PRESIDENT'S MESSAGE
- --------------------------------------------------------------------------------
Dear Shareholder:
I am pleased to present the Annual Report to Shareholders of Automated Cash
Management Trust for the 12-month period ending April 30, 1995.
We begin this report with our customary Investment Review from the fund's
portfolio manager, who will discuss market activity and changes in the fund's
strategy relative to that activity. The Investment Review is followed by the
fund's Portfolio of Investments and Financial Statements.
As always, Automated Cash Management Trust strives to maintain a high degree of
liquidity and to maintain its share price at $1.00, so that it may be an
appropriate and convenient way for you to make the most of your short-term
finances.*
During the 12 months covered by the report, the fund paid $48.7 million in total
distributions to shareholders. As of the date of this report, the fund's total
net assets are $983.1 million.
As always, we strive to provide you with the highest level of professional
service. We appreciate your continued support and welcome your comments or
questions.
Sincerely,
J. Christopher Donahue
President
June 15, 1995
* MONEY MARKET FUNDS SEEK TO MAINTAIN A STABLE NET ASSET VALUE OF $1.00 PER
SHARE. THERE IS NO ASSURANCE THAT THEY WILL BE ABLE TO DO SO. AN INVESTMENT IN
THE FUND IS NEITHER INSURED NOR GUARANTEED BY THE U.S. GOVERNMENT.
1
INVESTMENT REVIEW
- --------------------------------------------------------------------------------
The fund invests exclusively in money market instruments maturing in thirteen
months or less. The average maturity of these securities, computed on a
dollar-weighted basis, is restricted to 90 days or less. Portfolio securities
must be rated in the highest short-term rating category by one or more of the
nationally recognized statistical rating organizations, or be of comparable
quality to securities having such ratings. Typical security types include, but
are not limited to, commercial paper, certificates of deposit, time deposits,
variable rate instruments, and repurchase agreements.
During the reporting period, the Federal Reserve Board (the "Fed") has been in a
restrictive interest rate stance. The Fed tightened monetary policy by
increasing the Fed Funds target rate from 3.75% to 6.00% over the period.
The target average maturity range for Automated Cash Management Trust has
remained in its current 30-40 day range throughout the reporting time period.
This reflects management's continuing bias that the money market yield curve is
fairly steep, and value can be obtained through both structure as well as by
stepping out on the curve a bit. Being on the shorter end of the average
maturity spectrum has proven to be helpful over the reporting period. The Fed
has raised short-term rates four times since April 30, 1994. In structuring the
fund, there is continued emphasis placed on positioning 25%-30% of the fund's
assets in variable rate demand notes and accomplishing a modest barbell
structure.
During the six months ending April 30, 1995, the net assets of Automated Cash
Management Trust decreased from $1.048 billion to $983.1 million while the 7-day
net yield increased from 4.66% to 5.73%.* The effective average maturity of the
fund on April 30, 1995, was 39 days.
* PERFORMANCE QUOTED REPRESENTS PAST PERFORMANCE AND IS NOT INDICATIVE OF FUTURE
RESULTS. YIELD WILL VARY.
2
AUTOMATED CASH MANAGEMENT TRUST
PORTFOLIO OF INVESTMENTS
APRIL 30, 1995
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
- -------------- ---------------------------------------------------------------------- ------------
<C> <S> <C>
*COMMERCIAL PAPER--54.5%
- ---------------------------------------------------------------------------------------
BANKING--12.0%
----------------------------------------------------------------------
$29,000,000 Abbey National N.A. Corp., (Guaranteed by Abbey National Bank PLC,
London), 6.017% - 6.144%, 5/9/1995 - 7/31/1995 $ 28,738,416
----------------------------------------------------------------------
12,000,000 Barclays Bank of Canada, (Guaranteed by Barclays Bank PLC, London),
6.179%, 6/15/1995 11,908,950
----------------------------------------------------------------------
10,000,000 Canadian Imperial Holdings, Inc., (Guaranteed by Canadian Imperial
Bank of Commerce, Toronto), 6.453%, 8/22/1995 9,803,820
----------------------------------------------------------------------
18,200,000 Commerzbank U.S. Finance, Inc., (Guaranteed by Commerzbank AG,
Frankfurt), 6.319% - 6.708%, 5/8/1995 - 10/5/1995 18,027,542
----------------------------------------------------------------------
12,000,000 Credit Agricole U.S.A., Inc., (Guaranteed by Caisse Nationale De
Credit Agricole Paris), 6.369%, 9/29/1995 11,689,443
----------------------------------------------------------------------
5,000,000 Dresdner US Finance, (Guaranteed by Dresdner Bank AG, Frankfurt),
6.402%, 5/31/1995 4,974,167
----------------------------------------------------------------------
10,000,000 PEMEX Capital, Inc. (Swiss Bank Corp., Basle LOC), 6.113%, 7/20/1995 9,866,222
----------------------------------------------------------------------
8,000,000 Svenska Handelsbanken, Inc., (Guaranteed by Svenska Handelsbanken,
Stockholm), 6.270%, 10/16/1995 7,773,013
----------------------------------------------------------------------
15,000,000 UBS Finance (Delaware), Inc., (Guaranteed by Union Bank of
Switzerland, Zurich), 5.973%, 5/1/1995 15,000,000
---------------------------------------------------------------------- ------------
Total 117,781,573
---------------------------------------------------------------------- ------------
DIVERSIFIED--3.8%
----------------------------------------------------------------------
38,000,000 Rockwell International Corp., 6.163% - 6.871%, 6/1/1995 - 9/6/1995 37,596,920
---------------------------------------------------------------------- ------------
FINANCE - COMMERCIAL--16.3%
----------------------------------------------------------------------
15,000,000 Asset Securitization Cooperative Corp., 6.211% - 6.214%, 5/15/1995 -
6/21/1995 14,901,683
----------------------------------------------------------------------
26,500,000 Beta Finance, Inc., 6.096% - 6.882%, 6/22/1995 - 10/30/1995 26,153,187
----------------------------------------------------------------------
2,000,000 CIESCO, Inc., 6.149%, 7/10/1995 1,976,472
----------------------------------------------------------------------
15,500,000 CIT Group Holdings, Inc., 6.099% - 6.151%, 6/27/1995 - 8/1/1995 15,293,981
----------------------------------------------------------------------
9,000,000 Corporate Asset Funding Co., Inc. (CAFCO), 6.151% - 6.338%, 7/13/1995
-9/22/1995 8,865,004
----------------------------------------------------------------------
</TABLE>
3
AUTOMATED CASH MANAGEMENT TRUST
- ---------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
- -------------- ---------------------------------------------------------------------- ------------
<C> <S> <C>
*COMMERCIAL PAPER--CONTINUED
- ---------------------------------------------------------------------------------------
FINANCE - COMMERCIAL--CONTINUED
----------------------------------------------------------------------
$19,000,000 General Electric Capital Corp., 6.342% - 6.513%, 6/5/1995 - 9/15/1995 $ 18,672,800
----------------------------------------------------------------------
10,000,000 General Electric Capital Services, 6.321%, 10/16/1995 9,714,400
----------------------------------------------------------------------
45,700,000 Preferred Receivables Funding Co. (PREFCO), 6.094% - 6.194%, 6/7/1995
-7/27/1995 45,245,207
----------------------------------------------------------------------
9,500,000 Sheffield Receivables Corp., 6.090% - 6.253%, 5/2/1995 - 7/19/1995 9,439,896
----------------------------------------------------------------------
10,000,000 Whirlpool Financial Corp., 6.145%, 7/20/1995 9,865,556
---------------------------------------------------------------------- ------------
Total 160,128,186
---------------------------------------------------------------------- ------------
FINANCE - RETAIL--14.9%
----------------------------------------------------------------------
20,000,000 Associates Corp. of North America, 5.923%, 5/1/1995 20,000,000
----------------------------------------------------------------------
32,000,000 Budget Funding Corp., 6.143% - 6.205%, 5/8/1995 - 6/22/1995 31,823,096
----------------------------------------------------------------------
25,000,000 Ford Credit Receivables Funding, Inc., 6.142% - 6.273%, 5/18/1995 -
6/16/1995 24,866,506
----------------------------------------------------------------------
30,000,000 McKenna Triangle National Corp., 5.975% - 6.720%, 5/4/1995 - 6/22/1995 29,844,919
----------------------------------------------------------------------
38,000,000 New Center Asset Trust, A1+/P1 Series, 6.342% - 6.823%, 7/7/1995 -
9/15/1995 37,322,311
----------------------------------------------------------------------
3,000,000 New Center Asset Trust, A1/P1 Series, 6.384%, 9/22/1995 2,925,720
---------------------------------------------------------------------- ------------
Total 146,782,552
---------------------------------------------------------------------- ------------
INSURANCE--2.6%
----------------------------------------------------------------------
5,300,000 CXC, Inc., 6.667%, 8/3/1995 5,210,739
----------------------------------------------------------------------
16,876,000 Prospect Street Senior Portfolio, L.P., (Guaranteed by Financial
Security Assurance, Inc.), 6.196% - 6.877%, 5/31/1995 - 10/18/1995 16,629,156
----------------------------------------------------------------------
4,000,000 Prudential Funding Corp., 6.030%, 5/11/1995 3,993,500
---------------------------------------------------------------------- ------------
Total 25,833,395
---------------------------------------------------------------------- ------------
OIL & OIL FINANCE--2.4%
----------------------------------------------------------------------
24,000,000 Chevron Transport Corp., (Guaranteed by Chevron Corp.), 6.115% -
6.181%, 5/15/1995 - 8/7/1995 23,756,627
---------------------------------------------------------------------- ------------
PHARMACEUTICALS AND HEALTH CARE--2.5%
----------------------------------------------------------------------
5,000,000 American Home Foods, Subsidiary, (Guaranteed by American Home Products
Corp.), 6.942%, 6/19/1995 4,954,403
----------------------------------------------------------------------
</TABLE>
4
AUTOMATED CASH MANAGEMENT TRUST
- ---------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
- -------------- ---------------------------------------------------------------------- ------------
<C> <S> <C>
*COMMERCIAL PAPER--CONTINUED
- ---------------------------------------------------------------------------------------
PHARMACEUTICALS AND HEALTH CARE--CONTINUED
----------------------------------------------------------------------
$15,000,000 American Home Products Corp., 6.399% - 6.770%, 5/22/1995 - 6/12/1995 $ 14,925,684
----------------------------------------------------------------------
5,000,000 Schering Corp., (Guaranteed by Schering Plough Corp.), 6.455%,
8/11/1995 4,911,458
---------------------------------------------------------------------- ------------
Total 24,791,545
---------------------------------------------------------------------- ------------
TOTAL COMMERCIAL PAPER 536,670,798
---------------------------------------------------------------------- ------------
SHORT-TERM BONDS--1.7%
- ---------------------------------------------------------------------------------------
BANKING--1.2%
----------------------------------------------------------------------
12,000,000 Banc One Corp., 6.363%, 4/15/1996 12,000,000
---------------------------------------------------------------------- ------------
LEASING--0.5%
----------------------------------------------------------------------
5,390,473 Copelco Capital Funding Corp., II Series 1994-A, 6.030%, 10/20/1995 5,390,473
---------------------------------------------------------------------- ------------
TOTAL SHORT-TERM BONDS 17,390,473
---------------------------------------------------------------------- ------------
**VARIABLE RATE INSTRUMENTS--31.2%
- ---------------------------------------------------------------------------------------
BANKING--13.8%
----------------------------------------------------------------------
9,000,000 American Seaway Foods, Inc., (Society National Bank, Cleveland, OH
LOC), 6.319%, 5/5/1995 9,000,000
----------------------------------------------------------------------
9,750,000 Associated Materials, Inc., (Society National Bank, Cleveland, OH
LOC), 6.319%, 5/5/1995 9,750,000
----------------------------------------------------------------------
6,000,000 Beverly California Corp., (PNC Bank, N.A. LOC), 6.153%, 5/1/1995 6,000,000
----------------------------------------------------------------------
5,000,000 Kentucky Rural Economic Development Authority (PCI), (PNC Bank, N.A.
LOC), 6.253%, 5/1/1995 5,000,000
----------------------------------------------------------------------
9,500,000 Massachusetts Industrial Finance Agency, (PNC Bank, N.A. LOC), 6.180%,
5/4/1995 9,500,000
----------------------------------------------------------------------
13,700,000 Merit Care, Inc., (PNC Bank, N.A. LOC), 6.153%, 5/1/1995 13,700,000
----------------------------------------------------------------------
12,000,000 National Funding Corp., 1994-A, (American National Bank, Chicago LOC),
6.080%, 5/4/1995 12,000,000
----------------------------------------------------------------------
44,000,000 PHH/CFC Leasing, Inc., Series A, (Societe Generale, Paris LOC),
6.160%, 5/3/1995 44,000,000
----------------------------------------------------------------------
6,700,000 Richmond County, GA Development Authority, (PNC Bank, N.A. LOC),
6.153%, 5/1/1995 6,700,000
----------------------------------------------------------------------
</TABLE>
5
AUTOMATED CASH MANAGEMENT TRUST
- ---------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
- -------------- ---------------------------------------------------------------------- ------------
<C> <S> <C>
**VARIABLE RATE INSTRUMENTS--CONTINUED
- ---------------------------------------------------------------------------------------
BANKING--CONTINUED
----------------------------------------------------------------------
$20,000,000 (a) SMM Trust 1994-B, (Guaranteed by Morgan Guaranty Trust Co., New York),
6.330%, 5/11/1995 $ 19,996,801
---------------------------------------------------------------------- ------------
Total 135,646,801
---------------------------------------------------------------------- ------------
ELECTRICAL EQUIPMENT--3.6%
----------------------------------------------------------------------
10,000,000 Compagnie Euralair S.A., (Guaranteed by General Electric Co.), 6.153%,
5/1/1995 10,000,000
----------------------------------------------------------------------
5,003,244 Marta Leasing Ltd., (Guaranteed by General Electric Co.), 6.153%,
5/1/1995 5,003,244
----------------------------------------------------------------------
20,889,046 Northwest Airlines, Inc., (Guaranteed by General Electric Co.),
6.184%, 5/1/1995 20,889,046
---------------------------------------------------------------------- ------------
Total 35,892,290
---------------------------------------------------------------------- ------------
FINANCE - AUTOMOTIVE--3.1%
----------------------------------------------------------------------
30,000,000 Carco Auto Loan Master Trust, Series 1993-2, Class A1, 6.215%,
5/15/1995 30,000,000
---------------------------------------------------------------------- ------------
FINANCE - COMMERCIAL--4.6%
----------------------------------------------------------------------
45,000,000 Money Market Auto Loan Trust, 6.275%, 5/15/1995 45,000,000
---------------------------------------------------------------------- ------------
INSURANCE--6.1%
----------------------------------------------------------------------
25,000,000 (a) Peoples Security Life Insurance, 6.280%, 5/1/1995 25,000,000
----------------------------------------------------------------------
22,500,000 Sun Life Insurance Co. of America, 6.338%, 5/1/1995 22,500,000
----------------------------------------------------------------------
12,500,000 (a) Sun Life Insurance Co. of America, 6.338%, 5/1/1995 12,500,000
---------------------------------------------------------------------- ------------
Total 60,000,000
---------------------------------------------------------------------- ------------
TOTAL VARIABLE RATE INSTRUMENTS 306,539,091
---------------------------------------------------------------------- ------------
*TIME DEPOSITS--2.0%
- ---------------------------------------------------------------------------------------
BANKING--2.0%
----------------------------------------------------------------------
20,000,000 Bank of Nova Scotia, Toronto, 6.00%, 5/1/1995 20,000,000
---------------------------------------------------------------------- ------------
***REPURCHASE AGREEMENTS--10.6%
- ---------------------------------------------------------------------------------------
20,000,000 Chase Securities, Inc., 5.92%, dated 4/28/1995, due 5/1/1995 20,000,000
----------------------------------------------------------------------
</TABLE>
6
AUTOMATED CASH MANAGEMENT TRUST
- ---------------------------------------------------------
<TABLE>
<CAPTION>
PRINCIPAL
AMOUNT VALUE
- -------------- ---------------------------------------------------------------------- ------------
<C> <S> <C>
***REPURCHASE AGREEMENTS--CONTINUED
- ---------------------------------------------------------------------------------------
$20,000,000 Donaldson, Lufkin & Jenrette Securities Corp., 5.92%, dated 4/28/1995,
due 5/1/1995 $ 20,000,000
----------------------------------------------------------------------
25,000,000 NCNB of North Carolina-Charlotte, 5.92%, dated 4/28/1995, due 5/1/1995 25,000,000
----------------------------------------------------------------------
8,200,000 State Street Bank and Trust Co., 5.92%, dated 4/28/1995, due 5/1/1995 8,200,000
----------------------------------------------------------------------
30,950,000 Swiss Bank Corp., New York, 5.92%, dated 4/28/1995, due 5/1/1995 30,950,000
---------------------------------------------------------------------- ------------
TOTAL REPURCHASE AGREEMENTS 104,150,000
---------------------------------------------------------------------- ------------
TOTAL INVESTMENTS, AT AMORTIZED COST (b) $984,750,362
---------------------------------------------------------------------- ------------
------------
<FN>
(a) Denotes a restricted security which is subject to restrictions on resale
under Federal Securities laws. These securities have been determined to be
liquid under criteria established by the Board of Trustees. At the end of
the period, these securities amounted to $57,496,801 which represents 5.8%
of net assets.
(b) Also represents cost for federal tax purposes.
* Each issue shows the rate of discount at the time of purchase.
** Current rate and next reset date shown.
*** Repurchase agreements are fully collateralized by U.S. government and/or
agency obligations based on market prices at the date of the portfolio.
The investments in repurchase agreements are through participation in
joint accounts with other Federated funds.
Note: The categories of investments are shown as a percentage of net assets
($983,098,932) at April 30, 1995.
</TABLE>
The following abbreviations are used throughout this portfolio:
<TABLE>
<S> <C>
LOC --Letter of Credit
PLC --Public Limited Company
</TABLE>
(See Notes which are an integral part of the Financial Statements.)
7
AUTOMATED CASH MANAGEMENT TRUST
STATEMENT OF ASSETS AND LIABILITIES
APRIL 30, 1995
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
ASSETS:
- --------------------------------------------------------------------------------
Investments in repurchase agreements $104,150,000
- --------------------------------------------------------------------------------
Investments in securities 880,600,362
- -------------------------------------------------------------------------------- ------------
Total investments, at amortized cost and value $984,750,362
- -----------------------------------------------------------------------------------------------
Cash 328,367
- -----------------------------------------------------------------------------------------------
Income receivable 1,732,091
- -----------------------------------------------------------------------------------------------
Receivable for shares sold 274,468
- ----------------------------------------------------------------------------------------------- ------------
Total assets 987,085,288
- -----------------------------------------------------------------------------------------------
LIABILITIES:
- -----------------------------------------------------------------------------------------------
Payable for shares redeemed 1,997,700
- --------------------------------------------------------------------------------
Income distribution payable 1,688,117
- --------------------------------------------------------------------------------
Accrued expenses 300,539
- -------------------------------------------------------------------------------- ------------
Total liabilities 3,986,356
- ----------------------------------------------------------------------------------------------- ------------
Net Assets for 983,098,932 shares outstanding $983,098,932
- ----------------------------------------------------------------------------------------------- ------------
------------
NET ASSET VALUE, Offering Price and Redemption Proceeds Per Share:
($983,098,932 DIVIDED BY 983,098,932 shares outstanding) $ 1.00
- ----------------------------------------------------------------------------------------------- ------------
------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
8
AUTOMATED CASH MANAGEMENT TRUST
STATEMENT OF OPERATIONS
YEAR ENDED APRIL 30, 1995
- --------------------------------------------------------------------------------
<TABLE>
<S> <C> <C>
INVESTMENT INCOME:
- ---------------------------------------------------------------------------------------------
Interest $54,630,019
- ---------------------------------------------------------------------------------------------
EXPENSES:
- ---------------------------------------------------------------------------------------------
Investment advisory fee $5,173,695
- --------------------------------------------------------------------------------
Administrative personnel and services fee 783,297
- --------------------------------------------------------------------------------
Custodian fees 298,074
- --------------------------------------------------------------------------------
Transfer and dividend disbursing agent fees and expenses 142,581
- --------------------------------------------------------------------------------
Directors'/Trustees' fees 15,046
- --------------------------------------------------------------------------------
Auditing fees 12,700
- --------------------------------------------------------------------------------
Legal fees 17,953
- --------------------------------------------------------------------------------
Portfolio accounting fees 97,575
- --------------------------------------------------------------------------------
Shareholder services fee 2,483,374
- --------------------------------------------------------------------------------
Share registration costs 107,762
- --------------------------------------------------------------------------------
Printing and postage 51,980
- --------------------------------------------------------------------------------
Insurance premiums 62,482
- --------------------------------------------------------------------------------
Taxes 15,497
- --------------------------------------------------------------------------------
Miscellaneous 10,168
- -------------------------------------------------------------------------------- ----------
Total expenses 9,272,184
- --------------------------------------------------------------------------------
Deduct--Waiver of investment advisory fee 3,374,156
- -------------------------------------------------------------------------------- ----------
Net expenses 5,898,028
- --------------------------------------------------------------------------------------------- -----------
Net investment income $48,731,991
- --------------------------------------------------------------------------------------------- -----------
-----------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
9
AUTOMATED CASH MANAGEMENT TRUST
STATEMENT OF CHANGES IN NET ASSETS
- --------------------------------------------------------------------------------
<TABLE>
<CAPTION>
YEAR ENDED APRIL 30,
--------------------------------------
1995 1994
----------------- -----------------
<S> <C> <C>
INCREASE (DECREASE) IN NET ASSETS:
- ---------------------------------------------------------------------------
OPERATIONS--
- ---------------------------------------------------------------------------
Net investment income $ 48,731,991 $ 29,154,607
- --------------------------------------------------------------------------- ----------------- -----------------
DISTRIBUTIONS TO SHAREHOLDERS--
- ---------------------------------------------------------------------------
Distributions from net investment income (48,731,991) (29,154,607)
- --------------------------------------------------------------------------- ----------------- -----------------
SHARE TRANSACTIONS--
- ---------------------------------------------------------------------------
Proceeds from sale of Shares 10,099,261,708 10,204,328,063
- ---------------------------------------------------------------------------
Net asset value of Shares issued to shareholders in payment of
distributions declared 27,788,873 14,864,321
- ---------------------------------------------------------------------------
Cost of Shares redeemed (10,119,404,536) (10,415,909,478)
- --------------------------------------------------------------------------- ----------------- -----------------
Change in net assets resulting from share transactions 7,646,045 (196,717,094)
- --------------------------------------------------------------------------- ----------------- -----------------
Change in net assets 7,646,045 (196,717,094)
- ---------------------------------------------------------------------------
NET ASSETS:
- ---------------------------------------------------------------------------
Beginning of period 975,452,887 1,172,169,981
- --------------------------------------------------------------------------- ----------------- -----------------
End of period $ 983,098,932 $ 975,452,887
- --------------------------------------------------------------------------- ----------------- -----------------
----------------- -----------------
</TABLE>
(See Notes which are an integral part of the Financial Statements)
10
AUTOMATED CASH MANAGEMENT TRUST
FINANCIAL HIGHLIGHTS
- --------------------------------------------------------------------------------
(FOR A SHARE OUTSTANDING THROUGHOUT EACH PERIOD)
<TABLE>
<CAPTION>
YEAR ENDED APRIL 30,
-----------------------------------------------------------------------
1995 1994 1993 1992 1991 1990
- ------------------------------------------------------- -------- -------- ---------- ---------- ---------- ----------
<S> <C> <C> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
- -------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- -------------------------------------------------------
Net investment income 0.05 0.03 0.03 0.05 0.07 0.08
- ------------------------------------------------------- -------- -------- ---------- ---------- ---------- ----------
LESS DISTRIBUTIONS
- -------------------------------------------------------
Distributions from net investment income (0.05) (0.03) (0.03) (0.05) (0.07) (0.08)
- ------------------------------------------------------- -------- -------- ---------- ---------- ---------- ----------
NET ASSET VALUE, END OF PERIOD $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00 $ 1.00
- ------------------------------------------------------- -------- -------- ---------- ---------- ---------- ----------
-------- -------- ---------- ---------- ---------- ----------
TOTAL RETURN (a) 4.82% 2.84% 3.11% 5.02% 7.52% 8.69%
- -------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- -------------------------------------------------------
Expenses 0.57% 0.57% 0.56% 0.56% 0.55% 0.55%
- -------------------------------------------------------
Net investment income 4.71% 2.80% 3.07% 4.88% 7.23% 8.32%
- -------------------------------------------------------
Expense waiver/reimbursement (b) 0.33% 0.07% 0.04% 0.03% 0.12% 0.09%
- -------------------------------------------------------
SUPPLEMENTAL DATA
- -------------------------------------------------------
Net assets, end of period (000 omitted) $983,099 $975,453 $1,172,170 $1,220,212 $1,464,710 $1,164,013
- -------------------------------------------------------
<CAPTION>
1989 1988 1987 1986
- ------------------------------------------------------- -------- -------- -------- --------
<S> <C> <C> <C> <C>
NET ASSET VALUE, BEGINNING OF PERIOD $ 1.00 $ 1.00 $ 1.00 $ 1.00
- -------------------------------------------------------
INCOME FROM INVESTMENT OPERATIONS
- -------------------------------------------------------
Net investment income 0.08 0.07 0.06 0.07
- ------------------------------------------------------- -------- -------- -------- --------
LESS DISTRIBUTIONS
- -------------------------------------------------------
Distributions from net investment income (0.08) (0.07) (0.06) (0.07)
- ------------------------------------------------------- -------- -------- -------- --------
NET ASSET VALUE, END OF PERIOD $ 1.00 $ 1.00 $ 1.00 $ 1.00
- ------------------------------------------------------- -------- -------- -------- --------
-------- -------- -------- --------
TOTAL RETURN (a) 8.20% 6.72% 6.00% 7.69%
- -------------------------------------------------------
RATIOS TO AVERAGE NET ASSETS
- -------------------------------------------------------
Expenses 0.55% 0.55% 0.55% 0.55%
- -------------------------------------------------------
Net investment income 7.93% 6.53% 5.82% 7.43%
- -------------------------------------------------------
Expense waiver/reimbursement (b) 0.10% 0.04% 0.04% 0.06%
- -------------------------------------------------------
SUPPLEMENTAL DATA
- -------------------------------------------------------
Net assets, end of period (000 omitted) $943,136 $924,558 $867,725 $764,841
- -------------------------------------------------------
<FN>
(a) Based on net asset value, which does not reflect the sales load or
contingent deferred sales charge, if applicable.
(b) This voluntary expense decrease is reflected in both the expense and net
investment income ratios shown above.
</TABLE>
(See Notes which are an integral part of the Financial Statements)
11
AUTOMATED CASH MANAGEMENT TRUST
NOTES TO FINANCIAL STATEMENTS
APRIL 30, 1995
- --------------------------------------------------------------------------------
1. ORGANIZATION
Effective July 30, 1994, Automated Cash Management Trust (the "Fund") was
reorganized into an investment portfolio of Money Market Obligations Trust (the
"Trust"). The Trust is registered under the Investment Company Act of 1940, as
amended (the "Act") as an open-end, management investment company. The Trust
consists of six diversified portfolios. The financial statements presented
herein present only those of the "Fund". The financial statements of the other
portfolios are presented separately. The assets of each portfolio are segregated
and a shareholder's interest is limited to the portfolio in which shares are
held.
2. SIGNIFICANT ACCOUNTING POLICIES
The following is a summary of significant accounting policies consistently
followed by the Fund in the preparation of its financial statements. These
policies are in conformity with generally accepted accounting principles.
INVESTMENT VALUATIONS--The Fund's use of the amortized cost method to value
its portfolio securities is in accordance with Rule 2a-7 under the Act.
REPURCHASE AGREEMENTS--It is the policy of the Fund to require the custodian
bank to take possession, to have legally segregated in the Federal Reserve
Book Entry System, or to have segregated within the custodian bank's vault,
all securities held as collateral in support of repurchase agreement
transactions. Additionally, procedures have been established by the Fund to
monitor, on a daily basis, the market value of each repurchase agreement's
collateral to ensure that the value of collateral at least equals the
repurchase price to be paid under the repurchase agreement transaction.
The Fund will only enter into repurchase agreements with banks and other
recognized financial institutions, such as broker/dealers, which are deemed
by the Fund's adviser to be creditworthy pursuant to the guidelines
established by the Board of Trustees (the "Trustees"). Risks may arise from
the potential inability of counterparties to honor the terms of the
repurchase agreement. Accordingly, the Fund could receive less than the
repurchase price on the sale of collateral securities.
INVESTMENT INCOME, EXPENSES AND DISTRIBUTIONS--Interest income and expenses
are accrued daily. Bond premium and discount, if applicable, are amortized
as required by the Internal Revenue Code, as amended (the "Code").
Distributions to shareholders are recorded on the ex-dividend date.
12
AUTOMATED CASH MANAGEMENT TRUST
- ---------------------------------------------------------
FEDERAL TAXES--It is the Fund's policy to comply with the provisions of the
Code applicable to regulated investment companies and to distribute to
shareholders each year substantially all of its income. Accordingly, no
provisions for federal tax are necessary.
WHEN-ISSUED AND DELAYED DELIVERY TRANSACTIONS--The Fund may engage in
when-issued or delayed delivery transactions. The Fund records when-issued
securities on the trade date and maintains security positions such that
sufficient liquid assets will be available to make payment for the
securities purchased. Securities purchased on a when-issued or delayed
delivery basis are marked to market daily and begin earning interest on the
settlement date.
RESTRICTED SECURITIES--Restricted securities are securities that may only be
resold upon registration under federal securities laws or in transactions
exempt from such registration. Many restricted securities may be resold in
the secondary market in transactions exempt from registration. In some
cases, the restricted securities may be resold without registration upon
exercise of a demand feature. Such restricted securities may be determined
to be liquid under criteria established by the Board of Trustees. The Fund
will not incur any registration costs upon such resales. Restricted
securities are valued at amortized cost in accordance with Rule 2a-7 under
the Investment Company Act of 1940. Additional information on each
restricted security held at April 30, 1995 is as follows:
<TABLE>
<CAPTION>
ACQUISITION ACQUISITION
SECURITY DATE COST
- ---------------------------------------------------------------------- ----------- ------------
<S> <C> <C>
SMM Trust 1994-B (Guaranteed by Morgan Guaranty Trust Co., NY),
6.330%, 5/11/1995 8/31/1994 $19,989,400
- ----------------------------------------------------------------------
Peoples Security Life Insurance, 6.280%, 5/1/1995 7/11/1994 $25,000,000
- ----------------------------------------------------------------------
Sun Life Insurance Co. of America, 6.338%, 5/1/1995 9/20/1993 $12,500,000
- ----------------------------------------------------------------------
</TABLE>
OTHER--Investment transactions are accounted for on the trade date.
CHANGE IN FISCAL YEAR--Effective October 27, 1994, the Fund changed its
fiscal year-end from April 30 to July 31.
13
AUTOMATED CASH MANAGEMENT TRUST
- ---------------------------------------------------------
3. SHARES OF BENEFICIAL INTEREST
The Declaration of Trust permits the Trustees to issue an unlimited number of
full and fractional shares of beneficial interest (without par value). At April
30, 1995, capital paid-in aggregated $983,098,932. Transactions in Shares were
as follows:
<TABLE>
<CAPTION>
YEAR ENDED APRIL 30
-----------------------------------
1995 1994
- ---------------------------------------------------------------------- ---------------- ----------------
<S> <C> <C>
Shares Sold 10,099,261,708 10,204,328,063
- ----------------------------------------------------------------------
Shares issued to shareholders in payment of dividends declared 27,788,873 14,864,321
- ----------------------------------------------------------------------
Shares redeemed (10,119,404,536) (10,415,909,478)
- ---------------------------------------------------------------------- ---------------- ----------------
Net change resulting from share transactions 7,646,045 (196,717,094)
- ---------------------------------------------------------------------- ---------------- ----------------
---------------- ----------------
</TABLE>
4. INVESTMENT ADVISORY FEE AND OTHER TRANSACTIONS WITH AFFILIATES
INVESTMENT ADVISORY FEE--Federated Management, the Fund's investment adviser,
(the "Adviser"), receives for its services an annual investment advisory fee
equal to .50 of 1% of the Fund's average daily net assets.
The Adviser may voluntarily choose to waive a portion of its fee. The Adviser
can modify or terminate this voluntary waiver at any time at its sole
discretion.
ADMINISTRATIVE FEE--Federated Administrative Services ("FAS"), under the
Administrative Services Agreement, provides the Fund with administrative
personnel and services. The FAS fee is based on the level of average aggregate
daily net assets of all funds advised by subsidiaries of Federated Investors for
the period. The administrative fee received during the period of the
Administrative Services Agreement shall be at least $125,000 per portfolio and
$30,000 per each additional class of shares.
SHAREHOLDER SERVICES FEE--Under the terms of a Shareholder Services Agreement
with Federated Shareholder Services ("FSS"), the Fund will pay FSS up to .25 of
1% of average daily net assets of the Fund for the period. This fee is to obtain
certain services for shareholders and to maintain shareholder accounts.
TRANSFER AGENT FEES--Federated Services Company ("FServ") serves as transfer and
dividend disbursing agent for the Fund. The fee is based on the size, type, and
number of accounts and transactions made by shareholders.
PORTFOLIO ACCOUNTING FEES--FServ also maintains the Fund's accounting records
for which it receives a fee. The fee is based on the level of the Fund's average
daily net assets for the period plus, out-of-pocket expenses.
GENERAL--Certain of the Officers and Trustees of the Fund are Officers and
Directors or Trustees of the above companies.
14
REPORT OF INDEPENDENT PUBLIC ACCOUNTANTS
- ---------------------------------------------------------
To the Shareholders and Board of Trustees of
MONEY MARKET OBLIGATIONS TRUST
(Automated Cash Management Trust):
We have audited the accompanying statement of assets and liabilities of
Automated Cash Management Trust (an investment portfolio of Money Market
Obligations Trust, a Massachusetts business trust), including the schedule of
portfolio investments, as of April 30, 1995, and the related statements of
operations and changes in net assets, and the financial highlights for the year
then ended. These financial statements and financial highlights are the
responsibility of the Trust's management. Our responsibility is to express an
opinion on these financial statements and financial highlights based on our
audit. The financial statements referred to above for Automated Cash Management
Trust as of April 30, 1994, as well as the financial highlights for the periods
ended April 30, 1986, through April 30, 1994, were audited by other auditors
whose report dated June 9, 1994, expressed an unqualified opinion on those
statements and financial highlights.
We conducted our audit in accordance with generally accepted auditing standards.
Those standards require that we plan and perform the audit to obtain reasonable
assurance about whether the financial statements and financial highlights are
free of material misstatement. An audit includes examining, on a test basis,
evidence supporting the amounts and disclosures in the financial statements. Our
procedures included confirmation of securities owned as of April 30, 1995, by
correspondence with the custodian. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well
as evaluating the overall financial statement presentation. We believe that our
audit provides a reasonable basis for our opinion.
In our opinion, the financial statements and financial highlights referred to
above present fairly, in all material respects, the financial position of
Automated Cash Management Trust (an investment portfolio of Money Market
Obligations Trust) as of April 30, 1995, and the results of its operations, the
changes in its net assets and its financial highlights for the year then ended,
in conformity with generally accepted accounting principles.
ARTHUR ANDERSEN LLP
Pittsburgh, Pennsylvania
June 2, 1995
15
<TABLE>
<CAPTION>
TRUSTEES OFFICERS
- ---------------------------------------------------------
<S> <C>
John F. Donahue John F. Donahue
Thomas G. Bigley CHAIRMAN
John T. Conroy, Jr. J. Christopher Donahue
William J. Copeland PRESIDENT
J. Christopher Donahue Richard B. Fisher
James E. Dowd VICE PRESIDENT
Lawrence D. Ellis, M.D. Edward C. Gonzales
Edward L. Flaherty, Jr. VICE PRESIDENT AND TREASURER
Peter E. Madden John W. McGonigle
Gregor F. Meyer VICE PRESIDENT AND SECRETARY
John E. Murray, Jr. David M. Taylor
Wesley W. Posvar ASSISTANT TREASURER
Marjorie P. Smuts Jeannette Fisher-Garber
ASSISTANT SECRETARY
</TABLE>
Mutual funds are not bank deposits or obligations, are not
guaranteed by any bank, and are not insured or guaranteed by the
U.S. government, the Federal Deposit Insurance Corporation, the
Federal Reserve Board, or any other government agency. Investment
in mutual funds involves investment risk, including possible loss
of principal. Although money market funds seek to maintain a
stable net asset value of $1.00 per share, there is no assurance
that they will be able to do so.
This report is authorized for distribution to prospective
investors only when preceded or accompanied by the Fund's
prospectus which contains facts concerning its objective and
policies, management fees, expenses and other information.
16
- --------------------------------------------------------------------------------
AUTOMATED
- --------------------------------------------------------------------------------
CASH
- --------------------------------------------------------------------------------
MANAGEMENT
- --------------------------------------------------------------------------------
TRUST
- --------------------------------------------------------------------------------
ANNUAL REPORT
TO SHAREHOLDERS
APRIL 30, 1995
[LOGO] ----------------------------------------
Distributor
A subsidiary of FEDERATED INVESTORS ----------------------------------
FEDERATED INVESTORS TOWER
PITTSBURGH, PA 15222-3779[LOGO] ----------------------------------
RECYCLED
PAPER
60934N864
G01183-01 (6/95) -----------------------------------
