Acquired 7/06/98;
Cost $29,715,720) (b) 29,000,000 28,463,210
Unisys Corporation Senior Notes, 12.00%,
Due 4/15/03 32,000,000 34,720,000
Waste Management, Inc. Senior Notes, 6.125%,
Due 7/15/01 11,585,000 11,031,376
- -------------------------------------------------------------------------------------
Total Corporate Bonds (Cost $1,276,542,914) 1,257,791,325
- -------------------------------------------------------------------------------------
Non-Agency Mortgage & Asset-Backed
Securities 35.3%
AFC Mortgage Loan Trust Variable Rate
Asset-Backed Certificates, Series 1994-1,
Class 2A-1, 6.8989%, Due 6/25/25 496,147 492,151
AMRESCO Residential Securities Corporation
Mortgage Loan Trust Pass-Thru Certificates,
Series 1996-4, Class A4, 7.25%, Due 10/25/23 5,670,000 5,671,843
Airplanes Pass-Thru Trust 1998 Floating Rate
Refinancing Certificates, Series 1R,
Class B, 6.0188%, Due 3/15/19 36,213,180 35,002,211
BCF LLC Mortgage Pass-Thru Certificates,
Series 1997-R2, Class 3-A1, 7.00%, Due
12/25/35 (Acquired 6/16/98;
Cost $3,356,444) (b) 3,333,526 3,287,690
Bear Stearns Mortgage Securities, Inc.
Mortgage Pass-Thru Certificates,
Series 1998-1, Class 2-A-2, 6.35%, Due 3/25/28 14,000,000 13,898,710
CORE Limited/Interest Rate Swap,
Series 1998-1X, Class B2, 3.466%,
Due 1/16/06 (Acquired 7/27/98;
Cost $14,044,000) (b) 14,044,000 13,875,744
CWMBS, Inc. Mortgage Pass-Thru Certificates,
Series 1998-A5, Class A1, 6.75%, Due 5/25/28 11,684,097 11,661,597
CWMBS, Inc. Pass-Thru Certificates,
Series 1998-A6, Class I-A-7, 6.75%,
Due 7/25/28 15,139,700 15,123,492
Cargill Lease Receivables Trust Senior Lease-
Backed Certificates, Series 1996-A, Class A2,
6.43%, Due 12/20/05 3,569,423 3,553,253
Chase Mortgage Finance Corporation
Mortgage Pass-Thru Certificates,
Series 1990-G, Class A-Z1, 9.50%,
Due 12/25/21 539,499 548,519
Chase Mortgage Finance Corporation Variable
Rate Mortgage Pass-Thru Certificates:
Series 1992-3, Class B7, 7.7816%,
Due 10/28/23 1,758,279 1,752,793
Series 1992-3, Class B8, 7.7816%,
Due 10/28/23 877,978 875,239
Series 1993-3, Class B6, 7.4016%,
Due 10/30/24 (Acquired 5/20/99; Cost $675,303) (b) 673,619 674,885
Series 1993-3, Class B7, 7.4016%,
Due 10/30/24 (Acquired 5/20/99;
Cost $2,897,249) (b) 2,890,024 2,895,457
Citicorp Mortgage Securities, Inc. Adjustable
Rate Real Estate Mortgage Investment
Conduit Pass-Thru Certificates, Series 1992-7,
Class 10, 6.5620%, Due 3/25/22 2,900,930 2,888,188
Citicorp Mortgage Securities, Inc. Real Estate
Mortgage Investment Conduit Pass-Thru
Certificates, Series 1992-10, Class B, 8.00%,
Due 6/25/22 (Acquired 1/22/99;
Cost $9,855,033) (b) 9,704,910 9,725,921
Clydesdale CBO I, Ltd./Clydesdale CBO I, Inc.
Senior Secured Floating Rate Bonds,
Series 1A, Class A1, 5.8138%, Due 3/25/11
(Acquired 3/05/99; Cost $5,000,000) (b) 5,000,000 5,004,650
Commercial Mortgage Acceptance Corporation
Variable Rate Commercial Mortgage
Pass-Thru Certificates:
Series 1996-C1, Class A, 6.5738%,
Due 12/25/20 (Acquired 9/04/98;
Cost $4,872,536) (b) 4,874,059 4,864,749
Series 1996-C2, Class A2, 7.0353%,
Due 9/15/23 (Acquired 6/25/99;
Cost $4,111,330) (b) 4,108,762 4,095,717
ContiMortgage Home Equity Loan Trust
Pass-Thru Certificates, Series 1997-4,
Class A4, 6.30%, Due 7/15/12 15,000,000 14,918,325
ContiSecurities Residual Corporation
ContiMortgage Net Interest Margin Notes,
Series 1997-A, 7.23%, Due 7/16/28
(Acquired 9/18/97; Cost $4,018,348) (b) 4,018,348 2,611,926
Credit-Based Asset Servicing and Security
ABS LLC Variable Rate Trust Certificates,
Series 1998-2:
Class A1, 5.9788%, Due 7/25/38
(Acquired 6/22/98; Cost $10,553,769) (b) 10,605,137 10,512,343
Class A2, 5.9788%, Due 7/25/38
(Acquired 6/22/98; Cost $4,675,182) (b) 4,714,221 4,655,294
Credit Suisse First Boston Mortgage Securities
Corporation IndyMac Manufactured Housing
Pass-Thru Certificates, Series 1998-1,
Class A3, 6.37%, Due 9/27/28 13,466,326 13,385,461
DLJ CBO, Ltd./DLJ CBO, Inc. Senior Secured
Floating Rate Bonds, Series 1A, Class A1,
5.76%, Due 4/15/11 (Acquired 4/08/99;
Cost $13,000,000) (b) 13,000,000 12,998,830
DLJ Mortgage Acceptance Corporation Variable
Rate Mortgage Pass-Thru Certificates:
Series 1990-2, Class A, 6.6806%, Due 1/25/22 4,453,763 4,459,976
Series 1991-3, Class A1, 6.5867%, Due 2/20/21 571,072 562,658
Delta Funding Home Equity Loan Trust
Asset-Backed Certificates,
Series 1999-2, Class F, Interest Only, 6.00%,
Due 6/15/02 27,878,000 2,378,272
EQCC Home Equity Loan Trust Variable Rate
Asset-Backed Notes, Series 1993-4, Class A,
5.725%, Due 12/15/08 8,282,750 8,160,206
Empire Funding Home Loan Owner Trust
Home Loan Asset-Backed Notes,
Series 1997-4, Class A-3, 7.11%, Due 7/25/14 2,000,000 1,994,490
Equipment Pass-Thru Investment Certificates
Trust Floating Rate Senior Certificates,
Series 1996-1:
Class A, 6.0638%, Due 9/25/09
(Acquired 6/14/96; Cost $4,700,000) (b) 4,700,000 4,701,410
Class B, 6.8138%, Due 9/25/09
(Acquired 7/01/96; Cost $5,170,000) (b) 5,170,000 5,173,619
Class C, 10.0638%, Due 9/25/09
(Acquired 6/28/96; Cost $3,891,216) (b) 3,833,710 3,826,426
The Equitable Life Assurance Society of the
United States Collateralized Floating Rate
Notes, Series D-2, 6.3188%, Due 5/15/03
(Acquired 5/23/96 - 10/30/97;
Cost $12,021,016) (b) 12,000,000 11,800,200
</TABLE>
16
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
STRONG ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Financial Asset Securitization, Inc. Mortgage
Participation Securities, Series 1997-NAMC 2,
Class FXA-8, 10.00%, Due 7/25/27 $ 3,224,421 $ 3,297,376
FirstPlus Home Loan Owner Trust
Asset-Backed Certificates, Series 1996-2,
Class A6, 7.85%, Due 8/20/13 3,428,983 3,448,031
Franchise Finance Corporation of America
Floating Rate Notes, Series 1997-1:
Class D2, 6.38%, Due 6/18/13
(Acquired 6/04/97; Cost $5,726,000) (b) 5,726,000 5,242,897
Class E2, 6.63%, Due 1/18/14
(Acquired 6/04/97; Cost $2,290,000) (b) 2,290,000 2,081,747
Fund America Investors Corporation Variable
Rate Senior Pass-Thru Certificates,
Series 1993-A, Class A1, 6.7492%,
Due 6/25/23 10,427,622 10,835,381
G3 Mortgage Reinsurance, Ltd. Floating Rate
Mortgage Default Recourse Notes, Series 1,
Class A, 6.3388%, Due 5/25/08
(Acquired 5/08/98 - 5/19/98;
Cost $5,513,750) (b) 5,500,000 5,087,500
GS Mortgage Securities Corporation II
Commercial Mortgage Floating Rate
Pass-Thru Certificates, Series 1998-GS1,
Class D, 6.0575%, Due 12/13/12
(Acquired 5/22/98 - 7/10/98;
Cost $23,992,969) (b) 24,000,000 23,920,800
Glendale Federal Bank Variable Rate Mortgage
Pass-Thru Certificates, Series 1990-3,
Class A-1, 6.5768%, Due 3/25/30 1,663,181 1,646,375
Glendale Federal Bank Variable Rate Senior
Pass-Thru Mortgage Securities, Series 1990-1,
Class A, 8.507%, Due 10/25/29 1,992,070 2,000,334
Goldman Sachs Asset Management
CBO, Ltd./Goldman Sachs Asset
Management Corporation Floating Rate
Bonds, Series 1A, Class A, 6.0386%,
Due 6/13/11 (Acquired 6/08/99;
Cost $9,980,220) (b) 10,000,000 9,975,400
Great Western Bank, A Federal Savings Bank
of Beverly Hills, Adjustable Rate Mortgage
Pass-Thru Certificates, Series 1988-3, Class A,
5.8852%, Due 12/25/17 3,145,239 3,119,212
Green Tree Financial Corporation Adjustable
Rate Home Equity Loan Certificates,
Series 1998-C, Class A-1A, 6.00%,
Due 7/15/29 8,000,000 7,994,040
Green Tree Financial Corporation
Manufactured Senior Subordinated
Pass-Thru Certificates, Series 1996-5,
Class A4, 7.15%, Due 7/15/27 6,485,476 6,513,137
Greenwich Capital Acceptance, Inc. Variable
Rate Mortgage Pass-Thru Certificates,
Series 1991-1, Class A, 6.5193%, Due 2/25/21
(Acquired 4/18/96 - 6/23/97;
Cost $12,952,404) (b) 12,672,723 12,751,800
Greenwich Capital Trust I, Class A, 6.412%,
Due 2/15/21 (Acquired 3/04/97;
Cost $8,851,719) (b) 8,506,583 8,703,340
Headlands Mortgage Securities, Inc. Mortgage
Pass-Thru Certificates, Series 1997-4,
Class A-I-8, 7.25%, Due 11/25/27 4,834,000 4,842,435
Home Savings of America Adjustable Rate
Mortgage Pass-Thru Certificates, Series 14,
Class A, 5.4725%, Due 5/25/27 1,766,441 1,709,579
ICIFC Secured Assets Corporation Mortgage
Pass-Thru Certificates, Series 1997-1,
Class A7, 7.75%, Due 3/25/28 21,950,000 22,094,321
Kmart CMBS Financing, Inc. Floating Rate
Commercial Mortgage Pass-Thru Certificates,
Series 1997-1, Class D, 6.28%, Due 3/01/07
(Acquired 2/21/97 - 10/16/98;
Cost $32,480,625) (b) 33,000,000 33,005,775
Malan Mortgage Securities Trust Floating Rate
Commercial Mortgage Pass-Thru Certificates,
Series 1995-1, Class A2A, 6.0088%,
Due 8/15/05 (Acquired 2/21/97;
Cost $4,010,000) (b) 4,000,000 4,003,720
Merrill Lynch Credit Corporation Floating Rate
Pass-Thru Asset-Backed Mortgage Loans,
Series 1996-C, Class B, 6.4375%, Due 9/15/21
(Acquired 5/09/97 - 8/14/98;
Cost $4,224,814) (b) 4,850,165 4,219,644
Merrill Lynch Credit Corporation Mortgage
Loan Asset-Backed Pass-Thru Floating Rate
Notes, Series 1996-D, Class B, 6.4375%,
Due 5/15/25 7,938,000 6,780,798
Merrill Lynch Credit Corporation Senior
Subordinated Variable Rate Mortgage
Pass-Thru Certificates, Series 1995-A,
Class A5, 6.5764%, Due 6/15/20 7,569,479 7,772,509
Merrill Lynch Credit Corporation Subordinated
Mortgage-Backed Certificates, Series 95-S1,
Class A1, 6.1875%, Due 2/17/24
(Acquired 12/22/97; Cost $4,770,313) (b) 5,000,000 4,725,000
Merrill Lynch Home Equity Acceptance, Inc.
Subordinated Variable Rate Mortgage-Backed
Certificates, Series 1994-A, Class A1, 6.1875%,
Due 8/17/23 6,755,769 6,698,751
Merrill Lynch Mortgage Investors, Inc. Senior
Subordinated Variable Rate Pass-Thru
Certificates, Series 1994-A, Class M, 6.1875%,
Due 2/15/19 11,000,000 11,204,354
Merrill Lynch Mortgage Investors, Inc. Variable
Rate Commercial Mortgage Pass-Thru
Certificates:
Series 97-SD1, Class D, 5.8875%, Due 4/01/10
(Acquired 11/24/97 - 1/29/99;
Cost $14,858,750) (b) 15,500,000 14,545,820
Series 97-SD1, Class E, 6.1875%, Due 4/01/10
(Acquired 11/24/97; Cost $2,500,000) (b) 2,500,000 2,328,525
Series 98-H1, Class C, 5.68%, Due 4/01/11
(Acquired 7/23/98; Cost $2,000,000) (b) 2,000,000 1,951,880
Series 98-H1, Class D, 5.88%, Due 4/01/11
(Acquired 7/23/98; Cost $5,813,000) (b) 5,813,000 5,380,687
Series 98-H1, Class E, 6.18%, Due 4/01/11
(Acquired 7/23/98; Cost $3,437,686) (b) 3,437,686 3,146,548
The Money Store Home Equity Trust,
Series 1998-A, Class AF3, 6.13%, Due 9/15/16 13,000,000 12,964,185
Morgan Stanley Capital I, Inc. Variable Rate
Commercial Mortgage Pass-Thru Certificates,
Series 1995-HF1, Class D, 6.8688%,
Due 2/15/05 3,500,000 3,484,705
Morgan Stanley Mortgage Trust Variable Rate
Collateralized Mortgage Obligation, Series 35,
Class 35-2, Interest Only, 7792.25%,
Due 4/20/21 17,251 263,936
Mortgage Index Amortizing Trust
Asset-Backed Notes, Series 1997-1,
Class A1, 6.682%, Due 8/25/04 8,155,000 8,060,728
Nomura Depositor Trust Floating Rate
Commercial Mortgage Pass-Thru
Certificates, Series 1998-ST1:
Class A4, 6.1575%, Due 1/15/03
(Acquired 1/30/98 - 2/10/98;
Cost $32,021,875) (b) 32,000,000 30,209,920
</TABLE>
17
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Class A5, 6.5075%, Due 1/15/03
(Acquired 1/30/98; Cost $6,300,000) (b) $ 6,300,000 $ 5,831,469
OUC Commercial Mortgage Securities, Inc.
Subordinated Adjustable Rate Mortgage
Securities, Series 1998-1, Class C, 6.8569%,
Due 1/27/28 (Acquired 2/12/98;
Cost $8,413,224) (b) 8,387,015 8,240,242
Option One Mortgage Securities Corporation
Net Interest Margin Trust, Series 1999-2,
9.66%, Due 6/25/2029 (Acquired 4/23/99;
Cost $11,873,363) (b) 11,873,363 11,813,996
Pennant CBO, Ltd./Pennant CBO Corporation
Floating Rate Yankee Bonds, Series 1A,
Class A, 6.475%, Due 9/14/11 (f) 10,000,000 9,987,000
Perpetual Savings Bank Variable Rate
Mortgage Pass-Thru Certificates,
Series 1991-1, Class B1, 6.8604%, Due 6/25/19
(Acquired 9/17/96; Cost $440,373) (b) 435,811 437,445
Provident CBO I, Ltd./Provident CBO I, Inc.
Senior Secured Floating Rate Bonds,
Series 1A, Class A1, 5.8988%, Due 12/09/10
(Acquired 11/12/98; Cost $7,000,000) (b) 7,000,000 7,026,250
Prudential Home Mortgage Securities Company
Mortgage Pass-Thru Certificates:
Series 1992-18, Class M, 8.50%, Due 7/25/22 8,537,416 8,814,866
Series 1992-46, Class A6, 7.00%, Due 12/01/07 7,300,000 7,312,958
Series 1993-63, Class A14, 6.75%, Due 1/25/24 6,342,744 6,286,122
Prudential Home Mortgage Securities Company
Variable Rate Mortgage Pass-Thru
Certificates, Series 1988-1, Class A, 6.9371%,
Due 4/25/18 719,212 716,741
Repeat Offering Securitisation Entity Funding
Number 1, Ltd. Floating Rate Asset-Backed
Notes, Class A5A, 6.1425%, Due 11/29/01
(Acquired 6/01/98; Cost $27,000,000) (b) 27,000,000 26,730,000
Repeat Offering Securitisation Entity Funding
Number 2, Ltd. Floating Rate Asset-Backed
Certificates:
Class A5A, 5.9113%, Due 10/28/04
(Acquired 7/14/98; Cost $9,972,266) (b) 10,000,000 9,800,000
Class A6, 7.2613%, Due 10/28/04
(Acquired 5/01/98; Cost $14,821,289) (b) 15,000,000 14,681,250
Resecuritization Mortgage Trust Certificates,
Series 1998-B, Class A, 5.595%, Due 4/26/21
(Acquired 11/12/98; Cost $9,638,449) (b) 9,705,172 9,650,629
Residential Accredit Loans, Inc. Mortgage
Pass-Thru Certificates, Series 1997-QS2,
Class A7, 7.75%, Due 3/25/27 10,400,783 10,476,449
Residential Funding Mortgage Securities I, Inc.
Mortgage Pass-Thru Certificates,
Series 1993-MZ1, Class A2, 7.47%,
Due 3/02/23 7,864,078 7,852,794
Residential Funding Mortgage Securities II, Inc.
Variable Rate Home Equity Loan Pass-Thru
Certificates, Series 1996-HS2,
Class A, Interest Only, 1.70%, Due 9/25/12 14,457,666 180,721
Resolution Trust Corporation Mortgage
Pass-Thru Securities, Inc. Commercial
Certificates:
Series 1992-C7, Class C, 9.25%, Due 6/25/23 38,661 38,461
Series 1994-C1, Class B, 8.00%, Due 6/25/26 2,535,526 2,516,509
Series 1994-C2, Class E, 8.00%, Due 4/25/25 11,759,575 11,677,905
Series 1995-C1, Class C, 6.90%, Due 2/25/27 15,350,000 15,330,275
Series 1995-C2, Class B, 6.80%, Due 5/25/27 3,517,616 3,520,923
Series 1995-C2, Class C, 7.00%, Due 5/25/27 4,155,699 4,122,557
Resolution Trust Corporation Mortgage
Pass-Thru Securities, Inc. Variable Rate
Certificates:
Series 1992-4, Class B2, 6.702%, Due 7/25/28 14,376,615 14,340,867
Series 1992-17, Class A2, 7.06%, Due 4/25/20 2,590,362 2,580,583
Series 1992-18P, Class B5, 7.50%, Due 1/25/21
(Acquired 9/10/97; Cost $387,142) (b) 385,695 385,333
Series 1993-1P, Class A2, 6.86%, Due 8/25/19
(Acquired 2/05/98; Cost $3,723,094) (b) 3,718,446 3,691,710
Series 1995-1, Class B5, 6.4123%,
Due 10/25/28 14,517,368 14,826,186
Series 1995-1, Class B11, 6.975%,
Due 10/25/28 960,723 969,758
Series 1995-1, Class M11, 6.175%,
Due 10/25/28 2,969,582 2,982,604
Resolution Trust Corporation Mortgage
Pass-Thru Securities, Inc. Variable Rate
Commercial Certificates:
Series 1992-C1, Class B, 7.1224%,
Due 8/25/23 565,233 557,818
Series 1992-C8, Class A2, 6.5375%,
Due 12/25/23 4,633,685 4,644,273
Ryland Mortgage Securities Corporation
Variable Rate Mortgage Participation
Securities:
Series 1990-C1, Class A, 5.8833%,
Due 10/25/20 33,074,628 32,950,598
Series 1992-3, Class A2, 6.6912%, Due 6/25/20 7,113,717 7,118,760
Ryland Mortgage Securities Corporation IV
Variable Rate Collateralized Mortgage Bonds,
Series 2, Class 3A, 12.0643%, Due 6/25/23 426,573 433,970
Salomon Brothers Mortgage Securities VII, Inc.
Asset-Backed Certificates, Series 1997-LB2:
Class A3, 7.20%, Due 4/25/27 4,768,530 4,759,494
Class A4, 7.40%, Due 4/25/27 5,010,000 5,016,238
Salomon Brothers Mortgage Securities VII, Inc.
Mortgage Pass-Thru Certificates:
Series 1996-LB2, Class A5, 7.25%,
Due 10/25/26 3,513,681 3,512,750
Series 1997-HUD1, Class A2, 7.37%,
Due 12/25/30 7,871,000 7,881,075
Salomon Brothers Mortgage Securities VII, Inc.
Variable Rate Mortgage Pass-Thru
Certificates, Series 1992-4, Class A2, 6.9867%,
Due 9/25/22 839,380 843,436
Sasco Floating Rate Commercial Mortgage
Trust Multiclass Pass-Thru Certificates,
Series 1998-C3A:
Class A-1B, 6.0888%, Due 6/25/15
(Acquired 10/23/98; Cost $15,000,000) (b) 15,000,000 15,000,000
Class A2, 5.9188%, Due 6/25/15
(Acquired 10/23/98; Cost $12,274,689) (b) 12,334,256 12,334,256
Saxon Mortgage Securities Corporation
Mortgage Partnership Securities,
Series 1993-8, Class 1A-1, 7.375%,
Due 9/25/23 529,693 529,166
Sears Mortgage Securities Corporation Variable
Rate Mortgage Pass-Thru Certificates:
Series 1991-1, Class A1, 5.6181%, Due 7/25/21 16,431,153 16,103,734
Series 1992-21, Class A2, 6.7888%,
Due 12/26/22 629,951 630,067
Structured Asset Securities Corporation
Multiclass Pass-Thru Certificates,
Series 1996-C3, Class D, 8.00%, Due 6/25/30
(Acquired 8/26/99; Cost $2,505,825) (b) 2,520,000 2,499,626
Structured Asset Securities Corporation
Variable Rate Multiclass Pass-Thru
Certificates:
Series 1994-C1, Class A3, 5.8438%,
Due 8/25/26 1,030,486 1,031,151
Series 1995-C4, Class A2, 5.8888%,
Due 6/25/26 1,619,789 1,621,174
</TABLE>
18
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
STRONG ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Structured Mortgage Trust Commercial
Mortgage-Backed Securities, Series 1997-2,
Class A, 6.9413%, Due 1/30/06
(Acquired 5/12/98; Cost $14,832,592) (b) $15,000,000 $ 14,231,250
Summit CBO I, Ltd./Summit CBO I Funding
Corporation Second Priority Senior Secured
Floating Rate Bonds, Series 1A, Class B,
6.0725%, Due 5/23/11 (Acquired 4/07/99;
Cost $9,580,000) (b) 9,580,000 9,518,592
T & W Funding Company XII LLC
Lease-Backed Notes, Series 1999-A, Class A,
6.07%, Due 11/15/07 (Acquired 3/26/99;
Cost $12,292,072) (b) 12,292,776 12,096,830
Textron Financial Corporation Receivables
Trust Asset-Backed Notes, Series 1998-A,
Class A1, 5.82%, Due 1/15/02
(Acquired 9/23/98; Cost $8,569,281) (b) 8,569,957 8,539,276
Western Federal Savings & Loan Association
Marina Del Rey California Variable Rate
Mortgage Pass-Thru Certificates, Series 1991-4,
Class A, 6.515%, Due 7/25/21 3,277,400 3,179,078
- -------------------------------------------------------------------------------------
Total Non-Agency Mortgage & Asset-Backed
Securities (Cost $931,552,502) 921,898,650
- -------------------------------------------------------------------------------------
United States Government & Agency
Issues 10.6%
FHLMC Participation Certificates:
5.00%, Due 5/01/06 26,515,801 25,140,293
7.00%, Due 7/15/06 3,398,433 3,422,851
7.50%, Due 8/01/04 16,290,671 16,429,173
8.50%, Due 7/01/21 12,372,464 12,886,425
9.00%, Due 1/01/05 thru 9/15/20 16,363,309 17,063,910
10.00%, Due 3/15/20 12,973,568 13,709,196
10.50%, Due 11/01/20 851,286 927,648
11.00%, Due 10/01/00 thru 9/01/20 1,925,330 2,110,605
11.75%, Due 5/01/11 thru 6/01/11 861,010 940,529
12.00%, Due 9/01/11 thru 2/01/15 346,749 385,626
12.25%, Due 7/01/15 428,739 471,141
12.50%, Due 2/01/15 98,476 109,908
FNMA Guaranteed Real Estate Mortgage
Investment Conduit Pass-Thru Certificates:
8.00%, Due 4/01/17 thru 3/25/21 31,398,009 32,091,213
8.75%, Due 9/25/20 thru 12/25/20 16,245,869 16,744,413
9.00%, Due 10/01/04 thru 6/01/24 74,131,833 77,588,045
9.50%, Due 12/01/09 thru 3/01/21 10,749,335 11,410,458
9.75%, Due 3/25/20 5,281,293 5,602,192
10.00%, Due 12/01/09 thru 1/01/10 7,463,996 7,976,759
10.50%, Due 8/01/19 6,167,489 6,790,036
13.50%, Due 9/01/14 16,736 19,050
FNMA Guaranteed Real Estate Mortgage
Investment Conduit Variable Rate Pass-Thru
Certificates, 6.942%, Due 12/01/17 2,860,972 2,928,920
GNMA Guaranteed Pass-Thru Certificates:
9.50%, Due 12/15/17 3,530,593 3,792,660
10.00%, Due 10/20/17 5,572,641 6,154,314
11.00%, Due 8/15/19 9,050,619 9,774,668
13.50%, Due 8/15/14 thru 11/15/14 78,071 90,988
15.00%, Due 5/15/12 thru 9/15/12 29,175 34,246
- -------------------------------------------------------------------------------------
Total United States Government & Agency
Issues (Cost $273,709,482) 274,595,267
- -------------------------------------------------------------------------------------
Preferred Stocks 2.9%
Newscorp Overseas, Ltd. 5.994% Series B 1,130,000 21,187,500
Parmalat Capital Finance 7.3163% Series B 200,000 4,625,000
TCI Communications Financing I Trust 8.72% 1,680,000 43,050,000
TCI Communications Financing II Trust 10.00% 200,000 5,350,000
- -------------------------------------------------------------------------------------
Total Preferred Stocks (Cost $83,047,522) 74,212,500
- -------------------------------------------------------------------------------------
Short-Term Investments (a) 2.5%
Commercial Paper 0.0%
Interest Bearing, Due Upon Demand
Wisconsin Electric Power Company, 4.94% 100 100
Corporate Bonds 1.9%
Amerco Asset-Backed Bonds, 6.65%,
Due 10/15/99 (Acquired 1/14/98;
Cost $5,008,900) (b) 5,000,000 4,995,500
Merchandise Mart LLC Commercial
Mortgage-Backed Securities, 6.63%,
Due 9/30/99 (Acquired 5/26/98;
Cost $24,950,000) (b) 25,000,000 24,875,000
Restructured Asset Variable Rate Certificates
Enhanced Returns, Series 1998-C-9-5, 6.3738%,
Due 6/15/00 (Acquired 9/14/98;
Cost $20,000,000) (b) 20,000,000 19,824,000
------------
49,694,500
Non-Agency Mortgage & Asset-Backed Securities 0.1%
FirstPlus Global Issuance Company/FirstPlus
Global Issuance Corporation Asset-Backed
Notes, Series 1998-3, Class A, Interest Only,
5.00%, Due 7/10/00 (Acquired 12/17/98;
Cost $3,765,228) (b) 52,159,000 1,980,477
Master Financial Asset Securitization Trust
Variable Rate Asset-Backed Notes,
Series 1997-1, Interest Only, 9.00%, Due 5/20/00 26,095,000 1,484,284
------------
3,464,761
Repurchase Agreements 0.5%
Barclays Capital, Inc. (Dated 8/31/99), 5.43%, 11,400,000 11,400,000
Due 9/01/99 (Repurchase proceeds $11,401,720);
Collateralized by United States
Treasury Bonds (h)
United States Government Issues 0.0%
Unites States Treasury Bills,
Due 9/02/99 thru 10/21/99 (c) 1,095,000 1,091,654
- -------------------------------------------------------------------------------------
Total Short-Term Investments (Cost $66,457,171) 65,651,015
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
Total Investments in Securities
Cost ($2,631,309,591) 99.5% 2,594,148,757
Other Assets and Liabilities, Net 0.5% 13,917,482
- -------------------------------------------------------------------------------------
Net Assets 100.0% $2,608,066,239
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
FUTURES
- ---------------------------------------------------------------------------------------
Underlying Unrealized
Face Amount Appreciation
Contracts Expiration Date at Value (Depreciation)
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C>
Sold:
1263 Two-Year U.S. Treasury Notes 12/99 $261,441,000 $199,945
2 Five-Year U.S. Treasury Notes 12/99 215,875 (1,634)
</TABLE>
<TABLE>
<CAPTION>
SWAPS
- ---------------------------------------------------------------------------------------
Open interest rate swap contracts at August 31, 1999 consisted of the following:
- ---------------------------------------------------------------------------------------
Notional
Issuer Amount Interest Sold Interest Bought
- ---------------------------------------------------------------------------------------
<S> <C> <C> <C>
CORE Limited
(Expires 1/16/06) $14,044,000 3 Month Euro LIBOR 3 Month USD LIBOR
+80 bp +78 bp
Mashantucket Western 30,000,000 6.91% 3 Month USD
Pequot Tribe (Expires 9/01/12) LIBOR + 28 bp
Salomon Brothers, Inc.
(Expires 9/30/03) 4,400,000 10 Year Constant 3 Month USD
Maturity Treasury LIBOR + 30 bp
-140 bp
</TABLE>
19
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Municipal Bonds 35.0%
Alabama 1.5%
Washington County, Alabama Board of Education
Municipal Project Lease and Option Agreement
COP, 5.10%, Due 1/31/03 $ 1,206,111 $ 1,189,527
West Jefferson Amusement and Public Park
Authority First Mortgage Revenue - Visionland
Alabama Project, 6.00%, Due 2/01/20 (Putable
at $100 on 2/01/02) 32,045,000 31,764,606
------------
32,954,133
Arkansas 0.1%
Little Rock, Arkansas Collateralized IDR -
Lexicon, Inc. Project, 6.48%, Due 7/01/06 3,185,000 3,196,052
California 0.4%
California PCFA Solid Waste Revenue - Keller
Canyon Landfill Company Project, 6.875%,
Due 11/01/27 4,100,000 4,217,875
Stanislaus, California Waste-To-Energy Financing
Agency Solid Waste Facility Revenue
Refunding - Ogden Martin System, Inc. Project,
7.625%, Due 1/01/10 4,090,000 4,207,547
------------
8,425,422
Colorado 1.3%
Arapahoe County, Colorado SFMR - IDK Partners
I Trust Pass-Thru Certificates, 5.25%,
Due 11/01/19 2,080,863 2,096,470
Central City, Gilpin County, Colorado Excise Tax
Refunding, 5.40%, Due 12/01/00 2,200,000 2,227,500
Denver, Colorado City and County Airport
Revenue:
7.75%, Due 11/15/21 10,000,000 10,712,500
8.25%, Due 11/15/12 3,500,000 3,714,375
Metropolitan Football Stadium District of
Colorado Sales Tax Revenue, Zero %,
Due 1/01/03 12,500,000 10,750,000
------------
29,500,845
Connecticut 0.3%
Connecticut HFA Housing Mortgage
Finance Program:
4.60%, Due 11/15/18 5,000,000 4,931,250
7.30%, Due 11/15/03 135,000 138,881
Norwich, Connecticut Tax-Exempt Equipment
Lease, 6.35%, Due 8/01/01 963,456 977,908
------------
6,048,039
Florida 0.2%
Capital Projects Finance Authority Solid Waste
Disposal Revenue Capital Projects Loan
Program - Peerless Dade, Inc. Project, 7.50%,
Due 11/01/18 5,000,000 5,018,750
Georgia 0.8%
George L. Smith II Georgia World Congress
Center Authority Revenue Refunding - Domed
Stadium Project:
5.75%, Due 7/01/01 5,005,000 5,105,100
6.00%, Due 7/01/02 5,310,000 5,469,300
6.00%, Due 7/01/03 5,645,000 5,835,519
------------
16,409,919
Hawaii 0.4%
Hawaii Department of Budget and Finance
Special Purpose Revenue - Citizens Utilities
Company Project, 6.66%, Due 11/01/21 8,500,000 8,988,750
Idaho 0.2%
Boise, Idaho Housing Authority Revenue -
Hobbler Place Project, 5.25%, Due 2/01/02 4,305,000 4,294,238
Illinois 4.2%
Alton, Illinois Hospital Facilities Revenue and
Refunding - St. Anthony's Health Center
Project, 5.00%, Due 9/01/01 850,000 848,937
Buffalo Grove, Illinois Park District Installment
Contract Certificates, 5.40%, Due 12/30/04 6,645,000 6,794,512
Chicago, Illinois O'Hare International Airport
Special Facilities Revenue - American Airlines,
Inc. Project, 7.875%, Due 11/01/25 33,280,000 35,027,200
Chicago, Illinois O'Hare International Airport
Special Facilities Revenue - United Airlines,
Inc. Project:
8.50%, Due 5/01/18 17,100,000 17,846,757
8.85%, Due 5/01/18 14,185,000 15,213,413
Eureka, Illinois Educational Facilities Revenue -
Eureka College Project:
5.25%, Due 1/01/01 660,000 655,875
5.25%, Due 1/01/19 (Putable at $100 on 1/01/01) 3,330,000 3,309,188
Illinois DFA PCR Refunding - Commonwealth
Edison Company Project, 7.25%, Due 6/01/11 7,225,000 7,604,312
Kane, McHenry, Cook and DeKalb Counties,
Illinois Community Unit School District Number
300 GO Lease Secured COP - School Building
Project, 6.90%, Due 12/01/04 3,195,000 3,386,700
Romeoville, Will County, Illinois COP, 7.30%,
Due 12/01/00 2,000,000 2,080,000
------------
92,766,894
Indiana 0.3%
East Chicago, Indiana School City COP:
5.10%, Due 7/15/03 3,020,000 2,989,800
5.50%, Due 7/15/02 2,060,000 2,072,875
Huntington, Indiana EDR Refunding - Quanex
Corporation Project, 6.50%, Due 8/01/10 1,665,000 1,700,132
------------
6,762,807
Iowa 0.1%
Cedar Rapids, Iowa First Mortgage Revenue -
Cottage Grove Place Project, 5.30%, Due 7/01/05 1,910,000 1,876,575
Kansas 0.4%
Kansas City, Kansas Board of Public Utilities
Master Municipal Lease and Option
Agreement, 4.47%, Due 5/01/03 3,457,808 3,392,974
Kansas City, Kansas Residual Revenue Capital
Appreciation, Zero %, Due 5/01/12 1,805,000 685,900
Sedgwick and Shawnee Counties, Kansas SFMR
Mortgage-Backed Securities Program, 4.70%,
Due 12/01/08 3,500,000 3,465,000
------------
7,543,874
Kentucky 1.7%
Kenton County, Kentucky Airport Board Special
Facilities Revenue - Delta Air Lines, Inc.
Project, 7.125%, Due 12/01/21 27,420,000 28,893,825
Kentucky EDFA Hospital System Refunding and
Improvement Revenue - Appalachian Regional
Healthcare, Inc. Project:
4.70%, Due 10/01/00 2,085,000 2,087,314
4.85%, Due 10/01/01 2,195,000 2,195,000
5.00%, Due 10/01/02 2,300,000 2,291,375
5.10%, Due 10/01/03 2,165,000 2,165,000
------------
37,632,514
Louisiana 5.5%
East Baton Rouge, Louisiana Mortgage Finance
Authority SFMR Refunding - GNMA and
FNMA Mortgage-Backed Securities Program,
4.60%, Due 10/01/16 4,000,000 3,980,000
</TABLE>
20
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Louisiana Health and Education Authority
Revenue Refunding - Lambeth House
Project, 5.25%, Due 1/01/05 $14,875,000 $ 14,633,281
Louisiana Public Facilities Authority Hospital
Revenue Refunding - Pendleton Memorial
Methodist Hospital Project:
6.75%, Due 6/01/10 795,000 834,750
6.75%, Due 6/01/10 (Pre-Refunding at $102
on 6/01/02) 2,265,000 2,443,369
6.75%, Due 6/01/22 2,615,000 2,713,062
Louisiana Public Facilities Authority MFHR -
Whitten Foundation Project:
6.75%, Due 4/01/01 26,700,000 26,533,125
7.00%, Due 12/01/00 11,665,000 11,664,650
7.00%, Due 6/01/01 18,150,000 18,104,625
New Orleans, Louisiana Regional Transit
Authority Lease-Purchase Agreements:
Lease M98147, 5.50%, Due 5/01/08 31,963,742 31,324,467
Lease M98159, 5.50%, Due 5/01/08 3,006,633 2,946,500
Ouachita Parish, Louisiana IDB, Inc. Revenue
Refunding - Physicians and Surgeons Medical
Complex Project, 4.80%, Due 8/01/02 3,750,000 3,754,688
West Feliciana Parish, Louisiana PCR - Gulf States
Utilities Company Project, 9.00%, Due 5/01/15 3,250,000 3,422,217
------------
122,354,734
Maine 0.2%
Maine Finance Authority Solid Waste Disposal
Revenue - Boise Cascade Corporation Project,
7.90%, Due 6/01/15 5,000,000 5,193,350
Maryland 0.2%
Maryland Stadium Authority Sports Facilities
Lease Revenue, 7.50%, Due 12/15/10 5,000,000 5,144,350
Massachusetts 2.7%
Clipper Caravel Tax-Exempt Trust Certificates
3.75%, Due 10/08/01 23,000,000 22,856,250
Commonwealth of Massachusetts Department of
Revenue Tax-Exempt Master Equipment Lease:
5.085%, Due 10/01/00 716,947 718,890
5.62%, Due 10/01/01 1,393,679 1,407,616
Massachusetts Health and EFA Competitive
Lease Program - Whitehead Institute for
Biomedical Research Project:
4.595%, Due 10/15/03 28,436,263 28,222,991
4.698%, Due 5/07/03 2,178,682 2,184,129
Massachusetts Industrial Finance Agency
Industrial Revenue - John T. Spinelli Project,
7.00%, Due 11/01/00 834,241 834,241
Northborough, Massachusetts Industrial Financial
Authority Revenue - Newcorr Packaging
Limited Project, 4.80%, Due 9/01/02 2,630,000 2,630,000
------------
58,854,117
Michigan 0.3%
Detroit, Michigan EDC Resource Recovery
Revenue, 7.00%, Due 5/01/01 2,390,000 2,455,725
Koch Financial Corporation Special Purpose
Lease Tax-Exempt Private Municipal Trust
Certificates, 4.70%, Due 10/06/03 3,107,000 3,087,581
------------
5,543,306
Minnesota 0.9%
Monticello, Minnesota Housing and
Redevelopment Authority Revenue - Temporary
Public Project, 4.50%, Due 2/01/01 6,500,000 6,459,375
Plymouth, Minnesota Revenue Refunding -
Carlson Center Project, 7.00%, Due 4/01/12 3,505,000 3,511,274
Sartell, Minnesota PCR Refunding - Champion
International Corporation Project, 6.95%,
Due 10/01/12 9,380,000 9,895,900
------------
19,866,549
Mississippi 0.2%
Jones County, Mississippi Hospital Revenue
Refunding - South Central Regional Medical
Center Project, 5.00%, Due 12/01/03 4,130,000 4,119,675
Missouri 0.0%
Springfield, Missouri Land Clearance
Redevelopment Authority Industrial Revenue -
University Plaza Project, 5.90%, Due 10/01/01 860,000 866,450
Nebraska 1.1%
Energy America Gas Supply Revenue -
Metropolitan Utilities District Project,
5.30%, Due 4/01/05 16,483,187 16,565,603
Energy America Gas Supply Revenue - Nebraska
Public Gas Agency Project, 5.10%,
Due 10/15/05 5,842,098 5,798,282
Omaha Tribe of Nebraska Public Improvements
Authority GO, 7.50%, Due 12/01/02 2,660,000 2,683,275
------------
25,047,160
Nevada 0.1%
Reno-Sparks, Nevada Convention and Visitors
Authority Limited Obligation Refunding,
6.25%, Due 11/01/01 1,540,000 1,570,800
New York 0.6%
Dutchess County, New York Resource Recovery
Agency Solid Waste System Revenue:
4.45%, Due 1/01/01 1,130,000 1,135,650
4.55%, Due 1/01/02 1,305,000 1,313,156
4.65%, Due 1/01/03 1,400,000 1,412,250
4.70%, Due 1/01/04 1,490,000 1,503,038
New York Mortgage Agency Homeowner
Mortgage Revenue, 4.75%, Due 10/01/21 7,245,000 7,172,550
------------
12,536,644
North Carolina 0.1%
Northampton County, North Carolina Industrial
Facilities and PCFA Solid Waste Disposal
Revenue - Champion International Corporation
Project, 8.05%, Due 11/01/04 3,000,000 3,075,060
Ohio 1.3%
Ohio Department of Transportation COP -
Rickenbacker Port Project, 6.125%, Due 4/15/15 395,000 408,699
Ohio HFA Residential Mortgage Revenue -
Mortgage-Backed Securities Program, 4.65%,
Due 9/01/20 25,380,000 24,967,575
Youngstown, Ohio City School District Energy
Conservation Measures, 6.80%, Due 3/15/05 3,785,000 3,941,131
------------
29,317,405
Oklahoma 0.5%
Tulsa, Oklahoma Trustees Municipal Airport
Trust - American Airlines, Inc. Project, 7.375%,
Due 12/01/20 11,000,000 11,536,250
Oregon 0.4%
Clackamas County, Oregon Hospital Facility
Authority Revenue Refunding -
Willamette View, Inc. Project, 5.40%,
Due 11/01/02 1,260,000 1,274,175
Medford, Oregon Municipal Lease-Purchase
Agreement, 5.00%, Due 5/01/03 1,535,868 1,539,708
</TABLE>
21
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Multnomah County, Oregon Educational
Facilities Revenue Refunding -
University of Portland Project, 4.75%,
Due 4/01/01 $ 2,005,000 $ 2,012,519
Washington County, Oregon Operations Yard
Facilities Deferred Interest Obligations,
Zero %, Due 6/01/03 4,000,000 3,375,000
-------------
8,201,402
Pennsylvania 2.2%
Lehigh County, Pennsylvania General Purpose
Authority Revenue - KidsPeace Obligated
Group Project:
5.50%, Due 11/01/01 2,125,000 2,117,031
5.50%, Due 11/01/02 2,240,000 2,226,000
5.50%, Due 11/01/03 2,360,000 2,339,350
5.50%, Due 11/01/04 2,500,000 2,468,750
Montgomery County, Pennsylvania IDA First
Mortgage Revenue Refunding - The
Meadowood Corporation Project, 5.15%,
Due 12/01/03 1,381,000 1,370,642
Montgomery County, Pennsylvania IDA PCR
Refunding, 6.70%, Due 12/01/21 3,575,000 3,789,500
Ohio Township, Allegheny County,
Pennsylvania GO, 5.15%, Due 11/15/00 1,785,000 1,788,427
Pennsylvania Housing Finance Agency
SFMR, 7.75%, Due 10/01/09 4,000,000 4,092,120
Philadelphia, Pennsylvania Airport Revenue
Refunding - Philadelphia Airport System
Project, 5.50%, Due 6/15/01 2,000,000 2,042,500
Philadelphia, Pennsylvania IDA Health Care
Facilities Revenue - Pauls Run Project,
5.125%, Due 5/15/03 1,600,000 1,586,000
Philadelphia, Pennsylvania Municipal
Authority Equipment Revenue, 5.297%,
Due 10/01/04 14,759,102 15,017,387
Pittsburgh, Pennsylvania Urban
Redevelopment Authority Mortgage
Revenue, 5.15%, Due 4/01/21 3,980,000 3,980,000
Scranton, Lackawanna County, Pennsylvania
Health and Welfare Authority Hospital
Revenue - Moses Taylor Hospital Project:
5.25%, Due 7/01/02 3,650,000 3,581,563
5.45%, Due 7/01/03 1,350,000 1,321,313
-------------
47,720,583
Puerto Rico 0.2%
Commonwealth of Puerto Rico Tax-Exempt
Lease Certificates, 5.35%, Due 7/15/04 4,603,202 4,735,544
South Carolina 0.4%
Charleston County, South Carolina First
Mortgage Health Facilities Revenue - The
Episcopal Church Home Project, 5.40%,
Due 4/01/04 8,100,000 8,100,000
Charleston County, South Carolina Industrial
Revenue Refunding - Coburg Dairy, Inc.
Project, 6.875%, Due 10/01/06 1,400,000 1,404,228
-------------
9,504,228
Tennessee 0.5%
Tennessee Housing Development Agency -
Homeownership Program, Zero %,
Due 7/01/12 20,095,000 10,600,112
Texas 2.9%
Alliance Airport Authority, Inc. Special
Facilities Revenue - American Airlines, Inc.
Project, 7.50%, Due 12/01/29 10,450,000 10,972,500
Brazos River Authority Collateralized PCR -
Texas Utilities Electric Company Project,
8.125%, Due 3/01/21 6,845,000 7,075,540
Dallas-Fort Worth, Texas International
Airport Facilities Improvement Corporation
Revenue - American Airlines, Inc. Project,
7.50%, Due 11/01/25 16,640,000 17,451,200
Gulf Coast, Texas Waste Disposal Authority
Multi-Modal Interchangeable Rate Revenue -
Champion International Corporation Project,
7.45%, Due 5/01/26 8,400,000 8,935,500
Houston, Texas Airport System Subordinate
Lien Revenue Refunding, 5.25%, Due 7/01/01 2,350,000 2,388,187
Jefferson County, Texas Health Facilities
Development Corporation Hospital Revenue -
Baptist Healthcare System Project, 8.875%,
Due 6/01/21 2,955,000 3,006,713
Lubbock, Texas HFC SFMR Refunding -
GNMA Mortgage-Backed Securities
Program, 7.00%, Due 12/01/20 5,485,000 5,814,100
Matagorda County, Texas Navigation District
Number One Collateralized PCR - Central
Power and Light Company Project, 7.50%,
Due 12/15/14 3,335,000 3,460,396
Texas Department of Housing and
Community Affairs Residential Mortgage
Revenue, 4.80%, Due 7/01/18 5,000,000 4,918,750
-------------
64,022,886
Utah 0.6%
Eagle Mountain, Utah Gas and Electric
Revenue BAN, 4.875%, Due 9/01/01 2,830,000 2,839,226
Eagle Mountain, Utah Special Improvement
District Number 98-3 Special Assessment,
5.50%, Due 12/15/08 5,090,000 5,013,650
Salt Lake City, Utah Redevelopment Agency
Central Business District Neighborhood
Redevelopment Tax Increment Revenue
Refunding, 4.75%, Due 10/01/02 4,200,000 4,226,250
-------------
12,079,126
Virginia 0.1%
Arlington County, Virginia COP, 4.458%,
Due 6/01/01 2,531,961 2,522,466
Washington 0.5%
Grant County, Washington Public Utility
District Number 2 Priest Rapids
Hydroelectric Development Second Series
Revenue Refunding:
Series A, 5.00%, Due 1/01/04 2,500,000 2,546,875
Series B, 5.00%, Due 1/01/04 1,385,000 1,402,313
Grant County, Washington Public Utility
District Number 2 Wanapum Hydroelectric
Development Second Series Revenue
Refunding:
Series A, 5.00%, Due 1/01/04 1,270,000 1,293,812
Series B, 5.00%, Due 1/01/04 1,105,000 1,125,719
Skagit and Whatcom Counties, Washington
Public Hospital District Number 304
Revenue Refunding - Affiliated Health
Services, 4.90%, Due 12/01/02 2,670,000 2,666,662
Skagit County, Washington Public Hospital
District Number 1 Revenue Refunding -
Affiliated Health Services, 4.90%,
Due 12/01/02 2,015,000 2,012,481
-------------
11,047,862
</TABLE>
22
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
West Virginia 0.2%
Kanawha County, West Virginia County
Commission IDR - Union Carbide Chemicals
and Plastics Company, Inc. Project, 8.00%,
Due 8/01/20 $ 1,930,000 $ 2,015,596
West Virginia Housing Development Fund
Housing Finance Revenue, 7.20%, Due 11/01/20 3,000,000 3,127,500
--------------
5,143,096
Wyoming 0.4%
Wyoming Community HDA Revenue, 3.80%,
Due 6/01/01 8,200,000 8,118,000
Multiple States 1.0%
Municipal Tax-Exempt Trust Certificates, 4.00%,
Due 3/06/01 13,957,104 13,974,551
Port Authority of New York and New Jersey
Revenue - Delta Air Lines, Inc. Project, 6.95%,
Due 6/01/08 7,000,000 7,446,250
--------------
21,420,801
- -------------------------------------------------------------------------------------
Total Municipal Bonds (Cost $773,877,113) 771,560,768
- -------------------------------------------------------------------------------------
Taxable Municipal Bonds 0.0%
Arizona 0.0%
Pima County, Arizona IDA MFHR - Casa Loma
Apartments and Old Farm Project, 9.00%,
Due 1/01/01 175,000 172,594
Indiana 0.0%
Indianapolis, Indiana MFHR - Covered Bridge
Project, 9.00%, Due 4/01/01 75,000 69,937
- -------------------------------------------------------------------------------------
Total Taxable Municipal Bonds (Cost $250,000) 242,531
- -------------------------------------------------------------------------------------
Variable Rate Put Bonds 11.0%
Arizona 0.9%
Pima County, Arizona IDA MFHR - Casa Loma
Apartments Project, 5.50%, Due 1/01/34
(Putable at $100 and Rate Reset
Effective 1/01/01) 20,865,000 20,734,594
California 1.2%
Santa Rosa, California Housing Authority MFHR -
Dutton Partners Project, 4.85%, Due 9/01/07
(Mandatory Put at $100 on 9/01/02) 3,000,000 3,003,750
San Bernardino County, California MFHR
Refunding - Casa Del Rio Apartments Project
(Mandatory Put at $100 on (9/25/00):
Phases I and IV, 5.50%, Due 8/25/29 13,010,000 12,955,358
Phases II and III, 5.50%, Due 8/25/29 10,180,000 10,137,244
--------------
26,096,352
Colorado 0.1%
Colorado Health Facilities Authority Revenue
EXTRAS - Baptist Home Association of the
Rocky Mountains, Inc. Project, 5.75%,
Due 8/15/27 (Putable at $100 and Rate Reset
Effective 8/15/02) 3,000,000 3,027,750
Florida 3.0%
Florida Housing Finance Agency MFHR - Cypress
Lake Apartment Project, 5.75%, Due 12/01/07
(Mandatory Put at $100 on 12/01/02) 200,000 203,500
Municipal Mortgage & Equity LLC MFHR
Certificates, 4.95%, Due 8/15/23 (Mandatory Put
at $100 on 8/15/05) 67,000,000 66,330,000
--------------
66,533,500
Georgia 0.1%
Decatur County, Georgia Bainbridge IDA IDR -
John B. Sanfilippo & Son, Inc. Project, 5.375%,
Due 6/01/17 (Mandatory Put at $100
on 6/01/02) 2,870,000 2,873,329
Illinois 1.2%
Chicago, Illinois MFHR - Chicago Beach
Apartments Project, 5.50%, Due 2/01/17
(Putable at $100 and Rate Reset
Effective 2/01/02) 2,900,000 2,903,451
Illinois Health Facilities Authority Revenue
EXTRAS - Covenant Retirement Communities,
Inc. Project, 5.25%, Due 12/01/22 (Putable at
$100 and Rate Reset Effective 12/01/02) 3,500,000 3,526,250
Robbins, Illinois Resource Recovery Revenue
Refunding - Robbins Resource Recovery
Partners, 4.90%, Due 10/15/17 (Mandatory
Put at $100 on 10/15/02) 20,350,000 20,273,688
--------------
26,703,389
Maryland 0.2%
Maryland Health and Higher EFA First Mortgage
Revenue - Peninsula United Methodist Homes,
Inc. Project, 5.25%, Due 10/01/28 (Putable at
$100 and Rate Reset Effective 10/01/03) 3,600,000 3,559,500
Michigan 0.9%
Michigan Strategic Fund Limited Obligation
Revenue Refunding - Detroit Edison Company
Project, 4.70%, Due 9/01/29 (Mandatory Put at
$100 on 9/01/01) 20,000,000 20,100,000
New Jersey 0.6%
New Jersey EDA Senior Mortgage Revenue
Refunding EXTRAS - Arbor Glen of
Bridgewater Project, 5.375%, Due 5/15/32
(Putable at $100 and Rate Reset Effective
5/15/04) 12,500,000 12,421,875
New York 0.4%
Amherst, New York Industrial Development
Agency Revenue - Asbury Pointe, Inc. Project,
5.25%, Due 2/01/35 (Mandatory Put at $100
on 2/01/04) 5,000,000 4,912,500
New York Mortgage Agency Homeowner
Mortgage Revenue, 3.90%, Due 10/01/25
(Mandatory Put at $100 on 10/01/01) 4,700,000 4,700,000
--------------
9,612,500
Ohio 0.8%
Ohio Water Development Authority Facilities PCR
Refunding - Ohio Edison Company Project,
4.25%, Due 6/01/33 (Mandatory Put at $100
on 6/01/01) 18,000,000 17,842,500
Pennsylvania 0.4%
Chester County, Pennsylvania Health and
Education Facilities Authority Revenue -
Barclay Friends Project, 4.60%, Due 8/01/25
(Mandatory Put at $100 on 8/01/02) 2,430,000 2,423,925
Montgomery County, Pennsylvania IDA First
Mortgage Revenue Refunding EXTRAS - The
Meadowood Corporation Project, 5.50%,
Due 12/01/19 (Putable at $100 and Rate
Reset Effective 12/01/02) 4,000,000 3,990,000
</TABLE>
23
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Philadelphia, Pennsylvania IDA Health Care
Facilities Revenue EXTRAS - Pauls Run
Project, 5.125%, Due 5/15/28 (Putable at $100
and Rate Reset Effective 5/15/03) $ 2,000,000 $ 1,982,500
--------------
8,396,425
South Carolina 0.1%
Charleston County, South Carolina First Mortgage
Health Facilities Revenue - The Episcopal
Church Home Project, 5.30%, Due 4/01/27
(Putable at $100 and Rate Reset
Effective 10/01/02) 3,000,000 3,003,750
South Dakota 0.4%
Sioux Falls, South Dakota EDR Refunding - City
Centre Hotel Corporation Project, 7.00%,
Due 11/01/16 (Putable at $100 and Rate Reset
Effective 12/01/00) 7,850,070 7,850,070
Tennessee 0.1%
Shelby County, Tennessee Health, Educational
and Housing Facility Board Health Care
Facilities Revenue EXTRAS - Kirby Pines
Retirement Community Project, 5.50%, Due
11/15/27 (Putable at $100 and Rate Reset
Effective 11/15/02) 2,450,000 2,446,937
Texas 0.4%
Abilene, Texas Health Facilities Development
Corporation Retirement Facilities Revenue
EXTRAS - Sears Methodist Retirement
System Obligated Group Project, 5.25%,
Due 11/15/28 (Putable at $100 and Rate
Reset Effective 11/15/03) 6,070,000 5,986,537
North Central Texas Health Facilities
Development Corporation Health Facility
Development Revenue EXTRAS - C.C. Young
Memorial Home Project, 5.00%, Due 2/15/28
(Putable at $100 and Rate Reset
Effective 2/15/03) 1,575,000 1,561,219
Trinity River Authority Refunding - Texas
Industries, Inc. Project, 6.187%, Due 9/01/07
(Putable at $100 and Rate Reset
Effective 11/01/01) 365,000 368,194
Trinity River Authority Refunding - Texas
Industries, Inc. Project, Series A, 6.187%,
Due 9/01/07 (Putable at $100 and Rate Reset
Effective 11/01/01) 230,000 232,012
--------------
8,147,962
Virginia 0.2%
Rockingham County, Virginia IDA Residential
Care Facility First Mortgage Revenue -
Virginia Mennonite Retirement Community
Project, 5.10%, Due 4/01/32 (Putable at $100
and Rate Reset Effective 4/01/03) 4,250,000 4,228,750
- -------------------------------------------------------------------------------------
Total Variable Rate Put Bonds (Cost $244,552,706) 243,579,183
- -------------------------------------------------------------------------------------
Short-Term Investments (a) 54.7%
Municipal Bonds 7.8%
Arkansas 0.1%
Fayetteville, Arkansas Public Facilities Board
Refunding and Improvement Revenue -
Butterfield Trail Village Project, 9.50%,
Due 9/01/14 (Pre-Refunding at $102 on
9/01/99) 3,385,000 3,452,700
California 0.1%
California Hospital Revenue - Valley Health
System Refunding and Improvement
Project, 5.50%, Due 5/15/00 740,000 741,243
Santa Ana, California Community
Redevelopment Refunding, 7.50%, Due
9/01/16 (Pre-Refunding at $102 on 9/01/99) 2,000,000 2,040,000
-------------
2,781,243
Connecticut 0.1%
Connecticut Development Authority Airport
Facilities Revenue - Roncari Associates, Inc.
Project, 7.25%, Due 12/01/99 1,800,905 1,801,031
Illinois 1.3%
Alton, Illinois Hospital Facilities Revenue
Refunding - St. Anthony's Health Center
Project:
4.95%, Due 9/01/99 1,400,000 1,400,000
5.15%, Due 9/01/00 1,355,000 1,362,154
Romeoville, Will County, Illinois COP, 7.30%,
Due 12/01/99 2,250,000 2,270,093
Winnebago and Boone Counties, Illinois
Rockford School District Number 205
Educational Purpose Tax Anticipation
Warrants, 5.40%, Due 10/29/99 24,900,000 24,919,671
-------------
29,951,918
Kentucky 0.1%
Kentucky EDFA Hospital System Refunding
and Improvement Revenue - Appalachian
Regional Healthcare, Inc. Project, 4.50%,
Due 10/01/99 2,005,000 2,005,682
Maine 0.1%
Maine Educational Loan Marketing
Corporation Student Loan Revenue
Refunding, 6.65%, Due 11/01/99 2,515,000 2,523,249
Massachusetts 0.1%
Commonwealth of Massachusetts Department
of Revenue Tax-Exempt Master Equipment
Lease, 5.40%, Due 9/30/99 1,609,916 1,611,075
Minnesota 0.3%
Minneapolis, Minnesota Temporary Parking
Ramp Revenue, 4.75%, Due 6/01/00 5,885,000 5,887,413
New Jersey 2.0%
East Orange, New Jersey BAN, 5.65%,
Due 6/30/00 23,830,000 24,123,109
Irvington Township, New Jersey TAN:
4.625%, Due 10/21/99 7,500,000 7,510,050
5.00%, Due 10/28/99 9,000,000 9,017,460
South Amboy, New Jersey Housing Authority
Housing Revenue - Shore Gate Village
Grand Project, 6.00%, Due 11/01/99 4,400,000 3,960,000
-------------
44,610,619
New York 1.4%
Nassau County, New York BAN, 4.25%,
Due 5/16/00 10,000,000 10,006,300
Nassau County, New York RAN, 3.75%,
Due 3/15/00 20,000,000 19,987,600
-------------
29,993,900
Ohio 1.4%
American Municipal Power Ohio, Inc. BAN -
Distribution General Project, 4.25%,
Due 1/21/00 29,550,000 29,573,049
</TABLE>
24
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Cleveland, Ohio City School District Energy
Conservation Improvement GO, 6.53%,
Due 9/15/99 (c) $ 630,000 $ 630,561
-------------
30,203,610
Pennsylvania 0.3%
Beaver County, Pennsylvania IDA PCR
Refunding - Ohio Edison Project, 7.75%,
Due 9/01/24 (Pre-Refunding at $102
on 9/01/99) 4,500,000 4,590,000
Philadelphia, Pennsylvania Hospitals and
Higher Education Facilities Authority
Revenue - Northwestern Corporation
Project, 8.375%, Due 6/01/04 (Pre-Refunding
at $102 on 6/01/00) 1,280,000 1,348,134
-------------
5,938,134
Texas 0.2%
Falcons Lair, Texas Utility and Reclamation
District COP, 6.25%, Due 10/15/99 4,000,000 4,020,000
Washington 0.2%
Lynnwood, Snohomish County, Washington
Local Improvement District Number 93-1
BAN, 4.60%, Due 10/01/99 5,000,000 5,003,450
Wisconsin 0.1%
Lake Como Sanitary District Number 1 BAN,
4.50%, Due 6/01/00 2,350,000 2,353,619
-------------
Total Municipal Bonds 172,137,643
Variable Rate Put Bonds 6.8%
Arizona 0.5%
Pima County, Arizona IDA SFMR Draw Down,
4.81%, Due 6/01/28 (Mandatory Put at $100
on 9/24/99) 11,760,000 11,760,000
California 2.5%
California Statewide Communities
Development Authority MFHR - Discovery
Commons Project, 5.375%, Due 1/25/31
(Mandatory Put at $100 on 6/15/00) 6,755,000 6,734,735
California Statewide Communities
Development Authority MFHR - Lancaster
Manor Apartments Project, 5.375%,
Due 12/25/30 (Mandatory Put at $100
on 6/15/00) 9,650,000 9,709,830
California Statewide Communities
Development Authority MFHR - Ocotillo
Project, 5.50%, Due 1/25/31 (Mandatory Put
at $100 on 6/15/00) 6,150,000 6,142,005
California Statewide Communities
Development Authority MFHR - Van Nuys
Pierce Park Project, 5.50%, Due 1/25/31
(Mandatory Put at $100 on 6/15/00) 13,595,000 13,611,450
San Bernardino County, California MFHR
Refunding - Nova Project, 5.50%,
Due 8/25/29 (Mandatory Put at $100
on 6/15/00) 14,500,000 14,475,640
San Bernardino County, California MFHR
Refunding - VLG Green Project, 5.50%,
Due 1/25/31 (Mandatory Put at $100
on 6/15/00) 5,294,000 5,285,106
-------------
55,958,766
Colorado 0.2%
Denver, Colorado City and County SFMR
Refunding, 4.75%, Due 12/01/29
(Mandatory Put at $100 on 9/24/99) 1,575,000 1,575,000
El Paso County, Colorado SFMR Refunding,
4.75%, Due 11/01/29 (Mandatory Put at
$100 on 9/24/99) 3,415,000 3,415,000
-------------
4,990,000
Florida 0.9%
Escambia County, Florida Escambia Housing
Corporation Housing Revenue - Royal Arms
Project, 7.00%, Due 7/01/17 (Mandatory Put
at $100 on 11/17/99) 9,030,000 9,030,000
Escambia County, Florida Escambia Housing
Corporation Housing Revenue - Wellington
Arms Project, 7.375%, Due 9/01/16
(Mandatory Put at $100 on 9/01/99) 10,650,000 10,650,000
-------------
19,680,000
Indiana 0.8%
Anderson, Indiana MFHR - Cross Lakes
Apartments Project, 5.625%, Due 7/01/33
(Mandatory Put at $100 on 7/01/00) 8,430,000 8,416,765
Indianapolis, Indiana MFHR - Covered
Bridge Project, 5.50%, Due 4/01/30
(Mandatory Put at $100 on 4/01/00) 9,780,000 9,780,000
-------------
18,196,765
Maine 0.3%
Maine Finance Authority MFHR - Back Bay
Tower Project, 5.25%, Due 9/01/18
(Mandatory Put at $100 on 9/01/99) 5,870,000 5,870,000
New York 0.5%
Hempstead, New York Industrial Development
Agency Resource Recovery Revenue - BFI
Credit Corporation Project, 3.40%,
Due 12/01/10 (Mandatory Put at $100
on 12/01/99) 10,060,000 10,041,993
Oklahoma 0.4%
Canadian County, Oklahoma HFA SFMR
Refunding, 4.75%, Due 8/01/28:
Series A-1 (Mandatory Put at $100
on 9/24/99) 1,255,000 1,255,000
Series A-2 (Mandatory Put at $100
on 9/24/99) 5,850,000 5,850,000
Cleveland County, Oklahoma Home Loan
Authority SFMR Refunding, 4.75%,
Due 8/01/28 (Mandatory Put at $100
on 9/24/99) 2,660,000 2,660,000
-------------
9,765,000
Texas 0.5%
Ivy Walk Apartments Trust Pass-Thru
Certificates, 5.50%, Due 3/01/07 (Mandatory
Put at $100 on 3/01/00) 6,650,000 6,699,809
Texarkana, Texas HFC MFHR - Tanglewood
Terrace Apartments, 5.50%, Due 6/01/29
(Mandatory Put at $100 on 6/01/00) 4,215,000 4,269,626
-------------
10,969,435
Wisconsin 0.2%
Germantown, Wisconsin IDR - Moldmakers Leasing
and Investments LLP Project, 5.00%,
Due 12/01/12 (Putable at $100 and
Rate Reset Effective 12/01/99) 4,000,000 4,012,760
-------------
Total Variable Rate Put Bonds 151,244,719
Municipal Commercial Paper 2.4%
Arizona 0.5%
Arizona Industrial Commission Special Fund
Tax-Exempt COP Refunding, 4.70%,
Due 9/09/99 10,300,000 10,300,000
</TABLE>
25
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Arkansas 0.2%
Hope, Arkansas Solid Waste Disposal
Revenue - Temple-Inland Forest Products
Project, 4.15%, Due 9/07/99 $ 4,000,000 $ 4,000,000
Georgia 0.1%
McDuffie County, Georgia Development
Authority Waste Disposal Revenue -
Temple-Inland Forest Products Project,
4.15%, Due 9/07/99 3,100,000 3,100,000
Kentucky 0.8%
Maysville, Kentucky Solid Waste Disposal
Facilities Revenue - Inland Container
Corporation Project:
4.15%, Due 9/07/99 2,710,000 2,710,000
4.25%, Due 9/07/99 16,000,000 16,000,000
-----------
18,710,000
Texas 0.8%
Angelina and Neches River Authority
Solid Waste Disposal Revenue - Temple
Eastex, Inc. Project, 4.15%, Due 9/07/99 2,600,000 2,600,000
Angelina and Neches River Authority
Solid Waste Disposal Revenue - Temple-Inland
Forest Products Project, 4.15%, Due 9/07/99 9,550,000 9,550,000
Port Development Corporation Marine Terminal
Refunding Revenue - Mitsui and Company
(USA), Inc. Project, 4.70%, Due 9/09/99 4,400,000 4,400,000
-----------
16,550,000
-----------
Total Municipal Commercial Paper 52,660,000
Annual Put Bonds 6.1% (d)
California 0.1%
Huntington Park, California Redevelopment
Agency IDR - Huntington Park Project, 4.75%,
Due 8/01/00 (e) 1,140,000 1,140,000
Maine 0.5%
Jay, Maine Solid Waste Disposal Revenue -
International Paper Company Project, 3.95%,
Due 6/01/00 (e) 10,585,000 10,613,368
Mississippi 0.2%
Warren County, Mississippi Solid Waste Disposal
Revenue - International Paper Company
Project, 3.85%, Due 3/01/00 (e) 3,700,000 3,702,553
Ohio 0.0%
Sharonville, Ohio IDR - Ralston Purina Company
Project, 4.25%, Due 12/01/99 (e) 1,000,000 1,000,000
Pennsylvania 1.1%
Clinton County, Pennsylvania IDA Solid Waste
Disposal Revenue - International Paper
Company Project, 3.95%, Due 1/15/00 (e) 25,000,000 25,037,250
Tennessee 0.1%
Knox County, Tennessee IDB IDR - Spartan Food
Systems, Inc. Project, 7.50%, Due 9/30/99 1,500,000 1,505,625
Maryville, Tennessee IDB IDR - Spartan Food
Systems, Inc. Project, 7.50%, Due 9/30/99 1,500,000 1,503,840
-----------
3,009,465
Texas 4.1%
Brazos River Authority Collateralized PCR
Refunding - Texas Utilities Electric Company
Project, 4.15%, Due 6/19/00 (e) 45,000,000 45,022,500
Brazos River Authority PCR Refunding - Texas
Utilities Electric Company Project, 3.70%,
Due 4/01/00 (e) 45,000,000 45,004,050
-----------
90,026,550
-----------
Total Annual Put Bonds 134,529,186
Semi-Annual Variable Rate Put Bonds 0.7% (d)
Alabama 0.2%
Mobile, Alabama IDB PCR Refunding -
International Paper Company Project, 3.95%,
Due 12/01/99 5,100,000 5,102,601
Kentucky 0.5%
Morgantown, Kentucky IDR - Flex Sumitomo
Electric Wiring System Project, 4.50%,
Due 10/01/99 10,000,000 10,000,900
-----------
Total Semi-Annual Variable Rate Put Bonds 15,103,501
Quarterly Variable Rate Put Bonds 1.4% (d)
Oklahoma 0.4%
Oklahoma Industries Authority Hospital
Revenue - Deaconess Health Care Corporation
Project, 4.75%, Due 10/01/99 10,000,000 10,000,000
Washington 1.0%
Washington Housing Finance Commission
SFMR Refunding:
Series S-4A, 4.70%, Due 9/01/99 740,000 740,000
Series S-5A, 4.70%, Due 9/01/99 4,875,000 4,875,000
Series S-6A, 4.80%. Due 9/01/99 13,775,000 13,775,000
Series S-6B, 4.75%, Due 9/01/99 1,930,000 1,930,000
Series S-8A, 5.00%, Due 9/01/99 335,000 335,000
-----------
21,655,000
-----------
Total Quarterly Variable Rate Put Bonds 31,655,000
Monthly Variable Rate Put Bonds 1.3% (d)
Louisiana 0.5%
Calcasieu Parish, Louisiana Memorial Hospital
Service District Hospital Revenue - Lake Charles
Memorial Hospital Project, 4.55%, Due 10/01/99 11,100,000 11,100,000
Massachusetts 0.5%
Massachusetts Industrial Finance Agency
Revenue - Milling Company Project, 4.43%,
Due 10/01/99 10,000,000 10,000,000
Missouri 0.2%
Desloge, Missouri IDA IDR Refunding - National
Healthcorp Project, 4.80%, Due 10/01/99 1,925,000 1,925,000
Dunklin County, Missouri IDA IDR Refunding -
National Healthcorp Project, 4.80% ,
Due 10/01/99 2,455,000 2,455,000
-----------
4,380,000
Pennsylvania 0.1%
Elk County, Pennsylvania IDA Flexible Mode IDR
Refunding - Stackpole Corporation Project,
4.12%, Due 10/01/99 2,750,000 2,750,000
-----------
Total Monthly Variable Rate Put Bonds 28,230,000
Weekly Variable Rate Put Bonds 19.1% (d)
Alabama 2.6%
Birmingham, Alabama Special Care Facilities
Financing Authority Revenue - Baptist Medical
Centers Project:
Series A, 4.19%, Due 9/08/99 15,730,000 15,730,000
Series B, 3.99%, Due 9/08/99 20,100,000 20,100,000
</TABLE>
26
<PAGE>
<TABLE>
<CAPTION>
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Grove Hill, Alabama IDB IDR - Hamilton Woods
Veneer Project, 4.00%, Due 9/08/99 $ 4,900,000 $ 4,900,000
Ider, Alabama IDB IDR - Galbreath, Inc. Project,
4.50%, Due 9/08/99 1,075,000 1,075,000
Montgomery, Alabama Downtown Redevelopment
Authority Revenue - Southern Poverty Law
Project, 3.70%, Due 9/08/99 15,000,000 15,000,000
------------
56,805,000
California 1.1%
Alhambra, California Redevelopment Agency
MFHR - Main Street Plaza Apartments Project,
4.42%, Due 9/08/99 3,200,000 3,200,000
California Statewide Communities Development
Authority MFHR Refunding - Poinsettia
Apartments Project, 4.42%, Due 9/08/99 5,000,000 5,000,000
Orange County, California Apartment
Development Revenue - Park Place Apartments
Project, 5.55%, Due 9/08/99 7,700,000 7,700,000
Pasadena, California Community Development
Commission COP:
Kings Plaza Project, 5.80%, Due 9/08/99 1,205,000 1,205,000
Lake/Washington Neighborhood Shopping
Center Project, 5.80%, Due 9/08/99 3,480,000 3,480,000
Riverside, California MFHR - Spruce Grove
Project, 5.25%, Due 9/08/99 2,950,000 2,950,000
------------
23,535,000
Colorado 1.4%
Arapahoe County, Colorado IDR - Denver
JetCenter, Inc. Project, 4.95%, Due 9/08/99 1,600,000 1,600,000
Denver, Colorado City and County MFHR
Refunding - The Seasons Apartment Project,
4.89%, Due 9/08/99 28,500,000 28,571,250
------------
30,171,250
Georgia 1.0%
Cartersville, Georgia IDA IDR - Sekisui Jushi
Project, 4.80%, Due 9/08/99 5,300,000 5,300,000
Floyd County, Georgia Development Authority
PCR Refunding - Inland-Rome Project, 3.87%,
Due 9/08/99 4,735,000 4,735,000
Jefferson, Georgia Development Authority IDR -
Sumitomo Plastics America, Inc. Project, 4.30%,
Due 9/08/99 5,000,000 5,000,000
Rockdale County, Georgia Development Authority
IDR - Takabashi Works UAA, Inc. Project,
4.70%, Due 9/08/99 6,065,000 6,065,000
------------
21,100,000
Hawaii 0.8%
Hawaii HFA HDA Corporation Revenue - Rental
Housing System Project, 4.35%, Due 9/08/99 18,800,000 18,800,000
Illinois 2.5%
Illinois DFA IDA - Toyomenka (America), Inc.
Project, 5.30%, Due 9/08/99 2,200,000 2,200,000
Illinois DFA IDR:
Eakas Corporation Project, 4.95%, Due 9/08/99 8,000,000 8,000,000
Miyano Machy USA, Inc. Project, 5.30%,
Due 9/08/99 7,250,000 7,250,000
Illinois DFA MFHR Refunding:
Cobbler Square Project, 4.80%, Due 9/08/99 7,400,000 7,400,000
Orleans-Illinois Project, 4.05%, Due 9/08/99 29,020,000 29,020,000
Salem, Illinois IDR - Americana Building Products
Project, 4.42%, Due 9/08/99 2,360,000 2,360,000
------------
56,230,000
Indiana 0.4%
Madison, Indiana EDR - Arvin Sango, Inc. Project,
5.05%, Due 9/08/99 9,600,000 9,600,000
Kansas 0.7%
Hays, Kansas Manufacturing Facilities
Development Revenue - Yuasa Exide Battery
Corporation Project, 5.20%, Due 9/08/99 9,500,000 9,500,000
Kansas City, Kansas Private Activity Revenue
Refunding - Inland Container Corporation
Project, 3.87%, Due 9/08/99 5,200,000 5,200,000
------------
14,700,000
Kentucky 0.3%
Hopkinsville, Kentucky IDR - Douglas Autotech
Corporation Project, 4.80%, Due 9/08/99 6,900,000 6,900,000
Louisiana 0.1%
Louisiana Local Government Environmental
Facilities & Community Development Authority
Revenue - Cospolich, Inc. Project, 3.90%,
Due 9/08/99 2,100,000 2,100,000
Minnesota 0.8%
Delano, Minnesota IDR - Solar Plastics, Inc.
Project, 4.00%, Due 9/08/99 1,900,000 1,900,000
Edina, Minnesota MFMR Refunding - Vernon
Terrace Project, 3.70%, Due 9/08/99 6,225,000 6,225,000
North Suburban Hospital District, Minnesota CDR
Refunding - Excel Realty Partners Project,
4.00%, Due 9/08/99 5,600,000 5,600,000
Rochester, Minnesota IDR Refunding - Seneca
Foods Corporation Project, 3.80%, Due 9/08/99 4,675,000 4,675,000
------------
18,400,000
Missouri 1.4%
Jefferson County, Missouri IDA IDR Refunding -
Festus Manor Nursing Home Project, 4.10%,
Due 9/08/99 1,475,000 1,475,000
Missouri Development Finance Board
Infrastructure Facilities Revenue - Kansas City,
Missouri - Midtown Redevelopment Project,
5.30%, Due 9/08/99 17,900,000 17,900,000
St. Louis County, Missouri IDA Revenue - Allied
Ring Project, 5.20%, Due 9/08/99 3,275,000 3,275,000
St. Louis, Missouri Port Authority IDR
Refunding - Italgrani USA, Inc. Project, 5.25%,
Due 9/08/99 2,600,000 2,600,000
Washington, Missouri IDA IDR - Clemco
Industries Project, 3.99%, Due 9/08/99 5,000,000 5,000,000
------------
30,250,000
Nevada 1.3%
Henderson, Nevada Public Improvement Trust
MFHR Refunding:
Pueblo I Project, 5.30%, Due 9/08/99 11,715,000 11,715,000
Pueblo II Project, 5.30%, Due 9/08/99 11,500,000 11,500,000
Nevada Department of Commerce IDR -
Master-Halco, Inc. Project, 4.70%, Due 9/08/99 4,600,000 4,600,000
------------
27,815,000
New York 0.5%
Ontario County, New York IDA IDR Refunding -
Seneca Foods Corporation Project, 3.80%,
Due 9/08/99 5,185,000 5,185,000
Wayne County, New York IDA IDR - Seneca Foods
Corporation Project, 3.80%, Due 9/08/99 5,060,000 5,060,000
------------
10,245,000
North Carolina 0.4%
Guilford County, North Carolina Industrial
Facilities and PCFA Revenue - High Point
Chemical Project, 4.50%, Due 9/08/99 3,000,000 3,000,000
</TABLE>
27
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- -------------------------------------------------------------------------------------
STRONG MUNICIPAL ADVANTAGE FUND (continued)
Shares or
Principal Value
Amount (Note 2)
- -------------------------------------------------------------------------------------
<S> <C> <C>
Mecklenburg County, North Carolina Industrial
Facilities and PCFA Industrial Revenue - Okaya
Shinnichi Corporation of America Project,
4.80%, Due 9/08/99 $3,290,000 $ 3,290,000
New Hanover County, North Carolina Industrial
Facilities Revenue - Wilmington Machinery, Inc.
Project, 3.70%, Due 9/08/99 865,000 865,000
Wake County, North Carolina Industrial Facilities
and PCFA IDR - Aeroglide Corporation Project,
3.80%, Due 9/08/99 1,425,000 1,425,000
-----------
8,580,000
Ohio 0.1%
Trumbull County, Ohio IDR - ATD Corporation
Project, 5.25%, Due 9/08/99 1,185,000 1,185,000
Pennsylvania 0.3%
Columbia County, Pennsylvania IDA IDR -
Kleerdex Company Project, 4.95%, Due 9/08/99 6,500,000 6,500,000
South Carolina 0.6%
Laurens County, South Carolina Industrial
Revenue - NICCA USA Project, 4.50%,
Due 9/08/99 8,800,000 8,800,000
South Carolina Jobs EDA EDR - Para-Chem
Southern, Inc. Project, 4.20%, Due 9/08/99 5,000,000 5,000,000
-----------
13,800,000
Tennessee 0.9%
Anderson County, Tennessee IDB Revenue -
Becromal of America, Inc. Project, 3.80%,
Due 9/08/99 1,965,000 1,965,000
Dickson, Tennessee Health, Educational &
Housing Facilities Board MFHR - Autumn Park
Apartments Project, 3.90%, Due 9/08/99 5,000,000 5,000,000
Hamilton County, Tennessee IDB MFHR - The
Waterford Place Apartments Project, 4.09%,
Due 9/08/99 9,600,000 9,600,000
Memphis-Shelby County, Tennessee IDB IDR -
Techno Steel Corporation Project, 5.25%,
Due 9/08/99 4,000,000 4,000,000
-------------
20,565,000
Texas 0.8%
Angelina and Neches River Authority Refunding -
Temple-Inland Forest Products Corporation
Project, 3.87%, Due 9/08/99 7,350,000 7,350,000
Harris County, Texas Housing Finance
Corporation MFHR - Torrey Chase Apartments
Project, 4.04%, Due 9/08/99 5,420,000 5,420,000
Waller County, Texas IDC - McKesson Water
Products Projects, 4.35%, Due 9/08/99 6,000,000 6,000,000
-------------
18,770,000
Washington 0.3%
Pilchuck, Washington Development Public
Corporation Industrial Revenue - Kohkoku USA,
Inc. Project, 5.30%, Due 9/08/99 4,000,000 4,000,000
Yakima, Washington Housing Authority
Revenue - Klickitat Valley Hospital Project,
3.95%, Due 9/08/99 3,215,000 3,215,000
-------------
7,215,000
Wisconsin 0.4%
Janesville, Wisconsin IDR Refunding - Seneca
Foods Corporation Project, 3.80%, Due 9/08/99 7,710,000 7,710,000
Menomonee Falls, Wisconsin IDR - Butler Paper
Company Project, 4.50%, Due 9/08/99 2,000,000 2,000,000
-------------
9,710,000
Multiple States 0.4%
Puttable Floating Option Tax-Exempt Receipts,
Series PPT-10, 3.64%, Due 9/08/99 8,685,000 8,685,000
-------------
Total Weekly Variable Rate Put Bonds 421,661,250
Taxable Weekly Variable Rate Put Bonds 0.4% (d)
Indiana
Indiana DFA EDR - Qualitech Steel Project,
7.25%, Due 9/08/99 7,800,000 7,800,000
Daily Variable Rate Put Bonds 6.5% (d)
California 0.1%
Los Angeles County, California IDA IDR -
Fruitland Associates Project, 5.05%,
Due 9/01/99 2,800,000 2,800,000
District of Columbia 6.4%
District of Columbia Revenue - Medlantic Project,
5.20%, Due 9/01/99 15,000,000 15,000,000
District of Columbia Revenue:
Tranche 1, 5.10%, Due 9/01/99 48,000,000 48,000,000
Tranche 2, 5.10%, Due 9/01/99 28,700,000 28,700,000
Tranche 3, 5.10%, Due 9/01/99 50,000,000 50,000,000
-------------
141,700,000
-------------
Total Daily Variable Rate Put Bonds 144,500,000
Municipal Money Market 2.2%
Multiple States
Strong Municipal Money Market Fund (g) 49,000,000 49,000,000
- -------------------------------------------------------------------------------------
Total Short-Term Investments (Cost $1,208,316,414) 1,208,521,299
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
Total Investments in Securities (Cost $2,226,996,233) 100.7% 2,223,903,781
Other Assets and Liabilities, Net (0.7%) (15,009,279)
- -------------------------------------------------------------------------------------
Net Assets 100.0% $2,208,894,502
- -------------------------------------------------------------------------------------
- -------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
FUTURES
- -------------------------------------------------------------------------------------
Underlying
Face Amount Unrealized
Expiration Date at Value Appreciation
- -------------------------------------------------------------------------------------
<S> <C> <C> <C>
Sold:
135 U.S. Treasury Bonds 12/99 $15,385,781 $99,844
</TABLE>
28
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG HERITAGE MONEY FUND
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Certificates of Deposit 0.9%
Royal Bank of Canada, 5.15% $13,000,000 5.18% 3/21/00 $12,997,929
- ------------------------------------------------------------------------------------------------------------------------------------
Total Certificates of Deposit 12,997,929
- ------------------------------------------------------------------------------------------------------------------------------------
Commercial Paper 83.1%
AESOP Funding Corporation (Acquired 8/31/99; Cost $5,880,188) (b) 5,930,000 5.40 10/26/99 5,881,077
Abbey National North America Corporation 10,400,000 5.07 12/07/99 10,257,927
Alliance & Leicester PLC:
(Acquired 4/14/99; Cost $14,634,483) (b) 15,000,000 4.82 10/13/99 14,915,650
(Acquired 6/21/99; Cost $3,813,134) (b) 3,900,000 5.14 11/24/99 3,853,226
AlliedSignal, Inc.:
(Acquired 7/12/99; Cost $5,793,000) (b) 6,000,000 5.40 2/28/00 5,838,000
(Acquired 7/13/99; Cost $14,480,250) (b) 15,000,000 5.40 2/29/00 14,592,750
Alpine Securitization Corporation:
(Acquired 8/20/99; Cost $7,625,173) (b) 7,660,000 5.28 9/20/99 7,638,654
(Acquired 8/18/99; Cost $1,914,360) (b) 1,922,000 5.30 9/14/99 1,918,322
(Acquired 8/18/99; Cost $1,767,683) (b) 1,775,000 5.30 9/15/99 1,771,342
(Acquired 8/26/99; Cost $5,153,547) (b) 5,175,000 5.33 9/23/99 5,158,144
Aon Corporation 3,362,000 5.21 9/08/99 3,358,594
4,300,000 5.25 9/13/99 4,292,475
Ascot Capital Corporation (Acquired 7/09/99; Cost $21,199,340) (b) 21,500,000 5.19 10/14/99 21,366,718
Avon Capital Corporation (Acquired 8/24/99; Cost $13,005,978) (b) 13,050,000 5.28 9/16/99 13,021,290
BP America, Inc. 21,400,000 5.33 2/07/00 20,896,226
BankAmerica Corporation 10,000,000 4.83 11/09/99 9,907,425
Barton Capital Corporation:
(Acquired 7/07/99; Cost $6,248,629) (b) 6,300,000 5.15 9/02/99 6,299,099
(Acquired 7/13/99; Cost $6,616,056) (b) 6,697,000 5.18 10/05/99 6,664,237
(Acquired 8/09/99; Cost $7,965,333) (b) 8,000,000 5.20 9/08/99 7,991,911
Bavaria Universal Funding Corporation:
(Acquired 5/21/99; Cost $10,032,486) (b) 10,300,000 5.00 11/24/99 10,179,833
(Acquired 8/26/99; Cost $5,974,142) (b) 6,000,000 5.35 9/24/99 5,979,492
Beta Finance, Inc.:
(Acquired 3/12/99; Cost $3,705,290) (b) 3,800,000 4.85 9/13/99 3,793,857
(Acquired 7/07/99; Cost $4,367,400) (b) 4,500,000 5.44 1/18/00 4,405,480
Blue Ridge Asset Funding Corporation (Acquired 6/16/99; Cost $9,505,610) (b) 9,630,000 5.11 9/15/99 9,610,863
British Gas Capital, Inc. 5,000,000 5.30 9/17/99 4,988,222
Broadway Capital Corporation:
(Acquired 8/05/99; Cost $2,189,513) (b) 2,200,000 5.20 9/07/99 2,198,093
(Acquired 8/13/99; Cost $2,991,688) (b) 3,000,000 5.25 9/01/99 3,000,000
(Acquired 8/20/99; Cost $4,986,014) (b) 5,000,000 5.30 9/08/99 4,994,847
(Acquired 8/30/99; Cost $2,391,797) (b) 2,400,000 5.35 9/22/99 2,392,510
(Acquired 8/31/99; Cost $8,963,753) (b) 9,000,000 5.37 9/27/99 8,965,095
CBA Delaware Finance, Inc. 13,100,000 4.86 12/10/99 12,923,150
CSC Enterprises 7,200,000 5.18 9/09/99 7,191,712
Calcot, Ltd. 2,000,000 5.40 9/24/99 1,993,100
California PCFA Environmental Improvement Revenue
(Acquired 8/11/99; Cost $15,000,000) (b) 15,000,000 5.25 9/03/99 15,000,000
Centric Capital Corporation:
(Acquired 5/26/99; Cost $4,048,325) (b) 4,150,000 4.90 11/22/99 4,103,681
(Acquired 7/28/99; Cost $991,291) (b) 1,000,000 5.14 9/27/99 996,288
(Acquired 8/09/99; Cost $4,380,573) (b) 4,399,000 5.20 9/07/99 4,395,188
Certain Funding Corporation (Acquired 8/24/99; Cost $17,465,298) (b) 17,535,000 5.30 9/20/99 17,485,951
Cogentrix of Richmond, Inc. 11,000,000 5.28 9/23/99 10,964,507
8,000,000 5.30 9/28/99 7,968,200
Cooperative Association Tractor Dealers, Inc.:
Series A 4,300,000 5.10 9/14/99 4,292,081
2,000,000 5.36 9/24/99 1,993,151
2,850,000 5.36 9/27/99 2,838,967
Series B 8,000,000 5.00 11/10/99 7,922,222
1,200,000 5.10 9/14/99 1,197,790
2,660,000 5.35 9/03/99 2,659,209
Credit Suisse First Boston, Inc. (Acquired 8/13/99; Cost $11,657,400) (b) 12,000,000 5.71 2/09/00 11,693,563
29
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG HERITAGE MONEY FUND (continued)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Credit Suisse First Boston International Guernsey Ltd.
(Acquired 7/09/99; Cost $4,844,175) (b) $ 5,000,000 5.42% 2/01/00 $ 4,884,825
14,500,000 5.27 10/06/99 14,425,708
Deutsche Bank Financial, Inc. 8,000,000 5.04 12/02/99 7,896,960
Edison Asset Securitization LLC:
(Acquired 5/20/99; Cost $2,665,177) (b) 2,731,000 4.93 11/12/99 2,704,072
(Acquired 7/13/99; Cost $14,090,314) (b) 14,249,000 5.14 9/29/99 14,192,036
(Acquired 7/02/99; Cost $977,033) (b) 1,000,000 5.20 12/08/99 985,844
Emerson Electric Company 6,000,000 5.31 2/03/00 5,862,825
Enterprise Funding Corporation:
(Acquired 6/18/99; Cost $6,912,088) (b) 7,000,000 5.08 9/15/99 6,986,171
(Acquired 8/03/99; Cost $2,499,547) (b) 2,510,000 5.17 9/01/99 2,510,000
(Acquired 8/24/99; Cost $12,274,751) (b) 12,350,000 5.35 10/04/99 12,289,434
Equilon Enterprise LLC 1,500,000 5.28 10/08/99 1,491,860
7,000,000 5.70 2/10/00 6,820,450
FPL Group Capital, Inc.:
(Acquired 7/20/99; Cost $5,829,233) (b) 6,000,000 5.45 1/24/00 5,868,292
(Acquired 7/22/99; Cost $1,359,731) (b) 1,400,000 5.45 1/28/00 1,368,420
(Acquired 8/23/99; Cost $7,303,542) (b) 7,500,000 5.75 2/03/00 7,314,323
Fina Oil & Chemical Company:
(Acquired 8/11/99; Cost $7,974,480) (b) 8,000,000 5.22 9/02/99 7,998,840
(Acquired 8/26/99; Cost $3,242,796) (b) 3,250,000 5.32 9/10/99 3,245,677
(Acquired 8/20/99; Cost $4,221,055) (b) 4,250,000 5.33 10/05/99 4,228,606
Finans Funding Corporation I 7,000,000 5.39 2/02/00 6,838,599
First Data Corporation 1,900,000 5.17 12/14/99 1,871,622
Ford Motor Credit Company 11,600,000 4.75 10/12/99 11,537,247
4,400,000 5.15 11/19/99 4,350,274
4,875,000 5.37 2/14/00 4,754,287
Formosa Plastics Corporation USA 10,160,000 5.00 10/04/99 10,113,433
7,900,000 5.18 11/29/99 7,798,832
10,000,000 5.65 2/11/00 9,744,181
Fountain Square Commercial Corporation:
(Acquired 5/26/99; Cost $2,001,398) (b) 2,043,000 4.92 10/22/99 2,028,760
(Acquired 7/06/99; Cost $6,345,648) (b) 6,425,000 5.17 9/30/99 6,398,242
(Acquired 7/13/99; Cost $2,568,201) (b) 2,600,000 5.18 10/06/99 2,586,906
(Acquired 8/31/99; Cost $6,969,832) (b) 7,000,000 5.35 9/29/99 6,970,872
General Electric Capital Corporation 5,900,000 4.77 10/22/99 5,860,131
15,600,000 5.10 10/29/99 15,471,820
General Motors Acceptance Corporation 15,500,000 5.15 10/08/99 15,417,958
5,000,000 5.41 2/04/00 4,882,783
Goldman Sachs Group LP 8,000,000 4.82 11/05/99 7,930,378
Greenwich Funding Corporation:
(Acquired 8/20/99; Cost $4,089,176) (b) 4,100,000 5.28 9/07/99 4,096,392
(Acquired 8/23/99; Cost $4,582,988) (b) 4,604,000 5.30 9/23/99 4,589,088
Greyhawk Funding LLC (Acquired 4/12/99; Cost $1,592,326) (b) 1,626,000 4.81 9/14/99 1,623,176
Gulf Coast Waste Disposal Authority PCR 5,000,000 5.22 10/04/99 5,000,000
Halifax PLC 2,000,000 4.90 10/01/99 1,991,833
Harley-Davidson Funding Corporation (Acquired 8/23/99; Cost $4,401,543) (b) 4,450,000 5.37 11/04/99 4,407,517
Heller Financial, Inc. 3,000,000 5.30 9/22/99 2,990,725
6,000,000 5.30 9/23/99 5,980,567
Henkel Corporation (Acquired 6/25/99; Cost $1,949,061) (b) 2,000,000 5.30 12/15/99 1,969,083
ING America Insurance Holdings, Inc. 5,100,000 5.05 10/25/99 5,061,342
3,800,000 5.19 11/04/99 3,764,939
8,400,000 5.30 9/21/99 8,375,267
IPALCO Enterprises:
(Acquired 8/06/99; Cost $13,420,358) (b) 13,500,000 5.18 9/16/99 13,470,863
(Acquired 8/10/99; Cost $2,226,709) (b) 2,240,000 5.21 9/20/99 2,233,841
(Acquired 8/19/99; Cost $5,971,840) (b) 6,000,000 5.28 9/21/99 5,982,400
Johnson & Johnson (Acquired 5/20/99; Cost $13,297,564) (b) 13,550,000 4.86 10/05/99 13,487,806
K2 USA LLC:
(Acquired 6/03/99; Cost $8,194,793) (b) 8,300,000 4.96 9/03/99 8,297,713
(Acquired 7/09/99; Cost $4,941,725) (b) 5,000,000 5.18 9/28/99 4,980,575
KZH-KMS Corporation (Acquired 8/06/99; Cost $1,195,329) (b) 1,200,000 5.19 9/02/99 1,199,827
</TABLE>
30
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG HERITAGE MONEY FUND (continued)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Kitty Hawk Funding Corporation:
(Acquired 3/25/99; Cost $2,932,643) (b) $ 3,000,000 4.84% 9/08/99 $ 2,997,177
(Acquired 3/22/99; Cost $1,950,860) (b) 2,000,000 4.86 9/20/99 1,994,870
(Acquired 8/05/99; Cost $2,294,070) (b) 2,303,000 5.17 9/01/99 2,303,000
(Acquired 8/10/99; Cost $2,003,265) (b) 2,012,000 5.21 9/09/99 2,009,671
Knight Ridder, Inc. (Acquired 8/11/99; Cost $5,962,733) (b) 6,000,000 5.20 9/23/99 5,980,933
LG&E Capital Corporation:
(Acquired 12/09/98; Cost $11,082,646) (b) 11,500,000 4.88 9/03/99 11,496,885
(Acquired 8/20/99; Cost $4,641,352) (b) 4,650,000 5.15 9/02/99 4,649,335
Leland Stanford, Jr. University 3,325,000 4.85 9/10/99 3,320,968
11,000,000 5.35 2/08/00 10,738,444
Lexington Parker Capital Corporation:
(Acquired 8/05/99; Cost $9,138,654) (b) 9,185,000 5.19 9/09/99 9,174,407
(Acquired 8/12/99; Cost $6,970,396) (b) 7,000,000 5.25 9/10/99 6,990,813
Lloyds Bank PLC 15,000,000 4.78 10/18/99 14,906,392
5,000,000 5.25 12/29/99 4,913,229
Market Street Funding Corporation:
(Acquired 7/22/99; Cost $9,938,725) (b) 10,000,000 5.13 9/03/99 9,997,150
(Acquired 8/03/99; Cost $6,571,565) (b) 6,600,000 5.17 9/02/99 6,599,052
(Acquired 8/24/99; Cost $5,278,813) (b) 5,300,000 5.33 9/20/99 5,285,091
Marshall & Ilsley Corporation 16,000,000 5.37 10/20/99 15,883,053
4,000,000 5.37 10/21/99 3,970,167
Martin Marietta Materials, Inc.:
(Acquired 8/25/99; Cost $8,946,500) (b) 9,000,000 5.35 10/04/99 8,955,863
(Acquired 8/26/99; Cost $2,994,600) (b) 3,000,000 5.40 9/07/99 2,997,300
Minolta Corporation 8,000,000 5.35 10/14/99 7,948,878
Mobil Oil Corporation Employee Stock Ownership Plan Trust
(Acquired 8/27/99; Cost $18,454,404) (b) 19,000,000 5.68 2/29/00 18,457,402
JP Morgan & Company, Inc. 3,000,000 4.80 10/12/99 2,983,600
6,500,000 4.83 12/10/99 6,412,792
12,300,000 5.25 9/24/99 12,258,744
National Fuel Gas Company 5,000,000 5.35 9/13/99 4,991,083
Nationwide Building Society 12,000,000 4.83 9/08/99 11,988,730
8,500,000 4.84 11/17/99 8,412,006
New York Life Capital Corporation:
(Acquired 3/09/99; Cost $12,820,986) (b) 13,300,000 4.82 12/03/99 13,134,393
(Acquired 6/02/99; Cost $7,995,000) (b) 8,200,000 5.00 11/29/99 8,098,639
Oakland-Alameda County, California Coliseum Authority 12,150,000 5.35 9/22/99 12,150,000
Oklahoma State Industrial Finance Authority 4,970,000 5.30 11/01/99 4,970,000
Old Line Funding Corporation (Acquired 7/20/99; Cost $7,378,445) (b) 7,425,000 5.13 9/02/99 7,423,942
Peacock Funding Corporation:
(Acquired 6/04/99 - 8/17/99; Cost $14,911,797) (b) 15,118,000 5.13 10/07/99 15,040,377
(Acquired 6/03/99 - 8/17/99; Cost $5,603,378) (b) 5,682,000 5.14 10/12/99 5,648,754
Pitney Bowes Credit Corporation 77,800 4.95 Upon Demand 77,800
Prudential Finance Jersey, Ltd. 12,600,000 4.84 9/17/99 12,572,896
Questar Corporation:
(Acquired 8/17/99; Cost $8,885,436) (b) 8,950,000 5.30 10/05/99 8,905,200
(Acquired 8/25/99; Cost $4,070,808) (b) 4,100,000 5.34 10/12/99 4,075,065
E.W. Scripps Company (Acquired 7/09/99; Cost $9,862,933) (b) 10,000,000 5.14 10/13/99 9,940,033
Sigma Finance, Inc.:
(Acquired 4/15/99; Cost $3,902,327) (b) 4,000,000 4.83 10/14/99 3,976,923
(Acquired 6/16/99; Cost $809,197) (b) 820,000 5.10 9/17/99 818,141
(Acquired 7/12/99; Cost $10,277,289) (b) 10,420,000 5.19 10/15/99 10,353,902
(Acquired 6/28/99; Cost $3,631,256) (b) 3,680,000 5.24 9/27/99 3,666,073
Society of New York Hospital Fund, Inc. 3,500,000 4.98 11/16/99 3,463,203
4,100,000 5.17 10/04/99 4,080,569
Spintab-Swedmortgage AB 18,000,000 4.82 11/15/99 17,819,250
Star Banc Corporation (Acquired 8/18/99; Cost $9,120,701) (b) 9,200,000 5.35 10/15/99 9,139,842
Stellar Funding Group, Inc.:
(Acquired 8/09/99; Cost $9,955,222) (b) 10,000,000 5.20 9/09/99 9,988,444
(Acquired 8/04/99; Cost $4,929,903) (b) 4,950,000 5.22 9/01/99 4,950,000
(Acquired 8/20/99; Cost $1,717,792) (b) 1,726,000 5.35 9/21/99 1,720,870
(Acquired 8/31/99; Cost $4,978,371) (b) 5,000,000 5.37 9/29/99 4,979,117
Sunshine State Governmental Financing Commission 10,600,000 5.16 9/13/99 10,581,768
Swiss RE Financial Products Corporation
(Acquired 8/13/99; Cost $20,125,917) (b) 20,687,000 5.71 1/31/00 20,188,259
31
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) August 31, 1999 (Unaudited)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG HERITAGE MONEY FUND (continued)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Triple-A One Funding Corporation (Acquired 5/26/99; Cost $5,174,100) (b) $ 5,250,000 4.91% 9/09/99 $5,244,272
Tulip Funding Corporation:
(Acquired 6/07/99; Cost $4,403,467) (b) 4,460,000 4.96 9/07/99 4,456,313
(Acquired 7/14/99; Cost $7,128,930) (b) 7,200,000 5.15 9/21/99 7,179,400
UBS Finance, Inc. 2,300,000 4.75 12/15/99 2,268,135
Unifunding, Inc. 15,300,000 5.17 10/12/99 15,209,913
4,585,000 5.18 10/04/99 4,563,229
Victory Receivables Corporation:
(Acquired 8/04/99; Cost $15,487,472) (b) 15,550,000 5.17 9/01/99 15,550,000
(Acquired 8/05/99; Cost $4,976,304) (b) 5,000,000 5.17 9/07/99 4,995,692
Vodafone Airtouch PLC (Acquired 8/19/99; Cost $14,086,897) (b) 14,200,000 5.31 10/12/99 14,114,126
Warner Lambert Company 53,600 4.94 Upon Demand 53,600
Westpac Capital Corporation 3,300,000 4.82 11/05/99 3,271,281
Windmill Funding Corporation:
(Acquired 8/03/99; Cost $4,369,037) (b) 4,400,000 5.17 9/21/99 4,387,362
(Acquired 7/12/99; Cost $11,179,102) (b) 11,500,000 5.43 1/13/00 11,267,566
Wisconsin Electric Power Company 34,900 4.94 Upon Demand 34,900
Wood Street Funding Corporation:
(Acquired 6/18/99; Cost $3,029,967) (b) 3,065,000 5.08 9/07/99 3,062,405
(Acquired 7/12/99; Cost $5,932,920) (b) 6,000,000 5.16 9/28/99 5,976,780
(Acquired 8/27/99; Cost $3,022,882) (b) 3,026,000 5.30 9/03/99 3,025,109
(Acquired 8/27/99; Cost $3,622,303) (b) 3,633,000 5.30 9/16/99 3,624,977
Yorkshire Building Society 2,900,000 5.19 9/02/99 2,899,582
14,000,000 5.30 10/12/99 13,915,494
3,550,000 5.78 1/20/00 3,469,634
- ------------------------------------------------------------------------------------------------------------------------------------
Total Commercial Paper 1,221,834,006
- ------------------------------------------------------------------------------------------------------------------------------------
Corporate Obligations 0.8%
LaSalle National Bank, Chicago, Illinois Short-Term Bank Notes,
Tranche 00305, 5.75% 12,000,000 5.75 2/04/00 12,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Corporate Obligations 12,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Taxable Variable Rate Put Bonds 4.1%
Alabama State IDA IDR - Tee Jays Manufacturing Company, Inc. Project 1,350,000 5.45 9/02/99 1,350,000
Aurora, Kane & DuPage Counties, Illinois IDR 2,900,000 5.41 9/02/99 2,900,000
Botsford General Hospital Revenue 4,400,000 5.40 9/01/99 4,400,000
Galliano Marine Services, Inc. 4,620,000 5.45 9/02/99 4,620,000
KinderCare Learning Centers, Inc. 4,500,000 5.49 9/01/99 4,500,000
Kings Glen Apartments LLC 3,298,000 5.45 9/02/99 3,298,000
Mississippi Business Finance Corporation IDR - GE Plastics Project 2,500,000 5.17 9/01/99 2,500,000
New Jersey EDA EDR - MSNBC/CNBC 8,600,000 5.17 9/01/99 8,600,000
New Jersey Sports & Exposition Authority
Sports Complex Subordinated Refunding Revenue 2,000,000 5.29 9/01/99 2,000,000
Northchase Apartments LLC 5,000,000 5.45 9/02/99 5,000,000
Radiation Oncology Partners LLP 2,675,000 5.45 9/02/99 2,675,000
Thayer Properties LLC 2,990,000 5.45 9/02/99 2,990,000
Tifton Mall, Inc. 4,665,000 5.45 9/02/99 4,665,000
WLB, LLC 10,000,000 5.45 9/02/99 10,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Taxable Variable Rate Put Bonds 59,498,000
- ------------------------------------------------------------------------------------------------------------------------------------
United States Government and Agency Issues 11.1%
Federal Home Loan Bank Notes:
5.00%, Due 10/27/99 21,000,000 5.01 10/27/99 20,999,678
5.00%, Due 1/28/00 17,000,000 5.00 1/28/00 17,000,000
5.00%, Due 2/24/00 6,000,000 5.02 2/24/00 5,999,421
5.03%, Due 10/29/99 25,000,000 5.03 10/29/99 25,000,000
5.05%, Due 2/25/00 23,000,000 5.05 2/25/00 23,000,000
5.08%, Due 3/03/00 18,500,000 5.08 3/03/00 18,500,000
5.10%, Due 3/08/00 18,500,000 5.10 3/08/00 18,500,000
5.14%, Due 3/08/00 18,200,000 5.14 3/08/00 18,200,000
Federal National Mortgage Association Medium-Term Notes, 5.04%, Due 2/23/00 16,000,000 5.02 2/23/00 16,001,458
- ------------------------------------------------------------------------------------------------------------------------------------
Total United States Government and Agency Issues 163,200,557
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Total Investments in Securities 100.0% 1,469,530,492
Other Assets and Liabilities, Net 0.0% (408,868)
- ------------------------------------------------------------------------------------------------------------------------------------
Net Assets 100.0% $1,469,121,624
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
32
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG INVESTORS MONEY FUND
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Certificates of Deposit 0.8%
Royal Bank of Canada, 5.15% $3,000,000 5.12% 3/21/00 $2,999,522
- ------------------------------------------------------------------------------------------------------------------------------------
Total Certificates of Deposit 2,999,522
- ------------------------------------------------------------------------------------------------------------------------------------
Commercial Paper 90.0%
Abbey National North America Corporation 2,045,000 5.07 12/07/99 2,017,064
Alliance & Leicester PLC:
(Acquired 4/14/99; Cost $1,658,575) (b) 1,700,000 4.82 10/13/99 1,690,440
(Acquired 6/21/99; Cost $1,466,590) (b) 1,500,000 5.14 11/24/99 1,482,010
AlliedSignal, Inc.:
(Acquired 7/12/99; Cost $2,413,750) (b) 2,500,000 5.40 2/28/00 2,432,500
(Acquired 7/13/99; Cost $2,413,375) (b) 2,500,000 5.40 2/29/00 2,432,125
Alpine Securitization Corporation (Acquired 8/20/99; Cost $3,981,813) (b) 4,000,000 5.28 9/20/99 3,988,853
Aon Corporation 1,500,000 5.21 9/08/99 1,498,480
Ascot Capital Corporation (Acquired 7/09/99; Cost $4,831,478) (b) 4,900,000 5.19 10/14/99 4,869,624
Atlantis One Funding Corporation 1,000,000 4.82 9/01/99 1,000,000
Avon Capital Corporation (Acquired 8/24/99; Cost $4,360,242) (b) 4,375,000 5.28 9/16/99 4,365,375
BP America, Inc. Branch 3,025,000 5.33 2/07/00 2,953,789
Banco Bradesco SA Grand Cayman Branch, Series A 1,700,000 5.22 12/20/99 1,672,885
BankAmerica Corporation 3,000,000 4.83 11/09/99 2,972,228
Barton Capital Corporation:
(Acquired 7/07/99; Cost $2,330,838) (b) 2,350,000 5.15 9/02/99 2,349,664
(Acquired 8/09/99; Cost $2,787,867) (b) 2,800,000 5.20 9/08/99 2,797,169
Bavaria Universal Funding Corporation (Acquired 5/21/99; Cost $2,605,524) (b) 2,675,000 5.00 11/24/99 2,643,792
Beta Finance, Inc. (Acquired 3/09/99; Cost $1,365,342) (b) 1,400,000 4.87 9/08/99 1,398,674
Blue Ridge Asset Funding Corporation (Acquired 6/16/99; Cost $2,240,679) (b) 2,270,000 5.11 9/15/99 2,265,489
British Gas Capital, Inc. 3,000,000 5.30 9/17/99 2,992,933
Broadway Capital Corporation:
(Acquired 8/05/99; Cost $1,293,803) (b) 1,300,000 5.20 9/07/99 1,298,873
(Acquired 8/31/99; Cost $3,256,830) (b) 3,270,000 5.37 9/27/99 3,257,318
CBA Delaware Finance, Inc. 1,000,000 4.86 12/10/99 986,500
CSC Enterprises 3,000,000 5.18 9/09/99 2,996,547
Calcot, Ltd. 1,500,000 5.36 9/27/99 1,494,193
2,000,000 5.40 9/24/99 1,993,100
California PCFA Environmental Improvement Revenue
(Acquired 8/11/99; Cost $4,000,000) (b) 4,000,000 5.25 9/03/99 4,000,000
Centric Capital Corporation:
(Acquired 5/26/99; Cost $1,268,150) (b) 1,300,000 4.90 11/22/99 1,285,491
(Acquired 7/28/99; Cost $1,209,374) (b) 1,220,000 5.14 9/27/99 1,215,471
(Acquired 8/09/99; Cost $1,991,622) (b) 2,000,000 5.20 9/07/99 1,998,267
Certain Funding Corporation:
(Acquired 8/10/99; Cost $2,065,673) (b) 2,075,000 5.22 9/10/99 2,072,292
(Acquired 8/20/99; Cost $3,151,663) (b) 3,183,000 5.37 10/25/99 3,157,361
Cogentrix of Richmond, Inc. 4,000,000 5.28 9/23/99 3,987,093
1,088,000 5.30 9/16/99 1,085,597
Cooperative Association Tractor Dealers, Inc.:
Series A 1,100,000 5.00 10/27/99 1,091,444
1,700,000 5.20 10/01/99 1,692,633
1,000,000 5.35 9/27/99 996,136
1,500,000 5.37 10/18/99 1,489,484
Series B 1,750,000 5.00 11/10/99 1,732,986
1,000,000 5.20 10/01/99 995,667
1,000,000 5.20 10/12/99 994,078
1,000,000 5.35 9/03/99 999,703
Credit Suisse First Boston, Inc. (Acquired 8/13/99; Cost $3,885,800) (b) 4,000,000 5.71 2/09/00 3,897,854
2,300,000 5.27 10/06/99 2,288,216
Delaware Funding Corporation (Acquired 8/20/99; Cost $1,647,113) (b) 1,650,000 5.25 9/01/99 1,650,000
Deutsche Bank Financial, Inc. 3,200,000 5.04 12/02/99 3,158,784
Edison Asset Securitization LLC:
(Acquired 5/20/99; Cost $683,128) (b) 700,000 4.93 11/12/99 693,098
(Acquired 7/13/99; Cost $988,863) (b) 1,000,000 5.14 9/29/99 996,002
(Acquired 7/02/99; Cost $1,602,335) (b) 1,640,000 5.20 12/08/99 1,616,785
Emerson Electric Company 2,500,000 5.31 2/03/00 2,442,844
33
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG INVESTORS MONEY FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Enterprise Funding Corporation:
(Acquired 7/27/99; Cost $1,586,979) (b) $1,600,000 5.14% 9/22/99 $1,595,203
(Acquired 8/03/99; Cost $2,250,588) (b) 2,260,000 5.17 9/01/99 2,260,000
(Acquired 8/10/99; Cost $1,024,541) (b) 1,029,000 5.20 9/09/99 1,027,811
Equilon Enterprise LLC 2,100,000 5.70 2/10/00 2,046,135
FPL Group Capital, Inc.:
(Acquired 7/20/99; Cost $3,351,809) (b) 3,450,000 5.45 1/24/00 3,374,268
(Acquired 8/23/99; Cost $1,772,326) (b) 1,820,000 5.75 2/03/00 1,774,942
Fina Oil & Chemical Company:
(Acquired 8/11/99; Cost $1,893,939) (b) 1,900,000 5.22 9/02/99 1,899,725
(Acquired 8/20/99; Cost $1,986,379) (b) 2,000,000 5.33 10/05/99 1,989,932
(Acquired 8/25/99; Cost $991,960) (b) 1,000,000 5.36 10/18/99 993,002
First Data Corporation 1,110,000 5.17 12/14/99 1,093,422
Ford Motor Credit Company 650,000 5.15 11/19/99 642,654
2,650,000 5.30 9/30/99 2,638,686
2,000,000 5.37 2/14/00 1,950,477
Formosa Plastics Corporation USA 2,840,000 5.00 10/04/99 2,826,983
4,800,000 5.18 11/29/99 4,738,531
Fountain Square Commercial Corporation:
(Acquired 5/12/99; Cost $1,762,205) (b) 1,806,000 4.85 11/08/99 1,789,455
(Acquired 5/26/99; Cost $553,052) (b) 567,000 4.92 11/22/99 560,646
(Acquired 7/06/99; Cost $1,876,807) (b) 1,900,000 5.17 9/29/99 1,892,360
General Electric Capital Corporation 1,700,000 5.10 10/29/99 1,686,032
General Motors Acceptance Corporation 1,000,000 5.15 10/08/99 994,707
1,040,000 5.15 12/09/99 1,025,271
2,860,000 5.41 2/04/00 2,792,952
Goldman Sachs Group LP 1,870,000 4.80 10/14/99 1,859,279
Gulf Coast IDA Environmental Facilities Revenue 1,900,000 5.16 10/13/99 1,900,000
Gulf Coast Waste Disposal Authority PCR 1,900,000 5.22 10/04/99 1,900,000
Halifax PLC 3,000,000 4.90 10/01/99 2,987,750
Heller Financial, Inc. 3,000,000 5.30 9/23/99 2,990,283
Henkel Corporation:
(Acquired 8/17/99; Cost $2,980,200) (b) 3,000,000 5.28 10/01/99 2,986,800
(Acquired 6/25/99; Cost $1,949,061) (b) 2,000,000 5.30 12/15/99 1,969,083
ING America Insurance Holdings, Inc. 2,500,000 5.30 9/21/99 2,492,639
IPALCO Enterprises:
(Acquired 8/06/99; Cost $596,460) (b) 600,000 5.18 9/16/99 598,705
(Acquired 8/19/99; Cost $4,378,704) (b) 4,400,000 5.28 9/21/99 4,387,093
K2 USA LLC (Acquired 6/03/99; Cost $1,678,452) (b) 1,700,000 4.96 9/03/99 1,699,532
KZH-KMS Corporation (Acquired 8/06/99; Cost $996,108) (b) 1,000,000 5.19 9/02/99 999,856
Kitty Hawk Funding Corporation:
(Acquired 3/22/99; Cost $1,463,145) (b) 1,500,000 4.86 9/20/99 1,496,153
(Acquired 7/27/99; Cost $1,983,751) (b) 1,994,000 5.14 9/01/99 1,994,000
(Acquired 8/10/99; Cost $995,658) (b) 1,000,000 5.21 9/09/99 998,842
LG&E Capital Corporation:
(Acquired 12/09/98; Cost $963,708) (b) 1,000,000 4.88 9/03/99 999,729
(Acquired 8/20/99; Cost $2,994,421) (b) 3,000,000 5.15 9/02/99 2,999,571
Lexington Parker Capital Corporation (Acquired 8/12/99; Cost $4,978,854) (b) 5,000,000 5.25 9/10/99 4,993,438
Lloyds Bank PLC 2,800,000 4.78 10/18/99 2,782,526
1,900,000 5.25 12/29/99 1,867,027
Market Street Funding Corporation:
(Acquired 7/22/99; Cost $1,987,745) (b) 2,000,000 5.13 9/03/99 1,999,430
(Acquired 8/03/99; Cost $2,240,306) (b) 2,250,000 5.17 9/02/99 2,249,677
4,400,000 5.37 10/20/99 4,367,840
Marshall & Ilsley Corporation 1,000,000 5.37 10/21/99 992,542
Martin Marietta Materials, Inc.:
(Acquired 8/25/99; Cost $4,373,844) (b) 4,400,000 5.35 10/04/99 4,378,422
(Acquired 8/27/99; Cost $993,850) (b) 1,000,000 5.40 10/07/99 994,600
Minolta Corporation 3,000,000 5.35 10/14/99 2,980,829
Mobil Oil Corporation Employee Stock Ownership Plan Trust
(Acquired 8/27/99 - 8/31/99; Cost $4,856,422) (b) 5,000,000 5.68 2/29/00 4,857,211
Monsanto Company (Acquired 8/24/99; Cost $4,958,042) (b) 5,000,000 5.30 10/20/99 4,963,931
JP Morgan & Company, Inc. 2,500,000 4.83 12/10/99 2,466,458
2,800,000 5.25 9/24/99 2,790,608
</TABLE>
34
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG INVESTORS MONEY FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
National Fuel Gas Company $2,000,000 4.83% 9/08/99 $ 1,998,122
3,000,000 5.35 9/13/99 2,994,650
Nationwide Building Society 2,000,000 4.84 11/17/99 1,979,296
New York Life Capital Corporation:
(Acquired 3/09/99; Cost $2,313,561) (b) 2,400,000 4.82 12/03/99 2,370,116
(Acquired 6/02/99; Cost $2,242,500) (b) 2,300,000 5.00 11/29/99 2,271,569
Oakland-Alameda County, California Coliseum Authority 4,000,000 5.35 9/22/99 4,000,000
Oklahoma State Industrial Finance Authority 3,100,000 5.30 11/01/99 3,100,000
Peacock Funding Corporation:
(Acquired 6/03/99; Cost $2,660,594) (b) 2,710,000 5.01 10/12/99 2,694,537
(Acquired 7/09/99; Cost $789,620) (b) 800,000 5.19 10/07/99 795,848
(Acquired 8/19/99; Cost $1,736,972) (b) 1,750,000 5.36 10/08/99 1,740,359
Pitney Bowes Credit Corporation 779,700 4.95 Upon Demand 779,700
Prudential Finance Jersey, Ltd. 3,400,000 4.84 9/17/99 3,392,686
Questar Corporation:
(Acquired 8/25/99; Cost $2,284,989) (b) 2,300,000 5.34 10/08/99 2,287,377
(Acquired 8/25/99; Cost $2,085,048) (b) 2,100,000 5.34 10/12/99 2,087,228
E.W. Scripps Company (Acquired 7/09/99; Cost $3,945,173) (b) 4,000,000 5.14 10/13/99 3,976,013
Sigma Finance, Inc.:
(Acquired 3/04/99; Cost $1,421,935) (b) 1,460,000 4.94 9/10/99 1,458,197
(Acquired 7/12/99; Cost $2,071,239) (b) 2,100,000 5.19 10/15/99 2,086,679
(Acquired 6/28/99; Cost $1,322,251) (b) 1,340,000 5.24 9/27/99 1,334,929
Society of New York Hospital Fund, Inc. 3,000,000 4.98 11/16/99 2,968,460
1,900,000 5.17 10/04/99 1,890,995
Spintab-Swedmortgage AB 3,000,000 4.84 9/17/99 2,993,547
Star Banc Corporation (Acquired 8/17/99 - 8/18/99; Cost $5,253,946) (b) 5,300,000 5.35 10/15/99 5,265,344
Stellar Funding Group, Inc.:
(Acquired 7/13/99 - 8/19/99; Cost $4,020,386) (b) 4,065,000 5.23 10/06/99 4,044,344
(Acquired 8/27/99; Cost $1,294,011) (b) 1,300,000 5.35 9/27/99 1,294,977
Sunshine State Governmental Financing Commission 3,600,000 5.14 9/16/99 3,592,290
1,400,000 5.16 9/13/99 1,397,592
Swiss RE Financial Products Corporation (Acquired 8/13/99; Cost $4,134,729) (b) 4,250,000 5.71 1/31/00 4,147,537
Triple-A One Funding Corporation (Acquired 8/03/99; Cost $2,410,798) (b) 2,423,000 5.18 9/07/99 2,420,908
Tulip Funding Corporation (Acquired 7/08/99 - 7/14/99; Cost $4,947,900) (b) 5,000,000 5.15 9/21/99 4,985,694
UBS Finance, Inc. 2,000,000 4.89 12/13/99 1,972,018
Unifunding, Inc. 1,000,000 5.17 10/12/99 994,112
Victory Receivables Corporation:
(Acquired 8/04/99; Cost $3,087,535) (b) 3,100,000 5.17 9/01/99 3,100,000
(Acquired 8/09/99; Cost $1,991,027) (b) 2,000,000 5.21 9/09/99 1,997,684
Vodafone Airtouch PLC (Acquired 8/19/99; Cost $3,472,123) (b) 3,500,000 5.31 10/12/99 3,478,834
Warner Lambert Company 104,200 4.94 Upon Demand 104,200
Westpac Capital Corporation 1,000,000 4.82 11/05/99 991,297
Windmill Funding Corporation:
(Acquired 7/27/99; Cost $812,741) (b) 820,000 5.14 9/27/99 816,956
(Acquired 8/03/99; Cost $1,270,993) (b) 1,280,000 5.17 9/21/99 1,276,324
(Acquired 7/12/99; Cost $2,916,288) (b) 3,000,000 5.43 1/13/00 2,939,365
Wisconsin Electric Power Company 72,100 4.94 Upon Demand 72,100
Wood Street Funding Corporation:
(Acquired 6/18/99; Cost $1,977,140) (b) 2,000,000 5.08 9/07/99 1,998,307
(Acquired 7/12/99; Cost $2,867,578) (b) 2,900,000 5.16 9/28/99 2,888,777
Yorkshire Building Society 500,000 5.19 9/02/99 499,928
4,750,000 5.78 1/20/00 4,642,468
- ------------------------------------------------------------------------------------------------------------------------------------
Total Commerical Paper 329,045,323
- ------------------------------------------------------------------------------------------------------------------------------------
Corporate Obligations 1.1%
LaSalle National Bank, Chicago, Illinois
Short-Term Bank Notes, Tranche 00305, 5.75% 3,000,000 5.75 2/04/00 3,000,000
Merrill Lynch & Company, Inc. Medium-Term Notes, Tranche 00507, 6.06% 1,000,000 6.06 9/27/99 1,000,316
- ------------------------------------------------------------------------------------------------------------------------------------
Total Corporate Obligations 4,000,316
- ------------------------------------------------------------------------------------------------------------------------------------
Taxable Variable Rate Put Bonds 1.7%
Botsford General Hospital Revenue 2,000,000 5.40 2/15/27 2,000,000
Concrete Company 1,435,000 5.45 7/01/48 1,435,000
Kings Glen Apartments LLC 1,241,000 5.45 6/01/28 1,241,000
Northchase Apartments LLC 800,000 5.45 12/01/28 800,000
35
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG INVESTORS MONEY FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Radiation Oncology Partners LLP $ 880,000 5.45% 8/01/18 $ 880,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Taxable Variable Rate Put Bonds 6,356,000
- ------------------------------------------------------------------------------------------------------------------------------------
United States Government and Agency Issues 6.6%
Federal Home Loan Bank Notes:
5.00%, Due 10/27/99 2,000,000 5.01 10/27/99 1,999,970
5.00%, Due 1/28/00 3,000,000 5.00 1/28/00 3,000,000
5.00%, Due 2/24/00 2,000,000 5.02 2/24/00 1,999,807
5.03%, Due 10/29/99 1,500,000 5.03 10/29/99 1,500,000
5.05%, Due 2/25/00 4,000,000 5.05 2/25/00 4,000,000
5.08%, Due 3/03/00 3,000,000 5.08 3/03/00 3,000,000
5.12%, Due 3/08/00 6,600,000 5.12 3/08/00 6,600,000
Federal National Mortgage Association Medium-Term Notes, 5.04%, Due 2/23/00 2,000,000 5.02 2/23/00 2,000,182
- ------------------------------------------------------------------------------------------------------------------------------------
Total United States Government and Agency Issues 24,099,959
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Total Investments in Securities 100.2% 366,501,120
Other Assets and Liabilities, Net (0.2%) (701,757)
- ------------------------------------------------------------------------------------------------------------------------------------
Net Assets 100.0% $365,799,363
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Certificates of Deposit 0.7%
Royal Bank of Canada, 5.15% $14,000,000 5.18% 3/21/00 $13,997,770
- ------------------------------------------------------------------------------------------------------------------------------------
Total Certificates of Deposit 13,997,770
- ------------------------------------------------------------------------------------------------------------------------------------
Commercial Paper 83.4%
AESOP Funding Corporation:
(Acquired 8/24/99; Cost $19,677,945) (b) 19,850,000 5.38 10/21/99 19,701,676
(Acquired 8/31/99; Cost $8,577,340) (b) 8,650,000 5.40 10/26/99 8,578,638
Abbey National North America Corporation 8,255,000 5.07 12/07/99 8,142,230
Alliance & Leicester PLC:
(Acquired 4/14/99; Cost $12,975,909) (b) 13,300,000 4.82 10/13/99 13,225,210
(Acquired 5/21/99; Cost $9,749,750) (b) 10,000,000 4.95 11/19/99 9,891,375
AlliedSignal, Inc.:
(Acquired 7/12/99; Cost $6,159,890) (b) 6,380,000 5.40 2/28/00 6,207,740
(Acquired 7/13/99; Cost $7,240,125) (b) 7,500,000 5.40 2/29/00 7,296,375
Alpine Securitization Corporation:
(Acquired 8/20/99; Cost $13,438,620) (b) 13,500,000 5.28 9/20/99 13,462,380
(Acquired 8/18/99; Cost $2,613,183) (b) 2,624,000 5.30 9/15/99 2,618,592
(Acquired 8/26/99; Cost $10,083,026) (b) 10,125,000 5.33 9/23/99 10,092,021
American Home Products Corporation (Acquired 5/21/99; Cost $6,506,060) (b) 6,600,000 4.88 9/03/99 6,598,211
American Honda Finance Corporation 17,000,000 5.30 10/13/99 16,894,883
Ascot Capital Corporation (Acquired 7/09/99; Cost $23,269,974) (b) 23,600,000 5.19 10/14/99 23,453,700
Atlantis One Funding Corporation 5,450,000 4.82 9/01/99 5,450,000
Avon Capital Corporation (Acquired 8/24/99; Cost $12,532,580) (b) 12,575,000 5.28 9/16/99 12,547,335
BP America, Inc. 25,575,000 5.33 2/07/00 24,972,943
Banco Bradesco SA Grand Cayman Branch, Series A 21,300,000 5.22 12/20/99 20,960,265
BankAmerica Corporation 20,000,000 4.83 11/09/99 19,814,850
Barton Capital Corporation:
(Acquired 7/07/99; Cost $9,108,120) (b) 9,183,000 5.15 9/02/99 9,181,686
(Acquired 8/09/99; Cost $3,454,963) (b) 3,470,000 5.20 9/08/99 3,466,491
(Acquired 8/27/99; Cost $11,176,698) (b) 11,200,000 5.35 9/10/99 11,185,020
Bavaria Universal Funding Corporation:
(Acquired 5/21/99; Cost $5,868,517) (b) 6,025,000 5.00 11/24/99 5,954,708
(Acquired 8/26/99; Cost $14,935,354) (b) 15,000,000 5.35 9/24/99 14,948,729
Beta Finance, Inc.:
(Acquired 4/23/99; Cost $11,508,933) (b) 11,800,000 4.80 10/25/99 11,715,040
(Acquired 3/12/99; Cost $2,730,214) (b) 2,800,000 4.85 9/13/99 2,795,473
(Acquired 3/09/99; Cost $4,681,172) (b) 4,800,000 4.87 9/08/99 4,795,455
</TABLE>
36
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Blue Ridge Asset Funding Corporation (Acquired 6/16/99; Cost $9,870,831) (b) $10,000,000 5.11% 9/15/99 $ 9,980,128
British Gas Capital, Inc. 7,000,000 5.30 9/17/99 6,983,511
Broadway Capital Corporation:
(Acquired 8/05/99; Cost $2,509,880) (b) 2,523,000 5.20 9/10/99 2,519,720
(Acquired 8/13/99; Cost $4,019,831) (b) 4,031,000 5.25 9/01/99 4,031,000
(Acquired 8/20/99; Cost $4,487,413) (b) 4,500,000 5.30 9/08/99 4,495,363
(Acquired 8/30/99; Cost $2,914,006) (b) 2,924,000 5.35 9/22/99 2,914,875
(Acquired 8/31/99; Cost $9,812,321) (b) 9,852,000 5.37 9/27/99 9,813,791
CBA Delaware Finance, Inc. 15,900,000 4.86 12/10/99 15,685,350
CSC Enterprises 8,500,000 5.18 9/09/99 8,490,216
14,500,000 5.27 10/06/99 14,425,708
Calcot, Ltd. 2,000,000 5.30 9/10/99 1,997,350
4,500,000 5.36 9/27/99 4,482,580
California PCFA Environmental Improvement Revenue
(Acquired 8/11/99; Cost $16,000,000) (b) 16,000,000 5.25 9/03/99 16,000,000
Centric Capital Corporation (Acquired 7/28/99; Cost $6,720,950) (b) 6,780,000 5.14 9/27/99 6,754,831
Certain Funding Corporation:
(Acquired 8/10/99; Cost $14,534,373) (b) 14,600,000 5.22 9/10/99 14,580,947
(Acquired 8/24/99; Cost $3,984,100) (b) 4,000,000 5.30 9/20/99 3,988,811
Cogentrix of Richmond, Inc. 12,291,000 5.28 9/23/99 12,251,341
7,991,000 5.30 9/28/99 7,959,236
Cooperative Association Tractor Dealers, Inc.:
Series A 1,686,000 5.17 9/22/99 1,680,915
5,150,000 5.35 9/27/99 5,130,101
2,000,000 5.36 9/24/99 1,993,151
2,000,000 5.36 9/29/99 1,991,662
1,300,000 5.37 10/18/99 1,290,886
Series B 3,100,000 4.90 9/17/99 3,093,249
3,000,000 5.00 11/10/99 2,970,833
3,700,000 5.10 9/14/99 3,693,186
2,100,000 5.10 9/17/99 2,095,240
9,140,000 5.35 9/03/99 9,137,283
Credit Suisse First Boston, Inc. (Acquired 8/13/99; Cost $13,600,300) (b) 14,000,000 5.71 2/09/00 13,642,491
Credit Suisse First Boston International Guernsey, Ltd.
(Acquired 7/09/99; Cost $4,844,175) (b) 5,000,000 5.42 2/01/00 4,884,825
Delaware Funding Corporation (Acquired 8/20/99; Cost $14,354,835) (b) 14,380,000 5.25 9/01/99 14,380,000
Deutsche Bank Financial, Inc. 8,800,000 5.04 12/02/99 8,686,656
Edison Asset Securitization LLC:
(Acquired 5/21/99; Cost $7,926,695) (b) 8,102,000 4.93 10/26/99 8,040,976
(Acquired 5/20/99; Cost $2,439,744) (b) 2,500,000 4.93 11/12/99 2,475,350
(Acquired 7/13/99; Cost $9,273,560) (b) 9,378,000 5.14 9/29/99 9,340,509
Emerson Electric Company 6,500,000 5.31 2/03/00 6,351,394
Enterprise Funding Corporation:
(Acquired 6/18/99; Cost $4,937,206) (b) 5,000,000 5.08 9/15/99 4,990,122
(Acquired 8/03/99; Cost $1,472,840) (b) 1,479,000 5.17 9/01/99 1,479,000
(Acquired 7/20/99; Cost $11,107,362) (b) 11,350,000 5.20 12/15/99 11,177,858
(Acquired 8/24/99; Cost $5,386,976) (b) 5,420,000 5.35 10/04/99 5,393,419
Equilon Enterprises LLC 8,900,000 5.28 10/08/99 8,851,703
10,900,000 5.70 2/10/00 10,620,415
FPL Group Capital, Inc.:
(Acquired 7/20/99; Cost $6,363,579) (b) 6,550,000 5.45 1/24/00 6,406,218
(Acquired 7/22/99; Cost $9,712,361) (b) 10,000,000 5.45 1/28/00 9,774,431
(Acquired 8/23/99; Cost $3,194,082) (b) 3,280,000 5.75 2/03/00 3,198,797
Fina Oil & Chemical Company:
(Acquired 8/11/99; Cost $3,588,516) (b) 3,600,000 5.22 9/02/99 3,599,478
(Acquired 8/20/99; Cost $5,959,137) (b) 6,000,000 5.33 10/05/99 5,969,797
Finans Funding Corporation I 8,000,000 5.39 2/02/00 7,815,542
First Data Corporation 5,200,000 5.30 10/05/99 5,173,971
Firstar Corporation (Acquired 8/17/99 - 8/18/99; Cost $10,409,124) (b) 10,500,000 5.35 10/15/99 10,431,342
Ford Motor Credit Company 8,400,000 4.75 10/12/99 8,354,558
2,300,000 5.15 11/19/99 2,274,007
13,125,000 5.37 2/14/00 12,800,003
Formosa Plastics Corporation USA 2,000,000 5.00 10/04/99 1,990,833
10,300,000 5.18 11/29/99 10,168,097
2,000,000 5.65 2/11/00 1,948,836
37
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Fountain Square Commercial Corporation:
(Acquired 6/21/99; Cost $642,265) (b) $ 650,000 5.10% 9/13/99 $ 648,895
(Acquired 7/06/99; Cost $5,508,121) (b) 5,577,000 5.17 9/30/99 5,553,773
(Acquired 7/06/99 - 8/31/99; Cost $12,702,035) (b) 12,791,000 5.29 9/29/99 12,738,376
(Acquired 8/30/99; Cost $1,145,898) (b) 1,150,000 5.35 9/23/99 1,146,240
General Electric Capital Corporation 18,750,000 4.86 11/18/99 18,552,563
6,700,000 5.10 11/01/99 6,642,101
General Motors Acceptance Corporation 17,810,000 5.15 10/08/99 17,715,731
4,650,000 5.15 12/09/99 4,584,144
2,140,000 5.41 2/04/00 2,089,831
Goldman Sachs Group LP 8,130,000 4.80 10/14/99 8,083,388
10,500,000 4.82 11/05/99 10,408,621
Greenwich Funding Corporation (Acquired 8/20/99; Cost $4,014,374) (b) 4,025,000 5.28 9/07/99 4,021,458
Greyhawk Funding LLC (Acquired 4/12/99; Cost $2,428,640) (b) 2,480,000 4.81 9/14/99 2,475,692
Gulf Coast IDA Environmental Facilities Revenue 3,100,000 5.16 10/13/99 3,100,000
Gulf Coast Waste Disposal Authority PCR 7,120,000 5.22 10/04/99 7,120,000
Halifax PLC 5,000,000 4.80 10/01/99 4,980,000
13,570,000 5.20 12/01/99 13,391,630
Harley-Davidson Funding Corporation (Acquired 8/23/99; Cost $8,654,720) (b) 8,750,000 5.37 11/04/99 8,666,467
Heller Financial, Inc. 7,000,000 5.30 9/22/99 6,978,358
3,000,000 5.30 9/23/99 2,990,283
Henkel Corporation:
(Acquired 8/17/99; Cost $3,576,240) (b) 3,600,000 5.28 10/01/99 3,584,160
(Acquired 6/25/99; Cost $2,783,259) (b) 2,856,000 5.30 12/15/99 2,811,851
ING America Insurance Holdings, Inc. 8,000,000 5.20 9/27/99 7,969,956
7,100,000 5.20 10/25/99 7,044,620
3,000,000 5.30 9/21/99 2,991,167
IPALCO Enterprises:
(Acquired 8/06/99; Cost $3,131,417) (b) 3,150,000 5.18 9/16/99 3,143,201
(Acquired 8/10/99; Cost $3,536,888) (b) 3,558,000 5.21 9/20/99 3,548,216
(Acquired 8/19/99; Cost $14,529,706) (b) 14,600,000 5.28 9/21/99 14,557,173
Johnson & Johnson:
(Acquired 5/20/99; Cost $12,610,605) (b) 12,850,000 4.86 10/05/99 12,791,019
(Acquired 7/09/99; Cost $14,963,686) (b) 15,450,000 5.32 2/07/00 15,086,977
K2 USA LLC:
(Acquired 7/09/99; Cost $8,796,271) (b) 8,900,000 5.18 9/28/99 8,865,424
(Acquired 7/07/99; Cost $3,079,948) (b) 3,125,000 5.19 10/15/99 3,105,177
KZH-KMS Corporation: (Acquired 8/04/99 - 8/06/99; Cost $26,041,596) (b) 26,150,000 5.18 9/02/99 26,146,236
Kitty Hawk Funding Corporation:
(Acquired 3/25/99; Cost $7,071,581) (b) 7,234,000 4.84 9/08/99 7,227,192
(Acquired 3/22/99; Cost $3,538,860) (b) 3,628,000 4.86 9/20/99 3,618,694
(Acquired 7/27/99; Cost $994,860) (b) 1,000,000 5.14 9/01/99 1,000,000
Knight Ridder, Inc. (Acquired 7/28/99; Cost $15,869,787) (b) 16,000,000 5.14 9/23/99 15,949,742
LG&E Capital Corporation:
(Acquired 12/09/98; Cost $12,046,354) (b) 12,500,000 4.88 9/03/99 12,496,615
(Acquired 8/20/99; Cost $11,074,366) (b) 11,095,000 5.15 9/02/99 11,093,413
Leland Stanford, Jr. University 1,675,000 4.85 9/10/99 1,672,969
Lexington Parker Capital Corporation:
(Acquired 8/05/99; Cost $3,208,727) (b) 3,225,000 5.19 9/09/99 3,221,281
(Acquired 8/12/99; Cost $7,966,167) (b) 8,000,000 5.25 9/10/99 7,989,500
Lloyds Bank PLC 22,200,000 4.78 10/18/99 22,061,460
3,100,000 5.25 12/29/99 3,046,202
Market Street Funding Corporation:
(Acquired 7/22/99; Cost $6,609,252) (b) 6,650,000 5.13 9/03/99 6,648,105
(Acquired 8/24/99; Cost $17,131,243) (b) 17,200,000 5.33 9/20/99 17,151,615
Marshall & Ilsley Corporation 19,600,000 5.37 10/20/99 19,456,740
5,000,000 5.37 10/21/99 4,962,708
Martin Marietta Materials, Inc.:
(Acquired 8/25/99; Cost $10,934,611) (b) 11,000,000 5.35 10/04/99 10,946,054
(Acquired 8/27/99; Cost $1,590,160) (b) 1,600,000 5.40 10/07/99 1,591,360
Minolta Corporation 9,000,000 5.35 10/14/99 8,942,488
Mobil Oil Corporation Employee Stock Ownership Plan Trust (Acquired 8/31/99;
Cost $25,253,396) (b) 26,000,000 5.68 2/29/00 25,257,498
Monsanto Company (Acquired 8/24/99; Cost $2,479,021) (b) 2,500,000 5.30 10/20/99 2,481,965
</TABLE>
38
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
JP Morgan & Company, Inc. $ 2,000,000 4.80% 10/12/99 $ 1,989,067
9,000,000 4.83 12/10/99 8,879,250
11,900,000 5.25 9/24/99 11,860,085
Morgan Stanley, Dean Witter & Company 13,880,000 5.77 1/10/00 13,588,570
National Fuel Gas Company 7,000,000 5.35 9/13/99 6,987,517
Nationwide Building Society 6,000,000 4.83 9/08/99 5,994,365
9,500,000 4.84 11/17/99 9,401,654
New York Life Capital Corporation:
(Acquired 3/09/99; Cost $18,604,889) (b) 19,300,000 4.82 12/03/99 19,059,683
(Acquired 6/02/99; Cost $4,387,500) (b) 4,500,000 5.00 11/29/99 4,444,375
Oakland-Alameda County, California Coliseum Authority 13,000,000 5.35 9/22/99 13,000,000
Oklahoma State Industrial Finance Authority 10,000,000 5.30 11/01/99 10,000,000
Peacock Funding Corporation:
(Acquired 5/24/99; Cost $2,439,339) (b) 2,500,000 4.88 11/19/99 2,473,228
(Acquired 6/04/99; Cost $2,947,813) (b) 3,000,000 5.01 10/07/99 2,984,970
(Acquired 8/17/99; Cost $3,572,304) (b) 3,602,000 5.30 10/12/99 3,580,258
(Acquired 8/16/99; Cost $11,902,569) (b) 12,016,000 5.31 10/19/99 11,930,927
(Acquired 8/19/99; Cost $2,729,528) (b) 2,750,000 5.36 10/08/99 2,734,851
Pitney Bowes Credit Corporation 883,300 4.95 Upon Demand 883,300
Prudential Finance Jersey, Ltd. 10,000,000 4.84 9/17/99 9,978,489
Questar Corporation:
(Acquired 8/17/99; Cost $2,531,605) (b) 2,550,000 5.30 10/05/99 2,537,236
(Acquired 8/25/99; Cost $6,950,612) (b) 7,000,000 5.34 10/12/99 6,957,428
E.W. Scripps Company (Acquired 7/09/99; Cost $10,849,227) (b) 11,000,000 5.14 10/13/99 10,934,037
Sigma Finance, Inc.:
(Acquired 4/15/99; Cost $5,853,490) (b) 6,000,000 4.83 10/14/99 5,965,385
(Acquired 6/16/99; Cost $5,230,173) (b) 5,300,000 5.10 9/17/99 5,287,986
(Acquired 7/02/99; Cost $6,390,490) (b) 6,480,000 5.18 10/06/99 6,447,366
(Acquired 6/28/99; Cost $8,288,737) (b) 8,400,000 5.24 9/27/99 8,368,211
Society of New York Hospital Fund, Inc. 3,500,000 4.98 11/16/99 3,463,203
4,000,000 5.17 10/04/99 3,981,043
Spintab-Swedmortgage AB 22,000,000 4.82 11/15/99 21,779,083
2,000,000 4.84 9/17/99 1,995,698
Stellar Funding Group, Inc.:
(Acquired 8/04/99; Cost $6,591,131) (b) 6,618,000 5.22 9/01/99 6,618,000
(Acquired 8/20/99; Cost $9,199,650) (b) 9,235,000 5.30 9/15/99 9,215,965
(Acquired 8/27/99; Cost $4,976,965) (b) 5,000,000 5.35 9/27/99 4,980,681
(Acquired 8/31/99; Cost $2,096,890) (b) 2,106,000 5.37 9/29/99 2,097,204
Sunshine State Governmental Financing Commission 8,678,000 5.14 9/16/99 8,659,415
3,000,000 5.16 9/13/99 2,994,840
Swiss RE Financial Products Corporation (Acquired 8/13/99;
Cost $21,403,305) (b) 22,000,000 5.71 1/31/00 21,469,604
Triple-A One Funding Corporation:
(Acquired 5/26/99; Cost $9,559,765) (b) 9,700,000 4.91 9/09/99 9,689,416
(Acquired 8/10/99; Cost $3,982,089) (b) 4,000,000 5.20 9/10/99 3,994,800
Tulip Funding Corporation:
(Acquired 6/07/99; Cost $21,227,476) (b) 21,500,000 4.96 9/07/99 21,482,227
(Acquired 7/08/99; Cost $6,727,042) (b) 6,800,000 5.15 9/21/99 6,780,543
UBS Finance, Inc. 5,700,000 4.75 12/15/99 5,621,031
7,500,000 4.89 12/13/99 7,395,069
Unifunding, Inc. 23,700,000 5.17 10/12/99 23,560,453
Victory Receivables Corporation:
(Acquired 8/04/99; Cost $16,966,500) (b) 17,035,000 5.17 9/01/99 17,035,000
(Acquired 8/09/99; Cost $3,185,644) (b) 3,200,000 5.21 9/09/99 3,196,295
(Acquired 8/30/99; Cost $4,084,768) (b) 4,100,000 5.35 9/24/99 4,085,986
Vodafone Airtouch PLC:
(Acquired 8/26/99; Cost $8,559,637) (b) 8,600,000 5.28 9/27/99 8,567,205
(Acquired 8/19/99; Cost $19,642,293) (b) 19,800,000 5.31 10/12/99 19,680,260
Westpac Capital Corporation 5,700,000 4.82 11/05/99 5,650,394
Windmill Funding Corporation:
(Acquired 7/27/99; Cost $6,838,920) (b) 6,900,000 5.14 9/27/99 6,874,386
(Acquired 7/12/99; Cost $5,346,527) (b) 5,500,000 5.43 1/13/00 5,388,836
Wisconsin Electric Power Company 100 4.94 Upon Demand 100
39
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Wood Street Funding Corporation:
(Acquired 7/12/99; Cost $9,690,436) (b) $ 9,800,000 5.16% 9/28/99 $ 9,762,073
(Acquired 8/26/99; Cost $9,640,055) (b) 9,650,000 5.30 9/02/99 9,648,579
(Acquired 8/27/99; Cost $1,997,939) (b) 2,000,000 5.30 9/03/99 1,999,411
Yorkshire Building Society 3,650,000 5.19 9/02/99 3,649,474
16,000,000 5.30 10/12/99 15,903,422
3,700,000 5.78 1/20/00 3,616,238
- ------------------------------------------------------------------------------------------------------------------------------------
Total Commercial Paper 1,587,439,895
- ------------------------------------------------------------------------------------------------------------------------------------
Corporate Obligations 0.8%
LaSalle National Bank, Chicago, Illinois Short-Term Bank Notes,
Tranche 00305, 5.75% 15,000,000 5.75 2/04/00 15,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Corporate Obligations 15,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Taxable Variable Rate Put Bonds 6.0%
Alabama State IDAIDR - Southern Tool, Inc. Project 6,200,000 5.45 9/02/99 6,200,000
Aurora, Kane & DuPage Counties, Illinois IDR 1,300,000 5.41 9/02/99 1,300,000
Botsford General Hospital Revenue 4,400,000 5.40 9/01/99 4,400,000
Chattanooga, Tennessee IDB Revenue - Radisson Read Project 3,660,000 6.09 9/02/99 3,660,000
Community Health Systems, Inc. 3,000,000 5.40 9/01/99 3,000,000
Concrete Company 2,365,000 5.45 9/02/99 2,365,000
Health Midwest Ventures Group, Inc. 7,900,000 5.35 9/01/99 7,900,000
Illinois Housing Development Revenue 14,345,000 5.29 9/01/99 14,345,000
KinderCare Learning Centers, Inc. 4,000,000 5.49 9/01/99 4,000,000
Kings Glen Apartments LLC 3,297,000 5.45 9/02/99 3,297,000
Mississippi Business Finance Corporation IDR - GE Plastics Project 2,500,000 5.17 9/01/99 2,500,000
New Jersey EDA EDR - MSNBC/CNBC 8,200,000 5.17 9/01/99 8,200,000
New Jersey Sports & Exposition Authority Sports
Complex Subordinated Refunding Revenue 21,275,000 5.29 9/01/99 21,275,000
Northchase Apartments LLC 5,800,000 5.45 9/02/99 5,800,000
Radiation Oncology Partners LLP 2,780,000 5.45 9/02/99 2,780,000
South Carolina Jobs - EDA Health Facilities Revenue 3,000,000 5.89 9/02/99 3,000,000
Stanislaus County, California Pension Obligations 9,335,000 5.29 9/01/99 9,335,000
Thayer Properties LLC 3,370,000 5.45 9/02/99 3,370,000
Tifton Mall, Inc. 3,685,000 5.45 9/02/99 3,685,000
Virginia HDA MFHR 1,980,000 5.29 9/01/99 1,980,000
WLB, LLC 2,000,000 5.45 9/02/99 2,000,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Taxable Variable Rate Put Bonds 114,392,000
- ------------------------------------------------------------------------------------------------------------------------------------
United States Government and Agency Issues 9.1%
Federal Home Loan Bank Notes:
5.00%, Due 1/28/00 20,000,000 5.00 1/28/00 20,000,000
5.01%, Due 10/27/99 27,575,000 5.01 10/27/99 27,574,577
5.02%, Due 2/24/00 7,000,000 5.02 2/24/00 6,999,325
5.03%, Due 10/29/99 23,500,000 5.03 10/29/99 23,500,000
5.05%, Due 2/25/00 23,000,000 5.05 2/25/00 23,000,000
5.08%, Due 3/03/00 18,500,000 5.08 3/03/00 18,500,000
5.10%, Due 3/08/00 18,500,000 5.10 3/08/00 18,500,000
5.14%, Due 3/08/00 18,200,000 5.14 3/08/00 18,200,000
Federal National Mortgage Association Medium-Term Notes, 5.02%, Due 2/23/00 17,000,000 5.02 2/23/00 17,001,548
- ------------------------------------------------------------------------------------------------------------------------------------
Total United States Government and Agency Issues 173,275,450
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Total Investments in Securities 100.0% 1,904,105,115
Other Assets and Liabilities, Net 0.0% (845,329)
- ------------------------------------------------------------------------------------------------------------------------------------
Net Assets 100.0% $1,903,259,786
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
40
<PAGE>
<TABLE>
<CAPTION>
- -----------------------------------------------------------------------------------------------------------------------------------
STRONG MUNICIPAL MONEY MARKET FUND
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Municipal Bonds 17.3%
Alabama 0.4%
Columbia, Alabama 6.50% IDB PCR Refunding - Alabama Power Company Project $10,000,000 6.50% 9/01/99 $ 10,200,000
Arkansas 0.1%
Benton County, Arkansas Property Owners Refunding Improvement
Revenue - District No. 1 (e) 3,210,000 3.80 5/01/00 3,210,000
California 0.2%
Municipal Tax-Exempt 3.10% Trust Certificates 3,403,187 3.15 2/07/00 3,402,526
Colorado 4.9%
Denver, Colorado City & County School District Number 1 - PT 1135 (e) 19,860,000 3.58 10/21/99 19,841,387
Fort Collins, Colorado MFHR - Dry Creek Apartments Project (e) 4,490,000 3.85 8/01/00 4,490,000
USBI Trust Pass-Thru Certificates:
Series 1998-C (e) 29,315,000 4.50 9/01/99 29,315,000
Series 1998-D (e) 34,750,000 4.25 12/01/99 34,750,000
Series 1999-E (e) 27,235,000 4.50 9/01/99 27,235,000
-------------
115,631,387
Florida 0.4%
Port Palm Beach District, Florida 3.95% Revenue 9,200,000 3.95 3/01/00 9,200,000
Illinois 2.7%
Chicago, Illinois O'Hare International Airport 5.50% Revenue - Passenger
Facility Charge Project 9,505,000 3.29 1/01/00 9,574,295
Illinois Health Facilities Authority 7.70% Revenue - Illinois Masonic Medical
Center Project (Pre-Refunding at $102 on 10/01/99) 3,200,000 3.58 10/01/99 3,274,834
Lakemoor, Illinois MFMR Mortgage - Lakemoor Apartments Project (e) 50,000,000 4.55 2/24/00 50,000,000
-------------
62,849,129
Indiana 0.4%
Indiana Transportation Finance Authority Highway Revenue - PT 1159 (e) 9,710,000 3.50 2/24/00 9,710,000
Louisiana 0.5%
Plaquemines, Louisiana Port IDR - Chevron Pipe Line Company Project (e) 11,250,000 4.03 9/01/00 11,192,288
Michigan 0.2%
Grand Rapids, Michigan 7.25% Water Supply System Revenue
(Pre-Refunding at $102 on 1/01/00) 5,000,000 6.34 1/01/00 5,112,676
Minnesota 0.2%
Minnesota Housing Finance Agency SFMR (e) 5,000,000 3.65 6/29/00 5,001,921
Mississippi 0.7%
Jackson, Mississippi Housing Authority MFHR - Summer Park Apartments
Project:
Series C (e) 9,800,000 4.85 11/01/99 9,800,000
Series C-1 (e) 750,000 4.85 11/01/99 750,000
Mississippi Home Corporation SFMR - PT 218A (e) 6,585,000 3.56 1/13/00 6,572,935
------------
17,122,935
New Jersey 0.9%
Passaic County, New Jersey 3.30% BAN 20,643,500 3.25 3/31/00 20,649,255
New York 2.8%
Nassau County, New York 4.25% BAN - Bank Purchase Agreement 6,750,000 3.59 5/16/00 6,781,115
Nassau County, New York 3.75% RAN 30,000,000 3.28 3/15/00 30,074,920
Nassau County, New York 3.50% TAN 9,000,000 3.30 12/22/99 9,005,590
New York Urban Development Corporation - Part 210 (e) 21,135,000 3.56 1/13/00 21,098,587
------------
66,960,212
Ohio 0.6%
American Municipal Power Company Ohio, Inc. Electric System
Revenue Improvement 3.35% BAN 7,665,000 3.35 3/16/00 7,665,000
Franklin, Ohio MFHR - 260 East Naghten Street Project (e) 6,250,000 3.85 8/01/00 6,250,000
------------
13,915,000
South Carolina 0.2%
South Carolina 4.50% Public Service Authority Revenue Refunding 3,500,000 3.29 1/01/00 3,513,925
South Dakota 0.3%
South Dakota 3.20% HDA Homeownership Mortgage 8,000,000 3.20 4/07/00 8,000,000
41
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Texas 1.4%
Texas 8.30% GO (Pre-Refunding at $100 on 12/01/99) $ 2,275,000 3.53% 12/01/99 $ 2,301,913
Texas 4.50% TRAN 30,000,000 3.71 8/31/00 30,231,300
------------
32,533,213
Washington 0.1%
King County, Washington 6.70% GO 2,005,000 3.33 1/01/00 2,027,297
Wisconsin 0.3%
Menasha, Wisconsin 3.55% Promissory Notes 4,260,000 3.50 4/30/00 4,261,352
Milwaukee, Wisconsin Redevelopment Authority Redevelopment Revenue -
Dynapro Thin Film Products Project (e) 3,400,000 3.88 12/21/99 3,400,000
------------
7,661,352
- ------------------------------------------------------------------------------------------------------------------------------------
Total Municipal Bonds 407,893,116
- ------------------------------------------------------------------------------------------------------------------------------------
Municipal Commercial Paper 1.0%
Arizona 0.3%
Santa Cruz County, Arizona IDA IDR Demand Purchase 7,680,000 3.25 9/09/99 7,680,000
Texas 0.7%
Port Development Corporation Marine Terminal Transportation Refunding Revenue -
Mitsui & Company USA, Inc. Project 15,100,000 4.65 9/01/99 15,100,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Municipal Commercial Paper 22,780,000
- ------------------------------------------------------------------------------------------------------------------------------------
Annual Variable Rate Put Bonds 3.0%
Alabama 0.5%
Mobile, Alabama IDB Solid Waste Disposal Revenue - International
Paper Company Project 8,400,000 3.85 3/01/00 8,400,000
Selma, Alabama IDB Solid Waste Disposal Revenue - International
Paper Company Project 2,900,000 4.20 9/01/99 2,900,000
------------
11,300,000
District of Columbia 0.4%
District of Columbia Supplemental Student Loan Revenue - The Consern
Loan Program 9,300,000 4.75 7/01/00 9,300,000
Maine 0.2%
Jay, Maine Solid Waste Disposal Revenue - International Paper Company
Project 3,575,000 4.20 9/01/99 3,575,000
Mississippi 0.1%
Jones County, Mississippi Solid Waste Disposal Revenue - International
Paper Company Project 2,900,000 4.20 9/01/99 2,900,000
Puerto Rico 0.5%
Puerto Rico Industrial, Medical and Environmental PCFA Revenue -
Union Carbide Corporation Project 12,955,000 4.00 3/15/00 12,955,000
Tennessee 0.3%
Brownsville, Tennessee IDB IDR - Dynametal Technologies, Inc. Project 6,925,000 3.90 6/01/00 6,925,000
Texas 0.8%
Brazos River Authority Collateralized PCR Refunding - Texas
Utilities Electric Company Project:
Series A 13,000,000 3.70 4/01/00 13,000,000
Series B 7,000,000 4.15 6/19/00 7,000,000
------------
20,000,000
Multiple States 0.2%
Eastern States Tax-Exempt Mortgage Bond Trust 4,450,000 5.19 3/01/00 4,450,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Annual Variable Rate Put Bonds 71,405,000
- ------------------------------------------------------------------------------------------------------------------------------------
Semi-Annual Variable Rate Put Bonds 0.9%
Kentucky 0.3%
Scottsville, Kentucky IDR - Sumitomo Electric Wiring Systems, Inc. Project 8,000,000 4.75 11/01/99 8,000,000
Maryland 0.2%
Maryland IDFA Airport Revenue Special Facility - Signature Flight Project 4,375,000 3.35 12/01/99 4,375,000
Tennessee 0.3%
Marion County, Tennessee Environmental IDB EDR - Variform, Inc. Project 7,000,000 3.65 2/01/00 7,000,000
</TABLE>
42
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Wisconsin 0.1%
Milwaukee, Wisconsin IDR - Wayne C. Oldenburg Project $ 510,000 4.15% 2/01/00 $ 510,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Semi-Annual Variable Rate Put Bonds 19,885,000
- ------------------------------------------------------------------------------------------------------------------------------------
Quarterly Variable Rate Put Bonds 0.8%
Minnesota 0.1%
Minneapolis, Minnesota Revenue - Minneapolis Institute of the Arts Project 2,825,000 3.79 10/01/99 2,825,000
Oklahoma 0.7%
Oklahoma County, Oklahoma Industrial Authority Revenue Refunding -
Baptist General Convention of the State of Oklahoma Retirement Center Project 16,050,000 4.70 9/01/99 16,050,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Quarterly Variable Rate Put Bonds 18,875,000
- ------------------------------------------------------------------------------------------------------------------------------------
Monthly Variable Rate Put Bonds 0.9%
Arkansas 0.1%
Jacksonville, Arkansas Revenue - Regal Ware, Inc. Project 4,000,000 3.50 10/01/99 4,000,000
Illinois 0.1%
Green Leaf Ventures, Inc. Tax-Exempt Bond Grantor Trust 2,000,000 4.35 10/01/99 2,000,000
Maryland 0.3%
Prince Georges County, Maryland EDR Refunding - Capital View II LP Facility 6,380,000 4.40 10/01/99 6,380,000
Ohio 0.1%
Blue Bell Tax-Exempt Bond Grantor Trust 1,668,197 4.35 10/01/99 1,668,197
Multiple States 0.3%
GAF Corporation Tax-Exempt Bond Grantor Trust 4,300,000 3.95 10/01/99 4,300,000
Johnson Controls, Inc. Tax-Exempt Bond Grantor Trust 2,345,000 4.10 10/01/99 2,345,000
------------
6,645,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Monthly Variable Rate Put Bonds 20,693,197
- ------------------------------------------------------------------------------------------------------------------------------------
Weekly Variable Rate Put Bonds 61.3%
Alabama 2.3%
Alabama HFA SFMR:
Series A-1 5,915,000 3.75 9/08/99 5,915,000
Series A-2 19,505,000 3.75 9/08/99 19,505,000
Alabama IDA IDR:
Research Genetics, Inc. Project 2,880,000 3.80 9/08/99 2,880,000
Whitesell Project 4,300,000 3.80 9/08/99 4,300,000
Athens, Alabama IDB Revenue - Coilplus-Alabama, Inc. Project 8,000,000 3.80 9/08/99 8,000,000
Bridgeport, Alabama IDB IDR - Beaulieu Nylon, Inc. Project 10,000,000 3.60 9/08/99 10,000,000
Montgomery, Alabama IDB IDR - Asphalt Contractors, Inc. Project 1,100,000 3.80 9/08/99 1,100,000
Pell, Alabama IDB IDR - Kinder/Gorbel Project 1,785,000 3.60 9/08/99 1,785,000
------------
53,485,000
Arizona 0.8%
Chandler, Arizona IDA MFHR - Greentree Place Apartments Project 6,299,000 5.78 9/08/99 6,299,000
Chandler, Arizona Street and Highway User Revenue - Municipal Securities Trust 1,000,000 3.55 9/08/99 1,000,000
Glendale, Arizona Union High School District Number 205 - Municipal Securities
Trust 2,600,000 3.55 9/08/99 2,600,000
Maricopa County, Arizona Unified School District Number 93, Cave Creek -
Municipal Securities Trust 1,500,000 3.55 9/08/99 1,500,000
Peoria, Arizona Municipal Development Authority, Inc. Municipal Facilities
Revenue - Municipal Securities Trust 2,750,000 3.55 9/08/99 2,750,000
Pima County, Arizona United School District Number 1, Tucson - Municipal
Securities Trust 3,000,000 3.55 9/08/99 3,000,000
Scottsdale, Arizona IDA Hospital Revenue - Municipal Securities Trust 1,250,000 3.55 9/08/99 1,250,000
------------
18,399,000
Arkansas 0.2%
Hope, Arkansas IDR - Champion Parts, Inc. Project 1,100,000 3.60 9/08/99 1,100,000
Searcy, Arkansas IDR - Yarnell Ice Cream Company, Inc. Project 2,600,000 3.55 9/08/99 2,600,000
Trumann, Arkansas IDR - Roach Manufacturing Corporation Project 2,000,000 3.50 9/08/99 2,000,000
------------
5,700,000
43
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
California 5.4%
California PCFA PCR Resource Recovery - Wadham Energy Project:
Series B $11,695,000 3.75% 9/08/99 $ 11,695,000
Series C 5,200,000 3.75 9/08/99 5,200,000
Contra Costa County, California MFHR - Lafayette Town Center Apartments
Project 10,400,000 3.60 9/08/99 10,400,000
Glenn, California IDA IDR - Land O' Lakes, Inc. Project 1,900,000 3.55 9/08/99 1,900,000
Los Angeles, California Community Revelopment Agency MFHR - Skyline at
Southpark Project 3,000,000 4.45 9/08/99 3,000,000
Los Angeles, California MFHR - Oakwood Apartments Project 3,000,000 4.60 9/08/99 3,000,000
Los Angeles County, California IDA IDR - Goldberg & Solovy Foods, Inc. Project 2,825,000 4.95 9/08/99 2,825,000
Macon Trust Pooled Certificates 62,522,450 3.59 9/08/99 62,522,450
Ontario, California IDA IDR - P & S Development Project 2,650,000 4.15 9/08/99 2,650,000
Oxnard, California IDA IDR - O.G. Dehydrated, Inc. Project 3,050,000 3.64 9/08/99 3,050,000
Paramount, California Housing Authority MFHR Refunding - Century Place
Apartments Project 8,500,000 4.00 9/08/99 8,500,000
San Bernardino County, California COP - 1992 Justice Center/Airport
Improvements Refunding Project 1,960,000 3.82 9/08/99 1,960,000
Yolo County, California MFHR - Primero Grove Student Apartments Project 11,715,000 3.50 9/08/99 11,715,000
------------
128,417,450
Colorado 1.0%
Aurora, Colorado IDR - Optima Batteries, Inc. Project 3,430,000 3.55 9/08/99 3,430,000
Colorado Agricultural Development Authority IDR - Royal Crest
Dairy, Inc. Project 8,000,000 3.55 9/08/99 7,998,800
Colorado HFA EDR - NTA Leasing Company Project 2,100,000 3.77 9/08/99 2,100,000
Jefferson County, Colorado IDR - Accutronics, Inc. Project 2,175,000 3.77 9/08/99 2,175,000
Lakewood, Colorado IDR - Verden Associates-Holiday Inn Project 2,900,000 3.80 9/08/99 2,900,000
Westminster, Colorado IDR - Lifecare International Project 4,320,000 3.75 9/08/99 4,320,000
------------
22,923,800
Connecticut 0.3%
Connecticut Development Authority Solid Waste Revenue - Exeter, Inc. Project 7,200,000 3.70 9/08/99 7,200,000
Delaware 0.1%
Delaware EDA IDR - Orient Chemical Corporation Project 3,500,000 4.55 9/08/99 3,500,000
Florida 3.9%
Bay County, Florida Revenue - Methodist Homes Project 3,765,000 3.60 9/08/99 3,765,000
Brevard County, Florida IDR - US Space Camp Foundation Project 3,540,000 3.60 9/08/99 3,540,000
Broward County, Florida HFA MFHR - Sawgrass Pines Apartments Project 12,000,000 4.05 9/08/99 12,000,000
Dade County, Florida Health Facilities Authority Hospital Revenue -
Miami Children's Hospital Project 15,700,000 3.60 9/08/99 15,700,000
Dade County, Florida IDA IDR - Engelhard/ICC Project 8,500,000 3.80 9/08/99 8,500,000
Dade County, Florida Special Obligation Revenue 2,400,000 4.75 9/08/99 2,400,000
Florida Housing Finance Agency MFHR Refunding - Clear Lake Project 14,800,000 3.60 9/08/99 14,800,000
Ithaka Partners II Trust Certificates 4,227,917 3.77 9/08/99 4,227,917
Jacksonville, Florida Hospital Revenue - University Medical Center, Inc.
Project 13,300,000 4.80 9/08/99 13,300,000
Palm Beach County, Florida Health Facilities Authority Revenue -
Hospital Improvement Branch Project 13,265,000 3.40 9/08/99 13,265,000
------------
91,497,917
Georgia 2.5%
Athens-Clarke County, Georgia IDA IDR - Nakanishi Manufacturing
Corporation Project 8,000,000 4.80 9/08/99 8,000,000
Bremen, Georgia Development Authority IDR - HL-A Company, Inc. Project 9,000,000 4.30 9/08/99 9,000,000
Bulloch County, Georgia Development Authority Solid Waste Disposal
Revenue - Apogee Enterprises, Inc. Project 5,400,000 3.45 9/08/99 5,400,000
Cherokee County, Georgia IDA Revenue - Piolax Corporation Project 7,000,000 4.50 9/08/99 7,000,000
Fulton County, Georgia Development Authority IDR - STO Corporation Project 3,200,000 3.65 9/08/99 3,200,000
Lee County, Georgia Development Authority Revenue - Woodgrain Millwork, Inc.
Project 6,000,000 3.60 9/08/99 6,000,000
Newton County, Georgia IDA IDR - Komatsu Forklift USA, Inc. Project 7,500,000 4.80 9/08/99 7,500,000
Rockdale County, Georgia Development Authority IDR - Liochem, Inc. Project 8,000,000 4.80 9/08/99 8,000,000
Savannah, Georgia EDA IDR - Savannah Steel & Metal Company Project 1,405,000 3.80 9/08/99 1,405,000
Whitfield County, Georgia Development Authority Solid Waste Disposal
Revenue - Aladdin Manufacturing Corporation Project 3,100,000 3.45 9/08/99 3,100,000
------------
58,605,000
Hawaii 1.5%
Hawaii HFA HDA Corporation SFMR Purchase Trust Receipts 14,710,000 3.40 9/08/99 14,710,000
Hawaii HFC HDC Rental Housing System Revenue 19,900,000 4.35 9/08/99 19,900,000
------------
34,610,000
Idaho 0.2%
Bonneville County, Idaho IDC IDR - Yellowstone Plastics Project 5,900,000 3.50 9/08/99 5,900,000
</TABLE>
44
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Illinois 2.9%
Arlington Heights, Illinois MFHR Refunding - Dunton Tower Apartments Project $ 7,050,000 4.15% 9/08/99 $ 7,050,000
Carol Stream, Illinois IDR - MI Enterprises Project 2,450,000 3.55 9/08/99 2,450,000
Hazel Crest, Illinois Retirement Center Revenue - Waterford Estates Project 3,625,000 4.50 9/08/99 3,625,000
Illinois DFA IDR:
Homak Manufacturing Company, Inc. Project 5,640,000 3.55 9/08/99 5,640,000
Icon Metalcraft, Inc. Project 2,410,000 3.55 9/08/99 2,410,000
MTI Project 4,000,000 4.80 9/08/99 4,000,000
Lakemoor, Illinois MFHR Mortgage - Lakemoor Apartments Project:
Series A 4,595,486 3.55 9/08/99 4,595,486
Series C 25,000,000 3.55 9/08/99 25,000,000
Phoenix Realty Special Account Illinois MFHR - Brightons Mark Project 8,075,000 3.69 9/08/99 8,075,000
Springfield, Illinois Airport Authority - Allied-Signal, Inc. Project 4,375,000 3.90 9/08/99 4,375,000
------------
67,220,486
Indiana 0.3%
Ashley, Indiana EDR - Trin, Inc. Project 4,000,000 4.30 9/08/99 4,000,000
Brownsburg, Indiana EDR - Zanetis Enterprises Project 3,000,000 3.55 9/08/99 3,000,000
------------
7,000,000
Iowa 0.5%
Cedar Rapids, Iowa IDR Refunding First Program - Columbus McKinnon
Corporation Project 615,000 4.10 9/08/99 615,000
Indianola, Iowa Health Care Facility Revenue Refunding - The Village Project 5,590,000 3.50 9/08/99 5,590,000
Iowa Finance Authority IDR - First Cooperative Association Project 3,500,000 3.50 9/08/99 3,500,000
West Des Moines, Iowa Revenue - Woodgrain Millwork, Inc. Project 3,295,000 3.60 9/08/99 3,295,000
------------
13,000,000
Kansas 0.9%
Kansas City, Kansas Private Activity Revenue - Ex-L-Tube of Kansas, Inc.
Project 4,521,000 3.75 9/08/99 4,521,000
Kansas DFA MFHR - Trails of Garden City and Cottonwood of Liberal Projects 4,740,000 3.60 9/08/99 4,740,000
Lawrence, Kansas IDR - ProSoCo Project 5,800,000 3.65 9/08/99 5,800,000
Osage City, Kansas Industrial Revenue - Marley Continental Homes of Kansas
Project 4,800,000 3.68 9/08/99 4,800,000
Wichita, Kansas Revenue - CSJ Health System of Kansas Project 2,000,000 4.10 9/08/99 2,000,000
------------
21,861,000
Kentucky 0.9%
Daviess County, Kentucky MFHR Refunding - Park Regency Apartments Project 4,155,000 3.55 9/08/99 4,155,000
Hancock County, Kentucky Solid Waste Disposal Revenue - NSA, Ltd. Project 7,815,000 3.60 9/08/99 7,815,000
Somerset, Kentucky IBR - Tibbals Flooring Company Project 10,000,000 3.80 9/08/99 10,000,000
------------
21,970,000
Louisiana 0.9%
Caddo-Bossier Parishes, Louisiana Port Commission Revenue - Shreveport
Fabricators Project 1,500,000 4.10 9/08/99 1,500,000
New Orleans, Louisiana Aviation Board Revenue - Passenger Facility Charge
Project 18,760,000 3.50 9/08/99 18,760,000
------------
20,260,000
Maryland 1.8%
Howard County, Maryland MFHR 10,782,000 3.64 9/08/99 10,782,000
Maryland State Health & Higher Educational Facilities Authority Revenue -
Pooled Loan Program 16,000,000 3.20 9/08/99 16,000,000
Montgomery County, Maryland Housing Opportunities Commission Housing Revenue -
Draper Lane Apartments Project 9,800,000 3.40 9/08/99 9,800,000
Washington County, Maryland EDR - Tandy Project 5,100,000 4.45 9/08/99 5,100,000
------------
41,682,000
Massachusetts 0.8%
Massachusetts Housing Finance Agency Trusts 10,000,000 3.30 9/08/99 10,000,000
Massachusetts Industrial Finance Agency IDR - Portland Causeway Realty Trust 2,600,000 4.01 9/08/99 2,600,000
Salem, Massachusetts IDFA IDR - Applied Extrusion Technologies, Inc. Project 6,500,000 4.01 9/08/99 6,500,000
------------
19,100,000
Michigan 0.7%
Lansing, Michigan Limited Obligation EDC IDR - Ashland Oil, Inc. Project 1,400,000 5.28 9/08/99 1,400,000
Michigan Job Development Authority PCR - Mazda Motor Manufacturing USA
Corporation Project 11,200,000 4.80 9/08/99 11,200,000
Michigan Strategic Fund Limited Obligation Revenue Refunding - Alpha
Technology Corporation Project 5,000,000 4.30 9/08/99 5,000,000
------------
17,600,000
45
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Minnesota 0.3%
Farmington, Minnesota IDR - WFW Ventures LLC Project $ 1,890,000 3.55% 9/08/99 $ 1,890,000
New Brighton, Minnesota IDR - Donatelle Holdings Project 3,100,000 3.75 9/08/99 3,100,000
Princeton, Minnesota IDR - Plastic Products Company, Inc. Project 1,200,000 3.75 9/08/99 1,200,000
------------
6,190,000
Mississippi 0.4%
Mississippi Business Finance Corporation IDR:
American Metal Sales, Inc. Project 3,700,000 3.90 9/08/99 3,700,000
Barclay Furniture Company Project 1,300,000 3.60 9/08/99 1,300,000
Polks Meat Products, Inc. Project 4,400,000 3.90 9/08/99 4,400,000
------------
9,400,000
Missouri 2.6%
Berkeley, Missouri IDA Exempt Facility Revenue - St. Louis Air Cargo
Services, Inc. Project 12,500,000 4.62 9/08/99 12,500,000
Kansas City, Missouri IDA Facilities Revenue - KC Air Cargo Service Project 7,200,000 4.62 9/08/99 7,200,000
Missouri Development Finance Board IDR - MFA, Inc. Project:
Series A 1,990,000 3.50 9/08/99 1,990,000
Series B 765,000 3.50 9/08/99 765,000
Missouri Economic Development Export and Infrastructure Board Industrial
Development:
Series A 2,300,000 3.65 9/08/99 2,300,000
Series D 2,745,000 3.65 9/08/99 2,745,000
St. Charles County, Missouri IDA IDR - Craftsmen Industries Project 6,195,000 3.59 9/08/99 6,195,000
St. Charles County, Missouri IDA IDR Refunding - Country Club Apartments
Project 25,000,000 3.45 9/08/99 25,000,000
West Plains, Missouri IDA IDR - West Plains Manor Project 2,200,000 5.00 9/08/99 2,200,000
------------
60,895,000
New Hampshire 0.4%
New Hampshire HFA SFHR 4,480,000 3.41 9/08/99 4,480,000
New Hampshire IDA Industrial Facility Revenue - Ferrofluidics Corporation -
1984 Nashua Series Project 4,520,000 3.95 9/08/99 4,520,000
------------
9,000,000
New Jersey 0.3%
New Jersey EDA EDR:
Epitaxx, Inc. Project 5,000,000 4.80 9/08/99 5,000,000
Hickory Industries, Inc. Project 1,550,000 4.00 9/08/99 1,550,000
------------
6,550,000
New Mexico 0.6%
Bernalillo County, New Mexico MFHR - Westwood Villas Project 13,360,000 4.20 9/08/99 13,360,000
New York 1.2%
Erie County, New York IDA IDR - Niagara Envelope Company Project 3,000,000 3.55 9/08/99 3,000,000
Islip, New York IDA IDR - Radiation Dynamics Project 6,000,000 4.80 9/08/99 6,000,000
New York Dormitory Authority Revenue:
Putters-107 11,995,000 3.32 9/08/99 11,995,000
Trusts-27 7,000,000 3.45 9/08/99 7,000,000
------------
27,995,000
North Carolina 1.4%
Alleghany County, North Carolina Industrial Facilities and PCFA IDR -
Spring-Ford Knitting Company, Inc. Project 1,750,000 3.65 9/08/99 1,750,000
Buncombe County, North Carolina Industrial Facilities and PCFA Revenue -
Rich Mount, Inc. Project 4,400,000 4.80 9/08/99 4,400,000
Craven County, North Carolina Industrial Facilities and PCFA IDR - Wheatstone
Corporation Project 3,800,000 3.80 9/08/99 3,800,000
Gaston County, North Carolina Industrial Facilities and PCFA IDR -
Spring-Ford Knitting Company, Inc. Project 3,665,000 3.65 9/08/99 3,665,000
Hoke County, North Carolina Industrial Facilities and PCFA IDR -
Triangle Building Supply, Inc. Project 2,250,000 3.80 9/08/99 2,250,000
Mecklenburg County, North Carolina Industrial Facilities and PCFA Industrial
Revenue - Murata Wiedemann, Inc. Project 5,300,000 4.80 9/08/99 5,300,000
North Carolina Agricultural Finance Authority Agricultural Development -
J.E. Jones Lumber Company Project 1,600,000 3.40 9/08/99 1,600,000
North Carolina Ports Authority Exempt Facility Revenue - Jordan Lumber &
Supply, Inc. Project 4,550,000 3.80 9/08/99 4,550,000
Rutherford County, North Carolina Industrial Facilities and PCFA IDR -
Spring-Ford Industries, Inc. Project 5,985,000 3.65 9/08/99 5,985,000
------------
33,300,000
</TABLE>
46
<PAGE>
<TABLE>
<CAPTION>
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Ohio 0.4%
Cuyahoga County, Ohio IDR - Edge Seal Technologies, Inc. and One
Industry Drive, Inc. Project $ 2,240,000 3.50% 9/08/99 $ 2,240,000
Gallia County, Ohio IDR - Harsco Corporation Project 3,500,000 3.60 9/08/99 3,500,000
Ohio Air Quality Development Authority Revenue - JMG Funding Project 4,500,000 3.40 9/08/99 4,500,000
------------
10,240,000
Oklahoma 0.7%
Broken Arrow, Oklahoma EDA IDR - Paragon Films, Inc. Project 7,030,000 3.68 9/08/99 7,030,000
Oklahoma City, Oklahoma Industrial and Cultural Facilities Trust Revenue -
Oklahoma City University Project 8,500,000 4.80 9/08/99 8,500,000
------------
15,530,000
Pennsylvania 3.1%
Allegheny County, Pennsylvania Hospital Development Authority Revenue -
Allegheny General Hospital Project 39,400,000 4.30 9/08/99 39,400,000
Pennsylvania Higher EFA Health Services Revenue - University
of Pennsylvania Project 29,665,000 3.30 9/08/99 29,665,000
Pennsylvania Higher EFA Revenue - University of Pennsylvania
Health Services Project 4,500,000 3.30 9/08/99 4,500,000
------------
73,565,000
South Carolina 1.4%
Charleston County, South Carolina Industrial Revenue - Tandy
Corporation Project 1,000,000 4.95 9/08/99 1,000,000
Fairfield County, South Carolina Industrial Revenue - Fuji Copian
Corporation Project 9,000,000 4.80 9/08/99 9,000,000
Richland County, South Carolina IDR - Ashland Oil Project 1,400,000 5.28 9/08/99 1,400,000
South Carolina Jobs EDA EDR:
Carolina Cotton Works, Inc. Project 3,000,000 3.45 9/08/99 3,000,000
Galvstar LLC Project 2,650,000 3.80 9/08/99 2,650,000
Glo-Tex Chemicals, Inc. Project 2,700,000 3.80 9/08/99 2,700,000
South Carolina Jobs EDA IDR:
Quoizel, Inc. Project 7,375,000 3.40 9/08/99 7,375,000
Roller Bearing Company of America, Inc. Project 5,000,000 4.14 9/08/99 5,000,000
------------
32,125,000
South Dakota 1.9%
Aberdeen, South Dakota IDR - Lomar Development Company Project 150,000 4.10 9/08/99 150,000
Brookings, South Dakota IDR - Lomar Development Company Project 2,040,000 4.10 9/08/99 2,040,000
South Dakota HDA Homeownership Mortgage 1,000,000 3.55 9/08/99 1,000,000
South Dakota HDA SFMR Draw Down Trust Indenture 5,315,000 4.20 9/08/99 5,315,000
South Dakota HDA SFMR Draw Down Trust Indenture 36,040,000 4.40 9/08/99 36,040,000
------------
44,545,000
Tennessee 1.9%
Blount County, Tennessee IDB IDR - Advanced Crystal Technology, Inc. Project 4,000,000 3.40 9/08/99 4,000,000
Carter County, Tennessee IDB MFHR Refunding - Willow Run Apartments Project 6,675,000 3.55 9/08/99 6,675,000
Dover, Tennessee IDB Revenue - Nashville Wire Products Manufacturing Company
Project 2,900,000 3.65 9/08/99 2,900,000
Hamilton County, Tennessee IDB IDR - Hamilton Plastics, Inc. Project 3,750,000 3.65 9/08/99 3,750,000
Hamilton County, Tennessee IDB Revenue - Komatsu America Manufacturing
Corporation Project 5,400,000 4.10 9/08/99 5,400,000
Jackson, Tennessee Health, Educational and Housing Facility Board
Multi-Family Revenue - Park Ridge Apartments Project 5,000,000 3.90 9/08/99 5,000,000
Knox County, Tennessee Health, Educational and Housing Facilities
Board Revenue - Holston Long Term Care Project 4,000,000 3.60 9/08/99 4,000,000
Montgomery County, Tennessee IDB IDR - Nashville Wire Products Project 4,000,000 3.65 9/08/99 4,000,000
Stewart County, Tennessee IDB Solid Waste Disposal Revenue - Standard
Gypsum Project 10,000,000 3.45 9/08/99 10,000,000
------------
45,725,000
Texas 4.5%
Austin County, Texas IDC IDR - Gulf States Toyota, Inc. Project 4,000,000 3.96 9/08/99 4,000,000
Azle, Texas IDA IDR - Tandy Corporation Project 3,000,000 4.45 9/08/99 3,000,000
Bexar County, Texas HFC MFHR - UTSA Apartments Project 3,700,000 4.04 9/08/99 3,700,000
Brazos River Authority, PCR Trust Receipts 14,175,000 3.40 9/08/99 14,175,000
Deer Park, Texas Port Development Corporation IDR - Ashland Oil, Inc. Project 4,700,000 5.28 9/08/99 4,700,000
Grand Prairie, Texas IDA IDR - Precision/API Ketema Project 3,100,000 3.45 9/08/99 3,100,000
Gulf Coast IDA IDR - S&S X-Ray Products, Inc. Project 4,250,000 3.45 9/08/99 4,250,000
Harris County, Texas IDC IDR - National Bedding Company Project 3,000,000 3.55 9/08/99 3,000,000
Montgomery County, Texas IDC IDR - Porous Media, Ltd. Project 3,300,000 3.77 9/08/99 3,300,000
Pearland, Texas Independent School District Municipal Securities Trust Receipts 6,245,000 3.32 9/08/99 6,245,000
Port of Port Arthur, Texas Navigational District Environmental Facilities
Revenue - Motiva Enterprises LLC Project 17,895,000 3.45 9/08/99 17,895,000
Robertson County, Texas IDC IDR - CR/PL Project 2,470,000 3.40 9/08/99 2,470,000
47
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) AUGUST 31, 1999 (unaudited)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
Robstown, Texas IDC IDR - Concrete Pipe and Products Company, Inc. Project $ 2,000,000 3.57% 9/08/99 $ 2,000,000
Texas Municipal Securities Trust Receipts 10,270,000 3.40 9/08/99 10,270,000
Travis County, Texas HFC MFHR - Part 1144 9,115,000 3.49 9/08/99 9,115,000
Waco, Texas IDC IDR - Chad A. Greif Trust Project 6,900,000 3.65 9/08/99 6,900,000
Waxahachie, Texas IDA Waste Disposal Revenue - Temple/Re-Con, Inc. Project 8,200,000 3.90 9/08/99 8,200,000
------------
106,320,000
Vermont 0.2%
Vermont EDA IDR - Tsubaki, Inc. Project 5,000,000 3.45 9/08/99 5,000,000
Virginia 1.1%
Chesapeake, Virginia Redevelopment and Housing Authority MFHR -
Tidewater House LP Project 3,131,000 3.60 9/08/99 3,131,000
Richmond, Virginia Redevelopment and Housing Authority Tobacco Row Revenue 7,000,000 3.45 9/08/99 7,000,000
Virginia State Public School Authority, Putters-109 16,000,000 3.32 9/08/99 16,000,000
------------
26,131,000
Washington 0.1%
Pierce County, Washington EDC - Brown & Haley Project 1,200,000 4.50 9/08/99 1,200,000
West Virginia 0.2%
West Virginia State Building Commission Lease Revenue 5,765,000 3.36 9/08/99 5,765,000
Wisconsin 0.8%
Ashwaubenon, Wisconsin IDR - Pioneer Metal Finishing, Inc. Project 1,615,000 4.00 9/08/99 1,615,000
Columbus, Wisconsin IDR - Maysteel Corporation Project 2,000,000 3.80 9/08/99 2,000,000
Combined Locks, Wisconsin IDR - Appleton Papers, Inc. Project 4,300,000 3.60 9/08/99 4,300,000
De Pere, Wisconsin IDR - Cleaning Systems, Inc. Project 3,875,000 3.60 9/08/99 3,875,000
New London, Wisconsin IDR - Steel King Industries, Inc. Project 3,070,000 3.75 9/08/99 3,070,000
Wisconsin Housing and EDA Business Development Revenue -
Zero Zone, Inc. Project 3,420,000 3.45 9/08/99 3,420,000
------------
18,280,000
Wyoming 0.2%
Campbell County, Wyoming IDR - Powder Basin Properties Project 5,830,000 3.70 9/08/99 5,830,000
Multiple States 9.7%
Capital Realty Investments Tax-Exempt Fund, Ltd. Floating Rate Certificates:
Series 1996-4 38,770,000 3.57 9/08/99 38,770,000
Series 1996-5 27,135,000 3.52 9/08/99 27,135,000
Clipper Tax-Exempt Certificate Trusts 77,420,000 3.59 9/08/99 77,420,000
Clipper Tax-Exempt Trust COP 40,000,000 3.59 9/08/99 40,000,000
Lehman Brothers, Inc. Floating Pooled Trust Receipts 17,500,000 3.50 9/08/99 17,500,000
Puttable Floating Option Tax-Exempt Receipts, Series PA 154 27,169,000 3.64 9/08/99 27,169,000
------------
227,994,000
- ------------------------------------------------------------------------------------------------------------------------------------
Total Weekly Variable Rate Put Bonds 1,444,871,653
- ------------------------------------------------------------------------------------------------------------------------------------
Daily Variable Rate Put Bonds 16.3%
Alabama 2.0%
Columbia, Alabama IDB PCR Refunding - Alabama Power Company Project 3,000,000 3.10 9/01/99 3,000,000
Jefferson County, Alabama Sewer Revenue Trust Receipts 5,000,000 3.10 9/01/99 5,000,000
McIntosh, Alabama IDB Environmental Revenue Refunding - CIBC Specialty Project:
Series D 23,500,000 2.85 9/01/99 23,500,000
Series E 6,500,000 2.95 9/01/99 6,500,000
Phenix County, Alabama IDB Environmental Improvement Revenue - Mead Coated
Board Project 4,000,000 3.20 9/01/99 4,000,000
Stevenson, Alabama IDB Environmental Improvement Revenue - Mead Corporation
Project 6,400,000 2.90 9/01/99 6,400,000
------------
48,400,000
Alaska 0.1%
Valdez, Alaska Marine Terminal Revenue - Exxon Pipeline Company Project 1,600,000 2.95 9/01/99 1,600,000
Colorado 0.4%
Arapahoe County, Colorado MFHR Refunding - Stratford Station Project 8,455,000 3.45 9/01/99 8,455,000
Delaware 0.1%
Delaware State EDA Revenue - Delmarva Power & Light Company Project 2,300,000 3.35 9/01/99 2,300,000
District of Columbia 5.6%
District of Columbia GO Refunding 2,200,000 3.05 9/01/99 2,200,000
</TABLE>
48
<PAGE>
<TABLE>
<CAPTION>
SCHEDULES OF INVESTMENTS IN SECURITIES (CONTINUED) AUGUST 31, 1999 (UNAUDITED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND (CONTINUED)
Principal Yield to Maturity Amortized
Amount Maturity Date (d) Cost (Note 2)
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
District of Columbia Revenue - Medlantic Project:
Series B $74,600,000 5.20% 9/01/99 $ 74,600,000
Series C 54,200,000 5.20 9/01/99 54,200,000
------------
131,000,000
Georgia 1.7%
Bartow County, Georgia Development Authority PCR - Georgia Power Company-Bowen
Plant Project 6,000,000 3.00 9/01/99 6,000,000
Burke County, Georgia Development Authority PCR - Georgia Power Company Project:
Series 1 20,800,000 2.85 9/01/99 20,800,000
Series 3 12,900,000 3.00 9/01/99 12,900,000
------------
39,700,000
Louisiana 0.4%
Louisiana State Offshore Terminal Authority Deepwater Port Revenue
Refunding - 1st Stage A-Loop, Inc. Project 3,700,000 2.70 9/01/99 3,700,000
Plaquemines Parish, Louisiana Environmental Revenue Refunding - BP
Exploration & Oil Project 3,100,000 3.05 9/01/99 3,100,000
St. Charles Parish, Louisiana PCR - Shell Oil Company-Norco Project 3,000,000 3.05 9/01/99 3,000,000
------------
9,800,000
Michigan 0.5%
Delta County, Michigan EDC Environmental Improvement Revenue -
Mead/Escanaba Paper Company Project 4,300,000 3.10 9/01/99 4,300,000
Michigan State Strategic Fund, Ltd. Obligation Revenue Refunding - Dow Chemical
Company Project 6,750,000 2.75 9/01/99 6,750,000
------------
11,050,000
Nevada 0.2%
Washoe County, Nevada Water Facilities Revenue - Sierra Pacific Power
Company Project 6,000,000 3.10 9/01/99 6,000,000
New York 1.6%
New York, New York City Municipal Water Finance Authority Water & Sewer System
Revenue Municipal Securities Trust Receipts 6,000,000 3.10 9/01/99 6,000,000
New York, New York IDA IDR - Nippon Cargo Airlines Company Ltd. Project 28,000,000 4.10 9/01/99 28,000,000
New York State Tollway Authority General Revenue Receipts 3,700,000 3.13 9/01/99 3,700,000
------------
37,700,000
North Carolina 0.8%
Wake County, North Carolina Industrial Facilities PCFA Revenue Refunding 18,200,000 3.05 9/01/99 18,200,000
Texas 1.5%
Brazos River Authority Collateralized PCR Refunding - Texas Utilities Electric
Company Project 6,400,000 3.20 9/01/99 6,400,000
Brazos River Brazoria County, Texas Harbor Navigational District Environmental
Facilities Revenue - Joint Venture Project 14,000,000 3.10 9/01/99 14,000,000
Brazos River Brazoria County, Texas Harbor Navigational District Revenue -
Dow Chemical Company Project 5,300,000 3.15 9/01/99 5,300,000
Gulf Coast Waste Disposal Authority Solid Waste Disposal Revenue - Amoco Oil
Company Project 4,200,000 3.05 9/01/99 4,200,000
Harris County, Texas Health Facilities Development Corporation Hospital
Revenue - Tirr Project 6,310,000 3.10 9/01/99 6,310,000
------------
36,210,000
Virginia 0.4%
Richmond Virginia IDA Revenue - Cogentrix of Richmond Project:
Series A 6,800,000 3.35 9/01/99 6,800,000
Series B 3,500,000 3.35 9/01/99 3,500,000
------------
10,300,000
Wyoming 1.0%
Lincoln County, Wyoming PCR - Exxon Project:
Series B 2,800,000 2.90 9/01/99 2,800,000
Series C 4,100,000 2.90 9/01/99 4,100,000
Sweetwater County, Wyoming Environmental Improvement Revenue - PacifiCorp
Project 17,100,000 3.20 9/01/99 17,100,000
------------
24,000,000
- -----------------------------------------------------------------------------------------------------------------------------------
Total Daily Variable Rate Put Bonds 384,715,000
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
Total Investments in Securities 101.5% 2,391,117,966
Other Assets and Liabilities, Net (1.5%) (34,709,559)
- -----------------------------------------------------------------------------------------------------------------------------------
Net Assets 100.0% $2,356,408,407
- -----------------------------------------------------------------------------------------------------------------------------------
- -----------------------------------------------------------------------------------------------------------------------------------
49
</TABLE>
<PAGE>
SCHEDULES OF INVESTMENTS IN SECURITIES (continued) AUGUST 31, 1999 (Unaudited)
- --------------------------------------------------------------------------------
LEGEND
- --------------------------------------------------------------------------------
(a) Short-term investments include any
security which has a maturity of less than one year.
(b) Restricted security.
(c) All or a portion of security pledged to cover margin
requirements for futures contracts.
(d) Maturity date represents actual maturity or the
longer of the next put date or interest adjustment date.
For U.S. Government Agency Securities, maturity date
represents actual maturity or the next interest adjustment date.
(e) Variable rate security.
(f) When-issued security.
(g) Affiliated Issuer (see Note 7 of Notes to Financial Statements).
(h) See Note 2(I) of Notes to Financial Statements.
Percentages are stated as a percent of net assets.
ABBREVIATIONS
- --------------------------------------------------------------------------------
The following is a list of abbreviations that may be used in the Schedules of
Investments in Securities:
BAN -- Bond Anticipation Notes
BP -- Basis Points
CDA -- Commercial Development Authority
CDR -- Commercial Development Revenue
COP -- Certificates of Participation
DFA -- Development Finance Authority
EDA -- Economic Development Authority
EDC -- Economic Development Corporation
EDFA -- Economic Development Finance Authority
EDR -- Economic Development Revenue
EFA -- Educational Facilities Authority
EXTRAS -- Extendable Rate Adjustable Securities
GO -- General Obligation
HDA -- Housing Development Authority
HDC -- Housing Development Corporation
HFA -- Housing Finance Authority
HFC -- Housing Finance Corporation
IBA -- Industrial Building Authority
IBR -- Industrial Building Revenue
IDA -- Industrial Development Authority
IDB -- Industrial Development Board
IDC -- Industrial Development Corporation
IDFA -- Industrial Development Finance Authority
IDR -- Industrial Development Revenue
IFA -- Investment Finance Authority
MERLOT -- Municipal Exempt Receipt - Liquidity Optional Tender
MFHR -- Multi-Family Housing Revenue
MFMR -- Multi-Family Mortgage Revenue
PCFA -- Pollution Control Financing Authority
PCR -- Pollution Control Revenue
RAN -- Revenue Anticipation Notes
SFHR -- Single Family Housing Revenue
SFMR -- Single Family Mortgage Revenue
TAN -- Tax Anticipation Notes
TRAN -- Tax and Revenue Anticipation Notes
See Notes to Financial Statements.
50
<PAGE>
<TABLE>
<CAPTION>
STATEMENTS OF ASSETS AND LIABILITIES
- --------------------------------------------------------------------------------------------------------------------------------
August 31, 1999 (Unaudited)
(In Thousands, Except Per Share Amounts)
STRONG STRONG MUNICIPAL
ADVANTAGE FUND ADVANTAGE FUND
------------- ----------------
<S> <C> <C>
ASSETS:
Investments in Securities, at Value
Unaffiliated Issuers (Cost of $2,631,310 and $2,177,996, respectively) $2,594,149 $2,174,904
Affiliated Issuers (Cost of $0 and $49,000, respectively) -- 49,000
Receivable for Securities Sold 9,975 1,048
Receivable for Fund Shares Sold 1,481 592
Dividends and Interest Receivable 26,618 23,616
Other Assets 220 162
---------- ----------
Total Assets 2,632,443 2,249,322
LIABILITIES:
Payable for Securities Purchased 9,987 31,743
Payable for Fund Shares Redeemed 1,090 1,166
Dividends Payable 11,772 7,503
Accrued Operating Expenses and Other Liabilities 1,528 15
---------- ----------
Total Liabilities 24,377 40,427
---------- ----------
NET ASSETS $2,608,066 $2,208,895
---------- ----------
---------- ----------
NET ASSETS CONSIST OF:
Capital Stock (par value and paid-in capital) $2,655,990 $2,214,235
Undistributed Net Investment Income 55 --
Accumulated Net Realized Loss (11,016) (2,347)
Net Unrealized Depreciation (36,963) (2,993)
---------- ----------
Net Assets $2,608,066 $2,208,895
---------- ----------
---------- ----------
Capital Shares Outstanding (Unlimited Number Authorized) 263,621 440,921
NET ASSET VALUE PER SHARE $9.89 $5.01
----- -----
----- -----
</TABLE>
<TABLE>
<CAPTION>
STRONG
STRONG HERITAGE STRONG INVESTORS STRONG MONEY MUNICIPAL MONEY
MONEY FUND MONEY FUND MARKET FUND MARKET FUND
--------------- ---------------- ------------ ---------------
<S> <C> <C> <C> <C>
ASSETS:
Investments in Securities, at Amortized Cost $1,469,530 $366,501 $1,904,105 $2,391,118
Receivable for Fund Shares Sold -- -- 1 --
Interest Receivable 5,262 801 6,158 13,332
Other Assets 96 9 110 207
---------- -------- ---------- ----------
Total Assets 1,474,888 367,311 1,910,374 2,404,657
LIABILITIES:
Payable for Securities Purchased -- -- -- 41,424
Payable for Fund Shares Redeemed -- -- -- 104
Dividends Payable 5,743 1,507 7,058 5,964
Accrued Operating Expenses and Other Liabilities 23 5 56 757
---------- -------- ---------- ----------
Total Liabilities 5,766 1,512 7,114 48,249
---------- -------- ---------- ----------
NET ASSETS $1,469,122 $365,799 $1,903,260 $2,356,408
---------- -------- ---------- ----------
---------- -------- ---------- ----------
NET ASSETS CONSIST OF:
Capital Stock (par value and paid-in capital) $1,469,122 $365,799 $1,903,260 $2,356,408
---------- -------- ---------- ----------
---------- -------- ---------- ----------
Capital Shares Outstanding (Unlimited Number Authorized) 1,469,122 365,799 1,903,260 2,356,408
NET ASSET VALUE PER SHARE $1.00 $1.00 $1.00 $1.00
----- ----- ----- -----
----- ----- ----- -----
See Notes to Financial Statements.
51
</TABLE>
<PAGE>
STATEMENTS OF OPERATIONS
- -------------------------------------------------------------------------------
For the Six Months Ended August 31, 1999 (Unaudited)
<TABLE>
<CAPTION>
(IN THOUSANDS)
STRONG STRONG MUNICIPAL
ADVANTAGE FUND ADVANTAGE FUND
-------------- ----------------
<S> <C> <C>
INCOME:
Dividends - Unaffiliated Issuers $ 1,968 $ --
Dividends - Affiliated Issuers -- 1,101
Interest 85,259 50,457
------- -------
Total Income 87,227 51,558
EXPENSES:
Investment Advisory Fees 8,147 6,396
Custodian Fees 43 38
Shareholder Servicing Costs 1,469 243
Other 443 156
------- -------
Total Expenses before Waivers and Absorptions 10,102 6,833
Voluntary Expense Waivers and Absorptions by Advisor -- (546)
------- -------
Expenses, Net 10,102 6,287
------- -------
NET INVESTMENT INCOME 77,125 45,271
REALIZED AND UNREALIZED GAIN (LOSS):
Net Realized Gain (Loss) on:
Investments (4,927) 315
Futures Contracts 1,838 --
------- -------
Net Realized Gain (Loss) (3,089) 315
Net Change in Unrealized Appreciation/Depreciation on:
Investments (12,207) (13,308)
Futures Contracts (446) 100
------- -------
Net Change in Unrealized Appreciation/Depreciation (12,653) (13,208)
------- -------
NET LOSS ON INVESTMENTS (15,742) (12,893)
------- -------
NET INCREASE IN NET ASSETS RESULTING FROM OPERATIONS $61,383 $32,378
------- -------
------- -------
</TABLE>
<TABLE>
<CAPTION>
STRONG
STRONG HERITAGE STRONG INVESTORS STRONG MONEY MUNICIPAL MONEY
MONEY FUND MONEY FUND MARKET FUND MARKET FUND
--------------- --------------- ------------ ---------------
(Note 1)
<S> <C> <C> <C> <C>
INTEREST INCOME $39,177 $7,949 $48,416 $43,470
EXPENSES:
Investment Advisory Fees 3,898 784 4,807 5,743
Custodian Fees 13 4 17 22
Shareholder Servicing Costs 403 357 3,257 1,199
Reports to Shareholders 46 25 482 108
Other 82 73 86 99
------- ------ ------- -------
Total Expenses before Waivers and Absorptions 4,442 1,243 8,649 7,171
Voluntary Expense Waivers and Absorptions by Advisor (1,577) (1,195) (2,397) --
------- ------ ------- -------
Expenses, Net 2,865 48 6,252 7,171
------- ------ ------- -------
NET INVESTMENT INCOME AND NET INCREASE
IN NET ASSETS RESULTING FROM OPERATIONS $36,312 $7,901 $42,164 $36,299
------- ------ ------- -------
------- ------ ------- -------
</TABLE>
See Notes to Financial Statements.
52
<PAGE>
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS
- -----------------------------------------------------------------------------------------------------------------------------------
(In Thousands)
STRONG MUNICIPAL
STRONG ADVANTAGE FUND ADVANTAGE FUND
-------------------------------- --------------------------------
Six Months Ended Year Ended Six Months Ended Year Ended
Aug. 31, 1999 Feb. 28, 1999 Aug. 31, 1999 Feb. 28, 1999
--------------- ------------- ---------------- -------------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
OPERATIONS:
Net Investment Income $ 77,125 $ 148,100 $ 45,271 $ 60,111
Net Realized Gain (Loss) (3,089) 2,494 315 134
Net Change in Unrealized Appreciation/Depreciation (12,653) (36,915) (13,208) 2,602
---------- ---------- --------- -----------
Net Increase in Net Assets Resulting from Operations 61,383 113,679 32,378 62,847
DISTRIBUTIONS FROM NET INVESTMENT INCOME (77,125) (148,100) (45,271) (60,111)
CAPITAL SHARE TRANSACTIONS:
Proceeds from Shares Sold 902,693 2,946,300 1,007,365 2,486,040
Proceeds from Reinvestment of Distributions 70,252 131,622 40,093 51,811
Payment for Shares Redeemed (1,115,476) (2,440,808) (996,592) (1,381,705)
---------- ---------- --------- -----------
Net Increase (Decrease) in Net Assets from
Capital Share Transactions (142,531) 637,114 50,866 1,156,146
---------- ---------- --------- -----------
TOTAL INCREASE (DECREASE) IN NET ASSETS (158,273) 602,693 37,973 1,158,882
NET ASSETS:
Beginning of Period 2,766,339 2,163,646 2,170,922 1,012,040
---------- ---------- --------- -----------
End of Period $2,608,066 $2,766,339 $2,208,895 $2,170,922
---------- ---------- --------- -----------
---------- ---------- --------- -----------
TRANSACTIONS IN SHARES OF THE FUND:
Sold 90,741 293,643 200,328 493,759
Issued in Reinvestment of Distributions 7,061 13,123 7,969 10,290
Redeemed (112,130) (243,494) (198,185) (274,413)
-------- ------- ------ --------
Net Increase (Decrease) in Shares of the Fund (14,328) 63,272 10,112 229,636
-------- ------- ------ --------
-------- ------- ------ --------
<CAPTION>
STRONG HERITAGE STRONG INVESTORS
MONEY FUND MONEY FUND
-------------------------------- --------------------------------
Six Months Ended Year Ended Six Months Ended Year Ended
Aug. 31, 1999 Feb. 28, 1999 Aug. 31, 1999 Feb. 28, 1999
--------------- ------------- ---------------- -------------
(Unaudited) (Unaudited)
<S> <C> <C> <C> <C>
OPERATIONS:
Net Increase in Net Assets
Resulting from Operations $ 36,312 $ 79,313 $ 7,901 $ 5,670
DISTRIBUTIONS FROM NET INVESTMENT INCOME (36,312) (79,313) (7,901) (5,670)
CAPITAL SHARE TRANSACTIONS:
Proceeds from Shares Sold 769,301 2,304,386 225,630 337,628
Proceeds from Reinvestment of Distributions 34,748 74,363 6,917 4,441
Payment for Shares Redeemed (1,171,611) (2,025,605) (122,392) (93,893)
--------- --------- ------- -------
Net Increase (Decrease) in Net Assets from
Capital Share Transactions (367,562) 353,144 110,155 248,176
--------- --------- ------- --------
TOTAL INCREASE (DECREASE) IN NET ASSETS (367,562) 353,144 110,155 248,176
NET ASSETS:
Beginning of Period 1,836,684 1,483,540 255,644 7,468
--------- --------- ------- --------
End of Period $1,469,122 $1,836,684 $365,799 $255,644
--------- --------- ------- --------
--------- --------- ------- --------
TRANSACTIONS IN SHARES OF THE FUND:
Sold 769,301 2,304,386 225,630 337,628
Issued in Reinvestment of Distributions 34,748 74,363 6,917 4,441
Redeemed (1,171,611) (2,025,605) (122,392) (93,893)
--------- --------- ------- --------
Net Increase (Decrease) in Shares of the Fund (367,562) 353,144 110,155 248,176
--------- --------- ------- --------
--------- --------- ------- --------
See Notes to Financial Statements.
53
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
STATEMENTS OF CHANGES IN NET ASSETS (continued)
- -----------------------------------------------------------------------------------------------------------------------------------
(In Thousands)
STRONG MONEY STRONG MUNICIPAL
MARKET FUND MONEY MARKET FUND
-------------------------------------------------- ---------------------------------
Six Months Ended Year Ended Year Ended Six Months Ended Year Ended
Aug. 31, 1999 Feb. 28, 1999 Oct. 31, 1998 Aug. 31, 1999 Feb. 28, 1999
--------------- ------------- ------------- ---------------- -------------
(Unaudited) (Note 1) (Unaudited)
<S> <C> <C> <C> <C> <C>
OPERATIONS:
Net Increase in Net Assets
Resulting from Operations $ 42,164 $ 29,179 $ 97,648 $ 36,299 $ 69,441
DISTRIBUTIONS FROM
NET INVESTMENT INCOME (42,164) (29,179) (97,648) (36,299) (69,441)
CAPITAL SHARE TRANSACTIONS:
Proceeds from Shares Sold 1,319,711 1,042,350 3,195,385 3,005,013 5,262,565
Proceeds from Reinvestment
of Distributions 40,070 29,874 93,465 31,386 63,080
Payment for Shares Redeemed (1,382,710) (1,069,859) (3,203,404) (2,784,496) (5,092,372)
---------- ---------- ---------- ---------- ---------
Net Increase (Decrease) in Net Assets
from Capital Share Transactions (22,929) 2,365 85,446 251,903 233,273
---------- ---------- ---------- ---------- ---------
TOTAL INCREASE (DECREASE) IN NET ASSETS (22,929) 2,365 85,446 251,903 233,273
NET ASSETS:
Beginning of Period 1,926,189 1,923,824 1,838,378 2,104,505 1,871,232
---------- ---------- ---------- ---------- ---------
End of Period $1,903,260 $1,926,189 $1,923,824 $2,356,408 $2,104,505
---------- ---------- ---------- ---------- ---------
---------- ---------- ---------- ---------- ---------
TRANSACTIONS IN SHARES OF THE FUND:
Sold 1,319,711 1,042,350 3,195,385 3,005,013 5,262,565
Issued in Reinvestment of Distributions 40,070 29,874 93,465 31,386 63,080
Redeemed (1,382,710) (1,069,859) (3,203,404) (2,784,496) (5,092,372)
---------- ---------- ---------- ---------- ---------
Net Increase (Decrease) in Shares
of the Fund (22,929) 2,365 85,446 251,903 233,273
---------- ---------- ---------- ---------- ---------
---------- ---------- ---------- ---------- ---------
</TABLE>
54
See Notes to Financial Statements.
<PAGE>
NOTES TO FINANCIAL STATEMENTS
- -------------------------------------------------------------------------------
August 31, 1999 (Unaudited)
1. ORGANIZATION
The accompanying financial statements represent the Strong Cash Management
Funds (the "Funds"), which include the following funds, each with its own
investment objectives and policies:
- Strong Advantage Fund, Inc.(1)
- Strong Municipal Advantage Fund (a series of Strong Municipal Funds,
Inc.(1))
- Strong Heritage Money Fund (a series of Strong Heritage Reserve
Series, Inc.(1))
- Strong Investors Money Fund (a series of Strong Heritage
Reserve Series, Inc.(1))
- Strong Money Market Fund, Inc.(1)
- Strong Municipal Money Market Fund (a series of Strong Municipal Funds,
Inc.(1))
(1)A diversified, open-end management investment company registered under
the Investment Company Act of 1940.
During 1998, the Board of Directors of the Strong Money Market Fund, Inc.
approved changing the Fund's fiscal year-end from October 31 to
February 28.
2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies followed by
the Funds in the preparation of their financial statements.
(A) Security Valuation -- Securities of Strong Advantage Fund and Strong
Municipal Advantage Fund are valued at fair value through valuations
obtained by a commercial pricing service or the mean of the bid and
asked prices when no last sales price is available. Securities for
which market quotations are not readily available are valued at fair
value as determined in good faith under consistently applied
procedures established by and under the general supervision of the
Board of Directors. Securities which are purchased within 60 days of
their stated maturity and all investments in Strong Heritage Money
Fund, Strong Investors Money Fund, Strong Money Market Fund and Strong
Municipal Money Market Fund are valued at amortized cost, which
approximates fair value, whereby a portfolio security is valued at its
cost initially, and thereafter valued to reflect a constant
amortization to maturity of any discount or premium. Amortized cost
for federal income tax and financial reporting purposes is the same.
The Funds may own certain investment securities which are restricted
as to resale. These securities are valued after giving due
consideration to pertinent factors, including recent private sales,
market conditions and the issuer's financial performance. The Funds
generally bear the costs, if any, associated with the disposition of
restricted securities. Aggregate cost and fair value of these
restricted securities held at August 31, 1999 were as follows:
<TABLE>
<CAPTION>
Aggregate Aggregate Percent of
Cost Fair Value Net Assets Liquid*
------------ ------------ ---------- --------
<S> <C> <C> <C> <C>
STRONG ADVANTAGE FUND $880,455,852 $861,730,738 33.0% 78.3%
STRONG HERITAGE MONEY FUND 705,241,512 709,825,687 48.3% 100.0%
STRONG INVESTORS MONEY FUND 187,250,820 188,335,847 51.5% 100.0%
STRONG MONEY MARKET FUND 909,359,865 915,200,191 48.1% 100.0%
</TABLE>
*Percentage of restricted securities which are either Section 4(2)
commercial paper or are eligible for resale pursuant to Rule 144A
under the Securities Act of 1933 and also have been determined to be
liquid by the Advisor based upon guidelines established by the Fund's
Board of Directors.
(B) Federal Income and Excise Taxes and Distributions to Shareholders--
The Funds intend to comply with the requirements of the Internal
Revenue Code applicable to regulated investment companies and to
distribute substantially all of their taxable income to their
shareholders in a manner which results in no tax cost to the Funds.
Therefore, no federal income or excise tax provision is required.
The character of distributions made during the year from net
investment income or net realized gains for financial statement
purposes may differ from the characterization for federal income
tax purposes due to differences in the recognition of income and
expense items for financial statement and tax purposes. Where
appropriate, reclassifications between net asset accounts are made
for such differences that are permanent in nature.
Each fund generally pays dividends from net investment income
monthly and distributes any net capital gains that it realizes
annually. Dividends are declared on each day the net asset value is
calculated, except for bank holidays.
(C) Realized Gains and Losses on Investment Transactions -- Investment
security transactions are recorded as of the trade date. Gains or
losses realized on investment transactions are determined by comparing
the identified cost of the security lot sold with the net sales
proceeds.
(D) Certain Investment Risks -- The Funds may utilize
derivative instruments including options, futures, and other
instruments with similar characteristics to the extent that they are
consistent with the Funds' investment objectives and
55
<PAGE>
NOTES TO FINANCIAL STATEMENTS (CONTINUED)
- -------------------------------------------------------------------------------
August 31, 1999 (Unaudited)
limitations. The Funds intend to use such derivative instruments
primarily to hedge or protect from adverse movements in securities
prices or interest rates. The use of these instruments may involve
risks such as the possibility of illiquid markets or imperfect
correlation between the value of the instruments and the underlying
securities, or that the counterparty will fail to perform its
obligations.
Investments in foreign denominated assets or forward currency
contracts may involve greater risks than domestic investments,
due to currency, political and economic, regulatory and market risks.
(E) FUTURES -- Upon entering into a futures contract, the Funds pledge to
the broker cash or other investments equal to the minimum "initial
margin" requirements of the exchange. Additional securities held by
the Funds may be designated as collateral on open futures contracts.
The Funds also receive from or pay to the broker an amount of cash
equal to the daily fluctuation in the value of the contract. Such
receipts or payments are known as "variation margin," and are recorded
as unrealized gains or losses. When the futures contract is closed, a
realized gain or loss is recorded equal to the difference between the
value of the contract at the time it was opened and the value at the
time it was closed.
(F) OPTIONS -- The Funds may write put or call options (none were written
during the period). Premiums received by the Funds upon writing put or
call options are recorded as an asset with a corresponding liability
which is subsequently adjusted to the current market value of the
option. When an option expires, is exercised, or is closed, the Funds
realize a gain or loss, and the liability is eliminated. The Funds
continue to bear the risk of adverse movements in the price of the
underlying asset during the period of the option, although any
potential loss during the period would be reduced by the amount of the
option premium received.
(G) FOREIGN CURRENCY TRANSLATION -- Investment securities and other
assets and liabilities initially expressed in foreign currencies are
converted to U.S. dollars based upon current exchange rates.
Purchases and sales of foreign investment securities and income are
converted to U.S. dollars based upon currency exchange rates
prevailing on the respective dates of such transactions. The effect
of changes in foreign exchange rates on realized and unrealized
security gains or losses is reflected as a component of such gains or
losses.
(H) FORWARD FOREIGN CURRENCY EXCHANGE CONTRACTS -- Forward foreign
currency exchange contracts are valued at the forward rate and are
marked-to-market daily. The change in market value is recorded as an
unrealized gain or loss. When the contract is closed, the Funds record
an exchange gain or loss equal to the difference between the value of
the contract at the time it was opened and the value at the time it
was closed.
(I) REPURCHASE AGREEMENTS -- The Funds may enter into repurchase
agreements with institutions that the Funds' investment advisor,
Strong Capital Management, Inc. ("the Advisor"), has determined are
creditworthy pursuant to criteria adopted by the Board of Directors.
Each repurchase agreement is recorded at cost. The Funds require that
the collateral, represented by securities (primarily U.S. Government
securities), in a repurchase transaction be maintained in a segregated
account with a custodian bank in a manner sufficient to enable the
Funds to obtain those securities in the event of a default of the
repurchase agreement. On a daily basis, the Advisor monitors each
repurchase agreement to ensure the value of the collateral, including
accrued interest, is at least equal to the amounts owed to the Funds
under each repurchase agreement.
(J) USE OF ESTIMATES -- The preparation of financial statements in
conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the reported
amounts in these financial statements. Actual results could differ
from those estimates.
(K) OTHER -- Dividend income and distributions to shareholders are
recorded on the ex-dividend date. Interest income is recorded on the
accrual basis and includes amortization of premium and discounts.
3. RELATED PARTY TRANSACTIONS
The Advisor, with whom certain officers and directors of the Funds are
affiliated, provides investment advisory services and shareholder
recordkeeping and related services to the Funds. Investment advisory fees,
which are established by terms of the Advisory Agreements, are based on the
following annualized rates of the average daily net assets: Strong
Advantage Fund and Strong Municipal Advantage Fund 0.60%, Strong Heritage
Money Fund, Strong Investors Money Fund, Strong Money Market Fund and
Strong Municipal Money Market Fund 0.50%. Based on the terms of the
Advisory Agreements, advisory fees and other expenses will be waived by the
Advisor if the Fund's operating expenses exceed 2% of the average daily net
assets of the Fund. In addition, the Fund's Advisor may voluntarily waive
or absorb certain expenses at their discretion. Shareholder recordkeeping
and related service fees are based on contractually established rates for
each open and closed shareholder account. The Advisor is compensated for
certain other services related to costs incurred for reports to
shareholders.
Strong Advantage Fund and Strong Municipal Advantage Fund may invest cash
in money market funds sponsored and managed by the Advisor, subject to
certain limitations. The terms of such transactions are identical to those
of non-related entities except that, to avoid duplicate investment
advisory fees, advisory fees of each Fund are reduced by an amount equal
56
<PAGE>
to advisory fees paid to the Advisor under its investment advisory
agreement with the money market funds.
Certain information regarding related party transactions, excluding the
effect of waivers and absorptions, for the six months ended August 31,
1999, is as follows:
<TABLE>
<CAPTION>
Payable to/(Receivable Shareholder Servicing Unaffiliated
from) Advisor at and Other Expenses Directors'
Aug. 31, 1999 Paid to Advisor Fees
---------------------- --------------------- -------------
<S> <C> <C> <C>
STRONG ADVANTAGE FUND $70,579 $1,419,036 $11,727
STRONG MUNICIPAL ADVANTAGE FUND (10,512) 193,170 8,126
STRONG HERITAGE MONEY FUND 21,495 209,516 6,971
STRONG INVESTORS MONEY FUND 5,462 346,309 1,579
STRONG MONEY MARKET FUND 37,559 2,413,670 8,751
STRONG MUNICIPAL MONEY MARKET FUND 59,291 423,999 9,727
</TABLE>
4. LINE OF CREDIT
The Strong Funds excluding Strong Heritage Money Fund, Strong Investors
Money Fund, Strong Money Market Fund and Strong Municipal Money Market
Fund, have established a line of credit agreement ("LOC") with certain
financial institutions to be used for temporary or emergency purposes,
primarily for financing redemption payments. Combined borrowings among all
participating Strong Funds are subject to a $350 million cap on the total
line of credit. For individual Funds, borrowings under the LOC are limited
to either the lesser of 15% of the market value of total assets or any
explicit borrowing limits in the Funds' prospectus. Borrowings under the
LOC bear interest based on prevailing market rates as defined in the LOC. A
commitment fee of .07% per annum is incurred on the unused portion of the
line of credit and is allocated to all participating Strong Funds. At
August 31, 1999, there were no borrowings by the Funds outstanding under
the LOC.
5. INVESTMENT TRANSACTIONS
The aggregate purchases and sales of long-term securities for the six
months ended August 31, 1999, were as follows:
<TABLE>
<CAPTION>
Purchases Sales
-------------------------------- -------------------------------
U.S. Government U.S. Government
and Agency Other and Agency Other
--------------- ------------ --------------- -------------
<S> <C> <C> <C> <C>
Strong Advantage Fund $46,005,248 $797,692,506 $107,980,481 $843,365,179
Strong Municipal Advantage Fund -- 383,975,639 -- 150,295,027
</TABLE>
6. INCOME TAX INFORMATION
At August 31, 1999, the investment cost, gross unrealized appreciation and
depreciation on investments and capital loss carryovers (expiring in
varying amounts through 2006) for federal income tax purposes were as
follows:
<TABLE>
<CAPTION>
at August 31, 1999 at February 28, 1999
------------------------------------------------------------- ---------------------
Federal Tax Unrealized Unrealized Net Net Capital Loss
Cost Appreciation Depreciation Depreciation Carryovers
------------ ------------ ------------- ------------- ----------------
<S> <C> <C> <C> <C> <C>
STRONG ADVANTAGE FUND $2,631,310,664 $6,790,012 $43,951,919 ($37,161,907) $7,281,929
STRONG MUNICIPAL ADVANTAGE FUND 2,227,008,045 3,157,952 6,262,217 (3,104,265) 2,651,143
</TABLE>
7. INVESTMENTS IN AFFILIATES
Affiliated issuers, as defined under the Investment Company Act of 1940,
include those in which a Fund's holdings represent 5% or more of the
outstanding voting securities of the issuer, and any other Strong Fund. A
summary of transactions in the securities of these issuers during the six
months ended August 31, 1999 is as follows:
<TABLE>
<CAPTION>
Balance of Gross Gross Sales Balance of Value Dividend Income Gain/Loss
Shares Held Purchases and Shares Held Aug. 31, Mar. 1, 1999- on Sale
Mar. 1, 1999 and Additions Reductions Aug. 31, 1999 1999 Aug. 31, 1999 of Shares
----------- ------------ ----------- ------------ ------- ------------- ---------
<S> <C> <C> <C> <C> <C> <C> <C>
STRONG MUNICIPAL ADVANTAGE FUND
- -------------------------------
Strong Municipal Money Market Fund 87,100,000 695,300,000 733,400,000 49,000,000 $49,000,000 $1,100,929 --
57
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG ADVANTAGE FUND
- ------------------------------------------------------------------------------------------------------------------------------------
Period Ended
------------------------------------------------------------------
Aug. 31, Feb. 28, Feb. 28, Feb. 28, Feb. 29, Dec. 31, Dec. 31,
Selected Per-Share Data(a) 1999(b) 1999 1998 1997 1996(c) 1995 1994
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $9.95 $10.08 $10.09 $10.03 $10.04 $9.98 $10.19
Income From Investment Operations
Net Investment Income 0.28 0.59 0.62 0.62 0.10 0.67 0.55
Net Realized and Unrealized Gains (Losses) on Investments (0.06) (0.13) (0.01) 0.06 (0.01) 0.06 (0.19)
- ------------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.22 0.46 0.61 0.68 0.09 0.73 0.36
Less Distributions
From Net Investment Income (0.28) (0.59) (0.62) (0.62) (0.10) (0.67) (0.55)
In Excess of Net Realized Gains - - - - - - (0.02)
Total Distributions (0.28) (0.59) (0.62) (0.62) (0.10) (0.67) (0.57)
- ------------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $9.89 $9.95 $10.08 $10.09 $10.03 $10.04 $9.98
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Ratios and Supplemental Data
- ------------------------------------------------------------------------------------------------------------------------------------
Total Return +2.3% +4.6% +6.3% +7.0% +0.9% +7.5% +3.6%
Net Assets, End of Period (In Millions) $2,608 $2,766 $2,164 $1,520 $1,000 $990 $911
Ratio of Expenses to Average Net Assets 0.7%* 0.7% 0.8% 0.8% 0.8%* 0.8% 0.8%
Ratio of Net Investment Income to Average Net Assets 5.7%* 5.8% 6.2% 6.2% 6.3%* 6.6% 5.6%
Portfolio Turnover Rate 33.2% 79.3% 109.6% 154.9% 17.2% 183.7% 221.0%
</TABLE>
<TABLE>
<CAPTION>
STRONG MUNICIPAL ADVANTAGE FUND
- ----------------------------------------------------------------------------------------------------------------
Period Ended
----------------------------------------------
Aug. 31, Feb. 28, Feb. 28, Feb. 28, Feb. 29,
Selected Per-Share Data(a) 1999(b) 1999 1998 1997 1996(e)
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $5.04 $5.03 $5.01 $5.01 $5.00
Income From Investment Operations
Net Investment Income 0.10 0.21 0.22 0.25 0.06
Net Realized and Unrealized Gains (Losses) on Investments (0.03) 0.01 0.02 0.00(d) 0.01
- ----------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.07 0.22 0.24 0.25 0.07
Less Distributions
From Net Investment Income (0.10) (0.21) (0.22) (0.25) (0.06)
From Net Realized Gains - - - 0.00(d) -
- ----------------------------------------------------------------------------------------------------------------
Total Distributions (0.10) (0.21) (0.22) (0.25) (0.06)
- ----------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $5.01 $5.04 $5.03 $5.01 $5.01
- ----------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------
Ratios and Supplemental Data
- ----------------------------------------------------------------------------------------------------------------
Total Return +1.5% +4.5% +5.0% +5.1% +1.4%
Net Assets, End of Period (In Millions) $2,209 $2,171 $1,012 $644 $132
Ratio of Expenses to Average Net Assets Without Waivers
and Absorptions 0.6%* 0.6% 0.7% 0.7% 0.7%*
Ratio of Expenses to Average Net Assets 0.6%* 0.5% 0.4% 0.0%(d) 0.0%*
Ratio of Net Investment Income to Average Net Assets 4.1%* 4.1% 4.5% 5.0% 4.9%*
Portfolio Turnover Rate 13.2% 36.0% 49.6% 40.8% 17.1%
</TABLE>
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended August 31, 1999 (unaudited).
(c) In 1996, the Fund changed its fiscal year-end from December to February.
(d) Amount calculated is less than $0.01 or 0.01%.
(e) For the period from November 30, 1995 (inception)to February 29, 1996.
58
See Notes to Financial Statements.
<PAGE>
<TABLE>
<CAPTION>
- ---------------------------------------------------------------------------------------------------------------
STRONG HERITAGE MONEY FUND
- ---------------------------------------------------------------------------------------------------------------
Period Ended
-----------------------------------------------
Aug. 31, Feb. 28, Feb. 28, Feb. 28, Feb. 29,
Selected Per-Share Data(a) 1999(b) 1999 1998 1997 1996(d)
- ----------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00
Income From Investment Operations
Net Investment Income 0.02 0.05 0.05 0.06 0.04
Net Realized Losses on Investments -- -- -- (0.01) --
- ----------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.02 0.05 0.05 0.05 0.04
Less Distributions
From Net Investment Income (0.02) (0.05) (0.05) (0.06) (0.04)
- ----------------------------------------------------------------------------------------------------------------
Total Distributions (0.02) (0.05) (0.05) (0.06) (0.04)
- ----------------------------------------------------------------------------------------------------------------
Capital Contribution -- -- -- 0.01 --
- ----------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00
- ----------------------------------------------------------------------------------------------------------------
- ----------------------------------------------------------------------------------------------------------------
Ratios and Supplemental Data
- ----------------------------------------------------------------------------------------------------------------
Total Return +2.4% +5.3% +5.6% +5.7%(c) +4.1%
Net Assets, End of Period (In Millions) $1,469 $1,837 $1,484 $2,000 $942
Ratio of Expenses to Average Net Assets Without Waivers
and Absorptions 0.6%* 0.6% 0.6% 0.6% 0.6%*
Ratio of Expenses to Average Net Assets 0.4%* 0.3% 0.2% 0.1% 0.0%*(f)
Ratio of Net Investment Income to Average Net Assets 4.7%* 5.2% 5.4% 5.6% 5.9%*
</TABLE>
<TABLE>
<CAPTION>
STRONG INVESTORS MONEY FUND
- --------------------------------------------------------------------------------------------------
Period Ended
----------------------------------
Aug. 31, Feb. 28, Feb. 28,
Selected Per-Share Data(a) 1999(b) 1999 1998(e)
- --------------------------------------------------------------------------------------------------
<S> <C> <C> <C>
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00
Income From Investment Operations
Net Investment Income 0.03 0.06 0.00(f)
- --------------------------------------------------------------------------------------------------
Total from Investment Operations 0.03 0.06 0.00(f)
Less Distributions
From Net Investment Income (0.03) (0.06) --
- --------------------------------------------------------------------------------------------------
Total Distributions (0.03) (0.06) --
- --------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $1.00 $1.00 $1.00
- --------------------------------------------------------------------------------------------------
- --------------------------------------------------------------------------------------------------
Ratios and Supplemental Data
- --------------------------------------------------------------------------------------------------
Total Return +2.6% +5.7% +0.5%
Net Assets, End of Period (In Millions) $366 $256 $7
Ratio of Expenses to Average Net Assets Without
Waivers and Absorptions 0.8%* 0.9% 2.0%*
Ratio of Expenses to Average Net Assets 0.0%* 0.0% 0.0%*
Ratio of Net Investment Income to Average Net Assets 5.0%* 5.4% 6.1%*
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended August 31, 1999 (unaudited).
(c) Had the Advisor not made the capital contribution the adjusted total return
would have been 5.0% for the fiscal year ended February 28,1997.
(d) For the period from June 29, 1995 (inception) to February 29,1996.
(e) For the period from January 31,1998 (inception) to February 28,1998.
(f) Amount calculated is less than $0.01 or .01%.
See Notes to Financial Statements.
59
</TABLE>
<PAGE>
<TABLE>
<CAPTION>
FINANCIAL HIGHLIGHTS (CONTINUED)
- ------------------------------------------------------------------------------------------------------------------------------------
STRONG MONEY MARKET FUND
- ------------------------------------------------------------------------------------------------------------------------------------
Period Ended
---------------------------------------------------------------------------
Aug. 31, Feb. 28, Oct. 31, Oct. 31, Oct. 31, Oct. 31, Dec. 31,
Selected Per-Share Data(a) 1999(b) 1999(c) 1998 1997 1996 1995(e) 1994
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Income From Investment Operations
Net Investment Income 0.02 0.02 0.05 0.05 0.05 0.05 0.04
Net Realized Losses on Investments - - - (0.01) - - -
- ------------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.02 0.02 0.05 0.04 0.05 0.05 0.04
Less Distributions
From Net Investment Income (0.02) (0.02) (0.05) (0.05) (0.05) (0.05) (0.04)
- ------------------------------------------------------------------------------------------------------------------------------------
Total Distributions (0.02) (0.02) (0.05) (0.05) (0.05) (0.05) (0.04)
- ------------------------------------------------------------------------------------------------------------------------------------
Capital Contribution - - - 0.01 - - -
- ------------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Ratios and Supplemental Data
- ------------------------------------------------------------------------------------------------------------------------------------
Total Return +2.2% +1.5% +5.3% +5.3%(d) +5.4% +5.2% +4.0%
Net Assets, End of Period (In Millions) $1,903 $1,926 $1,924 $1,838 $1,949 $1,934 $541
Ratio of Expenses to Average Net Assets
Without Waivers and Absorptions 0.9%* 0.9%* 0.9% 0.9% 0.8% 0.7%* 0.9%
Ratio of Expenses to Average Net Assets 0.7%* 0.6%* 0.5% 0.5% 0.4% 0.0%* 0.6%
Ratio of Net Investment Income to Average Net Assets 4.4%* 4.6%* 5.2% 5.2% 5.3% 6.1%* 4.0%
</TABLE>
<TABLE>
<CAPTION>
STRONG MUNICIPAL MONEY MARKET FUND
- ------------------------------------------------------------------------------------------------------------------------------------
Period Ended
---------------------------------------------------------------------
Aug. 31, Feb. 28, Feb. 28, Feb. 28, Feb. 29, Dec. 31, Dec. 31,
Selected Per-Share Data(a) 1999(b) 1999 1998 1997 1996(g) 1995 1994
- ------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C>
Net Asset Value, Beginning of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
Income From Investment Operations
Net Investment Income 0.02 0.03 0.04 0.03 0.01 0.04 0.03
- ------------------------------------------------------------------------------------------------------------------------------------
Total from Investment Operations 0.02 0.03 0.04 0.03 0.01 0.04 0.03
Less Distributions
From Net Investment Income(f) (0.02) (0.03) (0.04) (0.03) (0.01) (0.04) (0.03)
- ------------------------------------------------------------------------------------------------------------------------------------
Total Distributions (0.02) (0.03) (0.04) (0.03) (0.01) (0.04) (0.03)
- ------------------------------------------------------------------------------------------------------------------------------------
Net Asset Value, End of Period $1.00 $1.00 $1.00 $1.00 $1.00 $1.00 $1.00
- ------------------------------------------------------------------------------------------------------------------------------------
- ------------------------------------------------------------------------------------------------------------------------------------
Ratios and Supplemental Data
- ------------------------------------------------------------------------------------------------------------------------------------
Total Return +1.6% +3.4% +3.6% +3.5% +0.6% +4.1% +2.9%
Net Assets, End of Period (In Millions) $2,356 $2,105 $1,871 $1,895 $1,609 $1,416 $1,261
Ratio of Expenses to Average Net Assets 0.6%* 0.6% 0.6% 0.6% 0.6%* 0.6% 0.6%
Ratio of Net Investment Income to Average Net Assets 3.2%* 3.4% 3.5% 3.5% 3.6%* 4.0% 2.9%
</TABLE>
* Calculated on an annualized basis.
(a) Information presented relates to a share of capital stock of the Fund
outstanding for the entire period.
(b) For the six months ended August 31, 1999 (unaudited).
(c) In 1999, the Fund changed its fiscal year-end from October to
February (Note 1).
(d) Had the Advisor not made the capital contribution the
adjusted total return would have been 4.5% for the year ended
October 31, 1997.
(e) In 1995, the Fund changed its fiscal year-end from December to October.
(f) Tax-exempt for regular Federal income tax purposes.
(g) In 1996, the Fund changed its fiscal year-end from December to February.
See Notes to Financial Statements.
60
<PAGE>
DIRECTORS
Richard S. Strong
Willie D. Davis
Stanley Kritzik
Marvin E. Nevins
William F. Vogt
OFFICERS
Richard S. Strong, Chairman of the Board
Mary F. Hoppa, Vice President
John S. Weitzer, Vice President
Stephen J. Shenkenberg, Vice President and Secretary
John W. Widmer, Treasurer
INVESTMENT ADVISOR
Strong Capital Management, Inc.
P.O. Box 2936, Milwaukee, Wisconsin 53201
DISTRIBUTOR
Strong Investments, Inc.
P.O. Box 2936, Milwaukee, Wisconsin 53201
CUSTODIAN
Firstar Bank Milwaukee, N.A.
P.O. Box 701, Milwaukee, Wisconsin 53201
TRANSFER AGENT AND DIVIDEND-DISBURSING AGENT
Strong Capital Management, Inc.
P.O. Box 2936, Milwaukee, Wisconsin 53201
INDEPENDENT ACCOUNTANTS
PricewaterhouseCoopers LLP
100 East Wisconsin Avenue, Milwaukee, Wisconsin 53202
LEGAL COUNSEL
Godfrey & Kahn, S.C.
780 North Water Street, Milwaukee, Wisconsin 53202
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For a prospectus containing more complete information,
including management fees and expenses, please call 1-800-368-1030.
Please read it carefully before investing or sending money. This report
does not constitute an offer for the sale of securities. Strong Funds
are offered for sale by prospectus only.
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To order a free prospectus kit,
CALL 1-800-368-1030
To learn more about our funds,
discuss an existing account,
or conduct a transaction,
CALL 1-800-368-3863
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If you are a
Financial Professional,
CALL 1-800-368-1683
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Strong On-line
WWW.STRONGFUNDS.COM
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Strong Funds
P.O. Box 2936 - Milwaukee, Wisconsin 53201
Strong Investments, Inc. 12900I99
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